Autopilot Budgeting: Will Congress Ever Respond to Government Performance Data?
Performance report cards grossly underutilized by Congress
June 13, 2006
This hearing to examined the disconnect between the funding levels Congress dispenses to government programs and the performance data of those programs.
A third of all programs rated by OMB have been scored “ineffective” or “results not demonstrated.” These programs spend $152 billion of taxpayer money – dollars that could be spent on more vital priorities or used to pay down the national debt. Yet, Congress routinely ignores this information and automatically funds these programs at the same levels or increased levels every year.
“A Republican-led government will have difficulty promoting an ‘ownership society’ as long as we subsidize an ‘entitlement society’ within the federal government,” Dr. Coburn said. “In the real world, performance affects budgets. Yet, in the federal government, agency heads and appropriators often behave as if programs should receive automatic increases regardless of performance. Congress needs to do what every rational individual or business owner does and use performance data in its budgeting process.”
Dr. Coburn expressed regret that a House Appropriations Committee subcommittee is not merely underutilizing performance data but attempting to silence that data. Last week the House Appropriations subcommittee on Labor, Education and Health and Human Services passed a bill prohibiting program assessments.
“Prohibiting program assessments is a brazen and reckless step that will enable failing programs,” Dr. Coburn said. “If Congress refuses to even measure outcomes of taxpayer funded programs we should not be surprised if the taxpayers vote for someone else to manage their money.”
• The Performance Assessment Rating Tool (or PART) was first introduced in 2002 as a tool to review the strengths and weaknesses of government programs to inform budgeting decisions.
• By 2008, OMB will have applied PART to the entire government. In the last 4 years OMB has reviewed 793 programs which account for $1.47 trillion in taxpayer money and rated 15% “effective”; 29% “moderately effective”; 28% “adequate”; 4% “ineffective”; and 24% cannot demonstrate results to even get a rating.
• Programs rated “ineffective” or “results not demonstrated” account for $152 billion in budget authority and one-third of all programs reviewed thus far.
• Low PART ratings don’t always mean that OMB will recommend a budget cut or put the program on the Terminations List.
• In some cases, programs rated “ineffective” had budget reductions, but in other cases their budgets increased.
• In June 2006 the House Appropriations subcommittee that funds the Departments of Labor, Education and Health and Human Services passed language prohibiting the use of PART assessments on those agencies.
• It seems as if Congress funds federal programs on autopilot without ever considering whether those programs are necessary, have expired, or are duplicated in other agencies.
Impact on Taxpayers:
• Taxpayers are left on the hook to pay for programs that cannot prove their worth as funding decisions are based on the status quo and the volume of lobbyists rather than actual performance data.
• Nondefense discretionary spending has increased over 45% since 2001 and the impending retirement of baby boomers are creating the perfect storm for a financial crisis and taxpayers will likely see tax raises and benefit cuts.
These Findings Demand a Response:
• Every member of a Congressional authorizing or appropriations committee should incorporate PART into oversight work and budgeting decisions.
• Programs that cannot demonstrate value should not continue to receive funding.
• If the PART budget recommendations were enacted, it would save taxpayers $20.4 billion.
• Congress should pass “sunset” legislation which phases out every single government agency, department or program by a certain date if Congress fails to review and reauthorize it or the program consistently performs poorly.
