2020 Annual report: Additional Opportunities to Reduce Fragmentation, Overlap, and Duplication and Achieve Billions in Financial Benefits

The federal government has made an unprecedented financial response to the COVID-19 pandemic. At the same time, opportunities exist for achieving billions of dollars in financial savings and improving the efficiency and effectiveness of a wide range of federal programs in other areas.

Congress included a provision in statute for GAO to identify and report on federal programs, agencies, offices, and initiatives—either within departments or government-wide—that have duplicative goals or activities. GAO also identifies areas that are fragmented or overlapping and additional opportunities to achieve cost savings or enhance revenue collection.

This report discusses the new areas identified in GAO’s 2020 annual report—the 10th report in this series; the progress made in addressing actions GAO identified in its 2011 to 2019 reports; and examples of open actions directed to Congress or executive branch agencies.

To identify what actions exist to address these issues, GAO reviewed and updated prior work, including matters for congressional consideration and recommendations for executive action.

GAO’s 2020 annual report identifies 168 new actions for Congress or executive branch agencies to improve the efficiency and effectiveness of government in 29 new mission areas and 10 existing areas. For example:

The Department of Defense could potentially save hundreds of millions of dollars annually by accurately measuring and reducing excess funded, unfinished work at military depots.

The Centers for Medicare & Medicaid Services could better ensure that states implement Medicaid provider screening and enrollment requirements, which could potentially save tens of millions of dollars annually .

The Government National Mortgage Association could enhance the efficiency and effectiveness of its operations and risk management and reduce costs or enhance federal revenue by tens of millions of dollars annually .

The Internal Revenue Service should establish a formal collaborative mechanism with the Department of Labor to better manage fragmented efforts and enhance compliance for certain individual retirement accounts that engaged in prohibited transactions, and thereby potentially increase revenues by millions of dollars .

Improved coordination and communication between the Department of Health and Human Services’ Office of the Assistant Secretary for Preparedness and Response and its emergency support agencies—including the Federal Emergency Management Agency and Departments of Defense and Veterans Affairs—could help address fragmentation and ensure the effective provision of public health and medical services during a public health emergency.

The Department of Education should analyze data and use it to verify borrowers’ income and family size information on Income-Driven Repayment plans to safeguard the hundreds of billions of dollars in federal investment in student loans and potentially save more than $2 billion .

The Internal Revenue Service could increase coordination among its offices to better manage fragmented efforts to ensure the security of taxpayer information held by third-party providers.

GAO identified 88 new actions related to 10 existing areas presented in 2011 through 2019 annual reports. For example:

The Department of the Navy could achieve billions of dollars in cost savings by improving its acquisition practices and ensuring that ships can be efficiently sustained.

The Office of Management and Budget could improve oversight of disaster relief funds and address government-wide improper payments, which could result in significant cost savings.

The U.S. Army Corps of Engineers and the U.S. Coast Guard could better identify and communicate lessons learned in contracting following a disaster to improve fragmented interagency coordination.

Significant progress has been made in addressing many of the 908 actions that GAO identified from 2011 to 2019 to reduce costs, increase revenues, and improve agencies’ operating effectiveness. As of March 2020, Congress and executive branch agencies have fully or partially addressed 79 percent of all actions (721 of 908 actions)—57 percent (519 actions) fully addressed and 22 percent (202 actions) partially addressed. This has resulted in approximately $429 billion in financial benefits. About $393 billion of these benefits accrued between 2010 and 2019, and $36 billion are projected to accrue in future years. This is an increase of $166 billion from GAO’s 2019 annual report. These are rough estimates based on a variety of sources that considered different time periods and utilized different data sources, assumptions, and methodologies.

While Congress and executive branch agencies have made progress toward addressing actions that GAO has identified since 2011, further steps are needed. GAO estimates that tens of billions of additional dollars could be saved should Congress and executive branch agencies fully address the remaining 467 open actions, including the new ones identified in 2020. Addressing the remaining actions could lead to other benefits as well, such as increased public safety, and more effective delivery of services. For example:

Responding to Coronavirus Disease 2019 (COVID-19) and its effects on  public health and the economy is among the country’s highest immediate  priorities. At the same time, opportunities exist for achieving billions of  dollars in financial savings and improving the efficiency and effectiveness  of a wide range of federal programs in other areas.

To call attention to these opportunities, Congress passed and the  President signed into law a provision for us to identify and report to  Congress on federal programs, agencies, offices, and initiatives—either  within departments or government-wide—that have duplicative goals or  activities. As part of this work, we also identify additional opportunities to  achieve greater efficiency and effectiveness that result in cost savings or  enhanced revenue collection.

In our nine previous reports issued from 2011 to 2019, we introduced  more than 325 areas and more than 900 actions for Congress or  executive branch agencies to reduce, eliminate, or better manage  fragmentation, overlap, or duplication; achieve cost savings; or enhance  revenues. Congress and executive branch agencies have partially or  fully addressed 721 (79 percent) of the actions we identified from 2011 to  2019, resulting in about $429 billion in financial benefits. We estimate  tens of billions more dollars could be saved by fully implementing our  open actions.

Figure 1 defines the terms we use in this work.

Our 2020 report identifies 29 new areas where a broad range of federal  agencies may be able to achieve greater efficiency or effectiveness.

For each area, we suggest actions that Congress or executive branch  agencies could take to reduce, eliminate, or better manage  fragmentation, overlap, or duplication, or achieve other financial benefits.  In addition to identifying new areas and actions, we continue to monitor  the progress Congress and executive branch agencies have made in  addressing actions we previously identified (see sidebar).

This report is based upon work we previously conducted in accordance  with generally accepted government auditing standards or our quality  assurance framework. See appendix I for more information on our scope  and methodology.

GAO’s Action Tracker, a publicly accessible  website, allows Congress, executive branch  agencies, and the public to track the  government’s progress in addressing the  issues we have identified. GAO’s Action  Tracker includes a downloadable spreadsheet  containing all actions.   Areas and actions in the spreadsheet can be  sorted and filtered by the year identified,  mission, area name, implementation status,  and implementing entities (Congress or  executive branch agencies).  The spreadsheet  additionally notes which actions are also GAO  priority recommendations—those  recommendations GAO believes warrant  priority attention from the heads of  departments or agencies.    With the release of this report, GAO is  concurrently releasing the latest updates to  these resources.

This report presents 168 new actions for Congress or executive branch  agencies across the 29 new areas. Of these 29 new areas, 18 concern  fragmentation, overlap, or duplication in government missions and  functions (see table 1). Appendix II provides more detailed information  about these 18 areas.

We also present 11 new areas where Congress or executive branch  agencies could take action to reduce the cost of government operations  or enhance revenue collections for the U.S. Department of the Treasury  (see table 2). Appendix III provides more detailed information about these  11 areas.

In addition to these 29 new areas, we identified 88 new actions related to  10 existing areas presented in our 2011 to 2019 annual reports (see table  3). Appendix IV provides more detailed information about these new  actions.

