HR428-119

Reported

Bonuses for Cost-Cutters and Fraud Preventers Act of 2026

119th Congress Introduced Jan 15, 2025

Analysis under review: This bill has generated analysis that may be too generic or incomplete. Clause-level evidence remains available below.

Summary

What This Bill Does

The Bonuses for Cost-Cutters Act amends title 5 sections 4511 and 4512. It defines wasteful expenses as salary, operations and maintenance, or equivalent account amounts that an agency employee identifies as wasteful and that the agency Chief Financial Officer determines are not needed for the original purpose. It lets an agency head pay a cash award to an employee whose identification of wasteful expenses to the CFO produces cost savings. It raises the maximum award for certain disclosures from $10,000 to $20,000, adds the CFO alongside the Inspector General in several award and determination steps, and narrows subsection language so existing awards for fraud, waste, or mismanagement remain distinct from the new wasteful-expense identification path.

Who Benefits and How

Federal employees benefit because identifying wasteful expenses can qualify them for a cash award. Agency budget offices benefit from employee tips that identify unobligated or unnecessary spending. Federal taxpayers benefit if wasteful salary, operations, or maintenance funds are not spent. Inspectors General benefit from clearer coordination with CFOs on award determinations. Agency heads benefit from an incentive tool for internal cost-cutting.

Who Bears the Burden and How

Agency Chief Financial Officers must review employee-identified expenses and decide whether the money is not required for its original purpose. Agency heads must administer awards and protect the distinction between wasteful-expense awards and fraud, waste, or mismanagement awards. Federal managers whose programs are identified as wasteful may lose access to funds. Human resources offices must process higher award amounts. Employees making claims must document savings clearly enough for CFO review.

Key Provisions

  • Defines wasteful expenses for salary, operations, maintenance, and equivalent accounts.
  • Authorizes cash awards when employees identify wasteful expenses that produce agency cost savings.
  • Raises the relevant award cap from $10,000 to $20,000.
  • Adds Chief Financial Officers to review and determination procedures.
  • Keeps fraud, waste, and mismanagement awards distinct from wasteful-expense identification awards.

Evidence Chain:

This summary is generated from the full bill text using AI analysis. Expand "Detailed Analysis" below for identified beneficiaries/burden bearers with clause-level evidence links.

At a Glance

What This Bill Does

Expands Federal employee cost-savings awards by defining wasteful expenses, letting agency heads pay cash awards when employees identify wasteful expenses that produce agency savings, raising the maximum award from $10,000 to $20,000, and involving agency Chief Financial Officers in determinations.

Key Policy Areas

Federal Workforce, Government Efficiency, Budget

Primary Purpose

Expands Federal employee cost-savings awards by defining wasteful expenses, letting agency heads pay cash awards when employees identify wasteful expenses that produce agency savings, raising the maximum award from $10,000 to $20,000, and involving agency Chief Financial Officers in determinations.

Policy Domains

Federal Workforce Government Efficiency Budget

House resolution provisions

Identified Gains
  • Federal employees
  • Agency budget offices
  • Federal taxpayers
  • Inspectors General
  • Agency heads
Model: codex-gpt-5 | Version: bill_summary_v2 | Source: ih
Agency heads:
Federal employees:
Federal taxpayers:
Inspectors General:
Agency budget offices:
Identified Costs
  • Agency Chief Financial Officers
  • Agency heads
  • Federal managers
  • Human resources offices
  • Employees making claims
Model: codex-gpt-5 | Version: bill_summary_v2 | Source: ih
Agency heads:
Federal managers:
Employees making claims:
Human resources offices:
Agency Chief Financial Officers:

Legislative Progress

Reported
Introduced Committee Passed
Jun 9, 2026

Received in the Senate and Read twice and referred to …

Jun 9, 2026

Received; read twice and referred to the Committee on Homeland …

Jun 8, 2026

The title of the measure was amended. Agreed to without …

Jun 8, 2026

On motion to suspend the rules and pass the bill, …

Jun 8, 2026

Passed/agreed to in House: On motion to suspend the rules …

Jun 8, 2026

DEBATE - The House proceeded with forty minutes of debate …

Jun 8, 2026

Considered under suspension of the rules. (consideration: CR H3936-3938)

Jun 8, 2026

Mr. Gill (TX) moved to suspend the rules and pass …

Jun 8, 2026

The title of the measure was amended. Agreed to without …

Mar 18, 2026

Committee Consideration and Mark-up Session Held

Stakeholder Effects

cui bono?

How this legislation distributes effects. Mention counts reflect frequency, not effect magnitude.

Government
4 mentions across 1 clause
+2 positive -2 negative

Agency Chief Financial Officers, Agency budget offices, Federal managers with wasteful expenses

Positive-direction: Agency budget offices, Taxpayers

Negative-direction: Agency Chief Financial Officers, Federal managers with wasteful expenses

Labor
2 mentions across 1 clause
+1 positive -1 negative

Federal employees, Human resources offices

Positive-direction: Federal employees

Negative-direction: Human resources offices

1/2
sections analyzed
Full impact breakdown

Bill Structure & Actor Mappings

Who is "The Secretary" in each section?

Domains
Federal Workforce Government Efficiency Budget
Actor Mappings
"cfo"
→ Agency Chief Financial Officer
"inspector_general"
→ Inspector General

We use a combination of our own taxonomy and classification in addition to large language models to assess meaning and potential beneficiaries. High confidence means strong textual evidence. Always verify with the original bill text.

Learn more about our methodology