[Congressional Bills 111th Congress]
[From the U.S. Government Publishing Office]
[H.R. 6262 Introduced in House (IH)]

111th CONGRESS
  2d Session
                                H. R. 6262

To stimulate job creation by directing Federal procurement to domestic 
 sources, to ensure the enforcement of domestic sourcing requirements, 
 to prohibit the procurement of sweatshop goods by the United States, 
                        and for other purposes.


_______________________________________________________________________


                    IN THE HOUSE OF REPRESENTATIVES

                           September 29, 2010

Mr. Hare (for himself, Mr. Michaud, Mr. Hastings of Florida, Ms. Moore 
of Wisconsin, Ms. Kaptur, Mr. Grijalva, and Mr. Filner) introduced the 
 following bill; which was referred to the Committee on Oversight and 
Government Reform, and in addition to the Committee on Armed Services, 
for a period to be subsequently determined by the Speaker, in each case 
for consideration of such provisions as fall within the jurisdiction of 
                        the committee concerned

_______________________________________________________________________

                                 A BILL


 
To stimulate job creation by directing Federal procurement to domestic 
 sources, to ensure the enforcement of domestic sourcing requirements, 
 to prohibit the procurement of sweatshop goods by the United States, 
                        and for other purposes.

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

SECTION 1. SHORT TITLE.

    This Act may be cited as the ``Jobs Through Procurement Act''.

SEC. 2. FINDINGS.

    Congress finds the following:
            (1) United States Government procurement from domestic 
        manufacturers is vital to economic recovery, and subcontractors 
        should be bound by the same domestic sourcing requirements as 
        prime contractors.
            (2) The Berry Amendment and the Buy American Act are not 
        implemented as intended by Congress when contractors procure 
        significant amounts of goods from subcontractors that obtain 
        such goods from nondomestic sources.
            (3) The United States Government should not procure goods 
        manufactured or produced in facilities that do not comply with 
        core labor standards, as defined under the laws of the United 
        States and the Declaration on Fundamental Principles and Rights 
        at Work of the International Labour Organization.
            (4) Workplaces that violate core labor standards are 
        commonly referred to as sweatshops, and workers have a right to 
        be free of sweatshop working conditions.
            (5) Subjecting workers to sweatshop conditions is morally 
        offensive to United States citizens as taxpayers and investors, 
        and is degrading to workers.
            (6) Prohibiting the procurement of sweatshop goods, 
        regardless of the source of the goods, is consistent with the 
        international obligations of the United States because the 
        prohibition applies equally to domestic and foreign products 
        and avoids any discrimination among foreign sources of 
        competing products.

SEC. 3. STRENGTHENING ENFORCEMENT OF DOMESTIC SOURCING REQUIREMENTS.

