Stop Fraud by SOMALIA Act
Rep. Stauber Introduces the Stop Fraud by SOMALIA Act to Ban Corrupt Child Care Centers
This bill is currently in the early stages of the legislative process and is being reviewed by two House committees. It is actively moving through the system, but no future votes or hearings have been scheduled yet.
Legislative Progress
Key Points
- The bill creates a permanent ban for any child care provider found guilty of fraud from ever again receiving federal child care assistance. Providers cannot get around the ban by changing their name, reorganizing, merging, or repaying stolen funds.
From policy text
“No child care provider, subject to such a debarment, may regain eligibility to participate in or receive financial assistance under a program described in clause (i) by changing the name of the provider or the program offered by the provider, by reorganizing, by merging with another entity, or by repaying the financial assistance that is the subject of the final determination of fraud.”
View in full text - States must reimburse the federal government for any child care funds obtained through fraud. If states do not pay back the money directly, the federal government can deduct the amount from the state's future child care budget.
From policy text
“the Secretary shall notify the State of the finding and shall require that the State reimburse the Secretary for the financial assistance that was the subject of the determination of fraud (referred to in this paragraph as `financial assistance obtained through fraud'), that the Secretary deduct from the administrative portion of the State allotment for the following fiscal year an amount that is less than or equal to the financial assistance obtained through fraud, or a combination of such options.”
View in full text - Non-citizens who commit child care fraud face severe immigration consequences including being declared inadmissible, deportable, ineligible for asylum, ineligible for adjustment of status, and subject to mandatory detention and expedited removal.
From policy text
“Any alien who has been permanently debarred as a child care provider, based on a final determination of fraud, under section 658I(b)(3)(D) of the Child Care and Development Block Grant Act of 1990 (42 U.S.C. 9858g(b)(3)(D)), is deportable.”
View in full text - The bill specifically targets individuals who use stolen child care funds to support terrorist organizations like Al-Shabaab and the PLO. Anyone associated with these groups who also committed child care fraud would be permanently barred from the U.S.
From policy text
“the Attorney General, the Secretary of State, or the Secretary of Homeland Security has determined has received funds as a child care provider that were used to support any terrorist organization, including Al-Shabaab, or any individual engaged in terrorist activity”
View in full text - The immigration-related provisions apply retroactively to fraud committed as far back as September 30, 1996, as long as the person has not yet been arrested, charged, or indicted. The bill also lets agencies skip normal rulemaking and paperwork requirements to speed up implementation.
From policy text
“The amendments made by sections 3 through 6 of this Act shall apply to any conduct by an alien that constituted fraud and was committed on or after September 30, 1996, against any private individual, fund, corporation, or government entity, for which the alien has not yet been arrested, charged, or indicted as of the date of the enactment of this Act.”
View in full text
Impact Analysis
Personal Impact
State Impacts
Milestones
Referred to the Committee on the Judiciary, and in addition to the Committee on Education and Workforce, for a period to be subsequently determined by the Speaker, in each case for consideration of such provisions as fall within the jurisdiction of the committee concerned.
Introduced in House
Related News
2 articlesLawyers say government is fast-tracking Somali asylum hearings in Minnesota
Immigration attorneys say the government is fast-tracking Somali asylum hearings in Minnesota amid a crackdown on child care fraud. The 'Stop Fraud by SOMALIA Act' would codify these measures, including expedited removal for non-citizens.
State Somali leaders condemn Stauber's new bill
U.S. Rep. Pete Stauber's bill to increase penalties for child care fraud is facing pushback by Muslim and Somali leaders. The bill targets fraud with penalties including DOJ referrals and easier deportations, but critics say it unfairly stigmatizes Somali providers.
Source Information
Document Type
Congressional Bill
Official Title
Stop Fraud by SOMALIA Act
Data Sources
Sponsor
Analysis generated by AI. Always verify with official sources.