An analysis of navy construction contract change order audits.
Leidholt, Deane Edward
Creighton, John W.
Tibbitts, Jonathan C.
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Paragraph 3-801 of the Armed Service Procurement Regulation requires that an advisory audit be performed for all one source negotiated procurement actions exceeding $100,000. This study examines the current usability of these advisory audits in the negotiation of Navy construction contract change orders. A survey was conducted to determine how audits are currently used and to solicit suggestions on how current procedures might be improved. Analysis of the response identified five recommendations for consideration by policy-making managers in the Navy construction contract administration organization. These . five recommendations are (1) to recognize different group backgrounds and experience levels in the formulation of audit guidance, (2) to prepare a comprehensive informational reference, (3) to implement audit training and education, (4) to increase contractor awareness of informational responsibilities, and (5) to require direct communication between contract administrators and auditors.