[Congressional Bills 111th Congress]
[From the U.S. Government Publishing Office]
[S. 2989 Reported in Senate (RS)]
Calendar No. 635
111th CONGRESS
2d Session
S. 2989
[Report No. 111-343]
To improve the Small Business Act, and for other purposes.
_______________________________________________________________________
IN THE SENATE OF THE UNITED STATES
February 4, 2010
Ms. Landrieu (for herself, Ms. Snowe, Mrs. Shaheen, Mr. Feingold, Ms.
Klobuchar, Mr. Merkley, Mr. Specter, Mr. Burris, Ms. Stabenow, Ms.
Cantwell, and Mr. Cardin) introduced the following bill; which was read
twice and referred to the Committee on Small Business and
Entrepreneurship
September 29, 2010
Reported by Ms. Landrieu, with an amendment
[Strike out all after the enacting clause and insert the part printed
in italic]
_______________________________________________________________________
A BILL
To improve the Small Business Act, and for other purposes.
Be it enacted by the Senate and House of Representatives of the
United States of America in Congress assembled,
<DELETED>SECTION 1. SHORT TITLE.</DELETED>
<DELETED> This Act may be cited as the ``Small Business Contracting
Revitalization Act of 2010''.</DELETED>
<DELETED>SEC. 2. TABLE OF CONTENTS.</DELETED>
<DELETED> The table of contents for this Act is as
follows:</DELETED>
<DELETED>Sec. 1. Short title.
<DELETED>Sec. 2. Table of contents.
<DELETED>Sec. 3. Definitions.
<DELETED>TITLE I--CONTRACT BUNDLING
<DELETED>Sec. 101. Leadership and oversight.
<DELETED>Sec. 102. Consolidation of contract requirements.
<DELETED>Sec. 103. Small business teams pilot program.
<DELETED>TITLE II--SUBCONTRACTING INTEGRITY
<DELETED>Sec. 201. GAO recommendations on subcontracting
misrepresentations.
<DELETED>Sec. 202. Small business subcontracting improvements.
<DELETED>TITLE III--ACQUISITION PROCESS
<DELETED>Sec. 301. Reservation of prime contract awards for small
businesses.
<DELETED>Sec. 302. Micro-purchase guidelines.
<DELETED>Sec. 303. Agency accountability.
<DELETED>Sec. 304. Payment of subcontractors.
<DELETED>Sec. 305. Repeal of Small Business Competitiveness
Demonstration Program.
<DELETED>TITLE IV--SMALL BUSINESS SIZE AND STATUS INTEGRITY
<DELETED>Sec. 401. Policy and presumptions.
<DELETED>Sec. 402. Annual certification.
<DELETED>Sec. 403. Training for contracting and enforcement personnel.
<DELETED>Sec. 404. Updated size standards.
<DELETED>Sec. 405. Study and report on the mentor-protege program.
<DELETED>SEC. 3. DEFINITIONS.</DELETED>
<DELETED> In this Act--</DELETED>
<DELETED> (1) the terms ``Administration'' and
``Administrator'' mean the Small Business Administration and
the Administrator thereof, respectively; and</DELETED>
<DELETED> (2) the term ``small business concern'' has the
meaning given that term under section 3 of the Small Business
Act (15 U.S.C. 632).</DELETED>
<DELETED>TITLE I--CONTRACT BUNDLING</DELETED>
<DELETED>SEC. 101. LEADERSHIP AND OVERSIGHT.</DELETED>
<DELETED> (a) In General.--Section 15 of the Small Business Act (15
U.S.C. 644) is amended by adding at the end the following:</DELETED>
<DELETED> ``(q) Bundling Accountability Measures.--</DELETED>
<DELETED> ``(1) Teaming requirements.--Each Federal agency
shall include in each solicitation for any contract award above
the substantial bundling threshold of the Federal agency a
provision soliciting bids by teams and joint ventures of small
business concerns.</DELETED>
<DELETED> ``(2) Agency policies on reduction of contract
bundling.--The head of each Federal agency shall--</DELETED>
<DELETED> ``(A) not later than 180 days after the
date of enactment of this subsection, publish on the
website of the Federal agency the policy of the Federal
agency regarding contracting bundling and
consolidation, including regarding the solicitation of
teaming and joint ventures under paragraph (1);
and</DELETED>
<DELETED> ``(B) not later than 30 days after the
date on which the head of the Federal agency submits
data certifications to the Administrator for Federal
Procurement Policy, publish on the website of the
Federal agency a list and rationale for any bundled
contract for which the Federal agency solicited bids or
that was awarded by the Federal agency.</DELETED>
<DELETED> ``(3) Reporting.--Not later than 90 days after the
date of enactment of this subsection, and every 3 years
thereafter, the Director of Small and Disadvantaged Business
Utilization for each Federal agency shall submit to the
Committee on Small Business and Entrepreneurship of the Senate
and the Committee on Small Business of the House of
Representatives a report regarding procurement center
representatives and commercial market representatives, which
shall--</DELETED>
<DELETED> ``(A) identify each area for which the
Federal agency has assigned a procurement center
representative or a commercial market
representative;</DELETED>
<DELETED> ``(B) explain why the Federal agency
selected the areas identified under subparagraph (A);
and</DELETED>
<DELETED> ``(C) describe the activities performed by
procurement center representatives and commercial
market representatives.''.</DELETED>
<DELETED> (b) Technical Correction.--Section 15(g) of the Small
Business Act (15 U.S.C. 644(g)) is amended by striking ``Administrator
of the Office of Federal Procurement Policy'' each place it appears and
inserting ``Administrator for Federal Procurement Policy''.</DELETED>
<DELETED> (c) Report.--</DELETED>
<DELETED> (1) In general.--Not later than 180 days after the
date of enactment of this Act, the Comptroller General of the
United States shall submit to Congress a report regarding the
procurement center representative program of the
Administration.</DELETED>
<DELETED> (2) Contents.--The report submitted under
paragraph (1) shall--</DELETED>
<DELETED> (A) address ways to improve the
effectiveness of the procurement center representative
program in helping small business concerns obtain
Federal contracts;</DELETED>
<DELETED> (B) evaluate the effectiveness of
procurement center representatives and commercial
marketing representatives; and</DELETED>
<DELETED> (C) include recommendations, if any, on
how to improve the procurement center representative
program.</DELETED>
<DELETED> (d) Electronic Procurement Center Representative.--Not
later than 180 days after the date of enactment of this Act, the
Administrator shall implement an electronic procurement center
representative program.</DELETED>
<DELETED>SEC. 102. CONSOLIDATION OF CONTRACT REQUIREMENTS.</DELETED>
<DELETED> The Small Business Act (15 U.S.C. 631 et seq.) is
amended--</DELETED>
<DELETED> (1) by redesignating section 44 as section 45;
and</DELETED>
<DELETED> (2) by inserting after section 43 the
following:</DELETED>
<DELETED>``SEC. 44. CONSOLIDATION OF CONTRACT REQUIREMENTS.</DELETED>
<DELETED> ``(a) Definitions.--In this section--</DELETED>
<DELETED> ``(1) the term `Chief Acquisition Officer' means
the employee of a Federal agency designated as the Chief
Acquisition Officer for the Federal agency under section 16(a)
of the Office of Federal Procurement Policy Act (41 U.S.C.
