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AIMD-99-198R 1 (1999-05-18)

handle is hein.gao/gaobacnad0001 and id is 1 raw text is: United States General Accounting Office Washington, D.C. 20548 Accounting and Information Management Division B-282756.1 May 18, 1999 The Honorable Phillip M. Crane Chairman, Subcommittee on Trade Committee on Ways and Means House of Representatives Subject: Customs Service Modernization: Actions Initiated to Correct ACE Management and Technical Weaknesses Dear Mr. Chairman: The U. S. Customs Service plans to acquire and deploy the Automated Commercial Environment (ACE) to implement the import processing modernization requirements specified in the Customs Modernization and Informed Compliance Act or Mod Act.' On April 13, 1999, we testified before your Subcommittee on the actions Customs needed to take to address the management and technical weaknesses that we identified in our February 1999 report on ACE.2 This letter responds to your office's subsequent request for information on Customs' efforts to date to implement our recommendations. It is based on information that we received from Customs in preparation for our May 13, 1999, testimony before the Senate Committee on Finance.! Our February 1999 report described ACE-related management and technical weaknesses in the following three areas: (1) building ACE without a complete and enforced enterprise systems architecture, (2) investing in ACE without employing effective investment management practices, and (3) building ACE without employing software engineering rigor and discipline. Customs agreed with our findings and has either initiated actions to implement or has implemented the recommendations that we made to correct the weaknesses in each of the three areas. Nevertheless, many of the actions taken to date, while appropriate given the time that has elapsed, are first steps, and much remains to be accomplished. Following is a brief discussion of the three areas of ACE management and technical weaknesses and Customs' efforts to date to correctthem. Title VI of the North American Free Trade Agreement Implementation Act, Public Law 103-182, is commonly referred to as the Customs Modernization and Informed Compliance Act or Mod Act. q.stoms Service Modernization: Actions Needed to Correct Serious ACE Management and Technical Weaknesses (GAO/ T-AIMD-99-141, April 13, 1999) and Customs Service Moderniation: Serious Management and Technical Weaknesses Must Elp Correcte (GAO/AIMID-99-41, February 26, 1999). SCustos Service Modernization: Actions Initiated to. Correct ACE Manapgement and Technical Weaknesses (GAO/ T-AIMD-99-186, May 13,1999). GAO/AIMD-99-198R, Customs Modernization

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