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RCED-94-65R 1 (1994-01-25)

handle is hein.gao/gaobackmd0001 and id is 1 raw text is: GAO United States General Accounting Office Washington, D.C. 20548 Resources, Community, and Economic Development Division B-246507 January 25, 1994 The Honorable Max S. Baucus Chairman, Committee on Environment and Public Works United States Senate The Honorable George Miller Chairman, Committee on Natural Resources House of Representatives The Reclamation Projects Authorization and Adjustment Act of 1992, dated October 30, 1992, authorized, among other things, the completion of the Central Utah Project (CUP). Section 211 of the act requires that not later than 1 year after the date that the Secretary of the Interior declares the project substantially complete,1 the Comptroller General of the United States shall audit the allocation of the costs of CUP to irrigation, municipal and industrial, and other project purposes and submit a report to the Secretary and to the Congress. The act also requires that the audit be conducted in accordance with regulations that the Comptroller General shall prescribe. In discussing this matter with staff from the House Committee on Natural Resources--the proponent of the act's provisions regarding GAO's audit--GAO was advised that it was not expected to prescribe regulations. Instead, GAO was expected to develop standards for Interior to follow in developing a cost allocation for CUP. This correspondence relates to the development of the standards. Cost accounting standards dealing with the allocation of costs to project objectives have been published by the Cost Accounting Standards Board, an entity currently existing in the Office of Management and Budget.2 The cost accounting 'The project is not expected to be substantially complete for several years. 2The cost allocation standards are published in title 48 C.F.R., part 9904. GAO/RCED-94-65R, Central Utah Project Cost Allocations

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