High Country Times

Education and the Workforce Committee Chairwoman Virginia Foxx has taken decisive action by serving a subpoena on Pension Benefit Guaranty Corporation (PBGC) Director Gordon Hartogensis after PBGC failed to provide satisfactory responses to the Committee's inquiries regarding the agency's gross negligence in overpaying $127 million in taxpayer money to the Central States Pension Fund for deceased participants.

In the cover letter accompanying the subpoena, Foxx expressed her concerns, stating, "The responses show a complete and total lack of respect for hardworking taxpayers' dollars." She further highlighted PBGC's failure to justify making overpayments beyond the authorized amount and the lack of explanation for the delays in recouping these funds on behalf of taxpayers.

Foxx emphasized the necessity of the information for considering the Ghost Handouts and Overpayments Stop Today Act (GHOST Act) or similar legislation to ensure PBGC fulfills its obligation to recover any overpayment made in the Special Financial Assistance program. She concluded that PBGC's failure to provide the required information has forced the Committee to resort to compulsory process.

The saga began in January when the Committee demanded explanations from PBGC regarding overpayments. Despite deadlines and extensions, PBGC's responses were deemed inadequate, leading to the issuance of a subpoena by Chairwoman Foxx on March 26, 2024.

The Committee's efforts culminated in an oversight hearing on March 20, 2024, during which Director Hartogensis failed to address the Committee's requests for information regarding the overpayments. Consequently, Chairwoman Foxx took the necessary step of serving a subpoena on PBGC to compel the production of documents and information related to the overpayments by April 9, 2024.