The Navy's Space and Naval Warfare Systems Command (SPAWAR) has some problems with its contract administration.
A Department of Defense Inspector General audit examined 20 task orders from multiple-award C4ISR contracts. Auditors found that SPAWAR "generally provided a fair opportunity to compete, supported price reasonableness determinations, and performed surveillance for the global installation nonstatistically selected contracts and task orders. Officials also generally awarded and managed the task orders in accordance with regulations."
However, the audit uncovered various issues, including failure to verify that contractor employees had proper certifications. "Officials relied on contractor statements and subsequent COR [contracting officer's representatives] spot checks," investigators found.
Nor did SPAWAR contracting officers close out task orders as quickly as they should have. That was because officials did not always receive contractor's completion reports, internal performance reviews, and funding reports.
"As a result, SPAWAR officials increased cost and performance risk on the contract and may delay the return of funds that could be put to better use by not closing out the task orders in a timely manner," the report states.
