Federal agencies made some $125 billion in improper payments in 2014. How is that even possible? How does passing another law fix this?

GySgt Wayne A. Ekblad — Fri, 31 Jul 2015 02:58:49 -0400

New legislation cracking down on fraudulent and improper payments gives agencies more requirements and oversight in an attempt to save the government hundreds of billions of dollars a year.

The Improper Payments Coordination Act of 2015 — co-sponsored by Sens. Tom Carper, D-Del., and Ron Johnson, R-Wisc. — builds upon previous measures enacted in 2010 and 2013 by requiring agencies to use and share data to ensure federal dollars are being allocated correctly.

The bill passed the Senate Tuesday by unanimous consent.

The legislation expands use of the Do Not Pay initiative, as well as increasing data sharing — specifically around informing agencies of the death of a beneficiary — and the use of analytics to discover and recover improper payments.

The law also requires the Treasury Department to report to Congress on the agency-by-agency use of analytics within 180 days of enactment.

Carper cited statistics from the Office of Management and Budget that show agencies made some $125 billion in improper payments in 2014 alone.

That figure is $19 billion more than recorded in 2013, Johnson pointed out.

"Despite increased attention to the problem, the federal government's efforts to stop improper payments have not been successful," he said. "Taxpayers expect the federal government to ensure that it is paying the right people in the right amount for the right reason … Incremental improvements such as this are necessary if we are to reduce the $125 billion that was wasted last year."

http://www.federaltimes.com/story/government/management/2015/07/29/improper-payments/30834735/

New law tries to curb $125B in improper federal spending

Legislation requires agencies to share data and use analytics to limit the amount of improper payments being made each year.

Response by SFC Mark Merino made Jul 31 at 2015 3:39 AM

SFC Mark Merino — Fri, 31 Jul 2015 03:39:03 -0400

Mind blowing. Joe gets a statement of charges to repay the DoD $100 for a $20 POS item that never gets used and oopsey.......the big dogs screw the pooch for $125B. BOHICA.

Response by SPC Jan Allbright, M.Sc., R.S. made Jul 31 at 2015 9:34 AM

SPC Jan Allbright, M.Sc., R.S. — Fri, 31 Jul 2015 09:34:31 -0400

What defines "Improper Federal Spending"?
There is not a single example beyond "notification of death of a beneficiary"
Are we paying $125B / yr to dead beneficiaries?
With a $3.90 trillion budget, $125B runs about 3%.
I'm not sure I can run my budget with a 3% error rate!