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GAO: Not All OSDBUS Are Created Equal

Six cabinet-level departments and one large independent agency are ignoring a law requiring that their OSDBU directors report to one of the agency’s top two officials, according to the Government Accountability Office.

GAO first raised the issue eight years ago; in its latest update, it found the status quo had not changed in those seven agencies.

Several federal OSDBUs have said the reporting requirement is more than a box on an organization chart. They say it guarantees them a seat at the table—in some agencies, at the assistant secretary level—when procurement policy decisions are made.

The law says the OSDBU director must report to the agency head or his deputy. That is not true at the departments of Agriculture, Commerce, the Interior, Justice, State, and Treasury and the Social Security Administration, according to GAO.

In response, each of the agencies said its effort to comply with the law was “in process.” GAO found that the agencies’ explanations “did not justify noncompliance.”

What do OSDBU directors do?

GAO surveyed OSDBU directors at the 25 largest contracting agencies about their duties, which are prescribed by law. It found some of them are not performing all the legal requirements.

At least 19 directors listed among their duties responsibilities related to contract bundling, maintaining supervisory authority over staff, and helping small businesses obtain payments from agencies.

Fewer directors saw other required functions—such as reviewing acquisitions for small business set-asides and assisting small businesses to obtain payments from prime contractors—as part of their jobs.

Directors who did not view these functions as their responsibility generally noted that contracting or program staff performed them.


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