North Miami-Dade News

WASHINGTON, D.C. – The RECLAIM Taxpayer Funds Act, introduced by Rep. María Elvira Salazar (R-FL), has successfully passed the House of Representatives with strong bipartisan support. This legislation aims to recover billions of dollars in fraudulent government loans and restore fiscal responsibility and government accountability.

In a statement, Rep. Salazar emphasized the importance of ensuring that taxpayer money is not misused. She said, "The federal government must step up and ensure that bad actors are not taking hard-earned taxpayer money. By passing the RECLAIM Taxpayer Funds Act, the House of Representatives is sending a clear message to the Biden Administration to be better accountable for federal programs that are meant to serve, not steal."

The RECLAIM Taxpayer Funds Act specifically targets fraudulent and unused Paycheck Protection Program (PPP) loans that were distributed during the peak of the COVID-19 pandemic. It requires the Small Business Administration (SBA) to account for these loans and take necessary action to recover the misappropriated funds.

A report from SBA Inspector General Hannibal Ware in June 2023 revealed that out of the $1.2 trillion in COVID Economic Injury and Disaster Loans (EIDL) provided by the federal government since the start of the pandemic, $200 billion were potentially fraudulent. SBA Administrator Isabel Guzman issued a competing report on the same day, claiming that only $36 billion of these loans were fraudulent.

Despite the glaring discrepancy between the two reports, only Inspector General Ware appeared before the House Small Business Committee to address the issue. Administrator Guzman did not provide an adequate explanation regarding the extent of abuse in COVID EIDL loans or plans to recoup the stolen funds.

Rep. Salazar introduced the RECLAIM Taxpayer Funds Act in collaboration with Representative Morgan McGarvey (D-KY). The bill, designated as H.R. 4667, initially passed unanimously in the House Small Business Committee in July 2023.

The passage of this bill marks a significant step towards holding the government accountable for the fraudulent distribution of taxpayer funds. With overwhelming bipartisan support, the RECLAIM Taxpayer Funds Act demonstrates a commitment to restoring fiscal responsibility and ensuring that federal programs are used to serve the American people, not to line the pockets of bad actors.

For more information about the RECLAIM Taxpayer Funds Act, please refer to the official documentation available here.

Click this link to access more information: https://salazar.house.gov/media/press-releases/salazars-reclaim-taxpayer-funds-act-passes-house-representatives