Sponsors (16)
The bill strengthens transparency and Treasury’s ability to prevent and recover improper payments—potentially saving taxpayer money and improving payment accuracy—while expanding cross-agency data reporting and publication in ways that raise substantial privacy, security, and administrative-burden risks.
Taxpayers, state and local governments gain substantially increased transparency into federal payments because payment purpose, account, and business-event codes must be reported and published (with limited exemptions), while classified or sensitive items are summarized in controlled annexes to preserve oversight.
Taxpayers and government financial managers face stronger tools to reduce improper payments and recover funds because Treasury gets broader access to federal databases and agencies must annually verify payment data, enabling faster identification, recovery, and prevention of erroneous or fraudulent disbursements.
Recipients of federal benefits may see more accurate eligibility and fewer later recoupments because regular IRS and SSA data-sharing improves verification and reduces overpayments.
Individuals and taxpayers face heightened privacy and identity-theft risk because the bill expands sharing of sensitive personal data (SSNs, bank routing/account numbers, tax information) across federal agencies and to contractors and non-federal entities, increasing opportunities for misuse or unauthorized secondary uses.
Taxpayers and some programs face national-security and operational risk because publishing more granular payment details could reveal sensitive operational links or contractor relationships, and failures in classification or controls could inadvertently expose exempt information.
Federal agencies and staff will incur additional administrative and compliance costs — preparing reports, doing annual verifications, managing controlled annexes, and expanding data-sharing — which could divert resources and slow some payment or benefits disbursement processes.
Based on analysis of 3 sections of legislative text.
Requires agencies to report and verify payment details to Treasury and expands interagency access to tax, SSA, new-hire, and credit data to prevent and recover improper payments.
Introduced June 9, 2025 by Joni Ernst · Last progress June 9, 2025
Requires federal agencies to report and verify detailed payment information to the Department of the Treasury for any payment made through Treasury disbursement systems, and expands interagency access to federal data (including tax, SSA, new-hire, and credit-report information) so Treasury and authorized partners can identify, prevent, and recover improper payments. The bill also directs public posting of most payment data, creates verification and certification duties for agency officials, permits limited nondisclosure for sensitive operations, and authorizes related regulations and liability protections for disbursing officials. The measure changes several privacy and disclosure rules to allow Treasury to obtain and share personally identifiable information and certain tax return data (with privacy-preserving controls) with Treasury agents/contractors, federal and authorized non-federal agencies, and state partners to support the Do Not Pay system and other improper-payment efforts.