Pandemic Accountability Committee Updates Lessons Learned in Oversight

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Earlier this month, the Pandemic Response Accountability Committee (PRAC) issued an update to its initial report first issued in September 2021 with five additional findings. The Committee's reports concerning lessons learned in pandemic oversight address two key questions: (1) how effective were pandemic expenditures? And (2) are there areas for improvement?

The five new “lessons learned” are explained below.

1.      Allocate Funding on the Basis of Need

Under pandemic relief legislation, rental assistance was allocated by population rather than need. The legislation also forced state and local governments to spend at least 30 percent of their first-round allocation by September 30, 2021. Should states fail to do so, the Treasury Department could repatriate the undistributed funds to other entities that spent at least 65 percent of their initial allocation. Thus, less populated states had a difficult time reaching the necessary threshold because either they received too much money, or they didn't have enough renters.

2.      Increase Public Awareness and Participation in New Programs

The Emergency Broadband Benefit program helped low-income households connect to the internet during the pandemic, but registration and public awareness remained low for the duration of the program. In fact, only 20 percent of eligible households participated in the program by the end of December 2021.

PRAC identified similar issues with funeral assistance, highlighting the need for additional public outreach.

3.      Watchdogs Need Access to Data to Find Fraud

Using data analytics, watchdogs can search for trends, patterns, and anomalies, but only if they can obtain complete and timely information on the programs they oversee. In some instances, confusion about the authority to provide data resulted in delayed transmission. In some instances, watchdogs took the unprecedented step of subpoenaing agencies to obtain pandemic-related data.

4.      Collaboration Is Critical in Oversight

To coordinate the programs created or funded by the American Rescue Plan Act, the Biden Administration established a dedicated implementation team that held more than 25 "Gold Standard" meetings between federal agency officials, PRAC, Offices of Inspectors General (OIG), and the Office of Management and Budget (OMB). During these meetings, officials can fine-tune pandemic relief programs before they launch. According to the PRAC report, building in lessons learned can reduce fraud and improve the effectiveness of programs.

5.      Pandemic Relief Spending Requires Enhanced Reporting

In the federal relief system, dollars can be difficult to track through prime recipients and sub-recipients. To better inform the public about how tax dollars are spent, OMB is investigating various methods to report financial information.

Conclusion

Shortly after the report’s issuance, PRAC Chair and the Justice Department’s Inspector General (IG) Michael Horowitz testified before the House of Representatives Select Subcommittee on the Coronavirus Crisis.

“What PRAC has developed over the past two years is a new model for conducting oversight in a crisis. It is a model that draws on the existing capabilities of the oversight community and surges capacity where needed,” stated IG Horowitz. “Our transparency mission and tracking of pandemic spending is unique across government while our other priorities address common challenges and risks across our member OIGs.”

In the year ahead, PRAC will focus on the need to prevent and detect identity theft in pandemic benefit programs, according to IG Horowitz. Furthermore, PRAC will continue to work closely with Congress and OMB so lessons learned and insights can help inform decisions regarding the pandemic.