1 Appointed April 4, 1971 to succeed Paul A. Barron who became Special Assistant to the Chairman. Robert F. Allnutt Gloria M. Rosenblum Paul R. Shlemon Thomas F. Williamson REPORT OF THE COMMISSION ON GOVERNMENT PROCUREMENT Volume 1 Part A-General Procurement Considerations Volume 2 Part B-Acquisition of Research and Development Part C-Acquisition of Major Systems Volume 3 Part D-Acquisition of Commercial Products Part E-Acquisition of Construction and Architect-Engineer Services Part F-Federal Grant-Type Assistance Programs Volume 4 Part G-Legal and Administrative Remedies Part H-Selected Issues of Liability: Government Property and Catastrophic Accidents Part I-Patents, Technical Data, and Copyrights Part J-Other Statutory Considerations FOREWORD The Commission on Government Procurement was created by Public Law 91-1291 in November 1969 to study and recommend to Congress methods "to promote the economy, efficiency, and effectiveness" of procurement by the executive branch of the Federal Government. The appointment of all commissioners and the assembling of the principal staff was completed some eight months later. 2 The study was proposed in 1966, and preliminary hearings were held by the 89th and 90th Congresses. The bill that led to Public Law 91-129 was introduced in the 91st Congress by Representative Chet Holifield on January 3, 1969, and hearings were held in the spring and summer. Testimony from more than 100 witnesses filled ten volumes of hearings on the House bill and a companion bill introduced by Senator Henry M. Jackson. A commission, with membership from the legislative and executive branches and from the public, was adopted as the study mechanism. The statute provided for a bipartisan, 12-member body. Two members of the House of Representatives and a public member were appointed by the Speaker of the House; two members of the Senate and a public member were appointed by the President of the Senate. Two members of the executive branch and three public members were appointed by the President of the United States. The Comptroller General of the United States was designated a member by the statute. The commissioners elected public member Perkins McGuire as chairman and Representative Chet Holifield as vice-chairman. The Com 1 For text of Public Law 91-129, as extended by Public Law 92-47, see Appendix A. H.R. 474, 91st Cong., reported out of committee Aug. 12, 1969 (H. Rept. 91-468); a companion bill, S. 1707, reported out of committee Sept. 24, 1969 (S. Rept. 91-427). Conference Report (H. Rept. 91-613), Nov. 12, 1969. Other 91st Cong. House bills: H.R. 9339; H.R. 10070; H.R. 13286. Earlier House bills in the 90th Cong. include H.R. 157, H.R. 2541, H.R. 4324, H.R. 7565, and H.R. 8785. Also a clean bill, H.R. 12510, was reported out of committee on Nov. 6, 1967 (H. Rept. 890). See also H. Rept. 1344, 89th Cong., Mar. 23, 1966, discussing the need for a comprehensive study. 3 mission appointed an executive committee to assist and advise the chairman and vice-chairman in the management of the study operations. A staff of about 50 professional members was employed by the Commission to conduct day-to-day study operations and direct the study effort. The collection and analysis of massive amounts of materials required help and advice of Government, industry, and the academic community. In all, the services of almost 500 persons were loaned to the Commission on a full- or part-time basis; some for periods exceeding a year. Details on the fields of inquiry and membership of the Study Groups are presented in Appendix B. In the first phase of the s.dy, more than 400 problems and issues were identified and divided among 13 study groups and several special teams. The study was organized to provide in-depth coverage of the procurement process in three ways: (1) the environment in which procurement occurs (for example, Federal organizations and personnel and the numerous authorities and controls under which they operate); (2) the sequence of procurement events (for example, precontract planning, pricing and negotiation, selection and award, and contract administration and audit); and (3) types of procurement (for example, research and development, major systems, commercial products, and construction). The Commission and its participants reviewed thousands of pages of procurement reports, congressional testimony, documents, comments, and opinions; consulted approximately 12,000 persons engaged in procurement; held more than 2,000 meetings at 1,000 Government, industry, and academic facilities, including 36 public meetings attended by over • Chairman McGuire, Vice-Chairman Representative Holifield, Comptroller General Elmer Staats, Senator Edward Gurney, and Under Secretary of the Navy Frank Sanders. vii 1,000 persons in 18 cities (see Appendix B); and received responses to questionnaires from nearly 60,000 individuals and many organizations. Government agencies, suppliers, and trade and professional associations all made significant contributions to the program. Each study group was instructed to provide the Commission with recommendations for improving the procurement process and to support its recommendations with the most relevant, timely, and comprehensive information possible. The products of more than a year's intensive work by the study groups were presented to the Commission in reports totaling more than 15,000 pages.* At intervals during its work and at the conclusion of its effort, each study group made detailed presentations to the Commission. These presentations and the reports prepared by the groups served as working tools for the Commission. Overall, the work of the study groups served this purpose well and provided valuable basic information and differing viewpoints for Commission deliberations. The study effort was designed with some overlap in order to explore different viewpoints; some of the study groups reached different conclusions about the same subject matter. In some cases, the study group reports contain recommendations for improvement that the Commission has not included in its report. A number of these pertain to details of procurement procedures that merit consideration Copies of the Study Group reports will be filed with both the House and Senate Committees on Government Operations; and, after Feb. 15, 1973, reference copies will be available in the Commission's Library; interested persons may contact the Federal Supply Service, General Services Administration (GSA), Washington, D.C. 20406 for information regarding location and hours. by individual agencies; some were not considered appropriate for other reasons. The Commissioners held more than 50 days of formal meetings, in addition to participating on an individual basis with the staff and study groups. Commission studies focused on the process as a whole rather than on individual procurement decisions or transactions. Where undesirable or salutary practices and results were observed, the Commission inquired into the process to see what could be learned for the future. The extensive study just described resulted in 149 recommendations for improving Government procurement. These recommendations are presented in a Commission report consisting of ten parts packaged in four volumes (see page v). While each Commissioner does not necessarily agree with every aspect of this report, the Commission as a whole is in agreement with the general thrust of the discussion and recommendations, except where noted. Exceptions of individual Commissioners are identified in the text as "dissenting positions." The Commission is acutely aware of the responsibility it bears for a study of this magnitude, with recommendations that will affect tens of thousands of people and the expenditure of billions of dollars. Hopefully, this report will be received by the public and by the procurement community with the earnestness of purpose with which it was prepared, and any resulting dialogue will be directed toward constructive efforts to improve the procurement process. See Appendix H for a list of recommendations in Parts A-J. |