A letter report issued by the General Accounting Office with an abstract that begins "The Government Performance and Results Act calls for agencies to address human capital in the context of performance-based management. The act requires that annual performance plans describe how agencies will use their human capital to accomplish their goals and objectives. Designing, implementing, and maintaining a strategic human capital management focus are critical to maximizing performance and ensuring that government is accountable to the American people. GAO found that the human capital challenges described in fiscal year 2001 performance plans reflected the different levels of attention agencies are to pay this critical issue. GAO contends that the breadth, depth, and specificity of many related human capital goals and strategies needs to be increased. The plans' discussions of human capital increasingly need to focus on describing human capital challenges. The plans need to specify the what, why, how, and when of the strategies to address those challenges. The discussions should also better link human capital management and the agencies' strategic and program planning to maximize performance and ensure optimal resource allocation. Overall, the fiscal year 2001 plans showed that substantial opportunities exist for goals and strategies as they …

A letter report issued by the General Accounting Office with an abstract that begins "In November 1997, the President called for the Department of Veterans Affairs (VA) and the Department of Defense (DOD) to create an interface that would allow the two agencies to share patient health information. By allowing health care providers to electronically share comprehensive patient information, computer-based patient record's (GCPR) should help VA, DOD, and the Indian Health Service (IHS) to improve the quality of care for their beneficiaries. But without a lead entity, a clear mission, and detailed planning to achieve that mission, it is difficult to monitor progress, identify project risks, and develop appropriate contingency plans to keep the project moving forward and on track. Critical project decisions were not made, and the agencies were not bound by those that were made. The VA and DOD Chief Information Officers' (CIO) action to focus on short-term deliverables and to capitalize on existing technologies is warranted and a step in the right direction. However, until problems with the two agencies' existing systems and issues regarding planning, management, and accountability are resolved, project costs will likely continue to increase and implementation of the larger GCPR effort--and its expected …

A letter report issued by the General Accounting Office with an abstract that begins "This report reviews the Department of Justice's Antitrust Division's overall policies and procedures for carrying out its statutory responsibilities, particularly as they apply to the agriculture industry. GAO describes (1) the Division's interaction with the Federal Trade Commission (FTC) and the Department of Agriculture (USDA) with regard to antitrust matters in the agriculture industry, (2) the number of complaints and leads in the agriculture industry received by the Division for fiscal years 1997 through 1999, and (3) the number and types of closed matters in the agriculture industry for fiscal years 1997 through 1999. GAO also describes the Division's policies for and procedures for investigating potential anti-trust violations. GAO found that the Division (1) maintains a cooperative working relationship with regard to anticompetitive matters in the agriculture industry with FTC and USDA, (2) received an estimated 165 complaints and leads related to the agriculture industry in fiscal years 1997 through 1999, (3) closed 1,050 matters during that period."

A letter report issued by the General Accounting Office with an abstract that begins "This report discusses the facts surrounding the ability of the Clinton White House to preserve certain electronic mail (e-mail) deemed official government records. GAO found that two malfunctions occurred in the White House e-mail system that prevented official records from being properly recorded in the Automated Records Management System (ARMS). The first problem involved an anomaly with incoming Internet e-mail users of the "Mail2" e-mail server. The second problem surfaced while the contractor was trying the resolve the first problem. During its efforts to determine the cause of the Mail2 e-mail errors, the letter D was deleted from a key piece of software, causing the ARMS scanner to skip e-mail accounts of users with first names beginning with the letter D. The White House began a costly and time-consuming project to recover e-mail records that had not been effectively managed. Several factors contributed to the cost and scope of the tape restoration project, including the contractor's performance of tape management and systems maintenance and legal scrutiny of e-mail malfunctions by external authorities."

A letter report issued by the General Accounting Office with an abstract that begins "GAO audited the financial statements of the Capitol Preservation Fund for fiscal years 2000 and 1999. GAO found that the financial statements were presented fairly in conformity with U.S. generally accepted accounting principles, contained no material weaknesses in internal control over financial reporting (including safeguarding assets) and complied with the provisions of laws and regulations tested."

