1997 Annual Report of the Secretary of Agriculture
A Change for the Better
Some programs serve the entire Department of Agriculture, including all mission areas. Among these are Departmental Administration, the Office of Inspector General, Office of the Chief Financial Officer, Office of the Chief Information Officer.
Year at a Glance |
Accomplishment Highlights
Departmental Administration Program Initiatives
USDA hosted two procurement conferences targeting American Indian and
Alaska Native corporations, resulting in an increase in contract awards to
American Indian firms.
USDA is working with the Small Business Administration (SBA) to simplify and expedite the process for awarding contracts to 8(a) firms. The Memorandum of Understanding proposed for execution between USDA and SBA will streamline the procurement process by eliminating the need for SBA approval of contracts executed under the 8(a) program, and by establishing policies that will make the use of the 8(a) program more efficient and responsive to USDA customers.
USDA is partnering with Melwood Enterprises on a facilities management contract in excess of $1 million for the Beltsville Office Complex. Melwood is a Javits-Wagner-ODay Act (JWOD) firm representing the severely handicapped/ blind industries. USDA is expanding the offerings of JWOD activities and industries beyond the current emphasis on supplies and products.
USDA loaned excess personal property with an original acquisition value of more than $1.1 million to the 1890 institutions in support of agricultural research, extension services programs, and related programs.
USDA initiated a Gleaning Program that encourages contractors to participate in USDAs gleaning initiative, where excess food is donated to those in need. Letters were sent to USDA contractors explaining the gleaning program and how to sign up and participate in the program.
| USDA Makes Doing
Business with USDA Easier
Startup businesses and other small businesses often contact USDA agencies to ask how they can offer their products or services to the Department. In 1997, USDA developed and produced a pamphlet on Doing Business With USDA" to provide information to the USDA vendor community and to publicize USDA programs (such as the Alternative Agricultural Research and Commercialization --or AARC--Corporation) and USDA policies (such as procurement of environmentally preferable products). A companion folder, with inserts on such topics as the Small Business Programs, AARC, and general procurement information, can be handed out at conferences and other outreach events. And the Doing Business With USDA kit is on the Internet to make the information about USDA more widely available to the small business community and other interested parties. |
Reinventing Government and Saving Money
USDA awarded a $20.2 million contract to a small, disadvantaged
business for network service support. This contract--one of the first
under the new performance-based approach being championed by the Office of
Management and Budget (OMB)--should provide more efficient services at
reduced costs.
USDA took the lead in awarding a mail presort contract for all Government agencies located in the Washington, DC/Baltimore metropolitan area. This contract has the potential to permit savings of more than $2 million during FY 1998.
USDA now has print-on-demand capabilities for the customers of the Office of Operations. The FY 1997 savings was $250,000, for a limited number of publications. The savings will increase as more publications are added. Additionally, publications were delivered 10 to 15 days earlier and the new technology saves office and storage space.
USDA implemented the Work Number for Everyone©, a state-of-the-art employment verification system that improves the timeliness and accuracy of employment verification services for employees. The new system is projected to result in an annual cost avoidance savings for USDA in excess of $750,000.
USDA made extensive enhancements to Employee Express, a self-service human resources management system available to employees. Employees can now make changes to their health benefits and Thrift Savings Plan during open season using a touch-tone phone to access Employee Express. Costing less than $2.20 per employee per year to maintain, Employee Express has proven to be a cost-effective alternative delivery method for human resources management offices.
| USDA Wins Coveted
Technology Awards
The Government Technology Achievement Awards have become some of the most sought-after technology awards in government. In 1997, USDA won three--for the Natural Resources Conservation Services flood plain management system, the Rural Housing Services Dedicated Loan Origination and Service (DLOS) system, and the Agricultural Research Services computerized irrigation system. |
The Department has initiated the priority project of collocating USDA agencies with offices in the same community. Collocation will provide one-stop shopping to more effectively serve customers; and it will increase efficiency in agency operations by facilitating collaboration and cooperation, eliminating duplicate administrative efforts by maximizing the sharing of resources such as space, equipment, and personnel. Leases were awarded in Davis, California, and Kansas City, Missouri.
The USDA Office of Operations automated the electronic submission of excess property reports, reducing the processing time by 2 weeks. By accelerating the disposal process, they reduced the amount of time that property (office equipment, computer hardware, etc.) is stored in the warehouse, thus saving warehouse costs.
1997 Summer Student Employment
The 1997 Summer Student Employment Program was extremely successful.
