OMB pools info about improper payments

OMB memo on new appendix

The Office of Management and Budget added a new appendix to OMB Circular A-123 to bring together three memos from 2003 about improper payments.

The appendix also clarifies and updates requirements to help agencies comply with regulations from the Improper Payments Information Act, according to an Aug. 10 memo from Rob Portman, OMB director.

The three memos relate to the specific legislation, programs about erroneous payments to contractors and fees for recovery audits.

Updates to the OMB guidance clarify improper payments, reporting requirements and how to prevent and recover payments. OMB clarifies its authority to require agencies to track programs under the legislation with low error rates but significant payment dollar amounts.

The new guidance is effective immediately, according to the memo.

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