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Audit Initiated on DOT's Fiscal Year 2015 Implementation of the Improper Payments Elimination and Recovery Act of 2010

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In July 2010, the President signed the Improper Payments Elimination and Recovery Act (IPERA). The law mandates improper payment reporting requirements for agencies and oversight requirements for inspectors general. Since the law was enacted, the Federal Government has intensified efforts to eliminate incorrect payments made from Federal program funds, including wrong amounts, duplicate payments, and payments with insufficient documentation.

As IPERA requires, we are initiating an audit of the Department of Transportation’s (DOT) implementation of IPERA during fiscal year 2015. Our objectives will be to determine whether: (1) DOT complies with IPERA’s requirements as implemented by the Office of Management and Budget, (2) the improper payment information in DOT’s Annual Financial Report is accurate, and (3) DOT is meeting its improper payment reduction targets for fiscal year 2015.