Under the American Rescue Act, Pennsylvania is set to receive $7.3 billion in pandemic relief funding and another $6.2 billion to local governments.
Today Auditor General Timothy DeFoor called on the state legislature to put more safeguards in place to make sure that these dollars are going to the right places.
“There are entities who are not entitled to these funds and they think of deceptive ways to get these funds,” said DeFoor.
DeFoor said this happened when PPP loans were sent to Pennsylvanians, estimating $100 million lost due to fraud.
But moving forward he said this can’t happen again, “Pennsylvanians are relying on us to make sure their money is spent to help their communities recover from the economic disaster that we have unfortunately faced as a result of COVID-19.”
Senator Cris Dush released a statement in response to this that said, “I look forward to working with Auditor General DeFoor and my Senate colleagues on this issue…These funds are extremely important to our communities, and we need to make sure that the proper safeguards are in place, so the funds are used in the manner in which they were meant to be used.”
Jason Gottesman, the spokesperson for the House Republican Caucus said, “Our caucus agrees federal dollars need to be used responsibly and with maximum respect to the taxpayers. We will review the Auditor General’s recommendations.”