Correspondence issued by the General Accounting Office with an abstract that begins "Medicare's home health benefit provides skilled nursing and other services to beneficiaries who are homebound. The Department of Health and Human Services (HHS) had a long-standing policy that beneficiaries who regularly attend adult day care were not considered homebound, particularly if the purpose of attending was to receive nonmedical or custodial care. In 2000, Congress indicated that Medicare beneficiaries who attended adult day care could still be considered homebound if they still met the other homebound requirements. GAO found that this clarification will have little effect on program costs or access to services because the number of affected individuals is small. On the basis of National Long Term Care Survey data, GAO estimates that 0.2 percent of elderly Medicare beneficiaries who attended adult day care had mobility or cognitive impairments that might make some eligible for Medicare home health services."

Correspondence issued by the General Accounting Office with an abstract that begins "In addition to providing an overview of a company's business operations, the annual reports submitted to the Securities and Exchange Commission present important information on an employer's estimated obligations for postemployment benefits, including retiree health benefits. However, the assumption used to estimate obligations for postemployment benefits vary across companies and are not comparable. Financial Accounting Standards Board guidelines give employers latitude in calculating these obligations. Moreover, changes in companies' benefit offerings or financial stability would likely alter companies' obligations for retiree health benefits. Most employers also reserve the right to change or terminate retiree health benefits."

Correspondence issued by the General Accounting Office with an abstract that begins "Last year, GAO reported that the demilitarization liability for excess ammunition was not reflected in the Department of Defense's (DOD) financial statements although required by federal financial accounting standards. The Army, as the single manager for conventional ammunition, calculated a liability of $1.2 billion and prepared a voucher recognizing this amount. Although consistent with GAO's recommendation that DOD include the total liability for demilitarizing excess ammunition in its annual financial statements, this amount does not reflect the full extent of future costs. Specifically, the Army does not recognize a liability for costs associated with the demilitarization of (1) excess ammunition overseas or (2) excess Army-owned war reserve ammunition, excess retail ammunition, and excess ammunition not stored at an Army installation. GAO found that the total liability that should be reflected in fiscal year 2002 financial statements could amount to $3 billion, or $1.8 billion more than the Army's calculation. The Army needs to submit an additional voucher and include in its and DOD's fiscal year 2002 consolidated balance sheets the future liability associated with the demilitarization of excess Army ammunition at overseas and military storage locations."

Correspondence issued by the General Accounting Office with an abstract that begins "The Federal Deposit Insurance Reform Act of 2002 would change the definition of the reserve ratio for the deposit insurance fund, and provide the Federal Deposit Insurance Corporation (FDIC) with the flexibility to set the fund's designated reserve ratio within a range. Current law requires FDIC to maintain the deposit insurance fund balances at a designated reserve ratio of at least 1.25 percent of estimated insurance deposits. If the reserve ratio falls below that level, FDIC's Board of Directors must set semiannual assessment rates that are sufficient to increase the reserve ratio to the designated reserve ratio within a year, or in accordance with a recapitalization schedule of 15 years or less."

Correspondence issued by the General Accounting Office with an abstract that begins "Beginning in the 1980s, the National Park Service spent $11 million to develop and implement a maintenance management system. The system was eventually terminated because it failed to provide park managers with all the information they needed to manage their deferred maintenance workload. In 1998, the Park Service started a new asset management process to provide a systematic method for documenting deferred maintenance needs and tracking progress in reducing the amount of deferred maintenance. GAO found that the Park Service has made progress in developing a new asset management process. When finally implemented, the process should provide the agency with a (1) reliable inventory of its assets; (2) process for reporting on the condition of each asset; and (3) systemwide methodology for estimating deferred maintenance costs for each asset. Although the new process is promising, its success cannot be determined until staff in each of the park units are trained and the new asset management process is fully and properly implemented."

A statement of record issued by the General Accounting Office with an abstract that begins "This testimony discusses group purchasing organizations (GPO) for medical devices and supplies used in hospitals. By pooling the purchases of their member hospitals, these specialized firms negotiate lower prices from vendors. GAO found that a hospital's use of a GPO contract did not guarantee that the hospital saved money: GPOs' prices were not always lower and were often higher than prices paid by hospitals negotiating directly with vendors. GAO studied price savings with respect to: (1) whether hospitals using GPO contracts received better prices than hospitals that did their own contracting, (2) the size of the hospital, and (3) size of the GPO. This data raises questions about whether GPOs, specially large GPOs, achieve consistent price savings."

