Press Releases

Today, Education and Workforce Committee Chairman Tim Walberg (R-MI) and Health, Employment, Labor, and Pensions Subcommittee Chairman Rick Allen (R-GA) sent a letter to the newly confirmed Attorney General Pamela Bondi seeking an update from the Department of Justice (DOJ) about its recovery of taxpayer dollars from a Biden-Harris led bailout that improperly paid union pension plans for thousands of dead plan participants.
 
The Committee’s oversight work highlighted gross mismanagement of the Special Financial Assistance (SFA) program that was included in the American Rescue Plan Act. Taxpayers funded pensions for dead people to the tune of more than $164 million for 33 plans that have paid the money back. However, more than 30 other union plans have yet to pay back any of the overpayments.  
 
In the letter, the chairmen write: “As part of this investigation, the Committee is seeking information about the steps DOJ is taking to ensure that taxpayer money is recovered after the Biden-Harris administration made improper payments to multiemployer pension plans.”
 
The letter continues: “In November 2023, the Committee became aware that the Pension Benefits Guaranty Corporation (PBGC) approved more than $127 million in SFA program overpayments for at least 3,479 deceased participants for one plan alone: the Central States, Southeast, and Southwest Pension Fund (Central States). However, DOJ has not reported any enforcement activity in connection with more than 60 other plans that received similar improper payments. PBGC reports that, as of February 7, 2025, about 30 of these 60 plans have voluntarily repaid nearly $30 million. Therefore, no repayments have been made from the other 30 plans. We are concerned that these other plans have not restored the improper payments.”
 
The letter concludes: “With the inauguration of President Donald J. Trump and your confirmation as Attorney General, we have an opportunity to address these improper payments and to secure repayments for taxpayers. We request that you ensure DOJ is taking timely and meaningful action to recover improper payments. Attached for your reference are the Committee’s letters to the Biden-Harris DOJ on this matter.”
 
Read the full letter here.

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