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[109th Congress Public Law 282]
[From the U.S. Government Printing Office]

[DOCID: f:publ282.109]

[[Page 1185]]

       FEDERAL FUNDING ACCOUNTABILITY AND TRANSPARENCY ACT OF 2006

[[Page 120 STAT. 1186]]

Public Law 109-282
109th Congress

                                 An Act

 
 To require full disclosure of all entities and organizations receiving 
          Federal funds. <<NOTE: Sept. 26, 2006 -  [S. 2590]>> 

    Be it enacted by the Senate and House of Representatives of the 
United States of America in Congress assembled, <<NOTE: Federal Funding 
Accountability and Transparency Act of 2006.>> 

SECTION 1. <<NOTE: 31 USC 6101 note.>> SHORT TITLE.

    This Act may be cited as the ``Federal Funding Accountability and 
Transparency Act of 2006''.

SEC. 2. <<NOTE: 31 USC 6101 note.>> FULL DISCLOSURE OF ENTITIES 
            RECEIVING FEDERAL FUNDING.

    (a) Definitions.--In this section:
            (1) Entity.--The term ``entity''--
                    (A) includes, whether for profit or nonprofit--
                          (i) a corporation;
                          (ii) an association;
                          (iii) a partnership;
                          (iv) a limited liability company;
                          (v) a limited liability partnership;
                          (vi) a sole proprietorship;
                          (vii) any other legal business entity;
                          (viii) any other grantee or contractor that is 
                      not excluded by subparagraph (B) or (C); and
                          (ix) any State or locality;
                    (B) on and after January 1, 2009, includes any 
                subcontractor or subgrantee; and
                    (C) does not include--
                          (i) an individual recipient of Federal 
                      assistance; or
                          (ii) a Federal employee.
            (2) Federal award.--The term ``Federal award''--
                    (A) means Federal financial assistance and 
                expenditures that--
                          (i) include grants, subgrants, loans, awards, 
                      cooperative agreements, and other forms of 
                      financial assistance;
                          (ii) include contracts, subcontracts, purchase 
                      orders, task orders, and delivery orders;
                    (B) does not include individual transactions below 
                $25,000; and
                    (C) before October 1, 2008, does not include credit 
                card transactions.
            (3) Searchable website.--The term ``searchable website'' 
        means a website that allows the public to--

[[Page 120 STAT. 1187]]

                    (A) search and aggregate Federal funding by any 
                element required by subsection (b)(1);
                    (B) ascertain through a single search the total 
                amount of Federal funding awarded to an entity by a 
                Federal award described in paragraph (2)(A)(i), by 
                fiscal year;
                    (C) ascertain through a single search the total 
                amount of Federal funding awarded to an entity by a 
                Federal award described in paragraph (2)(A)(ii), by 
                fiscal year; and
                    (D) download data included in subparagraph (A) 
                included in the outcome from searches.

    (b) In General.--
            (1) Website.--Not <<NOTE: Deadline.>> later than January 1, 
        2008, the Office of Management and Budget shall, in accordance 
        with this section, section 204 of the E-Government Act of 2002 
        (Public Law 107-347; 44 U.S.C. 3501 note), and the Office of 
        Federal Procurement Policy Act (41 U.S.C. 403 et seq.), ensure 
        the existence and operation of a single searchable website, 
        accessible by the public at no cost to access, that includes for 
        each Federal award--
                    (A) the name of the entity receiving the award;
                    (B) the amount of the award;
                    (C) information on the award including transaction 
                type, funding agency, the North American Industry 
                Classification System code or Catalog of Federal 
                Domestic Assistance number (where applicable), program 
                source, and an award title descriptive of the purpose of 
                each funding action;
                    (D) the location of the entity receiving the award 
                and the primary location of performance under the award, 
                including the city, State, congressional district, and 
                country;
                    (E) a unique identifier of the entity receiving the 
                award and of the parent entity of the recipient, should 
                the entity be owned by another entity; and
                    (F) any other relevant information specified by the 
                Office of Management and Budget.
            (2) Scope of data.--The website shall include data for 
        fiscal year 2007, and each fiscal year thereafter.
            (3) Designation of agencies.--The Director of the Office of 
        Management and Budget is authorized to designate one or more 
        Federal agencies to participate in the development, 
        establishment, operation, and support of the single website. In 
        the initial designation, or in subsequent instructions and 
        guidance, the Director may specify the scope of the 
        responsibilities of each such agency.
            (4) Agency responsibilities.--Federal agencies shall comply 
        with the instructions and guidance issued by the Director of the 
        Office of Management and Budget under paragraph (3), and shall 
        provide appropriate assistance to the Director upon request, so 
        as to assist the Director in ensuring the existence and 
        operation of the single website.

