OIG Dings NASA on Award Fee Contracts

NASA OIG: NASA's Use of Award Fee Contracts

"The Office of Inspector General (OIG) found that shortcomings with NASA's award fee practices, including use of overly complex formulas to calculate the fees and a clause designed to hold contractors accountable for the quality of the final product that disregards interim performance evaluations, have diminished the effectiveness of NASA's use of award-fee contracts. In 26 of the 45 contracts we reviewed, we found erroneous award-fee payments totaling $66.4 million. We found that these errors resulted from NASA policy requiring the use of complex mathematical formulas to calculate interim and provisional payments. Although NASA has the opportunity to fix these errors as part of the final award-fee calculation, these funds are not available for NASA's use until corrected."

  • submit to reddit


Kepler Communications - Aether
Baen Books - The Spacetime War by Les Johnson

Join our mailing list

Commercialization: Monthly Archives

Monthly Archives

About this Entry

This page contains a single entry by Keith Cowing published on November 19, 2013 10:43 AM.

Killing ISS: A Stupid Idea That Might Just Happen was the previous entry in this blog.

Stealth NASA ISS Twitter Event Tonight is the next entry in this blog.

Find recent content on the main index or look in the archives to find all content.