Comer Probes SEC Skirting Federal Hiring Practices

Press Release

"The Committee on Oversight and Accountability is conducting oversight of the Securities and Exchange Commission's (SEC) use of the Intergovernmental Personnel Act (IPA). Excessive use of the IPA raises concerns about employee qualifications, conflicts of interest, and continuity of operations within the Commission. According to the Office of Personnel Management (OPM) the IPA establishes a program which allows skilled personnel to be temporarily "assign[ed] to or from state and local governments, institutions of higher education, Indian tribal governments and other eligible organizations…to facilitate cooperation between the Federal Government and the non-Federal entity.' The goal of the IPA is to facilitate "the movements of employees, for short periods of time.'

The IPA's intent is to allow agencies to hire individuals for short periods of time. The SEC's hirings appear to undermine the IPA, raising concerns that the SEC is using the IPA to avoid normal federal hiring practices and circumvent federal wage restrictions. Additionally, these hirings raise concerns about potential conflicts of interest for individuals who maintain their prior employment relationships. To fulfill our oversight responsibilities, the Committee is conducting a review of the SEC's use of the IPA."

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