ADMINISTRATIVE NOTES Newsletter of the Federal Depository Library Program Vol. 18, no. 04 GP 3.16/3-2:18/04 February 28, 1997 MICHAEL F. DIMARIO PUBLIC PRINTER PREPARED STATEMENT BEFORE THE SUBCOMMITTEE ON LEGISLATIVE APPROPRIATIONS COMMITTEE ON APPROPRIATIONS HOUSE OF REPRESENTATIVES ON APPROPRIATIONS ESTIMATES FOR FISCAL YEAR 1998 February 11, 1997 PRIVATIZING THE CONGRESSIONAL RECORD I have testified previously on the subject of procuring congressional printing before the Senate Rules and Administration Committee in July 1996, and the House Oversight Committee in August 1995. As I stated then, we fully support the procurement of any Government printing that is commercially procurable, e.g., purchasable from the private sector on the same terms (timeliness, quality, and control) at less cost. That philosophy underlies our Printing Procurement Program, one of the Government's most successful procurement programs, in which we routinely buy 75 percent or better of Federal printing at highly competitive prices. However, based on long experience with public printing, I have serious concerns about whether any savings can be achieved by procuring congressional printing due to its inherent unpredictability. Former Public Printers Thomas McCormick (appointed by President Nixon) and John Boyle (appointed by President Carter) stated the same thing before this Subcommittee two years ago. I have concerns about the level of congressional control that could be retained over printing that is essential to the legislative process if it is commercially procured. I also have concerns about ability of a study to fully predict a private sector contractor's costs for producing the range of services we currently provide. Without a clear decision to procure congressional work and the consequent expectation by potential contractors that they will be held financially and legally responsible for performing the work under the estimates they submit, any such estimate should be regarded as speculative. Study Requirement In the House report accompanying GPO's Congressional Printing and Binding Appropriation for FY 1997 (H. Rpt. 104-657, pp. 28-29), we were required to conduct a study, using independent outside experts, to determine if opportunities exist for outsourcing the Congressional Record and the Federal Register. The report also requested us to consider the option of converting to a two-shift operation in GPO's printing plant. Accordingly, we have developed a notice that was recently posted in the Commerce Business Daily seeking "a contract for an independent outside expert to conduct a study to determine if cost-effective opportunities exist to privatize certain GPO printing plant functions." We also are requesting evaluation of the option to convert to a two-shift operation. The studies are to be conducted in consultation with the Joint Committee on Printing, which has statutory oversight of congressional printing, and should reflect the needs of GPO's congressional customer base. Factors to be considered in the study are: * how legislation flows through Congress; * the laws governing the flow of legislation and the Congressional Record; * the promulgation of administrative and regulatory law in the Federal Register; * the current procedures used by congressional and executive branch staffs to submit legislation/publications to GPO for printing; * GPO's support functions which include facilities, personnel, procurement of paper, materials and supplies, and equipment capabilities used to meet congressional requirements, including same-day, overnight turnaround requirements, the peaks and valleys in the volume of printing requests, and efforts to capture electronic databases at the source; * Congress's efforts to move toward a Cyber-Congress; * GPO's efforts to retrain personnel and develop online dissemination products; * the technologies available in the private sector that, if made available to GPO, would permit GPO to produce its products faster and at lower costs; * the laws requiring special programs that affect GPO's scale of prices but which are not required in the private sector; * the obligations of public information dissemination; and * the requirements to fully meet the needs of GPO's congressional customer base. In order to ensure that this study provides the truest possible representation of the potential costs for contracting out congressional work, and to prevent affording any party a preferential opportunity for any subsequent contracts, the successful contractor will be precluded from any follow-on contract arising from the completion of this contract. A pre-solicitation conference will be held February 27, 1997, at GPO. Based on a review of prior independent studies of GPO as well as the costs of recent contract audits conducted of GPO, we estimate that the cost of this contract could be $600,000, although the actual contract price may vary significantly from this estimate based on the final scope of work. No funds were appropriated specifically for this study. Therefore, the cost would be additional overhead to be allocated to all GPO programs and reimbursed to the revolving fund through adjusted rates. We have requested approval for this procurement from the Joint Committee on Printing.