Government Corporations: Profiles of Existing Government Corporations
(Letter Report, 12/13/95, GAO/GGD-96-14).

Pursuant to a congressional request, GAO reviewed 22 government
corporations (GC), focusing on their reported adherence to federal
statutes.

GAO found that: (1) identifying GC is difficult, since no comprehensive
definition of or criteria for creating GC exist; (2) there are 22
self-reported GC in operation and 5 other entities that are generally
considered to be GC that receive some operating funds from annual
federal appropriations; (3) Congress exempts GC from some key management
laws to allow them flexibility in their personnel practices; (4) GC vary
in their reported compliance with certain federal statutes, mainly
because of these exemptions; and (5) the number of GC receiving full or
partial exemptions from Congress is high.

--------------------------- Indexing Terms -----------------------------

 REPORTNUM:  GGD-96-14
     TITLE:  Government Corporations: Profiles of Existing Government 
             Corporations
      DATE:  12/13/95
   SUBJECT:  Federal corporations
             Appropriated funds
             Funds management
             Government sponsored enterprises
             Hiring policies
             Personnel management
             Compensation
             Human resources utilization
             Reporting requirements
             Personnel classification

             
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Cover
================================================================ COVER


Report to the Ranking Minority Member, Subcommittee on Post Office
and Civil Service, Committee on Governmental Affairs, U.S.  Senate

December 1995

GOVERNMENT CORPORATIONS - PROFILES
OF EXISTING GOVERNMENT
CORPORATIONS

GAO/GGD-96-14

Government Corporations

(246070)


Abbreviations
=============================================================== ABBREV

  ASCS - Agricultural Stabilization and Conservation Service
  ADF - African Development Foundation
  CCC - Commodity Credit Corporation
  CDFI - Community Development Financial Institutions Fund
  CEO - Chief Executive Officer
  CFO - Chief Financial Officer
  CNCS - Corporation for National and Community Service
  CPB - Corporation for Public Broadcasting
  CRS - Congressional Research Service
  DOE - Department of Energy
  ERISA - Employee Retirement Income Security Act of 1974
  EXIM - Export-Import Bank of the United States
  FACA - Federal Advisory Committee Act
  FAS - Foreign Agricultural Service
  FCIC - Federal Crop Insurance Corporation
  FDIC - Federal Deposit Insurance Corporation
  FHA - Federal Housing Administration
  FHLB - Federal Home Loan Bank
  FICO - The Financing Corporation
  FIRREA - Financial Institutions Reform, Recovery, and Enforcement
     Act of 1989
  FMFIA - Federal Managers Financial Integrity Act
  FPASA - Federal Property and Administrative Services Act
  FPI - Federal Prison Industries, Inc. 
  FRA - Federal Railroad Administration
  FSLIC - Federal Savings and Loan Insurance Corporation
  FTCA - Federal Tort Claims Act
  FTE - Full-Time Equivalent Employment
  GC - Government Corporation
  GCCA - Government Corporation Control Act
  GNMA - Government National Mortgage Association
  GSA - General Services Administration
  GSE - Government-Sponsored Enterprise
  HUD - Department of Housing and Urban Development
  IAF - Inter-American Foundation
  LSC - Legal Services Corporation
  NAPA - National Academy of Public Administration
  NCUA - National Credit Union Administration
  NCUACLF - National Credit Union Administration Central Liquidity
     Facility
  NECIP - Northeast Corridor Improvement Program
  NRC - Neighborhood Reinvestment Corporation
  OMB - Office of Management and Budget
  OPIC - Overseas Private Investment Corporation
  OPM - Office of Personnel Management
  PADC - Pennsylvania Avenue Development Corporation
  PBGC - Pension Benefit Guaranty Corporation
  REFCORP - Resolution Funding Corporation
  RTB - Rural Telephone Bank
  RTC - Resolution Trust Corporation
  RTCCA - Resolution Trust Corporation Completion Act
  RUS - Rural Utilities Service
  SAIF - Savings Association Insurance Fund
  SLSDC - Saint Lawrence Seaway Development Corporation
  TDPOB - Thrift Depositor Protection Oversight Board
  TVA - Tennessee Valley Authority
  USDA - United States Department of Agriculture
  USEC - United States Enrichment Corporation
  USPS - United States Postal Service

Letter
=============================================================== LETTER


B-259476

December 13, 1995

The Honorable David Pryor
Ranking Minority Member
Subcommittee on Post Office and
 Civil Service
Committee on Governmental Affairs
United States Senate

Dear Senator Pryor: 

This report responds in part to your request that we review
government corporations (GC).  GCs are generally federally chartered
entities created to serve a public function of a predominantly
business nature.  At your request, this report identifies (1) GCs
presently in operation and (2) their reported adherence to 15 federal
statutes.  Also, at your request, in March 1995, we reported on
proposals to create additional GCs.\1


--------------------
\1 Government Corporations:  Profiles of Recent Proposals
(GAO/GGD-95-57FS, Mar.  30, 1995). 


   SCOPE AND METHODOLOGY
------------------------------------------------------------ Letter :1

To meet our objectives, we surveyed 58 entities that were potential
GCs to identify their legal status and adherence to 15 federal
statutes.  We identified these 58 entities by including (1) all GCs
listed in the Government Corporation Control Act (GCCA)\2 (excluding
the United States Railway Association, which was abolished in 1987);
(2) entities that were listed in at least three of five major
government corporation studies done in the last 15 years;\3 and (3)
additional entities we identified during the course of our work.  As
agreed with your office, we relied on the self-reported legal status
of those entities surveyed to determine the number of GCs.  In
addition, each entity provided legal citations to support its
reported status.  We also asked survey respondents to provide
information on their entities' adherence to 15 federal statutes,
which are listed in appendix I.  The 15 federal statutes we selected
cover a diverse range of legislative requirements (e.g., public
disclosure, personnel, procurement, financial, and oversight).  We
selected these statutes on the basis of prior work we had done on
GCs, consultation with corporation legal counsels, public
administration experts from academe and public policy research
organizations, and discussions with your office.  As agreed with your
office, we did not verify the entities' responses about their
adherence to the 15 statutes or determine the effect of the entities'
adherence to or exemption from these statutes. 

In April 1995, we provided each entity with its self-reported
background information and our classification of its adherence to the
15 statutes for verification, review, and comment.  The entities
concurred with our profiles and provided additional comments, which
we have included where appropriate.  We conducted this review between
May 1994 and October 1995 in accordance with generally accepted
government auditing standards.  A more detailed account of our
objectives, scope, and methodology is contained in appendix I. 


--------------------
\2 31 U.S.C.  9101, et seq. 

\3 Report on Government Corporations, Vols.  I-II, (Washington, D.C.: 
National Academy of Public Administration, Aug.  1981); Administering
Public Functions At The Margin Of Government:  The Case Of Federal
Corporations, Congressional Research Service, Dec.  1, 1983; U.S. 
General Accounting Office, Congress Should Consider Revising Basic
Corporate Control Laws, (GAO/PAD-83-3, Apr.  6, 1983); House
Committee on Government Operations, Committee Print, Profiles of
Existing Government Corporations, Dec.  1988; and Managing the
Public's Business:  Federal Government Corporations, Congressional
Research Service, Mar.  7, 1994 (also published in Apr.  1995, by the
Senate Committee on Governmental Affairs as a committee print with
the same title). 


   RESULTS IN BRIEF
------------------------------------------------------------ Letter :2

No comprehensive descriptive definition of or criteria for creating
GCs exist, and counts of the number of GCs have varied widely.  Using
self-reported responses, we identified 22 GCs (profiles for these GCs
are in app.  V).  In addition to the 22 GCs, we also profile five
other entities that reported that they were not GCs.\4 We decided to
profile these other five entities for two reasons.  First, although
these entities reported that they were not GCs, they are frequently
considered to be GCs by others and were previously identified in
several major GC studies done over the last 15 years.  Second, each
of these entities receives at least some of its operating funds from
yearly federal appropriations.  These entities are profiled in
appendix VI. 

Congress sometimes exempts GCs from several key management laws to
provide them with greater flexibility than federal government
departments and agencies typically have in hiring employees, paying
these employees competitive salaries/benefits, disclosing information
publicly, and procuring goods and services.  Because of these
exemptions, the GCs did not report uniform compliance with the 15
selected federal statutes.  For example, one GC--the Federal Housing
Administration--reported full adherence to 14 of the 15 federal
statutes, while another--Amtrak--reported full adherence to only 2
statutes. 


--------------------
\4 These other entities are the (1) Corporation for Public
Broadcasting, (2) Inter-American Foundation, (3) Legal Services
Corporation, (4) Neighborhood Reinvestment Corporation, and (5)
United States Postal Service. 


   BACKGROUND
------------------------------------------------------------ Letter :3

GCCA resulted from a 2-year Senate study that concluded that there
was no effective, overall control of GCs.\5

GCCA was intended to make GCs accountable to Congress for their
operations while allowing them the flexibility and autonomy needed
for their commercial activities.  However, GCCA does not contain a
descriptive definition of a GC or criteria for establishing GCs. 
Thus, GCCA lists GCs as being either mixed-ownership or wholly owned
corporations; it does not provide descriptive definitions or criteria
for establishing either type.\6

In his 1948 budget message, President Truman discussed
characteristics common to GCs.\7 Although never made law, those
characteristics have been referred to by public administration
experts.  According to President Truman, a corporate form of
organization is appropriate for the administration of governmental
programs that

  are predominantly of a business nature,

  produce revenue and are potentially self-sustaining,

  involve a large number of business-type transactions with the
     public, and

  require a greater flexibility than the customary type of
     appropriations budget ordinarily permits. 

The National Academy of Public Administration (NAPA), the
Congressional Research Service (CRS), and we have issued reports on
GCs, generally endorsing the characteristics President Truman
outlined in his 1948 budget message.\8 In addition, we suggested that
Congress (1) uniformly and clearly define GCs, (2) establish GCs
based on standardized criteria, and (3) strengthen oversight and
accountability of GCs.  Because there is no uniform definition nor
standardized criteria for establishing GCs, these studies used a
variety of definitional criteria and emerged with widely varying
counts of the number of GCs.  For example, in 1981, NAPA reported
that there were 12 GCs.  In 1983, we reported that there were 47 GCs,
and in the same year, CRS reported that there were 31.  In 1988, the
House Committee on Government Operations published a study prepared
by us that reported that there were 45 GCs.  Finally, in April 1995,
the Senate Committee on Governmental Affairs published a report that
noted that there were 23 GCs.  Appendix VII briefly summarizes how
these organizations determined their varying numbers of GCs. 

The Chief Financial Officers (CFO) Act of 1990 amended GCCA to
strengthen audit and management reporting requirements for GCs listed
in GCCA and for several other government entities.  However, the CFO
Act did not include a definition of or classification criteria for
GCs. 

Figure 1 illustrates the differences among traditional government
departments/agencies, GCs, government-sponsored enterprises (GSE),\9
and private corporations. 

   Figure 1:  Comparison of Public
   and Private Entities

   (See figure in printed
   edition.)


--------------------
\5 U.S.  Congress.  Joint Committee on Reduction of Nonessential
Federal Expenditures.  Report on Government Corporations.  Senate
Doc.  227.  78th Congress, 2d session (Washington, D.C.:  U.S. 
Government Printing Office, 1944). 

\6 While no descriptive definition for wholly owned and
mixed-ownership corporations exists, the National Academy of Public
Administration (NAPA) defined a wholly owned government corporation
as a corporation pursuing a government mission assigned in its
enabling statute, financed by appropriations, with assets owned by
the government and controlled by board members or an administrator
appointed by the President or a department secretary.  NAPA defined a
mixed-ownership corporation as a corporation with both government and
private equity, with assets owned and controlled by board members
selected by both the President and private stockholders, usually
intended for transition to the private sector.  See Report on
Government Corporations, Vols.  I-II., (Washington, D.C.:  NAPA,
1981). 

\7 President Truman's 1948 Budget Message, U.S.  Congress, House
Document No.  19, 80th Congress, 1st session, pp.  M57-M61. 

\8 See footnote 3. 

\9 GSEs are federally established, privately owned corporations
designed to increase the flow of credit to specific economic sectors. 
GSEs typically receive their financing from private investment, and
the credit markets perceive that GSEs have implied federal financial
backing.  GSEs issue capital stock and short- and long-term debt
instruments, issue mortgage-backed securities, fund designated
activities, and collect fees for guarantees and other services.  GSEs
generally do not receive government appropriations.  Although two
GSEs are featured in this report as GCs because each reported as
being a GC (i.e., Resolution Funding Corporation and The Financing
Corporation), neither received direct federal appropriations in
fiscal years 1994 or 1995. 


   ENTITIES THAT SELF-REPORTED AS
   GOVERNMENT CORPORATIONS
------------------------------------------------------------ Letter :4

The 22 entities that reported that they were GCs cover a wide range
of functions, including producing power, e.g., the Tennessee Valley
Authority (TVA); providing insurance and financial services, e.g.,
the Federal Crop Insurance Corporation (FCIC); and promoting U.S. 
private investment in developing countries and emerging markets,
e.g., the Overseas Private Investment Corporation.  Although most GCs
provide business-like goods and services, such as producing
electricity, others conduct nonbusiness activities, such as
dispensing grants. 

In fiscal year 1994, the 22 GCs had gross outlays\10 of almost $66
billion and net federal outlays\11 of over $8.2 billion.  This gross
outlay amount exceeded the gross outlays of the Departments of
Commerce, Education, and Energy combined for the same fiscal year. 
Collectively, GCs' gross outlays decreased from about $166 billion in
fiscal year 1991 to almost $66 billion in fiscal year 1994, a
decrease of nearly $100 billion.  Most of the difference was
attributable to a reduction in outlays for closing the accounts of
failed financial institutions covered by government insurance, e.g.,
Resolution Trust Corporation and Federal Deposit Insurance
Corporation (FDIC).  In 9 of the 22 GCs, nonfederal collections
exceeded gross outlays during at least 1 year from fiscal year 1990
through fiscal year 1994.\12 In two cases, the Government National
Mortgage Corporation (GNMA) and the Pension Benefit Guaranty
Corporation (PBGC), nonfederal collections exceeded gross outlays
every year during the same 5-year time frame. 

One important group of GCs provides insurance that underpins major
sectors of the economy, including agriculture, e.g., FCIC; commercial
banks and savings institutions, e.g., FDIC; and private pension
funds, e.g., PBGC.  In fiscal year 1994, PBGC insured pensions for 41
million American workers and retirees, which totaled about $1.1
billion in liabilities.\13 Meanwhile, in calendar year 1994, FDIC
insured 10,450 commercial banks and trust companies and 2,152 savings
institutions,\14 which represented about $2.6 trillion in insured
deposits.  Table 1 provides an overview of the 22 GCs' primary
purpose and the methods by which they accomplish their purpose. 



                                        Table 1
                        
                           The 22 Self-Reported GCs' Primary
                         Purpose and Primary Methods to Achieve
                                     Their Purpose

No                                                      Primary methods to achieve
.   Government corporation  Primary purpose             purpose
--  ----------------------  --------------------------  -------------------------------
1   African Development     Develop African countries   Provide grants to development
    Foundation                                          organizations

2   Commodity Credit        Support agricultural        Make loans to agricultural
    Corporation             commodity                   producers and export credit
                            sector                      guarantees

3   Community Development   Promote economic            Provide investment assistance
    Financial Institutions  revitalization              to community development
    Fund                    and community development   financial institutions, banks,
                                                        thrifts, and secondary market
                                                        organizations

4   Corporation for         Promote community           Provide grants to community
    National and Community  development                 service organizations
    Service                 and national service

5   Export-Import Bank of   Promote U.S. exports and    Provide insurance, loans, and
    the United States       facilitate imports          guarantees to support the
                                                        export of U.S. goods and
                                                        services

6   Federal Crop Insurance  Promote agricultural        Provide crop insurance
    Corporation             stability

7   Federal Deposit         Secure bank and thrift      Provide deposit insurance,
    Insurance Corporation   deposits                    regulation, and examination

8   Federal Housing         Stabilize the mortgage      Provide mortgage insurance
    Administration          market

9   Federal Prison          Employ and train inmates    Produce commodities for sale to
    Industries, Inc.        and ensure the safe and     correctional institutions or
                            secure operation of         federal departments
                            federal prisons

10  Government National     Facilitate the              Provide mortgage-backed
    Mortgage Association    availability of funds for   securities
                            home mortgages

11  National Credit Union   Meet the liquidity needs    Provide loans
    Administration Central  of federal
    Liquidity Facility      and state credit unions

12  National Railroad       Provide intercity and       Provide direct passenger rail
    Passenger Corporation   commuter rail passenger     service
    (Amtrak)                transportation in the
                            United States

13  Overseas Private        Promote U.S. private        Provide insurance and financing
    Investment Corporation  investment in developing    of U.S. investments in
                            countries and emerging      developing countries and
                            market economies            emerging markets

14  Pennsylvania Avenue     Develop Pennsylvania        Facilitate joint ventures
    Development             Avenue corridor in          between the federal government
    Corporation             Washington, D.C.            and private industry

15  Pension Benefit         Administer pension plan     Collect premiums from
    Guaranty Corporation    termination insurance       contributing sponsors of
                            program                     covered pension plans and make
                                                        benefit payments to eligible
                                                        participants and beneficiaries
                                                        in covered plans that
                                                        terminated without sufficient
                                                        assets to pay all benefits

16  Resolution Funding      Fund the operations of the  Issue debentures, bonds, and
    Corporation             Resolution Trust            other obligations
                            Corporation

17  Resolution Trust        Resolve failed savings      Manage and resolve failed
    Corporation             institutions                savings institutions and
                                                        recover funds by managing and
                                                        selling the institutions'
                                                        assets

18  Rural Telephone Bank    Provide supplemental        Provide loans
                            financing for telephone
                            companies

19  St. Lawrence Seaway     Operate and maintain that   Provide a safe, efficient, and
    Development             part of the Seaway within   reliable waterway for and
    Corporation             territorial waters of the   promote the distribution of
                            United States               goods to and from the Great
                                                        Lakes region and overseas
                                                        markets

20  Tennessee Valley        Produce and market          Generate, transmit, and sell
    Authority               electric power              electric energy

21  The Financing           Serve as a financing        Issue debentures, bonds, and
    Corporation             vehicle for the Federal     other obligations
                            Savings and Loan Insurance
                            Corporation Resolution
                            Fund

22  United States           Operate as a profitable     Market and sell enriched
    Enrichment Corporation  uranium enrichment          uranium and related services,
                            business                    primarily for use by electric
                                                        utilities worldwide
---------------------------------------------------------------------------------------
Source:  GCs. 


--------------------
\10 Gross outlays represent the issuance of checks, disbursement of
cash, or electronic transfer of funds to liquidate a federal
obligation.  Gross outlays also occur when interest on the Treasury
debt held by the public accrues and when the government issues bonds,
notes, debentures, money credits, or other cash-equivalent
instruments to liquidate obligations.  Also, since October 1, 1991,
the credit subsidy cost is recorded as an outlay when a direct or
guaranteed loan is disbursed.  As previously noted, the Resolution
Funding Corporation and The Financing Corporation, did not receive
direct federal appropriations in fiscal year 1994 and are not
included in this gross outlay total. 

\11 Net federal outlays represent the difference between gross
outlays and nonfederal collections. 

\12 The following GCs had nonfederal collections that exceeded gross
outlays in at least 1 year during the fiscal years 1990 to 1994:  the
Export-Import Bank, Federal Deposit Insurance Corporation, Government
National Mortgage Association, National Credit Union Administration
Central Liquidity Facility, Overseas Private Investment Corporation,
Pension Benefit Guaranty Corporation, Resolution Trust Corporation,
Rural Telephone Bank, and the United States Enrichment Corporation. 

\13 For further information see Financial Audit:  Pension Benefit
Guaranty Corporation's 1994 and 1993 Financial Statements
(GAO/AIMD-95-83, Mar.  8, 1995). 

\14 Excludes savings institutions in RTC conservatorship. 


   GCS REPORTED ADHERENCE TO
   FEDERAL STATUTES
------------------------------------------------------------ Letter :5

Congress established GCs to carry out business-type programs that
need more autonomy and flexibility than that provided by a
conventional government agency structure.  Accordingly, GCs may be,
but are not always, exempted in part, or in full, from certain
federal statutes governing matters such as civil service pay scales
and hiring rules, position ceilings, and procurement.  These
exemptions are intended to allow GCs to respond more quickly to
changes in the marketplace and, in some cases, to take advantage of
cost-saving opportunities.  However, even when GCs are partially or
fully exempt by law from the requirement to adhere to federal
statutes, some GCs reported that they choose to adhere to some
requirements as a matter of policy.\15 For example, FCIC and PBGC
reported that they are not subject to, but administratively adopt,
the requirements of the Federal Managers Financial Integrity Act. 

We found that the GCs varied widely in their reported adherence to
the 15 federal statutes used in our survey.  For example, the Federal
Housing Administration reported full adherence to 14 of the 15
statutes, while Amtrak reported full adherence to only 2 statutes. 
In addition, the number of GCs receiving full or partial exemptions
from Congress was high.  Of the 22 GCs, most reported full or partial
exemption from the following 5 federal statutes: 

  Employee Classification, chapter 51 of title 5, U.S.  Code, which
     generally provides for the classification of employees employed
     by an agency (15 GCs);

  Pay Rates and Rate Systems, subchapter III, chapter 53 of title 5,
     U.S.  Code, which provides the general pay rates and the
     prevailing rate systems for employees of agencies (14 GCs);

  Federal Property and Administrative Services Act, which generally
     provides that executive agencies are to make purchases and
     contracts for property and services by advertising and formal
     competition (15 GCs);

  Federal Managers Financial Integrity Act, which requires that heads
     of executive agencies evaluate and report on their internal
     control and accounting systems (16 GCs);\16 and

  Federal Credit Reform Act, which requires that the net present
     value of the estimated long-term cost to the government of new
     direct loans and loan guarantees be financed from new budget
     authority and be recorded as budget outlays at the time the
     loans are disbursed (14 GCs). 

On the other hand, over two-thirds of the 22 GCs reported that they
were subject to the following 6 federal statutes: 

  Ethics in Government Act, which contains postemployment, financial
     disclosure, gift, outside employment, honoraria, and ethics
     requirements (19 GCs);

  GCCA, which mandates audit, accounting, and budget requirements for
     mixed-ownership and wholly owned GCs (19 GCs);

  Privacy Act, which limits the collection, maintenance, use, and
     dissemination of personal information by agencies and grants
     individuals access to information about themselves (17 GCs);

  Freedom of Information Act, which provides persons with the right
     of access to a broad range of records and materials related to
     the performance of agency activities, other than those
     specifically excluded by the act (17 GCs);

  Government Performance and Results Act, which aims to improve the
     efficiency and effectiveness of federal programs by establishing
     a system to set goals for program performance and to measure
     results (17 GCs); and

  Inspector General Act, which provides for independent,
     presidentially appointed inspectors general to conduct and
     supervise audits and investigations; to recommend policies to
     promote economy, efficiency, and effectiveness; and to prevent
     and detect fraud and abuse in their agencies and programs (17
     GCs). 

Appendix III shows the 22 GCs' adherence to the 15 selected federal
statutes in our survey.  Similarly, appendix IV illustrates the
adherence to these same statutes of five entities that, although they
did not report being GCs, were previously identified as GCs in
several major GC studies and at least some of their operating budgets
were obtained from yearly federal appropriations. 


--------------------
\15 See app.  III for a listing of GCs reported adherence to 15
federal statutes. 

\16 Internal controls are a plan of organization, methods, and
procedures adopted by management to ensure that (1) resource use is
consistent with laws, regulations, and policies; (2) resources are
safeguarded against waste, loss, and misuse; and (3) reliable data
are obtained, maintained, and fairly disclosed in reports. 


---------------------------------------------------------- Letter :5.1

As arranged with your office, unless you publicly release its
contents earlier, we plan no further distribution of this report
until 5 days after the date of this letter.  At that time, we will
send copies of this report to the Chairman of the Subcommittee on
Post Office and Civil Service, Senate Committee on Governmental
Affairs; Chairman and Ranking Minority Member of the House Committee
on Government Reform and Oversight; and other interested Members of
Congress.  We also will send copies to each of the entities profiled
and to other interested parties.  Copies also will be made available
to others upon request. 

If you have any questions regarding this report or would like to
discuss it further, please call me or Charles I.  Patton, Associate
Director, on (202) 512-7824. 

Sincerely yours,

L.  Nye Stevens
Director, Federal Management
 and Workforce Issues


OBJECTIVES, SCOPE, AND METHODOLOGY
=========================================================== Appendix I

The Ranking Minority Member of the Subcommittee on Post Office and
Civil Service, Senate Committee on Governmental Affairs asked us to
undertake a review of government corporations (GC).  We were also
asked to identify proposals to create additional GCs, which we
provided to the Ranking Minority Member in a March 1995 fact sheet.\1
The objectives of this report were to determine (1) the GCs presently
in operation and (2) their reported adherence to 15 federal
statutes.\2

To accomplish our first objective, we reviewed literature, including
information on the management, characteristics, and administration of
GCs; GCCA; studies on GCs; and related documents.  On the basis of
this review, we identified 58 entities that were potential GCs by
including (1) all GCs listed in GCCA (excluding the United States
Railway Association, which was abolished in 1987); (2) entities that
were listed in at least three of five major corporation studies done
in the last 15 years; and (3) additional entities we identified
during the course of our work (e.g., African Development Foundation
(ADF), Community Development Financial Institutions (CDFI) Fund, Farm
Credit System Insurance Corporation, and the Department of Veterans
Affairs Nonprofit Research Corporations).  As part of the 58
potential GCs, we included the Farm Credit Banks, Regional Banks for
Cooperatives, Federal Home Loan Banks (FHLB), Resolution Funding
Corporation (REFCORP), and The Financing Corporation (FICO)--even
though they are privately owned and controlled entities--because they
are listed in GCCA. 

To collect primary information from these 58 entities, we
administered a survey to each entity.  See table I.1 for a list of
the surveyed entities and app.  II for an abbreviated copy of our
survey.  We received a response from every entity we surveyed.  As
agreed with the requester's office, the entities' reported legal
status\3 was the only factor we used in determining whether an entity
was a GC.  Table I.1 lists all 58 entities surveyed, their reported
legal status, whether they received federal appropriations in fiscal
year 1994, and whether they are listed in GCCA. 



                                        Table I.1
                         
                            Reported Legal Status, Receipt of
                          Federal Appropriations for Fiscal Year
                             1994, and GCCA Designation of 58
                                    Surveyed Entities

                                                                    Received
                                                                    federal
                                                                    appropriatio
                No                                  Reported legal  n in fiscal   Listed
                .   Entity                          status          year 1994     in GCCA
--------------  --  ------------------------------  --------------  ------------  -------
GCs profiled    1   African Development Foundation  GC              

                2   Commodity Credit Corporation    GC                           

                3   Community Development           GC                            
                    Financial Institutions Fund

                4   Corporation for National and    GC                           
                    Community Service

                5   Export-Import Bank of the       GC                           
                    United States

                6   Federal Crop Insurance          GC                           
                    Corporation

                7   Federal Deposit Insurance       GC                           
                    Corporation

                8   Federal Housing Administration  GC                           

                9   Federal Prison Industries,      GC                            
                    Inc.

                10  Government National Mortgage    GC                           
                    Association

                11  National Credit Union           GC                            
                    Administration Central
                    Liquidity Facility

                12  National Railroad Passenger     GC                           
                    Corporation

                13  Overseas Private Investment     GC                           
                    Corporation

                14  Pennsylvania Avenue             GC                           
                    Development Corporation

                15  Pension Benefit Guaranty        GC                            
                    Corporation

                16  Resolution Funding Corporation  GC              \a           

                17  Resolution Trust Corporation    GC                           

                18  Rural Telephone Bank            GC                           

                19  Saint Lawrence Seaway           GC                           
                    Development Corporation

                20  Tennessee Valley Authority      GC                           

                21  The Financing Corporation       GC                            

                22  U.S. Enrichment Corporation     GC                            

Other entities  23  Corporation for Public          Private         
profiled            Broadcasting                    nonprofit
                                                    corporation

                24  Inter-American Foundation       Federal agency  

                25  Legal Services Corporation      Private,        
                                                    nonprofit,
                                                    nonmembership
                                                    corporation

                26  Neighborhood Reinvestment       Nonprofit,      
                    Corporation                     public
                                                    corporation

                27  U.S. Postal Service             Independent     
                                                    establishment
                                                    of the
                                                    executive
                                                    branch

Other entities  28  American Institute in Taiwan    Nonprofit       
surveyed but                                        corporation
not profiled

                29  Consolidated Rail Corporation   Private
                                                    corporation

                30  CoBank -The National Bank for   Private                       
                    Cooperatives\b                  corporation

                31  Department of Veterans Affairs  State
                    Nonprofit Research              chartered
                    Corporations                    corporations

                    Farm Credit Banks\c             Private
                                                    corporations
                    AgAmerica
                32  AgriBank
                    Baltimore
                33  Columbia
                    Springfield
                34  Texas
                    Western
                35  Wichita

                36

                37

                38
                39

                40  Farm Credit System Insurance    Government
                    Corporation                     controlled
                                                    corporation

                41  Federal Financing Bank          Instrumentalit
                                                    y

                    Federal Home Loan Banks\c       Government-                   
                                                    sponsored
                    Atlanta                         enterprises
                42  Boston
                    Chicago
                43  Cincinnati
                    Dallas
                44  Des Moines
                    Indianapolis
                45  New York
                    Pittsburgh
                46  San Francisco
                    Seattle
                47  Topeka

                48

                49

                50

                51

                52
                53

                54  National Consumer Cooperative   Private
                    Bank                            corporation

                55  National Park Foundation        Nonprofit,
                                                    charitable
                                                    corporation

                    Regional Banks for              Private                       
                    Cooperatives\b                  corporations

                56  St. Paul Bank for
                    Cooperatives
                57
                    Springfield Bank for
                    Cooperatives

                58  Securities Investor Protection  Nonprofit,
                    Corporation                     private,
                                                    membership
                                                    corporation
-----------------------------------------------------------------------------------------
\a The Department of the Treasury is annually appropriated amounts to
cover the shortfall between the Resolution Funding Corporation's
(REFCORP) earnings and interest payments on obligations issued by
REFCORP.  In fiscal year 1994, the Department of the Treasury
provided over $2.3 billion to REFCORP. 

\b In 1989, 10 of the 12 Regional Banks for Cooperatives merged with
the Central Bank for Cooperatives to form CoBank--the National Bank
for Cooperatives.  The two nonmerging Regional Banks for Cooperatives
(St.  Paul and Springfield) remained separate and distinct
institutions (see entities 56 and 57 in table I.1). 

\c We surveyed all of the component parts of the banking systems--the
3 Regional Banks for Cooperatives, the 8 Farm Credit Banks, and the
12 Federal Home Loan Banks.  We consolidated the responses for (1)
Regional Banks for Cooperatives and Farm Credit Banks and (2) Federal
Home Loan Banks, respectively, because each of their general counsels
replied that each bank's response would be identical, and therefore,
one reply would satisfy and provide answers for each set of banks. 

Source:  We used entities' survey responses to determine their legal
status.  The receipt of appropriations and GCCA listings are based on
our research. 

We also interviewed public administration experts from government,
research organizations, and academe, including the National Academy
of Public Administration (NAPA), the Congressional Research Service
(CRS), the Office of Management and Budget (OMB), the Canadian Office
of the Auditor General, and professors from Johns Hopkins University. 

To meet our second objective, we asked survey respondents to provide
information on their entities' adherence to 15 federal statutes.  As
agreed with your office, we selected 15 federal statutes with a
diverse range of legislative requirements (e.g., operational
disclosure, personnel, procurement, financial, and oversight).  To
develop this list of statutes, we reviewed the 25 statutes used in a
1988 GC study we prepared for the House Committee on Government
Operations.  We added 7 statutes to this list to include more recent
laws (e.g., the Government Performance and Results Act of 1993),
which resulted in an aggregate list of 32 statutes.  On the basis of
our consultation with the requester's office, public administration
experts from government, academe, and research organizations, we
refined this list to 15 statutes.  The 15 selected statutes were (1)
Privacy Act of 1974, (2) Freedom of Information Act of 1966, (3)
Government in the Sunshine Act, (4) Title 5:  Employee
Classification, (5) Title 5:  Pay Rates and Rate Systems, (6) Federal
Property and Administrative Services Act of 1949, (7) Federal Tort
Claims Act, (8) Federal Managers Financial Integrity Act of 1982, (9)
Anti-Deficiency Act, (10) Government Corporation Control Act of 1945,
(11) Government Performance and Results Act of 1993, (12) Chief
Financial Officers Act of 1990, (13) Inspector General Act of 1978,
(14) Federal Credit Reform Act of 1990, and (15) Ethics in Government
Act of 1978. 

Survey respondents could choose from one or more response categories
to describe their adherence to each statute (see app.  II for a copy
of our survey).  For example, some entities reported adherence to
particular sections of a statute but not to other sections of the
same statute.  In some instances, although an entity may not have
been required to adhere to a particular statute, it had
administratively adopted the statute's requirements.  As a means of
characterizing each entity's reported adherence to each statute, we
derived the following summary classification system from the response
patterns we observed (see table I.2). 



                               Table I.2
                
                 Survey Response Classification System

Code      Description of degree of adherence
--------  ------------------------------------------------------------
N         Not subject to and does not administratively adopt the
          statute's requirements

NA        Not subject to but administratively adopts the statute's
          requirements

NM        Not subject to but implements an alternative mechanism(s) to
          attain the objective(s) of the statute

PS        Partially subject to the statute's requirements

PSA       Partially subject to the statute's requirements and also
          administratively adopts the statute's requirements

PSM       Partially subject to the statute's requirements and also
          implements an alternative mechanism to attain the
          objective(s) of the statute

S         Subject to the statute's requirements
----------------------------------------------------------------------
Unless otherwise noted, we obtained automated data from OMB to
develop the trend and budget information presented in appendixes V
and VI of this report.\4 We extracted gross outlays\5 and nonfederal
offsetting collections,\6 and then calculated federal funds\7 budget
data for fiscal years 1990 through 1994 for our GC profiles.  All
data presented are in current (actual) dollars and reflect only that
which was reported to OMB, unless noted otherwise. 

We did not present OMB data on four GCs:  CDFI Fund, REFCORP, FICO,
and the National Railroad Passenger Corporation (Amtrak).  The CDFI
Fund was not in existence until fiscal year 1994.  REFCORP and FICO
reported as GCs, but they are presented in the President's Budget as
GSEs, and their budgets are not subject to formal review by OMB prior
to publication in the President's Budget.  In place of the OMB data
we provide financial data reported by REFCORP and FICO (e.g., funds
raised through bond sales, interest on obligations).  The OMB data on
Amtrak represent Amtrak's federal subsidy only.  As a result, our
Amtrak profile shows revenues, expenses, and net operating losses and
the federal subsidies it received.  Of note, in some cases, data from
fiscal years 1990 and 1991 are not comparable to data from fiscal
years 1992 through 1994 because of the Federal Credit Reform Act of
1990, which changed the budgetary treatment for direct loans and loan
guarantees made on or after October 1, 1991.\8 The Federal Credit
Reform Act of 1990 changed the budget treatment of credit programs so
that their costs can be compared more accurately with each other and
with the costs of other federal spending.  It also was intended to
ensure that the full cost of credit programs over their entire lives
would be reflected in the budget when the loans were made so that the
executive branch and Congress might consider them when making budget
decisions.\9

In April 1995, we provided each entity with its self-reported
background information and our classification of its adherence to the
15 statutes for verification, review, and comment.  The entities
concurred with our profiles and provided additional comments, which
we have included where appropriate.  We conducted this review between
May 1994 and October 1995 in accordance with generally accepted
government auditing standards. 


--------------------
\1 Government Corporations:  Profiles of Recent Proposals
(GAO/GGD-95-57FS, Mar.  30, 1995). 

\2 We also provide information on five entities that did not
self-report as GCs but were previously identified in several major GC
studies and receive at least some of their operating budget from
federal appropriations:  CPB, IAF, LSC, NRC, and USPS (see apps.  IV
and VI). 

\3 Legal status refers to how an entity is classified in enabling
legislation (e.g., mixed-ownership or wholly owned government
corporation).  See app.  II, sect.  I, question 5. 

\4 As part of their annual budget submission to OMB, departments and
agencies are required to report a variety of budget and financial
data.  OMB collects and processes this information through the MAX
budget system (formerly called the Budget Preparation System), which
is used to prepare the President's annual budget request. 

\5 Gross outlays represent the total issuance of checks, disbursement
of cash, or electronic transfer of funds made to liquidate a federal
obligation.  Outlays during a fiscal year may be for payment of
obligations incurred in prior years or in the same year. 

\6 In this report, nonfederal collections refers to nonfederal
offsetting collections.  Nonfederal offsetting collections arise as a
result of the government's business-type or market-oriented
activities.  Among these are interest received, proceeds from the
sale of property and products, charges for nonregulatory services,
and rents and royalties. 

\7 As used in this report, federal funds represent outlays from
various federal sources including direct appropriations and
interagency transfers.  We calculated each GC's federal funds by
deducting its reported nonfederal funds from its gross outlays. 

\8 Ten entities reported that they are subject to or partially
subject to the Federal Credit Reform Act of 1990 including the (1)
CDFI Fund, (2) Commodity Credit Corporation (CCC), (3) Export-Import
Bank of the United States (EXIM), (4) Federal Housing Administration
(FHA), (5) Federal Prison Industries, Inc.  (FPI), (6) Government
National Mortgage Association (GNMA), (7) Inter-American Foundation
(IAF), (8) Overseas Private Investment Corporation (OPIC), (9) Rural
Telephone Bank (RTB), and (10) U.S.  Enrichment Corporation (USEC). 

\9 Before credit reform, credit programs--like other programs--were
reported in the budget on a cash basis.  This cash basis distorted
costs and, thus, the comparison of credit program costs with other
programs intended to achieve similar purposes, such as grants.  It
also created a bias in favor of loan guarantees over direct loans. 
Credit reform requirements specified a net cost approach using
estimates for further loan repayments and defaults as elements of the
cost to be recorded in the budget.  This puts direct loans and loan
guarantees on an equal footing; it permits the cost of credit
programs to be compared with each other and with the costs of
noncredit programs when making budget decisions.  For more
information, see Credit Reform:  Case-by-Case Assessment Advisable in
Evaluating Coverage and Compliance (GAO/AIMD-94-57, July 28, 1994). 


GOVERNMENT CORPORATIONS SURVEY
(ABBREVIATED)
========================================================== Appendix II



   (See figure in printed
   edition.)



   (See figure in printed
   edition.)



   (See figure in printed
   edition.)



   (See figure in printed
   edition.)



   (See figure in printed
   edition.)



   (See figure in printed
   edition.)



   (See figure in printed
   edition.)



SUMMARY OF GOVERNMENT CORPORATIONS
========================================================= Appendix III



   (See figure in printed
   edition.)

\a With the exception of the African Development Foundation, all of
the GCs in appendix III are listed in GCCA. 



   (See figure in printed
   edition.)


SUMMARY OF OTHER FEDERALLY FUNDED
ENTITIES
========================================================== Appendix IV



   (See figure in printed
   edition.)



   (See figure in printed
   edition.)

\a None of the entities in appendix IV are listed in GCCA. 


PROFILES OF GOVERNMENT
CORPORATIONS
=========================================================== Appendix V


   INTRODUCTION
--------------------------------------------------------- Appendix V:1

This appendix contains profiles of the 22 federal organizations that
self-reported that they were government corporations (GC) and their
corresponding section numbers, as shown in table V.1. 



