White House Launches Improper Payment Reduction Portal

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Photo: Sergej Khackimullin

The White House launched a new online tool Thursday that aims to stop federal agencies from issuing improper payments, InformationWeek reports.

The new Do Not Pay tool, launched by the Office of Management and Budget and the Treasury Department, aims to eliminate fraud, waste, abuse and improper payment issues.

Do Not Pay replaces a series of anti-fraud portals with one system.

OMB Director Jeff Zients issued a memo Thursday pushing for speedy adoption of the Do Not Pay portal.

The memo calls for federal agencies to submit a timetable to the OMB on June 30, demonstrating how and when the system will be implemented.

The report notes that federal agencies spent $125 billion of government funding on improper payments to the wrong recipient, disbursements and unqualified contractors in fiscal year 2010.

Auditors additionally found that between the years 2007 and 2010, $180 million was disbursed for deceased beneficiaries and another $230 million was given to ineligible felons.

The new portal will aid agencies in avoiding previous payment errors. Users will submit information about an organization or beneficiary prior to awarding a contract or making a payment.

The portal pulls data from multiple sources, including death records and lists determining eligibility for pay, in order to avoid previous payment error.

Analysis teams can go back and check the data in case the system misses information and can stop or prevent payment from being issued when necessary.

Early adoptors include the Bureau of the Public Debt, the Government Printing Office and the National Archives and Records Administration.

The Department of Veterans Affairs, Pension Benefit Guaranty Corp. and Small Business Administration are set to follow, the report said.

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  1. This program leaves out one very important factor. Providing a point in time checks will not help stop these paymets from happening. When they created the program the did not account for payments to contractors that are already on contract. The program will still be very manual in nature which will lead to errors.

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