[Exerpt] This Semiannua lReport, covering the period from April I through September 30, 1994, documents many significant accomplishments of the men and women of the U.S. Department of Labor's (DOL) Office of Inspector General (OIG). Particularly noteworthy is the OIG nation wide audit of the Targeted Jobs Tax Credit Program; an extensive investigation of corruption involving Mine Safety and Health inspectors; the conclusion of an investigation into a multi-million dollar health insurance scam;and the OIG's audit on the impact of pension plan terminations on participants.
From a legislative perspective, two areas critical to the mission of the OIG were addressed in this Congress. First, largely as a result of the OIG actively working with the Congress and the Department, legislation to permanently amend the Federal Employees' Compensation Act (FECA) and its related criminal statutes was introduced by Senator Harkin of Iowa and enacted. The OIG believes that this change in the law will greatly deter fraud and abuse of the FECA program. Second, the Federal Acquisition Streamlining Act, introduced by Senator Glenn of Ohio,was passed by Congress. This comprehensive procurement reform measure contains provisions that codify and clarify what costs contractors may submit to the Government and provides all Federal agencies with the same authority to assess penalties against abusers. OIG audits have repeatedly identified abuses and, in May of this year, I testified before the Senate Committee on Appropriations, Subcommittee on Labor that I believed this to be a widespread Government problem. The OIG is of the opinion that this measure will go along way towards deterring contractors from submitting improper charges to the Government.
During this period, in keeping with the Government wide streamlining and reinvention principles of the National Performance Review,the OIG initiated a comprehensive review of its intemal organizational structure in order to consolidate functions and to the extent possible, eliminate supervisory and senior management positions, especially within headquarters. Through consolidation of OIG management responsibilities, 3 Senior Executive Service (SES)and 10 GS-15 positions have been eliminated, for a reduction of one-third of the headquarters SES and GS-15 positions. The OIG intends to continue to identify and implement further streamlining initiatives.