Bills · HR 4615
IN COMMITTEE· 119TH CONGRESS
House BillHR 4615Commerce
Small Business Payment for Performance Act of 2025
INTRO JUL 22· LAST ACTION JUL 22
READING
3MIN
COSPONSORS
13
READER REACTIONS0 TOTAL
NO VOTES YET · BE THE FIRST
- Introduced only
LEGISLATIVE PROGRESS
STEP 2 / 8Introduced
In Committee
Reported
Passed House
Passed Senate
Conference
To President
Became Law
WHAT THE BILL DOES
AI-writtenVoters should care about this bill because it addresses a common challenge faced by small businesses working with the government: unexpected changes to project scope and associated costs. When government agencies alter contract terms, small businesses often have to absorb those increased costs for a period while negotiating a final price adjustment, which can strain their finances and even jeopardize their ability to complete projects.
If this bill becomes law, it would provide a crucial lifeline by ensuring small construction businesses receive a significant portion of their estimated additional costs upfront. This could prevent delays on federal projects, help small businesses stay solvent, and foster a more stable environment for government contractors. Without it, small businesses might continue to face cash flow issues, potentially leading to project delays or even insolvencies when unexpected government-directed changes occur.
KEY PROVISIONS
4AI-extractedPROVISION 01
Allows a small business with a federal construction contract to request an "equitable adjustment" if the contracting agency changes the contract terms without their agreement, leading to increased costs.
Ensures a formal process for small businesses to seek compensation for unexpected and costly government-directed changes.
PROVISION 02
Requires the government agency to provide an interim partial payment of at least 50 percent of the small business's estimated additional costs upon receipt of a timely request for an equitable adjustment.
Provides immediate financial relief and improved cash flow for small businesses facing unexpected expenses.
PROVISION 03
Mandates that small businesses receiving these interim payments must pass down the appropriate portion to their first-tier subcontractors, and those subcontractors must pass it down to any lower-tier subcontractors.
Ensures that financial relief for increased costs benefits all levels of the construction supply chain affected by contract changes.
PROVISION 04
Specifies that an interim partial payment is not considered a final agreement on the full amount of the equitable adjustment.
Allows for continued negotiation to determine the exact total cost increase without holding up immediate payment for incurred expenses.
SPONSORSHIP
1 + 13
R· Minnesota
YRS IN OFFICE
7
BILLS LED
0
COSPONSOR BREAKDOWNBIPARTISAN · 46%
DEM 10 REP 3 IND 0
ACTION TIMELINE
2 EVENTSJUL 22
Introduced in House
JUL 22
Referred to the House Committee on Small Business.
BILL INFO
TypeHouse Bill
NumberHR 4615
Congress119th
StatusIn Committee
IntroducedJul 22, 2025
Last actionJul 22, 2025
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IN COMMITTEE· 119TH CONGRESS · SMALL BUSINESS COMMITTEE · INTRODUCED JUL 22, 2025
House BillHR 4615Commerce
Small Business Payment for Performance Act of 2025
INTRODUCED JUL 22, 2025· LAST ACTION JUL 22, 2025
PASSAGE CHANCES
—%
READING
3 min
COSPONSORS
13
COMPLEXITY
Moderate
