| Budget and Performance Integration |
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Accountability The Key Goal Of The Subcommittee’s Work
In the following article, the Subcommittee on Financial Management, Government Information and International Security outlines six guideline principles for accountability in government. Transparency, results, competition, priority setting, responsiveness and spending discipline are the principles described on the subcommittee’s website. The site mentions that “accountability means that an agency or program measurably achieves the mission it was created to achieve, in a cost-effective, efficient, and open manner.” Access the page from the link below. http://coburn.senate.gov/ffm/index.cfm?FuseAction=AboutUs.Home
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Program Evaluation and Performance Auditing
Government program managers are constantly being held accountable for demonstrating program performance, so it is increasingly important that these managers effectively communicate program goals, outputs and measures as indicators for success. Effective performance management not only relies on the clarity of performance goals and measures, but also on the quality of the supporting information. When developing effective performance measures, a system must be in place to assess the validity and reliability of your performance information. To gain insight into the latest trends, innovations and implementation strategies, we invite you to join us at The 2006 National Summit on Program Evaluation and Performance Auditing on September 12-15, 2006 in Arlington, VA. To learn more, please visit /CENTERS/GPM/Events/P535/P535.htm
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Government Budget
Budgeting for results is a phrase that should be on every government executive’s mind, from linking performance information to the budget to measuring and achieving cost efficiencies. However, many federal, state and local government managers are still unaware of how to link performance information to the budget, how to measure cost efficiencies, how to calculate the full cost per unit service and how the budget process actually operates. Without this key information, you will not be able to understand the true essence of performance management and how it is tied to the budget process. To read more, click here: /CENTERS/FM/Events/P548/P548.htm
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Manager: PART Demands More from Federal Programs
In a recent article, Elizabeth Cotsworth, the Director of the Office of Radiation and Indoor Air at the Environmental Protection Agency, stated that the PART was very helpful in improving her program’s strategic planning and performance management. Cotsworth acknowledged that undergoing a PART review was not an enjoyable process, but the results are already evident. Her program now has goals outlined to year 2012 when before they were not as clearly defined. For more information click the link below.
http://www.fcw.com/article95222-07-11-06-Web&newsletter%3Dyes
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Congress Faces Time Crunch on Spending Bills
Congress faces fewer than 40 legislative days to complete a large number of budget and spending bills scheduled for completion by the end of the fiscal year. According to a recent article, “this crunch is so severe, Senate leaders are considering attaching a continuing resolution to the fiscal 2007 Defense spending bill.” Adding the resolution to the Defense spending bill shows that Congress is committed to leaving Washington on time to begin a period of campaigning scheduled for the fall season. Click the following link for more information. http://www.govexec.com/story_page.cfm?articleid=34513&dcn=e_gvet
| Improved Financial Management |
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Platts: Financial Management Business Line Needs Clear Rules
Rep. Todd Platts (R-Pa.), Chairman of the House Government Reform Committee’s Government Management, Finance and Accountability Subcommittee describes in the following article how federal agencies still have questions on the guidelines for using shared service centers for financial management. Based upon the PMA, OMB intends for financial management to be concentrated in these shared service centers, where one service provider handles financial management for several agencies in order to reduce costs. According to Rep. Platts, there is still a need for “a clear understanding of the process of how you become an approved shared service center. The new business line has too many gray areas.” Read more by clicking the following link.
http://www.fcw.com/article95099-06-29-06-Web&newsletter%3Dyes
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Steps Taken to Improve Federal Oversight but Other Actions Needed to Sustain Efforts
The Centers for Medicare and Medicaid (CMS) have implemented several measures to improve Medicaid financial management. CMS hired 90 funding specialists to address inappropriately increased federal costs and high-risk state funding practices. CMS created guidelines to ensure greater financial management accountability. The Performance Institute recognizes the progress of CMS, but still sees room for improvement. CMS has still failed to implement risk management techniques to ensure maximum efficiency with financial interactions. In addition, CMS still has no strategic plan for its Medicaid financial management activities. Read the following GAO report for more information.
