Correspondence issued by the Government Accountability Office with an abstract that begins "In response to a Congressional request, we briefed Congressional staff on September 21, 2006, on the results of our review of two appraisal reports prepared for a proposed land exchange contained within the pending bill H.R. 5025, the Mount Hood Stewardship Legacy Act. This bill would authorize the exchange of private land and business interests at Cooper Spur for Forest Service land at Government Camp in Oregon. Specifically, Congress asked that we determine whether the appraisal reports supporting this land exchange were prepared in compliance with recognized appraisal standards, namely, appraisal industry standards as defined in the Uniform Standards of Professional Appraisal Practices (USPAP) and federal standards as defined in the Uniform Appraisal Standards for Federal Land Acquisitions (UASFLA)."

Correspondence issued by the Government Accountability Office with an abstract that begins "During the course of our work for Congress examining the space acquisition workforce, we learned that the Department of Defense (DOD) may not be periodically publishing a list of designated critical acquisition positions as required by statute. We are bringing this matter to your attention not only because it is a requirement to publish this data, but because having it is critical to effectively managing DOD's current workforce. Operating without this critical information may result in flawed decisions regarding this part of the workforce and may put the organization's ability to sustain its mission or function effectively at risk. The designation "critical acquisition positions," according to the 1990 Defense Acquisition Workforce Improvement Act (DAWIA), refers to certain senior-level military and civilian positions that carry significant responsibility and primarily consist of supervisory, oversight, and management duties in the DOD acquisition system. They are a key factor in ensuring that DOD acquisitions--some of which are very expensive and critical to the success of current combat operations--are effectively managed. In accordance with DAWIA and as was later codified in Title 10 of the United States Code, the Secretary of Defense is …

Correspondence issued by the Government Accountability Office with an abstract that begins "Since 1992, GAO has published long-term fiscal simulations of what might happen to federal deficits and debt levels under varying policy assumptions. GAO developed its long-term model in response to a bipartisan request from Members of Congress who were concerned about the long-term effects of fiscal policy. In 1992 GAO said: "The federal budget is structurally unbalanced. This will do increasing damage to the economy and is unsustainable in the long term. Regardless of the approach chosen, prompt and meaningful action is essential. The longer it is delayed, the more painful it will be." These words are as relevant today as when GAO first published them. GAO updates its simulations three times a year as new estimates become available from the Congressional Budget Office's (CBO) Budget and Economic Outlook (January), Social Security and Medicare Trustees Reports (early spring), and CBO's Budget and Economic Outlook: An Update (late summer)."

Correspondence issued by the Government Accountability Office with an abstract that begins "On March 9, 2006, we testified before Congress at a hearing entitled, "Reporting Improper Payments: A Report Card on Agencies' Progress." At the hearing, we discussed our findings on federal agencies' challenges in meeting the requirements of the Improper Payments Information Act (IPIA) of 2002 based on our review of agencies' fiscal year 2005 performance and accountability reports (PAR) and annual reports. We were asked to provide answers to the following follow-up questions relating to our March 9, 2006, testimony: (1) What concerns does GAO have regarding not only DHS' inability to comply with the Improper Payments Information Act; but on a greater scale with their overall financial management? (2) About which Agencies that reported in their fiscal year 2005 Performance and Accountability Report that they had no programs susceptible to significant improper payments does GAO have concerns about? (3) Should "unavoidable overpayment" statistics at the Social Security Administration (SSA) be reported to the Office of Management and Budget, and if so why would this be important, and how could the Social Security Administration implement such a process? (4) What concerns does GAO have with the Agency for …

Testimony issued by the Government Accountability Office with an abstract that begins "The Office of Management and Budget (OMB) reports on federal funding for climate research and to develop technologies to reduce greenhouse gas emissions, among other things. The Climate Change Science Program (CCSP), which coordinates many agencies' activities, also reports on science funding. The Environmental Protection Agency's (EPA's) Climate Leaders and the Department of Energy's (DOE's) Climate VISION programs aim to reduce such emissions through voluntary industry efforts. This testimony is based on GAO's August 2005 report Climate Change: Federal Reports on Climate Change Funding Should Be Clearer and More Complete (GAO-05-461) and its April 2006 report Climate Change: EPA and DOE Should Do More to Encourage Progress Under Two Voluntary Programs (GAO-06-97), which addressed (1) reported changes in federal climate change funding and (2) the status and progress of two federal voluntary climate programs."

