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Protecting Taxpayers and Victims of Unemployment Fraud Act

Floor Speech

Date: May 11, 2023
Location: Washington, DC

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Ms. TENNEY. Mr. Speaker, I rise in support of H.R. 1163, the Protecting Taxpayers and Victims of Unemployment Fraud Act. This bill makes meaningful strides to recover hundreds of billions of dollars in fraudulent unemployment benefits.

Congress has the responsibility to oversee our Nation's unemployment programs and rein in rampant fraud. Unfortunately, for years, Democrats virtually refused to acknowledge the extent of this issue while taxpayers and small businesses in New York's 24th District were forced to foot the bill.

Criminal organizations, including international cybercrime rings and other foreign actors, even exploited this national crisis to steal billions from taxpayers.

The exact amount of unemployment fraud resulting from the pandemic is not known. Estimates are wide-ranging with some encompassing only improper payments due to fraud, and others focused on all improper payments, including those resulting from administrative error.

The Government Accountability Office found at least $60 billion in fraud as they testified before our committee. However, according to recent testimony from the Department of Labor Inspector General, improper payments and pandemic unemployment programs have saddled taxpayers with at least $191 billion in fraud, as was testified before our committee. Some experts suggest this number could be as high as $400 billion.

New York alone is estimated to have paid as much as $11 billion in fraudulent unemployment benefits since March 2020. On top of all of this, New York has an outstanding trust fund loan of nearly $8 billion, which it has yet to repay.

Because of New York's gross mismanagement, taxpayers and small businesses must now make up the difference. After all the hardships they have endured over the past several years, how can it possibly be fair to ask them to pick up the tab for the government's negligence and incompetence?

Now, under House Republicans and the leadership of Jason Smith, Congress is finally taking steps to recover these valuable taxpayer dollars.

Mr. Speaker, I urge support for this bill from all of my colleagues.

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