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<classification authority="sudocs">GA 1.13:RCED-97-110</classification>
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 <subject>Deficit reduction</subject>
 <subject>Marine safety</subject>
 <subject>Budget cuts</subject>
 <subject>Strategic planning</subject>
 <subject>Cost control</subject>
 <subject>Mission budgeting</subject>
 <subject>User fees</subject>
 <subject>Future budget projections</subject>
 <subject>Presidential budgets</subject>
 <subject>Base closures</subject>
 <identifier>Oil Spill Liability Trust Fund</identifier>
 <identifier>Aquatic Resources Trust Fund</identifier>
 <identifier>Coast Guard National Plan for Streamlining</identifier>
 <identifier>Coast Guard Capital Investment Plan</identifier>
 <identifier>Coast Guard Vessel Traffic Service 2000 Program</identifier>
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<titleInfo>
 <title>Coast Guard: Challenges for Addressing Budget Constraints</title>
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<abstract>Pursuant to a congressional request, GAO reviewed the fiscal constraints
that the Coast Guard is facing and the efforts that it is making to
adjust to constrained budgets, focusing on: (1) the extent of the gap
between the funding needed to maintain the Coast Guard&apos;s current level
of services and the funding that the Office of Management and Budget
(OMB) has targeted for the agency through fiscal year (FY) 2002; (2) the
Coast Guard&apos;s strategy for addressing this gap, and whether the strategy
is adequate; and (3) what additional actions, if any, would help close
the gap. GAO did not verify the accuracy of or attempt to validate the
Coast Guard&apos;s estimates for future acquisition needs.&lt;p/&gt;GAO noted that: (1) deficit reduction efforts will create substantial
pressure on the Coast Guard&apos;s budget; (2) by FY 2002, the Coast Guard is
projected to have a gap of as much as $493 million between OMB&apos;s budget
target and the estimated cost of maintaining services at current levels;
(3) eliminating a gap of this size means that by FY 2002, the Coast
Guard would need to identify cuts in operating expenses of $363 million
and defer a substantial portion of its budget to replace or modernize
its aging ships, aircraft, and facilities through FY 2002, according to
OMB and Coast Guard estimates; (4) whether the Guard can close the gap
with its current budget strategy is highly uncertain and is likely to
remain so for some time: (5) Coast Guard managers have acknowledged the
task&apos;s enormity, but have not yet fully developed an approach or a
specific plan for addressing the task; (6) agency managers have begun to
strengthen planning and budgeting processes, but these changes will not
be fully in place for a year or more, and their usefulness in addressing
immediate needs for reductions is unclear; (7) in the meantime, the
Coast Guard continues to rely heavily on its past strategy, which
focuses almost exclusively on cutting costs through greater efficiency;
(8) while this strategy has yielded savings of about $343 million,
achieving OMB&apos;s targets will be a much more difficult challenge; (9) the
gap&apos;s sheer size and the dwindling number of available
efficiency-related options mean that in developing its plan for meeting
OMB&apos;s budget targets, the Coast Guard may have to reexamine its current
focus; (10) GAO&apos;s past work shows that when private-sector and public
organizations have successfully faced fiscal constraints like the Coast
Guard&apos;s, they have done so through a much broader approach that includes
the consideration of alternatives; (12) except for the recent
streamlining program, the Coast Guard has relatively incomplete
knowledge about the savings that it can anticipate in the next several
years from cost-saving steps that are in various stages of
implementation; (13) as a result, the agency does not know the degree to
which these steps would close future funding gaps; (14) in addition, the
Coast Guard may have to consider measures that call for considerable
change in its operating culture or that stir public opposition; and (15)
fully addressing such options may require further study or new implemen*</abstract>
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<subject>
 <topic>Deficit reduction</topic>
 <topic>Marine safety</topic>
 <topic>Budget cuts</topic>
 <topic>Strategic planning</topic>
 <topic>Cost control</topic>
 <topic>Mission budgeting</topic>
 <topic>User fees</topic>
 <topic>Future budget projections</topic>
 <topic>Presidential budgets</topic>
 <topic>Base closures</topic>
 <topic>Oil Spill Liability Trust Fund</topic>
 <topic>Aquatic Resources Trust Fund</topic>
 <topic>Coast Guard National Plan for Streamlining</topic>
 <topic>Coast Guard Capital Investment Plan</topic>
 <topic>Coast Guard Vessel Traffic Service 2000 Program</topic>
</subject>
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  <title>United States Statutes at Large</title>
  <partNumber>Volume 80 Page 931</partNumber>
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 <identifier type="Statute citation">80 Stat. 931</identifier>
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<relatedItem type="isReferencedBy">
 <titleInfo>
  <title>United States Statutes at Large</title>
  <partNumber>Volume 108 Page 111</partNumber>
</titleInfo>
 <identifier type="Statute citation">108 Stat. 111</identifier>
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  <title>United States Public Law 670 (89th Congress)</title>
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  <title>United States Public Law 62 (103rd Congress)</title>
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 <titleInfo>
  <title>United States Public Law 226 (103rd Congress)</title>
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