The U.S. Coast Guard has five central missions: search and rescue, preservationof national marine resources, enforcement of federal laws at sea, ship safety in

American waters, and national defense. The first of these is recognized as itsmain job, but dealing with pollution and preserving marine resources takes the

largest share of its budget.

An article in The Economist, commenting on a 1999 budget request presentationby Admiral Robert Kramek (the request was for $2.77 billion), proclaimed:

He dwelt on something rare in the armed services: results. In the past four years,he proudly informed the legislators, the Coast Guard has saved 20,000 lives and

$9.3 billion in property, seized 370,000 pounds of illicit drugs, interdicted (or assisted)75,000 foreigners trying to enter America, reported 64,000 cases of marinepollution and checked 59,000 fishing boats for possible catch violations. Were amodel of better government at least cost, said the Admiral. (The Coast Guard:

Keeping All Channels Open, The Economist 12 [September 1998]: 2829.)Discuss and answer the following questions:

a. Did Admiral Kramek provide outcomes as envisioned by mission- or results orientedperformance budgeting? Explain your answer.

b. From what you understand to be the Coast Guard mission, what sort of performancemeasures would you propose for use by the agency?

c. How could we test whether Admiral Kramek is right when he asserts that theCoast Guard is delivering better government at least cost?

d. What budgetary strategy is the admiral using, and what questions would youprepare for Admiral Kramek if you were on the staff of the appropriationsubcommittee considering his request?