SECTION 1. SHORT TITLE.

    This Act may be cited as the ``Preventing Waste, Fraud, and Abuse 
Act of 2010''.

SEC. 2. FINDINGS.

    The Congress finds the following:
            (1) To protect the taxpayer and the Treasury, it is the 
        responsibility of the Congress to provide Federal agencies with 
        the financial resources necessary to enforce the laws of the 
        United States and to prevent waste, fraud, and abuse of 
        taxpayer's dollars.
            (2) For every $1 invested in the Department of Health and 
        Human Services and the Department of Justice for program 
        integrity efforts to prevent waste, fraud, and abuse of 
        Medicare, Medicaid, and the Children's Health Insurance 
        Program, approximately $1.55 will be saved, according to a 
        report issued by the Office of Management and Budget.
            (3) Increased program integrity efforts by the Department 
        of Health and Human Services and the Department of Justice can 
        provide an estimated savings of $4,470,000,000 on an investment 
        of $3,100,000,000 in Medicare, Medicaid, and the Children's 
        Health Insurance Program over the next 5 fiscal years and an 
        estimated savings of $9,870,000,000 on an investment of 
        $6,753,000,000 over the next 10 fiscal years, according to a 
        report issued by the Office of Management and Budget.
            (4) For every $1 invested in the Social Security 
        Administration for program integrity efforts to increase the 
        volume of continuing disability reviews conducted pursuant to 
        section 221(i) of the Social Security Act (42 U.S.C. 421(i)) to 
        determine whether a recipient of disability insurance benefits 
        under section 223(a) of such Act (42 U.S.C. 423(a)) will 
        continue to be eligible for such benefits, approximately $10 
        will be saved, according to a report issued by the Office of 
        Management and Budget.
            (5) For every $1 invested in the Social Security 
        Administration for program integrity efforts to increase the 
        volume of continuing disability reviews conducted pursuant to 
        section 1631(j) of Social Security Act (42 U.S.C. 1383(j)) to 
        determine whether a recipient of supplemental security income 
        benefits under section 1611 of such Act (42 U.S.C. 1382) will 
        continue to be eligible for such benefits, approximately $8 
        will be saved, according to a report issued by the Office of 
        Management and Budget.
            (6) Providing additional funding to the Social Security 
        Administration to increase the volume of continuing disability 
        reviews conducted pursuant to sections 221(i) and 1631(j) of 
        Social Security Act (42 U.S.C. 421(i), 1383(j), respectively) 
        can provide an estimated savings of $16,102,000,000 on an 
        investment of $3,953,000,000 over the next 5 fiscal years and 
        an estimated savings of $57,838,000,000 on an investment of 
        $10,252,000,000 over the next 10 fiscal years, according to a 
        report issued by the Office of Management and Budget.
            (7) The tax gap, the difference between the annual amount 
        of Federal income taxes owed and the amount voluntarily paid on 
        time, places an undue burden upon the overwhelming majority of 
        taxpayers who fully and voluntarily pay their taxes on time.
            (8) In a report released in 2009 by the Internal Revenue 
        Service, it was estimated that in 2005 (the most recent 
        estimate available) the gross tax gap was $345,000,000,000 and 
        the net tax gap (after the collection of late and enforced 
        payments) was $290,000,000,000.
            (9) In 2009, for every $1 that was invested for the 
        purposes of enforcing the tax code, the Internal Revenue 
        Service returned an average of $4 to the Treasury, with some 
        enforcement activities returning as much as $11 for every $1 
        invested, according to a report issued by the Office of 
        Management and Budget.
            (10) By increasing overall tax enforcement efforts, the 
        Internal Revenue Service can provide an estimated savings of 
        $13,874,000,000 on an investment of $8,869,000,000 over the 
        next 5 fiscal years and an estimated savings of $62,217,000,000 
        on an investment of $23,275,000,000 over the next 10 fiscal 
        years, according to a report issued by the Office of Management 
        and Budget.
            (11) For each $1 invested to increase the volume of in-
        person reemployment and eligibility assessments conducted by 
        States for the Department of Labor's unemployment insurance 
        program, approximately $3.19 will be saved over the next 10 
        years, according to a report issued by the Office of Management 
        and Budget.
            (12) States will save the Department of Labor's 
        unemployment insurance program an estimated $937,000,000 on an 
        investment of $325,000,000 by increasing the volume of in-
        person reemployment and eligibility assessments over the next 5 
        fiscal years and an estimated savings of $2,296,000,000 on an 
        investment of $720,000,000 over the next 10 fiscal years, 
        according to a report issued by the Office of Management and 
        Budget.
            (13) The investments described in the preceding paragraphs, 
        if carried out, will save the taxpayers nearly $2,000,000,000 
        during fiscal year 2011, while laying the foundations for 
        saving more than $35,000,000,000 over the next 5 fiscal years 
        and more than $132,000,000,000 over the next 10 fiscal years.

