Having just completed my fifth year as Comptroller General of the United States and head of It is my strong belief that the federal government needs to exercise a great degree of fiscal In addition to our current responsibilities, the Congress has requested that we comment on what it would take to provide a technology assessment capability on an ongoing basis. Also, to establish a basic capability to conduct one assessment annually, we would require four additional FTEs and contract assistance, at an estimated cost of about $545,000. The following table summarizes our requested changes between our fiscal year 2004 and 2005 budgets. FY 2005 Requested Changes Mandatory pay and related costs Costs to maintain current operating levels Non-recurring FY 2004 costs New Financial Audit Responsibility for SEC Subtotal-Increased Funding Required to Support GAO FY 2005 Budget Authority Required to Support GAO Establish a baseline technology assessment capability *Includes pending rescission of 0.59 percent (S2,751). 3,269 $486,109 (6,119) 3,269 $479,990 I applaud the Congress' request that we examine how the legislative branch agencies could work toward a more transparent budget presentation. In keeping with our work and the Congress' request that we begin the transition this year by reporting on technology assessment and building management operations, we have begun to revamp our budget presentation to make the linkages between funding and program areas more clear. As you examine our budget, you will see that we have also included programmatic information in other areas... The funding we received in fiscal year 2003 allowed us to conduct work that addressed many difficult issues confronting the nation, including diverse and diffuse security threats at home and abroad, changing demographic trends, government transformation challenges, and the nation's long-term fiscal imbalance. Perhaps the foremost, immediate challenge facing government decisionmakers in 2003 was ensuring the security of the American people. By providing professional, objective, nonpartisan information and analyses, we helped inform the Congress and executive branch agencies on key issues, such as the challenges involved in creating the Department of Homeland Security, including its mission, makeup, structure, cost, and implementation; and the nature and scope of threats confronting the nation's nuclear weapons facilities, its information systems, and all areas of its transportation infrastructure - air, surface, and maritime. Our work was also driven by changing demographic trends, which led us to focus on such areas as the quality of care in the nation's nursing homes and the risks to the government's single-employer pension insurance program. Our work in these and other areas covered programs that continue to involve billions of dollars and touch millions of lives. GAO exists to support the Congress in meeting its constitutional responsibilities and to help improve the performance and ensure the accountability of the federal government for the benefit of the American people. In the years ahead, our support to the Congress will likely prove even more critical because of the pressures created by our nation's financial condition and fiscal outlook. These pressures will require the Congress to make tough choices regarding what the government does, how it does business, and who will do the government's business in the future. I believe that GAO's help will prove to be invaluable as the Congress reviews and reprioritizes existing mandatory and discretionary spending programs and tax policies. Therefore, we need to prepare now, by continuing to do initial research and analysis so we can respond to emerging issues in a timely manner. Maintaining a strong GAO now will help ensure sound congressional decisions and oversight in the future. It will also help to ensure that we can continue to generate an excellent return on the investment in GAO to the Congress and the country. For example, in fiscal year 2003, GAO generated a $78 return for each $1 appropriated to our agency number 1 for global accountability organizations. No one else even comes close. In the years to come, providing support to congressional oversight will remain a major part of our mission. But I am certain that our contributions in the areas of insight and foresight will be critical as well. For example, I believe that the insights resulting from our years of agency and program evaluation across the federal sector have and will continue to contribute to a transformation of government for the benefit of the American people. Our work in the government transformation area (e.g., Department of Defense business practices, information technology, strategic human capital management, the U.S. Postal Service, health care, and Social Security) has helped the Congress reexamine what the government does, what it ought to do, and how to do it best. With the Congress's support, we have demonstrated that becoming world-class does not require substantial appropriations increases, but rather maximizing the efficient and effective use of the resources available to us. We have worked with you to obtain targeted funding for investments in our information technology, security, and human capital management. We also are grateful to the Congress for supporting our efforts through pending legislation that gives us additional human capital flexibilities that will allow us, among other things, to move to an even more performance-based compensation system and further help to position GAO for future challenges. In summary, I believe that you will find our fiscal year 2005 budget request both modest and well-justified. I look forward to testifying before you this spring. Sincerely yours, David M. Walker Comptroller General of the United States Enclosure About GAO OVERVIEW OF THE U.S. GENERAL ACCOUNTING OFFICE (GAO) GAO is an independent, nonpartisan, professional services agency in the legislative branch that is commonly regarded as the audit, evaluation, and investigative arm of the Congress. Created in 1921 as a result of the Budget and Accounting Act, GAO exists to support the Congress in meeting its constitutional responsibilities and to help improve the performance and ensure the accountability of the federal government for the benefit of the American people. GAO's "watchdog" role has evolved over the years as the Congress expanded our statutory authority and called on us with increasing frequency for support in carrying out its legislative and oversight responsibilities. Today, GAO engages in a range of oversight, insight, and foresight activities, spanning the full breadth and scope of federal activities and programs, publishes thousands of reports and other documents annually, testifies before the Congress about 200 times annually, and provides a number of related services intended to aid congressional decisionmakers and the general public alike. We also study national and international trends and challenges to anticipate their implications for public policy. By making recommendations to improve the accountability, operations, and services of government agencies, GAO contributes not only to the increased effectiveness of federal spending, but also to the enhancement of the taxpayers' trust and confidence in their government. Organizational Structure To achieve our strategic goals and objectives, we must maintain a workforce of highly trained professionals who hold degrees in many academic disciplines, including accounting, law, engineering, public and business administration, economics, computer science, and the social and physical sciences. Our staff is arrayed in 13 research, audit, and evaluation teams supported by staff offices and mission support units. Information on our organizational structure, including our organization chart, mission responsibilities, and staffing information is included in Appendix 1, "Organizational Structure." About three-quarters of our approximately 3,300 employees are based at our headquarters in Washington, DC; the rest are deployed in 11 field offices across the country. |