Correspondence issued by the General Accounting Office with an abstract that begins "On June 30, 2004, the Coalition Provisional Authority (CPA) intends to transfer power in Iraq to a fully sovereign Iraqi interim government. CPA and the Iraq Governing Council took a fundamental step toward this goal in March 2004, when they signed the Law of Administration for the State of Iraq for the Transitional Period (hereafter referred to as the transitional law). The transitional law is intended to govern the affairs of Iraq until Iraqis approve a permanent constitution and a permanent Iraqi government takes office. GAO has ongoing and completed work reviewing various aspects of the U.S. effort to reconstruct Iraq. Our ongoing work includes reviewing the costs associated with reconstruction; the process used to award reconstruction contracts; efforts to develop Iraq's security forces; the rebuilding of Iraq's oil, electricity, and water infrastructure; and programs to help Iraq develop a unified, democratic government. For this report, we describe the following information as it exists at this time: (1) the time frames and Iraqi governmental structures established by the transitional law; (2) arrangements in the law for the U.S.-led multinational force, Iraqi security forces, and militias; and (3) mechanisms …

Correspondence issued by the General Accounting Office with an abstract that begins "On October 21, 2002, we reported that consular staff at posts around the world held different views on balancing national security and customer service in the process of adjudicating visas. Since then, the Department of State's Bureau of Consular Affairs has underscored the importance of visa operations in protecting our nation's security and implemented many changes in visa processing to tighten security screening for applicants worldwide. Because of Canada's proximity to the United States and the fact that many nationals from countries of concern apply for U.S. visas in Canada, Congress asked us to obtain the views of U.S. consular officers in Canada regarding the visa process. In response, we are providing information from consular staff who adjudicate U.S. visas in Canada regarding their perceptions of the importance of national security in the visa process, including impediments that could interfere with efforts to make security a top priority in visa processing."

Correspondence issued by the General Accounting Office with an abstract that begins "The Department of Defense's (DOD) total military compensation package for active duty members consists of both cash and noncash benefits. Since the late 1990s, Congress and the DOD have increased military cash compensation by increasing basic pay and allowances for housing, among other things. Military members also receive tax breaks, which are a part of their cash compensation. Moreover, active duty personnel are offered substantial noncash benefits, such as retirement, health care, commissaries, and childcare. In some cases, these noncash benefits exceed those available to private-sector personnel. DOD relies heavily on noncash benefits because it views benefits as critical to morale, retention, and the quality of life for service members and their families. To better understand the military compensation system, Congress asked us to provide the Chairman and Ranking Minority Member of the Senate Committee on Finance with information on active duty military compensation and its tax treatment. In January 2004, we briefed Congressional staff on our preliminary observations. Because our work identified that the combat zone tax exclusion could impact some service members, Congress asked us to focus our work on military cash compensation and to do …

Testimony issued by the General Accounting Office with an abstract that begins "The five Great Lakes, which comprise the largest system of freshwater in the world, are threatened on many environmental fronts. To address the extent of progress made in restoring the Great Lakes Basin, which includes the lakes and surrounding area, GAO (1) identified the federal and state environmental programs operating in the basin and funding devoted to them, (2) evaluated the restoration strategies used and how they are coordinated, and (3) assessed overall environmental progress made in the basin restoration effort."

Correspondence issued by the General Accounting Office with an abstract that begins "As part of the Jobs and Growth Tax Relief Reconciliation Act of 2003, the federal government provided $10 billion in temporary fiscal relief payments to states, the District of Columbia, and the U.S. commonwealths and territories (herein referred to as states). Generally, use of these funds is unrestricted in nature; the act authorizes funds to be used to "provide essential government services" and to "cover the costs... of complying with any federal intergovernmental mandate." These funds were intended to provide antirecession fiscal stimulus to the national economy and to help close state budget shortfalls due to the recession that began in March 2001. According to the National Conference of State Legislatures (NCSL), in February 36 states reported facing budget shortfalls with a cumulative budget gap of about $25.7 billion. This report responds to the February 13, 2004, request by the Chairman of the Senate Committee on the Budget to provide information to help Congress assess the use of the temporary state fiscal relief payments. Specifically, we are reporting (1) what is known about the potential impacts of unrestricted fiscal relief on the fiscal behavior of states, (2) how …

Testimony issued by the General Accounting Office with an abstract that begins "The technology used to cast and count votes is one aspect of the multifaceted U.S. election process. GAO examined voting technology, among other things, in a series of reports that it issued in 2001 following the problems encountered in the 2000 election. In October 2002, the Congress enacted the Help America Vote Act, which, among other things, established the Election Assistance Commission (EAC) to assist in the administration of federal elections. The act also established a program to provide funds to states to replace older punch card and lever machine voting equipment. As this older voting equipment has been replaced with newer electronic voting systems over the last 2 years, concerns have been raised about the vulnerabilities associated with certain electronic voting systems. Among other things, GAO's testimony focuses on attributes on which electronic voting systems can be assessed, as well as design and implementation factors affecting their performance. GAO also describes the immediate and longer term challenges confronting local jurisdictions in using any type of voting equipment, particularly electronic voting systems."

