S. 731 — Time to Choose Act of 2025

This section sets forth congressional findings on conflicts of interest arising when consulting firms that contract with the Department of Defense and other U.S. government agencies simultaneously provide services to certain foreign governments, their proxies, or affiliates.

This section directs the Federal Acquisition Regulatory Council to amend the Federal Acquisition Regulation, not later than one year after enactment, to require entities bidding on federal consulting services contracts—including those under North American Industry Classification System Industry Group code 5416 (i.e., management, scientific, and technical consulting services)—to certify that neither they nor their subsidiaries or affiliates provide such services to covered foreign entities and to prohibit awards to noncompliant entities. The section authorizes case-by-case waivers by executive agency heads, in consultation with the Secretary of Defense and Director of National Intelligence, if determined to be in the national security interest, no alternative contractor is available, and notifications are provided to the Office of Management and Budget at least five days prior and to appropriate congressional committees within 30 days (with a briefing offered). Waivers are limited to 365 days, with one possible 180-day extension (subject to approvals and committee notification), to one per entity across all agencies at a time, and require detailed disclosures on the contractor, covered foreign entities, contract work, justification, and conflict mitigation plans; agency websites must list the relevant covered foreign entities unless national security precludes it.

This section requires the head of an executive agency to terminate any contract with a consulting firm that knowingly submits a false certification or information—after the Federal Acquisition Regulation is amended pursuant to section 3—and to consider suspending or debarbing the firm under Federal Acquisition Regulation subpart 9.4. It also subjects such firms to False Claims Act penalties—including treble damages—for knowingly hiding or misrepresenting contracts with covered foreign entities or otherwise violating that Act.

This section defines terms used in the Act, including (1) "appropriate congressional committees" as the Senate Committee on Homeland Security and Governmental Affairs and the House Committee on Oversight and Government Reform; (2) "consulting services" as advisory or assistance services similar to those in Federal Acquisition Regulation 2.101 provided to covered foreign entities (excluding services related to legal compliance or dispute resolution); (3) "covered foreign entity" as the governments or entities of China or Russia, governments determined by the Secretary of State to have repeatedly supported international terrorism under authorities such as 22 U.S.C. 2371, and entities on specified Department of Commerce lists or other sanctions lists; (4) "executive agency" as defined in 41 U.S.C. 133; (5) "False Claims Act" as 31 U.S.C. 3729–3733; and (6) North American Industry Classification System Industry Group code 5416 (management, scientific, and technical consulting services).