H.R. 8312

[Congressional Bills 119th Congress]
[From the U.S. Government Publishing Office]
[H.R. 8312 Engrossed in House (EH)]

<DOC>

119th CONGRESS
2d Session
H. R. 8312

_______________________________________________________________________

AN ACT

To establish fraud prevention and program integrity functions and data 
sharing authorities within the Department of Treasury and a permanent 
governmentwide Inspector General for Fraud, Accountability, and 
Recovery, and for other purposes.

Be it enacted by the Senate and House of Representatives of the 
United States of America in Congress assembled,

SECTION 1. SHORT TITLE.

This Act may be cited as the ``Fraud Prevention and Accountability 
Act''.

SEC. 2. ESTABLISHMENT OF FRAUD PREVENTION AND FINANCIAL INTEGRITY 
FUNCTIONS WITHIN THE DEPARTMENT OF THE TREASURY.

(a) In General.--Section 306 of title 31, United States Code, is 
amended to read as follows:
``Sec. 306. Fiscal Service
``(a) The Bureau of the Fiscal Service is a service in the 
Department of the Treasury.
``(b) The head of the Bureau of the Fiscal Service is the Fiscal 
Assistant Secretary appointed under section 301(d).
``(c) The Bureau of the Fiscal Service, having as its head a 
Commissioner, shall maintain the following functions related to 
financial integrity, spending transparency, and preventing improper 
payments resulting in financial loss to the government, and does not 
include any investigative or law enforcement function, which, in 
addition to any other duty the Secretary of the Treasury assigns--
``(1) shall administer and operate the Do Not Pay system 
required under section 3354 in a manner that ensures that any 
data provided to the Secretary is used only for the purposes 
set forth under section 3354 in accordance with applicable law; 
and
``(2) shall, in consultation with the Director of the 
Office of Management and Budget, establish and maintain a 
voluntary governmentwide data analysis program in accordance 
with applicable law and using the authorities under section 
6(c)(1) of the Federal Funding Accountability and Transparency 
Act (Public Law 109-282; 31 U.S.C. 6101 note)--
``(A) to provide data sharing and analysis services 
to Federal agencies and any State (meaning a State of 
the United States, the District of Columbia, a 
territory or possession of the United States, or a 
federally recognized Indian Tribe) and local government 
responsible for the administration of a federally 
funded program or the disbursement of Federal funds, to 
detect fraud and prevent improper payments resulting in 
a financial loss to the government, but for no other 
purpose including any policy analysis and enforcement 
action purpose, and, including by facilitating the 
following services upon request and on a voluntary 
basis in accordance with all applicable privacy and 
security laws:
``(i) Federal agency or State and local 
government data sharing of known fraudulent 
entities and transactions resulting from final 
adverse action determinations, payment denials, 
referrals for criminal investigation, or 
equivalent findings with the Department of the 
Treasury.
``(ii) Screening awardees and payees 
against the centralized fraud database prior to 
award or payment issuance, as feasible and in 
accordance with individual program 
requirements.
``(iii) Screening relevant cyber activity 
against the centralized fraud database to 
review recipient or payee changes to virtual 
identity or payment information.
``(iv) Establishing governmentwide 
standards for the collection, labeling, and 
sharing of data related to improper payments, 
to include fraudulent payments, with the 
Department of the Treasury.
``(v) Partnering with financial 
institutions and industry to share best 
practices and, as appropriate, information on 
known fraud patterns and results of 
investigations into fraudulent activity.
``(vi) Providing identity, eligibility, 
account, and vital event verification and 
validation tools and analytical services to 
agencies, as necessary and appropriate; and
``(B) that is capable of receiving (including in 
bulk data formats and through systems that facilitate 
real-time data access) any data asset, information, or 
record related to the administration of Federal 
programs (including federally funded State-administered 
programs) and disbursement of Federal funds under such 
programs, provided to the Secretary for secure and 
confidential use by the center or the Inspector General 
for Fraud, Accountability and Recovery (in accordance 
with any terms included in a written data sharing 
agreement between the Secretary and the Inspector 
General) to recognize and address patterns of 
fraudulent actors, information, and claims across such 
programs; and
``(3) shall provide the Inspector General for Fraud, 
Accountability, and Recovery, access to such information 
technology, data assets, information, and records to support 
the functions and services of the Office of the Inspector 
General for Fraud, Accountability, and Recovery established 
under section 317 in accordance with applicable law.
``(d) The Secretary of the Treasury, in consultation with the 
Director of the Office of Management and Budget, shall not later than 2 
years after the establishment of this section, and on an annual basis 
thereafter, submit, to the Committee on Oversight and Government Reform 
of the House of Representatives and the Committee on Homeland Security 
and Governmental Affairs of the Senate, a report, which may be included 
as part of another report submitted to Congress by the Secretary, on 
the implementation of the Program, including participation rates and an 
assessment of the Program's effectiveness in reducing fraud and 
preventing improper payments resulting in a financial loss to the 
government.
``(e) The Secretary of the Treasury may designate another officer 
or employee of the Department to act as the Fiscal Assistant Secretary 
when the Fiscal Assistant Secretary is absent or unable to serve or 
when the office of Fiscal Assistant Secretary is vacant.''.
(b) Coordination in Designating Do Not Pay Databases.--Section 
3354(b)(1)(B) of title 31, United States Code, is amended by inserting 
``in coordination with the Secretary of the Treasury'' before ``in 
consultation''.
(c) Amendment to Data Act of 2014 Data Analysis Center 
Authorization.--Section 6(c)(1) of the Federal Funding Accountability 
and Transparency Act of 2006 (Public Law 109-282; 31 U.S.C. 6101 note) 
is amended by striking ``may'' and inserting ``shall''.

