I recently watched an amazing video of an F-16 fighter jet being flown without pilots. Watching this video helped me figure out what’s wrong with DCAA. This fighter jet flew and worked properly without a pilot. Unfortunately, DCAA HQ has been without pilots for quite some time but unlike the F-16 the audit agency can't do its job.
I learned recently that DCMA has started hiring auditors away from DCAA to perform, among other things, CAS disclosure statement reviews. DCMA says they don't need a GAGAS compliant audit to make a determination of adequacy. They only need enough information to make an assessment. And we in the peanut gallery agree. DCAA's answer? Hear those crickets chirping? Remember, there are no pilots to comment. Of course one of our other former DCAA Managers is right with his assessment after I informed him of this latest blow to DCAA’s credibility. DCAA Management probably wouldn't object. With the agency’s apparent single-minded goal of increased dollars audited with corresponding savings as evidenced in emphasized remarks in reports to Congress and other statements (i.e. $6.5 to $1 “ROI”), DCAA wouldn't mind getting rid of this apparent "non-value added" effort. Since they don't count towards dollars audited and they don’t contribute to cost questioned or ROI, why do them?
Another example of a dysfunctional pilotless organization is the latest mea-culpa from DCAA HQ. Issuing an MRD informing auditors of DCMA's recent FPRA policy change; 30 days after receipt of a contractor FPRP the ACO must issue an FPRR and within another 30 days enter into an FPRA. DCAA's answer? You would think the logical answer would be to find a way to speed up the audit process. But no, DCAA will continue its GAGAS audit and once complete if there are "significant" differences between DCAA recommended rates and the FPRA then DCAA will contact the ACO to discuss revising the FPRA. Riiiiight. The ACO, who now has his/her own former DCAA auditors performing price and cost analysis on the staff will not be inclined to reopen negotiations because of the very viable rate position developed in half the time of a DCAA audit (half time assumes DCAA can complete the audit in less than 120 days). And what about all of the pricing actions which used the FPRA or FPRR to negotiate a fair and reasonable price in the meantime (the months and months while DCAA attempts to complete an audit)?
Truly, some things can function without a pilot as evidenced by the F-16 video. But DCAA can't and is continuing its spiraling descent toward earth where it will finally auger in and most likely be absorbed into another agency.