                               Table V.1
                
                 GCs and Corresponding Section Numbers

                                                                Sectio
                                                                     n
Government corporation                                          number
--------------------------------------------------------------  ------
African Development Foundation (ADF)                                 1
Commodity Credit Corporation (CCC)                                   2
Community Development Financial Institutions (CDFI) Fund             3
Corporation for National and Community Service (CNCS)                4
Export-Import Bank of the United States (EXIM)                       5
Federal Crop Insurance Corporation (FCIC)                            6
Federal Deposit Insurance Corporation (FDIC)                         7
Federal Housing Administration (FHA)                                 8
Federal Prison Industries, Inc. (FPI)                                9
Government National Mortgage Association (GNMA)                     10
National Credit Union Administration Central Liquidity              11
 Facility (NCUACLF)
National Railroad Passenger Corporation (Amtrak)                    12
Overseas Private Investment Corporation (OPIC)                      13
Pennsylvania Avenue Development Corporation (PADC)                  14
Pension Benefit Guaranty Corporation (PBGC)                         15
Resolution Funding Corporation (REFCORP)                            16
Resolution Trust Corporation (RTC)                                  17
Rural Telephone Bank (RTB)                                          18
Saint Lawrence Seaway Development Corporation (SLSDC)               19
Tennessee Valley Authority (TVA)                                    20
The Financing Corporation (FICO)                                    21
United States Enrichment Corporation (USEC)                         22
----------------------------------------------------------------------
Each profile presents the following information for each GC: 

  purpose;

  background information (date created, organizational location,
     legal authority, legal status, corporate purpose and primary
     method to achieve purpose, permanent or temporary status, and
     1994 full-time equivalent employment);

  management structure;

  funding information, i.e., for each GC, a figure and a table show
     the gross outlays, nonfederal collections, and net federal
     outlays for fiscal years 1990 to 1994.  All data presented are
     in current (actual) dollars and reflect only that which was
     reported to OMB, unless noted otherwise.  We used OMB's MAX
     database to extract budget data for our GC comparisons;\1

  each GC's self-reported statutory adherence to 15 federal
     statutes;\2

and

  related GAO products. 

As used in this report: 

  gross outlays represent the total issuance of checks, disbursement
     of cash, or electronic transfer of funds made to liquidate a
     federal obligation.  Outlays during a fiscal year may be for
     payment of obligations incurred in prior years or in the same
     year. 

  "nonfederal collections" refer to nonfederal offsetting
     collections.  Nonfederal offsetting collections arise as a
     result of the government's business-type or market-oriented
     activities.  Among these are interest received, proceeds from
     the sale of property and products, charges for nonregulatory
     services, and rents and royalties. 

  net federal outlays represent the net amount of federal funding a
     GC expended.  We calculated each GC's net federal outlays by
     deducting its nonfederal collections from its gross outlays.  As
     depicted in the shaded areas of each figure, net federal outlays
     represent outlays from various federal sources including direct
     appropriations and interagency transfers. 

Unless otherwise noted, the source for the information in each GC's
profile is each respective organization. 


--------------------
\1 We did not present OMB MAX data on four GCs:  CDFI Fund, REFCORP,
FICO, and Amtrak.  The CDFI Fund was not in existence until fiscal
year 1994; therefore, funding information for this GC was
unavailable.  REFCORP and FICO self-reported as GCs, but they are
presented in the President's Budget as GSEs, and their budgets are
not subject to review prior to publication in the President's Budget. 
In place of the OMB MAX data, we provide financial data self-reported
by REFCORP and FICO (e.g., funds raised through bond sales and
interest on obligations).  The OMB MAX data on Amtrak did not lend
itself to the analysis we used in our GC profiles.  Our profile of
Amtrak shows revenues, expenses, and net losses and the federal
subsidies it received. 

\2 In some instances, entities only provided a statutory citation for
their comment. 


   SECTION 1:
   AFRICAN DEVELOPMENT
   FOUNDATIONSECTION 1:  AFRICAN
   DEVELOPMENT FOUNDATION
--------------------------------------------------------- Appendix V:2


      PURPOSE
------------------------------------------------------- Appendix V:2.1

The African Development Foundation (ADF) was created to enable the
people of African countries to develop their potential, fulfill their
aspirations, and enjoy better, more productive lives.  ADF serves to
(1) strengthen the bonds of friendship and understanding between the
people of Africa and the United States, (2) support self-help
activities at the local level designed to enlarge opportunities for
community development, (3) stimulate and assist effective and
expanding participation of Africans in their development process, and
(4) encourage the establishment and growth of development
institutions that are indigenous to particular countries in Africa
and that can respond to the requirements of the poor in those
countries (African Development Foundation Act, section 504(a), 22
U.S.C.  290h-2(a)). 


      BACKGROUND
------------------------------------------------------- Appendix V:2.2


         DATE CREATED: 
----------------------------------------------------- Appendix V:2.2.1

December 16, 1980


         ORGANIZATIONAL LOCATION: 
----------------------------------------------------- Appendix V:2.2.2

Independent


         LEGAL AUTHORITY: 
----------------------------------------------------- Appendix V:2.2.3

22 U.S.C.  290h, et seq. 


         LEGAL STATUS: 
----------------------------------------------------- Appendix V:2.2.4

Wholly owned government corporation


         PRIMARY METHOD TO ACHIEVE
         PURPOSE: 
----------------------------------------------------- Appendix V:2.2.5

Grants to African countries to promote development


         PERMANENT OR TEMPORARY
         STATUS: 
----------------------------------------------------- Appendix V:2.2.6

Permanent


         FISCAL YEAR 1994
         FULL-TIME EQUIVALENT
         (FTE) EMPLOYMENT: 
----------------------------------------------------- Appendix V:2.2.7

54


      MANAGEMENT STRUCTURE
------------------------------------------------------- Appendix V:2.3

ADF has a seven-member board of directors; five are from the private
sector, and two are from U.S.  government agencies with an interest
in Africa (U.S.  Department of State and Agency for International
Development).  Board members serve 6-year terms and are appointed by
the President of the United States.  The board may not consist of
more than four members from any one political party.  The board is
headed by a chair and vice chair and also appoints a president who
has delegated authority to manage ADF's day-to-day operations. 


      FUNDING INFORMATION
------------------------------------------------------- Appendix V:2.4

From fiscal years 1990 through 1994, ADF's net federal outlays
totaled $55.8 million.  Figure V.1.1 depicts ADF's gross outlays and
net federal outlays data from table V.1.1. 



                              Table V.1.1
                
                    ADF's Gross Outlays, Nonfederal
                Collections, and Net Federal Outlays for
                     Fiscal Years 1990 Through 1994

                         (Dollars in millions)

                                        FY     FY     FY     FY     FY
Budget category                       1990   1991   1992   1993   1994
-----------------------------------  -----  -----  -----  -----  -----
Gross outlays                         $8.5   $9.1  $10.7  $13.7  $13.8
Nonfederal collections                   0      0      0      0      0
Net federal outlays                    8.5    9.1   10.7   13.7   13.8
----------------------------------------------------------------------
Source:  OMB. 

   Figure V.1.1:  ADF's Gross
   Outlays and Net Federal Outlays
   for Fiscal Years 1990 Through
   1994

   (See figure in printed
   edition.)

Note:  Net federal outlays represent outlays from various federal
sources including direct appropriations and interagency transfers. 

Source:  OMB. 


      CORPORATION'S REPORTED
      STATUTORY ADHERENCE
------------------------------------------------------- Appendix V:2.5



                                       Table V.1.2
                         
                         ADF's Self-Reported Adherence to the 15
                                Selected Federal Statutes

                               Degree of
Statute                        adherence           ADF's comments
-----------------------------  ------------------  --------------------------------------
Privacy Act of 1974            Subject to the      5 U.S.C. 552a (a)(1) and 552(f)
(5 U.S.C. 552a)                statute's
                               requirements.

Freedom of Information Act of  Subject to the      5 U.S.C. 552 and 552(f)
1966                           statute's
(5 U.S.C. 552)                 requirements.

Government in the Sunshine     Subject to the      5 U.S.C. 552b and 552(f)
Act                            statute's
(5 U.S.C. 552b)                requirements.

Title 5: Employee              Not subject to but  ADF's board of directors and President
Classification                 administratively    decided at ADF's establishment that it
(5 U.S.C. 5101-5115)           adopts the          would be more efficient to adopt the
                               statute's           civil service personnel system. There
                               requirements.       is nothing in writing from the board
                                                   or staff on this decision. The Office
                                                   of Personnel Management (OPM) was
                                                   simply contacted and asked to assist
                                                   in the classification of ADF
                                                   positions.

Title 5: Pay Rates and Rate    Not subject to but  ADF's board of directors and President
Systems                        administratively    decided at the Foundation's
(5 U.S.C. 5331-5338 and 5341-  adopts the          establishment that it would be more
5349)                          statute's           efficient to adopt the civil service
                               requirements.       personnel system. There is nothing in
                                                   writing from the board or staff on
                                                   this decision. OPM was simply
                                                   contacted and asked to assist in the
                                                   classification of ADF positions.

Federal Property and           Subject to the      41 U.S.C. 251 and part 1 subpart 1.103
Administrative Services Act    statute's           of Federal Acquisition Regulation (see
of 1949                        requirements.       also 22 U.S.C. 290h-4(a)(8)).
(41 U.S.C. 251-260)

Federal Tort Claims Act        Subject to the      28 U.S.C. 2671; section 2671 defines
(28 U.S.C. 2671, et seq.)      statute's           federal agency for purposes of this
                               requirements.       act to include "corporations,
                                                   primarily acting as instrumentalities
                                                   or agencies of the United States."

Federal Managers Financial     Subject to the      Section 9105 of title I of Government
Integrity Act of 1982          statute's           Corporation Control Act and 31 U.S.C.
(31 U.S.C. 3512 (b), (c))      requirements.       3515.

Anti-Deficiency Act            Subject to the      31 U.S.C. 1341
(31 U.S.C. 1341)               statute's
                               requirements.

Government Corporation         Subject to the      22 U.S.C. 290h-6 makes ADF subject to
Control Act of 1945            statute's           title I of the act.
(31 U.S.C. 9101, et seq.)      requirements.

Government Performance and     Subject to the      5 U.S.C. 306(f)
Results Act of 1993            statute's
(P.L. 103-62, Aug. 3, 1993)    requirements.

Chief Financial Officers Act   Subject to the      Section 9105 of title I of Government
of 1990                        statute's           Corporation Control Act and 31 U.S.C.
(P.L. 101-576, Nov. 15, 1990,  requirements.       3515.
as amended)

Inspector General Act of       Subject to the      5 U.S.C. app. 8 G (h) (2). As a
1978                           statute's           nondesignated federal entity, ADF is
(5 U.S.C. app.)                requirements.       required to submit an annual report to
                                                   the Congress specifying actions taken
                                                   to comply with the general
                                                   requirements of the Inspector General
                                                   Act.

Federal Credit Reform Act of   Not subject to and  ADF does not make direct loans and/or
1990                           does not            loan guarantees.
(2 U.S.C. 661-661f)            administratively
                               adopt the
                               statute's
                               requirements.

Ethics in Government Act of    Subject to the      Ethics in Government Act of 1978.
1978                           statute's
(P.L. 95-521, Oct. 26, 1978,   requirements.
as amended)
-----------------------------------------------------------------------------------------

      RELATED GAO PRODUCTS
------------------------------------------------------- Appendix V:2.6

Foreign Assistance:  African Development Foundation's Overhead Costs
Can Be Reduced (GAO/NSIAD-95-79, June 2, 1995). 

Foreign Assistance:  African Development Foundation's Grant Funds Are
Not Routinely Audited (GAO/NSIAD-92-25, Oct.  29, 1991). 


   SECTION 2:
   COMMODITY CREDIT
   CORPORATIONSECTION 2: 
   COMMODITY CREDIT CORPORATION
--------------------------------------------------------- Appendix V:3


      PURPOSE
------------------------------------------------------- Appendix V:3.1

The Commodity Credit Corporation (CCC) serves to stabilize, support,
and protect farm income and prices, assist in maintaining balanced
and adequate supplies of agricultural commodities and their products,
and facilitate the orderly distribution of commodities.  CCC
accomplishes its purposes by (1) making loans, purchases, and
payments to support agricultural prices; (2) procuring agricultural
commodities for sale to others; (3) increasing domestic consumption
of agricultural commodities through the development of new markets
and marketing facilities; and (4) exporting commodities and aiding in
the development of foreign markets. 


      BACKGROUND
------------------------------------------------------- Appendix V:3.2


         DATE CREATED: 
----------------------------------------------------- Appendix V:3.2.1

June 29, 1948


         ORGANIZATIONAL LOCATION: 
----------------------------------------------------- Appendix V:3.2.2

Within the U.S.  Department of Agriculture (USDA)


         LEGAL AUTHORITY: 
----------------------------------------------------- Appendix V:3.2.3

15 U.S.C.  714, et seq. 


         LEGAL STATUS: 
----------------------------------------------------- Appendix V:3.2.4

Wholly owned government corporation


         PRIMARY METHOD TO ACHIEVE
         PURPOSE: 
----------------------------------------------------- Appendix V:3.2.5

Loans to support the agricultural commodity sector


         PERMANENT OR TEMPORARY
         STATUS: 
----------------------------------------------------- Appendix V:3.2.6

Permanent


         FISCAL YEAR 1994
         FULL-TIME EQUIVALENT
         (FTE) EMPLOYMENT: 
----------------------------------------------------- Appendix V:3.2.7

CCC has no employees of its own.  However, its program and activities
are carried out mainly by the personnel and through the facilities of
the Agricultural Stabilization and Conservation Service (ASCS), USDA. 
In addition, the Foreign Agricultural Service (FAS) as well as other
USDA agencies are used to carry out certain CCC functions.  CCC
estimated that in fiscal year 1994, ASCS performed approximately
3,015 FTE staff years in administering CCC programs and that FAS
performed approximately 450 FTE staff years in carrying out CCC
export programs. 


      MANAGEMENT STRUCTURE
------------------------------------------------------- Appendix V:3.3

CCC is managed by an eight-member board of directors who are
appointed by the President and subject to the general supervision of
the Secretary of Agriculture.  The Secretary of Agriculture is an ex
officio board director and serves as the chairman of the board. 


      FUNDING INFORMATION
------------------------------------------------------- Appendix V:3.4

CCC's gross outlays exceeded its nonfederal collections each year
from fiscal year 1990 through 1994.  During this time frame, CCC's
net federal outlays totaled $61.6 billion.  Figure V.2.1 depicts
CCC's gross outlays, nonfederal collections, and net federal outlays
data from table V.2.1.  Of note, data from fiscal years 1990 through
1991 are not comparable to data from fiscal years 1992 through 1994
because of the Federal Credit Reform Act of 1990.  This act changed
the treatment for direct loans and loan guarantees made on or after
October 1, 1991.  See appendix I for a further explanation on funding
information. 



                              Table V.2.1
                
                    CCC's Gross Outlays, Nonfederal
                Collections, and Net Federal Outlays for
                     Fiscal Years 1990 Through 1994

                         (Dollars in billions)

                                        FY     FY     FY     FY     FY
Budget category                       1990   1991   1992   1993   1994
-----------------------------------  -----  -----  -----  -----  -----
Gross outlays                        $18.8  $20.8  $20.0  $27.1  $20.0
Nonfederal collections                10.9    9.1    8.3    9.2    7.6
Net federal outlays                    7.9   11.7   11.7   17.9   12.4
----------------------------------------------------------------------
Source:  OMB. 

   Figure V.2.1:  CCC's Gross
   Outlays, Nonfederal
   Collections, and Net Federal
   Outlays for Fiscal Years 1990
   Through 1994

   (See figure in printed
   edition.)

Note:  Net federal outlays represent outlays from various federal
sources including direct appropriations and interagency transfers. 

Source:  OMB. 


      CORPORATION'S REPORTED
      STATUTORY ADHERENCE
------------------------------------------------------- Appendix V:3.5



                                       Table V.2.2
                         
                         CCC's Self-Reported Adherence to the 15
                                Selected Federal Statutes

                               Degree of
Statute                        adherence           CCC's comments
-----------------------------  ------------------  --------------------------------------
Privacy Act of 1974            Subject to the      5 U.S.C. 552a
(5 U.S.C. 552a)                statute's
                               requirements.

Freedom of Information Act of  Subject to the      5 U.S.C. 552
1966                           statute's
(5 U.S.C. 552)                 requirements.

Government in the Sunshine     Subject to the      5 U.S.C. 552b
Act                            statute's
(5 U.S.C. 552b)                requirements.

Title 5: Employee              Subject to the      The provisions of 5 U.S.C. 5101-5151
Classification                 statute's           apply only to the extent that CCC has
(5 U.S.C. 5101-5115)           requirements.       employees. It currently has no
                                                   employees. Its activities are carried
                                                   out through the personnel and
                                                   facilities of other USDA agencies.
                                                   Generally, the employees of these
                                                   agencies are subject to such
                                                   provisions.

Title 5: Pay Rates and Rate    Subject to the      5 U.S.C. 5331-5338 and 5341-5349. The
Systems                        statute's           provisions of 5 U.S.C. 5101-5151 apply
(5 U.S.C. 5331-5338 and 5341-  requirements.       only to the extent that CCC has
5349)                                              employees. It currently has no
                                                   employees. Its activities are carried
                                                   out through the personnel and
                                                   facilities of other USDA agencies.
                                                   Generally, the employees of these
                                                   agencies are subject to such
                                                   provisions.

Federal Property and           Not subject to and  40 U.S.C. 474. The Federal Property
Administrative Services Act    does not            and Administrative Services Act does
of 1949                        administratively    not apply to the activities of CCC
(41 U.S.C. 251-260)            adopt the           except that, CCC must ". . . to the
                               statute's           maximum extent practicable, consistent
                               requirements.       with the fulfillment of the purposes
                                                   of the program and the effective and
                                                   efficient conduct of its business,
                                                   coordinate its operations with the
                                                   requirements of said [act]. . . and
                                                   the policies and regulations
                                                   prescribed pursuant thereto." (40
                                                   U.S.C. 474(2)).

Federal Tort Claims Act        Subject to the      15 U.S.C. 714b(c) except that CCC has
(28 U.S.C. 2671, et seq.)      statute's           the authority to make final and
                               requirements.       conclusive settlement and adjustment
                                                   of any claims by and against the CCC
                                                   (15 U.S.C. 714b(k)).

Federal Managers Financial     Partially subject   31 U.S.C. 3512(a) is applicable to
Integrity Act of 1982          to the statute's    government corporations but not
(31 U.S.C. 3512 (b), (c))      requirements.       subsections (b) and (c).

Anti-Deficiency Act            Partially subject   31 U.S.C. 1341. To the extent CCC
(31 U.S.C. 1341)               to the statute's    receives appropriated funds it is
                               requirements.       subject to this act. CCC funds
                                                   obtained under its statutory borrowing
                                                   authority are not subject to this act.

Government Corporation         Subject to the      31 U.S.C. 9101
Control Act of 1945            statute's
(31 U.S.C. 9101, et seq.)      requirements.

Government Performance and     Subject to the      P.L. 103-62
Results Act of 1993            statute's
(P.L. 103-62, Aug. 3, 1993)    requirements.

Chief Financial Officers Act   Partially subject   31 U.S.C. 901 for accounting and
of 1990                        to the statute's    financial management. However, under
(P.L. 101-576, Nov. 15, 1990,  requirements.       15 U.S.C. 714b(j), CCC shall determine
as amended)                                        the character and necessity for its
                                                   obligations and expenditures and the
                                                   manner in which they are incurred.

Inspector General Act of       Subject to the      5 U.S.C. 1341
1978                           statute's
(5 U.S.C. 1341)                requirements.

Federal Credit Reform Act of   Partially subject   2 U.S.C. 661. CCC activities are
1990                           to the statute's    subject to this act, except as
(2 U.S.C. 661-661f)            requirements.       exempted under 2 U.S.C. 661a and
                                                   661c(c).

Ethics in Government Act of    Subject to the      The appendix to title 5 U.S.C.
1978                           statute's           pertaining to the provisions of
(P.L. 95-521, Oct. 26, 1978,   requirements.       sections 401-408 of P.L. 95-521 apply
as amended)                                        only to the extent that CCC has
                                                   employees. It currently has no
                                                   employees. Its activities are carried
                                                   out through the personnel and
                                                   facilities of other USDA agencies.
                                                   Generally, the employees of these
                                                   agencies are subject to such
                                                   provisions.
-----------------------------------------------------------------------------------------

      RELATED GAO PRODUCTS
------------------------------------------------------- Appendix V:3.6

Peanut Program:  Impact on Peanut Producers, Users, and the
Government (GAO/T-RCED-95-215, June 8, 1995). 

Federal Dairy Programs:  Information on Dairy Pricing and Related
1995 Farm Bill Issues (GAO/RCED-95-97BR, Mar.  27, 1995). 

GSM Export Credit Guarantees (GAO/GGD-94-211R, Sept.  29, 1994). 

Agricultural Loan Guarantees:  National Advisory Council's Critical
Views on Loans to Iraq Withheld (GAO/GGD-94-24, Oct.  27, 1993). 

Wheat Commodity Program:  Despite Reforms, Government's Involvement
Remains Substantial (GAO/RCED-93-30, Mar.  18, 1993). 

Loan Guarantees:  Export Credit Guarantee Programs' Costs Are High
(GAO/GGD-93-45, Dec.  22, 1992). 

Agriculture's Export Credit Programs:  Delays in Accessing Records
Relating to Iraq (GAO/T-GGD-92-47, May 29, 1992). 

Financial Audit:  Commodity Credit Corporation's Financial Statements
for 1989 and 1988 (GAO/AFMD-91-5, July 29, 1991). 


   SECTION 3:
   COMMUNITY DEVELOPMENT FINANCIAL
   INSTITUTIONS FUNDSECTION 3: 
   COMMUNITY DEVELOPMENT FINANCIAL
   INSTITUTIONS FUND
--------------------------------------------------------- Appendix V:4


      PURPOSE
------------------------------------------------------- Appendix V:4.1

The Community Development Banking and Financial Institutions Act of
1994 (12 U.S.C.  4701 et seq.) created the Community Development
Financial Institutions (CDFI) Fund.  The CDFI Fund is intended to
promote economic revitalization and community development through
investment in and assistance to community development financial
institutions, banks, thrifts, and secondary market organizations. 


      BACKGROUND
------------------------------------------------------- Appendix V:4.2


         DATE CREATED: 
----------------------------------------------------- Appendix V:4.2.1

September 23, 1994


         ORGANIZATIONAL LOCATION: 
----------------------------------------------------- Appendix V:4.2.2

Within the Department of the Treasury (P.L.  104-19, July 27, 1995)


         LEGAL AUTHORITY: 
----------------------------------------------------- Appendix V:4.2.3

12 U.S.C.  4701 et seq., as modified by P.L.  104-19, July 27, 1995. 


         LEGAL STATUS: 
----------------------------------------------------- Appendix V:4.2.4

Wholly owned government corporation


         PRIMARY MEANS TO ACHIEVE
         PURPOSE: 
----------------------------------------------------- Appendix V:4.2.5

Invests in and assists community development financial institutions,
banks, thrifts, and secondary market organizations to promote
economic revitalization and community development


         PERMANENT OR TEMPORARY
         STATUS: 
----------------------------------------------------- Appendix V:4.2.6

Permanent


         FISCAL YEAR 1994
         FULL-TIME EQUIVALENT
         (FTE) EMPLOYMENT: 
----------------------------------------------------- Appendix V:4.2.7

The CDFI Fund was not in existence until fiscal year 1994.  In fiscal
year 1995, the CDFI Fund had six FTEs authorized for a transition
team.  Under P.L.  104-19, July 27, 1995, the CDFI Fund's FTE may not
exceed 10. 


      MANAGEMENT STRUCTURE
------------------------------------------------------- Appendix V:4.3

The CDFI Fund was to be originally managed by a single administrator
appointed by the President and confirmed by the Senate.  However,
this was changed by P.L.  104-19, which gives the Secretary of the
Treasury all powers and rights of the CDFI Fund administrator.  The
CDFI Fund has a 15-member Community Development Advisory Board which
advises the Fund.  The advisory board is operated according to the
provisions of the Federal Advisory Committee Act (FACA).  However,
section 14 of FACA, requiring that an advisory committee must
terminate after 2 years unless it is renewed, does not apply to the
board.  Board members are to include the Secretaries of Agriculture,
Commerce, Housing and Urban Development, the Interior, the Treasury;
the Administrator of the Small Business Administration, or their
designees; and nine private citizens appointed by the President. 

The CDFI Fund administrator is to appoint a chief financial officer
(CFO) who is to have the authority and functions of an agency CFO as
specified by the CFO Act of 1990.  The administrator may also appoint
other such officers and employees of the Fund as the administrator
deems necessary or appropriate. 


      FUNDING INFORMATION
------------------------------------------------------- Appendix V:4.4

The CDFI Fund was not in existence until fiscal year 1994; therefore
we cannot provide the funding information contained in our other GC
profiles. 


      CORPORATION'S REPORTED
      STATUTORY ADHERENCE
------------------------------------------------------- Appendix V:4.5



                                       Table V.3.1
                         
                          CDFI Fund's Self-Reported Adherence to
                             the 15 Selected Federal Statutes

                               Degree of
Statute                        adherence           CDFI Fund's comments
-----------------------------  ------------------  --------------------------------------
Privacy Act of 1974            Subject to the      5 U.S.C. 551(a) and 552(e)
(5 U.S.C. 552a)                statute's
                               requirements.

Freedom of Information Act of  Subject to the      5 U.S.C. 551(a) and 552(e)
1966                           statute's
(5 U.S.C. 552)                 requirements.

Government in the Sunshine     Not subject to and  5 U.S.C. 552b(a)(1)
Act                            does not
(5 U.S.C. 552b)                administratively
                               adopt the
                               statute's
                               requirements.

Title 5: Employee              Partially subject   5 U.S.C. 5101 and 5102(a)(1)(A); with
Classification                 to the statute's    exemption provided in 12 U.S.C.
(5 U.S.C. 5101-5115)           requirements.       4703(b)(4) and (k)(4) for 2-year
                                                   transition period beginning on the
                                                   date the Community Development Banking
                                                   and Financial Institutions Act of 1994
                                                   was enacted (Sept. 23, 1994).

Title 5: Pay Rates and Rate    Partially subject   5 U.S.C. 5331 and 5102(a)(1)(A); with
Systems                        to the statute's    exemption provided in 12 U.S.C.
(5 U.S.C. 5331-5338 and 5341-  requirements.       4703(b)(4) and (k)(4) for 2-year
5349)                                              transition period beginning on the
                                                   date the Community Development Banking
                                                   and Financial Institutions Act of 1994
                                                   was enacted (Sept. 23, 1994).

Federal Property and           Subject to the      41 U.S.C. 252(a)
Administrative Services Act    statute's
of 1949                        requirements.
(41 U.S.C. 251-260)

Federal Tort Claims Act        Subject to the      28 U.S.C. 2672
(28 U.S.C. 2671, et seq.)      statute's
                               requirements.

Federal Managers Financial     Subject to the      31 U.S.C. 3512(b),(c)
Integrity Act of 1982          statute's
(31 U.S.C. 3512 (b), (c))      requirements.

Anti-Deficiency Act            Subject to the      31 U.S.C. 1341(a)(1)
(31 U.S.C. 1341)               statute's
                               requirements.

Government Corporation         Partially subject   31 U.S.C. 9101(3)(B); except exemption
Control Act of 1945            to the statute's    from 31 U.S.C. 9107(b) for deposits
(31 U.S.C. 9101, et seq.)      requirements.       made by the CDFI Fund under 12 U.S.C.
                                                   4707 (12 U.S.C. 4703(f)).

Government Performance and     Subject to the      31 U.S.C. 1115(a)
Results Act of 1993            statute's
(P.L. 103-62, Aug. 3, 1993)    requirements.

Chief Financial Officers Act   Subject to the      12 U.S.C. 4703(b)(2)
of 1990                        statute's
(P.L. 101-576, Nov. 15, 1990,  requirements.
as amended)

Inspector General Act of       Subject to the      5 U.S.C. App. 11 (as amended by P.L.
1978                           statute's           103-325, section 118)
(5 U.S.C. app.)                requirements.

Federal Credit Reform Act of   Subject to the      2 U.S.C. 661a
1990                           statute's
(2 U.S.C. 661-661f)            requirements.

Ethics in Government Act of    Subject to the      5 U.S.C. App. 5 402(a) and 5 C.F.R.
1978                           statute's           2635
(P.L. 95-521, Oct. 26, 1978,   requirements.
as amended)
-----------------------------------------------------------------------------------------

      RELATED GAO PRODUCT
------------------------------------------------------- Appendix V:4.6

Community Development:  Comprehensive Approaches Address Multiple
Needs but Are Challenging to Implement (GAO/RCED/HEHS-95-69, Feb.  8,
1995). 


   SECTION 4:
   CORPORATION FOR NATIONAL AND
   COMMUNITY SERVICESECTION 4: 
   CORPORATION FOR NATIONAL AND
   COMMUNITY SERVICE
--------------------------------------------------------- Appendix V:5


      PURPOSE
------------------------------------------------------- Appendix V:5.1

The Corporation for National and Community Service (CNCS), under 42
U.S.C.  12501(b), is to (1) meet the unmet human, educational,
environmental, and public safety needs of the United States without
displacing existing workers; (2) renew the ethic of civic
responsibility and the spirit of community throughout the United
States; (3) expand educational opportunity by rewarding individuals
who participate in national service with an increased ability to
pursue higher education or job training; (4) encourage citizens of
the United States, regardless of age, income, or disability, to
engage in full-time or part-time national service; (5) reinvent
government to eliminate duplication, support locally established
initiatives, require measurable goals for performance, and offer
flexibility in meeting those goals; (6) expand and strengthen
existing service programs with demonstrated experience in providing
structured service opportunities with visible benefits to the
participants and the community; (7) build on the existing
organizational service infrastructure of federal, state, and local
programs and agencies to expand full-time and part-time service
opportunities for all citizens; and (8) provide tangible benefits to
the communities in which national service is performed. 


      BACKGROUND
------------------------------------------------------- Appendix V:5.2


         DATE CREATED: 
----------------------------------------------------- Appendix V:5.2.1

September 21, 1993


         ORGANIZATIONAL LOCATION: 
----------------------------------------------------- Appendix V:5.2.2

Independent


         LEGAL AUTHORITY: 
----------------------------------------------------- Appendix V:5.2.3

42 U.S.C.  12501, et seq. 


         LEGAL STATUS: 
----------------------------------------------------- Appendix V:5.2.4

Wholly owned government corporation


         PRIMARY METHOD TO ACHIEVE
         PURPOSE:
----------------------------------------------------- Appendix V:5.2.5

Grants to promote community development and national service


         PERMANENT OR TEMPORARY
         STATUS: 
----------------------------------------------------- Appendix V:5.2.6

Permanent.  CNCS is scheduled for reauthorization by September 30,
1996, and to be reauthorized every 3 years thereafter. 


         FISCAL YEAR 1994
         FULL-TIME EQUIVALENT
         (FTE) EMPLOYMENT: 
----------------------------------------------------- Appendix V:5.2.7

575


      MANAGEMENT STRUCTURE
------------------------------------------------------- Appendix V:5.3

CNCS has a 15-member board of directors which is appointed by the
President with the advice and consent of the Senate (42 U.S.C. 
12651b).  Officers of the board of directors, also appointed by the
President by and with the advice and consent of the Senate, are (1) a
chief executive officer (CEO) (42 U.S.C.  12651c), (2) two managing
directors who report to the CEO (42 U.S.C.  12651e(a)), (3) a CFO (42
U.S.C.  12651e(c)), and (4) an inspector general (42 U.S.C. 
12651e(b)). 


      FUNDING INFORMATION
------------------------------------------------------- Appendix V:5.4

CNCS' gross outlays exceeded its nonfederal collections from fiscal
years 1993 and 1994.  During this time frame, CNCS' net federal
outlays totaled $339.6 million.  Figure V.4.1 depicts CNCS' gross
outlays, nonfederal collections, and net federal outlays data from
table V.4.1. 



                              Table V.4.1
                
                    CNCS' Gross Outlays, Nonfederal
                Collections, and Net Federal Outlays for
                       Fiscal Years 1993 and 1994

                         (Dollars in millions)

                                                             FY     FY
Budget category                                            1993   1994
--------------------------------------------------------  -----  -----
Gross outlays                                             $213.  $127.
                                                              0      6
Nonfederal collections                                      1.0      0
Net federal outlays                                       212.0  127.6
----------------------------------------------------------------------
Source:  OMB. 

   Figure V.4.1:  CNCS' Gross
   Outlays, Nonfederal
   Collections, and Net Federal
   Outlays for Fiscal Years 1993
   and 1994

   (See figure in printed
   edition.)

Note:  Net federal outlays represent outlays from various federal
sources including direct appropriations and interagency transfers. 

Source:  OMB. 


      CORPORATION'S REPORTED
      STATUTORY ADHERENCE
------------------------------------------------------- Appendix V:5.5



                                       Table V.4.2
                         
                         CNCS's Self-Reported Adherence to the 15
                                Selected Federal Statutes

                               Degree of
Statute                        adherence           CNCS' comments
-----------------------------  ------------------  --------------------------------------
Privacy Act of 1974            Subject to the      5 U.S.C. 552a
(5 U.S.C. 552a)                statute's
                               requirements.

Freedom of Information Act of  Subject to the      5 U.S.C. 552
1966                           statute's
(5 U.S.C. 552)                 requirements.

Government in the Sunshine     Subject to the      5 U.S.C. 552b
Act                            statute's
(5 U.S.C. 552b)                requirements.

Title 5: Employee              Partially subject   CNCS' Alternative Personnel System is
Classification                 to the statute's    in the process of being developed
(5 U.S.C. 5101-5115)           requirements and    under 42 U.S.C. 12651f(b) for non-
                               also implements an  Civil Service Plan staff. On September
                               alternative         21, 1993, CNCS was created by
                               mechanism to        eliminating the Commission for
                               attain the          National and Community Service and
                               objective(s) of     merging it into CNCS. The ACTION
                               the statute.        agency officially merged into CNCS on
                                                   April 4, 1994. Under this
                                                   consolidation of federal agencies,
                                                   different sections of the U.S. Code
                                                   were to apply to different personnel
                                                   working within CNCS. ACTION agency
                                                   employees, under the Civil Service
                                                   Plan, continue to maintain their
                                                   current pay and retirement benefits
                                                   under 5 U.S.C. 5101-5115, while
                                                   employees hired to work for CNCS fall
                                                   under the CNCS' new Alternative
                                                   Personnel System (see 42 U.S.C.
                                                   1265f(b)). Therefore, for the
                                                   questions on title 5: Employee
                                                   Classification and title 5: Pay Rates
                                                   and Rate Systems, CNCS lists the two
                                                   different U.S. Code citations.

Title 5: Pay Rates and Rate    Partially subject   See response under previous section,
Systems                        to the statute's    Title 5: Employee Classification.
(5 U.S.C. 5331-5338 and 5341-  requirements and
5349)                          also implements an
                               alternative
                               mechanism to
                               attain the
                               objective(s) of
                               the statute.

Federal Property and           Subject to the      42 U.S.C. 12651g(b)
Administrative Services Act    statute's
of 1949                        requirements.
(41 U.S.C. 251-260)

Federal Tort Claims Act        Subject to the      28 U.S.C. 2672; 42 U.S.C. 5055(b)
(28 U.S.C. 2671, et seq.)      statute's           DVSA; and 42 U.S.C. 12620(c)
                               requirements.

Federal Managers Financial     Subject to the      31 U.S.C. 3512(b)(c)
Integrity Act of 1982          statute's
(31 U.S.C. 3512 (b), (c))      requirements.

Anti-Deficiency Act            Subject to the      31 U.S.C. 1341 and 42 U.S.C. 12682
(31 U.S.C. 1341)               statute's
                               requirements.

Government Corporation         Subject to the      31 U.S.C. 9109(3)(E)
Control Act of 1945            statute's
(31 U.S.C. 9101, et seq.)      requirements.

Government Performance and     Subject to the      31 U.S.C. 1101
Results Act of 1993            statute's
(P.L. 103-62, Aug. 3, 1993)    requirements.

Chief Financial Officers Act   Not subject to and  42 U.S.C. 12651e(c)
of 1990                        does not
(P.L. 101-576, Nov. 15, 1990,  administratively
as amended)                    adopt the
                               statute's
                               requirements.

Inspector General Act of       Subject to the      5 U.S.C. 1341 and 42 U.S.C. 12651e(b)
1978                           statute's
(5 U.S.C. app.)                requirements.

Federal Credit Reform Act of   Not subject to and  7 U.S.C. 1421 and 42 U.S.C. 12501
1990                           does not
(2 U.S.C. 661-661f)            administratively
                               adopt the
                               statute's
                               requirements.

Ethics in Government Act of    Subject to the      5 U.S.C. appendix 5
1978                           statute's
(P.L. 95-521, Oct. 26, 1978,   requirements.
as amended)
-----------------------------------------------------------------------------------------

      RELATED GAO PRODUCTS
------------------------------------------------------- Appendix V:5.6

Means-Tested Programs (GAO/HEHS-95-94R, Feb.  24, 1995). 

Multiple Employment Training Programs:  Information Crosswalk on 163
Employment Training Programs (GAO/HEHS-95-85FS, Feb.  14, 1995). 

Multiple Youth Programs (GAO/HEHS-95-60R, Jan.  19, 1995). 


   SECTION 5:
   EXPORT-IMPORT BANK OF THE
   UNITED STATESSECTION 5: 
   EXPORT-IMPORT BANK OF THE
   UNITED STATES
--------------------------------------------------------- Appendix V:6


      PURPOSE
------------------------------------------------------- Appendix V:6.1

The Export-Import (EXIM) Bank helps the private sector create and
maintain U.S.  jobs by financing exports of U.S.  goods and services
that would not take place without EXIM Bank assistance. 


      BACKGROUND
------------------------------------------------------- Appendix V:6.2


         DATE CREATED: 
----------------------------------------------------- Appendix V:6.2.1

February 2, 1934


         ORGANIZATIONAL LOCATION: 
----------------------------------------------------- Appendix V:6.2.2

Independent


         LEGAL AUTHORITY: 
----------------------------------------------------- Appendix V:6.2.3

12 U.S.C.  635


         LEGAL STATUS: 
----------------------------------------------------- Appendix V:6.2.4

Wholly owned government corporation


         PRIMARY METHOD TO ACHIEVE
         PURPOSE: 
----------------------------------------------------- Appendix V:6.2.5

Provides insurance, loans, and guarantees to promote U.S.  exports
and to facilitate imports


         PERMANENT OR TEMPORARY
         STATUS: 
----------------------------------------------------- Appendix V:6.2.6

Permanent


         FISCAL YEAR 1994
         FULL-TIME EQUIVALENT
         (FTE) EMPLOYMENT: 
----------------------------------------------------- Appendix V:6.2.7

458


      MANAGEMENT STRUCTURE
------------------------------------------------------- Appendix V:6.3

The board of directors consists of the president and chairman, the
first vice president and vice chairman, and three other directors. 
All of the members of the board of directors are appointed by the
President, by and with the advice and consent of the Senate, and
serve 4-year terms. 


