Audit of the DoD’s Oversight of Cost-Plus-Award-Fee Contracts

Date Issued

Wednesday, February 14, 2024

Submitting OIG

Department of Defense OIG

Other Participating OIGs

Department of Defense OIG

Agencies Reviewed/Investigated

Department of Defense

Report Number

DODIG-2024-055

Report Type

Audit

Agency Wide

Yes

Number of Recommendations

Questioned Costs

$1,059,469

Funds for Better Use

Open Recommendations

This report has 4 open recommendations.

Recommendation Number	Significant Recommendation	Recommended Questioned Costs	Recommended Funds for Better Use
D-2024-0055-D000AT-0002-0001.B1a	No	$0	$0
Rec. B.1.a: The DoD OIG recommended that the Assistant Secretary of the Army (Acquisition, Logistics, and Technology) implement controls sufficient to ensure that contracting officials are following Federal and DoD requirements related to administration and management of cost-plus-award-fee contracts.
D-2024-0055-D000AT-0002-0001.B1b	No	$0	$0
Rec. B.1.b: The DoD OIG recommended that the Assistant Secretary of the Navy (Research, Development, and Acquisition) implement controls sufficient to ensure that contracting officials are following Federal and DoD requirements related to administration and management of cost-plus-award-fee contracts.
D-2024-0055-D000AT-0003-0001.C1a	No	$0	$0
Rec. C.1.a: The DoD OIG recommended that the Defense Pricing and Contracting Principal Director, in coordination with the Military Departments and Defense agencies, establish and implement a solution to accurately capture all relevant cost-plus-award-fee data.
D-2024-0055-D000AT-0003-0001.C1b	No	$0	$0
Rec. C.1.b: The DoD OIG recommended that the Defense Pricing and Contracting Principal Director, in coordination with the Military Departments and Defense agencies, evaluate the effectiveness of the award fees paid.