GAO Says Food Safety, Toxic Chemical, Rail Programs at Risk for Fraud, Waste
The Government Accountability Office has released its biennial update to its list of federal programs and operations at "high risk" for waste, fraud, abuse, and mismanagement or needing broad-based transformation. A total of 30 programs and operations are on GAO's 2011 list, including federal food safety oversight, freight rail, and EPA's toxic chemicals assessment.
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(Separately in 2010, the Department of Homeland Security Chief Information Office conducted a review of U.S. Customs and Border Protection's ACE program and rated it as a moderately high risk investment as part of a Screening IT Portfolio Review. See ITT's Online Archive or 10/13/10 news, 10101308, for BP summary.)
New Food Safety Legislation Insufficient to Address Oversight Fragmentation
GAO states that the fragmented nature of federal food safety oversight has caused inconsistent oversight, ineffective coordination, and inefficient use of resources. The Food and Drug Administration (FDA) and U.S. Department of Agriculture (USDA) have primary oversight responsibilities, however, a total of 15 agencies collectively administer at least 30 food-related laws.
To help reduce fragmentation and strengthen the food safety system, the President convened the Food Safety Working Group in 2009 and signed the Food Safety and Modernization Act (FMSA) into law in January 2011. GAO states that while the FMSA has several provisions that require interagency collaboration on food safety oversight, it does not apply to the federal food safety system as a whole or address USDA's authorities, which remain separate and distinct from FDA's. GAO recommends that Congress consider enacting comprehensive, uniform, and risk-based food safety legislation and commissioning a detailed analysis of alternative organizational structures for food safety.
(See ITT's Online Archives or 01/01/11 news, 11010426, for comprehensive BP summary of the FMSA signed into law in January 2011.)
EPA Needs Greater Authority to Obtain Info from Chemical Industry
GAO reports that the EPA's chemical risk assessments are the cornerstone of environmental policies and regulations, such as the Toxic Substances Control Act (TSCA). The TSCA authorizes EPA to obtain information on the risks of chemicals and to control those it determines pose an unreasonable risk.
GAO reports that although the EPA can ban or limit the use of new chemicals that companies introduce into commerce if it finds the required pre-manufacture information to be inadequate. GAO states that, although 85% of the notices lack any health or safety test data, EPA does not often use its authority to obtain more information. GAO has recommended statutory and regulatory changes to TSCA to provide EPA with additional authorities to obtain health and safety information from the chemical industry and to shift more of the burden to chemical companies for demonstrating the safety of their chemicals. GAP urges Congress and EPA to act on these issues.
Freight Rail Demand Expected to Increase but More Federal Investment is Unclear
The federal government has begun to finance freight railroad infrastructure improvements, but the federal role with regard to freight rail is still being defined and its future investment stability is unclear. GAO notes that freight rail currently moves about 40% of the goods shipped nationwide (as measured by ton-miles), and DOT expects the demand for freight rail service to increase 88% by 2035. However, future federal investment decisions will involve trade-offs between potential gains in economic efficiency from freight rail improvements and the benefits of alternative uses of funds.