Federal Reports

The VA Office of Inspector General (OIG) investigated an allegation that during fiscal year 2017 an employee of the Hunter Holmes McGuire VA Medical Center (VAMC) in Richmond, Virginia, misused official time by recording overtime and compensatory time in excess of 500 hours and 200 hours, respectively. During its review, the OIG also evaluated the employee’s use of telework. Concurrent with the OIG investigation, the Veterans Integrated Service Network 6 (VISN 6) Financial Quality Assurance Manager audited the time worked by the employee and concluded that the extent of the employee’s additional work hours was known to the VAMC’s management, but that documentation and internal controls governing the use of overtime were insufficient. VISN 6 recommended that the VAMC prioritize the hiring of an additional staff member in the employee’s work group to reduce the need for overtime, and that the VAMC management establish and maintain proper internal control structure over the approval of overtime and compensatory time. The OIG concurred with the findings and recommendations of the VISN 6 audit and made no additional recommendations. The OIG investigation also determined that the employee lacked a telework agreement, and that the employee’s position was not coded in the Personnel and Accounting Integrated Data system as telework eligible. When the employee was alerted to this during the OIG investigation, the employee took corrective action to obtain a telework agreement. The agreement was approved by the employee’s supervisor and the Associate Director of the VAMC. Because remedial action was taken, the OIG made no recommendations.

The VA Office of Inspector General (OIG) Administrative Investigations Division investigated an allegation that an employee in the Veterans Health Administration, Office of Quality, Safety and Value engineered the award of a contract valued in excess of $1 million to a company whose Chief Executive Officer was alleged to be a personal friend. The complainant alleged that an existing contracting vehicle was available to meet the requirement and should have been used to procure the services at issue, and that the employee instead improperly steered the contract to the company run by the employee’s friend. The OIG did not substantiate the allegations.

Texas claimed Community First Choice Fee-for-Service (CFC FFS) expenditures appropriately, with minimal errors. Specifically, Texas inappropriately paid for both CFC FFS claims, totaling $116,973 ($73,845 Federal share), and managed care payments for beneficiaries during the same months.

We audited the Housing Authority of the County of Alameda’s Rental Assistance Demonstration (RAD) conversion to the Section 8 Project-Based Voucher Program. We selected the Authority because reviews of RAD conversions were aligned with the goals of our annual audit plan. The objective of our review was to determine whether the Authority administered its RAD conversion in accordance with HUD requirements. Specifically, we wanted to determine whether the Authority (1) executed appropriate written agreements, (2) ensured that project financing sources were secured, (3) ensured that the required environmental reviews were accomplished, (4) maintained separate books and records for the RAD conversion, (5) complied with HUD occupancy requirements, and (6) complied with HUD requirements related to increases in tenant rental payments as a result of the conversion.The Authority generally administered its RAD conversion in accordance with HUD requirements. Specifically, the Authority ensured that it (1) executed proper written agreements, (2) secured project financing sources, (3) completed required environmental reviews, (4) maintained separate books and records for its RAD conversion, and (5) complied with HUD occupancy requirements, and (6) did not increase tenant rental payments as a result of the conversion complied with HUD requirements. This report contains no recommendations.

We audited the costs claimed by the State of Tennessee, Wildlife Resources Agency, under grants awarded by the U.S. Fish and Wildlife Service (FWS) through the Wildlife and Sport Fish Restoration Program. The audit included claims totaling approximately $95.4 million on 35 grants that were open during the State fiscal years that ended June 30, 2016, and June 30, 2017. The audit also covered the Division’s compliance with applicable laws, regulations, and FWS guidelines, including those related to collecting and using hunting and fishing license revenue and reporting program income.We found that the Agency generally complied with applicable grant accounting and regulatory requirements, but inaccurately reported program income, did not maintain oversight responsibilities over subawards, and did not submit required financial and performance reports timely.