,,ii #aai? ,,congress #a/ ,session ,s4 #hj ,,9 ,,! ,,s5ate ,,( ,,! ,,unit$ ,,/ates ,janu>y #ac1 #bjbe,mr4 ,lank=d introduc$ ! foll[+ bill2 :i* 0 read twice & ref]r$ to ! ,committee on ,homel& ,security & ,gov]nm5tal ,affairs ,a ,,bill ,to am5d title #ca1 ,unit$ ,/ates ,code1 to improve ! prev5tion ( improp] paym5ts1 & = o!r purposes4 #a4 ,%ort title ,?is ,act may be cit$ z ! ,safegu>d+ ! ,transp>5cy & ,effici5cy ( ,paym5ts ,act or ! ,,/ep ,act4 #b4 ,improp] paym5ts 7a7 ,def9itions 7#a7 ,9 g5]al ,section #ccea ( title #ca1 ,unit$ ,/ates ,code1 is am5d$-- 7,a7 by r$esignat+ p>agraphs 7#b7 ?r\gh 7#h7 z p>agraphs 7#c7 ?r\gh 7#i71 respectively2 & 7,b7 by ins]t+ aft] p>agraph 7#a7 ! foll[+3 7#b7 ,*ief f9ancial (fic] ,! t]m *ief f9ancial (fic] means-- 7,a7 ) respect to an executive ag5cy describ$ 9 section #ija7;b71 ! ,*ief ,f9ancial ,(fic] ( ! executive ag5cy appo9t$ "u su* section2 & 7,b7 ) respect to an executive ag5cy t is n describ$ 9 section #ija7;b71 ! (ficial s]v+ z ! s5ior executive responsible = manag+ ! f9ancial activities ( ! executive ag5cy4 4 7#b7 ,con=m+ am5dm5ts ,section #ccec7;a77#d77;,b7 ( title #ca1 ,unit$ ,/ates ,code1 is am5d$-- 7,a7 9 clause 7i71 by /rik+ section #ccea7b77;,b7 & ins]t+ section #ccea7c77;,b72 7,b7 9 clause 7ii71 by /rik+ section #ccea7b77;,c7 & ins]t+ section #ccea7c77;,c72 7,c7 9 clause 7iii71 by /rik+ section #ccea7b77;,d7 & ins]t+ section #ccea7c77;,d72 & 7,d7 9 clause 7vi71 by /rik+ section #ccea7b77;,a7 & ins]t+ section #ccea7c77;,a74 7b7 ,e/imates ( improp] paym5ts & reports on actions ,to r$uce improp] paym5ts ,section #cceb ( title #ca1 ,unit$ ,/ates ,code1 is am5d$-- 7#a7 9 subsection 7a7-- 7,a7 9 p>agraph 7#c7-- 7i7 9 subp>agraph 7,b71 9 ! matt] prec$+ clause 7i71 by /rik+ p>agraph 7#a7 & ins]t+ p>agraph 7#a77;,b72 & 7ii7 9 subp>agraph 7,c71 by /rik+ p>agraph 7#a7 ea* place x appe>s & ins]t+ p>agraphs 7#a7 & 7#d72 & 7,b7 by add+ at ! end ! foll[+3 7#d7 ,new programs & activities ,9 addition to ! programs & activities id5tifi$ "u p>agraph 7#a77;,b7 & subject to p>agraph 7#e71 ! head ( an executive ag5cy %all annually id5tify z susceptible to significant improp] paym5ts any program or activity t-- 7,a7 has or is expect$ to h outlays exce$+ #ajj1jjj1jjj 9 any "o ( ! fir/ #c fiscal ye>s ( op]ation2 & 7,b7 is 9 ! fir/ #d ye>s ( op]ation4 7#e7 ,exception ,p>agraph 7#d7 %all n apply ) respect to any program or activity t ! head ( ! relevant executive ag5cy concludes1 bas$ on ! results ( a review conduct$ "u p>agraph 7#a71 is n susceptible to significant improp] paym5ts4 2 7#b7 9 subsection 7c77#a7-- 7,a7 9 ! matt] prec$+ subp>agraph 7,a71 by /rik+ subsection 7a77#a7 & ins]t+ p>agraph 7#a7 or 7#d7 ( subsection 7a72 & 7,b7 by /rik+ subp>agraphs 7,a7 & 7,b7 & ins]t+ ! foll[+3 7,a7 produce a /ati/ically valid e/imate ( ! improp] paym5ts