COST Act of 2021
Bill: H.R.1937 | Sponsor: Rep. Norman, Ralph (R-SC)
Policy area: Economics and Public Finance

Summary:
Cost Openness and Spending Transparency Act of 2021 or the COST Act
This bill requires recipients of federal funds to disclose financing information relating to programs, projects, or activities carried out using such funds.
Specifically, such a recipient (including a state or local government or a recipient of a federal research grant) must clearly state in any press release, request for proposal, bid solicitation, or other document describing the activity the amount and percentage of federal funding and the amount and percentage of nongovernmental funding.
If the Office of Management and Budget determines that a recipient is failing to comply, it may direct each agency providing federal funds to withhold up to 25% of the funds until the recipient complies.

To require recipients of Federal funds to disclose information relating 
  to programs, projects, or activities carried out using the Federal 
                                 funds.

    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 ``Cost Openness and Spending 
Transparency Act of 2021'' or the ``COST Act of 2021''.

SEC. 2. DISCLOSURE REQUIREMENTS FOR RECIPIENTS OF FEDERAL FUNDS.

    (a) In General.--Subchapter III of chapter 13 of title 31, United 
States Code, is amended by adding at the end the following:
``Sec. 1356. Disclosure requirements for recipients of Federal funds
    ``(a) In General.--An individual or entity (including a State or 
local government and a recipient of a Federal research grant) carrying 
out a program, project, or activity that is, in whole or in part, 
carried out using Federal funds shall clearly state in any statement, 
press release, requests for proposal, bid solicitation, or other 
document describing the program, project, or activity, other than a 
communication containing not more than 280 characters--
            ``(1) the percentage of the total costs of the program, 
        project, or activity which will be financed with Federal funds;
            ``(2) the dollar amount of the Federal funds made available 
        for the program, project, or activity; and
            ``(3) the percentage of the total costs of, and dollar 
        amount for, the program, project, or activity that will be 
        financed by nongovernmental sources.
    ``(b) Noncompliance.--If the Director of the Office of Management 
and Budget determines that an individual or entity is failing to comply 
with subsection (a), the Director may direct the head of each agency 
providing Federal funds to the individual or entity to withhold not 
more than 25 percent of the amount of Federal funds that would 
otherwise be provided to the individual or entity, until the date on 
which the individual or entity complies with subsection (a).''.
    (b) Technical and Conforming Amendment.--The table of sections for 
subchapter III of chapter 13 of title 31, United States Code, is 
amended by adding at the end the following:

``1356. Disclosure requirements for recipients of Federal funds.''.
                                 <all>