During the summer of 1997, a total of 3,170 students worked for USDA under
a variety of summer and year-round student employment programs. Of these
students, 2,798 (88.4 percent) worked in field locations.
| USDA Purchase Card Saves
Money and Wins Awards
A state-of-the-art Purchase Card Management System allows USDA employees to buy goods and services faster and at a lower administrative cost. The new system eliminates the processing of monthly paper statements for nearly 14,000 cardholders, allows one payment for USDA, features an on-line account reconciliation system that eliminates the processing of monthly statements and invoices, offers better management oversight, and is easy to use. The program, when fully implemented, is expected to save about $29.5 million over 5 years. USDA also initiated a pilot test with the General Services Administration to allow purchase card holders to write checks against their purchase card accounts, a first in the Federal Government. USDAs Purchase Card Implementation Team has won the Leadership and Achievement Award from the Advisory Council of the Government Federation of Information Processing Council, the Best Federal Exhibitor Award at the Information Processing Conference, and Vice President Gores Hammer award for re-inventing Government. |
Improving the Workplace
Construction of USDAs 350,000-square-foot Beltsville Office
Facility is complete. Designed as a 4-building campus on a 45-acre wooded
site at the National Agricultural Research Center in Beltsville, Maryland,
the facility will provide space for up to 1,500 employees. USDA will
consolidate into the Beltsville facility some of the agencies that
currently lease space in Maryland, and it will also relocate some
employees who currently work at the D.C. Headquarters Complex.
USDA plans to implement numerous initiatives to reduce risks to employees and clients and to maintain a secure workplace environment. These efforts include installing a state-of-the-art security control center, upgrading the security closed-circuit television network, improving intrusion detection and access control systems, and enhancing the protection of exterior building perimeters and parking lots.
USDA established a Nursing Mothers Room in the South Building of the Headquarters Complex. This room provides employees who are nursing mothers the privacy to express their breast milk at work. The availability of this room lets some new mothers return to work earlier.
USDA completed design work for phase 1--modernizing Wing 3--of the South Building Modernization project in 1997.
| Printing Upgrades for
Rural Development Centralized Loan Office
OCs Printing Management Center obtained authority from the Congressional Joint Committee on Printing to purchase an additional $1 million in-house printing and binding system to further enhance USDA Rural Development loan operations in St. Louis, Missouri. |
Recoveries and Savings
In FY 1997, the Office of Inspector General (OIG) identified $58
million in recoveries and collections and $39.6 million in fines and
restitutions. OIG also identified $899.7 million in questioned costs that
cannot be recovered. Another $267.4 million was identified for which
management made commitments to put funds to better use. OIG efforts also
resulted in 664 criminal indictments and 703 convictions.
Child and Adult Care Food Program Sponsors Found Fraudulent,
Deficient
In ongoing reviews of sponsors administering the Child and Adult Care
Food Program, OIG continued to find widespread problems--including
seriously deficient administration, program fraud, unsafe or unsanitary
conditions, and licensing violations. Of the original 12 sponsors
reviewed, OIG is conducting criminal investigations on 4. Twenty-four
additional investigations are ongoing in 12 States. Due to the significant
problems found, the Inspector General is launching a national initiative
to expand OIG efforts to identify abusive sponsors.
One OIG investigation resulted in guilty pleas from four executives of a nonprofit child-care sponsoring organization in southern California, who were charged with defrauding the program of approximately $2.3 million. The Government has seized four residential and commercial properties fraudulently acquired by the subjects, valued in excess of $2 million.
| Operation Talon
Nets 2,930 Fugitive Felons
Operation Talon, an ongoing nationwide law enforcement initiative led by OIG, has resulted in the arrest of 2,930 fugitive felons including many wanted for murder, kidnapping, child molestation, drug violations, robbery, rape, and assault. After a pilot program in Kentucky proved successful, OIG expanded the operation to an additional 23 metropolitan areas in 18 other States. Vice President Gore announced the success of Operation Talon at a White House press briefing in December. Operation Talon was made possible by the Personal Responsibility and Work Opportunity Reconciliation Act of 1996, commonly known as welfare reform. |
Hepatitis A Outbreak Traced to Illegal Strawberries
A San Diego-based food broker and processing company, its president,
and a former sales representative pled guilty to charges related to the
illegal substitution of Mexican strawberries for U.S. domestically grown
strawberries in the USDA School Lunch Program. The company also agreed to
pay the Government $1.3 million in civil damages and a $250,000 criminal
fine. The OIG investigation began after a March 1997 outbreak of the
hepatitis A virus in Michigan which eventually sickened approximately 190
school children. The outbreak was believed to have been spread through the
consumption of frozen strawberries served as part of the USDA School Lunch
Program which were traced back to the San Diego-based company.
$35 Million Settlement for Export Program Violations
As the result of an OIG investigation, the U.S. Government concluded
a global settlement with a prominent international grain company in New
York and its foreign affiliate. The grain company paid $25 million to the
Government in settlement of any potential civil claims, its affiliate paid
a $10 million fine after pleading guilty to a criminal charge of
conspiracy, and three associated entities agreed to permanent debarment
from Federal programs. This settlement represented the culmination of a
series of investigations conducted since 1989 into fraud related to USDA's
General Sales Manager 102 and 103 Export Credit Guarantee Programs.
