GOAL #4 Sound Financial Planning

Goal: To ensure that sufficient funds exist for the compensation program to pay all eligible applicants to the full extent of their compensable costs.

Objectives


1. To gain an accurate picture of the program's fiscal condition, and to develop strategies to operate within fiscal constraints.

2. To maximize funding for the program, through whatever sources are available.

3. To recover as much of the program's payouts as possible from offenders and other responsible parties, through restitution, subrogation, and collateral resources.

4. To administer state and federal funds in accordance with all state and federal requirements and sound accounting principles.

STRATEGIES

Objective 1: To gain an accurate picture of the program's fiscal condition, and to develop strategies to operate within fiscal constraints.

Basic Strategies


a. Develop and use management reports that provide the following:

o Applications received and paid

o Compensable expenses paid, by cost categories

o Funds received, by source

o Funds available currently

o All statistics necessary for VOCA Performance Reports

o Administrative expenditures

b. Forecast revenues and expenditures annually by source and cost categories.

c. Monitor budget monthly for variances.

d. Develop strategies to boost revenue (see Objective #2) or control costs to keep program within budget. Only if necessary, consider setting

limits and maximums on specific benefit categories, such as mental health.

e. Consider use of VOCA 5% administrative funds to enhance program operations.

Advanced Strategies


a. Make use of fee schedules, such as those used by workers compensation agencies or private insurers, to set reasonable reimbursement levels for individual medical procedures.

b. Assign professional staff to perform quality review of medical bills to find duplicate charges, overcharges, and unrelated charges.

c. Contract with private agency to perform quality review of medical bills to find duplicate charges, overcharges, and unrelated charges.


Objective 2: To maximize funding for the program, through whatever sources are available.

Basic Strategies


a. Encourage legislators, with ample justification to obtain their support, either to:

o Set criminal fees at a level that will ensure sufficient funding; or

o Appropriate the funds needed to meet the program's fiscal needs.

b. Encourage prosecutors, judges, court clerks, probation and parole officers, corrections officials, and others responsible for seeking, ordering, and collecting criminal fees and restitution to fulfill those responsibilities.





Advanced Strategies


a. Develop or encourage creative solutions for maximizing collection of revenue from offenders, such as billing defendants, credit card payments.

b. Set up a committee consisting of court officials, prosecutors, corrections and probation officials to discuss problems and solutions in collections.

c. Publish a regular newsletter for, or maintain regular correspondence with, officials responsible for ordering and collecting offender revenue.

d. Meet with U.S. Attorney in state to encourage collection of federal criminal debt that finances the VOCA Crime Victims Fund.

Objective 3: To recover as much of the program's payouts as possible from offenders and other responsible parties, through restitution, subrogation, and collateral resources.

Basic Strategies


a. Inform victims on the application that they must agree to repay the compensation program from any funds received from the offender or other responsible parties through restitution and subrogation.

b. Include in the notice of payment to victims that they are under a legal obligation to repay the program from sums received from offenders or other responsible parties.

c. Clarify that the duties of claims specialists include being attentive to potential revenue recovery and reimbursement sources.

d. Encourage prosecutors, judges, court clerks, probation and parole officers, corrections officials, and others responsible for seeking, ordering, and collecting criminal fees and restitution to fulfill those responsibilities.

e. Establish a system to track payments of restitution to the program.

Advanced Strategies


a. Develop methods for recognizing staff achievements in identifying and accessing potential revenue recovery and reimbursement sources.

b. Create incentives for court officials to do a better job in collecting restitution.

c. Develop procedures to request restitution orders in individual cases, and to track and monitor sentences and collections.

d. Check with court clerks to determine if civil suits have been filed by applicants against offenders. If so, send notices to the applicants

and/or their attorneys reminding them of subrogation obligations.

e. Send notices to individual offenders whose victims have been compensated and who have been ordered to pay restitution, requesting payment directly to the compensation program.

f. Institute actions, such as garnishment of wages, to obtain payment from offenders.

g. Provide training to prosecutors, judges, court clerks, probation and parole officials, and corrections personnel on the importance of restitution and the procedures to follow in getting it from offenders.

h. Dedicate staff to, or hire a new specialist for, the collection activity described in c. through g. above.

i. Encourage legislation to strengthen the restitution laws in the state, including naming the compensation program as a party to whom the court can order that restitution be paid.

j. Encourage victims in appropriate cases to file civil actions against offenders and responsible third parties, and provide referrals to attorneys or the bar association.

k. Implement a system whereby the program can initiate civil action against responsible offenders and third parties to recover amounts paid by the program, if the victim does not file such an action.

l. Seek legislation that prohibits award of compensation until applicant has satisfied all criminal penalties, such as fines and restitution, that may be owed by the applicant from prior offenses committed by the applicant. Implement procedures to identify criminal fines and penalties owed by applicants.







Objective 4: To administer state and federal funds in accordance with all state and federal requirements and sound accounting principles.

Basic Strategies


a. Establish accounting system that complies with state requirements as well as with VOCA and Federal audit requirements.



b. Maintain documentation that is accessible and verifiable as to program payments to victims and for administrative expenditures.

c. Perform annual audit (or comply with whatever state and federal requirements and procedures exist for audits).

Back to Program Standards

This document was last updated on June 26, 2008