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VA Health Care: Delays in Awarding Major Construction Contracts

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Report Type Reports and Testimonies
Report Date June 17, 1994
Report No. HEHS-94-170
Subject
Summary:

For major construction projects costing $3 million or more, the Department of Veterans Affairs (VA) is required to award (1) construction document contracts by September 30 of the fiscal year in which funds are appropriated and (2) construction contracts by September 30 of the following fiscal year. VA is required to report to Congress and to GAO on the projects that did not meet these time limits. VA's January 1994 letter to Congress and GAO correctly identifies 15 projects that were required to but did not have construction documents contracts or construction contracts awarded by September 30, 1993. GAO believes that the contracting delays for these projects do not constitute impoundments of budget authority under the Impoundment Control Act. In GAO's view, VA has shown no intent to refrain from using the funds appropriated. Information VA provided to GAO indicates that programmatic considerations caused the contracting delays. The reason cited most often for delays was changes in project scope or design. VA expects to award 13 of the 17 required contracts for these 15 projects by September 30, 1994.

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