IG Finds GSA Interference in Contract Negotiations

June 5, 2013

General Services Administration managers strong-armed their own contracting officials during negotiations with three large technology contractors, ultimately forcing the agency to pay higher prices while demoralizing acquisition staff, according to a watchdog report.

The GSA Office of Inspector General found in a report released Tuesday that the companies — Oracle, Carahsoft and Deloitte — all complained to GSA management in 2011 about contracting officials raising concerns about their contracts.

But instead of backing their own contracting officers, GSA managers — whom the IG report did not identify — took the side of contractors, resulting in questionable pricing, terms and conditions, according to the report.

Overall, the three companies held contracts worth about $900 million.

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