Bogus Bonus Ban Act of 2019 2019-07-17 Introduced in Senate Bogus Bonus Ban Act of 2019

This bill directs the Office of Management and Budget, in coordination with federal departments and agencies, to issue guidance, with detailed implementation instructions, on the appropriate use of award and incentive fees in department or agency programs.

The guidance shall, among other things

  • ensure that all new contracts using award fees link such fees to outcomes (which shall be defined in terms of program cost, schedule, and performance);
  • establish standards for identifying the appropriate level of officials authorized to approve the use of award and incentive fees in new contracts;
  • ensure that no award fee may be paid for contractor performance that is judged to be below satisfactory performance or performance that does not meet the basic requirements of the contract; and
  • include performance measures to evaluate the effectiveness of award and incentive fees as a tool for improving contractor performance and achieving desired program outcomes.

Any funds intended to be awarded as incentive fees that are not paid due to the inability of a contractor to meet the criteria established by this bill shall be returned to the Treasury.

The Department of the Treasury shall include award fee as a filter on USAspending.gov.

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