Summary: During the next five years, the Coast Guard plans to spend more than $200 million to purchase or build 1,200 houses for its members and their families. GAO found that the Coast Guard has not fully complied with requirements to justify the purchase or construction of nine housing projects for fiscal years 1990 through 1992. Although the Coast Guard documented its need for housing with general statements on local housing conditions, such as high rental costs or too little available housing, GAO found little or no support for these assertions. In addition, the Coast Guard did not adequately analyze alternatives such as leasing for meeting its housing needs. Finally, contrary to requirements in its own housing manual, the Coast Guard did not periodically assess housing market conditions following project approval, which occurs about three years before funding becomes available. Thus, the Coast Guard did not adjust for any changes in housing availability that could have made building or purchasing housing unnecessary.