| USDA Striving To Meet
Y2K Challenge
USDA maintains hundreds of information systems that support its business activities. Many of these systems were not designed to be capable of handling the year 2000 date change. To ensure that USDA can meet the challenge of the Year 2000 (Y2K) date conversion, USDA has established a Department-level Y2K Project Team. The team will bring a focus to this effort and work closely with the FCIOCs Committee on the Year 2000 to share lessons learned. |
Improved Civil Rights Complaint System and Treatment of Small and
Minority Farmers
OIG issued several reports containing 34 recommendations to improve
the Department's system for processing civil rights complaints and to
improve relations with small and minority farmers. As the result of OIGs
review, the Department has developed a more reliable data base of
complaints, hired additional staff, and informed all complainants of the
status of their cases. Through the review of 11 States and 33 counties,
OIG made recommendations to improve the Department's relations with the
minority community through better targeting outreach efforts, upgrading
the status of minority advisors to the county committees, and increasing
workforce diversity at the local level. The Department is working to
implement the recommendations, and OIG is monitoring its efforts.
USDA Strategic Plan Reflects Departments Key Goals
The USDA Strategic Plan will guide the Departments progress
toward meeting its most important program goals. The first such plan ever
developed for the Department was completed during 1997, incorporating the
strategic plans for all USDA agencies into a comprehensive document that
provides details about the Secretarys key program goals and
management initiatives.
USDA To Improve Debt Collection
Implementing the Debt Collection Improvement Act of 1996 will result
in the improved collection of millions of dollars of debt owed the Federal
Government. The Act bars delinquent debtors from obtaining new loans or
loan guarantees, mandates the use of electronic funds transfer (EFT) for
all Federal payments, and allows the Department to use new means to
collect delinquent debt.
| USDA Video,
Teleconference, and Radio Production
USDAs Office of Communications (OC) worked on 459 video productions for USDA and other Federal agencies on topics ranging from the Government purchase card, to global marketing opportunities for small U.S. companies selling abroad, to training videos on safety, health, and environmental management. It handled 3,530 audio conferences on a variety of agricultural, nutritional, and rural development-related topics, a significant increase over the 2,660 conferences it handled in 1996. The radio staff produced 2,063 news stories and actualities, and 17,216 calls were made to the radio newsline machines. The radio teams feature cassette service is mailed weekly to 675 subscribing stations. Radio features cover such issues as food safety, the Consumer Price Index, food gleaning, the Conservation Reserve Program, and the importance of international trade to U.S. agriculture. The radio team earned a Gold Screen Award for the radio documentary A Native American Heritage Being Preserved, in competition with other Federal and State government entries. |
USDA Center Successful in Bid To Process FAAs Data
Secretary Glickman announced May 13, 1997, that USDAs National
Information Technology Center (NITC) in Kansas City, Missouri, was awarded
a contract worth up to $250 million to provide information technology
services for the Federal Aviation Administration (FAA). Under the contract
(known as the Integrated Computing Environment, Mainframe and Network),
NITC will establish a system that combines the centers expertise in
information management technology with hardware, software, and technical
support services to support the FAAs administrative information
systems. USDA successfully bid against other Federal and private data
processing centers to win the contract. By franchising its expertise to
the FAA, NITC expects to realize lower costs for its customers.
Improved Planning for Information Technology
USDA is developing a Capital Planning and Investment Control Program
to assure that USDA managers have appropriate information when deciding to
invest in a major technology initiative; it includes a disciplined
mechanism for evaluating performance. This system includes the
development, in conjunction with the Department of Energy and the National
Performance Review group and other Government Departments, of an
Internet-based decision support system that will provide senior level
managers with the ability to continually analyze and monitor information
technology investments. A critical aspect of this program is that key
decisions will now be made by senior policy officials. The Department has
a new Executive Information Technology Investment Review Board, which is
composed of Sub-Cabinet members and is headed by the Deputy Secretary.
USDA Agencies Help Chop Publics Paperwork Burden
USDA Subcabinet officials and Agency Heads were asked to support the
Presidents commitment to eliminate all unnecessary paperwork
burden on the public sector. Mission areas and agencies were
challenged to reduce the paperwork burden imposed on the public by 25
percent by the end of FY 1998. USDA agencies complied with this request
and identified a cumulative burden reduction of 30.4 percent.
General Counsel Slashes Processing Time for Rural Utilities Loans
Once a rural utilities loan is approved, USDAs Office of the
General Counsel can deliver the necessary loan documents for rural
telecommunications and electric loans in 7-10 days--instead of the 90-180
days it used to take. By computerizing the process, OGC can process the
same loan volume that was handled under the old system more quickly and
accurately, while reducing support staff by 40 percent. The new OGC
software program takes 1,000 regulations and reduces them to 40 questions
for loan applicants.
Welfare-to-Work Initiative
On March 8, 1997, President Clinton announced the Welfare-to-Work
initiative for the Federal Government to provide employment opportunities
to welfare recipients. He called on executive branch department heads to
lead this effort in their agencies. Secretary Glickman responded by
announcing that USDA was committed to hiring welfare recipients, including
food stamp participants, into its workforce--and to retaining them. USDA
hired 126 welfare recipients in 1997 and will hire approximately 250 in
the next 3 years.
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