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<p style="margin-top:0in;background:white"><strong><span style="font-family:"Arial",sans-serif;color:#212529">FOR RELEASE</span></strong><span style="font-family:"Arial",sans-serif;color:#212529">:<br>
July 31, 2024<o:p></o:p></span></p>
<p style="margin-top:0in;background:white;box-sizing: border-box;margin-bottom:1rem;font-variant-ligatures: normal;font-variant-caps: normal;orphans: 2;text-align:start;widows: 2;-webkit-text-stroke-width: 0px;text-decoration-thickness: initial;text-decoration-style: initial;text-decoration-color: initial;word-spacing:0px">
<strong><span style="font-family:"Arial",sans-serif;color:#212529">PRESS CONTACT</span></strong><span style="font-family:"Arial",sans-serif;color:#212529">:<br>
Deanna Shoss, Communications, 773-478-8417<o:p></o:p></span></p>
<p style="margin-top:0in;background:white;box-sizing: border-box;margin-bottom:1rem;font-variant-ligatures: normal;font-variant-caps: normal;orphans: 2;text-align:start;widows: 2;-webkit-text-stroke-width: 0px;text-decoration-thickness: initial;text-decoration-style: initial;text-decoration-color: initial;word-spacing:0px">
<span style="font-family:"Arial",sans-serif;color:#212529">The City of Chicago Office of Inspector General (OIG) has released an audit of the Department of Finance’s (DOF) administration of the City’s civilian Workers’ Compensation program; administration of
that program has improved since DOF took it over from former Alderperson Edward Burke’s City Council Committee on Finance in 2019. DOF initially hired the audit and advisory firm Grant Thornton to review the Program and “identify potential patterns or instances
of fraud, waste, and abuse.” OIG finds that DOF has substantially implemented the corrective actions recommended by Grant Thornton. Given the historical gaps in oversight of, and transparency into the Program, OIG recommends that DOF improve annual reporting
procedures to foster public confidence.<o:p></o:p></span></p>
<p style="margin-top:0in;background:white;box-sizing: border-box;margin-bottom:1rem;font-variant-ligatures: normal;font-variant-caps: normal;orphans: 2;text-align:start;widows: 2;-webkit-text-stroke-width: 0px;text-decoration-thickness: initial;text-decoration-style: initial;text-decoration-color: initial;word-spacing:0px">
<span style="font-family:"Arial",sans-serif;color:#212529">“At the time of our audit, the Program had more than 2,000 open claims expected to cost over half a billion dollars. Despite its enormous scale, Workers’ Compensation has historically operated in a
windowless room—with no public transparency, no meaningful oversight, and no effective accountability,” said Deborah Witzburg, Inspector General for the City of Chicago. “As the Program is ushered into a new era and the City works to clear a cloud of historical
corruption, we welcome the opportunity to shine some light into that room.”<o:p></o:p></span></p>
<p style="margin-top:0in;background:white;box-sizing: border-box;margin-bottom:1rem;font-variant-ligatures: normal;font-variant-caps: normal;orphans: 2;text-align:start;widows: 2;-webkit-text-stroke-width: 0px;text-decoration-thickness: initial;text-decoration-style: initial;text-decoration-color: initial;word-spacing:0px">
<span style="font-family:"Arial",sans-serif;color:#212529">The objectives of OIG’s audit were to determine whether DOF implemented corrective actions recommended by Grant Thornton in its 2019 report on the Program; and whether it publishes an annual report
on the activity of the Program, as required by the Municipal Code of Chicago (MCC).<o:p></o:p></span></p>
<p style="margin-top:0in;background:white;box-sizing: border-box;margin-bottom:1rem;font-variant-ligatures: normal;font-variant-caps: normal;orphans: 2;text-align:start;widows: 2;-webkit-text-stroke-width: 0px;text-decoration-thickness: initial;text-decoration-style: initial;text-decoration-color: initial;word-spacing:0px">
<span style="font-family:"Arial",sans-serif;color:#212529">According to OIG’s audit, DOF has taken substantial steps towards implementing the corrective actions outlined in the Grant Thornton report but could further standardize the administration of the Program.
