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: To amend title 31, United States Code, to prohibit Federal Funds from being provided to individuals convicted of certain Federal felonies, and for other purposes.
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.