Small Business Payment for Performance Act of 2025

This bill requires federal agencies to provide small business contractors with interim partial payments of at least 50% of estimated costs when contract terms change without the business's agreement. It directly affects small businesses awarded federal construction contracts and their subcontractors, ensuring they receive upfront funds to cover increased costs from mandated changes. The key mechanism mandates that agencies issue these payments promptly upon valid requests, with small businesses required to pass the funds to relevant subcontractors. The law also specifies that these interim payments do not finalize the adjustment request, preserving the agency's right to review the full claim later.