      FUNDING INFORMATION
------------------------------------------------------- Appendix V:6.4

EXIM's gross outlays exceeded its nonfederal collections in fiscal
year 1990.  In fiscal years 1991 through 1994, EXIM's nonfederal
collections exceeded its gross outlays.  During fiscal years 1990
through 1994, EXIM's negative net federal outlays totaled $1.3
billion.  Figure V.5.1 depicts EXIM's gross outlays, nonfederal
collections, and net federal outlays data from table V.5.1.  Of note,
data from fiscal years 1990 through 1991 are not comparable to data
from fiscal years 1992 through 1994 because of the Federal Credit
Reform Act of 1990.  This act changed the treatment for direct loans
and loan guarantees made on or after October 1, 1991.  See appendix I
for further explanation. 



                              Table V.5.1
                
                    EXIM's Gross Outlays, Nonfederal
                Collections, and Net Federal Outlays for
                     Fiscal Years 1990 Through 1994

                         (Dollars in billions)

                                        FY     FY     FY     FY     FY
Budget category                       1990   1991   1992   1993   1994
-----------------------------------  -----  -----  -----  -----  -----
Gross outlays                         $2.5   $2.4   $1.7   $1.5   $1.0
Nonfederal collections                 2.1    2.5    1.8    2.2    1.8
Net federal outlays                    0.4  (0.1)  (0.1)  (0.7)  (0.8)
----------------------------------------------------------------------
Source:  OMB. 

   Figure V.5.1:  EXIM's Gross
   Outlays, Nonfederal
   Collections, and Net Federal
   Outlays for Fiscal Years 1990
   Through 1994

   (See figure in printed
   edition.)

Note:  Net federal outlays represent outlays from various federal
sources including direct appropriations and interagency transfers. 

Source:  OMB. 


      CORPORATION'S REPORTED
      STATUTORY ADHERENCE
------------------------------------------------------- Appendix V:6.5



                                       Table V.5.2
                         
                         EXIM's Self-Reported Adherence to the 15
                                Selected Federal Statutes

                               Degree of
Statute                        adherence           EXIM's comments
-----------------------------  ------------------  --------------------------------------
Privacy Act of 1974            Subject to the      5 U.S.C. 552a(a)(1) and 552(f)
(5 U.S.C. 552a)                statute's
                               requirements.

Freedom of Information Act of  Subject to the      5 U.S.C. 552a(a)(1) and 552(f)
1966                           statute's
(5 U.S.C. 552)                 requirements.

Government in the Sunshine     Subject to the      5 U.S.C. 552b(a)(1) and 552(f)
Act                            statute's
(5 U.S.C. 552b)                requirements.

Title 5: Employee              Partially subject   5 U.S.C. 5102(a)(1)(A) and 105; 35
Classification                 to the statute's    positions are exempt under P.L. 102-
(5 U.S.C. 5101-5115)           requirements.       429, as extended by P.L. 103-306 to
                                                   accommodate the Bank's specialized
                                                   human resource management needs.

Title 5: Pay Rates and Rate    Partially subject   5 U.S.C. 5331 and 5342(a)(1); 35
Systems                        to the statute's    positions are exempt under P.L. 102-
(5 U.S.C. 5331-5338 and 5341-  requirements.       429, as extended by P.L. 103-306 to
5349)                                              accommodate the Bank's specialized
                                                   human resource management needs.

Federal Property and           Subject to the      40 U.S.C. 472(a)
Administrative Services Act    statute's
of 1949                        requirements.
(41 U.S.C. 251-260)

Federal Tort Claims Act        Subject to the      28 U.S.C. 2671
(28 U.S.C. 2671, et seq.)      statute's
                               requirements.

Federal Managers Financial     Not subject to but  31 U.S.C. 3501 and 31 U.S.C. 9101; OMB
Integrity Act of 1982          implements an       Circular A-123, Internal Control
(31 U.S.C. 3512 (b), (c))      alternative         Systems, and OMB Circular A-127,
                               mechanism(s) to     Financial Management Systems; and the
                               attain the          Government Corporation Control Act.
                               objective(s) of
                               the statute.        EXIM's management report under section
                                                   306 of the Chief Financial Officers
                                                   Act of 1990 satisfied the requirements
                                                   of the Federal Managers' Financial
                                                   Integrity Act report.


Anti-Deficiency Act            Subject to the      31 U.S.C. 1341
(31 U.S.C. 1341)               statute's
                               requirements.

Government Corporation         Subject to the      31 U.S.C. 9101(3)(B)
Control Act of 1945            statute's
(31 U.S.C. 9101, et seq.)      requirements.

Government Performance and     Subject to the      P.L. 103-62: section 3 (5 U.S.C.
Results Act of 1993            statute's           306(f) and 105), section 4(b) (31
(P.L. 103-62, Aug. 3, 1993)    requirements.       U.S.C. 1115(f)), and section 5 (31
                                                   U.S.C. 9703(f)).

Chief Financial Officers Act   Subject to the      P.L. 101-576: section 305 (31 U.S.C.
of 1990                        statute's           9105) and section 306 (31 U.S.C.
(P.L. 101-576, Nov. 15, 1990,  requirements.       9106).
as amended)

Inspector General Act of       Not subject to and  5 U.S.C. appendix 3, section 11
1978                           does not
(5 U.S.C. app.)                administratively
                               adopt the
                               statute's
                               requirements.

Federal Credit Reform Act of   Subject to the      P.L. 101-508, title XIII, subtitle B
1990                           statute's
(2 U.S.C. 661-661f)            requirements.

Ethics in Government Act of    Subject to the      P.L. 95-521, as amended
1978                           statute's
(P.L. 95-521, Oct. 26, 1978,   requirements.
as amended)
-----------------------------------------------------------------------------------------

      RELATED GAO PRODUCTS
------------------------------------------------------- Appendix V:6.6

Export Finance:  Comparative Analysis of U.S.  and European Union
Export Credit Agencies (GAO/GGD-96-1, Oct.  24, 1995). 

Export Promotion:  Rationales For and Against Government Programs and
Expenditures (GAO/T-GGD-95-169, May 23, 1995). 

International Trade:  U.S.  Efforts to Counter Competitors' Tied Aid
Practices (GAO/T-GGD-95-128, Mar.  28, 1995). 

Export Promotion:  Federal Programs Lack Organizational and Funding
Cohesiveness (GAO/NSIAD-92-49, Jan.  10, 1992). 

The U.S.  Export-Import Bank:  The Bank Plays an Important Role in
Promoting Exports (GAO/T-GGD-92-36, May 6, 1992). 


   SECTION 6:
   FEDERAL CROP INSURANCE
   CORPORATIONSECTION 6:  FEDERAL
   CROP INSURANCE CORPORATION
--------------------------------------------------------- Appendix V:7


      PURPOSE
------------------------------------------------------- Appendix V:7.1

The Federal Crop Insurance Corporation (FCIC) is to promote the
national welfare by improving economic stability of agriculture
through a system of crop insurance and providing the means for the
research and experience helpful in devising and establishing such
insurance. 


      BACKGROUND
------------------------------------------------------- Appendix V:7.2


         DATE CREATED: 
----------------------------------------------------- Appendix V:7.2.1

February 16, 1938


         ORGANIZATIONAL LOCATION: 
----------------------------------------------------- Appendix V:7.2.2

Within the U.S.  Department of Agriculture (USDA)


         LEGAL AUTHORITY: 
----------------------------------------------------- Appendix V:7.2.3

7 U.S.C.  1501, et seq. 


         LEGAL STATUS: 
----------------------------------------------------- Appendix V:7.2.4

Wholly owned government corporation


         PRIMARY METHOD TO ACHIEVE
         PURPOSE: 
----------------------------------------------------- Appendix V:7.2.5

Provides crop insurance to promote agricultural stability


         PERMANENT OR TEMPORARY
         STATUS: 
----------------------------------------------------- Appendix V:7.2.6

Permanent


         FISCAL YEAR 1994
         FULL-TIME EQUIVALENT
         (FTE) EMPLOYMENT: 
----------------------------------------------------- Appendix V:7.2.7

795


      MANAGEMENT STRUCTURE
------------------------------------------------------- Appendix V:7.3

FCIC is managed by a seven-member board of directors, which is
appointed by and serves at the pleasure of the Secretary of
Agriculture. 


      FUNDING INFORMATION
------------------------------------------------------- Appendix V:7.4

FCIC's gross outlays exceeded its nonfederal collections each year
from fiscal year 1990 through 1994.  During this time frame, FCIC's
net federal outlays totaled $4.4 billion.  Figure V.6.1 depicts
FCIC's gross outlays, nonfederal collections, and net federal outlays
data from table V.6.1. 



                              Table V.6.1
                
                    FCIC's Gross Outlays, Nonfederal
                Collections, and Net Federal Outlays for
                     Fiscal Years 1990 Through 1994

                         (Dollars in billions)

                                        FY     FY     FY     FY     FY
Budget category                       1990   1991   1992   1993   1994
-----------------------------------  -----  -----  -----  -----  -----
Gross outlays                         $1.6   $1.3   $1.5   $1.0   $1.9
Nonfederal collections                 0.6    0.6    0.5    0.6    0.6
Net federal outlays                    1.0    0.7    1.0    0.4    1.3
----------------------------------------------------------------------
Source:  OMB. 

   Figure V.6.1:  FCIC's Gross
   Outlays, Nonfederal
   Collections, and Net Federal
   Outlays for Fiscal Years 1990
   Through 1994

   (See figure in printed
   edition.)

Note:  Net federal outlays represent outlays from various federal
sources including direct appropriations and interagency transfers. 

Source:  OMB. 


      CORPORATION'S REPORTED
      STATUTORY ADHERENCE
------------------------------------------------------- Appendix V:7.5



                                       Table V.6.2
                         
                         FCIC's Self-Reported Adherence to the 15
                                Selected Federal Statutes

                               Degree of
Statute                        adherence           FCIC's comments
-----------------------------  ------------------  --------------------------------------
Privacy Act of 1974            Subject to the      5 U.S.C. 552a
(5 U.S.C. 552a)                statute's
                               requirements.

Freedom of Information Act of  Subject to the      5 U.S.C. 552
1966                           statute's
(5 U.S.C. 552)                 requirements.

Government in the Sunshine     Not subject to and  7 U.S.C. 505(a). The board of
Act                            does not            directors is appointed by the
(5 U.S.C. 552b)                administratively    Secretary of Agriculture, not the
                               adopt the           President with the advice and consent
                               statute's           of the Senate.
                               requirements.

Title 5: Employee              Partially subject   5 U.S.C. 5105-5115. Except that
Classification                 to the statute's    personnel paid by the hour, day, or
(5 U.S.C. 5101-5115)           requirements.       month when actually employed, and
                                                   county crop insurance committee
                                                   members may be appointed without
                                                   regard to civil-service laws and
                                                   regulations (7 U.S.C. 1507(a)).

Title 5: Pay Rates and Rate    Subject to the      5 U.S.C. 5105-5115
Systems                        statute's
(5 U.S.C. 5331-5338 and 5341-  requirements.
5349)

Federal Property and           Partially subject   7 U.S.C. 1506 (i) and (k). The Federal
Administrative Services Act    to the statute's    Property and Administrative Services
of 1949                        requirements.       Act of 1949 does not apply to FCIC.
(41 U.S.C. 251-260)                                FCIC can determine the character and
                                                   necessity of its expenditures without
                                                   regard to any other provision of law
                                                   governing the expenditure of public
                                                   funds, and FCIC has its own statutory
                                                   authority to enter into such contracts
                                                   as are necessary to do its business.
                                                   FCIC is subject to 41 U.S.C. 5 with
                                                   regard to its administrative
                                                   transactions only.

Federal Tort Claims Act        Subject to the      28 U.S.C. 2672
(28 U.S.C. 2671, et seq.)      statute's
                               requirements.

Federal Managers Financial     Not subject to but  31 U.S.C. 3501. FCIC is not an
Integrity Act of 1982          administratively    executive agency as defined in the
(31 U.S.C. 3512 (b), (c))      adopts the          act. The act was amended to include
                               statute's           government corporations in subsection
                               requirements.       (a), but not in subsections (b) and
                                                   (c). However, FCIC voluntarily adheres
                                                   to a system of internal accounting
                                                   controls consistent with the Federal
                                                   Managers Financial Integrity Act of
                                                   1982.


Anti-Deficiency Act            Subject to the      31 U.S.C. 1341. Although FCIC does not
(31 U.S.C. 1341)               statute's           have the authority to make
                               requirements.       expenditures in excess of its
                                                   appropriations and insurance fund, it
                                                   may obligate funds in excess of its
                                                   appropriations and insurance fund
                                                   under its statutory contracting
                                                   authority to do its business of
                                                   insuring producers of agricultural
                                                   products (7 U.S.C. 1506 and 1508(a)).

Government Corporation         Subject to the      31 U.S.C. 9101
Control Act of 1945            statute's
(31 U.S.C. 9101, et seq.)      requirements.

Government Performance and     Subject to the      P.L. 103-62
Results Act of 1993            statute's
(P.L. 103-62, Aug. 3, 1993)    requirements.

Chief Financial Officers Act   Partially subject   31 U.S.C. 901 for purpose of
of 1990                        to the statute's    accounting. However, under 7 U.S.C.
(P.L. 101-576, Nov. 15, 1990,  requirements.       1506(i), FCIC is exempt from any other
as amended)                                        provision of law governing the
                                                   expenditure of public funds.

Inspector General Act of       Subject to the      5 U.S.C. 1341
1978                           statute's
(5 U.S.C. app.)                requirements.

Federal Credit Reform Act of   Not subject to and  2 U.S.C. 661e(a)(1)
1990                           does not
(2 U.S.C. 661-661f)            administratively
                               adopt the
                               statute's
                               requirements.

Ethics in Government Act of    Subject to the      The appendix to title 5, U.S. Code,
1978                           statute's           pertaining to the provisions of
(P.L. 95-521, Oct. 26, 1978,   requirements.       section 401-408 of P.L. 95-521
as amended)                                        applies.
-----------------------------------------------------------------------------------------

      RELATED GAO PRODUCTS
------------------------------------------------------- Appendix V:7.6

Crop Insurance:  Additional Actions Could Further Improve Program's
Financial Condition (GAO/RCED-95-269, Sept.  28, 1995). 

Crop Insurance:  Federal Program Faces Insurability and Design
Problems (GAO/RCED-93-98, May 24, 1993). 

Crop Insurance Program:  Nationwide Computer Acquisition Is
Inappropriate at This Time (GAO/IMTEC-93-20, Mar.  8, 1993). 

Crop Insurance:  Federal Program Has Been Unable to Meet Objectives
of 1980 Act (GAO/T-RCED-93-12, Mar.  3, 1993). 

Crop Insurance:  Program Has Not Fostered Significant Risk Sharing by
Insurance Companies (GAO/RCED-92-25, Jan.  13, 1992). 


   SECTION 7:
   FEDERAL DEPOSIT INSURANCE
   CORPORATIONSECTION 7:  FEDERAL
   DEPOSIT INSURANCE CORPORATION
--------------------------------------------------------- Appendix V:8


      PURPOSE
------------------------------------------------------- Appendix V:8.1

The Federal Deposit Insurance Corporation (FDIC) was established to
promote and preserve public confidence in banks and protect the money
supply through provision of deposit insurance for bank and thrift
deposits and periodic examinations of insured state-chartered banks
that are not members of the Federal Reserve System.  The FDIC manages
the Bank Insurance Fund, the Savings Association Insurance Fund, and
the Federal Savings and Loan Insurance Corporation (FSLIC) Resolution
Fund.  Additionally, the FDIC (1) approves or disapproves mergers,
consolidations, acquisitions, and assumption transactions between
insured banks when the resulting banks are to be insured nonmember
state banks; (2) administers the regulations and reporting provisions
of the Securities Exchange Act for securities issued by insured
nonmember state banks that are subject to the provisions of the act;
(3) requires reports of condition, income, and other data of banks;
and (4) requires insured nonmember state banks to comply with the
Federal Reserve Regulations pertaining to truth in lending, consumer
credit, and related areas. 


      BACKGROUND
------------------------------------------------------- Appendix V:8.2


         DATE CREATED: 
----------------------------------------------------- Appendix V:8.2.1

June 16, 1933


         ORGANIZATIONAL LOCATION: 
----------------------------------------------------- Appendix V:8.2.2

Independent


         LEGAL AUTHORITY: 
----------------------------------------------------- Appendix V:8.2.3

48 Stat.  162; 12 U.S.C.  264; 64 Stat.  873; 12 U.S.C.  1811-1813. 


         LEGAL STATUS: 
----------------------------------------------------- Appendix V:8.2.4

Mixed-ownership government corporation


         PRIMARY METHOD TO ACHIEVE
         PURPOSE: 
----------------------------------------------------- Appendix V:8.2.5

Provides deposit insurance to secure bank and thrift deposits


         PERMANENT OR TEMPORARY
         STATUS: 
----------------------------------------------------- Appendix V:8.2.6

Permanent


         CALENDAR YEAR 1994
         FULL-TIME EQUIVALENT
         (FTE) EMPLOYMENT: 
----------------------------------------------------- Appendix V:8.2.7

12,499\3


--------------------
\3 FDIC maintains FTE data on a calendar-year basis. 


      MANAGEMENT STRUCTURE
------------------------------------------------------- Appendix V:8.3

FDIC has a five-member board of directors.  Board members consist of
the Comptroller of the Currency, the Director of the Office of Thrift
Supervision, and three citizens who are appointed by the President of
the United States with the advice and consent of the Senate.  The
appointed members serve 6-year terms.  One of the appointed members
is designated by the President as chairman for a term of 5 years. 
Another of the appointed members is designated by the President as
vice chairman.  No more than three board members can be affiliated
with the same political party. 


      FUNDING INFORMATION
------------------------------------------------------- Appendix V:8.4

FDIC's gross outlays exceeded its nonfederal collections from fiscal
years 1990 through 1992.  In fiscal years 1993 and 1994, FDIC's
nonfederal collections exceeded its gross outlays.  During fiscal
years 1990 through 1994, FDIC's net federal outlays totaled $22.4
billion.  Figure V.7.1 depicts FDIC's gross outlays, nonfederal
collections, and net federal outlays data from table V.7.1. 



                              Table V.7.1
                
                    FDIC's Gross Outlays, Nonfederal
                Collections, and Net Federal Outlays for
                     Fiscal Years 1990 Through 1994

                         (Dollars in billions)

                                        FY     FY     FY     FY     FY
Budget category                       1990   1991   1992   1993   1994
-----------------------------------  -----  -----  -----  -----  -----
Gross outlays                        $21.5  $30.8  $30.5  $11.7   $6.2
Nonfederal collections                 8.7   14.1   18.2   19.8   17.5
Net federal outlays                   12.8   16.7   12.3  (8.1)  (11.3
                                                                     )
----------------------------------------------------------------------
Source:  OMB. 

   Figure V.7.1:  FDIC's Gross
   Outlays, Nonfederal
   Collections, and Net Federal
   Outlays for Fiscal Years 1990
   Through 1994

   (See figure in printed
   edition.)

Note:  Net federal outlays represent outlays from various federal
sources including direct appropriations and interagency transfers. 

Source:  OMB. 


      CORPORATION'S REPORTED
      STATUTORY ADHERENCE
------------------------------------------------------- Appendix V:8.5



                                       Table V.7.2
                         
                         FDIC's Self-Reported Adherence to the 15
                                Selected Federal Statutes

                               Degree of
Statute                        adherence           FDIC's comments
-----------------------------  ------------------  --------------------------------------
Privacy Act of 1974            Partially subject   The Privacy Act (5 U.S.C. 552(a))
(5 U.S.C. 552a)                to the statute's    defines the term "agency" as it is
                               requirements and    defined in 5 U.S.C. 552e. The
                               also                definition includes government-
                               administratively    controlled corporations. FDIC is a
                               adopts the          government-controlled corporation (12
                               statute's           C.F.R. part 309).
                               requirements.
                                                   The Privacy Act does not apply to
                                                   information obtained by FDIC in its
                                                   role as receiver of a failed financial
                                                   institution. As receiver, FDIC does
                                                   not hold the records as a federal
                                                   agency, but rather, FDIC represents
                                                   the failed institution. See Sharp v.
                                                   FDIC, Civ. No. 75-1428 (D.D.C. Oct.
                                                   15, 1975); aff'd 539 F.2d 243 (D.C.
                                                   Cir. 1976), cert denied, 429 U.S. 1040
                                                   (1977). However, FDIC, in its
                                                   receivership capacity, voluntarily
                                                   complies with the act.

Freedom of Information Act of  Partially subject   The Freedom of Information Act defines
1966                           to the statute's    the term "agency" as including any
(5 U.S.C. 552)                 requirements and    government-controlled corporation as
                               also                defined in 5 U.S.C. 552(e). FDIC is a
                               administratively    government-controlled corporation.
                               adopts the
                               statute's           The Freedom of Information Act does
                               requirements.       not apply to information obtained by
                                                   FDIC in its role as receiver of a
                                                   failed financial institution. As
                                                   receiver, FDIC does not hold the
                                                   records as a federal agency, but
                                                   rather, FDIC represents the failed
                                                   institution. See Sharp v. FDIC, Civ.
                                                   No. 75-1428 (D.D.C. Oct. 15, 1975);
                                                   aff'd 539 F.2d 243 (D.C. Cir. 1976),
                                                   cert denied, 429 U.S. 1040 (1977).
                                                   However, FDIC, in its receivership
                                                   capacity, voluntarily complies with
                                                   the act.

Government in the Sunshine     Subject to the      The Government in the Sunshine Act (5
Act                            statute's           U.S.C. 552(b)) defines "agency" to
(5 U.S.C. 552b)                requirements.       include government-controlled
                                                   corporations as defined in 5 U.S.C.
                                                   552(e). FDIC is a government-
                                                   controlled corporation.


Title 5: Employee              Not subject to but  FDIC Board Resolution 17765, dated
Classification                 administratively    November 10, 1949, and 12 U.S.C.
(5 U.S.C. 5101-5115)           adopts the          1819(Fifth) allow the FDIC board of
                               statute's           directors to set the pay of the FDIC
                               requirements.       employees.

                                                   5 U.S.C. 5102(a) excludes government-
                                                   controlled corporations from chapter
                                                   51 of title 5, U.S. Code.

Title 5: Pay Rates and Rate    Not subject to and  FDIC does not consider itself subject
Systems                        does not            to the requirements of subchapter III,
(5 U.S.C. 5331-5338 and 5341-  administratively    chapter 53 of title 5, U.S. Code (5
5349)                          adopt the           U.S.C. 5331-5338), which prescribes
                               statute's           the "General Schedule Pay Rates"; and
                               requirements.       subchapter IV, chapter 53 of title 5,
                                                   U.S. Code (5 U.S.C. 5341-5349), which
                                                   provides the prevailing rate systems
                                                   for employees of agencies. Both 5
                                                   U.S.C. 5331 and 5342 define an
                                                   "agency" as exclusive of a government-
                                                   controlled corporation. Furthermore,
                                                   12 U.S.C. 1819(Fifth) authorizes the
                                                   FDIC board of directors to fix the
                                                   compensation of FDIC employees.

Federal Property and           Not subject to and  The definition section of 40 U.S.C.
Administrative Services Act    does not            472 does not apply to mixed-ownership
of 1949                        administratively    government corporations. The act
(41 U.S.C. 251-260)            adopt the           applies to "executive agencies and
                               statute's           federal agencies" as defined in the
                               requirements.       act. The definition of "executive
                                                   agency" includes "any executive
                                                   department or independent
                                                   establishment in the executive branch
                                                   of government, including any wholly
                                                   owned government corporation." FDIC is
                                                   not a part of the executive branch.
                                                   Further, even if it were, the
                                                   provision would not cover FDIC since,
                                                   by specifically including a wholly
                                                   owned government corporation, it is
                                                   construed to exclude a mixed-
                                                   ownership corporation such as FDIC.
                                                   "Federal agency" is defined as any
                                                   executive agency or any establishment
                                                   in the legislative or judicial
                                                   branches of government. FDIC is none
                                                   of those.

Federal Tort Claims Act        Partially subject   The Federal Tort Claims Act (FTCA)
(28 U.S.C. 2671, et seq.)      to the statute's    applies to federal agencies and their
                               requirements.       employees. FTCA, under 28 U.S.C. 2671,
                                                   defines "federal agency" to include
                                                   "corporations primarily acting as
                                                   instrumentalities or agencies of the
                                                   United States . . ." For purposes of
                                                   the FTCA, the FDIC is a corporation
                                                   acting as an instrumentality or
                                                   primarily as an agency of the United
                                                   States. Also, see United States v.
                                                   Sherwood, 312 U.S. 584 (1941).

                                                   When FDIC acts in its capacity as
                                                   receiver of a failed financial
                                                   institution, FTCA would not apply to
                                                   protect the receiver against liability
                                                   based on the conduct of the employees
                                                   of the failed financial institution
                                                   before its failure because the
                                                   employees were not federal employees,
                                                   and the financial institution was not
                                                   an instrumentality or agency of the
                                                   United States.

Federal Managers Financial     Not subject to and  The act's definition of "agency,"
Integrity Act of 1982          does not            under 31 U.S.C. 3501, excludes mixed-
(31 U.S.C. 3512 (b), (c))      administratively    ownership government corporations
                               adopt the           covered by chapter 91 of title 31,
                               statute's           U.S. Code. FDIC, under 31 U.S.C. 9101,
                               requirements.       is a mixed-ownership government
                                                   corporation.

Anti-Deficiency Act            Partially subject   31 U.S.C. 1341(a)(1) has limited
(31 U.S.C. 1341)               to the statute's    application to FDIC. Subsection
                               requirements.       1341(a)(1) imposes limitations on
                                                   officers or employees of the U.S.
                                                   government for expending and
                                                   obligating amounts from appropriated
                                                   funds. FDIC employees are U.S.
                                                   government employees and are covered
                                                   by section 1341(a)(1) to the extent
                                                   they handle appropriated funds. When
                                                   FDIC employees make loans without
                                                   legal liability to the U.S.
                                                   government, they are covered by the
                                                   exception in subsection 1341(a)(2).

Government Corporation         Subject to the      The act, under 31 U.S.C. 9101(2)(C),
Control Act of 1945            statute's           defines "government corporation" as a
(31 U.S.C. 9101, et seq.)      requirements.       mixed-ownership government corporation
                                                   and includes FDIC in its list of
                                                   mixed-ownership corporations.

Government Performance and     Partially subject   The act's definition of "agency" is
Results Act of 1993            to the statute's    contained in section 3, to include
(P.L. 103-62, Aug. 3, 1993)    requirements.       "Executive agencies" within the
                                                   meaning of 5 U.S.C. 105, including
                                                   "government-controlled corporations."
                                                   FDIC is a government-controlled
                                                   corporation. Section 3 of the act
                                                   requires FDIC to submit a strategic
                                                   plan for program activities to the
                                                   Director of the Office of Management
                                                   and Budget (OMB) no later than
                                                   September 30, 1997.

                                                   Certain provisions of the act do not
                                                   apply to FDIC:

                                                    limited portions of sections 4 and 5
                                                   are tied into the annual budget review
                                                   process of 31 U.S.C. 1105 (FDIC does
                                                   not submit a budget to OMB for review
                                                   for the purposes of 31 U.S.C. 1105).

                                                    31 U.S.C. 3515 (financial statements
                                                   by agencies) in section 4 of the act
                                                   is inapplicable to FDIC since FDIC is
                                                   not covered by 31 U.S.C. 901(b)
                                                   (establishment of agency chief
                                                   financial officers).

                                                    The budget classifications in
                                                   section 5(a) are inapplicable to FDIC
                                                   based upon the discussion of the
                                                   budget review process stated above.

                                                   FDIC voluntarily provides budget
                                                   information to OMB that is used for
                                                   the President's budget submission to
                                                   Congress under 31 U.S.C. 1105(a). OMB
                                                   reviews the budget schedule submitted
                                                   by FDIC only to ensure technical
                                                   accuracy.

                                                   Also, OMB Circular No. A-ll,
                                                   Preparation and Submission of Budget
                                                   Estimates (July 1984), explicitly
                                                   states that the general policies,
                                                   justification requirements, and
                                                   instructions on additional data and
                                                   hearings are not applicable to budgets
                                                   that are not subject to executive
                                                   branch review, including FDIC.

Chief Financial Officers Act   Not subject to but  The act mandates the appointment of a
of 1990                        administratively    CFO by each appropriated agency listed
(P.L. 101-576, Nov. 15, 1990,  adopts the          in 31 U.S.C. 901(b). FDIC is not
as amended)                    statute's           included in that list. Only the audit
                               requirements.       and reporting provisions of the act
                                                   (31 U.S.C. 9105, 9106) apply to
                                                   government corporations. FDIC is a
                                                   government corporation under 31 U.S.C.
                                                   9101. Also, see FDIC's bylaws, article
                                                   VI, section 4(j).

                                                   Section 8(b) of the RTC Completion Act
                                                   (RTCCA), 12 U.S.C. 1821(a)(6)(F),
                                                   required the FDIC board of directors
                                                   to provide for the appointment of a
                                                   CFO who does not have operating
                                                   responsibilities, who will report
                                                   directly to the chairperson, and who
                                                   will have such authority and duties of
                                                   a CFO under 31 U.S.C. 902, as the
                                                   board of directors determines to be
                                                   appropriate. The board of directors
                                                   has complied with RTCCA.

Inspector General Act of       Subject to the      FDIC's board of directors implemented
1978                           statute's           the Inspector General Act Amendments
(5 U.S.C. app.)                requirements.       of 1988 (P.L. 100-540) by creating an
                                                   FDIC Office of Inspector General
                                                   (Resolution Number 45962, Mar. 14,
                                                   1989).

                                                   The act applies to the establishment
                                                   of Inspectors General in federal
                                                   entitities (5 U.S.C. appendix 3,
                                                   sections 2(1), 11(2), and 8G).

                                                    Under 2(1) and 11(2), FDIC is
                                                   included as an establishment (under a
                                                   recent amendment to the Inspector
                                                   General Act, the Inspector General is
                                                   to be appointed by the President of
                                                   the United States, by and with the
                                                   advice and consent of the Senate (5
                                                   U.S.C. appendix 3, section 3(a)).

                                                    In addition, FDIC is also included
                                                   in the definition of "federal entity,"
                                                   which is defined as any government-
                                                   controlled corporation (under these
                                                   provisions, the Inspector General is
                                                   to be appointed by the head of the
                                                   federal entity. 5 U.S.C. appendix 3,
                                                   section 8G(c). We [FDIC] believe this
                                                   provision should have been deleted
                                                   when section 3 was amended.).

Federal Credit Reform Act of   Not subject to and  The act, under section 503, applies to
1990                           does not            federal agencies of the executive
(2 U.S.C. 661-661f)            administratively    branch who administer direct loan or
                               adopt the           guarantee programs. The act does not
                               statute's           define federal agencies of the
                               requirements.       executive branch. As an independent
                                                   regulatory agency, FDIC is not part of
                                                   the executive branch. Moreover, 506(a)
                                                   of the act excludes the credit and
                                                   insurance activities of FDIC (104
                                                   Stat. 1388-614, 2 U.S.C. 661e).

Ethics in Government Act of    Subject to the      The Director of the Office of
1978                           statute's           Government Ethics provides overall
(P.L. 95-521, Oct. 26, 1978,   requirements.       direction of the executive branch
as amended)                                        policies related to preventing
                                                   conflicts of interest on the part of
                                                   officers and employees of any
                                                   executive agency (5 U.S.C. appendix 5,
                                                   section 402). The act defines
                                                   "executive agency" as it is defined in
                                                   5 U.S.C. 105, which includes
                                                   government corporations.
-----------------------------------------------------------------------------------------


--------------------
\4 FDIC reported its legal status as a "mixed-ownership government
corporation" in response to the legal status question in our
questionnaire.  However, FDIC noted that its status is also
determined by reference to specific statutes and the statutes'
definitions of the operative terms.  Thus, for purposes of different
statutes in our questionnaire, FDIC reported that it also is defined
as a "government-controlled corporation," an "establishment of the
United States," and an "independent regulatory agency."


      RELATED GAO PRODUCTS
------------------------------------------------------- Appendix V:8.6

1993 Bank Resolutions:  FDIC Further Improved Its Resolution Process
(GAO/GGD-95-118, June 9, 1995). 

FDIC Management Letter (GAO/AIMD-95-137ML, June 5, 1995). 

Financial Audit:  Federal Deposit Insurance Corporation's 1994 and
1993 Financial Statements (GAO/AIMD-95-102, Mar.  31, 1995). 

Failed Financial Institutions:  RTC/FDIC Risk Fraud and Mismanagement
by Employing Those Deemed Culpable (GAO/OSI-95-1, Oct.  3, 1994). 

Financial Audit:  Federal Deposit Insurance Corporation's Management
Letter as of December 31, 1993 (GAO/AIMD-94-160ML, Aug.  29, 1994). 

FDIC Equity Investments (GAO/GGD-94-196R, Aug.  26, 1994). 

FDIC:  Asset Disposition Strategies (GAO/AIMD-94-92R, June 2, 1994). 

Bank Regulation:  Consolidation of the Regulatory Agencies
(GAO/T-GGD-94-106, Mar.  4, 1994). 

Deposit Insurance Funds:  Compliance With Obligation and Repayment
Requirements as of 3/31/93 and 6/30/93 (GAO/AIMD-94-62, Feb.  4,
1994). 

Financial Audit:  Federal Deposit Insurance Corporation's Internal
Controls as of December 31, 1992 (GAO/AIMD-94-35, Feb.  4, 1994). 


   SECTION 8:
   FEDERAL HOUSING
   ADMINISTRATIONSECTION 8: 
   FEDERAL HOUSING ADMINISTRATION
--------------------------------------------------------- Appendix V:9


      PURPOSE
------------------------------------------------------- Appendix V:9.1

The Federal Housing Administration (FHA) was established to encourage
improvement in housing standards and conditions, to provide an
adequate home financing system by insurance of housing mortgages and
credit, and to exert a stabilizing influence on the mortgage market. 


      BACKGROUND
------------------------------------------------------- Appendix V:9.2


         DATE CREATED: 
----------------------------------------------------- Appendix V:9.2.1

FHA was created as a separate entity by the National Housing Act on
June 27, 1934.  It was later abolished as a separate entity and made
an entity within the U.S.  Department of Housing and Urban
Development (HUD) by the Department of Housing and Urban Development
Act on September 9, 1965. 


         ORGANIZATIONAL LOCATION: 
----------------------------------------------------- Appendix V:9.2.2

Within the Department of Housing and Urban Development


         LEGAL AUTHORITY: 
----------------------------------------------------- Appendix V:9.2.3

12 U.S.C.  1701; 42 U.S.C.  3533


         LEGAL STATUS: 
----------------------------------------------------- Appendix V:9.2.4

Wholly owned government corporation


         PRIMARY METHOD TO ACHIEVE
         PURPOSE: 
----------------------------------------------------- Appendix V:9.2.5

Provides mortgage insurance to stabilize the mortgage market


         PERMANENT OR TEMPORARY
         STATUS: 
----------------------------------------------------- Appendix V:9.2.6

Permanent


         FISCAL YEAR 1994
         FULL-TIME EQUIVALENT
         (FTE) EMPLOYMENT: 
----------------------------------------------------- Appendix V:9.2.7

6,126


      MANAGEMENT STRUCTURE
------------------------------------------------------- Appendix V:9.3

All of the functions, powers, and duties of FHA were transferred to
and held by the Secretary of HUD under the Department of HUD Act,
section 5(a), 42 U.S.C.  3534(a).  The FHA Commissioner, who is an
Assistant Secretary, directs FHA (section 4(b) of the Department of
HUD Act, 42 U.S.C.  3533(b)).  The FHA Commissioner is appointed by
the President with the advice and consent of the Senate (42 U.S.C. 
3533(a)). 


      FUNDING INFORMATION
------------------------------------------------------- Appendix V:9.4

FHA's gross outlays exceeded its nonfederal collections each year
from fiscal year 1990 through 1994.  During this time frame, FHA's
net federal outlays totaled $9 billion.  Figure V.8.1 depicts FHA's
gross outlays, nonfederal collections, and net federal outlays data
from table V.8.1.  Of note, data from fiscal years 1990 through 1991
are not comparable to data from fiscal years 1992 through 1994
because of the Federal Credit Reform Act of 1990.  This act changed
the treatment for direct loans and loan guarantees made on or after
October 1, 1991.  See appendix I for further explanation. 



                              Table V.8.1
                
                    FHA's Gross Outlays, Nonfederal
                Collections, and Net Federal Outlays for
                     Fiscal Years 1990 Through 1994

                         (Dollars in billions)

                                        FY     FY     FY     FY     FY
Budget category\a                     1990   1991   1992   1993   1994
-----------------------------------  -----  -----  -----  -----  -----
Gross outlays                         $7.6   $8.2   $7.9   $7.2   $6.3
Nonfederal collections                 6.0    5.8    4.9    5.6    5.9
Net federal outlays                    1.6    2.4    3.0    1.6    0.4
----------------------------------------------------------------------
\a Includes the FHA Mutual Mortgage Insurance Program Account, the
FHA Mutual Mortgage and Cooperative Housing Insurance Funds
Liquidating Account, and the FHA General and Special Risk Insurance
Funds Program and Liquidating Accounts. 

Source:  OMB. 

   Figure V.8.1:  FHA's Gross
   Outlays, Nonfederal
   Collections, and Net Federal
   Outlays for Fiscal Years 1990
   Through 1994

   (See figure in printed
   edition.)

Note:  Net federal outlays represent outlays from various federal
sources including direct appropriations and interagency transfers. 

Source:  OMB. 


      CORPORATION'S REPORTED
      STATUTORY ADHERENCE
------------------------------------------------------- Appendix V:9.5



                                       Table V.8.2
                         
                         HUD Self-Reported FHA's Adherence to the
                               15 Selected Federal Statutes

                               Degree of
Statute                        adherence           HUD's comments
-----------------------------  ------------------  --------------------------------------
Privacy Act of 1974            Subject to the      24 C.F.R. 16, et seq.
(5 U.S.C. 552a)                statute's
                               requirements.

Freedom of Information Act of  Subject to the      24 C.F.R. 15, et seq.
1966                           statute's
(5 U.S.C. 552)                 requirements.

Government in the Sunshine     Subject to the      5 U.S.C. 552b and 552(e)
Act                            statute's
(5 U.S.C. 552b)                requirements.

Title 5: Employee              Subject to the      Section 7(c) of the Department of HUD
Classification                 statute's           Act; 42 U.S.C. 3535(c)
(5 U.S.C. 5101-5115)           requirements.

Title 5: Pay Rates and Rate    Subject to the      Section 7(c) of the Department of HUD
Systems                        statute's           Act; 42 U.S.C. 3535(c)
(5 U.S.C. 5331-5338 and 5341-  requirements.
5349)

Federal Property and           Not subject to but  Section 7(i)(3) of the Department of
Administrative Services Act    administratively    HUD Act; 42 U.S.C. 3535(i)(3); the
of 1949                        adopts the          Secretary is authorized to sell or
(41 U.S.C. 251-260)            statute's           exchange, at public or private sale,
                               requirements.       real estate property upon such terms
                                                   as he or she may prescribe.

                                                   House Report No. 670, 81st Congress,
                                                   1st 28 (1949); statutes exempt the
                                                   Secretary of HUD from the provisions
                                                   of the Federal Property and
                                                   Administrative Services Act (FPASA);
                                                   however, HUD usually follows FPASA in
                                                   its general operations (as intended by
                                                   the language in the legislative
                                                   history for FPASA).

