119-HR-7604 Journalist Public Summary

Public Summary: 119-HR-7604 — Contracting America First Act

Headline Summary: A proposal to stop federal agencies from using software that holds sensitive employee data if the vendor is majority foreign‑owned, with limited national‑security waivers.

What It Does: The bill bars agencies from entering, renewing, or extending contracts for a “covered software system” with a company that is majority‑owned by non‑U.S. citizens. A covered system is software that stores, processes, or gives access to sensitive personal information for 500 or more federal employees or officers. Vendors would have to certify—under penalty of perjury—that they are not majority foreign‑owned. Agencies could waive the ban case‑by‑case for national security, but must justify the waiver to Congress within 30 days. If a firm violates the rules or lies on certification, contracts can be terminated and the firm could face suspension or debarment. The Federal Acquisition Regulation (FAR) would be updated within 180 days of enactment.

• Potential effects: could narrow eligible vendors, especially U.S. subsidiaries of global firms; may reduce perceived foreign influence or data‑exposure risk; could also raise costs, slow procurements, or limit access to best‑in‑class tools if many vendors are excluded.
• Scope note: “Sensitive personal information” includes Social Security numbers, medical/health records, personally identifiable information, and other data where compromise could cause identity theft, personal harm, or national‑security risk.
• Enforcement: requires vendor certifications; violations can trigger contract termination and possible suspension/debarment.

Who’s For It:

• Sponsor: Rep. Lauren Boebert (R‑CO). Framed as putting national security and federal workers’ data ahead of reliance on foreign‑owned software.
• Likely Republican supporters who prioritize “Buy American” procurement and reducing foreign control over sensitive systems.
• Some national‑security advocates who view majority foreign ownership as a material supply‑chain risk.

Who’s Against It:

• Multinational software companies and tech industry groups may argue the ownership test is a blunt tool that excludes secure, U.S.‑operated products and could disrupt federal IT.
• Procurement and budget watchdogs may warn about reduced competition, higher prices, and delays from re‑competitions or vendor exits.
• Civil liberties and privacy advocates could question whether ownership alone is a reliable proxy for risk, preferring stronger, uniform security standards and audits regardless of ownership.

What’s Next: As of February 20, 2026, the bill has been introduced and referred to the House Committee on Oversight and Government Reform. Next steps would typically include committee consideration (hearings/markup), a potential House floor vote, then consideration in the Senate if it passes the House. The bill could be amended at any stage.