Recommendation: The Secretary of Labor should, in consultation with the Small Business Administration and the Department of the Treasury, immediately provide information to state unemployment agencies that specifically addresses the Small Business Administration's Paycheck Protection Program loans, and the risk of improper payments associated with these loans. (Recommendation 1)

Agency: Department of Labor
Status: Open

Comments: When we confirm what actions the agency has taken in response to this recommendation, we will provide updated information.

Recommendation: The Commissioner of Internal Revenue should consider cost-effective options for notifying ineligible recipients on how to return payments. (Recommendation 2)

Agency: Department of the Treasury: Internal Revenue Service
Status: Open

Comments: When we confirm what actions the agency has taken in response to this recommendation, we will provide updated information.

Recommendation: The Administrator of the Small Business Administration should develop and implement plans to identify and respond to risks in the Paycheck Protection Program to ensure program integrity, achieve program effectiveness, and address potential fraud, including in loans of $2 million or less. (Recommendation 3)

Agency: Small Business Administration
Status: Open

Comments: When we confirm what actions the agency has taken in response to this recommendation, we will provide updated information.

Recommendation: In the absence of efforts to develop a plan, we urge Congress to take legislative action to require the Secretary of Transportation to work with relevant agencies and stakeholders, such as the Departments of Health and Human Services and Homeland Security, and members of the aviation and public health sectors, to develop a national aviationpreparedness plan to ensure safeguards are in place to limit the spread of communicable disease threats from abroad while at the same time minimizing any unnecessary interference with travel and trade. (Matter for Consideration 1)

Agency: Congress
Status: Open

Comments: When we determine what steps the Congress has taken, we will provide updated information.

Recommendation: To provide agencies access to Social Security Administration's more complete set of death data, we urge Congress to provide the Department of the Treasury with access to the Social Security Administration's full set of death records, and to require that the Department of the Treasury consistently use it. (Matter for Consideration 2)

Agency: Congress
Status: Open

Comments: When we determine what steps the Congress has taken, we will provide updated information.

Recommendation: To help ensure that federal funding is targeted and timely, we urge Congress to use GAO's Federal Medical Assistance Percentage formula for any future changes to the Federal Medical Assistance Percentage during the current or any future economic downturn. (Matter for Consideration 3)

Agency: Congress
Status: Open

Comments: When we determine what steps the Congress has taken, we will provide updated information.

Recommendation: The Secretary of Labor should systematically collect sufficient information on state profiling systems, possibly through DOL's new UI state self-assessment process, to identify states at risk of poor profiling system performance. For instance, DOL could collect information on challenges states have experienced using and maintaining their profiling systems, planned changes to the systems, or state processes for assessing the systems' performance. (Recommendation 1)

Agency: Department of Labor
Status: Open

Comments: The Department of Labor agreed with this recommendation and said it would take action to address it. In June 2020, DOL reported that agency staff and a contractor had made significant progress in implementing plans to revise the self-assessment tool. First, staff and the contractor gathered feedback and recommendations for improvements to the tool through focus group sessions with states in each region. DOL also reported that the contractor has been developing revised questions for inclusion in the updated self-assessment tool. While agency work on the project was temporarily halted due to the agency's focus on issuing guidance and providing technical assistance to states concerning various new UI programs of the Coronavirus Aid, Relief, and Economic Security (CARES) Act (Pub. L. 116-136), officials said the contract has been extended to November 2020, and staff plan to resume work on the project soon. GAO will monitor the agency's progress and update the status of this recommendation, as appropriate.

Recommendation: The Secretary of Labor should develop a process to use information on state risks of poor profiling system performance to provide technical assistance to states that need to improve their systems. DOL may also wish to tailor its technical assistance based on state service delivery goals and technical capacity. (Recommendation 2)

Agency: Department of Labor
Status: Open

Comments: The Department of Labor agreed with this recommendation and said it would take action to address it. In June 2020, DOL said that it was committed to using the information collected by the new self-assessment tool to develop standard operating procedures for capturing and maintaining the profiling assessment tracking information. These activities are dependent on the revisions to the self-assessment tool discussed in DOL's update for recommendation 1. We will monitor the agency's progress and update this recommendation as appropriate.

Recommendation: The Secretary of Labor should update agency guidance to ensure that it clearly informs states about the range of allowable profiling approaches. (Recommendation 3)

Agency: Department of Labor
Status: Open

Comments: The Department of Labor agreed with this recommendation and committed to publishing an Unemployment Insurance Program Letter (UIPL) regarding the implementation and maintenance of acceptable state profiling systems. In June 2020, DOL reported that efforts to develop the UIPL had been delayed, due in part to the intersection of the Worker Profiling and Reemployment Services (WPRS) program and the now permanent Reemployment Services and Eligibility Assessments (RESEA) program. Agency officials said they remain committed to publishing the UIPL and noted that they were developing an analysis of statistical modeling approaches that states can consider using and providing a framework for a simplified and low-cost approach to testing these different modeling techniques using their own state data. While agency officials said they were not able to devote the needed time to completing the UIPL due to the impact of the COVID-19 pandemic on the UI program, officials said their goal was to publish the UIPL by the end of 2020. We will monitor the agency's progress in implementing this recommendation, and update its status, as appropriate.

Recommendation: The Assistant Secretary of DOL's Employment and Training Administration should provide states with information about its determination that the use of state formal warning policies is no longer permissible under federal law. (Recommendation 1)

Agency: Department of Labor
Status: Open
Priority recommendation

Comments: DOL agreed with this recommendation. The agency stated that it would take action to provide states with information about its determination that the use of state formal warning policies is no longer permissible under federal law. As of December 2019, DOL reported that it is developing new guidance that states can no longer use formal warnings. We will consider closing this recommendation when the agency completes this effort.

Recommendation: The Assistant Secretary of DOL's Employment and Training Administration should monitor states' efforts to discontinue the use of formal warning policies. (Recommendation 2)

Agency: Department of Labor
Status: Open

Comments: DOL agreed with this recommendation and stated that it would monitor states' efforts to discontinue the use of formal warning policies. In December 2019, DOL reported that it has been developing new guidance that more explicitly informs states that formal warning policies are not permissible. We will consider closing this recommendation when the agency completes this effort and monitors states' compliance with the guidance.

Recommendation: The Assistant Secretary of DOL's Employment and Training Administration should clarify information on work search verification requirements in its revised Benefit Accuracy Measurement procedures. The revised procedures should include an explanation of what DOL considers to be sufficient verification of claimants' work search activities. (Recommendation 3)

Agency: Department of Labor
Status: Open
Priority recommendation

Comments: DOL agreed with this recommendation and stated that it would clarify information on work search verification requirements in its revised Benefit Accuracy Measurement procedures. In December 2019, DOL reported that it is developing new guidance with instructions to clarify work search verification requirements. To fully implement this recommendation, DOL should finalize and publish these instructions on verifying claimants' work search activities and provide the clear directions to states.

Recommendation: The Assistant Secretary of DOL's Employment and Training Administration should monitor states' compliance with the clarified work search verification requirements. (Recommendation 4)

Agency: Department of Labor
Status: Open

Comments: DOL agreed with this recommendation and stated that it would monitor states' compliance with clarified work search verification requirements. In December 2019, DOL reported that it is working with the Office of Management and Budget on its draft work search guidance that will more explicitly inform states that formal warning policies are not permissible. We will close this recommendation when DOL publishes these instructions, providing states with clear directions, and monitors their compliance with the guidance.