oversight

Electronic Government: Progress and Challenges in Implementing the Office of Personnel Management's Initiatives

Published by the Government Accountability Office on 2003-09-23.

Below is a raw (and likely hideous) rendition of the original report. (PDF)

                             United States General Accounting Office

GAO                          Testimony
                             Before the Subcommittee on Technology,
                             Information Policy, Intergovernmental Relations
                             and the Census, Committee on Government
                             Reform, House of Representatives
For Release on Delivery
Expected at 10 a.m. EDT on
Tuesday September 23, 2003   ELECTRONIC
                             GOVERNMENT
                             Progress and Challenges in
                             Implementing the Office of
                             Personnel Management’s
                             Initiatives
                             Statement of Linda D. Koontz
                             Director, Information Management Issues




GAO-03-1169T
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                                                September 23, 2003


                                                ELECTRONIC GOVERNMENT

                                                Progress and Challenges in Implementing
Highlights of GAO-03-1169T, a testimony         the Office of Personnel Management’s
before the Subcommittee on Technology,
Information Policy, Intergovernmental           Initiatives
Relations and the Census, Committee on
Government Reform, House of
Representatives




Electronic government                           OPM’s five e-government initiatives (summarized in the table) are an
(e-government) refers to the use of             ambitious attempt to transform the way human capital functions and
information technology (IT),                    services are carried out in the federal government. OPM faces several
including Web-based Internet                    challenges that, if not fully met, could prevent it from meeting its objectives
applications, to enhance access to              and realizing projected improvements and dollar savings.
and delivery of government
information and services, as well as
to improve the internal efficiency              For instance, in order to meet a perceived need for quick results, alterations
and effectiveness of the federal                have been made to the acquisition plans for several of the 25 OMB-
government. The Office of                       sponsored e-government initiatives, including OPM’s Recruitment One-Stop
Personnel Management (OPM) is                   initiative. In OPM’s recent decision to continue with its awarded contract for
managing five e-government                      Recruitment One-Stop, despite a successful bid protest by Symplicity
initiatives whose goal is to                    Corporation, agency officials perceived the need for quick results to be one
transform the way OPM oversees                  factor outweighing the importance of issues raised by GAO concerning the
the government’s human capital                  conduct of the procurement. However, by taking this course, OPM risks
functions. These 5 initiatives are              alienating potential supporters of its initiative.
among 25 identified by the Office of
Management and Budget (OMB) as
foremost in the drive toward e-
                                                Further, managing the migration from agency-specific systems to
government transformation. The 25               consolidated systems will be a challenge, because agencies may be required
initiatives have ambitious goals,               to take positive action to shut down existing systems and invest in additional
including eliminating redundant,                or updated technology to use the new, consolidated systems resulting from
nonintegrated business operations               OPM’s five initiatives. Consequently, it will be crucial for OPM to implement
and systems and improving service               effective change management and communication policies. In addition,
to citizens by an order of                      technical integration across agencies to support consolidation, including the
magnitude. Achieving these results,             development of standards, is a formidable task.
according to OMB, could produce
billions of dollars in savings from             Finally, OPM also faces a significant challenge in realistically estimating the
improved operational efficiency.                cost savings to be derived from these initiatives. In many cases, estimates of
In today’s testimony, among other
                                                cost savings are only loosely based on measures that are difficult to quantify,
things, GAO identifies the                      such as the average cost of performing a certain function across the
challenges facing OPM as it moves               government. To be truly effective in meeting its goals, OPM needs to
forward in implementing the five                establish complete, meaningful, and quantitative measures of cost savings.
human capital initiatives.
                                                Overview of OPM’s Five E-Government Initiatives
                                                 Initiative   Purpose
                                                 Recruitment Provide a one-stop Web site for federal job seekers through a single application
                                                 One-Stop     point that provides a range of information and tools, including vacancy information,
                                                              application submission, status tracking, and other tools.
                                                 e-Clearance Improve the efficiency and speed by which federal government clearances are
                                                              granted to maximize the efficiency of collecting data, scheduling cases, locating
                                                              existing investigations and clearances, and retrieving archived records.
                                                 Enterprise   Provide a data repository of standardized core human resource data to replace the
                                                 Human        paper Official Personnel File, with an Official Electronic Record, enabling the
                                                 Resources    electronic exchange of information between agencies during an employee’s
                                                 Integration  government career.
www.gao.gov/cgi-bin/getrpt?GAO-03-1169T.         e-Training   Support development of the federal workforce through simplified, one-stop access
                                                              to high-quality Internet-based training products and services.
To view the full product, including the scope
                                                 e-Payroll    Improve federal payroll operations by consolidating 22 existing federal payroll
and methodology, click on the link above.
                                                              system providers; simplifying and standardizing policies and procedures; and
For more information, contact Linda Koontz at
                                                              better integrating federal payroll, human resources, and finance functions.
(202) 512-6240 or koontzl@gao.gov.
                                                Source: GAO analysis of OPM and OMB documents.
Mr. Chairman and Members of the Subcommittee:

I appreciate the opportunity to participate in the Subcommittee’s
hearing on the progress of, and challenges to, implementing the
electronic government (e-government) initiatives that are being led
by the Office of Personnel Management (OPM). Generally speaking,
e-government refers to the use of information technology (IT),
including Web-based Internet applications, to enhance the access to
and delivery of government information and service to citizens,
business partners, and employees, and to improve the internal
efficiency and effectiveness of the federal government. A variety of
actions have been taken in recent years to enhance the
government’s ability to realize the potential of e-government,
                                                                1
culminating in the enactment of the E-Government Act of 2002,
which includes provisions to promote the use of the Internet to
provide government services electronically, strengthen agency
information security, and manage the federal government’s growing
IT human capital needs.

The President has embraced e-government as one of five priorities
in his management agenda for making the federal government more
focused on citizens and results. Under the leadership of the Office of
Management and Budget (OMB), a set of high-profile initiatives was
identified to lead the drive toward e-government transformation.
These initiatives—now numbering 252—have ambitious goals,
including eliminating redundant, nonintegrated business operations
and systems and improving service to citizens by an order of
magnitude. Achieving these results, according to OMB, could
produce billions of dollars in savings from improved operational
efficiency. However, to realize such savings, it will be critically
important that these initiatives are well managed as the government
undertakes the challenging task of turning good ideas into real-
world results.

OPM, the President’s agent and advisor for human capital matters, is
charged with overseeing the management of the federal
government’s most important asset—its people. OPM is in the
process of transformation—from less of a rulemaker, enforcer, and
independent agent to more of a consultant, toolmaker, and strategic
partner in leading and supporting executive agencies’ human capital

1
    P. L. No. 107-347.
2
 Twenty-three initiatives were originally selected in September 2001. A 24th, e-Payroll, was then added
by the President’s Management Council. In 2002, a decision was made to separate the e-Clearance
project from the Integrated Human Resources initiative, resulting in the current count of 25 projects.

Page 1                                                                                 GAO-03-1169T
                 management systems. As part of that transformation, OPM has
                 taken on the role of managing partner for 5 of the 25 OMB-
                 sponsored e-government initiatives. As requested, in my remarks
                 today, I will provide an overview of OPM’s initiatives and identify
                 the challenges facing OPM as it moves forward in implementing
                 these initiatives. I have also included an attachment that lists other
                                                                       3
                 pertinent GAO publications on e-government issues.


