PRESIDENTIAL WORKGROUP CALL TO ACTION
Reducing Improper Payments
President Obama signed Executive Order (EO) 13520 - Reducing Improper Payments, in 2009 "...to reduce improper payments by intensifying efforts to eliminate payment error, waste, fraud, and abuse in the major programs administered by the Federal Government..." One section of that EO focuses on improving incentives and accountability for State, local governments, and other entities receiving Federal funds. An intergovernmental work group, comprised of high ranking Federal, State and local representatives, has been created to address this mandate. The work group is seeking input from and collaboration with the recipient community to address this important Presidential priority. Recommendations will be submitted to the Office of Management and Budget for consideration in May 2010.
High priority program issues the work group will address are, but not limited to:
· Failure of participants to report changes in status, coupled with difficulty in agency's ability to identify this change,
· Lack of timely information/documentation to refute a participant's eligibility for a claim, and
· Administrative errors.
Incentives the workgroup may consider are:
· Increasing the cost reimbursement rates to allow for increased administrative costs,
· Allowing entities to retain a portion of the recovered/reduced improper payments, and
· Changing the cost principles to allow more flexibility on multi-year capital investments and reduce administrative burdens.
Accountability measures the workgroup may consider are:
* Identify a single responsible representative in each entity who will report annually on the activities and results,
* Establish reduction targets and report more frequently when targets are not met, and
* Future funding is correlated to previous year's improper payments.
We seek your suggestions for incentives and accountability measures appropriate to reducing improper payments for major federal grant and disbursement programs.
Your voice needs to be heard! You don't want to miss this opportunity to work directly with the Federal government as it develops policy for public good.
To submit your ideas go to www.Partner4Solutions.gov <http://www.partner4solutions.gov/> type "Improper Payments - Incentives and Accountability" in the "Issues and Concern" field, you will then be prompted for your ideas. The deadline for submission is February 28, 2010.
Please pass this opportunity along to your friends and colleagues.