Improvements Could Be Made in FAA’s Award and Oversight of SE2020 Acquisition Program Task Orders

The Federal Aviation Administration’s (FAA) Next Generation Air Transportation System (NextGen) is a multibillion-dollar system intended to modernize the Nation’s air traffic system. To support NextGen and non-NextGen initiatives, FAA awarded seven multiple-award contracts under the Systems Engineering 2020 (SE2020) portfolio. In this follow-up report to the Office of Inspector General's (OIG's) 2012 audit of SE2020, the OIG assessed whether the FAA’s actions for (1) awarding task orders and (2) overseeing the SE2020 acquisition program were sufficient to meet its program mission. OIG found that FAA’s insufficient policies and guidance for awarding SE2020 task orders hindered the Agency’s efforts to fully achieve its mission. First, FAA awarded program management task orders and used high assessment fees to fund them—up to 10 percent—from January 2012 to September 2015. Second, while FAA has increased competition for new task orders, it has experienced challenges in competing follow-on task orders and has not updated its SE2020 program office’s task order award standard operating procedure to reflect its emphasis on competition. As a result of these weaknesses, the SE2020 contract did not achieve its level of expected use. Originally FAA estimated SE2020 would provide $7.1 billion in support services, but the Agency has since lowered its estimate to $1.2 billion. FAA’s ineffective oversight and management of SE2020 limited its ability to achieve program goals. For example, FAA’s SE2020’s payment processes lacked sufficient oversight, causing delays in making invoice payments and recouping overpayments. Furthermore, the SE2020 program office lacks effective and up-to-date program management plans and a strong oversight framework and guidance for managing large multiple-award contracts. This lack of specific policy to manage multiple-award contracts such as the SE2020 program hinders FAA’s ability to provide effective oversight that ensures such contracts meet their intended goals. OIG made 11 recommendations to the Federal Aviation Administrator to improve FAA's award, management, and oversight of the SE2020 program and other multiple-award contract vehicles. FAA concurred with OIG's recommendations.


  • English

Media Info

  • Media Type: Digital/other
  • Features: Appendices; Figures; References; Tables;
  • Pagination: 38p

Subject/Index Terms

Filing Info

  • Accession Number: 01666302
  • Record Type: Publication
  • Report/Paper Numbers: ZA2018029
  • Files: TRIS, ATRI, USDOT
  • Created Date: Mar 13 2018 4:26PM