The objectives of our audit were to (1) determine whether the U.S. Department of Education (Department) complied with the Improper Payments Elimination and Recovery Act of 2010 (IPERA); (2) evaluate the accuracy and completeness of the Department’s improper payments reporting, estimates, and methodologies;(3) evaluate the Department’s performance in preventing, reducing, and recapturing improper payments; (4) evaluate the Department’s assessment of the level of risk associated with the high-priority programs; and (5) review the oversight and financial controls used by the Department to identify and prevent improper payments.
The Department complied with the Improper Payments Elimination and Recovery Act of 2010 because it met each of the six compliance requirements. We also found that the Department’s improper payment estimates and methodologies for the Federal Pell Grant Program and William D. Ford Federal Direct Loan Program were generally accurate and complete. However, we could not accurately evaluate the Department’s performance in recapturing improper payments because the amounts of identified and recaptured improper payments the Department reported for all programs and activities were inaccurate and incomplete.
We made six recommendations, including that the Department design and implement controls to ensure that its accounting and reporting of identified and recaptured improper payments are accurate and complete.
Improper Payments
See other OIG reports on improper payments.