Bankruptcy Administration: Justification Lacking for Continuing Two Parallel Programs
GGD-92-133
Published: Sep 28, 1992. Publicly Released: Oct 15, 1992.
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Highlights
Pursuant to a congressional request, GAO reviewed the Department of Justice's (DOJ) U.S. trustee program and the judicial branch's bankruptcy administrator program, administered by the Administrative Offices of the United States Courts (AOUSC), focusing on: (1) comparing their efficiencies, costs, and results; (2) their differences; and (3) whether two programs are needed.
Recommendations
Matter for Congressional Consideration
| Matter | Status | Comments |
|---|---|---|
| To make bankruptcy administration consistent across the country, Congress should incorporate the Bankruptcy Administration program into the Trustee program. |
Closed – Not Implemented
|
Congress has decided not to rescind the statute continuing the Bankruptcy Administration Program until 2002. There are no bills pending to address this recommendation. |
| To allow excess debtor fees to be used for program purposes, Congress should take action to eliminate the provision in the legislation requiring the Trustee System Fund to transfer surplus funds to the Treasury. The legislation should retain the provision requiring the Attorney General to monitor program fees so that money generated approximates what is needed to run the program. |
Closed – Not Implemented
|
In March 1992, DOJ submitted a draft bill to the Office of Management and Budget (OMB) that included a provision that would eliminate the requirement that annual excess funds be transferred to the Treasury. OMB deleted this provision, so it was not submitted to Congress. It has not been resubmitted. |
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Topics
Administrative costsBankruptcyConflict of interestsFederal agency reorganizationFunds managementGovernment collectionsProgram managementBankruptcy trusteesJudgesAdministrative expenses