SEC. 3. ESTABLISHMENT OF INSPECTOR GENERAL FOR FRAUD, ACCOUNTABILITY, 
AND RECOVERY.

(a) Establishment of Inspector for Fraud, Accountability, and 
Recovery.--Subchapter I of chapter 3 of title 31, United States Code, 
is amended by adding at the end the following:
``Sec. 317. Inspector General for Fraud, Accountability, and Recovery 
within the Department of the Treasury
``(a) Office of Inspector General.--There is established within the 
Department of the Treasury, the Office of the Inspector General for 
Fraud, Accountability, and Recovery.
``(b) Appointment of Inspector General; Removal.--
``(1) In general.--The head of the Office shall be the 
Inspector General for Fraud, Accountability, and Recovery, who 
shall be appointed by the President, by and with the advice and 
consent of the Senate.
``(2) Nomination.--The nomination of the Inspector General 
shall be made without regard to political affiliation and 
solely on the basis of integrity and demonstrated ability in 
accounting, auditing, financial analysis, law, management 
analysis, public administration, or investigations.
``(3) Removal.--The Inspector General shall be removable 
from office in accordance with the provisions of section 403(b) 
of title 5.
``(4) Political activity.--For purposes of section 7324 of 
title 5, the Inspector General shall not be considered an 
employee who determines policies to be pursued by the United 
States in the nationwide administration of Federal law.
``(5) Basic pay.--The annual rate of basic pay of the 
Inspector General shall be the annual rate of basic pay for an 
Inspector General under section 403(e) of title 5.
``(6) Legal counsel.--The Inspector General for Fraud, 
Accountability, and Recovery shall, in accordance with 
applicable laws and regulations governing the civil service, 
obtain legal advice from a counsel either reporting directly to 
the Inspector General for Fraud, Accountability, and Recovery 
or another inspector general within the executive branch.
``(c) Duties and Responsibilities.--
``(1) In general.--It shall be the duty of the Inspector 
General, in accordance with section 404(b)(1) of title 5, to 
conduct, supervise, or coordinate oversight activities, 
including audits and investigations of the use of and the 
provision or award of covered funds, and the management by 
agency heads of any program established by the use of covered 
funds, with such related activities of the Inspector General to 
be considered civil or criminal law enforcement activities, 
including by--
``(A) providing support to agency Inspectors 
General, if requested by the agency Inspector General, 
in the oversight of covered funds in order to--
``(i) detect and prevent fraud, waste, 
abuse, and mismanagement;
``(ii) identify major risks that cut across 
programs and agency boundaries; and
``(iii) identify and promote best practices 
and tools to prevent, detect, and respond to 
fraud across covered funds; and
``(B) coordinating with relevant agency Inspectors 
General, the Department of Justice, and, as 
appropriate, the Fiscal Service to--
``(i) provide support in conducting 
investigations, audits, and reviews relating to 
covered funds, including through--
``(I) the establishment or use of 
an independent data analytics platform, 
which shall incorporate to the extent 
practicable and feasible the data 
analytic platform maintained by the 
Pandemic Response Accountability 
Committee prior to the enactment of 
this section;
``(II) the sharing of data, tools, 
and services;
``(III) the development and 
enhancement of data practices, 
analysis, and visualization; and
``(IV) any other appropriate means 
as determined by the Inspector General 
in coordination with relevant 
Inspectors General from any agency that 
expends or obligates covered funds;
``(ii) provide analytical products to 
agencies to promote program integrity, prevent 
improper payments, facilitate verification 
efforts to ensure proper expenditure and 
utilization of covered funds, and assist with 
civil and criminal investigations or litigation 
relating to fraud, waste, abuse and 
mismanagement of covered funds;
``(iii) review the economy, efficiency, and 
effectiveness in the administration of, and the 
detection of fraud, waste, abuse, and 
mismanagement in, programs and operations using 
covered funds;
``(iv) as appropriate and practicable, 
identify data assets and information records 
collected, produced, and maintained by the 
Office that can be securely provided through 
data sharing agreements, including in bulk data 
formats and through systems that facilitate 
real-time data access, with the Secretary of 
the Treasury to support the functions and 
activities of the Fiscal Service and civil and 
criminal investigations or litigation relating 
to fraud, waste, abuse, and mismanagement of 
