Testimony issued by the General Accounting Office with an abstract that begins "This testimony discusses the role of the Small Business Administration's (SBA) Disaster Loan Program in responding to the September 11, 2001, terrorist attacks, general performance measures for the program, and the effects of SBA's program to sell loans to private investors on disaster loans and their borrowers. In reviewing SBA's loan sales program, which includes disaster loans, we identified three areas needing improvement: tracking borrower inquiries and complaints; sales budgeting and accounting which affect the reliability of SBA financial statements and budget information; and reporting on the operational benefits of the loans sales. This testimony focuses on SBA's (1) response to the September 11 terrorist attacks; (2) performance plans and measures for its Disaster Loan program; and (3) loan assets sales program, which involves selling disaster and other loans."

Testimony issued by the General Accounting Office with an abstract that begins "This testimony discusses the results of security tests we performed in which agents of the Office of Special Investigations (OSI), acting in an undercover capacity, entered the United States from various countries in the Western Hemisphere using counterfeit documentation and fictitious identities. This work was initially undertaken at the request of the Senate Finance Committee and was continued at the request of the Subcommittee on Immigration, Border Security, and Claims, House Committee on the Judiciary. The purpose of our tests was to determine whether U.S. government officials conducting inspections at ports of entry would detect the counterfeit identification documents."

Testimony issued by the General Accounting Office with an abstract that begins "Title XI of the Merchant Marine Act of 1936, as amended, is intended to help promote growth and modernization of the U.S. merchant marine and U.S. shipyards by enabling owners of eligible vessels and shipyards to obtain financing at attractive terms. The program has guaranteed more than $5.6 billion in ship construction and shipyard modernization costs since 1993, but has experienced several large-scale defaults over the past few years. One borrower, American Classic Voyages, defaulted on five loan guarantees in amounts totaling $330 million, the largest of which was for the construction of Project America cruise ships. Because of concerns about the scale of recent defaults, GAO was asked to (1) determine whether MARAD complied with key program requirements, (2) describe how MARAD's practices for managing financial risk compare to those of selected private-sector maritime lenders, and (3) assess MARAD's implementation of credit reform. We are currently considering a number of recommendations to reform the Title XI program. Because of the fundamental flaws we have identified, we question whether MARAD should approve new loan guarantees without first addressing these program weaknesses."

Testimony issued by the General Accounting Office with an abstract that begins "With the aging of the veteran population, the Department of Veterans Affairs (VA) is likely to see a significant increase in long-term care need. VA uses noninstitutional long-term care services, such as home health care and adult day health care, and institutional care to meet this need. GAO identified limits in veterans' access to six noninstitutional long-term care services and factors that contribute to these limitations in its report VA Long-Term Care: Service Gaps and Facility Restrictions Limit Veterans' Access to Noninstitutional Care (GAO-03-487, May 9, 2003). The report is based, in part, on a survey of all 139 VA facilities. Today's testimony discusses conclusions and highlights recommendations GAO made in the report to improve access to VA noninstitutional long-term care services."

Testimony issued by the General Accounting Office with an abstract that begins "Improving the oversight and controlling the costs of major highway and bridge projects is important for the federal government, which often pays 80 percent of these projects' costs. Widespread consensus exists on the need to fund such projects, given the doubling of freight traffic and worsening congestion projected over the next 20 years, yet growing competition for limited federal and state funding dictates that major projects be managed efficiently and cost effectively. The Federal Highway Administration (FHWA) provides funding to the states for highway and bridge projects through the federal-aid highway program. This funding is apportioned to the states, and state departments of transportation choose eligible projects for funding. FHWA provides oversight to varying degrees, and, under the Transportation Equity Act for the 21st Century (TEA-21), FHWA and each state enter into an agreement documenting the types of projects the state will oversee. This statement for the record summarizes cost and oversight issues raised in reports and testimonies GAO has issued since 1995 on major highway and bridge projects and describes options that GAO has identified to enhance federal oversight of these projects, should Congress determine that such …

Testimony issued by the General Accounting Office with an abstract that begins "The Department of Veterans Affairs (VA) collects health insurance payments, known as third-party collections, for veterans' health care conditions it treats that are not a result of injuries or illnesses incurred or aggravated during military service. In September 1999, VA adopted a new fee schedule, called "reasonable charges," that it anticipated would increase revenues from third-party collections. In January 2003, GAO reported on VA's third-party collection efforts and problems in collections operations for fiscal year 2002 as well as VA's initiatives to improve collections (VA Health Care: Third-Party Collections Rising as VA Continues to Address Problems in Its Collections Operations, (GAO-03-145, Jan. 31, 2003)). GAO was asked to discuss its findings and update third-party collection amounts and agency plans to improve collections."

