A letter report issued by the Government Accountability Office with an abstract that begins "Some small and medium-sized enterprises (SME)--which are defined by the Small Business Administration's Office of Advocacy as independent businesses with fewer than 500 employees--have petitioned for the imposition of antidumping (AD) and countervailing (CV) duties to seek relief from unfair trade practices. Among the 56 petitions filed between 2007 and 2012, GAO found 21 that included at least 1 SME petitioner. In addition, the 56 petitions represented a total of 147 petitioners, of which 38 were SMEs. The majority of these SME petitioners had annual sales revenue of at least $10 million. Close to half of the total SME petitioners were in the iron and steel industry. Since participation in the petitions is not mandatory, producers, including SMEs, may benefit from a successful petition even if they choose not to join as a petitioner."

A letter report issued by the Government Accountability Office with an abstract that begins "The 10 new demonstrations GAO examined expanded states' use of federal funds and implemented new coverage strategies. Arizona and Texas established funding pools to make new supplemental payments beyond what they could have made under traditional Medicaid requirements and receive federal matching funds for the payments. All 10 demonstrations were approved to use different coverage strategies or impose new cost sharing requirements, including limiting benefits or imposing deductibles for certain populations."

Testimony issued by the Government Accountability Office with an abstract that begins "Officials in the Federal Emergency Management Agency (FEMA)--a component of the Department of Homeland Security (DHS)--have identified actions they believe will enhance management of the four preparedness programs GAO analyzed; however, FEMA still faces challenges. In February 2012, GAO found that FEMA lacked a process to coordinate application reviews and made award decisions with differing levels of information. To better identify potential unnecessary duplication, GAO recommended that FEMA collect project-level information and enhance internal coordination and administration of the programs. DHS concurred and has taken steps to address GAO's recommendations. For example, the fiscal year 2013 and 2014 President's budgets proposed the establishment of the National Preparedness Grant Program (NPGP), a consolidation of 16 FEMA grant programs into a single program. Members of Congress raised questions about the NPGP and did not approve the proposal for fiscal year 2013. FEMA incorporated stakeholder views, as directed by Congress, and the fiscal year 2014 President's Budget again proposed the NPGP. If approved, and depending on its final form and execution, the NPGP could help mitigate the potential for unnecessary duplication and address GAO's recommendation to improve internal coordination. In March …

A letter report issued by the Government Accountability Office with an abstract that begins "The U.S. Postal Service (USPS) has developed numerous negotiated service agreements (NSA), sales, and promotions since the enactment of the Postal Accountability and Enhancement Act (PAEA) in 2006, and they generate a small but growing portion of USPS total revenue. PAEA established two categories of products: "market dominant," where USPS has a monopoly, and "competitive," which includes all other products, such as shipping services. NSAs, sales, and promotions are generally designed to encourage additional mail volume and revenue through temporary discounts on specific mail products. For example, USPS has offered promotions to incentivize mailers to invest in technology that may increase the value of mail for those mailers over the long-term. No NSAs, sales, or promotions followed the enactment of PAEA until regulations were issued in late 2007. The number of NSAs, sales, and promotions has increased most years since. The revenue generated from NSAs, sales, and promotions has also increased overall. The most revenue was generated by competitive NSAs. Financial results of competitive NSAs are not reported publicly. According to the Postal Regulatory Commission (PRC), which exercises regulatory oversight over USPS, nearly all competitive NSAs …

A letter report issued by the Government Accountability Office with an abstract that begins "Since GAO reported on competition in 2005, competition among video content producers is little changed, while competition among distributors has increased. According to data cited by the Federal Communications Commission (FCC), seven companies' broadcast and cable networks accounted for about 95 percent of all television viewing hours in the United States. Further, ownership of broadcast and cable networks changed little from 2005 through 2012. Alternatively, the introduction of video service provided by telephone companies, such as Verizon's FiOS service, has brought additional competition to video distribution. At year-end 2010, roughly 1 in 3 households could choose among 4 or more subscription video distributors: typically a cable company, 2 satellite companies, and a telephone company. With technological advances, companies are increasingly distributing video online. Online video distributors (OVD) are developing a variety of business models, including free and subscription-based services. However, online viewing and revenues represent a small portion of overall media viewing hours and revenue."

