The bill strengthens protection of federal funds and contractor accountability by imposing a three-year bar on certain convicted individuals, but it may hurt small businesses, add administrative burdens, and impede rehabilitation or produce uneven enforcement.
Taxpayers and federal finances: Individuals convicted of specified contract- or grant-related felonies are barred from receiving federal contracts or grants for three years, reducing the risk of waste and misuse of federal funds.
Federal agencies and procurement officials: Creates a clear statutory tool allowing agencies to exclude individuals who committed contract-related felonies, strengthening accountability in federal contracting.
Victims of procurement fraud and taxpayers: Directly links felony convictions for specified offenses to loss of federal contracting eligibility, improving deterrence and prospects for redress.
Small businesses and contractors: Beneficial owners or key personnel could be barred for three years, removing essential staff and disrupting small firms' ability to compete for federal work.
Federal agencies, DOJ, GSA, and OMB: Must track convictions, update SAM, issue guidance, and revise the FAR—imposing compliance costs and risking procurement delays.
Individuals with convictions and communities supporting reentry: A three-year bar—even for minor or context-specific offenses—can hinder reintegration and the economic recovery of convicted individuals.
Based on analysis of 2 sections of legislative text.
Prohibits federal contracts/grants to individuals (or entities they beneficially own) convicted of specified federal felonies tied to federal assistance for three years, with limited waiver authority.
Official title: Federal Program Integrity and Fraud Prevention Act of 2026
Introduced December 19, 2025 by Keith Self · Last progress June 9, 2026
Prohibits federal agencies from awarding, renewing, or extending federal contracts, grants, cooperative agreements, loans, or other federal financial assistance to any individual convicted of a listed federal felony that arose from a federal contract or federal financial assistance, or to entities where that individual is a beneficial owner, for three years after conviction. Allows agency heads to grant case-by-case waivers with immediate written notice to Congress; requires Attorney General notification to GSA, updates to the SAM exclusions list, OMB guidance within one year, and necessary FAR revisions.