Testimony issued by the General Accounting Office with an abstract that begins "According to information in the Federal Procurement Data System (FPDS), in fiscal year 2001, small businesses received approximately 23 percent of federal contract dollars awarded. However, concerns have been raised that large companies are receiving federal contracts intended for small businesses."

Testimony issued by the General Accounting Office with an abstract that begins "SARS has infected relatively few people nationwide, but it has raised concerns about preparedness for large-scale infectious disease outbreaks. The initial response to an outbreak occurs in local agencies and hospitals, with support from state and federal agencies, and can involve disease surveillance, epidemiologic investigation, health care delivery, and quarantine management. Officials have learned lessons applicable to preparedness for such outbreaks from experiences with other major public health threats. GAO was asked to examine the preparedness of state and local public health agencies and hospitals for responding to a large-scale infectious disease outbreak and the relationship of federal and state planning for an influenza pandemic to preparedness for emerging infectious diseases. This testimony is based on Bioterrorism: Preparedness Varied across State and Local Jurisdictions, GAO-03-373 (Apr. 7, 2003); findings from a GAO survey on hospital emergency room capacity (in Hospital Emergency Departments: Crowded Conditions Vary among Hospitals and Communities, GAO-03-460 (Mar. 14, 2003)) and on hospital emergency preparedness; and information updating Influenza Pandemic: Plan Needed for Federal and State Response, GAO-01-4 (Oct. 27, 2000)."

Testimony issued by the General Accounting Office with an abstract that begins "From 1975 through 2002, annual traffic fatalities decreased from 44,525 to 42,850, while the rate of fatalities per 100 million vehicle miles traveled decreased from 3.35 to 1.51. However, decreases in fatalities have leveled off since the early 1990s. Since 1999, the number of alcohol-related fatalities has risen. In 1998, the Transportation Equity Act for the 21st Century funded a series of highway safety programs. These programs, administered by the National Highway Traffic Safety Administration (NHTSA), increased funding to the states for activities designed to encourage, among other things, the use of seat belts and to prevent drinking and driving. The states establish highway safety goals and initiate projects to help reach those goals. NHTSA provides advice, training, and technical assistance to states and can use management reviews and improvement plans as tools to help monitor and strengthen the states' performance. This testimony is based on two recent GAO reports that discuss the causes of motor vehicle crashes and related research, provide highway saftey trend data and information on federal highway safety funds and the states' uses of those funds, and review NHTSA's oversight of state highway safety …

Testimony issued by the General Accounting Office with an abstract that begins "Numerous federal government programs provide assistance to "transportation-disadvantaged" individuals--those who are unable to provide their own transportation as a result of a disability, an age-related condition, or an income constraint. The assistance is provided to help these populations connect with services such as health and medical care, employment and training activities, and education programs. Coordination of this assistance--through such steps as pooling resources, consolidating transportation services under a single state or local agency, and sharing information about available services--has been found to improve the cost-effectiveness and quality of service. GAO was asked to identify (1) the federal programs that provide these transportation services and the amount spent on these programs; (2) the effect of coordination--or lack of coordination--on the delivery of transportation services for the transportation-disadvantaged; and (3) any obstacles that may impede effective coordination and potential ways to overcome such obstacles."

Testimony issued by the General Accounting Office with an abstract that begins "People are at the heart of an organization's ability to perform its mission. Yet, a key challenge for the Department of Defense (DOD), as for many federal agencies, is to strategically manage its human capital. With about 700,000 civilian employees on its payroll, DOD is the second largest federal employer of civilians in the nation. Although downsized 38 percent between fiscal years 1989 and 2002, this workforce has taken on greater roles as a result of DOD's restructuring and transformation. DOD's proposed National Security Personnel System (NSPS) would provide for wide-ranging changes in DOD's civilian personnel pay and performance management, collective bargaining, rightsizing, and other human capital areas. The NSPS would enable DOD to develop and implement a consistent DOD-wide civilian personnel system. Given the massive size of DOD, the proposal has important precedent-setting implications for federal human capital management and OPM. This testimony provides GAO's preliminary observations on aspects of DOD's proposal to make changes to its civilian personnel system and discusses the implications of such changes for government-wide human capital reform. Past reports have contained GAO's views on what remains to be done to bring about …

