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119-HR-826 Journalist Public Summary

119 · HR 826 COVID Fraud Transparency Act of 2025

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COVID Fraud Transparency Act of 2025This bill requires the Small Business Administration's Office of Inspector General to report quarterly about fraud cases involving certain COVID-19 loans (e.g.,...

H.R. 826 would require the Small Business Administration’s Inspector General to send Congress a public-facing update every three months on fraud in pandemic-era small‑business loans (PPP and COVID EIDL) for two years, and it advanced out of the House Small Business Committee on May 20, 2026 by a 23–0 vote; no new funding is authorized.

Published
21 May 2026
Updated
21 May 2026
Tags
public-summary · US-House · fraud-oversight
Unvetted
01 · Section

Headline Summary

A bipartisan bill to make the SBA Inspector General report, every three months, how much fraud is being found and resolved in pandemic small‑business loan programs, for two years, using existing funds.

02 · Section

What It Does

H.R. 826 (the “COVID Fraud Transparency Act of 2025”) directs the Small Business Administration’s Inspector General to send quarterly reports to the House and Senate Small Business Committees. The reports must cover: total covered loans made, new fraud and suspected‑fraud cases, cases resolved in the period, and the main types of fraud involved. “Covered loans” include Paycheck Protection Program (PPP) first‑ and second‑draw loans and COVID‑19 Economic Injury Disaster Loans (EIDL). The requirement ends two years after enactment, and the bill authorizes no additional funding (the SBA IG must do this with existing resources).

03 · Section

Who’s For It

  • Sponsors from both parties: Rep. Roger Williams (R‑TX), Rep. George Latimer (D‑NY), Rep. Aaron Bean (R‑FL), and Rep. Kweisi Mfume (D‑MD). They frame it as basic transparency and oversight of taxpayer‑funded COVID loan programs.
  • Good‑government and anti‑fraud advocates are likely to support regular, public accounting of fraud trends and case outcomes.
  • Members who prioritize small‑business program integrity and recovery of misspent funds.
04 · Section

Who’s Against It

  • No formal, organized opposition is publicly noted in the text provided. Potential critics could argue the mandate adds administrative workload to the SBA Inspector General without new resources.
  • Some may worry quarterly snapshots could be misread without context (e.g., rising case counts might reflect better detection rather than more fraud).
  • Privacy or investigative‑sensitivity concerns: frequent public reporting might risk exposing details of ongoing cases if not carefully aggregated.
05 · Section

What’s Next

On May 20, 2026, the House Small Business Committee approved the bill 23–0 and ordered it reported. The next likely step is consideration by the full House. If it passes the House, it would move to the Senate; to become law, both chambers must pass identical text and the President must sign it.

Committee yeas
23yeas
Committee nays
0nays
Reporting frequency
3months
Sunset
2years
Covered loan programs
3types

Discussion