Correspondence issued by the General Accounting Office with an abstract that begins "The Department of Defense's (DOD) long-standing business systems problems adversely affect the economy, effectiveness, and efficiency of its business operations and have resulted in a lack of adequate transparency and appropriate accountability across all of its major business areas. In July 2001, DOD initiated a program to, among other things, develop a DOD business enterprise architecture (architecture). This effort is an essential part of the Secretary of Defense's broad initiative to "transform the way the department works and what it works on." Because DOD is one of the largest and most complex organizations in the world, overhauling its business operations and supporting systems represents a huge management challenge. In fiscal year 2003, DOD reported that its operations involved over $1 trillion in assets, nearly $1.6 trillion in liabilities, approximately 3.3 million military and civilian personnel, and disbursements of over $416 billion. To support its business operations, DOD reported that it relies on about 2,300 business systems, including accounting, acquisition, logistics, and personnel systems. The department requested about $19 billion--about $4.8 billion for business systems modernization and about $14 billion for operation and maintenance of these systems--in fiscal year …

Correspondence issued by the General Accounting Office with an abstract that begins "This letter responds to a request by the Chairman of the Subcommittee on Oversight and Investigations, House Committee on Veterans' Affairs, that we provide answers to questions relating to our March 17, 2004, testimony. At that hearing, we discussed the Department of Veterans Affairs' (VA) and Department of Defense's (DOD) progress toward defining a detailed strategy and developing the capability for a two-way exchange of patient health information."

Correspondence issued by the General Accounting Office with an abstract that begins "In 1996, the Air Force launched an acquisition program to develop and produce a revolutionary laser weapon system, the Airborne Laser (ABL), capable of defeating an enemy ballistic missile during the boost phase of its flight. Over the last 8 years, the program's efforts to develop this technology have resulted in significant cost growth and schedule delays. These events led Senate Members to request that we answer the following questions: (1) how much and why has the ABL's cost increased since the program's inception; (2) what is the expected military utility of the initial ABL aircraft; (3) what support systems will be required when the ABL is fielded and what is the likely cost of those systems; and (4) have recent program changes resulted in a more cost effective strategy for developing the weapon?"

Correspondence issued by the General Accounting Office with an abstract that begins "In connection with fulfilling our requirement to audit the financial statements of the U.S. government, we audited and reported on the Schedules of Federal Debt Managed by the Bureau of the Public Debt (BPD) for the fiscal years ended September 30, 2003 and 2002. As part of these audits, we performed a review of the general and application computer controls over key BPD financial systems."

Correspondence issued by the General Accounting Office with an abstract that begins "In connection with fulfilling our requirement to audit the financial statements of the U.S. government, we audited and reported on the Schedules of Federal Debt Managed by the Bureau of the Public Debt (BPD) for the fiscal years ended September 30, 2003 and 2002. As part of these audits, we performed a review of the general and application computer controls over key financial systems maintained and operated by the Federal Reserve Banks (FRB) on behalf of the Department of the Treasury's BPD. Many of the FRBs perform fiscal agent services on behalf of the U.S. government, including BPD. The debt-related services primarily consist of issuing, servicing, and redeeming Treasury securities and processing secondary market securities transfers. In fiscal year 2003, the FRBs issued about $4.1 trillion in federal debt securities to the public, redeemed about $3.8 trillion of debt held by the public, and processed about $125 billion in interest payments on debt held by the public. FRBs maintain and operate key financial applications on behalf of BPD and an array of financial and information systems to process and reconcile monies disbursed and collected on behalf of BPD."

Correspondence issued by the General Accounting Office with an abstract that begins "GAO testified before Congress at the hearing A System Rued: Inspecting Food. This report responds to Congress's request that GAO provide answers to follow-up questions from the hearing."