    (c) Website.--The website established under this section--
            (1) may use as the source of its data the Federal 
        Procurement Data System, Federal Assistance Award Data System, 
        and Grants.gov, if all of these data sources are searchable 
        through the website and can be accessed in a search on the 
        website required by this Act, provided that the user may--

[[Page 120 STAT. 1188]]

                    (A) specify such search shall be confined to Federal 
                contracts and subcontracts;
                    (B) specify such search shall be confined to include 
                grants, subgrants, loans, awards, cooperative 
                agreements, and other forms of financial assistance;
            (2) shall not be considered in compliance if it hyperlinks 
        to the Federal Procurement Data System website, Federal 
        Assistance Award Data System website, Grants.gov website, or 
        other existing websites, so that the information elements 
        required by subsection (b)(1) cannot be searched electronically 
        by field in a single search;
            (3) <<NOTE: Public comments.>> shall provide an opportunity 
        for the public to provide input about the utility of the site 
        and recommendations for improvements;
            (4) <<NOTE: Deadline.>> shall be updated not later than 30 
        days after the award of any Federal award requiring a posting; 
        and
            (5) shall provide for separate searches for Federal awards 
        described in subsection (a) to distinguish between the Federal 
        awards described in subsection (a)(2)(A)(i) and those described 
        in subsection (a)(2)(A)(ii).

    (d) Subaward Data.--
            (1) Pilot program.--
                    (A) In general.--Not <<NOTE: Deadline.>> later than 
                July 1, 2007, the Director of the Office of Management 
                and Budget shall commence a pilot program to--
                          (i) test the collection and accession of data 
                      about subgrants and subcontracts; and
                          (ii) determine how to implement a subaward 
                      reporting program across the Federal Government, 
                      including--
                                    (I) a reporting system under which 
                                the entity issuing a subgrant or 
                                subcontract is responsible for 
                                fulfilling the subaward reporting 
                                requirement; and
                                    (II) a mechanism for collecting and 
                                incorporating agency and public feedback 
                                on the design and utility of the 
                                website.
                    (B) Termination.--The pilot program under 
                subparagraph (A) shall terminate not later than January 
                1, 2009.
            (2) Reporting of subawards.--
                    (A) In general.--Based on the pilot program 
                conducted under paragraph (1), and, except as provided 
                in subparagraph (B), not later than January 1, 2009, the 
                Director of the Office of Management and Budget--
                          (i) shall ensure that data regarding subawards 
                      are disclosed in the same manner as data regarding 
                      other Federal awards, as required by this Act; and
                          (ii) shall ensure that the method for 
                      collecting and distributing data about subawards 
                      under clause (i)--
                                    (I) minimizes burdens imposed on 
                                Federal award recipients and subaward 
                                recipients;
                                    (II) allows Federal award recipients 
                                and subaward recipients to allocate 
                                reasonable costs for the collection and 
                                reporting of subaward data as indirect 
                                costs; and

[[Page 120 STAT. 1189]]

                                    (III) establishes cost-effective 
                                requirements for collecting subaward 
                                data under block grants, formula grants, 
                                and other types of assistance to State 
                                and local governments.
                    (B) Extension of deadline.--For subaward recipients 
                that receive Federal funds through State, local, or 
                tribal governments, the Director of the Office of 
                Management and Budget may extend the deadline for 
                ensuring that data regarding such subawards are 
                disclosed in the same manner as data regarding other 
                Federal awards for a period not to exceed 18 months, if 
                the Director determines that compliance would impose an 
                undue burden on the subaward recipient.

    (e) Exception.--Any entity that demonstrates to the Director of the 
Office of Management and Budget that the gross income, from all sources, 
for such entity did not exceed $300,000 in the previous tax year of such 
entity shall be exempt from the requirement to report subawards under 
subsection (d), until the Director determines that the imposition of 
such reporting requirements will not cause an undue burden on such 
entities.
    (f) Construction.--Nothing in this Act shall prohibit the Office of 
Management and Budget from including through the website established 
under this section access to data that is publicly available in any 
other Federal database.
    (g) Report.--
            (1) In general.--The Director of the Office of Management 
        and Budget shall submit to the Committee on Homeland Security 
        and Governmental Affairs of the Senate and the Committee on 
        Government Reform of the House of Representatives an annual 
        report regarding the implementation of the website established 
        under this section.
            (2) Contents.--Each report submitted under paragraph (1) 
        shall include--
                    (A) data regarding the usage and public feedback on 
                the utility of the site (including recommendations for 
                improving data quality and collection);
                    (B) an assessment of the reporting burden placed on 
                Federal award and subaward recipients; and
                    (C) an explanation of any extension of the subaward 
                reporting deadline under subsection (d)(2)(B), if 
                applicable.
            (3) Publication.--The <<NOTE: Public information.>> Director 
        of the Office of Management and Budget shall make each report 
        submitted under paragraph (1) publicly available on the website 
        established under this section.

SEC. 3. <<NOTE: 31 USC 6101 note.>> CLASSIFIED INFORMATION.

    Nothing in this Act shall require the disclosure of classified 
information.

[[Page 120 STAT. 1190]]

SEC. 4. <<NOTE: 31 USC 6101 note.>> GOVERNMENT ACCOUNTABILITY OFFICE 
            REPORTING REQUIREMENT.

    Not later than January 1, 2010, the Comptroller General shall submit 
to Congress a report on compliance with this Act.

    Approved September 26, 2006.

LEGISLATIVE HISTORY--S. 2590:
---------------------------------------------------------------------------

SENATE REPORTS: No. 109-329 (Comm. on Homeland Security and Governmental 
Affairs).
CONGRESSIONAL RECORD, Vol. 152 (2006):
            Sept. 7, considered and passed Senate.
            Sept. 13, considered and passed House.
WEEKLY COMPILATION OF PRESIDENTIAL DOCUMENTS, Vol. 42 (2006):
            Sept. 26, Presidential remarks.

                                  <all>
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