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    Subject Term: "Loan guarantees"

    10 publications with a total of 33 open recommendations including 2 priority recommendations
    Director: Mark Goldstein
    Phone: (202) 512-2834

    5 open recommendations
    Recommendation: To improve RUS's management of the Infrastructure Program, Broadband Program, and Community Connect by more closely following leading practices for broadband loan- and grant-program management, the Secretary of Agriculture should direct RUS to develop and document clear goals and performance measures linked to those goals, for each program.

    Agency: Department of Agriculture
    Status: Open

    Comments: When we confirm what actions the agency has taken in response to this recommendation, we will provide updated information.
    Recommendation: To improve RUS's management of the Infrastructure Program, Broadband Program, and Community Connect by more closely following leading practices for broadband loan- and grant-program management, the Secretary of Agriculture should direct RUS to establish and implement procedures to conduct a risk assessment of each program, including an examination of risk at both the programmatic and portfolio level for each program.

    Agency: Department of Agriculture
    Status: Open

    Comments: When we confirm what actions the agency has taken in response to this recommendation, we will provide updated information.
    Recommendation: To improve RUS's management of the Infrastructure Program, Broadband Program, and Community Connect by more closely following leading practices for broadband loan- and grant-program management, the Secretary of Agriculture should direct RUS to establish and implement procedures to conduct periodic evaluations of completed grant projects to determine the outcomes associated with these projects, and analyze the information gained to assess if any programmatic changes are needed to improve the Community Connect program.

    Agency: Department of Agriculture
    Status: Open

    Comments: When we confirm what actions the agency has taken in response to this recommendation, we will provide updated information.
    Recommendation: To improve RUS's management of the Infrastructure Program, Broadband Program, and Community Connect by more closely following leading practices for broadband loan- and grant-program management, the Secretary of Agriculture should direct RUS to establish a timeline for implementing a centralized internal system for staff to obtain relevant and timely program data for use in managing and monitoring loans and grant awards.

    Agency: Department of Agriculture
    Status: Open

    Comments: When we confirm what actions the agency has taken in response to this recommendation, we will provide updated information.
    Recommendation: To improve RUS's management of the Infrastructure Program, Broadband Program, and Community Connect by more closely following leading practices for broadband loan- and grant-program management, the Secretary of Agriculture should direct RUS to develop, update, and maintain complete written policies and procedures for RUS's programs as a way to retain and communicate organizational knowledge internally among agency staff. RUS should determine the critical documentation that should be created or updated, including considering documentation such as loan-application review guidance and employee manuals for each of the three programs.

    Agency: Department of Agriculture
    Status: Open

    Comments: When we confirm what actions the agency has taken in response to this recommendation, we will provide updated information.
    Director: Cheryl E. Clark
    Phone: (202) 512-9377

    4 open recommendations
    Recommendation: To help ensure that subsidy cost estimates for the Mutual Mortgage Insurance Fund are supported, reliable, and reasonable, the Secretary of Housing and Urban Development should direct the Principal Deputy Assistant Secretary for the Office of Housing to develop detailed policies and procedures over the subsidy cost estimation process that address, at a minimum, the documentation that should be prepared and maintained to support subsidy cost estimates and the process to document management review and approval of subsidy costs estimates.

    Agency: Department of Housing and Urban Development
    Status: Open

    Comments: In response to our recommendation, HUD said that a new contract was issued that will address documentation of the MMI cash flow model and the subsidy cost estimation process. HUD also said that it was in the process of developing a solicitation for a contractor to perform an independent verification and validation of the MMI cash flow model. HUD stated that completing this documentation of the subsidy cost estimation process will help management oversee the program as required by internal control standards and help support its subsidy cost estimates. We are awaiting supporting documentation for actions taken by HUD to address this recommendation.
    Recommendation: To help ensure that subsidy cost estimates for the Direct Student Loan Program are supported, reliable, and reasonable, the Secretary of Education should direct the Assistant Secretary for the Office of Planning, Evaluation and Policy Development to develop detailed policies and procedures over the subsidy cost estimation process that address, at a minimum, the documentation that should be prepared and maintained to support subsidy cost estimates and the process to document management review and approval of subsidy cost estimates.

