Congress managed to balance the Federal budget, but lawmakers are finding it more difficult to balance the books of their own in-house foodservice operations.
Results of a new independent audit of the Senate Restaurants' Revolving Fund reveals a continuing cumulative
deficit from operations of $2.6 million—a shortfall that has sent Capitol Hill foodservice managers scrounging for resources to make payrolls and pay vendors.
"The Fund has relied on loans and subsequent transfers of appropriate capital from the Senate to finance its losses and to continue to pay the Fund's expenses," investigators at the U.S. General Accounting Office point out.
If anything, the Fund's multi-million dollar operating losses are even more troublesome because the Senate Restaurants receive taxpayer subsidies covering the cost of utilities, rent and management salaries.
Little hope: KPMG Peat Marwick, the national accounting firm that conducted the audit, offered little hope that Senate foodservice operations will be running in the black anytime soon.
"If trends continue," the auditors warn, the Fund "will continue to require additional loans or appropriated fund transfers, to support its future operations."
The audit also uncovered "continuing weaknesses" in the Fund's "logical access controls."
(Translation: Senate Restaurant computers may be vulnerable to hackers seeking access to confidential information about Ted Kennedy's dessert preferences or tipping practices.