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    Subject Term: "Funds management"

    36 publications with a total of 97 open recommendations including 9 priority recommendations
    Director: Daniel Garcia-Diaz
    Phone: (202) 512-8678

    4 open recommendations
    Recommendation: The Administrator of RHS should develop and implement a plan for ongoing monitoring, including testing and evaluation, of the obligation tool using relevant data. (Recommendation 1)

    Agency: Department of Agriculture: Rural Housing Service
    Status: Open

    Comments: When we confirm what actions the agency has taken in response to this recommendation, we will provide updated information.
    Recommendation: The Administrator of RHS should develop controls to check the reasonableness of rental assistance agreement amounts calculated by the obligation tool. (Recommendation 2)

    Agency: Department of Agriculture: Rural Housing Service
    Status: Open

    Comments: When we confirm what actions the agency has taken in response to this recommendation, we will provide updated information.
    Recommendation: The Administrator of RHS should develop controls to ensure that RHS uses the inflation rates from the President's economic assumptions in developing budget estimates. (Recommendation 3)

    Agency: Department of Agriculture: Rural Housing Service
    Status: Open

    Comments: When we confirm what actions the agency has taken in response to this recommendation, we will provide updated information.
    Recommendation: The Administrator of RHS should provide guidance to Rural Development state offices that specifies that prior to obligating funds, staff are to review information related to a property's mortgage servicing status. (Recommendation 4)

    Agency: Department of Agriculture: Rural Housing Service
    Status: Open

    Comments: When we confirm what actions the agency has taken in response to this recommendation, we will provide updated information.
    Director: Asif A. Khan
    Phone: (202) 512-9869

    1 open recommendations
    Recommendation: The Secretary of Defense should direct the Office of the Under Secretary of Defense (Comptroller) to provide guidance in the DOD Financial Management Regulation on the timing of when DOD managers should use available tools to help ensure that monthly cash balances are within the upper and lower cash requirements.

    Agency: Department of Defense
    Status: Open

    Comments: DOD concurred with this recommendation and stated that it plans to update the DOD Financial Management Regulation as we recommended to provide additional guidance on the timing of when DOD managers should use available tools to help ensure that monthly cash balances are within the upper and lower cash requirements. DOD also stated that this change will be incorporated for the fiscal year 2019 President's Budget submission and subsequent budgets.
    Director: Timothy J. DiNapoli
    Phone: (202) 512-4841

    2 open recommendations
    Recommendation: The Director of Human Capital Initiatives should clarify whether and under what conditions DAWDF funds could be used to pay for personnel to help manage the fund.

    Agency: Department of Defense: Office of the Secretary of Defense: Office of the Under Secretary of Defense for Acquisition, Technology, and Logistics: Office of Human Capital Initiatives
    Status: Open

    Comments: DOD partially concurred with this recommendation, and indicated that it plans to take action to address it. Section 822 of H.R. 2810, the National Defense Authorization Act for Fiscal Year 2018, authorizes the use of DAWDF to pay salaries of personnel at the Office of the Secretary of Defense, military departments, and Defense Agencies to manage the fund. The Human Capital Initiatives Office plans to update the DAWDF Desk Operating Guide based on the final legislation.
    Recommendation: In collaboration with cognizant officials within DOD components, the Director of Human Capital Initiatives should ensure that components have processes in place to verify the accuracy and completeness of data on the execution of initiatives funded by DAWDF.

    Agency: Department of Defense: Office of the Secretary of Defense: Office of the Under Secretary of Defense for Acquisition, Technology, and Logistics: Office of Human Capital Initiatives
    Status: Open

    Comments: DOD partially concurred with this recommendation, and indicated that actions will be taken or have already been taken to address it. DOD noted that it had made significant management and other changes to improve the accuracy and completeness of data used and provided by components on the execution of initiatives funded by DAWDF. DOD noted that it had, among other actions, issued guidance to improve data validity, consistency, and alignment; instituted a midyear program execution review; and established a requirement for a data-driven year in review. The midyear program execution review now requires additional information from components. In addition, as part of the fiscal year 2018 proposal process, components were required to propose hiring by career field. If these management and policy changes are effectively translated into practice, we believe these actions will address the intent of the recommendation.
    Director: Susan Irving
    Phone: (202) 512-6806

    1 open recommendations
    Recommendation: To ensure that the reserve target SEC set for PCAOB safeguards against realistic risks and probable contingencies, including potential unforeseen funding delays, the SEC Chair, in exercising the commission's authority to oversee PCAOB, should analyze--and document the analysis of--program needs and probable contingencies, in consultation with PCAOB as appropriate.

    Agency: United States Securities and Exchange Commission
    Status: Open

    Comments: The Securities and Exchange Commission (SEC) reported in January 2017 that it will coordinate further with Public Company Accounting Oversight Board (PCAOB) staff as the PCAOB analyzes, with review by the SEC, their program costs and risks to ensure that the operating reserve reflects current needs and probable contingencies and that the analysis is documented.
    Director: J. Lawrence Malenich
    Phone: (202) 512-3406

    1 open recommendations
    Recommendation: CCI's Chief Financial Officer should update its existing Procurement and Accounts Payable Policy to fully document CCI's management approval controls over payments made by check, including exemptions to regular procedures. This should include approval procedures to be followed during periods when only one authorized manager is available to sign checks for payment.

    Agency: Capital Concerts, Inc.
    Status: Open

    Comments: We provided a draft of this report to Capital Concerts, Inc. (CCI) for comment. In its written comments, CCI stated that its Board of Directors will take appropriate action to address this recommendation.
    Director: David A. Powner
    Phone: (202) 512-9286

    3 open recommendations
    Recommendation: To help IRS improve its process for determining IT funding priorities and to provide timely information on the progress of its investments, the Commissioner of IRS should direct the Chief Technology Officer to establish, document, and implement policies and procedures for selecting new and reselecting ongoing business systems modernization activities, consistent with IRS's process for prioritizing operations support priorities, which addresses (1) prioritization and comparison of IT assets against each other, (2) criteria for making selection and prioritization decisions, and (3) ensuring IRS executives' final funding decisions on IT proposals are based on IRS's prioritization process.

    Agency: Department of the Treasury: Internal Revenue Service
    Status: Open

    Comments: In April 2017, IRS stated that it had several process improvements underway that would impact its documentation of policies and procedures for prioritizing business systems modernization activities. The agency committed to addressing the recommendation by December 2017.
    Recommendation: To help IRS improve its process for determining IT funding priorities and to provide timely information on the progress of its investments, the Commissioner of IRS should direct the Chief Technology Officer to modify existing processes for Foreign Account Tax Compliance Act (FATCA) and Return Review Program (RRP) for measuring work performed by IRS staff to incorporate best practices, including accounting for actual work performed and using the level of effort measure sparingly.

    Agency: Department of the Treasury: Internal Revenue Service
    Status: Open

    Comments: In April 2017, IRS reported that it was continuing to examine methods for modifying existing processes to measure work performed by IRS staff for the Foreign Account Tax Compliance Act and Return Review programs. We are monitoring IRS's efforts as part of an ongoing review of the agency's information technology operations.
    Recommendation: To help IRS improve its process for determining IT funding priorities and to provide timely information on the progress of its investments, the Commissioner of IRS should direct the Chief Technology Officer to report on actual costs and scope delivery at least quarterly for the Customer Account Data Engine 2 and the Affordable Care Act Administration. For these investments, IRS should develop metrics similar to FATCA and RRP.

    Agency: Department of the Treasury: Internal Revenue Service
    Status: Open

    Comments: IRS began reporting on actual costs and scope delivery at least quarterly using metrics similar to FATCA and RRP and provided the quarterly reports for fiscal year 2016 and the first two quarters of fiscal year 2017 to GAO. As of September 2017, the agency had not implemented the recommendation for the Affordable Care Act Administration investment because it did not see the benefit in doing so given that development work was minimal. We are following up with IRS on this as part of an ongoing review of the agency's information technology operations.
    Director: John Neumann
    Phone: (202) 512-3841

    9 open recommendations
    including 2 priority recommendations
    Recommendation: To reduce pre-award administrative workload and costs, particularly for applications that do not result in awards, the Secretary of Energy, the NASA Administrator, and the Secretary of Health and Human Services should conduct agency-wide reviews of possible actions, such as further use of preliminary proposals, to postpone pre-award requirements until after a preliminary decision about an applicant's likelihood of funding and, through OSTP's Research Business Models working group, coordinate and report on these efforts.

    Agency: Department of Energy
    Status: Open

    Comments: As of February 2017, DOE stated that it remained committed to addressing this recommendation. DOE outlined several steps it planned to take, such as participating in interagency meetings, but it did not indicate whether it has taken these steps.
    Recommendation: To reduce pre-award administrative workload and costs, particularly for applications that do not result in awards, the Secretary of Energy, the NASA Administrator, and the Secretary of Health and Human Services should conduct agency-wide reviews of possible actions, such as further use of preliminary proposals, to postpone pre-award requirements until after a preliminary decision about an applicant's likelihood of funding and, through OSTP's Research Business Models working group, coordinate and report on these efforts.

    Agency: Department of Health and Human Services
    Status: Open

    Comments: According to HHS, NIH is considering the feasibility of an approach to streamline its application process. As of May 2017, HHS anticipated implementing this recommendation by early fiscal year 2019.
    Recommendation: To reduce pre-award administrative workload and costs, particularly for applications that do not result in awards, the Secretary of Energy, the NASA Administrator, and the Secretary of Health and Human Services should conduct agency-wide reviews of possible actions, such as further use of preliminary proposals, to postpone pre-award requirements until after a preliminary decision about an applicant's likelihood of funding and, through OSTP's Research Business Models working group, coordinate and report on these efforts.

    Agency: National Aeronautics and Space Administration
    Status: Open

    Comments: As of February 2017, NASA anticipated implementing this recommendation by September 2017. NASA stated that it is working with other federal agencies to identify best practices for reducing the administrative burden to applicants and will assess the impact these practices have on the quality of applications so that NASA can continue to meet its mission.
    Recommendation: To better target requirements on areas of greatest risk, while maintaining accountability over grant funds, the Secretary of Health and Human Services, as part of the planned evaluation of the HHS regulation governing financial conflicts of interest in NIH-funded research, should evaluate options for targeting requirements on areas of greatest risk for researcher conflicts, including adjusting the threshold and types of financial interests that need to be disclosed and the timing of disclosures.

