Federal Reports

Physicians receiving these waivers must practice for at least three years in rural Appalachian areas that suffer significant shortages of health care providers

Physicians receiving these waivers must practice for at least three years in rural Appalachian areas that suffer significant shortages of health care providers

Physicians receiving these waivers must practice for at least three years in rural Appalachian areas that suffer significant shortages of health care providers

This Semiannual Report to Congress summarizes the activities of our office for the 6-month period

Semiannual Report to Congress

The audit objectives were to determine whether program funds were managed in accordance with the ARC and Federal grant requirements

The purpose of the survey was to test the effectiveness of program and management controls

This is our seventeenth semiannual report; it describes the results we achieved this reporting period.The last six months have seen considerable change at TVA. TVA reduced its workforce by over 2,650 employees by offering cash payments and voluntary retirement incentives. This reduction helps TVA meet one of its strategic goals--maintaining competitiveness in today's utility ma et. At the same time. TVA is continuing to pursue its other goals: putting employees first and environmental leadership.Within the OIG, we are accomplishing more with less. We streamlined our operations to put full emphasis on audits and investigations, while incorporating into these functions the innovative techniques our former Inspections unit successfully developed and used. In addition, we are developing an automated tracking system which will provide detailed oversight of all OIG projects. We have also prepared a comprehensive audit universe which will help us determine where TVA's audit needs are greatest.During the last six months, we issued 34 audit reports which identified over $3.7 million in funds which could be put to better use and almost $11 million in questioned costs. including an $8 million refund from a TVA contractor that was obtained as the result of the combined efforts of OIG auditors and investigators. Our Inspections unit completed 35 inspections which identified ways TVA could reduce its costs by $22 million. Our investigators completed 150 investigations which resulted in 19 individuals being referred to prosecutors for criminal prosecution. These investigations identified about $2 million in recoveries. avoided costs. or potential long-term savings.Based on these achievements and the strong support of Congress, the TVA Board of Directors. and TVA employees, I anticipate even better results in the future.We are facing a challenging time within the OIG. Twenty-four associates--approximately 20 percent of our wor1<force--recently left after accepting incentives TVA offered to encourage earty retirements. These associates were valuable cow ers and friends who helped us achieve many of our past successes. We appreciate their contributions and will miss them. However. the men and women who remain will help us move forward and maintain the standards we have established for ourselves in serving as a catalyst for excellence. Sincerely, George T. Prosser