GAO: Transparency an Issue for TARP

The Troubled Asset Relief Program has made strides, but transparency and implementation issues remain, according to a new Government Accountability Office report. "While progress has been made in establishing TARP, much remains uncertain about the program, including whether it will pay for itself or prove to be a cost to the taxpayers," the GAO wrote. The Treasury must give updates on the uses of the almost $365 billion in TARP funds that it has disbursed, the report said. The department is winding down some programs, but others in their infancy face implementation hurdles. Without more direction on the money's use, the report said, the Treasury will be limited in planning the program's next steps. The report recommended that the Treasury strengthen Tarp programs' oversight, communication and transparency. It also should establish a framework for deciding whether to extend Tarp, which is to expire at yearend, and document its decision-making processes and reasoning for Congress.