CWC's recommendation to strengthen authority to withhold contract payments for
inadequate business systems.5
* State issued guidance in October 2011 describing a process for drafting a determination
memorandum each time the potential need to suspend or debar a contractor arises,
including for those cases in which no action against the contractor is ultimately
recommended. This guidance aligns with a CWC recommendation to strengthen
enforcement tools by requiring a written rationale for not pursuing a proposed suspension
and debarment.6
* USAID issued guidance in January 2012 that requires sustainability analysis for all projects
and developed a tool that contains questions, issues, and examples to help USAID project
design teams think through project sustainability objectives and maximize sustainable
outcomes. This guidance aligns with a CWC recommendation related to project
sustainability (i.e., ensuring that host nations will be able to operate and maintain U.S.-
funded projects on their own).7
The following are examples of instances in which DOD, State, and USAID reported not having
taken or planned actions that directly align with specific CWC recommendations:
* The three agencies generally have not and do not plan to elevate the positions and expand
the authority of officials responsible for contingency contracting as recommended by the
CWC. Officials from DOD, State, and USAID explained that they regard existing
organizational structures as meeting the recommendations' intent. For example, DOD
officials stated that the CWC's recommendation to create a new directorate for contingency
contracting is not needed because DOD already has a significant amount of senior
leadership involvement and support for operational contract support. Similarly, State officials
stated that there were no plans to establish a separate bureau led by an Assistant Secretary
for Acquisition as recommended by the CWC because their current organizational structure,
in which contingency contracting is overseen by the Assistant Secretary for Administration in
coordination with the Under Secretary for Management, is sufficient to meet the
department's needs. USAID officials stated that there were no plans to make the chief
acquisition officer position a non-career appointment as recommended because they believe
that having a career foreign service officer in that role provides the necessary knowledge of
the agency's unique mission and acquisition needs.
* None of the three agencies agree with the recommendation requiring performance
incentives and performance assessments as tools for preventing human trafficking by
contractors. Officials from each agency explained that contractors should not need
incentives to comply with anti-trafficking laws and other ongoing initiatives, such as training
for contract administration personnel, were better tools to help combat human trafficking.
In enclosure I, we list the 51 CWC recommendations and describe and categorize DOD's,
State's, and USAI D's specific efforts to address each applicable recommendation as either
(1) "actions taken or planned that directly align with the specific recommendation" or (2) "no
actions taken or planned that directly align with the specific recommendation." We also
5DFARS; Business Systems-Definition and Administration (Case 2009-D038). 77 Fed. Reg. 11,355 (Feb. 24, 2012).
6Department of State Office of the Procurement Executive, Procurement Information Bulletin 2012-01, Contractor
Suspension and Debarment, October 3, 2011.
7USAID Automated Directives System Section 200.3.1.5, Policy Directives and Required Procedures, Build in
Sustainability from the Start (Feb. 10. 2012).

GAO-12-854R Contingency Contracting

Page 4