Congress and Executive Branch Agencies Continue to Address Actions Identified over the Last 10 Years across the Federal Government, Resulting in Significant Benefits

Congress and executive branch agencies have made consistent progress  in addressing many of the actions we have identified since 2011, as  shown in figure 2 and table 4. As of March 2020, Congress and executive  branch agencies had fully or partially addressed nearly 80 percent of the  actions we identified from 2011 to 2019. See GAO’s online Action Tracker  for the status of all actions.

Actions Taken by Congress and Executive Branch Agencies Led to Billions in Financial Benefits

As a result of steps Congress and executive branch agencies have taken  to address our open actions, we have identified approximately $429  billion in total financial benefits, including $166 billion identified since our  last report. About $393 billion of the total benefits accrued between 2010  and 2019, while approximately $36 billion are projected to accrue in 2020  or later, as shown in figure 3.

Since our first annual report in 2011, these benefits have contributed to  missions across the federal government, as shown in figure 4.

Table 5 highlights examples of results achieved in addressing actions we  identified over the past 10 years.

Other Benefits Resulting from Actions Taken by Congress and Executive Branch Agencies

Our suggested actions, when implemented, often result in benefits such  as strengthened program oversight; improvements in major government  programs or agencies; more effective and equitable government; and  increased international security. The following recent examples illustrate  these types of benefits.

Housing Assistance (2012-28): The federal government and state  and local entities provide both rental assistance and affordable  housing through a wide variety of programs. In February 2012, we  found instances of fragmentation and overlap among federal rental  assistance program.

We recommended that the Secretary of the Department of Housing  and Urban Development (HUD) work with states and localities to  develop an approach for compiling and reporting on the collective  performance of federal, state, and local rental assistance programs.

In 2019, Executive Order 13878 established the White House Council  on Eliminating Regulatory Barriers to Affordable Housing. The  establishment of the council and the actions taken by HUD are  positive steps for reaching out to states and localities and allowing  Congress, decision makers, and stakeholders to evaluate collective  performance data and provide mechanisms for setting priorities,  allocating resources, and restructuring efforts, as needed, to achieve  long-term housing goals.

Military and Veterans Health Care (2012-15): The Departments of  Defense (DOD) and Veterans Affairs (VA) play key roles in offering  support to servicemembers and veterans through various programs  and activities. In 2012, we found that the departments needed to  improve integration across care coordination and case management  programs to reduce duplication and better assist servicemembers,  veterans, and their families.

We recommended that the Secretaries of Defense and Veterans  Affairs develop and implement a plan to strengthen functional  integration across all DOD and VA care coordination and case  management.

The departments took several steps between 2012 and 2019 to  address this, including establishing a Care Coordination Business  Line within their joint Health Executive Committee. This function is  intended to develop mechanisms for making joint policy decisions,  involve the appropriate decision makers for timely implementation of  policy, and ensure that outcomes and goals are identified and  achieved, among other things. By taking these steps, DOD and VA  strengthen their oversight and more closely integrate care  coordination efforts.

Tax Policies and Enforcement (2015-17): Since 1980, partnerships’  and S corporations’ share of business receipts increased greatly.  These entities generally do not pay income taxes; instead, income or  losses (hundreds of billions of dollars annually) flow through to  partners and shareholders on their personal income tax returns. In  2014, we found that the full extent of partnership and S corporation  income misreporting is unknown.

Electronic filed (e-filed) tax returns provide the Internal Revenue  Service (IRS) with digital information to improve enforcement  operations and service to taxpayers. We recommended that Congress  consider expanding the mandate that partnerships and corporations  e-file their tax returns to cover a greater share of filed returns.

In 2018, Congress passed and the President signed legislation  lowering the e-file threshold for partnership and corporation returns.  Requiring greater e-filing of tax return information will help IRS identify  which partnership and corporation tax returns would be most  productive to examine, and could reduce the number of compliant  taxpayers selected for examination. Further, expanded e-filing will  reduce IRS’s tax return processing costs.

Coordination of Overseas Stabilization Efforts (2019-12): The  United States has a national security interest in promoting stability in  countries affected by violent conflict. We looked at how three federal  agencies and an independent institute support conflict prevention,  mitigation, and stabilization efforts, such as removing explosives  hidden near homes. In 2019, we found that although these entities  have worked together in Iraq, Nigeria, and Syria, they had not  documented their agreement on key areas of collaboration, such as  clarifying roles and responsibilities for stabilization efforts.

We recommended that the Departments of State and Defense and the  U.S. Agency for International Development should document their  agreement to coordinate U.S. stabilization efforts. In 2019, the  agencies took several steps to address this such as publishing a  directive with the agreed upon definition of stabilization, description of  agency roles and responsibilities, and related policies and guidance.

Articulating their agreement in formal documents should help  strengthen the agencies’ coordination of U.S. stabilization efforts and  mitigate the risks associated with fragmentation, overlap, and  duplication.

Action on Remaining and New Areas Could Yield Significant Additional Benefits

Congress and executive branch agencies have made progress toward  addressing the 1,076 actions we have identified since 2011. However,  further efforts are needed to fully address the 467 actions that are  partially addressed, not addressed, or new. We estimate that at least  tens of billions of dollars in additional financial benefits could be realized  should Congress and executive branch agencies fully address open  actions, and other improvements can be achieved as well.

Open Areas Directed to Congress and Executive Branch Agencies with Potential Financial Benefits

In our 2011 to 2020 annual reports, we directed 110 actions to Congress,  including the three new congressional actions we identified in 2020. Of  the 110 actions, 58 (about 53 percent) remained open as of March 2020.  Appendix V has a full list of all open congressional actions.

We also directed 966 actions to executive branch agencies, including 165  new actions identified in 2020. As shown in figure 5, these actions span  the government and are directed to dozens of federal agencies. Six of  these agencies—DOD, IRS, OMB, VA, and the Departments of Health  and Human Services (HHS) and Homeland Security, have more than 20  open actions. Of the 966 actions, 409 (42 percent) remained open as of  March 2020.

A significant number of open actions are directed to four agencies that  made up about 79 percent of federal outlays in fiscal year 2019—HHS,  the Social Security Administration, the Department of the Treasury  (Treasury), and DOD. Figure 6 highlights agencies with open actions as  well as their fiscal year 2019 share of federal outlays.

We identified potential financial benefits associated with many open areas  with actions directed to Congress and the executive branch. These  benefits range from millions of dollars to tens of billions of dollars. For  example, DOD could potentially save hundreds of millions of dollars  annually by accurately measuring and reducing excess funded,  unfinished work at military depots.

In another example, IRS should establish a formal collaborative  mechanism with the Department of Labor to better manage fragmented  efforts and enhance compliance for certain individual retirement accounts  that engaged in prohibited transactions, and thereby potentially increase  revenues by millions of dollars.

Table 6 highlights examples of areas where additional action could  potentially result in financial benefits of $1 billion or more.

Open Areas with Other Benefits Directed to Congress and Executive Branch Agencies

Table 7 shows selected areas where Congress and executive branch  agencies can take action to achieve other benefits, such as increased  public safety, and more effective delivery of services.