414(a));</DELETED>
<DELETED> ``(2) the term `consolidation of contract
requirements', with respect to contract requirements of a
Federal agency, means a use of a solicitation to obtain offers
for a single contract or a multiple award contract to satisfy 2
or more requirements of the Federal agency for goods or
services that have been, are being, or will be provided to, or
will be performed for or would typically be performed for, the
Federal agency under 2 or more separate contracts lower in cost
than the total cost of the contract for which the offers are
solicited;</DELETED>
<DELETED> ``(3) the term `Federal agency' does not include
the Department of Defense or any agency of the Department of
Defense;</DELETED>
<DELETED> ``(4) the term `multiple award contract' means--
</DELETED>
<DELETED> ``(A) a multiple award task order contract
or delivery order contract that is entered into under
the authority of sections 303H through 303K of the
Federal Property and Administrative Services Act of
1949 (41 U.S.C. 253h through 253k); and</DELETED>
<DELETED> ``(B) any other indefinite delivery,
indefinite quantity contract that is entered into by
the head of a Federal agency with 2 or more sources
pursuant to the same solicitation; and</DELETED>
<DELETED> ``(5) the term `senior procurement executive'
means an official designated under section 16(c) of the Office
of Federal Procurement Policy Act (41 U.S.C. 414(c)) as the
senior procurement executive for a Federal agency.</DELETED>
<DELETED> ``(b) Policy.--The head of each Federal agency shall
ensure that the decisions made by the Federal agency regarding
consolidation of contract requirements of the Federal agency are made
with a view to providing small business concerns with appropriate
opportunities to participate as prime contractors and subcontractors in
the procurements of the Federal agency.</DELETED>
<DELETED> ``(c) Limitation on Use of Acquisition Strategies
Involving Consolidation.--</DELETED>
<DELETED> ``(1) In general.--The head of a Federal agency
may not carry out an acquisition strategy that includes a
consolidation of contract requirements of the Federal agency
with a total value of more than $2,000,000, unless the senior
procurement executive or Chief Acquisition Officer for the
Federal agency, before carrying out the acquisition strategy--
</DELETED>
<DELETED> ``(A) conducts market research;</DELETED>
<DELETED> ``(B) identifies any alternative
contracting approaches that would involve a lesser
degree of consolidation of contract requirements;
and</DELETED>
<DELETED> ``(C) determines that the consolidation of
contract requirements is necessary and
justified.</DELETED>
<DELETED> ``(2) Determination that consolidation is
necessary and justified.--</DELETED>
<DELETED> ``(A) In general.--A senior procurement
executive or Chief Acquisition Officer may determine
that an acquisition strategy involving a consolidation
of contract requirements is necessary and justified for
the purposes of paragraph (1)(C) if the benefits of the
acquisition strategy substantially exceed the benefits
of each of the possible alternative contracting
approaches identified under paragraph (1)(B).</DELETED>
<DELETED> ``(B) Savings in administrative or
personnel costs.--For purposes of subparagraph (A),
savings in administrative or personnel costs alone do
not constitute a sufficient justification for a
consolidation of contract requirements in a procurement
unless the expected total amount of the cost savings,
as determined by the senior procurement executive or
Chief Acquisition Officer, is substantial in relation
to the total cost of the procurement.</DELETED>
<DELETED> ``(3) Benefits to be considered.--The benefits
considered for the purposes of paragraphs (1) and (2) may
include cost and, regardless of whether quantifiable in dollar
amounts--</DELETED>
<DELETED> ``(A) quality;</DELETED>
<DELETED> ``(B) acquisition cycle;</DELETED>
<DELETED> ``(C) terms and conditions; and</DELETED>
<DELETED> ``(D) any other benefit.''.</DELETED>
<DELETED>SEC. 103. SMALL BUSINESS TEAMS PILOT PROGRAM.</DELETED>
<DELETED> (a) Definitions.--In this section--</DELETED>
<DELETED> (1) the term ``Center'' means the Center for Small
Business Teaming established under subsection (b);
and</DELETED>
<DELETED> (2) the term ``eligible organization'' means a
well-established national organization for small business
concerns with the capacity to provide assistance to small
business concerns (which may be provided with the assistance of
the Center) relating to--</DELETED>
<DELETED> (A) customer relations and
outreach;</DELETED>
<DELETED> (B) submitting bids and
proposals;</DELETED>
<DELETED> (C) team relations and outreach;
and</DELETED>
<DELETED> (D) performance measurement and quality
assurance.</DELETED>
<DELETED> (b) Establishment.--The Administrator shall establish a
Center for Small Business Teaming within the Administration to carry
out a pilot program for teaming and joint ventures involving small
business concerns.</DELETED>
<DELETED> (c) Grants.--The Center may make grants to eligible
organizations to assemble teams of small business concerns to compete
for larger procurement contracts.</DELETED>
<DELETED> (d) Contracting Opportunities.--</DELETED>
<DELETED> (1) In general.--The Center shall work with
eligible organizations receiving a grant under this section to
identify appropriate contracting opportunities for teams or
joint ventures of small business concerns.</DELETED>
<DELETED> (2) Restricted competition.--A contracting officer
of a Federal agency may restrict competition for any contract
for the procurement of goods or services by the Federal agency
to teams or joint ventures of small business concerns if
determined appropriate by the contracting officer.</DELETED>
<DELETED> (e) Termination.--The authorities under this section shall
terminate 5 years after the date of enactment of this Act.</DELETED>
<DELETED> (f) Authorization of Appropriations.--There are authorized
to be appropriated for grants by the Center under subsection (c)
$5,000,000 for each of fiscal years 2010 through 2015.</DELETED>
<DELETED>TITLE II--SUBCONTRACTING INTEGRITY</DELETED>
<DELETED>SEC. 201. GAO RECOMMENDATIONS ON SUBCONTRACTING
MISREPRESENTATIONS.</DELETED>
<DELETED> Section 8 of the Small Business Act (15 U.S.C. 637) is
amended by adding at the end the following:</DELETED>
<DELETED> ``(o) Prevention of Misrepresentations in Subcontracting;
Implementation of Recommendations of Comptroller General.--</DELETED>
<DELETED> ``(1) Statement of policy.--It is the policy of
Congress that the recommendations of the Comptroller General of
the United States in Report No. 05-459, concerning oversight
improvements necessary to ensure maximum practicable
participation by small business concerns in subcontracting,
shall be implemented Government-wide, to the maximum extent
possible.</DELETED>
<DELETED> ``(2) Contractor compliance.--Compliance of
Federal prime contractors with subcontracting plans relating to
small business concerns shall be evaluated as a percentage of
obligated prime contract dollars and as a percentage of
subcontracts awarded.</DELETED>
<DELETED> ``(3) Issuance of agency policies.--Not later than
180 days after the date of enactment of this subsection, the
head of each Federal agency shall issue a policy on
subcontracting compliance relating to small business concerns,
including assignment of compliance responsibilities between
contracting offices, small business offices, and program
offices and periodic oversight and review
activities.''.</DELETED>
<DELETED>SEC. 202. SMALL BUSINESS SUBCONTRACTING
IMPROVEMENTS.</DELETED>
<DELETED> Section 8(d)(6) of the Small Business Act (15 U.S.C.
