Bacteria in the gastrointestinal tract (GI) produce a variety of amino acid bile acid amidates that impact host-mediated metabolic processes; however, the bacterial gene(s) responsible for their production remain unknown. Herein, we report that bile salt hydrolase (BSH) possesses dual functions, including a new role in bile acid metabolism by functioning as an amine N-acyl transferase that conjugates amines to form bacterial bile acid amidates (BBAAs). To characterize this new amine N-acyl transferase role for BSH, we used pharmacological inhibition of BSH, heterologous expression of bsh in Escherichia coli, and generated a bsh knockout and knockin in Bacteroides fragilis to demonstrate that BSH is necessary and sufficient for BBAA production. Lastly, we report that BBAAs activate host ligand-activated transcription factors including the farnesoid X receptor, pregnane X receptor, constitutive androstane receptor, and the aryl hydrocarbon receptor. These new findings expand our understanding and appreciation for the important roles that bacteria play in shaping the bile acid metabolic network.