This report was prepared under the coordination of Jessica Lucas-Judy,  Director, Strategic Issues, who may be reached at (202) 512-9110 or  lucasjudyj@gao.gov, and J. Christopher Mihm, Managing Director,  Strategic Issues, who may be reached at (202) 512-6806 or  mihmj@gao.gov. Specific questions about individual issues may be  directed to the area contact listed at the end of each summary. Contact  points for our Offices of Congressional Relations and Public Affairs may  be found on the last page of this report.

Section 21 of Public Law 111-139, enacted in February 2010, requires us  to conduct routine investigations to identify federal programs, agencies,  offices, and initiatives with duplicative goals and activities within  departments and government-wide. This provision also requires us to  report annually to Congress on our findings, including the cost of such  duplication, with recommendations for consolidation and elimination to  reduce duplication and specific rescissions (legislation canceling  previously enacted budget authority) that Congress may wish to consider.

Our objectives in this report are to (1) identify potentially significant areas  of fragmentation, overlap, and duplication and opportunities for cost  savings and enhanced revenues that exist across the federal  government; (2) assess to what extent have Congress and executive  branch agencies addressed actions in our 2011 to 2019 annual reports;  and (3) highlight examples of open actions directed to Congress or key  executive branch agencies.

For the purposes of our analysis, we used the term “fragmentation” to  refer to circumstances in which more than one federal agency (or more  than one organization within an agency) is involved in the same broad  area of national need. We used the term “overlap” when multiple  agencies or programs have similar goals, engage in similar activities or  strategies to achieve them, or target similar beneficiaries. We considered  “duplication” to occur when two or more agencies or programs are  engaged in the same activities or provide the same services to the same  beneficiaries. While fragmentation, overlap, and duplication are  associated with a range of potential costs and benefits, we include them  in this report only if there may be opportunities to improve how the  government delivers these services.

This report presents 18 new areas of fragmentation, overlap, or  duplication where greater efficiencies or effectiveness in providing  government services may be achievable. The report also highlights 11  other new opportunities for potential cost savings or revenue  enhancements. In addition to these 29 new areas, we identified 88 new  actions related to 10 existing areas presented in our 2011 to 2019 annual  reports.

To identify what actions, if any, exist to address fragmentation, overlap,  and duplication and take advantage of opportunities for cost savings and  enhanced revenues, we reviewed and updated our prior work and  recommendations to identify what additional actions Congress may wish  to consider and agencies may need to take. For example, we used our  prior work identifying leading practices that could help agencies address  challenges associated with interagency coordination and collaboration  and with evaluating performance and results in achieving efficiencies.

To identify the potential financial and other benefits that might result from  actions addressing fragmentation, overlap, or duplication, or taking  advantage of other opportunities for cost savings and enhanced  revenues, we collected and analyzed data on costs and potential savings  to the extent they were available. Estimating the benefits that could result  from addressing these actions was not possible in some cases because  information about the extent and impact of fragmentation, overlap, and  duplication among certain programs was not available.

Further, the financial benefits that can be achieved from addressing  fragmentation, overlap, or duplication or taking advantage of other opportunities for cost savings and enhanced revenues were not always  quantifiable in advance of congressional and executive branch decision- making. In addition, the needed information was not readily available on,  among other things, program performance, the level of funding devoted to  duplicative programs, or the implementation costs and time frames that  might be associated with program consolidations or terminations. As  possible, we used partial data and conservative assumptions to provide  rough estimates of potential savings magnitude, when more precise  estimates were not possible.

Appendix VI provides additional information on the federal programs or  other activities related to the new areas of fragmentation, overlap,  duplication, and cost savings or revenue enhancement discussed in this  report, including budgetary information when available.

We assessed the reliability of any computer-processed data that  materially affected our findings, including cost savings and revenue  enhancement estimates. The steps that we take to assess the reliability of  data vary but are chosen to accomplish the auditing requirement that the  data be sufficiently reliable given the purposes for which they are used in  our products. We review published documentation about the data system  and inspector general or other reviews of the data. We may interview  agency or outside officials to better understand system controls and to  assure ourselves that we understand how the data are produced and any  limitations associated with the data. We may also electronically test the  data to see whether values in the data conform to agency testimony and  documentation regarding valid values, or we may compare data to source  documents. In addition to these steps, we often compare data with other  sources as a way to corroborate our findings. For each new area in this  report, specific information on data reliability is located in the related  products.

We provided drafts of our new area summaries to the relevant agencies  for their review and incorporated these comments as appropriate.

Assessing the Status of Previously Identified Actions

To examine the extent to which Congress and executive branch agencies  have made progress in implementing the 908 actions in the approximately  325 areas we have reported on in previous annual reports on  fragmentation, overlap, and duplication, we reviewed relevant legislation  and agency documents such as budgets, policies, strategic and  implementation plans, guidance, and other information between April  2019 and March 2020.

We also analyzed, to the extent possible, whether financial or other  benefits have been attained, and included this information as appropriate  (see discussion below on the methodology we used to estimate financial  benefits.) In addition, we discussed the implementation status of the  actions with officials at the relevant agencies. Throughout this report, we  present our counts as of March 2020 because that is when we received  our last updates. The progress statements and updates are published on  GAO’s Action Tracker.

We used the following criteria in assessing the status of actions:  In assessing actions suggested for Congress, we applied the following  criteria: “addressed” means relevant legislation has been enacted and  addresses all aspects of the action needed; “partially addressed”  means a relevant bill has passed a committee, the House of  Representatives, or the Senate during the current congressional  session, or relevant legislation has been enacted but only addressed  part of the action needed; and “not addressed” means a bill may have  been introduced but did not pass out of a committee, or no relevant  legislation has been introduced.

Actions suggested for Congress may also move to “addressed” or  “partially addressed” with or without relevant legislation if an executive  branch agency takes steps that address all or part of the action  needed. At the beginning of a new congressional session, we reapply  the criteria. As a result, the status of an action may move from  partially addressed to not addressed if relevant legislation is not  reintroduced from the prior congressional session.

In assessing actions suggested for the executive branch, we applied  the following criteria: “addressed” means implementation of the action  needed has been completed; “partially addressed” means the action  needed is in development or started but not yet completed; and “not  addressed” means the administration, the agencies, or both have  made minimal or no progress toward implementing the action needed.

Since 2011, we have categorized 80 actions as “other” and are no longer  assessing these actions. We categorized 48 “other” actions as  “consolidated or other.” In most cases, “consolidated or other” actions  were replaced or subsumed by new actions based on additional audit  work or other relevant information. We also categorized 32 of the “other”  actions as “closed-not addressed.” Actions are generally “closed-not  addressed” when the action is no longer relevant because of changing  circumstances.

Methodology for Generating Total Financial Benefits Estimates

To calculate the total financial benefits resulting from actions already  taken (addressed or partially addressed) and potential financial benefits  from actions that are not fully addressed, we compiled available estimates  for all of the actions from GAO’s Action Tracker, from 2011 through 2019,  and from reports identified for inclusion in the 2020 annual report, and  linked supporting documentation to those estimates. Each estimate was  reviewed by one of our technical specialists to ensure that estimates were  based on reasonably sound methodologies.