Testimony issued by the General Accounting Office with an abstract that begins "This testimony provides information on two important tools state insurance regulators use to oversee the market activities of insurance companies--market analysis and market conduct examinations. Market analysis is generallly done in the state insurance departments. It consists of gathering and integrating information about insurance companies' operations in order to monitor market behavior and identify potential problems at an early stage. Market conduct examinations, which are generally done on site, are a review of an insurer's marketplace practices. The examination is an opportunity to verify data provided to the department by the insurer and to confirm that companies' internal controls and operational processes result in compliance with state laws and regulations. Specifically, this testimony focuses on (1) the states' use of market analysis and examinations in market regulation, and (2) the effectiveness of the National Association of Insurance Commissioners' (NAIC) efforts to improve these oversight tools and encourage the states to use them."

Testimony issued by the General Accounting Office with an abstract that begins "Taxpayers' willingness to voluntarily comply with tax laws depends in part on their confidence that friends, neighbors, and business competitors are paying their fair share of taxes. The Internal Revenue Service's (IRS) programs to ensure compliance and to collect delinquent taxes are viewed by many as critical for maintaining the public's confidence in our tax system. Congress asked GAO to present information on trends in IRS's compliance and collection programs and to discuss issues related to IRS's efforts to increase staffing for these programs. GAO was also asked to discuss IRS's plans to launch new initiatives to reduce noncompliance with the Earned Income Tax Credit (EIC) and to use private collection agencies to assist in collecting delinquent taxes."

Testimony issued by the General Accounting Office with an abstract that begins "In previous GAO reports and testimonies on the Department of Veterans Affairs (VA), and in its ongoing reviews, GAO identified major management challenges related to enhancing access to health care, improving the efficiency of health care delivery, and improving the effectiveness of disability programs. This testimony underscores the importance of continuing to make progress in addressing these challenges and ultimately overcoming them."

Testimony issued by the General Accounting Office with an abstract that begins "Congress passed the IRS Restructuring and Reform Act of 1998 in response to frustration with the Internal Revenue Service's (IRS) inability to effectively carry out its mission. IRS's inability to deliver new computer systems that worked, allegations of abuse of taxpayers by IRS employees, and taxpayers greeted by busy signals when calling IRS for assistance all fed the frustration. The act set two goals for IRS--improve service to taxpayers while continuing to enforce compliance with the tax laws. The act also mandated annual joint congressional oversight hearings, of which this is the fifth and final."

Testimony issued by the General Accounting Office with an abstract that begins "The Subcommittee on Government Efficiency and Financial Management, House Committee on Government Reform asked GAO to testify on the Improper Payments Information Act (PL-107-300) and related draft guidance issued by the Office of Management and Budget (OMB), and on GAO recommendations to agencies on actions they can take to prevent or reduce improper payments."

Testimony issued by the General Accounting Office with an abstract that begins "Social Security covers about 96 percent of all US workers; the vast majority of the rest are state, local, and federal government employees. While these noncovered workers do not pay Social Security taxes on their government earnings, they may still be eligible for Social Security benefits. This poses difficult issues of fairness, and Social Security has provisions that attempt to address those issues, but critics contend these provisions are themselves often unfair. Congress asked GAO to discuss these provisions as well as the implications of mandatory coverage for public employees."

Testimony issued by the General Accounting Office with an abstract that begins "The District of Columbia (D.C.) Child and Family Services Agency (CFSA) is responsible for protecting children at risk of abuse and neglect and ensuring that critical services are provided for them and their families. GAO was asked to discuss the extent to which CFSA has (1) met the requirements of the Adoption and Safe Families Act (ASFA) of 1997 and other selected performance criteria, (2) adopted and implemented child protection and foster care placement policies, and (3) enhanced its working relationship with the D.C. Family Court. To address these questions, GAO analyzed data in the District's automated child welfare information system, known as FACES; reviewed laws, regulations, and reports; examined case files; and interviewed officials."

