The District is wasting upward of $4.4 million a year on disability compensation because both the government agency and outside contractor charged with managing the program are failing to monitor claims, according to a new audit.

The city’s disability comp program “continues to be at risk for significant fraud, waste and abuse,” according to the report from the Office of the Inspector General. The third-party administrator, Sedgwick Co.’s CMI Octagon, has failedto review and monitor claims for continued eligibility, and the District’s Office of Risk Management has not exercised sufficient oversight, the audit concludes.