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PAD-77-25 1 (1977-08-30)

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REPORT TO THE HOUSE COMMITTEE

ON THE BUDGET



BY THE COMPTROLLER GENERAL

OF THE UNITED S TA TES


Revolving Funds: Full

Disclosure Needed For

Better Congressional Control


Because of the way some revolving funds are
currently included in the Federal budget, the
total amount of Government activities is
understated--for example, by an estimated
$28 billion in fiscal year 1978.

Inconsistent classification of budget accounts
causes inconsistent reporting for essentially
similar programs.

GAO recommends that revolving funds should
be accounted for differently than -they are
now. This will cause changes in the budget
process, especially in the disclosure of finan-
cial information. GAO also recommends that
common criteria be established for classifica-
tion of budget accounts.


AUGUST 30, 1977


PAD-77-25

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