	Background

The State Department has security standards for U.S. diplomatic facilities  to protect employees and property. To provide adequate  security, State has determined that it needs to replace most existing  facilities that do not meet these standards. Seven Projects Moving Ahead

Seven of the 10 priority projects are progressing and are in the construction  phase. Figure 1 illustrates the status of construction. State Has Ranked Future Projects, but Has Not Developed a Long-Term Construction Plan

State envisions a long-term program, but it has not prepared a long-term  capital construction plan for facility replacement that identifies the  estimated cost and construction schedules for planned projects, as well as  projected annual funding requirements for the overall program. Recommendation for Executive Action

To enhance management and decision-making regarding the replacement  of embassies and consulates that are vulnerable to terrorist attack, we  recommend that the Secretary of State prepare and present to the Congress  a long-term capital construction plan that identifies proposed construction  projects and their estimated costs and when the Department plans to start  and complete site acquisition, design, and construction. Table 2 provides appropriation,  obligation, and expenditure data for State’s embassy and consulate  replacement program. Jones Construction  Co. in September 1999. GAO Comments

1. Our  report acknowledges that State has ranked more than 180 projects for  potential replacement. 2.
Why GAO Did This Study

The State Department has determined that about 80 percent of overseas U.S. diplomatic facilities lack adequate security and may be vulnerable to terrorist attack. In September 1998, State expanded its capital construction program to accelerate replacing its most vulnerable embassies and consulates by acquiring sites and preparing plans at 10 priority locations. This report summarizes (1) the status of the 10 priority embassy and consulate construction projects and (2) State's plans for the overall construction program.

What GAO Found

As of November 2000, seven projects are in the construction phase. The remaining three projects are on hold pending agreement between State and Congress about the Department's construction proposals. Although State envisions a long-term, multi-billion dollar program and has ranked more than 180 facilities it may need to replace, it has not prepared a long-term capital construction plan that identifies (1) proposed construction project's cost estimates and schedules and (2) estimated annual funding requirements for the overall program.