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house Bill H.R. 3089

Do Federal Agencies Need to Close Accounts That Have Expired Grant Funding?

Argument in favor

More needs to be done to stop the waste of taxpayer dollars on maintaining expired and empty federal grant accounts.

Richard's Opinion
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08/01/2016
Why isn't this being done as a matter of routine? You have to pass a piece of legislation to get this done? Ridiculous.
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William's Opinion
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08/01/2016
If the account has expired, it should either not exist or be renewed, otherwise it is a waist of money. The cost of the bill is less than the annual cost of these accounts, and once closed will continue to save money even once this bill's purpose is completed. That's $400,000 annually saved during the process of closure and then $2 million annually saved after completion.
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John's Opinion
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10/04/2015
The fact that we need legislation for this common sense action is Just another pathetic example of our inept Government.
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Argument opposed

This is additional work for the agencies maintaining the grant accounts, and they’re already doing their best to close the expired accounts.

Carol's Opinion
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11/19/2015
why do we have to mandate what should be done already--is anyone in the goverment doing any work????
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David's Opinion
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08/04/2016
It does not seem to me that the benefit of recovering funds sooner than in the current process is worth the added cost of recovery.
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ELScott-Savage's Opinion
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08/01/2016
Micromanage or employ competent people who understand that this should already be included as a job responsibility?
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bill Progress


  • Not enacted
    The President has not signed this bill
  • The senate has not voted
      senate Committees
      Committee on Homeland Security and Governmental Affairs
  • The house Passed September 28th, 2015
    Passed by Voice Vote
      house Committees
      Committee on Oversight and Reform
    IntroducedJuly 16th, 2015

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What is House Bill H.R. 3089?

This bill would direct federal agencies to prepare reports on efforts to close financial accounts related to expired federal grants. These accounts are closed when all administrative actions have been completed, including payments to grantees or payments from the grantee to the federal government.


Federal agencies are currently required to track grant accounts that have expired, so this legislation would slightly increase their workloads.

Impact

Federal agencies that manage grants and their employees.

Cost of House Bill H.R. 3089

$8.00 Million
The CBO estimates that this bill would increase administrative costs by $8 million over the 2016-2020 period, or about $1.6 million per year.

More Information

In-Depth: Sponsoring Rep. Tim Walberg (R-MI) believes it is essential that agencies stop wasting taxpayer dollars on empty grant accounts:

“Spending taxpayer dollars on expired and empty accounts is the definition of government waste. Fiscal mismanagement is sadly far too common in Washington but this bipartisan legislation takes common sense steps to ensure a more effective use of taxpayer resources.”

The Government Accountability Office (GAO) released a report in 2012 that found that there was more than $794 million in funding that remained in expired grant accounts. There were also 28,000 accounts that are empty and cost a total of $173,000 in monthly service fees or about $2 million annually.


Media:

Summary by Eric Revell
(Photo Credit: Flickr user Mike Poresky)

AKA

GONE Act

Official Title

To close out expired grants, and for other purposes.