Testimony issued by the General Accounting Office with an abstract that begins "The anthrax attacks of 2001 resulted in 23 cases of the disease, 5 deaths, and the contamination of numerous U.S. Postal Service facilities, including the Southern Connecticut Processing and Distribution Center in Wallingford, Connecticut (the Wallingford facility). But none of the workers at the Wallingford facility contracted the disease from the anthrax contamination. As a result, GAO was asked to examine the adequacy of methods used to determine whether the Wallingford facility and other postal facilities were contaminated. In this testimony, GAO presents its preliminary findings concerning the test results for the Wallingford facility: (1) the collection of samples to detect anthrax, (2) the meaning of the test results, and (3) the communication of the test results to workers."

Testimony issued by the General Accounting Office with an abstract that begins "By the end of 2002, more than 40 million people worldwide were living with human immunodeficiency virus/acquired immunodeficiency syndrome (HIV/AIDS), with 5 million newly infected that year. HIV/AIDS, along with tuberculosis (TB) and malaria, causes nearly 6 million deaths per year and untold human suffering. Established in January 2002, the Global Fund (the Fund) aims to rapidly disburse grants to augment existing spending on the prevention and treatment of these three diseases while maintaining sufficient oversight of financial transactions and program effectiveness. As of April 1, 2003, the United States had pledged $1.65 billion to the Fund and is expected to remain its single largest donor. In this study, GAO was asked to assess (1) the Fund's progress in developing governance structures; (2) the systems that the Fund has developed for ensuring financial accountability, monitoring and evaluating grant projects, and procuring goods and services; (3) the Fund's efforts to raise money; and (4) its grant-making process. In responding to our draft report, the Fund, the Department of Health and Human Services, the Department of State, and the U.S. Agency for International Development agreed with our findings."

Testimony issued by the General Accounting Office with an abstract that begins "Since 1998, the 34 democratic nations of the Western Hemisphere have been negotiating a Free Trade Area of the Americas agreement to eliminate tariffs and create common trade and investment rules for these nations. The United States will co-chair, with Brazil, the final phase of the negotiations, due to conclude in January 2005. GAO was asked to (1) review challenges that the United States faces as co-chair of the final negotiating phase and (2) discuss risks that the United States may encounter, as host, in Miami, of the November 2003 ministerial meeting."

Testimony issued by the General Accounting Office with an abstract that begins "DOD is in the midst of a major transformation effort including a number of initiatives to transform its forces and improve its business operations. DOD's legislative initiative would provide for major changes in civilian and military human capital management, make major adjustments in the DOD acquisition process, affect DOD's organization structure, and change DOD's reporting requirements to Congress, among other things. DOD's proposed National Security Personnel System (NSPS) would provide for wide-ranging changes in DOD's civilian personnel pay and performance management, collective bargaining, rightsizing, and a variety of other human capital areas. The NSPS would enable DOD to develop and implement a consistent DOD-wide civilian personnel system. This testimony provides GAO's preliminary observations on aspects of DOD's legislative proposal to make changes to its civilian personnel system and discusses the implications of such changes for governmentwide human capital reform. This testimony summarizes many of the issues discussed in detail before the Subcommittee on Civil Service and Agency Organization, Committee on Government Reform, House of Representatives on April 29, 2003."

Testimony issued by the General Accounting Office with an abstract that begins "The President established this Commission to examine the state of the U.S. Postal Service (the Service) and submit a report by July 31, 2003, with a proposed future vision for the Service and recommendations to ensure the viability of postal services. GAO has provided congressional committees with many reports and testimonies on postal matters, and this testimony is based largely on these prior reports and testimonies. In April 2001, GAO put the Service's long-term financial outlook and transformation on its High-Risk List for several reasons. The Service was experiencing significant deficits, severe cash-flow pressures, rising debt, cost growth outpacing revenue increases, limited productivity gains, and liabilities in excess of assets. Under its 1970s-era business model, the Service was relying on raising rates and incrementally reducing costs to carry out its mission. GAO concluded that this business model was not sustainable in today's competitive environment. The Commission's report will be an important guide for comprehensive postal transformation. In this testimony, GAO presents key issues the Commission should consider to enhance the long-term financial viability of the Service by making it a more results-oriented and efficient organization."

Correspondence issued by the General Accounting Office with an abstract that begins "On April 1, we testified before the Subcommittee on Civil Service and Agency Organization, House Committee on Government Reform at a hearing on "Compensation Reform: How Should the Federal Government Pay Its Employees?" This letter responds to a request that we provide answers to follow-up questions from the hearing."