The bill would require federal agencies affected by a lapse in appropriations to adjust certain contract prices. The adjustment would cover contractors’ reasonable, actual costs to pay eligible employees their standard compensation for the period of the lapse, or to restore paid leave used because of the lapse. The rule would apply when contract work was suspended, delayed, interrupted, or stopped because of the lapse, even if the contract does not allow these costs or adjustments. Weekly compensation covered would be limited to the lesser of the employee’s actual weekly compensation or $1,442, with a lower prorated limit for employees who work fewer than 40 hours per week. Contractors would have to provide evidence of their costs. The bill also calls for a public report on adjustments made.
If you work for a covered contractor and your work or pay was affected by a lapse in appropriations, your employer’s federal contract could be adjusted to cover qualifying costs. The bill does not directly require contractors to pay employees; it requires agencies to adjust eligible contract prices for costs contractors actually incurred.
The bill would appropriate sums as necessary for these adjustments for the fiscal year ending September 30, 2026. The funds would be available through December 31, 2026. It also authorizes additional appropriations as necessary.
No publicly available information.
No publicly available information.