covered funds; and
``(v) expeditiously report to the Attorney 
General any instance in which the Inspector 
General has reasonable grounds to believe there 
has been a violation of Federal criminal law;
``(C) establish an advisory committee composed of 
other Inspectors General, with at least three 
representing an agency specified under section 901(b) 
of title 31, United States Code, and three from another 
agency, in accordance with the following:
``(i) General functions.--The advisory 
committee may identify and prioritize cross-
agency fraud risks and activities to prevent, 
detect, and otherwise mitigate such risks, 
including by reviewing--
``(I) the economy, efficiency, and 
effectiveness in the administration of, 
and the detection of fraud, waste, 
abuse, and mismanagement in, programs 
and operations using covered funds; and
``(II) whether there are 
appropriate mechanisms for interagency 
collaboration relating to the oversight 
of covered funds, including 
coordinating and collaborating to the 
extent practicable with State and local 
government entities.
``(ii) Recommendations.--The advisory 
committee may, in coordination with the 
Secretary of the Treasury and the Director of 
the Office of Management and Budget, make 
recommendations to agencies on measures to 
prevent or address fraud, waste, abuse, and 
mismanagement, and to mitigate major risks that 
cut across programs and agency boundaries, 
relating to covered funds.
``(iii) Preventing duplication in oversight 
functions.--With a view to preventing 
duplication in government functions and provide 
for ongoing coordination of resources to 
prevent fraud and improper payments in Federal 
programs and spending the advisory committee 
may--
``(I) provide recommendations to 
the Secretary of the Treasury to assist 
the Secretary in making recommendations 
under section 321(a)(11) of title 31; 
and
``(II) provide any such additional 
recommendations in a timely manner to 
the appropriate congressional 
committees as the advisory committee 
determines necessary and to ensure that 
the definition of `covered funds' 
established under section 317(l) of 
title 31 is legislatively expanded, as 
necessary;
``(D) the Inspector General may provide 
investigative support to prosecutive and enforcement 
authorities to protect program integrity and prevent, 
detect, and prosecute fraud of covered funds; and
``(E) coordinating the oversight and investigative 
activities with the Comptroller General of the United 
States, State and local government Inspectors General, 
and State and local auditors, as appropriate.
``(2) Maintenance of systems.--The Inspector General shall 
establish, maintain, and oversee such systems, procedures, and 
controls as the Inspector General considers appropriate to 
discharge the duties of the Inspector General under paragraph 
(1).
``(3) Technical assistance and data analytics support.--In 
addition to the duties of the Inspector General with respect to 
covered funds, for any Inspector General enumerated under 
section 424(b)(1) of title 5, the Inspector General may provide 
technical assistance to support independent oversight 
activities on a reimbursable or non-reimbursable basis provided 
that appropriate data privacy and security protection 
provisions are provided for in agreements to provide such 
technical assistance. Such technical assistance may include, 
but not be limited to the following:
``(A) Sharing data available to the Inspector 
General, as appropriate under a data sharing agreement.
``(B) Sharing and providing data analytics 
services.
``(C) Supporting the development of data analytics 
tools and capabilities.
``(D) Sharing of data analysis best practices.
``(4) Additional duties and responsibilities.--In addition 
to the duties described in paragraphs (1) and (2), the duties 
and responsibilities of inspectors general under subsections 
(b) through (e) of section 404 of title 5, United States Code, 
shall apply to the Inspector General. However, such duties and 
responsibilities shall extend beyond the Department of the 
Treasury notwithstanding any reference to the establishment in 
such section.
``(d) Powers and Authorities.--
``(1) In general.--In carrying out the provisions of this 
section, the Inspector General shall have the authorities 
provided under section 406 of title 5, United States Code, 
except that the references to the establishment in section 406 
of such title are not limited to the Department of the 
Treasury, and references to `this chapter' in section 406 of 
such title shall include this section.
``(2) Treatment of office.--The Office shall be considered 
to be an office described in section 406(f)(3) of title 5 and 
shall be exempt from an initial determination by the Attorney 
General under subsection (f)(2) of such section.