                                                   40 U.S.C. 474 states that "nothing in
                                                   [FPASA] shall impair or affect any
                                                   authority of . . . the Department of
                                                   Housing and Urban Development . . .
                                                   with respect to the disposal of
                                                   residential property, or of other
                                                   property (real or personal) held as
                                                   part of or acquired for or in
                                                   connection with residential property,
                                                   or in connection with the insurance of
                                                   mortgages, loans, or savings
                                                   association accounts under the
                                                   National Housing Act . . ."

                                                   FHA also has the following exemptions:
                                                   12 U.S.C. 1710(g); 12 U.S.C. 1703(g);
                                                   12 U.S.C. 1713.

Federal Tort Claims Act        Subject to the      24 C.F.R. 17, et seq.
(28 U.S.C. 2671, et seq.)      statute's
                               requirements.

Federal Managers Financial     Subject to the      31 U.S.C. 9106(a)(2)(E)
Integrity Act of 1982          statute's
(31 U.S.C. 3512 (b), (c))      requirements.

Anti-Deficiency Act            Subject to the      31 U.S.C. 1341
(31 U.S.C. 1341)               statute's
                               requirements.

Government Corporation         Subject to the      31 U.S.C. 9101(3)(L)
Control Act of 1945            statute's
(31 U.S.C. 9101, et seq.)      requirements.

Government Performance and     Subject to the      5 U.S.C. 105; 5 U.S.C. 306
Results Act of 1993            statute's
(P.L. 103-62, Aug. 3, 1993)    requirements.

Chief Financial Officers Act   Subject to the      HUD has a CFO under 31 U.S.C.
of 1990                        statute's           901(b)(1)(G).
(P.L. 101-576, Nov. 15, 1990,  requirements.
as amended)

Inspector General Act of       Subject to the      5 U.S.C. 1341; 24 C.F.R. 2000
1978                           statute's
(5 U.S.C. app.)                requirements.

Federal Credit Reform Act of   Subject to the      2 U.S.C. 661, et seq.
1990                           statute's
(2 U.S.C. 661-661f)            requirements.

Ethics in Government Act of    Subject to the      24 C.F.R. 0
1978                           statute's
(P.L. 95-521, Oct. 26, 1978,   requirements.
as amended)
-----------------------------------------------------------------------------------------

      RELATED GAO PRODUCTS
------------------------------------------------------- Appendix V:9.6

HUD Management:  Greater Oversight Needed of FHA's Nursing Home
Insurance Program (GAO/RCED-95-214, Aug.  25, 1995). 

Property Disposition:  Information on HUD's Acquisition and
Disposition of Single-Family Properties (GAO/RCED-95-144FS, July 24,
1995). 

Housing and Urban Development:  HUD's Reinvention Blueprint Raises
Budget Issues and Opportunities (GAO/T-RCED-95-196, July 13, 1995). 

Multifamily Housing:  HUD's Mark-to-Market Proposal
(GAO/T-RCED-95-230, June 15, 1995). 

Multifamily Housing:  HUD's Proposal to Restructure Its Portfolio
(GAO/T-RCED-95-226, June 13, 1995). 

HUD Management:  FHA's Multifamily Loan Loss Reserves and Default
Prevention Efforts (GAO/RCED/AIMD-95-100, June 5, 1995). 

Housing and Urban Development:  Reform and Reinvention Issues
(GAO/T-RCED-95-129, Mar.  14, 1995). 

High Risk Series:  Department of Housing and Urban Development
(GAO/HR-95-11, Feb.  1995). 

Mortgage Financing:  Financial Health of FHA's Home Mortgage
Insurance Program Has Improved (GAO/RCED-95-20, Oct.  18, 1994). 

Mortgage Financing:  Financial Health of FHA's Home Mortgage
Insurance Program Has Improved (GAO/T-RCED-94-255, June 30, 1994). 

Multifamily Housing:  Information on Selected Properties Owned by HUD
(GAO/RCED-94-163FS, Apr.  11, 1994). 

Housing Finance:  Characteristics of Borrowers of FHA-Insured
Mortgages (GAO/RCED-94-135BR, Apr.  6, 1994). 

Housing Finance:  Expanding Capital for Affordable Multifamily
Housing (GAO/RCED-94-3, Oct.  27, 1993). 


   SECTION 9:
   FEDERAL PRISON INDUSTRIES, INC. 
   (FPI)SECTION 9:  FEDERAL PRISON
   INDUSTRIES, INC.  (FPI)
-------------------------------------------------------- Appendix V:10


      PURPOSE
------------------------------------------------------ Appendix V:10.1

Federal Prison Industries (FPI)\5 serves to provide work, education,
and vocational training opportunities for inmates in federal prisons
and to reduce inmate idleness and promote rehabilitation. 


--------------------
\5 Federal Prison Industries operates under the trade name UNICOR. 


      BACKGROUND
------------------------------------------------------ Appendix V:10.2


         DATE CREATED: 
---------------------------------------------------- Appendix V:10.2.1

June 23, 1934


         ORGANIZATIONAL LOCATION: 
---------------------------------------------------- Appendix V:10.2.2

Within the Bureau of Prisons, U.S.  Department of Justice


         LEGAL AUTHORITY: 
---------------------------------------------------- Appendix V:10.2.3

18 U.S.C.  chapter 307, 4121-4129


         LEGAL STATUS: 
---------------------------------------------------- Appendix V:10.2.4

Wholly owned government corporation


         PRIMARY METHOD TO ACHIEVE
         PURPOSE: 
---------------------------------------------------- Appendix V:10.2.5

Employs and develops the skills of inmates to produce commodities for
sale to correctional institutions or federal departments


         PERMANENT OR TEMPORARY
         STATUS: 
---------------------------------------------------- Appendix V:10.2.6

Permanent


         FISCAL YEAR 1994
         FULL-TIME EQUIVALENT
         (FTE) EMPLOYMENT: 
---------------------------------------------------- Appendix V:10.2.7

1,623


      MANAGEMENT STRUCTURE
------------------------------------------------------ Appendix V:10.3

Under 18 U.S.C.  4121, a six-member, presidentially appointed board
of directors administers the corporation.  The directors represent
(1) industry, (2) labor, (3) agriculture, (4) retailers and
consumers, (5) the Secretary of Defense, and (6) the Attorney
General, respectively.  FPI also has eight officers including the
Director/Chief Executive Officer, Assistant Director/Chief Operating
Officer, Senior Deputy Assistant Director, General Counsel, Deputy
Assistant Director, Controller, Director of Manufacturing, and
Director of Program Management. 


      FUNDING INFORMATION
------------------------------------------------------ Appendix V:10.4

In 1930, $4.176 million was initially appropriated to FPI, then
transferred to the FPI fund when the corporation was created in 1934. 
No additional appropriated funds were provided to FPI through fiscal
year 1991.  In fiscal years 1992, 1993, and 1994, $14 million,
$10.507 million, and $5.441 million, respectively, in Bureau of
Prisons Buildings and Facilities Account funds were used to fund
prison construction in which FPI would house factory operations. 
According to FPI's General Counsel, these funds were federal
appropriations.  Since 1934 FPI has returned approximately $81
million to the Treasury. 

As stated in law, FPI can only produce and sell commodities to
correctional institutions and federal departments or agencies and not
to the public in competition with private enterprise.\6 Sales by FPI
are considered intragovernmental transfers.\7

From fiscal years 1990 through 1994, FPI's net federal outlays
totaled $1.97 billion.  Figure V.9.1 depicts FPI's gross outlays and
net federal outlays data from table V.9.1.  Of note, data from fiscal
years 1990 through 1991 are not comparable to data from fiscal years
1992 through 1994 because of the Federal Credit Reform Act of 1990. 
This act changed the treatment for direct loans and loan guarantees
made on or after October 1, 1991.  See appendix I for further
explanation. 



                              Table V.9.1
                
                    FPI's Gross Outlays, Nonfederal
                Collections, and Net Federal Outlays for
                     Fiscal Years 1990 Through 1994

                         (Dollars in millions)

                                        FY     FY     FY     FY     FY
Budget category                       1990   1991   1992   1993   1994
-----------------------------------  -----  -----  -----  -----  -----
Gross outlays                        $359.  $355.  $438.  $422.  $396.
                                         0      9      0      5      3
Nonfederal collections                   0      0      0      0      0
Net federal outlays                  359.0  355.9  438.0  422.5  396.3
----------------------------------------------------------------------
Source:  OMB. 

   Figure V.9.1:  FPI's Gross
   Outlays and Net Federal Outlays
   for Fiscal Years 1990 Through
   1994

   (See figure in printed
   edition.)

Note:  Net federal outlays represent outlays from various federal
sources including direct appropriations and interagency transfers. 

Source:  OMB. 


--------------------
\6 18 U.S.C.  4122

\7 18 U.S.C.  4124


      CORPORATION'S REPORTED
      STATUTORY ADHERENCE
------------------------------------------------------ Appendix V:10.5



                                       Table V.9.2
                         
                         FPI's Self-Reported Adherence to the 15
                                Selected Federal Statutes

                               Degree of
Statute                        adherence           FPI's comments
-----------------------------  ------------------  --------------------------------------
Privacy Act of 1974            Subject to the      5 U.S.C. 552a (a)(1) and 552(e)
(5 U.S.C. 552a)                statute's
                               requirements.

Freedom of Information Act of  Subject to the      5 U.S.C. 552
1966                           statute's
(5 U.S.C. 552)                 requirements.

Government in the Sunshine     Not subject to and  5 U.S.C. 552b (a)(1) applies to those
Act                            does not            agencies with governing bodies
(5 U.S.C. 552b)                administratively    confirmed by the Senate. The act does
                               adopt the           not apply because FPI's board is
                               statute's           appointed solely by the President,
                               requirements.       without confirmation by the Senate.

Title 5: Employee              Subject to the      5 U.S.C. 5102(a)(1)(A) and 5 U.S.C.
Classification                 statute's           105
(5 U.S.C. 5101-5115)           requirements.

Title 5: Pay Rates and Rate    Subject to the      5 U.S.C. 5331-5338 and 5341-5349
Systems                        statute's
(5 U.S.C. 5331-5338 and 5341-  requirements.
5349)

Federal Property and           Subject to the      41 U.S.C. 251-260. On September 13,
Administrative Services Act    statute's           1993, the Department of Justice's
of 1949                        requirements.       Office of Legal Counsel ruled that the
(41 U.S.C. 251-260)                                Federal Acquisition Regulations did
                                                   not apply to procurements from FPI as
                                                   opposed to procurements by FPI.

Federal Tort Claims Act        Subject to the      28 U.S.C. 2672. Also, see U.S. v.
(28 U.S.C. 2671, et seq.)      statute's           Demko, 285 U.S. 149 (1965).
                               requirements.

Federal Managers Financial     Partially subject   31 U.S.C. 3501 excludes corporations
Integrity Act of 1982          to the statute's    from Chapter 35 requirements except
(31 U.S.C. 3512 (b), (c))      requirements.       for reporting under section 3513.

Anti-Deficiency Act            Subject to the      31 U.S.C. 1341
(31 U.S.C. 1341)               statute's
                               requirements.

Government Corporation         Subject to the      31 U.S.C. 9101. FPI is one of the
Control Act of 1945            statute's           enumerated corporations in the act.
(31 U.S.C. 9101, et seq.)      requirements.

Government Performance and     Subject to the      P.L. 103-62
Results Act of 1993            statute's
(P.L. 103-62, Aug. 3, 1993)    requirements.

Chief Financial Officers Act   Subject to the      P.L. 101-576
of 1990                        statute's
(P.L. 101-576, Nov. 15, 1990,  requirements.
as amended)

Inspector General Act of       Subject to the      5 U.S.C. 1341
1978                           statute's
(5 U.S.C. app.)                requirements.

Federal Credit Reform Act of   Subject to the      P.L. 101-508, title XIII, subtitle B,
1990                           statute's           section 13201 (a)
(2 U.S.C. 661-661f)            requirements.

Ethics in Government Act of    Subject to the      P.L. 95-521
1978                           statute's
(P.L. 95-521, Oct. 26, 1978,   requirements.
as amended)
-----------------------------------------------------------------------------------------

      RELATED GAO PRODUCTS
------------------------------------------------------ Appendix V:10.6

FPI Systems Furniture (GAO/GGD-93-51R, July 7, 1993). 

Federal Prisons:  Inmate and Staff Views on Education and Work
Training Programs (GAO/GGD-93-33, Jan.  19, 1993). 


   SECTION 10:
   GOVERNMENT NATIONAL MORTGAGE
   ASSOCIATIONSECTION 10: 
   GOVERNMENT NATIONAL MORTGAGE
   ASSOCIATION
-------------------------------------------------------- Appendix V:11


      PURPOSE
------------------------------------------------------ Appendix V:11.1

The purpose of the Government National Mortgage Association (GNMA or
Ginnie Mae) is to provide the means of transferring funds from the
nation's securities markets into the residential housing mortgage
market. 


      BACKGROUND
------------------------------------------------------ Appendix V:11.2


         DATE CREATED: 
---------------------------------------------------- Appendix V:11.2.1

August 1, 1968


         ORGANIZATIONAL LOCATION: 
---------------------------------------------------- Appendix V:11.2.2

Within the Department of Housing and Urban Development (HUD)


         LEGAL AUTHORITY: 
---------------------------------------------------- Appendix V:11.2.3

12 U.S.C.  1716, et seq. 


         LEGAL STATUS: 
---------------------------------------------------- Appendix V:11.2.4

Wholly owned government corporation


         PRIMARY METHOD TO ACHIEVE
         PURPOSE: 
---------------------------------------------------- Appendix V:11.2.5

Provides mortgage-backed securities to facilitate the availability of
funds for home mortgages


         PERMANENT OR TEMPORARY
         STATUS: 
---------------------------------------------------- Appendix V:11.2.6

Permanent


         FISCAL YEAR 1994
         FULL-TIME EQUIVALENT
         (FTE) EMPLOYMENT: 
---------------------------------------------------- Appendix V:11.2.7

72


      MANAGEMENT STRUCTURE
------------------------------------------------------ Appendix V:11.3

All the powers and duties of GNMA are held by HUD's Secretary who
administers GNMA activities.  GNMA's president is appointed by the
President of the United States with the advice and consent of the
Senate.  The HUD Secretary selects and appoints vice presidents and
other officers of GNMA (see 12 U.S.C.  1723).  GNMA has five vice
presidents, two assistant vice presidents, one treasurer, one
assistant treasurer, one secretary, two assistant secretaries, and
one controller. 


      FUNDING INFORMATION
------------------------------------------------------ Appendix V:11.4

GNMA's nonfederal collections exceeded its gross outlays each year
from fiscal years 1990 through 1994.  During this time frame, GNMA's
negative net federal outlays totaled $1.2 billion.  Figure V.10.1
depicts GNMA's gross outlays and nonfederal collections data from
table V.10.1.  Of note, data from fiscal years 1990 through 1991 are
not comparable to data from fiscal years 1992 through 1994 because of
the Federal Credit Reform Act of 1990.  This act changed the
treatment for direct loans and loan guarantees made on or after
October 1, 1991.  See appendix I for further explanation. 



                              Table V.10.1
                
                    GNMA's Gross Outlays, Nonfederal
                Collections, and Net Federal Outlays for
                     Fiscal Years 1990 Through 1994

                         (Dollars in billions)

                                        FY     FY     FY     FY     FY
Budget category                       1990   1991   1992   1993   1994
-----------------------------------  -----  -----  -----  -----  -----
Gross outlays                         $0.7   $1.0   $1.2    $.7   $0.7
Nonfederal collections                 1.0    1.1    1.4    1.0    1.0
Net federal outlays                  (0.3)  (0.1)  (0.2)  (0.3)  (0.3)
----------------------------------------------------------------------
Source:  OMB. 

   Figure V.10.1:  GNMA's Gross
   Outlays and Nonfederal
   Collections for Fiscal Years
   1990 Through 1994

   (See figure in printed
   edition.)

Source:  OMB. 


      CORPORATION'S REPORTED
      STATUTORY ADHERENCE
------------------------------------------------------ Appendix V:11.5



                                       Table V.10.2
                         
                          HUD Self-Reported GNMA's Adherence to
                             the 15 Selected Federal Statutes

                               Degree of
Statute                        adherence           HUD's comments
-----------------------------  ------------------  --------------------------------------
Privacy Act of 1974            Subject to the      24 C.F.R. 16
(5 U.S.C. 552a)                statute's
                               requirements.

Freedom of Information Act of  Subject to the      24 C.F.R. 15
1966                           statute's
(5 U.S.C. 552)                 requirements.

Government in the Sunshine     Subject to the      5 U.S.C. 552b and 552(e); 12 U.S.C.
Act                            statute's           1721(g)(1)
(5 U.S.C. 552b)                requirements.

Title 5: Employee              Subject to the      Section 7(c) of the Department of HUD
Classification                 statute's           Act, 42 U.S.C. 3535(c); section 308(a)
(5 U.S.C. 5101-5115)           requirements.       of the National Housing Act (NHA), 12
                                                   U.S.C. 1723(a); section 309(d)(1) of
                                                   NHA, 12 U.S.C. 1723a(d)(1).

Title 5: Pay Rates and Rate    Subject to the      Section 7(c) of the Department of HUD
Systems                        statute's           Act, 42 U.S.C. 3535(c); section 308(a)
(5 U.S.C. 5331-5338 and 5341-  requirements.       of NHA, 12 U.S.C. 1723(a); section
5349)                                              309(d)(1) of NHA, 12 U.S.C.
                                                   1723a(d)(1).

Federal Property and           Not subject to but  12 U.S.C. 1721 (g)(1)
Administrative Services Act    administratively
of 1949                        adopts the
(41 U.S.C. 251-260)            statute's
                               requirements.

Federal Tort Claims Act        Not subject to but  24 C.F.R. 17
(28 U.S.C. 2671, et seq.)      administratively
                               adopts the
                               statute's
                               requirements.

Federal Managers Financial     Subject to the      31 U.S.C. 9106(a)(2)(E)
Integrity Act of 1982          statute's
(31 U.S.C. 3512 (b), (c))      requirements.

Anti-Deficiency Act            Not subject to and  12 U.S.C. 1721(g)
(31 U.S.C. 1341)               does not
                               administratively
                               adopt the
                               statute's
                               requirements.

Government Corporation         Subject to the      31 U.S.C. 9101(3)(F)
Control Act of 1945            statute's
(31 U.S.C. 9101, et seq.)      requirements.

Government Performance and     Subject to the      5 U.S.C. 105; 5 U.S.C. 306; 12 U.S.C.
Results Act of 1993            statute's           1721(g)(1)
(P.L. 103-62, Aug. 3, 1993)    requirements.

Chief Financial Officers Act   Subject to the      HUD has a CFO; see 31 U.S.C.
of 1990                        statute's           901(b)(1)(G).
(P.L. 101-576, Nov. 15, 1990,  requirements.
as amended)

Inspector General Act of       Subject to the      5 U.S.C. 1341; 24 C.F.R. 2000
1978                           statute's
(5 U.S.C. app.)                requirements.

Federal Credit Reform Act of   Subject to the      P.L. 101-508, title XIII, subtitle B,
1990                           statute's           section 13201 (a); 12 U.S.C.
(2 U.S.C. 661-661f)            requirements.       1721(g)(1)

Ethics in Government Act of    Subject to the      24 C.F.R. Part 0
1978                           statute's
(P.L. 95-521, Oct. 26, 1978,   requirements.
as amended)
-----------------------------------------------------------------------------------------

      RELATED GAO PRODUCTS
------------------------------------------------------ Appendix V:11.6

High Risk Series:  Department of Housing and Urban Development
(GAO/HR-95-11, Feb.  1995). 

Credit Reform:  Appropriation of Negative Subsidy Receipts Raises
Questions (GAO/AIMD-94-58, Sept.  26, 1994). 

Credit Reform:  Case-by-Case Assessment Advisable in Evaluating
Coverage and Compliance (GAO/AIMD-94-57, July 28, 1994). 

Ginnie Mae:  Greater Staffing Flexibility Needed to Improve
Management (GAO/T-RCED-94-67, Oct.  29, 1993). 

Government National Mortgage Association:  Greater Staffing
Flexibility Needed to Improve Management (GAO/RCED-93-100, June 30,
1993). 


   SECTION 11:
   NATIONAL CREDIT UNION
   ADMINISTRATION CENTRAL
   LIQUIDITY FACILITYSECTION 11: 
   NATIONAL CREDIT UNION
   ADMINISTRATION CENTRAL
   LIQUIDITY FACILITY
-------------------------------------------------------- Appendix V:12


      PURPOSE
------------------------------------------------------ Appendix V:12.1

The National Credit Union Administration Central Liquidity Facility
(NCUACLF) is to (1) improve general financial stability by meeting
the liquidity needs of credit unions and thereby encouraging savings,
(2) support consumer and mortgage lending, and (3) provide basic
financial resources to all segments of the economy (12 U.S.C.  1795). 


      BACKGROUND
------------------------------------------------------ Appendix V:12.2


         DATE CREATED: 
---------------------------------------------------- Appendix V:12.2.1

November 10, 1978


         ORGANIZATIONAL LOCATION: 
---------------------------------------------------- Appendix V:12.2.2

Within the National Credit Union Administration (NCUA) (12 U.S.C. 
1795b)


         LEGAL AUTHORITY: 
---------------------------------------------------- Appendix V:12.2.3

12 U.S.C.  1795-1795k


         LEGAL STATUS: 
---------------------------------------------------- Appendix V:12.2.4

Mixed-ownership government corporation (31 U.S.C.  9101(2)(G))


         PRIMARY METHOD TO ACHIEVE
         PURPOSE: 
---------------------------------------------------- Appendix V:12.2.5

Provides loans to federal and state credit unions


         PERMANENT OR TEMPORARY
         STATUS: 
---------------------------------------------------- Appendix V:12.2.6

Permanent


         FISCAL YEAR 1994
         FULL-TIME EQUIVALENT
         (FTE) EMPLOYMENT: 
---------------------------------------------------- Appendix V:12.2.7

1.5


      MANAGEMENT STRUCTURE
------------------------------------------------------ Appendix V:12.3

NCUACLF is managed by the NCUA board of directors (12 U.S.C.  1795b),
which also acts as the NCUACLF's board.  NCUACLF's officers include a
president, treasurer, and secretary. 


      FUNDING INFORMATION
------------------------------------------------------ Appendix V:12.4

NCUACLF's nonfederal collections exceeded its gross outlays in fiscal
years 1990 and 1992.  In fiscal year 1991, NCUACLF's gross outlays
exceeded its nonfederal collections.  In fiscal years 1993 and 1994,
NCUACLF's gross outlays equaled its nonfederal collections.  During
fiscal years 1990 through 1994 NCUACLF's negative net federal outlays
totaled $111.4 million.  Figure V.11.1 depicts NCUACLF's gross
outlays, nonfederal collections, and net federal outlays data from
table V.11.1. 



                              Table V.11.1
                
                  NCUACLF's Gross Outlays, Nonfederal
                Collections, and Net Federal Outlays for
                     Fiscal Years 1990 Through 1994

                         (Dollars in millions)

                                        FY     FY     FY     FY     FY
Budget category                       1990   1991   1992   1993   1994
-----------------------------------  -----  -----  -----  -----  -----
Gross outlays                        $256.  $305.  $64.7  $165.  $158.
                                         6      9             3      1
Nonfederal collections               311.4  248.9  178.3  165.3  158.1
Net federal outlays                  (54.8   57.0  (113.      0      0
                                         )            6)
----------------------------------------------------------------------
Source:  OMB. 

   Figure V.11.1:  NCUACLF's Gross
   Outlays, Nonfederal
   Collections, and Net Federal
   Outlays for Fiscal Years 1990
   Through 1994

   (See figure in printed
   edition.)

Note:  Net federal outlays represent outlays from various federal
sources including direct appropriations and interagency transfers. 

Source:  OMB. 


      CORPORATION'S REPORTED
      STATUTORY ADHERENCE
------------------------------------------------------ Appendix V:12.5



                                       Table V.11.2
                         
                          NCUA Self-Reported NCUACLF's Adherence
                           to the 15 Selected Federal Statutes

                               Degree of
Statute                        adherence           NCUA's comments
-----------------------------  ------------------  --------------------------------------
Privacy Act of 1974            Subject to the      5 U.S.C. 551(1), 552(e) [(f)],
(5 U.S.C. 552a)                statute's           552a(a)(1); 12 C.F.R. 725.1 and
                               requirements.       792.20-.37

Freedom of Information Act of  Subject to the      5 U.S.C. 551(1) and 552(f); 12 C.F.R.
1966                           statute's           725.1 and 792.1-.7
(5 U.S.C. 552)                 requirements.

Government in the Sunshine     Subject to the      5 U.S.C. 552(e)[(f)], 552b(a)(1); 12
Act                            statute's           C.F.R. 725.1 and 791.9-.18
(5 U.S.C. 552b)                requirements.

Title 5: Employee              Not subject to and  12 U.S.C. 1766(j)(1-3), 1795b; 12
Classification                 does not            C.F.R. 725.1
(5 U.S.C. 5101-5115)           administratively
                               adopt the
                               statute's
                               requirements.

Title 5: Pay Rates and Rate    Not subject to and  12 U.S.C. 1766(j)(1-3), 1795b; 12
Systems                        does not            C.F.R. 725.1
(5 U.S.C. 5331-5338 and 5341-  administratively
5349)                          adopt the
                               statute's
                               requirements.

Federal Property and           Not subject to but  12 U.S.C. 1766(i)(2), 1795b; 12 C.F.R.
Administrative Services Act    implements an       725.1; NCUA Instruction [internal
of 1949                        alternative         directive] No. 1770.11
(41 U.S.C. 251-260)            mechanism(s) to
                               attain the
                               objective(s) of
                               the statute.

Federal Tort Claims Act        Subject to the      28 U.S.C. 2671-72; 12 C.F.R. 725.1 and
(28 U.S.C. 2671, et seq.)      statute's           793.1-.10; 28 C.F.R. 14.1; NCUA
                               requirements.       Instruction [internal directive] No.
                                                   1910.3

Federal Managers Financial     Not subject to but  31 U.S.C. 3501 and 9101(2)(G); 12
Integrity Act of 1982          implements an       C.F.R. 725.1; NCUA Instruction
(31 U.S.C. 3512 (b), (c))      alternative         [internal directive] No. 1910.3
                               mechanism(s) to
                               attain the
                               objective(s) of
                               the statute.

Anti-Deficiency Act            Not subject to but  12 U.S.C. 1795d and 1795f; 31 U.S.C.
(31 U.S.C. 1341)               implements an       1341(a)(2), 1511(b)(2) and 9101(2)(G)
                               alternative
                               mechanism(s) to     NCUA memoranda dated February 6, 1992,
                               attain the          and July 3, 1980, outlining
                               objective(s) of     applicability of act to the NCUACLF.
                               the statute.
                                                   12 C.F.R. 725.1

                                                   NCUA Instruction [internal directive]
                                                   No. 1910.3

Government Corporation         Subject to the      31 U.S.C. 9101(2)(G); 12 C.F.R. 725.1
Control Act of 1945            statute's
(31 U.S.C. 9101, et seq.)      requirements.

Government Performance and     Subject to the      5 U.S.C. 105 and 306(f); 31 U.S.C.
Results Act of 1993            statute's           1115(f)(1) and 9101(2)(G); 12 C.F.R.
(P.L. 103-62, Aug. 3, 1993)    requirements.       725.1

Chief Financial Officers Act   Subject to the      31 U.S.C. 901(b); NCUA memorandum
of 1990                        statute's           dated February 11, 1991; 12 C.F.R.
(P.L. 101-576, Nov. 15, 1990,  requirements.       725.1
as amended)

Inspector General Act of       Subject to the      5 U.S.C. appendix, 11(5); 5 U.S.C.
1978                           statute's           552(e)[(f)]; 12 C.F.R. 725.1
(5 U.S.C. app.)                requirements.

Federal Credit Reform Act of   Not subject to and  2 U.S.C. 621 note, 622(8) and 661e(a);
1990                           does not            12 C.F.R. 725.1
(2 U.S.C. 661-661f)            administratively
                               adopt the
                               statute's
                               requirements.

Ethics in Government Act of    Subject to the      5 U.S.C. 105, 5 U.S.C. appendix 401,
1978                           statute's           et seq.; 5 C.F.R. Parts 2635-41; 12
(P.L. 95-521, Oct. 26, 1978,   requirements.       C.F.R. 725.1
as amended)
-----------------------------------------------------------------------------------------

      RELATED GAO PRODUCT
------------------------------------------------------ Appendix V:12.6

Credit Unions:  Reforms for Ensuring Future Soundness (GAO/GGD-91-85,
July 10, 1991). 


   SECTION 12:
   NATIONAL RAILROAD PASSENGER
   CORPORATION (AMTRAK)SECTION 12: 
   NATIONAL RAILROAD PASSENGER
   CORPORATION (AMTRAK)
-------------------------------------------------------- Appendix V:13


      PURPOSE
------------------------------------------------------ Appendix V:13.1

The National Railroad Passenger Corporation (Amtrak) provides
intercity and commuter rail passenger transportation in the United
States (49 U.S.C.  24101(b)). 


      BACKGROUND
------------------------------------------------------ Appendix V:13.2


         DATE CREATED: 
---------------------------------------------------- Appendix V:13.2.1

March 30, 1971


         ORGANIZATIONAL LOCATION: 
---------------------------------------------------- Appendix V:13.2.2

Independent


         LEGAL AUTHORITY: 
---------------------------------------------------- Appendix V:13.2.3

49 U.S.C.  24101, et seq. 


         LEGAL STATUS: 
---------------------------------------------------- Appendix V:13.2.4

Mixed-ownership government corporation


         PRIMARY METHOD TO ACHIEVE
         PURPOSE: 
---------------------------------------------------- Appendix V:13.2.5

Provides intercity and commuter rail passenger transportation in the
United States


         PERMANENT OR TEMPORARY
         STATUS: 
---------------------------------------------------- Appendix V:13.2.6

Permanent


         FISCAL YEAR 1994
         FULL-TIME EQUIVALENT
         (FTE) EMPLOYMENT: 
---------------------------------------------------- Appendix V:13.2.7

26,266.5


      MANAGEMENT STRUCTURE
------------------------------------------------------ Appendix V:13.3

Amtrak has a nine-member board of directors, five of whom are
appointed by the President of the United States and serve terms of 2
to 4 years.  The remaining four board members include the Secretary
of Transportation, the president of Amtrak, and two individuals
selected by Amtrak preferred stockholders.  Amtrak's officers consist
of a president, executive vice presidents, vice presidents,
secretary, and treasurer.  Amtrak's president is also the chief
executive officer. 


      FUNDING INFORMATION
------------------------------------------------------ Appendix V:13.4

Amtrak generates revenue through intercity passenger operations,
commuter and other contract services, mail and express delivery, and
real estate and operations/corporate development.  Figure V.12.1
depicts Amtrak's revenues, expenses, and net operating loss for
fiscal years 1990 through 1994 using the data from Table V.12.1. 



                              Table V.12.1
                
                  Amtrak's Revenues, Expenses, and Net
                  Operating Loss for Fiscal Years 1990
                              Through 1994

                         (Dollars in billions)

                                        FY     FY     FY     FY     FY
Category                              1990   1991   1992   1993   1994
-----------------------------------  -----  -----  -----  -----  -----
Revenues                              $1.3   $1.4   $1.3   $1.4   $1.4
Expenses                               2.0    2.1    2.0    2.1    2.4
Net operating loss\a                   0.7    0.7    0.7    0.7    1.1
----------------------------------------------------------------------
Note:  Amtrak uses accrual-based accounting rather than cash-based
accounting.  Under cash accounting, revenues and expenses are
recognized when cash is received or disbursed.  Under accrual
accounting, revenues and expenses are recognized when earned or
incurred, regardless of when cash is received or paid.  Accrual
accounting provides information on the current cash budget needs for
funding future payments, such as asset maintenance and replacement,
pensions, debt service, and lease commitments. 

\a Net operating loss equals the difference between expenses and
revenues.  Amtrak's net operating loss for fiscal year 1994 reflects
an accounting change as well as the difference between total revenues
and total expenses.  As a result, the fiscal year 1994 net operating
loss may not add due to rounding. 

Source:  Amtrak. 

   Figure V.12.1:  Amtrak's
   Revenues, Expenses, and Net
   Operating Loss for Fiscal Years
   1990 Through 1994

   (See figure in printed
   edition.)

Source:  Amtrak. 

Since 1971, the federal government has provided Amtrak over $16
billion to support intercity passenger rail service.  In fiscal year
1994, Amtrak received federal funds through an operating and capital
grant, a grant for the Northeast Corridor Improvement Program
(NECIP),\8 and a mandatory payment by the Federal Railroad
Administration (FRA) to fund certain retirement and unemployment
benefits.\9 Amtrak's capital grant pays for purchasing cars and
locomotives; overhauling fully depreciated equipment; modifying
equipment, as required by law; upgrading facilities for maintenance,
overhauls, and other work; and servicing debt.  NECIP is a long-term
capital improvement project that includes electrification of track
between New Haven and Boston so that trains will be able to travel at
speeds of up to 150 miles per hour by the end of the century. 
Amtrak's revenues and expenses are not included in the federal
subsidy data that follows (see figure V.12.2 and table V.12.2). 

Figure V.12.2 and table V.12.2 show federal appropriations for Amtrak
from fiscal years 1990 through 1994. 



                              Table V.12.2
                
                   Federal Appropriations for Amtrak,
                     Fiscal Years 1990 Through 1994

                         (Dollars in millions)

                                        FY     FY     FY     FY     FY
Category                              1990   1991   1992   1993   1994
-----------------------------------  -----  -----  -----  -----  -----
Mandatory payment                     $142   $150   $145   $146   $137
NECIP subsidy                           25    179    205    204    225
Capital subsidy                         84    132    175    190    195
Operating subsidy                      378    343    331    351    352
----------------------------------------------------------------------
Source:  Amtrak appropriation bills, fiscal years 1990 through 1994. 

   Figure V.12.2:  Federal
   Appropriations for Amtrak,
   Fiscal Years 1990 Through 1994

   (See figure in printed
   edition.)

Source:  Amtrak appropriation bills, fiscal years 1990 through 1994. 


--------------------
\8 NECIP is an ongoing project established in 1976 for the
construction and upgrading of tracks, bridges, communications and
signals, and electric traction between Washington, D.C., and Boston. 

\9 Amtrak is required to participate in the railroad retirement and
unemployment systems.  Each participating railroad pays a portion of
the costs for all retirement and unemployment benefits in the
industry.  Since Amtrak's payments exceed the corporation's specific
retirement and unemployment costs, FRA has agreed to pay the excess
costs for Amtrak. 


      CORPORATION'S REPORTED
      STATUTORY ADHERENCE
------------------------------------------------------ Appendix V:13.5



                                       Table V.12.3
                         
                         Amtrak's Self-Reported Adherence to the
                               15 Selected Federal Statutes

                               Degree of
Statute                        adherence           Amtrak's comments
-----------------------------  ------------------  --------------------------------------
Privacy Act of 1974            Not subject to and  49 U.S.C. 24301(a)
(5 U.S.C. 552a)                does not
                               administratively
                               adopt the
                               statute's
                               requirements.

Freedom of Information Act of  Subject to the      49 U.S.C. 24301(e)
1966                           statute's
(5 U.S.C. 552)                 requirements.

Government in the Sunshine     Not subject to but  49 U.S.C. 24301(a); sections 5 and 6
Act                            implements an       of Amtrak's bylaws (January 1984)
(5 U.S.C. 552b)                alternative         contain provisions for open public
                               mechanism(s) to     meetings under certain circumstances.
                               attain the
                               objective(s) of
                               the statute.

Title 5: Employee              Not subject to and  49 U.S.C. 24301(a) and (d)
Classification                 does not
(5 U.S.C. 5101-5115)           administratively
                               adopt the
                               statute's
                               requirements.

Title 5: Pay Rates and Rate    Not subject to and  49 U.S.C. 24301(a) and (d)
Systems                        does not
(5 U.S.C. 5331-5338 and 5341-  administratively
5349)                          adopt the
                               statute's
                               requirements.

Federal Property and           Not subject to and  49 U.S.C. 24301(a)
Administrative Services Act    does not
of 1949                        administratively
(41 U.S.C. 251-260)            adopt the
                               statute's
                               requirements.

Federal Tort Claims Act        Not subject to and  49 U.S.C. 24301(a)
(28 U.S.C. 2671, et seq.)      does not
                               administratively
                               adopt the
                               statute's
                               requirements.

Federal Managers Financial     Not subject to and  49 U.S.C. 24301(a)
Integrity Act of 1982          does not
(31 U.S.C. 3512 (b), (c))      administratively
                               adopt the
                               statute's
                               requirements.

Anti-Deficiency Act            Not subject to and  49 U.S.C. 24301(a)
(31 U.S.C. 1341)               does not
                               administratively
                               adopt the
                               statute's
                               requirements.

Government Corporation         Subject to the      31 U.S.C. 9101(2)
Control Act of 1945            statute's
(31 U.S.C. 9101, et seq.)      requirements.

Government Performance and     Not subject to and  49 U.S.C. 24301(a)(3)
Results Act of 1993            does not
(P.L. 103-62, Aug. 3, 1993)    administratively
                               adopt the
                               statute's
                               requirements.

Chief Financial Officers Act   Partially subject   P.L. 101-576, sections 305-306
of 1990                        to the statute's
(P.L. 101-576, Nov. 15, 1990,  requirements.
as amended)

Inspector General Act of       Partially subject   5 U.S.C. appendix 3, sections 8G(b),
1978                           to the statute's    (c), (d), (g)
(5 U.S.C. app.)                requirements.

Federal Credit Reform Act of   Not subject to and  49 U.S.C. 24301(a)(3)
1990                           does not
(2 U.S.C. 661-661f)            administratively
                               adopt the
                               statute's
                               requirements.

Ethics in Government Act of    Not subject to and  49 U.S.C. 24301(a)(3)
1978                           does not
(P.L. 95-521, Oct. 26, 1978,   administratively
as amended)                    adopt the
                               statute's
                               requirements.
-----------------------------------------------------------------------------------------

      RELATED GAO PRODUCTS
------------------------------------------------------ Appendix V:13.6

Amtrak:  Early Progress Made in Implementing Strategic and Business
Plan, but Obstacles Remain (GAO/T-RCED-95-227, June 16, 1995). 

Amtrak's Northeast Corridor:  Information on the Status and Cost of
Needed Improvements (GAO/RCED-95-151BR, Apr.  13, 1995). 

Amtrak:  Deteriorated Financial and Operating Conditions Threaten
Long-Term Viability (GAO/T-RCED-95-142, Mar.  23, 1995). 

Amtrak:  Issues for Reauthorization (GAO/T-RCED-95-132, Mar.  13,
1995). 

Amtrak:  Deteriorated Financial and Operating Conditions Threaten
Long-Term Viability (GAO/T-RCED-95-123, Mar.  2, 1995). 

Surface Transportation:  Reorganization, Program Restructuring, and
Budget Issues (GAO/T-RCED-95-103, Feb.  13, 1995). 

Amtrak:  Deteriorated Financial and Operating Conditions Threaten
Long-Term Viability (GAO/T-RCED-95-98, Feb.  7, 1995). 

Intercity Passenger Rail:  Financial and Operating Conditions
Threaten Amtrak's Long-Term Viability (GAO/RCED-95-71, Feb.  6,
1995). 

Amtrak:  Deteriorated Financial and Operating Conditions
(GAO/T-RCED-95-90, Jan.  26, 1995). 

Department of Transportation:  Issues Related to Transportation
Funding (GAO/T-RCED-95-83, Jan.  11, 1995). 



