A letter report issued by the General Accounting Office with an abstract that begins "The Floyd D. Spence National Defense Authorization Act for Fiscal Year 2001 requires GAO to review various aspects of the Department of Defense (DOD) policy that allows Defense Working Capital Fund activities to carry over a 3-month level of work from one fiscal year to the next. The DOD 3-month carryover standard applies to all DOD activity groups except for the contract portion of the Air Force depot maintenance activity group, for which DOD established a 4.5-month carryover standard because of the additional administrative functions associated with awarding contracts. Reported carryover balances for fiscal years 2000 and 2001 were inaccurate and, therefore, the balances were not reliable for decision-making or budget review purposes. The reported carryover balances were not accurate due to (1) faulty assumptions used in calculating work-in-process and (2) records not accurately reflecting work that was actually completed by year-end. As a result, the amount of carryover reported by the Air Force was understated by tens of millions of dollars and customers' funds were idle that could have been used for other purposes during the fiscal year. Even though the carryover was understated, Air …

Testimony issued by the Government Accountability Office with an abstract that begins "Since a peak of 22 U.S. commercial space launches in fiscal year 1998, the annual number of launches generally ranged from 4 to 9 launches. The number of commercial space launches is expected to increase in the next 8 years as the National Aeronautics and Space Administration (NASA) plans to procure 51 launches from commercial cargo companies to resupply the International Space Station. FAA also expects space tourism to begin in the next several years, although no companies have applied for a FAA launch license and companies developing these services have experienced delays in the past. FAA faces several challenges overseeing the commercial space launch industry. For example, FAA expects its licensing and oversight responsibilities to expand in anticipation of an increased private sector role, suggesting that FAA and Congress must remain vigilant so that potential conflicts in FAA’s safety oversight and industry promotion roles do not occur. Also, as the commercial space launch industry grows and FAA continues to implement NextGen—FAA’s effort to develop a more automated, aircraft-centered, satellite-based air traffic management system—the agency will have to manage a mix of earth-based aircraft and space vehicles. FAA …

A letter report issued by the General Accounting Office with an abstract that begins "Credit cards offer clear advantages to college students because they provide an interest free loan until the payment is due and a convenient noncash payment option for both routine transactions and emergencies. If used responsibly, credit cards allow students to build up credit histories that will increase their access to credit in the future. However, if college students have not learned sound financial management skills in high school or from their parents, the disadvantages of credit cards can outweigh the advantages. GAO found that more than one-third of students had credit cards before they entered college, and another 46 percent acquired them during the first year. Except for charges for tuition and fees, their spending patterns resembled those of nonstudents. GAO did not find a uniform response to the controversial issue of on-campus credit card marketing among the universities GAO visited. In response to complaints about aggressive marketing techniques, a few universities have restricted credit card solicitation on campus. The credit card issuers that responded to GAO's inquiries participated actively in the student market, but they did not have a uniform set of policies or practices."

A letter report issued by the Government Accountability Office with an abstract that begins "The U.S. Census Bureau (Bureau) conducted the Count Question Resolution (CQR) program to correct errors in the count of housing units as well as dormitories and other group living facilities known as group quarters. GAO was asked to assess whether CQR was consistently implemented across the country, paying particular attention to whether the Bureau identified census errors that could have been caused by more systemic problems. GAO also evaluated how well the Bureau transitioned to CQR from an earlier quality assurance program called Full Count Review."

Correspondence issued by the Government Accountability Office with an abstract that begins "DOD has identified DAWDF as a key tool used to address gaps in the acquisition workforce through additional hiring and training initiatives. For example, DOD officials noted they used DAWDF funds to hire about 5,855 new acquisition staff through fiscal year 2011 and enabled the Defense Acquisition University to provide 19,000 additional classroom seats, among other improvements. However, DOD’s ability to effectively execute hiring and other initiatives has been hindered by delays in the DAWDF funding process and the absence of clear guidance on the availability and use of related funds. DOD has not collected and distributed funds within required timeframes, sometimes delaying distribution to components until the following fiscal year. For example, only about 39 percent of the total amount of fiscal year 2011 transfer funds were distributed before the end of the fiscal year. These delays can result in uncertainty about the availability of funds, and negatively impact the components’ ability to execute according to their approved plans for the year. Additionally, DOD officials noted that the delays contributed, at least in part, to the amount of unobligated funds that were carried over to future years. …