``(3) Treatment of records.--In carrying out the duties and 
functions under this subsection with respect to the oversight 
of covered funds, the Office shall--
``(A) be considered to be conducting civil or 
criminal law enforcement activity for the purposes of 
section 552a(b)(7) of title 5; and
``(B) for the purposes of sections 552 and 552a of 
title 5, be considered to be a component which performs 
as its principal function an activity pertaining to the 
enforcement of criminal laws, and its records may 
constitute investigatory material compiled for law 
enforcement purposes.
``(e) Personnel, Facilities, and Other Resources.--
``(1) Appointment of officers and employees.--
Notwithstanding section 406(a)(7) of title 5, the Inspector 
General may exercise the authorities of subsections (b) through 
(i) of section 3161 of title 5 (without regard to subsections 
(a) or (b)(2) of that section) as if the Office of the 
Inspector General were a temporary organization, as defined in 
such section, to appoint such officers and employees as may be 
necessary for carrying out the duties of the Inspector General 
and to otherwise carry out the functions of the Office of the 
Inspector General under this section, including appointing an 
Assistant Inspector General for Investigations.
``(2) Additional staff.--Upon the request of an Inspector 
General of an Office established under chapter 4 of title 5, 
the Inspector General may detail, on a nonreimbursable basis, 
any personnel of the Office to that Inspector General to assist 
in carrying out any audit, review, or investigation pertaining 
to the oversight of covered funds.
``(3) Annuitants.--
``(A) In general.--The Office may employ an 
annuitant receiving an annuity from the Civil Service 
Retirement and Disability Fund for purposes of the 
oversight of covered funds.
``(B) Treatment of annuitants.--The employment of 
annuitants under this paragraph shall be subject to the 
provisions of section 9902(g) of title 5, as if the 
Office were the Department of Defense.
``(4) Contracts.--The Inspector General may enter into 
contracts and other arrangements for audits, studies, analyses, 
and other services with public agencies and with private 
persons, and make such payments as may be necessary to carry 
out the duties of the Office.
``(f) Requests for Information.--
``(1) In general.--Upon request of the Inspector General 
for information or assistance from any department, agency, or 
other entity of the Federal Government, the head of that 
department, agency, or entity shall, to the extent practicable 
and not in contravention of any existing law, furnish that 
information or assistance to the Office, or an authorized 
designee.
``(2) Refusal to provide requested information or 
assistance.--Whenever information or assistance requested by 
the Inspector General is, in the judgment of the Inspector 
General, unreasonably refused or not provided, the Inspector 
General shall immediately report the circumstances to the 
appropriate congressional committees.
``(g) Reports.--
``(1) Annual reports.--
``(A) In general.--Not later than 60 days after the 
date on which a Inspector General is confirmed, and 
once every year thereafter until the Inspector General 
is no longer serving in such position, the Inspector 
General shall submit to the appropriate committees of 
Congress a report summarizing the activities of the 
Inspector General.
``(B) Contents.--Each report submitted under 
subparagraph (A)--
``(i) shall include--
``(I) for the period covered by the 
report, a detailed statement the 
activities conducted by the Inspector 
General, including estimates of 
fraudulent payments the Office helped 
prevent and assisted in recovering or 
prosecuting; and
``(II) policy and legislative 
recommendations to improve 
governmentwide fraud and improper 
payment prevention and payment and 
program integrity improvements; and
``(ii) may include a classified annex.
``(2) Periodic reports.--
``(A) Management alerts.--The Inspector General 
shall submit to the President and Congress, including 
the appropriate congressional committees, such periodic 
reports as may be necessary to notify the President and 
the Director of the Office of Management and Budget, 
and Congress of any potential program management, risk, 
or funding accountability, or payment integrity 
problems related to the use and provision or awarding 
of covered funds that require immediate attention by 
Federal agencies or Congress.
``(B) Update reports.--The Inspector General shall 
submit to Congress such other reports or provide such 
periodic updates on the work of the Office as the 
Inspector General considers appropriate on the use of 
covered funds including any recommended changes to the 
scope of covered funds under subsection (l)(2).
