Labor Dept Shares Secrets with Treasury to Bust Fraud
Published Date: 4/21/2026
Notice
Summary
The Department of Labor is updating eight privacy record systems to share info with the Treasury Department to help stop fraud and improper payments. They’re also adding new rules to handle data breaches better. These changes take effect on May 21, 2026, unless public comments suggest otherwise—so speak up by then!
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Analyzed Economic Effects
2 provisions identified: 1 benefits, 1 costs, 0 mixed.
DOL shares records with Treasury
The Department of Labor will share records from eight systems (OCFO-2, OMBUDSMAN-1, OWCP-2, OWCP-3, OWCP-4, OWCP-5, OWCP-9, and OWCP-11) with the U.S. Department of the Treasury for review in the Do Not Pay Working System. Treasury may use those records to identify, prevent, or recoup improper payments to applicants or recipients of Federal funds, including funds disbursed by states in state-administered, federally funded programs.
New data-breach disclosure rules
DOL is adding two model routine uses (per OMB M-17-12) to permit disclosure of records from the same eight systems when DOL suspects or confirms a breach and determines there is a risk of harm. The routine uses also permit sharing records with other Federal agencies to assist in responding to or preventing, minimizing, or remedying harm from a suspected or confirmed breach.
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