Demobilization : $b our industrial and military demobilization after the armistice, 1918-1920Crowell, Benedict
History
Demobilization : $b our industrial and military demobilization after the armistice, 1918-1920
Crowell, Benedict
United States. Army. American Expeditionary Forces -- Demobilization; World War, 1914-1918 -- United States
Under such conditions a great volume of war department business was
placed in the latter part of 1917 and during the early months of 1918.
Then the conditions of war industry finally forced a reorganization of
the War Department, bringing all of its supply activities (with one or
two important exceptions) under the single direction of the Division
of Purchase, Storage, and Traffic, of the General Staff. The Division
of P., S., and T., as it was called, was created early in 1918. One
of the first acts of its director was to appoint a committee to study
the various forms of war department contracts in use and to recommend
standard forms which should keep errors at a minimum and make the War
Department certain at all times as to its rights under its contracts.
Simultaneously the new Division was assuming a centralized control of
war department contracts. Early in June the Secretary of War appointed
a Surveyor of Contracts, who in turn appointed a board of contract
review within each procurement bureau. A bureau board was to pass
upon all proposed contracts drawn by contracting officers, except the
few contracts which involved the Government for trivial amounts of
money. This system, with the Surveyor of Contracts dictating policies
and passing them on down through the bureau boards, was effective
control of the contracting function under a single direction; but in
late July the Secretary of War still further strengthened the scheme
by appointing the Superior Board of Contract Review. The Director of
Purchases and Supplies and the Surveyor of Contracts were the general
members of this Board, and each procurement bureau sent to it a
member, who was either the chief procurement officer of the bureau or
a member of the bureau’s board of contract review. This Superior Board
of Contract Review became the great policy-forming agency of the War
Department in respect of its contracting activities.
Note, however, that not yet had there been any standardization of
contracts. In early August the committee appointed by the Director of
Purchase, Storage, and Traffic to study war contracts and recommend
standards, made its report. The Superior Board of Contract Review
received this report, and early in September promulgated, on the basis
of the report, a series of twenty-four standard contract provisions,
nineteen of them to be included in all war department fixed-price and
cost-plus contracts, and five particular provisions pertaining either
to cost-plus or fixed-price contracts, but not to both. Most of the
standard provisions, except perhaps in their phraseology, were not new,
but had been used in substance variously by the contracting officers.
The importance of standardization was that it required the use of all
of them in the war contracts and also dictated the phraseology. One or
two of the standard clauses, particularly those which anticipated the
end of the war and the termination of the war industry, were new and
most important.
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