“Why GAO Did This Study
During emergencies, federal agencies must get relief funds out quickly while ensuring appropriate financial safeguards are in place. GAO noted early in the COVID-19 pandemic that agencies gave priority to swiftly distributing funds and implementing new programs; however, tradeoffs were made that limited progress in achieving transparency and accountability goals. As of January 31, 2022 (the most recent data available), the federal government had obligated $4.2 trillion and expended $3.6 trillion, 90 percent and 79 percent, respectively, of the $4.6 trillion in funds from six COVID-19 relief laws. This testimony focuses on GAO’s assessment of (1) federal agencies’ application of fundamental internal controls and financial and fraud risk management practices for COVID-19 spending, and (2) opportunities for Congress to improve these practices during emergencies and national crises. GAO reviewed its COVID-19 findings on internal controls and financial and fraud risk management practices. GAO compared those findings to fundamental practices for internal control, financial management, and fraud risk management.
What GAO Recommends
GAO has made 271 recommendations and five matters for congressional consideration across its COVID-19 work. In today’s testimony, GAO is making 10 matters for congressional consideration intended to enhance the transparency and accountability of federal spending…”
Read the full 48-page report here.
Source: Emergency Relief Funds: Significant Improvements Are Needed to Ensure Transparency and Accountability for COVID-19 and Beyond, March 17, 2022. GAO.
