Ranking Member Raskin Introduces Legislation to Combat Fraud in Government Spending
Washington, D.C. (April 15, 2024)—Today, Rep. Jamie Raskin, Ranking Member of the Committee on Oversight and Accountability, introduced the Government Spending Oversight Committee Act, which would place federal inspectors general (IGs) at the center of fraud reduction and provide them tools to lead the government’s efforts to combat fraud across more than ten major funding bills—including pandemic-related spending.
“Congress has a duty to be a responsible steward of the hard-earned taxpayer dollars used to provide support to American families and businesses through federal programs. This new legislation will codify existing anti-fraud data capabilities in the federal government, build oversight tools that help agencies prioritize fraud reduction, and ensure federal programs support those who need and qualify for them,” said Ranking Member Raskin.
The Government Spending Oversight Committee Act would replicate the successful work of the Pandemic Response Accountability Committee (PRAC) by creating its successor, the Government Spending Oversight Committee (GSOC), within the interagency council of IGs. The bill would provide GSOC with authorities to use data sources and analytics to identify fraud risk and authorize GSOC to share staff with IGs to give them additional knowledge and skills necessary to better combat fraud.
Background
On March 28, 2024, Senator Gary Peters, Chairman of the Homeland Security and Governmental Affairs Committee, and Senator Mitt Romney, Ranking Member of the Subcommittee on Emerging Threats and Spending Oversight, introduced companion legislation in the Senate. On April 10, 2024, the bipartisan legislation advanced out of the Committee. That legislation has been endorsed by Comptroller General of the United States and head of the U.S. Government Accountability Office Gene Dodaro and PRAC Chair Michael E. Horowitz.
To date, the PRAC has helped to uncover an estimated $1.95 billion in fraud loss, a significant return on investment. Under current law, the PRAC will terminate on September 30, 2025, eliminating a key tool for IGs to uncover fraud in federal government spending.
Committee Democrats have long championed efforts to promote greater oversight on how taxpayer dollars are spent. In March 2022, Rep. Gerald E. Connolly, then-Chairman of the Subcommittee on Government Operations, held a hearing to identify ways the federal government can tackle fraud, waste, and abuse in government programs without putting undue burden on the individuals and small businesses who rely on them. Leveraging the information gained at that hearing, Rep. Connolly introduced the Strengthening Tools to Obstruct and Prevent Fraud Act of 2022 (STOP Fraud Act), which would establish a dedicated antifraud office, known as the Federal Real Antifraud Unified Directorate (FRAUD) within the Office of Management and Budget. In July 2022, the Committee voted favorably to approve the STOP Fraud Act.
In December 2021, then-Chairwoman Carolyn B. Maloney and Rep. James Comer sent a letter to the Administrator of the Small Business Administration (SBA) Isabella Casillas Guzman requesting documents and information about SBA’s efforts to mitigate the longstanding problem of fraud in small business set-aside contracting programs and to improve the certification process of eligible businesses.
Click here to read the text of the Government Spending Oversight Committee Act.
Click here to read the one-pager.
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