made "u ! program or activity1 or an e/imate ( su* improp] paym5ts t is o!rwise appropriate us+ a me?odology approv$ by-- 7i7 ! ,director ( ! ,(fice ( ,managem5t & ,budget2 & 7ii7 ! *ief f9ancial (fic] ( ! executive ag5cy2 & 7,b7 report ! e/imates describ$ 9 subp>agraph 7,a7 9 accordance ) subsection 7j74 2 & 7#c7 by add+ at ! end ! foll[+3 7j7 ,annual reports ,any annual report requir$ to be made by ! head ( an executive ag5cy "u ?is section %all-- 7#a7 be includ$ 9 ! mat]ials accompany+ ! annual f9ancial /atem5t ( ! executive ag5cy &1 z requir$1 9 applicable guidance ( ! ,(fice ( ,managem5t & ,budget2 & 7#b7 include a /atem5t by ! *ief f9ancial (fic] ( ! executive ag5cy-- 7,a7 c]tify+ ! reliability ( ! executive ag5cy's id5tification ( programs & activities t may be susceptible to significant improp] paym5ts "u subsection 7a72 & 7,b7 describ+ ! actions ( ! *ief f9ancial (fic] ( ! executive ag5cy to monitor ! developm5t & implem5tation ( any corrective action plans report$ "u subsection 7d74 4 7c7 ,f9ancial & adm9i/rative controls relat+ to fraud & improp] paym5ts ,section #cceg ( title #ca1 ,unit$ ,/ates ,code1 is am5d$ by /rik+ subsection 7d7 & ins]t+ ! foll[+3 7d7 ,reports 7#a7 ,9 g5]al ,= ea* fiscal ye> beg9n+ 9 ! fir/ fiscal ye> aft] ! date ( enactm5t ( ! ,safegu>d+ ! ,transp>5cy & ,effici5cy ( ,paym5ts ,act1 & 9 ea* ( ! foll[+ #i fiscal ye>s1 ! head ( ea* ag5cy %all submit to ,congress1 9 ! report conta9+ ! annual f9ancial /atem5t ( ! ag5cy1 a report-- 7,a7 on ! progress ( ! ag5cy 9-- 7i7 implem5t+-- 7,i7 ! f9ancial & adm9i/rative controls requir$ to be e/abli%$ "u subsection 7c77#a72 7,,ii7 ! fraud risk pr9ciples 9 ! ,/&>ds = ,int]nal ,control 9 ! ,f$]al ,gov]nm5t ( ! ,gov]nm5t ,acc\ntability ,(fice2 & 7,,iii7 ,circul> ,a-#abc ( ! ,(fice ( ,managem5t & ,budget ) respect to ! lead+ practices = manag+ fraud risk2 7ii7 id5tify+ fraud risks & vuln]abilities1 includ+ ) respect to payroll1 b5efici>y paym5ts1 grants1 l>ge contracts1 & pur*ase & travel c>ds2 & 7iii7 e/abli%+ /rategies1 proc$ures1 & o!r /eps to curb fraud2 & 7,b7 t includes in=mation on ! /atus ( implem5t+ ea* ( ! #aa lead+ practices id5tifi$ 9 ! report publi%$ by ! ,gov]nm5t ,acc\ntability ,(fice on ,july #bh1 #bjae1 entitl$ ,framework = ,manag+ ,fraud ,risks 9 ,f$]al ,programs4 7#b7 ,in=mation 9 report ,if ! annual f9ancial /atem5t ( an ag5cy1 or an alt]native report ( ! ag5cy includ$ 9 ! annual f9ancial /atem5t1 includes in=mation t fulfills ! requirem5ts ( ?is subsection1 ! head ( ! ag5cy may include a brief /atem5t to t effect 9 ! f9ancial /atem5t or alt]native report )\t duplicat+ ! in=mation requir$ "u ?is subsection 9 a sep>ate or /&alone report4 4 #c4 ,no additional funds ,no additional funds are au?oriz$ to be appropriat$ = ! purpose ( c>ry+ out ?is ,act or ! am5dm5ts made by ?is ,act4