The financial benefits estimates came from a variety of sources, including  our analysis, Congressional Budget Office estimates, individual agencies,  the Joint Committee on Taxation, and others. Because of differences in  time frames, underlying assumptions, quality of data and methodologies  among these individual estimates, any attempt to generate a total will be  associated with uncertainty that limits the precision of this calculation. As  a result, our totals represent a rough estimate of financial benefits, rather  than an exact total.

For actions that have already been taken, individual estimates of realized  financial benefits covered a range of time periods stretching from 2010  through 2029. To calculate the total amount of realized financial benefits  that have already accrued and those that are expected to accrue, we  separated those that accrued from 2010 through 2019 and those  expected to accrue between 2020 and 2029. For individual estimates that  span both periods, we assumed that financial benefits were distributed  evenly over the period of the estimate. For each category, we summed  the individual estimates to generate a total. To account for uncertainty  and imprecision resulting from the differences in individual estimates, we  present these realized savings to the nearest billion dollars, rounded  down.

There is a higher level of uncertainty for estimates of potential financial  benefits that could accrue from actions not yet taken because these  estimates are dependent on whether, how, and when agencies and  Congress take our recommended actions, or due to lack of sufficiently  detailed data to make reliable forecasts. As a result, many estimates of  potential savings are notionally stated using terms like millions, tens of  millions, or billions, to demonstrate a rough magnitude without providing a  more precise estimate.

Further, many of these estimates are not tied to specific time frames for  the same reason. To calculate a total for potential savings, with a  conservative approach, we used the minimum number associated with  each term. To account for the increased uncertainty of potential  estimates and the imprecision resulting from differences among individual  estimates, we calculated potential financial benefits to the nearest $10  billion, rounded down, and presented our results using a notional term.

This report is based upon work we previously conducted in accordance  with generally accepted government auditing standards. Generally  accepted government auditing standards require that we plan and  perform the audit to obtain sufficient, appropriate evidence to provide a  reasonable basis for our findings and conclusions based on our audit  objectives. We believe that the evidence obtained provides a reasonable  basis for our findings and conclusions based on our audit objectives.

Appendix II: New Areas in Which GAO Has Identified Fragmentation, Overlap, or Duplication

This appendix presents 18 new areas in which we found evidence of  fragmentation, overlap, or duplication among federal government  programs.

GAO provided a draft of this report section to DOD for review and  comment. In its response, DOD officials stated that Army Futures  Command is taking the steps necessary to implement GAO’s  recommendations, as reflected above.

Army Modernization: Army Futures Command Should Take Steps to  Improve Small Business Engagement for Research and Development.  GAO-19-511. Washington, D.C.: July 17, 2019.

2. DOD Privatization of Utility Services

GAO provided DOD with a draft of this report section for comment. DOD  provided technical comments, which GAO incorporated as appropriate.

DOD Utilities Privatization: Improved Data Collection and Lessons  Learned Archive Could Help Reduce Time to Award Contracts. GAO-20- 104. Washington, D.C.: April 2, 2020.

GAO provided a draft of this report section to SBA for review and  comment. SBA stated it plans to continue to explore opportunities for  collaboration with USDA and Treasury. SBA also provided technical  comments, which GAO incorporated as appropriate.

SBA Microloan Program: Opportunities Exist to Strengthen Program  Performance Measurement, Collaboration, and Reporting. GAO-20-49.  Washington, D.C.: November 19, 2019.

GAO provided a draft of this report section to FinCEN for review and  comment. In its comments, FinCEN continued to disagree with the  recommendations and stated that no futures industry association had  applied for BSA advisory group membership and that it advised CFTC  staff on the areas that the National Futures Association should include as  part of a request for direct BSA data access. GAO maintains that the  recommendations are both valid, believes that FinCEN advising CFTC is  a good first step, and will continue to monitor the implementation of these  recommendations.

Bank Secrecy Act: Agencies and Financial Institutions Share Information  but Metrics and Feedback Not Regularly Provided. GAO-19-582.  Washington, D.C.: August 27, 2019.

GAO provided a draft of this report section to OMB for review and  comment. OMB did not provide comments on this report section.

DATA Act: Quality of Data Submissions Has Improved but Further Action  Is Needed to Disclose Known Data Limitations. GAO-20-75. Washington,  D.C.: November 8, 2019.

DATA Act: Data Standards Established, but More Complete and Timely  Guidance Is Needed to Ensure Effective Implementation. GAO-16-261.  Washington, D.C.: January 29, 2016.

DATA Act: Progress Made in Initial Implementation but Challenges Must  be Addressed as Efforts Proceed. GAO-15-752T. Washington, D.C.: July  29, 2015.

6. Federal Agencies’ Evidence-Building Activities

GAO provided a draft of this report section to the Office of Management  and Budget (OMB), CNCS, Education, HHS, DOL, and USAID for review  and comment. In its response, HHS provided documentation in February  2020 about the actions it plans to take—as part of its implementation of  the Foundations for Evidence-Based Policymaking Act—to address the  two recommendations directed to it. GAO will monitor HHS’s actions,  which GAO believes would likely address its recommendations, if  effectively implemented. CNCS and DOL informed GAO they had no  comments on this report section. USAID provided technical comments,  which GAO incorporated, as appropriate. OMB and Education did not  provide comments.

Evidence-Based Policymaking: Selected Agencies Coordinate Activities,  but Could Enhance Collaboration. GAO-20-119. Washington, D.C.:  December 4, 2019.

GAO provided a draft of this report section to IRS and DOL for review and  comment. In their March 2020 responses, IRS and DOL stated that they  agreed to formalize collaboration on IRA prohibited transactions. The new  information sharing process will be documented in forthcoming DOL  procedures. In addition, IRS provided technical comments, which GAO  incorporated as appropriate.

Individual Retirement Accounts: IRS Could Better Inform Taxpayers  About and Detect Noncompliance Related to Unconventional Assets,  GAO-20-210. Washington, D.C.: January 27, 2020.

Individual Retirement Accounts: Formalizing Labor’s and IRS’s  Collaborative Efforts Could Strengthen Oversight of Prohibited  Transactions, GAO-19-495. Washington, D.C.: June 7, 2019.

8. IRS Third Party Cybersecurity Practices

GAO provided a draft of this report section to IRS for review and  comment. IRS did not provide comments on this report section.

Taxpayer Information: IRS Needs to Improve Oversight of Third Party  Cybersecurity Practices. GAO-19-340. Washington, D.C.: May 9, 2019.

GAO provided a draft of this report section to IRS for review and  comment. In February 2020, IRS sent GAO a response saying the  agency is working to eliminate conditions that inhibit the agency’s ability  to identify abusive tax schemes by evaluating existing database project  codes to link data across audit divisions and improve the analysis of data  monitoring and mining.

Tax-Law Enforcement: IRS Could Better Leverage Existing Data to  Identify Abusive Schemes Involving Tax-Exempt Entities. GAO-19-491.  Washington, D.C.: September 5, 2019.

