ADP Budget Analysis:

SSA's Information Systems Funding for Fiscal Years 1988 and 1989

IMTEC-88-49: Published: Sep 14, 1988. Publicly Released: Sep 30, 1988.

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In response to a congressional request, GAO analyzed the Social Security Administration's (SSA) Information Technology Systems budget to: (1) assess SSA changes to the system's plans and budgets for fiscal year (FY) 1988 and FY 1989; (2) determine SSA funding requirements for FY 1989; and (3) estimate its unobligated fund carryover at the end of FY 1988.

GAO found that: (1) SSA significantly reduced its FY 1989 budget from $282 million to $221 million; (2) the reduction was due to changes in the agency's modernization efforts and congressional budget cuts; (3) SSA cancelled 13 projects totalling $22 million and decreased 32 project budgets totalling an estimated $71 million while it increased the budgets of 9 projects totalling $14 million and added 13 new projects totalling $38 million; and (4) SSA had the potential to carry over about $30 million from contracts it awarded at lower costs than budgeted for and from 6 projects that it did not award. GAO also found that SSA plans to: (1) carry over its unexpended 1988 funds to FY 1989; (2) cancel projects that it did not award in 1988 and require funding for them in FY 1989; (3) exchange funding between the FY 1988 and 1989 operating budgets; and (4) obligate $221 million in FY 1989 for its information systems.

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