The Army's Procurement and Conditional Acceptance of Medium Tactical Vehicles

Abstract : Who Should Read This Report and Why? Contracting officers and contract administrators should read this report because it discusses the Army's practices for conditional acceptance and first inspection acceptance of the vehicles. Background. The Family of Medium Tactical Vehicles (FMTV) consists of families of Light-Medium Tactical Vehicles, which are 2 -ton trucks, and Medium Tactical Vehicles, which are 5-ton trucks. The FMTV includes complementary trailers that supplement the vehicle fleet. The vehicles have common components and various body styles for special combat, combat support, and combat service support organizational missions. The approved Presidential Budget for FYs 2005 and 2006 provided approximately $956 million to procure 7,071 FMTVs. In addition, Congress provided another $797 million to the program as part of the Emergency Supplemental Appropriations Acts in FYs 2005 and 2006. The supplemental budgets for FYs 2005 and 2006 provided funding to procure an additional 3,970 FMTVs. Results. The Army was appropriately using supplemental funds that Congress provided to the FMTV program office in support of the Global War on Terrorism. However, the FMTV program office was not adequately protecting the Government s interest because it conditionally accepted FMTVs. Further, the FMTV contractor, Stewart and Stevenson Tactical Vehicle Systems, Limited Partnership, was not meeting contract requirements for acceptance of vehicles at first Government inspection. The following two findings discuss those issues.