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RCED-85-98 1 (1985-04-12)

handle is hein.gao/gaobabfaa0001 and id is 1 raw text is: BY THE U,S, GENERAL ACCOUNTING OFF CE Report To The Chairman, Subcommittee On Domestic Marketing, Consumer Relations, And Nutrition, Committee On Agriculture House Of Representatives Quality Control Error Rates For The Food Stamp Program The Department of Agriculture holds states financially liable (sanctions them) for errors in determining food stamp benefits. Each state reports its program error rates to Agriculture based on a sample of food stamp cases it reviews. Agriculture validates these state-reported data, makes any necessary adjustments to produce an official error-rate estimate, and uses this estimate as its basis for sanctioning a state. Because these error rates are estimates, the actual rate could fall anywhere within a specified range, called a confidence interval, around the estimate. GAO calculated the confidence intervals around the fiscal year 1983 error rates of 38 states, based on data available as of March 15, 1985. GAO found that fiscal year 1983 sanctions for these states could range from $686,300 to $15,697,300, depend- ing upon which point in the confidence interval was used. By using the midpoint, as Agriculture does, GAO estimated that sanctions for the 38 states would amount to $6,697,300, Agriculture had not finalized its official state error rates and sanctions at the time of GAO's review. GAO also analyzed state error rates and found that the rate of food stamp overissuances declined somewhat from fis- cal years 1980 through 1983, while the rates for under- issuances and improper denials/terminations of food stamps to eligible recipients remained relatively stable. 126750 0 z 2 GAO/RCED-85-98 _ . APRIL 12, 1985

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