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<Press Release>

Joint Announcement from John Pasquantino, Acting OMB Controller and Michael Horowitz, PRAC Chair

07/21/2021

Today, the Office of Management and Budget (OMB) and the Pandemic Response Accountability Committee (PRAC) issued a joint alert on the benefits of using automation and data analytics in reducing the risk of improper payments of government funds. Agencies receiving funding for administration or technology modernization initiatives or activities should consider these elements for both short and long-term improvement.

Reducing the risk of improper payments of government funds – also known as payment integrity – is essential to effective stewardship of taxpayer resources and is vital to public trust in government institutions. Using automation and data analytics is key to an effective, multi-pronged approach to identifying potentially fraudulent payments.

OMB and the PRAC coordinate regularly to strengthen oversight and promote transparency of pandemic spending. The intent of this joint alert is to raise awareness on areas where OMB and the PRAC believe there is opportunity to deploy strategies to mitigate payment integrity risks while promoting the equitable delivery of mission objectives, including managing privacy risks. 

Payment Integrity Alert: The Use of Automation and Data Analytics is the second in a series of alerts to agencies aimed at raising awareness on key issues related to preventing waste, fraud, and abuse. This document does not constitute official guidance or require agencies to undertake specific tasks beyond consideration of appropriate steps to address ongoing or future issues related to payment integrity. The joint alert can be found on the Chief Financial Officers Council website and here on our website.

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The PRAC was established by the CARES Act to promote transparency and support independent oversight of the funds provided by the CARES Act and other related emergency spending bills. In addition to its coordination and oversight responsibilities, the PRAC is tasked with supporting efforts to “prevent and detect fraud, waste, abuse, and mismanagement [and] mitigate major risks that cut across program and agency boundaries.”

If you have additional questions, please contact Lisa Reijula at lisa.reijula@cigie.gov

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