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GGD-77-65 1 (1977-07-19)

handle is hein.gao/gaobaacnh0001 and id is 1 raw text is: 1OC3MENT RESUME 03056 - [(2033'12714 -. -NW. Raplacing Lost or Stolen Clernment Checks: Expedited Service versus Costs and Risks. rGD-77-65: B-164L0311-4). Jujy 19, 1977. 18 pp, + oppendix (2 pp.j. Repor to Rep. Elizabeth 3t'lman; by Elmer B. Staats, Comptroller General. Issue Area Incom- Security rograms: Program Monitori.ng and Administrat. nn (1303). Contact: General Goernment Div. Budget function: General Government: Central Fiscal Operations (803); Income Security: rablic kssistance and Other Income Supplcments (604). Organization Concerned: Departt )nt of the Treasury; Social Security Administration. Congressional Relevance: Rep. Elizabeth Holtzi-n. The Department of the Treasury and other agencies are developing data on the timeliness, costs, 'nd zisks of various alternatives for replacing lrst or stolen c;, .cks with a minimum of hardship for the recipients and without incurring excessive costs and risks for the Government. Findings/Conclusions: Because the Supplemental Security Income Program servas the needy, Treasury expedites its claims for replacement checks. Safeguards built into the regular check rel.lacement system to prevent double paymen~s are bypassc. Check replacement time averaged 12 days for claims receiving expedited service. A new system implemented in April 1977 was to have replacement checks delivered within 4 days after a claim is filod, but it is too early to tell if the system will meet this goal. Check replacement time for other programs, including Social Security and Veterans, ranged from an average of 22 to 85 days. Treasury is taking steps to expedite the normal check replacement process, but the resulting replacemant time frame may still not be satisfactory. Providing administrative machinery needed to expedite check processing in these other agencies would eatail an undetermined dxpense. Bypassing the safeguard of determining whether an original check has been cashed would result in unnecessary replacement checks being isriued in these programs. About 30% of the claims filed ia 1976 were either abandoned ir denied. Recovering duplicate payments could be slow and uncertain. (SC)

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