Sponsors (4)
Introduced April 23, 2026 by James Comer · Last progress June 9, 2026
The bill improves federal detection and recovery of improper payments through expanded data access, verification, and standardized reporting—but does so at the cost of significant new privacy and data‑sharing risks and substantial administrative and cash‑flow burdens on states, recipients, and some beneficiaries.
Taxpayers and federal program managers: stronger screening, expanded Do Not Pay checks, and access to wage/IRS/SSA data will reduce improper and fraudulent federal payments and improve detection and recovery of waste.
Payees, vendors, and agencies: standardized pre‑certification, payee/account verification, and Treasury guidance can improve payment accuracy, reduce payment errors, and speed dispute resolution.
Federal oversight and enforcement entities: consistent post‑award reporting with fraud‑risk indicators and a governmentwide process strengthens oversight and enables criminal/False Claims Act referrals to pursue program fraud.
Millions of Americans (taxpayers, beneficiaries, immigrants, people with disabilities): the bill expands federal access to sensitive records (IRS returns, wage data, SSA data, payee identifiers) and weakens some matching protections, substantially increasing privacy risks and loss of individual control over personal data.
States, localities, nonprofits, contractors, small businesses and agency offices: new screening, reporting, and verification requirements will impose substantial administrative, staffing, and compliance costs that can divert resources from program delivery.
Beneficiaries, small vendors, and providers: stricter pre‑payment checks and automated matches (including Do Not Pay uses of wage/IRS/SSA data) raise the risk of payment delays or incorrect denials, disrupting household finances and vendor cash flow and access to services.
Based on analysis of 6 sections of legislative text.
Mandates preaward/prepayment identity and bank-account checks, expands Do Not Pay data access (including tax and new-hire data), and requires a one-time post-award report from recipients.
Requires federal agencies to run stronger preaward and prepayment fraud checks and to collect a one-time post-award report from recipients, while giving Treasury expanded access to federal data (including certain tax and new-hire records) to power Do Not Pay screening and bank-account verification. Agencies, Treasury, and OMB must issue new regulations and guidance within set timeframes and agencies must apply fraud-risk indicators and follow standardized data formats before certifying payments.