Background
                 Expansion of e-government was one of five top priorities in the
                 President’s fiscal year 2002 management agenda for improving
                 government performance.4 To support that priority, a task force, led
                 by OMB, was established in 2001 and charged with identifying
                 electronic government projects that could deliver significant
                 productivity and performance gains across government. The task
                 force analyzed the federal bureaucracy and identified areas of
                 significant overlap and redundancy in how federal agencies
                 provided services to the public. The task force found that multiple
                 agencies were conducting redundant operations within 30 major
                 functions and business lines in the executive branch. To address
                 these redundancies, the task force evaluated potential projects,
                 focusing on collaborative opportunities to integrate IT operations
                 and simplify processes within lines of business across agencies and
                 around citizen needs. As a result of this assessment, the task force
                 identified a set of high-profile e-government initiatives for
                 accelerated near-term implementation. These are now the 25 OMB-
                 sponsored initiatives.5

                 The President’s management agenda outlined the following results
                 expected as a result of e-government:

             •   provide high-quality customer services regardless of whether the
                 citizen contacts the agency by phone, in person, or on the Web;

             •   reduce the expense and difficulty of doing business with the
                 government;


                 3
                     These publications can be obtained through GAO’s World Wide Web page at www.gao.gov.
                 4
                  Office of Management and Budget, The President’s Management Agenda, Fiscal Year 2002
                 (Washington, D.C.).
                 5
                  For more on OMB’s selection process, see U.S. General Accounting Office, Electronic Government:
                 Selection and Implementation of the Office of Management and Budget’s 24 Initiatives, GAO-03-229
                 (Washington, D.C.: Nov. 22, 2002).

                 Page 2                                                                             GAO-03-1169T
•   cut government operating costs;

•   provide citizens with readier access to government services;

•   increase access for persons with disabilities to agency Web sites and
    e-government applications; and

•   make government more transparent and accountable.

    OMB also established a portfolio management structure to help
    oversee and guide the initiatives and facilitate a collaborative
    working environment for each of them. This structure includes five
    portfolios: “government to citizen,” “government to business,”
    “government to government,” “internal efficiency and effectiveness,”
    and “cross-cutting.” Each of the 25 initiatives is assigned to one of
    these portfolios, according to the type of results the initiative is
    intended to provide. Further, for each initiative, OMB designated a
    specific agency to be the initiative’s “managing partner,” responsible
    for leading the initiative, and assigned other federal agencies as
    “partners” in carrying out the initiative. OPM was designated the
    managing partner for five initiatives—Recruitment One-Stop, which
    is to provide a consolidated Web site for federal job applicants;
    e-Clearance, which seeks to improve the process of granting
    security clearances; Enterprise Human Resources Integration,
    which is to replace paper personnel files with electronic records;
    e-Training, which is to provide Internet-based training for federal
    employees; and e-Payroll, which seeks to consolidate federal payroll
    systems. The five initiatives are all part of the internal efficiency and
    effectiveness portfolio.

    In developing this testimony, our objectives were to describe the
    progress of the five e-government initiatives being managed by OPM
    and identify key challenges associated with implementing them
    successfully. To address these objectives, we analyzed relevant
    documentation from OPM and interviewed project officials from
    each of the initiatives. To assess progress to date and identify major
    challenges to implementing the initiatives, we analyzed the reported
    accomplishments and planned activities of the projects and
    compared them with information provided in the initiatives’ original
    business cases. We also held discussions with agency officials to
    obtain additional information. We performed our work in September
    2003 in accordance with generally accepted government auditing
    standards.


    Page 3                                                       GAO-03-1169T
OPM’s e-Government Initiatives Are Designed to Support a Range of
Human Capital Functions
                       OPM’s e-government initiatives are intended to serve as a complete
                       set of electronic support tools for the federal government’s human
                       capital functions, including recruitment, security clearances,
                       personnel records, training, and payroll. OPM’s retirement systems
                       modernization project—not an OMB-sponsored initiative—rounds
                       out this set of tools. OPM’s vision is for these initiatives to
                       streamline and improve the process for moving employees through
                       the entire life cycle of their employment with the federal
                       government and to do so consistently with the evolving Federal
                       Enterprise Architecture6 as well as with security and privacy
                       standards. According to the agency, the success of the initiatives
                       will depend on leveraging of existing IT coupled with
                       standardization and consolidation practices that are beneficial to
                       end users.

                       If successful, these initiatives are likely to accrue savings to the
                       federal government by reducing redundancy among agency systems
                       and streamlining the various processes involved in tracking and
                       managing federal employment. Although we have not evaluated its
                       claim, OPM asserts that its e-government projects will save
                       approximately $2.6 billion over the life of the initiatives. These
                       savings are expected to derive not only from eliminating duplicative
                       personnel systems, such as payroll systems, but also from such
                       process improvements as reducing the amount of time it takes to
                       obtain a security clearance and streamlining the way in which
                       training is administered. Table 1 provides an overview of OPM’s
                       e-government projects and key milestones, and table 2 provides a
                       summary of changes in cost estimates for the initiatives.




                       6
                        Enterprise architectures are blueprints for transforming how a given entity operates, whether it be a
                       federal agency or a federal function that cuts across agencies. The Federal Enterprise Architecture is
                       intended to facilitate governmentwide improvements through cross-agency analysis and the
                       identification of duplicative investments, gaps, and opportunities for collaboration, interoperability,
                       and integration within and across government agencies. For more information, see U.S. General
                       Accounting Office, Information Technology: Enterprise Architecture Use across the Federal
                       Government Can Be Improved, GAO-02-6 (Washington, D.C.: Feb. 19, 2002).

                       Page 4                                                                                  GAO-03-1169T
Table 1: Overview of OPM’s Five e-Government Initiatives
Initiative            Purpose                                                       Key Milestones
Recruitment           Provide a one-stop Web site for federal job seekers           • June 2002—implemented an updated Web site at
One-Stop              by implementing a single application point that                 www.usajobs.opm.gov.
                      includes vacancy information; job application                 • August 2003—implemented database mining tools,
                      submission; application status tracking; employment             integrated assessment tools, and status tracking.
                      eligibility screening; and applicant database mining.
                                                                                    • December 2003—begin shutdown of job search engines
                                                                                      and resume builders at other federal agencies.
e-Clearance           Improve the efficiency and speed of granting federal          • May 2002—began consolidating clearance investigation
                      government security clearances by maximizing the                results to a DOD/civilian database.
                      efficiency of data collection and case scheduling,            • November 2002—deployed a new clearance certification
                      simplifying the location of existing investigations and         form that allows individuals to indicate changes, if any, to
                      clearances, and making the retrieval of archived                their clearance status.
                      records a near real-time event.
                                                                                    • June 2004—electronic retrieval and dissemination of
                                                                                      investigation information available to authorized agency
                                                                                      users.
Enterprise            Provide a data repository of standardized core human          • July 2003—selected a systems integrator and began
Human                 resource data to replace the paper Official Personnel           work.
Resources             File with an Official Electronic Record, enabling the         • September 2003—built and deployed a proof-of-concept
Integration           electronic exchange of information between agencies             system for a consolidated EHRI data repository.
(EHRI)                during an employee’s government career.
                                                                                    • Second quarter 2004—develop and deploy interfaces with
                                                                                      agencies to exchange data on a biweekly basis.
e-Training            Support development of the federal workforce                  • July 2002—launched www.golearn.gov with 37 training
                      through simplified and one-stop access to high-quality          courses and over 100 books and professional journals.
                      Internet-based training products and services to unify        • January 2003—enhanced the Web site with additional
                      training services across the federal government.                courses and tools.
                                                                                    • September 2004—interface to or shut down existing
                                                                                      federal on-line training systems.
e-Payroll             Improve federal payroll operations by consolidating           • January 2003—chose four agencies to be payroll
                      the operations of 22 existing federal payroll system            providers for all executive branch agencies.
                      providers; simplifying and standardizing federal              • January 2003—began agency payroll services
                      payroll policies and procedures; and better integrating         consolidation.
                      payroll, human resources, and finance functions
                      across federal agencies.                                      • September 2004—complete migration of the existing
                                                                                      payroll providers to one of the two payroll partnerships.
Source: GAO analysis of OPM and OMB documents.




