Breadcrumb

The Accuracy of Veteran Readiness and Employment Claims Cannot Be Assessed Because of Insufficient Documentation

Report Information

Issue Date
Report Number
23-03328-197
VA Office
Veterans Benefits Administration (VBA)
Report Author
Office of Audits and Evaluations
Report Type
Audit
Report Topic
Education and Loan Guaranty
Major Management Challenges
Benefits for Veterans
Recommendations
5
Questioned Costs
$309,500,000
Better Use of Funds
$0
Congressionally Mandated
No

Summary

Summary

Veteran Readiness and Employment (VR&E) is a VBA program that provides job training and other services to rehabilitate veterans who have an employment handicap, which federal law defines as a service connected disability limiting the veteran’s “ability to prepare for, obtain, or retain employment consistent with [their] abilities, aptitudes, and interests.” The goal of VR&E is to help veterans live independently and, as much as possible, help them become employable, find a suitable job, and stay employed.

The OIG audit team reviewed claims processed from April 1, 2023, through September 30, 2023, and found that, although the program manual and staff training generally capture the regulatory requirements for determining eligibility and entitlement, VR&E counselors—staff who conduct comprehensive initial evaluations to make an employment handicap decision and process the claims—did not clearly document their decisions. Sufficient documentation is necessary to ensure consistent and accurate decisions by counselors. The evidence available to the OIG to support claims was insufficient to assess the accuracy of entitlement decisions, resulting in $309.5 million in questioned costs. VR&E’s executive director acknowledged that VR&E has not asked VA’s Office of General Counsel to comprehensively review VR&E processes, meaning the program may not be conforming with all legal requirements.

The OIG recommended that the under secretary for benefits coordinate with VA’s Office of General Counsel to assess and, if necessary, update the eligibility and entitlement decision process to ensure veterans’ eligibility periods are properly verified and entitlement decisions are sufficiently clear. Other recommendations to ensure that only veterans eligible and entitled to VR&E receive these benefits included developing a standard documentation method for deferrals, extensions, and overall eligibility decisions; making sure VR&E staff are appropriately trained; and ensuring VR&E develops a process to monitor eligibility decisions for accuracy. VA concurred with the recommendations.

Open Recommendation Image, SquareOpenClosed and Implemented Recommendation Image, CheckmarkClosed-ImplementedNot Implemented Recommendation Image, X character'Closed-Not Implemented
No. 1
Open Recommendation Image, Square
to Veterans Benefits Administration (VBA)

Veteran Readiness and Employment should coordinate with VA’s Office of General Counsel to assess the eligibility decision process and ensure all legal and regulatory requirements are accounted for and confirmed by the appropriate staff. If necessary, Veteran Readiness and Employment should update the process to conform with the general counsel’s interpretation of legal requirements.

No. 2
Open Recommendation Image, Square
to Veterans Benefits Administration (VBA)

Veteran Readiness and Employment should develop a standard documentation method for verifying eligibility periods, deferrals, extensions, and final eligibility decisions and train appropriate staff, including vocational rehabilitation counselors, on how to properly document eligibility decisions.

No. 3
Open Recommendation Image, Square
to Veterans Benefits Administration (VBA)

Veteran Readiness and Employment should develop a quality assurance review process to monitor the accuracy of eligibility decisions.

No. 4
Open Recommendation Image, Square
to Veterans Benefits Administration (VBA)

Veteran Readiness and Employment should coordinate with VA’s Office of General Counsel to assess the entitlement requirements and whether those used to confirm and document entitlement decisions are compliant with laws and regulatory requirements. If changes are needed, Veteran Readiness and Employment should update the manual and train appropriate staff accordingly.

No. 5
Open Recommendation Image, Square
to Veterans Benefits Administration (VBA)

Veteran Readiness and Employment should develop additional controls to ensure official entitlement decisions in the narrative report are documented in a manner that is clear and would allow for effective oversight from both internal and external entities, such as containing clear documentation of the assessment of employability factors and additional evidence used to substantiate the claim.