Showing posts with label budget. Show all posts
Showing posts with label budget. Show all posts

Monday, November 11, 2013

Low hanging fruit for Representative Ryan and Senator Murray

October 8, 2013, the Senate Committee on Homeland Security and Governmental Affairs reports $4.5M in fraudulent disability claims due to collusion by a judge, an attorney and multiple doctors.

November 1, 2013, the Office of the Inspector General reports the Centers for Medicare and Medicaid services paid $23M for deceased beneficiaries between 2009 and 2011.  This accounts for less than one-tenth of one percent of total payments.

September 14, 2013 General Accountability Office reports from December 2010 - January 2013 36,000 beneficiaries received improper disability pay in the amount of $1.3B.  This accounts for less than one percent of beneficiaries and disability payments during the time frame.

Representative Paul Ryan and Senator Patty Murray are leading a group of legislators trying to come up with a budget deal prior to the next fiscal deadline.  Much talk has been about increasing revenues, cutting budgets or reforming “entitlement” programs.  While reforming Social Security, Medicare and Medicaid are necessary, these headlines show reform has many forms.  Before cutting payouts, Representative Ryan and Senator Murray should look into increasing funding to these institutions.

It may seem counterintuitive to increase funding when trying to decrease the budget, but funds to increase systems to reduce improper payments would save much more than their cost.  Improved databases, applications and training can prevent the above from occurring with such regularity.  Increased tracking and investigation could uncover devious plots to take advantage of a system designed to support those who need it the most.

With that, significant reductions in outlays could be achieved without reducing benefits to those that need them the most.  When dealing with budgets in the billions, it is easy to lose sight of $4M or $23M being lost without keeping focus on the fact these are very large numbers.  One can find the evidence of this loss of focus can be seen in the reference to one-tenth of one percent of total payments.  Before cutting benefits to seniors, active duty military and single mothers, Representative Ryan and Senator Murray can attack some low hanging fruit.

Sunday, September 29, 2013

Congress' attack on the federal workforce

What is the recipe for low morale in the workforce?  While all agencies have experienced similar problems with employee morale, being the largest and most visible of the federal workforce, take the Department of Defense civilian workforce as an example.  Start by not having effective incentives for high performance.  Make the main metric for performance how quickly you spend your budget, including punishment for not spending all of it; to the point where cost savings are definitely not rewarded.  So what is left when it comes to raises and bonuses?  Rather than a merit based system, we are left with a time based system; everyone with the same time gets the same benefits almost regardless of performance.  In fact, what do you get for doing a good job; more work.  


That is a bit cynical given the pride that comes from doing a good job; providing the Warfighter with the best equipment possible, helping them be the best in the world, and helping to save lives.  Unfortunately, that focus on the outcome can be overshadowed.  To that end, direct leadership spent years trying to change this culture, while refocusing on the outcome, only to be undercut by outside forces.


Add on a severely high operational tempo, for 12 years, where failure directly affects those Warfighters. Imagine constant pressure from inner desire to support those Warfighters, direct leadership and customers for more than a decade. And after successfully meeting those challenges, and while attacking the next challenge, indirect leadership and public sentiment spends their time telling the workforce they are overpaid.


The irony, of course, being relative to their peers they are in fact underpaid.  Some of those indirect leaders use statistics to prove the workforce is overpaid, but fail to mention the data set includes many job categories which do not match the knowledge, skills and ability of this workforce.  After establishing this misinformation as fact, freeze their pay for a few straight years.  Then, cut their pay because of leadership’s inability to develop an effective budget.  Not once, but potentially twice.


Ultimately, after over a decade of strenuous hard work, by degrading and withholding pay from the federal work force, Congress has created an environment where the only thing keeping the best and brightest in their current position is loyalty; loyalty to their command and mission.  Even loyalty has its limits.  Should this continue, the workforce responsible for spending trillions of dollars, due to lack of knowledge, skills and ability, will be unable to effectively perform the tasks necessary to meet such an awesome responsibility.  In the end, Congress could be much, much worse than any outside enemy.