637(d)(6)) is amended--</DELETED>
<DELETED> (1) in subparagraph (E), by striking ``and'' at
the end;</DELETED>
<DELETED> (2) in subparagraph (F), by striking the period at
the end and inserting ``; and''; and</DELETED>
<DELETED> (3) by adding at the end, the following:</DELETED>
<DELETED> ``(G) a certification that the offeror or
bidder will acquire articles, equipment, supplies,
services, or materials, or obtain the performance of
construction work from the small business concerns used
in preparing and submitting to the contracting agency
the bid or proposal, in the same amount and quality
used in preparing and submitting the bid or proposal,
unless the small business concerns are no longer in
business or can no longer meet the quality, quantity,
or delivery date.''.</DELETED>
<DELETED>TITLE III--ACQUISITION PROCESS</DELETED>
<DELETED>SEC. 301. RESERVATION OF PRIME CONTRACT AWARDS FOR SMALL
BUSINESSES.</DELETED>
<DELETED> Section 15 of the Small Business Act (15 U.S.C. 644), as
amended by this Act, is amended by adding at the end the
following:</DELETED>
<DELETED> ``(r) Government-Wide Acquisition Contracts.--Not later
than 180 days after the date of enactment of this subsection, the
Administrator for Federal Procurement Policy and the Administrator
shall jointly, by regulation, establish criteria for Federal agencies
for--</DELETED>
<DELETED> ``(1) setting aside part or parts of a multiple
award contract (as defined in section 44), Federal supply
schedule contracts, and other Government-wide acquisition
contracts for small business concerns, including the
subcategories of small business concerns identified in
subsection (g)(2);</DELETED>
<DELETED> ``(2) setting aside orders placed against multiple
award contracts, Federal supply schedule contracts, and other
Government-wide acquisition contracts for small business
concerns, including the subcategories of small business
concerns identified in subsection (g)(2); and</DELETED>
<DELETED> ``(3) reserving 1 or more contract awards for
small business concerns under full and open multiple award
procurements, including the subcategories of small business
concerns identified in subsection (g)(2).''.</DELETED>
<DELETED>SEC. 302. MICRO-PURCHASE GUIDELINES.</DELETED>
<DELETED> Not later than 1 year after the date of enactment of this
Act, the Controller of the Office of Federal Financial Management shall
issue guidelines regarding the analysis of purchase card expenditures
to identify opportunities for achieving and accurately measuring fair
participation of small business concerns in purchases in an amount not
in excess of the micro-purchase threshold, as defined in section 32 of
the Office of Federal Procurement Policy Act (41 U.S.C. 428) (in this
section referred to as ``micro-purchases''), consistent with the
national policy on small business participation in Federal procurements
set forth in sections 2(a) and 15(g) of the Small Business Act (15
U.S.C. 631(a) and 644(g)), and dissemination of best practices for
participation of small business concerns in micro-purchases.</DELETED>
<DELETED>SEC. 303. AGENCY ACCOUNTABILITY.</DELETED>
<DELETED> Section 15(g)(2) of the Small Business Act (15 U.S.C.
644(g)(2)) is amended--</DELETED>
<DELETED> (1) by inserting ``(A)'' after ``(2)'';</DELETED>
<DELETED> (2) by striking ``Goals established'' and
inserting the following:</DELETED>
<DELETED> ``(B) Goals established'';</DELETED>
<DELETED> (3) by striking ``Whenever'' and inserting the
following:</DELETED>
<DELETED> ``(C) Whenever'';</DELETED>
<DELETED> (4) by striking ``For the purpose of'' and
inserting the following:</DELETED>
<DELETED> ``(D) For the purpose of'';</DELETED>
<DELETED> (5) by striking ``The head of each Federal agency,
in attempting to attain such participation'' and inserting the
following:</DELETED>
<DELETED> ``(E) The head of each Federal agency, in attempting to
attain the participation described in subparagraph (D)''.</DELETED>
<DELETED> (6) in subparagraph (E), as so designated--
</DELETED>
<DELETED> (A) by striking ``(A) contracts'' and
inserting ``(i) contracts''; and</DELETED>
<DELETED> (B) by striking ``(B) contracts'' and
inserting ``(ii) contracts''; and</DELETED>
<DELETED> (7) by adding at the end the following:</DELETED>
<DELETED> ``(F)(i) Each procurement employee or program manager
described in clause (ii)--</DELETED>
<DELETED> ``(I) shall communicate to the subordinates of the
procurement employee or program manager the importance of
achieving small business goals; and</DELETED>
<DELETED> ``(II) shall have as a significant factor in the
annual performance evaluation of the procurement employee or
program manager, where appropriate, the success of that
procurement employee or program manager in small business
utilization, in accordance with the goals established under
this subsection.</DELETED>
<DELETED> ``(ii) A procurement employee or program manager described
in this clause is a senior procurement executive, senior program
manager, or Director of Small and Disadvantaged Business Utilization of
a Federal agency having contracting authority.''.</DELETED>
<DELETED>SEC. 304. PAYMENT OF SUBCONTRACTORS.</DELETED>
<DELETED> Section 8(d) of the Small Business Act (15 U.S.C. 637(d))
is amended by adding at the end the following:</DELETED>
<DELETED> ``(11) Payment of Subcontractors.--</DELETED>
<DELETED> ``(A) Definition.--In this paragraph, the term
`covered contract' means a contract relating to which a prime
contractor is required to develop a subcontracting plan under
paragraph (4) or (5).</DELETED>
<DELETED> ``(B) Notice.--</DELETED>
<DELETED> ``(i) In general.--A prime contractor for
a covered contract shall notify in writing the
contracting officer for the covered contract if the
prime contractor pays a reduced price to a
subcontractor for goods and services upon completion of
the responsibilities of the subcontractor or the
payment to a subcontractor is more than 90 days past
due for goods or services provided for the covered
contract for which--</DELETED>
<DELETED> ``(I) the Federal agency has paid
the prime contractor; or</DELETED>
<DELETED> ``(II) the prime contractor has
submitted a request for payment to the Federal
agency.</DELETED>
<DELETED> ``(ii) Contents.--A prime contractor shall
include the reason for the reduction in a payment to or
failure to pay a subcontractor in any notice made under
clause (i).</DELETED>
<DELETED> ``(iii) Public availability.--The head of
each Federal agency shall, after redacting information
identifying any subcontractor, make publicly available
any notice made under clause (i).</DELETED>
<DELETED> ``(C) Performance.--A contracting officer for a
covered contract shall consider the failure by a prime
contractor to make a full or timely payment to a subcontractor
in evaluating the performance of the prime
contractor.</DELETED>
<DELETED> ``(D) Control of funds.--A contracting officer for
a covered contract may restrict the authority of a prime
contractor that has a history of untimely payment of