Correspondence issued by the General Accounting Office with an abstract that begins "On June 25, 2002, WorldCom, Inc., announced its intention to restate its financial statements for 2001 and the first quarter of 2002, reducing previously reported earnings by nearly $4 billion. WorldCom's announcement sparked a series of investigations by the Securities and Exchange Commission (SEC), the Department of Justice, and WorldCom's Board of Directors, among others, and eventually resulted in criminal charges against six of its corporate officials. WorldCom filed for bankruptcy protection in July 2002, and, over the next several months, announced restatements for additional periods. On July 31, 2003--over a year after WorldCom first announced its intention to restate its earnings--the General Services Administration (GSA) formally proposed the company for debarment, making the company ineligible for future government contracts. When WorldCom consented to a 3-year administrative agreement allowing GSA to continue monitoring the company's conduct, GSA terminated the debarment proceedings on January 7, 2004. House Report 108-243, which accompanied the Transportation, Treasury, and Independent Agencies Appropriations Act, 2004, required us to review the actions GSA took between WorldCom's June 2002 announcement and GSA's July 2003 decision to propose the company for debarment. We agreed to (1) identify …

Correspondence issued by the General Accounting Office with an abstract that begins "The District of Columbia's (the District) transportation system is critical to the District's residents and businesses, the federal government, and the millions of tourists who visit the nation's capital annually. To help build and maintain its bridges and roads, the District receives federal highway funds from the Federal Highway Administration (FHWA). All of the District's bridges and about 30 percent of its roads are eligible for these funds; the remaining roads are maintained under the local transportation program using District funds. In 2003, the District expended a total of about $242 million on its bridge and road infrastructure, of which almost $158 million were federal-aid expenditures. To better manage its transportation services, the District reorganized its transportation infrastructure functions, creating a stand-alone Department of Transportation in 2002. According to the Volpe National Transportation Systems Center (Volpe Center), a lack of resources and inadequate attention to emerging infrastructure problems allowed local road conditions to decay to the point that in 1999, nearly 50 percent of local roads were rated fair or poor by FHWA. In addition, the District Department of Transportation's (DDOT) stakeholders believed that the organization was reactive, …

Testimony issued by the General Accounting Office with an abstract that begins "Because of increased awareness of threats to national security and efforts to privatize federal jobs, the demand for security clearances for government and industry personnel has increased. Industry personnel are taking on a greater role in national security work for the Department of Defense (DOD) and other federal agencies. Because many of these jobs require access to classified information, industry personnel need security clearances. As of September 30, 2003, industry workers held about one-third of the approximately 2 million DOD-issued security clearances. Terrorist attacks have heightened national security concerns and underscored the need for a timely, high-quality personnel security clearance process. However, GAO's past work found that DOD had a clearance backlog and other problems with its process. GAO was asked to review the clearance eligibility determination process and backlog for industry personnel. This testimony presents our preliminary observations on the security clearance process for industry personnel and describes (1) the size of the backlog and changes in the time needed to issue eligibility determinations, (2) the impediments to reducing the backlog and delays, and (3) some of the initiatives that DOD is considering to eliminate the backlog …

Other written product issued by the General Accounting Office with an abstract that begins "This report presents the General Accounting Office's (GAO) Performance Plan for Fiscal Year 2005. In the spirit of the Government Performance and Results Act, this annual plan informs the Congress and the American people about what we expect to accomplish on their behalf in the coming fiscal year. It sets forth our plan to make progress toward achieving our strategic goals for serving the Congress and the American people. The plan is based on our strategic plan, which was prepared in consultation with members of the Congress and other key stakeholders and was issued in March 2004."

Testimony issued by the General Accounting Office with an abstract that begins "A successful terrorist attack on Department of Energy (DOE) sites containing nuclear weapons or the material used in nuclear weapons could have devastating consequences for the site and its surrounding communities. Because of these risks, DOE needs an effective safeguards and security program. A key component of an effective program is the design basis threat (DBT), a classified document that identifies, among other things, the potential size and capabilities of terrorist forces. The terrorist attacks of September 11, 2001, rendered the then-current DBT obsolete, resulting in DOE issuing a new version in May 2003. GAO (1) identified why DOE took almost 2 years to develop a new DBT, (2) analyzed the higher threat in the new DBT, and (3) identified remaining issues that need to be resolved in order for DOE to meet the threat contained in the new DBT."

