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PRAC's Semiannual Report to Congress March 2022

Issuer
Department of Justice
Document type
Report
Date
2021-10-01

Full text

PANDEMIC RESPONSE ACCOUNTABILITY COMMITTEE

Semiannual Report to Congress

OCTOBER 1, 2021 - MARCH 31, 2022
Message from the Chair
I’m proud to present the Pandemic Response              • detecting and preventing fraud, waste, abuse,
Accountability Committee’s (PRAC) Spring 2022             and mismanagement of relief spending
Semiannual Report to Congress. With the creation          through leading-edge data insights and analytic
of the Coronavirus Aid, Relief, and Economic              tools; and
Security (CARES) Act, you gave us a big job to do.
We conduct independent oversight and facilitate         • holding wrongdoers accountable by
coordination among federal Inspectors General             marshaling the investigative and analytic
(IGs) that oversee more than $5 trillion in federal       resources of the oversight community.
pandemic relief emergency spending spread out          During the past six months, we issued two PRAC-
among 426 programs and administered by 40              generated reports. The first report examined
federal agencies.                                      antifraud controls that the Small Business
                                                       Administration (SBA) implemented in 2021 to
It has been my honor to serve as Chair of the PRAC     determine whether they could have prevented
since April 2020, championing a new way of working     the types of fraud the agency experienced in its
with Offices of the Inspectors General (OIG) to        Paycheck Protection Program (PPP). The second
ensure that taxpayer money is being used effectively   report examined cross-cutting challenges states
and efficiently to address the pandemic-related        faced within their pandemic unemployment
public health and economic needs funded through        insurance programs. We also commissioned a
the COVID-19 relief bills.                             report highlighting best practices for minimizing
                                                       fraud risk and lessons learned from the
We were created in the midst of a crisis and while     State Workforce Agencies that administered
much of the country has transitioned from crisis       unemployment insurance programs during the
mode to a “new normal,” we remain focused on           pandemic. In addition, 29 OIGs issued 79 reports
examining the government’s historic response to the    related to pandemic relief oversight with a total
pandemic as reflected in the rigorous oversight we     of 184 recommendations and $9.8 billion in
have engaged in over these last six months. During     monetary findings during the past six months.
this reporting period, we continued to fulfill our
mandate of:                                            Of course, effectively overseeing $5 trillion in relief
 • promoting transparency by publicly reporting        spending would be impossible without data. At the
   accessible and comprehensive pandemic relief        PRAC, we have been using data science to advance
   spending data;                                      our oversight mission. The Pandemic Analytics
                                                       Center of Excellence (PACE) continues to deliver
 • collaborating across the oversight community        analytic, audit, and investigative support to the
   to identify cross-cutting issues and risks;         oversight community as you will read about in a new




Pandemic Response Accountability Committee                                                                 ii
section of our Semiannual Report highlighting some     oversight and building a legacy for how the IG
of the team’s most successful case studies.            community manages future large-scale government
                                                       relief efforts.
Meanwhile, the PRAC’s Fraud Task Force has grown
to 43 criminal investigators from 13 OIGs. The         I hope you find this Semiannual Report interesting
Task Force serves the IG community by surging          and insightful.
investigative resources into areas with the greatest
need, such as pandemic loan fraud. They work
cases that might otherwise go unaddressed due to
the scale of fraud and mismanagement in pandemic
relief programs we are finding.

This Semiannual Report highlights these and other      The Honorable Michael E. Horowitz
achievements from October 1, 2021 through March        Chair, PRAC
31, 2022, to demonstrate how the PRAC is providing     Inspector General, U.S. Department of Justice
a model for effective, coordinated government




Pandemic Response Accountability Committee                                                                  iii
Contents
Message from the Chair                                                       ii

Highlights                                                                   1

Background                                                                   2

PRAC Accomplishments                                                         4
       Goal One–Promote Transparency                                         5
       Goal Two–Promote Coordinated, Comprehensive Oversight                 7
       Goal Three–Prevent and Detect Fraud, Waste,
       Abuse, and Mismanagement                                             12
       Goal Four–Ensure Effective and Efficient PRAC Operations             13

Holding Wrongdoers Accountable Through Investigations                       14

Key Insights Through Oversight Reports                                      22
       Key Insight 1: Increased Focus on Fraud Controls and Managing Risk   22
       Key Insight 2: Incomplete Data Can Hinder Agency
       Leadership Decision-Making                                           24
       Key Insight 3: Improving Customer Service Performance and Reform     25
       Key Insight 4: Using and Expanding Remote Work Capabilities          26

Appendix A: Acronyms                                                        28

Appendix B: Pandemic-Related Reports by Office of Inspector General         29

Appendix C: Hotline Data                                                    34




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                                                                            OCTOBER 1, 2021 - MARCH 31, 2022




Highlights




  Highlights        Background           Accomplishments   Accountability       Reports        Appendices


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Background
Established in March 2020 by the CARES Act,                  The PRAC is comprised of 21 IGs (see below). We
the PRAC is a Committee of the Council of the                are staffed by a full-time Executive Director and 46
Inspectors General on Integrity and Efficiency               employees distributed across three lines of business
(CIGIE). CIGIE is an independent entity established          (Oversight & Accountability, Outreach & Engagement,
within the executive branch by the Inspector General         and Transparency) and three support functions
Act of 1978, as amended, whose membership                    (Chief Information Officer, Chief Counsel, and Chief
includes the 75 statutorily created federal IGs.             Data Officer).

The CARES Act identifies IGs from nine agencies              The PRAC promotes transparency and provides
as members of the PRAC. The Chair can designate              Congress and the public with objective, reliable
additional IGs to serve on the Committee from                information about the $5 trillion in pandemic
any agency that receives pandemic funds or is                relief dollars at PandemicOversight.gov. We also
involved in the federal government’s response to             work with IGs to develop recommendations for
the COVID-19 pandemic. The IGs serving on the                program improvements, refer matters for criminal
Committee continue to perform their IG duties.               investigations, and identify misspent funds for
                                                             recovery.


PRAC Membership
Name                                         Department or Agency OIG
Michael E. Horowitz, Chair                   Department of Justice
Paul K. Martin, Vice Chair                   National Aeronautics and Space Association
Phyllis K. Fong                              Department of Agriculture
Sean W. O’Donnell                            Department of Defense
Sandra D. Bruce                              Department of Education
Christi A. Grimm                             Department of Health and Human Services
Joseph Cuffari                               Department of Homeland Security
Rae Oliver Davis                             Department of Housing and Urban Development
Mark Lee Greenblatt                          Department of the Interior
Larry D. Turner                              Department of Labor
Eric J. Soskin                               Department of Transportation
Richard Delmar                               Department of the Treasury
Michael J. Missal                            Department of Veterans Affairs
Jay N. Lerner                                Federal Deposit Insurance Corporation
Mark Bialek                                  Federal Reserve Board / Consumer Financial Protection Bureau
Allison C. Lerner                            National Science Foundation
Robert P. Storch                             National Security Agency
Hannibal “Mike” Ware                         Small Business Administration
Brian D. Miller                              Special Inspector General for Pandemic Recovery
J. Russell George                            Treasury Inspector General for Tax Administration
Tammy L. Whitcomb                            U.S. Postal Service


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The PRAC released its Strategic Plan for 2020 through 2025 in July 2020. The plan identifies four goals
to carry out the PRAC’s mission and vision (see the following figure). These goals and objectives are not
mutually exclusive—audits, investigations, reviews, and other activities may meet more than one goal or
objective.

               MISSION
               To serve the American public by promoting transparency and the coordinated oversight
               of the Federal Government’s coronavirus response to prevent and detect fraud, waste,
               abuse, and mismanagement and mitigate major risks that cross program and agency
               boundaries.

               VISION
               Sound stewardship of taxpayer funds and an effective and efficient coronavirus
               response across the Federal Government, the oversight of which will be data-driven,
               risk-focused, and technology-enabled.

               GOALS
                                                Promote Transparency




               Ensure Effective
                 and Efficient
               PRAC Operations


                                                                                     Promote Coordinated,
                                                                                        Comprehensive
                                                                                           Oversite




                                           Prevent and Detect Fraud, Waste,
                                             Abuse, and Mismanagement


               Figure 1. PRAC Mission, Vision, and Goals




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PRAC Accomplishments
The PRAC was established to serve the American public by promoting transparency and facilitating
coordinated oversight of the Federal Government’s COVID-19 pandemic response and associated spending.
Our goals are to detect fraud, waste, abuse, and mismanagement and to identify and mitigate major risks
that cross program and agency boundaries. We aim to serve as the eyes and ears of the American public,
monitoring the government’s pandemic response spending and reporting accessible, timely, accurate, and
comprehensive data that can be translated into actionable insights. The following figure depicts the goals
set out in our Strategic Plan for 2020 through 2025 and key accomplishments we have achieved during this
reporting period, as aligned with the PRAC’s mission and vision.



                                               SBA/PPP Fraud                                15 New
    Updated Website                            Controls Report                             Employees




                                        Promote               Prevent &
                                      Coordinated,          Detect Fraud,             Ensure Effective
          Promote                                                                       & Efficient
        Transparency                 Comprehensive         Waste, Abuse &
                                       Oversight           Mismanagement              PRAC Operations




                                                                                           !

