Vision Care Services

We audited $2.49 million of costs billed to TVA by a contractor from January 1, 2005, through December 31, 2006, for the administration of TVA's vision benefit program. Our audit objective was to determine if the costs billed to TVA were in compliance with the contract terms and conditions. In summary, we found TVA was billed (1)an estimated $69,928 for miscalculated and unsupported claim costs, (2)$4,210 for duplicate claims, and (3)$22,255 for claims that exceeded the contract frequency limitations. Additionally, TVA was billed an estimated $56,748 in ineligible claim costs that occurred because eligibility information was not timely updated. Summary Only