Department of Education:

Opportunities to Realize Savings

T-HEHS-95-56: Published: Jan 18, 1995. Publicly Released: Jan 18, 1995.

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GAO discussed proposed Department of Education budget reductions and rescissions. GAO noted that: (1) Congress should consider terminating 21 programs that Education proposed for elimination because they were duplicative, their purposes were already achieved, or they would be more appropriately funded through nonfederal sources; (2) according to Education, termination of the 21 programs would be consistent with the goals of the National Performance Review; (3) although funding for higher education programs such as student loans and Pell Grants can be reduced and other higher education programs can be consolidated, reduced funding or consolidation may increase students' expenses and reduce students' access to postsecondary education; (4) Congress could reduce Education's budget by $9 billion by eliminating 61 of its employment training programs that are duplicative; and (5) Congress should reduce Education's funding so that it would have the least negative impact on areas with the greatest need and apply an absorption factor to those areas of greatest need.

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