     NBC News Interview &                        PACE Risk Models               PRAC- HUD OIG
    Congressional Testimony                                                  Fraud Risk Assessment

Figure 2. PRAC Goals




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Goal One–Promote Transparency
Provide the Public with Timely Data and Information on
Covered Funds and the Coronavirus Response
Transparency is core to the PRAC mission laid out by
Congress in the CARES Act. We continue to explore ways
to engage the public and empower them to act as citizen                      PRAC-Issued Report
watchdogs. We do this through our audit reports, our
                                                                   As reported in Increasing Transparency into COVID-19
website, and public events.
                                                                   Spending (published October 19, 2021), some examples
                                                                   of meaningless descriptions include:
On October 19, 2021, we published a report on data
gaps in pandemic relief spending. To conduct this                    • 12,600 awards with descriptions that just repeated
work, we looked at 51,000 awards worth $347 billion                    the name of the program, like “Community
that supported the pandemic response (as of June                       Development Block Grants,”
15, 2021) and found more than 15,400 awards worth                    • 2,500 awards listing technical jargon, like
$33 billion with meaningless descriptions that obscured                CCC5- 2021, and
transparency into reporting data.                                    • 360 awards listing variations of pandemic related
                                                                       relief legislation, like CARES Act.
We made five recommendations, with which OMB
concurred and took steps to implement to varying                   Dead ends like these make it really hard to know what
                                                                   recipients of pandemic relief awards spent the money on.
degrees, as shown in Table 1.
                                                                   Read more in our full report.



                                      PRAC Recommendations to OMB
  Recommendation                                                                                                Status
Offer agencies resources focused on improving the quality, consistency, and clarity of
pandemic-related award descriptions.
Develop and implement a plan to disseminate examples of insufficient award descriptions.
Engage with Congress to explore options for extending the independent oversight of USAspending.gov data
submissions and develop new requirements for agency award descriptions.
Conduct a feasibility study on how to better track and report subrecipient funding.

Engage with Congress to consider legislating amendments to extend the independent oversight of
USAspending.gov data submissions and develop new requirements for reviewing subrecipient reporting.

                                                                   Implemented           Resolved but Open        Closed
Table 1. PRAC Five Recommendations



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Meanwhile, we remain committed to making
publicly available data accessible on our website.                    We made 41 reports from state and local oversight
                                                                      agencies available on our website during the
PandemicOversight.gov includes interactive
                                                                      Spring 2022 reporting period. We will continue to
dashboards that enable users to search names
                                                                      add more as they are published so the public and
and businesses that received Paycheck Protection
                                                            policymakers can see the full inventory of what federal,
Program loans or money from the Coronavirus Relief          state, and local agencies are finding in their oversight of the
Fund. This gives the power of oversight to the public,      pandemic response.
allowing them to search through trillions of dollars’
worth of relief funding directly from their computers.
                                                           We also added a new “Spotlight On” section to the
                                                           website to draw users’ attention to notable features,
Over the last six months, we have launched new
                                                           such as our new Unemployment Insurance (UI)
features on PandemicOversight.gov and updated the
                                                           fraud map, state and local information, and ways
site’s organization, functionality, and design using
                                                           the PRAC is fighting identity theft and using data
web and user behavior analytics tools. The result
                                                           intelligence to fight pandemic fraud.
is a site with more visual impact and language that
explains our work more clearly and concisely.
                                                           We also co-sponsored two virtual roundtables with
                                                           the National Academy of Public Administration
In our last Semiannual Report to Congress, we
                                                           on the impact of housing and rental assistance
discussed the rollout of a new feature called Data
                                                           relief programs on underserved communities and
Stories. Since then, we have published 23— short
                                                           the effectiveness of pandemic relief programs in
and simple stories that break down complex data—
                                                           broadband assistance. In addition, we participated
among them:
                                                           in a virtual conversation with the Congressional
 • Itemization of ways $2 billion in funding               Transparency Caucus about our role overseeing
   from the Coronavirus Economic Relief for                $5 trillion in pandemic response and co-hosted a
   Transportation Services program kept motor              webinar with the Levin Center for state legislators
   coaches, school buses, and passenger vessels            and staff.
   running;
                                                           Finally, this reporting period was a strong one
 • Explanation of how 2,000 prime recipients in            for media engagement. The PRAC has continued
   177 foreign countries received $6.4 billion in          to build relationships with journalists from small
   pandemic relief funding;                                local publications to national newspapers, as well
                                                           as radio and podcasts. These outreach efforts
 • Breakdown of how states are using $189.5                culminated in a featured segment on NBC Nightly
   billion in Elementary and Secondary School              News with Lester Holt aired as part of the network’s
   Emergency Relief grants—distributed as part             popular investigative series The Fleecing of America.
   of the Education Stabilization Fund—to curb             The segment was aired across a range of NBC
   learning loss and support student needs; and            platforms, including TODAY, MSNBC, NBCNews.com,
 • Update on how much each state spent on                  and NBC News NOW, ultimately reaching some 11
   Rental Assistance.                                      million viewers across the United States. Media
                                                           coverage like this not only heightens awareness
These stories and more are part of our commitment          about the PRAC, but builds our credibility and
to educate the public so they can understand how           reaffirms the importance of our mission.
their tax dollars are being spent.


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    Goal Two–Promote Coordinated,
    Comprehensive Oversight
    Facilitate Exceptional Coordination and Collaboration
    to Ensure High-Impact Results
    The PRAC has five subcommittees and four                   As mentioned in our previous Semiannual Report to
    working groups to share ongoing oversight and              Congress, we created the Identity Fraud Reduction
    accountability efforts, best practices, and lessons        and Redress Working Group in July 2021 to address
    learned among our 21 member IGs. The working               this serious challenge. In the reporting period
    groups pursue efforts like ongoing reviews of              since, we published Key Insights: State Pandemic
    multi-dipping and state and local coordination with        Unemployment Insurance Programs in December
    the federal community, including the Government            2021, a capping report that looked at 40 reports
    Accountability Office, on high risks and areas of          from 16 state auditors in which we described how
    concern. In particular, identity fraud has emerged as      one of the new federal unemployment insurance
    a leading concern at the PRAC and a key priority in        programs did not require proof of income or
    the months—and indeed, years— ahead.                       identity, making it difficult for state auditors to verify
                                                               eligibility. We also found that multiple states paid
                                                               benefits to prisoners or individuals that applied
                                                               using stolen identities.
         PRAC-Issued Report
On December 16, 2021, we issued Key Insights: State
                                                               In addition to our efforts to combat identity fraud,
Pandemic Unemployment Insurance Programs.                      the PRAC and our member IGs are working on more
                                                               than 200 pandemic oversight
We found that the sudden and unprecedented surge in            engagements that focus on
unemployment insurance claims during the pandemic hit                                                    What is
                                                               other emerging issues like           multi-dipping?
states hard.                                                   public health and safety
            In April 2020 alone, Kansas received               as well as how to prevent       When recipients of pandemic
                                                                                                funds use money from more
            12.5 million phone calls to its State              and detect fraud in
                                                                                               than one pandemic response
            Workforce Agency’s customer service line.          government programs.             program for the same thing.

            Oklahoma paid out ten times the normal
            amount on unemployment insurance in a
            typical year.

            Washington received more than
            180,000 claims in one week in March 2020.

            Read more in our full report.




      Highlights        Background           Accomplishments        Accountability         Reports          Appendices


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Ensure Efficient Sharing of Data, Analytics, and
Other Information
With the funding Congress provided in the American Rescue Plan Act, we launched the Pandemic Analytics
Center of Excellence (PACE) to deliver analytic, audit, and investigative support to the oversight community.
We’ve acquired more than 20 public and non-public federal datasets and shared them with 29 IGs to help
investigators find fraud across relief programs. We’ve brought in the best and brightest data science talent
and have trained and placed 18 data science fellows with our member IGs to help analyze pandemic
relief data.

Here are a few case studies to illustrate how the PACE is delivering data-driven, technology-enabled tools to
support pandemic oversight.



Cross Agency Data Matching Case Study
Background
The executive director of a public housing authority in two Midwest counties contacted SBA OIG when they
began receiving anonymous calls after the award list of PPP loan recipients was made
available online.

Business Challenge                                         or EIDL loans that were inconsistent with income
The housing authority sought the OIG’s assistance          eligibility requirements.
to match all participant names with PPP and
Economic Injury Disaster Loan (EIDL) data. Given           Results
prosecution thresholds and large caseloads, the            The SBA placed holds
SBA OIG was unable to provide this assistance and          on names the PACE                What is SQL
referred the matter to the PACE.                           flagged in their loan       Waterfall   Matching?
                                                           forgiveness system        Using different available data
                                                                                    elements to match across data
Solution                                                   and the local
                                                                                   sources from very high confidence
We obtained recipient data from the housing                housing authority        matches (e.g., exact name and
authority and conducted analysis with public               is now able to use    address matches) to lower confidence
USASpending data, non-public PPP/EIDL data,                this information in         matches (e.g., fuzzy name
                                                                                       matches) to maximize the
and other data sources using a Structured Query            their annual income           number of matches.
Language (SQL) waterfall matching process.                 verification process.

Matches were made on name, address, emails,
phone numbers, bank accounts, and social security
numbers. With this technique, the PACE’s data
scientists ultimately found that approximately 10
percent of participants may have obtained PPP



  Highlights        Background           Accomplishments        Accountability        Reports         Appendices


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Hotline Complaint Risk Model Case Study
Background
In response to the COVID-19 pandemic, Congress authorized SBA to lend more than $1 trillion to small
business entities through the Paycheck Protection and Economic Injury Disaster Loan programs—an
enormous sum that fraudsters viewed as an opportunity. In the year prior to the pandemic, the SBA OIG’s
hotline, staffed by two full-time employees, received 800 complaints. In the year following the pandemic,
hotline complaints surged to more than 100,000.

Business Challenge                   SBA OIG Hotline
The volume of hotline
complaints exceeded SBA                                                                                Lending
                                               2 Full-time SBA Employees
OIG’s capacity and placed
the OIG at risk of missing
                                                                                                      $1T
actionable fraud complaints.          2020                  2021
                                      800 Complaints        100,000+ Complaints
Solution
PACE data scientists
collected SBA hotline data
sets and loaded the data
into a SQL database. They
then enriched this data with
third-party data sources and
extracted information from
the hotline narratives using
natural language processing
techniques. In consultation
with SBA OIG, the PACE
team identified risks and
developed risk scores to
identify the highest risk
hotline fraud complaints.

