Summary

GAO reported on activities financed by the Office of Personnel Management's (OPM) revolving fund, focusing on the planning, budgeting, and other financial management aspects of the fund.

GAO noted that the two major activities of the fund, personnel investigations and training, had created revenues of $28.2 million and $37.3 million respectively for fiscal year (FY) 1982. Although the fund has produced revenue from training activities, personnel investigations have caused deficits in the fund. OPM did not make substantial progress in resolving financial problems in the investigations activity until early in FY 1982. Further, OPM did not operate its training activity on an actual cost basis in the past because it did not recover all operating costs of executive training. GAO believes that revolving fund budgets could not be used effectively for monitoring and controlling activities before FY 1982, since budget guidance was inadequate.