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Show July 29, 1993 Continued from Page 2 on contract or 3 percent of the total competition program. That means, for a total downside risk of $45 million, industry has the opportunity to compete on $800 million worth of work they never had a chance at before." The general added that current legislation limits to 40 percent the amount of depot maintenance work industry can perform, a barrier he wants removed. "I believe 100 percent of our workload should be competed, either with industry or with other services. I'm working to get that cap lifted," Yates said. "It's the only rational way to sort out who is best able to do any given workload for the best price'. It's also the way to determine what facilities provide the best value and capability during our downsizing process. non-unio- 66 Competition won't answer all our industrial base questions, but I'm firmly convinced it's the place to start. Competition forces both government and industry to be more efficient ... 99 General Yates Level playing field those functions are very rigidly separated for competed workloads. "From the time a workload is first Yates said, "both parties must feel considered for competition, right up confident they have a fair chance that we're playing on a level field." He until after the award, there is no more For competition to be truly effective, said AFMC is doing everything possible to make competitions fair and meaningful. "We conduct our competition with industry in accordance with law and the Federal Acquisition Regulation. We choose our Source Selection Authorities very carefully to ensure that any real, or perceived, conflicts of interest are avoided. We don't allow any commander or vice commander from any air logistics center to be the SSA when any ALC is competing. And, of course, we'd never allow anyone from an ALC in the competition to be an SSA.". The general added that even though the government buyer and seller are sometimes located at the same ALC, interaction concerning the acquisition between the government buyer and the government seller than there is between the government buyer and the commercial seller," Yates said. "All contracts awarded, whether to one of our depots, or to industry, have the exact same specifications and similar terms and conditions. Price and delivery schedules are set by the competitive process." Yates said he recognizes that inherent differences between the public and with advantages private sectors and disadvantages for each keep the playing field from being truly level. For example, private industry can em take advantage of part-tim- e i BORROW UP TO You $200 can get CASH lil il LJJ if ve y Final thoughts "We see our depot maintenance competition program as very much a part of the strong partnership that has proven so successful in the past," Yates said. "We're listening to what industry is telling us to make that competition as fair and balanced as possible. We're also listening to strengthen our partnership. "Not long ago. Rick Millman, president of HR Textron, suggested I consider including our partnership with our suppliers as part of our mission statement. At last month's meeting of the command's senior leadership, we adopted his suggestion. Our mission statement now reads: 'Through integrated management of research, development, test, acquisition and support, we advance and use technology to acquire and sustain superior systems in partnership with our customers and suppliers.' "This addition highlights industry's fundamental role in our partnership a partnership whose success calls to mind the words of John F. Kennedy: 'The American, by nature, is optimistic. He is experimental, an inventor and a builder who builds best when called upon to build greatly.' "Through competition, we are inventing a new dimension to a proven partnership," Yates said. "I'm optimistic that, together, we will continue to 'build greatly' a prosperous and secure future for our nation as we enter the 21st century." iiitiiiitfiiiiiiiiiiitiiiiiiiiiiiiittiiiiiiiiifliifiiiiiiiiiiiititiiiiitiiiii-Miiiz?iiiiiiiii- HlTX ZWTISSa "118 U iliA -- Monday - inursaay l lf P.M. 10:00 A.M.-5:P.M. A.M.5:30 10:00 Friday -PM- 2:00 A.M. 10:00 turday 00 L iww. c CtfECK. TJe&RgSSwns 7151 No Main Lavton 546-277- aii qi--i : INSTANTLY! with your personal acmxw prior to every contract award to ensure all factors have been considered, bids are not underthat public-agencstated, and that cost elements are as comparable as they can be. CASH INSTANT CASHI Check Expressions is hero to help you. Come in and see for yourself, IU5I UIIU 1IICIIV.II cost-competiti- iii cnecK tor up 10 uuiuiiuyi With our two locations, your not far from S n labor, competitive ployees, sources of material and marginal pricing. Government depots, on the other hand, are much more constrained about part-tim- e employees, must use the civil service system for payroll and personnel, must buy material from the designated DOD sources, don't get any abatement benefits, and are prohibited from pricing on the margin. On the positive side, government depots have some guaranteed workload for core requirements, are less subject to labor strikes, may be able to take advantage of economies of scale, don't have to make a profit, and therefore, also don't have to pay income taxes. "The Cost Comparability Handbook isn't able to level out all these inherent differences. In fact, that was never its intent," Yates remarked. "It does adequately level the playing field for cost proposals in the bidding process, and evidence shows it's already doing a fair job. We're finding that contractors who are in the same business as the depots, and are good at it, are very with the ALCs. We win half, they win half. That's an indicator that the playing field is level between like organizations. It's important that industry recognizes they're getting a fair chance at competition, otherwise they'll never take the major steps required to be competitive. "We're still listening and we'll continue making changes," he said. "In fact, we recently had people from seven major corporations review the handbook. But now we're finding that the comments we're receiving are less significant." As another check, the Defense Contract Audit Agency conducts an audit Hilltop Times lonn West Rov 8 825-644- 5 a J |