Commission on Wartime Contracting

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Hearing November 2, 2009

Counting Contractors, Managing the Drawdown, and DCMA/DCAA Cooperation

The Nov. 2, 2009, hearing of the Commission on Wartime Contracting examined three issues bearing on contractor accountability: the lack of an accurate count of contractor employees, the adequacy of contract oversight during the drawdown of U.S. in Iraq, and coordination of two key Defense Department agencies that manage and audit contracts.

During the first session of the hearing, Counting Contractors, the Commission received testimony from witnesses representing the Department of Defense, U.S. Central Command, and the Government Accountability Office (GAO) to examine the long-standing lack of a single, accurate picture of contractor support for U.S. operations in Iraq and Afghanistan.

The second session, Managing the Iraq Drawdown, focused on the role of contractors in supporting the Iraq drawdown and whether the numbers of contractor personnel are declining in step with the reduction of U.S. military strength and base closures. Witnesses for this session included GAO, the Joint Staff from the Pentagon, and the LOGCAP Program Office that oversees the multi-billion-dollar logistics contract supporting U.S. operations in Iraq and Afghanistan.

During the third session, Improving DoD Contract Management/ Audit Cooperation, Commissioners asked what progress the Defense Contract Management Agency and the Defense Contract Audit Agency have made in devising a plan to improve the government’s oversight of contractor business systems and internal controls. A Commission hearing in August on contractor business systems revealed significant differences between DCMA’s and DCAA’s evaluations of contractor systems for cost estimating, labor billing, purchases, and other functions, and showed that DCMA frequently took no action on DCAA findings and often failed to ensure that contractors took corrective actions.

The hearing ran from 9:30 a.m. to 3 p.m. in Room 216 of the Hart Senate Office Building.




Novemeber 2 2009 hearing Panel 1 Panel 2 Panel 3
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