December 12, 2025
Mr. Horsford (for himself and Mr. Cisneros) introduced the following bill; which was referred to the Committee on Armed Services
To prohibit the Secretary of Defense from awarding contracts to entities of which certain current Government employees are officers or owners, and for other purposes.
Section 1. Short title
This Act may be cited as the Ensuring Transparency, Honesty, and Integrity for Contracting, Acquisition, and Lifecycle Procurement Act
or the ETHICAL Procurement Act
.
Sec. 2. Prohibition on eligibility for defense contracts for certain entities
(a) In general
Notwithstanding any other provision of law, the Secretary of Defense may not enter into, renew, or extend any contract or other agreement for the acquisition of any good or service produced or provided by an entity if—
(1)
an officer, director, partner, or majority owner of such entity—
(A)
holds a position to which such individual was appointed by the President by and with the advice and consent of the Senate;
(B)
holds a position in the executive branch of the Government of a confidential or policy-determining character under schedule C of subpart C of part 213 of title 5, Code of Federal Regulations;
(C)
is a special Government employee; or
(D)
holds a position in the Senior Executive Service (as defined in section 2101a of title 5, United States Code); or
(2)
an individual who is an immediate family member of the President, an individual holding a position described in subparagraph (A) or (B) or paragraph (1), or a special Government employee—
(A)
is a officer, director, or partner of such entity; or
(B)
holds a significant ownership interest in such entity or would derive a substantial financial benefit from the Secretary entering into, renewing, or extending such contract or other agreement, as determined by the Secretary.
(b) Regulations
Not later than 30 days after the date of the enactment of this Act, the Secretary of Defense shall issue regulations to implement this section, including definitions, thresholds, and procedures for identifying individuals and entities with respect to which the prohibition under subsection (a) applies.
(c) Definitions
In this section:
(1) Immediate family member
The term immediate family member
means a parent, child, sibling, spouse, or domestic partner.
(2) Special Government employee
The term special Government employee
has the meaning given such term in section 202 of title 18, United States Code.