A letter report issued by the Government Accountability Office with an abstract that begins "The Department of Defense's (DOD) methods for estimating excess capacity outside of a congressionally-authorized Base Realignment and Closure (BRAC) process have limitations. DOD used similar processes in its excess capacity analyses conducted in 1998 and 2004. This process included three major steps: (1) categorizing bases according to their primary missions and defining indicators of capacity; (2) developing ratios of capacity-to-force structure for DOD's baseline year of 1989; and (3) aggregating the analysis from the installation level across the military services and department-wide."

Correspondence issued by the Government Accountability Office with an abstract that begins "In creating the Department of Homeland Security (DHS) in the wake of September 11, 2001, some in Congress were concerned that the Department might not be able to conduct acquisitions with sufficient speed, particularly in an emergency. To that end, Congress enacted section 833 of the Homeland Security Act of 2002, which provides DHS with special streamlined acquisition authorities. Before those authorities could be used, however, the Secretary of Homeland Security or a delegate would have to determine in writing that the DHS mission would be seriously impaired without the use of the authorities. The special streamlined acquisition authorities including the following three items. First, increasing the micro-purchase threshold from $2,500 to $7,500. Purchases below the micro-purchase threshold do not require competitive quotes or compliance with the "Buy America" act. Only certain employees would be authorized to make procurements under this authority. Second, increasing the limit on the use of simplified acquisition procedures from $100,000 to $200,000 for contracts awarded and performed within the United States, and to $300,000 for contracts awarded and performed outside the United States. Simplified acquisition procedures permit agencies to use streamlined techniques to …

Correspondence issued by the Government Accountability Office with an abstract that begins "This letter responds to a Congressional letter requesting that we provide information on the approximate cost of various administrative steps that might be necessary to administer a subsidy program for the purchase of digital converter boxes to advance the transition to digital television (DTV). Specifically, the letter identifies a number of administrative steps that might be required to administer a rebate program targeted to low-income households that rely solely on over-the-air television signals, and asks us to estimate the costs of specific administrative steps. Estimating the specific costs of these administrative steps is difficult because of the substantial uncertainty about exactly what would be required to implement them. The Congressional letter also notes that the administrative costs for the rebate and voucher programs that we reviewed ranged from 10 percent to 39 percent. However, due to differences in the scope of the rebate and voucher programs we reviewed and a potential DTV subsidy, it is not clear how applicable the administrative costs of these programs are to estimating the costs of a DTV subsidy."

A letter report issued by the Government Accountability Office with an abstract that begins "The judiciary pays over $900 million in rent annually to GSA for court-related space, and this amount represents a growing proportion of the judiciary's budget. The judiciary's rent payments are deposited into GSA's Federal Buildings Fund (FBF), a revolving fund used to finance GSA's real property services, including the construction and repair of federal facilities under GSA control. In December 2004, the judiciary requested a $483 million dollar permanent, annual rent exemption, which GSA denied, saying that it undermined the intent of FBF and that GSA was unlikely to obtain appropriations to replace lost FBF income. GAO identified (1) recent trends in the judiciary's rent and space occupied and (2) challenges that the judiciary faces in managing its rent costs."

A letter report issued by the Government Accountability Office with an abstract that begins "The Federal Housing Administration's (FHA) performance in selling its foreclosed properties--known as real estate-owned (REO) properties--lagged the performance of both of the government-sponsored enterprises (enterprises), Fannie Mae and Freddie Mac. FHA disposed of more than 400,000 properties from January 2007 through June 2012. Its combined 2007-2012 returns, measured by the net execution rate (net sales proceeds divided by independently assessed property values) were about 4 to 6 percentage points below the enterprises' returns. After controlling for certain differences in their properties' characteristics (e.g., value, location, and local market conditions), differences in combined returns between FHA and the enterprises persisted at an estimated 2 to 5 percentage points."

