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Embassy Construction: Achieving Concurrent Construction Would Help Reduce Costs and Meet Security Goals

GAO-04-952 Published: Sep 28, 2004. Publicly Released: Sep 28, 2004.
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Highlights

After the 1998 bombings of two U.S. embassies in Africa, the State Department embarked on a multibillion-dollar, multiyear program to build new, secure facilities on compounds at posts around the world. The Secure Embassy Construction and Counterterrorism Act of 1999 generally requires that all U.S. agencies, including the U.S. Agency for International Development (USAID), colocate offices within the newly constructed compounds. This report discusses how State is incorporating office space for USAID into the construction of new embassy compounds and the cost and security implications of its approach.

Recommendations

Matter for Congressional Consideration

Matter Status Comments
In order to minimize costs and further improve security associated with building new embassy compounds, if the Capital Security Cost-Sharing Program is not implemented in fiscal year 2005, Congress may wish to consider alternative funding approaches to support concurrent construction of new embassy compounds.
Closed – Not Implemented
Congress passed Capital Cost Sharing, rendering this moot.

Recommendations for Executive Action

Agency Affected Recommendation Status
Bureau of Overseas Buildings Operations The Director of State's Bureau of Overseas Buildings Operations should update the Long-Range Overseas Buildings Pan to achieve the concurrent construction of USAID facilities to the maximum extent possible.
Closed – Implemented
In September 2004, (Embassy Construction: Achieving Concurrent Construction Would Help Reduce Costs and Meet Security Goals, GAO-04-952, 09/28/04) GAO recommended that State (1) achieve concurrent construction of U.S. Agency for Development (USAID) facilities to the maximum extent possible and (2) consider, in coordination with USAID, incorporating USAID space into single office buildings, where appropriate. State agreed with the recommendations and stated that it planned to revise its long-range overseas buildings plan to implement the recommendations. State has implemented the recommendations. Except for cases in which the new embassy compound has already been built without space for USAID, State no longer plans for nonconcurrent construction of future embassy compounds and no longer builds separately-funded facilities for USAID. The Long-Range Overseas Buildings Plan for 2006-2011 includes NECS with space for USAID as well as other agencies in single buildings. GAO identified nine projects in which State originally planned to build a new embassy compound that included a separate building for USAID that would be built noncurrently. Analysis of recent plans and discussion with State shows that of the nine projects, two are underway with nonconcurrent separate facilities for USAID, one project included two construction sites and one project that was originally planned with a separate facility is now being built to include one building that incorporates space for USAID. The original cost of the project was $108,236,000. The current cost is $105,987,000. GAO-04-952 also suggested that Congress consider alternatives for funding future compounds if the Capital Cost-Sharing Proposal was not implemented. However, the proposal was implemented in 2005. The present value is about $2.329 million.
Bureau of Overseas Buildings Operations The Director of State's Bureau of Overseas Buildings Operations should, in coordination with USAID, consider incorporating USAID space into single office buildings in future compounds, where appropriate.
Closed – Implemented
September 2004, (Embassy Construction: Achieving Concurrent Construction Would Help Reduce Costs and Meet Security Goals, GAO-04-952, 09/28/04) GAO recommended that State (1) achieve concurrent construction of U.S. Agency for Development (USAID) facilities to the maximum extent possible and (2) consider, in coordination with USAID, incorporating USAID space into single office buildings, where appropriate. State agreed with the recommendations and stated that it planned to revise its long-range overseas buildings plan to implement the recommendations. State has implemented the recommendations. Except for cases in which the new embassy compound has already been built without space for USAID, State no longer plans for nonconcurrent construction of future embassy compounds and State no longer builds separately-funded facilities for USAID. The Long-Range Overseas Buildings Plan for 2006-2011 includes NECS with space for USAID as well as other agencies in single buildings. GAO identified nine projects in which State originally planned to build a new embassy compound that included a separate building for USAID that would be built noncurrently. Analysis of recent plans and discussion with State shows that of the nine projects, two are underway with nonconcurrent separate facilities for USAID, one project included two construction sites and one project that was originally planned with a separate facility is now being built to include one building that incorporates space for USAID. The original cost of the project was $108,236,000. The current cost is $105,987,000. GAO-04-952 also suggested that Congress consider alternatives for funding future compounds if the Capital Cost-Sharing Proposal was not implemented. However, the proposal was implemented in 2005. The present value is about $2.329 million. Action taken by: Agency

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Construction (process)Construction costsJersey barriersCost analysisCost effectiveness analysisEmbassiesFacility securitySecure facilitiesConstructionEmbassies