Summary

Department of Health, Education, and Welfare's (HEW) procedures and practices for recovering salary overpayments were reviewed through examination of overpayment case files and related pay data records and through interviews with payroll personnel.

HEW has not acted promptly to collect hundreds of salary overpayments. As of March, 1976, HEW files showed that overpayments of $157,176 were not being collected from 534 active and former employees. These overpayments were outstanding for periods ranging from 7 weeks to 8 years. At the same time, Central Payroll had not made payroll deductions from the 263 employees who had not responded to overpayment notices within 30 days. Central Payroll has also not followed procedures for collecting overpayments from former employees. HEW has discontinued attempts to collect overpayments of $14,316 to 50 persons that have been outstanding for 3 to 8 years.