Congress·In Committee·H.R. 2989

Rep. Bresnahan Proposes Ban on Federal Contracts for Firms Consulting for China and Russia

Time to Choose Act of 2025

Part of: Time to Choose Act of 2025

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Stalled

No legislative action in over 90 days.

↔Companion bill: Congress Targets Consulting Firms Working for China and Other Covered Foreign Clients in U.S. Contracting Limits

Legislative Progress

House

Senate

President

Law

Key Points

This bill would ban the federal government from awarding consulting contracts to firms that also work for China, Russia, state sponsors of terrorism, or entities on U.S. export control and sanctions lists. Consulting firms must certify they have no such foreign ties before winning a federal deal.
"Covered foreign entities" include the Chinese government, Communist Party, People's Liberation Army, the Russian government, sanctioned Russian entities, governments designated as state sponsors of terrorism, and companies on Commerce Department export control lists.
From policy text
“The Government of the People's Republic of China, the Chinese Communist Party, the People's Liberation Army, the Ministry of State Security, or other security service or intelligence agency of the People's Republic of China.”
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If a firm is caught lying about its foreign business ties, the government must terminate its contract. The firm could also be suspended or debarred from future federal work and face penalties under the False Claims Act, including triple damages.
From policy text
“the head of the executive agency shall terminate the contract with the consulting firm and consider suspending or debarring the firm from eligibility for future Federal contracts in accordance with subpart 9.4 of the Federal Acquisition Regulation.”
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A narrow waiver process allows agency heads to hire a conflicted firm for up to one year if no alternative exists and national security requires it, but they must notify Congress and usually publish the foreign client names on the agency's public website.
From policy text
“the agency head, in consultation with the Secretary of Defense and the Director of National Intelligence, determines the waiver to be in the national security interests of the United States”
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The bill does not authorize any new funding, meaning agencies would need to implement the new certification and oversight requirements using existing budgets and staff.
From policy text
“No additional funds are authorized to be appropriated for the purpose of carrying out this Act.”
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National Security Foreign PolicyEconomy Finance

Impact Analysis

Personal Impact

Who is affectedScoreImpactCertaintyScopeDurationSentiment

Scores: 1 = low, 5 = highSentiment: -5 to +5 (net benefit)

Milestones

2 milestones2 actions

Apr 24, 2025House

Referred to the House Committee on Oversight and Government Reform.

Apr 24, 2025

Introduced in House

What Happens Next

Projected impacts based on AI analysis

Within 1 year of enactment

Federal Acquisition Regulation must be updated with new certification and prohibition rules

Consulting firms bidding on federal contracts would need to start certifying they have no ties to China, Russia, or other covered foreign entities. Firms with such ties would need to drop those clients or stop bidding on U.S. government work.

Related News

3 articles

The Times Leader·11 months ago

Rep. Bresnahan legislation would bar pro-CCP firms from partnering with federal agencies

U.S. Rep. Rob Bresnahan Jr. introduced H.R. 2989, the Time to Choose Act, to prevent federal agencies from contracting with consulting firms that provide services to the Chinese Communist Party. The bill requires firms to certify they have no contracts with foreign adversaries and imposes penalties, including treble damages, for misrepresentation. Bresnahan stated that consultants must choose between 'America or Communist China.'

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Nextgov/FCW·about 1 year ago

Trump administration asks agencies to cull consultants

The Trump administration directed federal agencies to review and potentially terminate 'non-essential' consulting contracts with 10 major firms, including Deloitte and Accenture. While primarily a cost-cutting measure, the move aligns with the legislative environment created by the Time to Choose Act, as agencies are now required to verify the 'criticality' of contracts with global firms that may have complex international business ties.

NBC News·over 4 years ago

Advising both Chinese state companies and the Pentagon, McKinsey & Co. comes under scrutiny

An NBC News investigation revealed that McKinsey & Company has advised Chinese state-owned enterprises that support Beijing's naval buildup while simultaneously holding sensitive national security contracts with the Pentagon. This foundational report spurred the introduction of the Time to Choose Act, as lawmakers expressed concern that the firm's 'insider view' of U.S. military planning could be compromised by its work for foreign adversaries.

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Related Bills

1 bill

S. 731Identical bill

Time to Choose Act of 2025

Feb 25 — Read twice and referred to the Committee on Homeland Security and Governmental Affairs.

Source Information

Document Type

Congressional Bill

Official Title

Time to Choose Act of 2025

Bill NumberHR 2989

Congress119th Congress

ChamberHouse of Representatives

Latest ActionReferred to the House Committee on Oversight and Government Reform.

Sponsor

Data Sources

Congress.gov

Official legislative information

Analysis generated by AI. Always verify with official sources.