118TH CONGRESS 

1ST SESSION S. 659 

AN ACT 

To amend chapter 38 of title 31, United States Code, 

relating to civil remedies, and for other purposes. 

1 Be it enacted by the Senate and House of Representa2 tives of the United States of America in Congress assembled, 
2 

†S 659 ES

1 SECTION 1. SHORT TITLE. 

2 This Act may be cited as the ‘‘Administrative False 

3 Claims Act of 2023’’. 

4 SEC. 2. ADMINISTRATIVE FALSE CLAIMS. 

5 (a) CHANGE IN SHORT TITLE.— 

6 (1) IN GENERAL.—Subtitle B of title VI of the 

7 Omnibus Budget Reconciliation Act of 1986 (Public 

8 Law 99–509; 100 Stat. 1934) is amended— 

9 (A) in the subtitle heading, by striking 

10 ‘‘Program Fraud Civil Remedies’’ and 

11 inserting ‘‘Administrative False 

12 Claims’’; and 

13 (B) in section 6101 (31 U.S.C. 3801 note), 

14 by striking ‘‘Program Fraud Civil Remedies Act 

15 of 1986’’ and inserting ‘‘Administrative False 

16 Claims Act’’. 

17 (2) REFERENCES.—Any reference to the Pro18 gram Fraud Civil Remedies Act of 1986 in any pro19 vision of law, regulation, map, document, record, or 

20 other paper of the United States shall be deemed a 

21 reference to the Administrative False Claims Act. 

22 (b) REVERSE FALSE CLAIMS.—Chapter 38 of title 

23 31, United States Code, is amended— 

24 (1) in section 3801(a)(3), by amending sub25 paragraph (C) to read as follows: 
3 

†S 659 ES

1 ‘‘(C) made to an authority which has the 

2 effect of concealing or improperly avoiding or 

3 decreasing an obligation to pay or transmit 

4 property, services, or money to the authority,’’; 

5 and 

6 (2) in section 3802(a)(3)— 

7 (A) by striking ‘‘An assessment’’ and in8 serting ‘‘(A) Except as provided in subpara9 graph (B), an assessment’’; and 

10 (B) by adding at the end the following: 

11 ‘‘(B) In the case of a claim described in section 

12 3801(a)(3)(C), an assessment shall not be made 

13 under the second sentence of paragraph (1) in an 

14 amount that is more than double the value of the 

15 property, services, or money that was wrongfully 

16 withheld from the authority.’’. 

17 (c) INCREASING DOLLAR AMOUNT OF CLAIMS.—Sec18 tion 3803(c) of title 31, United States Code, is amended— 

19 (1) in paragraph (1), by striking ‘‘$150,000’’ 

20 each place that term appears and inserting 

21 ‘‘$1,000,000’’; and 

22 (2) by adding at the end the following: 

23 ‘‘(3) ADJUSTMENT FOR INFLATION.—The maximum 

24 amount in paragraph (1) shall be adjusted for inflation 

25 in the same manner and to the same extent as civil mone-
4 

†S 659 ES

1 tary penalties under the Federal Civil Penalties Inflation 

2 Adjustment Act (28 U.S.C. 2461 note).’’. 

3 (d) RECOVERY OF COSTS.—Section 3806(g)(1) of 

4 title 31, United States Code, is amended to read as fol5 lows: 

6 ‘‘(1)(A) Except as provided in paragraph (2)— 

7 ‘‘(i) any amount collected under this chapter 

8 shall be credited first to reimburse the authority or 

9 other Federal entity that expended costs in support 

10 of the investigation or prosecution of the action, in11 cluding any court or hearing costs; and 

12 ‘‘(ii) amounts reimbursed under clause (i) 

13 shall— 

14 ‘‘(I) be deposited in— 

15 ‘‘(aa) the appropriations account of 

16 the authority or other Federal entity from 

17 which the costs described in subparagraph 

18 (A) were obligated; 

19 ‘‘(bb) a similar appropriations account 

20 of the authority or other Federal entity; or 

21 ‘‘(cc) if the authority or other Federal 

22 entity expended nonappropriated funds, 

23 another appropriate account; and 

24 ‘‘(II) remain available until expended. 
5 

†S 659 ES

1 ‘‘(B) Any amount remaining after reimbursements 

2 described in subparagraph (A) shall be deposited as mis3 cellaneous receipts in the Treasury of the United States.’’. 