    Agency: Department of Health and Human Services
    Status: Open

    Comments: HHS stated that, as of May 2017, NIH was proceeding with plans to assess the financial conflict of interest regulation, including how to reduce administrative burden on researchers while maintaining the integrity and credibility of research findings.
    Recommendation: To better target requirements on areas of greatest risk, while maintaining accountability over grant funds, the Director of OMB, as part of OMB's planned evaluation of the Uniform Guidance, should evaluate options for targeting requirements for research grants to universities, including requirements for purchases and subrecipient monitoring, on areas of greatest risk for improper use of research funds.

    Agency: Executive Office of the President: Office of Management and Budget
    Status: Open
    Priority recommendation

    Comments: As of August 2017, OMB had not provided information on steps it has taken to implement this recommendation.
    Recommendation: To further standardize administrative research requirements, the Secretary of Energy, the NASA Administrator, the Secretary of Health and Human Services, and the Director of NSF should coordinate through Office of Science and Technology Policy's (OSTP) Research Business Models working group to identify additional areas where they can standardize requirements and report on these efforts.

    Agency: Department of Energy
    Status: Open

    Comments: In January 2017, the American Innovation and Competitiveness Act was signed into law, requiring the Office of Management and Budget, in coordination with the Office of Science and Technology Policy, to establish an interagency working group to reduce administrative workload and costs while protecting the transparency of and accountability for federally funded research. As of March 2017, DOE, HHS, NASA, and NSF stated that, as part of their efforts to implement GAO's recommendation, they would coordinate with other research funding agencies through this interagency working group.
    Recommendation: To further standardize administrative research requirements, the Secretary of Energy, the NASA Administrator, the Secretary of Health and Human Services, and the Director of NSF should coordinate through Office of Science and Technology Policy's (OSTP) Research Business Models working group to identify additional areas where they can standardize requirements and report on these efforts.

    Agency: Department of Health and Human Services
    Status: Open

    Comments: In January 2017, the American Innovation and Competitiveness Act was signed into law, requiring the Office of Management and Budget, in coordination with the Office of Science and Technology Policy, to establish an interagency working group to reduce administrative workload and costs while protecting the transparency of and accountability for federally funded research. As of March 2017, DOE, HHS, NASA, and NSF stated that, as part of their efforts to implement GAO's recommendation, they would coordinate with other research funding agencies through this interagency working group.
    Recommendation: To further standardize administrative research requirements, the Secretary of Energy, the NASA Administrator, the Secretary of Health and Human Services, and the Director of NSF should coordinate through Office of Science and Technology Policy's (OSTP) Research Business Models working group to identify additional areas where they can standardize requirements and report on these efforts.

    Agency: National Aeronautics and Space Administration
    Status: Open
    Priority recommendation

    Comments: In January 2017, the American Innovation and Competitiveness Act was signed into law, requiring the Office of Management and Budget, in coordination with the Office of Science and Technology Policy, to establish an interagency working group to reduce administrative workload and costs while protecting the transparency of and accountability for federally funded research. As of March 2017, DOE, HHS, NASA, and NSF stated that, as part of their efforts to implement GAO's recommendation, they would coordinate with other research funding agencies through this interagency working group.
    Recommendation: To further standardize administrative research requirements, the Secretary of Energy, the NASA Administrator, the Secretary of Health and Human Services, and the Director of NSF should coordinate through Office of Science and Technology Policy's (OSTP) Research Business Models working group to identify additional areas where they can standardize requirements and report on these efforts.

    Agency: National Science Foundation
    Status: Open

    Comments: In January 2017, the American Innovation and Competitiveness Act was signed into law, requiring the Office of Management and Budget, in coordination with the Office of Science and Technology Policy, to establish an interagency working group to reduce administrative workload and costs while protecting the transparency of and accountability for federally funded research. As of March 2017, DOE, HHS, NASA, and NSF stated that, as part of their efforts to implement GAO's recommendation, they would coordinate with other research funding agencies through this interagency working group.
    Director: Anne-Marie Fennell
    Phone: (202) 512-3841

    1 open recommendations
    Recommendation: To fulfill the secretarial order's directive that FWS manage Midway in accordance with the National Historic Preservation Act, the Secretary of the Interior should direct the Director of the U.S. Fish and Wildlife Service to ensure that the public, including key parties that have previously expressed interest in historic preservation issues on Midway, are notified about future FWS undertakings that may have an adverse effect on historic properties so that they have an opportunity to provide comment and input.

    Agency: Department of the Interior
    Status: Open

    Comments: As of November 2016, GAO is awaiting action by the agency to implement this recommendation.
    Director: Heather Krause
    Phone: (202) 512-6806

    5 open recommendations
    Recommendation: To help enhance efforts to expand shared services and improve the management of the Administrative Services Franchise Fund (ASFF), the Secretary of Transportation should direct the FAA Administrator to make pricing information, such as ranges of prices, for the ASFF's lines of business publicly available, as appropriate, to help potential customers and agency decision makers understand prices and different choices of services.

    Agency: Department of Transportation
    Status: Open

    Comments: FAA concurred with the recommendation. According to FAA, representatives from FAA's Administrative Services Franchise Fund are serving on the Office of Management and Budget's Shared Services Governance Board--a decision-making body for government-wide shared services initiatives. The Board is working with the General Services Administration's Unified Shared Services Management office on the standardization of publicly available pricing information for the FAA fund and other funds across the government and the forum in which to publish such information. FAA expects to provide an update on how it is addressing this recommendation by November 30, 2017.
    Recommendation: To help enhance efforts to expand shared services and improve the management of the ASFF, the Secretary of Transportation should direct the FAA Administrator to make the ASFF's strategic goals and performance metrics publicly available to help potential customers and agency decision makers understand how the fund is performing on the services provided.

    Agency: Department of Transportation
    Status: Open

    Comments: FAA concurred with the recommendation. According to FAA, representatives from FAA's Administrative Services Franchise Fund are serving on the Office of Management and Budget's Shared Services Governance Board--a decision-making body for government-wide shared services initiatives. The Board is working with the General Services Administration's Unified Shared Services Management office on the standardization of performance metrics for shared service providers (including the FAA fund) and the forum on which to publically share such information. FAA expects to provide an update on how it is addressing this recommendation by November 30, 2017.
    Recommendation: To help enhance efforts to expand shared services and improve the management of the Treasury Franchise Fund (TFF), the Secretary of the Treasury should make pricing information, such as ranges of prices, for the Administrative Resource Center Information Technology Services and Shared Services Programs (SSP) lines of business publicly available, as appropriate, to help potential customers and agency decision makers understand prices and different choices of services.

    Agency: Department of the Treasury
    Status: Open

    Comments: Treasury concurred with the recommendation. In March 2017, GAO contacted Treasury for a status update on how the recommendation is being addressed. We will update the status when the update is received.
    Recommendation: To help enhance efforts to expand shared services and improve the management of the TFF, the Secretary of the Treasury should develop a more complete set of performance metrics for the TFF's SSP line of business to help managers of the SSP line of business, current and potential customers, and agency decision makers monitor and oversee how the fund is performing on the services provided.

    Agency: Department of the Treasury
    Status: Open

    Comments: Treasury concurred with the recommendation. In March 2017, GAO contacted Treasury for a status update on how the recommendation is being addressed. We will update the status when the update is received.
    Recommendation: To help enhance efforts to expand shared services and improve the management of the TFF, the Secretary of the Treasury should develop an operating reserve policy that documents all existing review processes that relate to management of the TFF's operating reserves. These documented policies should include information on how fund managers are to assess the operating reserves, including guidelines to evaluate, use, and maintain the operating reserves over time.

    Agency: Department of the Treasury
    Status: Open

    Comments: Treasury concurred with the recommendation. In March 2017, GAO contacted Treasury for a status update on how the recommendation is being addressed. We will update the status when the update is received.
    Director: Garcia-diaz, Daniel
    Phone: (202) 512-4529

    2 open recommendations
    including 1 priority recommendation
    Recommendation: To better ensure that taxpayer funds are being used effectively, Congress should consider permanently rescinding any Treasury-deobligated excess MHA balances that Treasury does not move into the Hardest Hit Fund.

    Agency: Congress
    Status: Open

    Comments: Congress has not taken any action since Treasury has not deobligated MHA program funds beyond the $2 billion that it transferred to the TARP-funded Hardest Hit Fund based on the October 2017 TARP Monthly Report to Congress.
    Recommendation: To provide Congress and others with accurate assessments of the funding that has been and will likely be used to help troubled borrowers and to identify any potential obligations not likely to be used, the Secretary of the Treasury should deobligate funds that its review shows will likely not be expended and obligate up to $2 billion of such funds to the TARP-funded Hardest Hit Fund as authorized by the Consolidated Appropriations Act, 2016.

    Agency: Department of the Treasury
    Status: Open
    Priority recommendation

    Comments: Treasury agreed with the recommendation and deobligated $2 billion as of February 2016 based on its updated MHA program cost estimates and indicated that it plans to commit this $2 billion to the Hardest Hit Fund program, as GAO recommended. However, Treasury has not deobligated an additional $2.7 billion in potential excess program funds identified by the cost estimate. Treasury has stated that it does not expect to deobligate any estimated excess funds from the MHA program prior to December 2017, when servicers report data on all final transactions. We maintain that Treasury should deobligate additional excess MHA funds that its review showed will likely not be expended and further update its cost estimates as additional information becomes available.
    Director: Anne-Marie Fennell
    Phone: (202) 512-3841

    1 open recommendations
    Recommendation: To help improve its management of recreation fees, the Secretary of the Interior should direct the Director of the Park Service to revise its guidance on recreation fees so that the agency periodically reviews its entrance fees to determine whether the fees are reasonable.

    Agency: Department of the Interior
    Status: Open

    Comments: In its initial response to our published report, the Park Service stated that it plans to revise Reference Manual 22A: Recreation Fee Collection (RM22A). This revision will include a requirement to reevaluate the entrance fee pricing structure every 3 years. The Park Service last reviewed and updated the fee schedule in August 2014. As of November 2016, the Park Service told GAO that it was planning to review its fee schedule on a 3-year cycle, so the next review will be in 2017. The agency also reported that it was on track to update its guidance to reflect this new schedule, but has not yet completed this effort. We will continue to monitor agency progress in implementing this recommendation.
    Director: Daniel Bertoni
    Phone: (202) 512-7215

    2 open recommendations
    Recommendation: To help ensure the best use of the VA Adaptive Sports Grant program funds, the Secretary of Veterans Affairs should direct the Undersecretary for Public and Intergovernmental Affairs to systematically gather and disseminate, to all its grantees, techniques that can reduce the no-show rate at funded events.

