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 <subject>Irregular procurement</subject>
 <subject>Employment discrimination</subject>
 <subject>Inspectors general</subject>
 <subject>Racial discrimination</subject>
 <subject>Qualified bidders list</subject>
 <subject>Noncompliance</subject>
 <subject>Fair employment programs</subject>
 <identifier>Commerce Business Daily</identifier>
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 <title>HUD EEO Investigation: Contracting and Process</title>
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<abstract>Pursuant to a congressional request, GAO examined the complaint alleging
that the Department of Housing and Urban Development&apos;s (HUD) Inspector
General (IG), Susan Gaffney, had discriminated against the Deputy
Assistant Inspector General for Investigations because of his race,
focusing on whether: (1) HUD had awarded contracts concerning the Equal
Employment Opportunity (EEO) complaint to outside firms in accordance
with applicable government standards; and (2) HUD&apos;s actions were
justified when it deviated from its standard EEO process by contracting
with firms not on the General Services Administration&apos;s (GSA) schedule
of contractors.&lt;p/&gt;GAO noted that: (1) HUD&apos;s awarding of contracts to two law firms to
investigate the Deputy Assistant IG&apos;s EEO complaint deviated from HUD&apos;s
standard EEO investigation process and did not comply with the
requirements of the Federal Acquisition Regulation (FAR); (2) from
February 12, 1998, to August 5, 1998, HUD followed its standard EEO
process of reviewing the complainant&apos;s allegation for acceptance,
contracting with a GSA-schedule firm to investigate the accepted
allegations and conducting the investigation; (3) on August 5, 1998,
however, HUD officials put the investigation on hold; (4) HUD deviated
from its normal EEO process and requested proposals from a limited
number of non-GSA-schedule firms to conduct this same investigation; (5)
HUD violated the FAR when it failed to synopsize this requirement in the
Commerce Business Daily and inappropriately limited the competition to
seven firms; (6) HUD awarded contracts to two law firms on August 26,
1998; (7) its last-minute amendment to the request for quotations to
accommodate a joint proposal from the two firms and other actions by HUD
officials contributed to an appearance that HUD manipulated the
procurement process in order to direct the contract awards to the firms;
(8) Howard Glaser, then Deputy General Counsel for Programs and
Regulations, took the lead in suspending the GSA-schedule firm&apos;s
investigation and contracting with the non-GSA-schedule firms; (9) his
actions included compiling the list of potential contractors, contacting
the Deputy Assistant IG&apos;s counsel to request an extension of time to
complete the investigation, evaluating the proposals, reviewing the
investigative plan, and consulting with firms during the investigation;
(10) HUD officials told GAO that they deviated from the standard EEO
process for a number of reasons, including their perception of an
environment of pervasive racial discrimination in the Office of the
Inspector General and the high rank and unique positions of both the
Deputy Assistant IG and IG Gaffney; (11) the justifications HUD provided
for deviating from its usual EEO process were largely subjective and
therefore difficult to assess; (12) however, information GAO found
substantially contradicts several factors cited as justifications for
HUD&apos;s deviation; and (13) certain HUD officials served to impede GAO&apos;s
investigation.</abstract>
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<note>Letter Report</note>
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<subject>
 <topic>Irregular procurement</topic>
 <topic>Employment discrimination</topic>
 <topic>Inspectors general</topic>
 <topic>Racial discrimination</topic>
 <topic>Qualified bidders list</topic>
 <topic>Noncompliance</topic>
 <topic>Fair employment programs</topic>
 <topic>Commerce Business Daily</topic>
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<relatedItem type="isReferencedBy">
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  <title>United States Code</title>
  <partNumber>Title 10 Section 2304</partNumber>
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 <identifier type="USC citation">10 U.S.C. 2304</identifier>
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  <title>United States Code</title>
  <partNumber>Title 41 Section 253</partNumber>
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 <identifier type="USC citation">41 U.S.C. 253</identifier>
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  <title>United States Code</title>
  <partNumber>Title 42 Section 2000e</partNumber>
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 <identifier type="USC citation">42 U.S.C. 2000e</identifier>
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<relatedItem type="isReferencedBy">
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  <title>United States Statutes at Large</title>
  <partNumber>Volume 108 Page 3243</partNumber>
</titleInfo>
 <identifier type="Statute citation">108 Stat. 3243</identifier>
</relatedItem>
<relatedItem type="isReferencedBy">
 <titleInfo>
  <title>United States Public Law 355 (103rd Congress)</title>
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 <identifier type="public law citation">Public Law 103-355</identifier>
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