Results
SBA OIG has incorporated
the Hotline Complaint
Risk Model into its normal
business operations and
uses it to triage hotline
complaints and prioritize
investigations.

                                             =100
                                              Complaints


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Predictive Risk Model Case Study
Background
The American Rescue Plan (ARP) Act of 2021 appropriated an estimated $94 billion to the Pension Benefit
Guaranty Corporation’s (PBGC) new Special Financial Assistance Program (SFA) for financially troubled multi-
employer pension plan applicants.

Business Challenge                                         PACE Built Predictive Risk Model Created
Given the application approval timeframe of
120 days and third-party risks associated with
ARP rules—specifically that the legislation does not
require the PBGC to directly calculate SFA payments,
only to review them for reasonableness—PBGC
OIG sought the PACE’s assistance in determining
whether a plan should be eligible for financial
assistance and how much funding it should receive.

Solution
In four months, PACE data scientists built a risk
model on the secure Microsoft Azure Cloud using
Power BI visualization tools.

Leveraging analytic techniques like outlier detection
and regression to detect plan attributes that are
“out of the norm” when compared to historic trends,
PACE data scientists developed a predictive risk
model that uses past data and pattern discovery
techniques to highlight anomalous behaviors in
incoming SFA applications.

Results
According to the PBGC Inspector General,
Nicholas J. Novak:



          “     [We] can now identify potential high risk or fraudulent applications
                as they come in. This will greatly improve efficiency. In the short
                run, the model will mostly be used to identify questionable SFA
                applications and to retrieve historical Form 5500 information. In
                the long run, the model [will help us] identify potential issues for
                plans that received SFA.
                                              ”
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Recipient Reporting Risk Model Case Study
Background
PACE data scientists assisted the Department of Treasury (Treasury) OIG on a
project involving the Coronavirus Relief Fund (CRF). Under the CRF program,             What is SQL
about 960 prime recipients received $150 billion directly from the federal        Ensemble Technique?
government. These prime recipients paid some of the money they
                                                                              Ensemble methods are techniques
received to sub-recipients.                                                  that aim at improving the accuracy of
                                                                                results in models by combining multiple
Business Challenge                                         Solution             models instead of using a single model.
                                                                                    The combined models increase
Given the large number of primes and sub-                  PACE data
                                                                                       the accuracy of the results
recipients—about 78,000 in all—advanced data               scientists                         significantly.
analytics techniques were essential for streamlining       developed a
and elevating Treasury’s review process.                   risk scoring model
                                                           to prioritize the risk
                                                           associated with prime and sub-recipient entities
                                                           receiving CRF funds using an ensemble technique
Coronavirus Relief Fund
                                                           (e.g., rule based, anomaly detection) and
                                                           incorporated both CRF data and various third-party
                                                           datasets. The risk model incorporates 27 entity-
                                                           based or transaction-based risk indicators, and
                                                           calculates four different risk scores (risk indicator
                                                           score, risk amount score, sub propagation score,
                                                           and a final composite risk score calculated using the
                                                           first three scores) to help prioritize reviews.

                                                           Results
                                                           The CRF Risk Model dashboard is now available
                                                           for 65 Treasury OIG users. The Power-BI dashboard
                                                           provides clear insights with easy-to-navigate
                                                           summary and detailed pages. Users are also able
                                                           to export data for desk reviews. As of April 2022,
                                                           Treasury OIG has opened 31 new desk reviews using
                                                           the insights from the CRF Risk Model dashboard.




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Goal Three–Prevent and Detect Fraud,
Waste, Abuse, and Mismanagement
Hold Wrongdoers Accountable
                                                                    PRAC-Investigative Efforts
The PRAC’s Fraud Task Force serves as a resource
for the IG community by surging investigative
resources into areas with the greatest need. We            In December 2021, our investigative collaboration led to
have 43 agents from 13 OIGs who have been                  two indictments:
detailed to work on Task Force cases. These agents          • In the first, out of the Southern District of New York,
are located around the country and are working                a recidivist fraudster and his co-conspirator were
cases that would otherwise go unaddressed due to              charged with scheming to fraudulently obtain $7
the scale of the pandemic fraud.                              million from PPP and the EIDL program.
                                                            • In the second, a woman in Baltimore allegedly tried to
The idea behind our Task Force is to harness the              fraudulently obtain more than $1.6 million from EIDL
expertise of the oversight community and attack               and PPP in the names of multiple businesses.
this problem with every tool we have—criminal, civil,
forfeitures of money and property, and suspensions
and debarments. Our PRAC Fraud Task Force works
closely with other entities to combat pandemic
                                                                       PRAC-Issued Report
fraud such as the Department of Justice (DOJ)
COVID-19 Fraud Enforcement Task Force. The PACE               To determine the effectiveness of SBA’s fraud controls
provides investigative support to the Task Force,             for our January 21, 2022 report Small Business
flagging anomalies or potential leads in pandemic             Administration Paycheck Protection Program Phase
relief data.                                                  III Fraud Controls, we looked at 66 prior prosecutions
                                                              by DOJ that involved PPP fraud in 2020 to assess the
                                                              impact these antifraud controls would have had on
Mitigate Major Risks                                          those schemes had they been in place at that time.

That Cut Across Program                                       We found that while the new controls improved the
                                                              SBA’s ability to detect fraud schemes, the controls
Boundaries                                                    would not have detected some of the fraud in the
                                                              prior 66 cases. Further, we found that some of the
The PRAC works with our members to identify                   same fraud schemes are going undetected despite the
emerging fraud risks created by the pandemic.                 additional controls.
For instance, for an October 2021 report we
                                                              We concluded that the SBA’s updated controls for PPP
partnered with the U.S. Department of Housing and
                                                              would have significantly benefited from a formal fraud
Urban Development (HUD) OIG to document fraud
                                                              risk assessment before the program re-opened in
schemes. We provided recommendations to HUD
                                                              January 2021.
on how to strengthen antifraud controls for two of
its programs, and systemically prevent these fraud            Read more in our full report.
schemes—and others—from occurring.

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Additionally, we issued a report entitled Small            issues with pandemic relief data and opportunities
Business Administration Paycheck Protection                to enhance payment integrity. For example, we
Program Phase III Fraud Controls that examined             reviewed SBA’s COVID-19 EIDL program before the
fraud controls the SBA added to the PPP in January         loan threshold was increased to $2 million. That
2021. Some of these controls were later used by            review resulted in the addition of new controls,
the SBA to administer the Restaurant Revitalization        including safeguards to detect and handle
Fund in May 2021.                                          suspicious IP addresses, program eligibility checks,
                                                           and other preventative measures.
We work closely with the Office of Management
& Budget (OMB), the American Rescue Plan
implementation team, and partner IGs to address

          With the American Rescue Plan Act, the Biden administration established a dedicated implementation
          team to help coordinate the various programs the Act created or funded. Over the past year, we have
          participated in dozens of “Gold Standard” meetings with this team, where agency officials present their
          implementation plans for programs to their agency’s IG, the PRAC, the American Rescue Plan
  implementation team, and OMB officials.

  The Gold Standard meetings have raised the bar on coordinated oversight by enabling agency officials to
  fine-tune pandemic relief programs before they launch.




Goal Four–Ensure Effective and
Efficient PRAC Operations
Fulfill Statutory Responsibilities
During this reporting period, PRAC Chair Michael           incorporate lessons learned from previous rounds of
Horowitz spoke extensively about the PRAC’s                COVID-19 stimulus—such as those discussed in our
efforts to help oversee the coronavirus response.          September 2021 report.
For example, on March 17 he testified before the
U.S. Senate Committee on Homeland Security &               Further, Chair Horowitz testified that the PRAC’s
Governmental Affairs about the PRAC’s ongoing              efforts could be enhanced by the reforms outlined in
oversight work, achievements over its first two years,     the Administrative False Claims Act of 2021, which
and the collaborative model it is building to provide      would raise the jurisdictional limit for administrative
a legacy for effective, coordinated government             recoveries of ‘smaller’ false or fraudulent claims
oversight during and after the pandemic.                   against the government from $150,000 to
                                                           $1 million. This change would extend the PRAC’s
Chair Horowitz also highlighted results the                and the Inspector General community’s ability to
PRAC achieved though discussions with the                  use this fraud-fighting tool to recover pandemic-
Administration and reiterated the imperative that          related funds for taxpayers.
executive departments and agencies do more to


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Build a Diverse Team of Innovative Thought Leaders
What started in March 2020 as a subcommittee               candidates in the private sector, academia, and
within CIGIE with few employees has grown to               government. While organizationally we operate
a nationally distributed workforce of 46 staff             around three functional business lines—Oversight
members spread across five time zones. Congress            & Accountability, Outreach & Engagement, and
gave the PRAC direct hiring authority in the CARES         Transparency—we added teamwork across the
Act to expedite our recruiting process, enabling           organization as one of our key performance
us to continue recruiting from a deep pool of              indicators by which we measure employee success.


Supporting the Independent Oversight of Inspectors General
The PRAC is mindful of the complexity of the federal       effective oversight methods for those programs. This
programs involved in the pandemic response and             expertise, experience, credibility, and institutional
the need for deep programmatic expertise in these          knowledge is critical to fulfilling the PRAC’s mission.
programs to ensure efficient and effective auditing        Accordingly, the PRAC relies on the existing expertise
and review. Inspectors General have specialized            and experience of individual agency IGs while
expertise and institutional knowledge regarding the        respecting their autonomy to conduct their own
programs of their respective agencies and the most         audits or investigations.




