Delivering On Government Efficiency in Spending Act
- Sponsor
- Rep. Bean, Aaron [R-FL-4]
- Committees
- Financial Services Committee (primary)
- Last action
- Jul 10, 2025
Bottom line
This bill seeks to improve federal financial accountability and reduce wasteful spending by increasing payment data transparency and empowering the Treasury to leverage more data sources for fraud prevention.
What it actually does
The bill, titled the "Delivering On Government Efficiency in Spending Act," aims to reduce improper payments of federal funds by enhancing transparency and data access. It mandates federal agencies to provide detailed information for each payment disbursed through Treasury systems, requires periodic verification of this data, and makes much of it publicly available. Furthermore, it expands the Treasury Secretary's access to various databases, including the National Directory of New Hires, consumer reports under the Fair Credit Reporting Act, and select IRS tax information, to improve the "Do Not Pay" working system and prevent improper payments. It also requires agencies to verify bank account information before disbursing payments.
Proponents argue
Proponents argue that the bill is a critical step towards greater government accountability and efficiency. They contend that by requiring detailed reporting on federal payments and enabling better data sharing, the bill will significantly reduce improper payments, fraud, and waste, ultimately saving taxpayer money. They emphasize that enhanced transparency will allow for better oversight and ensure that federal funds are used for their intended purposes.
Opponents contend
Opponents might raise concerns about privacy implications due to the expanded access to sensitive personal and financial data, including tax information and consumer reports, by the Treasury and other agencies. They could argue that while the goal of preventing improper payments is laudable, the broad data sharing provisions could lead to misuse of information or create new vulnerabilities for data breaches, potentially infringing on individual privacy rights without sufficient safeguards.
The bill is moderately complex due to its technical nature and amendments to existing statutes, requiring careful reading to understand the full scope of data access and reporting requirements.
Section 2(a), adding new 31 U.S.C. 3337(b)-(d)
Mandatory Reporting and Public Disclosure of Federal Payment Information
This provision requires federal agencies to provide the Treasury Secretary with a brief description of the payment's purpose, the appropriations account, and the type of activity for every payment disbursed through a Treasury system. Agencies must annually evaluate and confirm the accuracy and completeness of this information. The Office of Management and Budget (OMB) Director is then directed to ensure this data is made publicly available on the website operated under the Federal Funding Accountability and Transparency Act of 2006 (USAspending.gov) within 30 days of payment certification.
Supporters argue
Supporters argue this provision is essential for government transparency and accountability. By making payment information publicly available, it enables greater oversight, helps identify wasteful spending, and builds public trust in how federal funds are managed.
Critics contend
Some agencies might express concerns about the administrative burden and resource allocation required to implement and maintain these detailed reporting and verification processes, especially for smaller agencies with limited staff.
Tradeoffs
Balances the public's right to know how federal money is spent against the administrative costs and potential operational complexities for agencies in collecting and reporting granular payment data.
Section 2(a), adding new 31 U.S.C. 3337(e)-(f)
Exemption for National Security and Law Enforcement Sensitive Operations
This provision allows the head of an agency to exempt payments from the mandatory reporting and public disclosure requirements if compliance would adversely impact "sensitive operations." Sensitive operations are defined as those related to domestic law enforcement or national security where disclosure would reasonably lead to death or serious bodily injury, or reveal classified or legally protected information. Agencies must still report aggregated information about these exempted payments in a controlled unclassified or classified annex to their budget justification materials.
Section 3(a), amending 42 U.S.C. 653(j)
Treasury Access to National Directory of New Hires for Improper Payment Prevention
This provision grants the Secretary of the Treasury access to information in the National Directory of New Hires (NDNH) for the explicit purpose of identifying, preventing, and recovering improper payments. It also authorizes the Secretary to redisclose this information to agents, contractors, and other authorized federal and non-federal agencies for the same purpose.
Section 3(b), amending 31 U.S.C. 3325
Mandatory Bank Account Verification Prior to Federal Payment Disbursement
This provision requires federal agencies, before certifying a voucher for payment, to take necessary actions to accurately disburse funds. This includes verifying the accuracy of the recipient's bank account information and comparing it against other payment records available to the agency. The Secretary of the Treasury, in consultation with agency heads, may issue guidance to implement this requirement.
Section 3(c), amending 15 U.S.C. 1681a(k)(1) and 15 U.S.C. 1681b(a)
Treasury Access to Consumer Reports for Improper Payment Prevention
This provision amends the Fair Credit Reporting Act (FCRA) to clarify that certain actions related to federal disbursements, based on consumer reports, are not considered "adverse actions" under FCRA. More significantly, it adds the Secretary of the Treasury as a permissible user of consumer reports for the purpose of identifying, preventing, and recovering improper payments. The Secretary is also authorized to redisclose this information to agents, contractors, and other authorized federal and non-federal entities.
Section 3(d), amending 26 U.S.C. 6103(i)
Treasury Access to Select Tax Information for Do Not Pay System
This provision amends the Internal Revenue Code to allow the Commissioner of the IRS to provide the Secretary of the Treasury with specific return information for individuals, in a privacy-preserving manner, to enhance the "Do Not Pay" working system. The information includes Taxpayer Identification Number, filing status, Adjusted Gross Income, Schedule C income/loss, filing year, bank account/routing info, and reported identity theft. This information can be redisclosed to authorized agents, contractors, and other federal/state agencies for improper payment prevention.
Section 3(e), adding new 42 U.S.C. 235
Treasury Access to Social Security Information for Do Not Pay System
This provision requires the Commissioner of Social Security to enter into an agreement with the Department of the Treasury to regularly provide personally identifiable information, including name, date of birth, and Social Security number, to enhance the "Do Not Pay" working system for identifying, preventing, and recovering improper payments, including fraudulent payments.
The Commissioner of the IRS is required to provide specific return information to the Secretary of the Treasury "in a manner which preserves the confidentiality of such information" for the Do Not Pay working system.
Section 3(d)(1), amending 26 U.S.C. 6103(i)(9)(A)
Why it matters:This phrasing is standard legislative practice to grant agencies flexibility in implementation while signaling an intent for privacy protection, rather than explicitly defining the technical means within the statute.
Case for: Proponents would argue that this language allows for the necessary data sharing while ensuring that robust privacy safeguards are developed and applied by expert agencies, adapting to evolving technology.
Case against: Opponents might contend that without a statutory definition or minimum standards for "privacy-preserving," the protection offered is vague and could be insufficient, leaving too much discretion to agencies and potentially undermining privacy.
Estimated impact: This mechanism impacts the confidentiality of tax information for potentially millions of individuals whose data is accessed for improper payment prevention.
The term "agency" for mandatory reporting includes executive agencies, independent regulatory agencies, and entities such as Congress, courts of the United States, governments of territories/possessions, and the District of Columbia, if they use a Treasury disbursement system.
Section 2(a), adding new 31 U.S.C. 3337(a)(1)
Why it matters:This is standard legislative drafting to ensure comprehensive applicability of a new requirement, rather than an attempt to hide it.
Case for: Proponents would argue that for transparency and accountability, all entities using federal disbursement systems should be subject to the same reporting requirements, ensuring a complete picture of federal spending.
Case against: Entities like Congress or the Judiciary might raise concerns about separation of powers or administrative burden if they are not typically subject to executive branch reporting requirements.
Estimated impact: Broadens the scope of federal payment transparency beyond just the executive branch, encompassing a wider range of government spending.