This week the Senate unanimously passed a bill requiring the government to recover payments determined to be made for an incorrect amount, to an ineligible recipient, for a good or service not received, or for a duplicate payment. According to the bill’s supporters, these actions could recover $100 billion government-wide. The “Improper Payments and Elimination and Recovery Act” requires agencies to conduct recovery audits for every program or activity spending over $1 million annually. Of the amounts recovered, agency heads can use 25 percent of the recovered funds for financial management improvement programs or credit it to agency appropriations. Agencies can credit another 25 percent to agency programs for which the overpayment was made. Five percent of recovered funds will be given to the agency’s Inspector General to carry out investigations of improper payments. The remaining recovered amounts will be deposited in the Treasury’s miscellaneous receipts accounts or trust fund account, if appropriate. The bill also requires agency Inspectors General to determine if the agency is in compliance with the bill. Agencies determined not to be in compliance will have to submit a corrective action plan. A similar bill was passed by the House in April. The Senate will now send its bill to the House where it should pass overwhelmingly. The White House has indicated strong support for this bill.