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View from the Commission. Commission on Wartime Contracting in Iraq and Afghanistan Jeffrey Brand, Deputy Exec Director Col., USAF (Ret); www.wartimecontracting.gov 703.696.9362. Overview of the CWC. Created by Congress in 2008 (NDAA, Sec. 841).
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View from the Commission Commission on Wartime Contracting in Iraq and Afghanistan Jeffrey Brand, Deputy Exec Director Col., USAF (Ret); www.wartimecontracting.gov 703.696.9362
Overview of the CWC Created by Congress in 2008 (NDAA, Sec. 841). Mandate: study contingency contracting for logistics, security, reconstruction; waste, fraud, abuse; structures & processes; lessons learned. Recommend reforms in final report to Congress, summer 2011. Eight Commissioners (bipartisan balance); 50 professional staff. Four expert staff in Baghdad and Kabul field offices. 15 hearings to date, 520+ meetings and briefings. Interim Report, June 2009; plus Special Reports and letters. Early impacts: Triggered creation of Pentagon task force to review CWC Interim Report. Helped win 1-yr statutory fix for LPTA constraint on DoS security contracts. Prompted DCMA/DCAA coordination fix on business-system issues.
Contractor business systems • Intense research included numerous meetings with principals, CONUS/OCONUS trips, and data analysis • CWC business-systems hearing – 11 Aug 2009 • Government and contractor witnesses • Business systems accuracy: critical in a contingency environment • Issue was so urgent that CWC issued “Special Report #1” to Congress dated 21 Sept 2009: • “Defense agencies must improve their oversight of contractor business systems to reduce waste, fraud and abuse” • Focused on reducing waste, fraud and abuse • Found agency cooperation/coordination not effective
Follow-up to special report • Follow up hearing, 2 Nov 2009 • ‘Counting Contractors, Managing the Drawdown, and DCMA/DCAA Cooperation’ • OSD AT&L DPAP committed to internal-coordination process in 30 days, and to publishing guidance in 90 days • OSD AT&L memo dated 4 Dec 2009 • Resolving contract audit recommendations • Increase communication • Establish adjudication/review process • Contracting Officer is responsible
More follow-up • DFARs case: Proposed business-system rule • ID’d six systems as contractor business systems • Provides standards • Mandatory, 10% per deficient system (up to 50%) • Proposed FY 2011 NDAA has business-systems language • Significantly limits withholding aspect of DFARS proposal • Discretionary, 10 % maximum for all deficient systems
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