FY 2007 PERFORMANCE REPORT

Our FY 2007 Results: A Reader's Guide

The performance section of this report is composed of chapters for each strategic goal identified in the DOT Strategic Plan. The Organizational Excellence section of the report focuses on overall DOT efforts to achieve our part of the President's Management Agenda, ensuring that we are a citizen-centered, results-oriented Cabinet agency, depending on market-based transportation solutions.

For each strategic goal, we present four increasingly detailed levels of information, which together help the reader understand the breadth of the Department's activities.

• The first level, which consists of the strategic goal, strategic outcome, and annual resources, provides a summary-level view of how the Department is engaged in a national priority like transportation mobility;
• The second level, the performance goal area, focuses on a particular aspect of the priority being discussed;
• The performance measure, at the third level, shows the reader how we measure our progress toward the performance goal, the target we set for ourselves, and our success in reaching it; and,
• The narrative in the fourth level provides the reader details about our accomplishments or the challenges we faced, along with a forecast of our ability to meet the next year's target.

Figure 2.

The relationship between DOT's activities and observed results - The relationship between resources and results can be complex, and a mix of current and prior-year resources and activity almost always influences any performance result. For example, direct service program results such as FAA air traffic control operations are influenced both by external forces and prior-year acquisition activities. Other results, such as highway congestion or transit ridership, are predominately influenced by prior-year funding.

Enhanced Transparency - Over the past few years, the Department has tracked and presented the funding levels associated with each of its Strategic Goals (Level 1 in figure 2) to allow the reader to gain a sense of how resources are being allocated across the Department. In the FY 2006 PAR, DOT presented funding levels for each performance goal area (Level 2 in figure 2), providing an additional layer of detail on the Department's funding allocations.

This year, the Department will further increase its transparency by presenting funding information at the performance measure level (Level 3 in figure 2). We are not yet able to provide data from our cost accounting system on actual funds expended by performance measure, so the associated FY 2007 funds identified for each measure reflect the Department's planned spending on a particular activity. The dollar amounts associated with performance measures at Level 3 may not add up to the funds associated with a performance goal area at Level 2, because only a portion of all DOT activities are reflected and tracked in this report. While the financial information provided is not an accounting report of funds expended, it does give the reader an overall picture of how the Department uses its appropriations. We look forward to implementing future improvements to our cost accounting system allowing us to provide even more detail in the years to come.

Data completeness - An exhaustive assessment of the completeness and reliability of our performance data and detailed information on the source, scope, and limitations for the performance data in this report are provided at: www.bts.gov/programs/statistical_policy_and_research/source_and_accuracy_compendium/index.html. In that Web site, we also provide information to resolve the inadequacies that exist in our performance data.

Preliminary vs. final results - Reporting FY 2007 results by November 2007 has been challenging where we rely on third party reporting. Often we have only preliminary or estimated results based on partial-year data and must wait for final data to properly verify and validate our results. In some cases where data is provided solely as an annual value and is not available in time for this report, we rely on historical trend information and program expertise to generate a projected result. We have been careful to point out where we have assessed our performance on a preliminary or projected basis. Preliminary estimates or projected results will be adjusted after final compilation or verification and validation. In all cases where results have changed from last year's report, we indicate that by placing an “(r)” with the number, indicating a revision.

DOT contributions to common governmental outcomes - DOT's performance is aligned with its legislative mandates, but in some cases there are no “bright lines” separating DOT from other agencies. For instance, in DOT's Security Strategic Goal, we make very important contributions in accordance with our mandates and appropriations, but we do so alongside the Departments of Defense, Homeland Security, State, Justice, Commerce, and Energy. Similarly, other agencies make significant contributions to the nation's transportation system.

Management challenges - The DOT Inspector General and the Government Accountability Office publish reports describing a number of problems and challenges facing the Department. We take these issues seriously, and have folded our approach to meeting these challenges into our general efforts to achieve good performance outcomes. We have placed a description of each management challenge and the Department's response in Management's Discussion and Analysis near the front of this report.

Summary performance table - One of the ways that DOT interprets its progress towards achieving its strategic goals is to compare single year results to historical trends. We have provided a tabular summary of long-term performance for each of the Strategic Goals to provide context for the FY 2007 achievements.

Looking forward - In September 2006, DOT published its new Strategic Plan for FY 2006-2011. Next year, the FY 2008 DOT Performance and Accountability Report will reflect the new strategic plan with its modified set of strategic goals and a new mix of performance measures. Where possible, we have noted upcoming changes to performance measures in this year's report.