Correspondence issued by the Government Accountability Office with an abstract that begins "The U.S. Coast Guard is currently undertaking a major effort to update its command structure, support systems, and business practices. This effort, referred to as the modernization program, is intended to better position the service to fulfill not only traditional missions--such as ensuring the safety and security of commercial shipping, safeguarding U.S. fisheries, interdicting the smuggling of illicit drugs, and conducting search and rescue operations--but also homeland security responsibilities that expanded after September 11, 2001 (9/11). The modernization program is specifically focused on modifying the Coast Guard's command and control structure--including the establishment of four new organizational entities--as well as updating mission support systems, such as maintenance, logistics, financial management, human resources, acquisitions, and information technology. The proposed changes will have a major impact on a variety of functions servicewide, including management of Deepwater--the long-term, multibillion-dollar program to upgrade the Coast Guard's aging fleet of water vessels and aircraft. The conceptual framework for the modernization program is reflected in 10 Commandant Intent Action Orders, which were issued by the Commandant of the Coast Guard in 2006. Subsequently, congressional direction accompanying the Coast Guard's fiscal year 2008 appropriations required …

Correspondence issued by the Government Accountability Office with an abstract that begins "Over the past 25 years, farmers have received a decreasing share of the consumer food dollar. Some analysts and farm interest groups are concerned that this decline can be attributed, in part, to increasing concentration in agriculture. They believe that firms in highly concentrated markets may be able to exert market power by raising retail food prices while also depressing prices farmers receive for agricultural commodities. Others have argued that concentration has facilitated changes, such as technological innovations, that have improved productivity and served to lower food prices while increasing some farm incomes. The influence of any one factor, such as concentration, in determining agricultural commodity and retail food prices (commodity and food prices) varies and is difficult to isolate. Our prior work has noted that concentration may be one of a number of factors that can influence prices along the food marketing chain from farms to food processors, retail stores, and finally, consumers. To better understand the impact of concentration on commodity and food prices, economists have used a variety of analytical techniques and data sets. However, their work has been complicated by various issues, such as …

Correspondence issued by the Government Accountability Office with an abstract that begins "In 2005, Hurricane Katrina devastated the Gulf Coast, damaging critical infrastructure, such as oil platforms, pipelines, and refineries; water mains; electric power lines; and cellular phone towers. The infrastructure damage and resulting chaos disrupted government and business functions alike, producing cascading effects far beyond the physical location of the storm. Threats against critical infrastructure are not limited to natural disasters. For example, in 2005, suicide bombers struck London's public transportation system, disrupting the city's transportation and mobile telecommunications infrastructure. In March 2007, we reported that our nation's critical infrastructures and key resources (CIKR)--systems and assets, whether physical or virtual, so vital to the United States that their incapacity or destruction would have a debilitating impact on national security, national economic security, national public health or safety, or any combination of those matters--continue to be vulnerable to a wide variety of threats. According to DHS, because the private sector owns approximately 85 percent of the nation's CIKR--banking and financial institutions, telecommunications networks, and energy production and transmission facilities, among others--it is vital that the public and private sectors work together to protect these assets. The Homeland Security Act of …

Correspondence issued by the Government Accountability Office with an abstract that begins "The five largest insular areas of the United States--American Samoa, the Commonwealth of the Northern Mariana Islands (CNMI), Guam, Puerto Rico, and the U.S. Virgin Islands--receive federal funding through Medicaid and the State Children's Health Insurance Program (CHIP), joint federal-state programs that finance health care for certain low-income individuals. These programs are administered and funded differently in the insular areas when compared to the states. For example, while states must extend Medicaid eligibility to certain individuals whose incomes are at or below a percentage of the federal poverty level (FPL), the insular areas are not required to cover this population. In addition, under both Medicaid and CHIP, the federal government matches state or local government spending. However, federal law establishes the federal matching rate for expenditures by the insular areas at the lowest rate available to states, while matching rates for the states are determined each year based on a formula that takes into account variations in per capita income in each state. Furthermore, federal Medicaid spending in the insular areas is subject to an annual limit that does not apply to the states. Finally, while CHIP funding …