http://www.gao.gov/highlights/d06705high.pdf
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House Calls for Single Grants Database
The House has passed legislation to establish a public database for tracking federal grants, a move that advocates say will bring a new level of transparency to the government grant-making process. The Performance Institute acknowledges the actions of the House as critical for making the government more transparent and accountable to the taxpayer. The bill, HR 5060, requires the government to post such information as to whom a grant was awarded, a breakdown of assistance by agency and program source, all awards a grantee has received over the past 10 years and a list of dates and amounts of federal financial assistance the grantee has received. To read more about this bill, please check out the following link http://www.gcn.com/print/25_19/41253-1.html?topic=e_gov
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Expedited Assistance for Victims of Hurricanes Katrina and Rita: FEMA's Control Weaknesses Exposed the Government to Significant Fraud and Abuse
The following two reports show that the disaster of Hurricane Katrina encompassed more than the Gulf Coast. The first report shows that the federal government did not have the proper controls in place to prevent fraud and abuse during the aftermath of Hurricane Katrina. Applications for expedited assistance did not have effective verification methods to ensure the identity of the applicant. People wanting to capitalize on the government’s vulnerability were able to use false addresses, fake names and even non-existent social security numbers. The second article goes into more detail about the actual dollars lost by the federal government. According to the report, “FEMA made about 16 percent or $1 billion in improper and potentially fraudulent payments to registrants who used invalid information to apply for disaster assistance.” Click on the following links to read more about the tragedy of Katrina’s aftermath.
http://www.gao.gov/docdblite/details.php?rptno=GAO-06-655
http://www.gao.gov/docdblite/details.php?rptno=GAO-06-844T
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On Right and Left, a Push for Government Openness:
Oklahoma Senator, Tom Coburn is pushing a bipartisan effort to expand transparency for federal government financial management. Coburn’s tentative plan would be to create an internet searchable database that would expose all federal grants and contracts. Coburn suggests that creating this kind of openness in government finances will alert the public to wasteful spending. The Performance Institute acknowledges Coburn’s effort as critical in the fight to create more transparency and accountability in government. Click the following link to read the full article.
http://www.nytimes.com/2006/07/03/washington/03cyber.html?ex=1152763200&en=69a7144e8e4cb662&ei=5070&emc=eta1
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Superfund: Better Financial Assurances and More Effective Implementation of Institutional Controls Are Needed to Protect the Public
The following GAO report summarizes the need for EPA Superfund reform. Under the current plan, there are few internal controls to ensure company accountability for waste clean-up. GAO recommended that the EPA implement the following measures: implement a financial assurance mandate for businesses handling hazardous substances, enhance its oversight and enforcement of existing financial assurances and authorities, and ensure that controls reported in new tracking systems accurately reflects actual conditions. Click the following link to read more. http://www.gao.gov/docdblite/details.php?rptno=GAO-06-900T
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Defense Working Capital Fund: Military Services Did Not Calculate and Report Carryover Amounts Correctly
A recent report shows that the several military services calculated carryover amounts incorrectly. According to the Department of Defense’s fiscal year 2006 budget estimates, approximately $6.3billion of funded work needed to be carried over from 2006 to 2007. There had been some speculation that certain military services had not followed the DOD carryover procedures outlined in 2002. The following report details the GAO’s findings as to why such calculation mistakes were made. http://www.gao.gov/docdblite/details.php?rptno=GAO-06-530
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Department of Energy, Office of Worker Advocacy: Deficient Controls Led to Millions of Dollars in Improper and Questionable Payments to Contractors
The Department of Energy’s Office of Worker Advocacy failed to establish proper controls to regulate payments to contractors. The office had no way of ensuring that the goods and services bills had actually been received by the Department of Energy. In addition, the lack of controls made the office susceptible to improper payments. GAO identified $26.4 million in improper or questionable payments for contracting costs. To read more on the topic click the link below.
