Navy Proposed Follow-On Research and Development Contract for Johns HopkinsUniversity Applied Physics Laboratory

摘要

The primary audit objective was to evaluate policies and procedures at the Spaceand Naval Warfare Systems Command for awarding and administering the Navy research and development contract with the Applied Physics Lab. We also reviewed applicable internal controls. This report covers only the portion of the objective concerning the proposed contract award and related internal controls. The portion of the objective concerning administration of the contract and the internal controls over contract award and administration will be discussed in a subsequent report. Audit Results. The Navy intends to award, without adequate justification for other than full and open competition, a 1-year task order contract with two 1-year options to the Applied Physics Lab. The task order structure of the proposed contract does not require task sponsors to seek competition for the individual task orders issued under the contract and causes management and control problems for contracting personnel and other oversight groups. Additionally, the use of the fee paid to the Applied Physics Lab has not been evaluated since 1962. As a result of the absence of competition and the absence of a recent evaluation of the fee paid to the Applied Physics Lab, the Navy may be paying more for the services procured from the Applied Physics Lab than necessary and may be denying other qualified contractors the opportunity to compete for the work awarded sole-source to the Applied Physics Lab.