Pursuit's Take
OIG evaluated the Veterans Benefits Administration’s (VBA) oversight of Post-9/11 Veterans Educational Assistance Act of 2008 (Post-9/11 G.I. Bill) tuition and fee payments to determine if payments were appropriate and accurate.
OIG found that VBA staff at the RPOs made 46 improper payments totaling just under $90,900 on behalf of 43 of the reviewed students. Of these 46 improper payments, 40 were overpayments to 16 schools totaling more than $86,500, and 6 were underpayments to 6 schools totaling just under $4,400. In addition, we identified 39 missed recoupments1 for which the RPOs had not initiated recoupment actions. These 39 missed recoupments totaled just under $96,400 and were related to 37 students.
Based on the more than $5.2 billion in tuition and fee payments made to schools during academic year 2013–2014, OIG projects that VBA issues an estimated $247.6 million in improper payments and had a projected error rate of about 5 percent ($247.6 million divided by $5.2 billion). In addition, VBA did not recoup an estimated $205.5 million annually. As a result, VBA might issue an estimated $1.2 billion in improper payments and might not recoup an estimated $1 billion from students and schools within the next 5 academic school years if it does not strengthen payment and recoupment controls. This equates to an estimated $2.3 billion in improper tuition and fee payments and missed recoupments.