Improper Pay to Fee-Basis Providers Adequately Addressed by VA San Diego Healthcare System

The VA Office of Inspector General (OIG) investigated allegations that the VA San Diego Healthcare System staff manipulated the time cards for seven fee-basis medical providers in order to pay these individuals on a salary or wage basis rather than a per-procedure basis. In addition, the allegations contended that a fee-basis care provider was told he would be converted to a full-time employee after working full time as a fee-basis provider for one year. The OIG substantiated that certain fee-basis care providers at the VA San Diego Healthcare System were being paid for their time improperly, rather than on a per-procedure basis as required. The OIG did not substantiate that a fee-basis professional had been promised conversion to full-time status. The OIG did not make any recommendations because the medical center took corrective action, including disciplinary action with respect to the supervisor who was accountable for this conduct.