Correspondence issued by the General Accounting Office with an abstract that begins "This report provides information on the income ranges of taxpayers who may have overpaid federal taxes by not itemizing. GAO found that of the returns filed for tax year 1998, 53 percent of taxpayers who may have overpaid federal taxes by not itemizing, had adjusted gross incomes of $50,000 or less. Eleven percent showed adjusted gross incomes of more than $75,000. The median adjusted gross income for these returns was about $47,000. The median adjusted gross income for all returns filed in tax year 1998 was about $27,000."

Correspondence issued by the General Accounting Office with an abstract that begins "This report evaluates the use of profits from the Library of Congress' retail activities to support other Library activities. GAO found that the Library has not yet developed an overall plan, specific business plans, pricing policies, or the accounting procedures to generate profits to support other activities. Although it has policies and procedures to control the use of its logo, the Library has not yet defined the scope and mission of the retailing functions, control of products, or licensing agreements. The Library's three major retail activities--the Photoduplication Service, the Gift Shop, and the Audio Video Laboratory--have not consistently generated profits or covered all costs for the last five years. In each case, the activity's total expenses exceeded its total revenues. GAO found that the Library is not able to conduct a study on generating profits from the its retail activities to support other Library activities or evaluate options."

Correspondence issued by the General Accounting Office with an abstract that begins "The Haitian Refugee Immigration Fairness Act (HRIFA) of 1998 authorized certain Haitian nationals and their dependents to apply to adjust their status to legal permanent residence. Section 902(k) of the act requires the Comptroller General to report every six months on the number of Haitian nationals who have applied and been approved to adjust their status to legal permanent residence. The reports are to contain a breakdown of the numbers who applied and the number who were approved as asylum applicants, parolees, children without parents, orphaned children, or abandoned children, and unmarried sons or daughters. As of March 31, 2002, the Immigration and Naturalization Service had received a total of 36,420 HRIFA applications and had approved 7,351 of these applications. The Executive Office for Immigration Review had 198 applications filed and had approved 98 of them."

Correspondence issued by the General Accounting Office with an abstract that begins "The Office of Management and Budget's (OMB) Office of Information and Regulatory Affairs (OIRA) prepares an annual report on the implementation of the Paperwork Reduction Act. OIRA's fiscal year 2002 report differed from the agency's previous reports in two important respects. First, the report provided agency-specific information on paperwork burden-hour estimates and violations only for the cabinet departments and the Environmental Protection Agency, but not for for the 12 independent agencies that had been included previously. Second, the report merged data on causes of changes in agencies' burden-hour estimates that previously had been presented separately. According to OIRA the agencies were excluded because (1) OMB's authority over the independent agencies is limited, (2) most independent agencies have total burden inventories under 10 million hours, and (3) OMB can best use its limited resources by focusing on the agencies that impose the most paperwork burden and over which OMB has more authority. OIRA classifies modifications in agencies' burden-hour estimates as either "adjustments" or "program changes." Although OIRA reported adjustments and program changes as separate data in fiscal years 2000 and 2001, the fiscal year 2002 report only included information …

A statement of record issued by the General Accounting Office with an abstract that begins "This testimony discusses management shortcomings at the Architect of the Capitol (AOC) in such areas as strategic planning, organizational alignment, strategic human capital, financial management, and information technology. AOC has demonstrated a commitment to change through ongoing management improvements. It is also revisiting its strategic planning efforts, working with a consultant to implement best practices, and implementing a new financial management system. AOC recognizes that change will not come quickly or easily. AOC must ensure that it has the policies, procedures, and people in place to effectively implement the needed changes. GAO believes that AOC must ensure top leadership commitment to change; identify long-term, mission-critical goals through a re-invigorated strategic planning process tied to serving the Congress; develop annual goals and a system for measuring progress; and establish individual accountability and commensurate authority for achieving results."

Correspondence issued by the General Accounting Office with an abstract that begins "This report reviews cooperative research and development agreements (CRADA) at the Army Research Laboratory and the Army Medical Research Institute of Infectious Diseases to determine whether the laboratories complied with export control laws. GAO found that the Army needs to clarify its guidance on technology transfers to ensure compliance with U.S. export control laws during the management review of potential CRADA under Army Regulation 70-57. However, the regulation does not require that laboratories consult with the Office of the United States Trade Representative when entering into a CRADA. A committee of legal and management officials from various Army commands is now revising Army Regulation 70-57."

