Actions are needed to improve the administration of the Department of Veterans Affairs’ provider performance pay and awards systems, GAO has said.
It said for example that VA’s performance pay policy has gaps in information needed to appropriately administer this type of pay.
Further, performance pay policy gives VA’s 152 medical centers and 21 networks discretion in setting the goals providers must achieve to receive this pay, but does not specify an overarching purpose the goals are to support, according to GAO-13-536.
It said the Veterans Health Administration has not reviewed the goals set by medical centers and networks and therefore does not have reasonable assurance that the goals make a clear link between performance pay and providers’ performance.
Concerns remain about the quality of care VHA delivers, but many physicians and dentists, referred to as providers, receive performance-based pay and awards, GAO said, noting that in fiscal 2011 about 80 percent of VHA’s nearly 22,500 providers received approximately $150 million in performance pay, and about 20 percent received more than $10 million in performance awards.
VA generally agreed to clarify the performance pay policy, by specifying the purpose and documentation requirements and that VHA review performance pay goals for consistency with the purpose, and improve oversight to ensure compliance.
