Obama to order federal agencies to compile 'do not pay list'
The Federal Eye is taking a three-day weekend, but scoops this news in Friday's Washington Post. Enjoy the weekend:
President Obama will order federal agencies Friday to establish a national "do not pay list" to prevent the government from paying benefits, contracts, grants and loans to ineligible people or organizations, according to senior administration officials.
The moves are part of a series to cut government waste and fraud and come amid calls for more fiscal restraint from Republicans and moderate Democrats.
A memo Obama is set to sign Friday instructs the Treasury Department, Office of Management and Budget and General Services Administration to establish a government-wide database to ensure agencies no longer send government checks to dead people, delinquent or jailed contractors and other debarred or suspended firms, said officials familiar with the memo and not authorized to speak on the record. About 20,000 separate payments totaling $182 million were sent to dead people in the last three years, according to OMB.
The administration also will announce plans on Friday for the Centers for Medicare and Medicaid Services to use an online fraud-detection program developed by federal watchdogs who are tracking the economic stimulus program. CMS made $65 billion in erroneous payments in fiscal year 2009, and officials expect the tool will help the agency keep closer tabs on medical providers by conducting deeper background checks.
| June 18, 2010; 5:50 AM ET
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