Correspondence issued by the General Accounting Office with an abstract that begins "GAO reviewed several issues concerning service contracting trends and challenges facing the government. The government has had long-standing difficulties in managing service contracts, and it is clear that agencies are not doing all they can to ensure that they are acquiring services that meet their needs in a timely and cost-effective manner. Agencies have begun efforts to address their strategic human capital needs; however, no agency has completed a strategic human capital management plan for their acquisition workforce. Overall, agencies' plans reflected different levels of attention to human capital, ranging from merely identifying human capital challenges to putting forward solutions to address those challenges, such as by defining actual plans, committing resources, and assigning accountability."

A letter report issued by the General Accounting Office with an abstract that begins "The State Department has determined that about 80 percent of overseas U.S. diplomatic facilities lack adequate security and may be vulnerable to terrorist attack. In September 1998, State expanded its capital construction program to accelerate replacing its most vulnerable embassies and consulates by acquiring sites and preparing plans at 10 priority locations. This report summarizes (1) the status of the 10 priority embassy and consulate construction projects and (2) State's plans for the overall construction program. As of November 2000, seven projects are in the construction phase. The remaining three projects are on hold pending agreement between State and Congress about the Department's construction proposals. Although State envisions a long-term, multi-billion dollar program and has ranked more than 180 facilities it may need to replace, it has not prepared a long-term capital construction plan that identifies (1) proposed construction project's cost estimates and schedules and (2) estimated annual funding requirements for the overall program."

A letter report issued by the General Accounting Office with an abstract that begins "Congress and the Health Care Financing Administration recognized that certain services needed to be excluded from the skilled nursing facility (SNF) prospective payment system (PPS) rate to help ensure beneficiary access to appropriate care and to financially protect the SNFs that take care of high-cost patients. The criteria used to identify services--high cost, infrequently provided during a SNF stay and likely to be overprovided--and the services currently excluded appear reasonable. Even so, questions remain about whether beneficiaries have appropriate access to services that are covered in the rate or whether additional services should have been excluded. A second concern is that Medicare coverage for excluded facility services has been shifted from part A to part B, which will increase beneficiary liability. and program spending might increase because certain services are excluded only when provided in hospital settings, thus discouraging the use of less expensive, clinically appropriate sites of service. Finally, excluding services from the PPS rate when they are provided in emergency rooms may lead to overuse of emergency rooms, unnecessarily increasing Medicare spending. The Centers for Medicare and Medicare Services (CMS) does not plan to …

Correspondence issued by the General Accounting Office with an abstract that begins "The Haitian Refugee Immigration Fairness Act of 1998 allows Haitian nationals and their dependents to apply to adjust their status to legal permanent residence. The act requires the Comptroller General to report every six months on the number of Haitian nationals who have applied and been approved for legal permanent residence status. GAO found that, as of September 30, 2001, the Immigration and Naturalization Service had received 35,946 applications and had approved 5,072 of them. The Executive Office for Immigration Review had 107 applications filed and had approved 87 of them."

Correspondence issued by the General Accounting Office with an abstract that begins "Some Lyme disease patients and Lyme disease organizations are concerned that federal agencies and advisors have financial interests that may affect their decisions on the funding of Lyme disease research and the approval of Lyme disease products. These agencies include the Centers for Disease Control (CDC), the National Institutes of Health (NIH), and the Food and Drug Administration (FDA). This report reviews (1) the financial interests that CDC, NIH, and FDA employees and members of advisory committees working on Lyme disease have reported and (2) how these agencies addressed any potential conflicts of interest identified in those reports. GAO found that CDC, NIH, and FDA have generally met the requirements for disclosure and review of financial interests related to Lyme disease. Employees and special government employees (SGE's) working on Lyme disease-related activities have reported financial holdings in, and arrangements with, health sector firms, travel paid for by health sector firms, and patents related to Lyme disease. Program officials and agency officials reviewed the interests of the employees and determined that they did not present conflicts."