subcontractors (as determined by the contracting officer) to
make expenditures under or control payment of subcontractors
for a covered contract.''.</DELETED>
<DELETED>SEC. 305. REPEAL OF SMALL BUSINESS COMPETITIVENESS
DEMONSTRATION PROGRAM.</DELETED>
<DELETED> (a) In General.--The Business Opportunity Development
Reform Act of 1988 (Public Law 100-656) is amended by striking title
VII (15 U.S.C. 644 note).</DELETED>
<DELETED> (b) Effective Date and Applicability.--The amendment made
by this section--</DELETED>
<DELETED> (1) shall take effect on the date of enactment of
this Act; and</DELETED>
<DELETED> (2) apply to the first full fiscal year after the
date of enactment of this Act.</DELETED>
<DELETED>TITLE IV--SMALL BUSINESS SIZE AND STATUS INTEGRITY</DELETED>
<DELETED>SEC. 401. POLICY AND PRESUMPTIONS.</DELETED>
<DELETED> Section 3 of the Small Business Act (15 U.S.C. 632) is
amended by adding at the end the following:</DELETED>
<DELETED> ``(t) Presumption.--</DELETED>
<DELETED> ``(1) In general.--In every contract, subcontract,
cooperative agreement, cooperative research and development
agreement, or grant which is set aside, reserved, or otherwise
classified as intended for award to small business concerns,
there shall be a presumption of loss to the United States based
on the total amount expended on the contract, subcontract,
cooperative agreement, cooperative research and development
agreement, or grant whenever it is established that a business
concern other than a small business concern willfully sought
and received the award by misrepresentation.</DELETED>
<DELETED> ``(2) Deemed certifications.--The following
actions shall be deemed affirmative, willful, and intentional
certifications of small business size and status:</DELETED>
<DELETED> ``(A) Submission of a bid or proposal for
a Federal grant, contract, subcontract, cooperative
agreement, or cooperative research and development
agreement reserved, set aside, or otherwise classified
as intended for award to small business
concerns.</DELETED>
<DELETED> ``(B) Submission of a bid or proposal for
a Federal grant, contract, subcontract, cooperative
agreement, or cooperative research and development
agreement which in any way encourages a Federal agency
to classify the bid or proposal, if awarded, as an
award to a small business concern.</DELETED>
<DELETED> ``(C) Registration on any Federal
electronic database for the purpose of being considered
for award of a Federal grant, contract, subcontract,
cooperative agreement, or cooperative research
agreement, as a small business concern.</DELETED>
<DELETED> ``(3) Certification by signature of responsible
official.--</DELETED>
<DELETED> ``(A) In general.--Each solicitation, bid,
or application for a Federal contract, subcontract, or
grant shall contain a certification concerning the
small business size and status of a business concern
seeking the Federal contract, subcontract, or
grant.</DELETED>
<DELETED> ``(B) Content of certifications.--A
certification that a business concern qualifies as a
small business concern of the exact size and status
claimed by the business concern for purposes of bidding
on a Federal contract or subcontract, or applying for a
Federal grant, shall contain the signature of a
director, officer, or counsel on the same page on which
the certification is contained.</DELETED>
<DELETED> ``(4) Regulations.--The Administrator shall
promulgate regulations to provide adequate protections to
individuals and business concerns from liability under this
subsection in cases of unintentional errors, technical
malfunctions, and other similar situations.''.</DELETED>
<DELETED>SEC. 402. ANNUAL CERTIFICATION.</DELETED>
<DELETED> Section 3 of the Small Business Act (15 U.S.C. 632), as
amended by this Act, is amended by adding at the end the
following:</DELETED>
<DELETED> ``(u) Annual Certification.--</DELETED>
<DELETED> ``(1) In general.--Each business certified as a
small business concern under this Act shall annually certify
its small business size and, if appropriate, its small business
status, by means of a confirming entry on the ORCA database of
the Administration, or any successor thereto.</DELETED>
<DELETED> ``(2) Regulations.--Not later than 1 year after
the date of enactment of this subsection, the Administrator, in
consultation with the Inspector General and the Chief Counsel
for Advocacy of the Administration, shall promulgate
regulations to ensure that--</DELETED>
<DELETED> ``(A) no business concern continues to be
certified as a small business concern on the ORCA
database of the Administration, or any successor
thereto, without fulfilling the requirements for annual
certification under this subsection; and</DELETED>
<DELETED> ``(B) the requirements of this subsection
are implemented in a manner presenting the least
possible regulatory burden on small business
concerns.</DELETED>
<DELETED> ``(3) Determination of size status.--The small
business size or status of a business concern shall be
determined at the time of the award of a Federal--</DELETED>
<DELETED> ``(A) contract, except that, in the case
of interagency multiple award contracts (as defined in
section 44), small business size or status shall be
determined annually, except for purposes of the award
of each task or delivery order set aside or reserved
for small business concerns;</DELETED>
<DELETED> ``(B) subcontract;</DELETED>
<DELETED> ``(C) grant;</DELETED>
<DELETED> ``(D) cooperative agreement; or</DELETED>
<DELETED> ``(E) cooperative research and development
agreement.''.</DELETED>
<DELETED>SEC. 403. TRAINING FOR CONTRACTING AND ENFORCEMENT
PERSONNEL.</DELETED>
<DELETED> (a) In General.--Not later than 1 year after the date of
enactment of this Act, the Federal Acquisition Institute, in
consultation with the Administrator for Federal Procurement Policy,
shall develop courses concerning proper classification of business
concerns and small business size and status for purposes of Federal
contracts, subcontracts, grants, cooperative agreements, and
cooperative research and development agreements.</DELETED>
<DELETED> (b) Policy on Prosecutions of Small Business Size and
Status Fraud.--Section 3 of the Small Business Act (15 U.S.C. 632), as
amended by this Act, is amended by adding at the end the
following:</DELETED>
<DELETED> ``(v) Policy on Prosecutions of Small Business Size and
Status Fraud.--Not later than 1 year after the date of enactment of
this subsection, the head of each relevant Federal agency and the
Inspector General of the Administration shall issue a Government-wide
policy on prosecution of small business size and status
fraud.''.</DELETED>
<DELETED>SEC. 404. UPDATED SIZE STANDARDS.</DELETED>
<DELETED> Not later than 1 year after the date of enactment of this
Act, and every 5 years thereafter, the Administrator shall--</DELETED>
<DELETED> (1) conduct a detailed review of the size
standards for small business concerns established under section
3(a)(2) of the Small Business Act (15 U.S.C.