    Agency: Department of Education
    Status: Open

    Comments: The Department of Education (Education) agreed with this recommendation. Education stated that has detailed procedures for developing and validating subsidy cost estimates. These procedures include, but are not limited to, establishing a baseline scenario, documenting each assumption individually, comparing estimates to actual data, and management review and sign-off. Education has begun drafting a more detailed document that will describe policies and procedures.
    Recommendation: To help ensure that subsidy cost estimates for the Direct Student Loan Program are supported, reliable, and reasonable, the Secretary of Education should direct the Assistant Secretary for the Office of Planning, Evaluation and Policy Development to develop detailed documentation of the cash flow model used to estimate subsidy costs, including the rationale for model calculations, all formulas and assumptions used in the model, data sources, the process to update and document changes to the model, and the process to document management review and approval of the model, which may be based on an independent verification and validation of the model to ensure that calculations are accurate and consistent with the model documentation.

    Agency: Department of Education
    Status: Open

    Comments: The Department of Education (Education) agreed with this recommendation. Education stated that it is committed to continuous improvements in its cash flow model and how it is documented. The cash flow model includes inputs of modeled data, referred to as assumptions, together with program-determined static values, such as interest rates and fees. Education stated that it will update its detailed documentation of its cash flow model. In addition, Education is investing staff and resources into developing a new cash flow model to estimate subsidy costs. Detailed documentation of this new cash flow model will be prepared before the model becomes operational. We will review Education's new cash flow model documentation once it is completed.
    Recommendation: To help ensure that subsidy cost estimates for the Direct Student Loan Program are supported, reliable, and reasonable, the Secretary of Education should direct the Assistant Secretary for the Office of Planning, Evaluation and Policy Development to document the procedures and results of such procedures used to develop or support key elements of the subsidy cost estimation process, addressing at a minimum (1) the reliability of historical data, (2) the rationale for informed opinion when applicable, (3) the methods used to calculate cash flow assumptions, (4) the process to ensure that subsidy cost estimates are consistent with the terms and conditions of the program, (5) the process to assess estimated cash flows for reasonableness, and (6) the process used to perform sensitivity analysis.

    Agency: Department of Education
    Status: Open

    Comments: The Department of Education (Education) agreed with this recommendation. Education stated that it will work on developing more detailed policies and procedures which will address the key elements referenced in this recommendation.
    Director: Mathew Scirè
    Phone: (202) 512-8678

    8 open recommendations
    Recommendation: To improve compliance with OMB Circular A-129 standards and strengthen management and oversight of the guarantee program, and to enhance screening of loan guarantee applicants, the Secretary of Agriculture should direct the Undersecretary for Rural Development to complete steps to obtain access to Treasury's Do Not Pay portal and establish policies and procedures to deny loan guarantees to applicants who are subject to administrative offsets for delinquent child support payments.

    Agency: Department of Agriculture
    Status: Open

    Comments: As of August 2017, Rural Development said it was in the process of gaining access to Treasury's Do Not Pay portal in order to conduct the recommended screening of loan guarantee applicants.
    Recommendation: To improve compliance with OMB Circular A-129 standards and strengthen management and oversight of the guarantee program, and to strengthen oversight of lenders and servicers, the Secretary of Agriculture should direct the Undersecretary for Rural Development to develop and publish in the Federal Register qualification requirements for the principal officers of lenders and servicers seeking initial or continued approval to participate in the guarantee program.

    Agency: Department of Agriculture
    Status: Open

    Comments: As of August 2017, Rural Development said it had drafted a regulatory work plan to propose qualification requirements for principal officers of lenders and servicers.
    Recommendation: To improve compliance with OMB Circular A-129 standards and strengthen management and oversight of the guarantee program, and to strengthen oversight of lenders and servicers, the Secretary of Agriculture should direct the Undersecretary for Rural Development to develop and publish in the Federal Register capital and financial requirements for guarantee program lenders that are not regulated by a federal financial institution regulatory agency.

    Agency: Department of Agriculture
    Status: Open

    Comments: As of August 2017, Rural Development said it had drafted a regulatory work plan to propose lender capital and financial requirements.
    Recommendation: To improve compliance with OMB Circular A-129 standards and strengthen management and oversight of the guarantee program, and to strengthen oversight of lenders and servicers, the Secretary of Agriculture should direct the Undersecretary for Rural Development to establish standing policies and procedures to help ensure that the agency reviews the eligibility of lenders and servicers participating in the guarantee program at least every 2 years.

