of whether the contracts pursuant to which 
the task or delivery orders are awarded are 
entered before, on, or after the effective 
date. 
‘‘(4) PARTIAL APPLICABILITY.— If only a por-
tion of a contract is for the performance of covered 
functions, then this subsection applies only to that 
portion of the contract. 
‘‘(b) BEST PRACTICES.—The Administrator shall, in 
consultation with the Director of the Office of Government 
Ethics, develop and maintain a repository of best practices 
relating to the prevention and mitigation of organizational 
and personal conflicts of interest in Federal contracting. 
‘‘(c) DEFINITIONS.—In this section: 
‘‘(1) COVERED FUNCTION.—The term ‘covered 
function’ means a function described under sub-
section (a)(1). 
‘‘(2) RELEVANT ACQUISITION FUNCTION.—The 
term ‘relevant acquisition function’ means an acqui-
sition function closely associated with inherently gov-
ernmental functions.’’. 
SEC. 4. PROHIBITION AGAINST CERTAIN CONFLICTS OF IN-
TEREST. 
Chapter 23 of title 41, United States Code, is amend-
ed by adding at the end the following: 
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‘‘§ 2314. Prohibition against certain conflicts of inter-
est 
‘‘(a) PROHIBITION AGAINST CERTAIN CONFLICTS OF 
INTEREST.— 
‘‘(1) 
PROHIBITION.—Contractors, 
contractor 
employees, and subcontractors and their employees 
shall not provide services supporting the regulatory, 
policymaking, or adjudicative functions of an Execu-
tive agency at the same time that the contractor, 
employees, or subcontractor provides services to an 
entity regulated by, or having non-routine business 
before, the agency. 
‘‘(2) EXCEPTION.— 
‘‘(A) IN GENERAL.—The head of the exec-
utive agency may issue an exception to the re-
quirement under paragraph (1) with respect to 
a contractor, employee, or subcontractor only if 
the head of the agency determines in writing 
there is a compelling reason to award a con-
tract, or continue performance of a contract, 
with such exception. 
‘‘(B) DETERMINATION.—In determining 
whether there is a compelling reason under sub-
paragraph (A), the head of an Executive agency 
shall consider— 
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‘‘(i) the nature and extent of the risks 
associated with the conflict; 
‘‘(ii) the essential need of the govern-
ment to receive the services, notwith-
standing such a conflict, and direct harm 
to the government of not receiving the 
services from the entity or person; and 
‘‘(iii) the ability of the contractor, em-
ployee, or subcontractor to mitigate the 
conflict. 
‘‘(C) NON-DELEGATION OF AUTHORITY.— 
The head of the Executive agency shall not del-
egate the authority to issue an exception under 
this subparagraph below the level of the head of 
a contracting activity. 
‘‘(3) PUBLIC
NOTICE
OF
ISSUE
OF
EXCEP-
TION.— 
‘‘(A) PUBLIC AVAILABILITY.—A notice of 
an exception issued pursuant to paragraph (2) 
shall be made publicly available in electronic 
format through the Government-wide point of 
entry, as defined in the Federal Acquisition 
Regulation, at the time of contract award, or at 
the time that an Executive agency decides to 
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proceed with contract performance, if arising 
after award. 
‘‘(B) CONTENTS OF NOTIFICATION.—The 
notice shall include, at a minimum— 
‘‘(i) the contractor, employee, or sub-
contractor receiving the exception, al-
though reasonable redactions should be 
made to the public version of the notice to 
protect the privacy of individual employees 
of a contractor or subcontractor; 
‘‘(ii) identification of the contract; 
‘‘(iii) a description of the nature of 
the conflict; 
‘‘(iv) the rationale for applying the ex-
ception; and 
‘‘(v) the measures that will be taken 
to mitigate or avoid the conflict. 
‘‘(b) DISCLOSURES AND LIMITATIONS FOR CONSULT-
ANTS.—Contractors providing consulting, analytical, or 
advisory services in support of the primary missions, or 
the regulatory, policymaking, or adjudicative functions, of 
an Executive agency shall— 
‘‘(1) disclose, in sufficient detail, specific work 
performed in the last five years on behalf of any en-
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tities regulated by, or having non-routine business 
before, the Executive agency; and 
‘‘(2) during the term of the contract, refrain 
from entering into consulting or other contractual 
arrangements with any entity to perform specific 
work that may reasonably create a conflict of inter-
est, without receiving the written approval of the 
contracting officer before the execution of the con-
tractual arrangement. 
‘‘(c) CIVIL PENALTIES.— 
‘‘(1) CIVIL
ACTION.—The Attorney General 
may bring a civil action in an appropriate district 
court of the United States against a person who 
knowingly violates the prohibitions under subsection 
(a) or fails to comply with the requirements of sub-
section (b). 
‘‘(2) PENALTY.—On proof of that conduct by a 
preponderance of the evidence— 
‘‘(A) an individual shall be liable to the 
Federal Government for a civil penalty of not 
more than $50,000 for each violation plus the 
amount of compensation that the individual re-
ceived under the corresponding Government 
contract; and 
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