PolicyBrief
S. 137
119th CongressJan 16th 2025
FIND Act
IN COMMITTEE

The FIND Act prohibits federal agencies from contracting with entities that discriminate against the firearm and ammunition industries, ensuring fair treatment and preventing prejudice in contracting decisions. It requires contractors to certify their non-discriminatory practices, with penalties for violations, while providing exemptions for sole-source contracts.

Steve Daines
R

Steve Daines

Senator

MT

LEGISLATION

FIND Act: New Contracting Rules Could Force Feds to Favor Firearm Businesses

The "Firearm Industry Non-Discrimination Act" (FIND Act) aims to reshape how the federal government awards contracts, potentially forcing agencies to prioritize businesses in the firearm and ammunition industries. This bill, signed into law, prohibits federal agencies from contracting with any entity that is seen as 'discriminating' against these industries.

Strings Attached

This law mandates that every federal contract must now include a clause where the contractor certifies they don't and won't discriminate against firearm entities or trade associations. It even extends to subcontractors – if a subcontract is worth more than 10% of the total contract, that subcontractor must also provide a written certification of non-discrimination. If a company violates this rule, they're looking at contract termination, suspension, or even being barred from future government work (Sec. 2).

Defining 'Discrimination' – Where It Gets Tricky

The core of the issue lies in how the bill defines "discriminate." It goes beyond clear legal violations and includes any judgment based on "non-case-by-case assessments" or criteria that show "prejudice" against firearm entities, or "favoritism" towards their market alternatives (Sec. 2). It also includes limiting services or operations in a way not explicitly required by existing law. This broad definition could make it tough for companies to make standard business decisions if they involve firearm businesses.

For example, imagine a company that provides security services. If they decide not to offer services to a gun manufacturer based on their internal risk assessment (not a legal requirement, just their own policy), could that be considered 'discrimination' under this law? It's a potential gray area.

Who Benefits, Who's Affected?

This law directly benefits a wide range of businesses: firearm manufacturers, importers, and dealers; ammunition sellers; makers of gun safes and accessories; and firearm trade associations (Sec. 2). Essentially, any company involved in the firearm industry could potentially leverage this law.

For other businesses, especially those with contracts involving federal agencies, it adds a layer of compliance and potential risk. A company that chooses not to work with firearm businesses for ethical, safety, or even purely financial reasons could face legal challenges under this broad definition of discrimination.

The Sole-Source Loophole

Interestingly, the bill exempts sole-source contracts (Sec. 2). This means if a contract can only be fulfilled by one specific company, the non-discrimination requirements don't apply. This could create a loophole where agencies might structure contracts in a way that avoids these rules.

Real-World Rollout

The FIND Act applies to all contracts awarded after its enactment. This means companies bidding on federal contracts need to be aware of these new requirements and certify their compliance. It also raises questions about how existing contracts might be affected if they come up for renewal or modification.

This bill is a big deal for the firearm industry and government contracting. It's not just about ensuring fair treatment; it's about potentially reshaping the landscape of who gets federal dollars and how those decisions are made. The broad definition of discrimination is going to be a key point of contention and could lead to some legal battles down the road.