    Agency: Department of Agriculture
    Status: Open

    Comments: As of August 2017, Rural Development said it was planning to automate reviews of lender eligibility every 2 years, but in the meantime was using a manual process. We will update the status of this recommendation when Rural Development provides standing policies and procedures regarding the frequency of its lender and servicer eligibility reviews.
    Recommendation: To improve compliance with OMB Circular A-129 standards and strengthen management and oversight of the guarantee program, and to strengthen risk assessment and reporting, the Secretary of Agriculture should direct the Undersecretary for Rural Development to improve performance measures comparing RHS and the Federal Housing Administration loan performance, potentially by making comparisons on a cohort basis and limiting comparisons to loans made in similar geographic areas.

    Agency: Department of Agriculture
    Status: Open

    Comments: As of August 2017, Rural Development said it had hired a contractor to develop more meaningful performance measures.
    Recommendation: To improve compliance with OMB Circular A-129 standards and strengthen management and oversight of the guarantee program, and to strengthen risk assessment and reporting, the Secretary of Agriculture should direct the Undersecretary for Rural Development to develop risk thresholds for the guarantee program, potentially in the form of maximum portfolio- or loan-level loss tolerances.

    Agency: Department of Agriculture
    Status: Open

    Comments: Rural Development hired a contractor to help establish risk thresholds for the guarantee program. The contractor's October 2016 report developed and recommended portfolio-level and loan-level risk thresholds (values that trigger consideration of policy adjustments) and also recommended that program officials conduct stress tests to validate that each recommended risk threshold was appropriate for the program's overall risk appetite. As of August 2017, Rural Development had not provided documentation that it had validated and implemented the risk thresholds.
    Recommendation: To improve compliance with OMB Circular A-129 standards and strengthen management and oversight of the guarantee program, and to strengthen risk assessment and reporting, the Secretary of Agriculture should direct the Undersecretary for Rural Development to identify issues for increased management focus in high-level dashboard reports.

    Agency: Department of Agriculture
    Status: Open

    Comments: As of August 2017, Rural Development had not provided examples of high-level dashboard reports that clearly identify issues for increased management focus.
    Recommendation: To improve compliance with OMB Circular A-129 standards and strengthen management and oversight of the guarantee program, and to more effectively fulfill the requirements for conducting program reviews described in OMB Circular A-129, the Secretary of Agriculture should direct the Undersecretary for Rural Development to develop procedures for selecting RD credit programs for review based on risk and establish a prioritized schedule for conducting the reviews.

    Agency: Department of Agriculture
    Status: Open

    Comments: As of August 2017, Rural Development said that its Chief Risk Officer was working to establish procedures for selecting Rural Development credit programs for review based on risk, including a prioritized schedule.
    Director: John Neumann
    Phone: (202) 512-3841

    1 open recommendations
    Recommendation: To better ensure that the activities carried out under the ITM program do not duplicate the efforts of other federal loan guarantee programs, such as SBA's 7(a) program, the Secretary of Commerce should direct EDA to work with SBA and NIST to further identify any gaps in capital access that may be present that the program could fill, and then develop marketing materials and conduct outreach to help target those gaps.

    Agency: Department of Commerce
    Status: Open

    Comments: Partially addressed. As of November 2016 the Economic Development Administration (EDA) had begun taking action on GAO's February 2016 recommendation to work with SBA and NIST to identify gaps in capital access and develop marketing materials and conduct outreach based on any gaps identified for the Federal Loan Guarantees for Innovative Technologies in Manufacturing program (ITM). Due to delays in establishing the program, however, these efforts are still in progress. According to EDA officials, as of November 28, 2016 EDA contractors working on the ITM program had held a preliminary discussion with SBA to discuss program marketing, outreach and potential gaps in capital access that the ITM program may be able to fill, among other topics, but had not yet initiated additional coordination with NIST. We continue to believe that coordination with SBA and NIST to identify gaps in capital access, and then marketing the program to target those gaps could help EDA ensure that ITM program activities do not duplicate the efforts of other federal loan guarantee programs.
    Director: Kimberly M. Gianopoulos
    Phone: (202) 512-8612

    1 open recommendations
    Recommendation: To further improve OPIC's monitoring processes, the President and CEO of OPIC should assess the current monitoring processes to ensure that the risk associated with the use of client-reported data and limited site visits for monitoring is acceptable for meeting OPIC's program goals.

