CIGIE Pushes for Permanent Data Analytics Hub to Fight Federal Fraud

August 1, 2024
CIGIE Pushes for Permanent Data Analytics Hub to Fight Federal Fraud

The Council of the Inspectors General on Integrity and Efficiency (CIGIE) is making a strong case for Congress to transform the Pandemic Response Accountability Committee’s (PRAC) Pandemic Analytics Center of Excellence (PACE) into a permanent fixture. Established in 2020 under the Coronavirus Aid, Relief, and Economic Security (CARES) Act, PACE has become a cornerstone in uncovering and fighting COVID-19-related fraud. This initiative has delivered remarkable results, including aiding over 40 federal law enforcement agencies and Inspector General (IG) offices and recovering approximately $2.1 billion in fraudulent funds by June 2023. More recent efforts from the data platform have led to the identification of around $5.4 billion in fraudulent loans.

CIGIE Chair Mark Lee Greenblatt, who also happens to be the Inspector General at the Department of Interior, emphasized the critical need for such advanced data analytics tools in both detecting and preventing fraud. During a House Oversight’s Subcommittee on Government Operations and the Federal Workforce hearing on July 23, Greenblatt underlined how invaluable these resources are, especially for smaller Offices of Inspectors General (OIGs) that lack sufficient resources. His proposal involves creating a Central Analytics and Support Hub, an expanded version of PACE, which would be accessible to the entire IG community, thereby significantly enhancing oversight of federal funds. This hub would make use of data analytics and enable data sharing to effectively pinpoint cross-agency risks.

Legislative Push and Bipartisan Support

The urgency behind Greenblatt’s proposal gains further gravity with the impending sunset of PRAC in September 2025. This looming deadline has catalyzed strong bipartisan support in Congress to make the data platform permanent. Representative Jamie Raskin has taken the lead in the House by introducing the Government Spending Oversight Act, designed to extend and formalize PACE as a permanent entity. This step has garnered parallel legislative support in the Senate through a similar bill introduced by Senators Gary Peters and Mitt Romney. Both legislative actions underscore the importance of maintaining this fraud-detection tool well beyond its current expiration date.

PRAC Chair Michael Horowitz added his voice to the consensus during a recent hearing, drawing parallels to the adverse consequences following the 2015 termination of the Recovery Operations Center. Horowitz argued that disbanding PACE would create a vacuum in the oversight of federal spending, thereby impairing the IG community’s ability to detect and prevent fraud. The significance of such a tool in ensuring rigorous oversight has been reiterated by various government figures, stressing that PACE should become a permanent structure to continue its critical role in fraud prevention.

Aligning with Broader Recommendations and Ensuring Future Oversight

The Council of the Inspectors General on Integrity and Efficiency (CIGIE) is urging Congress to make the Pandemic Response Accountability Committee’s (PRAC) Pandemic Analytics Center of Excellence (PACE) a permanent entity. PACE, established in 2020 under the CARES Act, has played an essential role in uncovering and combating COVID-19-related fraud. This initiative has produced impressive results, assisting over 40 federal law enforcement agencies and Inspector General (IG) offices, and recovering approximately $2.1 billion in fraudulent funds by June 2023. Additionally, recent efforts have identified about $5.4 billion in fraudulent loans.

CIGIE Chair Mark Lee Greenblatt, who also serves as the Inspector General at the Department of Interior, stressed the importance of advanced data analytics tools for fraud detection and prevention. During a House Oversight Subcommittee hearing on July 23, Greenblatt highlighted the necessity of these resources for smaller Offices of Inspectors General (OIGs) with fewer resources. He proposed creating a Central Analytics and Support Hub, an expanded version of PACE, accessible to the entire IG community, to significantly enhance oversight of federal funds. This hub would employ data analytics and enable data sharing to effectively identify cross-agency risks.

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