Table 2: Changes in Cost Estimates for OPM’s Five e-Government Initiatives
                                                                          Cost (dollars in millions)
                                             FY 2002                                     FY 2003 estimated
Initiative              Original estimate         Actual     Net change                  Original   Current     Net change      FY 2004 estimated
Recruitment
One-Stop                                    1.2        1.2            0                       1.2        9.2              8.0                        6.7
e-Clearance                                 2.2        5.4          3.2                       2.9        9.5              6.6                        8.7
Enterprise
Human
Resources
Integration                                 3.2        2.8        –0.40                      20.3        7.5           –12.8                      18.9


                                                       Page 5                                                                         GAO-03-1169T
                                                             Cost (dollars in millions)
                              FY 2002                                       FY 2003 estimated
Initiative     Original estimate   Actual     Net change                    Original   Current     Net change       FY 2004 estimated
e-Training                   2.1        2.1              0                       2.7        2.5            –0.2                        2.5
e-Payroll                    2.2        1.3           –0.9                      50.8        2.5           –48.3                        2.5
Source: OPM.




Recruitment One-Stop
                                        Recruitment One-Stop is a collaborative effort between OPM and its
                                        federal agency partners to develop a comprehensive Web site
                                        (www.usajobs.opm.gov) to assist applicants in finding employment
                                        with the federal government. Full implementation of Recruitment
                                        One-Stop is expected to benefit citizens by providing a more
                                        efficient process for locating and applying for federal jobs, and to
                                        assist federal agencies in hiring top talent in a competitive
                                        marketplace. As we have previously reported, automation has the
                                        potential to provide a variety of benefits in streamlining the hiring of
                                                         7
                                        new employees. The specific objectives of Recruitment One-Stop
                                        that will benefit federal job applicants include

                                   •    a single portal advertising federal job opportunities that supports
                                        searching for jobs by type, location, salary, or level of experience; a
                                        standard method for applying for federal positions that provides
                                        immediate feedback on basic eligibility; and basic eligibility
                                        screening that addresses issues such as citizenship, age, and special
                                        occupational requirements, such as the need to carry firearms;

                                   •    standardized vacancy announcements with additional detailed
                                        information available via electronic “hyperlinks”;

                                   •    tools to build and store an on-line resume, including a resume
                                        template covering all information normally needed to make basic
                                        qualifications and eligibility determinations; and

                                   •    the ability to check on the status of federal job applications by
                                        accessing basic information such as closing and/or cancellation
                                        dates, dates of candidate referral, and points of selection.

                                        In addition, agencies are expected to be able to search and review
                                        the resumes of consenting applicants in the USAJOBS database, a

                                        7
                                         U.S. General Accounting Office, Human Capital: Opportunities to Improve Executive Agencies’
                                        Hiring Processes, GAO-03-450 (Washington, D.C.: May 30, 2003), p. 22.

                                        Page 6                                                                           GAO-03-1169T
process called applicant database mining. This feature will assist
agencies in locating candidates for hard-to-fill positions by capturing
“passive” job seekers who have resumes on file, but who may not
have thought of looking for opportunities within a particular agency,
job field, or location.

To date, the Recruitment One-Stop initiative has met several
planned milestones, including implementing enhancements to the
previously existing www.usajobs.opm.gov Web site in August 2003,
such as a resume builder to assist job applicants in developing up to
five versions of their resume with which to apply for federal jobs,
and a basic application status tracking tool to assist applicants in
finding the status of their federal applications. By the end of this
month, OPM plans to have all executive branch agencies using the
Web site to advertise their jobs. By December 2003, it intends to
begin working with agencies to shut down agency-unique job search
engines and resume builders.

OPM has continued development of the enhanced USAJOBS Web
site despite a successful bid protest against its contract award for
implementing the enhancements. On January 16, 2003, OPM
awarded a contract to TMP Worldwide, Inc., to support
enhancements to the Web site. However, on January 24, 2003, a
competing vendor, Symplicity Corporation, protested the award. We
sustained Symplicity’s protest on April 29, 2003, based on a
determination that OPM did not exercise certain necessary
evaluative controls in its review of the bids before awarding the
contract, resulting in errors in the bidding process that created an
unfair competitive environment. For example, we found that OPM
did not perform an analysis of whether the quoted services, labor
categories, and other direct costs included in TMP’s quotation were
within the scope of TMP’s approved GSA contract schedule. Based
on this finding, we recommended that OPM reopen discussions with
all vendors whose quotations were competitive and request and
reevaluate revised quotations. However, on July 21, 2003, OPM
informed us that it would not reopen discussions with vendors,
citing as one of its reasons the need to complete the system “within
the government’s required time frame.” On August 5, 2003, we
submitted a report to Congress summarizing the protest decisions
and the circumstances of the failure of OPM to implement our
recommendation.

OPM is planning to measure the performance of the enhanced Web
site and features with metrics such as cost per hire, time to fill
vacancies, and the percentage of federal job applicants using
Page 7                                                     GAO-03-1169T
                  Recruitment One-Stop. OPM expects that once Recruitment One-
                  Stop is fully implemented, it will generate a total of $365 million in
                  savings through fiscal year 2012. According to project officials, the
                  expected cost savings were extrapolated from projected average
                  annual decreases in the cost of hiring each new federal employee.
                  By fiscal year 2005, OPM’s goal is to reduce the cost per hire from
                  $2,790 to $2,678, reduce the time to fill job vacancies from 102 days
                  to 97, and increase the percentage of job applicants using
                  Recruitment One-Stop from 80 to 84 percent.


e-Clearance
                  The e-Clearance project is designed to improve processing of
                  security clearances for federal employees. It focuses on
                  consolidating and increasing access to information to improve the
                  efficiency of granting or locating previous clearances or
                  investigations. OPM intends the e-Clearance project to help
                  streamline data collection and case scheduling by making it easier
                  to locate existing investigations and clearances, providing for almost
                  immediate retrieval of archived records as they are needed. The
                  expected benefits include quicker granting of clearances,
                  elimination of redundant investigations, and financial savings from a
                  reduction in the overall costs of clearances. The initiative consists of
                  three modules:

              •   Electronic Questionnaires for Investigations Processing involves
                  the automation of the Questionnaire for National Security Positions
                  (Standard Form 86). This paper-based form requires at least 2 hours
                  to complete, and some federal employees are required to fill it out as
                  often as every few months to maintain their security clearances.
                  Since the current form is processed manually, it must be completed
                  each time from scratch. In contrast, the electronic version of the
                  form will be populated with previously submitted data, thereby
                  streamlining the application process. In addition, a new form has
                  been deployed that allows federal employees to indicate that there
                  have been no changes in the data provided on the most recently
                  filed Standard Form 86, or, where there are changes, to provide only
                  the newly changed information.