632(a)(2));</DELETED>
<DELETED> (2) make appropriate adjustments to size standards
under that section to reflect market conditions; and</DELETED>
<DELETED> (3) make publically available information
regarding--</DELETED>
<DELETED> (A) the factors evaluated as part of the
review conducted under paragraph (1); and</DELETED>
<DELETED> (B) the criteria used for any revised size
standards promulgated under paragraph (2).</DELETED>
<DELETED>SEC. 405. STUDY AND REPORT ON THE MENTOR-PROTEGE
PROGRAM.</DELETED>
<DELETED> (a) In General.--The Comptroller General of the United
States shall conduct a study of the mentor-protege program of the
Administration for small business concerns participating in programs
under section 8(a) of the Small Business Act (15 U.S.C. 637(a)), and
other relationships and strategic alliances pairing a larger business
and a small business concern partner to gain access to Federal
Government contracts, to determine whether the programs and
relationships are effectively supporting the goal of increasing the
participation of small business concerns in Government
contracting.</DELETED>
<DELETED> (b) Matters To Be Studied.--The study conducted under this
section shall include--</DELETED>
<DELETED> (1) a review of a broad cross-section of
industries; and</DELETED>
<DELETED> (2) an evaluation of--</DELETED>
<DELETED> (A) how each Federal agency carrying out a
program described in subsection (a) administers and
monitors the program;</DELETED>
<DELETED> (B) whether there are systems in place to
ensure that the mentor-protege relationship, or similar
affiliation, promotes real gain to the protege, and is
not just a mechanism to enable participants that would
not otherwise qualify under section 8(a) of the Small
Business Act (15 U.S.C. 637(a)) to receive contracts
under that section; and</DELETED>
<DELETED> (C) the degree to which protege businesses
become able to compete for Federal contracts without
the assistance of a mentor.</DELETED>
<DELETED> (c) Report to Congress.--Not later than 180 days after the
date of enactment of this Act, the Comptroller General shall submit to
the Committee on Small Business and Entrepreneurship of the Senate and
the Committee on Small Business of the House of Representatives a
report on the results of the study conducted under this
section.</DELETED>
SECTION 1. SHORT TITLE.
This Act may be cited as the ``Small Business Contracting
Revitalization Act of 2010''.
SEC. 2. TABLE OF CONTENTS.
The table of contents for this Act is as follows:
Sec. 1. Short title.
Sec. 2. Table of contents.
Sec. 3. Definitions.
TITLE I--CONTRACT BUNDLING
Sec. 101. Leadership and oversight.
Sec. 102. Consolidation of contract requirements.
Sec. 103. Small business teams pilot program.
TITLE II--SUBCONTRACTING INTEGRITY
Sec. 201. GAO recommendations on subcontracting misrepresentations.
Sec. 202. Small business subcontracting improvements.
TITLE III--ACQUISITION PROCESS
Sec. 301. Reservation of prime contract awards for small businesses.
Sec. 302. Micro-purchase guidelines.
Sec. 303. Agency accountability.
Sec. 304. Payment of subcontractors.
Sec. 305. Repeal of Small Business Competitiveness Demonstration
Program.
TITLE IV--SMALL BUSINESS SIZE AND STATUS INTEGRITY
Sec. 401. Policy and presumptions.
Sec. 402. Annual certification.
Sec. 403. Training for contracting and enforcement personnel.
Sec. 404. Updated size standards.
Sec. 405. Study and report on the mentor-protege program.
Sec. 406. Policy on support of competitive enterprise system.
Sec. 407. Contracting goals reports.
SEC. 3. DEFINITIONS.
In this Act--
(1) the terms ``Administration'' and ``Administrator'' mean
the Small Business Administration and the Administrator
thereof, respectively; and
(2) the term ``small business concern'' has the meaning
given that term under section 3 of the Small Business Act (15
U.S.C. 632).
TITLE I--CONTRACT BUNDLING
SEC. 101. LEADERSHIP AND OVERSIGHT.
(a) In General.--Section 15 of the Small Business Act (15 U.S.C.
644) is amended by adding at the end the following:
``(q) Bundling Accountability Measures.--
``(1) Teaming requirements.--Each Federal agency shall
include in each solicitation for any contract award above the
substantial bundling threshold of the Federal agency a
provision soliciting bids by teams and joint ventures of small
business concerns.
``(2) Agency policies on reduction of contract bundling.--
The head of each Federal agency shall--
``(A) not later than 180 days after the date of
enactment of this subsection, publish on the website of
the Federal agency the policy of the Federal agency
regarding contracting bundling and consolidation,
including regarding the solicitation of teaming and
joint ventures under paragraph (1); and
``(B) not later than 30 days after the date on
which the head of the Federal agency submits data
certifications to the Administrator for Federal
Procurement Policy, publish on the website of the
Federal agency a list and rationale for any bundled
contract for which the Federal agency solicited bids or
that was awarded by the Federal agency.
``(3) Reporting.--Not later than 90 days after the date of
enactment of this subsection, and every 3 years thereafter, the
Area Directors for Government Contracting of the Administration
shall submit to the Committee on Small Business and
Entrepreneurship of the Senate and the Committee on Small
Business of the House of Representatives a report regarding
procurement center representatives and commercial market
representatives, which shall--
``(A) identify each area for which the
Administration has assigned a procurement center
representative or a commercial market representative;
``(B) explain why the Administration selected the
areas identified under subparagraph (A); and
``(C) describe the activities performed by
procurement center representatives and commercial
market representatives.''.
(b) Technical Correction.--Section 15(g) of the Small Business Act
(15 U.S.C. 644(g)) is amended by striking ``Administrator of the Office
of Federal Procurement Policy'' each place it appears and inserting
``Administrator for Federal Procurement Policy''.
(c) Report.--
(1) In general.--Not later than 180 days after the date of
enactment of this Act, the Comptroller General of the United
States shall submit to Congress a report regarding the
procurement center representative program of the
Administration.
(2) Contents.--The report submitted under paragraph (1)
shall--
(A) address ways to improve the effectiveness of
the procurement center representative program in
helping small business concerns obtain Federal
contracts;
(B) evaluate the effectiveness of procurement
center representatives and commercial marketing
representatives; and
(C) include recommendations, if any, on how to
improve the procurement center representative program.
(d) Electronic Procurement Center Representative.--Not later than
180 days after the date of enactment of this Act, the Administrator
shall implement an electronic procurement center representative
program.
SEC. 102. CONSOLIDATION OF CONTRACT REQUIREMENTS.
The Small Business Act (15 U.S.C. 631 et seq.) is amended--
(1) by redesignating section 44 as section 45; and
(2) by inserting after section 43 the following:
``SEC. 44. CONSOLIDATION OF CONTRACT REQUIREMENTS.
``(a) Definitions.--In this section--
``(1) the term `Chief Acquisition Officer' means the
employee of a Federal agency designated as the Chief
Acquisition Officer for the Federal agency under section 16(a)
of the Office of Federal Procurement Policy Act (41 U.S.C.
