OWCP Interagency Meeting

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OWCP Interagency Meeting

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1. OWCP Interagency Meeting Shelby Hallmark, Director Office of Workers’ Compensation Programs November 28, 2007

2. “SHARED” Progress FECA is like football: -- It’s a contact sport, and it’s all about teamwork. SHARE has focused agencies’ attention on safety and FECA mgt. OWCP continues to pursue its many initiatives to help achieve better results – Doug will focus on those later. WE CAN’T DO THIS ALONE – AGENCIES AND OWCP MUST WORK TOGETHER TO DELIVER THE FECA PROGRAM SUCCESSFULLY. WE CAN’T DO THIS ALONE – AGENCIES AND OWCP MUST WORK TOGETHER TO DELIVER THE FECA PROGRAM SUCCESSFULLY.

3. “SHARE” IS WORKING The President’s “Safety, Health and Return to Employment” Initiative is meeting all goals SHARE I (2004-2006) slow to start, ended with a bang SHARE II (extended through FY 2009): already firing on all cylinders SHARE has almost all of us on the same page, and that’s very positive.SHARE has almost all of us on the same page, and that’s very positive.

4. SHARE Goals To reduce Total Case Rates by at least 3% per year To reduce Lost Time Case Rates by at least 3% per year To improve the timely filing of injury and illness notices by at least 5% per year To reduce the rates of lost production days due to injuries and illnesses by at least 1% per year Here are the four SHARE goals, just for those who may be new to the biz.Here are the four SHARE goals, just for those who may be new to the biz.

5. Total Case Rates -- Goal #1 Federal Government (less USPS) After a slow start in 04 and 05 – injuries have declined each year. In fact, the number of injuries reported to OWCP has declined to a point not seen in the program since before the 1974 amendments.After a slow start in 04 and 05 – injuries have declined each year. In fact, the number of injuries reported to OWCP has declined to a point not seen in the program since before the 1974 amendments.

6. Total Case Rate -- Goal #1 Major Agency—FY07 Goal vs. Actual Almost all agencies reducing injuries Almost all agencies reducing injuries

7. Lost Time Case Rates -- Goal #2 Federal Government (less USPS) Lost time injury rates are even more important – the serious injuries account for a huge percentage of costs and trauma. Again, after stumbling out of the gate, since 2006 the story is VERY POSITIVE.Lost time injury rates are even more important – the serious injuries account for a huge percentage of costs and trauma. Again, after stumbling out of the gate, since 2006 the story is VERY POSITIVE.

8. More of a mixed bag here – if Homeland Security hadn’t reduced their lost time rate so much, the govt. as a whole might not have met the goal. More of a mixed bag here – if Homeland Security hadn’t reduced their lost time rate so much, the govt. as a whole might not have met the goal.

9. Timeliness -- Goal #3 Federal Government (less USPS) Government-wide performance has been excellent from the beginning on Goal 3 – timely filing of claims. Things have plateaued a bit – once you improve, it’s harder to squeeze out more improvement in this regard. But we’re still failing on nearly ONE-THIRD of all new claims – and that’s not good enough. NOTE here: POSTAL SERVICE is at 93%, as Vicki said – using SNAIL MAIL!! The rest of us need to meet that challenge!Government-wide performance has been excellent from the beginning on Goal 3 – timely filing of claims. Things have plateaued a bit – once you improve, it’s harder to squeeze out more improvement in this regard. But we’re still failing on nearly ONE-THIRD of all new claims – and that’s not good enough. NOTE here: POSTAL SERVICE is at 93%, as Vicki said – using SNAIL MAIL!! The rest of us need to meet that challenge!

10. Timeliness -- Goal #3 Major Agency – FY07 Goal vs. Actual Only LABOR exceeding USPS’s excellent results; USDA needs to get moving to meet the MINIMUM GOALOnly LABOR exceeding USPS’s excellent results; USDA needs to get moving to meet the MINIMUM GOAL

11. Lost Production Days -- Goal #4 Federal Government (less USPS) LPD, like injuries, faltered initially but started meeting the goal in 2006 – note tremendous performance so far in 2007! This is a key measure, and it SHOULD be possible to drive it down a lot further. Still losing almost a half day of productivity PER EMPLOYEE due to new injuries each year – much higher in some agencies. And this stat doesn’t count days lost AFTER the first year beyond the injury. Must continue to eliminate injuries, and get people back to work earlier, to reduce LPDs. LPD, like injuries, faltered initially but started meeting the goal in 2006 – note tremendous performance so far in 2007! This is a key measure, and it SHOULD be possible to drive it down a lot further. Still losing almost a half day of productivity PER EMPLOYEE due to new injuries each year – much higher in some agencies. And this stat doesn’t count days lost AFTER the first year beyond the injury. Must continue to eliminate injuries, and get people back to work earlier, to reduce LPDs.

12. Lost Production Days -- Goal #4 Major Agency – FY07 Goal vs. Actual

13. Lost Production Days

14. OWCP Contributions OWCP measures its own Return to Work efforts via “QCM Lost Production Days” Limited to cases moving into the Quality Case Management process – normally those with disability beyond COP For FY 2007 we pushed down LPD for these serious cases to 148 days – down 25% in 10 years

16. OWCP Contributions, cont’d Periodic Roll Management continues to provide results: $17 Million first year savings in FY 2007 Over $2 billion in savings since inception in 1993 Medical cost containment goal met again – fee schedule and bill pay edits net millions in cost avoidance Medical costs continue to rise, but our many initiatives hold costs under the inflation rate for medical services as a whole.Medical costs continue to rise, but our many initiatives hold costs under the inflation rate for medical services as a whole.

18. Long-term Disability Roll WE ARE MAKING STEADY PROGRESS IN GETTING PEOPLE BACK TO WORK – BUT THE TOTAL NUMBER ON THE LONG TERM ROLL IS STILL VERY HIGH. WE ARE MAKING STEADY PROGRESS IN GETTING PEOPLE BACK TO WORK – BUT THE TOTAL NUMBER ON THE LONG TERM ROLL IS STILL VERY HIGH.

20. FY 2008 and Beyond OWCP/DFEC continue to innovate – Doug Fitzgerald will discuss SHARE Web page update this week: FY 2007 LPD results; FY 2008-09 performance targets for all 4 of the goals; and All power point presentations from this meeting Still pursuing FECA reform legislation

21. FECA REFORM Goals Enhance Incentives Address Equity Concerns Fix Antiquated Provisions Revised package to OMB for clearance next week

22. Reaching the goal: A safe and healthy workforce, protected by the best workers’ compensation system on Earth

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