Rewrites the Payment Integrity Information Act of 2019 (the law that makes federal agencies track and report "improper payments") so agencies concentrate only on payments that actually cost the government money. A new definition counts a payment as an "improper payment resulting in financial loss" when it exceeds the correct amount allowed by law; payments that go to the right person for the right amount but skip certain paperwork steps no longer count, unless the skipped step was needed to confirm eligibility or the amount. Agencies would estimate and report these losses, including how much is due to fraud, at least once every three years instead of every year. The Treasury Department must write new fraud-risk assessment guidance within one year, and agencies must follow government-wide anti-fraud practices, use the Do Not Pay system, and report on their fraud-control efforts and any gaps. Agencies are also directed to obtain access to records and data held by federal, state, local, and private-sector sources to find and prevent these payments. Recovery reports would additionally go to the House and Senate Budget and Appropriations Committees.
Transparency & Accountability
- improper-payment reporting frequency — annual reports shift to once every 3 years
- improper-payment definition — excludes correct-amount payments with paperwork errors
- fraud-risk management reporting — agencies report on controls, entities, and gaps
- congressional recovery reports — adds Budget and Appropriations Committees
Civil Liberties
- government data access — covers federal, state, local, and private-sector records
Congressional Summary
Zeroing Out Monetary Benefits Improperly Expended Act or the ZOMBIE ActThis bill focuses requirements governing the assessment, tracking, and reporting of improper payments made by federal agencies on improper payments that result in financial loss to the government.The bill defines financial loss to the government as any payment (or part of a payment) in excess of the correct amount that results in a financial loss to the government, but excludes any payment (or part of a payment) that is made to the correct recipient for the correct amount but fails to meet administrative procedures (other than those required to verify the validity of the payment).The bill requires agencies to assess programs and activities every three years for the risk of improper payments resulting in financial loss to the government. The bill also generally modifies other reporting requirements to focus on such improper payments, including by expanding reporting requirements to include information about actions taken by agencies to prevent such payments (e.g., use of the Do Not Pay system) and to implement certain best practices.The bill alsorequires an estimate of such improper payments in agencies’ annual budget justification,requires the Department of the Treasury to develop risk assessment guidance, andallows up to 75% of funds that are recovered through audits to be directed back to the original program or activity (currently, up to 25% of such funds may be directed back to the original program or activity).
Legislative Subjects
Details
- Congress
- 119th
- Chamber
- House
- Status
- summarized
- Action
- Introduced in House
- Action Date
- 2026-04-23
- Date Added
- 2026-06-08
- Source
- Congress.gov →
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