I
119THCONGRESS
1
STSESSION H. R. 1168
To direct the Director of the Office of Management and Budget to require
the disclosure of violations of Federal law with respect to human traf-
ficking or alien smuggling, and for other purposes.
IN THE HOUSE OF REPRESENTATIVES
FEBRUARY10, 2025
Mr. G
OODEN(for himself, Mr. BIGGSof Arizona, Mr. GILLof Texas, Ms.
M
ACE, Mr. WEBERof Texas, Mr. GOSAR, Mr. ELLZEY, Mr. OGLES, Mr.
R
OSE, and Mr. HARIDOPOLOS) introduced the following bill; which was
referred to the Committee on the Judiciary, and in addition to the Com-
mittees on Oversight and Government Reform, and Ways and Means, for
a period to be subsequently determined by the Speaker, in each case for
consideration of such provisions as fall within the jurisdiction of the com-
mittee concerned
A BILL
To direct the Director of the Office of Management and
Budget to require the disclosure of violations of Federal
law with respect to human trafficking or alien smuggling,
and for other purposes.
Be it enacted by the Senate and House of Representa-1
tives of the United States of America in Congress assembled, 2
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•HR 1168 IH
SECTION 1. SHORT TITLE. 1
This Act may be cited as the ‘‘Protecting Federal 2
Funds from Human Trafficking and Smuggling Act of 3
2025’’. 4
SEC. 2. MANDATORY DISCLOSURES OF HUMAN TRAF-5
FICKING AND ALIEN SMUGGLING. 6
(a) L
IMITATION ONAWARD OFFEDERALFUNDS.— 7
(1) F
UTURE RECIPIENTS.—Beginning not later 8
than 120 days after the date of the enactment of 9
this Act, no Federal funds may be awarded to a 10
non-profit entity unless such entity submits to the 11
Director of the Office of Management and Budget a 12
certification that the entity is in compliance with 13
Federal law with respect to human trafficking, alien 14
smuggling, fraud, bribery, or gratuity and has not 15
been convicted of an offense under section 274 of 16
the Immigration and Nationality Act (8 U.S.C. 17
1324). 18
(2) C
URRENT AND PRIOR RECIPIENTS .—Not 19
later than 60 days after the date of the enactment 20
of this Act, each non-profit entity that is in receipt 21
of awarded Federal funds as of the date of the en-22
actment of this Act, or was awarded Federal funds 23
prior to January 1, 2025, shall submit to the Direc-24
tor of the Office of Management and Budget a cer-25
tification that the entity is in compliance with Fed-26
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•HR 1168 IH
eral law with respect to human trafficking, alien 1
smuggling, fraud, bribery, or gratuity and has not 2
been convicted of an offense under section 274 of 3
the Immigration and Nationality Act (8 U.S.C. 4
1324). If the entity does not submit the certifi-5
cation, or is determined by the Director of the Office 6
of Management and Budget to have violated section 7
274 of the Immigration and Nationality Act (8 8
U.S.C. 1324), the entity shall repay any such funds 9
awarded. 10
(b) D
ENIAL OFTAXEXEMPTION.—Section 503 of 11
the Internal Revenue Code of 1986 is amended by adding 12
at the end the following new subsection: 13
‘‘(g) D
ENIAL OFEXEMPTION FOR NOTMEETING 14
C
ERTAINCERTIFICATIONREQUIREMENT.— 15
‘‘(1) I
N GENERAL.—An organization described 16
in section 501(c) shall not be exempt from taxation 17
under section 501(a) if such organization does not 18
submit the certification required pursuant to section 19
2(a) of the ‘Protecting Federal Funds from Human 20
Trafficking and Smuggling Act of 2025’, or is deter-21
mined by the Director of the Office of Management 22
and Budget to have violated section 274 of the Im-23
migration and Nationality Act (8 U.S.C. 1324). 24
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•HR 1168 IH
‘‘(2) RE-APPLICATION FOR EXEMPTION .—Not 1
sooner than one year after the date on which an or-2
ganization described in section 501(c) is not exempt 3
pursuant to paragraph (1), such organization may 4
reapply to be exempt from taxation under section 5
501(a).’’. 6
(c) R
EPORTINGREQUIREMENT.—Not later than 120 7
days after the date of the enactment of this Act, the Sec-8
retary of Homeland Security shall— 9
(1) develop a written strategy and best prac-10
tices guide for non-profit entities to ensure they are 11
in compliance with Federal law, including how to de-12
tect, deter, and report human trafficking and alien 13
smuggling; 14
(2) publish on the internet website of the De-15
partment of Homeland Security information on vio-16
lations of any non-profit entity as it pertains to com-17
pliance with State and Federal laws with respect to 18
human trafficking, and alien smuggling; and 19
(3) develop a written strategy to improve co-20
operation with non-profit entities, State, and Fed-21
eral law enforcement agencies with respect to im-22
proving cooperation on deterring, detecting, report-23
ing, and removing aliens. 24
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•HR 1168 IH
(d) REPORT BYCOMPTROLLERGENERAL.—Not later 1
than 180 days after the date of the enactment of this Act, 2
and annually thereafter, the Comptroller General of the 3
United States shall report to Congress on each violation 4
by a non-profit entity to certify under subsection (a). 5
(e) A
PPLICABILITY.—The requirement under sub-6
section (a) shall apply to any non-profit entity awarded 7
Federal funding, including a non-profit entity who has an 8
agreement, contract, award, or relationship with the Fed-9
eral Government on the date of the enactment of this Act. 10
SEC. 3. VERIFICATION REQUIREMENT FOR NONPROFIT 11
CHARITABLE ORGANIZATIONS. 12
Section 432 of the Personal Responsibility and Work 13
Opportunity Reconciliation Act of 1996 (8 U.S.C. 1642) 14
is amended by striking subsection (d). 15
Æ
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