    Agency: Department of Veterans Affairs
    Status: Open

    Comments: VA concurred with our recommendation. In 2015, VA stated that it would have grantees report on their policies, tools and experience with veterans and service members who do not show up for events; and measures grantees have taken to reduce no-shows. VA stated that it will analyze this information and disseminate best techniques, tools, and recommended actions to current and future grantees. We will close this recommendation when we receive documentation showing that VA is systematically gathering and disseminating information on best practices for reducing no-shows.
    Recommendation: To help ensure the best use of the Department of Veterans Affairs (VA) Adaptive Sports Grant program funds, the Secretary of Veterans Affairs should direct the Undersecretary for Public and Intergovernmental Affairs to revise the draft monitoring plan to include guidance on the number and frequency of annual site visits and desk audits.

    Agency: Department of Veterans Affairs
    Status: Open

    Comments: VA concurred with this recommendation. In 2015, VA reported that its final monitoring plan calls for conduct of site visits or desk audits of at least 10 percent of grantees in a grant year. We will close this recommendation when we receive a copy of the final plan for FY16 documenting this commitment.
    Director: Charles Jeszeck
    Phone: (202) 512-7215

    1 open recommendations
    Recommendation: To encourage plan sponsors to continue efforts to improve plan participation and overall retirement savings through the use of Qualified Default Investment Alternatives, the Secretary of Labor should direct the Assistant Secretary for the Employee Benefits Security Administration to assess the challenges that plan sponsors and stakeholders reported, including the extent to which these challenges can be addressed, and implement corrective actions through clarifying guidance or regulations, as appropriate.

    Agency: Department of Labor
    Status: Open

    Comments: In 2015, DOL noted that the agency would assess the challenges that plan sponsors and stakeholders had reported to GAO, decide in FY 2016 whether a broader public comment process (such as a Request for Information) or a research project would aid that assessment, and determine whether other actions, such as issuing clarifying guidance or regulations, would be beneficial to its stakeholders. In July 2016, DOL confirmed that the agency continues to plan to take the above action. In July 207, DOL responded that it had not added a public comment process to EBSA's 2017 regulatory agenda, and had no specific timeline for any next action.
    Director: Maurer, Diana C
    Phone: (202) 512-9627

    2 open recommendations
    Recommendation: To ensure the timely expenditure of VOCA grant funds and thereby limit the carryover of unexpended grant balances, minimize the need for multiple grant extensions, and strengthen OJJDP's capacity to collect and assess grantee performance information, the Assistant Attorney General for OJP should work with the Administrator of OJJDP to conduct a study to examine whether any of its administrative processes contribute to unnecessary delays in grantees' ability to expend VOCA funds within the established 12-month project period and make modifications to these processes as appropriate.

    Agency: Department of Justice: Office of Justice Programs: Office of the Assistant Attorney General
    Status: Open

    Comments: In April 2015, we found that OJJDP had several administrative review and approval processes in place that had contributed to delays in grantees' ability to begin spending their award funds. For instance, grantees could not access their funds until OJJDP had completed its internal review of grantees' budgets--a step that had taken more than 2 months, on average, after the grantees' project period had begun. We recommended that OJP examine its processes and, if appropriate, make modifications to prevent unnecessary delays in grantees' ability to expend VOCA funds within the established project period. In March 2017, OJP reported that its Office of Audit, Assessment and Management (OAAM), worked with OJJDP to complete an assessment to determine the impact of administrative processes on VOCA awards. Focusing on VOCA grants awarded in fiscal years 2010 through 2015, OAAM assessed a number of factors, including (1) the average timeframe for approval of budget reviews; (2) the average timeframe for approval of conference cost requests, and (3) the number of no-cost extensions granted. OJP reported that OAAM continues to work with OJJDP to review documentation to support implementation of process improvements to address the issues the assessment identified. In December 2017, OJP reported that DOJ anticipates issuing a report by the end of January 2018 that summarizes the results of OAAM's assessment and provide updates on the process improvements OJJDP has begun to implement. Examining the delays associated with its administrative review processes and making modifications as necessary will help OJP ensure the effective administration and timely use of grant funds.
    Recommendation: To ensure the timely expenditure of VOCA grant funds and thereby limit the carryover of unexpended grant balances, minimize the need for multiple grant extensions, and strengthen OJJDP's capacity to collect and assess grantee performance information, the Assistant Attorney General for OJP should work with the Administrator of OJJDP to, considering the results of this study, examine whether the current 12-month project period is realistic in light of any administrative processes that cause delay but cannot be modified and extend the project period if necessary.

    Agency: Department of Justice: Office of Justice Programs: Office of the Assistant Attorney General
    Status: Open

    Comments: In April 2015, we found that VOCA grant activities were not being completed within the time parameters OJJDP established for the grant program, and that this may affect the ability of grantees to complete their grant goals and objectives. Specifically, we found that for the 28 VOCA grants that OJJDP awarded from fiscal years 2010 through 2013, grantees had expended less than 20 percent, on average, of each grant they received during the original 12-month project period. In particular, we found that OJJDP's processes for reviewing grantees' budgets and conference planning requests were contributing to delays in grantees' ability to begin spending their funds. We recommended that OJP examine whether 12 months is an appropriate project period length to ensure that VOCA grantees are well positioned to fully expend their grant funds. In March 2017, OJP reported that its Office of Audit, Assessment and Management (OAAM), worked with OJJDP to complete an assessment to determine the impact of administrative processes on VOCA awards. Focusing on VOCA grants awarded in fiscal years 2010 through 2015, OAAM assessed a number of factors, including (1) the average timeframe for approval of budget reviews; (2) the average timeframe for approval of conference cost requests, and (3) the number of no-cost extensions granted. OJP reported that OAAM continues to work with OJJDP to review documentation to support implementation of process improvements to address the issues the assessment identified. In December 2017, OJP reported that DOJ anticipates issuing a report by the end of January 2018 that summarizes the results of OAAM's assessment and provide updates on the process improvements OJJDP has begun to implement. Once OJJDP examines its administrative delays, makes any necessary changes, and reviews the original project period length, OJP will be better positioned to ensure that grantees have an appropriate period in which to expend VOCA grant awards.
    Director: Beryl H. Davis
    Phone: (202) 512-2623

    3 open recommendations
    Recommendation: To help reduce the risk that improper payment estimates related to DRAA funding developed and reported by selected agencies may not be accurate or reliable, and to help ensure that DOT produces reliable estimates of its DRAA improper payments, as applicable to each administration, the Secretary of Transportation should direct the Administrators of the Federal Aviation Administration, Federal Highway Administration, Federal Railroad Administration, and Federal Transit Administration to revise their policies and procedures for estimating improper payments by: (1) clearly identifying roles and responsibilities for estimating improper payments; (2) defining improper payments consistently with IPIA, as amended, and OMB Circular No. A-123, Appendix C; (3) requiring payments to federal employees to be included in populations for testing as required by IPIA, as amended; (4) including steps to assess the completeness of the population of transactions used for selecting the samples to be tested; (5) requiring the agency to maintain sufficient documentation to support improper payment estimates; (6) requiring that the sampling methodologies meet the precision requirements outlined in OMB Circular No. A-123, Appendix C; and (7) requiring a consultation with a statistician to ensure the validity of sample design, sample size, and measurement methodology.

    Agency: Department of Transportation
    Status: Open

    Comments: On April 14, 2017, we were informed that the Office of the Chief Financial Officer has oversight over the Department of Transportation's (DOT) improper payments implementation and is revising DOT's policies for estimating improper payments. DOT plans to complete this action by 10/31/2017. We will continue to monitor the status of this recommendation.
    Recommendation: To help reduce the risk that improper payment estimates related to DRAA funding developed and reported by selected agencies may not be accurate or reliable, and to help ensure that the Department of Housing and Urban Development produces reliable estimates of its DRAA improper payments, the Secretary of Housing and Urban Development should direct appropriate officials to revise its policies and procedures for estimating improper payments by (1) requiring payments to federal employees to be included in populations for testing as required by the Improper Payments Information Act of 2002 (IPIA), as amended, and (2) including steps to assess the completeness of the population of transactions used for selecting the samples to be tested.

    Agency: Department of Housing and Urban Development
    Status: Open

    Comments: Overall, we believe the Department of Housing and Urban Development (HUD) is on track for taking corrective actions that meet the intent of GAO recommendation. For example, we believe HUD has met the intent of this recommendation with regards to HUD revising its policies and procedures for estimating improper payments. Specifically, we have reviewed HUD's updated recapture audit plan dated June 26, 2015, and verified it requires payments to federal employees to be included in populations for testing. However, we do not believe HUD has met the intent of this recommendation with regards to including steps to assess the completeness of the population of transactions used for selecting the samples to be tested. Specifically, we have not seen where HUD's policies and procedures show how HUD ensures that it is selecting from a complete list of grantee files when conducting tests related to estimating improper payments. On July 19, 2017, a HUD official explained that HUD does not have controls in place to ensure that the grantee files are complete. Further, the HUD official indicated that the grantee files come from the grantee, and HUD relies on the grantees to provide a complete list of files. However, HUD does not currently have a way to verify that this list is complete. According to the HUD official, HUD he will explore options HUD can implement for ensuring that grantee files are complete, including possibly having grantees to sign a statement certifying that their grantee files are complete when provided to HUD. We will continue to monitor the agency's actions to address this recommendation.
    Recommendation: To help reduce the risk that improper payment estimates related to DRAA funding developed and reported by selected agencies may not be accurate or reliable, and to help ensure that the U.S. Army Corps of Engineers (USACE) produces reliable estimates of its DRAA improper payments, the Secretary of the Army should direct the Chief of Engineers and Commanding General of USACE to revise policies and procedures for estimating improper payments by: (1) defining improper payments consistently with IPIA, as amended, and OMB Circular No. A-123, Appendix C; (2) requiring payments to federal employees to be included in populations for testing as required by IPIA, as amended; (3) including steps to assess the completeness of the population of transactions used for selecting the samples to be tested; (4) providing sufficient procedures for determining an error and what documentation is necessary to substantiate payment; and (5) requiring the agency to maintain sufficient documentation to support improper payment estimates.

    Agency: Department of Defense: Department of the Army
    Status: Open

    Comments: As of June 5, 2017, no updated information has been provided by the Department of Defense. We will continue to monitor the status of this recommendation.
    Director: Maurer, Diana C
    Phone: (202) 512-9627

    3 open recommendations
    Recommendation: To help ensure the efficient use of resources for the Three Percent Fund, the Attorney General should develop a policy and implement procedures to regularly analyze unobligated balances and develop collection estimates in order to determine an appropriate reserve amount and inform estimates of future funding needs.