   SECTION 13:
   OVERSEAS PRIVATE INVESTMENT
   CORPORATIONSECTION 13: 
   OVERSEAS PRIVATE INVESTMENT
   CORPORATION
-------------------------------------------------------- Appendix V:14


      PURPOSE
------------------------------------------------------ Appendix V:14.1

The Overseas Private Investment Corporation (OPIC) serves to mobilize
and facilitate the participation of United States private capital and
skills in the economic and social development of underdeveloped
countries and countries in transition from nonmarket to market
economies, complementing the development assistance objectives of the
United States. 


      BACKGROUND
------------------------------------------------------ Appendix V:14.2


         DATE CREATED: 
---------------------------------------------------- Appendix V:14.2.1

December 12, 1969


         ORGANIZATIONAL LOCATION: 
---------------------------------------------------- Appendix V:14.2.2

Independent


         LEGAL AUTHORITY: 
---------------------------------------------------- Appendix V:14.2.3

22 U.S.C.  2191-2200B


         LEGAL STATUS: 
---------------------------------------------------- Appendix V:14.2.4

Wholly owned government corporation


         PRIMARY METHOD TO ACHIEVE
         PURPOSE: 
---------------------------------------------------- Appendix V:14.2.5

Provides overseas investment financing, insurance, or reinsurance to
promote international development (P.L.  87-195, section 231)


         PERMANENT OR TEMPORARY
         STATUS: 
---------------------------------------------------- Appendix V:14.2.6

Permanent


         FISCAL YEAR 1994
         FULL-TIME EQUIVALENT
         (FTE) EMPLOYMENT: 
---------------------------------------------------- Appendix V:14.2.7

164


      MANAGEMENT STRUCTURE
------------------------------------------------------ Appendix V:14.3

OPIC is managed by a 15-member board of directors.  The administrator
of the Agency for International Development serves as the chairman of
the board.  Board members are appointed by the President of the
United States by and with the advice and consent of the Senate.  The
president of OPIC also serves as the corporation's chief executive
officer (P.L.  87-195, section 233, 22 U.S.C.  2193). 


      FUNDING INFORMATION
------------------------------------------------------ Appendix V:14.4

OPIC's nonfederal collections exceeded its gross outlays in fiscal
years 1990, 1991, and 1994.  In fiscal years 1992 and 1993, OPIC's
gross outlays exceeded its nonfederal collections.  During fiscal
years 1990 through 1994, OPIC's negative net federal outlays totaled
$3.3 million.  Figure V.13.1 depicts OPIC's gross outlays, nonfederal
collections, and net federal outlays data from table V.13.1.  Of
note, data from fiscal years 1990 through 1991 are not comparable to
data from fiscal years 1992 through 1994 because of the Federal
Credit Reform Act of 1990.  This act changed the treatment for direct
loans and loan guarantees made on or after October 1, 1991.  See
appendix I for further explanation. 



                              Table V.13.1
                
                    OPIC's Gross Outlays, Nonfederal
                Collections, and Net Federal Outlays for
                     Fiscal Years 1990 Through 1994

                         (Dollars in millions)

                                        FY     FY     FY     FY     FY
Budget category                       1990   1991   1992   1993   1994
-----------------------------------  -----  -----  -----  -----  -----
Gross outlays                        $30.8  $42.5  $116.  $98.4  $45.1
                                                       2
Nonfederal collections                67.1   63.9   67.7   75.1   62.5
Net federal outlays                  (36.3  (21.4   48.5   23.3  (17.4
                                         )      )                    )
----------------------------------------------------------------------
Source:  OMB. 

   Figure V.13.1:  OPIC's Gross
   Outlays, Nonfederal
   Collections, and Net Federal
   Outlays for Fiscal Years 1990
   Through 1994

   (See figure in printed
   edition.)

Note:  Net federal outlays represent outlays from various federal
sources including direct appropriations and interagency transfers. 

Source:  OMB. 


      CORPORATION'S REPORTED
      STATUTORY ADHERENCE
------------------------------------------------------ Appendix V:14.5



                                       Table V.13.2
                         
                         OPIC's Self-Reported Adherence to the 15
                                Selected Federal Statutes

                               Degree of
Statute                        adherence           OPIC's comments
-----------------------------  ------------------  --------------------------------------
Privacy Act of 1974            Subject to the      5 U.S.C. 552a(a)(1) and 552(e)
(5 U.S.C. 552a)                statute's
                               requirements.

Freedom of Information Act of  Subject to the      5 U.S.C. 552
1966                           statute's
(5 U.S.C. 552)                 requirements.

Government in the Sunshine     Subject to the      5 U.S.C. 552b and 552(e)
Act                            statute's
(5 U.S.C. 552b)                requirements.

Title 5: Employee              Subject to the      5 U.S.C. 5101-5115
Classification                 statute's
(5 U.S.C. 5101-5115)           requirements.

Title 5: Pay Rates and Rate    Subject to the      5 U.S.C. 5331-5338
Systems                        statute's
(5 U.S.C. 5331-5338 and 5341-  requirements.
5349)

Federal Property and           Not subject to but  OPIC Management Directive 93-03 (This
Administrative Services Act    implements an       directive, entitled "Procurement
of 1949                        alternative         Guide," is based on the requirements
(41 U.S.C. 251-260)            mechanism(s) to     of the Federal Acquisition
                               attain the          Regulations.)
                               objective(s) of
                               the statute.

Federal Tort Claims Act        Subject to the      28 U.S.C. 2672
(28 U.S.C. 2671, et seq.)      statute's
                               requirements.

Federal Managers Financial     Not subject to and  31 U.S.C. 3501
Integrity Act of 1982          does not
(31 U.S.C. 3512 (b), (c))      administratively
                               adopt the
                               statute's
                               requirements.

Anti-Deficiency Act            Subject to the      31 U.S.C. 1341
(31 U.S.C. 1341)               statute's
                               requirements.

Government Corporation         Subject to the      31 U.S.C. 9101
Control Act of 1945            statute's
(31 U.S.C. 9101, et seq.)      requirements.

Government Performance and     Subject to the      P.L. 103-62
Results Act of 1993            statute's
(P.L. 103-62, Aug. 3, 1993)    requirements.

Chief Financial Officers Act   Not subject to and  31 U.S.C. 901
of 1990                        does not
(P.L. 101-576, Nov. 15, 1990,  administratively
as amended)                    adopt the
                               statute's
                               requirements.

Inspector General Act of       Subject to the      31 U.S.C. 1341
1978                           statute's
(5 U.S.C. app.)                requirements.

Federal Credit Reform Act of   Subject to the      P.L. 101-508
1990                           statute's
(2 U.S.C. 661-661f)            requirements.

Ethics in Government Act of    Subject to the      P.L. 95-521
1978                           statute's
(P.L. 95-521, Oct. 26, 1978,   requirements.
as amended)
-----------------------------------------------------------------------------------------

      RELATED GAO PRODUCTS
------------------------------------------------------ Appendix V:14.6

Foreign Assistance:  U.S.  Support for Caribbean Basin Assembly
Industries GAO/NSIAD-94-31, Dec.  29, 1993). 

U.S.  Government Export Promotion Programs Could Be Improved
(GAO/T-NSIAD-91-39, May 23, 1991). 


   SECTION 14:
   PENNSYLVANIA AVENUE DEVELOPMENT
   CORPORATIONSECTION 14: 
   PENNSYLVANIA AVENUE DEVELOPMENT
   CORPORATION
-------------------------------------------------------- Appendix V:15


      PURPOSE
------------------------------------------------------ Appendix V:15.1

The Pennsylvania Avenue Development Corporation (PADC) serves to (1)
provide for the preparation and execution of a development plan for
certain areas between the White House and the Capitol and (2) further
the purposes for which the Pennsylvania Avenue National Historic Site
was designated. 


      BACKGROUND
------------------------------------------------------ Appendix V:15.2


         DATE CREATED: 
---------------------------------------------------- Appendix V:15.2.1

October 27, 1972


         ORGANIZATIONAL LOCATION: 
---------------------------------------------------- Appendix V:15.2.2

Independent


         LEGAL AUTHORITY: 
---------------------------------------------------- Appendix V:15.2.3

40 U.S.C.  871 and 1101


         LEGAL STATUS: 
---------------------------------------------------- Appendix V:15.2.4

Wholly owned government corporation


         PRIMARY METHOD TO ACHIEVE
         PURPOSE: 
---------------------------------------------------- Appendix V:15.2.5

Joint ventures between the federal government and private industry to
develop the Pennsylvania Avenue development area


         PERMANENT OR TEMPORARY
         STATUS: 
---------------------------------------------------- Appendix V:15.2.6

Temporary (40 U.S.C.  872(b) and 874)


         FISCAL YEAR 1994
         FULL-TIME EQUIVALENT
         (FTE) EMPLOYMENT: 
---------------------------------------------------- Appendix V:15.2.7

35


      MANAGEMENT STRUCTURE
------------------------------------------------------ Appendix V:15.3

A 15-member board of directors manages and controls PADC's business,
property, and affairs (40 U.S.C.  871).  PADC's board of directors
includes the Secretaries of the Interior, the Treasury, Housing and
Urban Development, and Transportation; the Administrator of General
Services; the mayor of the District of Columbia; the Chairman,
Council of the District of Columbia.  In addition, eight members are
appointed by the President from private life and serve terms of 6
years.  PADC's officers consist of a president, an executive
director, two assistant directors, and a secretary (36 C.F.R. 
901.4(a)). 


      FUNDING INFORMATION
------------------------------------------------------ Appendix V:15.4

PADC's gross outlays exceeded its nonfederal collections each year
from fiscal years 1990 through 1994.  During this time frame, PADC's
net federal outlays totaled $327.3 million.  Figure V.14.1 depicts
PADC's gross outlays, nonfederal collections, and net federal outlays
data from table V.14.1. 



                              Table V.14.1
                
                    PADC's Gross Outlays, Nonfederal
                Collections, and Net Federal Outlays for
                     Fiscal Years 1990 Through 1994

                         (Dollars in millions)

                                        FY     FY     FY     FY     FY
Budget category                       1990   1991   1992   1993   1994
-----------------------------------  -----  -----  -----  -----  -----
Gross outlays                        $33.8  $41.4  $64.2  $86.4  $118.
                                                                     7
Nonfederal collections                 3.2    1.3    3.8    4.2    4.7
Net federal outlays                   30.6   40.1   60.4   82.2  114.0
----------------------------------------------------------------------
Source:  OMB. 

   Figure V.14.1:  PADC's Gross
   Outlays, Nonfederal
   Collections, and Net Federal
   Outlays for Fiscal Years 1990
   Through 1994

   (See figure in printed
   edition.)

Note:  Net federal outlays represent outlays from various federal
sources including direct appropriations and interagency transfers. 

Source:  OMB. 


      CORPORATION'S REPORTED
      STATUTORY ADHERENCE
------------------------------------------------------ Appendix V:15.5



                                       Table V.14.2
                         
                         PADC's Self-Reported Adherence to the 15
                                Selected Federal Statutes

                               Degree of
Statute                        adherence           PADC's comments
-----------------------------  ------------------  --------------------------------------
Privacy Act of 1974            Subject to the      5 U.S.C. 552a
(5 U.S.C. 552a)                statute's
                               requirements.

Freedom of Information Act of  Subject to the      5 U.S.C. 552
1966                           statute's
(5 U.S.C. 552)                 requirements.

Government in the Sunshine     Not subject to but  PADC board of directors resolution,
Act                            administratively    December 7, 1978
(5 U.S.C. 552b)                adopts the
                               statute's
                               requirements.

Title 5: Employee              Partially subject   5 U.S.C. 105 and 5102(a)(1)(A); except
Classification                 to the statute's    for the executive director; assistant
(5 U.S.C. 5101-5115)           requirements.       director, legal; and assistant
                                                   director, development (40 U.S.C.
                                                   873(a))

Title 5: Pay Rates and Rate    Subject to the      5 U.S.C. 5331 and 5341-5342
Systems                        statute's
(5 U.S.C. 5331-5338 and 5341-  requirements.
5349)

Federal Property and           Partially subject   40 U.S.C. 472; under 40 U.S.C. 875(6),
Administrative Services Act    to the statute's    PADC has independent statutory
of 1949                        requirements.       authority to dispose of real and
(41 U.S.C. 251-260)                                personal property and any interest
                                                   therein as it deems necessary to carry
                                                   out the development plan.

Federal Tort Claims Act        Subject to the      28 U.S.C. 2671-2672
(28 U.S.C. 2671, et seq.)      statute's
                               requirements.

Federal Managers Financial     Not subject to and  31 U.S.C. 3501 and 9101
Integrity Act of 1982          does not
(31 U.S.C. 3512 (b), (c))      administratively
                               adopt the
                               statute's
                               requirements.

Anti-Deficiency Act            Subject to the      31 U.S.C. 1341
(31 U.S.C. 1341)               statute's
                               requirements.

Government Corporation         Subject to the      31 U.S.C. 9101; P.L. 92-578, section
Control Act of 1945            statute's           15
(31 U.S.C. 9101, et seq.)      requirements.

Government Performance and     Subject to the      P.L. 103-62; 5 U.S.C. 105
Results Act of 1993            statute's
(P.L. 103-62, Aug. 3, 1993)    requirements.

Chief Financial Officers Act   Partially subject   31 U.S.C. 901
of 1990                        to the statute's
(P.L. 101-576, Nov. 15, 1990,  requirements.
as amended)

Inspector General Act of       Subject to the      5 U.S.C. appendix, section 8G; 57
1978                           statute's           C.F.R. 22002 (May 26, 1992)
(5 U.S.C. app.)                requirements.

Federal Credit Reform Act of   Not subject to and  PADC does not have authority to make
1990                           does not            loans.
(2 U.S.C. 661-661f)            administratively
                               adopt the
                               statute's
                               requirements.

Ethics in Government Act of    Subject to the      5 U.S.C. appendix, section 101
1978                           statute's
(P.L. 95-521, Oct. 26, 1978,   requirements.
as amended)
-----------------------------------------------------------------------------------------


      RELATED GAO PRODUCTS
------------------------------------------------------ Appendix V:15.6

PADC Financial Statements (GAO/AFMD-92-89R, Aug.  4, 1992). 

Financial Audit:  Pennsylvania Avenue Development Corporation's 1988
Financial Statements (GAO/AFMD-90-22, Jan.  11, 1990). 


   SECTION 15:
   PENSION BENEFIT GUARANTY
   CORPORATIONSECTION 15:  PENSION
   BENEFIT GUARANTY CORPORATION
-------------------------------------------------------- Appendix V:16


      PURPOSE
------------------------------------------------------ Appendix V:16.1

The Pension Benefit Guaranty Corporation (PBGC) administers the
pension plan termination insurance program created under title IV of
the Employee Retirement Income Security Act of 1974 (ERISA) (29
U.S.C.  1301-1461).  PBGC serves to (1) encourage the continuation
and maintenance of voluntary private pension plans for the benefit of
their participants, (2) provide for the timely and uninterrupted
payment of pension benefits to participants and beneficiaries under
plans covered by title IV of ERISA and, (3) maintain premiums
established by PBGC at the lowest level consistent with carrying out
PBGC's obligations under title IV of ERISA (29 U.S.C.  1302(a) and
1306). 


      BACKGROUND
------------------------------------------------------ Appendix V:16.2


         DATE CREATED: 
---------------------------------------------------- Appendix V:16.2.1

September 2, 1974


         ORGANIZATIONAL LOCATION: 
---------------------------------------------------- Appendix V:16.2.2

Independent


         LEGAL AUTHORITY: 
---------------------------------------------------- Appendix V:16.2.3

29 U.S.C.  1302


         LEGAL STATUS: 
---------------------------------------------------- Appendix V:16.2.4

Wholly owned government corporation


         PRIMARY METHOD TO ACHIEVE
         PURPOSE: 
---------------------------------------------------- Appendix V:16.2.5

Collects premiums from contributing sponsors of covered pension plans
and makes benefit payments, subject to certain statutory limits, to
eligible participants and beneficiaries in covered plans that
terminated without sufficient assets to pay all benefits. 


         PERMANENT OR TEMPORARY
         STATUS: 
---------------------------------------------------- Appendix V:16.2.6

Permanent


         FISCAL YEAR 1994
         FULL-TIME EQUIVALENT
         (FTE) EMPLOYMENT: 
---------------------------------------------------- Appendix V:16.2.7

647


      MANAGEMENT STRUCTURE
------------------------------------------------------ Appendix V:16.3

PBGC is managed by a three-member board of directors composed of the
Secretary of Labor, the Secretary of the Treasury, and the Secretary
of Commerce.  The Secretary of Labor serves as chairman of the board
of directors and administers the PBGC in accordance with policies
established by the board (29 U.S.C.  1302(a) and (d)).  PBGC's
executive director is the corporation's senior management official. 

Under 29 U.S.C.  1302(h)(1), a seven-member advisory committee
appointed by the President of the United States advises PBGC
regarding policies and procedures.  Two members of the committee
represent employee organizations, two members represent employers,
and three members represent the general public. 


      FUNDING INFORMATION
------------------------------------------------------ Appendix V:16.4

PBGC's nonfederal collections exceeded its gross outlays in fiscal
years 1990 through 1994.  During this time frame, PBGC's negative net
federal outlays totaled $2.4 billion.  Figure V.15.1 depicts PBGC's
gross outlays and nonfederal collections data from table V.15.1. 



                              Table V.15.1
                
                    PBGC's Gross Outlays, Nonfederal
                Collections, and Net Federal Outlays for
                     Fiscal Years 1990 Through 1994

                         (Dollars in billions)

                                        FY     FY     FY     FY     FY
Budget category                       1990   1991   1992   1993   1994
-----------------------------------  -----  -----  -----  -----  -----
Gross outlays                          $.5    $.6    $.8    $.8   $1.1
Nonfederal collections                 1.1    1.1    1.3    1.3    1.4
Net federal outlays                  (0.6)  (0.5)  (0.5)  (0.5)  (0.3)
----------------------------------------------------------------------
Source:  OMB. 

   Figure V.15.1:  PBGC's Gross
   Outlays and Nonfederal
   Collections for Fiscal Years
   1990 Through 1994

   (See figure in printed
   edition.)

Source:  OMB. 


      CORPORATION'S REPORTED
      STATUTORY ADHERENCE
------------------------------------------------------ Appendix V:16.5



                                       Table V.15.2
                         
                         PBGC's Self-Reported Adherence to the 15
                                Selected Federal Statutes

                               Degree of
Statute                        adherence           PBGC's comments
-----------------------------  ------------------  --------------------------------------
Privacy Act of 1974            Subject to the      5 U.S.C. 552a(a)(1) and 552(f)
(5 U.S.C. 552a)                statute's
                               requirements.

Freedom of Information Act of  Subject to the      5 U.S.C. 551(1) and 552(f)
1966                           statute's
(5 U.S.C. 552)                 requirements.

Government in the Sunshine     Not subject to and  5 U.S.C. 552b(a)(1); Department of
Act                            does not            Justice Opinion dated December 28,
(5 U.S.C. 552b)                administratively    1976.
                               adopt the
                               statute's
                               requirements.

Title 5: Employee              Subject to the      The question of whether 5 U.S.C. 103,
Classification                 statute's           105, 5102(a)(1)(A) and 5331(a) apply
(5 U.S.C. 5101-5115)           requirements.       to PBGC has been under review by PBGC
                                                   for a few years. The current view is
                                                   that the provisions do apply.

Title 5: Pay Rates and Rate    Subject to the      The question of whether 5 U.S.C. 103,
Systems                        statute's           105, 5102(a)(1)(A) and 5331(a) apply
(5 U.S.C. 5331-5338 and 5341-  requirements.       to PBGC has been under review by PBGC
5349)                                              for a few years. The current view is
                                                   that the provisions do apply.

Federal Property and           Partially subject   40 U.S.C. 472(a)
Administrative Services Act    to the statute's
of 1949                        requirements.       When acting in its capacity as trustee
(41 U.S.C. 251-260)                                of a terminated pension plan and using
                                                   trust funds, PBGC serves primarily as
                                                   a nongovernmental entity and is not
                                                   subject to these provisions pertaining
                                                   to the expenditure of public funds
                                                   (Comp. Gen. Opinion No. B-223146, Oct.
                                                   7, 1986).

Federal Tort Claims Act        Subject to the      28 U.S.C. 2671
(28 U.S.C. 2671, et seq.)      statute's
                               requirements.       Under an October 31, 1978, agreement
                                                   between PBGC and the Department of
                                                   Justice, may represent PBGC in tort
                                                   actions unrelated to PBGC's
                                                   programmatic operations. PBGC will
                                                   represent itself in tort actions
                                                   involving programmatic operations
                                                   under its independent litigating
                                                   authority in 29 U.S.C. 1302(b)(1).

Federal Managers Financial     Not subject to but  PBGC Management Control Program, PBGC
Integrity Act of 1982          administratively    Directive GA-30-2 (Feb. 26, 1993);
(31 U.S.C. 3512 (b), (c))      adopts the          Financial Management Systems, PBGC
                               statute's           Directive FM 00-1 (Mar. 11, 1994).
                               requirements.
                                                   As a wholly owned government
                                                   corporation under 31 U.S.C.
                                                   9101(3)(I), PBGC is not an executive
                                                   agency (defined in 31 U.S.C. 3501)
                                                   subject to the provisions of the
                                                   Federal Managers Financial Integrity
                                                   Act of 1982 (codified at 31 U.S.C.
                                                   3512(b) and (c)). Section 306 of the
                                                   Chief Financial Officers Act of 1990,
                                                   P.L. 101-576, 104 Stat. 2838 at 2854
                                                   (Nov. 15, 1990) amended the Government
                                                   Corporation Control Act of 1945
                                                   (GCCA), which applies to PBGC. As
                                                   amended, GCCA requires a government
                                                   corporation to include in its annual
                                                   management report a "statement on
                                                   internal accounting and administrative
                                                   control systems . . . consistent with
                                                   the requirements of agency statements
                                                   on internal accounting and
                                                   administrative control systems under
                                                   the amendments made by the Federal
                                                   Managers Financial Integrity Act of
                                                   1982 . . ." (31 U.S.C. 9106(a)(2)(E)).

Anti-Deficiency Act            Partially subject   31 U.S.C. 103 and 1341(a)(1)
(31 U.S.C. 1341)               to the statute's
                               requirements.       When acting as trustee of a terminated
                                                   pension plan and using trust funds,
                                                   PBGC is serving primarily as a
                                                   nongovernmental entity and is not
                                                   subject to these provisions pertaining
                                                   to the expenditure of public funds
                                                   (Comp. Gen. Opinion No. B-223146, Oct.
                                                   7, 1986; Comp. Gen. Opinion No. B-
                                                   217281-O.M., Mar. 27, 1985).

Government Corporation         Subject to the      31 U.S.C. 9101(3)(I)
Control Act of 1945            statute's
(31 U.S.C. 9101, et seq.)      requirements.

Government Performance and     Subject to the      5 U.S.C. 103, 105, and 306(f); 31
Results Act of 1993            statute's           U.S.C. 1115(f)(1)
(P.L. 103-62, Aug. 3, 1993)    requirements.

Chief Financial Officers Act   Partially subject   31 U.S.C. 901(b)
of 1990                        to the statute's
(P.L. 101-576, Nov. 15, 1990,  requirements.       Although all of the provisions of P.L.
as amended)                                        101-576, 104 Stat. 2838 do not apply
                                                   to PBGC, sections 305 and 306 of the
                                                   act amended the Government Corporation
                                                   Control Act of 1945, which applies to
                                                   PBGC (31 U.S.C. 9105-9106).

Inspector General Act of       Subject to the      5 U.S.C. app. 3, sections 8G(a)(2) and
1978                           statute's           (b)
(5 U.S.C. app.)                requirements.

Federal Credit Reform Act of   Not subject to and  2 U.S.C. 661(e)
1990                           does not
(2 U.S.C. 661-661f)            administratively
                               adopt the
                               statute's
                               requirements.

Ethics in Government Act of    Subject to the      5 U.S.C. 105 and 5 U.S.C. app. 5,
1978                           statute's           section 402(a)
(P.L. 95-521, Oct. 26, 1978,   requirements.
as amended)
-----------------------------------------------------------------------------------------

      RELATED GAO PRODUCTS
------------------------------------------------------ Appendix V:16.6

Pension Benefit Guaranty Corporation (GAO/AIMD-95-225, Aug.  24,
1995). 

High-Risk Series:  Quick Reference Guide (GAO/HR-95-2, Feb.  1995). 

Private Pensions:  Funding Rule Change Needed to Reduce PBGC's
Multibillion Dollar Exposure (GAO/HEHS-95-5, Oct.  5, 1994). 

Underfunded Pension Plans:  Stronger Funding Rules Needed to Reduce
Federal Government's Growing Exposure (GAO/T-HEHS-94-191, June 15,
1994). 

Private Pensions:  Protections for Retirees' Insurance Annuities Can
Be Strengthened (GAO/HRD-93-29, Mar.  31, 1993). 

Pension Plans:  Hidden Liabilities Increase Claims Against Government
Insurance Program (GAO/HRD-93-7.  Dec.  30, 1992). 

Pension Plans:  Pension Benefit Guaranty Corporation Needs to Improve
Premium Collections (GAO/HRD-92-103, June 30, 1992). 


   SECTION 16:
   RESOLUTION FUNDING
   CORPORATIONSECTION 16: 
   RESOLUTION FUNDING CORPORATION
-------------------------------------------------------- Appendix V:17


      PURPOSE
------------------------------------------------------ Appendix V:17.1

The Resolution Funding Corporation (REFCORP) was authorized by the
Federal Institutions Reform, Recovery, and Enforcement Act of 1989
(FIRREA) to raise up to $30 billion from debentures, bonds, and other
obligations, subject to the limitations contained in FIRREA and
regulations established by the Thrift Depositor Protection Oversight
Board (TDPOB).  The proceeds of the debt, net of issuance cost, are
to be used solely to purchase Resolution Trust Corporation (RTC)
nonredeemable capital stock. 


      BACKGROUND
------------------------------------------------------ Appendix V:17.2


         DATE CREATED: 
---------------------------------------------------- Appendix V:17.2.1

August 9, 1989


         ORGANIZATIONAL LOCATION: 
---------------------------------------------------- Appendix V:17.2.2

Independent


         LEGAL AUTHORITY: 
---------------------------------------------------- Appendix V:17.2.3

12 U.S.C.  1441b


         LEGAL STATUS: 
---------------------------------------------------- Appendix V:17.2.4

Mixed-ownership government corporation


         PRIMARY METHOD TO ACHIEVE
         PURPOSE: 
---------------------------------------------------- Appendix V:17.2.5

Fund the operations of RTC


         PERMANENT OR TEMPORARY
         STATUS: 
---------------------------------------------------- Appendix V:17.2.6

Temporary


         FISCAL YEAR 1994
         FULL-TIME EQUIVALENT
         (FTE) EMPLOYMENT: 
---------------------------------------------------- Appendix V:17.2.7

Under section 21B(c) of the Federal Home Loan Bank (FHLB) Act,
REFCORP does not have paid employees.  FIRREA states that certain
FHLB and FHLB Office of Finance employees are authorized to act for
and on behalf of REFCORP to carry out its functions. 


      MANAGEMENT STRUCTURE
------------------------------------------------------ Appendix V:17.3

REFCORP is managed by a directorate composed of the managing director
of FHLB's Office of Finance and two FHLB presidents selected by TDPOB
(section 21B(c) of the FHLB Act).  REFCORP is regulated by TDPOB. 


      FUNDING INFORMATION
------------------------------------------------------ Appendix V:17.4

REFCORP is financed through the issuance of debt obligations, sale of
capital stock, and assessments.  Since fiscal year 1990, REFCORP has
also received federal funds from the U.S.  Treasury.  Under FIRREA,
REFCORP is authorized to issue up to $30 billion in debentures,
bonds, and other obligations, subject to the limitations contained in
FIRREA and regulations established by TDPOB.  Proceeds of the debt,
net of issuance costs, are to be used solely to purchase
nonredeemable capital certificates of RTC or to refund any previously
issued obligations.  Nonmarketable U.S.  Treasury zero-coupon bonds
of equal maturity value as the REFCORP obligations issues are
purchased to repay the obligations at maturity.  FHLBs purchase stock
in REFCORP, and these funds are used to purchase zero-coupon bonds. 
When applicable, Savings Association Insurance Fund (SAIF) insurance
premiums are also available to purchase zero-coupon bonds. 

REFCORP provided fiscal years 1990 through 1994 funding information
in table V.16.1.\10



                              Table V.16.1
                
                REFCORP's Funding Information for Fiscal
                        Years 1990 Through 1994

                         (Dollars in millions)

                                        FY     FY     FY     FY     FY
Category                              1990   1991   1992   1993   1994
-----------------------------------  -----  -----  -----  -----  -----
Funds to purchase U.S. Treasury
 zero-coupon bonds:
FHLBs                                $1,16   $150     $0     $0     $0
                                         2
SAIF assessment                      1,057      0      0      0      0
Interest on
 obligations has been funded from:
REFCORP earnings                        19     21  0.005  0.006  0.007
FHLBs                                    0    150    300    300    300
U.S. Treasury\a                        347  1,870  2,328  2,328  2,328
----------------------------------------------------------------------
\a The Department of the Treasury annually appropriates amounts to
cover the shortfall between REFCORP's earnings and interest payments
on obligations issued by REFCORP. 

Source:  REFCORP. 


--------------------
\10 OMB's MAX database did not contain any funding information on
REFCORP. 


      CORPORATION'S REPORTED
      STATUTORY ADHERENCE
------------------------------------------------------ Appendix V:17.5



                                       Table V.16.2
                         
                         REFCORP's Self-Reported Adherence to the
                               15 Selected Federal Statutes

                               Degree of
Statute                        adherence           REFCORP's comments
-----------------------------  ------------------  --------------------------------------
Privacy Act of 1974            Not subject to and  REFCORP is not an "agency" as defined
(5 U.S.C. 552a)                does not            in the Privacy Act.
                               administratively
                               adopt the
                               statute's
                               requirements.

Freedom of Information Act of  Not subject to and  REFCORP is not an "agency" as defined
1966                           does not            in the Freedom of Information Act.
(5 U.S.C. 552)                 administratively
                               adopt the
                               statute's
                               requirements.

Government in the Sunshine     Not subject to and  REFCORP is not an "agency" as defined
Act                            does not            by the Government in the Sunshine Act.
(5 U.S.C. 552b)                administratively
                               adopt the
                               statute's
                               requirements.

Title 5: Employee              Not subject to and  Section 21B(c)(6) of the FHLB Act
Classification                 does not            states that REFCORP shall have no paid
(5 U.S.C. 5101-5115)           administratively    employees; therefore, it is not an
                               adopt the           "agency" as defined by this statute.
                               statute's
                               requirements.

Title 5: Pay Rates and Rate    Not subject to and  Section 21B(c)(6) of the FHLB Act
Systems                        does not            states that REFCORP shall have no paid
(5 U.S.C. 5331-5338 and 5341-  administratively    employees; therefore, it is not an
5349)                          adopt the           "agency" as defined by this statute.
                               statute's
                               requirements.

Federal Property and           Not subject to and  REFCORP is not an "agency" as defined
Administrative Services Act    does not            by the Federal Property and
of 1949                        administratively    Administrative Services Act of 1949.
(41 U.S.C. 251-260)            adopt the
                               statute's
                               requirements.

Federal Tort Claims Act        Not subject to and  REFCORP is not an "agency" as defined
(28 U.S.C. 2671, et seq.)      does not            by the Federal Tort Claims Act.
                               administratively
                               adopt the
                               statute's
                               requirements.

Federal Managers Financial     Not subject to and  REFCORP is not an "agency" required to
Integrity Act of 1982          does not            report under the Federal Managers
(31 U.S.C. 3512 (b), (c))      administratively    Financial Integrity Act of 1982.
                               adopt the
                               statute's
                               requirements.

Anti-Deficiency Act            Not subject to and  REFCORP is not an "agency" as defined
(31 U.S.C. 1341)               does not            by the Anti-Deficiency Act.
                               administratively
                               adopt the
                               statute's
                               requirements.

Government Corporation         Subject to the      Section 21B(L)(b)(1) of the FHLB Act.
Control Act of 1945            statute's
(31 U.S.C. 9101, et seq.)      requirements.

Government Performance and     Not subject to and  REFCORP is not an "agency" as defined
Results Act of 1993            does not            by the Government Performance and
(P.L. 103-62, Aug. 3, 1993)    administratively    Results Act of 1993.
                               adopt the
                               statute's
                               requirements.

Chief Financial Officers Act   Subject to the      REFCORP reports annually by June 30,
of 1990                        statute's           as required by the Chief Financial
(P.L. 101-576, Nov. 15, 1990,  requirements.       Officers Act of 1990.
as amended)

Inspector General Act of       Not subject to and  REFCORP is not an "agency" as defined
1978                           does not            in the Inspector General Act of 1978.
(5 U.S.C. app.)                administratively
                               adopt the
                               statute's
                               requirements.

Federal Credit Reform Act of   Not subject to and  REFCORP is not an "agency" as defined
1990                           does not            in the Federal Credit Reform Act of
(2 U.S.C. 661-661f)            administratively    1990.
                               adopt the
                               statute's
                               requirements.

Ethics in Government Act of    Not subject to and  REFCORP has no paid employees and is
1978                           does not            not an "agency" as defined in the
(P.L. 95-521, Oct. 26, 1978,   administratively    Ethics in Government Act of 1978.
as amended)                    adopt the
                               statute's
                               requirements.
-----------------------------------------------------------------------------------------

      RELATED GAO PRODUCTS
------------------------------------------------------ Appendix V:17.6

Obligations Limitation:  Resolution Trust Corporation's Compliance as
of March 31, 1991 (GAO/AFMD-92-39, Mar.  11, 1992). 

Obligations Limitation:  Resolution Trust Corporation's Compliance as
of September 30, 1990 (GAO/AFMD-91-63, May 31, 1991). 

Financial Audit:  Resolution Funding Corporation's 1989 Financial
Statements (GAO/AFMD-91-49, Apr.  2, 1991). 

Budget Issues:  Profiles of Government-Sponsored Enterprises
(GAO/AFMD-91-17, Feb.  1991). 

Obligations Limitation:  Resolution Trust Corporation's Compliance as
of March 31, 1990 (GAO/AFMD-90-101, July 27, 1990). 

Resolving the Savings and Loan Crisis:  Billions More and Additional
Reforms Needed (GAO/T-AFMD-90-15, Apr.  6, 1990). 

Failed Thrifts:  The Resolution Trust Corporation's Working Capital
Needs (GAO/T-GGD-90-7, Oct.  31, 1989). 


   SECTION 17:
   RESOLUTION TRUST
   CORPORATIONSECTION 17: 
   RESOLUTION TRUST CORPORATION
-------------------------------------------------------- Appendix V:18


      PURPOSE
------------------------------------------------------ Appendix V:18.1

The Resolution Trust Corporation (RTC) was established to manage and
resolve all cases involving depository institutions (1) that were
insured by the Federal Savings and Loan Insurance Corporation (FSLIC)
before the enactment of the Financial Institutions Reform, Recovery,
and Enforcement Act (FIRREA) of 1989 and (2) for which a conservator
or receiver was appointed after December 31, 1988, and before July 1,
1995. 


      BACKGROUND
------------------------------------------------------ Appendix V:18.2


         DATE CREATED: 
---------------------------------------------------- Appendix V:18.2.1

August 9, 1989


         ORGANIZATIONAL LOCATION: 
---------------------------------------------------- Appendix V:18.2.2

Independent


         LEGAL AUTHORITY: 
---------------------------------------------------- Appendix V:18.2.3

12 U.S.C.  1441a


         LEGAL STATUS: 
---------------------------------------------------- Appendix V:18.2.4

RTC was established as an (1) instrumentality of the United States;
(2) agency of the United States for purposes of subchapter II of
chapter 5 and chapter 7 of title 5, U.S.  Code, when acting in its
corporate capacity; and (3) agency, when acting as a conservator or
receiver, to the same extent as FDIC in its conservatorship or
receivership capacities.  In addition, for purposes of sections 31
U.S.C.  9105, 9107, and 9108, RTC is treated as a mixed-ownership
government corporation (12 U.S.C.  1441a(b)(1) and (2)). 


         PRIMARY METHOD TO ACHIEVE
         PURPOSE: 
---------------------------------------------------- Appendix V:18.2.5

Manages and resolves failed savings institutions and recovers funds
by managing and selling the institutions' assets


         PERMANENT OR TEMPORARY
         STATUS: 
---------------------------------------------------- Appendix V:18.2.6

Temporary.  RTC will terminate not later than December 31, 1995 (12
U.S.C.  1441a(m)). 


         FISCAL YEAR 1994
         FULL-TIME EQUIVALENT
         (FTE) EMPLOYMENT: 
---------------------------------------------------- Appendix V:18.2.7

6,478


      MANAGEMENT STRUCTURE
------------------------------------------------------ Appendix V:18.3

The Thrift Depositor Protection Oversight Board (TDPOB) oversees and
monitors the operations of RTC.  TDPOB consists of seven members,
including the Secretary of the Treasury, the Chairman of the Board of
Governors of the Federal Reserve System, the Director of the Office
of Thrift Supervision, the Chairperson of the Board of Directors of
FDIC, RTC's Chief Executive Officer (CEO), and two independent
members appointed by the President of the United States with the
advice and consent of the Senate.  TDPOB's duties include reviewing
overall RTC strategies, policies, and goals, including those that
TDPOB deems likely to have a material effect upon RTC's financial
condition or involve substantial issues of public policy.  After
consultation with RTC, TDPOB may require the modification of any such
overall strategies, policies, and goals and their implementation. 
TDPOB also has the authority to review the overall performance of RTC
on a periodic basis. 

RTC is managed under the direction of its CEO.  The CEO is appointed
by the President, by and with the advice and consent of the Senate,
and serves at the pleasure of the President.  The CEO may (1)
exercise all of the powers of RTC, (2) act for and on behalf of RTC,
and (3) delegate such authority to persons designated by the CEO who
are employees of FDIC used by RTC or who provide services for RTC. 
RTC has additional special powers, including the authority to use the
private sector, described at 12 U.S.C.  1441a(b)(10). 


      FUNDING INFORMATION
------------------------------------------------------ Appendix V:18.4

RTC does not receive funding through the normal appropriations
process.  Instead, Congress has passed legislation on four separate
occasions directing the Secretary of the Treasury to provide funding
to RTC. 

RTC's gross outlays exceeded its nonfederal collections in fiscal
years 1990, 1991, and 1994.  In fiscal years 1992 and 1993, RTC's
nonfederal collections exceeded its gross outlays.  During fiscal
years 1990 to 1994, RTC's net federal outlays totaled $73.2 billion. 
Figure V.17.1 depicts RTC's gross outlays, nonfederal collections,
and net federal outlays data from table V.17.1. 



                              Table V.17.1
                
                    RTC's Gross Outlays, Nonfederal
                Collections, and Net Federal Outlays for
                     Fiscal Years 1990 Through 1994

                         (Dollars in billions)

                                        FY     FY     FY     FY     FY
Budget category                       1990   1991   1992   1993   1994
-----------------------------------  -----  -----  -----  -----  -----
Gross outlays                        $70.6  $93.2  $41.0  $11.9  $18.2
Nonfederal collections                24.1   42.4   50.0   31.1   14.1
Net federal outlays                   46.5   50.8  (9.0)  (19.2    4.1
                                                              )
----------------------------------------------------------------------
Source:  OMB. 

