Enacts the "improper payments reporting and reduction act" to require state agencies to annually report on its improper payments and to seek a reduction thereof

7 Co-sponsors

• David Carlucci
• Betty Little
• George D. Maziarz
• José Peralta
• Diane J. Savino
• Andrea Stewart-Cousins
• David J. Valesky

BILL NUMBER:S1677A

Title of bill

An act to amend the executive law, in relation to enacting the "improper payments reporting and reduction act"

Purpose

The purpose of the Improper Payment Reporting & Reduction Act ("IPRRA") is to reduce the amount of improper payments made by state agencies, and accordingly save taxpayer funds while not reducing services. The act will create budget transparency as it relates to improper payments, and hold government agencies accountable for improper payments.

Specifically, IPRRA will (1) require state agencies to annually identify programs that are at risk of a significant amount of improper payments; (2) require state agencies to annually estimate the amount of improper payments; and; and (3) require state agencies to report on what actions and protocols are being implemented to reduce the amount of such improper payments.

Summary of provisions

Section 1: Entitles the bill the "Improper Payment Reporting & Reduction Act II

Section 2: Adds a new article 4-B in the Executive Law so that:

- state agencies or programs that spend more than $20 million a year and that potentially or actually lose over $5 million dollars a year to improper payments must annually (1) identify programs that are at risk of a significant amount of improper payments, (2) estimate the amount of improper payments, and (3) report on what actions and protocols are being implemented to reduce the amount of such improper payments. The first reports will be due in the annual budget submissions for agencies for fiscal years 2011-2012.

- creates an Improper Payment Estimate Guidance Group to consult with the state comptroller and prescribe guidance to agencies on how they will identify, estimate and report on improper payments. The group shall be chaired by the director of the division of the budget and shall additionally include the state inspector general, the medicaid inspector general, the metropolitan transportation authority inspector general, and the welfare inspector general. Agencies are required to cooperate with the improper payment guidance group as needed for the development of the guidance.

- requires the Improper Payment Estimate Guidance Group to meet within six months after passage of this legislation, and requires the group to additionally meet at any time at the suggestion of either the director of division of the budget or the state comptroller; provided that the group must meet no fewer than once every four years to review the improper payment guidance.

Section 3: Sets the effective date immediately.

Legislative history

The same as S.8122 of 2010, Passed the Senate

Fiscal implications

None.

Effective date

This bill would be effective immediately.