A letter report issued by the General Accounting Office with an abstract that begins "This report reviews the Department of Defense's (DOD) management practices for demilitarizing excess ammunition. Specifically, GAO evaluates (1) the extent to which the excess ammunition stockpile has been reduced and whether the liability associated with excess ammunition has been fully identified, (2) the Army's reliance on contracted demilitarization and the impact of doing so on government facilities that use similar environmentally friendly processes, and (3) the feasibility of using excess ammunition for U.S. training needs. GAO found that DOD's reported stockpile of excess ammunition has grown rather than decreased, rising from 354,000 tons in 1993 to 493,000 tons at the end of 2000. In addition, the reported stockpile does not include all excess ammunition, which understates DOD's ultimate liability for demilitarizing ammunition. In recent years, the Army has devoted 50 percent of its excess ammunition demilitarization budget to contractors that use environmentally friendly demilitarization processes. Although a congressional directive resulted in greater emphasis on contractor demilitarization, the Army began and later expanded this effort without considering the effect it would have on government facilities. With increased contractor demilitarization, the Army has retained and underutilized environmentally friendly …

A letter report issued by the General Accounting Office with an abstract that begins "The General Services Administration (GSA), the federal government's real property manager, it is responsible for identifying, funding, and completing needed repairs and alterations at federal buildings. This report examines (1) GSA's process for assessing and selecting prospectus-level major repair and alteration design projects for funding, (2) the obstacles that impede GSA from satisfying its repair and alteration requirements, and (3) the consequences associated with deferring needed repairs and alterations at selected buildings. GAO found that in fiscal year 2001, GSA assessed the merits of 27 prospectus-level repair and alteration design projects and recommended 12 for funding. These projects were selected by a multifaceted process that relied on empirical data and professional judgment coupled with specific selection criteria and computer analysis that compared competing projects. GSA explained its decisions when it recommended lower-ranked projects for repairs. However, because of insufficient funding, those projects were placed on GSA's growing repair and alteration inventory. GSA has faced long-standing obstacles, including inadequate program data, the lack of a multiyear repair and alteration plan, and limited funding, in reducing this multibillion-dollar inventory. In addition, funding limitations remain a major obstacle. Delaying …

A letter report issued by the General Accounting Office with an abstract that begins "The Internal Revenue Service (IRS) must significantly improve telephone assistance if it is to meet its long-term goal of providing world-class customer service to the tens of millions of taxpayers who call. Although IRS has tried to analyze its performance and identify ways to improve, these efforts have been incomplete. IRS' analyses did not cover all of the key management decisions and other key factors that affect telephone performance. Designing and conducting a comprehensive analysis of the key management decisions and other key factors that affect telephone performance in each filing season will be difficult because the factors that affect performance are multiple and interrelated. However, without a more comprehensive analysis of the factors that affect performance, IRS lacks the information it needs to make decisions to improve performance."

A letter report issued by the General Accounting Office with an abstract that begins "The Army is acquiring a new, state-of-the-art radar countermeasures system--called the Suite of Integrated Radio Frequency Countermeasures to help helicopters and other aircraft identify, track, and defeat radar-guided missiles in complex electronic environments where many radar systems could be operating simultaneously. The Army has identified software and hardware modification needed for its new radar countermeasures system. The Army expects that future tests will enable it to determine whether the modified software performs as required before the planned low-rate initial production decision in early 2002. However, the testing of the modified hardware is not scheduled for completion until September 2002. By deferring low-rate initial production decision, the Army would reduce the risk of incurring anticipated costs to retrofit articles if the system does not work as expected."

A briefing report issued by the General Accounting Office with an abstract that begins "This report provides information on the Department of Defense's (DOD) disability severance program, which provides a lump-sum payment for service members with a disability. GAO found that the administration of disability severance, like medical retirement pay, follows service-specific procedures using DOD guidance. The services assess members' fitness for duty along a scale ranging from 0 to 100 percent in gradations of 10. Members unfit for duty who have 20 or more years of military service with any disability rating or who are assigned a disability rating of 30 percent or higher receive medical retirement payment. In contrast, the lump-sum disability severance payment is made to members unfit for duty who have less than 20 years of military service and who are assigned a disability rating less than 30 percent. In fiscal year 2000, the number of assessments resulting in disability severance payment was more than double the number of assessments resulting in medical retirement. The services and DOD could not provide GAO with data on how much it costs to make disability decisions or issue payments or how long it takes. DOD does not provide special …