   Figure V.17.1:  RTC's Gross
   Outlays, Nonfederal
   Collections, and Net Federal
   Outlays for Fiscal Years 1990
   Through 1994

   (See figure in printed
   edition.)

Note:  Net federal outlays represent outlays from various federal
sources including direct appropriations and interagency transfers. 

Source:  OMB. 


      CORPORATION'S REPORTED
      STATUTORY ADHERENCE
------------------------------------------------------ Appendix V:18.5



                                       Table V.17.2
                         
                         RTC's Self-Reported Adherence to the 15
                                Selected Federal Statutes

                               Degree of
Statute                        adherence           RTC's comments
-----------------------------  ------------------  --------------------------------------
Privacy Act of 1974            Partially subject   12 U.S.C. 1441a(b)(1)(B); the Privacy
(5 U.S.C. 552a)                to the statute's    Act of 1974; Rights and
                               requirements.       Responsibilities Circular 1031.1 (Aug.
                                                   13, 1993) and Procedures for
                                                   Processing Freedom of Information Act
                                                   and Privacy Act Requests Circular
                                                   1023.1 (Aug. 11, 1993) (internal
                                                   directives); 12 C.F.R. Part 1616; RTC
                                                   maintains that it is not an agency for
                                                   purposes of the Privacy Act when
                                                   acting in its capacities as receiver
                                                   or conservator.

Freedom of Information Act of  Partially subject   12 U.S.C. 1441a(b)(1)(B); Procedures
1966                           to the statute's    for Processing Freedom of Information
(5 U.S.C. 552)                 requirements.       Act and Privacy Act Requests Circular
                                                   1023.1 (Aug. 11, 1993) (internal
                                                   directive); 12 C.F.R. Part 1615; RTC
                                                   maintains that it is not an agency for
                                                   purposes of the Freedom of Information
                                                   Act when acting in its capacities as
                                                   receiver or conservator (12 C.F.R.
                                                   1615.4(f)). However, access to certain
                                                   conservatorship, receivership, and
                                                   contractor records is provided under
                                                   Freedom of Information Act-type
                                                   procedures (1) when RTC presumes the
                                                   records became agency records by being
                                                   incorporated into RTC corporate files
                                                   or used by RTC in its statutory
                                                   mission or (2) if the records are not
                                                   presumed to have become an agency
                                                   record, discretionary access may be
                                                   granted upon a determination that
                                                   access is in the public interest.

Government in the Sunshine     Not subject to and  5 U.S.C. 552b(a)(1). The act applies
Act                            does not            to agencies headed by a collegial body
(5 U.S.C. 552b)                administratively    comprising two or more individual
                               adopt the           members, a majority of whom are
                               statute's           appointed by the President with the
                               requirements.       advice and consent of the Senate. RTC
                                                   is headed by its CEO, who is an
                                                   individual appointed by the President
                                                   with the advice and consent of the
                                                   Senate.

Title 5: Employee              Not subject to but  Except for the CEO, RTC has no
Classification                 administratively    employees (12 U.S.C. 1441a(b)(8)(A)).
(5 U.S.C. 5101-5115)           adopts the          RTC uses employees of FDIC (12 U.S.C.
                               statute's           1441a(b)(8)(B)(i)). Consequently,
                               requirements.       FDIC's policies concerning employee
                                                   classification govern FDIC employees
                                                   at RTC.

                                                   FDIC has adopted the provisions of
                                                   this statute administratively at FDIC
                                                   Board Resolution 17765, dated November
                                                   10, 1949. 12 U.S.C. 1819(Fifth) allows
                                                   the FDIC board of directors to set the
                                                   pay of FDIC employees. 5 U.S.C.
                                                   5102(a) excludes government-
                                                   controlled corporations from 5 U.S.C.
                                                   chapter 51.

Title 5: Pay Rates and Rate    Not subject to and  Except for the CEO, RTC has no
Systems                        does not            employees. 12 U.S.C. 1441a(b)(8)(A).
(5 U.S.C. 5331-5338 and 5341-  administratively    RTC uses employees of FDIC. 12 U.S.C.
5349)                          adopt the           1441a(b)(8)(B)(i). Consequently,
                               statute's           FDIC's policies concerning general pay
                               requirements.       rates govern FDIC employees at RTC.

                                                   FDIC does not consider itself subject
                                                   to the requirements of subchapter III,
                                                   chapter 53 of title 5, U.S. Code (5
                                                   U.S.C. 5331-5338), which prescribes
                                                   the "General Schedule (GS) Pay Rates,"
                                                   and subchapter IV, chapter 53 of title
                                                   5, U.S. Code (5 U.S.C. 5341-5349),
                                                   which provides the prevailing rate
                                                   systems for employees of agencies.
                                                   Both 5 U.S.C. 5331 and 5342 define an
                                                   "agency" as exclusive of a government-
                                                   controlled corporation. Furthermore,
                                                   12 U.S.C. 1819(Fifth) authorizes
                                                   FDIC's board of directors to set the
                                                   compensation of FDIC employees.

Federal Property and           Not subject to and  40 U.S.C. 472(a), 472(b). RTC is not a
Administrative Services Act    does not            wholly owned government corporation.
of 1949                        administratively    Also, RTC is not an "independent
(41 U.S.C. 251-260)            adopt the           establishment" within the meaning of
                               statute's           this statute. In addition, RTC is not
                               requirements.       in the executive branch. For these
                                                   reasons, RTC is not within the
                                                   jurisdiction of the Property Act.

Federal Tort Claims Act        Partially subject   This act defines "federal agency" to
(28 U.S.C. 2671, et seq.)      to the statute's    include "corporations primarily acting
                               requirements.       as instrumentalities or agencies of
                                                   the United States . . ." (28 U.S.C.
                                                   2671). For purposes of the act, RTC in
                                                   its corporate capacity is a
                                                   corporation acting as an
                                                   instrumentality of the United States
                                                   (12 U.S.C. 1441a(b)(1)(A)); therefore,
                                                   RTC takes the position that, in its
                                                   corporate capacity, it is a federal
                                                   government agency.

                                                   This act does not apply to RTC in its
                                                   receivership or conservatorship
                                                   capacities. Moreover, this act does
                                                   not apply to the preclosing acts of an
                                                   institution that is subsequently
                                                   placed into conservatorship or
                                                   receivership. Consequently, RTC does
                                                   not assert this act on behalf of RTC
                                                   as a conservator or receiver.

Federal Managers Financial     Not subject to but  By its terms, this act applies only to
Integrity Act of 1982          implements an       executive branch agencies (31 U.S.C.
(31 U.S.C. 3512 (b), (c))      alternative         3501).
                               mechanism(s) to
                               attain the          It is TDPOB's policy to adhere to
                               objective(s) of     internal control standards, including
                               the statute.        evaluation and reporting standards,
                                                   that are no less stringent than those
                                                   required of certain agencies under
                                                   this act (Oversight Board Policy
                                                   Statement No. 18 [internal
                                                   directive]).

                                                   Under 31 U.S.C. 9106, RTC must submit
                                                   a statement on internal accounting and
                                                   administrative control systems with
                                                   its management report substantially
                                                   similar to statements required of
                                                   executive agencies under this act.

Anti-Deficiency Act            Partially subject   31 U.S.C. 1341(a)(1). 31 U.S.C. 1341
(31 U.S.C. 1341)               to the statute's    is technically applicable to RTC.
                               requirements.       However, as a practical matter it has
                                                   very limited, if any, application to
                                                   RTC. Section 1341(a)(1) prohibits
                                                   officers or employees of the U.S.
                                                   government from making or authorizing
                                                   an expenditure or obligation exceeding
                                                   an amount available in an
                                                   appropriation or fund for the
                                                   expenditure or obligation. With the
                                                   exception of the CEO (a position that
                                                   is currently vacant), RTC has no
                                                   employees, but uses certain FDIC
                                                   employees (12 U.S.C. 1441a(b)(8)).
                                                   Section 1341 would technically apply
                                                   to FDIC employees performing services
                                                   for RTC. Presumably, the CEO would
                                                   also be considered an officer or
                                                   employee of the U.S. government.

                                                   RTC, although not under the yearly
                                                   appropriations process, may be
                                                   considered to receive some
                                                   appropriated funds from Congress. In
                                                   addition, RTC is authorized to raise
                                                   working capital by borrowing against
                                                   assets recovered from failed savings
                                                   associations ("working capital
                                                   funds"). Under 12 U.S.C. 1441a(j)
                                                   ("note cap"), RTC's borrowing for
                                                   working capital is limited to roughly
                                                   85 percent of the fair market value of
                                                   its assets. This note cap is in effect
                                                   a statutorily required reserve.
                                                   Moreover, subsection (a)(1)(B) of
                                                   section 1341 prohibits the payment of
                                                   money in advance of an appropriation
                                                   "unless authorized by law," and the
                                                   note cap is in essence statutory
                                                   authorization to incur obligations in
                                                   advance of an appropriation.

                                                   RTC's seller financing program and
                                                   other RTC loans appear to be
                                                   specifically exempted under subsection
                                                   1341(a)(2). Certain parts of the Anti-
                                                   Deficiency Act apply to "executive
                                                   agencies." Such term does not include
                                                   a "mixed-ownership government
                                                   corporation" (31 U.S.C. 102). For
                                                   purposes of this act, RTC has
                                                   consistently maintained that, as a
                                                   mixed-ownership corporation, it is not
                                                   a department, agency, or
                                                   instrumentality of the executive
                                                   branch.

Government Corporation         Subject to the      31 U.S.C. 9101(2)(L)
Control Act of 1945            statute's
(31 U.S.C. 9101, et seq.)      requirements.

Government Performance and     Not subject to and  This act does not apply to RTC given
Results Act of 1993            does not            its temporary status, which expires
(P.L. 103-62, Aug. 3, 1993)    administratively    December 31, 1995.
                               adopt the
                               statute's           The act requires the head of each
                               requirements.       agency to submit a strategic plan for
                                                   program activities to the Director of
                                                   the Office of Management and Budget
                                                   and Congress no later than September
                                                   30, 1997, (5 U.S.C. 306). The act also
                                                   requires the head of each agency to
                                                   submit a program performance report to
                                                   the President and Congress no later
                                                   than March 31, 2000, for the previous
                                                   fiscal year (31 U.S.C. 1116).

Chief Financial Officers Act   Partially subject   12 U.S.C. 1441a(w)(5)(B)(iii)
of 1990                        to the statute's
(P.L. 101-576, Nov. 15, 1990,  requirements.       The RTC Completion Act, P.L. 103-204
as amended)                                        (1993), which amended the FHLB Act (12
                                                   U.S.C. 1441, et seq.), added the
                                                   section requiring RTC's CEO to appoint
                                                   an RTC chief financial officer (CFO)
                                                   (12 U.S.C. 1441a(w)(5)(A)). This
                                                   section also grants the CFO the
                                                   authority and duties of CFOs of
                                                   agencies under 31 U.S.C. 902, as TDPOB
                                                   determines to be appropriate for RTC
                                                   (12 U.S.C. 1441a(w)(5)(B)(iii)). TDPOB
                                                   has determined that certain provisions
                                                   of the act are appropriate for RTC,
                                                   and that the RTC CFO shall only be
                                                   required to comply with such policies
                                                   and requirements prescribed by the
                                                   Director of OMB (under 31 U.S.C. 902
                                                   (a)(3)(B)) as are determined
                                                   appropriate by TDPOB's Executive
                                                   Director and RTC's CEO or Acting CEO,
                                                   in consultation with the RTC CFO
                                                   (TDPOB Resolution dated April 11,
                                                   1994). RTC is not otherwise subject to
                                                   the provisions of the Chief Financial
                                                   Officers Act of 1990, since it is not
                                                   included among the agencies to which
                                                   the act shall apply (31 U.S.C. 901).

Inspector General Act of       Subject to the      5 U.S.C. appendix 3 section 11; RTC
1978                           statute's           Office of Inspector General Circular
(5 U.S.C. app.)                requirements.       12000.1 (May 17, 1993) (internal
                                                   directive).

Federal Credit Reform Act of   Not subject to and  2 U.S.C. 661e
1990                           does not
(2 U.S.C. 661-661f)            administratively
                               adopt the
                               statute's
                               requirements.

Ethics in Government Act of    Subject to the      The RTC Completion Act amended the
1978                           statute's           Federal Deposit Insurance Act by
(P.L. 95-521, Oct. 26, 1978,   requirements.       subjecting FDIC's employees to the
as amended)                                        ethics and conflict of interest rules
                                                   and regulations issued by the Office
                                                   of Government Ethics (under the Ethics
                                                   in Government Act), including those
                                                   concerning employee conduct, financial
                                                   disclosure, and postemployment
                                                   activities (12 U.S.C. 1822(f)(2)). The
                                                   RTC Completion Act also requires that
                                                   TDPOB and RTC promulgate rules and
                                                   regulations governing conflict of
                                                   interest, ethical responsibilities,
                                                   and post-employment restrictions that
                                                   are no less stringent than those
                                                   applicable to FDIC (12 U.S.C.
                                                   1441a(n)(2)).

                                                   12 C.F.R. Part 1605, Employee
                                                   Responsibilities and Conduct.
-----------------------------------------------------------------------------------------

      RELATED GAO PRODUCTS
------------------------------------------------------ Appendix V:18.6

1994 RTC Management Letter (GAO/AIMD-95-212R, July 25, 1995). 

Financial Audit:  Resolution Trust Corporation's 1994 and 1993
Financial Statements (GAO/AIMD-95-157, June 22, 1995). 

Resolution Trust Corporation:  Efforts Under Way to Address
Management Weaknesses (GAO/GGD-95-109, May 12, 1995). 

Resolution Trust Corporation:  Implementation of the Management
Reforms in the RTC Completion Act (GAO/GGD-95-67, Mar.  9, 1995). 

Resolution Trust Corporation:  Better Data Could Improve
Effectiveness of Nonperforming Loan Auctions (GAO/GGD-95-1, Nov.  14,
1994). 

Resolution Trust Corporation:  Affordable Housing Disposition Program
Achieving Mixed Results (GAO/GGD-94-202, Sept.  28, 1994). 

1992 Thrift Resolutions:  RTC Policies and Practices Did Not Fully
Comply With Least-Cost Provisions (GAO/GGD-94-110, June 17, 1994). 

Resolution Trust Corporation:  Better Information Could Enhance
Controls Over Loan Servicing Costs (GAO/GGD-94-41, Dec.  22, 1993). 

Resolution Trust Corporation:  Oversight of SAMDA Property Management
Contractors Needs Improvement (GAO/GGD-94-5, Nov.  30, 1993). 

Resolution Trust Corporation:  Status of Management Efforts to
Control Costs (GAO/GGD-94-19, Oct.  28, 1993). 

Resolution Trust Corporation:  Data Limitations Impaired Analysis Of
Sales Methods (GAO/GGD-93-139, Sept.  27, 1993). 

Resolution Trust Corporation:  Status of Minority and Women Outreach
and Contracting Program (GAO/GGD-93-106, May 19, 1993). 

High Risk Series:  Resolution Trust Corporation (GAO/HR-93-4, Dec. 
1992). 

Resolution Trust Corporation:  Asset Pooling and Marketing Practices
Add Millions to Contract Costs (GAO/GGD-93-2, Oct.  7, 1992). 

Resolution Trust Corporation:  Affordable Multifamily Housing Program
Improved But More Can Be Done (GAO/GGD-92-137, Sept.  29, 1992). 

Resolution Trust Corporation:  Oversight of Certain Loan Servicers
Needs Improvement (GAO/GGD-92-76, Apr.  24, 1992). 

Resolution Trust Corporation:  Corporate Strategy Needed to Improve
Information Management (GAO/IMTEC-92-38, Mar.  5, 1992). 

Resolution Trust Corporation:  Further Actions Needed to Implement
Contracting Management Initiatives (GAO/GGD-92-47, Mar.  5, 1992). 

Resolution Trust Corporation:  Preliminary Results of Western Storm
Investigation and Related Contracting Deficiencies (GAO/T-OSI-92-5
and GAO/T-GGD-92-16, Mar.  3, 1992). 

RTC Asset Management:  Contracting Controls Need to Be Strengthened
(GAO/T-GGD-90-53, Sept.  24, 1990). 


   SECTION 18:
   RURAL TELEPHONE BANKSECTION 18: 
   RURAL TELEPHONE BANK
-------------------------------------------------------- Appendix V:19


      PURPOSE
------------------------------------------------------ Appendix V:19.1

The Rural Telephone Bank's (RTB) purpose is to obtain an adequate
supply of supplemental funds, to the extent feasible, from nonfederal
sources to (1) make loans under section 408 of the Rural
Electrification Act and (2) conduct its operations, to the extent
practicable, on a self-sustaining basis (7 U.S.C.  941(b)). 


      BACKGROUND
------------------------------------------------------ Appendix V:19.2


         DATE CREATED: 
---------------------------------------------------- Appendix V:19.2.1

May 7, 1971


         ORGANIZATIONAL LOCATION: 
---------------------------------------------------- Appendix V:19.2.2

Within the U.S.  Department of Agriculture (USDA), until
privatization (7 U.S.C.  950(a)(3))\11


--------------------
\11 RTB was unable to estimate a time frame for RTB privatization but
noted that under section 410 of the Rural Electrification Act of
1936, privatization will occur when 51 percent of the class A stock
issued to the United States and outstanding at any time after
September 30, 1995, has been fully redeemed and retired.  Under
section 406(c) of this act, annual retirements of class A stock are
to begin after September 30, 1995.  Under the assumption that RUS
will advance approximately $120 million of loan funds per year, 51
percent of class A shares would be retired in about 50 years from
September 30, 1995. 


         LEGAL AUTHORITY: 
---------------------------------------------------- Appendix V:19.2.3

7 U.S.C.  941, et seq. 


         LEGAL STATUS: 
---------------------------------------------------- Appendix V:19.2.4

Wholly owned government corporation, until privatization (7 U.S.C. 
950(a)(3)). 


         PRIMARY METHOD TO ACHIEVE
         PURPOSE: 
---------------------------------------------------- Appendix V:19.2.5

Loans to provide supplemental financing for telephone companies


         PERMANENT OR TEMPORARY
         STATUS: 
---------------------------------------------------- Appendix V:19.2.6

Permanent


         FISCAL YEAR 1994
         FULL-TIME EQUIVALENT
         (FTE) EMPLOYMENT: 
---------------------------------------------------- Appendix V:19.2.7

RTB has no employees of its own.  RTB's program activities are
carried out mainly by the personnel of, and through the facilities
of, the Department of Agriculture's Rural Utilities Service (RUS). 
In fiscal year 1994, RUS performed approximately 10 FTE staff years
exclusively to administer RTB programs. 


      MANAGEMENT STRUCTURE
------------------------------------------------------ Appendix V:19.3

RTB is subject to the supervision and direction of the Secretary of
Agriculture until privatization (7 U.S.C.  943(a)).  RTB is managed
by a 13-member board of directors (7 U.S.C.  945, 945(b)).  Seven RTB
board of director members are appointed by the President and serve at
the pleasure of the President.  Of the presidentially appointed
members, five are officers of USDA (not officers of RUS) and two
represent the general public.  The remaining six board members are
elected by cooperative-type (three members) and commercial-type
(three members) entities that hold class B or class C RTB stock,
respectively, and serve 2-year terms.  RTB's Chief Executive Officer
(CEO) exercises all functions, powers, and duties of the bank except
those reserved to the board (7 U.S.C.  944). 


      FUNDING INFORMATION
------------------------------------------------------ Appendix V:19.4

RTB's gross outlays exceeded its nonfederal collections in fiscal
years 1990, 1991, and 1993.  In fiscal years 1992 and 1994, RTB's
nonfederal collections exceeded its gross outlays.  During fiscal
years 1990 through 1994, RTB's negative net federal outlays totaled
$65.8 million.  Figure V.18.1 depicts RTB's gross outlays, nonfederal
collections, and net federal outlays data from table V.18.1.  Of
note, data from fiscal years 1990 through 1991 are not comparable to
data from fiscal years 1992 through 1994 because of the Federal
Credit Reform Act of 1990.  This act changed the treatment for direct
loans and loan guarantees made on or after October 1, 1991.  See
appendix I for further explanation. 



                              Table V.18.1
                
                    RTB's Gross Outlays, Nonfederal
                Collections, and Net Federal Outlays for
                     Fiscal Years 1990 Through 1994

                         (Dollars in millions)

                                        FY     FY     FY     FY     FY
Budget category                       1990   1991   1992   1993   1994
-----------------------------------  -----  -----  -----  -----  -----
Gross outlays                        $165.  $218.  $154.  $330.  $208.
                                         4      0      7      9      1
Nonfederal collections               153.5  161.5  172.7  229.7  425.5
Net federal outlays                   11.9   56.5  (18.0  101.2  (217.
                                                       )            4)
----------------------------------------------------------------------
Source:  OMB. 

   Figure V.18.1:  RTB's Gross
   Outlays, Nonfederal
   Collections, and Net Federal
   Outlays for Fiscal Years 1990
   Through 1994

   (See figure in printed
   edition.)

Note:  Net federal outlays represent outlays from various federal
sources including direct appropriations and interagency transfers. 

Source:  OMB. 


      CORPORATION'S REPORTED
      STATUTORY ADHERENCE
------------------------------------------------------ Appendix V:19.5



                                       Table V.18.2
                         
                          USDA Self-Reported RTB's Adherence to
                             the 15 Selected Federal Statutes

                               Degree of
Statute                        adherence           USDA's comments
-----------------------------  ------------------  --------------------------------------
Privacy Act of 1974            Subject to the      At least until privatization (5 U.S.C.
(5 U.S.C. 552a)                statute's           552a).
                               requirements.

Freedom of Information Act of  Subject to the      At least until privatization. 5 U.S.C.
1966                           statute's           552; 7 C.F.R. 1700.30, et seq.; 7
(5 U.S.C. 552)                 requirements.       C.F.R. 1610.8.

Government in the Sunshine     Subject to the      RTB's board of directors is subject
Act                            statute's           under 7 U.S.C. 945(j).
(5 U.S.C. 552b)                requirements.

Title 5: Employee              Not subject to and  7 U.S.C. 943(d); 7 U.S.C. 942(f)
Classification                 does not
(5 U.S.C. 5101-5115)           administratively
                               adopt the
                               statute's
                               requirements.

Title 5: Pay Rates and Rate    Not subject to and  7 U.S.C. 943(d); 7 U.S.C. 942(f)
Systems                        does not
(5 U.S.C. 5331-5338 and 5341-  administratively
5349)                          adopt the
                               statute's
                               requirements.

Federal Property and           Subject to the      At least until privatization (40
Administrative Services Act    statute's           U.S.C. 472(a)).
of 1949                        requirements.
(41 U.S.C. 251-260)

Federal Tort Claims Act        Subject to the      At least until privatization (28
(28 U.S.C. 2671, et seq.)      statute's           U.S.C. 2671, et seq.).
                               requirements.

Federal Managers Financial     Subject to the      RTB complies with this statute
Integrity Act of 1982          statute's           (however, RTB may have an exemption
(31 U.S.C. 3512 (b), (c))      requirements.       under 31 U.S.C. 3501).

Anti-Deficiency Act            Subject to the      At least until privatization (31
(31 U.S.C. 1341)               statute's           U.S.C. 1341).
                               requirements.

Government Corporation         Subject to the      7 U.S.C. 943(c); 31 U.S.C. 9101(2)(I)
Control Act of 1945            statute's           and (3)(J).
(31 U.S.C. 9101, et seq.)      requirements.

Government Performance and     Subject to the      At least until privatization (107
Results Act of 1993            statute's           Stat. 285, et seq.).
(P.L. 103-62, Aug. 3, 1993)    requirements.

Chief Financial Officers Act   Subject to the      Portions of P.L. 101-576 appear to
of 1990                        statute's           apply, at least until RTB is
(P.L. 101-576, Nov. 15, 1990,  requirements.       privatized (see response for Federal
as amended)                                        Managers Financial Integrity Act).

Inspector General Act of       Subject to the      USDA's Inspector General exercises
1978                           statute's           jurisdiction over RTB.
(5 U.S.C. app.)                requirements.

Federal Credit Reform Act of   Subject to the      At least until privatization (2 U.S.C.
1990                           statute's           661, et seq.).
(2 U.S.C. 661-661f)            requirements.

Ethics in Government Act of    Subject to the      P.L. 95-521
1978                           statute's
(P.L. 95-521, Oct. 26, 1978,   requirements.
as amended)
-----------------------------------------------------------------------------------------

      RELATED GAO PRODUCTS
------------------------------------------------------ Appendix V:19.6

Rural Telephone Bank:  Review of Fiscal Year 1994 Interest Rates on
Rural Telephone Bank Loans (GAO/AIMD-95-29, Nov.  18, 1994). 

Investment By An REA Cooperative (GAO/RCED/OSI-94-286R, Aug.  12,
1994). 

RTB:  Review of Rural Telephone Bank's 1993 Loan Interest Rate
Calculation (GAO/AIMD-94-55, Nov.  18, 1993). 

Rural Telephone Bank:  Review of RTB's 1991 Loan Interest Rate
Calculation (GAO/AFMD-93-37, Nov.  19, 1992). 

Rural Development:  REA Telephone Borrowers' Cash Holdings and Rural
Development Investments (GAO/T-RCED-92-65, May 20, 1992). 

Review of RTB 1991 Loan Interest Rate Calculation (GAO/AFMD-92-28,
Nov.  15, 1991). 


   SECTION 19:
   SAINT LAWRENCE SEAWAY
   DEVELOPMENT CORPORATIONSECTION
   19:  SAINT LAWRENCE SEAWAY
   DEVELOPMENT CORPORATION
-------------------------------------------------------- Appendix V:20


      PURPOSE
------------------------------------------------------ Appendix V:20.1

The Saint Lawrence Seaway Development Corporation (SLSDC) is to (1)
construct, operate, and maintain that part of the Seaway between
Montreal, Quebec, and Lake Erie (with United States locks at Massena,
New York) within the territorial limits of the United States and (2)
provide a safe, efficient, and reliable waterway for movement of
goods to and from the Great Lakes region of North America and
overseas markets.  SLSDC encourages the development of traffic
through the Seaway System in order to contribute to the
comprehensive, economic, and environmental development of the entire
Great Lakes region.  The Seaway is a binational waterway.  SLSDC
coordinates its activities with the Canadian Saint Lawrence Seaway
Authority (a Canadian Crown Corporation), particularly with regard to
rules and regulations, tolls, traffic control, navigation aids,
safety, channel maintenance, operating dates, and related programs
designed to fully develop Great Lakes maritime commerce. 


      BACKGROUND
------------------------------------------------------ Appendix V:20.2


         DATE CREATED: 
---------------------------------------------------- Appendix V:20.2.1

May 13, 1954


         ORGANIZATIONAL LOCATION: 
---------------------------------------------------- Appendix V:20.2.2

Within the U.S.  Department of Transportation


         LEGAL AUTHORITY: 
---------------------------------------------------- Appendix V:20.2.3

33 U.S.C.  981-990


         LEGAL STATUS: 
---------------------------------------------------- Appendix V:20.2.4

Wholly owned government corporation


         PRIMARY MEANS TO ACHIEVE
         PURPOSE: 
---------------------------------------------------- Appendix V:20.2.5

Provides a safe, efficient, and reliable waterway to promote the
distribution of goods to and from the Great Lakes region and overseas
markets


         PERMANENT OR TEMPORARY
         STATUS: 
---------------------------------------------------- Appendix V:20.2.6

Permanent


         FISCAL YEAR 1994
         FULL-TIME EQUIVALENT
         (FTE) EMPLOYMENT: 
---------------------------------------------------- Appendix V:20.2.7

163.75


      MANAGEMENT STRUCTURE
------------------------------------------------------ Appendix V:20.3

A single administrator, who is appointed by the President, by and
with the consent of the Senate, manages SLSDC.  The administrator
serves a 7-year term, subject only to the "direction and supervision"
of the Secretary of Transportation.  Also, SLSDC has a five-member
advisory board which is appointed by the President, by and with the
consent of the Senate.  The advisory board advises the administrator
on general SLSDC policies. 


      FUNDING INFORMATION
------------------------------------------------------ Appendix V:20.4

Annual appropriations finance the Harbor Maintenance Trust Fund that
SLSDC uses to fund about 90 percent of operations, maintenance, and
plant and equipment expenditures.  The remaining 10 percent is
financed from other revenues, principally investment income and
concession revenues.\12

SLSDC's gross outlays exceeded its nonfederal collections in fiscal
years 1990 through 1994.  During this time frame, SLSDC's net federal
outlays totaled $108.9 million.  Figure V.19.1 depicts SLSDC's gross
outlays, nonfederal collections, and net federal outlays data from
table V.19.1. 



                              Table V.19.1
                
                   SLSDC's Gross Outlays, Nonfederal
                Collections, and Net Federal Outlays for
                     Fiscal Years 1990 Through 1994

                         (Dollars in millions)

                                        FY     FY     FY     FY     FY
Budget category\a                     1990   1991   1992   1993   1994
-----------------------------------  -----  -----  -----  -----  -----
Gross outlays                        $22.6  $20.7  $25.0  $24.9  $23.2
Nonfederal collections                 1.7    1.9    1.7    1.3    0.9
Net federal outlays                   20.9   18.8   23.3   23.6   22.3
----------------------------------------------------------------------
\a Includes the SLSDC Fund and Operations and Maintenance Accounts. 

Source:  OMB. 

   Figure V.19.1:  SLSDC's Gross
   Outlays, Nonfederal
   Collections, and Net Federal
   Outlays for Fiscal Years 1990
   Through 1994

   (See figure in printed
   edition.)

Note:  Net federal outlays represent outlays from various federal
sources including direct appropriations and interagency transfers. 

Source:  OMB. 


--------------------
\12 The Water Resources Development Act of 1986 (P.L.  99-662)
provided that the principal source of funding for SLSDC be drawn from
the Harbor Maintenance Trust Fund.  The Department of Transportation
and Related Agencies Appropriations Act of 1995 (P.L.  103-331)
provided that collection of the U.S.  share of tolls paid by users
transiting U.S.  locks be waived. 


      CORPORATION'S REPORTED
      STATUTORY ADHERENCE
------------------------------------------------------ Appendix V:20.5



                                       Table V.19.2
                         
                          SLSDC's Self-Reported Adherence to the
                               15 Selected Federal Statutes

                               Degree of
Statute                        adherence           SLSDC's comments
-----------------------------  ------------------  --------------------------------------
Privacy Act of 1974            Subject to the      5 U.S.C. 552(e)
(5 U.S.C. 552a)                statute's
                               requirements.

Freedom of Information Act of  Subject to the      5 U.S.C. 551(1) and 552(e)
1966                           statute's
(5 U.S.C. 552)                 requirements.

Government in the Sunshine     Not subject to and  5 U.S.C. 552b (a)(1); a single
Act                            does not            administrator manages SLSDC and
(5 U.S.C. 552b)                administratively    therefore does not constitute a
                               adopt the           "collegial body composed of two or
                               statute's           more individual members" to which this
                               requirements.       statute applies.

Title 5: Employee              Subject to the      33 U.S.C. 984 (a)(7)
Classification                 statute's
(5 U.S.C. 5101-5115)           requirements.

Title 5: Pay Rates and Rate    Partially subject   33 U.S.C. 984(A)(7) applies to SLSDC.
Systems                        to the statute's    However, section 9(g) of P.L. 92-392
(5 U.S.C. 5331-5338 and 5341-  requirements.       (5 U.S.C. 5343 note), provides that
5349)                                              the wage survey system of P.L. 92-392
                                                   (5 U.S.C. 5331-5338) does not
                                                   abrogate, modify, or otherwise affect
                                                   the provisions of contracts in effect
                                                   on its date of enactment and does not
                                                   impair the right to continue to set
                                                   wages by contract for SLSDC's
                                                   nonsupervisory prevailing rate
                                                   employees.

Federal Property and           Subject to the      40 U.S.C. 472(a)
Administrative Services Act    statute's
of 1949                        requirements.
(41 U.S.C. 251-260)

Federal Tort Claims Act        Subject to the      28 U.S.C. 2671
(28 U.S.C. 2671, et seq.)      statute's
                               requirements.

Federal Managers Financial     Partially subject   31 U.S.C. 3501 exempts wholly owned
Integrity Act of 1982          to the statute's    government corporations from the
(31 U.S.C. 3512 (b), (c))      requirements.       provisions of the act except for
                                                   section 3513 and, to the extent that
                                                   it is specifically made applicable to
                                                   those corporations, subsection
                                                   3512(a)(2)(B). However, these
                                                   applicable provisions and the audit
                                                   requirements of 31 U.S.C. 9105, as
                                                   amended, provide essentially the same
                                                   assurances as the act.

Anti-Deficiency Act            Subject to the      31 U.S.C. 1341(a)(1)
(31 U.S.C. 1341)               statute's
                               requirements.

Government Corporation         Subject to the      31 U.S.C. 9101(3)(K)
Control Act of 1945            statute's
(31 U.S.C. 9101, et seq.)      requirements.

Government Performance and     Subject to the      5 U.S.C. 306(f) applies because SLSDC
Results Act of 1993            statute's           is part of the Department of
(P.L. 103-62, Aug. 3, 1993)    requirements.       Transportation.

Chief Financial Officers Act   Partially subject   Only to the extent it amends the
of 1990                        to the statute's    Government Corporation Control Act of
(P.L. 101-576, Nov. 15, 1990,  requirements.       1945 (31 U.S.C. 9101, et seq.) and the
as amended)                                        Federal Managers Financial Integrity
                                                   Act (FMFIA) of 1982, as described
                                                   under FMFIA comments section.

Inspector General Act of       Subject to the      As part of the Department of
1978                           statute's           Transportation, SLSDC is subject to
(5 U.S.C. app.)                requirements.       the Department's Inspector General.

Federal Credit Reform Act of   Not subject to and  SLSDC is not involved with new direct
1990                           does not            loans or loan guarantees.
(2 U.S.C. 661-661f)            administratively
                               adopt the
                               statute's
                               requirements.

Ethics in Government Act of    Subject to the      SLSDC's officers and employees are
1978                           statute's           subject to the act, as amended, and
(P.L. 95-521, Oct. 26, 1978,   requirements.       related laws.
as amended)
-----------------------------------------------------------------------------------------

      RELATED GAO PRODUCTS
------------------------------------------------------ Appendix V:20.6

None. 


   SECTION 20:
   TENNESSEE VALLEY
   AUTHORITYSECTION 20:  TENNESSEE
   VALLEY AUTHORITY
-------------------------------------------------------- Appendix V:21


      PURPOSE
------------------------------------------------------ Appendix V:21.1

The Tennessee Valley Authority (TVA) serves primarily to (1) improve
the navigability of the Tennessee River; (2) provide for flood
control, reforestation, the proper use of marginal lands, and the
agricultural and industrial development of the Tennessee Valley; (3)
provide for the national defense; and (4) provide an ample supply of
electric power to a seven-state region in the southeastern United
States. 


      BACKGROUND
------------------------------------------------------ Appendix V:21.2


         DATE CREATED: 
---------------------------------------------------- Appendix V:21.2.1

May 18, 1933


         ORGANIZATIONAL LOCATION: 
---------------------------------------------------- Appendix V:21.2.2

Independent


         LEGAL AUTHORITY: 
---------------------------------------------------- Appendix V:21.2.3

Tennessee Valley Authority Act of 1933, 16 U.S.C.  831-831dd (1988
and Supplement V 1993)


         LEGAL STATUS: 
---------------------------------------------------- Appendix V:21.2.4

Wholly owned government corporation


         PRIMARY METHOD TO ACHIEVE
         PURPOSE: 
---------------------------------------------------- Appendix V:21.2.5

Produce and market electric power through the generation,
transmission, and sale of electric energy


         PERMANENT OR TEMPORARY
         STATUS: 
---------------------------------------------------- Appendix V:21.2.6

Permanent


         FISCAL YEAR 1994
         FULL-TIME EQUIVALENT
         (FTE) EMPLOYMENT: 
---------------------------------------------------- Appendix V:21.2.7

18,621


      MANAGEMENT STRUCTURE
------------------------------------------------------ Appendix V:21.3

TVA's three-member board of directors "shall exercise all of the
powers of the Corporation" (16 U.S.C.  831a(g)).  TVA board members
are appointed by the President of the United States, by and with the
advice of the Senate, and serve 9-year terms.  The TVA Act makes no
differentiation among the duties of each board member, and the
chairman of the board has no additional legal authorities or
responsibilities provided by statute. 


      FUNDING INFORMATION
------------------------------------------------------ Appendix V:21.4

TVA's gross outlays exceeded its nonfederal collections in fiscal
years 1990 through 1994.  During this time frame, TVA's net federal
outlays totaled $5.4 billion.  Figure V.20.1 depicts TVA's gross
outlays, nonfederal collections, and net federal outlays data from
table V.20.1. 



                              Table V.20.1
                
                    TVA's Gross Outlays, Nonfederal
                Collections, and Net Federal Outlays for
                     Fiscal Years 1990 Through 1994

                         (Dollars in billions)

                                        FY     FY     FY     FY     FY
Budget category                       1990   1991   1992   1993   1994
-----------------------------------  -----  -----  -----  -----  -----
Gross outlays                         $5.8   $5.8   $7.2   $7.4   $7.3
Nonfederal collections                 5.7    5.6    5.5    5.5    5.8
Net federal outlays                    0.1    0.2    1.7    1.9    1.5
----------------------------------------------------------------------
Source:  OMB. 

   Figure V.20.1:  TVA's Gross
   Outlays, Nonfederal
   Collections, and Net Federal
   Outlays for Fiscal Years 1990
   Through 1994

   (See figure in printed
   edition.)

Note:  Net federal outlays represent outlays from various federal
sources including direct appropriations and interagency transfers. 

Source:  OMB. 


      CORPORATION'S REPORTED
      STATUTORY ADHERENCE
------------------------------------------------------ Appendix V:21.5



                                       Table V.20.2
                         
                         TVA's Self-Reported Adherence to the 15
                                Selected Federal Statutes

                               Degree of
Statute                        adherence           TVA's comments
-----------------------------  ------------------  --------------------------------------
Privacy Act of 1974            Subject to the      5 U.S.C. 552a (a)(1) and 552(e)
(5 U.S.C. 552a)                statute's
                               requirements.

Freedom of Information Act of  Subject to the      5 U.S.C. 552(e)
1966                           statute's
(5 U.S.C. 552)                 requirements.

Government in the Sunshine     Subject to the      16 U.S.C. 552b(a)(1) and 552(e)
Act                            statute's
(5 U.S.C. 552b)                requirements.

Title 5: Employee              Not subject to but  5 U.S.C. 5102(a)(1)(ii); TVA created
Classification                 implements an       its own system of internal
(5 U.S.C. 5101-5115)           alternative         organization, which includes
                               mechanism(s) to     provisions for an employee
                               attain the          classification system (section 3 of
                               objective(s) of     the TVA Act of 1933, 16 U.S.C. 831b).
                               the statute.
                                                   TVA establishes and, from time to
                                                   time, modifies its internal
                                                   organizational structure and the
                                                   employee classification systems
                                                   applicable to its employees. Some
                                                   aspects of employment matters are
                                                   negotiated with the labor
                                                   organizations that represent those
                                                   employees covered by collective
                                                   bargaining agreements.

Title 5: Pay Rates and Rate    Not subject to but  5 U.S.C. 5331(a), 5102(a)(1)(ii), and
Systems                        implements an       5342(a)(1)(B); TVA created its own pay
(5 U.S.C. 5331-5338 and 5341-  alternative         rate schedules, including those based
5349)                          mechanism(s) to     on the "prevailing rate" (section 3 of
                               attain the          the TVA Act of 1933, 16 U.S.C. 831b).
                               objective(s) of
                               the statute.