              •   Clearance Verification System consists of the development and
                  implementation of a cross-agency system to enable a single search
                  to locate investigative and clearance information from any agency.
                  This module requires civilian agencies to load their existing
                  clearance information into OPM’s Security/Suitability Investigations
                  Page 8                                                      GAO-03-1169T
    Index so that new clearance applications can be checked against
    existing information. The module also includes developing a link to
    the Department of Defense’s Joint Personnel Adjudication System to
    access comparable DOD information.

•   Imaging includes the creation, storage, and retrieval of digital
    images of investigative reports and other documents. Often, the
    longest delay in an investigation can be the retrieval, copying, and
    mailing of previous reports. The use of imaging is intended to ease
    retrieval and dissemination of investigative information for
    authorized users.

    Currently, OPM states that all major milestones for this initiative
    have been met, including

•   activating Electronic Questionnaires for Investigations Processing in
    June 2003;

•   completing the Clearance Verification System connection between
    OPM and DOD at the end of 2002, and having 80 percent of agencies
    load their existing clearance information into the Clearance
    Verification System at the end of January 2003; and

•   beginning the process of creating digital images of existing
    investigative records by May 2003.

    The requirements for Imaging were developed between the fall of
    2002 and the summer of 2003, and some agencies have begun
    imaging while others will phase in this capability. Additionally, OPM
    plans to implement a secure network for exchanging imaged files by
    early 2004.

    OPM plans several performance improvements for fiscal year 2005,
    including reducing the average time to process clearance forms
    electronically from 28 to 21 days, adding three additional forms to
    the one now available in the Electronic Questionnaires for
    Investigations Processing application, keeping unscheduled
    application downtime at no more than 2 percent, and providing
    training to all e-Clearance staff.

    OPM estimates that e-Clearance will realize savings of $258 million
    through fiscal year 2012. These savings are to be realized through
    avoiding agency-unique systems procurements and through a $50
    reduction in the average cost of each clearance investigation.

    Page 9                                                      GAO-03-1169T
Enterprise Human Resources Integration
                            The purpose of the Enterprise Human Resources Integration (EHRI)
                            initiative is to facilitate human capital management activities by
                            providing storage, access, and exchange of standard electronic
                            information, through development of a data repository of
                            standardized core human capital data for all 1.8 million executive
                            branch employees. These data will be in the form of an Official
                            Electronic Record, which is intended to replace the current paper-
                            based Official Personnel File. An Official Electronic Record for each
                            employee is to be maintained through electronic exchange of
                            information among agencies throughout an employee’s government
                            career. Because all EHRI information exchanges will be electronic,
                            OPM expects to reduce process cycle times, and improve the
                            accuracy of transactions.

                            The three primary goals of EHRI are to

                        •   provide for comprehensive knowledge management and workforce
                            analysis, forecasting, and reporting to further strategic management
                            of human capital across the executive branch;

                        •   enable expanded electronic exchange of standardized human
                            resources data within and across agencies and systems and the
                            attainment of associated benefits and cost savings; and

                        •   provide unification and consistency in human capital data across the
                            executive branch.

                            OPM plans to implement EHRI in three releases. Release 1 will be a
                            prototype of the data repository system and is scheduled to be ready
                            by September 30, 2003. Release 2, scheduled for the second quarter
                            of fiscal year 2004, is intended to allow biweekly employee data to
                            be provided electronically. Release 3 is planned to incorporate
                            interfaces between OPM’s Retirement System Modernization system
                            and e-Training and to allow two-way electronic transfer of personnel
                            data between agencies. The system functionality is to be
                            incrementally available between March and September 2004.

                            OPM plans to improve performance for fiscal year 2004 in areas
                            such as personnel management, savings and cost avoidance, and
                            data reliability and quality. For example, it intends to alter
                            regulations, executive orders, and laws to enable the conversion of
                            records to an electronic format. Another planned measure involves
                            eliminating the need for agencies to develop new human capital

                            Page 10                                                   GAO-03-1169T
                 management capabilities. Other measures include a reduction in the
                 baseline data error rate and participation by 9 of the 18 partner
                 agencies in electronic workforce forecasting. OPM reported that
                 EHRI would save taxpayers around $235 million through fiscal year
                 2012.


e-Training
                 The purpose of the e-Training initiative is to create a government-
                 wide e-Training environment—the Gov On-line Learning Center
                 (www.golearn.gov)—which is to support the development of the
                 federal workforce and provide a single source for on-line training
                 and strategic human capital development for all federal employees.
                 The Gov On-line Learning Center is designed to provide users access
                 to a broad range of products and services, including mandatory
                 government-wide training on topics such as computer security,
                 ethics, and preventing sexual harassment, as well as agency-specific
                 training and high-interest topics, such as homeland security. Some
                 of the courses are to be free, while others are to be available on a
                 fee-for-service basis.

                 OPM also plans for the GoLearn Web site to provide tools that will
                 allow human capital specialists and employees to match an
                 employee’s professional and individual development to available
                 courses and services. OPM expects that its initiative will allow
                 agencies to focus their own training efforts on unique needs, thus
                 maximizing the effectiveness of their expenditures on workforce
                 performance. Providing agencies with on-demand e-learning
                 services is expected to enable the government to better attract,
                 retain, manage, and continuously educate the highly skilled
                 professionals needed for a flexible and high-performing government
                 workforce.

                 The e-Training initiative is intended to benefit the government and
                 federal workforce by

             •   encouraging e-training investments as part of a systematic and
                 continuous development of federal government human capital;

             •   reducing redundancies in the development and purchase of
                 e-training content;

             •   achieving economies of scale through consolidated purchasing;


                 Page 11                                                   GAO-03-1169T
            •   offering easy, one-stop access to a robust, high quality e-training
                environment; and

            •   leveraging components of existing e-training systems.

                The e-Training Initiative is composed of three developmental
                modules. Module 1, launched in July 2002, included 37 free
                commercial off-the-shelf training courses (on topics such as project
                management, prevention of sexual harassment, using Microsoft
                Excel spreadsheet software, and change management); “Search and
                Select,” a set of quick 5 to 7 minute learning segments; and “E-
                Books,” a collection of over 100 professional journals and books.
                Module 2, launched in January 2003, added access to additional free
                commercial and government courses, fee-for-service options for
                e-training products and services, enhanced registration and
                reporting, and blended learning options for law enforcement
                training and executive and management training. Finally, Module 3,
                originally scheduled for June 2003, recently became operational.
                OPM states that this module will include a Merit Systems Principles
                e-course, as well as competency-based workforce development
                roadmaps specifically for IT workforce occupations. According to
                OPM, future releases of the Gov Online Learning Center will move
                from providing content to facilitation of learning. The agency also
                plans to introduce knowledge domains, user communities of
                practice, and virtual collaboration tools.

                OPM estimated that e-Training would save taxpayers about $784
                million through 2012. These savings are expected from the lower
                cost associated with providing on-line training, such as savings
                resulting from less travel. OPM expects to have 30 customized Web
                sites in operation for fiscal year 2004. Its goal is to have 77,000
                courses completed and 48 sites developed. It is planning to measure
                performance of the e-Training initiative through indicators such as
                the number of eligible GoLearn users, the number of participating
                entities, the number of GoLearn courses completed and the number
                of custom sites. For example, OPM plans to increase the number of
                individuals registered on the GoLearn site from 142,000 to 193,000.


e-Payroll
                The goal of the e-Payroll initiative is to substantially improve federal
                payroll operations by standardizing them across all agencies,
                integrating them with other human resource functions, and making
                them easy to use and cost-effective. To achieve this goal, plans are
                Page 12                                                     GAO-03-1169T
    to consolidate the operations of 22 existing federal payroll system
    providers, simplify and standardize federal payroll policies and
    procedures, and better integrate payroll with other human capital
    and finance functions across federal agencies.

