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OMB Increases Management Attention on Post Competition Accountability

OMB recently issued guidance to the President's Management Council (PMC) to review the steps required for the successful monitoring of management decisions made through the use of public-private competition. See OMB Memorandum to The PMC, Post Competition Accountability for Public-Private Competition, available at: /omb/procurement/comp_src/cs_validating_results.pdf

Effective post competition management and oversight will ensure agencies and our taxpayers receive the expected benefits from competition. It will also reinforce public trust and confidence in the competitive sourcing initiative.

OMB's guidance to the PMC calls for agencies to:

  • Compare actual costs incurred and performance to projected costs and performance standards, identify variances, and ensure corrective actions are taken by the appropriate officials, as necessary, in a timely manner.
  • Conduct management reviews after each performance period stated in the solicitation.
  • Ensure management reviews are performed by individuals separate from those who document results and are responsible for day-to-day management administration of the contract, letter of obligation, or fee for service agreement.
  • Have plans in place to ensure the independent validation of a reasonable sampling of competitions. In selecting competitions for validation, agencies have been asked to consider factors such as the impact of the activity on the agency's operation, the projected savings for the agency, and the results of prior agency reviews.

A number of agencies have already entered into agreements with independent sources to assist with the evaluation of results.

The Chief Acquisition Officers Council is sponsoring an educational video on post competition accountability. The video, which will be completed later this year, will highlight best practices identified by a number of different agencies that have successfully managed the transition and completion of at least one full years' performance of a competition with significant projected savings. Sources used to validate results

AgencyIndependent Validation Source
DefenseThird-party contractor
EducationOffice of the Chief Financial Officer, Internal Control Evaluation Staff
EnergyOffice of Security and Safety Performance Assurance
Forest ServiceThird-party contractor
HHSThird-party contractor
InteriorOffice of Inspector General and Third-Party Contractor
LaborDOL Office of Competitive Sourcing and Third-Party Contractor
DOTCompetitive Sourcing Office
TreasuryOffices of Human Capital, Budget, Deputy Chief Financial Officer, Office of Competitive Sourcing, and Third-Party Contractor
OPMOffice of Inspector General
SSAOffice of Competitive Sourcing and Office of Acquisitions and Grants