Summary: In response to a congressional request, GAO provided information on the Department of State's Bureau of International Narcotics Matters' (INM) selection and purchase of eight river patrol craft to assist Bolivia in its narcotics interdiction efforts.
GAO found that: (1) the eight high-speed river patrol boats cost the United States about $694,276; (2) the Army purchased the boats without performing a systematic evaluation of the capabilities of various alternatives, the conditions in Bolivia that could affect their operation, or Bolivian expertise to operate and maintain the boats; (3) the $76,110 cost of each boat, excluding trailers and spare parts, exceeded the $35,000 cost initially envisioned because of modifications to meet Army requirements, additional costs due to the boat's experimental status, and the manufacturer's follow-up support and warranty; (4) although INM and the military initially agreed to share the costs, congressional sanctions limited military assistance to Bolivia in fiscal years 1986 and 1987; and (5) INM funded almost all of the purchase, while the military financed the transportation and training costs, and procured machine guns for the boats.
