The FAA’s contracting practices need to be improved to effectively manage its systems engineering 2020 contracts, Transportation’s IG has said.
SE-2020 is a portfolio of contracts that FAA uses for professional and technical services to support NextGen development and implementation; the agency awarded seven of them in 2010 valued $7.3 billion.
However, unclear FAA acquisition management system requirements have resulted in unreliable cost baselines and overstated contract values, which impedes FAA’s ability to manage total contract costs, according to the report, ZA-2012-082.
It also said the agency’s practices to select contractors to oversee their performance are not sufficient, but that the agency has undertaken actions to address issues identified in the audit.