Federal Reports

We performed an audit of costs billed to the Tennessee Valley Authority (TVA) by Wright Brothers Contracting, Inc. (Wright Brothers) for site grading services and materials under Contract No. 16512.  The contract provided for TVA to compensate Wright Brothers for work on a fixed price basis for deliverables and materials and on a time and material (T&M) basis for performance of the work.  Our audit objectives were to determine (1) if costs were billed in accordance with the contract terms and (2) the reasonableness of TVA’s process for evaluating and awarding proposed fixed price tasks issued under the contract.  Our audit scope included approximately $28.7 million in costs paid by TVA between September 3, 2021, and May 31, 2024.  This included approximately $24.5 million for 17 fixed price tasks and $4.2 million for one T&M task.

In summary, we determined:

•    Wright Brothers billed TVA $1,401,563 in T&M billings for cost categories that were not included in the contract, Wright Brothers proposal, or TVA’s purchase order.  Additionally, the proposal and invoice documentation did not provide adequate detail for a field invoice approver to effectively review invoices. 
•    Wright Brothers billed TVA $49,355 in unsupported T&M costs, including (1) $43,860 in unsupported equipment costs and (2) $5,495 in unsupported labor costs.  (Note:  $11,320 of the $49,355 unsupported cost were also included in the $1,401,563 ineligible T&M billings.)
•    There were opportunities to strengthen TVA’s process for evaluating and awarding fixed price tasks.  Specifically, TVA did not always compete fixed price tasks as required by the contract.  In addition, when TVA received only one bid for a fixed price task, there were no policies or guidance for steps TVA should take to ensure the fairness of the fixed price amount. 

The VA Office of Inspector General (OIG) conducted a healthcare inspection to assess allegations related to the care of a female patient who presented with “near constant” vaginal bleeding to the Martinsburg VA Medical Center (facility) Emergency Department. 

While no deficiencies were found in the care provided by emergency department physicians, the OIG identified multiple deficiencies in nursing care. The OIG also identified failures in leaders’ oversight to ensure deficiencies were sufficiently remediated.

The OIG determined that the emergency department was equipped to perform gynecologic exams. However, the gynecologic cart, which featured hinged foldable footrests used in extension with the emergency department bed, was not utilized by some providers due to concerns of discomfort for patients.

The OIG substantiated delays in the patient’s transfer to a higher level of care, with an avoidable delay by the facility fire department’s ambulance service. Facility fire department leaders attributed the delay to lack of available staff and inability to mandate overtime for transports. However, the OIG determined that the practice of prohibiting mandatory overtime for emergency transports was incongruent with facility policy and facility leaders’ expectations. The OIG also found that facility leaders failed to assess concerns about the transport delay identified during a factfinding. 

The OIG learned that while the facility initiated a formal review to address broader patient transport challenges in May 2023, more than a year later, recommended policy and protocols identified from the review had not yet been approved by facility leaders.

The OIG made 10 recommendations to the Facility Director related to emergency department communication, adherence to Veterans Health Administration and facility policies, review of implemented actions to ensure quality of care concerns are remediated, evaluation of emergency department equipment for gynecologic examinations, review of overtime practices for staff providing emergency transports, and review of transportation concerns.

This report details the Office of Inspector General's Spring 2025 - Semiannual Report to Congress. The following topics are included:

• Overview of the SBA and the OIG
• SBA's Top Management and Performance Challenges
• Summary of OIG Oversight Work
• Small Business Access to Capital
• Disaster Assistance Program
• Contracting and Counseling Programs
• Agency Management
• Other Significant OIG Activities
• OIG Hotline
• Organizational Overview
• Appendices

We are pleased to present our report for the period October 1, 2024, to March 31, 2025.  In this semiannual period, our audit, evaluation, and investigative activities identified more than $75.1 million in questioned costs; funds put to better use; restitutions, recoveries, fees, and fines; and opportunities for the Tennessee Valley Authority (TVA) to improve its programs and operations.

TVA’s mission of service was set forth in the TVA Act of 1933.  While the mandate to provide affordable electricity, manage the river systems, and promote economic development in the Tennessee Valley has remained constant for 92 years, TVA has had to transform itself in areas such as methods of electricity generation, funding approaches, skills, technology, and more.  Some transformations came about by opportunities like innovation, while others came about in reaction to constraints.  Today, TVA finds itself in another stage of transformation as it addresses significant requirements to grow clean generation capacity.  Our office will stand with TVA as we fulfill our mission to provide independent and objective oversight that promotes effective and efficient operations and prevents and detects fraud, waste, and abuse.

The VA OIG conducted this review to determine whether VA complied with the requirements of the Payment Integrity Information Act of 2019 (PIIA) for FY 2024. PIIA requires federal agencies to identify and review all programs and activities they administer that may be susceptible to significant improper payments based on OMB guidance. PIIA also requires each OIG to review its agency’s improper payment reports and issue an annual report. In FY 2024, VA reported improper and unknown payment estimates totaling $2.2 billion for seven programs. Of that amount, $1.1 billion (about 50 percent) represented a monetary loss, and the remaining $1.1 billion was considered either a nonmonetary loss that cannot be recovered or an unknown payment. These results represent a reduction of about $1 billion (32 percent) from FY 2023 results. VA satisfied five of the six requirements under PIIA. VA did not meet requirement 6 because it did not report an improper and unknown payment rate of less than 10 percent for two programs that had estimates in the materials accompanying their financial statements. VA met additional requirements for high-priority programs by providing quarterly updates to OMB that included plans to prevent and recover monetary losses from improper payments. The OIG recommended the under secretary for benefits reduce improper and unknown payments to below 10 percent for the Pension Program—a repeat recommendation from the previous two fiscal years’ reports—and the under secretary for health reduce improper and unknown payments to below 10 percent for the Purchased Long-Term Services and Supports Program—a repeat recommendation each year since the OIG’s first PIIA report for FY 2020.

Why We Did This Report

The U.S. Environmental Protection Agency Office of Inspector General conducted this audit to examine locality pay for employees working in a telework and remote work status. The objective was to determine whether the EPA ensures employees are paid the correct locality pay in accordance with regulations and policy.

Summary of Findings

The EPA cannot ensure that employees are paid the correct locality pay because it does not have comprehensive or reliable data to verify employees’ worksite locations. Without a mechanism to verify an employee’s worksite location against his or her locality pay, the Agency remains at risk of overpaying or underpaying employees.

NGA OIG Spring Semiannual Report to Congress, 1 October 2024 - 31 March 2025