June 18, 2007 — Surrounded by a large group of family, friends and other supporters, acting Office of Management and Budget Director Debra Gottlieb was all smiles — and a few tears — Monday, as her official nomination to head the agency sailed through the Senate's Rules and Judiciary Committee.
An employee at OMB for the past 16 years, Gottlieb said her experience with the agency and its staff, coupled with several years of on-the-job training, qualifies her for the position.
"I have a good understanding of the responsibilities of the job, and the culture of the Office of Management and Budget," she said, adding that over the years she has worked her way up through the agency's ranks, filling several other positions on the path toward becoming executive director.
Gottlieb has already begun fulfilling her responsibilities at the helm of the agency — most recently she worked with other members of the governor's financial team to put together the fiscal year 2008 executive budget. But on Monday she also outlined a comprehensive list of short- and long-term goals for the next few years.
In addition to distributing salary increases for government employees and keeping government appropriations in line with the territory's revenues, Gottlieb said she will also establish a program-evaluation unit within OMB to deal specifically with the implementation of performance-based budgeting.
A tool designed to monitor the annual performance of various government departments and agencies, performance-based budgeting is a goal previous administrations have tried to work toward. However, Gottlieb said that difficulties in the implementation of the policy have stemmed from the fact that OMB had previously taken on the lion's share of the work, with little input from other government entities.
This time around, however, the executive branch will actively participate in the process, Gottlieb added. She explained that the creation of the unit will ultimately lead to the promotion of accountability and transparency within government, since the overall performance of each department and agency will get linked directly to that entity's annual budget appropriation.
Performance-based budgeting could also serve as a safeguard against embezzlement, Gottlieb said, since government departments and agencies will have to show exactly how they utilize their resources before they become eligible for more.
Other short- and long-term goals include:
— implementing a certified grants-management training program for federal fund program managers and fiscal officers;
— developing a long-term financial plan with other members of the governor's financial team;
— taking care of government debts associated with hurricanes Hugo and Marilyn;
— finding additional office space and relocating some of OMB's existing employees; and
— winning the Government Finance Officers Association's "Distinguished Budget Award."
Speaking candidly about several of the challenges currently facing the government, Gottlieb added that she will work closely with other members of the administration to improve the territory's financial situation.
In addition to discussing the government's projected $49.5 million projected FY 2007 budget shortfall, Gottlieb explained that other problems plaguing the territory include outstanding liabilities of about $2.7 billion, difficulties in implementing the new Enterprise Resource Planning System and a structural budget deficit that stems from the over-appropriation of the General Fund and other government accounts.
"But despite the major challenges the government of the Virgin Islands and the Office of Management and Budget face daily, I see opportunities for improvement in the government's precarious financial situation," Gottlieb added. "I believe if we are honest about our situation, and collectively set our minds to reverse the situation by engaging in long-term financial planning, implementing performance-based budgeting and … investing in our employees, the future of the U.S. Virgin Islands will be very promising."
Voting in favor of Gottlieb's nomination on Monday were Sens. Carlton "Ital" Dowe, Usie R. Richards, James Weber III and Carmen M. Wesselhoft.
Sens. Celestino A. White Sr. and Alvin L. Williams were absent.
Gottlieb's nomination now moves onto the full Senate body for a final vote.
During Monday's meeting, senators also approved a bill prohibiting loud and excessive noise levels.
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