Correspondence issued by the Government Accountability Office with an abstract that begins "During our audit of IRS’s fiscal year 2011 financial statements, we identified new internal control deficiencies in the following areas:"

A letter report issued by the Government Accountability Office with an abstract that begins "Created in 1933 to insure bank deposits and promote sound banking practices, the Federal Deposit Insurance Corporation (FDIC) plays an important role in maintaining public confidence in the nation's financial system. FDIC administers the Deposit Insurance Fund (DIF), which protects bank and savings deposits, and the Federal Savings and Loan Insurance Corporation (FSLIC) Resolution Fund (FRF), which was created to close out the business of the former FSLIC. Section 17 of the Federal Deposit Insurance Act, as amended, requires GAO to annually audit the financial statements of the DIF and the FRF. GAO is responsible for obtaining reasonable assurance about whether FDIC's financial statements for the DIF and the FRF are presented fairly in all material respects, in conformity with U.S. generally accepted accounting principles, and whether FDIC maintained effective internal control over financial reporting, and for testing FDIC's compliance with selected laws and regulations."

A letter report issued by the Government Accountability Office with an abstract that begins "The Small Business Administration's (SBA) Historically Underutilized Business Zone (HUBZone) program provides federal contracting assistance to small firms located in economically distressed areas, with the intent of stimulating economic development. In July 2008 and March 2009, GAO reported on substantial vulnerabilities to fraud and abuse in the HUBZone application and monitoring process. GAO also found 10 HUBZone firms in the Washington, D.C., area and 19 firms in four other metropolitan areas in Alabama, California, and Texas that made fraudulent or inaccurate representations to get into or remain in the HUBZone program. Given the Committee's continued concern over fraud and abuse in the HUBZone program, GAO (1) performed additional proactive testing of SBA's HUBZone certification process, and (2) determined whether SBA has taken any actions against the 29 case study firms GAO identified in its prior work. Using publicly available resources to fabricate documents, GAO proactively tested SBA's application process by applying for HUBZone certification for four bogus businesses with fictitious owners and employees. GAO also interviewed SBA officials and reviewed SBA data about the 29 case study firms. GAO did not attempt to project the extent …

A letter report issued by the Government Accountability Office with an abstract that begins "The Social Security Administration (SSA) administers two of the nation's largest cash benefits programs for people with disabilities: the Social Security Disability Insurance (DI) program, which provides benefits to workers with disabilities and their family members, and the Supplemental Security Income (SSI) program, which provides income for individuals with disabilities who have limited income and resources. In 2008, SSA provided about $142 billion in financial benefits for these two programs. As part of the American Recovery and Reinvestment Act of 2009, the federal government also paid $250 to each SSA recipient, such as DI beneficiaries, SSI recipients, and old-age retirement beneficiaries. GAO was asked to (1) determine whether federal employees and commercial drivers and company owners may be improperly receiving disability benefits and (2) develop case study examples of individuals who fraudulently and/or improperly receive these benefits. To do this, GAO compared DI and SSI benefit data to civilian payroll records of certain federal agencies and carrier/driver records from the Department of Transportation (DOT) and 12 selected states. GAO also interviewed SSA disability beneficiaries and recipients."

Testimony issued by the Government Accountability Office with an abstract that begins "In fiscal year 2009, the Department of Defense (DOD) reported that it spent $4 billion to move troops and materiel into Afghanistan, a mountainous, arid, land-locked country with few roads, no railway, and only four airports with paved runways over 3,000 meters. The terrain and weather in Afghanistan and surrounding countries pose further challenges to transporting supplies and equipment. In December 2009, the President announced that an additional 30,000 U.S. troops will be sent to Afghanistan by August 2010. Today's testimony discusses GAO's preliminary observations drawn from ongoing work reviewing DOD's logistics efforts supporting operations in Afghanistan, including (1) the organizations involved and routes and methods used to transport supplies and equipment into and around Afghanistan; (2) steps DOD has taken to improve its distribution process, based on lessons learned from prior operations; and (3) challenges affecting DOD's ability to distribute supplies and equipment within Afghanistan, and its efforts to mitigate them. In conducting its audit work, GAO examined DOD guidance and other documentation relating to the processes of transporting supplies and equipment to Afghanistan and met with various cognizant officials and commanders in the United States, Afghanistan, …

