Nearly three years after it was
created, the sprawling U.S. Department of Homeland Security
still faces management problems that were partly accountable
for the flawed federal response to Hurricane Katrina, according
to an internal audit released on Wednesday.
Hurricanes Katrina and Rita, which devastated Gulf Coast
states, exposed weaknesses in the Federal Emergency Management
Agency's information systems and its management of contracts
and grants, the audit by the DHS inspector general's office
found.
The report said Katrina, in late August and Hurricane Rita,
a month later, compounded FEMA's already overburdened resources
and infrastructure.
"When one considers that FEMA's programs are largely
administered through grants and contracts, the circumstances
created by Hurricanes Katrina and Rita provides an
unprecedented opportunity for fraud, waste, and abuse," it
said.
The assessment noted that DHS was taking steps to manage
spending for Katrina, but the size of the response and recovery
efforts created "an unprecedented need for oversight."
The audit said the inspector general's office would review
all Katrina-related contracts awarded without competition.
Homeland Security officials, in a response to issues raised
by the audit, said the department has formed a fraud, waste and
abuse task force to ensure financial controls were in place to
manage the recovery effort.
The officials also said DHS was taking action to address
the need to improve FEMA's information systems.
"During the Katrina response, our efforts were
significantly hampered by a lack of information from the
ground," the officials said. "With communication systems
damaged and state and local assets compromised by the
subsequent flooding, our ability to obtain precise reporting
was significantly impaired."
Since its inception in March 2003, the DHS has been working
on the largest reorganization of the federal government in more
than half a century, combining many separate agencies. The
audit said DHS had made notable progress toward building a
single and efficient organization.
But the report said much remains to be done and listed
challenges DHS faces in securing U.S. borders, including
developing an automated entry-exit system and identifying and
deporting illegal immigrants.
It also said the department's Transportation Security
Agency needed to improve training, supervision and technology
for airport security screeners.
© Copyright 2005 Reuters
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