BISMARCK – U.S. Senators Kevin Cramer (R-ND) and Roger Marshall, M.D. (R-KS) introduced the Pandemic Unemployment Fraud Recoupment Act to hold accountable individuals who improperly obtained federal COVID-19 unemployment insurance (UI). The legislation would extend the statute of limitations for overpayments to allow the government additional time to prosecute fraud cases.
“In response to the economic impacts of COVID-19, the federal government authorized extraordinary levels of financial relief for Americans during an unprecedented time,” said Senator Cramer. “Unfortunately, these individuals sought to take advantage of these benefits, committed fraud, and ultimately cheated taxpayers out of their hard-earned money. This bill provides much needed time for the federal government to identify and prosecute these bad actors and recover the stolen funds.”
The Department of Labor’s (DOL) Inspector General estimates there may have been “at least $191 billion” in improper or fraudulent pandemic UI payments. Though agencies are working to recoup these lost taxpayer dollars, at a recent committee hearing, the U.S. Comptroller General noted over 600 UI fraud cases are pending and more could surface. If Congress fails to pass the Pandemic Unemployment Fraud Recoupment Act, the statute of limitation on overpayments will expire within the year.
Joining Senators Cramer and Marshall are Senators Marsha Blackburn (R-TN), Mike Braun (R-IN), Joni Ernst (R-IA), and Rick Scott (R-FL).
Click here for bill text.
Background:.
Specifically, the Pandemic Unemployment Fraud Recoupment Act would give law enforcement more time to prosecute backlogged and potential future cases by: