APPENDIX VI
APPENDIX VI
transfer payments from the U.
of
S. constituted 21.4%
Puerto Rico's Gross National Product
23.0% in 1982 and 22.6% in 1983.
payments,
in
Of these transfer
59% were earned benefits.
While federal
assistance
to
Puerto Rico is higher than
states, it
iS
not
given
1981,
to
most
unreasonably out of proportion, ©
Puerto Rico's per capita income and relative
poverty.
ernors'
According to a study by the National GovAssociation in
constituted
the
1982,
federal
assistance
largest single source of
revenue
for al] the states,
If the staff of GAO relied on Federal
by
Expenditures
State for FY 1983 for the table on page 39,
would point out one glaring omission.
a
computer code error by DOD when
information,
stated
Defense
as $0,
Million.
Because of
supplying
procurement
we
contracts
this
are
whereas actually they totalled $217
Defense
earned benefits,
procurement
contracts,
like
may be a federal expenditure, but
are not regarded as federal assistance.
IV.
“Economic Development Strategy",
is
an
underlying
premise in
Page 39-40.
the
There
Draft - Report:
namely, that the U. S. has no economic development
strategy for the territories,
actions
that
2000289
:
the
except for piecemeal
such as Operation Bootstrap.
economic
development
82
We
strategy
believe
of
the