Testimony issued by the Government Accountability Office with an abstract that begins "Under the administration's National Energy Policy, the Department of Energy (DOE) is promoting nuclear energy to meet increased U.S. energy demand. In 2003, DOE began developing the Next Generation Nuclear Plant, an advanced nuclear reactor that seeks to improve upon the current generation of operating commercial nuclear power plants. DOE intends to demonstrate the plant's commercial application both for generating electricity and for using process heat from the reactor for the production of hydrogen, which then would be used in fuel cells for the transportation sector. The Energy Policy Act of 2005 required plant design and construction to be completed by 2021. This testimony, which summarizes a GAO report being issued today (GAO-06-1056), provides information on DOE's (1) progress in meeting its schedule for the Next Generation Nuclear Plant project and (2) approach to ensuring the project's commercial viability. For the report, GAO reviewed DOE's research and development (R&D) plans for the project and the reports of two independent project reviews, observed R&D activities, and interviewed DOE, Nuclear Regulatory Commission (NRC), and industry representatives."

Correspondence issued by the Government Accountability Office with an abstract that begins "The Department of Homeland Security (DHS) Financial Accountability Act, Public Law Number 108-330, requires DHS management to provide an assertion on the internal control that applies to financial reporting for fiscal year 2005 and to obtain an auditor's opinion on the department's internal control over its financial reporting for fiscal year 2006. The act also directs the Chief Financial Officers (CFO) Council and the President's Council on Integrity and Efficiency (PCIE) to conduct a joint study, and report to the Congress and to the Comptroller General of the United States, on the potential costs and benefits of requiring agencies subject to the Chief Financial Officers Act of 1990 to obtain audit opinions of their internal control over financial reporting. The DHS Financial Accountability Act also requires that the Comptroller General of the United States review the joint study and report the results of this analysis to the Congress. In December 2005, we briefed available committee staff on our preliminary analysis of the joint study. This report provides further details on our review and on our views regarding a requirement for federal agencies to obtain audit opinions on their …

Testimony issued by the Government Accountability Office with an abstract that begins "The Office of Management and Budget (OMB) plays a key role in overseeing federal IT investments. The Clinger-Cohen Act, among other things, requires OMB to establish processes to analyze, track, and evaluate the risks and results of major capital investments in information systems made by agencies and to report to Congress on the net program performance benefits achieved as a result of these investments. OMB has developed several processes to help carry out its role. For example, OMB began using a Management Watch List several years ago as a means of identifying poorly planned projects based on its evaluation of agencies' funding justifications for major projects, known as exhibit 300s. In addition, in August 2005, OMB established a process for agencies to identify high risk projects, i.e., projects requiring special attention because of one or more reasons specified by OMB, and to report on those that are poorly performing or not meeting performance criteria. GAO recently issued reports on the Management Watch List, high risk projects, and agencies' exhibit 300s. GAO was asked to summarize (1) the number of projects and the fiscal year 2007 dollar value of …

Correspondence issued by the Government Accountability Office with an abstract that begins "As part of the Army's ongoing transformation efforts, in October 1999 the Army announced the Stryker brigade concept. The Stryker brigade is a unit designed to provide the Army with a rapidly deployable force that is capable of operating against the full spectrum of military threats. To meet the Army's requirements for being rapidly deployable and combat capable, the Stryker brigade relies on new sustainment concepts, such as minimizing the number of personnel and spare parts within the brigade and reaching back to assets outside the brigade for support, which are not found in other existing Army brigades. In a span of 6 years, the Army announced its intention to create a new brigade, chose a vehicle, tested the operational concept, and deployed three brigades in support of Operation Iraqi Freedom. The Army is also sending one Stryker brigade for a second rotation to Iraq and is developing four additional Stryker brigades. To support the accelerated development and deployment timeline, the Army relied on contractors to support some equipment within the Stryker brigade, such as the Stryker vehicle and computer and communication systems. The largest group of contractor …

Correspondence issued by the Government Accountability Office with an abstract that begins "Authoritative bodies have promulgated laws, accounting standards, information system requirements, and related guidance to emphasize the need for cost information and cost management in the federal government. For example, the Chief Financial Officers (CFO) Act of 1990 contains several provisions related to managerial cost accounting (MCA), one of which states that an agency's CFO should develop and maintain an integrated accounting and financial management system that provides for the development and reporting of cost information. Statement of Federal Financial Accounting Standards No.4, Managerial Cost Accounting Concepts and Standards for the Federal Government, and the Joint Financial Management Improvement Program's (JFMIP) Framework for Federal Financial Management Systems established accounting standards and system requirements for MCA information at federal agencies. The Federal Financial Management Improvement Act of 1996 built on this foundation and required, among other things, CFO Act agencies to comply substantially with federal accounting standards and federal financial management systems requirements. In light of the requirements for federal agencies to prepare MCA information, Congress asked us to determine the extent to which federal agencies develop cost information and use it for managerial decision making. The objectives of our …

