CORRECTIONS

Occasionally you may need to adjust the amount of a payment or deposit recorded in the accounting system. When this is necessary, your AAA should be contacted to make the necessary adjustments.

Incorrect payments or overpayments to claimants made using Claims, Navy funds should be deposited back into the operating budget out of which they were originally paid.

When a claim is paid out of the wrong account (for example, a personnel claim is paid citing the accounting data for a federal tort claim), contact your AAA to make the corrections. The only action required is to notify the AAA of the mistake. No adjustments need to be made in the memorandum accounting logbook. Handle refunds to carriers as if the carrier was a regular claimant and pay out of your own authorization. The entry in the memorandum accounting logbook is the same as a regular personnel claims payment.

To correct an erroneous payment of a federal tort claim out of Claims, Defense funds, send a letter to the Payment Branch, Claims Group, U.S. General Accounting Officer (GAO), 441 G Street, N.W.,

Washington, DC 20226-0007. The letter should state that due to an administrative error the claim was paid out of Claims, Defense funds. Then prepare a Transfer Between Appropriations, Standard Form 1080, citing the Claims, Navy funds (the accounting data should be the same as that of the erroneous payment). Forward the claim itself with the letter prepared in the same manner as any claim submitted to GAO with the necessary documental ion. Finally, include a copy of the paid voucher with the letter. Upon receipt of this package, GAO will effect the necessary corrections.

If adjustments after the end of the fiscal year are necessary, usc the following procedures. If the adjusted amount does not exceed the total unobligated balance, then the AAA/FIPC may make the adjustment authorizations locally and authorization holders need not notify JAG. If the adjusted amount exceeds the total unobligated balance, holders should notify JAG immediately so that appropriate action may be taken.

REPORTS

To provide information required by the Office of the Secretary of Defense, you will have to submit a report of the cumulative number and dollar amount of claims obligated as of the end of the report month for the current fiscal year (for each type of claim). This report must be received in JAG within 5 working days after the end of the month. Use the assigned reports control system for this reporting requirement

SUMMARY

Claims, claims management, and claims investigations are important office functions, and the total dollar amount involved in claims for or against the government is substantial. The importance of accurate recordkeeping should be the focus of claims management and you should strive for accurate records in your claims office procedures. Accurate, efficient claims processing not only serves the government but the claimant as well. The steps necessary to achieve this goal are your responsibility.