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USDA Telecommunications: Missed Opportunities to Save Millions

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Report Type Reports and Testimonies
Report Date April 24, 1995
Report No. AIMD-95-97
Subject
Summary:

To its credit, the Agriculture Department (USDA) has identified opportunities to significantly reduce telecommunications costs by consolidating and optimizing its FTS 2000 telecommunications services. However, USDA has not pursued all those options and, as a result, is wasting millions of dollars each year. USDA has hundreds of field offices where multiple USDA agencies, located in the same building or geographic site, obtain and use separate, and often redundant, telecommunications services. USDA officials estimate that the agency could, during the next four years, save up to $800,000 each month--as much as 26 percent of the agency's total annual FTS 2000 telecommunications costs--or a total of $40 million. USDA's Office of Information Resources Management, which manages the agency's telecommunications resources, has not effectively carried out its responsibility to reduce telecommunications costs.

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