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American Focus > Blog > Politics > Biden Set to Break Improper Payments Record With $1 Trillion In Waste
Politics

Biden Set to Break Improper Payments Record With $1 Trillion In Waste

Last updated: October 18, 2024 6:06 am
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The Biden-Harris administration is on track to surpass the $1 trillion mark in improper payments, marking a new record for wasted money in a four-year term, according to a recent report from OpenTheBooks.com.

Improper payments, which refer to money sent by the federal government to the wrong person, for the wrong reason, or in the wrong amount, totaled over $800 billion from 2021 to 2023, adjusted for inflation. This translates to $450,000 every minute, with the government wasting $37,500 on mistaken payments in just five seconds.

Medicaid and Medicare accounted for 43% of improper payments last year, but issues were found across various sectors. Shockingly, dead people received $295 million, primarily in the form of pension benefits mistakenly sent to former federal workers who had passed away. Prisoners also received $171 million in improper payments.

The Internal Revenue Service (IRS) was responsible for doling out $25 billion in fraudulent and mistaken tax credits, with some IRS programs reporting error rates exceeding 30%. This trend of improper payments is not new but is worsening over time. Barack Obama wasted approximately 4% of his spending on improper payments in his second term, while Donald Trump wasted around 5%. The Biden administration is approaching a 6% waste rate.

Even California Democrats have acknowledged the out-of-control mistake rate. The bipartisan “Improper Payments Transparency Act,” sponsored by Reps. Jimmy Panetta and Scott Peters, aims to address this issue by requiring the president’s budget to identify ways to reduce improper payments.

Dissent has also emerged from within the Biden administration itself. When the Environmental Protection Agency received bonus funding, Inspector General Sean O’Donnell expressed concerns to Congress about the difficulty of spending $27 billion in one year without making payment errors. Unfortunately, none of the money was allocated for oversight.

See also  Peter Doocy Calls Out People with Questions About the Cover-Up of Biden's Decline: 'You Weren't Paying Attention' |

In response to the alarming statistics on improper payments, Rep. Summer Lee (D-PA) expressed surprise, stating, “Goodness, that was more than I thought.” Additionally, some lawmakers have criticized the government’s efforts to reclaim overpayments after they have been disbursed, arguing that it unfairly penalizes individuals who have already spent the money and are living paycheck to paycheck.

As the Congressional budget continues to expand, there is no room for $1 trillion to be squandered due to careless errors. It is crucial for the government to address this issue and implement measures to reduce improper payments. The #WasteOfTheDay highlights the importance of fiscal responsibility and accountability in government spending.

This article was syndicated with permission from RealClearWire, and it sheds light on the concerning trend of escalating improper payments under the Biden administration.

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