Overview
Title
To amend title 41, United States Code, to identify individuals who commit certain Federal felonies implicating Federal programs as an excluded source on the System for Award Management Exclusions list, and for other purposes.
ELI5 AI
H.R. 9992 wants to stop people who did bad things with federal money from getting more help from the government by putting their names on a special "do not help" list for three years, but sometimes bosses can make exceptions if needed.
Summary AI
H.R. 9992, known as the "Federal Program Integrity and Fraud Prevention Act of 2024," aims to prevent individuals who are convicted of certain federal felonies from receiving federal funds. The bill instructs that these individuals be listed as excluded sources on the System for Award Management (SAM) Exclusions list for three years. However, an agency head can exempt an individual from this restriction if warranted and must notify Congress of such exemptions. Additionally, the Attorney General and Administrator of General Services are required to issue guidance for implementing these requirements within a year of the bill’s enactment.
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AnalysisAI
Overview of the Bill
The proposed legislation, H.R. 9992, titled the "Federal Program Integrity and Fraud Prevention Act of 2024," seeks to enhance the integrity of federal programs by excluding individuals convicted of specific federal felonies from receiving federal funds or contracts. These exclusions are to be noted on the System for Award Management Exclusions list for a duration of three years. The bill allows for exemptions, which must be documented and reported to Congress, and includes provisions for issuing guidance to ensure proper compliance with these rules.
Key Issues
Several significant issues arise from this proposed bill.
Discretionary Waiver Provision: The bill grants considerable discretion to agency heads, allowing them to exempt certain individuals from the prohibition on receiving federal funds. This discretion could lead to potential favoritism or an inconsistent application across different agencies, thereby undermining the bill's intent to uniformly protect federal funds.
Complexity of the Conviction Definition: The definition of "convicted" encompasses various scenarios, including judgments and deferred adjudication agreements, which may lead to confusion or inconsistent application. Simplifying this definition may help in achieving a clearer understanding and more consistent implementation.
Dependence on Efficient Notification: The process involves the Attorney General notifying the Administrator of General Services about convictions in a timely manner. Any delays in this communication could result in individuals improperly receiving federal funds, thereby increasing risks related to resource misuse.
Guideline Clarity: The bill mandates the issuance of guidance on implementing the new rules but lacks specificity on what this guidance should include. This absence could lead to inconsistent interpretations and practices across different federal agencies.
Complexity of Felonies List: The extensive list of "covered felonies" relies on cross-referencing federal laws, which may be challenging for those without significant legal expertise. This might complicate the enforcement process.
Lack of Review Mechanisms: The bill does not include provisions for oversight or review to evaluate the effectiveness of the implemented guidance and compliance requirements, potentially leading to insufficient accountability.
Public Impact
Broad Public Impact
For the general public, this bill aims to safeguard federal funds by preventing individuals convicted of relevant felonies from accessing government contracts or financial assistance. In the long run, it may engender greater public trust in how federal funds are managed and distributed, reassuring citizens that measures are in place to deter fraud and misuse.
Impact on Specific Stakeholders
Federal Agencies: Agencies may face challenges due to the complexity of the terms and conditions laid out in the bill. They will need to navigate the discretionary aspects of enforcement and ensure timely communication between departments.
Convicts of Federal Felonies: Individuals who might be subjects of these exclusions could face added barriers to federal contracts or funds, impacting their opportunities for rehabilitation through professional or business engagement with federal programs.
Legal and Compliance Professionals: These stakeholders may see increased demand for their services as agencies and individuals affected by this bill seek clarifications, exemptions, and navigate the complex cross-referencing of legal requirements.
In summary, while the bill aims to reinforce protections against fraud in federal programs, the challenges related to implementation and enforcement might require careful consideration and ongoing oversight to ensure it achieves its intended outcomes without leading to unintended inequities or inefficiencies.
Issues
The waiver provision in Section 2(b) grants agency heads significant discretion to exempt individuals from the prohibition against receiving federal funds. This discretion could result in potential favoritism or inconsistent application of the exemption, raising concerns over transparency and equity in federal fund allocation.
The complexity of the definition of 'Convicted' in Section 2(c)(2), which includes multiple scenarios such as deferred adjudication and deferred prosecution, may lead to varied interpretations and inconsistent implementations across different federal agencies. Simplifying this definition could improve clarity and consistency.
Section 2(a)(2) outlines a notification process between the Attorney General and the Administrator of General Services, which is critical to ensuring timely implementation of prohibitions. However, if not managed efficiently, this could result in delays allowing individuals to continue receiving federal funds inappropriately, thereby increasing the risk of misuse of federal resources.
The lack of specificity in Section 3 regarding the form or nature of the 'guidance' to be issued could lead to inconsistent interpretations and compliance requirements across agencies, potentially undermining the effectiveness of the bill's objectives.
The extensive list of 'covered felonies' in Section 2(c)(3) requires cross-referencing with various specific sections of title 18 and the Small Business Act. This complexity may hinder understanding and implementation without additional legal research, potentially causing enforcement challenges.
The absence of oversight or review mechanisms mentioned in Section 3 for ensuring the effectiveness of the guidance and compliance requirements may lead to insufficient accountability and potentially ineffective enforcement of the bill's aims.
Sections
Sections are presented as they are annotated in the original legislative text. Any missing headers, numbers, or non-consecutive order is due to the original text.
1. Short title Read Opens in new tab
Summary AI
The first section of the Act officially names it the "Federal Program Integrity and Fraud Prevention Act of 2024."
2. Exclusion of Felony Fraud Convicts to Protect Federal Funds Read Opens in new tab
Summary AI
The section amends U.S. law to prohibit individuals convicted of certain serious federal crimes related to government contracts or financial assistance from being eligible for these contracts for three years. Exceptions can be made if an agency head determines and documents that an exemption is necessary, with Congress being informed of such waivers.
4715. Protecting Federal funds from individuals convicted of certain Federal felonies Read Opens in new tab
Summary AI
An individual convicted of certain federal felonies related to agency contracts or financial assistance will be excluded from working with government funds for three years, unless an agency head decides an exemption is necessary and informs Congress. This rule also ensures that other legal actions to protect federal interests are unaffected.
3. Guidance Read Opens in new tab
Summary AI
The section requires the Attorney General to work with the Administrator of General Services to provide guidance on how to follow the new rules added to section 4715 of title 41, United States Code, within one year of the bill becoming law.