Correspondence issued by the General Accounting Office with an abstract that begins "This report reviews efforts by the Office of Management and Budget (OMB), 24 of the largest federal agencies, and the agencies' inspectors general to implement requirements set forth as part of the National Defense Authorization Act for Fiscal Year 2001. GAO discusses (1) OMB's assessment of the top six security weaknesses within federal agencies, (2) information security weaknesses in federal information systems, and (3) the most significant barriers to securing federal information technology resources and what can be done to overcome these barriers."

Correspondence issued by the General Accounting Office with an abstract that begins "The Federal Deposit Insurance Reform Act of 2002 would change the definition of the reserve ratio for the deposit insurance fund and provide the Federal Deposit Insurance Corporation (FDIC) with the flexibility to set the fund's designated reserve ratio within a range. Current law requires FDIC to maintain the deposit insurance fund balances at a reserve ratio of at least 1.25 percent of estimated insurance deposits. If the reserve ratio falls below that level, FDIC's Board of Directors must set semiannual assessment rates that are sufficient to increase the reserve ratio to the designated reserve ratio within a year, or in accordance with a recapitalization schedule of 15 years or less."

Testimony issued by the General Accounting Office with an abstract that begins "The events of September 11 imposed new demands on the federal budget, while pent-up demands from years of fighting deficits remain. In the past, GAO has suggested four broad principles for a budget process. That process should (1) provide information on the long-term impact of decisions, both macro--linking fiscal policy to the long-term economic outlook--and micro--providing recognition of the long-term spending implications of government commitments; (2) provide information and focus on important macro trade-offs--e.g., between investment and consumption; (3) provide information to make informed trade-offs between missions and between the different policy tools of government; and (4) be enforceable, provide for control and accountability, and be transparent, using clear, consistent definitions. New rules and goals will be necessary to ensure fiscal discipline and to focus on long term implications of decisions. The federal government still needs a decision-making framework to evaluate choices between today's and future needs. Amending the current Budget Enforcement Act without setting realistic caps and addressing mandatory programs is unlikely to be successful because the original act used limited actions to achieve a balanced budget. A budget process appropriate for the early 21st century needs …

Testimony issued by the General Accounting Office with an abstract that begins "In the wake of the Enron collapse and the proliferation of earnings restatements and pro forma earnings assertions by other companies, questions are being raised about the soundness of private sector financial reporting, auditor independence, and corporate governance. In addressing these issues, the government's role could range from direct intervention to encouraging non-governmental and private-sector entities to adopt practices that would strengthen public confidence. GAO believes that Congress should consider a holistic approach that takes into account the many players and interrelated issues that brought about the Enron situation."

Testimony issued by the General Accounting Office with an abstract that begins "Welfare reform significantly changed federal policy for low-income families with children and established a five-year lifetime limit on cash assistance. Welfare reform also extended transitional Medicaid assistance through 2001. States have implemented various initiatives to help families move from cash assistance to the workforce, including some enhancements to transitional Medicaid. These initiatives likely helped to cut cash assistance caseloads by more than half from 1996 through mid-2001. Low-wage or part-time jobs--which are common for newly working individuals--often do not come with affordable health insurance, thus making transitional Medicaid coverage an important option. The implementation of transitional Medicaid assistance varied across the 21 states that GAO reviewed. State practices enhanced beneficiaries' ability to retain Medicaid coverage. However, many families did not receive their full transitional Medicaid assistance benefits because they failed to report their income three times during the 12-month period of coverage. Amending the Medicaid statute to provide states with greater flexibility to ease income-reporting requirements, as has been done for other aspects of the Medicaid program, could facilitate uninterrupted health insurance coverage for families moving from cash assistance to the workforce."

Testimony issued by the General Accounting Office with an abstract that begins "This testimony is based on a GAO report (GAO-02-156) that analyzed key characteristics of women and men in management positions, identified the representation of women in management positions in specific industries, and identified salary differences between men and women in full-time management jobs. Female managers in the 10 industries GAO examined were younger, less educated, were more likely to work part-time, and were less likely to be married than were male managers. In five of these industries, GAO found no statistically significant differences between the percent of industry positions filled by women and the percent of management positions filled by women. In four of the industries, women were less represented in management positions. In one of these industries, women were represented in management positions to a greater degree than they were in all positions in the industry. Full-time female managers earned less than full-time male managers in all 10 industries, after controlling for education, age, marital status, and race. GAO was unable to take years of experience into account."

