Section 832 of the Floyd D. Spence National Defense Authorization Act of 2001 (the Act) required that I, as Comptroller General of the United States, "convene a panel of experts to study the policies and procedures governing the transfer of commercial activities for the Federal Government from Government personnel to a Federal contractor ..." In accordance with the Act, I am pleased to transmit to Congress the report of the Commercial Activities Panel (the Panel) convened to satisfy this statutory requirement. Given the importance of this issue, I elected to chair this Panel and ensured that it was comprised of highly qualified and empowered representatives from the groups specified in the Act and other knowledgeable individuals. A diverse group of high-level members were selected as panelists in order to broaden the scope and enhance the quality of our deliberations, while increasing our chances of success.

Recent events in the Air Force surrounding the illegal actions of former Principal Deputy Assistant Secretary Darleen Druyun highlighted the need to review the management and oversight structure of acquisition activities in the Department of Defense (DoD). DoD, through the Undersecretary of Defense for Acquisition, Technology, and Logistics USD(AT AND L), established the Defense Science Board (DSB) Task Force on Management Oversight of Acquisition Organizations to examine its acquisition structures and processes; survey and assess best practices; and recommend changes to improve checks and balances to better ensure acquisition integrity. The Task Force was also asked to consider whether: (1) structural problems exist that place too much decision authority in one individual or at a level without adequate oversight; and (2) a simplified acquisition structure could improve both efficiency and oversight. The Task Force was co-chaired by two members of the Defense Science Board. Task Force members and key contributors included former Defense Department and other Federal Government officials, as well as members of industry and academia. During the course of its work, the Task Force reviewed a wide array of written materials and heard from experts in the fields of acquisition, procurement, ethics and integrity, human resources, leadership, organization, oversight, and best practices.