Final answer:
An annual review is a process in which organizations assess the effectiveness of their efforts to reduce and recover improper payments. It allows organizations to identify areas for improvement and develop strategies to enhance their payment integrity.
Step-by-step explanation:
An annual review to improve efforts to reduce and recover improper payments:
An annual review is a process in which organizations assess the effectiveness of their efforts to reduce and recover improper payments. Improper payments refer to payments made by the government that do not comply with laws, regulations, or contractual agreements. The review allows organizations to identify areas for improvement and develop strategies to enhance their payment integrity.
During the annual review, organizations analyze payment data, conduct audits, and evaluate internal controls to identify vulnerabilities and instances of improper payments. They may also review policies and procedures, train employees, and implement fraud prevention measures to reduce future instances of improper payments.
For example, the United States Government implemented an annual review process through Recovery.gov to track and monitor the use of funds provided under the American Recovery and Reinvestment Act. The website provides transparency and accountability in the government's efforts to reduce improper payments and promote financial integrity.