``(3) Public availability.--The Inspector General shall 
publish on the website established under subsection (k) all 
reports submitted under this subsection.
``(4) Redactions.--Any portion of a report submitted under 
this subsection may be redacted when made publicly available, 
if that portion would disclose information that is not subject 
to disclosure under sections 552 and 552a of this title, or is 
otherwise prohibited from disclosure by law.
``(5) Rule of construction.--Nothing in this subsection may 
be construed to authorize the public disclosure of information 
that is--
``(A) specifically prohibited from disclosure by 
any other provision of law;
``(B) specifically required by Executive order to 
be protected from disclosure in the interest of 
national defense or national security or in the conduct 
of foreign affairs; or
``(C) a part of an ongoing criminal investigation.
``(h) Funding, Transfer of Funds, Assets, and Obligations.--
``(1) Funding.--Beginning in fiscal year 2035, and annually 
thereafter, there is authorized to be appropriated $10,000,000 
to the Office to carry out the duties and functions of this 
section.
``(2) Transfer authority.--The Office may transfer funds 
appropriated to the Office for expenses to support 
administrative support services and audits, reviews, or other 
activities related to oversight of covered funds to any 
Inspector General Office and the Department of the Treasury.
``(3) Transfer of assets and obligations.--
``(A) In general.--Upon the effective date of this 
section, the assets and obligations held by or 
available in connection with the Pandemic Response 
Accountability Committee established under section 
15010 of the CARES Act (Public Law 116-136; 134 Stat. 
533) shall be transferred to the Office. Upon the 
effective date of this section the Pandemic Response 
Accountability Committee may undertake all activities 
to enable such transfer of assets.
``(B) Assets defined.--In this paragraph, the term 
`assets' includes contracts, agreements (including data 
use agreements and memoranda of understanding), 
facilities, property, data, records, unobligated or 
unexpended balances of appropriations, personnel 
identified by the Chairperson and Executive Director of 
the Pandemic Response Accountability Committee pursuant 
to section 317(e)(1) of title 31, and other funds or 
resources.
``(C) Use of unexpended balances of 
appropriations.--Any unobligated and unexpended 
balances of appropriations and funds transferred 
pursuant to subparagraph (B) may be used to support the 
work of the Inspector General, regardless of the 
purpose of the original appropriation.
``(i) Membership in Councils and Committees.--The Inspector General 
shall be a member of the Council of the Inspectors General on Integrity 
and Efficiency.
``(j) Corrective Responses To Audit Problems.--Agency heads shall--
``(1) take action to address deficiencies identified by a 
report or investigation of the Inspector General; or
``(2) with respect to a deficiency identified under 
paragraph (1), certify to the appropriate congressional 
committees that they do not concur with the recommendation and 
no action is necessary, feasible, or appropriate.
``(k) Website.--The Office shall establish and maintain a user-
friendly, public-facing website--
``(1) to foster greater accountability and transparency in 
the use of covered funds, including future supplemental relief 
and recovery funds as may be added to the definition of covered 
funds, which shall have a uniform resource locator that is 
descriptive and memorable;
``(2) that shall be a centralized, governmentwide portal or 
gateway to key information relating to the oversight of covered 
funds, as appropriate, and to the extent practicable provide 
connections to other government websites with related anti-
fraud, improper payment, and oversight and accountability 
information; and
``(3) provide information, including findings from the 
Office, agency Inspectors General, or State auditors and 
financial managers as to the oversight of covered funds, 
including related audits, inspections, or other reports.
``(l) Definitions.--In this section:
``(1) Appropriate congressional committee.--The term 
`appropriate congressional committees' means the following:
``(A) The Committees on Appropriations of the 
Senate and the House of Representatives.
``(B) The Committee on Homeland Security and 
Governmental Affairs of the Senate.
``(C) The Committee on Oversight and Government 
Reform of the House of Representatives.
``(D) Any other relevant congressional committee of 
jurisdiction.
``(2) Covered funds.--The term `covered funds' means the 
following:
``(A) Any funds, including loans or tax credits, 
that are made available in any form to any non-Federal 
entity or individual, under the following:
