Federal Acquisition and Contracting Transparency Act of 2021
Bill: S.1048 | Sponsor: Sen. Rubio, Marco (R-FL)
Policy area: Government Operations and Politics

Summary:
Federal Acquisition and Contracting Transparency Act of 2021 or FACT Act
This bill requires the Federal Acquisition Regulatory Council to amend the Federal Acquisition Regulation to require that a contractor, as a condition for being awarded a contract for the procurement of goods or services, disclose recent or current contracts or commercial ties with certain Chinese entities.
The General Services Administration must establish and maintain a public database containing information about disclosed contracts.

To require disclosure by Federal contractors of contracts with Chinese 
                   entities, 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 ``Federal Acquisition and Contracting 
Transparency Act of 2021'' or ``FACT Act''.

SEC. 2. REQUIREMENT TO DISCLOSE CONTRACTS AND TIES WITH PEOPLE'S 
              REPUBLIC OF CHINA ENTITIES.

    Not later than 180 days after the date of the enactment of this 
Act, the Federal Acquisition Regulatory Council shall amend the Federal 
Acquisition Regulation to require that a contractor shall, as a 
condition for being awarded a contract for the procurement of goods or 
services, disclose covered information related to any contracts or 
other relevant commercial ties the contractor, first tier 
subcontractor, or any related entity has that are in effect at the time 
of contract award, or has had within the previous three years that are 
no longer in effect, with a covered entity. The contractor shall update 
such disclosure not later than 30 days after the contractor, first tier 
subcontractor, or any related entity enters into or renews a contract 
or other relevant commercial ties with a covered entity.

SEC. 3. DATABASE OF FEDERAL CONTRACTOR CONTRACTS WITH CHINESE ENTITIES.

    Not later than 180 days after the date of the enactment of this 
Act, the Administrator of General Services shall establish and maintain 
a public database containing the information about contracts with 
covered entities disclosed pursuant to section 2.

SEC. 4. DEFINITIONS.

    In this Act:
            (1) Covered entity.--The term ``covered entity'' means--
                    (A) the Government of the People's Republic of 
                China;
                    (B) the Chinese Communist Party (CCP);
                    (C) the Chinese military;
                    (D) an entity owned, directed, controlled, 
                financed, or influenced directly or indirectly by the 
                Government of the People's Republic of China, the CCP, 
                or the Chinese military, including any entity for which 
                the Government of the People's Republic of China, the 
                CCP, or the Chinese military has the ability, through 
                ownership of a majority or a dominant minority of the 
                total outstanding voting interest in an entity, board 
                representation, proxy voting, a special share, 
                contractual arrangements, formal or informal 
                arrangements to act in concert, or other means, to 
                determine, direct, or decide for an entity an important 
                matter;
                    (E) a parent, subsidiary, or affiliate of an entity 
                described in subparagraph (D); and
                    (F) an entity substantively involved in People's 
                Republic of China economic and industrial policies or 
                military-civil fusion, including by accepting funding, 
                performing services, or receiving subsidies, or with 
                responsibilities for overseeing economic development 
                projects, including Made in China 2025 and the Belt and 
                Road Initiative.
            (2) Covered information.--The term ``covered information'' 
        means--
                    (A) the name of the covered entity;
                    (B) the relationship of the covered entity to the 
                Government of the People's Republic of China, the 
                Chinese Communist Party, or the Chinese military;
                    (C) the general terms of the contract;
                    (D) the date the contract was entered into; and
                    (E) the duration of the contract.
            (3) Related entity.--The term ``related entity'' means, 
        with respect to a contractor or first tier subcontractor, a 
        parent, subsidiary, affiliate, or other entity controlled by 
        the contractor or first tier subcontractor.
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