    (a) Buy American Act Amendment.--Section 2 of the Buy American Act 
(41 U.S.C. 10a) is amended by adding at the end the following new 
subsection:
    ``(c) Applicability to Contracts and Subcontracts for Procurement 
of Commercial Items.--This section is applicable to contracts and 
subcontracts for the procurement of commercial items notwithstanding 
section 34 of the Office of Federal Procurement Policy Act (41 U.S.C. 
430).''.
    (b) Contract Clause Required for Prime Contracts.--
            (1) Berry amendment compliance clause in defense 
        contracts.--The Secretary of Defense shall prescribe 
        regulations to require that each contract of the Department of 
        Defense for the procurement of services shall contain a clause 
        ensuring compliance in the procurement of goods by the 
        contractor with section 2533a of title 10, United States Code 
        (popularly known as the ``Berry Amendment''), regardless of 
        whether any goods to be furnished under the contract are 
        specified at the time of the contract.
            (2) Buy american act compliance clause in all federal 
        contracts.--The Federal Acquisition Regulation shall be revised 
        to require that each contract of the Federal Government for the 
        procurement of services shall contain a clause ensuring 
        compliance in the procurement of goods by the contractor with 
        the Buy American Act (41 U.S.C. 10a et seq.), regardless of 
        whether any goods to be furnished are specified at the time of 
        the contract.
    (c) Contract Clause Required for Subcontractors.--
            (1) Berry amendment compliance.--The Secretary of Defense 
        shall prescribe regulations to require that each contract of 
        the Department of Defense shall contain a clause that requires 
        the contractor to include a clause in any subcontract (at any 
        tier) that has a value in excess of $100,000 under the contract 
        ensuring compliance in the procurement of goods by the 
        subcontractor with section 2533a of title 10, United States 
        Code (popularly known as the ``Berry Amendment'').
            (2) Buy american act compliance.--The Federal Acquisition 
        Regulation shall be revised to require that each contract of 
        the Federal Government shall contain a clause that requires the 
        contractor to include a clause in any subcontract (at any tier) 
        that has a value in excess of $100,000 under the contract 
        ensuring compliance in the procurement of goods with the Buy 
        American Act (41 U.S.C. 10a et seq.).
    (d) Berry Amendment and Buy American Act Training.--
            (1) Acquisition workforce.--The Secretary of Defense shall 
        ensure that each member of the acquisition workforce who 
        participates in contracts for services under which a 
        subcontract for the procurement of manufactured or produced 
        goods may be awarded receives training on compliance with 
        section 2533a of title 10, United States Code (popularly known 
        as the ``Berry Amendment''), and the Buy American Act (41 
        U.S.C. 10a et seq.).
            (2) Contractor providing services.--The Secretary of 
        Defense shall ensure that any contractor that has been awarded 
        a contract by the Department of Defense to provide services and 
        under which a subcontract for the procurement of manufactured 
        or produced goods may be awarded receives training on 
        compliance with section 2533a of title 10, United States Code 
        (popularly known as the ``Berry Amendment''), and the Buy 
        American Act (41 U.S.C. 10a et seq.).
    (e) Certification Required for Domestic Source.--Any offeror or 
contractor that is required to comply with section 2533a of title 10, 
United States Code (popularly known as the ``Berry Amendment''), or the 
Buy American Act (41 U.S.C. 10a et seq.) shall certify compliance with 
such section or such Act and submit to the contracting officer the name 
of the manufacturer or producer and the address of the manufacturing or 
production location of all materials, or domestic end products in the 
case of commercially available off-the-shelf items, including the name 
of the manufacturer or producer and the address of the manufacturer or 
production location.

SEC. 4. GOVERNMENT PROCUREMENT OF SWEATSHOP GOODS PROHIBITED.

    (a) Amendment to Federal Property and Administrative Services Act 
of 1949.--Title III of the Federal Property and Administrative Services 
Act of 1949 (41 U.S.C. 251 et seq.) is amended by adding at the end the 
following new section:

``SEC. 318. PROHIBITION ON PROCUREMENT OF SWEATSHOP GOODS AND RELATED 
              REQUIREMENTS.