``(i) Division A or B of the CARES Act 
(Public Law 116-136).
``(ii) The Coronavirus Preparedness and 
Response Supplemental Appropriations Act, 2020 
(Public Law 116-123).
``(iii) The Families First Coronavirus 
Response Act (Public Law 116-127).
``(iv) The Paycheck Protection Program and 
Health Care Enhancement Act (Public Law 116-
139).
``(v) Division M or N of the Consolidated 
Appropriations Act, 2021 (Public Law 116-260).
``(vi) The American Rescue Plan Act of 2021 
(Public Law 117-2).
``(vii) Any loan guaranteed or made by the 
Small Business Administration, including any 
direct loan or guarantee of a trust 
certificate, under the Small Business Act (15 
U.S.C. 631 et seq.), the Small Business 
Investment Act of 1958 (15 U.S.C. 661 et seq.), 
or any other provision of law.
``(viii) Unemployment compensation, as 
defined in section 85 of the Internal Revenue 
Code of 1986.
``(ix) The Infrastructure Investment and 
Jobs Act (Public Law 117-58).
``(x) Public Law 117-169 (commonly known as 
the `Inflation Reduction Act').
``(xi) The Honoring our PACT Act of 2022 
(Public Law 117-168).
``(xii) The CHIPS Act of 2022 (division A 
of Public Law 117-167 (commonly known as the 
`CHIPS and Science Act of 2022')).
``(xiii) The Act titled `An Act to provide 
for reconciliation pursuant to title II of H. 
Con. Res. 14' (Public Law 119-21).
``(B) A Federal award (as defined under section 
7501) in an amount not less than $50,000.
``(C) Any intramural payment made governmentwide 
for research activity.
``(D) Any emergency spending related to disaster 
relief or economic recovery.
``(3) Inspector general.--The term `Inspector General' 
means the Inspector General for Fraud, Accountability, and 
Recovery.
``(4) Office.--The term `Office' means the Office of the 
Inspector General for Fraud, Accountability, and Recovery.
``(5) State.--The term `State' means each of the several 
States, the District of Columbia, each commonwealth, territory, 
or possession of the United States, and each federally 
recognized Indian Tribe.
``(m) Rule of Construction.--Nothing in this section shall be 
construed to--
``(1) affect the independent authority of an Inspector 
General to determine whether to conduct an audit or 
investigation of covered funds; or
``(2) require any Inspector General to provide funding to 
support the activities of the Office.''.
(b) Office of Management and Budget Directive.--On or before March 
1, 2029, the Director of the Office of Management and Budget, in 
coordination with the Secretary of the Treasury and the Inspector 
General of Fraud, Accountability, and Recovery, shall issue a directive 
to the head of each agency in the executive branch that disburses or 
awards covered funds (as such term is defined section 317(n) of title 
31, United States Code, as added by subsection (a)) that requires the 
agency to identify and report opportunities to use the information 
system and data analytics products of the Fiscal Service to detect and 
prevent waste, fraud, abuse, and improper payments in expenditure of 
covered funds to the Director and Secretary within 60 days after 
receiving the directive.
(c) Transitional Provision.--
(1) In general.--Notwithstanding sections 403 and 3345 
through 3349 of title 5, United States Code, and section 
317(b)(1) of title 31, United States Code (as added by 
subsection (a)), the individual described in paragraph (2) 
shall temporarily perform the functions and duties of the 
Office of the Inspector General Fraud, Accountability, and 
Prevention in an acting capacity until such permanent Inspector 
General can be appointed under the process established by such 
section 317(b)(1).
(2) Individual described.--The individual described in this 
paragraph is--
(A) the Chairperson of the Pandemic Response 
Accountability Committee established under section 
15010 of the CARES Act (Public Law 116-136; 134 Stat. 
533) (hereafter ``PRAC'') as of the date this section 
takes effect; or
(B) if the position described in subparagraph (A) 
is vacant as of the date on which this section takes 
effect, the Executive Director of the PRAC.
(d) Transfer of Employees.--Each employee of the PRAC who is to be 
transferred to the Office of the Inspector General of Fraud, 
Accountability, and Recovery under section 317(h)(3) of title 31, 
United States Code, as added by subsection (a), shall be appointed to 
positions in such Office under terms and conditions of employment that 
are substantively the same as the terms and conditions of employment 
applicable to such employee as an employee of PRAC as of the day 
immediately preceding the date on which this section takes effect.
(e) Table of Sections.--The table of sections for subchapter I of 
chapter 3 of title 31, United States Code, is amended by adding at the 
end the following:

