HR8463-119

What This Bill Does

The Pre-Payment Fraud Prevention and Treasury Data Access Act creates several pre-award and pre-payment controls. It adds title 31 section 3325a, barring agency voucher certification until pre-certification requirements are satisfied, Treasury disbursement instructions are met, and required payment, account, and payee validation programs or services have been conducted. Treasury, consulting OMB, must issue regulations and guidance within 180 days on required voucher data such as funds availability, payee identity numbers, payment amount, Treasury account symbol, business event type code, fraud-risk indicators, and deadlines for submitting pre-certification records. It amends the Do Not Pay system to require agencies to screen awardees and payees against appropriate data assets and risk tools before awards or payment requests, periodically review needed data assets, and gives Treasury access to specified data assets notwithstanding other law for improper-payment prevention, detection, recovery, and fraud prevention. It adds title 31 section 6107 requiring each covered recipient of a covered award to submit a one-time first-use-of-funds report within 180 days, with OMB, Treasury, and the standard-setting agency issuing governmentwide content and format rules within one year and updating them at least every five years. It also gives Treasury access to National Directory of New Hires information, allows disclosures for improper-payment work, authorizes certain IRS return information through an intra-agency agreement for Do Not Pay use, and requires the Social Security Commissioner to provide secure name and Social Security number verification for authorized Treasury, federal, state, and contractor users with full cost reimbursement.

Who Benefits and How

Federal taxpayers benefit from stronger validation before payments and awards are issued. Treasury Do Not Pay staff benefit from broader data access, mandatory screening, and pre-certification data standards. OMB improper-payment officials benefit from governmentwide regulations and reporting standards. Federal disbursing officials benefit from clearer pre-certification requirements before vouchers are paid. Agency fraud prevention teams benefit from Do Not Pay data assets, risk tools, National Directory of New Hires access, Social Security number verification, and IRS data where authorized. Inspectors general and fraud investigators benefit from first-use reports and fraud-risk indicators that can trigger referrals. Honest federal award recipients benefit if fraud screening protects program funds.

Who Bears the Burden and How

Agency certifying officials must verify pre-certification requirements before voucher approval. Federal award recipients must file a first-use-of-funds report within 180 days unless an exception applies. Treasury and OMB must issue regulations, guidance, and data standards. Treasury Do Not Pay system operators must integrate new data assets, risk tools, NDNH data, SSA verification, and IRS return information under safeguards. The Social Security Administration must provide secure verification services and recover full costs. Agencies administering covered awards must collect reports, apply governmentwide data standards, and ensure subrecipient information is included. Payees flagged by validation systems may face delayed or denied payments.

Key Provisions

• Bars voucher certification until Treasury and OMB pre-payment validation requirements are met.
• Requires Treasury-OMB regulations within 180 days on pre-certification data and records.
• Expands Do Not Pay system screening for awardees and payees before awards or payment requests.
• Requires covered recipients to file a one-time first-use-of-funds report within 180 days.
• Requires OMB, Treasury, and the standard-setting agency to issue governmentwide report content and format rules within one year.
• Gives Treasury access to National Directory of New Hires, Social Security number verification, and certain IRS return information for improper-payment work.