    ``(a) Definitions.--In this section:
            ``(1) Core labor standards.--
                    ``(A) In general.--The term `core labor standards' 
                means, with respect to employees--
                            ``(i) the right of association;
                            ``(ii) the right to organize and bargain 
                        collectively;
                            ``(iii) a prohibition on the use of any 
                        form of forced or compulsory labor;
                            ``(iv) a prohibition on discrimination 
                        which has the effect of nullifying or impairing 
                        equality of opportunity or treatment in 
                        employment or occupation;
                            ``(v) a prohibition of the worst forms of 
                        child labor, including all forms of slavery or 
                        practices similar to slavery, such as the sale 
                        and trafficking of children, debt bondage, 
                        serfdom, and forced or compulsory labor, and 
                        work which, by its nature and circumstances in 
                        which it is carried out, is likely to harm the 
                        health, safety, or morals of children;
                            ``(vi) a minimum age for the employment of 
                        children that is not less than the age of 
                        completion of compulsory schooling and not less 
                        than 15 years; and
                            ``(vii) acceptable conditions of work with 
                        respect to wages, hours of work, and 
                        occupational safety and health.
                    ``(B) Additional definitions.--For purposes of 
                subparagraph (A):
                            ``(i) Acceptable conditions.--The term 
                        `acceptable conditions' shall be determined by 
                        the laws, regulations, or competent authority 
                        of the country in which the labor is performed, 
                        except that wages paid shall be no less than 
                        the amount sufficient to maintain a standard of 
                        living necessary for health, and the general 
                        well-being of workers and their families, as 
                        determined under clauses (ii) and (iii).
                            ``(ii) United states wages.--For labor 
                        performed in the United States, the wages paid 
                        shall not be less than the minimum wage 
                        required under section 6 of the Fair Labor 
                        Standards Act of 1938 (29 U.S.C. 206), or other 
                        applicable statute.
                            ``(iii) Wages for other nations.--For labor 
                        performed in a country other than the United 
                        States, the wages paid shall be determined by 
                        the Bureau of International Labor Affairs of 
                        the United States Department of Labor.
            ``(2) Covered contract.--The term `covered contract' means 
        a contract for a total amount in excess of the micro-purchase 
        threshold, as that term is defined in section 32(f) of the 
        Office of Federal Procurement Policy Act (41 U.S.C. 428(f)).
            ``(3) Sweatfree purchasing consortium.--The term `Sweatfree 
        Purchasing Consortium' means an organization consisting of and 
        for Federal, State, and local government agencies with a 
        mission of ending public purchasing from sweatshops and helping 
        its members make purchases of goods that are not sweatshop 
        goods more effectively and less expensively than any single 
        agency could accomplish on its own.
            ``(4) Sweatshop good.--The term `sweatshop good' means all 
        goods, wares, articles, and merchandise manufactured or 
        produced wholly or in part in violation of core labor 
        standards, as defined in subsection (a).
    ``(b) Bid Specifications and Preaward Procedures.--The agency head 
shall ensure that each bid or proposal submitted for a covered contract 
includes the following:
            ``(1) A list of each subcontractor and production facility 
        to be used in the performance of the covered contract, 
        including company names, owners or officers, complete physical 
        addresses, and the primary business purpose.
            ``(2) A certification that each facility listed pursuant to 
        paragraph (1) complies with the core labor standards, or that 
        the contractor has complied with the requirements of subsection 
        (c)(4).
            ``(3) If the product is to be manufactured or produced by a 
        third party, a certification that the bidder will purchase the 
        product under terms, including prices and delivery dates, that 
        support and enable the manufacturing or production of the 
        product in a manner that is consistent with core labor 
        standards.
    ``(c) Contractual Requirement.--The agency head shall ensure that 
each covered contract entered into by the agency for the procurement of 
goods includes a clause that requires the contractor--
            ``(1) to comply with the requirements of this section;
            ``(2) to update the list of subcontractors and production 
        facilities to be used in the performance of the covered 
        contract as needed and to furnish a copy of this section to 
        each subcontractor and require each production facility to 
        affirm that it will comply with core labor standards;
            ``(3) to ensure that workers who will manufacture or 
        produce the goods to be provided under the covered contract are 
        informed of the requirements of this section;
            ``(4) not later than 30 days after having actual or 
        constructive knowledge of any instance of noncompliance with 
        core labor standards in a facility manufacturing or producing 
        goods to be provided under the covered contract, to--
                    ``(A) disclose the noncompliance to the relevant 
                agency; and
                    ``(B) submit to the relevant agency a written 
                corrective action plan, that will become part of the 
                covered contract;
            ``(5) not later than 120 days after the submission of the 
        corrective action plan under paragraph (4)(B), or before 
        receipt of half the total remaining value of the covered 
        contract, whichever occurs first, to implement the corrective 
        action plan; and
            ``(6) to cooperate fully in providing reasonable access to 
        the contractor's records, persons, or premises if requested by 
        the contracting agency, the Department of Labor, or the 
        Department of Justice for the purpose of determining whether 
        any good provided under the covered contract is a sweatshop 
        good.
    ``(d) Request for Payment.--Each request for payment by a 
contractor under a covered contract shall be considered to be a 
