Preventing Organizational Conflicts of Interest in Federal Acquisition Act
Bill: S.3905 | Sponsor: Sen. Peters, Gary C. (D-MI)
Policy area: Government Operations and Politics

Summary:
Preventing Organizational Conflicts of Interest in Federal Acquisition Act
This act addresses conflicts of interest in federal acquisitions.
Specifically, the act directs the Federal Acquisition Regulatory Council to revise the Federal Acquisition Regulation (FAR) to provide and update
Further, the council must revise the FAR to

[117th Congress Public Law 324]
[From the U.S. Government Publishing Office]



[[Page 136 STAT. 4439]]

Public Law 117-324
117th Congress

                                 An Act


 
To prevent organizational conflicts of interest in Federal acquisition, 
      and for other purposes. <<NOTE: Dec. 27, 2022 -  [S. 3905]>> 

    Be it enacted by the Senate and House of Representatives of the 
United States of America in Congress assembled, <<NOTE: Preventing 
Organizational Conflicts of Interest in Federal Acquisition Act. 41 USC 
2303 note.>> 

41 USC 
2303 note.
SECTION 1. SHORT TITLE.

    This Act may be cited as the ``Preventing Organizational Conflicts 
of Interest in Federal Acquisition Act''.
SEC. 2. PREVENTING ORGANIZATIONAL CONFLICTS OF INTEREST IN FEDERAL 
                    ACQUISITION.

    (a) In General. <<NOTE: Deadline.>> --Not later than 18 months after 
the date of the enactment of this Act, the Federal Acquisition 
Regulatory Council shall revise the Federal Acquisition Regulation--
            (1) <<NOTE: Updates.>>  to provide and update--
                    (A) definitions related to specific types of 
                organizational conflicts of interest, including unequal 
                access to information, impaired objectivity, and biased 
                ground rules;
                    (B) definitions, guidance, and illustrative examples 
                related to relationships of contractors with public, 
                private, domestic, and foreign entities that may cause 
                contract support to be subject to potential 
                organizational conflicts of interest, including undue 
                influence; and
                    (C) illustrative examples of situations related to 
                the potential organizational conflicts of interest 
                identified under this paragraph, including an example of 
                the awarding by a Federal regulatory agency of a 
                contract for consulting services to a contractor if 
                employees of the contractor performing work under such 
                contract are permitted by the contractor to 
                simultaneously perform work under a contract for a 
                private sector client under the regulatory purview of 
                such agency;
            (2) to provide executive agencies with solicitation 
        provisions and contract clauses to avoid or mitigate 
        organizational conflicts of interest, for agency use as needed, 
        that require contractors to disclose information relevant to 
        potential organizational conflicts of interest and limit future 
        contracting with respect to potential conflicts of interest with 
        the work to be performed under awarded contracts;
            (3) to allow executive agencies to tailor such solicitation 
        provisions and contract clauses as necessary to address risks 
        associated with conflicts of interest and other considerations 
        that may be unique to the executive agency;
            (4) <<NOTE: Requirements. Procedures.>>  to require 
        executive agencies--

[[Page 136 STAT. 4440]]

                    (A) to establish or update as needed agency conflict 
                of interest procedures to implement the revisions to the 
                Federal Acquisition Regulation made under this section; 
                and
                    (B) to periodically assess and update such 
                procedures as needed to address agency-specific conflict 
                of interest issues; and
            (5) <<NOTE: Update. Procedures.>>  to update the procedures 
        set forth in section 9.506 of the Federal Acquisition Regulation 
        to permit contracting officers to take into consideration 
        professional standards and procedures to prevent organizational 
        conflicts of interest to which an offeror or contractor is 
        subject.

    (b) Executive Agency Defined.--In this section, the term ``executive 
agency'' has the meaning given the term in section 133 of title 41, 
United States Code.

    Approved December 27, 2022.

LEGISLATIVE HISTORY--S. 3905:
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CONGRESSIONAL RECORD, Vol. 168 (2022):
            Aug. 1, considered and passed Senate.
            Dec. 14, considered and passed House.

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