10. Public Health and Medical Emergency Response

GAO provided a draft of this report section to the Department of Health  and Human Services (HHS) for review and comment. HHS commented  that ASPR will explore funding opportunities to support an exercise of its  federal patient movement framework with its support agencies. In  addition, HHS officials stated that ASPR would continue to support  interagency liaison officers to provide updates on available resources.  While GAO agrees that HHS should continue this practice, the  misalignment GAO identified underscores that this was not adequate  during the response to Hurricanes Irma and Maria in the U.S. Virgin  Islands and Puerto Rico. Moreover, ASPR officials acknowledged that  more needs to be done to better understand the resources available.  Finally, HHS commented that ASPR has implemented air transportation  contracts to begin decreasing its reliance on DOD. GAO will continue to  monitor the implementation of these recommendations.

Disaster Response:  HHS Should Address Deficiencies Highlighted by  Recent Hurricanes in the U.S. Virgin Islands and Puerto Rico. GAO-19- 592. Washington, D.C.: September 20, 2019.

GAO provided a draft of this report section to VA for review and comment.  VA provided technical comments, which GAO incorporated as  appropriate.

VA Health Care: Veterans’ Use of Long-Term Care Is Increasing, and VA  Faces Challenges in Meeting the Demand. GAO-20-284. Washington,  D.C.: February. 19, 2020.

GAO provided a draft of this report section to Coast Guard, through DHS,  for review and comment. The Coast Guard, through DHS, provided  technical comments, which GAO incorporated as appropriate.

The Coast Guard did not agree with the recommendation in its November  2019 response to GAO’s draft report. At that time, DHS further stated that  GAO’s conclusions illustrate a fundamental misunderstanding of the  corresponding missions of Specialized Forces units. GAO continues to  maintain that overlapping capabilities among units could indicate  inefficiencies in how units are used as well as missed opportunities for  use in others.

In its technical comments provided in March 2020, the Coast Guard  indicated that as of February 2020 it had not conducted the analysis  necessary to fully identify potential overlap among the units. The Coast  Guard stated that it is planning to begin analyzing the units this fiscal  year. In line with GAO’s recommendation to analyze potential overlap in  capabilities, the Coast Guard should include the cost savings of shutting  down a unit from each Specialized Force type and explain the impacts.

Coast Guard: Assessing Deployable Specialized Forces’ Workforce  Needs Could Improve Efficiency and Reduce Potential Overlap or Gaps  in Capabilities. GAO-20-33. Washington, D.C.: November 21, 2019.

13. DHS’s Processes for Apprehended Families

GAO provided a draft of this report section to DHS for review and  comment. DHS provided technical comments, which GAO incorporated  as appropriate.

Southwest Border: Actions Needed to Address Fragmentation in DHS’s  Processes for Apprehended Family Members. GAO-20-274. Washington,  D.C.: Feb. 19, 2020.

14. National Strategy for Transportation Security

GAO provided a draft of this report section to DHS for review and  comment. TSA provided technical comments, which GAO incorporated as  appropriate.

Transportation Security: DHS Should Communicate the National  Strategy’s Alignment with Related Strategies to Guide Federal Efforts.  GAO-20-88. Washington, D.C.: November 19, 2019.

15. Surface Transportation Security Training

GAO provided a draft of this report section to DHS for review and  comment. DHS officials said DHS has taken initial actions to address  GAO’s recommendation, including updating the related Standard  Operating Procedure. GAO believes this is a good first step and will  continue to monitor the implementation of this recommendation.

Surface Transportation: TSA Should Improve Coordination Procedures  for Its Security Training Program. GAO-20-185. Washington, D.C.:  November 20, 2019.

GAO provided a draft of this report section to State for review and  comment. In its February 2020 response, State did not comment  specifically on whether it agreed with GAO’s revised recommendation.  However, it reiterated its disagreement with aspects of the underlying  GAO report’s objectives, scope, and methodology. GAO addressed this  disagreement in detail in its report and maintains that GAO’s approach  provided a reliable and reasonably comprehensive review of the results of  U.S. assistance to the Northern Triangle toward achieving key U.S.  objectives set forth in the Strategy.

U.S. Assistance to Central America: Department of State Should  Establish a Comprehensive Plan to Assess Progress toward Prosperity,  Governance, and Security. GAO-19-590. Washington, D.C.: September  26, 2019.

17. Public Access to Federally Funded Research Results

GAO provided a draft of this report section to Defense, Energy, and the  Departments of Commerce (for the National Oceanic and Atmospheric  Administration) and Health and Human Services (for the National  Institutes of Health), as well as the National Science Foundation and  OSTP for review and comment. The National Institutes of Health and the  National Science Foundation provided technical comments, which GAO  incorporated as appropriate. OSTP said it had no further comments, and  the National Oceanic and Atmospheric Administration, Defense, and  Energy did not provide comments.

Federal Research: Additional Actions Needed to Improve Public Access  to Research Results. GAO-20-81. Washington, D.C.: November 21, 2019.

GAO provided a draft of this report section to USDA for review and  comment. USDA officials took issue with the characterization of their  nutrition education efforts as fragmented, stating that coordination must  consider the legislative authority each program has to deliver nutrition  education to meet the needs of program target populations and  audiences. GAO agrees that a consideration of each program’s legislative  authority is important. However, GAO believes that USDA could address  the fragmentation GAO identified, which refers to the involvement of  multiple USDA agencies and programs in administering the department’s  nutrition education efforts, consistent with a consideration of program  authority.

USDA officials continue to agree that the department needs to improve  coordination of its nutrition education efforts. USDA officials described  initial actions the department has taken to address GAO’s  recommendation, including establishing a nutrition education working  group that represents agencies across the department and planning an  intradepartmental workshop that will include a focus on nutrition  education. In addition, USDA issued the USDA Science Blueprint to  outline the department’s nutrition science implementation strategies and  nutrition and health promotion objectives.

GAO will continue to monitor implementation of this recommendation.  Further, GAO will monitor the role of the nutrition education working group  going forward and consider the extent to which it provides cross- department leadership for USDA’s nutrition education efforts.

Nutrition Education: USDA Actions Needed to Assess Effectiveness,  Coordinate Programs, and Leverage Expertise. GAO-19-572.  Washington, D.C.: July 25, 2019.

Appendix III: New Areas in Which GAO Has Identified Other Cost Savings or Revenue Enhancement Opportunities

This appendix summarizes 11 new areas for Congress or executive  branch agencies to consider taking action that could either reduce the  cost of government operations or enhance revenue collections for the  Treasury.

19. Defense Agencies and DOD Field Activities Reform

GAO provided a draft of this report section to DOD for review and  comment. DOD commented that the department will continue to work on  improving its monitoring and evaluation of its efficiency and reform  initiatives.

DOD Needs to Address Inefficiencies and Implement Reform across Its  Defense Agencies and DOD Field Activities. GAO-18-592. Washington,  D.C.: September 6, 2018.

GAO provided a draft of this section to the DOD for review and comment.  DOD did not provide comments on this report section.

Depot Maintenance: DOD Should Adopt a Metric That Provides Quality  Information on Funded Unfinished Work. GAO-19-452. Washington, D.C.:  July 26, 2019.