Correspondence issued by the General Accounting Office with an abstract that begins "This is the third in a series of GAO reports evaluating the military services' efforts to reduce weapons systems operating and support costs. GAO previously reported on Army and Air Force efforts. This report evaluates the Navy and Marine Corps pilot programs. GAO found that the Navy and Marine Corps have begun several efforts to reduce weapon system operating and support costs. For example, they are using an open architecture design method that reduces the cost of component replacement and changes later in system life. In addition, the Navy has other related objectives and initiatives that could significantly reduce operating and support costs. Through these and other initiatives, the Navy and Marine Corps have reported progress in reducing operating and support cost in its pilot programs."

A letter report issued by the General Accounting Office with an abstract that begins "The Centers for Disease Control and Prevention (CDC) and the National Institutes of Health (NIH) have conducted an increasingly broad range of research and educational activities related to Lyme disease. CDC has instituted a system for the surveillance of Lyme disease, helped to standardize diagnostic testing, conducted and funded basic research on Lyme disease and on its prevention, and developed patient and practitioner educational materials. CDC has initiated most activities recommended by external reviewers and congressional appropriations committees regarding changes to its programs. NIH has conducted and funded basic research on Lyme disease and on its etiology, diagnosis, treatment, and prevention. In addition, NIH research is addressing two topics of particular interest to patient advocates--chronic Lyme disease and the occurrence of other tick-borne infections in Lyme disease patients. NIH has also responded to most expert recommendations and congressional recommendations. During the last 10 years, allocations for Lyme disease have increased slightly at CDC, and obligations for Lyme disease have increased significantly at NIH. CDC allocations for Lyme disease research and education have increased seven percent, from $6.9 million to $7.4 million in inflation-adjusted dollars from fiscal …

A letter report issued by the General Accounting Office with an abstract that begins "To ensure that people claiming disability insurance benefits can obtain legal representation at a fair price, the Social Security Act requires that the Social Security Administration (SSA) regulate the fees that attorneys charge people to represent their disability claims before the agency. Inefficiencies in the current process increase both the time it takes to pay the attorney fees and the costs of administration. One segment of attorney fee processing--the fee approval process--was substantially simplified in 1991. Systems support could streamline the second segment of the processing--the fee payment--thus lowering the annual administrative costs and cutting processing time. By automating this final segment of the fee processing, SSA could help improve customer service for both claimants and their attorneys. GAO found that despite internal recommendations for a new system, SSA has repeatedly postponed its plans to improve the attorney fee payment process. Indeed, even though these improvements have been part of SSA's system's plans since 1998, SSA has yet to establish a firm schedule for carrying out its plans. Additionally, although SSA has a draft plan for improving the process, agency officials told GAO that the details …

A chapter report issued by the General Accounting Office with an abstract that begins "To protect human health and safeguard the environment,the Environmental Protection Agency (EPA) regulates pollution generated by sewage treatment plants, power generation plants, chemical manufacturers, and pulp and paper mills. Monitoring is a key component of these efforts. Many of the technologies that are now being used to monitor environmental conditions have been in existence for decades. In recent years, however, several technologies have become available that may offer improved measurement and performance capabilities. This report (1) identifies technologies whose wider use can improve the monitoring of pollutants entering the nation's air and water, (2) determines the extent to which these improved technologies are being used and steps that EPA can take to promote their wider use, and (3) identifies factors that influence the development of new technologies and steps that EPA can take to encourage greater development of new technologies. GAO found that several monitoring technologies exist that can better measure emissions or discharges from stationary air sources, wastewater sources, and nonpoint water sources. These technologies offer advantages over older, more commonly used methods by detecting pollutants at lower levels, reducing monitoring costs, and increasing the …

A letter report issued by the General Accounting Office with an abstract that begins "GAO audited the fiscal year 2000 financial statement for the Senate Gift Shop Revolving Fund for fiscal year 2000. GAO found (1) the statement is presented fairly in all material respects; (2) although internal control should be improved, the Gift Shop had effective internal controls over financial reporting and compliance with laws and regulations; and (3) no reportable noncompliance with selected provisions of laws and regulations GAO tested."

