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United Nations: Early Renovation Planning Reasonable, but Additional Management Controls and Oversight Will Be Needed

GAO-03-566 Published: May 30, 2003. Publicly Released: Jun 25, 2003.
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Highlights

The United Nations (U.N.) estimates that its planned renovation of the seven buildings on the Headquarters complex could cost almost $1.2 billion. As the host country and the largest contributor to the United Nations, the United States has a significant interest in this project. This report (1) assesses the reasonableness of the U.N. process to develop the renovation plans, (2) analyzes the potential cost to the United States, (3) identifies critical milestones before construction can begin, and (4) discusses efforts to monitor and oversee the project.

Recommendations

Recommendations for Executive Action

Agency Affected Recommendation Status
Department of State The Secretary of State, in consultation with appropriate administration officials and other U.N. members, should direct the U.S. representative to the United Nations to encourage the United Nations to complete and implement an effective project management plan that will guide decision making and coordination throughout the renovation project.
Closed – Implemented
In May 2003, (United Nations: Early Renovation Planning Reasonable, but Additional Management Controls and Oversight Will be Needed GAO-03-566) we recommended that the Secretary of State, in consultation with appropriate administration officials and other UN members, direct the U.S. representative to the UN to (1) encourage the UN to complete and implement an effective project management plan that will guide decision making and coordination throughout the renovation project, and (2) encourage the UN to provide the Office of Internal Oversight and the Board of Auditors with the resources needed to conduct effective oversight of the Capital Master Plan as the project progresses. In addition, we recommended that State define the mission and program goals of the task force monitoring U.S. participation in the Plan. Also that State determine the expertise the task force needs to fulfill its role and ensure that it has the resources necessary to monitor the project over its duration. In response to the recommendations in this report, according to agency officials, the UN hired a project management firm to develop a management plan that was completed by November 2005 to guide decision making and coordination for the UN's headquarters renovation project. As part of a subsequent engagement on UN renovation planning, in February 2006, we reviewed the project management binder and verified that it exists.
Department of State The Secretary of State, in consultation with appropriate administration officials and other U.N. members, should direct the U.S. representative to the United Nations to encourage the United Nations to provide the Office of Internal Oversight and the Board of Auditors with the resources needed to conduct effective oversight of the Capital Master Plan as the project progresses.
Closed – Implemented
In May 2003, (United Nations: Early Renovation Planning Reasonable, but Additional Management Controls and Oversight Will be Needed GAO-03-566) we recommended that the Secretary of State, in consultation with appropriate administration officials and other UN members, direct the U.S. representative to the UN to (1) encourage the UN to complete and implement an effective project management plan that will guide decision making and coordination throughout the renovation project, and (2) encourage the UN to provide the Office of Internal Oversight and the Board of Auditors with the resources needed to conduct effective oversight of the Capital Master Plan as the project progresses. In addition, we recommended that State define the mission and program goals of the task force monitoring U.S. participation in the Plan. Also that State determine the expertise the task force needs to fulfill its role and ensure that it has the resources necessary to monitor the project over its duration. During the course of a subsequent engagement on UN renovation planning, we reviewed the activities of OIOS and the UN Board of auditors. Officials in both organizations indicated to us in February 2006 that they each had been budgeted sufficient funds to conduct their work during the preceding three years (2003-2006), per our recommendation.
Department of State In addition, to ensure that U.S. interests are effectively represented as the United Nations proceeds through the design phase, the Secretary of State should define the mission and program goals of the task force currently monitoring U.S. participation in the Capital Master Plan.
Closed – Implemented
In May 2003, (United Nations: Early Renovation Planning Reasonable, but Additional Management Controls and Oversight Will be Needed GAO-03-566) we recommended that the Secretary of State, in consultation with appropriate administration officials and other UN members, direct the U.S. representative to the UN to (1) encourage the UN to complete and implement an effective project management plan that will guide decision making and coordination throughout the renovation project, and (2) encourage the UN to provide the Office of Internal Oversight and the Board of Auditors with the resources needed to conduct effective oversight of the Capital Master Plan as the project progresses. In addition, we recommended that State define the mission and program goals of the task force monitoring U.S. participation in the Plan. Also that State determine the expertise the task force needs to fulfill its role and ensure that it has the resources necessary to monitor the project over its duration. In response to the recommendations in this report, according to an agency official in February 2006, the Department of State developed a Mission Statement for its task force that monitors U.S. participation in the Capital Master Plan.
Department of State The Secretary should also determine the expertise the task force needs to fulfill its role and ensure that it has the resources necessary to monitor the project over its duration.
Closed – Implemented
In May 2003, (United Nations: Early Renovation Planning Reasonable, but Additional Management Controls and Oversight Will be Needed GAO-03-566) we recommended that the Secretary of State, in consultation with appropriate administration officials and other UN members, direct the U.S. representative to the UN to (1) encourage the UN to complete and implement an effective project management plan that will guide decision making and coordination throughout the renovation project, and (2) encourage the UN to provide the Office of Internal Oversight and the Board of Auditors with the resources needed to conduct effective oversight of the Capital Master Plan as the project progresses. In addition, we recommended that State define the mission and program goals of the task force monitoring U.S. participation in the Plan. Also that State determine the expertise the task force needs to fulfill its role and ensure that it has the resources necessary to monitor the project over its duration. Per our recommendation, according to an agency official in February 2006, the Department of State's Mission Statement for its task force that monitors U.S. participation in the Capital Master Plan indicates the permanent members of the task force and allows for additional members as other types of expertise are needed.

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Topics

Construction costsFacility constructionFacility managementFinancial managementInternational organizationsCost analysisPerformance measuresConstructionCost estimatesProgram management