    Agency: Department of Justice
    Status: Open

    Comments: In February 2015, we found that the Department of Justice (DOJ) Collection Resource Allocation Board (CRAB) had taken steps to manage the Three Percent Fund, but it had not conducted analyses that would help DOJ better manage the fund, such as developing reserve estimates aligned with DOJ priorities or projecting future collections. GAO has identified leading practices among federal agencies when evaluating balances in federal accounts. Such practices emphasize the importance of regularly analyzing balances by, for example, estimating collections and determining reserve needs. Doing so helps agencies more effectively anticipate program needs and ensure the most efficient use of resources. As a result, we recommended that DOJ develop a policy and implement procedures to regularly analyze unobligated balances collection estimates in the Three Percent Fund. DOJ partially concurred with this recommendation. In response, DOJ provided us with a policy it began implementing in January 2016 to help them analyze the Three Percent Fund's unobligated balance and develop an appropriate reserve amount. For example, DOJ's policy for developing the reserve estimate now relies on more robust requests for information of DOJ debt collection activities, including government personnel, contract support, and automated litigation service requirements. By developing and implementing this policy, DOJ is better positioned to ensure the continuity of operations funded through the Three Percent Fund and to make future resource allocations. However, DOJ stated in its response to the report that it does not believe it is appropriate to estimate incoming collections for the following year. For example, DOJ does not ask litigating components for the number of cases that will be settled because the agency does not want to be perceived as inappropriately encouraging larger government civil collections. Additionally, DOJ does not calculate such estimates due to the high level of variability in the civil debt litigation cases that make it difficult to use historical information to estimate reserves. We noted in our report DOJ's concerns for developing collection estimates. However, we continue to believe that developing a policy for considering collection estimates is important. The Three Percent Fund is self-sustaining and does not receive annual appropriations. Therefore, any volatility should be managed with the best information and estimates the department can provide. Without developing collection estimates, DOJ is at risk of committing too much or too few budgetary resources from the Three Percent Fund. A lack of such a policy may lead to Three Percent balances either falling too low to efficiently manage operations or rise to unnecessarily high levels. As we have previously reported, one method DOJ could consider instead of a specific dollar estimate is to develop a range between the potential lowest and highest collection amounts based on historical trends and current collection activities. By estimating future collections, DOJ could better ensure it is able to efficiently fund as many programs as possible and best support the fund's priorities. Therefore, we consider this recommendation only partially implemented and will keep it open until DOJ develops collection estimates to aid managing the Three Percent Fund.
    Recommendation: To improve transparency and ensure the effective use of automation fees for the CJIS fingerprint checks fees, the Director of the Federal Bureau of Investigation should publish in the Federal Register, or other documents such as annual reports, how much is assessed for automation and cost recovery in each transaction to better communicate the cost of the service to customers and stakeholders.

    Agency: Department of Justice: Federal Bureau of Investigation
    Status: Open

    Comments: In fiscal year 2015, we found that the Federal Bureau of Investigation (FBI) sets its Criminal Justice Information Services (CJIS) fingerprint checks fees to collect two parts--the cost recovery portion and the automation portion, but does not provide transparency in how much is assessed for each portion of the fee. As a result, we recommended that FBI publish in the Federal Register, or other documents such as annual reports, how much is assessed for automation and cost recovery in each transaction to better communicate the cost of the service to customers and stakeholders. In July 2016, FBI published a notice in the Federal Register announcing a CJIS fingerprint checks fees rate change effective on October 1, 2016. However, the notice did not include an explanation of how much is assessed for the cost recovery or the automation portion of the fee. According to a Department of Justice (DOJ) liaison, FBI included a breakout of the revised rates in its CJIS Information Letter, which services as written notification of a rate change to state and federal stakeholders. GAO requested a copy of the CJIS Information Letter, but as of February 2017, DOJ has not provided the letter. Further, while the CJIS Information Letter might provide transparency to stakeholders on how much FBI assesses for each portion of the fee, FBI has not relayed how it intends to be transparent with customers. To fully address this recommendation, FBI needs to demonstrate that it is being transparent with stakeholders and with customers. Until it does so, this recommendation will remain open.
    Recommendation: To improve transparency and ensure the effective use of automation fees for the CJIS fingerprint checks fees, the Director of the Federal Bureau of Investigation should develop a policy to analyze the unobligated balances coming from the automation portion of the fee to inform program needs, including improving methods for anticipating automation collections, and establishing a range of appropriate carryover amounts to support program needs.

    Agency: Department of Justice: Federal Bureau of Investigation
    Status: Open

    Comments: In fiscal year 2015, we found that the Federal Bureau of Investigation (FBI) had a growing unobligated balance from the automation portion of its Criminal Justice Information Services (CJIS) fingerprint checks fees but did not evaluate the appropriate range of its carryover amounts, nor had it developed a policy to do so. As a result, we recommended that FBI develop a policy to analyze the unobligated balances coming from the automation portion of the fee to inform program needs, including improving methods for anticipating automation collections, and establishing a range of appropriate carryover amounts to support program needs. In September 2016, the Department of Justice (DOJ) reported that FBI is taking steps to develop and implement a multi-year investment plan that will be reviewed and updated annually, and that will address key questions from the GAO report titled "Budget Issues: Key Questions to Consider When Evaluating Balances in Federal Accounts." Additionally, the multi-year investment plan will include both an annual analysis of current and projected revenue from the automation portion of the fee, and the evaluation of the resource requirements needed to support the development of technological enhancement of fingerprint identification and criminal justice services. According to DOJ officials, the 2017 plan will be the first to include this information; however GAO has not yet received a copy of the 2017 plan. We will continue to monitor FBI's progress on this recommendation.
    Director: Charlie Jeszeck
    Phone: (202) 512-7215

    5 open recommendations
    including 1 priority recommendation
    Recommendation: To better protect the retirement savings of individuals who change jobs, while retaining policies that provide 401(k) plans relief from maintaining small, inactive accounts, Congress should consider amending current law to permit the Secretary of Labor and the Secretary of the Treasury to identify and designate alternative default destinations for forced transfers greater than $1,000, should they deem them more advantageous for participants.

    Agency: Congress
    Status: Open

    Comments: There has been no congressional action as of 2017.
    Recommendation: To better protect the retirement savings of individuals who change jobs, while retaining policies that provide 401(k) plans relief from maintaining small, inactive accounts, Congress should consider amending current law to repeal the provision that allows plans to disregard amounts attributable to rollovers when determining if a participant's plan balance is small enough to forcibly transfer it.

    Agency: Congress
    Status: Open

    Comments: There has been no congressional action as of 2017.
    Recommendation: To ensure that individuals have access to consolidated online information about their multiple 401(k) plan accounts, the Secretary of Labor should convene a taskforce to consider establishing a national pension registry. The taskforce could include industry professionals, plan sponsor representatives, consumer representatives, and relevant federal government stakeholders, such as representatives from Social Security Administration, Pension Benefit Guaranty Corporation, and Internal Revenue Service, who could identify areas to be addressed through the regulatory process, as well as those that may require legislative action.

    Agency: Department of Labor
    Status: Open
    Priority recommendation

    Comments: In April 2017, The Department of Labor (DOL) reported that it has not allocated any resources to this recommendation and, as previously stated, that it continues to believe that the Department should not undertake to convene a taskforce at this time, in light of the Pension Benefit Guaranty Corporation's (PBGC) initiative, the Department's limited authority, and resource constraints. In October 2016, DOL stated that it does not have regulatory authority to establish a pension registry and could not provide sufficient funding to operate a registry. GAO's recommendation is to convene a taskforce to look at what would be needed to create such a registry. Indeed, DOL's stated constraints are exactly the constructive input that would need to be first addressed by such a taskforce for a registry to be created. The agency further noted that the PBGC is in the process of looking at expanding its own registry of accounts left in closed defined benefit plans to include accounts in 401(k) plans. However, PBGC is only looking at expanding its program, as instructed by the Pension Protection Act, to include accounts left in terminated 401(k) plans. However, in June 2016, Congress proposed that a new national, online, lost and found for Americans' retirement accounts be created, in cooperation with the Commissioner of Social Security and the Secretary of the Treasury, using data that employers are already required to report. Until Congress' proposal becomes law, we continue to recommend that DOL facilitate a taskforce to discuss legal and other logistical questions that would need to be worked out to create a pension registry.
    Recommendation: To ensure that 401(k) plan participants have timely and adequate information to keep track of all their workplace retirement accounts, the Social Security Administration's Acting Commissioner should make information on potential vested plan benefits more accessible to individuals before retirement. For example, the agency could consolidate information on potential vested benefits, currently sent in the Potential Private Retirement Benefit Information notice, with the information provided in the Social Security earnings and benefits statement.

    Agency: Social Security Administration
    Status: Open

    Comments: SSA disagreed with this recommendation, but did seek legal guidance to determine if it is permissible to include a general statement encouraging potential beneficiaries to pursue any external pension benefits in its benefit Statement. SSA's Office of the General Counsel determined that it would be permissible as long as it includes information required by law and the information is accurate. However, SSA continues to believe that adding such information would place SSA in a position to respond to issues or questions about ERISA and private pension plans, which SSA considers to be outside its mission and about which the agency has no firsthand legal or operational knowledge. Also, SSA believes that the current benefit Statement adequately covers the fact that people need other savings, pensions, and investments. Also, SSA sends notices to people who it believes quality for other pensions. In FY17, SSA reported no change in status to this recommendation. We continue to agree with SSA's view about providing information or advice about private pension plans generally. However, SSA's Notice of Potential Private Retirement Benefit Information already directs recipients to contact DOL with any questions, and we would expect that any changes made to make information on potential vested plan benefits more accessible to individuals before retirement - such as including the information in Social Security earnings and benefit statements - would continue to direct recipients to contact DOL with questions about ERISA policy. Furthermore, we continue to believe that individuals should receive information on any potential vested plan benefits prior to retirement.
    Recommendation: To prevent forced-transfer IRA balances from decreasing due to the low returns of the investment options currently permitted under the Department of Labor's safe harbor regulation, the Secretary of Labor should expand the investment alternatives available. For example, the forced-transfer IRA safe harbor regulations could be revised to include investment options currently under the qualified default investment alternatives regulation applicable to automatic enrollment, and permit forced-transfer IRA providers to change the investments for IRAs already established.

