By Vicki Needham - 04/06/10 04:58 PM EDT
Biden announced the tougher policy for stimulus funds recipients on Tuesday at the office of the Recovery Act Accountability and Transparency Board.
The move "strongly reinforces our emphasis on accountability and it requires agencies to intensify their efforts," he said.
The administration is asking federal agencies in charge of doling out the funds to be "aggressive" in finding out how money from the $787 billion stimulus is being spent.
Those that don't report could have their awards terminated and reclaimed, and suspension and disbarment could be pursued for non-reporting grant recipients and contractors, Biden said.
Of the 65,000 recipients of stimulus funds, 1,700 have been reported to the inspector general with 150 cases being further investigated, according to Earl Devaney, chairman of the Recovery Act board.
Since the $787 billion law was enacted, more than $300 billion has been spent, according to Recovery.gov.
The stimulus has been subject to a constant fight between Democrats and Republicans.
GOP members argue too few jobs have been preserved or created for the stimulus's cost. Democrats argue the stimulus staved off a more severe recession or even a depression, and that the sparks of life in the economy are largely because of the stimulus.
For more information on stimulus spending, click here.