    Major objectives of the initiative include (1) defining governance for
    the initiative, (2) standardizing payroll policies, (3) establishing an
    e-Payroll enterprise architecture, and (4) overseeing consolidation
    of agency payroll operations. The first major project deliverable—
    establishing governance—was completed in April 2002 as
    scheduled. OPM chose four agencies to be providers of payroll
    services to all 116 executive branch agencies. The four selected
    providers are the General Services Administration (GSA) and the
    Departments of Defense, Interior, and Agriculture. The initiative is
    divided into two major phases:

•   migrating each of the 18 nonselected payroll system providers to
    one of the four selected providers by September 2004, and

•   merging the functions of the four selected payroll providers into just
    two, while working to develop a single, integrated payroll system for
    all executive branch agencies.

    Although providers have been selected and a migration schedule
    established for nonselected agencies, other actions have been
    delayed. Standardization of policies, originally scheduled for
    completion in July 2002, is currently ongoing. The enterprise
    architecture planning task and the initial phase of agency
    consolidations were both scheduled to begin in October 2002 but
    were not initiated until January 2003. According to the project
    manager, these schedule deviations have not led to a significant
    delay in the overall progress of the initiative toward the original goal
    of consolidating the 22 payroll providers to 4 by September 2004.

    OPM reported that e-Payroll should save $1.1 billion through fiscal
    year 2012. These savings would result from reducing operating
    costs, eliminating duplicative systems investments, and simplifying
    payroll processing. OPM plans to use several indicators to measure
    performance and improvements regarding e-Payroll for fiscal year
    2005, including reductions in payroll costs per W-2 per employee,
    improvements in the accuracy of Treasury disbursements, and
    reductions in response time. Currently, the cost of payroll services
    per W-2 per employee can vary from $125 to $225. OPM’s plan is to
    lower these costs to $97. Other planned improvements include
    increasing the accuracy of Treasury’s disbursements from 98
    Page 13                                                     GAO-03-1169T
                           percent to 100 percent and reducing the cycle time involved in
                           delivering payroll services.


OPM Faces Significant Challenges in Implementing Its e-Government
Initiatives
                           OPM’s portfolio of e-gov initiatives represents an ambitious attempt
                           to transform the way human capital functions and services are
                           carried out in the federal government. In implementing the
                           initiatives, OPM faces a number of challenges that, if not fully met,
                           could erode support for the initiatives or prevent OPM from meeting
                           its objectives and realizing the improvements and dollar savings that
                           the agency has projected. We have commented in the past on the
                           many challenges facing e-government projects in general.8 Today, I’d
                           like to concentrate on three challenges that are especially pressing
                           for OPM’s efforts. These include (1) managing accelerated
                           acquisitions, (2) achieving governmentwide consolidation of
                           common electronic functions, and (3) estimating and measuring
                           cost savings.


Managing Accelerated Acquisitions
                           Program managers for many of the 25 OMB-sponsored
                           e-government initiatives have been under pressure, both from OMB
                           and within managing partner agencies, to achieve results quickly.
                           One of the criteria for OMB’s selection of its e-government
                           initiatives was the potential for the project to be completed “within
                           18–24 months.” In order to meet the demand for quick results,
                           significant alterations have been made to the acquisition plans for
                           several initiatives.

                           For example, in the case of the e-Authentication initiative, which is
                           focused on developing a centralized gateway for electronic
                           authentication in support of the other OMB-sponsored initiatives, a
                           decision was made to compress to approximately 3 months the
                           competitive contracting process, which had originally been planned
                           to take place over a full year. The major factor in this decision was
                           the perceived need to make the planned gateway fully operational as
                           soon as possible. However, this accelerated schedule may be
                           difficult to achieve because it is based on an extremely short time
                           8
                            U.S. General Accounting Office, Electronic Government: Challenges Must Be Addressed With
                           Effective Leadership and Management, GAO-01-959T (Washington, D.C.: July 11, 2001).

                           Page 14                                                                          GAO-03-1169T
frame, in which the selected contractor must develop, test, and
deploy a fully operational gateway.

In the case of the Geospatial One-Stop initiative, which aims to
establish a Web portal for locating and disseminating geospatial
information, the initiative’s board of directors decided in early 2003
to make an award based on an unsolicited proposal rather than
continue a competitive procurement, largely because of a perceived
need to implement the Web portal as quickly as possible. The
change in acquisition plans has caused concern among many in the
geospatial information systems community that the contractor’s
proprietary approach to developing the Web portal could make it
difficult for many potential contributors to share data with the
portal—which would prevent the initiative from meeting its goal of
providing one-stop access to geospatial data.

OPM has likewise taken a controversial step with its recent
Recruitment One-Stop acquisition. In its decision to continue with
its awarded contract for Recruitment One-Stop, despite a successful
bid protest by Symplicity Corporation, OPM officials perceived the
need to implement an e-government initiative as quickly as possible
to be one factor outweighing the importance of issues that we raised
concerning the conduct of the procurement. In its letter to us
explaining why it intended to proceed without implementing our
recommendation, OPM made clear that it was concerned about
implementing Recruitment One-Stop quickly: “The [Recruitment
One Stop] program is ready to become operational. National
security demands and critical domestic needs underlie the
Government’s vital need for efficient recruitment and hiring
methods. No other contractor can complete the system within the
Government’s required timeframe.” However, in our report to
Congress, we noted that OPM did not provide any details to support
this claim. While it is important to adhere to agreed-upon schedules
and milestones, it is also important to follow established contracting
procedures, which are intended to ensure fair competition. A rapidly
chosen vendor may not represent the best value for the
government’s investment.

By leaving questions about the fairness of the Recruitment One-Stop
competition unresolved, OPM risks alienating potential supporters
of its e-government initiative. In order to ensure the ultimate
success of its initiatives, it is important that OPM—as well as the
other managing partners of OMB-sponsored initiatives—carefully
weigh the risks and benefits of making significant changes to its

Page 15                                                    GAO-03-1169T
                          planned acquisitions solely based on the need to produce results
                          quickly.


Achieving Governmentwide Consolidation of Common Electronic Functions
                          Each of OPM’s five initiatives aims to ultimately create a single
                          system or Web-based service to support a specific human capital
                          function across the federal government. In each case, agency-unique
                          systems and processes must be either replaced or integrated into
                          the planned single system. Clearly, one of OPM’s biggest challenges
                          is managing the process of migrating agency-unique systems into
                          consolidated systems and services that are flexible enough to
                          effectively support the needs of virtually all federal agencies.

                          Many current federal human capital systems are based on
                          proprietary systems that were originally developed for the narrowly
                          defined needs of a single agency or bureau. These systems were not
                                                         9
                          designed to be interoperable with external systems, and generally
                          were not built to government standards (which have not yet been
                          defined for many human capital functions). The development of
                          systems based on narrowly defined needs, combined with
                          traditional barriers to interorganizational cooperation, have led to
                          the current environment of duplicative, inefficient, nonintegrated
                          (“siloed”) operations.

                          One way to encourage interagency cooperation on multiple systems
                          migrations is to develop a concerted strategy for managing change
                          and communicating effectively with all affected parties. In June
                          2002, OPM submitted to OMB its change management and
                          communication plan, which specified steps that OPM planned to
                          take in managing change and communications. In implementing its
                          plan, OPM established change management councils and delivered
                          presentations on its plans for specific initiatives, as well as for
                          governmentwide integration of human capital functions, to a range
                          of audiences, including high-level officials (such as the
                          e-Government committee of the President’s Management Council
                          and the Chief Human Capital Officers Council) and line managers
                          (such as human resource managers).

