Sponsors (2)
The bill prioritizes veterans' privacy by banning contractors from monetizing sensitive VA-held data and strengthening oversight, but it raises compliance and procurement costs and could unintentionally constrain data-sharing that supports research and care coordination.
Veterans: VA contractors will be prohibited from selling or otherwise monetizing veterans' sensitive personal and health information, reducing the risk of identity theft, privacy breaches, and misuse of their data.
Veterans and beneficiaries: stronger protections increase trust that the VA will safeguard medical and benefit records, which may make people more willing to share necessary information with the VA and improve access to services.
Taxpayers: by reducing pathways for commercial data-sharing of VA-held sensitive information, the bill may lower the likelihood of costly breaches and litigation, potentially reducing public costs tied to data incidents.
Government contractors and taxpayers: contractors will face increased compliance costs to change contracts and monitoring practices, which could raise VA procurement costs and overall program expenses.
VA procurement and competition: the restriction may limit contracting options and reduce the vendor pool (especially firms that monetize data), potentially reducing competition and innovation in VA services.
VA and health partners: implementing the new contract clauses, monitoring, and enforcement will create administrative burdens and require staff time and resources to revise contracts and oversight processes.
Based on analysis of 3 sections of legislative text.
Prevents VA contracts from permitting contractors to sell or monetize veterans’ protected health or personally identifiable information and requires anti-monetization contract clauses, guidance, and a report within one year.
Introduced January 27, 2026 by Nikki Budzinski · Last progress January 27, 2026
Prohibits the Department of Veterans Affairs from entering into any contract that allows a contractor to sell or otherwise disclose veterans’ sensitive personal information for money or other consideration. Requires the VA, within one year of enactment, to add a standard contract clause banning monetization or sale of protected health information and personally identifiable information, to issue guidance for employees and contractors on identifying misuse, and to report those materials and compliance steps to the House and Senate Veterans’ Affairs Committees.