American Samoa Needs Effective Aid To Improve Government Operations and Become a Self-Supporting Territory

Gao ID: CED-78-154 September 22, 1978

American Samoa is largely dependent on Federal funds as the base for its economy. Well-conceived goals and priorities for its development do not exist. The American Samoa Government has neither an effective financial management system nor an adequately trained work force to carry out its operations.

The Department of the Interior has been responsible for the administration of the Government of American Samoa since 1951, but has not been effective in helping American Samoa progress toward becoming a self-supporting territory. The level of funds American Samoa has received from the United States has exceeded its capability to manage its programs. The funds have also contributed to changes in the Samoan culture. About 82% of American Samoa's revenues in 1977 came from the Federal Government. Efforts to develop private enterprise have been largely unsuccessful, and the territory has been unable to effectively plan, develop, operate, manage, and maintain capital improvement projects. People from outside the territory comprised 25% of the work force. Despite high unemployment, American Samoans are unwilling to accept certain jobs.

Recommendations

Our recommendations from this work are listed below with a Contact for more information. Status will change from "In process" to "Open," "Closed - implemented," or "Closed - not implemented" based on our follow up work.

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