NW Kentucky News

Subcommittee on Government Operations Chairman Pete Sessions opened the first hearing of the 119th Congress with a focus on fraud prevention in government payment systems. The hearing, titled "Shifting Gears: Moving from Recovery to Prevention of Improper Payments and Fraud," aimed to address ongoing issues in federal payment systems identified during the previous Congress.

Sessions highlighted the importance of preventing fraudulent and improper payments, which remain a significant concern for both parties. He noted that Ranking Member Mfume has been instrumental in bipartisan efforts to tackle these challenges through improved use of personal data.

Sessions remarked, "This Subcommittee will continue the work we began last Congress into security clearances, the DoD audit, and our topic today: preventing fraud and improper payments in federal programs."

He expressed disappointment with the progress made by federal agencies in addressing fraud. "Over the past two years, we have heard a number of suggestions to improve our program integrity capabilities... I expected the federal agencies to be further along," Sessions stated.

The Subcommittee has previously worked on developing methods to track agency progress but found existing reporting mechanisms inadequate. As a result, Sessions directed staff to conduct roundtables with stakeholders such as GAO and OMB to identify shortcomings.

GAO was requested to conduct reviews focusing on high-risk agencies and programs. "We eagerly await their feedback on this first prioritized phase," said Sessions.

Sessions emphasized that new approaches are necessary as longstanding efforts have not been effective. He has asked OMB to eliminate reports that serve no purpose and highlighted better identity verification and data sharing as crucial areas for improvement.

"We must weigh privacy concerns against the overwhelming need to verify payments," he noted, stressing the importance of state and local collaboration in managing federal programs like Unemployment Insurance.

Finally, Sessions raised questions about governments' ability to scale during crises like COVID-19. Stress testing IT systems and ensuring adequate personnel are essential steps forward.

In conclusion, he thanked witnesses for their participation before yielding to Ranking Member Mfume for his remarks.