21. Ginnie Mae’s Mortgage-Backed Securities Program

GAO provided a draft of this report section to Ginnie Mae for review and  comment. Ginnie Mae did not have any comments on the draft but noted  that it is working diligently on the recommendations.

Ginnie Mae: Risk Management and Staffing-Related Challenges Need to  Be Addressed. GAO-19-191. Washington, D.C.: April 3, 2019.

Agency Comments and GAO’s Evaluation Related GAO Product

GAO provided a draft of this report section to IRS for review and  comment. IRS’s technical comments were incorporated above.

Tax Debt Collection Contracts: IRS Analysis Could Help Improve  Program Results and Better Protect Taxpayers. GAO-19-193.  Washington, D.C.: March 29, 2019.

23. Virtual Currency Tax Information Reporting

GAO provided a draft of this report section to IRS for review and  comment. In its response, IRS stated that it is working with Treasury on  guidance to address third-party reporting on certain taxable transactions  involving virtual currency. GAO will review this guidance when it is  available.

Virtual Currencies: Additional Information Reporting and Clarified  Guidance Could Improve Tax Compliance. GAO-20-188. Washington,  D.C: February 12, 2020.

GAO provided a draft of this report section to CMS for review and  comment. In its written comments, CMS provided an update on its actions  to address the first recommendation, which GAO incorporated. CMS did  not provide information on the second recommendation. GAO will  continue to monitor CMS’s implementation of these recommendations.

Medicaid Providers: CMS Oversight Should Ensure State Implementation  of Screening and Enrollment Requirements. GAO-20-8. Washington,  D.C.: October 10, 2019.

25. VA Allocation of Health Care Funding

GAO provided a draft of this report section to VA for review and comment.  VA did not provide comments on this report section.

Veterans Health Care: VA Needs to Improve Its Allocation and Monitoring  of Funding. GAO-19-670. Washington, D.C.: September 23, 2019.

GAO provided a draft of this report section to DOD for review and  comment. DOD explained that current policy allows and encourages the  use of open source software where it meets agency needs. In addition,  DOD stated that GAO’s recommendations focus on DOD's role as a  producer, rather than as a consumer, of open source software. A DOD  official explained that it is not reasonable to conclude that the projected  savings will result from the implementation of GAO’s recommendations.  However, DOD entities can consume open source software that other  DOD entities produce. GAO maintains that this very consumption of open  source software developed elsewhere in DOD could reduce development  costs and potentially produce overall cost savings.

Information Technology: DOD Needs to Fully Implement Program for  Piloting Open Source Software. GAO-19-457. Washington, D.C.:  September 10, 2019.

27. DOD Oversight of Foreign Reimbursements

GAO provided a draft of this report section to DOD for review and  comment. DOD did not provide comments on this report section.

Defense Logistics Agreement: DOD Should Improve Oversight and Seek  Payment from Foreign Partners for Thousands of Orders It Identifies as  Overdue. GAO-20-309. Washington, D.C.: March 4, 2020.

GAO provided a draft of this report section to CBP for review and  comment. CBP provided technical comments, which GAO incorporated,  as appropriate.

Customs and Border Protection: Risk Management for Tariff Refunds  Should Be Improved. GAO-20-182. Washington, D.C.: December 17,  2019.

29. Student Loan Income-Driven Repayment Plans

GAO provided a draft of this report section to Education for review and  comment. Education provided technical comments, which GAO  incorporated.

Federal Student Loans: Education Needs to Verify Borrowers’ Information  for Income-Driven Repayment Plans. GAO-19-347. Washington, D.C.:  June 25, 2019.

Appendix IV: New Actions Added to Existing Areas

We are adding 88 new actions based on GAO reports that fall within the  scope of 10 existing areas identified in prior annual reports.

In March 2020, GAO identified 12 actions for the Navy  to improve its acquisition practices and ensure ships  can be efficiently sustained, potentially saving billions  of dollars. addressed, one action has  been partially addressed, and  one action has not been  addressed.

See the Action Tracker for  more information.

GAO reported in March 2020 on challenges identifying, evaluating, and mitigating ship sustainment risks during the acquisition process for  every new warship class—such as aircraft carriers and submarines—that, if fixed, could save billions of dollars. GAO found 150 examples  of systemic maintenance problems, such as failed engines and non-functional plumbing. To correct just 30 percent of these problems,  GAO found that it would cost the Navy $4.2 billion. Many of these problems could have been prevented with some attention to future  maintenance concerns when designing and building the ships. GAO also found that the Navy underestimated the costs to maintain some  ships by $130 billion. GAO made 11 recommendations to help the Navy focus on maintenance earlier and one suggestion to Congress to  enhance oversight.

New Actions: GAO recommended in March 2020 that the Department of Defense (DOD) improve its policy for setting sustainment  requirements and the Navy then revisit its requirements to comply with the new policy. GAO also recommended that DOD and the Navy  take steps to improve sustainment in the acquisition process. GAO also asked Congress to consider developing an oversight mechanism  for evaluating shipbuilding programs sustainment cost estimate growth during the acquisition process.  While GAO cannot precisely  estimate the financial benefits from these actions, if the Navy could eliminate some of the sustainment problems and even 1 percent of the  maintenance cost growth GAO identified, it could amount to billions of dollars in savings.

Agency Comments and GAO’s Evaluation: DOD agreed with eight and partially agreed with three recommendations. GAO provided a  draft of this report section to DOD for comment. DOD provided technical comments, which GAO incorporated as appropriate.

In September 2019, GAO identified two new actions to  improve the Department of the Interior’s valuations of  offshore oil and gas resources, each of which could  increase the amount of revenue collected by tens of  millions of dollars annually. partially addressed, and two  actions have not been  addressed.

Production of oil and gas in federal waters generated about $90 billion in revenue from 2006 through 2018 including from industry bids for  leasing rights. However, GAO found that the Department of the Interior’s (Interior) Bureau of Ocean Energy Management (BOEM)  undervalues federal offshore oil and gas resources, leading it to collect less bid revenue than it otherwise would. Specifically, the bureau  (1) forecast unreasonably high levels of depreciation on lease value between lease sales, which lowered bid revenue by about $873  million from March 2000 through June 2018; and (2) adjusted some valuations downward to justify accepting bids, which lowered bid  revenue by about $567 million over the same time period.

New Actions: The bureau Director should (1) enlist an independent third party to examine the extent to which the bureau's depreciation  forecasts assure the receipt of fair market value, and make changes as appropriate; and (2) take steps to ensure that the bureau’s bid  valuation process is not biased toward adjusting valuations downward. In its comments on the report, Interior disagreed with the first  recommendation and partially agreed with the second, disagreeing with GAO’s characterization of BOEM’s delayed valuations and  valuation process, respectively. GAO maintains that taking each of the recommended actions would better ensure a fair return on the sale  of offshore oil and gas leases by better ensuring BOEM’s thresholds for accepting bids are sound and unbiased.

