The Hagstrom Report

Agriculture News As It Happens

Navigation

GAO: USDA paid out millions to dead farmers, but USDA says procedures have improved

The Government Accountability Office said in a report released Monday that the Agriculture Department’s Farm Service Agency, Natural Resources Conservation Service and Risk Management Agency paid out as much as $36 million to more than 6,000 dead people over a four year period from 2008 to 2012.

GAO recommended that the agencies improve their procedures for identifying dead beneficiaries.

Daniel Garcia-Diaz, director of GAO’s natural resources and environment division, said in a podcast distributed by GAO that FSA has made “significant improvements in identifying deceased individuals who have received improper payments, but it’s time for the other two USDA agencies, NRCS and RMA, to catch up with their sister agency and implement steps to identify improper payments to deceased individuals, and ensure that taxpayer dollars are used in an appropriate way.”

A USDA spokesman noted that the report includes a June 4 letter from Phillip Sharp, director of the operations and review analysis staff, stating that RMA on May 1 instituted new procedures to improve their identification processes and that NRCS does make sure that participants in their programs have title to the land for which they receive benefits.

The Environmental Working Group said the payments to deceased crop insurance policy holders underscores the need to reform that program, but was silent on the other payments.