News

USDA made $20.3 million in overpayments in FY2012

The USDA Office of Inspector General (OIG) says the Department of Agriculture made 239 farm assistance overpayments worth a combined $20.3 million during the 2012 fiscal year. 70 high dollar overpayments totaling $14.6 million were in the federal crop insurance program; 53 overpayments totaling $2.7 million were through the Natural Resources Conservation Service and 46 overpayments totaling $1.18 million were in miscellaneous disaster programs through FSA.

Overpayments are defined as those which are at least 50 percent above the correct amount and total at least $5,000 per individual or $25,000 per organization.

The OIG said the USDA could decrease its overpayments through better control over bookkeeping and stricter adherence to reporting guidelines, including the deadlines for producing quarterly numbers. The report says “the quarterly reports included errors and were published up to 102 days after the due date.”

The report also notes there were no major overpayments for nutrition assistance, including the Supplemental Nutrition Assistance Program in 2012.

Read the OIG report here: