S. 1365

119 S1365 IS: No Federal Payments to Companies Controlled by Special Government Employees Act of 2025
 U.S. Senate
 2025-04-09
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 Pursuant to Title 17 Section 105 of the United States Code, this file is not subject to copyright protection and is in the public domain.
 II  119th CONGRESS  1st Session  S. 1365  IN THE SENATE OF THE UNITED STATES   April 9, 2025   Mrs. Shaheen  introduced the following bill; which was read twice and referred to the  Committee on Homeland Security and Governmental Affairs    A BILL
To prohibit the awarding of contracts and grants to companies beneficially owned by special Government employees, and for other purposes.
1.
Short title
This Act may be cited as the   No Federal Payments to Companies Controlled by Special Government Employees Act of 2025  .
2.
Prohibition on awarding of contracts and grants to companies beneficially owned by special Government employees
(a)
In general
An executive agency may not award a contract, grant, or cooperative agreement, or make any payment related to a contract, grant, or cooperative agreement, to a company of which any covered beneficial owner was a special Government employee on or after January 1, 2025, unless the individual who is such a beneficial owner of such company immediately ceases to be a special Government employee and is not a special Government employee at any time during the 365 days following the date of the enactment of this Act.
(b)
Definitions
In this section:
(1)
Company
The term  company  means any—
(A)
corporation, company, limited liability company, limited partnership, business trust, or business association; or
(B)
entity that is similar to an entity described in subparagraph (A).
(2)
Covered beneficial owner
The term  covered beneficial owner  means an individual who, with respect to a company—
(A)
is a beneficial owner of the company, as determined pursuant to section 240.13d–3 of title 17, Code of Federal Regulations, as in effect on December 20, 2019; and
(B)
owns, directly or indirectly, 5 percent or more of the equity securities of the company.
(3)
Equity security
The term  equity security  has the meaning given the term in section 3(a) of the Securities Exchange Act of 1934 ( 15 U.S.C. 78c(a) ).
(4)
Executive agency
The term  executive agency  has the meaning given the term in section 133 of title 41, United States Code.
(5)
Special Government employee
The term  special Government employee  has the meaning given the term in section 202(a) of title 18, United States Code.