119-s1365

[Congressional Bills 119th Congress]
[From the U.S. Government Publishing Office]
[S. 1365 Introduced in Senate

    (IS) ]

<DOC>

119th CONGRESS
 1st Session
 S. 1365

 To prohibit the awarding of contracts and grants to companies 
 beneficially owned by special Government employees, and for other 
 purposes.

_______________________________________________________________________

 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.

 Be it enacted by the Senate and House of Representatives of the 
United States of America in Congress assembled,

SECTION 1. SHORT TITLE.

 This Act may be cited as the ``No Federal Payments to Companies 
Controlled by Special Government Employees Act of 2025''.

SEC. 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.
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