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101750 1 (1977-03-02)

handle is hein.gao/gaobadxtn0001 and id is 1 raw text is: DOCOUBIT RFSUNE 01750 - [A08915221 [GAO Vork under Title II of the Public Works Employment act of 19763, Barth 2, 1977. 14 pp. Testimony before the Honae Committee ou Government Operations: Intergovernmental Relations and Human Resources Subcommittee; by Harry S. Havens# Dj ,.tor, Program Analysis Div. Issue Area: Education, Training, and Iployent Programs: Impact of Job Creation Program (1106). Contact: Program Analysis Div. Budget Function: Iducation, Manpowerp and Social Services: Other Lakor Services (505). Congressional Relevance: House Committee on Government Operations: Intergovernmental Relatiozs and Buman Resources S u comnittee. Authority: Public Works Employment Act of 1976, title 11 (P.L. 94-369). The Public Works Employment Act of 1976 requires GAO to report to Congress on the impact of Title II payments on the operations of State and local governments aud on the national economy. The program is designed to achieve three objectives: maintenance of public employzent, maintenance of public service, and countering the recession. It is believed that the cycl,kcal problems brought about by recession and inflation are separate from those associated with regions and governmental units experiencing long-term economic decline. It is, therefore, not efficient to ttenpt to address both sets of problewn vIth one allocation formula based on a siagle measure of need. The fact that a Jurisdiction may face either cyclical or secular problems (or both) raises questions as to whether the present formula in Title II effectively responds to these problems. Based on preliminary observations, the current program does not provide assistance directly into the economy or provide selectively targeted assistance. inti-recession fuuds are not getting into the economy quickly. This slowness is partly beciuse governaents could not plan in advance on receiving a specific amount and partly because of complicated budgetary processes. (RRS)

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