414(a));
``(2) the term `consolidation of contract requirements',
with respect to contract requirements of a Federal agency,
means a use of a solicitation to obtain offers for a single
contract or a multiple award contract to satisfy 2 or more
requirements of the Federal agency for goods or services that
have been, are being, or will be provided to, or will be
performed for or would typically be performed for, the Federal
agency under 2 or more separate contracts lower in cost than
the total cost of the contract for which the offers are
solicited;
``(3) the term `multiple award contract' means--
``(A) a multiple award task order contract or
delivery order contract that is entered into under the
authority of sections 303H through 303K of the Federal
Property and Administrative Services Act of 1949 (41
U.S.C. 253h through 253k); and
``(B) any other indefinite delivery, indefinite
quantity contract that is entered into by the head of a
Federal agency with 2 or more sources pursuant to the
same solicitation; and
``(4) the term `senior procurement executive' means an
official designated under section 16(c) of the Office of
Federal Procurement Policy Act (41 U.S.C. 414(c)) as the senior
procurement executive for a Federal agency.
``(b) Policy.--The head of each Federal agency shall ensure that
the decisions made by the Federal agency regarding consolidation of
contract requirements of the Federal agency are made with a view to
providing small business concerns with appropriate opportunities to
participate as prime contractors and subcontractors in the procurements
of the Federal agency.
``(c) Limitation on Use of Acquisition Strategies Involving
Consolidation.--
``(1) In general.--The head of a Federal agency may not
carry out an acquisition strategy that includes a consolidation
of contract requirements of the Federal agency with a total
value of more than $2,000,000, unless the senior procurement
executive or Chief Acquisition Officer for the Federal agency,
before carrying out the acquisition strategy--
``(A) conducts market research;
``(B) identifies any alternative contracting
approaches that would involve a lesser degree of
consolidation of contract requirements;
``(C) makes a written determination that the
consolidation of contract requirements is necessary and
justified;
``(D) identifies any negative impact by the
acquisition strategy on contracting with small business
concerns; and
``(E) certifies that the acquisition strategy
fulfills the small business contracting goals of the
Federal agency.
``(2) Determination that consolidation is necessary and
justified.--
``(A) In general.--A senior procurement executive
or Chief Acquisition Officer may determine that an
acquisition strategy involving a consolidation of
contract requirements is necessary and justified for
the purposes of paragraph (1)(C) if the benefits of the
acquisition strategy substantially exceed the benefits
of each of the possible alternative contracting
approaches identified under paragraph (1)(B).
``(B) Savings in administrative or personnel
costs.--For purposes of subparagraph (A), savings in
administrative or personnel costs alone do not
constitute a sufficient justification for a
consolidation of contract requirements in a procurement
unless the expected total amount of the cost savings,
as determined by the senior procurement executive or
Chief Acquisition Officer, is substantial in relation
to the total cost of the procurement.
``(3) Benefits to be considered.--The benefits considered
for the purposes of paragraphs (1) and (2) may include cost
and, regardless of whether quantifiable in dollar amounts--
``(A) quality;
``(B) acquisition cycle;
``(C) terms and conditions; and
``(D) any other benefit.''.
SEC. 103. SMALL BUSINESS TEAMS PILOT PROGRAM.
(a) Definitions.--In this section--
(1) the term ``Center'' means the Center for Small Business
Teaming established under subsection (b); and
(2) the term ``eligible organization'' means a well-
established national organization for small business concerns
with the capacity to provide assistance to small business
concerns (which may be provided with the assistance of the
Center) relating to--
(A) customer relations and outreach;
(B) submitting bids and proposals;
(C) team relations and outreach; and
(D) performance measurement and quality assurance.
(b) Establishment.--The Administrator shall establish a Center for
Small Business Teaming within the Administration to carry out a pilot
program for teaming and joint ventures involving small business
concerns.
(c) Grants.--The Center may make grants to eligible organizations
to assemble teams of small business concerns to compete for larger
procurement contracts.
(d) Contracting Opportunities.--
(1) In general.--The Center shall work with eligible
organizations receiving a grant under this section to identify
appropriate contracting opportunities for teams or joint
ventures of small business concerns.
(2) Restricted competition.--A contracting officer of a
Federal agency may restrict competition for any contract for
the procurement of goods or services by the Federal agency to
teams or joint ventures of small business concerns if
determined appropriate by the contracting officer.
(e) Termination.--The authorities under this section shall
terminate 5 years after the date of enactment of this Act.
(f) Authorization of Appropriations.--There are authorized to be
appropriated for grants by the Center under subsection (c) $5,000,000
for each of fiscal years 2010 through 2015.
TITLE II--SUBCONTRACTING INTEGRITY
SEC. 201. GAO RECOMMENDATIONS ON SUBCONTRACTING MISREPRESENTATIONS.
Section 8 of the Small Business Act (15 U.S.C. 637) is amended by
adding at the end the following:
``(o) Prevention of Misrepresentations in Subcontracting;
Implementation of Recommendations of Comptroller General.--
``(1) Statement of policy.--It is the policy of Congress
that the recommendations of the Comptroller General of the
United States in Report No. 05-459, concerning oversight
improvements necessary to ensure maximum practicable
participation by small business concerns in subcontracting,
shall be implemented Government-wide, to the maximum extent
possible.
``(2) Contractor compliance.--Compliance of Federal prime
contractors with subcontracting plans relating to small
business concerns shall be evaluated as a percentage of
obligated prime contract dollars and as a percentage of
subcontracts awarded.
``(3) Issuance of agency policies.--Not later than 180 days
after the date of enactment of this subsection, the head of
each Federal agency shall issue a policy on subcontracting
compliance relating to small business concerns, including
assignment of compliance responsibilities between contracting
offices, small business offices, and program offices and
periodic oversight and review activities.''.
SEC. 202. SMALL BUSINESS SUBCONTRACTING IMPROVEMENTS.
Section 8(d)(6) of the Small Business Act (15 U.S.C. 637(d)(6)) is
amended--
(1) in subparagraph (E), by striking ``and'' at the end;
(2) in subparagraph (F), by striking the period at the end
and inserting ``; and''; and
(3) by adding at the end, the following:
``(G) a certification that the offeror or bidder
will acquire articles, equipment, supplies, services,
or materials, or obtain the performance of construction
work from the small business concerns used in preparing
and submitting to the contracting agency the bid or
proposal, in the same amount and quality used in
preparing and submitting the bid or proposal, unless
the small business concerns are no longer in business
or can no longer meet the quality, quantity, or
delivery date.''.
TITLE III--ACQUISITION PROCESS
SEC. 301. RESERVATION OF PRIME CONTRACT AWARDS FOR SMALL BUSINESSES.
