Contract Management: DOD's Use of Recovery Auditing
NSIAD-00-134
Published: Jun 05, 2000. Publicly Released: Jul 06, 2000.
Skip to Highlights
Highlights
Pursuant to a congressional request, GAO provided information on the Department of Defense's (DOD) use of recovery auditing, a process that identifies and collects overpayments made to vendors, focusing on DOD's: (1) progress in recovering overpayments and the reasons for any delays; and (2) use of recovery auditing.
Recommendations
Recommendations for Executive Action
Agency Affected | Recommendation | Status Sort descending |
---|---|---|
Department of Defense | To minimize disagreements between DOD and vendors in the future, after the Armed Services Board of Contract Appeals rules on the appeals, the Secretary of Defense should examine the need to clarify price warranty provisions in its contracts. |
Contracts using price warranty provisions were transferred from the Supply Center to the Defense Commissary Agency. The Defense Commissary Agency held discussion with industry representatives and developed a new warranty clause. The new clause has been in use since January 2002.
|
Full Report
Office of Public Affairs
Topics
Contract oversightContractor paymentsDefense auditsDepartment of Defense contractorsInternal controlsOverpaymentsAppealsArmed ServicesWorking capital fundInternational relations