    Agency: Department of Labor
    Status: Open

    Comments: As of July 2017, DOL declines to adopt this recommendation. DOL noted if GAO?s comments are interpreted to mean that the recommended safe harbor revisions would free plan fiduciaries from an obligation to make a prudent selection among such a broader range of investment alternatives, then it raises significant policy issues regarding the administration of ERISA?s fiduciary duty provisions. DOL also noted that if, on the other hand, GAO's recommendation would have the safe harbor require the responsible plan fiduciary be responsible for prudently deciding whether to use a higher risk investment alternative, employers and other plan sponsors may oppose such a change. Our recommendation does not comment on or suggest changes to the obligations of plan fiduciaries as part of a change to the safe harbor. Further, GAO has made prior recommendations that DOL clarify the definition of fiduciary for purposes of investment, including a requirement that plan service providers, when assisting participants with distribution options, disclose any financial interests they may have in the outcome of those decisions in a clear, consistent, and prominent manner; the conditions under which they are subject to any regulatory standards (such as ERISA fiduciary standards, SEC standards, or others); and what those standards mean for the participant. Our recommendation is to "expand the investment options available" and we have noted that qualified default investment alternatives could be one option. Previously, DOL has stated that the limited investments under the safe harbor are appropriate because Congress' intent for the safe harbor was to preserve principal transferred out of plans. DOL noted that given the small balances and the inability of absent participants to monitor investments, the current conservative investment options are a more appropriate way to preserve principal. However, the current forced-transfer IRA investment options like money market funds can protect principal from investment risk, but not from the risk that fees (no matter how reasonable) and inflation can result in decreased account balances due to returns on these small balance accounts not keeping pace with fees. The reality has been that many forced-transfer IRAs have experienced very large and even complete declines in principal. Our recommendation did not aim to eliminate any investment alternatives covered by the safe harbor, rather it aims to expand the alternatives available so that plans and providers that want to operate under the safe harbor have the opportunity to choose the most suitable investment. We continue to encourage DOL to expand the safe harbor to include investment alternatives more likely to preserve principal and even increase it over time.
    Director: Johnson Jr, Charles M
    Phone: (202) 512-7331

    4 open recommendations
    Recommendation: To enhance the definition of the GSCF program and assist stakeholders in assessing whether GSCF is meeting its goals, the Secretary of State and the Secretary of Defense should provide a range of time to clarify the time frames associated with near- to mid-term GSCF projects.

    Agency: Department of Defense
    Status: Open

    Comments: The Department of Defense (DOD) partially agreed that the departments should clearly define what time frames constitute "near- to mid-term" for GSCF projects. As of September 2015, DOD has not published a definition for what time frame constitutes "near to mid-term" for GSCF projects.
    Recommendation: To enhance the definition of the GSCF program and assist stakeholders in assessing whether GSCF is meeting its goals, the Secretary of State and the Secretary of Defense should provide a range of time to clarify the time frames associated with near- to mid-term GSCF projects.

    Agency: Department of State
    Status: Open

    Comments: The Department of State did not agree that the departments should define what time frames constitute "near- to mid-term" for GSCF projects. As of September 2015, State has not published a definition for what time frame constitutes "near to mid-term" for GSCF projects.
    Recommendation: To enhance the definition of the GSCF program and assist stakeholders in assessing whether GSCF is meeting its goals, the Secretary of State and the Secretary of Defense should track GSCF projects against established time frames.

    Agency: Department of Defense
    Status: Open

    Comments: The Department of Defense agreed that the departments should track GSCF projects against established time frames and said in its response that the departments plan to track the projects against the congressional notification timelines and plan to continue holding biweekly calls with project implementers to identify and address implementation considerations. As of September 2015, DOD has not tracked GSCF projects against time frames.
    Recommendation: To enhance the definition of the GSCF program and assist stakeholders in assessing whether GSCF is meeting its goals, the Secretary of State and the Secretary of Defense should track GSCF projects against established time frames.

    Agency: Department of State
    Status: Open

    Comments: The Department of State agreed that the departments should track GSCF projects against established time frames. As of September 2015, State is not tracking GSCF projects against time frames.
    Director: Melissa Emrey-Arras
    Phone: (617) 788-0534

    4 open recommendations
    including 2 priority recommendations
    Recommendation: The Secretary of the Interior should direct the Assistant Secretary-Indian Affairs to develop a comprehensive workforce plan to ensure that BIE has an adequate number of staff with the requisite knowledge and skills to effectively oversee BIE school expenditures.

    Agency: Department of the Interior
    Status: Open

    Comments: In May 2017, the Bureau of Indian Education(BIE) Director reported that an internal working group would draft a comprehensive workforce plan that is aligned with BIE's strategic plan. They did not specify whether such a plan would include a focus on BIE administrative offices responsible for oversight of school expenditures. In late August 2017, BIE officials indicated that they would revisit the strategic workforce planning effort by Indian Affairs. They did not provide further information on what actions BIE will take to address this recommendation. However, the BIE Director noted in May of this year that the agency planned to complete its work on this recommendation no later than the end of 2018. We will continue to monitor Indian Affairs' efforts to implement this recommendation.
    Recommendation: The Secretary of the Interior should direct the Assistant Secretary-Indian Affairs to develop a process to share relevant information, such as single audit reports, with all BIE staff responsible for overseeing school expenditures to ensure they have the necessary information to identify schools at risk for misusing funds.

    Agency: Department of the Interior
    Status: Open

    Comments: In late August 2017, agency officials reported that it had developed and implemented a SharePoint-based system for sharing single audit reports to ensure that all key staff have access to this system. The agency is exploring other technological options for providing staff with access to single audit reports. The BIE Director noted in May of this year that the agency planned to complete its work on this recommendation no later than the end of 2018. While this is a step in the right direction, as we have communicated to BIE officials, the SharePoint system includes audit reports on fewer than half of all tribally-operated schools. Such reports are a vital source of information for monitoring how schools use federal funds. Without relevant BIE staff having access to audit reports for the majority of tribally-operated schools, it is unclear to us how such a system can support effective oversight of spending at these schools. We will continue to monitor Indian Affairs' efforts to implement this recommendation.
    Recommendation: The Secretary of the Interior should direct the Assistant Secretary-Indian Affairs to develop written procedures for BIE to oversee expenditures for major programs, including Interior's Indian School Equalization Program. These procedures should include requirements for staff to consistently document their monitoring activities and actions they have taken to resolve financial weaknesses identified at schools.

    Agency: Department of the Interior
    Status: Open
    Priority recommendation

    Comments: In response to our report, Interior stated that BIE already had written procedures in place related to the Indian School Equalization Program (ISEP). However, we found the procedures did not relate to overseeing schools' ISEP expenditures. In late August 2017, agency officials reported taking several steps to address this recommendation. In particular, officials reported that the agency had drafted written procedures for overseeing BIE school spending. However, these officials noted that further review and revision to the procedures are necessary before they can be finalized and implemented. Officials did not provide us with a draft of the procedures to review. The BIE Director noted in May of this year that the agency planned to complete its work on this recommendation by the middle of 2019. We will continue to monitor Indian Affairs' efforts to implement this recommendation.
    Recommendation: The Secretary of the Interior should direct the Assistant Secretary-Indian Affairs to develop a risk-based approach to oversee BIE school expenditures to focus BIE's monitoring activities on schools that auditors have found to be at the greatest risk of misusing federal funds.

    Agency: Department of the Interior
    Status: Open
    Priority recommendation

    Comments: In late August 2017, agency officials reported that they had begun drafting a risk assessment policy and procedures for monitoring BIE school expenditures. However, they noted that further review and revision to the policy is necessary before it can be finalized and implemented. Officials did not provide us with a draft of these documents to review. The BIE Director noted in May of this year that the agency planned to complete its work on this recommendation by the middle of 2019. We will continue to monitor Indian Affairs' efforts to implement this recommendation.
    Director: Cary Russell
    Phone: (202) 512-5431

    1 open recommendations
    Recommendation: To improve DOD's process for setting its standard fuel price, the Secretary of Defense should direct the Office of the Under Secretary of Defense (Comptroller), in coordination with the Defense Logistics Agency (DLA), to document its assumptions, including providing detailed rationale for how it estimates each of these components.

    Agency: Department of Defense
    Status: Open

    Comments: DOD partially concurred with our recommendation but has not yet completed actions to fully address the recommendation. Consistent with our recommendation, DOD reevaluated its methodology for establishing the fiscal year 2017 standard price and documented parts of the methodology it used. Specifically, DOD detailed the various options it considered, the reasons why it chose the methodology it used, and the calculations it used to arrive at its estimated standard price in an internal Office of the Under Secretary of Defense (Comptroller) memorandum. However, DOD has not documented a process for establishing the standard price in three areas. First, DOD has not documented a formalized process that describes the steps it will take on an annual basis to determine the standard price for future fiscal years. Second, documentation detailing the options DOD considered and the rationale behind the methodology it chose is not available to Congress and its fuel customers. Third, DOD has not document the formal review and approval of the new methodology by senior Comptroller officials. The DOD Comptroller official who is responsible for managing the bulk fuel program stated that the department does not have a similar formal process for determining rates for other commodities and working capital funds. Therefore, the official stated that DOD does not want to make the bulk fuel standard price determination unique and apart from these other commodities. Because of concerns with the quality and transparency of information available to Congressional decision makers and department fuel customers concerning the methodology selected each year and its application to relevant data used in estimating fuel rate prices for the next fiscal year, the Senate Armed Services Committee directed DOD to submit detailed guidance to the congressional defense committees no later than February 1, 2017 that, among other aspects, requires documentation of the rationale for using one methodology over another for estimating the next fiscal year's fuel rate price, to include the limitations and assumptions of underlying data and establishing a timeline for developing annual estimated fuel rate prices for the next fiscal year. Documenting DOD's assumptions would provide greater transparency and clarify for fuel customers and decision makers regarding the process DOD uses to set the standard price.
    Director: Mathew J.Scirè
    Phone: (202) 512-8678

    6 open recommendations
    Recommendation: To better ensure the viability and safety of manufactured housing produced in accordance with the HUD Code, the Secretary of the Department of Housing and Urban Development should develop a plan to assess how FHA financing might further promote the affordability of manufactured homes and identify the potential for better securitization of manufactured housing financing.

    Agency: Department of Housing and Urban Development
    Status: Open

    Comments: When we confirm what actions the agency has taken in response to this recommendation, we will provide updated information.
    Recommendation: To better ensure the viability and safety of manufactured housing produced in accordance with the HUD Code, the Secretary of the Department of Housing and Urban Development should strengthen the oversight of inspections and enforcement-related activities by (1) consistently documenting actions taken to resolve recommendations from completed audits and the outcome of such actions, (2) completing a Transition Plan for the monitoring contractor activity, and (3) exploring the feasibility of developing a cost-effective systematic process for collecting and evaluating information on the content of complaints.