A letter report issued by the General Accounting Office with an abstract that begins "The Environmental Protection Agency (EPA) provides millions of dollars to grantees to conduct research, demonstrate pollution control techniques, and perform other activities. Oversight of this large pool of grantees has proven to be difficult. EPA's post-award grant management policy provides few guarantees that unallowable costs for nonprofit grantees will be identified. Identifying such costs is important for effective oversight of EPA's nonprofit grantees. EPA's on-site grantee visits could provide agency officials with a valuable opportunity to test for unallowable costs while they are testing the adequacy of the grantees' financial and administrative systems. Although more time may be required to test for unallowable costs and additional training may be required for regional personnel, the tests would provide greater assurance that grant funds are spent in accordance with Office of Management and Budget (OMB) requirements. The single audit is an important tool for ensuring that federal funds are properly spent. EPA has taken several steps to identify grantees that need a single audit, but it is difficult to identify them definitively because information on total federal expenditures by each grantee is unavailable. As a result, EPA is …

A letter report issued by the General Accounting Office with an abstract that begins "If the federal government is to effectively manage the tasks and programs assigned to it through legislation, it must have a sufficient and qualified workforce. One important element that agencies must consider in their workforce planning is the number and kinds of employees who will retire during the next five years. GAO projects that the number of employees retiring will be roughly equivalent to the decrease in employees during any downsizing, and will affect the ability of agencies to accomplish their missions. GAO believes that agencies must ensure that they will have an adequate workforce to carry out their missions. The Office of Personnel Management (OPM) has begun to stress to agencies the importance of integrating strategic human capital management into agency planning. OPM has also been focusing more attention on developing workforce planning tools to help agencies."

A letter report issued by the General Accounting Office with an abstract that begins "During the last several years, the United States has criticized Germany's handling of international parental child abduction cases that have been filed by U.S. parents. Both the executive and legislative branches of the U.S. government have criticized Germany for not fully and consistently following the criteria and procedures established under the 1980 Hague Convention on the Civil Aspects of International Child Abduction, which governs such cases. The primary criticisms include the inappropriate use by German courts of certain provisions of the Hague Convention to justify retaining abducted children in Germany, the length of time it has taken to adjudicate cases, and the failure to enforce left-behind parents' visitation rights. GAO examined the actions that Germany has taken or plans to take to reform its handling of international parental child abduction cases and how these actions may affect U.S. cases. GAO found that German authorities have pledged their commitment to take steps to improve the handling of Hague Convention cases and Germany has taken action to address two of the three primary criticisms. Germany has established a task force to monitor German reforms and active cases, initiated …

A chapter report issued by the General Accounting Office with an abstract that begins "GAO examined how best practices could help the Department of Defense (DOD) maximize the benefits of integrated product teams in its development of weapon systems. GAO conducted eight case studies--three from leading commercial firms; four from DOD programs experiencing cost, schedule, and performance problems; and one from a DOD program that has been meeting its objectives. GAO found that effective integrated product teams can make significant development decisions quickly and without relying on heavy consultations with organizations outside of the team. These teams have developed and delivered superior products within predicted time frames and budgets--often cutting calendar time in half compared with earlier products delivered without such teams. Officials from the more successful programs GAO reviewed--three commercial and one from DOD--all cited integrated product teams as a main factor in achieving such results. GAO found that the teams did not operate as effectively in the four DOD programs that were not meeting cost and schedule objectives. Their decision-making processes were sequential and involved many outside consultations for information and approval."

A letter report issued by the General Accounting Office with an abstract that begins "The Internal Revenue Service (IRS) does various compliance checks to ensure the accuracy of information reported on taxpayers' returns. In recent years, the audit rate--the proportion of tax returns that IRS audits each year--has drawn attention because of a long-term decline in audit rates and the differences in audit rates for lower and higher income individuals. This report (1) describes the changes in audit rates for individual income tax returns overall and for categories, such as major sources (i.e., nonbusiness versus business) and levels of income for fiscal years 1996 through 2000; (2) discusses IRS' reasons and related data explaining the changes in audit rates; and (3) describes what is known about the effects of changes in the audit rates on tax compliance. In comparing fiscal years 1996 and 2000, GAO found that the overall tax audit rate of individuals declined about 70 percent. These rates declined regardless of the individual taxpayer's income level. IRS cited the following three reasons for the decline in audit rates for fiscal years 1996 to 2000: (1) the number of IRS auditors for individual returns declined by more than half …

