No Cash for Incompetent and Malicious Contractors Act

[Congressional Bills 119th Congress]
[From the U.S. Government Publishing Office]
[S. 5684 Introduced in Senate (IS)]

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119th CONGRESS
  2d Session
                                S. 5684

   To require the debarment of any Federal contractor who improperly 
 discloses personally identifiable information, and for other purposes.

_______________________________________________________________________

                   IN THE SENATE OF THE UNITED STATES

                            October 15, 2026

  Mr. Scott of Florida, under authority of the order of the Senate of 
 September 30, 2026, introduced the following bill; which was ordered 
   read twice and referred to the Committee on Homeland Security and 
                          Governmental Affairs

_______________________________________________________________________

                                 A BILL

 
   To require the debarment of any Federal contractor who improperly 
 discloses personally identifiable information, 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 ``No Cash for Incompetent and 
Malicious Contractors Act''.

SEC. 2. DEBARMENT OF CONTRACTORS WHO IMPROPERLY DISCLOSE PERSONALLY 
              IDENTIFIABLE INFORMATION.

    (a) In General.--Chapter 47 of title 41, United States Code, is 
amended by adding at the end the following:
``Sec. 4715. Debarment of contractors who improperly disclose 
              personally identifiable information
    ``(a) Debarment for Legal Finding of Improper Disclosure.--
            ``(1) In general.--The head of an executive agency shall 
        debar a contractor from eligibility for Federal contracts for a 
        conviction or civil judgment against the contractor, or an 
        employee of the contractor, for non-consensual disclosure of 
        personally identifiable information of a client of the 
        contractor, including with respect to the client--
                    ``(A) the social security number;
                    ``(B) return or return information, as defined in 
                paragraphs (1) and (2) of section 6103(b) of title 26;
                    ``(C) individually identifiable health information, 
                as defined in section 160.103 of title 45, Code of 
                Federal Regulations, or any successor regulation; or
                    ``(D) any trade secret, as defined in section 1839 
                of title 18.
            ``(2) Length of debarment.--A debarment under paragraph (1) 
        shall be for a period of not less than one year and not more 
        than 5 years, dependent on the severity of the conduct.
            ``(3) Procedure.--A debarment under paragraph (1) shall be 
        carried out in accordance with the procedural requirements of 
        section 9.406-3 of the Federal Acquisition Regulation, or any 
        successor regulation.
    ``(b) Suspension Pending Investigation of Improper Disclosure.--
            ``(1) In general.--The head of an executive agency shall 
        suspend a contractor from eligibility for Federal contracts if 
        the contractor, or an employee of the contractor, is charged 
        with commission of a criminal offense involving disclosure of 
        personally identifiable information of a client of the 
        contractor, including the information listed in subparagraphs 
        (A) through (D) of subsection (a)(1).
            ``(2) Length of suspension.--A suspension under paragraph 
        (1) shall be for the period prescribed in section 9.407-4 of 
        the Federal Acquisition Regulation, or any successor 
        regulation.
            ``(3) Procedure.--A suspension under paragraph (1) shall be 
        carried out in accordance with the procedural requirements of 
        section 9.407-3 of the Federal Acquisition Regulation, or any 
        successor regulation.''.
    (b) Clerical Amendment.--The table of contents at the beginning of 
chapter 47 of title 41, United States Code, is amended by adding at the 
end the following:

``Sec. 4715. Debarment of contractors who improperly disclose 
                            personally identifiable information.''.
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