Stop Secret Spending Act of 2025
- Bill Number
- H.R. 2069
- Origin Chamber
- House
- Congress
- 119th Congress, Session 1
- Policy Area
- Government Operations and Politics
- Status
- Introduced
- Latest Action
- 2026-03-18: Ordered to be Reported (Amended) by the Yeas and Nays: 40 - 0.
- Last Updated
- 2026-06-15T18:46:46Z
AI-Generated Summary
Purpose of the Legislation
The "Stop Secret Spending Act of 2025" (H.R. 2069) aims to increase transparency in federal spending by requiring the reporting of "other transaction agreements" (OTAs)—flexible contracts often used by agencies for research, development, or prototyping that bypass traditional procurement rules—to the USAspending.gov website. It builds on the Federal Funding Accountability and Transparency Act of 2006 to ensure more complete public access to federal award information and address gaps in reporting.
Key Provisions
- Inclusion of OTAs in Reporting: Expands the definition of federal awards to explicitly include OTAs, requiring their details (such as amount, recipient, and purpose) to be posted on USAspending.gov.
- Data Standards and Transmission: Within 3 years of enactment, the Secretary of the Treasury must ensure OTA data is automatically sent to USAspending.gov and displayed in a centralized, user-friendly format.
- Annual Report on Unreported Funding: Starting 1 year after enactment, the Secretary of the Treasury, in consultation with the Director of the Office of Management and Budget (OMB), must publish an annual report on USAspending.gov detailing total unreported federal spending and reasons for non-reporting (e.g., national security, legislative/judicial awards, or small subawards).
- Implementation Plan for OTAs: If full OTA data integration isn't achieved within 1-2 years, the Secretary must publish an initial report listing prior-year OTAs and submit a congressional plan for full compliance by year 3, coordinating with relevant agencies.
- Inspector General Oversight: Requires Inspectors General (IGs) from major executive agencies to submit reports to Congress and the public on compliance with transparency rules, starting 1 year after enactment and biennially for 10 years.
- Improvements to Data Quality and Disclosure:
- Establishes requirements for complete, accurate, and consistent posting of federal award data.
- Allows the Secretary and OMB Director to verify data accuracy.
- Sets display standards for how information is presented on the website.
- Mandates biennial assessments to determine which agencies must report, with public lists and notifications to those agencies.
- GAO Recommendations: Within 1 year, the Government Accountability Office (GAO) must recommend updates to a specific federal procurement rule (FAR clause 52.204.10) to align with the 2006 Act's transparency requirements.
Significant Changes to Existing Law
- Expansion of Scope: Amends the 2006 Act to mandate OTA reporting, which was previously exempt, closing a loophole for non-traditional agreements.
- Enhanced Accountability Mechanisms: Introduces annual unreported spending reports, data quality verification, and agency-specific reporting lists—features not in the original law.
- IG Reporting Updates: Shifts focus to major executive agencies (as defined in U.S. law), sets stricter deadlines and frequency for compliance audits, and ties them to existing financial reporting cycles.
- Delayed Effective Date for Some Changes: Certain disclosure amendments take effect only after the first agency list is published, allowing time for implementation.
Potential Impacts
- On Government Agencies: Increases administrative burdens for agencies using OTAs (e.g., Department of Defense, Department of Homeland Security) through mandatory reporting, data verification, and compliance plans, potentially slowing flexible contracting but improving oversight.
- On Citizens: Enhances public access to spending details via USAspending.gov, enabling better scrutiny of taxpayer funds and reducing hidden expenditures, which could foster greater trust in government.
- On International Relations: Minimal direct impact, though improved transparency on defense-related OTAs might indirectly affect how U.S. spending on international partnerships or security is perceived abroad.
Main Stakeholders Affected
- Federal Agencies: Especially those authorized to use OTAs (e.g., executive branch entities like defense and energy departments), required to report data and comply with new standards.
- Secretary of the Treasury and OMB Director: Responsible for overseeing website updates, data transmission, reports, and verifications.
- Inspectors General and GAO: Tasked with audits, compliance reports, and recommendations to ensure enforcement.
- Congress: Receives implementation plans, IG reports, and notifications, gaining tools for budgetary oversight.
- Taxpayers and the Public: Primary beneficiaries through increased transparency on federal spending.
Notable Legal, Constitutional, or Political Implications
- Legal: Strengthens the 2006 Act's framework without altering core procurement laws, emphasizing statutory transparency mandates; includes built-in timelines and contingency plans to avoid enforcement gaps.
- Constitutional: Aligns with Article I's congressional spending power by promoting accountability, with no apparent conflicts to free speech, due process, or other rights.
- Political: Addresses concerns over "secret spending" in non-competitive contracts, potentially reducing waste or abuse; could spark debates on balancing transparency with national security needs, appealing to advocates for fiscal responsibility across parties.
This summary was generated by AI and may contain inaccuracies. Refer to the official source document for the authoritative text.
Sponsor
Cosponsors (3)
Rep. Panetta, Jimmy [D-CA-19], Rep. Goodlander, Maggie [D-NH-2], Rep. Hageman, Harriet M. [R-WY-At Large]
Recent Actions
- 2026-03-18: Ordered to be Reported (Amended) by the Yeas and Nays: 40 - 0.
- 2026-03-18: Committee Consideration and Mark-up Session Held
- 2025-03-11: Referred to the House Committee on Oversight and Government Reform.
- 2025-03-11: Introduced in House
- 2025-03-11: Introduced in House
Bill Versions
- Stop Secret Spending Act of 2025 — issued 2025-03-11 — PDF (10 pages)