A letter report issued by the General Accounting Office with an abstract that begins "For fiscal years 1992 through 2000, the U.S. government provided assistance to help the 12 newly independent states of the former Soviet Union develop the sustainable institutions, traditions, and legal foundations that ensure a strong rule of law. This report (1) assesses the extent to which the program has had an impact on the development of the rule of law and whether the program results are sustainable and (2) analyzes the factors that may have affected the program's impact and sustainability. GAO found that the U.S. government's rule of law assistance program has had limited impact so far, and results may not be sustainable in many cases. The impact and sustainability of the U.S. rule of law assistance programs have been constrained by several factors, including limited political consensus on reforms, a shortage of domestic resources for many of the more expensive innovations, and weaknesses in the design and management of assistance programs by U.S. agencies."

A letter report issued by the General Accounting Office with an abstract that begins "GAO confirmed differences among the United States, the United Kingdom, and France in the rates at which illnesses have been reported among their Gulf War veterans; their assessment of nuclear, biological, and chemical threats in the Gulf; and their preparations to meet them. However, because of differences in the experiences of the three sets of veterans, there is no single, unambiguous cause that can be identified for the reported illnesses. If multinational allies are to act in a coordinated fashion, they require a similar level of awareness of and preparation for the threats to be faced; otherwise, force protection and operational success could be jeopardized and the utility of some forces restricted. Gulf War Coalition members prepared for somewhat different threats and used different countermeasures. In addition, the U.S. lacked clear doctrine for timely and systematic warning of allied forces and U.S. ground troops about pending strikes on suspected nuclear, biological, and chemical targets."

A letter report issued by the General Accounting Office with an abstract that begins "About two-thirds of the married and one-third of the single servicemembers in the United States live in private housing in the communities surrounding military bases. These members are given a cash allowance to help defray the cost of renting or buying housing. In fiscal year 2000, housing allowances totaled about $6 billion and covered about 81 percent of the typical member's housing and utility costs, with the member paying the remaining costs out-of-pocket. The National Defense Authorization Act for Fiscal Year 1998 required the Department of Defense (DOD) to better match the allowance rates with actual housing costs in various parts of the country. It was expected that the changes would cause some rates to rise and others to decline. As of January 2000, however, rate decreases outnumbered the increases. In some cases, these rate decreases were substantial. DOD quickly took steps to address the concerns about the new housing rates and to improve the process used to set allowance rates for 2001. However, because DOD does not routinely provide detailed feedback to installation officials explaining the basis for the rates for their areas, these officials …

A chapter report issued by the General Accounting Office with an abstract that begins "Each year, the Department of Defense (DOD) makes about 200,000 decisions to grant, deny, or revoke security clearances for its civilian, military, and contractor personnel. Through a process called adjudication, DOD personnel security specialists review the results of employees' background investigations and determine whether the individual is eligible for a clearance. This report (1) assesses whether DOD's adjudicators consistently document all significant adverse security conditions when determining individuals' eligibility for top secret security clearances and (2) identifies factors that hinder the effectiveness of DOD's adjudicative process. GAO found that DOD adjudicators have not consistently documented all significant adverse security conditions present in investigative case files when determining individuals' eligibility for top secret security clearances. DOD has been unable to demonstrate that it fully considered all significant adverse conditions often not documented, including financial matters. Several factors have hindered the effectiveness of DOD's adjudicative process. The Assistant Secretary has not (1) used common explanatory guidance, such as that contained in the Adjudicative Desk Reference he developed, or issued any other clarifying guidance to promote consistency in applying the federal guidelines; (2) required adjudicators to take DOD adjudicative …

