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Blue Dogs Back Bipartisan Bill to Cut Wasteful Spending

February 17, 2012

Creates National “Do Not Pay List” – Builds on Blue Dog Bill Signed into Law Last Year to Reduce Waste, Fraud and Abuse in Government

WASHINGTON – The fiscally conservative Democratic Blue Dog Coalition in the U.S. House of Representatives has endorsed a bipartisan bill to better protect taxpayer dollars by reducing waste, fraud and abuse within federal spending. On Friday, Reps. Edolphus "Ed" Towns, D-N.Y.; Todd Platts, R-Pa.; Gerald Connolly, D-Va.; and, Kurt Schrader, D-Ore., Chair of the Blue Dog Task Force on Fiscal Responsibility, introduced H.R. 4053, the Improper Payments Elimination and Recovery Improvement Act (IPERIA), a bipartisan effort to better identify, prevent and recover payment error, waste, fraud and abuse within federal spending.

This legislation builds on a similar improper payments law passed last year, the Improper Payments Elimination and Recovery Act of 2010, which was part of the Blue Dogs' Blueprint for Fiscal Reform – a 15-point plan to balance the budget and lay the groundwork for sound fiscal policies over the long term.

According to the Government Accountability Office (GAO), federal agencies reported an estimated $125.4 billion in improper payments in FY2010. Among many other provisions, this new bill will help federal agencies cut down on wasteful spending by creating a government-wide Do Not Pay List to block improper payments before they go out and to stop payments to deceased individuals, such as for Social Security.

"In an era of trillion dollar deficits, it is inefficient and irresponsible for the government to only be recovering improper federal payments after the fact," said Schrader, Chair of the Blue Dog Task Force on Fiscal Responsibility. "This legislation takes a proactive approach in saving taxpayer dollars by giving federal agencies the tools they need to prevent improper payments. I thank Ranking Member Towns and Chairman Platts for working with the Blue Dogs to introduce this legislation to help us further balance our budget and get rid of the waste, fraud and abuse that plague government spending."

"The government needs to slim down, and it's common sense to ensure taxpayer dollars are spent correctly. Every household in America pays bills by sending a check to the right person for the right amount – our government should be no different," said Rep. Jim Cooper, D-Tenn., Vice Chair of the Task Force on Fiscal Responsibility.

"We don't need more government, we need smarter, more efficient government," said Rep. Mike Ross, D-Ark., Blue Dog Co-Chair for Communications. "The government is stuck in a 20th century way of doing things. We need to give federal agencies the resources to be more responsible with taxpayer dollars and that's exactly what this bill does. The Blue Dogs helped pass a law last Congress to reduce waste, fraud and abuse and we're continuing that work by backing this bipartisan effort to cut wasteful spending. The Blue Dogs will continue to work with both Democrats and Republicans as we find commonsense solutions to make this nation more fiscally responsible and more accountable to the American people."

"This common sense legislation simply requires federal agencies to make sure the federal government sends the correct amount of money to the correct people," said Rep. John Barrow D-Ga., Blue Dog Co-Chair for Policy. "That way we stop wasteful spending before it happens, instead of wasting more money to recover wasteful spending after it's already happened."

"With our exploding $15 trillion national debt, we simply cannot afford to allow tens of billions of taxpayer dollars go to waste because of poor financial management practices by federal agencies," said Rep. Heath Shuler, D-N.C., Blue Dog Co-Chair for Administration. "By creating a more effective system to prevent and recover improper payments, this commonsense legislation will help protect taxpayer dollars and improve accountability in the federal government."

"This legislation is an important step towards bringing our fiscal house back under control," said Rep. Dan Boren, D-Okla., Blue Dog Whip. "In 2010, the Federal Government reported nearly $125.4 billion in improper payments. This is unacceptable given our current deficit levels. This bill will help us better detect and prevent these improper payments so that taxpayer dollars go where they are intended."

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The fiscally conservative Democratic Blue Dog Coalition was formed in 1995 with the goal of representing the center of the House of Representatives and appealing to the mainstream values of the American public. The Blue Dogs are dedicated to a core set of beliefs that transcend partisan politics, including a deep commitment to the financial stability and national security of the United States. Visit the Blue Dog website at https://ross.house.gov/BlueDog to learn more. You can also get up-to-the-minute news updates on Twitter at https://www.twitter.com/BlueDogPress.