Special Inspector General for Program Fraud Act
Sponsored By: Senator Josh Hawley
Introduced
Summary
Independent Office of the Special Inspector General for Program Fraud would create a standalone watchdog to detect and prevent waste, fraud, and abuse in federally funded child assistance programs. It would audit and investigate how child care and child nutrition funds are used and report problems and corrective actions to agencies and Congress.
Show full summary
- Families and children: Aims to protect child assistance dollars so more federal funds reach programs that serve children rather than being lost to fraud or overpayments.
- Federal agencies (HHS, USDA, and others): Must provide office space and information and may not block the IG from initiating or completing audits, investigations, or issuing subpoenas.
- Contractors, grantees, and federal employees: Face closer review of major contracts, transfers, and payments and possible investigations with referrals to the Department of Justice.
- Congress and the public: Receives quarterly reports with detailed accounting of obligations, expenditures, major contracts, and related justifications; reports are posted publicly with agency comments.
*This bill would authorize $10 million for each of fiscal years 2026 and 2027, increasing federal spending by $20 million over that period.*
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Bill Overview
Analyzed Economic Effects
3 provisions identified: 3 benefits, 0 costs, 0 mixed.
Agencies must support child-aid oversight
If enacted, the bill would require HHS, USDA, and other covered agencies to give the Inspector General office space, equipment, and assistance for audits and investigations when lawful and practicable. If information or help is unreasonably refused, the Inspector General would report that refusal to agency heads and to Congress. If enacted, the Inspector General would send quarterly reports to Congress within 30 days after each fiscal quarter ends. Each quarterly report would list obligations, spending, agency operating costs, and details on major contracts and grants, including reasons for any non-competitive awards. Quarterly reports would be published online, subject to legal and criminal-investigation exceptions, and agencies could submit comments within 30 days.
New watchdog for child assistance funds
If enacted, the bill would create an independent Office of the Special Inspector General for Program Fraud to oversee federally funded child care and child nutrition money. The Inspector General would have authority to audit, investigate, issue subpoenas, and refer suspected crimes to the Department of Justice. The President would nominate the Inspector General, and the Senate would confirm the appointment not later than 30 days after enactment. The Inspector General's pay would be set at Executive Schedule level IV. The office would end on September 30, 2027, and a final report must be sent to Congress before that date. The bill would authorize $10,000,000 for each of fiscal years 2026 and 2027 to run the office.
Staffing and pay limits for watchdog
If enacted, the bill would let the Inspector General hire staff under competitive civil service rules and use certain temporary appointment authorities until the office ends. The Inspector General could hire contractors and obtain services for audits and studies consistent with law. The bill would cap consultant daily rates at the equivalent of the GS-15 rate and prohibit appointments that extend past the office termination date.
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Sponsors & CoSponsors
Sponsor
Josh Hawley
MO • R
Cosponsors
There are no cosponsors for this bill.
Roll Call Votes
No roll call votes available for this bill.
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