Congressman Langworthy Introduces Bipartisan Legislation to Increase Transparency and Accountability for Federal Grant Payments

WASHINGTON, D.C. – Recently, Congressman Nick Langworthy (NY-23) introduced H.R. 7598, the Federal Subaward Reporting System Modernization and Expansion Act, to update the federal subaward reporting system to establish accurate records to end federal waste and abuse of taxpayer dollars. This legislation is co-led by Congresswoman Chrissy Houlahan (D-PA).

“Too often, federal tax dollars are dispersed without adequate tracking, leading to inefficiencies and, in some cases, outright abuse," said Congressman Langworthy. "By modernizing and expanding the federal subaward reporting system, we can increase transparency and accountability in how taxpayer dollars are spent. With the Federal Subaward Reporting System Modernization and Expansion Act, we have an opportunity to institute reforms that will benefit not only current taxpayers but also future generations.”

“Finding ways to make the federal grant-making process more transparent and efficient has been a top priority of mine since I took office," said Congresswoman Houlahan.“It is our responsibility as Members of Congress and good stewards of federal dollars to understand how resources reach our communities—right now, that isn’t always easy to track. This bipartisan bill is a much-needed solution to modernize the delivery of federal funds, and I look forward to working with Rep. Langworthy to ensure proper oversight and accessibility.” 

A federal subaward is a type of funding mechanism where a federal agency provides funding to a recipient (such as a state government or nonprofit organization), and that recipient, in turn, provides funding to a subrecipient to carry out a portion of the original project or program. It's a way for federal funds to flow down to other entities for specific purposes within a larger project or program.

Billions of taxpayer dollars are awarded each year through the annual appropriations process and various federal spending bills — the American people deserve to know where their money is going throughout the entire federal award process. The Federal Subaward Reporting System Modernization and Expansion Act would require the General Service Administration (GSA), Office of Management and Budget (OMB), and the Treasury to develop plans ensuring accurate, timely, and comprehensive subaward data, mitigating the opportunity for untracked or lost federal dollars.  

Other cosponsors include Rep. Michael Cloud (R-TX), Rep. Michael Guest (R-MS), Rep. Clay Higgins (R-LA), Michael Lawler (R-NY), Rep. Don Davis (D-NC), Rep. Mike Quigley (D-IL) and Rep. Bob Latta (R-OH). 

This legislation is also supported by the Project on Government Oversight, National Taxpayers Union, Citizens Against Government Waste, Taxpayers for Commonsense, Citizens for Responsibility and Ethics in Washington (CREW), and the BullMoose Project.

Danielle Brian, Executive Director of the Project On Government Oversight, said, “When federal dollars are misspent, the effects are widespread but are disproportionately felt by communities that have historically been overlooked and forgotten. The Project On Government Oversight enthusiastically welcomes the introduction of the Federal Subaward Reporting System Modernization and Expansion Act of 2024. Americans deserve to know where their tax dollars are going, and this bill will represent an important step toward such a window into federal spending."

Brandon Arnold, EVP of the National Taxpayers Union, said, "As the national debt continues to grow, it is more important than ever to increase transparency. The bipartisan 'Federal Subaward Reporting System Modernization and Expansion Act' will help shine a light on how taxpayer dollars are being spent throughout the federal grant process. This will be a valuable tool as lawmakers seek to reduce waste and the mismanagement of federal dollars.”

Ziven Havens, Policy Director for the Bull Moose Project, said, “Current economic conditions are forcing Americans to keep track of every dollar they have. Unfortunately, the same cannot be said of the US Government. With nearly $5 billion in inaccurate data, there is a clear and pressing need for a modernized tracking system to achieve adequate accountability of taxpayer funds. The Bull Moose Project applauds Rep. Langworthy for introducing this bill and calls on every House Republican to support increased transparency.”

The full text of H.R. 7598 can be found here.