Management of the General Reserve of Industrial Plant Equipment

摘要

The Defense Industrial Reserve Act authorized a general reserve of industrial plant equipment to be maintained in ready-for-issue condition for national emergencies. The reserve is managed by the Defense Industrial Plant Equipment Center, Memphis, Tennessee, and consists of 11,883 items with an acquisition value of $263,429,989. As of December 8, 1992, 56 percent of this equipment was in storage and 44 percent was on loan. Our objectives were to evaluate the management of the general reserve of industrial plant equipment related to the disposal of excess equipment and to determine the effectiveness of applicable internal controls.