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<classification authority="sudocs">GA 1.13:NSIAD-96-161</classification>
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 <subject>Privatization</subject>
 <subject>Defense procurement</subject>
 <subject>Cost effectiveness analysis</subject>
 <subject>Equipment maintenance</subject>
 <subject>Defense cost control</subject>
 <subject>Competition limitation</subject>
 <subject>Military downsizing</subject>
 <subject>Defense contracts</subject>
 <subject>Combat readiness</subject>
 <subject>Maintenance services contracts</subject>
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<titleInfo>
 <title>Defense Depot Maintenance: Commission on Roles and Mission&apos;s Privatization Assumptions are Questionable</title>
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<abstract>Pursuant to a congressional request, GAO examined the Commission on
Roles and Missions&apos; (CORM) privatization assumptions to determine
whether privatization would adversely affect military readiness and
sustainability.&lt;p/&gt;GAO found that: (1) the privatization of all depot maintenance
activities would result in unacceptable readiness and sustainability
risks; (2) it is difficult to determine whether the Department of
Defense&apos;s (DOD) privatization efforts will create more opportunities for
outsourcing to the private sector; (3) most depot workloads contracted
to the private sector are awarded noncompetitively; (4) the lack of
competitive private sector markets could negate expected privatization
savings; (5) CORM privatization assumptions do not reflect the cost of
excess space in public depots; (6) privatizing depots without reducing
their excess capacity could reduce depot efficiency and increase costs;
(7) CORM data does not support estimated depot privatization savings;
(8) public depots provide greater flexibility than private depots; (9)
the DOD risk assessment methodology does not include guidance for
assessing depot maintenance levels; (10) the services are reassessing
the effects of privatizing their core workloads; and (11) public-private
competitions have resulted in some measurable savings and afforded DOD a
cost-effective method of determining workload allocations.</abstract>
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<note>Letter Report</note>
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<subject>
 <topic>Privatization</topic>
 <topic>Defense procurement</topic>
 <topic>Cost effectiveness analysis</topic>
 <topic>Equipment maintenance</topic>
 <topic>Defense cost control</topic>
 <topic>Competition limitation</topic>
 <topic>Military downsizing</topic>
 <topic>Defense contracts</topic>
 <topic>Combat readiness</topic>
 <topic>Maintenance services contracts</topic>
 <topic>Navy Commercial Activities Program</topic>
 <topic>F-14 Aircraft</topic>
 <topic>Kiowa Helicopter</topic>
</subject>
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  <title>United States Code</title>
  <partNumber>Title 10 Section 2466</partNumber>
  <partNumber>Title 10 Section 2469</partNumber>
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 <identifier type="USC citation">10 U.S.C. 2466</identifier>
 <identifier type="USC citation">10 U.S.C. 2469</identifier>
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 <titleInfo>
  <title>United States Public Law 473 (98th Congress)</title>
</titleInfo>
 <identifier type="public law citation">Public Law 98-473</identifier>
</relatedItem>
<relatedItem type="isReferencedBy">
 <titleInfo>
  <title>United States Public Law 510 (101st Congress)</title>
</titleInfo>
 <identifier type="public law citation">Public Law 101-510</identifier>
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