Testimony issued by the Government Accountability Office with an abstract that begins "Future Combat System (FCS) has been at the center of the Army's efforts to become a lighter, more agile, and more capable combat force by replacing existing combat systems with a family of manned and unmanned vehicles and systems, linked by an advanced information network. To meet the challenges of FCS's scope and schedule, the Army contracted with Boeing to be lead systems integrator (LSI), to help define, develop, and integrate FCS systems. Earlier this year, the Secretary of Defense proposed restructuring FCS to lower risk and address more near-term needs, shortly before FCS was to undergo a congressionally-mandated review to determine its future. The Department of Defense (DOD) and the Army have already begun to make programmatic and budgetary adjustments to FCS. This statement reviews aspects of FCS that should be considered for inclusion in future efforts, aspects that were problematic and need re-examination, and considerations for shaping future Army ground force modernization. The testimony is drawn from GAO's body of work on FCS management and acquisition strategy, including knowledge gaps, cost, affordability, oversight, and the Army/LSI relationship. GAO has made numerous recommendations aimed at managing FCS …

Correspondence issued by the Government Accountability Office with an abstract that begins "In November 2008, we issued our report on the results of our audit of the Internal Revenue Service's (IRS) financial statements as of, and for the fiscal years ending, September 30, 2008, and 2007, and on the effectiveness of its internal controls as of September 30, 2008. We also reported our conclusions on IRS's compliance with significant provisions of selected laws and regulations and on whether IRS's financial management systems substantially comply with the requirements of the Federal Financial Management Improvement Act of 1996 (FFMIA). Additionally, in January 2009, we issued a report on information security issues identified during our fiscal year 2008 audit, along with associated recommendations. The purpose of this report is to discuss issues identified during our audit of IRS's financial statements as of, and for the fiscal year ending, September 30, 2008, regarding internal controls that could be improved for which we currently do not have a specific recommendation outstanding. Although not all of these issues were discussed in our report on the results of our fiscal year 2008 financial statement audit, they all warrant IRS management's attention."

Correspondence issued by the Government Accountability Office with an abstract that begins "As of May 2009, approximately 34,000 service members had been wounded in action as part of Operation Enduring Freedom or Operation Iraqi Freedom. In response to concerns about the assistance that service members injured in combat receive when they transition back into civilian life, Congress has enacted several laws to improve the benefits available to veterans and service members, including the Veterans' Housing Opportunity and Benefits Improvement Act of 2006. This act authorized the Department of Veterans Affairs (VA) to expand its previously existing adaptive housing assistance grants to include eligible individuals temporarily living in a home owned by a family member, known as Temporary Residence Adaptation (TRA) grants. Section 101 of the Veterans' Housing Opportunity and Benefits Improvement Act of 2006 mandated us to submit to Congress an interim report by June 15, 2009, and a final report by June 15, 2011, on VA's implementation of TRA. This interim report describes the number and characteristics of TRA grants and grant recipients and provides information on VA's policies and processes for providing the grants."

Testimony issued by the Government Accountability Office with an abstract that begins "The Judicial Conference of the United States, the federal judiciary's principal policymaking body, uses 1,500 annual weighted case filings per authorized judgeship (judgeship position) in a bankruptcy court as an indicator of the need for additional bankruptcy judgeships for that court. Total annual weighted case filings for any specific bankruptcy court is the sum of the weights associated with each of the cases filed in the court in a year. Total annual weighted case filings per judgeship represent the estimated average amount of judge time that would be required to complete the cases filed in a specific bankruptcy court in a year. In May 2003 GAO testified on whether weighted case filings were a reasonably accurate measure of the case-related workload of bankruptcy judges. The accuracy of weighted case filings rests in turn on the soundness of the methodology used to develop them. GAO's work focused on whether the methodologies used to develop the current case weights and to revise and update those weights were likely to result in reasonably accurate measures of bankruptcy judges' case-related workload. This statement is based on GAO's May 2003 testimony on weighted …

Correspondence issued by the Government Accountability Office with an abstract that begins "This report formally transmits the briefing in response to section 2228(e) of title 10 of the United States Code. The statute requires the Comptroller General to provide an analysis of the Department of Defense's budget submission for corrosion prevention and control, as well as an analysis of the corrosion report accompanying defense budget materials, and provide the results to the congressional defense committees within 60 days after submission of the Department of Defense budget. On May 26, 2009, we provided the briefing to staff Congressional committees to satisfy the mandate and 60-day reporting requirement."

