Untangling the confusion on stimulus jobs, part two: GAO weighs in
Thursday, November 19th, 2009The Government Accountability Office, in its assessment of jobs data reported by stimulus fund recipients and posted to the administration’s Recovery.gov site, said that considering “the national scale of the recipient reporting exercise and the limited time frames in which it was implemented, the ability of the reporting mechanism to handle the volume of data from a wide variety of recipients represents a solid first step in moving toward more transparency and accountability for federal funds.”
However, GAO’s analysis of the data found “a range of significant reporting and quality issues that need to be addressed.” Examples of “erroneous or questionable data entries” found in GAO’s review:
(1) 3,978 reports that showed no dollar amount received or expended but included more than 50,000 jobs created or retained;
(2) 9,247 reports that showed no jobs but included expended amounts approaching $1 billion, and
(3) Instances of other reporting anomalies such as discrepancies between award amounts and the amounts reported as received which, although relatively small in number, indicate problematic issues in the reporting.
The report also said that “questions remain” about the 10 percent of recipients who failed to file reports by the October 30 deadline, and that full-time equivalent (FTE) calculations “were reported inconsistently even though significant guidance and training was provided by OMB and federal agencies.”
“While recipients in the states we reviewed generally made good faith efforts to report accurately, there is evidence, including numerous media accounts, that the data reporting has been somewhat inconsistent,” the report said. “Even recipients of similar types of funds appear to have interpreted the reporting guidance in somewhat different ways and took different approaches in how they developed their jobs data.”
The GAO also noted that while the recipient reports “do provide a real-time window on the results of Recovery Act spending,” the employment impact of the stimulus bill could not be measured on the basis of the recipient reported data alone:
“Even if the data quality issues are resolved, it is important to recognize that the FTEs in recipient reports alone do not reflect the total employment effects of the Recovery Act. As noted, these reports solely reflect direct employment arising from the expenditure of less than one-third of Recovery Act funds. Therefore, both the data reported by recipients and other macroeconomic data and methods are necessary to gauge the overall employment effects of the stimulus. The Recovery Act includes entitlements and tax provisions, which also have employment effects. The employment effects in any state will vary with labor market stress and fiscal condition, as discussed in this report.”
The GAO provides a valuable site covering its considerable responsibilities for oversight of the stimulus bill, including a subsection covering reported jobs data.
Rural counties with high-speed Internet access have benefited from stronger economic and employment growth, according to a Department of Agriculture study. The USDA’s report,