Texas: Audit of comp division finds enforcement problems

A recent audit of Texas' workers' compensation agency highlighted problem areas that need attention, officials said.

According to the report by State Auditor John Keel, the Department of Insurance's Division of Workers' Compensation should begin by focusing its efforts on correcting weaknesses in the agency's enforcement process.

The audit found that as of April, 661 pending workers' comp enforcement cases had been open for an average of 467 calendar days. One case, the report noted, had been open since FY 2006, and 58 cases had been open since FY 2007. Auditors also identified 81 workers' comp enforcement cases that were not on the division's case log and 61 pending cases that it had assigned to individuals whose employment had been terminated the prior calendar year.

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The report also noted that the division did not consistently conduct supervisory reviews of staff's work related to workers' comp enforcement cases. According to the division, from March 2009 to March 2010, it conducted only two supervisory reviews of cases that were progressing to disposition.

Auditors also encouraged greater coordination between the division and the DOI. The current reporting structure, the report noted, makes it difficult for the associate commissioner for enforcement at the DOI to monitor workers' comp enforcement cases.

Keel said his office will continue to audit the division's enforcement efforts and disciplinary orders and will present the results in a report.

Read more at the WorkersComp Forum homepage.

September 20, 2010

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