Inspection of VA Regional Office Honolulu, Hawaii

Overall, VA Office of Inspector General (OIG) benefits inspectors determined Honolulu VA Regional Office (VARO) claims processing staff incorrectly processed 20 of the 69 (29 percent) disability claims selected for review. The claims processing errors resulted in approximately $135,085 in improper benefits payments at the time of our inspection in April 2015. The OIG benefits inspectors sample disability claims considered at increased risk of processing errors so inspection results do not represent the accuracy of all disability claims processed at the Honolulu VARO. OIG staff found VARO staff incorrectly processed 5 of 30 claims related to temporary 100 percent disability evaluations, and processed 8 of 30 traumatic brain injury claims incorrectly. Results in the temporary 100 percent disability evaluations suggest improvement since the VARO was last inspected in 2012. However, OIG reported 7 of 9 cases relating to Special Monthly Compensation and ancillary benefits contained errors. Honolulu VARO staff accurately established the correct date of claim in an electronic system of records for all 30 claims sampled. OIG inspectors also determined VARO staff delayed taking action in processing 14 of the 30 benefits reduction cases because VARO management did not prioritize this workload. The Director of the Honolulu VARO concurred with OIG’s recommendations for improvement.