The Republican-controlled U.S. House of Representatives approved the Stopping Fraudulent Payments Act this week in a 218-200 vote, sending the legislation to the Senate for further consideration. The bill, introduced by House Oversight Committee Chairman James Comer (R-Ky.), aims to reduce fraud and improper payments by giving federal agencies additional authority to review certain transactions before taxpayer funds are disbursed.
Supporters say the measure addresses weaknesses in the federal government’s current payment process, which often issues funds before verifying eligibility and then attempts to recover improper payments afterward. Under the proposed legislation, agencies could temporarily pause, condition, or divide payments that appear to present a higher risk of fraud. The Treasury Department would also be authorized to return flagged payment requests to agencies for further review using data from existing systems, including the Do Not Pay database.
Speaking on the House floor, Comer called the legislation a “common-sense” effort to prevent fraud before it occurs. He noted that the federal government loses hundreds of billions of dollars each year through improper payments and argued that stronger safeguards are needed to ensure taxpayer dollars reach eligible recipients.
According to estimates from the Government Accountability Office, improper federal payments totaled approximately $186 billion in fiscal year 2025, with cumulative losses reaching into the trillions over the past two decades. Supporters argue that preventing fraudulent payments before they are made is more effective than trying to recover funds after they have already been distributed.
House Budget Committee Chairman Jodey Arrington (R-Texas), an original cosponsor, said every taxpayer dollar should be protected from waste, fraud, and abuse. Other Republican lawmakers also voiced support, describing the bill as part of a broader effort to strengthen oversight and improve accountability across federal programs.
The legislation is one of 11 bills advanced by the House Oversight Committee that focus on reducing waste, fraud, and abuse in government spending, including measures targeting student aid fraud and improper payments in other federal programs.
The bill now moves to the Senate, where lawmakers will determine whether to advance the proposal. If approved by both chambers of Congress, it would then be sent to President Donald Trump for his signature or veto.
