Keeping up with the GAO

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Keeping up with the Government Accountability Office’s reports about the Recovery Act is a pretty demanding undertaking. But we’re going to try to do so on your behalf, and offer you summaries of the most important reports as they come out (as well as links to others).
The most comprehensive new report was the GAO’s major 174-page look at the Recovery Act “One Year Later”.  It gives a very clear picture of the pace at which dollars are being distributed, the vast array of oversight activities and a variety of agency specific topics (like the wage issues that have stalled the delivery of weatherization funds).
A few of its important points:

* Data quality. For individuals who have been following the fracas in the press over the last six months about data issues — like jobs reported for Congressional Districts that don’t exist, double counted jobs, incorrect dollar figures, etc. — the GAO report is surprisingly comforting. Lots of improvements were put in place for the second reporting period, which ended on December 31, 2009. New simplified job data have helped increase accuracy, along with ways to flag potential errors as data is input. (For example, the system will now stop people from proceeding if they input a Congressional District that doesn’t match their zip code.)

* Maintenance of Effort. One of the trickier issues pertaining to the Recovery Act are the “maintenance of effort” requirements, particularly in transportation.  A continuing budget crisis, coupled with legislative cuts and changes, has made it difficult for many states to certify to DOT that the stimulus money will actually be adding to previously planned spending. The Federal Highway Administration is expecting lots of states to send in revised certifications this week, according to the GAO. Whether or not states meet maintenance of effort requirements is likely to be an ongoing question.

* Capacity. As states and local governments grapple with all their responsibilities for reporting Recovery Act information, capacity questions continue to loom large. This problem will become increasingly acute as beleaguered budgets necessitate layoffs and temporary furloughs. For example: The GAO reports that capacity has been a barrier in housing agencies, causing some to bypass applying for competitive grants. This is particularly a problem for smaller agencies. Capacity issues also create obstacles for small agencies in particular in dealing with the distribution of weatherization dollars and the administrative requirements

Here are the two other GAO reports that came out last week.

Recovery Act: California’s Use of Funds and Efforts to Ensure Accountability
Recovery Act: Factors Affecting the Department of Energy’s Program Implementation


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