Testimony issued by the General Accounting Office with an abstract that begins "Because of Amtrak's worsening financial condition, there is growing agreement that the current mission, funding, and structure for providing intercity passenger rail needs to be changed. Intercity passenger rail has the potential to complement other more heavily used modes of transportation in markets where rail transport can be competitive. The potential benefits include reduced air and highway congestion, reduced pollution caused by automobiles, reduced fuel consumption and energy dependency, and greater safety. Intercity passenger rail systems, like other intercity transportation systems, are expensive. Amtrak has called for $30 billion in federal capital support over 20 years to upgrade its operations and to invest in high-speed rail corridors. Amtrak also estimates that the cost to fully develop the 10 federally designated high-speed rail corridors and Amtrak's Northeast Corridor could exceed $50 billion over 20 years. Congress must determine if and how intercity passenger rail fits into the nation's transportation system. and what level of federal investment should be made in light of other competing national priorities. Key initial steps in this framework could include (1) establishing clear, non-conflicting goals for federal support of intercity passenger rail systems; (2) establishing …

Testimony issued by the General Accounting Office with an abstract that begins "The District of Columbia Family Act of 2001 was enacted to (1) redesignate the Family Division of the Superior Court of the District of Columbia as the Family Court of the Superior Court, (2) recruit trained and experienced judges to serve in the Family Court, and (3) promote consistency and efficiency in the assignment of judges to the Family Court and in its consideration of actions and proceedings. GAO found the Superior Court made progress in planning the transition of its Family Division to a Family Court, but some challenges remain. The transition requires the timely completion of a series of interdependent plans to obtain and renovate physical space for the court and its functions. Adequate space may not be available to support the additional judges the Family Court needs. Furthermore, the development of the Integrated Justice Information System will be critical for the Family Court's operational effectiveness, its ability to evaluate its performance, and to meet the judicial goals mandated by the Family Court Act."

Testimony issued by the General Accounting Office with an abstract that begins "Federal, state, and local governments share responsibility for terrorist attacks. However, local government, including police and fire departments, emergency medical personnel, and public health agencies, is typically the first responder to an incident. The federal government historically has provided leadership, training, and funding assistance. In the aftermath of September 11, for instance, one-quarter of the $40 billion Emergency Response Fund was earmarked for homeland security, including enhancing state and local government preparedness. Because the national security threat is diffuse and the challenge is highly intergovernmental, national policymakers must formulate strategies with a firm understanding of the interests, capacity, and challenges facing those governments. The development of a national strategy will improve national preparedness and enhance partnerships between federal, state, and local governments. The creation of the Office of Homeland Security is an important and potentially significant first step. The Office of Homeland Security's strategic plan should (1) define and clarify the appropriate roles and responsibilities of federal, state, and local entities; (2) establish goals and performance measures to guide the nation's preparedness efforts; and (3) carefully choose the most appropriate tools of government to implement the national strategy …

Testimony issued by the General Accounting Office with an abstract that begins "The Violence Against Women Office (VAWO) was created in to lead the national effort to end violence against women, including domestic violence, sexual assault, and stalking. Since its inception, VAWO has grown both in the number of discretionary grants awarded and dollars awarded for those grants. Unfortunately, monitoring activities and impact evaluation data provide little basis to assess program results. Both VAWO and the Office of Justice Programs made a commitment to improve, citing reorganization plans that anticipate management information system as the foundation for improved grants management. However, reorganization and management information tools and are only as good as the management that wields them. Commitment to improvement and oversight are needed to ensure progress."

Testimony issued by the General Accounting Office with an abstract that begins "This testimony discusses GAO's fiscal year 2001 performance and results, current challenges and future plans, and GAO's budget request for fiscal year 2003."

Testimony issued by the General Accounting Office with an abstract that begins "The Veterans Equitable Resource Allocation (VERA) system allocated $17.8 billion of its $20.3 billion health care budget to 22 regional health care networks in fiscal year 2001. Before Vera resources were allocated to facilities on the basis of their historical expenditures. By aligning resources with workloads VERA shifted about$921 million among VA's networks in fiscal year 2001. VERA's design is reasonable for equitably allocating resources, but improvements could better allocate comparable resources for comparable workloads. VERA's allocations are based primarily on network workload, with adjustments made for factors beyond the control of network management. These include the health care needs of veterans and some local cost differences. VERA's design also protects patients from the effects of network budget shortfalls. However, GAO found that $200 million annually that could be reallocated to better align network resources with workloads. First, VERA's measurement of network workload is not accurate enough to determine each network's allocation because VERA excludes most veterans with higher incomes who do not have service-connected disabilities--about one-fifth of VA's workload. Second, VERA does not accurately adjust for cost differences among networks for differences in patients' health care needs …