recertification by the contractor as described in subsections (b)(2) 
and (b)(3).
    ``(e) Investigations.--
            ``(1) In general.--Not later than 14 days after the receipt 
        of an allegation of a violation of this section, the agency 
        head shall refer the matter for investigation to the Inspector 
        General of the agency and, as the agency head or the Inspector 
        General determines appropriate, to the Attorney General and the 
        Secretary of Labor if any of the following apply:
                    ``(A) A contracting officer has independent 
                knowledge that a contractor or a subcontractor has 
                labor policies or practices that are not consistent 
                with core labor standards.
                    ``(B) An individual files a written complaint 
                directly with the contracting agency that the 
                contractor or subcontractor, to the best of the 
                individual's knowledge, has labor policies or practices 
                that are not consistent with core labor standards.
                    ``(C) A contracting officer or the agency head 
                receives any other information providing a reasonable 
                basis for believing that a contractor or subcontractor 
                has labor policies or practices that are not consistent 
                with core labor standards.
            ``(2) Notification.--The agency head shall notify the 
        relevant contractor of the allegations and the investigation, 
        including any preliminary findings or recommendations, not 
        later than 90 days after the referral of the matter for 
        investigation under paragraph (1).
            ``(3) Agency cooperation.--The agency may cooperate with 
        Federal, State, and local government agencies participating in 
        a Sweatfree Purchasing Consortium (in this section, referred to 
        as `Consortium') by notifying the Consortium not later than 14 
        days after receiving any referral of a matter for investigation 
        under paragraph (1), and may share the findings of any 
        investigation and remedies imposed with the Consortium.
            ``(4) Investigation by the consortium.--If the contractor 
        is a provider of goods to any agency participating in the 
        Consortium, the agency head of the referring agency or its 
        Inspector General, may, notwithstanding any other provision of 
        law, enter into an agreement with the Consortium to conduct the 
        investigation.
    ``(f) Remedies.--
            ``(1) In general.--The agency head may impose remedies as 
        provided in this subsection if the agency head finds that the 
        contractor has done any of the following:
                    ``(A) Submitted a false certification under this 
                section.
                    ``(B) Failed to cooperate with an investigation 
                under this section.
                    ``(C) Failed to implement a corrective action plan 
                submitted under subsection (c)(4)(B).
            ``(2) Termination of contract.--The agency head may 
        terminate a covered contract on the basis of a finding of a 
        violation under paragraph (1).
            ``(3) Suspension of performance.--The agency head, on the 
        basis of a finding that the contractor has committed a 
        violation under paragraph (1), may refuse to take delivery of, 
        or pay for, sweatshop goods.
            ``(4) Debarment and suspension.--The agency head may 
        suspend a contractor, for a period of not more than 3 years, 
        from eligibility for Federal contracts on the basis of a 
        finding that the contractor has committed a violation under 
        paragraph (1).
            ``(5) Inclusion on list of parties excluded from federal 
        procurement and nonprocurement programs.--The Administrator of 
        General Services shall include on the List of Parties Excluded 
        from Federal Procurement and Nonprocurement Programs maintained 
        by the Administrator under part 9 of the Federal Acquisition 
        Regulation each contractor that is debarred, suspended, 
        proposed for debarment or suspension, or declared ineligible by 
        the agency head on the basis that the contractor has committed 
        a violation under paragraph (1).
            ``(6) Remedies not exclusive.--This section shall not be 
        construed to limit other remedies which may be available under 
        United States law.
    ``(g) Advisory Board.--
            ``(1) Establishment.--There is established a board to be 
        known as the Procurement Advisory Board (in this section, 
        referred to as the `Board') to oversee and consider issues 
        relating to the implementation and enforcement of this section 
        and to make recommendations relating to such implementation and 
        enforcement.
            ``(2) Collaboration with the consortium.--The Board may 
        collaborate with the Consortium in carrying out the Board's 
        activities under paragraph (1).
            ``(3) Membership.--The Board shall be composed of 7 members 
        appointed by the President as follows:
                    ``(A) Three members from the Department of Defense.
                    ``(B) One member from the Department of Labor.
                    ``(C) Three members who are members of a labor 
                organization as defined in section 2(5) of the National 
                Labor Relations Act (29 U.S.C. 152(5)) or a Joint Labor 
                Management Cooperative Committee established pursuant 
                to section 205A of the Labor Management Relations Act, 
                1947 (29 U.S.C. 175a).
    ``(h) Phase-In.--
            ``(1) Year one.--During the first full fiscal year after 
        the effective date of this section, this section shall be 
        enforced only with respect to purchases and contracts for 
        apparel, garments, and corresponding accessories, materials, 
        supplies, or equipment.
            ``(2) Year two.--During the second full fiscal year after 
        the effective date of this section, each agency head, in 
        consultation with the Board established under subsection (g), 
        shall select procurement categories (other than apparel, 
        garments, and corresponding accessories, materials, supplies, 
        or equipment) based on the feasibility of implementation and 
        may set phase-in goals and timetables of up to one year for 
        such categories in order to achieve compliance with the 
        requirements of this section.''.
    (b) Effective Date.--The amendment made by this section shall take 
effect 180 days after the date of the enactment of this Act.

SEC. 5. RULE OF CONSTRUCTION.

    Nothing in this Act, or the amendments made by this Act, shall be 
construed to preempt any law of a State or political subdivision of a 
State that establishes higher wages or labor standards for the mining, 
production, or manufacture of any good, ware, article, or merchandise 
purchased by the State or political subdivision of a State than those 
provided for in this Act.
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