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Financial Management: Improvements Needed in Processing and Collecting Separation Debts

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Report Type Reports and Testimonies
Report Date April 23, 1980
Report No. 112254
Subject
Summary:

A review was made of the procedures for handling separation indebtedness at the Air Force Accounting and Finance Center.

The Claims Division's adjudication of debt cases is often unnecessary and causes undue delay in initiating debt collection efforts. The process is also quite costly. A poor collection rate is the logical conclusion of the Air Force's leniency towards debtors. Of the approximately $13 million in fiscal year 1978 debts available for Center collection, only about $2.6 million was actually collected, with writeoffs constituting about $2.9 million.

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