Summary: The federal government runs a host of programs that often are duplicative and overlapping, reducing the efficiency and the effectiveness of government services. Program consolidation is a promising alternative. During the past year, GAO issued several reports documenting fragmentation and duplication in education programs. This testimony discusses some of the issues that GAO believes are important to efforts to consolidate education programs, emphasizing grant program consolidations. However, Congress has also shown great interest in program consolidations and streamlining across many areas of the federal budget--from defense and international affairs to transportation and welfare. Some consolidations will undoubtedly bring together activities that are entirely federal in nature. Yet many program consolidations being debated would merge smaller, more narrowly defined federal grant programs into larger programs of state and locally run federal assistance. It is expected that the new programs will operate as partnerships with state and local governments in which federal funding will be reduced. Accordingly, this testimony stresses the budgetary and other implications of grant consolidations for the federal government.