                          Effective change management and communication will be critical,
                          as agencies may be required to take positive action to both to shut

                          9
                           Interoperability is the ability of two or more systems or components to exchange information and to
                          use the information exchanged.

                          Page 16                                                                              GAO-03-1169T
down existing redundant systems and invest in new technology to
connect with OPM’s standardized systems. OPM is planning for
agencies to shut down a number of agency-unique systems and
applications. For example, the e-Payroll initiative is set to reduce
federal payroll providers from the current 22 to just two
partnerships of two providers each. Nonselected payroll providers
will be required to shut down operations. Another example is the
Recruitment One-Stop initiative, which envisions that agency on-line
resume building and job search engine capabilities will be shut
down in favor of OPM’s centralized system. The e-Training initiative
also plans for agencies to shut down their unique systems in favor of
OPM’s offering.

Consolidation may also mean that agencies must make new
investments in order to connect with a new, integrated system. The
e-Clearance initiative, for example, requires all agencies with
archives of clearance investigations to make those materials
available electronically, thus necessitating agency expenses for new
imaging equipment. Likewise, EHRI will require agencies to make
modifications to their systems allowing electronic personnel records
to be transmitted to OPM’s central repository. Getting cooperation
from all affected agencies in making these investments will be
challenging.

OMB’s support is a critical factor in facilitating these consolidations.
For several e-government initiatives, OMB has used its statutory
                                                 10
authority under the Clinger-Cohen Act of 1996 to direct agencies to
identify and halt funding of potentially redundant IT investments.
For example, OMB issued on January 10, 2003, a letter to federal
agencies directing them to halt spending on agency-specific payroll
modernization efforts not associated with migrating to the e-Payroll
initiative. A similar letter had been issued in April 2002 directing
agencies to load their security clearance information into
e-Clearance’s Clearance Verification System.

Beyond issues of organizational cooperation, technical integration
can also be very challenging. Developing a common set of standards
that are agreed to and used by all project partners is a key factor for
integrating disparate, noninteroperable systems and services.
Ensuring that processes are in place by which partners can select
and agree upon standards and that all partners are adopting them
are key factors in successfully establishing standards. Finally,
standardization within the framework of the emerging Federal

10
     P.L. No. 104-106.

Page 17                                                     GAO-03-1169T
Enterprise Architecture is key to promoting compliant development
and implementation across the government. OPM officials said they
plan to use the Federal Enterprise Architecture to document
specific data requirements for the human capital functions
supported by their e-government initiatives.

OPM has taken steps to involve its partners and other federal
agencies in the process of identifying opportunities for
standardization on the e-Payroll initiative. However, it still faces the
challenging task of getting federal agencies to reach agreement on a
single payroll standard that they all can use. As agencies migrate
ultimately to this single standard, changes may need to be made
either to provider payroll processes and standards—so that the
various payroll mandates can be accommodated—or to the
mandated requirements themselves, so that agencies can conform to
the single-payroll standard. For example, the Department of
Veterans Affairs’ Acting Deputy Assistant Secretary for Finance
expressed concern that administering payroll systems under Title 38
                            11
of the United States Code —the legislation that governs the
agency’s payroll processes—was very complex, and that significant
changes in payroll processing could be necessary as the agency
migrates to its new payroll provider. According to an OPM study, in
addition to Title 38, there are at least 13 other sets of legislated
federal payroll provisions that will need to be reviewed and
addressed before a single federal payroll system can be
implemented.12 Without agreement on standards, changes mandated
by OPM may not fully address agencies’ individual payroll
processing requirements, increasing the risk that agencies will not
be able to migrate as planned to the chosen governmentwide
standard.

OPM may face similar challenges in establishing standards for
official electronic personnel records, as part of EHRI. OPM officials
conducted an exercise to identify all the various types of data
captured by federal personnel forms. OPM officials identified 89
major data categories, with over 500 data elements. OPM officials
recognize the challenge they face in seeking agreement across
federal agencies on standardizing these data elements, a process
which is still in its early stages.



11
     38 U.S.C, Part V, Chapter 74—Veterans Health Administration—Personnel.
12
 Office of Personnel Management, e-Payroll Initiative: Plan for Standardization of Federal Payroll
Policy, Revision 1 (Washington, D.C.: Jan. 13, 2003).

Page 18                                                                            GAO-03-1169T
                           While it is relatively easy to develop and implement Web sites that
                           facilitate exchange of information—as some of OPM’s initiatives
                           do—the agency can expect greater challenges in getting cooperation
                           across the government to consolidate functions by shutting down
                           redundant systems, investing in new technologies, and committing
                           to new governmentwide standards. For several of OPM’s
                           initiatives—including e-Payroll and EHRI—much of this process still
                           remains to be completed.


Estimating and Measuring Cost Savings
                           One of the goals of OMB’s e-government strategy includes achieving
                           cost savings as an outcome of implementing the 25 e-government
                           initiatives. For example, in its 2002 strategy OMB estimated that
                           these initiatives could generate several billion dollars in savings by
                           reducing operating inefficiencies, redundant spending, and
                           excessive paperwork, and it also estimated that the initiatives would
                           make available over $1 billion in savings from realigning redundant
                           investments. In addition, OMB has stated that the initiatives were
                           selected for inclusion in the e-government strategy because they
                           provided the most value to citizens while generating cost savings or
                           improving the effectiveness of the government.

                           OPM has estimated substantial cost savings that officials believe can
                           be attributed to the e-government initiatives. Specifically, the agency
                           estimates that the total savings expected from all five of its
                           e-government initiatives will be more than $2.6 billion through fiscal
                           year 2012. Such savings would be realized through performance
                           enhancements that could reduce expenses such as costs per
                           application for security clearances, costs per transaction for payroll
                           processing, and costs associated with hiring new federal employees.
                           Table 3 provides an overview of the cost savings estimated by OPM
                           for its initiatives.


                           Table 3: Estimated Cost Savings from Performance Enhancements
                                                      Projected
                                          Estimated   return on      Planned fiscal year 2005 financial
                            Initiative    savings     investment     performance enhancements
                            Recruitment   $365
                            One-Stop      million     710 percent    Reduce cost per hire
                                          $258                       Reduce cost per security clearance
                            e-Clearance   million     440 percent    application




                           Page 19                                                            GAO-03-1169T
                                         Projected
                     Estimated           return on     Planned fiscal year 2005 financial
 Initiative          savings             investment    performance enhancements
 Enterprise
 Human
 Resources           $235                              Reduce cost per transaction due to
 Integration         million             51 percent    reduction in manual paper processing
                     $784                              Reduce tuition and travel-related costs
 e-Training          million             262 percent   for participating agencies
                                                       Reduce cost per payroll transaction per
 e-Payroll           $1.1 billion        155 percent   employee
Source: GAO analysis of OPM documents.



OPM faces a significant challenge in realistically estimating the
financial savings to be derived from its e-government initiatives. In
many cases, estimated cost savings associated with process
improvements are only loosely based on measures that are
inherently abstract, such as the average cost of performing a certain
function across the government. For example, e-Training project
officials estimate that federal agencies can reduce training costs
substantially by substituting electronic courses taken through
e-Training—which cost approximately $10 to $15 per training
instance—for traditional courses, which cost on average $150 per
training instance, including travel. However, it is unclear the extent
to which this kind of substitution will actually take place, or how it
could lead to savings of $784 million through 2012, as forecast by
OPM. The e-Training project manager told us that the estimate was
based on cost avoidance for training tuition, travel, and economies
of scale in acquiring training software licenses.