Holding Wrongdoers Accountable
Through Investigations
A key role of OIGs is to support law
enforcement in pursuing fraud investigations
and criminal enforcement. A total of 20 OIGs
publicly reported arrests/indictments and/or
convictions from October 1, 2021, through
March 31, 2022, related to the federal
government’s COVID-19 pandemic response.
The following section provides the total
number of accountability actions organized
by agency and highlights cases categorized
by criminal activity.




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                                                 Percentage of Cases by Program
                                              (October 1, 2021, through March 31, 2022)
               Program Area                                                  Percentage of Cases by Program
               Paycheck Protection Program                                                                      34%
               Pandemic Unemployment                                                                            29%
               Economic Injury Disaster Loans                                                                   24%
               Health & Safety (Vaccination, Testing, PPE, Bio)                                                  4%
               Other (Coronavirus Food Assistance Program, Price
                                                                                                                 4%
               Gouging, Economic Impact Payments)
               Source: Assembled by the PRAC from DOJ RSS feed.
               Note: The percentages above credit all agencies involved in a single case in the individual totals. Combined totals only
               count unique totals; therefore, the total count will not equal the total of each OIG’s statistics.

               Table 2. Percentage of Cases by Program

                                                            Investigative Results
                                      (October 1, 2021, through March 31, 2022)
               Office of Inspector General                        Arrests/Indictments                                    Convictions
               Amtrak                                                                              1                         0
               Defense Criminal Investigative Service                                              7                         6
               Department of Agriculture                                                           0                         2
               Department of Education                                                             2                         2
               Department of Health and Human Services                                             34                       13
               Department of Homeland Security                                                     31                        11
               Department of Housing and Urban Development                                          0                         1
               Department of Justice                                                                2                         0
               Department of Labor                                                                 203                       91
               Department of the Treasury                                                           1                         0
               Department of Veterans Affairs                                                       1                         1
               Federal Deposit Insurance Corporation                                                86                      28
               Federal Housing Finance Agency                                                       37                       10
               Federal Reserve Board                                                                65                       20
               Small Business Administration                                                       162                       85
               Social Security Administration                                                      10                         4
               Special Inspector General for Pandemic Recovery                                     6                          1
               Treasury Inspector General for Tax Administration                                   91                        39
               U.S. Agency for International Development                                            0                         1
               U.S. Postal Service                                                                  6                         3
               Source: Assembled by the PRAC from Department of Justice RSS feed
               Note: Investigative work often involves several law enforcement agencies working on the same case. OIGs may conduct
               cases with other OIGs, other Federal law enforcement agencies, and State and local law enforcement entities. The counts
               above credit all OIGs involved in the case and do not represent unique cases.

               Table 3. Investigative Results




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Paycheck Protection Program                                In each PPP loan application, false representations
                                                           included the average monthly payroll and the
and Economic Injury Disaster                               number of employees working for the company.
                                                           Fabricated IRS records, false bank statements,
Loan Case Highlights                                       and fictitious payroll reports were also submitted in
                                                           connection with those applications. The PPP loan
Amtrak OIG                                                 proceeds received were not used for authorized PPP
                                                           business expenses.
Amtrak Employee Charged with CARES Act
Fraud and Stealing Government Funds
                                                           Federal Reserve Board OIG
An Amtrak employee was charged with making false           Owner of Information Technology Services
statements and stealing government funds related           Company Fraudulently Sought More than
to the CARES Act. According to court documents, the        $13 Million in SBA PPP Loans
defendant made false statements to SBA about the
purpose of pandemic-related relief loans, including PPP    A federal grand jury convicted the defendant in
from which he received approximately $89,000. The          February 2022 for filing fraudulent loan applications
defendant also applied for and received unemployment       seeking more than $13 million in forgivable PPP
benefits through the Louisiana Workforce Commission        loans. The defendant submitted six fraudulent
despite being fully employed by Amtrak.                    PPP loan applications on behalf of his company to
                                                           four different SBA-approved lenders. In each loan
Federal Housing Finance                                    application, the defendant misrepresented the
                                                           number of employees and payroll expenses he had.
Agency OIG                                                 The defendant also submitted fraudulent IRS tax
                                                           forms in support of his applications. The evidence at
Business Owner Sentenced in Connection with
                                                           trial showed his company was a startup that lacked
Obtaining More Than $6 Million in COVID Relief
                                                           U.S.-based payroll and U.S.-based employees. As
Fraud Scheme, Georgia
                                                           a result of his scheme, the defendant obtained a
                                                           $2 million PPP loan. The government recovered
A business owner was sentenced to 41 months in
                                                           approximately $1.97 million of the loan funds.
prison, five years supervised release, and ordered to
pay over $7 million in restitution and more than $2
million in forfeiture for a fraud scheme resulting in      Federal Deposit Insurance
more than $6 million in PPP loans being disbursed.
The defendant previously pleaded guilty to bank
                                                           Corporation OIG
fraud.                                                     Man Convicted for $27 Million PPP
                                                           Fraud Scheme
The defendant submitted six fraudulent PPP loan
applications for business entities the defendant           According to court documents and evidence
owned or controlled seeking over $7.9 million in           presented at trial, the defendant submitted 27 PPP
total. Over $6 million was disbursed and $2.1              loan applications to four banks between April and
million of the fraudulent proceeds was seized from         June 2020 on behalf of eight companies solely
the defendant.                                             owned by the defendant in applications seeking a
                                                           total of $27 million in PPP loans. In his fraudulent


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applications, the defendant claimed that each              buy cryptocurrency and stocks, to cover personal
company had 100 employees and average monthly              expenses, and to withdraw cash.
payroll of $400,000. Evidence also showed that the
defendant submitted IRS documents falsely stating
that each of the companies had an annual payroll
                                                           Small Business
of $4.8 million.                                           Administration OIG
                                                           Four More Charged in $35 Million COVID-19
In a single day, the defendant withdrew                    Relief Fraud Scheme
$248,000 of fraudulently obtained PPP funds
in cashier’s checks and deposited them into                A federal grand jury in Houston returned a
another bank account that he controlled.                   superseding indictment against four additional
                                                           individuals involving more than 80 false and
                                                           fraudulent PPP loan applications. The group
                                                           allegedly falsified the number of employees and
Based on these fraudulent loan applications, three
                                                           monthly payroll expenses of their respective
of the defendant’s companies were able to obtain
                                                           businesses. In total, the defendants’ sought
$3 million in PPP funds. He used the funds for
                                                           over $35 million in PPP loans and obtained
personal expenses, cash withdrawals, payments on
                                                           approximately $18 million, according to the charges.
his personal credit cards, transfers to other personal
and business accounts he controlled, and renting an
                                                           The superseding indictment further alleges that
oceanfront apartment in Santa Monica.
                                                           the group laundered a portion of the fraudulent
                                                           loan proceeds by writing checks from companies
The defendant was convicted of bank fraud, false
                                                           that received PPP loans to fake employees who, in
statements to a financial institution, and money
                                                           turn, cashed more than over 1,100 fake paychecks
laundering.
                                                           totaling more than $3 million.

U.S. Department of Justice OIG                             Social Security
Recidivist Fraudster and Co-Conspirator
Charged in Covid-19 Relief Loan, Identity Theft,
                                                           Administration OIG
And Money Laundering Scheme                                New York and Florida Resident Admits to
                                                           $6.8 Million PPP Fraud Scheme
A recidivist fraudster and his co-conspirator were
charged with scheming to fraudulently obtain               The defendant admitted his role in a scheme to
$7.5 million from PPP and the EIDL program. The            fraudulently obtain PPP loans totaling over $6.8
conspirators used stolen identities to claim that          million from April 2020 through March 2021, in
they had full control of a number of companies,            which he submitted 21 fraudulent applications to
which they purported employed more than 200                13 lenders on behalf of nine purported businesses
people and paid more than $3.2 million in monthly          that the defendant controlled.
wages. In reality, the conspirators did not operate
these companies. They attempted to obtain more             The defendant’s fraudulent PPP applications
than $7.5 million in PPP and EIDL program funds            contained falsified information to the lenders,
and successfully obtained more than $1 million             including the number of employees, the federal
through their scheme. They used the funds to               tax returns for his purported businesses, and


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payroll documentation. The defendant obtained              Treasury Inspector General for
approximately $4.6 million in PPP funds, which he
transferred to brokerage accounts.                         Tax Administration
                                                           22 People Charged in Connection with a
Special IG for Pandemic                                    Multimillion Dollar PPP Fraud Scheme
Recovery (SIGPR)                                           Twenty-two individuals, residing across the
Oklahoma Woman Pleads Guilty to CARES Act                  United States, have been charged with wire fraud
Main Street Lending Program Fraud                          conspiracy and other related charges in connection
                                                           with a fraudulent scheme to obtain $3,899,377
A woman in Oklahoma pleaded guilty to bank fraud           in PPP.
and money laundering related to a loan obtained
through the Main Street Lending Program, a                 Two of the conspirators in the scheme allegedly
lending facility established by the Federal Reserve        submitted or helped submit PPP loan applications
Board and supported with funding authorized by             on behalf of 22 businesses. For their work on the
CARES Act.                                                 PPP loan applications, the conspirators allegedly
                                                           received a percentage of the funded loan amount
The woman obtained a loan and executed a loan              as a “success fee” from each purported business
agreement while falsely representing that she              owner. The business owners, in turn, allegedly
would use the funds for working capital and payroll        communicated the loan amount they wanted to
only. She also falsely represented she would not           receive, submitted loan applications with fake
make financial distributions to herself as the owner       supporting documents the conspirators created,
of her company. Instead, she allegedly laundered           and paid them a percentage of the funded loan
the loan proceeds by paying for construction of her        amount.
personal home. Other loan proceeds were used to
purchase a luxury SUV for her personal use. SIGPR
conducted this investigation jointly with the Office
                                                           Pandemic Unemployment
of Inspector General for the Board of Governors            Case Highlights
of the Federal Reserve System and the Bureau of
Consumer Financial Protection.
                                                           Department of Homeland
                                                           Security OIG
                                                           Virginia Inmate Sentenced for Role in
                                                           Pandemic Unemployment Benefits Scheme

                                                           A Virginia inmate was sentenced to 57 months in
                                                           prison for his involvement in a scheme to obtain
                                                           pandemic-related unemployment benefits by using
                                                           the personally identifiable information of more than
                                                           30 other inmates.




