But in actually reading the DoD IG’s report, first reported by Tony Capaccio at Bloomberg and released in its entirety to POGO, it reveals that the DoD IG found “Pratt and Whitney’s unwillingness to provide requested sales data and cost data exploited the sole-source situation.” In lieu of providing commercial sales data to verify that the prices were actually comparable to commercial sales, the company provided a series of unknown redacted invoices and other information on a different engine’s sustainment services. Unable to make a decision about price reasonableness, senior Air Force and DoD leadership got involved and received a tentative agreement from Pratt & Whitney to provide the information. The fact that Pratt & Whitney didn’t provide the information, the DoD IG writes, “may cause one to question whether Pratt and Whitney acted in accordance with the FAR [Federal Acquisition Regulations] which requires DoD and its contractors to conduct business with integrity, fairness, and openness.”
DoD Cost Analysis is like Pin the Tail on the Donkey
H/T- Blacktail