DOF’s 2021 and 2022 Workers’ Compensation Annual Reports show reductions in new claims, shortened time to claim closure, and fewer lost workdays, as compared to the Program’s metrics under the management of the Committee on Finance. OIG encourages DOF to implement
corrective actions related to the recommendations made in Grant Thorton’s report, including clarifying written procedures for program staff and establishing a formal analytic program with peer jurisdictions. DOF should also develop procedures to ensure compliance
with the MCC’s reporting requirements.<o:p></o:p></span></p>
<h5 style="margin-top:0in;background:white;box-sizing: border-box;margin-bottom:0.5rem;font-size:1.25rem;font-variant-ligatures: normal;font-variant-caps: normal;orphans: 2;text-align:start;widows: 2;-webkit-text-stroke-width: 0px;text-decoration-thickness: initial;text-decoration-style: initial;text-decoration-color: initial;word-spacing:0px">
<strong><span style="font-family:"Georgia",serif;color:#212529"><a href="https://igchicago.org/publications/dof-civilian-workers-compensation-program-audit/" target="_blank">Read the full report published on July 31, 2024 here</a>.</span></strong><span style="font-family:"Georgia",serif;color:#212529;font-weight:normal"><o:p></o:p></span></h5>
<p class="MsoNormal"><o:p> </o:p></p>
<p class="MsoNormal"><b><span style="font-family:"Arial Nova Light",sans-serif">Deanna Shoss</span></b><o:p></o:p></p>
<p class="MsoNormal"><span style="font-family:"Arial Nova Light",sans-serif">(She/Her)</span><o:p></o:p></p>
<p class="MsoNormal"><span style="font-family:"Arial Nova Light",sans-serif">Director of Communications and Outreach</span><o:p></o:p></p>
<p class="MsoNormal"><span style="font-family:"Arial Nova Light",sans-serif">Office of Inspector General</span><o:p></o:p></p>
<p class="MsoNormal"><span style="font-family:"Arial Nova Light",sans-serif">740 N. Sedgwick, Suite 200</span><o:p></o:p></p>
<p class="MsoNormal"><span style="font-family:"Arial Nova Light",sans-serif">Chicago, IL 60654</span><o:p></o:p></p>
<p class="MsoNormal"><span style="font-family:"Arial Nova Light",sans-serif"><a href="mailto:dshoss@igchicago.org"><span style="color:#0563C1">dshoss@igchicago.org</span></a></span><o:p></o:p></p>
<p class="MsoNormal"><span style="font-family:"Arial Nova Light",sans-serif">(773) 478-8417</span><o:p></o:p></p>
<p class="MsoNormal"><span style="font-family:"Arial Nova Light",sans-serif"> </span><o:p></o:p></p>
<p class="MsoNormal"><span style="font-family:"Arial Nova Light",sans-serif">You know your city. Talk to us about making Chicago government better.</span><o:p></o:p></p>
<p class="MsoNormal"><span style="font-family:"Arial Nova Light",sans-serif">(833) TALK-2-IG |
<a href="mailto:talk2ig@igchicago.org"><span style="color:blue">talk2ig@igchicago.org</span></a> |
<a href="https://urldefense.com/v3/__http://www.igchicago.org/__;!!B24N9PvjPQId!Z_DAkp5uIQ4eGvUpxbN8y5bUuGNlV1b3QitWrOOQyjEHq2l7tR02zPFHS7bNjaNVKW7DTIdKU-n24pDdDQthXfZHp3E$">
<span style="color:blue">igchicago.org</span></a><o:p></o:p></span></p>
<p class="MsoNormal"><span style="font-family:"Arial Nova Light",sans-serif"><o:p> </o:p></span></p>
<p class="MsoNormal"><i><span style="font-size:10.0pt;font-family:"Arial Nova Light",sans-serif">The information contained in this communication may be confidential or subject to a legal privilege. Unauthorized use, disclosure, or copying of this communication
or any part thereof may violate a federal, state, or local law or may be prohibited by a City of Chicago rule or policy. If you have received this communication in error, please do not read it and notify me immediately by return e-mail. I may ask you to destroy
this communication and all copies thereof, including all attachments. Thank you.</span></i><o:p></o:p></p>
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