Pros and Cons of a Separate Capital Budget for the Federal Government
PAD-83-1: Published: Sep 22, 1983. Publicly Released: Sep 22, 1983.
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Pursuant to a congressional request, GAO examined: (1) the advantages and disadvantages of the use of a unified capital budget by the Federal Government; and (2) the information needed to formulate national policy for investing in capital assets.
GAO stated that, in contrast to businesses and State and local governments, the Federal Government uses the unified budget, in which the acquisition of capital assets is treated like any current operating expense. The Government's involvement in national economic stability requires it to focus on its total spending in relation to its total revenues, and the unified budget is designed with this in mind. In a prior report, GAO examined problems caused by current capital budgeting practices, including the deterioration of the Nation's infrastructure and the short-term approaches taken to long-term problems. GAO found that there is no consistent basis within the budgeting process for setting priorities among projects and programs, and there is no framework for identifying projects with similar objectives or projects that are at cross purposes. GAO believes that the complexity of establishing a separate Federal budget and its potential for weakening aggregate spending controls suggest that a simpler solution be considered first. Separating capital investment budgeting items into a dual budget would detract from the overall policy perspective that has been achieved. A resectioned unified budget would provide information on capital investments during the formulation of the President's budget proposals and the congressional debate on and creation of the Federal budget. This resectioned budget would identify Federal capital investment outlays and clearly distinguish them from current expenditures.
Dec 15, 2020
The Nation's Fiscal Health:
Information on the Spending and Revenue Implications of Potential Debt TargetsGAO-21-211: Published: Dec 15, 2020. Publicly Released: Dec 15, 2020.
Oct 7, 2020
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The Nation's Fiscal Health:
A Long-Term Plan Is Needed for Fiscal SustainabilityGAO-21-161T: Published: Oct 7, 2020. Publicly Released: Oct 7, 2020.
Sep 23, 2020
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The Nation's Fiscal Health:
Effective Use of Fiscal Rules and TargetsGAO-20-561: Published: Sep 23, 2020. Publicly Released: Sep 23, 2020.
Jan 23, 2020
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Federal Trust Funds and Other Dedicated Funds:
Fiscal Sustainability Is a Growing Concern for Some Key FundsGAO-20-156: Published: Jan 16, 2020. Publicly Released: Jan 23, 2020.
Dec 19, 2019
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State and Local Governments' Fiscal Outlook:
2019 UpdateGAO-20-269SP: Published: Dec 19, 2019. Publicly Released: Dec 19, 2019.
Nov 14, 2019
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Certificated Expenditures:
Executive Office of the President FY 2018 Certificated Expenditures Were Spent for Authorized PurposesGAO-20-139R: Published: Nov 14, 2019. Publicly Released: Nov 14, 2019.
Oct 16, 2019
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Civilian Personnel:
Additional Guidance and Consistent Data Reporting Could Help Improve the Marine Corps' Budget ManagementGAO-20-148: Published: Oct 16, 2019. Publicly Released: Oct 16, 2019.
Jun 26, 2019
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The Nation's Fiscal Health:
Actions Needed to Achieve Long-Term Fiscal SustainabilityGAO-19-611T: Published: Jun 26, 2019. Publicly Released: Jun 26, 2019.
Apr 10, 2019
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The Nation's Fiscal Health:
Action Is Needed to Address the Federal Government's Fiscal FutureGAO-19-314SP: Published: Apr 10, 2019. Publicly Released: Apr 10, 2019.
Mar 27, 2019
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Fiscal Exposures:
Federal Insurance and Other Activities That Transfer Risk or Losses to the GovernmentGAO-19-353: Published: Mar 27, 2019. Publicly Released: Mar 27, 2019.
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