Section 806 of the NDAA for Fiscal Year 2012 required DOD to develop a  strategy for improving contractor past performance information to include  standards for timeliness and completeness, assigning responsibility and  accountability for completing assessments, and ensuring assessments  are consistent with award fee evaluations. DOD’s Past Performance Strategy Relies on Workforce Training, Enhanced Oversight, and Existing Guidance

DOD’s strategy to improve reporting of contractor past performance  information and respond to section 806 of the NDAA for Fiscal Year 2012  is to provide training on past performance to acquisition officials, develop  tools and metrics to track compliance and enhance oversight, and  continue to rely on the CPARS Guide. Training on Past Performance Requirements

In order to improve compliance with past performance reporting  requirements and the quality of assessments, the CPARS program office  provides training opportunities and assessment tools for acquisition  officials. We did not assess the quality of assessment narratives in this  review. Tools and Metrics Allow for Increased Oversight

To increase management oversight of contractor performance  assessments, the CPARS program office in 2010, in conjunction with  OFPP, developed system tools and metrics within PPIRS to track  compliance with the reporting requirements. Officials at DOD components told us that having the ability to track  completion of required assessments through PPIRS has greatly improved  the ability to effectively oversee and manage compliance, and has also  improved accountability for completing assessments. Senior procurement executives at DOD  components have required reporting of actions taken by individual  contracting activities, set goals for compliance, and encouraged or  required training. DOD Increased the Number of Assessments Completed, but Still Faces Challenges in Completing Assessments on Time

PPIRS compliance metrics show the percentage of required assessments  completed increased from 56 percent in 2011 to 74 percent in 2013. In  addition, the number of assessments completed overall more than  doubled from 2010 to 2012. For  example, as of April 2013, more than half of federal agencies had no  required contractor assessments in PPIRS. DOD officials told us that department-wide acquisition workforce  shortages and turnover, as well as difficulty obtaining contractor  performance information remain as challenges to completing contractor  performance assessments on time. DOD is  currently working with the rest of the FAR Council to implement this  change. Agency Comments

We are not making recommendations in this report. We provided a draft  of this report to DOD and OFPP for their review and comment. DOD  informed us by email that it concurred with our findings and the  information presented in this report and would not be providing written  comments. OFPP informed us by email that the office  had no comments.
Why GAO Did This Study

DOD relies on contractors to perform a broad array of activities. Having complete, timely, and accurate information on contractor performance is critical so officials responsible for awarding new federal contracts can make informed decisions. Agencies are required to document contractor performance for contracts exceeding certain dollar thresholds.
In 2009, GAO found that contractor past performance information was incomplete, citing low priority and lack of system tools and metrics to track compliance. In 2011, the Office of Federal Procurement Policy (OFPP) reported that DOD assessments often lacked sufficiently detailed narratives. Section 806 of the NDAA for 2012 required DOD to develop a strategy to ensure that contractor performance assessments are complete, timely, and accurate. Section 806 also required GAO to report on DOD's actions and their effectiveness. GAO (1) identified actions taken by DOD to improve the quality and timeliness of past performance information and implement provisions of the act, and (2) assessed the effectiveness of those actions. GAO reviewed DOD policy and guidance, and interviewed DOD and OFPP officials. GAO also reviewed available data on compliance with reporting requirements from 2011-2013 and timeliness data for fiscal years 2010-2012. GAO did not independently assess the quality of assessment narratives.
GAO is not making any recommendations in this report. DOD concurred with GAO's findings and OFPP had no comments.

What GAO Found

The Department of Defense (DOD) strategy for improving the reporting of contractor past performance information consists of providing additional training to its acquisition workforce and developing tools and metrics to improve oversight. The number of personnel trained more than doubled since 2010 to more than 7,000, and DOD oversight officials now have the ability to track compliance with reporting requirements down to the level of individual contracting offices. DOD continues to utilize existing past performance guidance, which generally aligns with requirements specified in the National Defense Authorization Act (NDAA) for Fiscal Year 2012.
Compliance metrics show that the submission of required assessments has increased. Specifically, the percentage of required assessments submitted increased from 56 to 74 percent from October 2011 to April 2013. Officials at DOD said the ability to track completion of assessments has greatly improved oversight and accountability. Despite this progress, DOD faces challenges completing assessments on time.
DOD officials attribute the lack of timeliness to acquisition workforce shortages, turnover, and the difficulty in obtaining needed information. DOD is working with other agencies on a regulatory change, consistent with a requirement in the NDAA for 2012, that would reduce the time allowed for contractors to submit comments on draft assessments. This change should help officials submit final assessments on a more timely basis.