Pandemic Response Accountability Committee – Update

While the oversight regime contemplated by the Coronavirus Aid, Relief, and Economic Security (CARES) Act substantially borrows from the legislation enacted in response to the 2008 financial crisis, the CARES Act introduces the novel Pandemic Response Accountability Committee (“PRAC”) within the Council of the Inspectors General on Integrity and Efficiency (“CIGIE”).[1]  At present, despite some initial hiccups, the PRAC, in conjunction with various agency inspectors general, has emerged at the forefront of nascent oversight efforts with respect to coronavirus disease 2019 (COVID-19) relief funds.  The PRAC is and should continue to benefit from the organization and capabilities of standing agency inspector general offices and its relative independence, as well as the Congressional appropriation of $80 million to, among other things, hire staff, build out its infrastructure and undertake investigative activity.  

As set forth in the CARES Act, the PRAC’s purpose is “to promote transparency and conduct and support oversight of COVID-19-related relief funds and the Coronavirus response to: (1) prevent and detect fraud, waste, abuse, and mismanagement; and (2) mitigate major risks that cut across program and agency boundaries.”[2]  The PRAC mandate includes an affirmative investigatory and audit function broadly “relating to” COVID-19 funds and “the Coronavirus response” both independent of or in collaboration with “any Inspector General of an agency.”[3]  The PRAC “may issue subpoenas to compel the testimony of persons who are not Federal officers or employees,” and enforce them in court.[4] PRAC is also empowered to “hold public hearings” and “issue subpoenas to compel the testimony of persons who are not Federal officers or employees at such public hearings.”[5]  The PRAC also has a statutory schedule for making reports and issuing alerts to the President and Congress as well as the ability to make ad hoc reports as warranted.[6]  Its purview is both inward (public sector) and outward (private sector) looking.  Importantly, the statute is clear that the PRAC’s jurisdiction is not limited to funds made available under the CARES Act, or other already enacted legislation, but extends to future legislation and appropriations related to COVID-19.[7]  

The PRAC’s required membership includes various designated inspectors general (with an already exercised option to add more IGs), with a Chairperson.  It is to be managed by an Executive Director and Deputy Executive Director appointed by the CIGIE Chairperson.[8]  At present, Michael E. Horowitz, the DOJ-IG and Chair of CIGIE, is the PRAC’s Acting Chair.  Horowitz had initially appointed DOD-IG Glenn Fine as PRAC Chairperson, but Fine became ineligible after the President removed him from his post as DOD-IG shortly after his appointment.

On April 26, 2020, the PRAC made two important announcements evidencing that its work is moving forward, while it appears its fellow oversight bodies and offices largely remain at the starting gate. 

First, the PRAC (specifically Horowitz) appointed Robert A. Westbrooks as Executive Director.[9]  According to the PRAC, Westbrooks, a long-time government employee is an attorney, certified public accountant, certified internal auditor, and certified information systems auditor, and spent 21 years as a federal criminal investigator.  For the last five years, Westbrooks served as Inspector General for the Pension Benefit Guaranty Corporation and as chair of the Professional Development Committee of the CIGIE and as a member of the CIGIE Executive Council.  Westbrooks is also a former US postal inspector and has served in leadership roles in several federal oversight agencies including the US Small Business Administration Office of Inspector General (OIG), US Department of Transportation OIG, US Postal Service OIG, and National Archives and Records Administration OIG.  His background and most senior recent role within the IG community suggests he is well positioned to jump headfirst into his work at the PRAC. 

Second, the PRAC launched its statutorily required “public-facing website to foster greater accountability and transparency in the use of covered funds and the Coronavirus response”[10] at https://pandemic.oversight.gov/, along with the Twitter account @COVID_Oversight.   As contemplated by the CARES Act, the website is designed as a clearinghouse for information relating to the federal governments COVID-19 relief programs.   The PRAC is expected to update the website on a regular basis. At present, the website includes and will include:

• Information about the “several pieces of legislation to provide health care funding and economic assistance to Americans” and the allocation of funds thereunder;
• The PRAC membership information;
• Compendium of completed PRAC and OIG reports that relate to the government’s pandemic response and recovery efforts;
• Relevant reports issued by the US Government Accountability Office (GAO);
• Compendium of ongoing OIG work related to the government's pandemic response and recovery efforts;
• IG recommendations and follow-up statuses;
• US Attorney’s Offices’ releases announcing pandemic-related cases;
• Detailed information on federal spending related to COVID-19 and related links; and
• News and contact information.

The website has the makings of one-stop shopping for federal government-wide information relating to COVID-19 relief.

We are continuing to monitor the PRAC and IG oversight efforts, along with the steps underway to launch the Office of the Special Inspector General for Pandemic Recovery (“SIG-PR”) and statutory and other Congressional oversight committees. At present, the PRAC and the IGs have emerged as the frontline in oversight and anticipated audit and investigative efforts relating to pandemic relief.

If you have any questions regarding these new requirements and their implications, please contact any member of DLA Piper’s Litigation group or Financial Services sector or your DLA Piper relationship attorney.

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This information does not, and is not intended to, constitute legal advice.  All information, content, and materials are for general informational purposes only.  No reader should act, or refrain from acting, with respect to any particular legal matter on the basis of this information without first seeking legal advice from counsel in the relevant jurisdiction.