SEC. 3. DEFINITIONS.

    In this Act:
            (1) Agency head.--The term ``agency head'' means--
                    (A) the Attorney General;
                    (B) the Commissioner of Social Security;
                    (C) the Secretary of Health and Human Services;
                    (D) the Secretary of Labor; and
                    (E) the Secretary of the Treasury.
            (2) Director.--The term ``Director'' means the Director of 
        the Office of Management and Budget.

SEC. 4. INCREASING PROGRAM INTEGRITY EFFORTS.

    (a) Program Integrity Efforts.--
            (1) In general.--Each agency head, in consultation with the 
        Director, shall--
                    (A) identify existing Federal laws and regulations 
                that may impede the ability to decrease waste, fraud, 
                and abuse of funds appropriated to the agency head's 
                agency; and
                    (B) develop appropriate performance metrics to 
                measure such agency's success in decreasing waste, 
                fraud, and abuse.
            (2) Development of metrics.--In developing performance 
        metrics referred to in paragraph (1)(B), each agency head 
        shall--
                    (A) ensure that such metrics accurately demonstrate 
                the effectiveness of the programs and activities 
                referred to in subsection (d) in decreasing waste, 
                fraud, and abuse;
                    (B) provide estimates for points of diminishing 
                returns on the funds provided under this Act to 
                increase program integrity efforts;
                    (C) identify optimal baselines for each of the 
                metrics developed under this subsection and appropriate 
                methods to measure variations from such baselines; and
                    (D) set performance targets for each of fiscal 
                years 2012 through 2020.
    (b) Innovation and Development.--Each agency head shall make 
appropriate accommodations for innovation and development to address 
the program integrity efforts for programs and activities referred to 
in subsection (d).
    (c) Reports.--
            (1) In general.--Each agency head shall submit to 
        Congress--
                    (A) not later than 6 months after the date of 
                enactment of this Act, an interim report that includes 
                a description of--
                            (i) what the performance metrics developed 
                        under subsection (a) will be measuring; and
                            (ii) how such metrics will measure and 
                        provide an accurate analysis of the performance 
                        of the applicable programs and activities 
                        referred to in subsection (d); and
                    (B) not later than 1 year after the date of 
                enactment of this Act, a final report that sets forth 
                the performance metrics developed under subsection (a).
            (2) Federal register; web site.--Each agency head shall 
        publish in the Federal Register and make available on the 
        agency Web site the performance metrics set forth in its final 
        report submitted under paragraph (1)(B) not later than 30 days 
        after such report is submitted.
            (3) Modification of performance metrics.--Not later than 30 
        days after the date on which any performance metrics developed 
        under subsection (a) are modified by an agency head, such 
        agency head shall submit to Congress a written notice 
        describing such modifications.
            (4) OMB annual report.--Using the performance metrics 
        developed under subsection (a), each year, beginning with the 
        first fiscal year following the date on which the final reports 
        are required to be submitted under paragraph (1)(B), on or 
        after the first Monday in January but not later than the first 
        Monday in February, the Director shall submit to Congress an 
        annual report measuring the success of the agency head's agency 
        in decreasing waste, fraud, and abuse of funds appropriated to 
        such agency. Each annual report shall include a summary of and 
        justifications for any modified performance metrics submitted 
        to Congress pursuant to paragraph (3).
            (5) Referral of reports.--Each report submitted pursuant to 
        this subsection shall be referred to the Committee on 
        Appropriations and the Committee on the Budget of the House of 
        Representatives and the Committee on Appropriations and the 
        Committee on the Budget of the Senate, and any other 
        appropriate committee of jurisdiction.
    (d) Authorization of Appropriations.--
            (1) Department of health and human services; department of 
        justice.--For the purposes of continuing and increasing program 
        integrity efforts of the Department of Health and Human 
        Services and the Department of Justice to prevent waste, fraud, 
        and abuse of Medicare, Medicaid, and the Children's Health 
        Insurance Program, there are authorized to be appropriated the 
        following sums:
                    (A) $561,000,000 for fiscal year 2011, to remain 
                available through September 30, 2012.
                    (B) $589,000,000 for fiscal year 2012, to remain 
                available through September 30, 2013.
                    (C) $619,000,000 for fiscal year 2013, to remain 