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The inmate and his co-conspirators, including the          be filed in other people’s names, resulting in nearly
prisoners whose information was used for the               $4.3 million in fraud. Between April and October
unemployment applications, shared the proceeds             2020, the employee filed and caused the filing of
of the crimes, which amounted to over $330,000.            UI benefit claims asserting claimants were self-
Although the conspirators initially obtained               employed independent contractors, often identifying
$436,834, the Virginia Employment Commission               them as cake decorators or event attendants who
was able to reclaim some of the disbursed funds            were out of work due to the COVID-19 pandemic.
after discovering the fraud.                               The defendant obtained many of the names, Social
                                                           Security numbers, and other identifying information
Department of Labor OIG                                    through her prior work as a tax preparer. This was a
                                                           joint investigation with the FBI, U.S. Postal Inspection
State Contractor Sentenced in $3 Million                   Service, Homeland Security Investigations, California
Unemployment Fraud Scheme                                  Employment Development Department, U.S. Secret
                                                           Service, and Social Security Administration-Office of
The defendant was sentenced to 58 months in                Inspector General.
federal prison after pleading guilty for her role in a
multi-million-dollar unemployment insurance fraud
scheme aimed at defrauding the State of Michigan
                                                           United States Postal Service
and the Federal Government.                                OIG
                                                           Virginia Postal Employee Convicted of
According to court records, the defendant was
                                                           Pandemic Unemployment Assistance Fraud
a contract employee for the State of Michigan
Unemployment Insurance Agency. Her duties
                                                           A maintenance mechanic from Richmond, VA was
included reviewing, processing, and verifying the
                                                           convicted of Pandemic Unemployment Assistance
legitimacy of unemployment insurance claims.
                                                           fraud for receiving over $15,000 in benefits to which
In exchange for processing fraudulent claims—
                                                           they were not entitled. The investigation revealed
including those filed with stolen identities—the
                                                           the employee lied on the application documents
defendant accepted bribes.
                                                           and was in fact actively employed by the United
                                                           States Postal Service. The employee pled guilty to
In total, the defendant used her insider access
                                                           Theft of Public Money, and was sentenced to 1-year
to fraudulently release payment on over 700
                                                           probation, as well as $15,950 in restitution.
claims. As part of her sentence, the defendant
had to pay restitution to Michigan in the amount
of $3,793,186.                                             Department of Housing and
One-Time State Employee Sentenced to                       Urban Development OIG
More than 5 Years in Prison for Fraudulently               Woman Previously Convicted in Fraud Scheme
Obtaining Nearly $4.3 Million in COVID Relief              Admits to Defrauding the Federal Housing
Funds                                                      Administration, Business and Unemployment
                                                           COVID Relief Programs
A former California Employment Development
Department employee was sentenced to 63 months             The defendant admitted in federal court that she
in prison for causing nearly 200 fraudulent pandemic-      provided false information to a mortgage lender
related unemployment insurance benefit claims to           when applying for a Federal Housing Administration-


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backed mortgage, and that she fraudulently applied
for EIDL and unemployment insurance benefits.
                                                           Other Case Highlights
In addition, the defendant failed to disclose that
she was on federal supervised release at the time          U.S. Department of Education
of the charged fraudulent activities and subject to
a $385,533 federal restitution order. In total, the
                                                           OIG
defendant received over $40,000 in COVID relief            Two Louisiana College Students Pled Guilty
benefits to which she was not entitled. Additionally,      to Identity Theft Associated with the HEERF
the defendant also admitted that she submitted a           Program
fraudulent EIDL loan application claiming that she
was an independent contractor whose business had           Two Louisiana College students pled guilty
been impacted bu the pandemic.                             to charges of identity theft in a conspiracy to
                                                           fraudulently get coronavirus Higher Education
                                                           Emergency Relief Fund (HEERF) aid for their own
Health Care/Medicare Fraud                                 use. The two and others obtained the student
                                                           identification numbers and passwords of nine
Case Highlights                                            students and, without authority, accessed the
                                                           school’s student portal where they applied for
Department of Health and                                   HEERF grants in the names of those students and
                                                           directed the grant payments to bank accounts
Human Services (HHS) OIG                                   controlled by members of the conspiracy.
Lab Owner Pleads Guilty to $6.9 Million
Genetic Testing & COVID-19 Testing Fraud                   U.S. Agency for International
Scheme
                                                           Development (USAID) OIG
The defendant pleaded guilty in the Southern               Florida Man Charged with Stealing Ventilators
District of Florida to a $6.9 million conspiracy to        Intended for Critically Ill COVID-19 Patients in
defraud Medicare by paying kickbacks and bribes            El Salvador Arrested in Texas
to obtain doctors’ orders for medically unnecessary
lab tests that were then billed to Medicare. The           In February 2022, two defendants were sentenced
defendant exploited the COVID-19 pandemic by               to 41 months each for stealing 192 medical
bundling COVID-19 testing with other forms of              ventilators worth approximately $3 million in
testing that patients did not need, including genetic      Southern Florida. The ventilators were owned by the
testing and tests for rare respiratory pathogens.          United States Agency for International Development
                                                           (USAID) and were bound for a COVID-19 intensive
In total, the defendant submitted over $6.9 million        care facility in El Salvador as part of USAID’s global
in false and fraudulent claims to Medicare for             health supply chain contract. USAID OIG’s joint
these medically unnecessary tests. The defendant           investigation with the FBI and local law enforcement
pleaded guilty to one count of conspiring to commit        led to the recovery of 191 of the stolen ventilators.
health care fraud.




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Veterans Affairs OIG                                       U.S. Department of Agriculture
Former Biloxi, VA Employee Sentenced to
                                                           OIG
Prison for Stealing VA Property                            Individual Sentenced to 36 Months of
                                                           Probation and Ordered to Pay More Than
The defendant was sentenced to serve 12 months             $76,000 in Restitution for Theft of
in federal prison for stealing government property         Government Funds
and was also ordered to pay a $40,000 fine and
$23,584 in restitution to the VA.                          USDA OIG was alerted by a Farm Service Agency
                                                           office in Louisiana that an individual allegedly
The defendant stole personal protective equipment,         submitted false documentation for assistance
electronics, and medical equipment while working           under the Coronavirus Food Assistance Program.
as the Assistant Chief of Supply Chain Management          A subsequent investigation revealed that the
for the Gulf Coast Veterans Health Care System.            individual falsely claimed to have owned 1,046 head
Starting in 2019 and continuing to December                of cattle, although the individual had never owned
2020, the defendant stole items belonging to the           more than 10 head of cattle. The individual also
VA and resold them to local pawn stores and on his         submitted fictitious receipts to support the false
personal eBay account. In total, the defendant made        number resulting in the individual receiving funding
more than $50,000 selling the stolen N-95 masks            to which they were not entitled.
and over $9,000 selling stolen iPads and iPhones.




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Key Insights Through Oversight
Reports
From October 1, 2021, through March 31, 2022,                              and remote program oversight, in particular—
29 Offices of Inspectors General issued 79 oversight                       includes the use of surveys to gauge the overall
reports related to the Federal Government’s                                effectiveness of program implementation.
COVID-19 pandemic response, and these reports
identified $9.8 billion in monetary findings (e.g.,                        During this reporting period, the PRAC expanded
questioned costs or funds put to better use).1 OIGs                        its coordination activities to incorporate oversight
also made 184 recommendations to improve the                               work by State Auditors, as exemplified in our capping
federal government’s response to the pandemic,                             report on the pandemic unemployment insurance.
such as improving internal controls and providing
more oversight of recipients.
                                                                           Key Insight 1: Increased
    See the following table on the following page for                      Focus on Fraud Controls
    more information about the reports issued by our
    OIG partners. For a complete list of all oversight                     and Managing Risk
    reports issued, see Appendix B on page 29.
                                                                           Federal pandemic programs were particularly
                                                                           susceptible to fraud. As such, OIGs have worked
As we will discuss in the following pages, these                           to evaluate how federal agencies have addressed
federal oversight products provided key insights on:                       fraud and how the lessons learned from the
                                                                           pandemic can be applied to future fraud risk
    1. Increasing Fraud Controls and Managing Risk,
                                                                           frameworks. OIGs have found that federal agencies
    2. How Incomplete Data Can Impact Agency                               could have improved overall fraud risk management
       Leadership Decision-Making,                                         and controls for community development programs,
                                                                           pension benefit programs, and small business loan
    3. Improving Service Performance and Reform,                           programs. In addition, OIGs have used data analytic
       and                                                                 techniques to help identify fraud and improve its
                                                                           oversight activities in this area.
    4. Assessing Efforts to Use and Expand Remote
       Work Capabilities.
                                                                           For example, HUD OIG found that the Office of
We have also observed that OIGs are increasingly                           Community Planning and Development had not
directing their focus to building upon previous                            completed its own fraud risk assessment or
pandemic oversight work. Indeed, as pandemic                               maintained an inventory of fraud risks for the
programs mature, OIGs have started establishing                            Community Development Block Grant program and
best practices and identifying lessons learned that                        Emergency Solutions Grant program—the two HUD
can apply broadly to future situations as well. For                        programs that received the majority of the agency’s
instance, one best practice for additional oversight—                      CARES Act funding. As part of its final report, HUD

1    These oversight reports include all reports, memorandums, and advisories issued by the OIGs related to the COVID 19 response funding and
     programs.