A letter report issued by the General Accounting Office with an abstract that begins "The Environmental Protection Agency (EPA) performs limited oversight of states' processes for verifying the accuracy of large industrial facilities' emissions reports. EPA's data show that most emissions determinations from large sources are based on generic emissions factors. Although EPA allows facilities to estimate their emissions in this manner, EPA officials generally consider direct methods to be more reliable. The accuracy of these reports is important because they influence (1) the financing of states' regulatory programs through fees and (2) the development of emissions inventories, which, in turn, help regulators to develop control strategies and establish permit limits. Furthermore, steps taken to assess the accuracy of these reports, such as more thoroughly reviewing the supporting information, could improve compliance with Clean Air Act requirements. For example, a more thorough review of the information underlying a facility's emission reports, or a more systematic comparison of these reports over time, could identify increased emissions. Such indications could, in turn, trigger a review of compliance with new source review requirements, an area in which EPA found widespread noncompliance in four industries. In the four states that GAO reviewed, the states …

A letter report issued by the General Accounting Office with an abstract that begins "The Department of Health and Human Services issued a final regulation in December 2000 that established rights for patients with respect to the use of their medical records. The regulation requires that most providers obtain patient consent to use or disclose health information before engaging in treatment, payment, or health care operations. The privacy regulation's consent requirement will be more of a departure from current practice for some providers than for others. Most health care providers, with the exception of pharmacists, obtain some type of consent from patients to release information to insurers for payment purposes. The new requirement obligates most providers to obtain consent before they can use and disclose patient information. It also broadens the scope of consent to include treatment and a range of health care management activities. Supporters of the requirement believe that the process of signing a consent form provides an opportunity to inform and focus patients on their privacy rights. Others, however, are skeptical and assert that most patients will simply sign the form with little thought. In addition, provider and other organizations interviewed are concerned that the new consent …

A letter report issued by the General Accounting Office with an abstract that begins "In July 2000, the Defense Commissary Agency proposed changes to its regional management structure that it expects will generate savings, improve efficiencies, and provide more effective management of commissary operations. The plan calls for eliminating the two area offices within the Eastern Region and consolidating most of the Eastern Region's operations at the region's headquarters at Virginia Beach, Virginia. Although the agency has not fully refined its cost and savings estimates, it appears that these proposed changes will yield savings and improve operations. However, with the implementation of the plan comes a loss of operational expertise in the closing offices that could potentially disrupt operations and customer service. Whether the proposed regional reorganization is the best approach for achieving efficiencies is unclear because the agency did not assess alternative structural approaches to improving regional operations and creating efficiencies. The plan is limited because it considers only the Eastern Region and not the overall regional structure, which is to be considered in the agency's follow-on study of the current reorganization plan. Although the closure of the area offices is likely to improve efficiency, the planned study to …

A letter report issued by the General Accounting Office with an abstract that begins "Under TRICARE, the Department of Defense's (DOD) managed care program, military-operated hospitals and clinics are supplemented by contracted civilian services. Since the inception of TRICARE, DOD has made many changes to these contracts via contract change orders. Since July 1997, when GAO reported that DOD was trying to improve its change order process, the backlog of change orders has continued to grow. This report evaluates (1) the status of the change order backlog and how DOD addressed it, (2) factors that contributed to the growth of the backlog, and (3) DOD's new initiative to improve the change order process. GAO found that as of June, 2000, the number of change orders issued had almost tripled, while the number of unsettled change orders had more than doubled since July 1997. Despite recommendations to devote high-level attention to managing improvements to the change order process, this was not done. Until recently, none of TRICARE Management Activity's (TMA) many initiatives significantly improved the process or reduced the backlog. The current small backlog is the result of recent concerted effort, not better management over time. TMA's new Change Management Process …

A letter report issued by the General Accounting Office with an abstract that begins "The use of incorrect or unreliable data and inappropriate assumptions in the Research and Special Program Administration's (RSPA) calculation of the minimum Pipeline Safety Fund (PSF) balance caused RSPA to overstate the necessary minimum balance. Crucial to a reasonable calculation of the PSF minimum balance is an analysis of expected receipts as compared to expected obligations. Until RSPA does this type of analysis, it will be unable to reasonably estimate the required minimum PSF balance. In addition, the timing of the Office of Pipeline Safety's (OPS) cash receipts is affected by OPS' slow data collection and verification process. This process results in delayed billings and likely delays cash receipts, resulting in a larger required minimum PSF balance. OPS' current efforts to implement a new Internet-based data collection and billing system could shorten what is now an extended billing process. Finalizing the operator data on which the fee assessments are based at an earlier date would allow billing to take place shortly after the agency received its appropriation for the fiscal year. Accordingly, fee revenue would likely be available for obligation in a more timely manner and …