ASCS Needs To Revise Instructions To Help Ensure the Accuracy of Producer-Supplied Information for Emergency Feed Assistance

A survey was made of the procedures and controls to prevent erroneous payments under the emergency feed program which is administered by the Agricultural Stabilization and Conservation Service (ASCS). The program assists producers in maintaining livestock herd sizes after a natural disaster has caused them to lose 40 percent or more of their normal feed production.

ASCS usually uses producer-supplied information to compute the amount of assistance a producer receives. Currently, ASCS county offices determine the accuracy of the information by a committee review of applications for assistance and spot checks of selected producers. While ASCS instructions require that spot checks be made on all county committee member applications, all ASCS county employee applications, and 10 percent of all applications, they do not require that the spot checks be increased when initial checks show a high percentage of inaccuracies. Three of the four counties surveyed claimed they did not increase spot checks because they were not warranted by the number of inaccuracies, the inaccuracies found did not require adjustments in the amount of assistance, or available personnel were needed elsewhere. However, GAO found that the average reduction in assistance resulting by inaccuracies was about $760, and it varied by county from 0 to $1,369. ASCS needs to revise its spot check instructions to provide county offices with the necessary guidance on the matter.