``317. Inspector General for Fraud, Accountability, and Recovery within 
the Department of the Treasury.''.
(f) Effective Date.--This section, and the amendments made by this 
section, shall take effect on December 31, 2028.

SEC. 4. DATA SHARING FOR FRAUD PREVENTION AND PROGRAM INTEGRITY.

(a) Authority To Negotiate Data Sharing Agreements; Requirement To 
Provide Future Legislative Recommendations to Congress.--Section 321(a) 
of title 31, United States Code, is amended--
(1) in paragraph (8)(C), by striking ``and'' at the end;
(2) in paragraph (9), by striking the period at the end and 
inserting a semicolon; and
(3) by inserting at the end the following:
``(10) enter into memoranda of understanding with the heads 
of other Federal agencies, including Offices of Inspector 
General and Federal law enforcement agencies, and agreements 
with private entities as may be appropriate and allowable under 
existing law to secure access to such data assets and 
information resources as may be appropriate for the Fiscal 
Service to use to--
``(A) prevent fraud and improper payments in 
Federal programs and spending;
``(B) support the activities and functions of the 
Do Not Pay Initiative;
``(C) beginning on December 31, 2028, support the 
activities and functions of the--
``(i) the Fiscal Service; and
``(ii) the Office of the Inspector General 
for Fraud, Accountability, and Recovery 
established under section 317, in coordination 
with such Office;
``(D) provide such data to relevant Federal 
agencies for the identification, prevention, and 
reduction of waste, fraud, and abuse relating to 
Federal spending and use in the conduct of criminal and 
other investigations, as appropriate; and
``(E) in a manner that ensures any related data 
sharing agreements provide long term, reliable access 
to such data assets and information resources, provide 
the best value to the taxpayer by avoiding duplicative 
data sharing agreements, include appropriate privacy 
protections, and require, as appropriate, reimbursement 
to the Treasury for the reasonable cost of carrying out 
the agreement.
``(11) with respect to any supplemental emergency disaster, 
pandemic, economic relief, or other such supplemental 
appropriations legislative measures totaling more than 
$100,000,000,000 in total funding being considered by Congress 
or any legislative measure establishing a new program with more 
than $100,000,000 in anticipated additional spending in a 
single fiscal year following the enactment of such legislative 
measure being considered by Congress, provide, in coordination 
with the Director of the Office of Management and Budget and 
the Office of the Inspector General for Fraud, Accountability, 
and Recovery, to the leadership of the House of Representatives 
and Senate, the Committees on Appropriations of the House of 
Representatives and Senate, the Committee on Homeland Security 
and Governmental Affairs of the Senate, and the Committee on 
Oversight and Government Reform of the House of Representatives 
any legislative recommendations on such measures to ensure 
that--
``(A) existing fraud prevention and oversight 
functions and entities of the Federal Government or are 
not supplanted or duplicated under such legislative 
measure, but are instead required to be used or 
expanded under such legislative measure;
``(B) any additional resources or authorities for 
such existing functions and entities are adequately 
provided for in such legislative measures in order to 
provide adequate fraud prevention and oversight of 
funds appropriated for and expended under such program; 
and
``(C) fraud prevention, payment integrity, and 
spending transparency best practices are implemented in 
such legislation to ensure that--
``(i) reporting obligations for Federal 
fund recipients are harmonized governmentwide 
and conditioned through legally enforceable 
mechanisms prior to award; and
``(ii) any sub-recipients and sub-awardees 
of Federal fund recipients are also included in 
reporting obligations for such recipients for 
the purposes of ensuring proper recipient 
reporting and transparency on the use of 
funds.''.
(b) Coordination and Duties of the Office of Management and 
Budge.--Not later than 270 days after the date of the enactment of this 
Act, the Director of the Office of Management and Budget, in 
coordination with the Secretary of the Treasury, shall--
(1) update or revise as necessary any regulations, 
memorandum, circulars, or guidance documents to ensure the full 
and timely implementation of this section; and
(2) issue any necessary governmentwide guidance to Federal 
agencies to ensure the full and timely implementation of this 
section.

