Termination of Map Information Facility Contract by Federal Emergency Management Agency

CED-81-99: Published: May 12, 1981. Publicly Released: May 12, 1981.

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GAO was requested to obtain information on and analyze a number of issues related to the development of a map information facility (MIF) for the Federal Emergency Management Agency (FEMA) by the Chicago Aerial Survey. During the study by GAO, FEMA terminated the contract with the Chicago Aerial Survey.

GAO believes that the following issues affected the decision by FEMA to terminate the contract: (1) the increasing cost, reduced scope, and delays in developing the MIF; (2) the accuracy of the flood zone determinations; (3) the large number of inquiries having to be manually researched; and (4) the capability of the MIF to verify insurance premiums. Many of the issues could have been anticipated if FEMA had performed a feasibility study and cost benefit analysis before entering into the MIF development contract.

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