    Agency: Department of Housing and Urban Development
    Status: Open

    Comments: When we confirm what actions the agency has taken in response to this recommendation, we will provide updated information.
    Recommendation: To better ensure that Congress, stakeholders, and agencies have complete information about changing costs and whether a fee needs to be changed, HUD should complete the necessary rulemaking changes to allow the Office of Manufactured Housing Programs to adjust its label fees from the $39 per label toward levels up to the congressionally authorized level that better reflect the current levels of manufactured home production, while considering the impact that such fees may have on the industry; put in place a process for regular fee reviews to determine whether the fees currently being charged will allow the program to respond to spikes and surges in label fee revenue and to identify any factors that may drive label fee revenue instability; and identify any additional sources of funding that may mitigate initial revenue shortfalls and the program's fixed and variable costs.

    Agency: Department of Housing and Urban Development
    Status: Open

    Comments: When we confirm what actions the agency has taken in response to this recommendation, we will provide updated information.
    Recommendation: To better ensure that Congress, stakeholders, and agencies have complete information about changing costs and whether a fee needs to be changed, HUD should assess the feasibility, including an analysis of the benefits and costs, of putting in place user fees for its dispute resolution and installation programs.

    Agency: Department of Housing and Urban Development
    Status: Open

    Comments: When we confirm what actions the agency has taken in response to this recommendation, we will provide updated information.
    Recommendation: To better ensure that Congress, stakeholders, and agencies have complete information about changing costs and whether a fee needs to be changed, HUD should establish the goals for use of reserves of the Manufactured Housing Fees Trust Fund, and the minimum and maximum thresholds for the reserves appropriate for meeting these goals.

    Agency: Department of Housing and Urban Development
    Status: Open

    Comments: When we confirm what actions the agency has taken in response to this recommendation, we will provide updated information.
    Recommendation: To better ensure the viability and safety of manufactured housing produced in accordance with the HUD Code, the Secretary of the Department of Housing and Urban Development (HUD) should develop and implement a plan for updating construction and safety standards for manufactured homes on a timely, recurring basis to include: (1) addressing unresolved issues related to defining and developing sufficient economic analyses tied to proposed changes to the construction and safety standards; and (2) ensuring sufficient resources and capacity within HUD and the Manufactured Housing Consensus Committee and its administering organization; or if such a plan cannot be devised and implemented, identify and report to Congress on alternative methods of ensuring the quality, durability, safety, and affordability of manufactured homes, including the possibility of relying more extensively on existing industry standards.

    Agency: Department of Housing and Urban Development
    Status: Open

    Comments: When we confirm what actions the agency has taken in response to this recommendation, we will provide updated information.
    Director: Charles Jeszeck
    Phone: (202) 512-7215

    6 open recommendations
    including 1 priority recommendation
    Recommendation: To better protect plan sponsors and participants who use managed account services, the Secretary of Labor should direct the Assistant Secretary for the Employee Benefits Security Administration (EBSA) to review provider practices related to additional managed account services offered to participants in or near retirement, with the aim of determining whether conflicts of interest exist and, if it determines it is necessary, taking the appropriate action to remedy the issue.

    Agency: Department of Labor
    Status: Open

    Comments: In 2014, DOL agreed to include these practices in its current review of investment advice conflicts of interest, noting that such conflicts continue to be a concern. In April 2015, a proposed regulation was published in the Federal Register on the definition of a "fiduciary" of an employee benefit plan under the Employee Retirement Income Security Act of 1974 (ERISA) as a result of giving investment advice to a plan or its participants or beneficiaries. The proposal would widen the array of advice relationships under which someone would be considered a fiduciary under ERISA more broadly than existing regulations. This would increase consumer protection for plan sponsors, fiduciaries, participants, beneficiaries and IRA owners. An initial comment period closed on July 21, 2015. DOL held a public hearing on August 10-13, 2015, and reopened the comment period until September 24. GAO will monitor the progress of this proposed rule.
    Recommendation: To better protect plan sponsors and participants who use managed account services, the Secretary of Labor should direct the Assistant Secretary for the EBSA to consider the fiduciary status of managed account providers when they offer services on an opt-in basis and, if necessary, make regulatory changes or provide guidance to address any issues.

    Agency: Department of Labor
    Status: Open
    Priority recommendation

    Comments: DOL concurred with this recommendation and agreed to review existing guidance and consider whether additional guidance is needed in light of the various business models we described. As of May 2017, DOL is continuing these efforts. To implement this recommendation, DOL should complete its efforts to consider managed account service provider practices and fiduciary roles and take any necessary action to address potential issues to ensure that sponsors and participants receive unconflicted managed account services from qualified managers.
    Recommendation: To help sponsors who offer managed account services or who are considering doing so better protect their 401(k) plan participants, the Secretary of Labor should direct the Assistant Secretary for EBSA to require plan sponsors to request from record keepers more than one managed account provider option, and notify the Department of Labor if record keepers fail to do so.

    Agency: Department of Labor
    Status: Open

    Comments: DOL agreed to consider this recommendation in connection with its current regulatory project on standards for brokerage windows in participant-directed individual account plans. The project has been moved to the long-term action category of DOL's regulatory agenda. DOL will also consider the extent of its legal authority to effectively require that plans have more than one managed account service provider or to require that record keepers offer more than one managed account provider as part of their service agreements. GAO believes requiring plan sponsors to ask for more than one choice of a provider -- which is slightly different than how DOL has characterized it--may be an effective method of broadening plan sponsors' choices of managed account providers. However, GAO also agrees that DOL should examine the scope of its existing authority in considering how it might implement this recommendation.
    Recommendation: To help sponsors and participants more effectively assess the performance of managed accounts, the Secretary of Labor should direct the Assistant Secretary for EBSA to amend participant disclosure regulations to require that sponsors furnish standardized performance and benchmarking information to participants. To accomplish this, EBSA could promulgate regulations that would require sponsors who offer managed account services to provide their participants with standardized performance and benchmarking information on managed accounts. For example, sponsors could periodically furnish each managed account participant with the aggregate performance of participants' managed account portfolios and returns for broad-based securities market indexes and applicable customized benchmarks, based on those benchmarks provided for the plan's designated investment alternatives.

    Agency: Department of Labor
    Status: Open

    Comments: DOL agreed to consider this recommendation in connection with (1) its regulatory project on standards for brokerage windows in participant directed individual account plans and (2) open proposed rulemaking project involving the qualified default investment alternative and participant-level fee disclosure regulations. These projects have been moved to the long-term action category of DOL's regulatory agenda.
    Recommendation: To help sponsors and participants more effectively assess the performance of managed accounts, the Secretary of Labor should direct the Assistant Secretary for EBSA to amend service provider disclosure regulations to require that providers furnish standardized performance and benchmarking information to sponsors. To accomplish this, EBSA could promulgate regulations that would require service providers to disclose to sponsors standardized performance and benchmarking information on managed accounts. For example, providers could, prior to selection and periodically thereafter, as applicable, furnish sponsors with aggregated returns for generalized conservative, moderate, and aggressive portfolios, actual managed account portfolio returns for each of the sponsor's participants, and returns for broad-based securities market indexes and applicable customized benchmarks, based on those benchmarks provided for the plan's designated investment alternatives.

    Agency: Department of Labor
    Status: Open

    Comments: DOL agreed to consider this recommendation in connection with (1) its regulatory project on standards for brokerage windows in participant directed individual account plans and (2) open proposed rulemaking project involving the qualified default investment alternative and participant-level fee disclosure regulations. These projects have been moved to the long-term action category of DOL's regulatory agenda.
    Recommendation: To help sponsors who offer managed account services or who are considering doing so better protect their 401(k) plan participants, the Secretary of Labor should direct the Assistant Secretary for EBSA to provide guidance to plan sponsors for selecting and overseeing managed account providers that addresses: (1) the importance of considering multiple providers when choosing a managed account provider, (2) factors to consider when offering managed accounts as a Qualified Default Investment Alternative or on an opt-in basis, and (3) approaches for evaluating the services of managed account providers.

    Agency: Department of Labor
    Status: Open

    Comments: DOL agreed to consider this recommendation in connection with its current regulatory project on standards for brokerage windows in participant-directed individual account plans. DOL intends for this project to address whether potential regulatory or other guidance for such arrangements may be appropriate. The project has been moved to the long-term action category of DOL's regulatory agenda.
    Director: James R. McTigue, Jr.
    Phone: (202) 512-9110

    3 open recommendations
    including 1 priority recommendation
    Recommendation: As a result of turnover in IRS's Senior Executive Team and in order to enhance budget planning and improve decision making and accountability, the Commissioner of Internal Revenue should develop a long-term strategy to address operations amidst an uncertain budget environment. As part of the strategy, IRS should take steps to improve its efficiency, including (1) reexamining programs, related processes, and organizational structures to determine whether they are effectively and efficiently achieving the IRS mission, and (2) streamlining or consolidating management or operational processes and functions to make them more cost-effective.

    Agency: Department of the Treasury: Internal Revenue Service
    Status: Open
    Priority recommendation

    Comments: IRS agreed with our recommendation and is taking steps to implement it. For example, IRS has adopted a new, more strategic approach to identify and select budget program priorities. In its fiscal year 2017 budget justification, IRS introduced six themes of its Future State Initiative for tax administration, which in part aims to deliver service improvements across different taxpayer interactions such as individual account assistance, refunds, identity theft, and billings and payments. The budget also linked requested spending increases to the themes laid out in the initiative. The themes were derived from a subset of its 19 objectives identified in the IRS 2014-2017 Strategic Plan. In addition to the future state themes and strategic objectives, IRS has identified enterprise goals to guide the IRS toward the future state. As of December 2016, IRS has yet to set targets for meeting the goals but plans to have targets in place by June 2017. We acknowledge the steps IRS has taken and will continue to monitor its progress as the process is further developed.
    Recommendation: Because ROI provides insights on the productivity of a program and is one important factor in making resource allocation decisions, the Commissioner of Internal Revenue should calculate actual ROI for implemented initiatives, compare the actual ROI to projected ROI, and provide the comparison to budget decision makers for initiatives where IRS allocated resources.

    Agency: Department of the Treasury: Internal Revenue Service
    Status: Open

    Comments: No executive action taken. While IRS agreed that having actual ROI data for implemented initiatives would be useful, it did not believe it was feasible to produce such estimates, as GAO recommended in June 2014. GAO maintains that IRS should be able to provide some information on past initiatives, such as whether funds requested were used in the manner originally proposed. As of December 2016, IRS officials reported there is no timeline for full implementation. In March 2017, IRS officials confirmed that they do not isolate the revenue attributable to a specific initiative, but pointed to other efforts to help manage IRS's budget, including establishing the Office of Planning, Programming and Audit Coordination and the Planning Community of Practice, which are intended to improve investment planning processes. While these efforts are intended to help IRS act more strategically, comparing projected ROI to actual ROI can help hold managers and IRS accountable for the funding received.
    Recommendation: Because ROI provides insights on the productivity of a program and is one important factor in making resource allocation decisions, the Commissioner of Internal Revenue should use actual ROI calculations as part of resource allocation decisions.