Section 15 of the Small Business Act (15 U.S.C. 644), as amended by
this Act, is amended by adding at the end the following:
``(r) Government-wide Acquisition Contracts.--Not later than 180
days after the date of enactment of this subsection, the Administrator
for Federal Procurement Policy, in consultation with the Administrator,
shall, by regulation, establish criteria for Federal agencies for--
``(1) setting aside part or parts of a multiple award
contract (as defined in section 44), Federal supply schedule
contracts, and other Government-wide acquisition contracts for
small business concerns, including the subcategories of small
business concerns identified in subsection (g)(2);
``(2) setting aside orders placed against multiple award
contracts, Federal supply schedule contracts, and other
Government-wide acquisition contracts for small business
concerns, including the subcategories of small business
concerns identified in subsection (g)(2); and
``(3) reserving 1 or more contract awards for small
business concerns under full and open multiple award
procurements, including the subcategories of small business
concerns identified in subsection (g)(2).
``(s) Protecting Individual Small Business Contract
Opportunities.--For each fiscal year, the head of a Federal agency
shall award through competition restricted to small business concerns
contracts in a total number and amount equal to the total number and
amount of contracts not awarded through competition restricted to small
business concerns because--
``(1) the small business concern that is the prime
contractor for the contract merged with or was acquired by a
business concern that is not a small business concern; or
``(2) the Federal agency awarded the contract through full
and open competition for the purposes of a follow-on
contract.''.
SEC. 302. MICRO-PURCHASE GUIDELINES.
Not later than 1 year after the date of enactment of this Act, the
Director of the Office of Management and Budget shall issue guidelines
regarding the analysis of purchase card expenditures to identify
opportunities for achieving and accurately measuring fair participation
of small business concerns in purchases in an amount not in excess of
the micro-purchase threshold, as defined in section 32 of the Office of
Federal Procurement Policy Act (41 U.S.C. 428) (in this section
referred to as ``micro-purchases''), consistent with the national
policy on small business participation in Federal procurements set
forth in sections 2(a) and 15(g) of the Small Business Act (15 U.S.C.
631(a) and 644(g)), and dissemination of best practices for
participation of small business concerns in micro-purchases.
SEC. 303. AGENCY ACCOUNTABILITY.
Section 15(g)(2) of the Small Business Act (15 U.S.C. 644(g)(2)) is
amended--
(1) by inserting ``(A)'' after ``(2)'';
(2) by striking ``Goals established'' and inserting the
following:
``(B) Goals established'';
(3) by striking ``Whenever'' and inserting the following:
``(C) Whenever'';
(4) by striking ``For the purpose of'' and inserting the
following:
``(D) For the purpose of'';
(5) by striking ``The head of each Federal agency, in
attempting to attain such participation'' and inserting the
following:
``(E) The head of each Federal agency, in attempting to attain the
participation described in subparagraph (D)''.
(6) in subparagraph (E), as so designated--
(A) by striking ``(A) contracts'' and inserting
``(i) contracts''; and
(B) by striking ``(B) contracts'' and inserting
``(ii) contracts''; and
(7) by adding at the end the following:
``(F)(i) Each procurement employee or program manager described in
clause (ii)--
``(I) shall communicate to the subordinates of the
procurement employee or program manager the importance of
achieving small business goals; and
``(II) shall have as a significant factor in the annual
performance evaluation of the procurement employee or program
manager, where appropriate, the success of that procurement
employee or program manager in small business utilization, in
accordance with the goals established under this subsection.
``(ii) A procurement employee or program manager described in this
clause is a senior procurement executive, senior program manager, or
Director of Small and Disadvantaged Business Utilization of a Federal
agency having contracting authority.''.
SEC. 304. PAYMENT OF SUBCONTRACTORS.
Section 8(d) of the Small Business Act (15 U.S.C. 637(d)) is
amended by adding at the end the following:
``(11) Payment of Subcontractors.--
``(A) Definition.--In this paragraph, the term `covered
contract' means a contract relating to which a prime contractor
is required to develop a subcontracting plan under paragraph
(4) or (5).
``(B) Notice.--
``(i) In general.--A prime contractor for a covered
contract shall pay a small business as quickly as
possible after the date on which proper documentation
is received according to the contract terms and before
the payment due date. A prime contractor for a covered
contract shall notify in writing the contracting
officer for the covered contract if the prime
contractor pays a reduced price to a subcontractor for
goods and services upon completion of the
responsibilities of the subcontractor or the payment to
a subcontractor is more than 90 days past due for goods
or services provided for the covered contract for
which--
``(I) the Federal agency has paid the prime
contractor; or
``(II) the prime contractor has submitted a
request for payment to the Federal agency.
``(ii) Contents.--A prime contractor shall include
the reason for the reduction in a payment to or failure
to pay a subcontractor in any notice made under clause
(i).
``(iii) Public availability.--The head of each
Federal agency shall, after redacting information
identifying any subcontractor, make publicly available
any notice made under clause (i).
``(C) Performance.--A contracting officer for a covered
contract shall consider the failure by a prime contractor to
make a full or timely payment to a subcontractor in evaluating
the performance of the prime contractor.
``(D) Control of funds.--A contracting officer for a
covered contract may restrict the authority of a prime
contractor that has a history of untimely payment of
subcontractors (as determined by the contracting officer) to
make expenditures under or control payment of subcontractors
for a covered contract.''.
SEC. 305. REPEAL OF SMALL BUSINESS COMPETITIVENESS DEMONSTRATION
PROGRAM.
(a) In General.--The Business Opportunity Development Reform Act of
1988 (Public Law 100-656) is amended by striking title VII (15 U.S.C.
644 note).
(b) Effective Date and Applicability.--The amendment made by this
section--
(1) shall take effect on the date of enactment of this Act;
and
(2) apply to the first full fiscal year after the date of
enactment of this Act.
TITLE IV--SMALL BUSINESS SIZE AND STATUS INTEGRITY
SEC. 401. POLICY AND PRESUMPTIONS.
Section 3 of the Small Business Act (15 U.S.C. 632) is amended by
adding at the end the following:
``(t) Presumption.--
``(1) In general.--In every contract, subcontract,
cooperative agreement, cooperative research and development
agreement, or grant which is set aside, reserved, or otherwise
classified as intended for award to small business concerns,
there shall be a presumption of loss to the United States based
on the total amount expended on the contract, subcontract,
cooperative agreement, cooperative research and development
agreement, or grant whenever it is established that a business
concern other than a small business concern willfully sought
and received the award by misrepresentation.
``(2) Deemed certifications.--The following actions shall
be deemed affirmative, willful, and intentional certifications
of small business size and status:
``(A) Submission of a bid or proposal for a Federal
grant, contract, subcontract, cooperative agreement, or
cooperative research and development agreement
reserved, set aside, or otherwise classified as
intended for award to small business concerns.
``(B) Submission of a bid or proposal for a Federal
grant, contract, subcontract, cooperative agreement, or
cooperative research and development agreement which in
any way encourages a Federal agency to classify the bid
or proposal, if awarded, as an award to a small
business concern.
