[Congressional Bills 112th Congress]
[From the U.S. Government Publishing Office]
[H.R. 2974 Introduced in House (IH)]

112th CONGRESS
  1st Session
                                H. R. 2974

To amend title 49, United States Code, to require that not less than 10 
   percent of the amounts made available for certain high-speed rail 
    projects be expended through small business concerns owned and 
controlled by socially and economically disadvantaged individuals, and 
                          for other purposes.


_______________________________________________________________________


                    IN THE HOUSE OF REPRESENTATIVES

                           September 20, 2011

   Ms. Moore (for herself and Ms. Lee of California) introduced the 
 following bill; which was referred to the Committee on Transportation 
and Infrastructure, and in addition to the Committee on Small Business, 
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 amend title 49, United States Code, to require that not less than 10 
   percent of the amounts made available for certain high-speed rail 
    projects be expended through small business concerns owned and 
controlled by socially and economically disadvantaged individuals, 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. FINDINGS.

    Congress finds the following:
            (1) Encouraging the participation in Federal contracting of 
        small businesses owned and controlled by socially and 
        economically disadvantaged individuals is in the Federal 
        Government's interest, helps spur competition and innovation, 
        and supports community-level economic revitalization and 
        entrepreneurship.
            (2) Small businesses are key engines of economic growth, 
        but they have had difficulties accessing Federal contracting 
        and procurement opportunities and participating in federally 
        funded projects, particularly in the area of transportation.
            (3) Congress has supported efforts to ensure that small 
        businesses owned and controlled by socially and economically 
        disadvantaged individuals are regular participants in projects 
        funded by agencies throughout the Federal Government.
            (4) The United States Department of Transportation has used 
        Disadvantaged Business Enterprise programs to ensure 
        nondiscrimination in the award and administration of contracts 
        by entities receiving funds through the Department's highway, 
        transit, and airport financial assistance programs.
            (5) Congress and the Department have also worked to ensure 
        that--
                    (A) Disadvantaged Business Enterprise programs are 
                narrowly tailored to provide a level playing field on 
                which small businesses owned and controlled by socially 
                and economically disadvantaged individuals can compete 
                fairly for contracts awarded by entities receiving 
                Department assistance;
                    (B) only small businesses that meet the eligibility 
                requirements for Disadvantaged Business Enterprise 
                programs are permitted to participate in such programs;
                    (C) Disadvantaged Business Enterprise programs 
                assist the development of small businesses that can 
                compete successfully in the marketplace outside of such 
                programs; and
                    (D) recipients of Department assistance have 
                appropriate flexibility in providing opportunities for 
                small businesses owned and controlled by socially and 
                economically disadvantaged individuals.
            (6) Congress has supported efforts to encourage veteran-
        owned small businesses to participate in Federal contracting 
        and procurement opportunities, including by creating and 
        strengthening programs and institutions for veterans who own or 
        operate small businesses and requiring the President to 
        establish an annual Government-wide goal of at least 3 percent 
        for the award of procurement contracts to small businesses 
        owned by service-disabled veterans.

SEC. 2. PARTICIPATION OF DISADVANTAGED BUSINESS ENTERPRISES IN HIGH-
              SPEED RAIL PROJECTS.

    (a) In General.--Chapter 261 of title 49, United States Code, is 
amended by adding at the end the following new section:
``Sec. 26107. Disadvantaged business enterprises
    ``(a) In General.--Except as provided in subsection (b), not less 
than 10 percent of the amounts made available for any project under 
sections 26101 and 26106 shall be expended through small business 
concerns owned and controlled by socially and economically 
disadvantaged individuals.
    ``(b) Exception.--
            ``(1) Determination by secretary.--If the Secretary 
        determines that the requirement of subsection (a) will prevent 
        the satisfactory completion of a project described in such 
        subsection because of a lack of competitive bids by small 
        business concerns owned and controlled by socially and 
        economically disadvantaged individuals, the Secretary may, with 
        respect to such project, reduce the percentage stated in such 
        subsection to the extent necessary to ensure satisfactory 
        completion of such project.
            ``(2) Report to congress.--If the Secretary reduces the 
        percentage as provided in paragraph (1), the Secretary shall 
        submit to Congress a report describing the reduction and how 
        the Secretary determined that the reduction was necessary to 
        ensure satisfactory completion of the project involved.
    ``(c) Uniform Certification Criteria.--The Secretary shall 
establish minimum uniform criteria for a recipient of funds under 
section 26101 or 26106 to use in certifying whether a small business 
concern qualifies for purposes of this section. Such minimum criteria 
shall include on-site visits, personal interviews, licenses, analysis 
of stock ownership, listing of equipment, analysis of bonding capacity, 
listing of work completed, resume of principal owners, financial 
capacity, and type of work preferred.
    ``(d) Compliance With Court Orders.--Nothing in this section limits 
the eligibility of a person to receive funds made available under 
section 26101 or 26106 if the person is prevented, in whole or in part, 
from satisfying a requirement of this section because a Federal court 
issues a final order finding that such requirement is unconstitutional.
    ``(e) Definitions.--In this section, the following definitions 
apply:
            ``(1) Small business concern.--The term `small business 
        concern' has the meaning given such term in section 3(a) of the 
        Small Business Act (15 U.S.C. 632(a)), except that such term 
        does not include any concern, or group of concerns controlled 
        by the same socially and economically disadvantaged individual 
        or individuals, which has gross receipts over the preceding 3 
        fiscal years averaging in excess of $19,570,000 per year. The 
        Secretary shall adjust annually for inflation the threshold 
        amount in the preceding sentence.
            ``(2) Socially and economically disadvantaged 
        individuals.--The term `socially and economically disadvantaged 
        individuals' has the meaning given such term in section 
        8(d)(3)(C) of the Small Business Act (15 U.S.C. 637(d)(3)(C)) 
        and relevant subcontracting regulations issued under such Act, 
        except that women shall be presumed to be socially and 
        economically disadvantaged individuals.''.
    (b) Clerical Amendment.--The table of sections at the beginning of 
such chapter is amended by inserting after the item relating to section 
26106 the following new item:

``26107. Disadvantaged business enterprises.''.

SEC. 3. SENSE OF CONGRESS REGARDING VETERAN-OWNED SMALL BUSINESSES.

    It is the sense of Congress that the Federal Government should 
continue to encourage participation by veteran-owned small businesses 
in Federal contracting and procurement opportunities and federally 
funded projects, including by making veteran-owned businesses a key 
part of the small business programs of the Department of Transportation 
and other Federal agencies.
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