A letter report issued by the General Accounting Office with an abstract that begins "GAO reviewed the amount of excess payments and underpayments made by the Department of Defense (DOD) to its contractors during fiscal year 1999. The Defense Finance and Accounting Service (DFAS)--Columbus Center, Ohio reports that contractors repaid $670 million in fiscal year 1999 and closer to a billion dollars--$901 million--in fiscal year 2000. The higher amount for fiscal year 2000 reflects the inclusion of repayments made through offsets of other payments ($269 million) in addition to the amount repaid by check ($632 million). Although small in relation to total contract payments, these amounts represent a sizable amount of cash in the hands of contractors beyond what is intended to finance and pay for the goods and services DOD is purchasing. The 39 large contractors covered by GAO's review returned excess payments totaling $351 million in fiscal year 1999. Seventy-seven percent of these excess payments stemmed from contract administration actions and 18 percent stemmed from billing or payment errors. Large contractors reported resolving $41 million in underpayments during fiscal year 1999. Contractors attributed most underpayments to payment errors made by DFAS--Columbus."

Testimony issued by the General Accounting Office with an abstract that begins "Federal agencies spend billions of tax dollars each year to buy services--from clerical support to information technology assistance to the management of national laboratories. The federal government spent more than $87 billion in services--a 24 percent increase in real terms from fiscal year 1990. Some service procurements are not being done efficiently, putting taxpayer dollars at risk. In particular, agencies are not clearly defining their requirements, fully considering alternative solutions, performing vigorous price analyses, and adequately overseeing contractor performance. This testimony (1) describes service contracting trends and the changing acquisition environment, (2) discusses the challenges confronting the government in acquiring services, and (3) highlights some efforts underway to address these challenges. GAO found that purchases of services now account for about 43 percent of federal contracting expenses--the largest single spending category. The growth of services has been driven largely by the government's increased purchases of information technology services and professional, administrative, and management support services. Poor contract management has undermined the government's ability to obtain good value for the money and continues to be a major problem for the two biggest service purchasers-the Departments of Defense and Energy. …

Testimony issued by the General Accounting Office with an abstract that begins "All the military services extensively use cannibalization--the removal of a working component from one aircraft to install it on another--as a routine aircraft maintenance strategy. However, neither the Department of Defense nor the services know the overall magnitude of this practice. Cannibalizations increase maintenance costs by increasing workloads, may affect morale and the retention of personnel, and sometimes result in the unavailability of expensive aircraft for long periods of time. Cannibalizations also can create unnecessary mechanical problems for maintenance personnel. With the exception of the Navy, the services do not consistently track the specific reasons for cannibalizations. In the broadest sense, cannibalizations are done because of pressures to meet readiness and operational needs and the shortcomings of the supply system. In addition, a Navy study found that cannibalizations are sometimes done because mechanics are not trained well enough to diagnose problems or because testing equipment is either not available or not working. Although the services have undertaken some initiatives to reduce cannibalizations, none of them have developed a specific strategy to reduce the maintenance hours associated with cannibalizations. Because they view cannibalization as a symptom of spare parts …

A chapter report issued by the General Accounting Office with an abstract that begins "In 1998, the Navy consolidated the Pearl Harbor Naval Shipyard and the Naval Intermediate Maintenance Facility in Hawaii. Because of concerns about some aspects of the consolidation, the Navy began a test project, commonly called the Pearl Harbor pilot, to determine if integrating the management, operations, and funding of the shipyard and the intermediate maintenance facility can result in greater efficiency and lower overall ship maintenance costs. In September 1999, GAO reported that the preliminary results of the ongoing Pearl Harbor pilot were mixed and recommended that the Department of Defense (DOD) and the Navy address unresolved issues related to the financial management of the consolidation as the Navy proceeds with similar consolidations in other locations. This report updates GAO's earlier report and discusses whether (1) the Navy has provided adequate cost visibility and accountability over the consolidation, (2) DOD and the Navy have resolved other issues related to the financial structure for consolidations at Pearl Harbor and elsewhere, and (3) the consolidation has generated greater efficiency and lower costs for ship maintenance at Pearl Harbor. GAO found that the Navy still has not provided adequate …

A letter report issued by the General Accounting Office with an abstract that begins "GAO reviewed the Gramm-Leach-Bliley Act (GLBA) to determine how it might affect oversight to ensure the securities industry's compliance with anti-money laundering requirements. Specifically, GAO examined (1) how federal bank regulators were overseeing suspicious activity report (SAR) compliance for broker-dealers under their jurisdiction before and after GLBA and (2) what actions the Securities and Exchange Commission (SEC) was taking to oversee SAR compliance of broker-dealers previously monitored by bank regulators. Since the passage of GLBA, the broker-dealer subsidiaries of depository institutions and their holding companies are no longer being examined to assess their compliance with SAR requirements, and although they are being examined for compliance with reporting currency transactions and other Department of the Treasury requirements. SEC has not assumed examination responsibility for broker-dealer subsidiaries because agency officials say that they lack specific authority to examine for compliance with the SAR banking rules."

