COST Act

This legislative proposal aims to enhance transparency regarding the use of federal funds by establishing new disclosure requirements for agencies and recipients. It mandates that any entity carrying out a program, project, or activity using federal funds must clearly state specific financial details in public documents. These disclosures must include both the percentage and dollar amount of total costs financed by Federal funds , alongside the percentage and dollar amount contributed by nongovernmental sources . This information is required in various public communications, such as press releases, requests for proposals, and bid solicitations, excluding very short messages. To ensure adherence, recipients must certify compliance during performance reporting, and the Office of Management and Budget (OMB) will conduct annual reviews of public communications. The OMB will also establish a public mechanism for anonymously reporting non-compliant communications, making findings publicly available.