Department of Homeland Security: Better Planning and Oversight Needed to Improve Complex Service Acquisition Outcomes Page: 3 of 16
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Mr. Chairman and Members of the Committee:
Thank you for inviting me here today to discuss the Department of
Homeland Security's (DHS) planning and assessment of its complex
service acquisitions. To meet its expansive homeland security mission,
DHS spends billions of dollars on service acquisitions for critical trade,
transportation, and border security investments. In fact, more than 80
percent of DHS's total procurement dollars are spent on services. Prior
GAO work has found that appropriate planning, structuring, and
monitoring of acquisitions is critical to ensuring that the services provided
meet the government's needs.' To help improve service acquisition
outcomes, federal procurement policy calls for agencies to use a
performance-based approach to the maximum extent practicable. This
approach includes a performance work statement that describes outcome-
oriented requirements, measurable performance standards, and quality
assurance surveillance. If properly implemented, these characteristics can
help ensure that contracted services meet cost, schedule, and performance
requirements. Other factors, such as pressure to get programs up and
running, additional external requirements, and technological challenges
also impact the ability to achieve good acquisition outcomes.
While a performance-based approach has been widely accepted, we have
found that agencies face certain challenges in implementing the
approach-especially for complex or major investments. My testimony
today will focus on the particular challenges DHS has confronted.
Specifically, I will discuss how contract outcomes are influenced by how
well DHS components have defined and developed contract requirements
and performance standards. I will also discuss the need for improved
assessment and oversight to ensure better outcomes.
My statement is based on our report that is being released today.2 This
report focused on contracts for major investments with complex service
acquisitions at the Coast Guard, Customs and Border Protection (CBP),
and the Transportation Security Administration (TSA)-three of the DHS
components reporting among the highest obligations for performance-
'For example, GAO, Defense Acquisitions: Tailored Approach Needed to Improve Service
Acquisition Outcomes, GAO-07-20 (Washington, D.C.: Nov. 9, 2006).
2GAO, Department of Homeland Security: Better Planning and Assessment Needed to
Improve Outcomes for Complex Service Acquisitions, GAO-08-263 (Washington, D.C.:
Apr. 22, 2008).GAO-08-765T
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United States. Government Accountability Office. Department of Homeland Security: Better Planning and Oversight Needed to Improve Complex Service Acquisition Outcomes, text, May 8, 2008; Washington D.C.. (https://digital.library.unt.edu/ark:/67531/metadc293432/m1/3/: accessed April 19, 2024), University of North Texas Libraries, UNT Digital Library, https://digital.library.unt.edu; crediting UNT Libraries Government Documents Department.