Correspondence issued by the Government Accountability Office with an abstract that begins "On May 13, 2008, the President submitted to Congress a proposed Agreement Between the Government of the United States of America and the Government of the Russian Federation for Cooperation in the Field of Peaceful Uses of Nuclear Energy (henceforth referred to as the U.S.-Russia 123 agreement) in accordance with the review requirements established under Section 123 of the Atomic Energy Act of 1954 (AEA), as amended. The United States has agreements for peaceful nuclear cooperation governing nuclear exports to nearly 50 countries, Taiwan, and the International Atomic Energy Agency (IAEA). Such agreements provide the framework and authorization for civilian nuclear cooperation, but do not guarantee that cooperation will take place or that nuclear material or technology transfers will occur. The proposed agreement with Russia would, among other things, establish the legal basis for the Department of Energy (DOE) to work with Russia on large-scale development of nuclear energy. However, owing to Russia's status as a nuclear weapons state, the size of its nuclear complex, and past proliferation concerns, including weaknesses in the Russian export control system, an agreement for peaceful nuclear cooperation between the United States and …

A statement of record issued by the Government Accountability Office with an abstract that begins "DOD is in the process of implementing this human capital system, and according to DOD, about 212,000 civilian employees are currently under the system. On February 11, 2009, however, the House Armed Services Committee and its Subcommittee on Readiness asked DOD to halt conversions of any additional employees to NSPS until the administration and Congress could properly address the future of DOD's personnel management system. On March 16, 2009, DOD and the Office of Personnel Management (OPM) announced an upcoming review of NSPS policies, regulations, and practices. According to DOD, the department has delayed any further transitions of employees into NSPS until at least October 2009--pending the outcome of its review. Furthermore, on May 14, 2009, the Deputy Secretary of Defense asked the Defense Business Board to form what has become this task group to review NSPS to help the department determine, among others things, whether NSPS is operating in a fair, transparent, and effective manner. This statement focuses on the performance management aspect of NSPS specifically (1) the extent to which DOD has implemented internal safeguards to ensure the fairness, effectiveness, and credibility of …

Testimony issued by the Government Accountability Office with an abstract that begins "Americans depend on the Food and Drug Administration (FDA) to provide assurance that medical devices sold in the United States are safe and effective. FDA classifies medical device types into three classes, with class I including those with the lowest risk to patients (such as forceps) and class III including those with the greatest risk (such as pacemakers). FDA's responsibilities include premarket and postmarket oversight--spanning, for example, both premarket review of devices and postmarket surveillance (the collection and analysis of data on marketed devices). These responsibilities apply to all devices marketed in the United States, regardless of whether they are manufactured domestically or overseas. In 2009, GAO added FDA's oversight of medical products, including devices, to its list of high-risk areas warranting attention by Congress and the executive branch. GAO was asked to testify on recent work related to FDA's responsibilities for medical devices, including premarket review, postmarket surveillance, and inspection of manufacturing establishments. This statement is based on a recent GAO report, Medical Devices: FDA Should Take Steps to Ensure That High-Risk Device Types Are Approved through the Most Stringent Premarket Review Process (GAO-09-190, January 15, 2009) …

Correspondence issued by the Government Accountability Office with an abstract that begins "On February 27, 2009, we issued our report expressing our opinion on the American Battle Monuments Commission's (the Commission) fiscal years 2008 and 2007 financial statements and our opinion on the Commission's internal control as of September 30, 2008. We also reported on the results of our tests of the Commission's compliance with selected provisions of laws and regulations during fiscal year 2008. We reported that the Commission maintained, in all material respects, effective internal control over financial reporting (including safeguarding of assets) and compliance as of September 30, 2008. During our fiscal year 2008 audit, we identified accountability and internal control deficiencies that, while not individually or in the aggregate material to the Commission's financial statements, warrant management's attention. The purpose of this report is to present these deficiencies, to provide recommendations to address these matters, and to provide an overview of the status of our prior year findings and recommendations. Because of the sensitive nature of some of the issues we identified, we are communicating detailed information regarding our findings and recommendations on information systems and physical security in a separately issued Limited Official Use Only …

Correspondence issued by the Government Accountability Office with an abstract that begins "The Recovery Act established relatively few requirements for the design of the TIGER grant program. In addition to the requirements outlined in the opening paragraph of this report, the act requires that the department (1) award grants of no less than $20 million and no more than $300 million with no more than $300 million awarded for projects in any one state; (2) give priority to projects that are expected to be completed by February 17, 2012; (3) give priority to projects that require a contribution of federal funds in order to complete an overall financing package, although the federal share of the costs for which expenditure is made may be 100 percent; and (4) ensure a balance in addressing the needs of rural and urban communities and an equitable geographic distribution of funds. In its May 18 interim notice, the department created two tiers of selection criteria--primary and secondary. The primary selection criteria are (1) long-term outcomes (state of good repair, economic competitiveness, livability, sustainability, and safety) and (2) jobs creation and economic stimulus. The secondary criteria are innovation and partnership. Within each criterion, the department has …