    Agency: Overseas Private Investment Corporation
    Status: Open

    Comments: In written comments on the draft report, the Overseas Private Investment Corporation (OPIC) concurred with the recommendation. In February 2017, OPIC executed two contracts with an external group to assist it in assessing the Office of Information Policy's current monitoring processes to ensure that the risks associated with the use of client-reported data and limited site visits for monitoring are acceptable and meet OPIC's program goals. The work is currently underway.
    Director: William Shear
    Phone: (202) 512-8678

    6 open recommendations
    including 1 priority recommendation
    Recommendation: To improve management of the Small Business Administration and to ensure that SBA assesses the effectiveness of its programs, the SBA Administrator should prioritize resources to conduct additional program evaluations.

    Agency: Small Business Administration
    Status: Open

    Comments: When we confirm what actions the agency has taken in response to this recommendation, we will provide updated information.
    Recommendation: To improve management of the Small Business Administration and to ensure that SBA fully meets GPRAMA requirements, the SBA Administrator should use the results of additional evaluations it conducts in its strategic planning process and ensure the agency's next strategic plan includes required information on program evaluations, including a schedule of future evaluations.

    Agency: Small Business Administration
    Status: Open
    Priority recommendation

    Comments: SBA officials stated that, as of October 2016, the agency had taken several steps to prioritize resources and establish an implementation plan for future evaluations, including hiring its first lead program evaluator to develop a long-term evaluation agenda and initiating four program evaluations. They stated that once completed, the evaluations would be incorporated into the agency's fiscal year 2018-2022 strategic plan. As of May 2017, SBA had started reviewing guidance on drafting this plan, which is due in February 2018.
    Recommendation: To improve management of the Small Business Administration and to improve SBA's human capital management, the SBA Administrator should incorporate into its next training plan key principles such as goals and measures for its training programs and input on employee development goals.

    Agency: Small Business Administration
    Status: Open

    Comments: When we confirm what actions the agency has taken in response to this recommendation, we will provide updated information.
    Recommendation: To improve management of the Small Business Administration and to ensure that SBA's organizational structure helps the agency meet its mission, the SBA Administrator should document the assessment of the agency's organizational structure, including any necessary changes to, for example, better ensure areas of authority, responsibility, and lines of reporting are clear and defined.

    Agency: Small Business Administration
    Status: Open

    Comments: When we confirm what actions the agency has taken in response to this recommendation, we will provide updated information.
    Recommendation: To improve management of the Small Business Administration and to improve SBA's program and management guidance, the SBA Administrator should set time frames for periodically reviewing and updating its SOPs as appropriate.

    Agency: Small Business Administration
    Status: Open

    Comments: When we confirm what actions the agency has taken in response to this recommendation, we will provide updated information.
    Recommendation: To improve management of the Small Business Administration and to help ensure that SBA's IT operations and maintenance investments are continuing to meet business and customer needs and the agency's strategic goals, the SBA Administrator should direct the appropriate officials to perform an annual operational analysis on all SBA investments in accordance with OMB guidance.

    Agency: Small Business Administration
    Status: Open

    Comments: When we confirm what actions the agency has taken in response to this recommendation, we will provide updated information.
    Director: Frank Rusco
    Phone: (202) 512-3841

    1 open recommendations
    Recommendation: To provide greater assurance that DOE is effectively monitoring its loans, the Secretary of Energy should direct the Executive Director of the Loan Programs Office to fully develop its organizational structure by staffing key monitoring positions.

    Agency: Department of Energy
    Status: Open

    Comments: As of April 2017, while the Loan Programs Office (LPO)had made some progress in filling key monitoring positions, several vacancies in the leadership of the Special Assets and Risk Management Divisions remained. LPO officials noted they were unlikely to fill any of these staffing vacancies given budget and program uncertainties.
    Director: Scire, Mathew J
    Phone: (202) 512-8678

    2 open recommendations
    Recommendation: To strengthen FHA accountability for complying with the Fund's statutory capital requirement, Congress should consider requiring that FHA submit a capital restoration plan and regular updates on plan implementation whenever the capital ratio falls below 2 percent as calculated in the annual actuarial review of the Fund, or the Fund's financial condition does not meet other congressionally-defined requirements.

    Agency: Congress
    Status: Open

    Comments: Congress has not yet acted on this matter for consideration.
    Recommendation: To provide additional perspective on the Fund's financial status, FHA should disclose estimates of the individual cash flows associated with the liability for loan guarantees (premiums, claims, and recoveries), including their value for each year of the 30-year estimation period.