Testimony issued by the General Accounting Office with an abstract that begins "The concept of enterprise architecture emerged in the mid- 1980s as a means for optimizing integration and interoperability across organizations. In the early 1990s, GAO research of successful public and private sector organizations led it to identify enterprise architecture as a critical success factor for agencies that are attempting to modernize their information technology (IT) environments. Since then, GAO has repeatedly identified the lack of an enterprise architecture as a key management weakness in major modernization programs at a number of federal agencies. It has also collaborated with the Office of Management and Budget (OMB) and the federal Chief Information Officers (CIO) Council to develop architecture guidance. In 2002, OMB began developing the Federal Enterprise Architecture (FEA), an initiative intended to guide and constrain federal agencies' enterprise architectures and IT investments. GAO was asked to testify on the status of the FEA and on the state of federal agencies' development and use of enterprise architectures."

This report contains supporting material to examine the science relating to stabilizing greenhouse gas concentrations at a level that would prevent dangerous anthropogenic interference. The report was prepared for consideration by the IPCC, but it has not been subjected to formal IPCC review processes.

Other written product issued by the General Accounting Office with an abstract that begins "Unrelenting growth in health care spending has put pressure on policymakers to seek health care system reforms. The stress comes partly from a wide gap in expectations between what health care Americans want and what the nation can afford and sustain. GAO's Health Care Forum was held on January 13, 2004, to find ways to elevate the nation's understanding of health care cost, access, and quality challenges. Forum attendees included a select group of experts, business leaders, and public officials. The forum's plenary speakers discussed issues associated with health care costs and value, including spending drivers, long-term affordability, and the effect of differences across the country in medical practices. Participants in breakout sessions led by the forum's faculty of experts deliberated on the merits of the various health care reform strategies, including focusing on consumer cost sensitivity, targeting high-cost patients, reducing unwarranted variation in medical practices, and managing technology to control spending growth. GAO has developed a series of questions to evaluate all health care reform proposals, based in part, on the results of this forum."

Testimony issued by the General Accounting Office with an abstract that begins "Money laundering provides the fuel for terrorists, drug dealers, arms traffickers, and other criminals to operate and expand their activities. GAO focused on two issues. The first is whether the nation's annual National Money Laundering Strategy has served as a useful mechanism for guiding federal law enforcement efforts to combat money laundering and terrorist financing. Unless reauthorized by the Congress, the annual requirement ended with the 2003 strategy. The second issue is the implementation status of a May 2003 Memorandum of Agreement, signed by the Attorney General and the Secretary of Homeland Security, that was designed to enhance the coordination of terrorist financing investigations conducted by the Federal Bureau of Investigation (FBI) and the U.S. Immigration and Customs Enforcement (ICE)."

Testimony issued by the General Accounting Office with an abstract that begins "As requested, GAO conducted an investigation to determine whether the federal government has paid for degrees from diploma mills and other unaccredited postsecondary schools. Section 4107 of title 5, U. S. Code, only permits the federal government to pay for the cost of academic degree training provided by a college or university that is accredited by a nationally recognized accrediting body. GAO was also asked to determine whether federal employees who hold senior-level positions have degrees from diploma mills and other unaccredited schools. This report summarizes our investigative findings."

Testimony issued by the General Accounting Office with an abstract that begins "Congress asked GAO to testify on the status of the National Aeronautics and Space Administration's (NASA) financial management reform efforts. NASA faces major challenges that if not addressed, will weaken its ability to manage its highly complex programs. NASA has been on GAO's high-risk list since 1990 because of its failure to effectively oversee its contracts and contractors, due in part to the agency's lack of accurate and reliable information on contract spending. GAO's statement focused on (1) how NASA's history of clean audit opinions served to mask the true extent of the agency's financial management difficulties; (2) the results of NASA's fiscal year 2003 financial statement audit, which are a departure from the fiscal year 2002 results; (3) NASA's effort to implement an integrated financial management system; and (4) the challenges NASA faces in reforming its financial management organization. Although GAO does not make specific recommendations in this statement, GAO previously made several recommendations to improve NASA's acquisition and implementation strategy for its financial management system. While NASA ultimately agreed to implement all of the recommendations, it disagreed with most of the findings--stating that its acquisition and …

Testimony issued by the General Accounting Office with an abstract that begins "The Sustainable Growth Rate (SGR) system, implemented in 1998 and subsequently revised, is used to update Medicare's physician fees and moderate the growth in Medicare spending for physician services. SGR, and a predecessor system implemented in 1992, were designed to reduce physician fee updates if spending growth exceeded a specified target. Although spending growth slowed substantially under both systems, concerns about SGR arose when the system caused fees to decline by 5.4 percent in 2002. GAO was asked to discuss (1) Medicare physician spending trends both before and after the implementation of spending targets and (2) the evolution and mechanics of the SGR system. This statement is largely based on GAO's previous work on Medicare spending trends and the SGR system."