Similarly, for the Recruitment One-Stop initiative, project officials
predict that implementation will lead to a reduction in the average
cost of hiring a new federal employee of $112 in fiscal year 2005—
from $2,790 to $2,678, or about 4 percent. With about 150,000 new
federal hires each year, the total savings through 2012 would
amount to about $168 million—significantly less than the total cost
savings of $365 million over that period that OPM estimates.
According to OPM officials, the additional savings would be gained
through other factors contributing to future efficiencies, although
specific performance measures had not yet been established.

OPM’s method for projecting cost savings due to process
improvements may overstate the savings that can be reasonably
attributed to those improvements. Specifically, officials stated that
for at least one initiative, Recruitment One-Stop, estimated savings
included continuing annual efficiency gains due to such things as


Page 20                                                                          GAO-03-1169T
expected “policy improvements” that would not be a direct result of
implementing the Recruitment One-Stop initiative.

Further, OPM has not developed mechanisms to track actual
training expenditures at agencies to determine whether its
estimated governmentwide savings are being realized. With
estimated savings based on abstract, average governmentwide costs,
it will likely be very difficult to develop methods for documenting
the savings associated with process streamlining at each agency
across the federal government. In another example, e-Payroll is
planned to reduce the number of federal payroll service providers
from 22 to 4, and then consolidate those 4 to 2. Clearly, cost savings
can be found by reducing the number of payroll systems operated
and maintained by the federal government and avoiding the costs of
updating or modernizing those systems. However, OPM has not
clearly identified all the factors that would contribute to such
savings, or what measures will be used to measure them. Cost
savings from eliminating redundant systems is also a factor—though
a smaller one—in savings projected for Recruitment One-Stop and
e-Training.

Effectively measuring e-government cost savings is a challenge for
all agencies engaged in efforts to streamline or transform
government processes through e-government. To be truly effective
in meeting the goals set out in OMB’s e-government strategy,
agencies need to establish complete, meaningful, and quantitative
measures of cost savings. Until such measures can be implemented,
predicted cost savings will be difficult to confirm.


In summary, OPM has made progress in moving forward with its five
e-government initiatives, which, if fully implemented, could have
significant benefits by providing more streamlined and seamless
federal personnel processes, and by saving the taxpayers millions
through eliminating redundant payroll and other systems. However,
OPM continues to face several challenges in implementing and
carrying out its e-government initiatives, including managing
acquisitions while working to meet accelerated e-government
project schedules; consolidating common, governmentwide human
resource-related functions; and realistically estimating and
measuring the cost savings that can be expected from these
initiatives.




Page 21                                                    GAO-03-1169T
                    Mr. Chairman, this concludes my statement. I would be pleased to
                    answer any questions that you or other members of the
                    subcommittee may have at this time.


Contact and Acknowledgements
                    If you should have any questions about this testimony, please
                    contact me at (202) 512-6240 or via E-mail at koontzl@gao.gov. Other
                    major contributors to this testimony included Barbara Collier,
                    Felipe Colón, Jr., Larry Crosland, John de Ferrari, and Elizabeth
                    Roach.




                    Page 22                                                  GAO-03-1169T
Attachment I: Selected GAO Products Related to Electronic Commerce
and Electronic Government
Electronic Commerce
                      Internet Cigarette Sales: Limited Compliance and Enforcement of
                      the Jenkins Act Result in Loss of State Tax Revenue. GAO-03-714T.
                      Washington, D.C.: May 1, 2003.

                      Electronic Procurement: Business Strategy Needed for GSA’s
                      Advantage System. GAO-03-328. Washington, D.C.: February 19,
                      2002.

                      Internet Gambling: An Overview of the Issues. GAO-03-89.
                      Washington, D.C.: December 2, 2002.

                      International Electronic Commerce: Definitions and Policy
                      Implications. GAO-02-404. Washington, D.C.: March 1, 2002.

                      Electronic Commerce: Small Business Participation in Selected
                      On-line Procurement Programs. GAO-02-1. Washington, D.C.:
                      October 29, 2001.

                      On-Line Trading: Investor Protections Have Improved but
                      Continued Attention Is Needed. GAO-01-858. Washington, D.C.: July
                      20, 2001.

                      Internet Pharmacies: Adding Disclosure Requirements Would Aid
                      State and Federal Oversight. GAO-01-69. Washington, D.C.: October
                      19, 2000.

                      Sales Taxes: Electronic Commerce Growth Presents Challenges;
                      Revenue Losses Are Uncertain. GGD/OCE-00-165. Washington, D.C.:
                      June 30, 2000.

                      Commodity Exchange Act: Issues Related to the Regulation of
                      Electronic Trading Systems. GGD-00-99. Washington, D.C.: May 5,
                      2000.

                      Trade with the European Union: Recent Trends and Electronic
                      Commerce Issues. GAO/T-NSIAD-00-46. Washington, D.C.: October
                      13, 1999.


                      Page 23                                                GAO-03-1169T
                           Electronic Banking: Enhancing Federal Oversight of Internet
                           Banking Activities. GAO/T-GGD-99-152. Washington, D.C.: August
                           3, 1999.

                           Electronic Banking: Enhancing Federal Oversight of Internet
                           Banking Activities. GAO/GGD-99-91. Washington, D.C.: July 6, 1999.

                           Securities Fraud: The Internet Poses Challenges to Regulators and
                           Investors. GAO/T-GGD-99-34. Washington, D.C.: March 22, 1999.

                           Retail Payments Issues: Experience with Electronic Check
                           Presentment. GAO/GGD-98-145. Washington, D.C.: July 14, 1998.

                           Identity Fraud: Information on Prevalence, Cost, and Internet
                           Impact is Limited. GAO/GGD-98-100BR. Washington, D.C.: May 1,
                           1998.

                           Electronic Banking: Experiences Reported by Banks in
                           Implementing On-line Banking. GAO/GGD-98-34. Washington,
                           D.C.: January 15, 1998.


Electronic Government—Agency-Specific Initiatives
                           IRS’s 2002 Tax Filing Season: Returns and Refunds Processed
                           Smoothly; Quality of Assistance Improved. GAO-03-314.
                           Washington, D.C.: December 20, 2002.

                           Tax Administration: Electronic Filing’s Past and Future Impact
                           on Processing Costs Dependent on Several Factors. GAO-02-205.
                           Washington, D.C.: January 10, 2002.

                           GSA On-Line Procurement Programs Lack Documentation and
                           Reliability Testing. GAO-02-229R. Washington, D.C.: December 21,
                           2001.

                           U.S. Postal Service: Update on E-Commerce Activities and Privacy
                           Protections. GAO-02-79. Washington, D.C.: December 21, 2001.

                           Computer-Based Patient Records: Better Planning and Oversight
                           By VA, DOD, and IHS Would Enhance Health Data Sharing. GAO-
                           01-459. Washington, D.C.: April 30, 2001.

                           USDA Electronic Filing: Progress Made, But Central Leadership
                           and Comprehensive Implementation Plan Needed. GAO-01-324.
                           Washington, D.C.: February 28, 2001.
                           Page 24                                                GAO-03-1169T
                         U.S. Postal Service: Postal Activities and Laws Related to
                         Electronic Commerce. GAO/GGD-00-188. Washington, D.C.:
                         September 7, 2000.

