OMB ups the ante on improper payments

Starting today, federal agencies will have to start thinking about how to use a new online portal that aims to prevent billions of dollars from being wasted on improper payments.

An April 12 memo from the Office of Management and Budget directs all agencies to create framework for using the “Do Not Pay” list for pre-payment eligibility reviews. The list brings together several databases into one “check point” and uses analytics to identify and stop wasteful errors before they occur. The tool is already in use at the Treasury Department, the Government Printing Office, and the National Archives Records Administration.

Agencies are required to submit their proposals to OMB by June 30, 2012. Final plans are due to OMB by Aug. 31, 2012, and will consist of two parts: The first outlines the agency's commitment to enroll with the Do Not Pay list to reduce improper payments, and the second portion addresses how an agency integrates the list into current business practices.

The departments of Labor, Agriculture and Veterans Affairs and the Small Business Administration are expected to start using the tool in the upcoming months. By spring 2013, all major federal agencies will use Do Not Pay to reduce waste.

Although the White House said the number of improper payments decreased in fiscal 2011 compared to 2010, several inspector general reports show that many agencies, including the Internal Revenue Service, Social Security Administration and Homeland Security Department, continue to struggle with recovering and reporting erroneous payments.

With the release of the OMB memo, the White House also announced agencies have exceeded President Barack Obama’s 2010 goal to recover $2 billion in overpayments to contractors by the end of this fiscal year. The administration surpassed that milestone nearly six months ahead of schedule, mostly due to recovering hundreds of millions of dollars from the Medicare Fee-for-Service Recovery Audit Contractor program.

About the Author

Camille Tuutti is a former FCW staff writer who covered federal oversight and the workforce.

The Fed 100

Save the date for 28th annual Federal 100 Awards Gala.

Featured

  • computer network

    How Einstein changes the way government does business

    The Department of Commerce is revising its confidentiality agreement for statistical data survey respondents to reflect the fact that the Department of Homeland Security could see some of that data if it is captured by the Einstein system.

  • Defense Secretary Jim Mattis. Army photo by Monica King. Jan. 26, 2017.

    Mattis mulls consolidation in IT, cyber

    In a Feb. 17 memo, Defense Secretary Jim Mattis told senior leadership to establish teams to look for duplication across the armed services in business operations, including in IT and cybersecurity.

  • Image from Shutterstock.com

    DHS vague on rules for election aid, say states

    State election officials had more questions than answers after a Department of Homeland Security presentation on the designation of election systems as critical U.S. infrastructure.

  • Org Chart Stock Art - Shutterstock

    How the hiring freeze targets millennials

    The government desperately needs younger talent to replace an aging workforce, and experts say that a freeze on hiring doesn't help.

  • Shutterstock image: healthcare digital interface.

    VA moves ahead with homegrown scheduling IT

    The Department of Veterans Affairs will test an internally developed scheduling module at primary care sites nationwide to see if it's ready to service the entire agency.

  • Shutterstock images (honglouwawa & 0beron): Bitcoin image overlay replaced with a dollar sign on a hardware circuit.

    MGT Act poised for a comeback

    After missing in the last Congress, drafters of a bill to encourage cloud adoption are looking for a new plan.

Reader comments

Thu, Apr 19, 2012

Honda, Nissan, Toyota and BMW (and others I'm sure) all have US manufacturing sites. So I wonder, is it the US manufacturer (each of whom manufactures cars outside of US as well as inside) that we need to support or the US manufacturing jobs, be the manufacturer foreign or domestic?

Mon, Apr 16, 2012

I would like the GSA to explain why they are getting vehicles foreign manufacturers vehicles for use inthe US, insteadd of US manufacturers. I can see it overseas, but no in the US.

Please post your comments here. Comments are moderated, so they may not appear immediately after submitting. We will not post comments that we consider abusive or off-topic.

Please type the letters/numbers you see above

More from 1105 Public Sector Media Group