SBA Fraud Enforcement Extension Act
Summary
H.R. 4495, the SBA Fraud Enforcement Extension Act, seeks to extend the statute of limitations for prosecuting fraud related to the Shuttered Venue Operators Grant (SVOG) program and the Restaurant Revitalization Fund (RRF) established during the COVID-19 pandemic. The bill amends the Consolidated Appropriations Act, 2021, and the American Rescue Plan Act of 2021, respectively, to allow for a 10-year statute of limitations for criminal prosecutions or civil enforcement actions related to fraud within these programs. This extension applies to violations or conspiracies to violate specific sections of Title 18 and Title 31 of the United States Code.
Expected Effects
The primary effect of this bill is to provide the government with more time to investigate and prosecute fraud related to pandemic relief programs. This could lead to more successful prosecutions and recovery of fraudulently obtained funds. It also creates a longer period of uncertainty for recipients of these grants, as they could be subject to investigation for a longer duration.
Potential Benefits
- Increased likelihood of prosecuting fraud related to pandemic relief programs.
- Potential recovery of fraudulently obtained funds, which could be returned to the Treasury.
- Deters future fraudulent activities related to government programs.
- Strengthens the integrity of government assistance programs.
- May enhance public trust in government's ability to oversee and manage funds.
Potential Disadvantages
- Extended period of uncertainty for grant recipients, even those who acted in good faith.
- Increased administrative burden on government agencies to investigate and prosecute cases over a longer period.
- Potential for statute of limitations to be extended even for minor infractions.
- Could lead to increased litigation and legal costs.
- May disproportionately affect smaller businesses or organizations that received grants.
Constitutional Alignment
The bill appears to align with the Constitution, particularly Article I, Section 8, which grants Congress the power to "lay and collect Taxes, Duties, Imposts and Excises, to pay the Debts and provide for the common Defence and general Welfare of the United States." By extending the statute of limitations for fraud related to pandemic relief programs, Congress is acting to ensure the proper use of funds appropriated under this power. The bill does not appear to infringe on any specific constitutional rights or liberties.
Impact Assessment: Things You Care About ⓘ
This action has been evaluated across 19 key areas that matter to you. Scores range from 1 (highly disadvantageous) to 5 (highly beneficial).