Republican Senator Joni Ernst of Iowa has introduced a legislative proposal aimed at reclaiming a substantial portion of unspent COVID-19 stimulus funds.
The bill, titled the "Returning Unspent COVID Funds Act," seeks to recover over $65 billion in unused pandemic relief money, redirecting it back to taxpayers.
As reported by the Daily Caller, this initiative follows a Government Accountability Office (GAO) report from July, which revealed that as of March 31, $65.5 billion in COVID-related funds remained unobligated. This figure includes $23.6 billion in unexpired funds and $41.9 billion in expired funds.
Ernst's proposal stands in stark contrast to the first 2025 rescissions package, the Rescissions Act of 2025, which rescinded approximately $9 billion in previously approved federal funding. The senator's bill is designed to address what she describes as "reckless spending" and to eliminate "slush funds" that have persisted since the pandemic's onset.
"The COVID cash bonanza was a $4.5 trillion all-you-can-eat buffet of waste, fraud, and abuse with the cost eaten by taxpayers," Ernst stated. She emphasized the urgency of the situation, noting, "At $38 trillion in debt, the federal government shouldnt have secret slush funds or be spending them on golf carts, bowling parties, and high school drag shows. While too much money has already been sent out the door, we have a chance to return the remaining $65 billion to the American people."
The proposed legislation targets the elimination of wasteful spending from leftover COVID funds, highlighting outdated accounts that could be returned to taxpayers. According to a NHJournal report, some of these funds have been used for projects such as drag shows for high school students in New Hampshire. Additionally, a Mercury News report indicates that California school districts utilized federal stimulus funds to purchase an ice cream truck, part of nearly $29 billion allocated to the state's public schools and charter schools.
The American Rescue Plan Act (ARPA) allocated $350 billion for the Coronavirus State and Local Fiscal Recovery Fund (SLFRF), with over $185 million approved for projects related to golf courses, including updating irrigation systems and purchasing golf carts, according to a report by the Economic Policy Innovation Center.
If enacted, Ernst's bill would cancel all unobligated balances from COVID-related programs, including the ARPA, the Paycheck Protection Program and Health Care Enhancement Act, the CARES Act, the Families First Coronavirus Response Act, and the Coronavirus Preparedness and Response Supplemental Appropriations Act.
A USA Spending report indicates that more than $4.5 trillion in COVID-19 relief funds have been distributed across 47 federal agencies as of August 2025.
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