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RCED-96-95R 1 (1996-03-15)

handle is hein.gao/gaobaclcg0001 and id is 1 raw text is: GA O United States General Accounting Office Washington, D.C. 20548 Resources, Community, and Economic Development Division B-270920 March 15, 1996 The Honorable Hank Brown United States Senate To build the Denver International Airport (DIA), the city and county of Denver (hereinafter referred to as the city) awarded 321 prime contracts, valued at about $2.96 billion.! Thirty-six of these contracts were paid in part with federal grant funds that the Federal Aviation Administration (FAA) provided through the Airport Improvement Program (AIP).2 Federal grants were also used to purchase land at the airport site. On August 9, 1995, in response to your request, we issued a report that included a discussion of the contracting practices for DIA.3 In January 1996, you requested that we provide you with additional information about DIA's contracting practices. As agreed with your office, this report addresses the following questions: (1) What were the bases for awarding the contracts at DIA that were paid for entirely or in part with federal funds? 'This amount does not include purchases of land for the airport site totaling $241 million or purchase orders totaling about $24 million. The 321 prime contracts were of three principal types: construction (136 contracts); professional services such as overall project management, airfield design, and engineering (99 contracts); and other services and projects such as pipeline relocations, insurance, and art work (86 contracts). 2As of February 15, 1996, FAA had allocated about $371 million in federal AIP grants to help the city build the airport. This amount includes $10 million for grading and drainage of a sixth runway at DIA. FAA plans to provide additional grants of about $55 million for fiscal years 1998 and 1999 under a letter-of-intent agreement that FAA and the city signed in 1990; however, the availability of these funds depends on congressional appropriation. 3Denver International Airport: Baggage Handling, Contracting, and Other Issues (GAO/RCED-95-241FS, Aug. 9,1995). GAOIRCED-96-95R, Follow-Up on Contracting Issues at Denver International Airport