In contrast to our 1989 general management review of OMB, this review focused on a specific reorganization initiative. Overall, the RMOs were assigned about 26 percent more staff than the former budget program areas had, although OMB’s total fiscal year 1994 staffing allocation (556 full-time equivalents) was unchanged. The RMOs were also given responsibility for overseeing agencies’ implementation of governmentwide management policies—a responsibility that had formerly been assigned to OMB’s management offices (the statutory offices and the General Management Division). As a result of OMB 2000, OMB replaced its budget examiner positions with program examiner positions and reassigned staff from the budget program areas, the General Management and Special Studies Divisions, and the statutory offices to fill those positions in the RMOs. Some recent statutory management initiatives have, in fact, provided a new set of tools that may aid the integration of management issues in the budget process. Accordingly, as part of its planned broader assessment of its role in formulating and implementing management policies for the government, OMB should consider the lessons learned from OMB 2000. Objectives, Scope, and Methodology

The objectives of our review were to describe (1) changes in OMB’s organizational structure, responsibilities, and staffing as a result of OMB 2000; (2) changes to OMB’s three statutory offices; (3) changes in the attention OMB gave to management issues in the budget formulation process before and after OMB 2000; and (4) how OMB planned to evaluate OMB 2000.
Why GAO Did This Study

Pursuant to a congressional request, GAO reviewed the changes that have occurred at the Office of Management and Budget (OMB) as a result of OMB 2000, focusing on the: (1) changes in OMB organizational structure, responsibilities, staffing, and OMB statutory offices; and (2) attention OMB gave to management issues in the budget formulation process.

What GAO Found

GAO found that: (1) OMB 2000 created a new organizational structure for OMB by reorganizing and replacing former budget program areas with resource management offices (RMO) staffed by employees reassigned to new program examiner positions; (2) OMB shifted specific oversight responsibilities of the statutory offices to RMO, while responsibilities for governmentwide management policies remained in the statutory offices; (3) OMB total staffing allocation remained the same, despite RMO having about 26 percent more staff than previously budgeted; (4) the implementation of OMB 2000 resulted in greater attention to agency management issues in the budget process; (5) while some OMB staff were concerned about their ability to perform their expanded responsibilities, OMB staff generally had a positive view of OMB 2000; and (6) although OMB initially planned to evaluate OMB 2000 as a distinct management initiative, it plans a broader assessment of its overall effectiveness in formulating and implementing management policies for the government.