                available through September 30, 2014.
                    (D) $649,000,000 for fiscal year 2014, to remain 
                available through September 30, 2015.
                    (E) $682,000,000 for fiscal year 2015, to remain 
                available through September 30, 2016.
                    (F) $3,653,000,000 for the period encompassing 
                fiscal years 2016 through 2020.
            (2) Social security administration.--For the purposes of 
        continuing and increasing program integrity efforts of the 
        Social Security Administration by increasing the volume of 
        continuing disability reviews conducted pursuant to sections 
        221(i) and 1631(j) of the Social Security Act (42 U.S.C. 
        421(i), 1383(j), respectively), there are authorized to be 
        appropriated to the Commissioner of Social Security the 
        following sums:
                    (A) $513,000,000 for fiscal year 2011, to remain 
                available through September 30, 2012.
                    (B) $642,000,000 for fiscal year 2012, to remain 
                available through September 30, 2013.
                    (C) $751,000,000 for fiscal year 2013, to remain 
                available through September 30, 2014.
                    (D) $924,000,000 for fiscal year 2014, to remain 
                available through September 30, 2015.
                    (E) $1,123,000,000 for fiscal year 2015, to remain 
                available through September 30, 2016.
                    (F) $6,299,000,000 for the period encompassing 
                fiscal years 2016 through 2020.
            (3) Department of the treasury.--For purposes of continuing 
        and increasing program integrity efforts of the Department of 
        the Treasury by expanding tax enforcement activities, there are 
        authorized to be appropriated to the Secretary of the Treasury 
        the following sums:
                    (A) $1,115,000,000 for fiscal year 2011, to remain 
                available through September 30, 2012.
                    (B) $1,357,000,000 for fiscal year 2012, to remain 
                available through September 30, 2013.
                    (C) $1,724,000,000 for fiscal year 2013, to remain 
                available through September 30, 2014.
                    (D) $2,105,000,000 for fiscal year 2014, to remain 
                available through September 30, 2015.
                    (E) $2,568,000,000 for fiscal year 2015, to remain 
                available through September 30, 2016.
                    (F) $14,406,000,000 for the period encompassing 
                fiscal years 2016 through 2020.
            (4) Department of labor.--For purposes of continuing and 
        increasing program integrity efforts of the Department of Labor 
        by increasing the volume of in-person reemployment and 
        eligibility assessments of unemployment insurance beneficiaries 
        conducted by States, there are authorized to be appropriated to 
        the Secretary of Labor the following sums:
                    (A) $55,000,000 for fiscal year 2011, to remain 
                available through September 30, 2012.
                    (B) $60,000,000 for fiscal year 2012, to remain 
                available through September 30, 2013.
                    (C) $65,000,000 for fiscal year 2013, to remain 
                available through September 30, 2014.
                    (D) $70,000,000 for fiscal year 2014, to remain 
                available through September 30, 2015.
                    (E) $75,000,000 for fiscal year 2015, to remain 
                available through September 30, 2016.
                    (F) $395,000,000 for the period encompassing fiscal 
                years 2016 through 2020.
Preventing Waste, Fraud, and Abuse Act of 2010 - Requires the Attorney General, the Commissioner of Social Security, and the Secretaries of Health and Human Services (HHS), Labor, and the Treasury (agency head), in consultation with the Director of the Office of Management and Budget (OMB), to: (1) identify existing federal laws and regulations that may impede the ability to decrease waste, fraud, and abuse of funds appropriated to their agencies; and (2) develop appropriate performance metrics to measure success in decreasing waste, fraud, and abuse.

Directs each agency head, in developing performance metrics, to: (1) ensure that such metrics accurately demonstrate the effectiveness of specified programs and activities in decreasing waste, fraud, and abuse; (2) provide estimates for points of diminishing returns on the funds provided under this Act to increase program integrity efforts; (3) identify optimal baselines for each of the metrics developed and appropriate methods to measure variations from such baselines; and (4) set performance targets for each of FY2012-FY2020.

Requires each agency head to make appropriate accommodations for innovation and development to address the program integrity efforts for programs and activities identified by this Act.

Requires: (1) each agency head to submit an interim and final report to Congress at specified intervals and to publish in the Federal Register and make available on the agency website the performance metrics set forth in the final report; and (2) the Director of OMB to report annually measuring success in decreasing waste, fraud, and abuse of funds appropriated to an agency.
{"src": "billsum_test", "title": "To make funds available to increase program integrity efforts and reduce wasteful government spending of taxpayer's dollars."}