Presents information on the size, location, and costs of the diplomatic presence maintained by the State Dept. and over 35 other U.S. government agencies at 260 posts in about 170 countries around the world. 27 charts and tables.

Considers the future of the United States' overseas representation. Appraises its condition. Offers practical recommendations on how best to organize and manage overseas posts.

Following the 1998 terrorist bombings of two U.S. embassies in Africa that resulted in more than 220 deaths and 4,000 injuries, there have been recurring calls to evaluate and realign-or rightsize-the number and location of staff at U.S. embassies and consulates and to consider staff reductions where practical to reduce security vulnerabilities. The administration showed its support for rightsizing in the President's Management Agenda by directing all agencies operating overseas to rightsize their presence. The Office of Management and Budget (0MB) is implementing this rightsizing initiative by analyzing the U.S. overseas presence and reviewing the staffing allocation process. Given the high costs of maintaining more than (30,000 Mexicans and foreign nationals overseas and the events of September 11, 2001, that highlighted the security vulnerability of Americans worldwide, the administration's rightsizing initiative aims to reconfigure U.S. government overseas staff to the minimum number necessary to meet U.S. foreign policy goals. In May 2002, we presented testimony on a framework for determining the appropriate number of staff to be assigned to a U.S. embassies. As you requested, this report presents the framework discussed in our testimony that outlines the key criteria for evaluating the U.S. overseas presence, along with examples of key questions that may be useful in making the right decisions.