The U.S. Army Corps of Engineers (Corps) has had the authority to award multiyear contracts -- continuing contracts -- without having received appropriations to cover the full contract amount. In 2006, Congress limited the Corps' use of such contracts by prohibiting obligations made in advance of appropriations. In response, the Corps developed a new clause that stopped work once funding for a fiscal year was expended. GAO was mandated to examine (1) the accuracy of the Corps' fiscal years 2007 and 2008 quarterly reports to Congress about continuing contracts that included the new clause, (2) the extent to which the Corp' use of continuing contacts with the new clause may have affected its execution of the Civil Works program during this time, and (3) the extent to which the Corps followed legal procedures in implementing the new clause. To conduct this work, GAO reviewed Corps documents, such as its quarterly reports and bid protests, federal procurement laws, and interviewed officials. GAO recommends that the Corps (1) establish adequate internal controls to track continuing contracts and (2) suspend its use of the new clause until it has been published in the Federal Register. The agency disagreed with the latter recommendation because it anticipates publication within 60 days. GAO continues to believe the recommendation is appropriate because use of the clause would be in violation of the OFPP Act.