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119-hr-428119th CongressWALLET

Bonuses for Cost-Cutters and Fraud Preventers Act of 2026

Sponsored By: Representative Fleischmann, Charles J. "Chuck" [R-TN-3]

Passed House

Summary

Rewards federal employees for spotting waste and preventing improper payments. The bill would increase award caps, expand who can be rewarded, and create uniform definitions, guidance, and public reporting to standardize cash awards across civilian agencies.

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  • Federal employees: Would expand eligibility for awards and raise the base award from $10,000 to $20,000. Inspector General staff and employees ineligible under section 4509 would not qualify.
  • Agencies and financial managers: Would require agency Chief Financial Officers to determine whether a disclosure shows waste and to name a designee if no CFO exists. The Office of Personnel Management, Office of Management and Budget, and the Treasury would have six months to issue guidance.
  • Congress and taxpayers: Would require agencies to publish descriptions and the number and amounts of cash awards for meritorious disclosures. The Government Accountability Office would provide biennial reports to oversight committees.

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Bill Overview

Analyzed Economic Effects

2 provisions identified: 1 benefits, 0 costs, 1 mixed.

Bigger awards for federal cost-cutters

If enacted, federal civilian employees could get up to $20,000 for flagging waste or stopping an improper payment. To qualify, you would report through a process set by your agency head to the Chief Financial Officer (CFO). The CFO would have to find that the expense was not needed or that the payment would have been improper under existing federal definitions. Employees in an agency’s Inspector General office and anyone barred by 5 U.S.C. 4509 would not be eligible. All of these changes would take effect one year after enactment.

Stronger oversight and reporting for agency awards

Within six months of enactment, OMB, with OPM and Treasury, would issue guidance on how to report waste and set awards. One year after enactment, OPM, with OMB and Treasury, would certify yearly to Congress whether each agency follows the rules. Agencies would publish descriptions of disclosures that earned awards and list the number and amounts of awards, using the same format as current payment reports. If a CFO finds qualifying waste, the agency head would notify the President. If a payment would be improper and cause a loss, the agency head would notify the Treasury Secretary. Agencies without a CFO would name an official to make these determinations.

Sponsors & CoSponsors

Sponsor

Fleischmann, Charles J. "Chuck" [R-TN-3]

TN • R

Cosponsors

  • Rep. Case, Ed [D-HI-1]

    HI • D

    Sponsored 4/9/2026

  • Rep. DesJarlais, Scott [R-TN-4]

    TN • R

    Sponsored 6/4/2026

Roll Call Votes

No roll call votes available for this bill.

View on Congress.gov
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