    Agency: Department of the Treasury: Internal Revenue Service
    Status: Open

    Comments: No executive action taken as of March 2017. IRS's Research, Analysis, and Statistics Division has begun to estimate marginal direct revenues and marginal costs attributable to specific compliance projects. The estimates are necessary inputs to establish a measure of ROI, which in turn can guide resource allocation decisions. IRS plans to use these estimates to inform future examination plans, but considerable work remains in this long-term effort. In October 2016, IRS officials reported there is no timeline for full implementation, but that the work is on-going. In June 2016, IRS officials confirmed that projected revenue will be considered in investment decision making as part of fiscal year 2018 enterprise planning guidance, but did not report any progress in using actual ROI data. Until such action is taken, IRS may not be allocating its resources in the most effective way, thus potentially forgoing additional revenues.
    Director: Crosse, Marcia G
    Phone: (202) 512-7114

    2 open recommendations
    Recommendation: In order to reduce the administrative costs associated with a fragmented MAI grant structure that diminishes the effective use of HHS's limited HIV/AIDS funding, and to enhance services to minority populations, HHS should consolidate disparate MAI funding streams into core HIV/AIDS funding during its budget request and allocation process.

    Agency: Department of Health and Human Services
    Status: Open

    Comments: HHS stated that it does not support the consolidation of Minority AIDS Initiative (MAI)funds into core funding. As of September, 2016, we are still awaiting an update from HHS on the status of any efforts to implement this recommendation. We will update the status of this recommendation when we receive additional information.
    Recommendation: In order to reduce the administrative costs associated with a fragmented MAI grant structure that diminishes the effective use of HHS's limited HIV/AIDS funding, and to enhance services to minority populations, HHS should seek legislation to amend the Ryan White Comprehensive AIDS Resources Emergency Act of 1990 or other provisions of law, as necessary, to achieve a consolidated approach.

    Agency: Department of Health and Human Services
    Status: Open

    Comments: HHS stated that it does not support the consolidation of Minority AIDS Initiative (MAI) funds into core funding. As of September, 2016, we are still awaiting an update from HHS on the status of any efforts to implement this recommendation. We will update the status of this recommendation when we receive additional information.
    Director: Iritani, Katherine M
    Phone: (202) 512-7114

    2 open recommendations
    including 1 priority recommendation
    Recommendation: To improve the transparency of the process for reviewing and approving spending limits for comprehensive section 1115 demonstrations, the Secretary of Health and Human Services should update the agency's written budget neutrality policy to reflect actual criteria and processes used to develop and approve demonstration spending limits, and ensure the policy is readily available to state Medicaid directors and others.

    Agency: Department of Health and Human Services
    Status: Open
    Priority recommendation

    Comments: HHS does not agree with this recommendation. However, we continue to believe that HHS should have a formal written budget neutrality policy in place that reflects the Department's actual criteria and processes. HHS's written budget neutrality policy was last issued in 2001 and is not publicly available, and staff have acknowledged that aspects of the policy as written do not reflect their current criteria or processes.
    Recommendation: To improve the transparency of the process for reviewing and approving spending limits for comprehensive section 1115 demonstrations, the Secretary of Health and Human Services should reconsider adjustments and costs used in setting the spending limits for the Arizona and Texas demonstrations, and make appropriate adjustments to spending limits for the remaining years of each demonstration.

    Agency: Department of Health and Human Services
    Status: Open

    Comments: As of September 2016, HHS officials reported that they have not implemented this recommendation. GAO considers it to be open. We will update this information when we receive additional information
    Director: Gaffigan, Mark E
    Phone: (202) 512-3841

    1 open recommendations
    Recommendation: To help ensure that EM more effectively manages all its projects, the Secretary of Energy should direct the Senior Advisor for Environmental Management and the Director of the Office of Management, as appropriate, to provide the Office of Acquisition and Project Management with information on EM's project classification decisions to ensure that all capital asset projects have been appropriately classified and are managed in accordance with DOE Order 413.3B.

    Agency: Department of Energy
    Status: Open

    Comments: When commenting on our report, DOE agreed with our recommendation. According to agency information provided in March 2017, DOE has ongoing internal discussions to develop and document a policy addressing EM capital asset project and operations activity classifications. However, DOE has not yet established and approved such a policy.
    Director: King, Kathleen M
    Phone: (202)512-5154

    2 open recommendations
    Recommendation: To develop more accurate data for estimating the funds needed for the CHS program and improving IHS oversight, the Secretary of Health and Human Services should direct the Director of IHS to develop a written policy documenting how IHS evaluates need for the CHS program and disseminate it to area offices and CHS programs to ensure they understand how unfunded services data are used to estimate overall program needs.

    Agency: Department of Health and Human Services
    Status: Open

    Comments: In response to this recommendation, IHS reported in October 2015 that it was completing a comprehensive update of a policy chapter related to the Contract Health Services (CHS) Program (also called the Purchased/Referred Care Program). The agency indicated that this revised chapter would incorporate a written policy on how IHS evaluates need for the CHS program. It indicated that the chapter update had been under revision since December 20, 2012, with final approval anticipated in 2015. In July 2017, IHS indicated that the policy was still under development and would be issued to all IHS sites by September 30, 2017.
    Recommendation: To develop more accurate data for estimating the funds needed for the CHS program and improving IHS oversight, the Secretary of Health and Human Services should direct the Director of IHS to provide written guidance to CHS programs on a process to use when funds are depleted and there is a continued need for services, and monitor to ensure that appropriate actions are taken.

    Agency: Department of Health and Human Services
    Status: Open

    Comments: In response to this recommendation, IHS reported in October 2015 that it developed and distributed Fund Management Standardization guidance to Area Offices to monitor compliance by federal Contract Health Services (CHS) program (also called the Purchased/Referred Care program) Service Units. Also, IHS issued standardized spending plan procedures to all Area Offices and Federally-operated programs. Also, it indicated that spending plan guidance would be included in an update of a policy chapter related to the CHS program. The agency indicated that this chapter had been under revision since December 20, 2012, with final approval anticipated in 2015. In July 2017, IHS indicated that the policy was still under development and would be issued to all IHS sites by September 30, 2017.
    Director: Draper, Debra A
    Phone: (202) 512-3000

    2 open recommendations
    Recommendation: PPACA contained several important program integrity provisions for the 340B program, and additional steps can also ensure appropriate use of the program. Therefore, the Secretary of HHS should instruct the administrator of HRSA to finalize new, more specific guidance on the definition of a 340B patient.

    Agency: Department of Health and Human Services
    Status: Open

    Comments: In January 2017, HRSA withdrew proposed guidance that included further specificity on the definition of 340B patient in response to the new administration's January 20 memorandum directing agencies to withdraw regulations that were pending before the Office of Management and Budget but had not yet been published in the Federal Register.
    Recommendation: PPACA contained several important program integrity provisions for the 340B program, and additional steps can also ensure appropriate use of the program. Therefore, the Secretary of HHS should instruct the administrator of HRSA to issue guidance to further specify the criteria that hospitals that are not publicly owned or operated must meet to be eligible for the 340B program.

    Agency: Department of Health and Human Services
    Status: Open

    Comments: In January 2017, HRSA withdrew proposed guidance that included additional specificity regarding hospital eligibility in response to the new administration's January 20 memorandum directing agencies to withdraw regulations that were pending before the Office of Management and Budget but had not yet been published in the Federal Register.
    Director: Clark, Cheryl E
    Phone: (202)512-9521

    3 open recommendations
    Recommendation: Based on a review of all existing contracts under $100,000 without an appointed COTR that should require contract employees to obtain favorable background investigation results, the Commissioner of the IRS should direct the appropriate IRS officials to amend those contracts to require that favorable background investigations be obtained for all relevant contract employees before routine, unescorted, unsupervised physical access to taxpayer information is granted.

    Agency: Department of the Treasury: Internal Revenue Service
    Status: Open

    Comments: According to IRS, it has completed its contract review and made appropriate modifications as of July 2016. However, the modifications to the contracts were not made available for our review during the fiscal year 2016 audit. We will continue to evaluate IRS's actions to address this recommendation during our fiscal year 2017 audit.
    Recommendation: The Commissioner of the IRS should direct the appropriate IRS officials to establish a policy requiring collaborative oversight between IRS's key offices in determining whether potential service contracts involve routine, unescorted, unsupervised physical access to taxpayer information, thus requiring background investigations, regardless of contract award amount. This policy should include a process for the requiring business unit to communicate to the Office of Procurement and the Human Capital Office the services to be provided under the contract and any potential exposure of taxpayer information to contract employees providing the services, and for all three units to (1) evaluate the risk of exposure of taxpayer information prior to finalizing and awarding the contract and (2) ensure that the final contract requires favorable background investigations as applicable, commensurate with the assessed risk.

    Agency: Department of the Treasury: Internal Revenue Service
    Status: Open

    Comments: IRS's efforts to address this recommendation are ongoing. IRS stated that during fiscal year 2017, several internal organizations will partner to identify the remaining actions needed to address this recommendation. According to IRS, these actions include developing policies and procedures to reasonably assure that (1) oversight between IRS's key offices is conducted to determine whether potential service awards IRS enters into involve routine, unescorted, unsupervised physical access to taxpayer information by contractors, thus requiring background investigations, and (2) the resulting processes make clear who is responsible for completing the various steps, as well as who must maintain documentation of the approved access determination prior to the contractor being allowed to provide the services. We will continue to evaluate IRS's actions to address this recommendation during our fiscal year 2017 audit.
    Recommendation: The Commissioner of the IRS should direct the appropriate IRS officials to revise the post orders for the service center campuses (SCC) and lockbox bank security guards to include specific procedures for timely reporting exterior lighting outages to SCC or lockbox bank facilities management. These procedures should specify (1) whom to contact to report lighting outages and (2) how to document and track lighting outages until resolved.

    Agency: Department of the Treasury: Internal Revenue Service
    Status: Open

    Comments: IRS's efforts to address this recommendation are ongoing. IRS stated that during fiscal year 2017, it would update campus post orders to help ensure timely reporting, monitoring and repair of exterior lighting outages. In addition, AWSS engaged in discussions with personnel from FPS and GSA to coordinate responsibilities and suggested changes for post orders when security services are contracted by those entities. We will continue to evaluate IRS's actions to address this recommendation during our fiscal year 2017 audit.
    Director: Scire, Mathew J
    Phone: (202)512-6794

    1 open recommendations
    Recommendation: To strengthen accountability and transparency in FHA's management of the Fund, Congress may wish to consider clarifying (1) the definition of the Fund's capital ratio--specifically, whether the denominator of the ratio was intended to be the amortized insurance-in-force; (2) the definition of the phrase "established target subsidy rate" used in HERA; and (3) the nature and extent of information that FHA should be reporting on subsidy rates pursuant to HERA, recognizing that subsidy rates are generally only reestimated once a year under current budget processes.

