THIS STORY HAS BEEN FORMATTED FOR EASY PRINTING

Auditors criticize stimulus jobs data

By Ed O’Keefe
Washington Post / November 20, 2009

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WASHINGTON - Government auditors raised doubts yesterday about the number of jobs created or saved by the economic stimulus program, but they also said mistakes reported in recent weeks signal the benefits of government transparency.

Roughly 10 percent of the recipients of stimulus dollars failed to submit quarterly reports last month, according to a Government Accountability Office report released yesterday.

“I think missing reports may drive the job numbers up, and I think there are enough inaccuracies in here to drive the numbers down,’’ said Earl Devaney, who oversees Recovery.gov, the government’s stimulus-tracking website. The Obama administration reported last month that the stimulus has created or saved about 640,000 jobs thus far.

Some recipients’ failure to report spending data last month “is distressing and must be addressed,’’ Devaney said, adding that Congress should penalize recipients who fail to report.

The doubts expressed by Devaney and Gene Dodaro, GAO acting comptroller general, at yesterday’s House Oversight Committee hearing lend nonpartisan credence to general concerns about stimulus data. Devaney, who assumed his position in the spring, has repeatedly cautioned government officials at all levels that early data would probably contain errors. But some of those mistakes aren’t necessarily bad, he said.

“In reality, this data should serve in the long run as evidence of what transparency can achieve,’’ Devaney said. “In the past, this data would have been scrubbed from top to bottom before its release. The agencies would never have released the information until it was near-perfect.’’

Republicans attacked the jobs figures, referring to the data as “propaganda’’ and “garbage,’’ and called the entire stimulus-reporting process “disgusting.’’

“The administration continues to misread the economy, misunderstand the nature of economic growth, mislead the American people with faulty jobs claims, and miss the steps this country needs to take to get our economy back on track,’’ Representative Darrell Issa of California said.

The administration has struggled to define stimulus job creation because it is difficult to know what role the funding played. “This has never been done before,’’ said Ed DeSeve, White House stimulus adviser.