Audit of Sole-Source Depot Maintenance Contracts

Date Issued

Thursday, July 21, 2022

Submitting OIG

Department of Defense OIG

Other Participating OIGs

Department of Defense OIG

Agencies Reviewed/Investigated

Department of Defense

Components

United States Navy (USN)

United States Army (USA)

United States Air Force (USAF)

Under Secretary of Defense for Acquisition and Sustainment

Missile Defense Agency (MDA)

Defense Contract Management Agency (DCMA)

Report Number

DODIG-2022-104

Report Type

Audit

Agency Wide

Yes

Number of Recommendations

Questioned Costs

$919,613

Funds for Better Use

$919,613

Open Recommendations

This report has 3 open recommendations.

Recommendation Number	Significant Recommendation	Recommended Questioned Costs	Recommended Funds for Better Use
D-2022-0104-D000AH-0001-0001.A1b	No	$919,613	$0
(U) Rec. A.1.b: The DoD OIG recommended that the Commander of the Naval Supply Systems Command require the contracting officer for contract N00383-17-D-BA01 to reconcile and recover the cost of Government-furnished material that should have been applied to two delivery orders, valued at $919,613.44.
D-2022-0104-D000AH-0001-0001.A1a	No	$0	$0
(U) Rec. A.1.a: The DoD OIG recommended that the Commander of the Naval Supply Systems Command require the contracting officials responsible for contract N00383-19-D-V001 to work with the program office to review the process for procuring long-lead materials and identify alternative options for procuring long lead materials, as appropriate.
D-2022-0104-D000AH-0002-0001.B1a	No	$0	$0
(U) Rec. B.1.a: The DoD OIG recommended that the Commander of the Naval Sea Systems Command and the Commander of the Navy Regional Maintenance Center collaborate with major defense ship contractors to identify potential initiatives to increase the number of contractor-owned dry docks.