GAO finds DOD contract errors in more services

The Defense Department's contracting troubles are not limited to the General Services Administration's Federal Technology and Federal Supply services. A recent Government Accountability Office report found DOD used the Interior and Treasury departments' interagency procurement services'GovWorks and FedSource'and overpaid or watched as contracts were awarded with little or no competition.

Auditors reviewed 17 DOD projects worth about $249 million and found Defense did not always get 'the full benefits of competitive procedures,' and Interior and Treasury did not 'ensure fair and reasonable prices and may have missed opportunities to achieve savings on millions of dollars in purchases.'

DOD, which bought more than $1.2 billion worth of goods and services from GovWorks and FedSource in fiscal 2004, also did not perform contracting analyses to determine whether using GovWorks and FedSource made the most sense.

Auditors also found DOD, GovWorks and FedSource failed to follow proper, sound contracting practices.

To read the GAO report, go to and enter 477 in the

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