Summary: In response to a congressional request, GAO evaluated the legality, adequacy, and appropriateness of a reduction in force (RIF) and related contracting actions by two Department of Energy (DOE) program offices.
GAO found that: (1) the offices' actions generally complied with Office of Management and Budget (OMB) Circular A-76 requirements; (2) one office did not fully comply with the requirement to inventory or review all potentially affected positions prior to contracting for the work of those positions; (3) the bases for the cost savings and the estimates the two offices developed were reasonable; (4) with respect to their RIF and contracting actions, both offices properly implemented the RIF process and acted within OMB guidelines in making their contracting decisions; and (5) one office only partly achieved the DOE objectives of increased efficiency, productivity, and cost reductions, since it reduced its costs by less than three full-time equivalent positions. GAO also found that: (1) one office abolished 1 position without subsequent contract action and contracted with several commercial firms to do the work of the remaining 12 employees; and (2) the other office abolished five staff positions in fiscal year 1986, which resulted in subsequent RIF and contract actions.