                         U.S. Postal Service: Electronic Commerce Activities and Legal
                         Matters. GAO/T-GGD-00-195. Washington, D.C.: September 7, 2000.

                         Defense Management: Electronic Commerce Implementation
                         Strategy Can Be Improved. GAO/NSIAD-00-108. Washington, D.C.:
                         July 18, 2000.

                         Food Stamp Program: Better Use of Electronic Data Could Result
                         in Disqualifying More Recipients Who Traffic Benefits.
                         GAO/RCED-00-61. Washington, D.C.: March 7, 2000.

                         National Archives: The Challenge of Electronic Records
                         Management. GAO/T-GGD-00-24. Washington, D.C.: October 20,
                         1999.

                         National Archives: Preserving Electronic Records in an Era of
                         Rapidly Changing Technology. GAO/GGD-99-94. Washington, D.C.:
                         July 19, 1999.


Electronic Government—General
                         Geographic Information Systems: Challenges to Effective Data
                         Sharing. GAO-03-874T. Washington, D.C.: June 10, 2003.

                         Electronic Government: Success of the Office of Management and
                         Budget’s 25 Initiatives Depends on Effective Management and
                         Oversight. GAO-03-495T. Washington, D.C.: March 13, 2003.

                         Electronic Government: Selection and Implementation of the
                         Office of Management and Budget’s 24 Initiatives. GAO-03-229.
                         Washington, D.C.: November 22, 2002.

                         Electronic Government: Proposal Addresses Critical Challenges.
                         GAO-02-1083T. Washington, D.C.: September 18, 2002.

                         Information Management: Update on Implementation of the 1996
                         Electronic Freedom of Information Act Amendments. GAO-02-493.
                         Washington, D.C.: August 30, 2002.




                         Page 25                                                 GAO-03-1169T
Information Technology: OMB Leadership Critical to Making
Needed Enterprise Architecture and E-government Progress. GAO-
02-389T. Washington, D.C.: March 21, 2002.

Electronic Government: Challenges to Effective Adoption of the
Extensible Markup Language. GAO-02-327. Washington, D.C.: April
5, 2002.

Information Resources Management: Comprehensive Strategic
Plan Needed to Address Mounting Challenges. GAO-02-292.
Washington, D.C.: February 22, 2002.

Elections: Perspectives on Activities and Challenges Across the
Nation. GAO-02-3. Washington, D.C.: October 15, 2001.

Electronic Government: Better Information Needed on Agencies’
Implementation of the Government Paperwork Elimination Act.
GAO-01-1100. Washington, D.C.: September 28, 2001.

Electronic Government: Challenges Must Be Addressed With
Effective Leadership and Management. GAO-01-959T. Washington,
D.C.: July 11, 2001.

Electronic Government: Selected Agency Plans for Implementing
the Government Paperwork Elimination Act. GAO-01-861T.
Washington, D.C.: June 21, 2001.

Information Management: Electronic Dissemination of
Government Publications. GAO-01-428. Washington, D.C.: March 30,
2001.

Information Management: Progress in Implementing the 1996
Electronic Freedom of Information Act Amendments. GAO-01-378.
Washington, D.C.: March 16, 2001.

Regulatory Management: Communication About Technology-
Based Innovations Can Be Improved. GAO-01-232. Washington,
D.C.: February 12, 2001.

Electronic Government: Opportunities and Challenges Facing the
FirstGov Web Gateway. GAO-01-87T. Washington, D.C.: October 2,
2000.




Page 26                                                 GAO-03-1169T
                        Electronic Government: Government Paperwork Elimination Act
                        Presents Challenges for Agencies. GAO/AIMD-00-282. Washington,
                        D.C.: September 15, 2000.

                        Internet: Federal Web-based Complaint Handling. GAO/AIMD-00-
                        238R. Washington, D.C.: July 7, 2000.

                        Federal Rulemaking: Agencies’ Use of Information Technology to
                        Facilitate Public Participation. GAO/GGD-00-135R. Washington,
                        D.C.: June 30, 2000.

                        Electronic Government: Federal Initiatives Are Evolving Rapidly
                        But They Face Significant Challenges. GAO/T-AIMD/GGD-00-179.
                        Washington, D.C.: May 22, 2000.

                        Information Technology: Comments on Proposed OMB Guidance
                        for Implementing the Government Paperwork Elimination Act.
                        GAO/AIMD-99-228R. Washington, D.C.: July 2, 1999.


Electronic Signatures
                        Bank Regulators’ Evaluation of Electronic Signature Systems.
                        GAO-01-129R. Washington, D.C.: November 8, 2000.

                        Electronic Signature: Sanction of the Department of State’s
                        System. GAO/AIMD-00-227R. Washington, D.C.: July 10, 2000.


Internet
                        Internet Management: Limited Progress on Privatization Project
                        Makes Outcome Uncertain. GAO-02-805T. Washington, D.C.: June
                        12, 2002.

                        Telecommunications: Characteristics and Competitiveness of the
                        Internet Backbone Market. GAO-02-16. Washington, D.C.: October
                        16, 2001.

                        Telecommunications: Characteristics and Choices of Internet
                        Users. GAO-01-345. Washington, D.C.: February 16, 2001.

                        Telecommunications: Technological and Regulatory Factors
                        Affecting Consumer Choice of Internet Providers. GAO-01-93.
                        Washington, D.C.: October 12, 2000.


                        Page 27                                                GAO-03-1169T
           Department of Commerce: Relationship with the Internet
           Corporation for Assigned Names and Numbers. GAO/OGC-00-33R.
           Washington, D.C.: July 7, 2000.


Privacy
           Internet Privacy: Implementation of Federal Guidance for Agency
           Use of “Cookies.” GAO-01-424. Washington, D.C.: April 27, 2001.

           Record Linkage and Privacy: Issues in Creating New Federal
           Research and Statistical Information. GAO-01-126SP. Washington,
           D.C.: April 2001.

           Internet Privacy: Federal Agency Use of Cookies. GAO-01-147R.
           Washington, D.C.: October 20, 2000.

           Internet Privacy: Comparison of Federal Agency Practices with
           FTC’s Fair Information Principles. GAO-01-113T, Washington,
           D.C.: October 11, 2000.

           Internet Privacy: Comparison of Federal Agency Practices with
           FTC’s Fair Information Principles. GAO/AIMD-00-296R.
           Washington, D.C.: September 11, 2000.

           Internet Privacy: Agencies’ Efforts to Implement OMB’s Privacy
           Policy. GAO/GGD-00-191. Washington, D.C.: September 5, 2000.

           Social Security Numbers: Subcommittee Questions Concerning the
           Use of the Number for Purposes Not Related to Social Security.
           GAO/HEHS/AIMD-00-253R. Washington, D.C.: July 7, 2000.


Security
           Electronic Government: Challenges to the Adoption of Smart Card
           Technology. GAO-03-1108T. Washington, D.C.: September 9, 2003.

           Electronic Government: Progress in Promoting Adoption of Smart
           Card Technology. GAO-03-144. Washington, D.C.: January 3, 2003.

           Computer Security: Weaknesses Continue to Place Critical Federal
           Operations and Assets at Risk. GAO-01-600T. Washington, D.C.:
           April 5, 2001.



           Page 28                                               GAO-03-1169T
           Information Security: Advances and Remaining Challenges to
           Adoption of Public Key Infrastructure Technology. GAO-01-277.
           Washington, D.C.: February 26, 2001.

           Information Security: IRS Electronic Filing Systems. GAO-01-306.
           Washington, D.C.: February 16, 2001.




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           Page 29                                               GAO-03-1169T
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