FederalDaily.com > Progress towards Dental/Vision Benefits

FederalDaily - August 22, 2005

Progress towards Dental/Vision Benefits

The Office of Personnel Management (OPM) last week announced plans to implement the Federal Employee Dental and Vision Benefits Enhancement Act of 2004. OPM is seeking contracts from health carriers. OPM recently posted a synopsis of its proposed dental and vision benefits acquisition plan on FedBizOpps (www.fedbizopps.gov). The federal government may award multiple contracts for dental benefits and vision benefits. Individuals and corporate representatives will be able to submit comments. The current timeline for procurement actions leads up to a July 2006 start date. Under the proposed timeline, the official solicitation will be issued in September 2005 with proposals due in November 2005. The full cost of the premiums for coverage will be paid by enrollees; federal agencies will not subsidize the benefit.

OPM Cuts $10 Million through Competition

The Office of Personnel Management (OPM) recently announced $10.4 million in savings and cost avoidances as a result of two public-private competitions, one of which will keep 52 information technology (IT) specialist jobs in-house at the agency's Macon, Georgia, facility. OPM also said the work of 10 employees who repair elevators, service heating and cooling systems, and provide other maintenance functions in its Washington headquarters will be turned over to the private sector. In the case of OPM's IT specialists, employees at the Macon Technical Services Group developed a Most Efficient Organization, which includes a 40-percent cut in projected overtime expenses. The estimated savings over five years is nearly $900,000, according to OPM. The competition involving the building operations staff projects savings totaling more than $500,000 over five years.

SSA Agents Could Do Better on the Phone

Each day thousands of people contact the Social Security Administration (SSA) to file claims, update records and request information from its 1,300 field offices, Web site and national toll-free 800 number. The 800 number was implemented nationwide in 1989. Despite making improvements to its 800-number service, SSA still has difficulty keeping pace with caller demand, according to a new Government Accountability Office (GAO) report. In 2001, SSA upgraded its 800-number network. However, SSA’s expansion of its automated services to reduce agent call burden has not had its intended effect, GAO found, as callers continue to show a strong preference for agent assistance. Further, GAO found although SSA has taken steps to help agents provide callers with accurate information and consistent services, the agency still has problems. From 2001 through 2003, SSA did not meet its 90 percent target for service accuracy—that is, agents’ performance in handling non-payment related issues in accordance with agency requirements.

IRS Could Improve Tax Gap Efforts

The IRS says a gap arises each year between what taxpayers pay accurately and on time in taxes and what they should pay. The tax gap is composed of underreporting of tax liabilities on tax returns, underpaying of taxes due from filed returns and nonfiling of required tax returns. The IRS recently began to capture data on the reasons why taxpayers are noncompliant. However, according to a new Government Accountability Office (GAO) report, the IRS has concerns about the data, such as examiners assigning the same reason for noncompliance regardless of situation. Collecting better data on reasons can help the IRS focus its activities on taxpayer service or enforcement, GAO said. GAO recommends that the IRS develop plans to periodically measure tax compliance; take steps to improve IRS data on the reasons taxpayers are not complying; and establish long-term, quantitative goals on the voluntary compliance levels.