Testimony issued by the Government Accountability Office with an abstract that begins "The Department of Homeland Security's (DHS) Domestic Nuclear Detection Office (DNDO) is responsible for addressing the threat of nuclear smuggling. Radiation detection portal monitors are key elements in the nation's defenses against such threats. DHS has sponsored testing to develop new monitors, known as advanced spectroscopic portal (ASP) monitors, to replace radiation detection equipment being used at ports of entry. DNDO expects that ASPs may offer improvements over current-generation portal monitors, particularly the potential to identify as well as detect radioactive material and thereby to reduce both the risk of missed threats and the rate of innocent alarms, which DNDO considers to be key limitations of radiation detection equipment currently used by Customs and Border Protection (CBP) at U.S. ports of entry. However, ASPs cost significantly more than current generation portal monitors. Due to concerns about ASPs' cost and performance, Congress has required that the Secretary of Homeland Security certify that ASPs provide a significant increase in operational effectiveness before obligating funds for full-scale ASP procurement. This testimony addresses (1) GAO findings on DNDO's latest round of ASP testing, and (2) lessons from ASP testing that can be …

Testimony issued by the Government Accountability Office with an abstract that begins "Recent cases of corporate fraud and mismanagement heighten the Department of Justice's (DOJ) need to appropriately punish and deter corporate crime. Recently, DOJ has made more use of deferred prosecution and non-prosecution agreements (DPAs and NPAs), in which prosecutors may require company reform, among other things, in exchange for deferring prosecution, and may also require companies to hire an independent monitor to oversee compliance. This testimony provides preliminary observations on (1) factors DOJ considers when deciding whether to enter into a DPA or NPA and setting the terms of the agreements, (2) methods DOJ uses to oversee companies' compliance, (3) processes by which monitors are selected, and (4) companies' perspectives regarding the costs and role of the monitor. It also includes the results of GAO's recently completed work on DOJ's efforts to document the monitor selection process (discussed in objective 3). GAO reviewed DOJ guidance and 57 of the 140 agreements negotiated from 1993 (when the first 2 were signed) through May 2009; and interviewed DOJ officials, officials from 17 companies, and 6 monitors. While not generalizable, these results provide insight into decisions about DPAs and NPAs."

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."

Correspondence issued by the Government Accountability Office with an abstract that begins "The purpose of this letter is to respond to Congressional request for information regarding the test and evaluation process conducted by the Department of Defense (DOD) of a specific synthetic lubricant called MILITEC-1 that is produced by Militec, Inc., and the assignment and cancellation of national stock numbers2 (NSN) associated with that product. Militec, Inc., has challenged DOD decisions not to include MILITEC-1 in the federal supply system. Specifically, we examined (1) the extent to which the military services have tested and evaluated MILITEC-1 as a small arms lubricant, as a metal conditioner, as a general purpose lubricant, and as a lubricant additive, and with what results; and (2) the extent to which the Defense Logistics Agency (DLA) followed applicable DOD procedures in assigning and subsequently canceling national stock numbers to MILITEC-1. In addition, we are providing in enclosure I a timeline on the efforts to test and evaluate, and assign and cancel, NSNs for MILITEC-1. MILITEC-1 is a dry, impregnated, synthetic-based metal conditioner that, at the time of our review, has been primarily marketed as a small arms lubricant, although it is also marketed as an automotive …

