Inspector General Act of 1978

After Watergate and a series of scandals in federal programs, Congress sought permanent watchdogs inside the executive branch. The Inspector General Act, signed by President Jimmy Carter on October 12, 1978, created offices of inspector general in 12 departments and agencies, building on an inspector general created at the Department of Health, Education, and Welfare in 1976. Amendments in 1988 extended the system to many smaller agencies, and there are now more than 70 statutory inspectors general.

Inspectors general conduct audits, evaluations, and criminal and administrative investigations, and they have subpoena power for documents. They report to their agency heads and to Congress, including semiannual reports on their work, and must promptly report particularly serious problems. Those in major departments are appointed by the President with Senate confirmation, without regard to political affiliation, while others are appointed by agency heads. The Inspector General Reform Act of 2008 created the Council of the Inspectors General on Integrity and Efficiency to coordinate their work.

The President may remove an inspector general but must notify Congress in advance, and a 2022 law requires 30 days' notice and a substantive explanation of the reasons. On January 24, 2025, President Trump removed about 17 inspectors general at once without the 30-day notice, and several sued, and a federal judge later found the removals violated the notice requirement while declining to reinstate them. Supporters of the firings cited the President's authority over the executive branch, while critics in both parties said the removals weakened independent oversight. The episode renewed debate over whether inspectors general should have stronger tenure protection.