Correspondence issued by the Government Accountability Office with an abstract that begins "The United States has worked for decades to achieve a resolution to the Israeli-Palestinian conflict through initiatives such as the 1993 Oslo Accords and the more recent 2003 Roadmap for Peace. During fiscal years 1993 through 2005, the United States provided more than $2 billion in assistance to Palestinians in the West Bank and Gaza, including nearly $275 million in fiscal year 2005, to help achieve this goal. In particular, the 2005 assistance was provided to support the president of the Palestinian Authority, elected in January 2005, and to facilitate the Israeli disengagement from parts of the West Bank and Gaza, among other things. This assistance, primarily administered by the U.S. Agency for International Development (USAID), has been directed mainly toward five development sectors: economic growth, water and infrastructure, democracy and governance, health, and higher education. In recent years, the United States has taken several steps to help ensure that U.S. resources, including its aid to the West Bank and Gaza, do not support terrorist activities. On September 23, 2001, President Bush issued an executive order prohibiting the support of any organization or individuals that have been designated …

Testimony issued by the Government Accountability Office with an abstract that begins "People are critical to the success of the federal government's overall transformation effort. Yet the government has not transformed, in many cases for decades, how it classifies, compensates, develops, and motivates its employees to achieve maximum results with available resources and existing authorities. This is especially the case with the federal government's top leadership and federal justices and judges. Leading organizations understand that they must often change their culture to successfully transform themselves, and that such a change starts with top leadership. Most importantly, senior leaders who are drivers of continuous improvement are needed to stimulate and support efforts to facilitate change and achieve related transformation efforts for the federal government. At the Chairman's request, we recently reported on executive and judicial pay--Human Capital: Trends in Executive and Judicial Pay (GAO-06-708). This testimony highlights information from that report."

Testimony issued by the Government Accountability Office with an abstract that begins "The government's senior executives need to lead the way in transforming their agencies' cultures. Credible performance management systems--those that align individual, team, and unit performance with organizational results--can help manage and direct this process. In past work, GAO found that the performance management systems for senior executives fell short in this regard. In November 2003, recognizing that reforms were needed, Congress authorized a new performance-based pay system that ended the practice of giving annual pay adjustments to senior executives. Instead, agencies are to consider such factors as individual results and contributions to agency performance. If the Office of Personnel Management (OPM) certifies an agency's new performance system and the Office of Management and Budget (OMB) concurs, the agency has the flexibility to raise the pay of its highest performing senior executives above certain pay caps. This testimony addresses (1) the performance management system's regulatory structure, (2) OPM's certification process and agencies' views of it, and (3) OPM's role in monitoring the system, and the number of agencies that have been certified to date. This statement is based on GAO's issued work, which included interviews with senior OPM officials, …

Testimony issued by the Government Accountability Office with an abstract that begins "Responders to the World Trade Center (WTC) attack--individuals involved in rescue, recovery, or cleanup--included New York City Fire Department (FDNY) personnel, federal government workers, and others from New York and elsewhere. They were exposed to numerous hazards, and concerns remain about the long-term effects on their physical and mental health. In February 2006, GAO testified that four of the five key federally funded programs that were monitoring health effects in responders had made progress but that the Department of Health and Human Services' (HHS) WTC Federal Responder Screening Program, implemented by the Office of Public Health Emergency Preparedness (OPHEP), lagged behind (GAO-06-481T). GAO also reported that the Congress appropriated $75 million in December 2005 to HHS's Centers for Disease Control and Prevention (CDC) for monitoring and treatment for responders and that CDC was deciding how to allocate the funds. This statement updates GAO's February 2006 testimony. GAO examined (1) progress made by HHS's WTC federal responder program and (2) actions CDC has taken to award the $75 million appropriated. GAO reviewed program documents and interviewed HHS officials and others involved in WTC monitoring and treatment programs."

