Summary: The tremendous size of the investment in the nations' public works programs justifies a critical evaluation of where the programs have been, where they are now, where they are headed, what the accomplishments and shortcomings have been, and whether objectives should be redirected or growth altered. Public works will face tougher competition from other federal programs for limited funds. Therefore, it is imperative that funding requests make the most convincing case that planned projects are clearly needed and cost beneficial. GAO reviews the programs and policies of the federal government and makes recommendations for improvements. It attempts to provide Congress with answers to problems such as: (1) the possibility of eliminating waste and the inefficient use of public money; (2) how federal programs are achieving their objectives; (3) other ways of accomplishing the objectives of these programs at lower costs; and (4) keeping accounting systems adequate to prevent funds from being spent illegally. Public works administrators will encounter significant challenges in the 1980's. Increasing concern over inflation and existing budget and credit constraints will give rise to more serious examination of how limited federal, state, and local funds can be used in the most cost effective way. Water pollution control has grown to be one of the largest public works programs in U.S. history. Greater flexibility in the laws is needed to allow less costly alternatives to some of the projects, as long as the water quality is not materially affected. GAO is particularly concerned with the trend towards constructing expensive advanced waste treatment facilities to prevent violations of water quality standards. Congress has been urged to consider a cost/benefit approach to funding advanced waste treatment projects. Transportation networks present a formidable challenge for public works administrators. Highway systems are deteriorating, particularly the interstate system. The cumulative effects of increasing needs for highway preservation, increased construction and maintenance costs, and lagging revenues necessitates a reassessment of the federal-aid highway program. Traffic congestion, transit deficits, and air pollution are problems which must be studied carefully. Program evaluations will be more stringent in the future, and it is essential for agencies to consider all alternatives and choose the plan which offers the best service at the lowest cost.