http://www.gao.gov/docdblite/details.php?rptno=GAO-06-547
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Farm Program Pays $1.3 Billion to People Who Don't Farm
An agriculture program that began about 10 years ago to help eliminate the costly old farm subsidies has now ballooned into an even less efficient and wasteful program.. The program provides annual subsidies to people who own land that was at one time used to harvest agricultural goods. Ten years later, much of this land is no longer used for farming, but the landowners still receive the subsidies. When some landowners have tried to return the money in recent years, the federal government turns them away saying the money will just be passed on to others in the same situation. As a result, over $1billion has been wasted over this program.
http://www.washingtonpost.com/wp-dyn/content/article/2006/07/01/AR2006070100962.html
| Strategic Management of Human Capital |
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OPM Finally Gets Rolling on a New Retirement System
In May, the Office of Personnel Management (OPM) announced that within four years, it would be able to give their employees the ability to alter their benefits and plan for retirement the way that most private companies already utilize. This technology will allow employees to plan for their retirement and use web tools to access “what if” scenarios that will give them various options. Not only is this beneficial to individual employees who will no longer have to wait for their pension and benefits to be calculated upon retirement, but the new system will prove to be more accurate. To read more, please visit
http://www.gcn.com/print/25_12/40755-1.html?topic=workforce
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Panel Agrees OMB Needs Official Dedicated To Acquisition Workforce
A federal acquisition advisory panel has agreed on recommendations to address under-capacity in the acquisition workforce, and a suggestion that the Office of Management and Budget create a new, senior-level position to oversee acquisition workforce policy issues. Carl DeMaio, President of the Performance Institute and a member on the advisory panel suggested that aggressive action needed to be taken soon. To find out more about this draft recommendation, please visit http://www.govexec.com/story_page.cfm?articleid=34559&sid=5
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Government HR Innovations
Recruiting and fostering talent is one of the most vital roles that human resources professionals assume. Getting the right people, in the right job and rewarding them in the right way is imperative. Individual employee success plays a major role in agency effectiveness. Rather than relying on salary alone to motivate workers, managers must implement new and interesting ways to reward employees, whether through training, employee development, leadership opportunities or increased workplace flexibilities. Effective rewards are not limited to bonuses and pay increases. HR Innovations 2006 will provide you with the opportunity to brainstorm and discuss new ways of fostering and rewarding dedicated employees and maintaining the government’s status as an “Employer of Choice.” HR Innovations 2006 offers you and your team the opportunity to master new approaches to federal, state and local human resources management and to deliver improved and tangible results. Ensure your agency is well represented at this timely event by registering your team today! Call 703-894-0481 or visit us online at www.HRInnovations.org.
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Succession Planning
On July 13, The Performance Institute hosted a day-long training on succession planning, as part of Human Capital Management Week. With the greatest number of federal employees in the age range of 50-54, the need for succession planning in the federal workforce has never been greater. HR managers in the federal government are recognizing that they will have to work to recruit, but also retain young workers, who grew up in the age of the Internet and for the most part, do not plan to spend their entire career in one agency. To read the entire article, please visit
http://www.governmentleader.com/issues/1_7/features/151-1.html
| Acquisition and Sourcing |
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Panel Aims to Increase Competition for Services Contracts
A federal acquisition advisory panel has approved preliminary recommendations to establish a new General Services Administration professional services schedule, require public notification when agencies award large sole-source contracts and allow protests of large task orders under multiple award contracts. The Services Acquisition Reform Act Advisory Committee, a group created by the 2004 Defense Authorization Act, provisionally agreed on the recommendations Monday and Tuesday. These and other suggestions will be included in a report the panel expects to release in October. To read more, please go to http://www.govexec.com/story_page.cfm?articleid=34625&dcn=todaysnews
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Acquisition Councils Finalize EVM Rule
Federal Acquisition Officials finalized the new Earned Value Measure rule as The Performance Institute prepares to launch two trainings and a webinar in August on EVM. Be sure your agency understands how this rule will affect them by checking out our upcoming events page. The rule, which was effective in July, details how agencies should implement an earned-value management system for managing major acquisitions. To read more of this story, click here http://www.gcn.com/online/vol1_no1/41240-1.html