SEC. 5. TERMINATION AND TRANSFER OF ASSETS OF PANDEMIC RESPONSE 
ACCOUNTABILITY COMMITTEE.

(a) Termination.--Section 15010(k) of the CARES Act (Public Law 
116-136; 15 U.S.C. 9053) is amended by striking ``September 30, 2034'' 
and inserting ``December 31, 2028''.
(b) Transfer of Assets.--On December 31, 2028, all the assets and 
obligations held by or available in connection with the Pandemic 
Response Accountability Committee shall be transferred to the Office of 
the Inspector General for Fraud, Accountability, and Recovery 
established under section 317 of title 31, United States Code, as added 
by this Act.
(c) Technical Amendment.--On December 31, 2028, section 15010 of 
the CARES Act (Public Law 116-136; 15 U.S.C. 9053) is repealed.
(d) Definition of Assets.--In this section, the term ``assets'' 
includes contracts, agreements (including data use agreements and 
memoranda of understanding), facilities, property, data, records, 
unobligated or unexpended balances of appropriations, personnel 
identified by the Chairperson and Executive Director of the Pandemic 
Response Accountability Committee pursuant to section 317(e)(1) of 
title 31, United States Code, as added by this Act, and other funds or 
resources.

Passed the House of Representatives June 10, 2026.

Attest:

Clerk.
119th CONGRESS

2d Session

H. R. 8312

_______________________________________________________________________

AN ACT

To establish fraud prevention and program integrity functions and data 
sharing authorities within the Department of Treasury and a permanent 
governmentwide Inspector General for Fraud, Accountability, and 
Recovery, and for other purposes.