Agency Comments and GAO’s Evaluation: GAO provided a draft of this report section to Interior for review and comment. In its March  2020 response, Interior indicated that (1) although it disagrees with the first recommendation, it will conduct an in-house review and have  it peer-reviewed; and (2) it now agrees with the second recommendation.

In April 2019, GAO identified two actions the U.S.  Army Corps of Engineers and U.S. Coast Guard can  take to improve fragmented interagency coordination  of lessons learned following disasters. and two actions have been  partially addressed.

See the Action Tracker for more  information.

GAO found that the U.S. Army Corps of Engineers (USACE) and U.S. Coast Guard (USCG) had fragmented approaches to identifying  interagency challenges and lessons learned related to disaster contracting, resulting in these findings not being communicated to the  Federal Emergency Management Agency’s (FEMA) Emergency Support Function Leadership Group—the group tasked with identifying  interagency lessons learned following disasters. FEMA officials stated that it is up to each agency to elevate issues to the group; however,  GAO found that neither USACE nor USCG had formal processes for doing so. Identifying and communicating lessons learned would help  better manage fragmentation and enhance agencies’ abilities to address weaknesses in disaster response.

New Actions: To help address fragmentation and ensure that challenges are communicated across departments, GAO recommended in  April 2019 that the Secretary of the Army should direct the Commanding General of USACE to, and that the Commandant of USCG  should, establish formal processes to solicit input from officials directly involved in the agencies' response and recovery following a  disaster and to share that input with the Emergency Support Function Leadership Group.

Agency Comments and GAO’s Evaluation:  USACE and USCG concurred with GAO’s recommendations and planned to implement  them this year. GAO provided a draft of this report section to USACE and USCG for review and comment. USCG said it is reviewing  lessons learned and the after-action reporting process to update its policy. USACE indicated it updated its guidance to incorporate specific  steps to communicate lessons learned with FEMA’s Emergency Support Function Leadership Group and that the guidance would be  finalized spring 2020. GAO will continue to monitor the implementation of these recommendations.

In March 2020, GAO identified a new action to  improve the Department of Housing and Urban  Development’s working capital fund and better  position it to achieve over $1 million in previously  identified potential annual savings.

Three actions have not been  addressed, and one action has  been partially addressed.

Housing and Urban Development’s (HUD) Working Capital Fund (WCF) provides a mechanism to centralize and fund federal shared  services used across offices and agencies within HUD. One of the WCF’s goals is to support the efficient delivery of goods and services.  GAO found that HUD does not assess the results of the WCF’s business process analyses, which are used to identify opportunities for  efficiencies. For example, these analyses identified actionable ways to reduce high volumes of transactions for certain services, such as  calls to help desks to manually reset passwords, which contribute to increased costs. Assessing the results of these analyses would help  HUD better understand how the WCF’s efforts contribute to its goal.

New Action: GAO recommended that the Secretary of HUD, in conjunction with the Office of the Chief Financial Officer, should ensure  that the results of the business process analyses are assessed to better determine how these analyses contribute to its goal of efficient  delivery of goods and services. While GAO cannot estimate the potential savings that would result, taking this action could help the WCF  achieve over $1 million in potential annual savings already identified by WCF recommendations and to identify additional potential  savings.

Agency Comments and GAO’s Evaluation: GAO provided a draft of this report section to HUD for review and comment. HUD agreed  and said it would address this recommendation in 2020, including adding the results of the business process analyses to its performance  measures.

In June 2019, GAO identified a new action that could  improve oversight of disaster relief funds and long- standing problems of improper payments, which could  result in significant cost savings. consolidated, one action has been partially addressed, and two actions have not been addressed.

See the Action Tracker for more information.

Agencies must distribute disaster relief aid quickly following hurricanes, wildfires, or other natural disasters, but quickly spending billions of  dollars can increase the risk of improper payments. In June 2019, GAO reported that one of six selected agencies did not submit required  internal control plans to Congress for funds appropriated following the 2017 disasters. Of the five agencies that did submit the required  plans, four were not timely and all lacked necessary information, such as how they met Office of Management and Budget (OMB)  guidance and federal internal control standards. These issues were caused, in part, because OMB lacked an effective strategy for helping  agencies develop internal control plans for overseeing these funds.

New Action: GAO recommended in June 2019 that the Director of OMB, after consulting with key stakeholders, should develop a  strategy for ensuring that agencies communicate sufficient and timely internal control plans for effective oversight of disaster relief funds.

Agency Comments and GAO’s Evaluation: OMB disagreed with this recommendation and stated that it does not believe timeliness and  sufficiency of internal control plans present material issues that warranted OMB action; however, GAO continues to believe that future  internal control plans could serve as a critical transparency tool for controls over disaster funds. GAO provided a draft of this report  section to OMB for review and comment. In its response, OMB continued to disagree that this recommendation is needed. GAO believes  this action is needed for oversight of disaster funds.

In January 2020, GAO identified three new actions to  help the Internal Revenue Service prevent refund  fraud associated with identity theft. If implemented,  these actions could potentially save millions of  dollars. more information.

Business identity theft refund fraud (business IDT) occurs when thieves create, use, or try to use a business’ identifying information to  claim a tax refund. Between January 2017 and August 2019, the Internal Revenue Service’s (IRS) fraud detection tools helped prevent  $384 million from being paid to fraudsters. However, GAO found IRS could do more to combat business IDT. In January 2020, GAO found  that, inconsistent with leading practices, IRS had not designated an entity to design and oversee business IDT fraud risk management  efforts, conducted a fraud risk assessment, or developed a fraud risk profile to document the results of its risk assessment. Addressing  these issues could help IRS identify and implement more effective controls to detect and prevent business IDT. While GAO cannot  precisely estimate the financial benefits associated with this action, even a 1 percent increase in fraud prevention could amount to millions  in financial benefits.

New Actions: In January 2020, GAO recommended that consistent with leading practices, IRS (1) designate a dedicated entity to  oversee agency-wide business IDT efforts; (2) develop a fraud risk profile for business IDT; and (3) document and implement a strategy  for addressing fraud risks identified in its fraud risk profile.

Agency Comments and GAO’s Evaluation: GAO provided a draft of the January 2020 report to IRS for review and comment. IRS  generally agreed, but did not provide details on the actions it plans to take to address these recommendations. IRS also did not provide  comments on this report section.

In January 2020, GAO identified a new action to help  the Department of Veterans Affairs assess duplication  in its medical supply program. partially addressed.

See the Action Tracker for  more information.

In January 2020, GAO found that the Medical Surgical Prime Vendor program duplicates parts of the Department of Veterans Affairs (VA)  Federal Supply Schedule program. VA spends billions of dollars annually on procurement of medical supplies to support care for veterans  at its 170 medical centers but has not assessed whether its efforts are duplicative. VA procures medical supplies through both its own  Medical Surgical Prime Vendor program and through the Federal Supply Schedule program—a government-wide program, parts of which  the General Services Administration has long delegated to VA. However, VA has not assessed whether duplication across these  programs is necessary or if efficiencies could be gained. GAO cannot estimate the savings that might be associated with this action  because such savings will be dependent on whether, when, and how VA takes action.

