[Congressional Bills 105th Congress]
[From the U.S. Government Publishing Office]
[S. 354 Introduced in Senate (IS)]







105th CONGRESS
  1st Session
                                 S. 354

 To amend the Federal Property and Administrative Services Act of 1949 
 to prohibit executive agencies from awarding contracts that contain a 
provision allowing for the acquisition by the contractor, at Government 
expense, of certain equipment or facilities to carry out the contract, 
 if the principal purpose of such provision is to increase competition 
    by establishing an alternative source of supply for property or 
                               services.


_______________________________________________________________________


                   IN THE SENATE OF THE UNITED STATES

                           February 25, 1997

Mr. Kennedy (for himself and Mr. Kerry) introduced the following bill; 
  which was read twice and referred to the Committee on Governmental 
                                Affairs

_______________________________________________________________________

                                 A BILL


 
 To amend the Federal Property and Administrative Services Act of 1949 
 to prohibit executive agencies from awarding contracts that contain a 
provision allowing for the acquisition by the contractor, at Government 
expense, of certain equipment or facilities to carry out the contract, 
 if the principal purpose of such provision is to increase competition 
    by establishing an alternative source of supply for property or 
                               services.

    Be it enacted by the Senate and House of Representatives of the 
United States of America in Congress assembled,

SECTION 1. PROHIBITION ON CERTAIN CONTRACT PROVISION FOR PURPOSE OF 
              INCREASING COMPETITION BY ESTABLISHING ALTERNATIVE SOURCE 
              OF SUPPLY.

    Section 303 of the Federal Property and Administrative Services Act 
of 1949 (41 U.S.C. 253) is amended by adding at the end the following 
new subsection:
    ``(j) In conducting a procurement of property or services covered 
by this section, an executive agency may not award a contract that 
contains a provision allowing for the contractor to acquire, at 
Government expense, production, construction, or technical equipment or 
facilities to carry out the contract, if the principal purpose of such 
provision is to increase competition by establishing an alternative 
source of supply for that property or service.''.
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