GAO Finds Only 25% of Awarded Port Security Grants Are Used
The Government Accountability Office has issued a report evaluating the Department of Homeland Security's Port Security Grant Program (PSGP) used to protect critical maritime infrastructure and the public from terrorist attacks. The Federal Emergency Management Agency (FEMA), which distributes PSGP grant funds, awarded nearly $1.7 billion to port areas through the program from FY 2006-2010. However, GAO found that in order to achieve its purpose, the PSGP's risk model, grant management, and effectiveness measures could be strengthened.
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Risk model. In 2010 and 2011, PSGP grant fund allocations were largely based on three elements of port risk -- threat, vulnerability, and consequence. DHS modified the vulnerability equation for FY 2011 so that it could recognize that different ports can have different vulnerability levels. However, GAO found the vulnerability equation (1) is not responsive to changes in port security, such as the implementation of PSGP-funded security projects; and (2) does not utilize the most precise data available in all cases. GAO states the PSGP model’s vulnerability measure could be strengthened by incorporating the results of past security investments and by refining other data inputs.
Grant management. For FY 2006-2010, only 23.6% of awarded grant funding has been drawn out by grantees and an additional 24.3% remains unavailable (meaning grantees cannot begin using the funds to work on projects). Funds mainly remain unavailable because federal requirements have not been met (such as environmental reviews), or the port area has not yet identified projects to fund. For example, DHS was slow to review cost-share waiver requests (requests from grantees to forgo the cost-share requirement). Without a more expedited waiver review process, GAO states grant applicants that cannot afford the cost-share may not apply for important security projects. Other challenges included management of multiple open grant rounds, compliance with program requirements, and use of an antiquated grants management system.
Effectiveness measures. FEMA is developing performance measures to assess its administration of the PSGP but it has not implemented measures to assess the effectiveness of PSGP grants. FEMA also does not have a plan and related milestones for implementing measures specifically for the PSGP. Without such a plan, GAO states it may be difficult for FEMA to effectively assess whether the PSGP is achieving its purpose.
(GAO-12-47, dated November 2011)