New Action: GAO recommended that the Secretary of Veterans Affairs should take steps to assess duplication between VA’s Medical- Surgical Prime Vendor and Federal Supply Schedule programs to determine if this duplication is necessary or if efficiencies can be  gained.

Agency Comments and GAO’s Evaluation: VA agreed with this recommendation. GAO provided a draft of this report section to VA for  review and comment. VA provided technical comments which GAO incorporated as appropriate.

In November 2019, GAO identified two new actions to  help reduce the risk of duplicate funding in emergency  relief assistance for transit agencies. addressed, two actions have  been partially addressed, and  one action has not been  addressed.

In 2017, Hurricanes Harvey, Irma, and Maria caused hundreds of millions of dollars in damage to U.S. public transit facilities. Both the  Federal Transit Administration (FTA) and the Federal Emergency Management Agency (FEMA) have the authority to provide disaster  assistance funding to transit agencies, but FTA has primary responsibility if it receives an appropriation from Congress for its Public  Transportation Emergency Relief program. FTA did not receive an appropriation until roughly 6 months after the first hurricane’s landfall,  thus transit agencies could initially apply to FEMA for assistance. In November 2019, GAO found that although FTA and FEMA  coordinated efforts, both agencies still approved about $35,000 to one applicant for the same expenses in 2019. While the amount of  funding in question was relatively small, without addressing the challenge of identifying transit expenses in FEMA applications, FTA and  FEMA will continue to face the risk that both agencies will approve funding for the same expense in the future.

New Actions: GAO recommended in November 2019 that FTA and FEMA identify and develop controls, such as methods to more easily  identify transit expenses within applications FEMA receives, to address the risk of duplicate funding.

Agency Comments and GAO’s Evaluation: The Department of Transportation (DOT) and the Department of Homeland Security (DHS)  agreed with this recommendation and outlined steps they plan to take to address it. GAO provided a draft of this report section to DOT  and DHS for review and comment. DOT said it did not have comments on this report section. DHS provided technical comments, which  GAO incorporated as appropriate.

In April 2019, GAO identified 28 new actions to help  agencies save millions of dollars through better  planning and implementation of cloud-based computing  solutions.

See the Action Tracker for more information including applicable agencies.

Beginning in 2012, federal agencies were required to assess all IT investments for cloud computing services, and from 2014 to 2018,  agencies reported $291 million in cloud-related savings. For example, agencies reported saving as much as $15 million migrating email  systems to cloud services. However, GAO reported that 12 of the 16 agencies reviewed had not completed their assessments and that  savings data were unavailable for 84 percent of the 488 cloud investments reviewed. Improving the assessment of investments for cloud  services and tracking related savings can help agencies make better decisions regarding cloud acquisitions and potentially save millions  of dollars from implementing cloud services.

New actions: GAO made 28 recommendations in April 2019 to all 16 agencies, including that (1) 12 agencies should complete an  assessment of all of their IT investments for suitability for migration to a cloud computing service, in accordance with OMB guidance; and  (2) 16 agencies should ensure that their respective Chief Information Officers establish a consistent and repeatable mechanism to track savings and cost avoidances from the migration and deployment of cloud services. Fourteen agencies agreed with all recommendations, the Department of the Treasury neither agreed nor disagreed, and the Department of Defense agreed with the recommendation on completing assessments, but not with the recommendation on tracking savings.

Agency comments and GAO’s evaluation: GAO provided a draft of this report section to the 16 agencies for review and comment. One  agency agreed, 13 agencies had no comments, and two neither agreed nor disagreed. Additionally, seven of the 16 agencies are taking  actions to address GAO’s recommendations.

In April 2019, GAO identified 36 new actions to help  federal agencies meet the Office of Management and  Budget’s data center consolidation and optimization  goals, resulting potentially in hundreds of millions of  dollars in savings. original two actions in this area.

See the Action Tracker for more information.

Federal agencies operate thousands of data centers and, since 2010, have been required to close unneeded facilities and improve the  performance of the remaining centers. This effort is currently known as the Data Center Optimization Initiative (DCOI). Since 2010,  agencies have closed 6,250 centers and reported $4.2 billion in savings. However, only two of 24 agencies in GAO’s review planned to  fully meet the Office of Management and Budget’s (OMB) September 2018 government-wide optimization goals, such as determining how  much time data servers sit unused and how effectively data centers use power.

New actions: GAO made 36 recommendations in April 2019 to 22 of the 24 agencies in its review, including that (1) 11 agencies should  meet DCOI’s data center closure targets; (2) four agencies should meet DCOI’s data center-related cost savings targets and one should  identify additional cost savings opportunities; and (3) 20 agencies should meet DCOI’s data center optimization metric targets. While GAO  cannot precisely estimate the potential savings of taking these actions, combined estimates from agencies for similar prior actions  exceeded $100 million per year, suggesting potential for hundreds of millions of dollars in additional savings over time. In June 2019,  OMB significantly revised DCOI’s goals and performance measures and GAO continues to monitor agencies’ progress against these new  targets.

Agency comments and GAO’s evaluation: GAO provided a draft of this report section to 22 agencies for review and comment. Two  agencies agreed, seven neither agreed nor disagreed, and 13 agencies had no comments. Additionally, two agencies have taken action  to fully address the recommendations and the remaining 20 agencies are taking actions to address GAO’s recommendations.

In our 2011 to 2020 annual reports, we directed 110 actions to Congress,  of which 58 remain open. Thirty-five have been addressed and 17 were  closed as not addressed or consolidated. Of the 58 open congressional  actions, 15 are partially addressed and 43 are not addressed, as of March  2020 (see figure 10).

The tables below have more information on the 58 open congressional  actions. Our Action Tracker downloadable spreadsheet (available in  XLSX or CSV formats) has information on all actions.

Appendix VI: Additional Information on Programs Identified

This appendix provides additional information on the federal programs or  other activities related to the new areas of fragmentation, overlap,  duplication, cost savings, or revenue enhancement discussed in this  report, including budgetary information when available. “Programs” may  include grants, initiatives, centers, loans, and other types of assistance or  projects.

This information can provide useful context for the issues we identified,  but limitations should be noted. It is not always possible to report  budgetary information at the specific program or activity level because  agency budgets are not organized by programs, but rather by  appropriations accounts. In those instances, we reported the most reliable  and available data for the most recent fiscal year or we did not report  budgetary information. Further, because this report discusses various  programs or activities, each table may report different types of budgetary  information, such as obligations, collections, or outlays.

Because of the limitations described above, the budgetary information  reported in this appendix should not be totaled and does not represent  potential cost savings for all programs.

Each year, GAO identifies and reports on federal agency programs with fragmented, overlapping, or duplicative goals or activities and ways to reduce costs or enhance revenue.

Our 10th annual report identifies 168 new actions that Congress and agencies could take to improve operations. For example, the U.S. Navy could save billions of dollars by improving how it acquires and sustains its ships.

Agencies have made significant progress fully or partially addressing many of the over 900 actions we identified in the past decade—leading to about $429 billion in financial benefits. Addressing remaining actions could save tens of billions more dollars.