Testimony issued by the Government Accountability Office with an abstract that begins "The Highway Account within the Highway Trust Fund (HTF) is the principal means for funding federal highway programs. Administered by the Federal Highway Administration (FHWA) within the Department of Transportation (DOT), it channels about $33 billion in highway user excise taxes annually to states for highway and related spending. Estimated outlays from the Highway Account under the Safe, Accountable, Flexible, Efficient Transportation Equity Act--A Legacy for Users (SAFETEA-LU) exceeded estimated receipts throughout the authorization period--fiscal years 2005 through 2009. Furthermore, actual account receipts were lower than had been estimated and the account balance dropped more rapidly than anticipated, approaching zero in August, 2008. Congress subsequently approved legislation in September 2008 to appropriate $8 billion from the General Fund of the Treasury to replenish the account. Agency officials anticipate the account will reach a critical stage again before the end of fiscal year 2009, and estimate that about $15 billion will be needed to ensure account solvency through the end of fiscal year 2010. This statement summarizes GAO's past work on 1) the collection and distribution process for the Highway Account of the HTF, 2) options for improving long-term …

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 …

A letter report issued by the Government Accountability Office with an abstract that begins "In its role as the nation's tax collector, the Internal Revenue Service (IRS) has a demanding responsibility to annually collect trillions of dollars in taxes, process hundreds of millions of tax and information returns, and enforce the nation's tax laws. Since its first audit of IRS's financial statements in fiscal year 1992, GAO has identified a number of weaknesses in IRS's financial management operations. In related reports, GAO has recommended corrective actions to address those weaknesses. Each year, as part of the annual audit of IRS's financial statements, GAO makes recommendations to address any new weaknesses identified and follows up on the status of IRS's efforts to address the weaknesses GAO identified in previous years' audits. The purpose of this report is to (1) provide the status of audit recommendations and actions needed to fully address them and (2) demonstrate how the recommendations relate to control activities central to IRS's mission and goals."

Testimony issued by the Government Accountability Office with an abstract that begins "The U.S. Mission in Mexico is the Department of State's largest consular operation. In fiscal year 2007, it processed 1.5 million of the 8 million nonimmigrant visas (NIV) State handled worldwide. The U.S. Mission in Mexico also provided services, including passport processing and emergency assistance, to 20,000 American citizens in fiscal year 2007. This already significant consular workload is expected to increase dramatically in the coming years as millions of NIV Border Crossing Cards issued in Mexico between fiscal years 1998 and 2002 expire and need to be renewed. In addition, the implementation of new travel requirements under the Western Hemisphere Travel Initiative (WHTI) will, for the first time, require U.S. citizens to carry passports, or other approved documentation, when traveling between the United States and Mexico. This testimony addresses (1) State's estimates of the workload for consulates in Mexico through 2012 resulting from, in particular, new travel requirements and the reissue of Border Crossing Cards; and (2) the actions State has taken to ensure consulates in Mexico keep pace with projected workload increases through 2012. This testimony is based on work currently in process that involves analyzing …

A letter report issued by the Government Accountability Office with an abstract that begins "The attacks on 9/11 underscored the federal government's need to facilitate terrorism-related information sharing among government, private sector, and foreign stakeholders. In response, the Intelligence Reform and Terrorism Prevention Act of 2004 mandated the creation of the Information Sharing Environment (ISE), which is described as an approach for the sharing of terrorism-related information. A presidentially appointed Program Manager oversees ISE development with assistance from the Information Sharing Council (ISC), a forum for 16 information sharing officials from federal agencies and departments. GAO was asked to report on (1) what actions have been taken to guide the design and implementation of the ISE and (2) what efforts have been made to report on progress in implementing the ISE. To perform this work, GAO reviewed related laws, directives, guidance, and ISE planning and reporting documents and interviewed officials from the Program Manager's office and key agencies who serve on the ISC."

