Defense Contracting: DOD's Use of Class Justifications for Sole-Source Contracts

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Correspondence issued by the Government Accountability Office with an abstract that begins "The Department of Defense (DOD) class justifications included in GAO's sample were used primarily for the acquisition of weapon systems or related subsystems and components. About 77 percent covered specific weapon system development, production, sustainment, or modernization efforts; about 14 percent covered logistics support of multiple weapon systems or training systems; and the remaining 9 percent covered other requirements. Because weapon systems are typically used for many years, DOD officials told GAO class justifications provided an administrative efficiency by allowing one justification for multiple contracts that would essentially ... continued below

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United States. Government Accountability Office. April 16, 2014.

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Description

Correspondence issued by the Government Accountability Office with an abstract that begins "The Department of Defense (DOD) class justifications included in GAO's sample were used primarily for the acquisition of weapon systems or related subsystems and components. About 77 percent covered specific weapon system development, production, sustainment, or modernization efforts; about 14 percent covered logistics support of multiple weapon systems or training systems; and the remaining 9 percent covered other requirements. Because weapon systems are typically used for many years, DOD officials told GAO class justifications provided an administrative efficiency by allowing one justification for multiple contracts that would essentially require the same justification. Most of the class justifications in GAO's sample had a total value of over $85.5 million and required approval at the highest level--the senior procurement executive of the DOD component. About 90 percent of the class justifications in GAO's sample cited only one responsible source to meet the requirements, generally because the contractor's ownership of proprietary technical data or expertise prevented the ability to compete the contract. The class justifications GAO reviewed generally cited the publication of notices of proposed contract actions on the Federal Business Opportunities website or market research to identify other qualified sources, neither of which identified other contractors that could meet the requirements. About 17 percent of the class justifications identified plans to compete future requirements. For example, three cited plans to acquire technical data to enable future competition and two cited efforts to break out some portion of the requirement for competition."

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Government Accountability Office Reports

The U.S. Government Accountability Office (GAO) is an independent, nonpartisan agency that works for the U.S. Congress investigating how the federal government spends taxpayers' money. Its goal is to increase accountability and improve the performance of the federal government. The Government Accountability Office Reports Collection consists of over 13,000 documents on a variety of topics ranging from fiscal issues to international affairs.

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  • April 16, 2014

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  • June 12, 2014, 7:50 p.m.

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United States. Government Accountability Office. Defense Contracting: DOD's Use of Class Justifications for Sole-Source Contracts, text, April 16, 2014; Washington D.C.. (digital.library.unt.edu/ark:/67531/metadc302763/: accessed December 12, 2018), University of North Texas Libraries, Digital Library, digital.library.unt.edu; crediting UNT Libraries Government Documents Department.