Documents/USDA/7: Management Initiatives/6: Improper Payments

6: Improper Payments

ELIMINATE IMPROPER PAYMENTS

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Based on recent audit estimates, Federal agencies make more than $45.1 billion in improper payments annually. This initiative requires agencies to measure their improper payments annually, develop improvement targets and corrective action plans, and track the results annually to ensure that corrective actions are effective. USDA has identified 11 programs that are risk susceptible. The Department has prepared corrective-action plans for these programs to reduce and recover improper payments. The plans will reduce improper payments by approximately$49 million while recovering approximately $43 million in improperly made payments. Reductions in improper payments will include reducing errors in direct benefit programs and in contracting/administrative payments. USDA plans include: Assessing the risk of improper payments in all its programs annually; Working at the Department and agency levels to reduce the number of improper payments made; and Recovering, where possible, overpayments made to individuals and organizations.

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