A letter report issued by the General Accounting Office with an abstract that begins "This report reviews the Internal Revenue Service's (IRS) third expenditure plan for its systems modernization project. GAO found that the plan satisfied the conditions specified in Treasury's 1998 and 1999 appropriations acts and that IRS was making progress towards satisfying Congress' direction on the Custodial Accounting Project (CAP) and Security and Technology Infrastructure Release (STIR) Project. Although IRS has made significant progress in establishing effective modernization management capability, important and challenging work remains to ensure that the systems work as intended. GAO also found that five modernization initiatives experienced schedule delays or cost increases, each of which IRS disclosed in the third plan. However, the third plan did not address whether projects' prior commitments for delivery of promised systems capabilities and benefit/business value were being met. IRS used contractor-provided "rough order-of-magnitude" estimates in preparing its third expenditure plan. However, consistent with its established practice, IRS planned to validate the third plan's estimates as part of its negotiating and definitizing contract task orders. For IRS' second expenditure plan, this process resulted in finalized contract costs that were $9 million under the "rough order-of-magnitude" estimates in the plan."

A letter report issued by the General Accounting Office with an abstract that begins "The federal government buys about $200 billion worth of goods and services each year. Through its purchasing decisions, the federal government can signal its commitment to preventing pollution, reducing solid waste, increasing recycling, and stimulating markets for environmentally friendly products. The Resource Conservation and Recovery Act of 1976 (RCRA) directs the Environmental Protection Agency (EPA) to identify products made with recycled waste materials or solid waste by-products and to develop guidance for purchasing these products. The act also requires procuring agencies to establish programs for purchasing them. This report examines efforts by federal agencies to (1) implementation of RCRA requirements for procuring products with recycled content and (2) the purchase of environmentally preferable and bio-based products. EPA accelerated its efforts in the 1990s to identify recycled-content products, but the status of agencies' efforts to implement the RCRA purchasing requirements for these products is uncertain. The four major procuring agencies report that, for many reasons, their procurement practices have not changed to increase their purchases of environmentally preferable and bio-based products. One reason for the lack of change is that EPA and the U.S. Department of Agriculture …

A letter report issued by the General Accounting Office with an abstract that begins "In 1986, Congress passed the Emergency Medical Treatment and Active Labor Act (EMTALA) in response to reports that some emergency rooms across the country had refused to treat indigent and uninsured patients or had inappropriately transferred them to other hospitals, a practice known as "patient dumping." EMTALA requires hospitals that participate in Medicare to provide a medical screening examination to any person who comes to the emergency department, regardless of the individual's ability to pay. If a hospital determines that the person has an emergency medical condition, it must provide treatment to stabilize the condition or provide for an appropriate transfer to another facility. The regional offices of the Centers for Medicare and Medicaid Services (CMS) are responsible for investigating complaints of alleged violations and forwarding confirmed violations to the Department of Health and Human Services' (HHS) Office of Inspector General (OIG) for possible imposition of civil monetary fines. The medical community has raised concerns that the implementation and enforcement of EMTALA have created burdens for hospitals and physicians, such as overcrowded emergency departments. This report reviews (1) how EMTALA has affected hospital emergency departments and …

Testimony issued by the General Accounting Office with an abstract that begins "This testimony discusses GAO's views on H.R. 723, a bill that would modify the Atomic Energy Act of 1954 by changing how the Department of Energy (DOE) treats nonprofit contractors who violate DOE's nuclear safety requirements. Currently, nonprofit contractors are exempted from paying civil penalties that DOE assesses under the act. H.R. 723 would remove that exemption. GAO supports eliminating the exemption because the primary reason for instituting it no longer exists. The exemption was enacted in 1988 at the same time the civil monetary penalty was established. The purpose of the exemption was to ensure that the nonprofit contractors operating DOE laboratories who were being reimbursed only for their costs, would not have their assets at risk for violating nuclear safety requirements. However, virtually all of DOE's nonprofit contractors have an opportunity to earn a fee in addition to payments for allowable costs. This fee could be used to pay the civil monetary penalties. GAO found that DOE's nuclear safety enforcement program appears to be a useful and important tool for ensuring safe nuclear practices."