Testimony issued by the Government Accountability Office with an abstract that begins "The Department of Housing and Urban Development's (HUD) Federal Housing Administration (FHA) has faced several challenges in recent years, including rising default rates, higher-than-expected program costs, and a sharp decline in program participation. To help FHA adapt to market changes, HUD has proposed a number of changes to the National Housing Act that would raise FHA's mortgage limits, allow greater flexibility in setting insurance premiums, and reduce down-payment requirements. Implementing the proposed reforms would require FHA to manage new risks and estimate the costs of program changes. To assist Congress in considering issues faced by FHA, this testimony provides information from recent reports GAO has issued that address FHA's risk management and cost estimates. Specifically, this testimony looks at (1) FHA's development and use of its mortgage scorecard, (2) FHA's consistent underestimation of program costs, (3) instructive practices for managing risks of new mortgage products, and (4) weaknesses in FHA's management of risks related to loans with down-payment assistance."

A letter report issued by the Government Accountability Office with an abstract that begins "The Federal Real Property Council (FRPC) has not followed sound data collection practices in designing and maintaining the Federal Real Property Profile (FRPP) database, raising concern that the database is not a useful tool for describing the nature, use, and extent of excess and underutilized federal real property. For example, FRPC has not ensured that key data elements—including buildings' utilization, condition, annual operating costs, mission dependency, and value—are defined and reported consistently and accurately. GAO identified inconsistencies and inaccuracies at 23 of the 26 locations visited related to these data elements (see the fig. for an example). As a result, FRPC cannot ensure that FRPP data are sufficiently reliable to support sound management and decision making about excess and underutilized property."

Testimony issued by the General Accounting Office with an abstract that begins "GAO has issued about 50 products during the last five years that include information on the Federal Bureau of Investigation's (FBI) operations and activities. When GAO initiates work with federal agencies, it formally notifies key officials about the planned review and meets with them to discuss objectives. In the course of its work, GAO routinely receives large amounts of information, some of it highly sensitive, and has an excellent record when it comes to safeguarding sensitive and classified information. This testimony discusses (1) GAO's statutory access authority to federal records and (2) access problems with the FBI. GAO has broad statutory right of access to agency records in order to conduct audits and evaluations. If agencies do not make information available in a reasonable time, GAO has the authority to demand access by sending the head of the agency a letter stating GAO's authority and its reasons for needing the information. The agency has 20 days to respond, after which the Comptroller General may file a report with the President, the Director of the Office of Management and Budget (OMB), the head of the agency, and Congress. If …

Testimony issued by the Government Accountability Office with an abstract that begins "Over 580,000 reservists have been activated for military operations between September 2001 and March 2007. The challenges of continuing to mobilize large numbers of reserve component servicemembers for ongoing operations while balancing their support to homeland defense missions have led to questions about whether changes are needed in the way the reserve components are structured and resourced, particularly in light of mounting 21st century fiscal imbalances. This testimony focuses on: (1) the nation's fiscal and security challenges and their implications for the Department of Defense (DOD) and the National Guard and Reserves; (2) the need for DOD to better align its reserve component business model, including human capital strategies, with the reserve forces' current and future needs; and (3) the extent to which DOD's current compensation system for reserve and National Guard personnel is helping the department to meet its human capital goals of recruiting and retaining a high-quality force. The testimony is based on GAO's body of work on the nation's long-term fiscal outlook, National Guard and reserve readiness, military personnel issues such as recruitment and retention, and the report GAO is issuing today on reserve and …

A letter report issued by the Government Accountability Office with an abstract that begins "Since the General Mining Act of 1872, billions of dollars in hardrock minerals, such as gold, have been extracted from federal land now managed by the Department of the Interior's Bureau of Land Management (BLM). For years, some mining operators did not reclaim land, creating environmental, health, and safety risks. Beginning in 1981, federal regulations required all operators to reclaim BLM land disturbed by these operations. In 2001, federal regulations began requiring operators to provide financial assurances before they began exploration or mining operations. GAO was asked to determine the (1) types, amount, and coverage of financial assurances operators currently use; (2) extent to which financial assurance providers and others have paid to reclaim land not reclaimed by the operator since BLM began requiring financial assurances; and (3) reliability and sufficiency of BLM's automated information system (LR2000) for managing financial assurances for hardrock operations."

