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 <subject>Airport security</subject>
 <subject>Airports</subject>
 <subject>Allowable costs</subject>
 <subject>Baggage screening</subject>
 <subject>Cost analysis</subject>
 <subject>Cost control</subject>
 <subject>Cost overruns</subject>
 <subject>Homeland security</subject>
 <subject>Strategic planning</subject>
 <subject>Systems design</subject>
 <subject>Cost estimates</subject>
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<titleInfo>
 <title>Aviation Security: Cost Estimates Related to TSA Funding of Checked Baggage Screening Systems at Los Angeles and Ontario Airports</title>
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<abstract>To meet the mandate to screen all checked baggage for explosives
by December 31, 2003, the Transportation Security Administration 
(TSA) placed minivan-sized explosive detection systems (EDS) and 
other screening equipment in airport lobbies. However, these	 
interim lobby solutions have caused operational inefficiencies,  
in part because they require a large number of screeners.	 
According to TSA, in-line baggage screening--where EDS machines  
are integrated with an airport&apos;s baggage conveyor system--can be 
a more cost-effective and efficient alternative to lobby-based,  
stand-alone equipment. For example, in-line systems can increase 
the efficiency of airport, airline, and TSA operations, and lower
costs by reducing the number of screeners. Moreover, in-line	 
explosive detection systems can enhance security because they	 
reduce congestion in airport lobbies, thus removing a potential  
target for terrorists. However, installing in-line systems can	 
have large up-front costs, related to the need for airport	 
modifications. To help defray these costs, in 2003, Congress	 
authorized TSA to reimburse airports up to 75 percent of the cost
to install these systems by entering &quot;letter of intent&quot; (LOI)	 
agreements. An LOI, though not a binding commitment of federal	 
funding, represents TSA&apos;s intent to provide the agreed-upon funds
in future years if the agency receives sufficient appropriations 
to cover the agreement. TSA has issued eight letters of intent to
help defray the costs of installing in-line systems at nine	 
airports as of February 2007, but none since February 2004. In	 
September 2003, TSA and the City of Los Angeles signed an LOI and
an attached memorandum of agreement (LOI/MOA) in which TSA agreed
to pay an amount not to exceed 75 percent of the agreed upon	 
estimated total project cost of $341 million (about $256 million)
to install in-line checked baggage screening systems at both Los 
Angeles (LAX) and Ontario (ONT) International Airports. However, 
in December 2003, officials from the City of Los Angeles&apos; airport
authority--Los Angeles World Airports (LAWA)--informed TSA that  
aspects of the design concept were infeasible and that additional
construction modifications would be needed. LAWA subsequently	 
submitted a revised cost estimate to TSA in April 2005 and	 
requested that TSA amend the LOI/MOA to increase the federal	 
reimbursement by about $122 million. TSA has not amended the LOI 
to provide for additional reimbursements; however, as of February
2007, TSA had obligated the $256 million for the City of Los	 
Angeles LOI/MOA in accordance with the schedule agreed to in the 
LOI and had reimbursed LAWA for about $26 million in expenses.	 
Senate Report 109-273 directs us to review the reasons for the	 
differences between the original 2003 cost estimate and the	 
revised 2005 cost estimate submitted by LAWA. In response and as 
agreed with committee offices, we identified the key factors that
contributed to the differences between the two cost estimates. On
January 23, 2007, we briefed staff of the Senate Subcommittee on 
Homeland Security, Committee on Appropriations, on the results of
our work.</abstract>
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<subject>
 <topic>Airport security</topic>
 <topic>Airports</topic>
 <topic>Allowable costs</topic>
 <topic>Baggage screening</topic>
 <topic>Cost analysis</topic>
 <topic>Cost control</topic>
 <topic>Cost overruns</topic>
 <topic>Homeland security</topic>
 <topic>Strategic planning</topic>
 <topic>Systems design</topic>
 <topic>Cost estimates</topic>
</subject>
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  <title>United States Public Law 7 (108th Congress)</title>
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  <title>United States Public Law 295 (109th Congress)</title>
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  <title>United States Senate Report 273 (109th Congress)</title>
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