``(C) Registration on any Federal electronic
database for the purpose of being considered for award
of a Federal grant, contract, subcontract, cooperative
agreement, or cooperative research agreement, as a
small business concern.
``(3) Certification by signature of responsible official.--
``(A) In general.--Each solicitation, bid, or
application for a Federal contract, subcontract, or
grant shall contain a certification concerning the
small business size and status of a business concern
seeking the Federal contract, subcontract, or grant.
``(B) Content of certifications.--A certification
that a business concern qualifies as a small business
concern of the exact size and status claimed by the
business concern for purposes of bidding on a Federal
contract or subcontract, or applying for a Federal
grant, shall contain the signature of a director,
officer, or counsel on the same page on which the
certification is contained.
``(4) Regulations.--The Administrator shall promulgate
regulations to provide adequate protections to individuals and
business concerns from liability under this subsection in cases
of unintentional errors, technical malfunctions, and other
similar situations.''.
SEC. 402. ANNUAL CERTIFICATION.
Section 3 of the Small Business Act (15 U.S.C. 632), as amended by
this Act, is amended by adding at the end the following:
``(u) Annual Certification.--
``(1) In general.--Each business certified as a small
business concern under this Act shall annually certify its
small business size and, if appropriate, its small business
status, by means of a confirming entry on the ORCA database of
the Administration, or any successor thereto.
``(2) Regulations.--Not later than 1 year after the date of
enactment of this subsection, the Administrator, in
consultation with the Inspector General and the Chief Counsel
for Advocacy of the Administration, shall promulgate
regulations to ensure that--
``(A) no business concern continues to be certified
as a small business concern on the ORCA database of the
Administration, or any successor thereto, without
fulfilling the requirements for annual certification
under this subsection; and
``(B) the requirements of this subsection are
implemented in a manner presenting the least possible
regulatory burden on small business concerns.
``(3) Determination of size status.--The small business
size or status of a business concern shall be determined at the
time of the award of a Federal--
``(A) contract, except that, in the case of
interagency multiple award contracts (as defined in
section 44), small business size or status shall be
determined annually, except for purposes of the award
of each task or delivery order set aside or reserved
for small business concerns;
``(B) subcontract;
``(C) grant;
``(D) cooperative agreement; or
``(E) cooperative research and development
agreement.''.
SEC. 403. TRAINING FOR CONTRACTING AND ENFORCEMENT PERSONNEL.
(a) In General.--Not later than 1 year after the date of enactment
of this Act, the Federal Acquisition Institute, in consultation with
the Administrator for Federal Procurement Policy, shall develop courses
for acquisition personnel concerning proper classification of business
concerns and small business size and status for purposes of Federal
contracts, subcontracts, grants, cooperative agreements, and
cooperative research and development agreements.
(b) Policy on Prosecutions of Small Business Size and Status
Fraud.--Section 3 of the Small Business Act (15 U.S.C. 632), as amended
by this Act, is amended by adding at the end the following:
``(v) Policy on Prosecutions of Small Business Size and Status
Fraud.--Not later than 1 year after the date of enactment of this
subsection, the head of each relevant Federal agency and the Inspector
General of the Administration shall issue a Government-wide policy on
prosecution of small business size and status fraud.''.
SEC. 404. UPDATED SIZE STANDARDS.
(a) In General.--The Administrator shall--
(1) once every 5 years, conduct a detailed review of the
size standards for small business concerns established under
section 3(a)(2) of the Small Business Act (15 U.S.C.
632(a)(2));
(2) after each review under paragraph (1) make appropriate
adjustments to size standards under that section to reflect
market conditions; and
(3) make publically available information regarding--
(A) the factors evaluated as part of each review
conducted under paragraph (1); and
(B) the criteria used for any revised size
standards promulgated under paragraph (2).
(b) Rules.--Not later than 1 year after the date of enactment of
this Act, the Administrator shall promulgate rules for conducting the
reviews required under subsection (a).
SEC. 405. STUDY AND REPORT ON THE MENTOR-PROTEGE PROGRAM.
(a) In General.--The Comptroller General of the United States shall
conduct a study of the mentor-protege program of the Administration for
small business concerns participating in programs under section 8(a) of
the Small Business Act (15 U.S.C. 637(a)), and other relationships and
strategic alliances pairing a larger business and a small business
concern partner to gain access to Federal Government contracts, to
determine whether the programs and relationships are effectively
supporting the goal of increasing the participation of small business
concerns in Government contracting.
(b) Matters To Be Studied.--The study conducted under this section
shall include--
(1) a review of a broad cross-section of industries; and
(2) an evaluation of--
(A) how each Federal agency carrying out a program
described in subsection (a) administers and monitors
the program;
(B) whether there are systems in place to ensure
that the mentor-protege relationship, or similar
affiliation, promotes real gain to the protege, and is
not just a mechanism to enable participants that would
not otherwise qualify under section 8(a) of the Small
Business Act (15 U.S.C. 637(a)) to receive contracts
under that section; and
(C) the degree to which protege businesses become
able to compete for Federal contracts without the
assistance of a mentor.
(c) Report to Congress.--Not later than 180 days after the date of
enactment of this Act, the Comptroller General shall submit to the
Committee on Small Business and Entrepreneurship of the Senate and the
Committee on Small Business of the House of Representatives a report on
the results of the study conducted under this section.
SEC. 406. POLICY ON SUPPORT OF COMPETITIVE ENTERPRISE SYSTEM.
(a) Finding.--Congress finds that the competitive enterprise
system, including small business concerns, is--
(1) characterized by individual freedom and initiative; and
(2) the primary source of economic strength of the United
States.
(b) Policy.--Section 2 of the Small Business Act (15 U.S.C. 631) is
amended by adding at the end the following:
``(k) Policy on Support of Competitive Enterprise System.--It is
the declared policy of Congress that the Federal Government--
``(1) should support the competitive enterprise system of
the United States, including small business concerns;
``(2) should not compete with the citizens of the United
States;
``(3) should rely on commercial sources to supply the
products and services required by the Federal Government; and
``(4) should avoid starting or carrying out any activity
that provides a product or service that can be procured more
effectively and efficiently from a nongovernmental source.''.
SEC. 407. CONTRACTING GOALS REPORTS.
Section 15(h)(2) of the Small Business Act (15 U.S.C. 644(h)(2)) is
amended by striking ``submit them'' and all that follows through ``the
following:'' and inserting ``submit to the President and the Committee
on Small Business and Entrepreneurship of the Senate and the Committee
on Small Business of the House of Representatives the compilation and
analysis, which shall include the following:''.
SEC. 408. SURETY BONDS.
Section 508(f) of division A of the American Recovery and
Reinvestment Act of 2009 (15 U.S.C. 694a note) is repealed.
Calendar No. 635
111th CONGRESS
2d Session
S. 2989
[Report No. 111-343]
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A BILL
To improve the Small Business Act, and for other purposes.
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September 29, 2010
Reported with an amendment