Testimony issued by the Government Accountability Office with an abstract that begins "The Kaiserslautern Military Community Center (KMCC) is one of many projects initiated at Ramstein Air Base to upgrade capabilities of the base as a result of the consolidation of military bases in Europe. The KMCC is intended to provide lodging, dining, shopping, and entertainment for thousands of U.S. military and civilian personnel and their families in the area. Construction on the project, which began in late 2003, was originally scheduled to be completed in early 2006. On June 28, 2007, GAO testified that construction deficiencies and mismanagement had drawn into question when the project would be completed and at what cost. This testimony discusses updated findings related to the KMCC project. The testimony describes (1) the current status of the KMCC construction project, (2) whether oversight and internal control improvements have been made by the Air Force since GAO's last testimony, and (3) if other projects recently completed in the KMCC area have experienced problems similar to those affecting the KMCC. To address the objectives, GAO interviewed officials from the U.S. Air Force, Army and Air Force Exchange Service (AAFES), Air Force Services Agency, U.S. Army Corps of …

Testimony issued by the Government Accountability Office with an abstract that begins "From the terrorist attacks of September 11, 2001, to Hurricane Katrina, homeland security risks vary widely. The nation can neither achieve total security nor afford to protect everything against all risks. Managing these risks is especially difficult in today's environment of globalization, increasing security interdependence, and growing fiscal challenges for the federal government. Broadly defined, risk management is a process that helps policymakers assess risk, strategically allocate finite resources, and take actions under conditions of uncertainty. GAO convened a forum of 25 national and international experts on October 25, 2007, to advance a national dialogue on applying risk management to homeland security. Participants included federal, state, and local officials and risk management experts from the private sector and academia. Forum participants identified (1) what they considered to be effective risk management practices used by organizations from the private and public sectors and (2) key challenges to applying risk management to homeland security and actions that could be taken to address them. Comments from the proceedings do not necessarily represent the views of all participants, the organizations of the participants, or GAO. Participants reviewed a draft of this report …

Correspondence issued by the Government Accountability Office with an abstract that begins "The Food and Drug Administration (FDA) is the agency responsible for ensuring the safety and effectiveness of medical devices--such as catheters and artificial hearts--marketed in the United States. As part of its regulatory responsibilities, FDA reviews applications submitted by medical device companies for devices they wish to market, including devices that are new or those that include modifications to already approved devices. The Medical Device User Fee and Modernization Act of 2002 (MDUFMA) authorized FDA, beginning in fiscal year 2003, to charge user fees for various types of device applications. User fees were intended to provide resources to FDA, to increase staffing for medical device reviews and speed the timeliness of reviews, in addition to resources otherwise provided through the annual appropriations process. Under MDUFMA, FDA is required to report to the congressional committees of jurisdiction annually on the implementation of the user fee program. FDA submitted financial reports that include information such as amounts collected from user fees, the costs of reviewing device applications, and staffing levels FDA dedicated to the review of medical device applications for each fiscal year from 2003 through 2005. In response to …

A letter report issued by the Government Accountability Office with an abstract that begins "In 2005, Hurricane Katrina's impact on the Gulf Coast included damage to the environment from chemical and hazardous materials releases. Also, the widespread demolition and renovation activities still under way in New Orleans may release asbestos fibers into the air, posing a potential additional health risk. This report, conducted at the Comptroller General's initiative, addresses (1) the Environmental Protection Agency's (EPA) actions to assess and mitigate Katrina's environmental impacts, (2) the extent to which EPA has assurance that public health is protected from asbestos inhalation risks in New Orleans, (3) the extent to which EPA's environmental health risk communications provided useful information to the public, and (4) challenges EPA faces in addressing environmental impacts."

A letter report issued by the Government Accountability Office with an abstract that begins "For years, GAO and others have reported that the National Aeronautics and Space Administration (NASA) does not maintain effective control over the $35 billion of property, plant, and equipment (PP&E) and materials that it reports on its financial statements. GAO's report, the first in a planned series, addresses whether NASA's control environment and internal controls over NASA-held equipment provide reasonable assurance that (1) these assets are not vulnerable to loss, theft, and misuse and (2) all equipment costs are appropriately recorded in the agency's financial statements. GAO evaluated the design of NASA's property management controls by reviewing agencywide and local policies, obtaining equipment loss reports for all NASA centers, and evaluating actions taken to hold employees accountable. To confirm its understanding of the design of NASA's property controls, GAO conducted on-site visits at two NASA centers and interviewed property management officials at the remaining seven NASA centers."