Accession Number : ADA338244

Title :   Defense Outsourcing: Better Data Needed to Support Overhead Rates for A-76 Studies.

Corporate Author : GENERAL ACCOUNTING OFFICE WASHINGTON DC NATIONAL SECURITY AND INTERNATIONAL AFFAIRS DIV

PDF Url : ADA338244

Report Date : FEB 1998

Pagination or Media Count : 33

Abstract : The Office of Management and Budget's (OMB) Circular A-76 and its supplemental handbook provide policy guidance and implementation procedures for government agencies to use in deciding whether to contract out for commercial goods, services, and activities. As you requested, we examined three provisions associated with a March 1996 revision to the k76 supplemental handbook. Specifically, this report addresses (1) what is the basis for OMB's new requirement that a standardized 12-percent overhead rate be applied to in-house cost estimates, regardless of the type of commercial activity or where in the country the activity is to be performed; (2) whether the Department of Defense (DoD) has developed a separate overhead rate for military personnel and, if so, the basis for that rate; and (3) how "best value" criteria are expected to be used in A-76 competitions. Because your interest focused on A-76 competitions within DOD, we focused our attention there, while gathering some data from other agencies.

Descriptors :   *DEPARTMENT OF DEFENSE, *COMMERCE, *CONTRACTS, REQUIREMENTS, MILITARY PERSONNEL, POLICIES, MATERIALS, COST ESTIMATES, BUDGETS, HANDBOOKS.

Subject Categories : Administration and Management
      Economics and Cost Analysis

Distribution Statement : APPROVED FOR PUBLIC RELEASE