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Dec 01, 2009


Stephen W. Allen

The statement in App. C that DCMA can’t do financial capability analysis and determine financial condition and that this job should be delegated entirely to DCAA, indicates to me that there are still too many people in acquisition management who are unfamiliar or totally ignorant of the DCMA Financial Analysis Center's function and with our products. The FAC performs nearly all preaward financial capability analyses requested by DoD procurement commands, as well as many postaward financial reviews. Our analysts are among the most highly trained professionals within DCMA, attested to by the combined experience, length of service, knowledge and expertise of the 10 analysts doing this work. Every financial analyst has a background in cost/price analysis and/or auditing with at least 20+ years of experience. Within DCMA, the Financial Analysis Center has been performing financial reviews for nearly 4 years, including thousands of financial capability/condition evaluations for preaward surveys and most major DoD contractors. A significant share of the preaward financial evaluations result in NO AWARD recommendations and are based on the financial analysis and assessment of all available financial information relative to determining whether a prospective contractor is financially capable of assuming and successfully completing a U.S. Gov't. contract of the type and magnitude being considered. These determinations are not lightly made and are based on sound judgment and analysis of all the facts and data available at the time. Every report is submitted for careful supervisory screening and review prior to release. The FAC prides itself on its professionalism, timeliness and product quality. The FAC is committed to delivering an on-time quality report in response to the customer's requirements and will tailor the report to the exact specifications and needs of the customer to ensure those needs are met. The DCMA Financial Analysis Center's customers can expect and will receive complete satisfaction.

Don Phillips

The comment about the financial capability analysis by DCMA misstates the facts and exhibits a lack of understanding of the process. The contractor was very sound financially and the only problem with the contract/award was "product substitution" by the contractor. Any reasonable analyst that took the time to review the facts would concur with this opinion. The DCMA Financial Analysis team does an excellent job in supporting the needs of DoD buying commands in determining which contractors are financially responsible. Their reports and advice are timely, acccurate, and technically sound.

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