Testimony issued by the Government Accountability Office with an abstract that begins "The Department of Defense's (DOD) spending on goods and services has grown significantly since fiscal year 2000 to well over $250 billion annually. Prudence with taxpayer funds, widening deficits, and growing long-range fiscal challenges demand that DOD maximize its return on investment, while providing warfighters with the needed capabilities at the best value for the taxpayer. DOD needs to ensure that its funds are spent wisely, and that it is buying the right things, the right way. In this testimony, GAO discusses (1) recent trends in DOD contracting activity and the environment in which this activity takes place, and (2) practices which undermine its ability to establish sound business arrangements, particularly those involving the selection and oversight of DOD's contractors and incentivizing their performance. This statement is based on work GAO has completed over the past 6 years covering a range of DOD acquisition and contracting issues. Some of these issues are long-standing. GAO has identified DOD contract management as a high-risk area for more than decade. With awards to contractors large and growing, DOD will continue to be vulnerable to contracting fraud, waste or misuse of taxpayer …

Testimony issued by the Government Accountability Office with an abstract that begins "The U.S. commercial aviation industry has had an extraordinary safety record in recent years. However, expected increases in air-traffic--including the introduction of new vehicles into the national airspace, such as unmanned vehicles and very light jets--and human resource issues, present challenges that have the potential to strain the existing safety oversight system. GAO's testimony focuses on these questions: (1) How is the Federal Aviation Administration (FAA) ensuring that the areas of highest safety risk are addressed? (2) How is FAA ensuring that its staff maintain the skills and knowledge to consistently carry out the agency's oversight programs? and (3) What are the key safety challenges facing FAA? This statement is based on our recent reports on FAA's inspection oversight programs, industry partnership programs, and enforcement and training programs. It is also based on interviews with FAA and relevant industry officials."

Testimony issued by the Government Accountability Office with an abstract that begins "The Senate Special Committee on Aging asked GAO to follow up on its 2004 report, Guardianships: Collaboration Needed to Protect Incapacitated Elderly People, GAO-04-655. This report covered what state courts do to ensure that guardians fulfill their responsibilities, what exemplary guardianship programs look like, and how state courts and federal agencies work together to protect incapacitated elderly people. For this testimony, GAO agreed to (1) provide an overview and update of the findings of this prior work; (2) discuss the status of a series of recommendations GAO made in that report; and (3) discuss the prospects for progress in efforts to strengthen protections for incapacitated elderly people through guardianships. To complete this work, GAO interviewed lawyers and agency officials who have been actively involved in guardianship and representative payee programs, and spoke with officials at some of the courts identified as exemplary in the report."

Testimony issued by the Government Accountability Office with an abstract that begins "Increasing computer interconnectivity has revolutionized the way that our nation and much of the world communicate and conduct business. While the benefits have been enormous, this widespread interconnectivity also poses significant risks to our nation's computer systems and, more importantly, to the critical operations and infrastructures they support. The Homeland Security Act of 2002 and federal policy establish DHS as the focal point for coordinating activities to protect the computer systems that support our nation's critical infrastructures. GAO was asked to summarize recent reports on (1) DHS's responsibilities for cybersecurity-related critical infrastructure protection and for recovering the Internet in case of a major disruption (2) challenges facing DHS in addressing its cybersecurity responsibilities, including leadership challenges, and (3) recommendations to improve the cybersecurity of national critical infrastructures, including the Internet."

Testimony issued by the Government Accountability Office with an abstract that begins "Alternative mortgage products (AMPs) can make homes more affordable by allowing borrowers to defer repayment of principal or part of the interest for the first few years of the mortgage. Recent growth in AMP lending has heightened the importance of borrowers' understanding and lenders' management of AMP risks. GAO's report discusses the (1) recent trends in the AMP market, (2) potential AMP risks for borrowers and lenders, (3) extent to which mortgage disclosures discuss AMP risks, and (4) federal and selected state regulatory response to AMP risks. GAO used regulatory and industry data to analyze changes in AMP monthly payments under various scenarios; reviewed available studies; and interviewed relevant federal and state regulators and mortgage industry groups, and consumer groups."

Testimony issued by the Government Accountability Office with an abstract that begins "Among other things, the Office of National Capital Region Coordination is to coordinate efforts within the National Capital Region (NCR) to ensure execution of domestic preparedness activities. In our May 2004 report and June 2004 testimony before the House Government Reform Committee, GAO recommended that the NCR develop a strategic plan to establish and monitor the achievement of regional goals and priorities for emergency preparedness and response. GAO subsequently testified on the status of the NCR's strategic planning efforts before the Subcommittee on Oversight of Government Management, the Federal Workforce, and the District of Columbia in July 2005 and March 2006. The Subcommittee asked GAO to provide comments on the NCR's strategic plan, which the NCR partners approved in September 2006. In this testimony, GAO discusses its assessment of the recently completed NCR homeland security strategic plan and the extent to which the new plan includes desirable strategic plan characteristics and how the substance of the plan might be further strengthened when the plan is reviewed and possibly revised."