    Agency: Department of Housing and Urban Development: Federal Housing Administration
    Status: Open

    Comments: As of July 2017, HUD has not yet acted on this recommendation.
    Director: Yager, Loren
    Phone: (202)512-4347

    1 open recommendations
    including 1 priority recommendation
    Recommendation: To more effectively implement SBA's expansion of OIT field staff as required by the SBJA, the Administrator of the SBA should update SBA's plan for additional OIT staff to include funding sources and time frames, as well as possible efficiencies from clearly defining roles and responsibilities and leveraging other entities' export assistance resources.

    Agency: Small Business Administration
    Status: Open
    Priority recommendation

    Comments: SBA concurred with our recommendations and noted that SBA would work to implement the recommendations. SBA agreed that it intends to respond to staffing requirements of the SBJA while acknowledging resource constraints in its next annual report to Congress. In November 2014, SBA officials said that SBA was in the process of evaluating the impact of Voluntary Early Retirement Authority (VERA) and Voluntary Separation Incentive Payments (VSIP) retirements that took place at the end of September 2014 and was developing a plan for reallocating full-time employees (FTEs). They said that at the end of this process, SBA would have a better understanding of the impact on current and future USEAC staffing levels. In September 2015, SBA stated that it was still in the process of evaluating the impact of the VERA/VSIP retirements that took place at the end of September 2014, and was developing a plan for current and future FTEs. In February 2016, SBA's Office of International Trade (OIT) reported that in the first quarter of fiscal year 2016, it was able to fill the 21st of 30 USEAC-based Export Finance Specialist positions. OIT also reported that it has prepared an updated staffing proposal for the remaining nine positions called for under the Small Business Jobs Act of 2010. OIT noted that filling the remaining nine positions would depend on their receiving additional agency funding. SBA needs to provide documentation of its plan for complying with staffing requirements in the Small Business Jobs Act, or provide evidence that they have reallocated resources to actually do so. As of March 2017, SBA's new leadership was reviewing agency budget and staffing needs and had not provided us with a proposal for filling the remaining positions.
    Director: Garcia-diaz, Daniel
    Phone: (202) 512-4529

    4 open recommendations
    Recommendation: To build on task force and working group efforts already underway to coordinate, consolidate, or improve housing programs, and help inform Congress's decision-making process, the Secretaries or other designated officials of HUD, Treasury, USDA, and VA should evaluate and report on the specific opportunities for consolidating similar housing programs, including those that would require statutory changes.

    Agency: Department of Agriculture
    Status: Open

    Comments: Through their rental policy working group and single-family program task force, HUD, USDA, and Treasury have continued their efforts to improve operations and better coordinate and align certain requirements among the agencies' multifamily and single-family housing programs. For example, in 2014, the agencies implemented a pilot in 26 states and 808 multifamily housing properties to test the feasibility of conducting a single physical inspection that would satisfy all agencies' inspection requirements. Additionally, HUD, USDA, and Treasury signed a memorandum of understanding in November 2016 to formalize interagency efforts on federal rental housing policy. They are also developing a white paper to document the history and best practices of the rental policy working group. Further, USDA's Rural Housing Service (RHS) has entered into a shared service agreement with the Department of Veterans Affairs (VA) to manage real-estate owned (REO) preservation and disposition of single-family properties acquired through RHS's direct loan program. RHS stated that it also meets with FHA and VA to discuss single-family housing issues and opportunities for collaboration. According to the Office of Management and Budget (OMB), the current administration may reevaluate ongoing collaborative efforts across the different agencies, which could have implications for housing program consolidation. OMB has participated in interagency discussions on federal housing assistance, credit budgeting, and management of HUD, VA, and USDA housing programs. Nonetheless, the charters of both the rental policy working group and the single-family program task force limit their missions to issues that can be dealt with administratively. As of March 2017, neither group has reported on the areas where specific statutory changes are needed to help mitigate overlap and fragmentation and decrease costs.
    Recommendation: To build on task force and working group efforts already underway to coordinate, consolidate, or improve housing programs, and help inform Congress's decision-making process, the Secretaries or other designated officials of HUD, Treasury, USDA, and VA should evaluate and report on the specific opportunities for consolidating similar housing programs, including those that would require statutory changes.