Federal Property and           Partially subject   40 U.S.C. 474(12) (except 40 U.S.C.
Administrative Services Act    to the statute's    759 does apply to TVA--see 40 U.S.C.
of 1949                        requirements and    759(e)); the TVA board adopted a
(41 U.S.C. 251-260)            also implements an  resolution that found it impractical
                               alternative         for TVA's procurement activities to be
                               mechanism to        subject to the procurement regulations
                               attain the          issued by the General Services
                               objective(s) of     Administration (GSA) under the Federal
                               the statute.        Property and Administrative Services
                                                   Act or to the Federal Acquisition
                                                   Regulation (internal TVA directive,
                                                   February 13, 1991); TVA procures items
                                                   under section 9(b) of the TVA Act of
                                                   1933, 16 U.S.C. 831h(b).

Federal Tort Claims Act        Not subject to but  28 U.S.C. 2680(l) and 16 U.S.C.
(28 U.S.C. 2671, et seq.)      implements an       831h(b), 3d paragraph; TVA is subject
                               alternative         to claims for money damages for
                               mechanism(s) to     personal or property injury or loss
                               attain the          caused by the negligent or wrongful
                               objective(s) of     act of an employee under section 4(b)
                               the statute.        of the TVA Act of 1933, 16 U.S.C.
                                                   831c(b).

Federal Managers Financial     Not subject to but  31 U.S.C. 3501; TVA implements its own
Integrity Act of 1982          implements an       system of accounts and internal
(31 U.S.C. 3512 (b), (c))      alternative         controls under sections 3 and 9(b) of
                               mechanism(s) to     the TVA Act of 1933 (16 U.S.C. 831b
                               attain the          and 831h(b) 4th paragraph).
                               objective(s) of
                               the statute.

Anti-Deficiency Act            Partially subject   31 U.S.C. 1341 applies to TVA
(31 U.S.C. 1341)               to the statute's    regarding appropriated funds; however,
                               requirements.       the act does not apply to TVA funds
                                                   received from TVA's electric power
                                                   program (16 U.S.C. 831n-4).

Government Corporation         Partially subject   31 U.S.C. 9101(3)(M); except with
Control Act of 1945            to the statute's    respect to the matters covered in
(31 U.S.C. 9101, et seq.)      requirements.       9104(b)(2) and 9105(d).

Government Performance and     Subject to the      5 U.S.C. 306(f), 105, and 103
Results Act of 1993            statute's
(P.L. 103-62, Aug. 3, 1993)    requirements.

Chief Financial Officers Act   Not subject to but  31 U.S.C. 901(b); the management of
of 1990                        implements an       TVA's finances and annually audited
(P.L. 101-576, Nov. 15, 1990,  alternative         financial statements are provided
as amended)                    mechanism(s) to     under sections 3, 9(a), 14, and 15d of
                               attain the          the TVA Act of 1933 (16 U.S.C.
                               objective(s) of     sections 831b, 831h(a), 831m, and
                               the statute.        831n-4) and under the provisions of 31
                                                   U.S.C. 9105 and 9106.

Inspector General Act of       Subject to the      Because TVA is not an "establishment"
1978                           statute's           under section 11(2) of the Inspector
(5 U.S.C. app.)                requirements.       General Act of 1978, as amended, TVA
                                                   does not have a presidentially
                                                   appointed inspector general. However,
                                                   TVA is subject to the Inspector
                                                   General Act of 1978 and has an
                                                   inspector general appointed by the
                                                   head of the agency because TVA is a
                                                   "designated Federal entity" under
                                                   section 8G(a)(2) of the Inspector
                                                   General Act.

                                                   Note: The "head" of TVA is its three-
                                                   member board of directors that can
                                                   take action by the vote of two of its
                                                   members.

Federal Credit Reform Act of   Not subject to and  2 U.S.C. 661e(a)(1)
1990                           does not
(2 U.S.C. 661-661f)            administratively
                               adopt the
                               statute's
                               requirements.

Ethics in Government Act of    Subject to the      Section 101(f)(3) of the Ethics in
1978                           statute's           Government Act of 1978.
(P.L. 95-521, Oct. 26, 1978,   requirements.
as amended)
-----------------------------------------------------------------------------------------

      RELATED GAO PRODUCTS
------------------------------------------------------ Appendix V:21.6

Tennessee Valley Authority:  Financial Problems Raise Questions About
Long-term Viability (GAO/AIMD/RCED-95-134, Aug.  17, 1995). 

TVA Bond Sales (GAO/RCED-93-43R, Oct.  23, 1992). 

UEC Net Present Value (GAO/RCED-92-294R, Sept.  23, 1992). 

Tennessee Valley Authority:  Issues Surrounding Decision to Contract
Out Construction Activities (GAO/RCED-92-105, Jan.  31, 1992). 

Labor-Management Relations:  Tennessee Valley Authority Situation
Needs to Improve (GAO/GGD-91-129, Sept.  26, 1991). 


   SECTION 21:
   THE FINANCING
   CORPORATIONSECTION 21:  THE
   FINANCING CORPORATION
-------------------------------------------------------- Appendix V:22


      PURPOSE
------------------------------------------------------ Appendix V:22.1

The Financing Corporation (FICO) serves as a financing vehicle for
the Federal Savings and Loan Insurance Corporation (FSLIC) Resolution
Fund (formerly the Federal Savings and Loan Insurance Corporation) by
issuing debentures, bonds, and other obligations.  FICO's sole
purpose was to borrow money in the capital markets and use these
funds to purchase capital stock and certificates in FSLIC.  Prior to
its dissolution, FSLIC used the proceeds of these stock sales to
provide assistance to insolvent savings and loan institutions. 


      BACKGROUND
------------------------------------------------------ Appendix V:22.2


         DATE CREATED: 
---------------------------------------------------- Appendix V:22.2.1

August 27, 1987


         ORGANIZATIONAL LOCATION: 
---------------------------------------------------- Appendix V:22.2.2

Independent


         LEGAL AUTHORITY: 
---------------------------------------------------- Appendix V:22.2.3

12 U.S.C.  1421 of the FHLB Act


         LEGAL STATUS: 
---------------------------------------------------- Appendix V:22.2.4

Mixed-ownership government corporation


         PRIMARY METHOD TO ACHIEVE
         PURPOSE: 
---------------------------------------------------- Appendix V:22.2.5

Serves as a financing vehicle for the FSLIC Resolution Fund by
issuing debentures, bonds, and other obligations


         PERMANENT OR TEMPORARY
         STATUS: 
---------------------------------------------------- Appendix V:22.2.6

Temporary.  Section 21A(f) of the FHLB Act (12 U.S.C.  1421) states
that FICO will be dissolved as soon as practical, after the earlier
of (1) the maturity and full payment of all obligations issued by
FICO or (2) December 31, 2026. 


         FISCAL YEAR 1994
         FULL-TIME EQUIVALENT
         (FTE) EMPLOYMENT: 
---------------------------------------------------- Appendix V:22.2.7

Under section 21(A)(b)(6) of the FHLB Act, FICO shall have no paid
employees.  Under the act and regulations adopted by the Federal
Housing Finance Board, certain employees of FHLBs and FHLBs' Office
of Finance have been authorized to act for and on behalf of FICO, as
necessary, to carry out its function. 


      MANAGEMENT STRUCTURE
------------------------------------------------------ Appendix V:22.3

Section 21A(b) of the FHLB Act states that FICO is managed by a
directorate composed of the managing director of FHLB's Office of
Finance and two presidents of FHLBs selected by the Federal Housing
Finance Board.  The Federal Housing Finance Board regulates FICO
under the legislative authority of the FHLB Act (12 U.S.C.  1421). 


      FUNDING INFORMATION
------------------------------------------------------ Appendix V:22.4

FICO's sole purpose was to borrow money in the capital markets and
use these funds to purchase capital stock and certificates in FSLIC. 
Before its dissolution, FSLIC used the proceeds of these stock sales
to provide assistance to insolvent savings and loan institutions. 
FICO is financed through the issuance of debt securities, capital
contributions from FHLBs, and investment income.  FICO does not
receive federal funds to support its operations.  FICO provided the
following funding information:\13

  From fiscal years 1987 through 1989, FHLBs contributed $680,000,000
     to purchase zero-coupon bonds, which is sufficient to repay the
     debt at maturity. 

  Interest on obligations (see table V.21.1), to the maximum extent
     each has funds available, include: 

(1) Assessments against Savings Association Insurance Fund (SAIF)
members (made in the same manner as assessments made against SAIF
members by FDIC).  SAIF assessments are reduced by FICO earnings. 

(2) Receivership proceeds from liquidating dividends and payments
made on claims received by the FSLIC Resolution Fund. 

(3) Exit fees collected by SAIF and held by the Department of the
Treasury. 



                              Table V.21.1
                
                   FICO's Interest on Obligations for
                     Fiscal Years 1990 Through 1994

                         (Dollars in millions)

                                        FY     FY     FY     FY     FY
Category                              1990   1991   1992   1993   1994
-----------------------------------  -----  -----  -----  -----  -----
SAIF assessments                     $738.  $756.  $772.  $779.   $596
                                         2      7      3      2
FSLIC Resolution Fund receivership       0      0      0      0      0
 proceeds
SAIF exit fees                           0      0      0      0      0
----------------------------------------------------------------------
Source:  FICO. 


--------------------
\13 The OMB MAX database did not have funding information for FICO. 


      CORPORATION'S REPORTED
      STATUTORY ADHERENCE
------------------------------------------------------ Appendix V:22.5



                                       Table V.21.2
                         
                         FICO's Self-Reported Adherence to the 15
                                Selected Federal Statutes

                               Degree of
Statute                        adherence           FICO's comments
-----------------------------  ------------------  --------------------------------------
Privacy Act of 1974            Not subject to and  FICO is not an "agency" as defined in
(5 U.S.C. 552a)                does not            the Privacy Act.
                               administratively
                               adopt the
                               statute's
                               requirements.

Freedom of Information Act of  Not subject to and  FICO is not an "agency" as defined in
1966                           does not            the Freedom of Information Act.
(5 U.S.C. 552)                 administratively
                               adopt the
                               statute's
                               requirements.

Government in the Sunshine     Not subject to and  FICO is not an "agency" as defined in
Act                            does not            the Government in the Sunshine Act.
(5 U.S.C. 552b)                administratively
                               adopt the
                               statute's
                               requirements.

Title 5: Employee              Not subject to and  Section 21A(b)(6) of the FHLB Act
Classification                 does not            states that FICO shall have no paid
(5 U.S.C. 5101-5115)           administratively    employees. Therefore, FICO is not an
                               adopt the           "agency" as defined in the act.
                               statute's
                               requirements.

Title 5: Pay Rates and Rate    Not subject to and  Section 21A(b)(6) of the FHLB Act
Systems                        does not            states that FICO shall have no paid
(5 U.S.C. 5331-5338 and 5341-  administratively    employees. Therefore, FICO is not an
5349)                          adopt the           "agency" as defined in the act.
                               statute's
                               requirements.

Federal Property and           Not subject to and  FICO is not an "agency" as defined in
Administrative Services Act    does not            the Federal Property and
of 1949                        administratively    Administrative Services Act.
(41 U.S.C. 251-260)            adopt the
                               statute's
                               requirements.

Federal Tort Claims Act        Not subject to and  FICO is not an "agency" as defined in
(28 U.S.C. 2671, et seq.)      does not            the Federal Tort Claims Act.
                               administratively
                               adopt the
                               statute's
                               requirements.

Federal Managers Financial     Not subject to and  FICO is not an "agency" required to
Integrity Act of 1982          does not            report under the Federal Managers
(31 U.S.C. 3512 (b), (c))      administratively    Financial Integrity Act.
                               adopt the
                               statute's
                               requirements.

Anti-Deficiency Act            Not subject to and  FICO is not an "agency" as defined in
(31 U.S.C. 1341)               does not            the Anti-Deficiency Act.
                               administratively
                               adopt the
                               statute's
                               requirements.

Government Corporation         Subject to the      Applies under section 21A of the FHLB
Control Act of 1945            statute's           Act.
(31 U.S.C. 9101, et seq.)      requirements.

Government Performance and     Not subject to and  FICO is not an "agency" as defined in
Results Act of 1993            does not            the Government Performance and Results
(P.L. 103-62, Aug. 3, 1993)    administratively    Act.
                               adopt the
                               statute's
                               requirements.

Chief Financial Officers Act   Subject to the      FICO reports annually (June 30) as
of 1990                        statute's           required by the Chief Financial
(P.L. 101-576, Nov. 15, 1990,  requirements.       Officers Act.
as amended)

Inspector General Act of       Not subject to and  FICO is not an "agency" as defined in
1978                           does not            the Inspector General Act.
(5 U.S.C. app.)                administratively
                               adopt the
                               statute's
                               requirements.

Federal Credit Reform Act of   Not subject to and  FICO is not an "agency" as defined in
1990                           does not            the Federal Credit Reform Act.
(2 U.S.C. 661-661f)            administratively
                               adopt the
                               statute's
                               requirements.

Ethics in Government Act of    Not subject to and  FICO has no paid employees and is not
1978                           does not            an "agency" as defined in the Ethics
(P.L. 95-521, Oct. 26, 1978,   administratively    in Government Act.
as amended)                    adopt the
                               statute's
                               requirements.
-----------------------------------------------------------------------------------------

      RELATED GAO PRODUCT
------------------------------------------------------ Appendix V:22.6

Budget Issues:  Profiles of Government-Sponsored Enterprises
(GAO/AFMD-91-17, Feb.  1991). 


   SECTION 22:
   UNITED STATES ENRICHMENT
   CORPORATIONSECTION 22:  UNITED
   STATES ENRICHMENT CORPORATION
-------------------------------------------------------- Appendix V:23


      PURPOSE
------------------------------------------------------ Appendix V:23.1

The United States Enrichment Corporation (USEC) was created to
operate as a business enterprise on a profitable and efficient basis. 
USEC markets and sells enriched uranium, and uranium enrichment and
related services, primarily for use by electric utilities worldwide
(42 U.S.C.  2297a). 


      BACKGROUND
------------------------------------------------------ Appendix V:23.2


         DATE CREATED: 
---------------------------------------------------- Appendix V:23.2.1

USEC was created by the Energy Policy Act of 1992, P.L.  102-486, on
October 24, 1992.  The uranium enrichment enterprise of the U.S. 
Department of Energy (DOE) transferred to USEC on July 1, 1993. 
USEC's management responsibilities, planning, organizing, and record
keeping began on July 1, 1993. 


         ORGANIZATIONAL LOCATION: 
---------------------------------------------------- Appendix V:23.2.2

Independent


         LEGAL AUTHORITY: 
---------------------------------------------------- Appendix V:23.2.3

USEC was established under title IX of the Energy Policy Act of 1992
(P.L.  102-486, 42 U.S.C.  2297, et seq.)


         LEGAL STATUS: 
---------------------------------------------------- Appendix V:23.2.4

Wholly owned government corporation


         PRIMARY METHOD TO ACHIEVE
         PURPOSE: 
---------------------------------------------------- Appendix V:23.2.5

Markets and sells enriched uranium, uranium enrichment, and related
services, primarily for use by electric utilities worldwide


         PERMANENT OR TEMPORARY
         STATUS: 
---------------------------------------------------- Appendix V:23.2.6

Permanent.  USEC's enabling legislation contains no sunset provision
but directs USEC to plan for and implement privatization (42 U.S.C. 
2297d, 2297d-1). 


         FISCAL YEAR 1994
         FULL-TIME EQUIVALENT
         (FTE) EMPLOYMENT: 
---------------------------------------------------- Appendix V:23.2.7

77.4


      MANAGEMENT STRUCTURE
------------------------------------------------------ Appendix V:23.3

USEC's powers are held by its five-member board of directors, who are
appointed by the President, by and with the advice and consent of the
Senate.  Prior to the qualification of a quorum of the board, the
board's powers and duties were exercised by a Transition Manager
appointed by the President.  The board elected the former Transition
Manager as the President and Chief Executive Officer of USEC upon the
board's qualification.  The board ratified the appointments made by
the Transition Manager to fill the offices of Executive Vice
President, General Counsel, and seven Vice Presidents.  USEC's Board
of Directors and officers exercise USEC's powers, as provided for in
the enabling statute and USEC's bylaws. 


      FUNDING INFORMATION
------------------------------------------------------ Appendix V:23.4

USEC assumed responsibility for uranium enrichment activities on July
1, 1993.  Prior to that date, DOE was responsible for providing funds
to the corporation to pay salaries and expenses, as provided for at
42 U.S.C.  2297b-14(d).  In the transition from DOE to USEC, OMB
published orders that determined the extent to which DOE's assets
would transfer to USEC.  DOE's business liabilities were also
transferred, as provided for in USEC's enabling legislation.  USEC
does not have access to annual appropriations.  All funds come from
its business operation. 

USEC's nonfederal collections exceeded its gross outlays in fiscal
years 1993 and 1994.  During this time frame, USEC's negative net
federal outlays totaled $700 million.  Figure V.22.1 depicts USEC's
gross outlays and nonfederal collections data from table V.22.1. 



                              Table V.22.1
                
                    USEC's Gross Outlays, Nonfederal
                Collections, and Net Federal Outlays for
                       Fiscal Years 1993 and 1994

                         (Dollars in billions)

                                                             FY     FY
Budget category                                            1993   1994
--------------------------------------------------------  -----  -----
Gross outlays                                             $0.16  $1.18
Nonfederal collections                                     0.71   1.33
Net federal outlays                                       (0.55  (0.15
                                                              )      )
----------------------------------------------------------------------
Source:  OMB. 

   Figure V.22.1:  USEC's Gross
   Outlays and Nonfederal
   Collections for Fiscal Years
   1993 and 1994

   (See figure in printed
   edition.)

Source:  OMB. 


      CORPORATION'S REPORTED
      STATUTORY ADHERENCE
------------------------------------------------------ Appendix V:23.5



                                       Table V.22.2
                         
                         USEC's Self-Reported Adherence to the 15
                                Selected Federal Statutes

                               Degree of
Statute                        adherence           USEC's comments
-----------------------------  ------------------  --------------------------------------
Privacy Act of 1974            Subject to the      5 U.S.C. 552a(a)(1) and 552(f)
(5 U.S.C. 552a)                statute's
                               requirements.

Freedom of Information Act of  Partially subject   5 U.S.C. 552(f), as limited by 42
1966                           to the statute's    U.S.C. 2297b-13
(5 U.S.C. 552)                 requirements.

Government in the Sunshine     Partially subject   5 U.S.C. 552b(a)(1) and 552(f), as
Act                            to the statute's    limited by 42 U.S.C. 2297b-13. The
(5 U.S.C. 552b)                requirements.       Government in the Sunshine Act became
                                                   applicable to USEC upon the swearing
                                                   in of its board of directors on March
                                                   22, 1994.

Title 5: Employee              Not subject to but  42 U.S.C. 2297b-4. A June 22, 1993,
Classification                 implements an       opinion issued by the Department of
(5 U.S.C. 5101-5115)           alternative         Justice, Office of Legal Counsel,
                               mechanism(s) to     concluded that USEC is exempt from the
                               attain the          civil service provisions of title 5.
                               objective(s) of
                               the statute.        USEC has developed and implemented a
                                                   system of compensation that reflects
                                                   the objectives provided in 5 U.S.C.
                                                   5101.

Title 5: Pay Rates and Rate    Not subject to and  42 U.S.C. 2297b-4. A June 22, 1993,
Systems                        does not            opinion issued by the Department of
(5 U.S.C. 5331-5338 and 5341-  administratively    Justice, Office of Legal Counsel,
5349)                          adopt the           concluded that USEC is exempt from the
                               statute's           civil service provisions of title 5.
                               requirements.

Federal Property and           Not subject to but  42 U.S.C. 2297b-11(f). USEC has
Administrative Services Act    implements an       adopted a set of procurement policies
of 1949                        alternative         and procedures that are designed to
(41 U.S.C. 251-260)            mechanism(s) to     meet many of the objectives of the
                               attain the          act, as well as other procurement
                               objective(s) of     statutes.
                               the statute.


Federal Tort Claims Act        Not subject to and  42 U.S.C. 2297c-5(d)
(28 U.S.C. 2671, et seq.)      does not
                               administratively
                               adopt the
                               statute's
                               requirements.

Federal Managers Financial     Not subject to but  31 U.S.C. 3501. USEC has developed and
Integrity Act of 1982          implements an       implemented systems of accounting and
(31 U.S.C. 3512 (b), (c))      alternative         internal controls that attain the
                               mechanism(s) to     objectives of the statute.
                               attain the
                               objective(s) of
                               the statute.

Anti-Deficiency Act            Subject to the      31 U.S.C. 1341(a)(1) and 42 U.S.C.
(31 U.S.C. 1341)               statute's           2297b(c)
                               requirements.

Government Corporation         Partially subject   Under 31 U.S.C. 9101(3)(N) and 42
Control Act of 1945            to the statute's    U.S.C. 2297b(b), USEC is partially
(31 U.S.C. 9101, et seq.)      requirements.       subject to the statute.

                                                   The provisions of this act do not
                                                   apply under 42 U.S.C. 2297b-5, 2297b-
                                                   8(c)(2)(B).

                                                   To the extent that 42 U.S.C. 2297b-5
                                                   preempts the Government Corporation
                                                   Control Act of 1945 for audits of
                                                   USEC's financial statements, USEC has
                                                   developed and implemented systems
                                                   under section 2297b-5 that attain the
                                                   compatible objectives of 31 U.S.C.
                                                   9101. Independent external auditors
                                                   were appointed by the Transition
                                                   Manager and their appointment was
                                                   ratified by the board of directors.
                                                   The board of directors has established
                                                   an audit committee as well.

Government Performance and     Subject to the      5 U.S.C. 306(f)
Results Act of 1993            statute's
(P.L. 103-62, Aug. 3, 1993)    requirements.

Chief Financial Officers Act   Partially subject   USEC is partially subject to the
of 1990                        to the statute's    statute under 31 U.S.C. 9105, 9106.
(P.L. 101-576, Nov. 15, 1990,  requirements.       However, 42 U.S.C. 2297b-5 describes
as amended)                                        USEC's audit procedures.

                                                   The act does not apply to USEC under
                                                   31 U.S.C. 901.

                                                   The board of directors ratified the
                                                   appointment made by the Transition
                                                   Manager of USEC's CFO. The CFO is
                                                   responsible for fulfilling the
                                                   applicable objectives provided at 31
                                                   U.S.C. 902. To the extent that 42
                                                   U.S.C. 2297b-5 preempts the Government
                                                   Corporation Control Act of 1945, as
                                                   revised by the Chief Financial
                                                   Officers Act of 1990, for audits of
                                                   USEC's financial statements, USEC has
                                                   developed and implemented systems
                                                   under section 2297b-5 that attain the
                                                   compatible objectives of 31 U.S.C.
                                                   9101, including hiring an independent
                                                   accountant to audit USEC's financial
                                                   statements and processes. USEC
                                                   received unqualified audit opinions
                                                   with respect to independent audits as
                                                   of July 1, 1993, and September 30,
                                                   1993, and September 30, 1994. In
                                                   addition, GAO audited the transition
                                                   of the uranium enrichment activity
                                                   from DOE to USEC and the formation of
                                                   USEC.

Inspector General Act of       Partially subject   USEC is partially subject to the
1978                           to the statute's    statute under section 8(G)(a)(1) of
(5 U.S.C. app.)                requirements and    title 5 U.S.C. appendix 3 and appears
                               also implements an  on the List of Designated Federal
                               alternative         Entities and Federal Entities
                               mechanism to        published by OMB in the Federal
                               attain the          Register, Vol. 59, No. 163, August 24,
                               objective(s) of     1994.
                               the statute.
                                                   The act does not apply under section
                                                   8G(a)(2) of title 5 U.S.C. appendix
                                                   3.

                                                   USEC's Internal Audit Department
                                                   functions to fulfill the purposes
                                                   provided at section 2 of title 5
                                                   U.S.C. appendix 3. USEC's internal
                                                   audit manager reports directly to
                                                   USEC's CEO and has unrestricted access
                                                   to the audit committee of the board of
                                                   directors. USEC annually reports to
                                                   Congress and OMB on its audit and
                                                   investigative activities in accordance
                                                   with the Inspector General Act of 1987
                                                   and the Inspector General Act
                                                   Amendments of 1988.

Federal Credit Reform Act of   Subject to the      While USEC is not specifically
1990                           statute's           exempted from the provisions of
(2 U.S.C. 661-661f)            requirements.       section 13201(a) of the Federal Credit
                                                   Reform Act of 1990, USEC's purposes do
                                                   not relate to the administration of
                                                   direct loan or loan guarantee
                                                   programs. Thus, while USEC is subject
                                                   to the provisions of section 13201(a)
                                                   of the statute, the provisions are not
                                                   applicable to USEC functions.

Ethics in Government Act of    Subject to the      42 U.S.C. 2297b(c). Although the
1978                           statute's           intended applicability of the statute,
(P.L. 95-521, Oct. 26, 1978,   requirements.       for USEC's officers and employees, is
as amended)                                        not clear, USEC's Office of General
                                                   Counsel has advised that the
                                                   requirements of the statute should be
                                                   treated as being applicable. USEC's
                                                   Code of Business Conduct and Conflict
                                                   of Interest Policy, designated as
                                                   Corporation Policy A-2 in the
                                                   compilation of Corporation Policies,
                                                   reflects USEC's implementation of the
                                                   statute. In addition, USEC has issued
                                                   a policy, as published in the Federal
                                                   Register, Vol. 58, No. 249, on
                                                   December 30, 1993, to implement the
                                                   stringent conflict of interest
                                                   requirements provided at 42 U.S.C.
                                                   2297b-3(j).
-----------------------------------------------------------------------------------------

      RELATED GAO PRODUCTS
------------------------------------------------------ Appendix V:23.6

Uranium Enrichment:  Process to Privatize the U.S.  Enrichment
Corporation Needs to Be Strengthened (GAO/RCED-95-245, Sept.  14,
1995). 

Uranium Enrichment:  Observations on the Privatization of the United
States Enrichment Corporation (GAO/T-RCED-95-116, Feb.  24, 1995). 

Uranium Enrichment:  Activities Leading to Establishment of the U.S. 
Enrichment Corporation (GAO/RCED-94-227FS, June 27, 1994). 


PROFILES OF OTHER FEDERALLY FUNDED
ENTITIES
========================================================== Appendix VI


   INTRODUCTION
-------------------------------------------------------- Appendix VI:1

This appendix contains profiles of the five entities previously
identified as government corporations that currently receive federal
funds and their corresponding section numbers as shown in table VI.1. 



                               Table VI.1
                
                  Other Federally Funded Entities and
                     Corresponding Section Numbers

                                                                Sectio
                                                                     n
Other federally funded entity                                   number
--------------------------------------------------------------  ------
Corporation for Public Broadcasting (CPB)                            1
Inter-American Foundation (IAF)                                      2
Legal Services Corporation (LSC)                                     3
Neighborhood Reinvestment Corporation (NRC)                          4
U.S. Postal Service (USPS)                                           5
----------------------------------------------------------------------
Each profile presents the following information for each entity: 

  purpose;

  background information (date created, organizational location,
     legal authority, legal status, corporate purpose and primary
     method to achieve purpose, permanent or temporary status, and
     1994 full-time equivalent employment);

  management structure (an overview of the entities' system of
     governance);

  funding information, i.e., for each entity, a figure and a table
     show the gross outlays, nonfederal collections, and net federal
     outlays for fiscal years 1990 to 1994.  All data presented are
     in current (actual) dollars and reflect only that which was
     reported to OMB, unless noted otherwise.  We used OMB's MAX
     database to extract budget data for our comparisons;

  each entities' self-reported statutory adherence to 15 federal
     statutes;\1 and

  related GAO products. 

As used in this report: 

  gross outlays represent the total issuance of checks, disbursement
     of cash, or electronic transfer of funds made to liquidate a
     federal obligation.  Outlays during a fiscal year may be for
     payment of obligations incurred in prior years or in the same
     year. 

  "nonfederal collections" refer to nonfederal offsetting
     collections.  Nonfederal offsetting collections arise as a
     result of the government's business-type or market-oriented
     activities.  Among these are interest received, proceeds from
     the sale of property and products, charges for nonregulatory
     services, and rents and royalties. 

  net federal outlays represent the net amount of federal funding an
     entity expended.  We calculated each entity's net federal
     outlays by deducting their nonfederal collections from their
     gross outlays.  As depicted in the shaded areas of each figure,
     net federal outlays represent outlays from various federal
     sources including direct appropriations and interagency
     transfers. 

Unless otherwise noted, the source for the information in each
entity's' profile is each respective organization. 


--------------------
\1 In some instances, entities only provided a statutory citation for
their comment. 


   SECTION 1:
   CORPORATION FOR PUBLIC
   BROADCASTINGSECTION 1: 
   CORPORATION FOR PUBLIC
   BROADCASTING
-------------------------------------------------------- Appendix VI:2

The Corporation for Public Broadcasting (CPB) reported that it is a
private corporation.  As a result, CPB did not complete the portion
of our questionnaire dealing with adherence to federal statutes. 


      PURPOSE
------------------------------------------------------ Appendix VI:2.1

CPB's purposes and activities, under the District of Columbia
Nonprofit Corporation Act, are to (1) facilitate the full development
of public telecommunications in which programs of high quality,
diversity, creativity, excellence, and innovation, which are obtained
from diverse sources, will be made available to public
telecommunications entities, with strict adherence to objectivity and
balance in all programs or series of programs of a controversial
nature; (2) assist in the establishment and development of one or
more systems to distribute public telecommunications services so that
all public telecommunications entities may disseminate such services
at times chosen by the entities; (3) assist in the establishment and
development of one or more systems of public telecommunications
entities throughout the United States; and (4) carry out its purposes
and functions and engage in its activities in ways that will most
effectively assure the maximum freedom of the public
telecommunications entities and systems from interference with, or
control of, program content or other activities (47 U.S.C. 
396(g)(1)). 


      BACKGROUND
------------------------------------------------------ Appendix VI:2.2


         DATE CREATED: 
---------------------------------------------------- Appendix VI:2.2.1

March 27, 1968


         ORGANIZATIONAL LOCATION: 
---------------------------------------------------- Appendix VI:2.2.2

Independent


         LEGAL AUTHORITY: 
---------------------------------------------------- Appendix VI:2.2.3

47 U.S.C.  396(b)


         LEGAL STATUS: 
---------------------------------------------------- Appendix VI:2.2.4

Private, nonprofit corporation, 47 U.S.C.  396(b)


         PRIMARY METHOD TO ACHIEVE
         PURPOSE: 
---------------------------------------------------- Appendix VI:2.2.5

Grants to support public television and radio


         PERMANENT OR TEMPORARY
         STATUS: 
---------------------------------------------------- Appendix VI:2.2.6

Permanent


         FISCAL YEAR 1994
         FULL-TIME EQUIVALENT
         (FTE) EMPLOYMENT: 
---------------------------------------------------- Appendix VI:2.2.7

121


      MANAGEMENT STRUCTURE
------------------------------------------------------ Appendix VI:2.3

CPB has a 10-member board of directors, appointed by the President of
the United States, by and with the advice and consent of the
Senate.\2 Members of the board are not employees of the United States
government (47 U.S.C.  396(d)(2)).  CPB also has a president, who is
the chief executive officer, and other officers, including the
executive vice president and chief operating officer; senior vice
president, System and Station Development; senior vice president,
Education; senior vice president, Programming; senior vice president,
Office of Corporate Communications and Community Relations; senior
vice president, Government Relations; general counsel and corporate
secretary; and corporate treasurer and director, Budget. 


--------------------
\2 Transition rules in the Public Telecommunications Act of 1992,
P.L.  102-356, will reduce the number of directors to nine. 


      FUNDING INFORMATION
------------------------------------------------------ Appendix VI:2.4

From fiscal years 1990 through 1994, CPB's net federal outlays
totaled about $1.5 billion.  Figure VI.1.1 depicts CPB's gross
outlays and net federal outlays data from table VI.1.1. 



                              Table VI.1.1
                
                    CPB's Gross Outlays, Nonfederal
                Collections, and Net Federal Outlays for
                     Fiscal Years 1990 Through 1994

                         (Dollars in millions)

                                        FY     FY     FY     FY     FY
Budget category                       1990   1991   1992   1993   1994
-----------------------------------  -----  -----  -----  -----  -----
Gross outlays                        $229.  $298.  $327.  $318.  $275.
                                         4      9      3      6      0
Nonfederal collections                   0      0      0      0      0
Net federal outlays                  229.4  298.9  327.3  318.6  275.0
----------------------------------------------------------------------
Source:  OMB. 

   Figure VI.1.1:  CPB's Gross
   Outlays and Net Federal Outlays
   for Fiscal Years 1990 Through
   1994

   (See figure in printed
   edition.)

Note:  Net federal outlays represent outlays from various federal
sources including direct appropriations and interagency transfers. 

Source:  OMB. 


      RELATED GAO PRODUCTS
------------------------------------------------------ Appendix VI:2.5

Inspectors General:  Progress in Establishing OIGs at Designated
Federal Entities (GAO/AFMD-90-46, Apr.  24, 1990). 

Corporation for Public Broadcasting:  Congressional Guidance Needed
on Administrative Expenses (GAO/HRD-90-5, Jan.  22, 1990). 


   SECTION 2:
   INTER-AMERICAN
   FOUNDATIONSECTION 2: 
   INTER-AMERICAN FOUNDATION
-------------------------------------------------------- Appendix VI:3


      PURPOSE
------------------------------------------------------ Appendix VI:3.1

The Inter-American Foundation (IAF) provides an alternative to U.S. 
foreign assistance programs and works to promote equitable,
responsive, and participatory approaches to self-help development in
Latin America and the Caribbean. 


      BACKGROUND
------------------------------------------------------ Appendix VI:3.2


         DATE CREATED: 
---------------------------------------------------- Appendix VI:3.2.1

December 30, 1969


         ORGANIZATIONAL LOCATION: 
---------------------------------------------------- Appendix VI:3.2.2

Independent agency


         LEGAL AUTHORITY: 
---------------------------------------------------- Appendix VI:3.2.3

22 U.S.C.  290f


         LEGAL STATUS: 
---------------------------------------------------- Appendix VI:3.2.4

Executive agency with a corporate form


         PRIMARY METHOD TO ACHIEVE
         PURPOSE: 
---------------------------------------------------- Appendix VI:3.2.5

Contracts with private organizations to promote development in Latin
America and the Caribbean


         PERMANENT OR TEMPORARY
         STATUS: 
---------------------------------------------------- Appendix VI:3.2.6

Permanent


         FISCAL YEAR 1994
         FULL-TIME EQUIVALENT
         (FTE) EMPLOYMENT: 
---------------------------------------------------- Appendix VI:3.2.7

74


      MANAGEMENT STRUCTURE
------------------------------------------------------ Appendix VI:3.3

A nine-member board of directors, appointed by the President of the
United States and confirmed by the Senate, sets overall policy
guidance for IAF.  The board of directors designates a president
whose responsibilities include day-to-day management of IAF. 


      FUNDING INFORMATION
------------------------------------------------------ Appendix VI:3.4

IAF's gross outlays exceeded its nonfederal collections each year
from fiscal year 1990 through 1994.  During this time frame, IAF's
net federal outlays totaled $144.3 million.  Figure VI.2.1 depicts
IAF's gross outlays, nonfederal collections, and net federal outlays
data from table VI.2.1.  Of note, data from fiscal years 1990 through
1991 are not comparable to data from fiscal years 1992 through 1994
because of the Federal Credit Reform Act of 1990.  This act changed
the treatment for direct loans and loan guarantees made on or after
October 1, 1991.  See appendix I for further explanation. 



                              Table VI.2.1
                
                    IAF's Gross Outlays, Nonfederal
                Collections, and Net Federal Outlays for
                     Fiscal Years 1990 Through 1994

                         (Dollars in millions)

                                        FY     FY     FY     FY     FY
Budget category\a                     1990   1991   1992   1993   1994
-----------------------------------  -----  -----  -----  -----  -----
Gross outlays                        $32.4  $32.9  $32.2  $37.3  $35.4
Nonfederal collections                10.7   15.2      0      0      0
Net federal outlays                   21.7   17.7   32.2   37.3   35.4
----------------------------------------------------------------------
\a IAF receives off-budget funding from the Social Progress Trust
Fund, which is administered by the Inter-American Development Bank. 
In fiscal years 1990 and 1991, IAF reported these funds as nonfederal
collections. 

Source:  OMB. 

   Figure VI.2.1:  IAF's Gross
   Outlays, Nonfederal
   Collections, and Net Federal
   Outlays for Fiscal Years 1990
   Through 1994

   (See figure in printed
   edition.)

Note:  Net federal outlays represent outlays from various federal
sources including direct appropriations and interagency transfers. 

Source:  OMB. 


      ENTITY'S REPORTED STATUTORY
      ADHERENCE
------------------------------------------------------ Appendix VI:3.5



                                       Table VI.2.2
                         
                         IAF's Self-Reported Adherence to the 15
                                Selected Federal Statutes

                               Degree of
Statute                        adherence           IAF's comments
-----------------------------  ------------------  --------------------------------------
Privacy Act of 1974            Subject to the      5 U.S.C. 552(a)(1)
(5 U.S.C. 552a)                statute's
                               requirements.

Freedom of Information Act of  Subject to the      5 U.S.C. 552
1966                           statute's
(5 U.S.C. 552)                 requirements.

Government in the Sunshine     Subject to the      5 U.S.C. 552b(a)
Act                            statute's
(5 U.S.C. 552b)                requirements.

Title 5: Employee              Subject to the      5 U.S.C. 5102(a)(1)(A)(2)
Classification                 statute's
(5 U.S.C. 5101-5115)           requirements.

Title 5: Pay Rates and Rate    Subject to the      5 U.S.C. 5102(1) and 5 U.S.C. 5342
Systems                        statute's
(5 U.S.C. 5331-5338 and 5341-  requirements.
5349)

Federal Property and           Subject to the      40 U.S.C. 472(a) and 41 U.S.C. 252(a)
Administrative Services Act    statute's
of 1949                        requirements.
(41 U.S.C. 251-260)

Federal Tort Claims Act        Subject to the      28 U.S.C. 2672
(28 U.S.C. 2671, et seq.)      statute's
                               requirements.

Federal Managers Financial     Subject to the      31 U.S.C. 3152(b),(c)
Integrity Act of 1982          statute's
(31 U.S.C. 3512 (b), (c))      requirements.

Anti-Deficiency Act            Subject to the      31 U.S.C. 1341
(31 U.S.C. 1341)               statute's
                               requirements.

Government Corporation         Subject to the      IAF is not a mixed-ownership nor a
Control Act of 1945            statute's           wholly owned government corporation as
(31 U.S.C. 9101, et seq.)      requirements.       set forth in the Government
                                                   Corporation Control Act of 1945 (31
                                                   U.S.C. 9101). However, under IAF's
                                                   enabling legislation, IAF is subject
                                                   to the provisions of 31 U.S.C. 9101.

Government Performance and     Subject to the      31 U.S.C. 1116
Results Act of 1993            statute's
(P.L. 103-62, Aug. 3, 1993)    requirements.

Chief Financial Officers Act   Not subject to and  31 U.S.C. 901
of 1990                        does not
(P.L. 101-576, Nov. 15, 1990,  administratively
as amended)                    adopt the
                               statute's
                               requirements.

Inspector General Act of       Subject to the      5 U.S.C. 1341
1978                           statute's
(5 U.S.C. app.)                requirements.

