President Joe Biden would veto a Republican proposal to clawback unobligated funds for unemployment modernization included in Democrats’ American Rescue Plan Act if it were to make it to his desk, the Office of Management and Budget said in a statement Monday.
The bill, called the Protecting Taxpayers and Victims of Unemployment Fraud Act, was introduced in February by House Ways and Means Committee Chairman, Jason Smith (R-Mo.), and House Committee on Oversight and Accountability Chairman, James Comer (R-Ky.).
The Ways and Means Committee reported the bill out of committee in April. The proposal’s 35 co-sponsors backers say that it would incentivize states to recover money lost to fraudsters in the jobless aid system.