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                     Oversight Reports from October 1, 2021, through March 31, 2022
                                                                               Total              Total                  Total Monetary
      Office of Inspector General                                             Reports        Recommendations                Findingsa
      U.S. Agency for International Development                                   1
      U.S. Architect of the Capitol                                               2                                          $3,600,000
      Department of Agriculture                                                   2
      Department of Defense                                                       4                     8
      Department of Education                                                     3                     6
      Department of Health and Human Services                                     5
      Department of Homeland Security                                             5                    11
      Department of Housing and Urban Development                                 6                    14               $5,430,000,000
      Department of the Interior                                                  3                    26                     $231,084
      Department of Justice                                                       2                    2
      Department of Labor                                                         5                    24
      Department of the Treasury                                                  3                     3                     $500,000
      Department of Transportation                                                1
      Department of Veterans Affairs                                              6                    22                    $3,600,000
      Environmental Protection Agency                                             1                    3
      U.S. Federal Housing Finance Agency                                         1
      General Services Administration                                             2
      Federal Reserve Board & Consumer Financial
                                                                                  1                     2
      Protection Bureau
      U.S. National Credit Union Administration                                   1
      National Science Foundation                                                 1                     3
      Pandemic Response Accountability Committee                                  4                     5
      U.S. Peace Corps                                                            1
      Pension Benefit Guaranty Corporation                                        1
      Railroad Retirement Board                                                   2                    14                     $310,359
      Small Business Administration                                               4                    10                $4,377,243,774
      Social Security Administration                                              2
      Special Inspector General for Pandemic Recovery                             4
      Tennessee Valley Authority                                                  1                     1
      U.S. Treasury Inspector General for Tax
                                                                                  5                    30
      Administration
      Totals                                                                     79                   184               $9,815,485,217
      a
          “Monetary findings” include all questioned costs and funds put to better use identified by each OIG.

     Table 4. Oversight Reports from October 1, 2021, through March 31, 2022




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OIG, in coordination with the PRAC, developed a            recipients. SBA OIG recommended that SBA use the
fraud risk inventory and identified five overall factors   “batch match” or “continuous monitoring” functions
that contribute to the fraud risk for CARES Act funds.     available through the Do Not Pay portal to identify
These included increased funding and volume of             potentially ineligible applicants before disbursing
payments, the pandemic environment, CARES Act              program funds in the future.
provisions, decentralized processes, and reliance on
self-certification.
                                                           Key Insight 2: Incomplete
In addition, the Pension Benefit Guaranty
Corporation (PBGC) OIG also recognized the
                                                           Data Can Hinder Agency
inherent change in fraud risk for the Special Finance      Leadership Decision-Making
Assistance program, which received ARP funding.
The source of funding, size of payments, timing            Incomplete and inaccurate data can pose
of responding to applications, and the intended            significant threats to an agency’s mission and
time horizon of the payments created a different           the implementation of its program. It can also
risk context than other programs administered by           limit an OIG’s ability to identify negative effects
PBGC. As a result, PBGC OIG identified several risk        or possible solutions. One example includes
categories for PBGC to consider when assessing             inconsistent and unreliable data used for COVID-19
existing processes within the next risk context.           vaccine distribution and tracking and highlights
                                                           the importance of having reliable data reporting to
Further, the PRAC identified fraud risks within PPP        enhance agency leadership decisions. For example,
by analyzing fraud schemes prosecuted by the               the Department of Defense (DoD) intended to
DOJ. The PRAC identified five common PPP fraud             prioritize vaccines for individuals with positions
schemes: self-certification misrepresentation,             critical to national defense and those at highest
fake documents, multiple applications, fictitious          risk for developing severe illness. However, DoD
business/operating history, identify theft/synthetic       OIG found that officials may not have effectively
identities. The PRAC also highlighted that the             distributed or administered COVID-19 vaccines
internal controls in place to mitigate fraud in the        to the DoD workforce because the agency used
final round of the program might still have missed         unreliable vaccine-eligible population data.
instances of these fraud types.                            Similarly, the Department of Veterans Affairs
                                                           (VA) OIG identified that while the Veterans Health
Several OIGs have also applied additional analytics        Administration quickly modified existing systems
techniques to effectively make conclusions and             and developed new tools to track supply, dosage,
improve oversight by identifying potential fraud. In       and distribution of COVID-19 vaccines to veterans
November 2021, SBA OIG issued a Management                 and employees, this system hosted inconsistent
Advisory detailing its collaboration with the              and inaccurate data due to inadequate validation
Department of the Treasury’s Do Not Pay Business           and user errors. The incomplete data directly
Center to determine if the SBA provided Economic           affected managers’ ability to schedule and prioritize
Injury Disaster Loans (EIDLs) to ineligible recipients     COVID-19 vaccinations.
from March to November 2020. As a result of the
data matching efforts with the Do Not Pay Business         Conversely, increased data visibility can bolster
Center, SBA OIG identified that over $3.1 billion          transparency, improve data accuracy, and ultimately
in COVID-19 EIDL and $550 million in emergency             improve accountability. For example, the Board
EIDL grants were distributed to potentially ineligible     of Governors of the Federal Reserve System OIG


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identified in a February 2022 report that not
only did the Board meet their 30-day reporting                       Insights Through Surveys
requirements to Congress and provide complete
and materially accurate data, it also voluntarily                     In November 2020, we issued the Agile Products
provided additional transaction-specific data for                     Toolkit to encourage OIGs to use surveys as a way
some lender programs that exceeded statutory               of obtaining information quickly and remotely. Since then,
reporting requirements, allowing for additional data       OIGs have expanded their efforts to use surveys and, within
                                                           this reporting period, several OIGs employed the use of
transparency for the program.
                                                           surveys in their oversight products. These surveys allowed
                                                           for on-the-ground insights into government operations, the
Key Insight 3: Improving                                   impact of pandemic programs on intended beneficiaries, and
                                                           how the pandemic posed unique challenges to the public.
Customer Service                                           Insights like these are critical to informing government
                                                           operations and program design—and underscore the value of
Performance and Reform                                     surveys as an oversight mechanism, now and in the future.

Customer service has been a significant area of            HUD OIG completed two surveys to obtain insights about
focus since the onset of the pandemic due to the           public housing agencies’ experiences with the administration
high number of program functions and service               of CARES Act funds, and insights about challenges Section
populations that have been significantly affected.         232 nursing homes faced during the pandemic. For example,
Some service-related issues, like staffing capacity        nursing home respondents indicated that state and federal
                                                           guidance lacked consistency and required burdensome
for telephone calls, flexibility of telephone services
                                                           reporting, making it difficult to keep up with regulation changes.
to accommodate remote work, and managing
backlogs, have been exacerbated by the pandemic.
                                                           DOJ OIG used two surveys to obtain a better understanding
In December 2021, President Biden issued                   of telework experiences of DOJ’s litigating and adjudicating
Executive Order 10458 which directs federal                personnel—distributing 9,909 surveys and receiving
agencies to focus on and improve its customer              4,286 responses (a 43% response rate). These surveys,
service to the American public. OIG reports can            for example, identified that litigation attorney respondents
help offer insights into challenges agencies               and immigration judge respondents had differing views on
faced in providing good customer service during            preferred telework structures.
the pandemic, as well as opportunities moving
forward post-pandemic. Opportunities include               SIGPR used a survey to obtain responses from lenders and
recommendations related to improving essential             borrowers about the Main Street Lending Program. The survey
customer service performance like collecting               identified that a majority of respondents viewed the program
customer feedback, establishing service standards          positively and as successful in enabling businesses to continue
                                                           operations during the pandemic, but also identified three
and performance measures, and comparing
                                                           common critiques about the program structure including the
customer service performance to similar federal
                                                           complexity of the program, restrictive eligibility requirements,
services and the private sector.                           and borrowers’ difficulty in finding participating lenders.

For example, IRS reported that as of November
20, 2021, it had 7.8 million cases in its Accounts
Management inventory, with 56.8% of the inventory
remaining unprocessed for over 45 days. The
Treasury Inspector General for Tax Administration
(TIGTA) found that increasing call volumes reduced


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Pandemic Response Accountability Committee                                                                          25
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resources to resolve Account Management                    their campuses, were unprepared to transition
inventories because many Accounts Management               to remote learning. While Job Corps did develop
employees split their time between working cases           innovative alternatives for in-person instruction,
and answering IRS’ toll-free telephone calls. TIGTA        Job Corps did not have the infrastructure in place
made 19 recommendations to better utilize existing         to deliver all their education programs in a remote
capacity, increase resources to process the backlog        capacity and delayed students’ progress. HHS OIG
inventory, and prioritize tools that reduced the           found telehealth was critical for providing services
volume of tax account correspondence by enabling           to Medicare beneficiaries during the first year of the
taxpayers to directly upload documents into                pandemic. Twenty-eight million beneficiaries used
Accounts Management’s inventory.                           telehealth services, or more than 2 in 5 Medicare
                                                           beneficiaries. Understanding the use of telehealth
Some OIGs also found that higher demand for                during the first year of the pandemic can shed
remote service options and needed flexibilities            light on how the temporary expansion of telehealth
to accommodate remote employees affected                   affected where and how beneficiaries accessed
customer service. For example, the Social Security         their health care. The Centers for Medicare and
Administration (SSA) OIG found that the pandemic           Medicaid Services (CMS) could use these findings to
impacted SSA telephone service performance due             inform changes to the services that are allowed via
to limited in-person services and the agency shift         telehealth on a permanent basis.
to provide a larger percentage of their services
over the telephone via field office numbers and
their national 800-number. SSA addressed 51                Key Insight 4: Using and
percent of its more than 151 million calls during
FY 2020 using employees or automated services.
                                                           Expanding Remote Work
That performance matched—and in some cases,                Capabilities
exceeded—those at comparable federal service
call centers that year, and even some industry call        At the start of the pandemic, the majority of the
centers. Even with high call center performance,           federal workforce, and the services that these
SSA recorded 67.8 million abandoned calls due              agencies provide, transitioned to a remote work
to wait times in FY 2020. Planned efforts by               posture. While this transition initially sought to
SSA to address the challenges identified by SSA            promote the health and safety of the federal
OIG include hiring additional call service staff,          workforce and the American public, a number of
modifying its automated service operations to              agencies have begun to expand their telework
improve customer experience, implementing a new            capabilities. With this transition to a remote
centralized telephone system that will fully use its       posture and longer-term expansion of telework
service capacity, and collecting most information on       flexibilities, agencies faced additional cybersecurity
performance and customer experience.                       challenges. For example, TIGTA found that the IRS,
                                                           whose remote workforce increased from 26,000
OIGs also attempted to understand how the move             to 60,700 between March and September 2020,
to a remote work posture impacted the service              relied on existing software that the agency has had
that their parent agencies were delivering to the          in place since 2004 under its Enterprise Remote
American public. For example, the United States            Access Project along with the purchase of additional
Department of Labor (DOL) OIG found that the               licenses and doubling its bandwidth capacity by the
Employment and Training Administration’s Job               end of FY 2020. The IRS has also utilized two-factor
Corps, who educate roughly 29,000 students on              authentication since 2005, which has been a key