Testimony issued by the General Accounting Office with an abstract that begins "Much is at stake when it comes to Medicare reform--not only the program's future but also the nation's fiscal flexibility to pursue other important national goals and programs in the future. A comprehensive effort to reform Medicare and put it on a sustainable path would help fulfill this generation's stewardship responsibility to succeeding generations. It would also help to preserve some capacity for future generations to make their own choices for what role they want the federal government to play. Updating Medicare's benefit package may be a necessary part of any realistic reform program. Such changes, however, need to be considered in the context of Medicare's long-term fiscal outlook and the need to make changes that will sustain the program over the long-term. Specifically, adding prescription drug coverage to the Medicare program would have a substantial impact on program costs. At the same time, many believe it is needed to guarantee the financial well-being and health of many beneficiaries. The challenge will be to design and implement drug coverage that will minimize the financial implications for Medicare while maximizing the positive effect of such coverage on Medicare beneficiaries. …

Testimony issued by the General Accounting Office with an abstract that begins "To better protect the nation's critical computer-dependent infrastructures from computer-based attacks and disruption, the President issued a directive in 1998 that established the National Infrastructure Protection Center as a national focal point for gathering information on threats and facilitating the federal government's response to computer-based incidents. This testimony discusses the center's progress in (1) developing national capabilities for analyzing cyber threat and vulnerability data and issuing warnings, (2) enhancing its capabilities for responding to cyber attacks, and (3) developing outreach and information-sharing initiatives with government and private-sector entities. GAO found that although the center has taken some steps to develop analysis and warning capabilities, the strategic capabilities described in the presidential directive have not been achieved. By coordinating investigations and providing technical assistance the center has provided important support that has improved the Federal Bureau of Investigations' ability to investigate computer crimes. The center has also developed crisis management procedures and drafted an emergency law enforcement sector plan, which is now being reviewed by sector members. The center's information-sharing relationships are still evolving and will probably have limited effectiveness until reporting procedures and thresholds are defined and trust …

A letter report issued by the General Accounting Office with an abstract that begins "The Government Performance and Results Act of 1993 requires agencies to produce annual performance reports. GAO reviewed the Department of Transportation's (DOT) performance reports for fiscal years 2000 and 2002 to assess its progress in achieving selected key outcomes in important mission areas. This report (1) assesses the progress DOT has made in accomplishing these outcomes and the strategies the agency has in place to achieve them and (2) compares DOT's fiscal year 2000 performance report and fiscal year 2002 performance plan with the agency's prior year performance report and plan for these outcomes. DOT's consolidated performance report makes it clear that DOT achieved only limited progress in fiscal year 2000 toward achieving the selected outcomes and that the agency directly indicated that its current strategies are not likely to result in achievement of the goals. DOT provided a clear, well-organized discussion of performance goals, measures, and data in both fiscal year 2000 and fiscal year 2002 performance plans."

Correspondence issued by the General Accounting Office with an abstract that begins "The Centennial of Flight Commission was created in 1998 to provide recommendations and advice to the President, Congress, and federal agencies on ways to encourage and promote national and international participation and sponsorships in commemoration of the centennial of powered flight. All 45 of the Commission's recorded financial transactions for fiscal years 2000 and 1999 were supported by documentation that was approved by management. The Commission recorded no donations, user fees, or in-kind donations for fiscal years 1999 and 2000. Also, the Commission's obligations exceeded its fiscal year 2000 appropriation of $600,000 by $29,729."

Document issued by the Office of the Attorney General of Texas in Austin, Texas, providing an interpretation of Texas law. It provides the opinion of the Texas Attorney General, John Cornyn, regarding a legal question submitted for clarification: Whether a school district may operate a school outside the district;s geographic boundaries (RQ-0273-JC)