Through these grant programs, DHS has  sought to enhance the capacity of states, localities, and other entities,  such as ports or transit agencies, to prevent, respond to, and recover  from a natural or manmade disaster, including terrorist incidents. The State Homeland Security Program (SHSP), awarded to the nation’s  56 states and territories, and the Urban Areas Security Initiative (UASI),  awarded to urban areas based on DHS’s risk assessment methodology,  are the largest of the preparedness grant programs, accounting for about  60 percent of Fiscal Year 2017 grant funding. FEMA Has Strengthened Its Coordination, Oversight, and Assessments of Grants But Challenges Remain in the Effectiveness of FEMA’s Grant Management

		FEMA Has Taken Some Steps to Address Coordination Challenges Between Headquarters and Regional Offices, But Some Challenges Still Remain

In February 2016, we reported that FEMA has taken some steps, but has  not fully addressed longstanding preparedness grant management  coordination challenges between its headquarters and regional offices. Specifically, we found in February 2012 that multiple factors contribute to  the risk of duplication among four FEMA preparedness grant programs— the State Homeland Security Program, Urban Areas Security Initiative,  Port Security Grant Program, and Transit Security Grant Program—as  these programs share similar goals, fund similar projects, and provide  funds in the same geographic regions. Further, in December  2017, FEMA took actions to identify potential unnecessary duplication  across four preparedness grant programs, as we recommended in  February 2012. For example, in fiscal year 2014,  FEMA modified a legacy grants data system to capture more robust  project-level data—such as project budget data—for the Homeland  Security Grant Program, which includes the State Homeland Security  Grant Program and the Urban Areas Security Initiative. In addition, in fiscal year 2017, FEMA procured a software visualization  tool and developed a set of standard operating procedures to assist staff  in identifying potentially duplicative projects. Using an interim approach to collect more specific project-level  data during the grant application process and utilizing the new software  visualization tool should help FEMA strengthen the administration and  oversight of its grant programs until FEMA implements its long-term  solution for the agency’s grants management information system. Specifically, as we reported in May 2016, FEMA plans to develop  and implement a new Grants Management Modernization system to  provide agency-wide management for all of FEMA’s disaster and  preparedness grants. FEMA Has Made Progress Assessing Its Grant Preparedness Capabilities, but Continues to Face Challenges Developing a National Preparedness System

We also reported in March 2011 that FEMA needed to improve its  oversight of preparedness grants by establishing a framework with  measurable performance objectives for assessing urban area, state,  territory, and tribal capabilities to identify gaps and prioritize investments. Specifically, we recommended that FEMA complete a national  preparedness assessment of capability gaps at each level based on  tiered, capability-specific performance objectives to enable prioritization of  grant funding. Specifically, FEMA reported in February 2018 that the agency has  developed capability-specific performance objectives that will enable a  national preparedness assessment of capability gaps, but no such report  has been issued at this time. Federal Emergency Management Agency: Opportunities to Achieve  Efficiencies and Strengthen Operations.
Why GAO Did This Study

The Department of Homeland Security (DHS), through FEMA, provides preparedness grants to state, local, tribal, and territorial governments to improve the nation's readiness in preventing, protecting against, responding to, recovering from and mitigating terrorist attacks, major disasters and other emergencies.
According to DHS, the department has awarded over $49 billion to a variety of DHS preparedness grant programs from fiscal years 2002 through 2017, to enhance the capabilities of grant recipients. For example, the State Homeland Security Program which awards grants to the nation's 56 states and territories, and the Urban Areas Security Initiative which awards grants to urban areas based on DHS's risk methodology, are the largest of the preparedness grant programs (see figure).
This statement addresses progress and challenges in FEMA's efforts to manage preparedness grants and GAO's prior recommendations to strengthen these programs. This statement is based on prior GAO reports issued from March 2011 through February 2016 and selected updates conducted in December 2017 through April 2018. To conduct the prior work and updates, GAO analyzed relevant FEMA data and documentation and interviewed relevant officials.

What GAO Found

In February 2012, GAO identified coordination challenges among Federal Emergency Management Agency (FEMA) grant programs that share similar goals and fund similar projects, which contribute to the risk of duplication among the programs. GAO recommended that FEMA take steps, as it develops its new grant management system, to collect project information with sufficient detail to identify potential duplication among the grant programs. FEMA has since addressed these recommendations. Specifically, in 2014, FEMA modified a legacy grants data system to capture more robust grant project-level data, and in fiscal year 2017, procured a software tool and developed a set of standard operating procedures to assist its staff in identifying potentially duplicative projects. These actions should help FEMA strengthen the administration and oversight of its grant programs. Furthermore, FEMA is also developing a new grants management modernization system to consolidate and better manage its grants. GAO is currently reviewing the system for this Committee and will report out next year.
GAO reported in March 2011 on the need for FEMA to improve its oversight of preparedness grants by establishing a framework with measurable performance objectives for assessing urban area, state, territory, and tribal capabilities to identify gaps and prioritize investments. Specifically, GAO recommended that FEMA complete a national preparedness assessment of capability gaps at each level based on tiered, capability-specific performance objectives to enable prioritization of grant funding. FEMA has taken some steps to address GAO's prior recommendation. Specifically, in February 2018, FEMA reported developing capability-specific performance objectives that will enable a national preparedness assessment of capability gaps. However, FEMA plans to finalize these efforts in 2020 and it is too early to tell how this will impact grant allocations. Until these efforts are completed, GAO will not be able to determine the extent that they address past challenges and recommendations.

What GAO Recommends

GAO has made prior recommendations designed to address the challenges discussed in this statement. FEMA has taken actions to address some but not all of these recommendations.