S. 2809Senate119th Congress (2025-2027)In Committee

Transparency in Contracting Act of 2025

Introduced September 16, 2025

AI-Generated Summary

Updated November 23, 2025 at 9:59 PM UTC

The Transparency in Contracting Act of 2025 aims to increase oversight of sole‑source government contracts by requiring contractors to promptly report significant price hikes. It sets specific thresholds—25% above the contract or prior‑year price, or 50% above the price from five years ago—and mandates that non‑compliance be recorded in a public performance database. The bill primarily affects contractors awarded non‑competitive contracts, contracting officers, and the Defense Contract Audit Agency.

Key Provisions

  • Contractors with non‑competitive (sole‑source) contracts must tell the contracting officer within 30 days if the price they charge rises to 25% above the original bid price (or the government’s prior‑year price) or to 50% above the price paid five years earlier.
  • The law defines a “covered contract” as any contract awarded without competition under the specified statutes and regulations.
  • If a contractor fails to report such price increases, the Defense Contract Audit Agency (or the relevant service acquisition executive) must enter that non‑compliance information into the Federal Awardee Performance and Integrity Information System (FAPIIS).
  • The FAPIIS entry must include the contractor’s name, audit findings, and details of the unreported price increase (National Stock Number, quantity, unit cost, total cost, purchasing entity, and order date).

Legislative Activity

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SenateIntro Referral Latest Action

Read twice and referred to the Committee on Armed Services.

September 16, 2025

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SenateIntro Referral

Introduced in Senate

September 16, 2025

SenateIntro Referral

Read twice and referred to the Committee on Armed Services.

September 16, 2025

Bill Text

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Introduced in SenateIssued September 16, 2025

II

119th CONGRESS

1st Session

S. 2809

IN THE SENATE OF THE UNITED STATES

September 16, 2025

Ms. Warren (for herself, Mr. Grassley, Ms. Ernst, and Ms. Slotkin) introduced the following bill; which was read twice and referred to the Committee on Armed Services

A BILL

To require reporting of price increases on noncompetitive contracts, and for other purposes.

1.

Short title

This Act may be cited as the Transparency in Contracting Act of 2025.

2.

Reporting of price increases

(a)

Reporting of increases above specified prices

Chapter 271 of title 10, United States Code, is amended by adding at the end the following new section:

3709.

Reporting of increases above specified prices

(a)

In general

An offeror shall be required to report to the relevant contracting officer not later than 30 days after becoming aware that the price of a product or service under a covered contract reaches or exceeds—

(1)

25 percent above the price specified in the contract bid or the government paid for that product or service the previous calendar year; or

(2)

50 percent above the price paid for such a product or service 5 years earlier.

(b)

Covered contract defined

In this section, the term covered contract means a contract awarded without competition under section 3204 of this title and as defined under section 6.302 of the Federal Acquisition Regulation.

.

(b)

Inclusion of noncompliance information in FAPIIS

Chapter 271 of title 10, United States Code, as amended by subsection (a), is further amended by adding at the end the following new section:

3710.

Inclusion of noncompliance information in Federal Awardee Performance and Integrity Information System

The Director of the Defense Contract Audit Agency or the relevant service acquisition executive shall report in the Federal Awardee Performance and Integrity Information System (FAPIIS) housed within the System for Award Management the following information:

(1)

Contractors who fail to report price increases as required under 3705(a)(2) of this title.

(2)

Updated findings from audits conducted by the Agency regarding noncompliance with the requirement.

(3)

With respect to unreported product or service price increases, the product or service’s National Stock Number, order quantity, unit cost, total cost, purchasing or reimbursing entity, and date of the order.

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