The post-award costs of contracting out: the U.S. Navy's implementation of OMB Circular A-76

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Authors
Cole, Nancy Sage
Cole, Charles Pegram, Jr.
Subjects
OMB Circular A-76
Commercial activities (CA)
Contracting out
Privatization
Advisors
Carrick, Paul M.
Date of Issue
1988-06
Date
June 1988
Publisher
Monterey, California. Naval Postgraduate School
Language
en_US
Abstract
The Commercial Activities program as delineated by OMB Circular A-76 has been controversial since its inception. One area of continuing controversy is the accuracy of pre-award cost estimates for estimating post-award program savings in operations that are contracted out. This thesis examines the post-award result of contracting out and identifies those costs that are either underestimated or not accounted for in the cost comparison process. Research was conducted on 14 West Coast activities that contracted out a food service operation, storage and warehousing operation, or both under a multi-function contract. The issues identified by the study include: the need for post-award guidance and policy, the need for increased claimant guidance at the field level, the absence of an adequate cost accounting system and post-award program controls, the need for increased contract administration staffing, a problem with budget flexibility at activities that have contracted out and continuing problems with performance definition.
Type
Thesis
Description
Series/Report No
Department
Administrative Sciences
Organization
Naval Postgraduate School (U.S.)
Identifiers
NPS Report Number
Sponsors
Funder
Format
Citation
Distribution Statement
Approved for public release; distribution is unlimited.
Rights
This publication is a work of the U.S. Government as defined in Title 17, United States Code, Section 101. Copyright protection is not available for this work in the United States.
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