Efforts To Improve Management of the Small Business Administration Have Been Unsatisfactory--More Aggressive Action Needed
CED-79-103: Published: Aug 21, 1979. Publicly Released: Aug 21, 1979.
- Full Report:
The Small Business Administration (SBA) has been unsuccessful in carrying out many GAO recommendations to correct problems in its programs and activities. Key programs and activities dealing with personnel, financial, and management control functions of the agency continue to need improvement.
SBA continues to produce unsound loans under the business loan program because its approval and servicing procedures are not followed. The agency's monitoring of the local development companies' activities continues to be insufficient. Investment policies of small business investment companies have not appreciably changed since prior review by GAO. Some employees making or influencing decisions on assistance do not file statements of employment and financial interests, even though the agency issued rules and regulations on the matter. Although the agency has issued new procedures in some cases and reminded employees to follow existing procedures in others, most of the problems previously reported to Congress still exist.