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| Expanded E-Government |
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Slow March Toward Online Government
The Performance Institute has strongly supported the efforts to make government more accountable and efficient to tax payers through the process of E-Government. However, this innovation, according to the latest GAO Report, says that the reason E-Gov is on a rocky path is due to a decrease in funding. However, as this article points out, CIO’s are eager to further e-government and harness its benefits. To read more click here, http://www.cio.com/archive/070104/tl_egov.html
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The Clinger-Cohen Act, 10 Years Later: Measuring Efficiency
One of the driving mandates of IT Project Management is the Clinger-Cohen which in 1996 changed the way the federal government approached both buying and managing information technology. As the Performance Institute works to reform government agencies through our core principles of performance, competition, accountability, and transparency; Clinger-Cohen created accountability for IT purchases and performance by requiring that each agency appoint a chief information officer. For a look back at Clinger-Cohen and how it has evolved over the past ten years, please check out the story at http://www.govexec.com/story_page.cfm?articleid=34576&dcn=todaysnews
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No one-size-fits-all approach for EVM
New FAR rule allows agencies to tailor their IT project management policies
Being the nation’s leading authority and repository on performance based management practices for government; the Performance Institute can help your agency with proven strategies and techniques to get the most out of EVM for your agency. A new rule issued July 5 gives federal agencies extensive latitude in determining how and when to apply earned value management to track information technology programs. EVM policies “should be based on the particular agency facts and circumstances,” according to comments accompanying the rule’s publication in the Federal Register.
http://www.fcw.com/article95183-07-10-06-Print
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Senate Committee Questions E-Gov ROI
The key Senate Appropriations committed has recommended to President Bush that funding for his E-Government initiative be cut off. The committee has made this recommendation based on their logic that there is no direct evidence that the amounts being assessed have any relation to the results being produced. The Performance Institute has dedicated itself to improving government performance and has seen the E-Gov initiative as vital to making government faster, better, and cheaper to its taxpayers. To read the full article, please visit http://www.fcw.com/article95291-07-17-06-Web
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OMB Publishes Online Catalog Of IT Guidelines
In an effort to make IT Policy and mandates from the Office of Management and Budget more organized and readily accessible, the OMB has launched and online catalog that comprises off all mandates and directives that are related to the Information Technology sector. The Performance Institute acknowledges the Office of Management and Budget’s initiatives to bring more compliance through knowledge of mandates and expand the use of E-Government. The Performance Insititute has dedicated itself to reforming government performance and has seen the E-Government initiative as vital to making the government faster, better, and cheaper to its taxpayers. To read the article please visit http://www.govexec.com/story_page.cfm?articleid=34571&sid=1 and to visit the online catalog visit http://www.whitehouse.gov/omb/egov/a-2-EAFTF.html
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Web Site Offers Info on Regulations
In an effort to make regulations and requirements relating to small businesses more organized and easier to navigate, the Office of Management and Budget and the Small Business Administration has created a website that allows “one-stop shopping helping them to better navigate federal requirements with one click of the mouse.” To read more of the article please visit http://www.fcw.com/article95303-07-18-06-Web The website for the Small Business Resource Center is www.business.gov/sbpra.
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Senators Advocate Database on Federal Funding
Key senators have given their support to a bill that would require the building of an online database to track federal spending. The Performance Institute which seeks to bring reform to government by advocating more transparency acknowledges that this Federal Funding accountability and Transparency Act would provide tax payers an easy way to access the federal funding of organizations. For more information and to read the full article, please visit http://www.fcw.com/article95329-07-19-06-Web
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OMB Beefs Up Protections for Sensitive Information
As a results of recent federal security breaches, the Office of Management and Budget issued a security checklist to help prevent future breaches. Clay Johnson, OMB Deputy Director for Management, issued tips to agency heads. He advised that all sensitive information on personal computers be encrypted, all remote access be done using two-factor authentication, and using a time-out function for all remote use. OMB hopes department managers head this advice so that breaches in the future do not occur. Read the following link for more details.
http://www.fcw.com/article95035-06-26-06-Web&newsletter%3Dyes
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