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NSIAD-83-42 1 (1983-08-15)

handle is hein.gao/gaobabncc0001 and id is 1 raw text is: 


                     UNITED STATES GENERAL ACCOUNTING OFFICE
                             WASHINGTON. D.C. 20548

 NATIONAL SECURITYANO          RESTRICTED - ot to be rele*a8d outgkdG the Generl

IN ENATIONAL AFIS I VISIAN     Actl' 'tV                  ;s oLtz
                               L. I. .ReLations.

     B-207169                                          AUGUST 15, 1983
                                     RELEASED

     The Honorable Charles McC. Mathias, Jr.           ii 11111111111

     United States Senate
                                                          122161
     Dear Senator Mathias:

          Subject: Department of Commerce's Trade Adjustment
                    Assistance Program (GAO/NSIAD-83-42)

          On January 31, 1983, you asked us to investigate
     allegations that the Trade Adjustment Assistance Program has
     not met the needs of several Maryland firms. Pursuant to dis-
     cussions with your office on March 22, 1983, we confined our
     investigation to the particulars involving Hagerstown Leather
     Goods Company, Hagerstown, Maryland. We briefed your office on
     our initial results May 19, 1983, and provided a fact sheet on
     key points. The present report responds to your office's re-
     quest for a summary of our observations.

          The two issues in the Hagerstown case are whether (1) de-
     lays in delivery of technical assistance were exclusively attri-
     butable to the administrators of the program and (2) there was
     justification for requiring Hagerstown's recertification when
     the firm wanted to extend its eligibility period past a 2-year
     limit.

          We concluded that Hagerstown Leather did not receive tech-
     nical assistance in an effective and efficient manner because of
     delays created by all parties. Also, an update of its economic
     status appears necessary because

          --36 months elapsed between the firm's certifica-
            tion and its inquiry about the requirements for
            obtaining further technical assistance, and

          --the latest request was for technical assistance
            which differed from the original, approved ad-
            justment plan.

     Recertification under these circumstances appears to be an
     appropriate course of action.

                                                            (483383)

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