Summary: Last year, Congress sought to reform the government's acquisition system by passing the Federal Acquisition Streamlining Act of 1994, which established a simplified acquisition threshold and a preference for commercial items. It also reduced the administrative burden associated with the government's specialized requirements. As momentous as this legislation was, many believe that it represented only a first step rather than a culmination of reform. A number of reform proposals are now under discussion. This testimony provides GAO's preliminary views on proposals that it believes merit further consideration and study. These reform proposals support three fundamental principles: "buy smarter" (eliminate requirements that hamper government's ability to take advantage of what industry has to offer); "simplify" (further reduce the complexity of the acquisition system); and "manage better" (further improve management of the procurement process, including making needed investments in people and systems).
