Analyst Brief June 22, 2026

H.R. 826 — COVID Fraud Transparency Act of 2025, as amended

Current Status

Suspend the Rules and Pass the Bill, With an Amendment

Executive Summary

H.R. 826, the 'COVID Fraud Transparency Act of 2026,' mandates the Small Business Administration (SBA) Inspector General to submit quarterly reports to Congress detailing fraud in COVID-19 relief programs, specifically PPP and EIDL loans. The bill aims to increase oversight and transparency regarding the massive scale of suspected fraud in pandemic-era lending. By requiring regular updates on new, suspected, and resolved fraud cases, the legislation provides Congress with the data necessary to track recovery efforts without authorizing new appropriations, sunsetting after two years.

Bill Data

Primary Sponsor

Mr. Williams (R-TX)

Bill Number

H.R. 826

Session

119th

Co-Sponsors

Mr. LatimerMr. Bean of FloridaMr. Mfume
View on Congress.gov ↗

Arguments For

  • Accountability and Oversight: Provides a clear, recurring mechanism to track the recovery of billions of dollars lost to pandemic-era fraud, serving as a strong talking point for fiscal responsibility.
  • Bipartisan Appeal: Combating COVID-19 fraud is a universally popular stance, evidenced by the bipartisan list of cosponsors and its movement under suspension of the rules.
  • Fiscal Discipline: Adheres to CUTGO rules by explicitly prohibiting new appropriations, ensuring the oversight mandate does not add to the federal deficit.

Likely Supporters

Taxpayers Protection AllianceCitizens Against Government WasteNational Federation of Independent Business (NFIB)

Arguments Against

  • Resource Strain on SBA IG: Mandating quarterly reports without authorizing additional funding could divert existing SBA OIG resources away from active fraud investigations and into administrative reporting.
  • Redundancy: The SBA IG already publishes periodic reports and updates on pandemic fraud; a strict statutory quarterly mandate may be seen as duplicative micromanagement.

Likely Opponents

Federal employee unions (quiet opposition regarding unfunded mandates)

📋 Key Provisions

  • Requires the SBA Inspector General to submit a report on COVID-19 loan fraud to the House and Senate Small Business Committees within 60 days of enactment, and every 3 months thereafter.
  • Mandates the report include the total number and dollar amount of covered loans, new and suspected fraud cases, resolved fraud cases, and the types of fraud involved.
  • Defines 'covered loans' as Paycheck Protection Program (PPP) loans and COVID-19 Economic Injury Disaster Loans (EIDL).
  • Sunsets the reporting requirements exactly two years after the date of enactment.
  • Prohibits the authorization of new appropriated funds to carry out the Act, ensuring compliance with CUTGO rules.
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Claim Analysis Page 2, Line 3

Requires the first report within 60 days of enactment.

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"Not later than 60 days"

Claim Analysis Page 3, Line 1

Defines covered loans to include Section 7(b) COVID-19 loans.

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"a loan made under section 7(b)"

Claim Analysis Page 3, Line 6

The Act terminates two years after enactment.

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"terminate on the date that is two years"

Claim Analysis Page 3, Line 9

No new funds are authorized to be appropriated.

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"No such funds are authorized"