A letter report issued by the Government Accountability Office with an abstract that begins "Over the past decade, average college tuition and fees increased between 20 and 38 percent, depending on the type of institution. This rising cost of college affects all students--both veteran and nonveteran students--who rely on a mix of family resources, grants, scholarships, loans, and work-study to finance their education. Students may face particular hardships when the cost of attendance outpaces students' available resources. For example, some lenders recently have tightened the eligibility criteria for obtaining student loans in response to problems in financial markets. In fiscal year 2007, the Department of Education (Education) provided $82 billion in financial aid in the form of grants, loans, and work-study programs under Title IV of the Higher Education Act of 1965, as amended, to 11 million students and their families. The primary Title IV aid programs include Pell Grants, Stafford Loans, and campus-based aid programs. Veterans also may be eligible for federal financial aid from the Department of Veterans Affairs (VA). VA awarded about $2 billion in Chapter 30 education benefits under the Montgomery GI Bill1 (Chapter 30 GI benefits) to more than 300,000 veteran students in fiscal year …

Testimony issued by the Government Accountability Office with an abstract that begins "This testimony summarizes GAO's October 2006 report on the Department of Homeland Security's (DHS) operations centers--centers run by three DHS components and operating 24 hours a day, 7 days a week, 365 days a year to conduct monitoring and surveillance activities of potential terrorist activities and other crises. Specifically, GAO assessed the extent to which the centers implemented key practices GAO's work has shown will enhance and sustain collaboration. In addition, GAO is aware of Congress's concerns about the performance of certain DHS components with regard to situational awareness during Hurricane Katrina, and the recent efforts made in response to these concerns identified in hurricane after-action studies and reports. Because these efforts to some extent affect DHS's response to the recommendations made in GAO's previous report, this testimony briefly describes some of the steps DHS reported that it has taken to address situational awareness problems Katrina exposed. However, because these actions are relatively new, it is too early to assess how well they are being implemented."

Correspondence issued by the Government Accountability Office with an abstract that begins "On January 31, 2008, we testified before Congress' subcommittee at a hearing entitled, "Eliminating Agency Payment Errors." At the hearing, we discussed federal agencies' progress in addressing key requirements of the Improper Payments Information Act of 2002 (IPIA) and Section 831 of the National Defense Authorization Act for Fiscal Year 2002, commonly known as the Recovery Auditing Act. Our review and testimony focused on (1) progress made in agencies' implementation and reporting under IPIA for fiscal year 2007, (2) remaining challenges with IPIA implementation, and (3) agencies' efforts to report recovery auditing information. This report responds to your March 13, 2008, request to provide answers to follow-up questions relating to our January 31, 2008, testimony. (1) What kinds of changes should be made to the Single Audit Act, which already requires recipients to have proper systems of internal control to ensure front-end compliance with Federal requirements that would assist in identification and reduction of improper payments? The FY 2007 Audit Report on the Consolidated Financial Statement indicates that the Federal government's inability to determine the extent to which improper payments occur is one of the major government-wide material …

Correspondence issued by the Government Accountability Office with an abstract that begins "Title III, section 366 of the Bob Stump National Defense Authorization Act for Fiscal Year 2003, required the Secretary of Defense to develop a comprehensive plan for the sustainment of training ranges using existing authorities available to the Secretaries of Defense and the military departments to address training constraints caused by limitations on the use of military lands, marine areas, and airspace available both in the United States and overseas. Section 366 also required the Secretary to submit to Congress a report containing the comprehensive training range sustainment plan, the results of an assessment and evaluation of current and future training range requirements, and any recommendations that the Secretary may have for legislative or regulatory changes to address training constraints. It also directed the Secretary of Defense to develop and maintain an inventory of training ranges for each of the armed forces, which identifies all training capacities, capabilities, and constraints at each training range. The Department of Defense (DOD) was to submit both the report and the training range inventory to Congress at the same time the President submitted the budget for fiscal year 2004 and to provide …

