A bipartisan pair of lawmakers has introduced legislation that focuses on reducing the amount of improper payments the Federal government makes – amounts that reach into the hundreds of billions of dollars per year.
Reps. Abigail Spanberger, D-Va., and Blake Moore, R-Utah, introduced The Enhancing Improper Payment Accountability Act on May 15.
The broad category of improper payments includes payments made by the government that should not have been disbursed at all, or were disbursed in the incorrect amount. The Government Accountability Office reckons that improper Federal government payments totaled $236 billion in fiscal year 2023.
The legislation aims to lower improper payments by designating all new Federal programs making more than $100 million in payments within the first three years as being “susceptible to significant improper payments.”
The bill also would subject Federal programs to more stringent and timely improper payment reporting requirements; require agencies to report on their antifraud controls and fraud risk management efforts in annual financial reports to Congress; and require the President’s budget request to disclose information on agencies and programs that are required to report on improper payments but do not do so.
“Virginia taxpayers and Americans across our country deserve to trust that their federal tax dollars are going toward their intended purpose,” Rep. Spanberger said. “Unfortunately, we continue to receive reports of payments that should not have been made or have been made in the wrong amount.”
“Over the last 20 years, the federal government has made $2.7 trillion in improper payments. Mishandling taxpayer dollars with little oversight is big government at its worst,” said Rep. Moore.
“This legislation will enact more reporting requirements for new federal spending programs, improving our ability to detect and prevent improper payments and more responsibly steward our federal resources,” Rep. Moore continued. “There are plenty of messaging bills in Congress, but this bill is squarely focused on addressing a major issue within our spending crisis.”
“Improper payments and fraud not only hurt American taxpayers – but also hurt the members of our communities who federal programs are created to assist and diminish public trust in the federal government’s role managing taxpayer dollars,” Rep. Spanberger said. “Congress has a responsibility to both stand up programs that address the pressing needs of Americans and protect their hard-earned dollars.”