Federal Credit Reform Act of   Subject to the      2 U.S.C. 661C. IAF is subject to the
1990                           statute's           provisions of this statute, but this
(2 U.S.C. 661-661f)            requirements.       statute is presently inapplicable
                                                   since the IAF does not make loans or
                                                   loan guarantees.

Ethics in Government Act of    Subject to the      5 U.S.C. appendixes 4 through 7
1978                           statute's
(P.L. 95-521, Oct. 26, 1978,   requirements.
as amended)
-----------------------------------------------------------------------------------------

      RELATED GAO PRODUCT
------------------------------------------------------ Appendix VI:3.6

Exchange Programs:  Inventory of International Educational, Cultural,
and Training Programs (GAO/NSIAD-93-157BR, June 23, 1993). 



   SECTION 3:
   LEGAL SERVICES
   CORPORATIONSECTION 3:  LEGAL
   SERVICES CORPORATION
-------------------------------------------------------- Appendix VI:4


      PURPOSE
------------------------------------------------------ Appendix VI:4.1

The Legal Services Corporation (LSC) was established by Congress "for
the purpose of providing financial support for legal assistance in
noncriminal proceedings or matters to persons financially unable to
afford legal assistance" (42 U.S.C.  2996b(a)). 


      BACKGROUND
------------------------------------------------------ Appendix VI:4.2


         DATE CREATED: 
---------------------------------------------------- Appendix VI:4.2.1

July 25, 1974


         ORGANIZATIONAL LOCATION: 
---------------------------------------------------- Appendix VI:4.2.2

Independent


         LEGAL AUTHORITY: 
---------------------------------------------------- Appendix VI:4.2.3

42 U.S.C.  2996b(a)


         LEGAL STATUS: 
---------------------------------------------------- Appendix VI:4.2.4

Private, nonprofit, nonmembership corporation


         PRIMARY METHOD TO ACHIEVE
         PURPOSE: 
---------------------------------------------------- Appendix VI:4.2.5

Funds and oversees poverty law programs to facilitate access to the
civil legal system to those who otherwise would be unable to afford
adequate legal counsel


         PERMANENT OR TEMPORARY
         STATUS: 
---------------------------------------------------- Appendix VI:4.2.6

Permanent


         FISCAL YEAR 1994
         FULL-TIME EQUIVALENT
         (FTE) EMPLOYMENT: 
---------------------------------------------------- Appendix VI:4.2.7

101


      MANAGEMENT STRUCTURE
------------------------------------------------------ Appendix VI:4.3

LSC has a board of directors ï¿½consisting of eleven voting members
appointed by the President, by and with the advice and consent of the
Senate, no more than six of whom [are] of the same political partyï¿½
(42 U.S.C.  2996c(a)).  The board appoints LSC's president (42 U.S.C. 
2996d(a)).  The president, under policies established by the board,
appoints and removes LSC employees. 


      FUNDING INFORMATION
------------------------------------------------------ Appendix VI:4.4

From fiscal years 1990 through 1994, LSC's net federal outlays
totaled over $1.7 billion.  Figure VI.3.1 depicts LSC's gross outlays
and net federal outlays data from table VI.3.1. 



                              Table VI.3.1
                
                    LSC's Gross Outlays, Nonfederal
                Collections, and Net Federal Outlays for
                     Fiscal Years 1990 Through 1994

                         (Dollars in millions)

                                        FY     FY     FY     FY     FY
Budget category                       1990   1991   1992   1993   1994
-----------------------------------  -----  -----  -----  -----  -----
Gross outlays                        $291.  $343.  $329.  $388.  $374.
                                         3      8      2      9      9
Nonfederal collections                   0      0      0      0      0
Net federal outlays                  291.3  343.8  329.2  388.9  374.9
----------------------------------------------------------------------
Source:  OMB. 

   Figure VI.3.1:  LSC's Gross
   Outlays and Net Federal Outlays
   for Fiscal Years 1990 Through
   1994

   (See figure in printed
   edition.)

Note:  Net federal outlays represent outlays from various federal
sources including direct appropriations and interagency transfers. 

Source:  OMB. 


      ENTITY'S REPORTED STATUTORY
      ADHERENCE
------------------------------------------------------ Appendix VI:4.5



                                       Table VI.3.2
                         
                         LSC's Self-Reported Adherence to the 15
                                Selected Federal Statutes

                               Degree of
Statute                        adherence           LSC's comments
-----------------------------  ------------------  --------------------------------------
Privacy Act of 1974            Not subject to and  42 U.S.C. 2996b(a)
(5 U.S.C. 552a)                does not
                               administratively
                               adopt the
                               statute's
                               requirements.

Freedom of Information Act of  Subject to the      42 U.S.C. 2996d(g)
1966                           statute's
(5 U.S.C. 552)                 requirements.

Government in the Sunshine     Subject to the      42 U.S.C. 2996c(g)
Act                            statute's
(5 U.S.C. 552b)                requirements.

Title 5: Employee              Not subject to and  42 U.S.C. 2996d(e)(1),(f)
Classification                 does not
(5 U.S.C. 5101-5115)           administratively
                               adopt the
                               statute's
                               requirements.

Title 5: Pay Rates and Rate    Not subject to and  42 U.S.C. 2996d(e)(1),(f)
Systems                        does not
(5 U.S.C. 5331-5338 and 5341-  administratively
5349)                          adopt the
                               statute's
                               requirements.

Federal Property and           Not subject to and  42 U.S.C. 2996b(a)
Administrative Services Act    does not
of 1949                        administratively
(41 U.S.C. 251-260)            adopt the
                               statute's
                               requirements.

Federal Tort Claims Act        Not subject to and  42 U.S.C. 2996b(a)
(28 U.S.C. 2671, et seq.)      does not
                               administratively
                               adopt the
                               statute's
                               requirements.

Federal Managers Financial     Not subject to and  42 U.S.C. 2996b(a)
Integrity Act of 1982          does not
(31 U.S.C. 3512 (b), (c))      administratively
                               adopt the
                               statute's
                               requirements.

Anti-Deficiency Act            Not subject to and  42 U.S.C. 2996b(a)
(31 U.S.C. 1341)               does not
                               administratively
                               adopt the
                               statute's
                               requirements.

Government Corporation         Not subject to and  42 U.S.C. 2996b(a)
Control Act of 1945            does not
(31 U.S.C. 9101, et seq.)      administratively
                               adopt the
                               statute's
                               requirements.

Government Performance and     Not subject to and  42 U.S.C. 2996b(a)
Results Act of 1993            does not
(P.L. 103-62, Aug. 3, 1993)    administratively
                               adopt the
                               statute's
                               requirements.

Chief Financial Officers Act   Not subject to and  42 U.S.C. 2996b(a)
of 1990                        does not
(P.L. 101-576, Nov. 15, 1990,  administratively
as amended)                    adopt the
                               statute's
                               requirements.

Inspector General Act of       Subject to the      LSC is subject to the Inspector
1978                           statute's           General Act as amended in 1988.
(5 U.S.C. app.)                requirements.
                                                   P.L. 100-504, 102 Stat. 2523; 5 U.S.C.
                                                   appendix 8G(a)(2)

Federal Credit Reform Act of   Not subject to and  42 U.S.C. 2996b(a)
1990                           does not
(2 U.S.C. 661-661f)            administratively
                               adopt the
                               statute's
                               requirements.

Ethics in Government Act of    Not subject to and  42 U.S.C. 2996b(a)
1978                           does not
(P.L. 95-521, Oct. 26, 1978,   administratively
as amended)                    adopt the
                               statute's
                               requirements.
-----------------------------------------------------------------------------------------

      RELATED GAO PRODUCTS
------------------------------------------------------ Appendix VI:4.6

Legal Services Corporation:  National Support Center Grantees'
Activities (GAO/HRD-93-9, Feb.  5, 1993). 

Legal Services Corporation:  Grantee Attorneys' Handling of Migrant
Farmworker Disputes With Growers (GAO/HRD-90-144, Sept.  24, 1990). 

Inspectors General:  Progress in Establishing OIGs at Designated
Federal Entities (GAO/AFMD-90-46, Apr.  24, 1990). 


   SECTION 4:
   NEIGHBORHOOD REINVESTMENT
   CORPORATIONSECTION 4: 
   NEIGHBORHOOD REINVESTMENT
   CORPORATION
-------------------------------------------------------- Appendix VI:5


      PURPOSE
------------------------------------------------------ Appendix VI:5.1

The Neighborhood Reinvestment Corporation (NRC) is to (1) continue
the joint efforts of federal financial supervisory agencies\3 and the
Department of Housing and Urban Development (HUD) with community and
local governments to promote reinvestment in older neighborhoods by
local financial institutions and (2) continue the nonbureaucratic
approach of the Urban Reinvestment Task Force\4 by relying largely on
local initiative for the specific design of local programs (42 U.S.C. 
8101(b)). 


--------------------
\3 The Office of Thrift Supervision, the Board of Governors of the
Federal Reserve System, the Federal Deposit Insurance Corporation,
and the Comptroller of the Currency. 

\4 The Urban Reinvestment Task Force, as predecessor to NRC, was
created in 1974 through an interagency agreement between the FHLB
Board and HUD. 


      BACKGROUND
------------------------------------------------------ Appendix VI:5.2


         DATE CREATED: 
---------------------------------------------------- Appendix VI:5.2.1

October 31, 1978


         ORGANIZATIONAL LOCATION: 
---------------------------------------------------- Appendix VI:5.2.2

Independent (42 U.S.C.  8102(c))


         LEGAL AUTHORITY: 
---------------------------------------------------- Appendix VI:5.2.3

42 U.S.C.  8101, et seq. 


         LEGAL STATUS: 
---------------------------------------------------- Appendix VI:5.2.4

Nonprofit, public corporation


         CORPORATE MISSION AND
         PRIMARY METHOD TO ACHIEVE
         MISSION: 
---------------------------------------------------- Appendix VI:5.2.5

Provides loans and grants to promote urban development


         PERMANENT OR TEMPORARY
         STATUS: 
---------------------------------------------------- Appendix VI:5.2.6

Permanent (42 U.S.C.  8105(b)(2))


         FISCAL YEAR 1994
         FULL-TIME EQUIVALENT
         (FTE) EMPLOYMENT: 
---------------------------------------------------- Appendix VI:5.2.7

210


      MANAGEMENT STRUCTURE
------------------------------------------------------ Appendix VI:5.3

NRC is managed by a six-member board of directors or its duly
designated representative (42 U.S.C.  8103(a) as amended).  Board
members include the Director of the Office of Thrift Supervision (as
successor to the FHLB Board), the Secretary of HUD, a member of the
Board of Governors of the Federal Reserve System (to be designated by
the Chairman of the Board of Governors of the Federal Reserve
System), the Chairman of the Federal Deposit Insurance Corporation,
the Comptroller of the Currency, and the Administrator of the
National Credit Union Administration.  The NRC board has the
authority to select officers of the corporation under NRC's enabling
statute (42 U.S.C.  8104(a)) and bylaws.  The board shall appoint an
executive director who shall serve as NRC's Chief Executive Officer
(42 U.S.C.  8104(b)). 


      FUNDING INFORMATION
------------------------------------------------------ Appendix VI:5.4

From fiscal years 1990 through 1994, NRC's net federal outlays
totaled $144.1 million.  Figure VI.4.1 depicts NRC's gross outlays
and net federal outlays data from table VI.4.1. 



                              Table VI.4.1
                
                    NRC's Gross Outlays, Nonfederal
                Collections, and Net Federal Outlays for
                     Fiscal Years 1990 Through 1994

                         (Dollars in millions)

                                        FY     FY     FY     FY     FY
Budget category                       1990   1991   1992   1993   1994
-----------------------------------  -----  -----  -----  -----  -----
Gross outlays                        $26.6  $25.6  $27.5  $30.5  $33.9
Nonfederal collections                   0      0      0      0      0
Net federal outlays                   26.6   25.6   27.5   30.5   33.9
----------------------------------------------------------------------
Source:  OMB. 

   Figure VI.4.1:  NRC's Gross
   Outlays and Net Federal Outlays
   for Fiscal Years 1990 Through
   1994

   (See figure in printed
   edition.)

Note:  Net federal outlays represent outlays from various federal
sources including direct appropriations and interagency transfers. 

Source:  OMB. 


      ENTITY'S REPORTED STATUTORY
      ADHERENCE
------------------------------------------------------ Appendix VI:5.5



                                       Table VI.4.2
                         
                         NRC's Self-Reported Adherence to the 15
                                Selected Federal Statutes

                               Degree of
Statute                        adherence           NRC's comments
-----------------------------  ------------------  --------------------------------------
Privacy Act of 1974            Subject to the      42 U.S.C. 8103(h); however, 42 U.S.C.
(5 U.S.C. 552a)                statute's           8104(e) provides that the corporation
                               requirements.       shall not be considered a department,
                                                   agency, or instrumentality of the
                                                   federal government.

Freedom of Information Act of  Subject to the      42 U.S.C. 8103, as amended
1966                           statute's
(5 U.S.C. 552)                 requirements.

Government in the Sunshine     Subject to the      42 U.S.C. 8103, as amended
Act                            statute's
(5 U.S.C. 552b)                requirements.

Title 5: Employee              Not subject to and  42 U.S.C. 8104(a)
Classification                 does not
(5 U.S.C. 5101-5115)           administratively
                               adopt the
                               statute's
                               requirements.

Title 5: Pay Rates and Rate    Not subject to and  42 U.S.C. 8104(a)
Systems                        does not
(5 U.S.C. 5331-5338 and 5341-  administratively
5349)                          adopt the
                               statute's
                               requirements.

Federal Property and           Not subject to but  42 U.S.C. 8104(e); NRC is subject to
Administrative Services Act    administratively    the administrative and cost standards
of 1949                        adopts the          issued by OMB similar to those
(41 U.S.C. 251-260)            statute's           standards applicable to nonprofit
                               requirements.       grantees and educational institutions.
                                                   NRC has adopted the provisions of OMB
                                                   Circular A-110 (revised). OMB Circular
                                                   A-110 sets forth standards for
                                                   obtaining consistency and uniformity
                                                   among federal agencies in the
                                                   administration of grants to and
                                                   agreements with institutions of higher
                                                   education, hospitals, and other
                                                   nonprofit organizations.

Federal Tort Claims Act        Not subject to but  Because NRC by statute is not a
(28 U.S.C. 2671, et seq.)      implements an       federal agency or instrumentality of
                               alternative         the federal government, suits against
                               mechanism(s) to     NRC would not be claims against the
                               attain the          United States.
                               objective(s) of
                               the statute.        Under 42 U.S.C. 8105(b)(6), NRC is
                                                   authorized to settle, adjust, and
                                                   compromise, with or without
                                                   compensation or benefit to NRC, to
                                                   release or waive in whole or in part,
                                                   in advance or otherwise, any claim,
                                                   demand, or right of, by or against
                                                   NRC. Similar to the procedures of the
                                                   Federal Tort Claims Act, the NRC Board
                                                   of Directors has delegated authority
                                                   to the NRC Executive Director to
                                                   settle, adjust, and compromise any
                                                   claim, demand, or right of, by or
                                                   against, the corporation.

Federal Managers Financial     Not subject to but  NRC's internal audit director is
Integrity Act of 1982          implements an       responsible for reviewing all aspects
(31 U.S.C. 3512 (b), (c))      alternative         of NRC's operations, both financial
                               mechanism(s) to     and programmatic.
                               attain the
                               objective(s) of     By statute, in any fiscal year during
                               the statute.        which federal funds are available to
                                                   finance any portion of NRC's
                                                   operations, NRC's financial
                                                   transactions may be audited by GAO (42
                                                   U.S.C. 8106). Also, GAO is required to
                                                   audit NRC's financial transactions
                                                   once every 3 years (42 U.S.C. 8106).

                                                   NRC has established an audit
                                                   committee, composed of members of
                                                   NRC's board of directors, who meet
                                                   annually with NRC's internal and
                                                   external auditors to discuss the
                                                   audit, NRC's internal controls, and
                                                   any other matters of interest.

Anti-Deficiency Act            Subject to the      42 U.S.C. 8105(b) and 8107; NRC has a
(31 U.S.C. 1341)               statute's           policy that expenditures or
                               requirements.       obligations will not be made that
                                                   exceed amounts available in an
                                                   appropriation or continuing resolution
                                                   providing funds to NRC.

Government Corporation         Subject to the      42 U.S.C. 8106 and 8107(d); although
Control Act of 1945            statute's           NRC is not a mixed-ownership or wholly
(31 U.S.C. 9101, et seq.)      requirements.       owned government corporation the
                                                   statutory citations mentioned provide
                                                   for audit, accounting, and budget
                                                   requests similar to mixed-ownership
                                                   and wholly owned government
                                                   corporations.

Government Performance and     Not subject to but  Under 42 U.S.C. 8106 and 8107(d), NRC
Results Act of 1993            implements an       submits an annual report to Congress.
(P.L. 103-62, Aug. 3, 1993)    alternative         Also, NRC prepares an annual business-
                               mechanism(s) to     type budget that establishes NRC's
                               attain the          performance goals, which is reviewed
                               objective(s) of     and approved by OMB.
                               the statute.
                                                   NRC's budget is also reviewed by both
                                                   House and Senate appropriation
                                                   subcommittees through the annual
                                                   federal budget cycle.

Chief Financial Officers Act   Not subject to but  By statute, NRC is subject to OMB
of 1990                        implements an       circulars that establish
(P.L. 101-576, Nov. 15, 1990,  alternative         administrative and cost standards
as amended)                    mechanism(s) to     similar to those applicable to
                               attain the          nonprofit corporations (42 U.S.C.
                               objective(s) of     8104(e)).
                               the statute.
                                                   OMB Circular A-110 (revised) provides
                                                   financial management discretion to
                                                   NRC. NRC's financial transactions may
                                                   also be audited by GAO.

Inspector General Act of       Not subject to but  NRC employs an internal audit director
1978                           implements an       who reviews all aspects of NRC's
(5 U.S.C. app.)                alternative         operations, both financial and
                               mechanism(s) to     programmatic. Audit director reports
                               attain the          are the basis for NRC action to ensure
                               objective(s) of     that standards of financial
                               the statute.        responsibility are met. The internal
                                                   audit director reports directly to the
                                                   chief executive officer, and, as
                                                   necessary, to the audit committee of
                                                   the board of directors.

Federal Credit Reform Act of   Not subject to but  Under 42 U.S.C. 8104(e) and 8107(d),
1990                           implements an       NRC submits an annual report to
(2 U.S.C. 661-661f)            alternative         Congress. In addition, NRC prepares an
                               mechanism(s) to     annual business-type budget that
                               attain the          establishes performance goals, which
                               objective(s) of     is reviewed and approved by OMB, under
                               the statute.        rules and regulations that the
                                                   President may establish.

Ethics in Government Act of    Not subject to but  NRC employees must submit a NRC Form
1978                           implements an       100A, "Statement -Employee
(P.L. 95-521, Oct. 26, 1978,   alternative         Responsibilities and Conduct," which
as amended)                    mechanism(s) to     are reviewed by NRC's general counsel
                               attain the          to determine whether any conflicts of
                               objective(s) of     interest, or apparent conflicts of
                               the statute.        interest or violations exist.
-----------------------------------------------------------------------------------------

      RELATED GAO PRODUCTS
------------------------------------------------------ Appendix VI:5.6

Community Development:  Comprehensive Approaches Address Multiple
Needs But Are Challenging to Implement (GAO/RCED/HEHS-95-69, Feb.  8,
1995). 

Community Development:  Neighborhood Reinvestment Corporation Should
Improve Program Management (GAO/RCED-92-174, July 8, 1992). 


   SECTION 5:
   UNITED STATES POSTAL
   SERVICESECTION 5:  UNITED
   STATES POSTAL SERVICE
-------------------------------------------------------- Appendix VI:6


      PURPOSE
------------------------------------------------------ Appendix VI:6.1

USPS' basic function is to provide postal services to bind the nation
through the personal, educational, literary, and business
correspondence of the people (39 U.S.C.  101(a)). 


      BACKGROUND
------------------------------------------------------ Appendix VI:6.2


         DATE CREATED: 
---------------------------------------------------- Appendix VI:6.2.1

July 1, 1971 (P.L.  91-375, section 15(a), 84 Stat.  787, August 12,
1970)


         ORGANIZATIONAL LOCATION: 
---------------------------------------------------- Appendix VI:6.2.2

Independent establishment of the executive branch of the U.S. 
government (39 U.S.C.  201)


         LEGAL AUTHORITY: 
---------------------------------------------------- Appendix VI:6.2.3

39 U.S.C., as enacted by P.L.  91-375, section 2, 84 Stat.  719, as
amended


         LEGAL STATUS: 
---------------------------------------------------- Appendix VI:6.2.4

Independent establishment of the executive branch of the United
States government (39 U.S.C.  201)\5


--------------------
\5 According to USPS, this type of organization, and not a
"government corporation," was agreed upon in the negotiations between
administration officials and representatives of organized labor that
formulated H.R.  17070, the bill that ultimately became the Postal
Reorganization Act (House of Representatives Report Number 91-1104,
91st Congress, 2d Session, 1-4, 6 (1970)).  Also, note that USPS is
specifically excluded from the general definition of "independent
establishment" in 5 U.S.C.  104 and is thus not an "executive agency"
within the terms of 5 U.S.C.  105. 


         PRIMARY METHOD TO ACHIEVE
         PURPOSE: 
---------------------------------------------------- Appendix VI:6.2.5

Use postage revenues and fees to provide mail and parcel delivery and
other postal services


         PERMANENT OR TEMPORARY
         STATUS: 
---------------------------------------------------- Appendix VI:6.2.6

Permanent (39 U.S.C.  201)


         FISCAL YEAR 1994
         FULL-TIME EQUIVALENT
         (FTE) EMPLOYMENT: 
---------------------------------------------------- Appendix VI:6.2.7

834,275 (as of Aug.  19, 1994)\6


--------------------
\6 USPS does not report FTE on a fiscal year basis.  USPS' FTEs are
for the period July 23, 1994, through August 19, 1994. 


      MANAGEMENT STRUCTURE
------------------------------------------------------ Appendix VI:6.3

USPS is directed by a board of governors composed of 11 members. 
Nine of the members, known as governors, are appointed by the
President, by and with the advice and consent of the Senate, and not
more than five of them can be from the same political party.  The
governors elect a chairman from among the members of the board.  The
governors appoint and have the authority to remove the Postmaster
General, who is a voting member of the board.  The Postmaster
General's pay and term of service are fixed by the governors.  The
governors and the Postmaster General appoint and have the authority
to remove the Deputy Postmaster General, who is also a voting member
of the board.  The Deputy Postmaster General's term of service is
fixed by the governors and the Postmaster General, and the Deputy
Postmaster General's pay is set by the governors.  The Postmaster
General is the Chief Executive Officer of USPS.  The Deputy
Postmaster General is the alternate chief executive officer of USPS. 
USPS also has a general counsel, such number of Assistant Postmasters
General (which USPS refers to as vice presidents) as the board
considers appropriate, and a judicial officer.  The General Counsel,
the Assistant Postmasters General, and the judicial officer are
appointed by, and serve at the pleasure of, the Postmaster General
(39 U.S.C.  202, 203, 204). 


      FUNDING INFORMATION
------------------------------------------------------ Appendix VI:6.4

USPS' gross outlays exceeded its nonfederal collections each year
from fiscal year 1990 through 1994.  During this time frame, USPS'
net federal outlays totaled $15.8 billion (note:  this amount does
not account for borrowing and cash drawdowns).  Figure VI.5.1 depicts
the gross outlays, nonfederal collections, and net federal outlays
data from table VI.5.1.  Net federal outlays (1) represent outlays
from various federal sources including interagency transfers, but (2)
do not include appropriations for postage subsidy\7 or the former
Post Office Department (POD) workers' compensation,\8 which is
depicted separately in table VI.5.2. 



                              Table VI.5.1
                
                    USPS' Gross Outlays, Nonfederal
                Collections, and Net Federal Outlays for
                     Fiscal Years 1990 Through 1994

                         (Dollars in billions)

                                        FY     FY     FY     FY     FY
Budget category                       1990   1991   1992   1993   1994
-----------------------------------  -----  -----  -----  -----  -----
Gross outlays                        $42.0  $45.8  $48.1  $49.8  $51.0
Nonfederal collections                38.2   42.6   45.2   46.5   48.4
Net federal outlays                    3.8    3.2    2.9    3.3    2.6
----------------------------------------------------------------------
Source:  OMB. 

   Figure VI.5.1:  USPS' Gross
   Outlays, Nonfederal
   Collections, and Net Federal
   Outlays for Fiscal Years 1990
   Through 1994

   (See figure in printed
   edition.)

Source:  OMB. 

In addition, USPS receives two types of annual appropriations.  One
is intended to reimburse USPS for revenue lost in carrying mail free
of charge or at reduced rates as mandated by Congress, and the other
is dedicated to paying the workers' compensation costs of the former
POD.  The figures in table VI.5.2 are a combination of operating
figures, annual postage subsidy, and POD workers' compensation.  The
amounts received from these two types of appropriations from fiscal
years 1990 through 1994 are as follows: 



                              Table VI.5.2
                
                 USPS Postage Subsidy and POD Workers'
                   Compensation for Fiscal Years 1990
                              Through 1994

                         (Dollars in millions)

                                        FY     FY     FY     FY     FY
Category                              1990   1991   1992   1993   1994
-----------------------------------  -----  -----  -----  -----  -----
Postage subsidy\a                    $453.  $472.  $470.  $122.  $91.4
                                         4      6      0      0
POD workers' compensation             36.4   38.1   40.6   38.6   38.8
----------------------------------------------------------------------
\a USPS provided the following reason for the decline in postage
subsidy:  "Under the Revenue Forgone Reform Act of 1993, P.L. 
103-123, title VII, section 703(a), 107 Stat.  1267 (Oct.  28, 1993),
appropriated subsidies were eliminated for all types of mail except
free mail for the blind, and balloting materials under the Uniformed
and Overseas Citizen Absentee Voting Act."

Source:  USPS. 


--------------------
\7 Postage subsidy is for payment to the Postal Service Fund for
revenue forgone on free and reduced rate mail under 39 U.S.C. 
2401(c)(d).  For example, mail for overseas voting and the blind are
free. 

\8 POD workers' compensation is for payment to the Postal Service
Fund for meeting the liabilities of the former POD to the Employees'
Compensation Fund for work injuries before July 1, 1971, under 39
U.S.C.  2004. 


      ENTITY'S REPORTED STATUTORY
      ADHERENCE
------------------------------------------------------ Appendix VI:6.5



                                       Table VI.5.3
                         
                         USPS' Self-Reported Adherence to the 15
                                Selected Federal Statutes

                               Degree of
Statute                        adherence           USPS' comments
-----------------------------  ------------------  --------------------------------------
Privacy Act of 1974            Partially subject   39 U.S.C. 410(b)(1); except that no
(5 U.S.C. 552a)                to the statute's    regulation issued under the chapters
                               requirements.       and sections of title 5, U.S.C.,
                                                   enumerated in section 410(b)(1) shall
                                                   apply to the Postal Service unless
                                                   expressly made applicable.

Freedom of Information Act of  Partially subject   39 U.S.C. 410(b)(1); except that no
1966                           to the statute's    regulation issued under the chapters
(5 U.S.C. 552)                 requirements.       and sections of title 5, U.S.C.,
                                                   enumerated in section 410(b)(1) shall
                                                   apply to USPS unless expressly made
                                                   applicable. In addition, USPS is
                                                   authorized to not disclose the
                                                   following types of information: (1)
                                                   the name or address, past or present,
                                                   of any postal "patron"; (2)
                                                   information of a commercial nature
                                                   that would not be disclosed under good
                                                   business practice; (3) information
                                                   related to the negotiation of
                                                   collective-bargaining agreements; (4)
                                                   information prepared for use in
                                                   administrative postage rate and mail
                                                   classification proceedings; (5)
                                                   reports and memoranda of consultants
                                                   and independent contractors; and (6)
                                                   investigatory files compiled for law
                                                   enforcement purposes (39 U.S.C.
                                                   410(c)).

Government in the Sunshine     Partially subject   39 U.S.C. 410(b)(1); except that no
Act                            to the statute's    regulation issued under the chapters
(5 U.S.C. 552b)                requirements.       and sections of title 5, U.S.C.,
                                                   enumerated in section 410(b)(1) shall
                                                   apply to USPS unless expressly made
                                                   applicable.

Title 5: Employee              Not subject to and  39 U.S.C. 410(a); USPS has specific
Classification                 does not            authority to classify and fix the
(5 U.S.C. 5101-5115)           administratively    compensation and benefits of all
                               adopt the           officers and employees in the USPS (39
                               statute's           U.S.C. 1003(a)).
                               requirements.

Title 5: Pay Rates and Rate    Not subject to and  39 U.S.C. 410(a); USPS is directed by
Systems                        does not            its own statute to maintain
(5 U.S.C. 5331-5338 and 5341-  administratively    compensation and benefits on a
5349)                          adopt the           standard of comparability to those
                               statute's           paid for comparable levels of work in
                               requirements.       the private sector, and to maintain
                                                   adequate and reasonable differentials
                                                   in rates of pay between employees in
                                                   the line workforce and supervisory and
                                                   other managerial personnel (39 U.S.C.
                                                   101(c), 1003(a), 1004(a)).

Federal Property and           Not subject to and  39 U.S.C. 410(a); USPS has independent
Administrative Services Act    does not            statutory authority to enter into
of 1949                        administratively    contracts, determine the form and
(41 U.S.C. 251-260)            adopt the           contents of its business documents,
                               statute's           and acquire personal and real
                               requirements.       property, or any interest therein (39
                                                   U.S.C. 401). USPS has issued a
                                                   Procurement Manual for its purchases
                                                   of property and services (39 C.F.R.
                                                   Part 601).

Federal Tort Claims Act        Subject to the      39 U.S.C. 409(c)
(28 U.S.C. 2671, et seq.)      statute's
                               requirements.

Federal Managers Financial     Not subject to and  39 U.S.C. 410(a); USPS has specific
Integrity Act of 1982          does not            authority to determine and keep its
(31 U.S.C. 3512 (b), (c))      administratively    own system of accounts under 39 U.S.C.
                               adopt the           401, and the accounts and operations
                               statute's           of the USPS are subject to internal
                               requirements.       and external audit (including audit by
                                                   the Comptroller General) in accordance
                                                   with 39 U.S.C. 2008.

Anti-Deficiency Act            Not subject to and  39 U.S.C. 410(a); USPS has authority
(31 U.S.C. 1341)               does not            to determine the character of, and
                               administratively    necessity for, its expenditures under
                               adopt the           39 U.S.C. 401, and the Postal Service
                               statute's           Fund is available to USPS without
                               requirements.       fiscal year limitation under 39 U.S.C.
                                                   2003(a).

Government Corporation         Not subject to and  39 U.S.C. 410(a); the unique audit,
Control Act of 1945            does not            accounting, and budget requirements
(31 U.S.C. 9101, et seq.)      administratively    for USPS are set forth in 39 U.S.C.
                               adopt the           chapter 20.
                               statute's
                               requirements.

Government Performance and     Partially subject   39 U.S.C. 2801-2805; USPS is required
Results Act of 1993            to the statute's    to comply only with specific portions
(P.L. 103-62, Aug. 3, 1993)    requirements.       of the act under P.L. 103-62, section
                                                   7, 107 Stat. 292-294, August 3, 1993.

Chief Financial Officers Act   Not subject to and  39 U.S.C. 410(a); the unique audit,
of 1990                        does not            accounting, and budget requirements
(P.L. 101-576, Nov. 15, 1990,  administratively    for USPS are set forth in 39 U.S.C.
as amended)                    adopt the           chapter 20.
                               statute's
                               requirements.

Inspector General Act of       Subject to the      39 U.S.C. 410(b)(10); 5 U.S.C.
1978                           statute's           appendix 3 8G(a)(2), (f); under 39
(5 U.S.C 1341)                 requirements.       U.S.C. 410(b)(10), USPS is subject to
                                                   the provisions of section "8F"
                                                   (originally section 8E and since
                                                   redesignated as section 8G) of the
                                                   Inspector General Act. USPS is a
                                                   "designated Federal entity" under the
                                                   terms of the Inspector General Act.
                                                   The USPS' Chief Postal Inspector
                                                   serves as the Inspector General of
                                                   USPS (5 U.S.C. appendix 3, sections
                                                   8G(a)(2), (f)).

Federal Credit Reform Act of   Not subject to and  39 U.S.C. 410(a) and 2009a
1990                           does not
(2 U.S.C. 661-661f)            administratively
                               adopt the
                               statute's
                               requirements.

Ethics in Government Act of    Subject to the      5 U.S.C. appendix 4, section
1978                           statute's           201(f)(6); 5 U.S.C. appendix 6,
(P.L. 95-521, Oct. 26, 1978,   requirements.       section 101(f)(6)
as amended)
-----------------------------------------------------------------------------------------

      RELATED GAO PRODUCTS
------------------------------------------------------ Appendix VI:6.6

D.C.  Area Mail Delivery Service:  Resolving Labor-Relations and
Operational Problems Key to Service Improvement (GAO/GGD-95-77, Feb. 
23, 1995). 

Postal Service:  Automation Is Taking Longer and Producing Less Than
Expected (GAO/GGD-95-89BR, Feb.  22, 1995). 

U.S.  Postal Service:  Labor-Management Problems Persist on the
Workroom Floor (Volume I) (GAO/GGD-94-201A, Sept.  29, 1994). 

U.S.  Postal Service:  Labor-Management Problems Persist on the
Workroom Floor (Volume II) (GAO/GGD-94-201B, Sept.  29, 1994). 

Postal Service:  Proposed Policy to Accept Credit and Debit Cards
Makes Sense Conceptually (GAO/GGD-94-154, June 16, 1994). 

U.S.  Postal Service:  Tracking Customer Satisfaction in a
Competitive Environment (GAO/GGD-93-4, Nov.  12, 1992). 

Postal Service:  Automation Is Restraining But Not Reducing Costs
(GAO/GGD-92-58, May 12, 1992). 

U.S.  Postal Service:  Pricing Postal Services in a Competitive
Environment (GAO/GGD-92-49, Mar.  25, 1992). 


GC SELECTION METHODOLOGY USED IN
FIVE PRIOR MAJOR STUDIES
========================================================= Appendix VII

Since 1981, we, NAPA, and CRS have issued reports on GCs.  This
appendix presents an overview of the GC selection methodology these
organizations used to determine the number of GCs. 

                                                                                Number of
Organization/year           Selection methodology                                     GCs
--------------------------  ------------------------------------------------  -----------
NAPA 1981\a                 Analyzed 35 responses to a letter of inquiry               12
                             sent to 45 entities, the enabling statutes of
                             these 35 entities, and prior research on GCs.
CRS 1983\b                  Generally included entities that perform a                 31
                             commercial function.
GAO 1983\c                  Included entities that (1) are established or              47
                             authorized by acts of Congress to operate as
                             corporate bodies; (2) are chartered under the
                             laws of the United States; (3) serve a public
                             function of a predominantly business nature
                             (require the authority to buy or otherwise
                             acquire or sell property or other assets in
                             their own name); and (4) are subject only to
                             federal decisions, rules, administrative
                             practices, and procedures that the Congress
                             deems appropriate to a corporate activity.
House Committee on          Included GCs in the GCCA; other corporations               45
 Government Operations       identified elsewhere in the U.S. Code, which
 1988\d                      are subject to one or more provisions of the
                             GCCA; and other corporate entities that met
                             criteria established for prior GAO studies (see
                             our 1983 selection methodology).
Senate Committee on         Generally included entities that perform a                 23
 Governmental Affairs        commercial function.
 1995\e
-----------------------------------------------------------------------------------------
Note:  The organizations' counts varied on the basis of selection
methodology.  Also, since 1981, the number of GCs has changed.  For
example, new GCs have been established (e.g., Resolution Trust
Corporation, 1989; Corporation for National and Community Service,
1993) while others have been transferred to the private sector or
have been terminated (e.g., Conrail, 1987; Federal Savings and Loan
Insurance Corporation, 1989). 

\a Report on Government Corporations, Vols.  I-II, National Academy
of Public Administration, 1981. 

\b Administering Public Functions at the Margin of Government:  The
Case of Federal Corporations, Congressional Research Service, 1983. 

\c Congress Should Consider Revising Basic Corporate Control Laws
(GAO/PAD-83-3, Apr.  6, 1983). 

\d Profiles of Existing Government Corporations, House Committee on
Government Operations, Committee Print, 1988.  (This report includes
information from a 1985 unpublished GAO study on government
corporations, Reference Manual of Corporations Authorized or
Established by Congress.)

\e Managing the Public's Business:  Federal Corporations,
Congressional Research Service report for the Senate Committee on
Governmental Affairs, Apr.  1995. 


MAJOR CONTRIBUTORS AND STAFF
ACKNOWLEDGEMENTS
======================================================== Appendix VIII

MAJOR CONTRIBUTORS


      GENERAL GOVERNMENT DIVISION,
      WASHINGTON, D.C. 
---------------------------------------------------- Appendix VIII:0.1

J.  Christopher Mihm, Assistant Director, (202) 512-3236
Donald L.  Bumgardner, Evaluator-in-Charge, (202) 512-7034
Matthew D.  Ryan
Anthony J.  Wysocki

STAFF ACKNOWLEDGEMENTS

In addition to those named above, the following individuals made
important contributions to this report: 

Mike Curro and John Mingus, Accounting and Information Management
Division, provided budget and financial information on all
corporation profiles. 

Tom Beall, General Government Division, provided survey preparation
and analysis assistance. 

Alan Belkin and Bruce Goddard, Office of General Counsel, provided
legal research assistance on all laws cited in this report. 

Kiki Theodoropoulos, General Government Division, provided assistance
in preparing report drafts and in communicating this report's
message. 


BIBLIOGRAPHY
=========================================================== Appendix 0

Goldberg, Sidney D., and Harold Seidman.  The Government Corporation: 
Elements of a Model Charter.  Washington, D.C.:  Public
Administration Service, 1953. 

31 U.S.C.  9101, et seq., Government Corporation Control Act of 1945. 

National Academy of Public Administration (NAPA).  Report on
Government Corporations, Vol.  I-II.  Washington, D.C.:  NAPA, August
1981. 

U.S.  Congress.  Senate Committee on Governmental Affairs.  Managing
the Public's Business:  Federal Government Corporations.  Senate
Report 104-18.  104th Congress, 1st Session.  Washington, D.C.:  U.S. 
Government Printing Office, April 1995. 

U.S.  Congress.  House Committee on Government Operations.  Profiles
of Existing Government Corporations.  Committee Print.  100th
Congress, 2nd Session.  Washington, D.C.:  U.S.  Government Printing
Office, December 1988. 

U.S.  Congress.  The Budget of the United States Government for the
Fiscal Year Ending June 30, 1948.  (Contains President Harry S
Truman's 1948 Budget Message that discussed government corporations.)
House Document No.  19.  80th Congress, 1st session.  Washington,
D.C.:  U.S.  Government Printing Office, 1947. 

U.S.  Congress.  Joint Committee on Reduction of Nonessential Federal
Expenditures.  Report on Government Corporations.  Senate Document
No.  227.  78th Congress, 2d session.  Washington, D.C.:  U.S. 
Government Printing Office, 1944. 

U.S.  Library of Congress.  Congressional Research Service (CRS). 
Administering Public Functions At The Margin Of Government:  The Case
Of Federal Corporations.  Washington, D.C.:  CRS, December 1, 1983. 


*** End of document. ***