4 (e) SEMIANNUAL REPORTING.—Section 405(c) of 

5 title 5, United States Code, is amended— 

6 (1) in paragraph (4), by striking ‘‘and’’ at the 

7 end; 

8 (2) by redesignating paragraph (5) as para9 graph (6); and 

10 (3) by inserting after paragraph (4) the fol11 lowing: 

12 ‘‘(5) information relating to cases under chap13 ter 38 of title 31, including— 

14 ‘‘(A) the number of reports submitted by 

15 investigating officials to reviewing officials 

16 under section 3803(a)(1) of such title; 

17 ‘‘(B) actions taken in response to reports 

18 described in subparagraph (A), which shall in19 clude statistical tables showing— 

20 ‘‘(i) pending cases; 

21 ‘‘(ii) resolved cases; 

22 ‘‘(iii) the average length of time to re23 solve each case; 
6 

†S 659 ES

1 ‘‘(iv) the number of final agency deci2 sions that were appealed to a district court 

3 of the United States or a higher court; and 

4 ‘‘(v) if the total number of cases in a 

5 report is greater than 2— 

6 ‘‘(I) the number of cases that 

7 were settled; and 

8 ‘‘(II) the total penalty or assess9 ment amount recovered in each case, 

10 including through a settlement or 

11 compromise; and 

12 ‘‘(C) instances in which the reviewing offi13 cial declined to proceed on a case reported by 

14 an investigating official; and’’. 

15 (f) INCREASING EFFICIENCY OF DOJ PROC16 ESSING.—Section 3803(j) of title 31, United States Code, 

17 is amended— 

18 (1) by inserting ‘‘(1)’’ before ‘‘The reviewing’’; 

19 and 

20 (2) by adding at the end the following: 

21 ‘‘(2) A reviewing official shall notify the Attorney 

22 General in writing not later than 30 days before entering 

23 into any agreement to compromise or settle allegations of 

24 liability under section 3802 and before the date on which 
7 

†S 659 ES

1 the reviewing official is permitted to refer allegations of 

2 liability to a presiding officer under subsection (b).’’. 

3 (g) REVISION OF DEFINITION OF HEARING OFFI4 CIALS.— 

5 (1) IN GENERAL.—Chapter 38 of title 31, 

6 United States Code, is amended— 

7 (A) in section 3801(a)(7)— 

8 (i) in subparagraph (A), by striking 

9 ‘‘or’’ at the end; 

10 (ii) in subparagraph (B)(vii), by add11 ing ‘‘or’’ at the end; and 

12 (iii) by adding at the end the fol13 lowing: 

14 ‘‘(C) a member of the board of contract 

15 appeals pursuant to section 7105 of title 41, if 

16 the authority does not employ an available pre17 siding officer under subparagraph (A);’’; and 

18 (B) in section 3803(d)(2)— 

19 (i) in subparagraph (A), by striking 

20 ‘‘and’’ at the end; 

21 (ii) in subparagraph (B)— 

22 (I) by striking ‘‘the presiding’’ 

23 and inserting ‘‘(i) in the case of a re24 ferral to a presiding officer described 
8 

†S 659 ES

1 in subparagraph (A) or (B) of section 

2 3801(a)(7), the presiding’’; 

3 (II) in clause (i), as so des4 ignated, by striking the period at the 

5 end and inserting ‘‘; or’’; and 

6 (III) by adding at the end the 

7 following: 

8 ‘‘(ii) in the case of a referral to a presiding 

9 officer described in subparagraph (C) of section 

10 3801(a)(7)— 

11 ‘‘(I) the reviewing official shall submit 

12 a copy of the notice required by under 

13 paragraph (1) and of the response of the 

14 person receiving such notice requesting a 

15 hearing— 

16 ‘‘(aa) to the board of contract 

17 appeals that has jurisdiction over 

18 matters arising from the agency of the 

19 reviewing official pursuant to section 

20 7105(e)(1) of title 41; or 

21 ‘‘(bb) if the Chair of the board of 

22 contract appeals declines to accept the 

23 referral, to any other board of con24 tract appeals; and 
9 

†S 659 ES

1 ‘‘(II) the reviewing official shall simul2 taneously mail, by registered or certified 

3 mail, or shall deliver, notice to the person 

4 alleged to be liable under section 3802 that 

5 the referral has been made to an agency 

6 board of contract appeals with an expla7 nation as to where the person may obtain 

8 the relevant rules of procedure promul9 gated by the board; and’’; and 

10 (iii) by adding at the end the fol11 lowing: 

12 ‘‘(C) in the case of a hearing conducted by a 

13 presiding officer described in subparagraph (C) of 

14 section 3801(a)(7)— 

15 ‘‘(i) the presiding officer shall conduct the 

16 hearing according to the rules and procedures 

17 promulgated by the board of contract appeals; 

18 and 

19 ‘‘(ii) the hearing shall not be subject to the 

20 provisions in subsection (g)(2), (h), or (i).’’. 