Correspondence issued by the Government Accountability Office with an abstract that begins "The Highway Trust Fund (HTF) was created in 1956 to finance the construction of the Interstate Highway System. This system, built in partnership with state and local governments for over 50 years, has become central to transportation in the United States. Over these 50 years, the federal role in surface transportation has expanded to include broader goals and more programs. Although most surface transportation funds remain dedicated to highway infrastructure, federal surface transportation programs now serve additional transportation, environmental, and societal purposes such as construction of pedestrian walkways and safety enforcement facilities along border regions. The 2005 Safe, Accountable, Flexible, Efficient Transportation Equity Act: A Legacy for Users (SAFETEA-LU) authorized $244.1 billion over 5 years for highways, highway safety, and public transportation, with the HTF serving as the funding source for most of the act's programs. In addition to authorizing funds for construction and maintenance of highways and bridges, the act specifies other purposes for which funding must or may be used, including, but not limited to, safety; metropolitan planning; transit; and transportation enhancement activities, such as trails for transportation purposes, pedestrian walkways, bicycle lanes and parking, and …

Correspondence issued by the Government Accountability Office with an abstract that begins "This letter responds to congressional request that GAO address additional questions arising from the May 19, 2009, hearing on federal information security held by the Subcommittee on Government Management, Organization, and Procurement. In that hearing, we discussed the current state of information security throughout the federal government and agency efforts to comply with the requirements of the Federal Information Security Management Act of 2002 (FISMA). Congress had the following two questions: (1) Please comment on the need for improved cyber security relating to S.773, the proposed Cybersecurity Act of 2009; and (2) Please provide recommendations to improve the Federal Information Security Management Act."

Correspondence issued by the Government Accountability Office with an abstract that begins "The United States and Canada have been involved in a long-standing dispute regarding the softwood lumber trade. Canada is the primary exporter of softwood lumber to the United States. In 2008, Canada exported approximately $3.2 billion worth of softwood lumber products to the United States, about 17 times the amount supplied by the next biggest exporter to the United States. After several years of litigation related to U.S. allegations of unfair Canadian subsidies, the United States and Canada signed the 2006 Softwood Lumber Agreement ("agreement"). The agreement ended ongoing litigation and requires, among other things, Canadian federal and provincial governments to establish export charges and quotas for Canadian lumber exports and for the two countries to exchange information to support monitoring compliance with the agreement. In 2008, the United States passed the Softwood Lumber Act that requires, among other things, that the U.S. government reconcile and verify softwood lumber trade data. The act also requires GAO to report on (1) whether countries that export softwood lumber or softwood lumber products to the United States are complying with international agreements entered into by those countries and the United States; …

Correspondence issued by the Government Accountability Office with an abstract that begins "The U.S. Border Patrol, a component within the Department of Homeland Security's (DHS) U.S. Customs and Border Protection (CBP), is responsible for patrolling 8,000 miles of the land and coastal borders of the United States to detect and prevent the illegal entry of aliens and contraband, including terrorists and weapons of mass destruction. To strengthen control of the U.S. borders, CBP increased the number of Border Patrol agents from about 12,300 in September 2006 to 18,875 in April 2009, an unprecedented 53 percent increase in about 2.5 years. The Border Patrol plans to add additional agents during the remaining months of fiscal year 2009, increasing its onboard strength to about 19,700 agents by the end of September 2009. To support the President's yearly budget request for funding for additional Border Patrol agents, Customs and Border Protection (CBP) first identifies a list of cost items associated with the recruiting, hiring, training, equipping, and deploying of a new Border Patrol agent. These cost items include, for example, recruiting functions: background checks and medical exams to determine an applicant's fitness for the Border Patrol; salary and benefits; training at the Border …

Correspondence issued by the Government Accountability Office with an abstract that begins "GAO first designated DOD financial management as high risk in 1995. GAO's biennial reports on high-risk areas are meant to bring focus to specific areas needing added attention. Areas are identified, in some cases, as high risk due to their greater vulnerabilities to fraud, waste, abuse, and mismanagement. Since 1995, weaknesses in DOD's financial management have adversely affected not only the reliability of reported financial data, but also the efficiency and effectiveness of its business operations. The department has annually acknowledged that pervasive, long-standing weaknesses in business systems, processes, and controls have prevented auditors from determining the reliability of reported financial statement information. Weaknesses in Army military pay systems, processes, and controls have contributed to this problem. The Department of the Army paid about $4.7 billion in federal payroll taxes for approximately 638,900 active duty military servicemembers for calendar year 2007, from the active duty Army military personnel appropriation. The Secretary of the Army relies on the Defense Finance and Accounting Service-Indianapolis (DFAS-IN) for processing and accounting support in paying the taxes for active duty servicemembers. This support includes calculating and reporting federal payroll taxes for active duty …