A letter report issued by the Government Accountability Office with an abstract that begins "An influenza pandemic could impair the military's readiness, jeopardize ongoing military operations abroad, and threaten the day-to-day functioning of the Department of Defense (DOD) due to a large percentage of sick or absent personnel. GAO was asked to examine DOD's pandemic influenza planning and preparedness efforts. GAO previously reported that DOD had taken numerous actions to prepare departmentwide, but faced four management challenges as it continued its efforts. GAO made recommendations to address these challenges and DOD generally concurred with them. This report focuses on DOD's combatant commands (COCOM) and addresses (1) actions the COCOMs have taken to prepare and (2) management challenges COCOMs face going forward. GAO reviewed guidance, plans, and after-action reports and interviewed DOD officials and more than 200 officials at the 9 COCOMs."

A letter report issued by the Government Accountability Office with an abstract that begins "Since 2003, a global epidemic of avian influenza has raised concern about the risk of an influenza pandemic among humans, which could cause millions of deaths. The United States and its international partners have begun implementing a strategy to forestall (prevent or delay) a pandemic and prepare to cope should one occur. Disease experts generally agree that the risk of a pandemic strain emerging from avian influenza in a given country varies with (1) environmental factors, such as disease presence and certain high-risk farming practices, and (2) preparedness factors, such as a country's capacity to control outbreaks. This report describes (1) U.S. and international efforts to assess pandemic risk by country and prioritize countries for assistance and (2) steps that the United States and international partners have taken to improve the ability to forestall a pandemic. To address these objectives, we interviewed officials and analyzed data from U.S. agencies, international organizations, and nongovernmental experts. The U.S. and international agencies whose efforts we describe reviewed a draft of this report. In general, they concurred with our findings. Several provided technical comments, which we incorporated as appropriate."

Testimony issued by the Government Accountability Office with an abstract that begins "To protect and mitigate threats and attacks against the United States, 22 federal agencies and organizations were merged to form the Department of Homeland Security (DHS) in 2002. One of the department's components, U.S. Customs and Border Protection (CBP), is responsible for securing the nation's borders. DHS and CBP rely on a variety of computerized information systems to support their operations and assets. GAO has reported for many years that poor information security is a widespread problem with potentially devastating consequences. In reports to Congress since 1997, GAO has identified information security as a governmentwide high-risk issue. In this testimony, GAO discusses DHS's information security program and computer security controls for key information systems. GAO based its testimony on agency, inspector general, and GAO issued and draft reports on DHS information security."

Testimony issued by the Government Accountability Office with an abstract that begins "The recent information security breach at the Department of Veterans Affairs (VA), in which personal data on millions of veterans were compromised, has highlighted the importance of the department's security weaknesses, as well as the ability of federal agencies to protect personal information. Robust federal security programs are critically important to properly protect this information and the privacy of individuals. GAO was asked to testify on VA's information security program, ways that agencies can prevent improper disclosures of personal information, and issues concerning notifications of privacy breaches. In preparing this testimony, GAO drew on its previous reports and testimonies, as well as on expert opinion provided in congressional testimony and other sources."

Testimony issued by the Government Accountability Office with an abstract that begins "H.R. 928, Improving Government Accountability Act, contains proposals intended to enhance the independence of the inspectors general and to create a Council of the Inspectors General on Integrity and Efficiency. This testimony provides information and views about the specific proposals based on GAO's prior work. We believe that effective, ongoing coordination of the federal oversight efforts of GAO and the Inspectors General (IG) is more critical than ever, due to the challenges and risks currently facing our nation including our immediate and long-term fiscal challenges, increasing demands being made for federal programs, and changing risk. Close strategic planning and ongoing coordination of audit efforts between GAO and the IGs would help to enhance the effectiveness and impact of work performed by federal auditors. In May of this year the Comptroller General hosted a meeting with the IGs for the principal purpose of improving the coordination of federal oversight between the IGs and GAO. Working together, and in their respective areas, GAO and the IGs can leverage each other's work and provide valuable input on the broad range of high-risk programs and management challenges across government."