VA Health Care: Medical Care Cost Recovery Activities Improperly Funded
HRD-94-2
Published: Oct 12, 1993. Publicly Released: Nov 17, 1993.
Skip to Highlights
Highlights
Pursuant to a congressional request, GAO: (1) examined whether the Department of Veterans Affairs' (VA) medical centers are using the Medical-Care Cost Recovery (MCCR) Fund to finance cost recovery activities; and (2) reviewed VA efforts to improve the efficiency of its recovery activities.
Recommendations
Recommendations for Executive Action
| Agency Affected | Recommendation | Status |
|---|---|---|
| Department of Veterans Affairs | The Secretary of Veterans Affairs should direct the VA Chief Financial Officer to examine medical centers' internal accounting and administrative controls and, with the assistance of the VA Under Secretary for Health, initiate appropriate actions to ensure that all medical care cost recovery activities are correctly identified and charged to the MCCR Fund. |
VA performed 54 Medical Care Cost Recovery (MCCR) financial-related reviews, which included ensuring that expenses are being appropriately charged to the MCCR appropriation. Field stations were asked to make appropriate cost transfers between MCCR and medical care appropriations. Such reviews are a continuing requirement.
|
| Department of Veterans Affairs | For those staff that perform both cost recovery and non-cost-recovery activities, the Chief Financial Officer and the Under Secretary for Health should develop specific guidelines for allocating personnel costs to the appropriate activity. |
VA incorporated guidance for allocating personnel costs to the appropriate activity in its payroll system.
|
Full Report
Public Inquiries
Topics
Administrative costsBilling proceduresCollection proceduresHealth care cost controlHospital care servicesInternal controlsMedical expense claimsReimbursements to governmentVeterans benefitsVeterans hospitals