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component of the agency’s access management                were moved to a virtual setting due to the pandemic,
strategy during the pandemic. Additionally, TIGTA          cost less and provided more opportunities for
found that IRS has continuous monitoring and               diversity and inclusion when held virtually instead
network scanning which identifies vulnerabilities          of in person. NSF OIG found that between April
and that these processes were not impacted by the          2020 and March 2021, NSF saved $13.5 million
increase in teleworking. Alternatively, the Tennessee      in expenses for merit review panels compared to
Valley Authority (TVA) OIG found that the expansion        the year prior, and NSF staff reported that remote
of remote access for TVA employees and contractors         panels increased participation opportunities for
created several cybersecurity gaps even though             individuals with small children, with disabilities, or
TVA had been consistent with cybersecurity remote          who cannot travel. However, NSF has limited data
access best practices. In addition, the Railroad           about the diversity of panelists due to low response
Retirement Board OIG found areas of improvement            rates to requests for demographic information. The
for their parent agency due to internal control            National Credit Union Administration OIG found
deficiencies in RRB’s deployment of mobile phones.         that agency leadership communicated effectively
                                                           and took appropriate actions based on reliable
The oversight community has also been engaged              information and expert guidance to protect the
in assessing the effectiveness of agency efforts           health and safety of their staff as they transitioned
to return personnel back to an in-person setting,          to an optional back in-person setting. The OIG noted
the benefits of continuing remote work, and the            that the agency continues to evaluate transition
agency decisions about its work posture moving             plans as the pandemic evolves.
forward. The National Science Foundation (NSF) OIG
assessed if the agency’s merit review panels, which




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Appendix A: Acronyms
ARP            American Rescue Plan Act of 2021            OIG            Office of Inspector General

CARES Act      Coronavirus Aid, Relief, and                OMB            Office of Management and Budget
               Economic Security Act
                                                           PACE           Pandemic Analytics Center of
CIGIE          Council of the Inspectors General                          Excellence
               on Integrity and Efficiency
                                                           PBGC           Pension Benefit Guaranty
CMS            Centers for Medicare &                                     Corporation
               Medicaid Services
                                                           PPP            Paycheck Protection Program
COVID-19       Coronavirus Disease 2019
                                                           PRAC           Pandemic Response Accountability
CRF            Coronavirus Relief Fund                                    Committee

DoD            Department of Defense                       SBA            Small Business Administration

DOJ            Department of Justice                       SFA            Special Financial Assistance
                                                                          Program
DOL            Department of Labor
                                                           SIGPR          Special Inspector General for
EIDL           Economic Injury Disaster Loan                              Pandemic Recovery
EPA            Environmental Protection Agency             SQL            Structured Query Language
HEERF          Higher Education Emergency                  SSA            Social Security Administration
               Relief Fund
                                                           Treasury       Department of the Treasury
HHS            Department of Health and
               Human Services                              TIGTA          Treasury Inspector General for
                                                                          Tax Administration
HUD            Department of Housing and Urban
               Development                                 TVA            Tennessee Valley Authority

IG             Inspector General                           USAID          U.S. Agency for International
                                                                          Development
IRS            Internal Revenue Service
                                                           VA             Department of Veterans Affairs
NSF            National Science Foundation




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                                                                                 OCTOBER 1, 2021 - MARCH 31, 2022




Appendix B: Pandemic-Related
Reports by Office of Inspector General
Offices of Inspectors General (OIGs) issued a total        Management Advisory Regarding Results from
of 79 reports between October 1, 2021, and March           Research for Future Audits and Evaluations Related
31, 2022, related to the COVID-19 pandemic                 to the Effects of the 2019 Novel Coronavirus on DoD
response. The following information provides a list        Operations, DODIG-2022-054, January 19, 2022
and summary of each of those reports.

                                                           U.S. Department of the Interior OIG
U.S. Agency for International Development OIG
                                                           Fulfillment of Purchase Card Orders, 2021-FIN-022,
COVID-19 Information Brief #4, October 28, 2021            January 19, 2022

U.S. Architect of the Capitol OIG                          Pandemic Purchase Card Use, 2020-FIN-73,
                                                           October 22, 2021
Effects of COVID-19 and the Events of January 6
Have Increased the Cannon House Office Building            Pandemic-Related Contract Actions, 2021-FIN-010,
Renewal Project’s Contracts by $5.6 Million and            October 13, 2021
Further Increases are Expected, OIG-AUD-2022-02,
March 28, 2022
                                                           U.S. Department of Education OIG
Architect of the Capitol Use of Enhanced Paid Leave        Missouri’s Administration of the Governor’s
Authorities, March 15, 2022                                Emergency Education Relief Fund Grant,
                                                           A20GA0018, February 10, 2022
U.S. Department of Agriculture OIG
                                                           The Department’s Implementation of CARES Act
USDA COVID-19 Funding Dashboard, 21-045-01,                Flexibilities to TEACH Grant Service Obligations,
October 28, 2021                                           I20DC0024, January 20, 2022

COVID-19—Oversight of the Emergency Food                   Review of State Plans for Use of Governor’s
Assistance Program—Interim Report, 27801-0001-             Emergency Education Relief Funds, F20DC0028,
21(2), October 18, 2021                                    December 20, 2021

U.S. Department of Defense OIG                             U.S. Department of Health and Human
Audit of DoD Implementation of the DoD                     Services OIG
Coronavirus Disease–2019 Vaccine Distribution              Telehealth Was Critical for Providing Services to
Plan, DODIG-2022-058, February 1, 2022                     Medicare Beneficiaries During the First Year of the
                                                           COVID-19 Pandemic, OEI-02-20-00520, March 15,
                                                           2022




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Pandemic Response Accountability Committee                                                                     29
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The Assistant Secretary for Administration Awarded         U.S. Department of Housing and Urban
and Managed Five Sole Source Contracts for                 Development OIG
COVID-19 Testing in Accordance With Federal and            Challenges Faced by Section 232 Nursing Homes
Contract Requirements, A-05-21-00014, January              During the Pandemic, 2022-KC-0801, March
26, 2022                                                   29, 2022

COVID-19 Tests Drove an Increase in Total Medicare         HUD Did Not Always Comply With Its internal guide
Part B Spending on Lab Tests in 2020, While Use of         When Transitioning Offices From Mandatory to
Non-COVID-19 Tests Decreased Significantly,                Maximum Telework During the COVID-9 Pandemic,
OEI-09-21-00240, December 30, 2021                         2022-CH-0002, February 15, 2022

Most Medicare Beneficiaries Received Telehealth            FHA Borrowers Did Not Always Properly Receive
Services Only From Providers With Whom They Had            COVID-19 Forbearances From Their Loan Servicers,
An Established Relationship, OEI-02-20-00521,              2022-KC-0001, February 15, 2022
October 18, 2021
                                                           Public Housing Agencies’ Experiences and
Changes Made to States’ Medicaid Programs                  Challenges Regarding the Administration of HUD’s
to Ensure Beneficiary Access to Prescriptions              CARES Act Funds, 2022-CH-0801, November 16,
During the COVID-19 Pandemic, A-06-20-04007,               2021
October 13, 2021
                                                           Lessons Learned and Key Considerations From
U.S. Department of Homeland Security OIG                   Prior Audits and Evaluations of the CDBG Disaster
                                                           Recovery Program, 2022-FW-0801, November 2,
Management Alert – Reporting Suspected Fraud of
                                                           2021
Lost Wages Assistance, OIG-22-28, March 4, 2022
                                                           Fraud Risk Inventory for the CDBG and ESG CARES
CISA Should Validate Priority Telecommunications
                                                           Act Funds, 2022-FO-0801, October 12, 2021
Services Performance Data, OIG-22-15, January
12, 2022
                                                           U.S. Department of Justice OIG
Medical Processes and Communication Protocols              Survey of DOJ Litigating Attorneys and Immigration
Need Improvement at Irwin County Detention                 Judges on Work Experiences During the COVID-19
Center, OIG-22-14, January 6, 2022                         Pandemic, 20-015, December 20, 2021

FEMA Did Not Always Accurately Report COVID-19             Management Advisory Memorandum: Impact of
Contract Actions in the Federal Procurement Data           the Failure to Conduct Formal Policy Negotiations
System, OIG-22-7, November 9, 2021                         on the Federal Bureau of Prisons’ Implementation
                                                           of the FIRST STEP Act and Closure of Office of the
Continued Reliance on Manual Processing Slowed
                                                           Inspector General Recommendations, 22-007,
USCIS’ Benefits Delivery During the COVID-19
                                                           November 16, 2021
Pandemic, OIG-22-12, November 3, 2021




