Major Issues Facing the 102nd Congress

T-OCG-91-1: Published: Jan 23, 1991. Publicly Released: Jan 23, 1991.

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GAO discussed the critical issues Congress and the Administration have faced since November 1988. GAO noted that: (1) the budget deficit could reach $300 billion or more in 1991; (2) long-term economic forecasts imply that the budget deficit and a low domestic saving rate will constrict opportunities for economic growth; (3) Department of Defense weapons programs were hampered by management failures, cost growth, and overall affordability issues; (4) the costs of restoring stability to the thrift industry increased, and estimates for resolving the thrift crisis will reach $370 billion; (5) about 15 percent of the U.S. population had difficulty gaining access to the health care system because they lacked health insurance; (6) the Department of Transportation's National Transportation Plan addressed the need to overhaul the deteriorating transportation infrastructure, but did not address financing; (7) an effective national energy policy would require more spending on research and development and on conversation, and finding the money will be very difficult in the present budget situation; (8) due to severely constrained federal resources, meeting the requirements of recently enacted environmental legislation will be costly and challenging; and (9) Congress must provide sustained oversight for the establishment of a modern financial management structure for federal agencies.

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