Partner4Solutions

Share your solutions to improve service delivery, payment accuracy, and administrative efficiency

Each year, taxpayers lose billions of dollars in wasteful improper payments by the federal government to individuals, organizations, and contractors. "Improper payments" is an umbrella term that covers a number of financial transactions — an overpayment to individuals or firms is one example; benefit payments to ineligible program participants is another. In 2008, improper payments totaled $72 billion; in 2009, they totaled $98 billion — an increase driven by improved detection and the significant increase in federal outlays associated with the economic downturn. These errors and mistakes are unacceptable.

On November 20, 2009, the President issued Executive Order #13520, on Reducing Improper Payments and Eliminating Waste in Federal Programs. The Executive Order will seek to rein in these improper payments so that the right people receive the right payment for the right reason. The approach revolves around three categories of action: boosting transparency, holding agencies accountable, and creating strong incentives for compliance. In addition, Congress recently provided $37.5 million to create a Partnership Fund for Program Integrity Innovation. The program provides seed money for innovative pilots to reduce improper payments, improve administrative efficiency and service delivery, while also reducing access barriers and protecting beneficiaries. This Fund will allow state or local agencies to pilot new ideas in a controlled environment. Successful initiatives could be expanded to other states and used to support further administrative or legislative action. The pilots will be selected after review based on their return on investment and impact on beneficiaries.

What are we looking for?

We know that states and local governments are already addressing these issues head-on and have identified many innovative approaches. We see this as an opportunity to better understand some of the on-the-ground best practices. Please join us as a partner by contributing your ideas and suggestions below.

Example: Electronic Benefit Transfer (EBT) was piloted in 1984 in Reading, Pennsylvania as a convenient method of accurately delivering Food Stamp benefits (now called SNAP). Today, SNAP EBT operates in all 50 states. It reduces state and federal administrative costs and delivers benefits to beneficiaries faster. Because of its widespread success, SNAP EBT is being considered as a model for benefit delivery in other programs.

Program(s) Impacted:

SNAP/Food Stamps and other benefit programs

Issue or Concern:

SNAP participants redeem benefits using paper vouchers, delaying redemption and increasing the risk of fraud or loss. Paper checks are also more expensive to issue than EBT benefits.

Solution:

Administer benefits using the SNAP EBT model in similar programs as a way to enhance the convenience for beneficiaries. This model could make it easier for participants receiving benefits across multiple programs and would achieve administrative savings from electronic benefit delivery.

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