    Agency: Department of Housing and Urban Development
    Status: Open

    Comments: Through their rental policy working group and single-family program task force, HUD, USDA, and Treasury have continued their efforts to improve operations and better coordinate and align certain requirements among the agencies' multifamily and single-family housing programs. For example, in 2014, the agencies implemented a pilot in 26 states and 808 multifamily housing properties to test the feasibility of conducting a single physical inspection that would satisfy all agencies' inspection requirements. Additionally, HUD, USDA, and Treasury signed a memorandum of understanding in November 2016 to formalize interagency efforts on federal rental housing policy. They are also developing a white paper to document the history and best practices of the rental policy working group. Further, USDA's Rural Housing Service (RHS) has entered into a shared service agreement with the Department of Veterans Affairs (VA) to manage real-estate owned (REO) preservation and disposition of single-family properties acquired through RHS's direct loan program. RHS stated that it also meets with FHA and VA to discuss single-family housing issues and opportunities for collaboration. According to the Office of Management and Budget (OMB), the current administration may reevaluate ongoing collaborative efforts across the different agencies, which could have implications for housing program consolidation. OMB has participated in interagency discussions on federal housing assistance, credit budgeting, and management of HUD, VA, and USDA housing programs. Nonetheless, the charters of both the rental policy working group and the single-family program task force limit their missions to issues that can be dealt with administratively. As of March 2017, neither group has reported on the areas where specific statutory changes are needed to help mitigate overlap and fragmentation and decrease costs.
    Recommendation: To build on task force and working group efforts already underway to coordinate, consolidate, or improve housing programs, and help inform Congress's decision-making process, the Secretaries or other designated officials of HUD, Treasury, USDA, and VA should evaluate and report on the specific opportunities for consolidating similar housing programs, including those that would require statutory changes.

    Agency: Department of the Treasury
    Status: Open

    Comments: Through their rental policy working group and single-family program task force, HUD, USDA, and Treasury have continued their efforts to improve operations and better coordinate and align certain requirements among the agencies' multifamily and single-family housing programs. For example, in 2014, the agencies implemented a pilot in 26 states and 808 multifamily housing properties to test the feasibility of conducting a single physical inspection that would satisfy all agencies' inspection requirements. Additionally, HUD, USDA, and Treasury signed a memorandum of understanding in November 2016 to formalize interagency efforts on federal rental housing policy. They are also developing a white paper to document the history and best practices of the rental policy working group. Further, USDA's Rural Housing Service (RHS) has entered into a shared service agreement with the Department of Veterans Affairs (VA) to manage real-estate owned (REO) preservation and disposition of single-family properties acquired through RHS's direct loan program. RHS stated that it also meets with FHA and VA to discuss single-family housing issues and opportunities for collaboration. According to the Office of Management and Budget (OMB), the current administration may reevaluate ongoing collaborative efforts across the different agencies, which could have implications for housing program consolidation. OMB has participated in interagency discussions on federal housing assistance, credit budgeting, and management of HUD, VA, and USDA housing programs. Nonetheless, the charters of both the rental policy working group and the single-family program task force limit their missions to issues that can be dealt with administratively. As of March 2017, neither group has reported on the areas where specific statutory changes are needed to help mitigate overlap and fragmentation and decrease costs.
    Recommendation: To build on task force and working group efforts already underway to coordinate, consolidate, or improve housing programs, and help inform Congress's decision-making process, the Secretaries or other designated officials of HUD, Treasury, USDA, and VA should evaluate and report on the specific opportunities for consolidating similar housing programs, including those that would require statutory changes.

    Agency: Department of Veterans Affairs
    Status: Open

    Comments: In responding to the draft report, VA concurred in principle with this recommendation but would not support unilateral reporting and evaluation in this area. VA maintains that the consolidation of the VA Home Guarantee Program with housing program of HUD or another agency is counter to statute that authorizes that its program be operated by VA. VA participates in the single-family interagency task force, along with HUD, USDA, and OMB. A tangible result from that task force is that VA has established an inter-agency agreement with USDA in an effort to increase efficiency and reduce costs by using VA processes for disposing of USDA real estate assets. However, the task force's charter limits its mission to issues that can be dealt with administratively and thus has not reported on areas where specific statutory changes are needed. The recommendation calls for the Secretaries or other designated officials to evaluate and report on opportunities to consolidate similar housing programs, including those that would require statutory changes. As such, the recommendation will stay open until the agencies provide sufficient evidence that they are working together to identify such opportunities. According to the VA, the agency will not take any action to identify opportunities that require statutory changes.