Federal Reports

VA’s Office of Community Care (OCC) intended to use overtime to reduce a backlog of non-VA care claims. This backlog had been increasing since at least October 2016. The VA Office of Inspector General (OIG) examined how the overtime was used, the effect on claims backlog reduction, and whether claims processors and nurses abused overtime. The OIG found neither OCC nor its Payment Operations and Management (POM) directorate established a policy requiring employees to use overtime exclusively to process those claims or detailed appropriate uses for overtime. Officials did not implement controls to ensure employees used overtime primarily to reduce the claims backlog. A data review of a sample of 45 POM employees found the employees were paid an estimated $11.6 million for overtime hours for which there was no evidence of claims-related activity in the Fee Basis Claims System in fiscal years 2017 and 2018, representing almost half of the total overtime paid. Significantly, 16 of the 45 employees each received more than $10,000 in overtime for hours during which there was no claims-related activity. The audit team referred those cases to the OIG’s Office of Investigations. There must be effective controls in place to monitor use of overtime. The OIG found that during the scope of this audit, such controls did not exist or were ineffective. Supervisors also did not effectively manage productivity during overtime hours, creating a high risk for fraud and abuse. The OIG recommended the under secretary for health review overtime activities for certain POM employees to determine whether disciplinary or other corrective action is warranted, ensure supervisors have the tools to effectively monitor overtime productivity to reduce the risk of abuse, clarify nurse productivity standards and requirements, and implement controls on the appropriate use of overtime.

The Greensboro P&DC is in the Greensboro District within the Capital Metro Area. In fiscal year (FY) 2019, the Postal Service reported 2.1 million late trips nationwide due to contractor failure. From October 1, 2019, to March 31, 2020, the Greensboro P&DC had the third highest number (10,921) of originating late trips due to contractor failure for P&DCs. The average time a trip was late was 42 minutes. There were 34 contractors with originating late trips due to contractor failure at the Greensboro P&DC. Three contractors accounted for 70 percent of the failures. Our objective was to assess the management of HCR irregularities due to contractor failure at the Greensboro P&DC.

The National Credit Union Administration (NCUA) Office of Inspector General conducted this self-initiated audit to assess the NCUA’s Asset Management and Assistance Center’s (AMAC) ability to protect personally identifiable information (PII) found within the records of liquidated unions. The objectives of our audit were to determine whether: 1) AMAC management’s control activities over the liquidation process adequately considers and safeguards PII from initial identification to destruction; and 2) AMAC’s liquidation activities comply with applicable policies, procedures, laws, and regulations relating to the protection of PII.

OIG evaluated RUS’ monitoring and oversight of the Section 313A Program.

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