The bill increases transparency and accountability around improper federal payments—giving lawmakers, budget reviewers, and taxpayers clearer data and prompting corrective actions—while imposing added reporting burdens and costs on agencies and creating political risks that could disrupt programs.
Taxpayers, Congress, and budget reviewers will receive standardized, clearer data on improper federal payments, increasing transparency and enabling stronger public and legislative oversight.
Federal agencies and staff must identify incomplete corrective actions and describe planned steps, which strengthens program integrity and can reduce future waste and improper payments.
Standardized improper-payment information gives budget reviewers and state governments better inputs for funding and policy decisions, improving the targeting of resources over time.
Federal agencies will incur additional administrative costs and staff time to prepare the required detailed narratives and corrective-action status, increasing operational burdens.
Adding reporting requirements to the President’s budget could lengthen budget preparation and risk delaying submission deadlines if agencies need more time to compile the new data.
If reports highlight widespread improper payments, taxpayers and program beneficiaries could face political pressure for cuts or increased oversight that disrupts services.
Based on analysis of 2 sections of legislative text.
Requires the President's budget to include program-level improper payment trends, explanations for causes, and identification of incomplete corrective actions and planned steps to fix them.
Introduced March 3, 2025 by Rudy Yakym · Last progress March 3, 2025
Requires the President's annual budget submission to include detailed information about improper payments for programs and activities at executive agencies that already must report on improper payments. Agencies must explain why improper payment amounts or rates changed (or didn't) over the prior three years and identify any incomplete corrective actions plus steps they will take to address those improper payments.