21 (2) AGENCY BOARDS.—Section 7105(e) of title 

22 41, United States Code, is amended— 

23 (A) in paragraph (1), by adding at the end 

24 the following: 
10 

†S 659 ES

1 ‘‘(E) ADMINISTRATIVE FALSE CLAIMS

2 ACT.— 

3 ‘‘(i) IN GENERAL.—The boards de4 scribed in subparagraphs (B), (C), and (D) 

5 shall have jurisdiction to hear any case re6 ferred to a board of contract appeals under 

7 section 3803(d) of title 31. 

8 ‘‘(ii) DECLINING REFERRAL.—If the 

9 Chair of a board described in subpara10 graph (B), (C), or (D) determines that ac11 cepting a case under clause (i) would pre12 vent adequate consideration of other cases 

13 being handled by the board, the Chair may 

14 decline to accept the referral.’’; and 

15 (B) in paragraph (2), by inserting ‘‘or, in 

16 the event that a case is filed under chapter 38 

17 of title 31, any relief that would be available to 

18 a litigant under that chapter’’ before the period 

19 at the end. 

20 (3) REGULATIONS.—Not later than 180 days 

21 after the date of enactment of this Act, each author22 ity head, as defined in section 3801 of title 31, 

23 United States Code, and each board of contract ap24 peals of a board described in subparagraph (B), (C), 

25 or (D) of section 7105(e) of title 41, United States 
11 

†S 659 ES

1 Code, shall amend procedures regarding proceedings 

2 as necessary to implement the amendments made by 

3 this subsection. 

4 (h) REVISION OF LIMITATIONS.—Section 3808 of 

5 title 31, United States Code, is amended by striking sub6 section (a) and inserting the following: 

7 ‘‘(a) A notice to the person alleged to be liable with 

8 respect to a claim or statement shall be mailed or delivered 

9 in accordance with section 3803(d)(1) not later than the 

10 later of— 

11 ‘‘(1) 6 years after the date on which the viola12 tion of section 3802 is committed; or 

13 ‘‘(2) 3 years after the date on which facts mate14 rial to the action are known or reasonably should 

15 have been known by the authority head, but in no 

16 event more than 10 years after the date on which 

17 the violation is committed.’’. 

18 (i) DEFINITIONS.—Section 3801 of title 31, United 

19 States Code, is amended— 

20 (1) in subsection (a)— 

21 (A) in paragraph (8), by striking ‘‘and’’ at 

22 the end; 

23 (B) in paragraph (9), by striking the pe24 riod at the end and inserting a semicolon; and 

25 (C) by adding at the end the following: 
12 

†S 659 ES

1 ‘‘(10) ‘material’ has the meaning given the term 

2 in section 3729(b) of this title; and 

3 ‘‘(11) ‘obligation’ has the meaning given the 

4 term in section 3729(b) of this title.’’; and 

5 (2) by adding at the end the following: 

6 ‘‘(d) For purposes of subsection (a)(10), materiality 

7 shall be determined in the same manner as under section 

8 3729 of this title.’’. 

9 (j) PROMULGATION OF REGULATIONS.—Not later 

10 than 180 days after the date of enactment of this Act, 

11 each authority head, as defined in section 3801 of title 

12 31, United States Code, shall— 

13 (1) promulgate regulations and procedures to 

14 carry out this Act and the amendments made by this 

15 Act; and 

16 (2) review and update existing regulations and 

17 procedures of the authority to ensure compliance 

18 with this Act and the amendments made by this Act. 

Passed the Senate March 30, 2023. 

Attest: 

Secretary. 

118TH CONGRESS 

1ST SESSION S. 659 

AN ACT 

To amend chapter 38 of title 31, United States 

purposes. Code, relating to civil remedies, and for other