Testimony issued by the Government Accountability Office with an abstract that begins "Under the Defense Environmental Restoration Program (DERP), the Department of Defense (DOD) has charged the Army Corps of Engineers (the Corps) with cleaning up 4,700 formerly used defense sites (FUDS) and active sites that were under its jurisdiction when they were initially contaminated. The 661-acre Spring Valley site in Washington, D.C is one such site. Like many other FUDS, the U.S. Army used the Spring Valley site during World War I for research and testing of chemical agents, equipment, and munitions. Most of the site is now privately owned and includes private residences, a hospital, and several commercial properties. The primary threats at the site are buried munitions, elevated arsenic in site soils, and laboratory waste; perchlorate was also found onsite. This testimony discusses GAO's past work relating to remediation efforts at FUDS and military munitions sites to provide context for issues at Spring Valley. Specifically, it addresses: (1) the impact that shortcomings in information and guidance can have on decision-making; (2) the impact that incomplete data can have on cost estimates and schedules; (3) how funding for a particular site may be influenced by overall program goals; …

Testimony issued by the Government Accountability Office with an abstract that begins "Terrorists and foreign governments regularly attempt to obtain sensitive dual-use and military technology from manufacturers and distributors within the United States. Although the Department of State (State) or Department of Commerce (Commerce), or both, must grant approval to export sensitive military and dual-use items, publicly reported criminal cases show that individuals can bypass this requirement and illegally export restricted items such as night-vision goggles. In the wrong hands, this technology poses a risk to U.S. security, including the threat that it will be reverse engineered or used directly against U.S. soldiers. Given the threat, the subcommittee asked GAO to conduct undercover tests to attempt to (1) purchase sensitive dual-use and military items from manufacturers and distributors in the United States; and (2) export purchased items without detection by domestic law-enforcement officials. To perform this work, GAO used fictitious individuals, a bogus front company, and domestic mailboxes to pose as a buyer for sensitive items. GAO, in coordination with foreign law-enforcement officials, also covertly attempted to export dummy versions of items. GAO interviewed relevant agencies to gain an understanding of which items were in demand by terrorists and foreign …

Testimony issued by the Government Accountability Office with an abstract that begins "This testimony discusses GAO's work on U.S. television broadcasting to Cuba. The United States has been broadcasting to Cuba for more than two decades via Radio Marti and, subsequently, TV Marti to "break the information blockade" and promote freedom and democracy in Cuba. U.S. television broadcasting to Cuba is performed by the Office of Cuba Broadcasting (OCB), which is a U.S. government entity, overseen by the Broadcasting Board of Governors (BBG), and based in Miami. OCB operates TV Marti, which broadcasts news, commentary, and entertainment programming to Cuba. From the inception of these broadcasting efforts, various questions have been raised regarding their purpose, quality, and effectiveness. In light of the more than $500 million that has been spent over the years on broadcasting to Cuba and OCB's almost $35 million annual budget, we have reviewed a variety of issues related to the effectiveness of OCB's television broadcasts."

Testimony issued by the Government Accountability Office with an abstract that begins "As the recent outbreak of the H1N1 (swine flu) virus underscores, an influenza pandemic remains a real threat to our nation and to the world. Over the past 3 years, GAO has conducted a body of work to help the nation better prepare for a possible pandemic. In a February 2009 report, GAO synthesized the results of this work, pointing out that while the previous administration had taken a number of actions to plan for a pandemic, including developing a national strategy and implementation plan, much more needs to be done, and many gaps in preparedness and planning still remain. This statement is based on the February 2009 report which synthesized the results of 11 reports and two testimonies covering six thematic areas: (1) leadership, authority, and coordination; (2) detecting threats and managing risks; (3) planning, training, and exercising, (4) capacity to respond and recover; (5) information sharing and communication; and (6) performance and accountability."

Testimony issued by the Government Accountability Office with an abstract that begins "Federal laws and policy have assigned important roles and responsibilities to the Department of Homeland Security (DHS) and the National Institute of Standards and Technology (NIST) for securing computer networks and systems. DHS is charged with coordinating the protection of computer-reliant critical infrastructure--much of which is owned by the private sector--and securing its own computer systems, while NIST is responsible for developing standards and guidelines for implementing security controls over information and information systems. GAO was asked to describe cybersecurity efforts at DHS and NIST--including partnership activities with the private sector--and the use of cybersecurity performance metrics in the federal government. To do so, GAO relied on its reports on federal information security and federal efforts to fulfill national cybersecurity responsibilities."