Federal Manager's Daily Report

Coming on the heels of the loss of veterans’ personal data, the appropriations bill also includes an amendment introduced by Steve Rothman, D-N.J, which would prevent the Internal Revenue Service from using private contractors to collect delinquent taxes.

“After tonight, we are one giant step closer to saving hundreds of millions of dollars and safeguarding taxpayers’ personal financial information from the grips of private, for-profit collection agencies,” said Rothman.

He wants the agency to hire more people to collect back taxes instead. The National Treasury Employees Union has argued that additional staff would cost a few cents for each dollar collected, versus around 20 cents contractors would get. Rothman also objected to $54 million in start up costs for the program.

The amendment narrowly made it out of committee on a 29-27 vote.