From: yee@trident.arc.nasa.gov (Peter E. Yee)
Subject: NASA to emphasize cultural diversity in procurement [Release 92-123A] (Forwarded)
Apparently-To: sci-space-news@ames.arc.nasa.gov
Followup-To: sci.space
Organization: NASA Ames Research Center, Moffett Field, CA
Date: Wed, 29 Jul 1992 19:13:33 GMT

Bill Livingstone
Headquarters, Washington, D.C.                                 July 27, 1992
(Phone:  202/453-1898)

RELEASE 92-123A

NASA TO EMPHASIZE CULTURAL DIVERSITY IN PROCUREMENT

        NASA will aggressively promote cultural diversity in the work 
place and in pursuit of contract goals for small and disadvantaged 
businesses, Administrator Daniel S. Goldin has declared in a major 
address on procurement policy reform.

        "As Adminstrator of NASA, I have made a personal commitment 
to increasing cultural diversity in the workplace and to increasing the 
contracting opportunities for small and disadvantaged contractors," 
Goldin told the National Contract Management Association in Los 
Angeles July 24.

        In his address, Goldin announced a series of procurement 
reforms designed to make NASA a model of excellence for the federal 
government and to ensure that the public receives the very best value 
for its tax dollars.

        The NASA Administrator said the agency had implemented a 
range of initiatives to increase the number of contracts flowing to 
small and disadvantaged businesses(SDB), including: 

        o  Emphasis on SDB considerations in the earliest part of 
procurement planning, with continuing emphasis in acquisition 
strategy meetings and other procurement activity.

        o  Establishment by NASA of firm percentages of large prime 
contracts to be subcontracted to SDBs, with reward of special 
incentive fees to prime contractors when they exceed the SBD 
requirement.

        "Small and disadvantaged businesses need assistance above and 
beyond set-asides," Goldin said.  

        "In the coming months, we will be setting up a new 'minority 
business resource advisory committee' in NASA to help us bring more 
SDB contractors into the NASA family", Goldin said.  

         "Each of us as professionals and as citizens has an obligation to 
help overcome the barriers that divide us as a nation.  The Los Angeles 
riots were visual proof that we must redouble our efforts to help 
minority citizens turn their dreams into realities," Goldin said.

        Discussing the procurement reform effort, Goldin said that 
NASA "must continue to give the American people technical advances, 
but we must also give them 'best' value for their tax dollar.

        "In the future, NASA will not tolerate 300 percent cost overruns, 
defective spacecraft hardware or the failure to follow work 
instructions that protect government furnished hardware,"  Goldin 
said.

        "Nor will we tolerate schedule slippages.  We can't keep letting 
months turn into years and years into decades," Goldin said.

        The major changes in the procurement process include:

        o  Awarding new contracts to companies that have demonstrated 
that they are accountable by delivering quality systems that meet cost 
schedules and technical requirement.

        o  Determining award fees by the end result, namely the quality, 
timeliness and cost of what is delivered. 

        o  Giving contractors greater responsibility for success of a 
program, including opportunity for increased award fees if they hold 
to a schedule, keep the progam within cost estimates and deliver a 
satisfactory product.