    Agency: Congress
    Status: Open

    Comments: As of July 2017, Congress has not acted on this matter for consideration.
    Director: Brown, Orice Williams
    Phone: (202) 512-3000

    5 open recommendations
    Recommendation: To provide transparency and accountability over the payments FEMA makes to WYOs for expenses and profits, the Secretary of Homeland Security should direct the Under Secretary of Homeland Security, FEMA, to determine in advance the amounts built into the payment rates for estimated expenses and profit.

    Agency: Department of Homeland Security
    Status: Open

    Comments: According to FEMA officials, FEMA is responding to this recommendation as part of its development of a final rule on WYO compensation practices, required by the Biggert-Waters Act. FEMA's current payment rates do not explicitly consider WYO insurers' actual expenses and profit.
    Recommendation: To provide transparency and accountability over the payments FEMA makes to WYOs for expenses and profits, the Secretary of Homeland Security should direct the Under Secretary of Homeland Security, FEMA, to annually analyze the amounts of actual expenses and profit in relation to the estimated amounts used in setting payment rates.

    Agency: Department of Homeland Security
    Status: Open

    Comments: According to FEMA officials, FEMA is responding to this recommendation as part of its development of a final rule on WYO compensation practices, required by the Biggert-Waters Act. However, GAO has reported that an annual analysis of the WYO insurers' actual expenses and profit could be regularly performed in relation to FEMA's existing payment methodology.
    Recommendation: To provide transparency and accountability over the payments FEMA makes to WYOs for expenses and profits, the Secretary of Homeland Security should direct the Under Secretary of Homeland Security, FEMA, to consider the results of the analysis of payments, actual expenses, and profit in evaluating the methods for paying WYOs.

    Agency: Department of Homeland Security
    Status: Open

    Comments: According to FEMA officials, FEMA is responding to this recommendation as part of its development of a final rule on WYO compensation practices, required by the Biggert-Waters Act.
    Recommendation: To increase the usefulness of the data reported by WYOs to the National Association of Insurance Commissioners (NAIC) and to institutionalize FEMA's use of such data, the Secretary of Homeland Security should direct the Under Secretary of Homeland Security, FEMA, to take actions to obtain reasonable assurance that NAIC flood insurance expense data can be considered in setting payment rates that are appropriate, including identifying affiliated company profits in reported flood insurance expenses.

    Agency: Department of Homeland Security
    Status: Open

    Comments: According to FEMA officials, FEMA is responding to this recommendation as part of its development of a final rule on WYO compensation practices, required by the Biggert-Waters Act. FEMA can also take actions, in addition to any actions related to the rule, to develop method(s) for obtaining reasonable assurance that NAIC data is accurate and usable for setting payment rates before implementation of a new compensation methodology.
    Recommendation: To increase the usefulness of the data reported by WYOs to the National Association NAIC and to institutionalize FEMA's use of such data, the Secretary of Homeland Security should direct the Under Secretary of Homeland Security, FEMA, to develop comprehensive data analysis strategies to annually test the quality of flood insurance data that WYOs report to NAIC.

    Agency: Department of Homeland Security
    Status: Open

    Comments: According to FEMA officials, FEMA is responding to this recommendation as part of its development of a final rule on WYO compensation practices, required by the Biggert-Waters Act. FEMA can also take actions, in addition to any actions related to the rule, to develop and implement data analysis strategies to annually test the quality of flood insurance data WYO insurers report to NAIC before implementation of a new compensation methodology.
    Director: Clark, Cheryl E
    Phone: (202)512-9377

    1 open recommendations
    Recommendation: The Finance Officer at the Commission's European Regional (ER) office should instruct and monitor approving officials to ensure that expenditure transactions are dated when goods and services are received and approved before payments are processed.

    Agency: American Battle Monuments Commission: European Regional Office
    Status: Open

    Comments: During our fiscal years 2009, 2010, and 2011 financial statement audits, we continued to find expenditure transactions being processed prior to the goods or services being received and approved for payment. During our fiscal year 2012 audit, the Commission informed us that since the transition to a new financial management system in August 2011, all receiving is conducted in the iProcurement system (part of the Oracle accounting system) and must be complete before an invoice is processed for payment in Oracle. Although we found that invoices were approved before payment, we continued to find instances where the invoices were not dated and/or signed when goods or invoices were received. During fiscal year 2017, the Commission informed us that they developed a related policy to address our recommendation. However, the Commission has not provided documentation or an explanation of the controls used by management for monitoring (i.e. evaluating or reviewing) the effective implementation of the procedures established related to this recommendation. Therefore, we will continue to follow up on this open recommendation with the Commission at a later date.
    Director: Herr, Phillip R
    Phone: (202)512-8984

    2 open recommendations
    Recommendation: To improve the effectiveness of the federal investment in surface transportation, meet the nation's transportation needs, and ensure a sustainable commitment to transportation infrastructure, Congress may wish to consider reexamining and refocusing surface transportation programs to be responsive to these principles so that they institute tools and approaches to that emphasize the return on the federal investment.

    Agency: Congress
    Status: Open

    Comments: As of December 2017, Congress has not yet acted on this recommendation. The Fixing America's Surface Transportation Act (FAST Act; P.L. 114-94), signed into law in December 2015, is due to be reauthorized in fiscal year 2021.
    Recommendation: To improve the effectiveness of the federal investment in surface transportation, meet the nation's transportation needs, and ensure a sustainable commitment to transportation infrastructure, Congress may wish to consider reexamining and refocusing surface transportation programs to be responsive to these principles so that they address the current imbalance between federal surface transportation revenues and spending.

    Agency: Congress
    Status: Open

    Comments: As of December 2017, Congress has not yet acted on this recommendation. The Fixing America's Surface Transportation Act (FAST Act; P.L. 114-94), signed into law in December 2015, did not address the current imbalance between federal surface transportation revenues and spending. The Act is due to be reauthorized in fiscal year 2021.
    Director: Herr, Phillip R
    Phone: 2025128984

    3 open recommendations
    Recommendation: In order to improve freight mobility by more clearly defining the federal role in the freight transportation network and to begin to align federal investments with economically significant national benefits, the Secretary of Transportation should develop with Congress and public and private sector stakeholders a comprehensive national strategy for freight transportation. This national strategy should include defining the federal role and national interests in freight transportation, including economically-based and objective criteria to identify areas of national significance for freight transportation and to determine whether federal funds are required in those areas.

    Agency: Department of Transportation
    Status: Open

    Comments: GAO contacted DOT on various occasions about the status of this recommendation, and a DOT official noted that the recommendation was receiving active consideration in the Administration's thinking on the next surface transportation authorization bill. Once Congress passes a surface transportation authorization bill, GAO will review the bill and determine if the recommendation was addressed.
    Recommendation: In order to improve freight mobility by more clearly defining the federal role in the freight transportation network and to begin to align federal investments with economically significant national benefits, the Secretary of Transportation should develop with Congress and public and private sector stakeholders a comprehensive national strategy for freight transportation. This national strategy should include establishing the roles of regional, state, and local governments, as well as the private sector.

    Agency: Department of Transportation
    Status: Open

    Comments: GAO contacted DOT on various occasions about the status of this recommendation, and a DOT official noted that the recommendation was receiving active consideration in the Administration's thinking on the next surface transportation authorization bill. Once Congress passes a surface transportation authorization bill, GAO will review the bill and determine if the recommendation was addressed.
    Recommendation: In order to improve freight mobility by more clearly defining the federal role in the freight transportation network and to begin to align federal investments with economically significant national benefits, the Secretary of Transportation should develop with Congress and public and private sector stakeholders a comprehensive national strategy for freight transportation. This national strategy should include using new or existing federal funding sources and mechanisms to support a targeted, cost-effective, and sustainable federal role in freight transportation.

    Agency: Department of Transportation
    Status: Open

    Comments: GAO contacted DOT on various occasions about the status of this recommendation, and a DOT official noted that the recommendation was receiving active consideration in the Administration's thinking on the next surface transportation authorization bill. Once Congress passes a surface transportation authorization bill, GAO will review the bill and determine if the recommendation was addressed.
    Director: Siggerud, Katherine A
    Phone: (202)512-6570

    2 open recommendations
    Recommendation: In order to put the Emergency Relief program on a sound financial footing, Congress may wish to consider the expected future demands on the program and reexamine the appropriate level and sources of funding--including whether to increase the $100 million annual authorized funding and whether the Highway Trust Fund, the General Fund, or some combination would allow the program to accomplish its purpose in a fiscally sustainable manner.

    Agency: Congress
    Status: Open

    Comments: As of October 2017, Congress has not yet taken action on this recommendation. The Emergency Relief Program is due to be reauthorized in fiscal year 2021.
    Recommendation: Congress may also wish to consider tightening the eligibility criteria for Emergency Relief funding, either through amending the purpose of the Emergency Relief program, or by directing FHWA to revise its program regulations. Revised criteria could include limitations on the use of Emergency Relief funds to fully finance projects with scope and costs that have grown as a result of environmental and community concerns.

    Agency: Congress
    Status: Open

    Comments: As of October 2017, Congress has not yet taken action on this recommendation. The Emergency Relief Program is due to be reauthorized in fiscal year 2021.
    Director: Goldstein, Mark L
    Phone: (202)512-3000

    1 open recommendations
    Recommendation: Given the critical importance of telecommunications technologies to schools and libraries, the Chairman of the Federal Communications Commission should direct FCC staff to establish performance goals and measures for the E-rate program that are consistent with the Government Performance and Results Act. FCC should use the resulting performance data to develop analyses of the actual impact of E-rate funding and to determine areas for improved program operations.

    Agency: Federal Communications Commission
    Status: Open

    Comments: In an August 2007 order, FCC adopted two performance measures for the E-rate program, one for Internet connectivity and the other for application processing. The order did not include specific E-rate program goals, although FCC said in this order that it anticipated adopting performance goals as it and USAC gained experience with the performance measures. While FCC's efforts to develop performance measures have the potential to eventually produce better information than is currently available on E-rate program performance, these measures fall short when compared to the key characteristics of successful performance measures and FCC still has not established program goals. FCC says it is still working on developing goals and performance measures for the Universal Service programs.