PRIA, Government Policy, Made Personal

Summary

Requires federal agencies to keep using the fraud-prevention rules that came from the Fraud Reduction and Data Analytics Act of 2015. Those rules stay in effect and the Director of the Office of Management and Budget can update them after talking with the Comptroller General. Agency means the same thing as in section 551 of title 5. The rules must make agencies check where fraud might happen and build controls based on that risk. Agencies must collect and study data from fraud reports to spot trends and make controls better. They must also use findings from monitoring, audits, evaluations, and investigations to improve prevention, detection, and response. For fiscal years 2019 and 2020, each agency must include in its annual financial report to Congress a description of how it put these controls into place and followed the fraud-risk principle in the Green Book and OMB Circular A–123; what fraud risks and weak spots it found (for example payroll, benefit payments, grants, large contracts, and purchase and travel cards); and the strategies and steps it is using to reduce fraud.

Title 31, §3357

Money and Finance, Source: USLM XML via OLRC

(a)Definition.—

In this section, the term “agency” has the meaning given the term in section 551 of title 5.

(b)Guidelines.—

The guidelines required to be established under section 3(a) of the Fraud Reduction and Data Analytics Act of 2015, as in effect on the day before the date of enactment of this section— (1)

(2)may be periodically modified by the Director of the Office of Management and Budget, in consultation with the Comptroller General of the United States, as the Director and Comptroller General may determine necessary.

(c)Requirements for Controls.—

The guidelines described in subsection (b) shall include—

(1)conducting an evaluation of fraud risks and using a risk-based approach to design and implement financial and administrative control activities to mitigate identified fraud risks;

(2)collecting and analyzing data from reporting mechanisms on detected fraud to monitor fraud trends and using that data and information to continuously improve fraud prevention controls; and

(3)using the results of monitoring, evaluation, audits, and investigations to improve fraud prevention, detection, and response.

(d)Report.—

For each of fiscal years 2019 and 2020, each agency shall submit to Congress, as part of the annual financial report of the agency, a report of the agency on—

(1)implementing—

(A)the financial and administrative controls described in subsection (b);

(B)the fraud risk principle in the Standards for Internal Control in the Federal Government published by the Government Accountability Office (commonly known as the “Green Book”); and

(C)Office of Management and Budget Circular A–123, or any successor thereto, with respect to the leading practices for managing fraud risk;

(2)identifying risks and vulnerabilities to fraud, including with respect to payroll, beneficiary payments, grants, large contracts, and purchase and travel cards; and

(3)establishing strategies, procedures, and other steps to curb fraud.

Notes & Related Subsidiaries

Editorial Notes

References in Text

section 3(a) of the Fraud Reduction and Data Analytics Act of 2015, referred to in subsec. (b), is section 3(a) of Pub. L. 114–186, June 30, 2016, 130 Stat. 546, which was formerly set out in a note under section 3321 of this title, prior to repeal by Pub. L. 116–117, § 3(a)(4), Mar. 2, 2020, 134 Stat. 133. The date of enactment of this section, referred to in subsec. (b), is the date of enactment of Pub. L. 116–117, which was approved Mar. 2, 2020.

§3357 Financial and Administrative Controls Relating to Fraud and Improper Payments

Summary

Title 31, §3357

Notes & Related Subsidiaries

Editorial Notes

References in Text

Citations & Metadata