Packard Commission

The President's Blue Ribbon Commission on Defense Management, informally known as the Packard Commission, was a federal government commission by President Ronald Reagan, created by Executive Order 12526 to study several areas of management functionality within the US Department of Defense. The commission was chaired by David Packard.

Title page of the Final Report of the Packard Commission to the President.

Background

Beginning in 1981, Reagan began an expansion in the size and capabilities of the US armed forces, which entailed major new expenditures on weapons procurement. By the mid-1980s, the spending became a scandal when the Project on Government Oversight reported that the Pentagon had vastly overpaid for a wide variety of items, most notoriously by paying $435 for a hammer,[1] $600 for a toilet seat, and $7,000 for an aircraft coffee maker.[2] In fact, these numbers were inaccurate; they were an accounting convenience rather than the actual cost of the materials.[1]

In response to the scandals, Reagan appointed a commission, chaired by Packard, to study government procurement undertaken by the US Department of Defense. The Commission had Packard, Ernest C. Arbuckle, Robert H. Barrow, Nicholas F. Brady, Louis W. Cabot, Frank Carlucci, William P. Clark Jr., Barber Conable, Paul F. Gorman, Carla Anderson Hills, James L. Holloway III, William Perry, Robert T. Marlow, Charles J. Pilliod Jr., Brent Scowcroft, Herbert Stein, and R. James Woolsey Jr.[3] The President tasked the Commission with studying defense management policies and procedures, including

the budget process, the procurement system, legislative oversight, and the organizational and operational arrangements, both formal and informal, among the Office of the Secretary of Defense, the Organization of the Joint Chiefs of Staff, the Unified and Specified Command system, the Military Departments, and the Congress.[4]

Before the 1986 Final Report, 33 competitors of the military industry sector gave life to the Defense Industry Initiative, a pact which planned the adoption of code of ethics, "whistleblower" reporting mechanisms, an increased public accountability, anonymous evaluation questionnaires to be synthesized by the internal audit functions and by external and independent agencies.[5]

Recommendations

The Packard Commission reported that there was "no rational system" governing defense procurement, and it concluded that it was not fraud and abuse that led to massive overexpenditures but rather "the truly costly problems are those of overcomplicated organization and rigid procedure."[6]

The Commission made several recommendations:

On April 1,1986, Reagan signed National Security Decision Directive 219, an executive order that implement the commission recommendations that could be put in place solely by presidential action.[7] Other recommendations which required legislative action were enacted when Congress later reformed the Joint Chiefs of Staff system in 1986 with the Goldwater–Nichols Act.

The FASA of 1994 and the Federal Acquisition Improvement Act of 1995 rewrote the government procurement regulations.[8]

See also

References

  1. "The case for the $435 hammer. - Free Online Library". www.thefreelibrary.com. Retrieved 2016-04-13.
  2. Meyer, David S. (1990-01-01). A Winter of Discontent: The Nuclear Freeze and American Politics. ABC-CLIO. ISBN 9780275933067.
  3. http://www.ndia.org/Advocacy/AcquisitionReformInitiative/Documents/Packard-Commission-Report.pdf Final Report of the Packard Commission, June 1986
  4. http://www.reagan.utexas.edu/archives/speeches/1985/71585c.htm Executive Order 12526 President's Blue Ribbon Commission on Defense Management
  5. Fiorelli, Paul E. "In Defense of Ethics: New Considerations After the Packard Commission" (PDF). The Catholic Lawyer. 34 (2). OCLC 8091189101. Archived from the original on March 21, 2020 via Paperity. {{cite journal}}: External link in |via= (help)
  6. Thomas, Evan (1986-03-10). "Defensive About Defense". Time. ISSN 0040-781X. Archived from the original on November 5, 2012. Retrieved 2016-04-13.
  7. Kukielski, Philip (2019). The U.S. Invasion of Grenada : legacy of a flawed victory. Jefferson, North Carolina: McFarland and Co. p. 213. ISBN 978-1-4766-7879-5. OCLC 1123182247.{{cite book}}: CS1 maint: date and year (link)
  8. Christensen, David S.; Searle, David A.; Uickery, Caisse (Summer 1999). "The Impact of Packard Commission0s Recommendations on Reducing Cost Overruns on Defgence Acquisition Contracts" (PDF). Acquisition Review Quarterly. Defense Technical Information Center: 258, 262. doi:10.21236/ada372859. OCLC 8160098530. Archived (PDF) from the original on March 26, 2020.
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