Testimony issued by the Government Accountability Office with an abstract that begins "The International Atomic Energy Agency's (IAEA) safeguards system has been a cornerstone of U.S. efforts to prevent nuclear weapons proliferation since the Treaty on the Non-Proliferation of Nuclear Weapons (NPT) was adopted in 1970. Safeguards allow IAEA to verify countries' compliance with the NPT. Since the discovery in 1991 of a clandestine nuclear weapons program in Iraq, IAEA has strengthened its safeguards system. In addition to IAEA's strengthened safeguards program, there are other U.S. and international efforts that have helped stem the spread of nuclear materials and technology that could be used for nuclear weapons programs. This testimony is based on GAO's report on IAEA safeguards issued in October 2005 (Nuclear Nonproliferation: IAEA Has Strengthened Its Safeguards and Nuclear Security Programs, but Weaknesses Need to Be Addressed, GAO-06-93 [Washington, D.C.: Oct. 7, 2005]). This testimony is also based on previous GAO work related to the Nuclear Suppliers Group--a group of more than 40 countries that have pledged to limit trade in nuclear materials, equipment, and technology to only countries that are engaged in peaceful nuclear activities--and U.S. assistance to Russia and other countries of the former Soviet Union …

Other written product issued by the Government Accountability Office with an abstract that begins "This document presents the results of GAO's survey of federal Enterprise Communities (EC) that were designated in the first round of the Empowerment Zone and Enterprise Community program in 1994. Round I ECs received $2.95 million in program grants and businesses in the ECs could use a program tax-exempt bond. The purpose of our survey was to collect data describing how Round I ECs implemented the program. Questionnaire items covered the types of governance structures ECs established, number of programs they implemented, usage of the program tax-exempt bond, and perceptions of factors influencing changes observed in poverty, unemployment, and economic growth in the ECs. We administered an e-mail survey to officials from the 60 Round I ECs--33 urban and 27 rural--that were still in operation as of June 2005 and did not receive additional designations under the Empowerment Zone or Renewal Community programs. We chose to exclude ECs that received subsequent designations, because we did not want their responses to be influenced by the benefits received under the additional designations. We created two versions of the questionnaire, one for urban ECs and another for rural ECs, …

Testimony issued by the Government Accountability Office with an abstract that begins "The transition to the Next Generation Air Transportation System (NGATS)--a system intended to safely accommodate a possible tripling of air traffic by 2025--will become one of the federal government's most comprehensive and technically complex undertakings, and a preliminary estimate indicates it will also be expensive. However, the current approach to managing air transportation is becoming increasingly inefficient and operationally obsolete. In 2003, Congress authorized the creation of the Joint Planning and Development Office (JPDO) to coordinate the efforts of several federal partner agencies--including the Federal Aviation Administration (FAA), in which JPDO is housed--to plan for and develop NGATS. GAO's testimony addresses (1) the current estimate and uncertainties over NGATS costs, (2) advantages and concerns that stakeholders have raised about the current approach to collecting revenues from national airspace users to fund FAA, (3) the advantages and disadvantages of adopting alternative funding options for FAA, and (4) the advantages and disadvantages of authorizing FAA to use debt financing for capital projects. This testimony is based in part on GAO's analysis of FAA and JPDO documents and interviews with officials of those two agencies."

Testimony issued by the Government Accountability Office with an abstract that begins "The United States, along with its coalition partners and various international organizations, has undertaken a challenging, complex, and costly effort to stabilize and rebuild Iraq. The Department of Defense (DOD) has responsibility for a significant portion of the reconstruction effort. Amid signs of progress, the coalition faces numerous political, security, and economic challenges in rebuilding Iraq. Within this environment, many reconstruction projects have fallen short of expectations, resulting in increased costs, schedule delays, reduced scopes of work, and in some cases project cancellations. This testimony (1) discusses the overall progress that has been made in rebuilding Iraq and (2) describes challenges faced by DOD in achieving successful outcomes on individual projects. This testimony reflects our reviews of reconstruction and DOD contract management issues, as well as work of the Special Inspector General for Iraq Reconstruction. In our previous reports, we have made several recommendations to improve outcomes in Iraq. DOD generally agreed with our recommendations."