Less Bureaucracy, Better International Foreign Gift Transparency Act

Bill Number: H.R. 9602
Origin Chamber: House
Congress: 119th Congress, Session 2
Status: Introduced
Latest Action: 2026-07-09: Referred to the House Committee on Education and Workforce.
Last Updated: 2026-07-10T10:23:21Z

AI-Generated Summary

Summary of H.R. 9602: Less Bureaucracy, Better International Foreign Gift Transparency Act

Purpose

This bill transfers responsibility for managing foreign gift and contract reporting requirements under section 117 of the Higher Education Act of 1965 from the Department of Education to the Department of State. The goal is to consolidate these functions in an agency focused on international affairs.

Key Provisions

Transfer of Functions: All duties, powers, and related activities previously handled by the Secretary of Education regarding disclosure of foreign gifts and contracts to higher education institutions are moved to the Secretary of State.
Authorities and Resources: The Secretary of State gains the ability to use existing legal authorities for these tasks and receives transferred personnel, assets, contracts, records, and unspent funds from the Department of Education.
Oversight by Office of Management and Budget (OMB): The OMB Director must ensure no net increase in full-time federal employees across affected agencies, determine any needed function assignments, and certify compliance to Congress.
Delegation and References: The Secretary of State may delegate tasks to agency staff, and all legal references to the Department of Education or its Secretary in this context shift to the Department of State.
Savings and Transition Rules: Existing legal documents, ongoing proceedings, and lawsuits continue without interruption; the Department of State may temporarily use Department of Education staff and resources during implementation.
Effective Date: The transfer takes effect six months after enactment, though early action is permitted starting on the date of enactment.

Significant Changes to Existing Law

The bill amends the administration of section 117 of the Higher Education Act by relocating oversight authority entirely from the Department of Education to the Department of State. It does not alter the underlying reporting requirements for institutions but changes which federal agency collects and manages the data.

Potential Impacts

Government Agencies: The Department of Education loses this function and associated resources, while the Department of State assumes them; OMB gains a role in monitoring staffing levels and compliance.
Citizens and Institutions: Colleges and universities must continue reporting foreign gifts and contracts, but to a different agency; no direct changes to individual obligations.
International Relations: The shift places reporting under an agency with primary responsibility for foreign affairs, which could streamline coordination on international transparency issues.

Main Stakeholders Affected

Department of Education and its employees.
Department of State and its employees.
Higher education institutions required to disclose foreign gifts and contracts.
Office of Management and Budget.
Congressional committees on education and health policy.

Notable Legal, Constitutional, or Political Implications

The legislation follows standard procedures for reorganizing federal functions, including protections for ongoing legal matters and a requirement for no overall growth in federal staffing. It raises no apparent constitutional concerns and operates within Congress's authority to allocate executive branch responsibilities.

This summary was generated by AI and may contain inaccuracies. Refer to the official source document for the authoritative text.

Sponsor

Rep. Baumgartner, Michael [R-WA-5]

Recent Actions

2026-07-09: Referred to the House Committee on Education and Workforce.
2026-07-09: Introduced in House
2026-07-09: Introduced in House

Bill Versions

Less Bureaucracy, Better International Foreign Gift Transparency Act — issued 2026-07-09 — PDF (9 pages)