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U.S. Department of Labor OIG                               Coronavirus Disease 2019 Pandemic Relief
COVID-19: To Protect Mission Critical Workers,             Programs: Audit of the Community Development
OSHA Could Leverage Inspection Collaboration               Financial Institutions Fund’s Implementation of
Opportunities with External Federal Agencies,              the CDFI Rapid Response Program, OIG-22-023,
19-22-003-10-105, March 31, 2022                           December 21, 2021

COVID-19: Delays in Providing Disaster Relief              U.S. Department of Veteran Affairs OIG
Jeopardize $366 Million Disaster Worker Grant
                                                           VA’s Compliance with the VA Transparency & Trust
Program, 19-22-002-03-391, January 28, 2022
                                                           Act of 2021, 22-00879-118, March 22, 2022
Management Advisory Comments Identified in an
                                                           Care in the Community Consult Management
Audit of the Consolidated Financial Statements for
                                                           During the COVID-19 Pandemic at the Martinsburg
the Year Ended September 30, 2021, 22-22-004-
                                                           VA Medical Center in West Virginia, 21-01724-84,
13-001, December 20, 2021
                                                           February 16, 2022
FY 2021 Independent Auditor’s Report on the DOL
                                                           Audit of Community Care Consults during COVID-19,
Financial Statements, November 19, 2021
                                                           21-00497-46, January 19, 2022
COVID-19: Safety and Remote Learning Challenges
                                                           Systems and Tools Implemented to Track COVID-19
Continue for Job Corps, 19-22-001-03-370,
                                                           Vaccine Data, 21-02969-20, December 7, 2021
November 12, 2021
                                                           Comprehensive Healthcare Inspection of Facilities’
U.S. Department of Transportation OIG                      COVID-19 Pandemic Readiness and Response in
FTA Does Not Effectively Assess Security Controls          Veterans Integrated Service Networks 1 and 8, 21-
or Remediate Cybersecurity Weaknesses to Ensure            02969-20, November 18, 2021
the Proper Safeguards Are in Place To Protect
                                                           Deficiencies in Select Community Care Consult
Its Financial Management Systems, IT2022005,
                                                           (Stat) Processes During the COVID-19 Pandemic,
October 20, 2021
                                                           20-03437-26, November 10, 2021

U.S. Department of the Treasury OIG
                                                           U.S. Environmental Protection Agency (EPA) OIG
Coronavirus Disease 2019 Pandemic Relief
                                                           EPA Should Consistently Track Coronavirus
Programs: Audit of Treasury’s Implementation of the
                                                           Pandemic-Related Grant Flexibilities and Implement
Emergency Capital Investment Program, OIG-22-
                                                           Plan for Electronic Grant File Storage, 22-P-0018,
028, March 8, 2022
                                                           February 22, 2022
Apache Tribe of Oklahoma’s Use of Coronavirus
Relief Fund Payment, OIG-CA-22-006, December
28, 2021




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U.S. Federal Housing Finance Agency OIG                    Small Business Administration Paycheck Protection
Oversight of Multifamily Borrowers’ Compliance with        Program Phase III Fraud Controls, PRAC-2022-03,
CARES Act and Freddie Mac Tenant Protections and           January 21, 2022
Freddie Mac’s Response to the Potential Financial
                                                           Key Insights: State Pandemic Unemployment
Impact of COVID-19, OIG-2022-003, March 24,
                                                           Insurance Programs, PRAC-2022-02, December 16,
2022
                                                           2021

U.S. General Services Administration OIG                   Increasing Transparency into COVID-19 Spending,
Management Alert: Inadequate Ventilation in GSA            PRAC-2022-01, October 19, 2021
Headquarters Child Care Center, JE22-001, March
10, 2022                                                   U.S. Peace Corps OIG
                                                           Final Report on the Peace Corps’ Compliance with
FAS Lacks Sufficient Controls to Monitor and
                                                           CARES Act Supplemental Funding Requirements,
Prohibit the Sale of Trade Agreements Act Non-
                                                           IG-22-02-A, November 23, 2021
Compliant Products in Support of the Government’s
COVID-19 Response, A2011018-1, January
21, 2022                                                   U.S. Pension Benefit Guaranty Corporation OIG
                                                           Risk Assessment of PBGC’s Implementation
U.S. Federal Reserve Board & Consumer                      of Special Financial Assistance, SR-2022-09,
Financial Protection Bureau OIG                            March 21, 2022
The Board Has Effective Processes to Collect,
Aggregate, Validate, and Report CARES Act Lending          U.S. Railroad Retirement Board OIG
Program Data, 2022-FMIC-B-00, February 28, 2022
                                                           Railroad Retirement Board Did Not Implement
                                                           Sufficient Internal Controls in the Mobile Phones
U.S. National Credit Union Administration OIG              Deployed as a Result of the Pandemic, 22-07,
                                                           March 17, 2022
Audit of the NCUA’s COVID-19 Work Posture, OIG-
21- 10, December 10, 2021
                                                           Management Information Report – Railroad
                                                           Retirement Board’s Actions in Response to
U.S. National Science Foundation OIG                       Pandemic Funding, 22-06, March 16, 2022
Remote Versus In-Person Merit Review Panels, 22-
6-003, January 20, 2022                                    U.S. Small Business Administration OIG
                                                           SBA’s Paycheck Protection Program Loan Review
Pandemic Response Accountability Committee                 Processes, 22-09, February 28, 2022
Best Practices and Lessons Learned from The
                                                           SBA’s Oversight of the Grant Recipient’s
Administration Of Pandemic Related Unemployment
                                                           Implementation of the CARES Act Resource
Benefits Programs, PRAC-2022-04, February 16,
                                                           Partners Training Portal, 22-07, January 18, 2022
2022




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Pandemic Response Accountability Committee                                                                     32
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COVID-19 EIDL Program Recipients on the                    U.S. Treasury Inspector General for Tax
Department of Treasury’s Do Not Pay List, 22-06,           Administration
November 30, 2021                                          Program and Organizational Changes Are Needed
                                                           to Address the Continued Inadequate Tax Account
SBA Emergency EIDL Grants to Sole Proprietors and
                                                           Assistance Provided to Taxpayers, 2022-46-027,
Independent Contractors, 22-01, October 7, 2021
                                                           March 18, 2022

U.S. Social Security Administration OIG                    American Rescue Plan Act: Assessment of
                                                           Processes to Identify and Address Improper Child
The Social Security Administration’s Telephone
                                                           and Dependent Care Credit Claims, 2022-47-023,
Service Performance, A-05-20-50999, December 1,
                                                           March 14, 2022
2021
                                                           Results of the 2021 Filing Season, 2022-40-024,
Comparing the SSA DDS’ Workload Statistics During
                                                           March 9, 2022
the COVID-19 Pandemic to Prior Years, A-01-21-
51038, December 1, 2021
                                                           Cybersecurity and Telework During the COVID 19
                                                           Pandemic, 2022-20-007, December 17, 2021
U.S. Special Inspector General for Pandemic
Recovery (SIGPR)                                           The Taxpayer Advocate Service Assisted Thousands
                                                           of Taxpayers with CARES Act Issues but Faced
Independent Review of 4003(b) Loan Recipient’s
                                                           Challenges in Identifying and Tracking Applicable
Validation Memo – Alaska Airlines, Inc.,
                                                           Cases, 2022-16-002, October 20, 2021
SIGPR-A-22-003-3, March 29, 2022

Independent Review of 4003(b) Loan Recipient’s
Validation Memo – American Airlines, Inc.,
SIGPR-A-22-003-2, March 29, 2022

Independent Review of 4003(b) Loan Recipient’s
Validation Memo – Frontier Airlines, Inc.,
SIGPR-A-22-003-1, March 22, 2022

Main Street Lending Program Survey Results,
SIGPR-A-22001, January 27, 2022


U.S. Tennessee Valley Authority OIG
Remote Application and Desktop Virtualization,
2021-15804, January 11, 2022




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Pandemic Response Accountability Committee                                                                   33
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Appendix C: Hotline Data
Since inception, the Pandemic Response Accountability Committee received most of its hotline complaints
through its electronic complaint form. The PRAC’s hotline provides an avenue for concerned citizens to report
potential fraud, waste, abuse, and mismanagement related to the pandemic response, including the CARES
Act and other related legislation.

During the reporting period, we received 1,509 hotline communications, of which 314 were filed for
information or not actionable. The remaining 1,195 were deemed potentially actionable for fraud, waste,
abuse, or mismanagement. From these, the PRAC forwarded 1,277 allegations to 17 different Offices of
Inspectors General for review and1 appropriate action.2



                         1,509                                                                         1,277
                       Hotline Tips                                                                   Allegations




                                                                1,195
                                                                Potential
                                                                 Actions




                                                                  314
                                                                   Not
                                                               Actionable




2    The number of allegations referred is higher than the number of actionable communications because some communications may contain more
     than one allegation.


    Highlights          Background              Accomplishments                Accountability             Reports            Appendices


Pandemic Response Accountability Committee                                                                                               34
             For more information:
                        Lisa Reijula
  Associate Director of Outreach and Engagement, PRAC
                  Lisa.Reijula@cigie.gov


                      Visit us at:
                 PandemicOversight.gov


                    Follow us at:
                      @COVID_Oversight


Report Fraud, Waste, Abuse, or Misconduct:
     To report allegations of fraud, waste, abuse, or
 misconduct regarding pandemic relief funds or programs
            please go to the PRAC website at
                 PandemicOversight.gov.




                     A Committee of the
               Council of the Inspectors General
                  on Integrity and Efficiency

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