    [United States Statutes at Large, Volume 134, 116th Congress, 2nd Session]
    [From the U.S. Government Publishing Office, www.gpo.gov]

    Public Law 116-183
    116th Congress

    An Act

    To amend title 38, United States Code, to improve the oversight of
    contracts awarded by the Secretary of Veterans Affairs to small business
    concerns owned and controlled by veterans, 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 ``Protecting Business Opportunities for
    Veterans Act of 2019''.
    SEC. 2. LIMITATIONS ON SUBCONTRACTS UNDER CONTRACTS WITH SMALL
    BUSINESS CONCERNS OWNED AND CONTROLLED BY
    VETERANS.

    (a) In General.--Section 8127 of title 38, United States Code, is
    amended--
    (1) by redesignating subsection (k) as subsection (l); and
    (2) by inserting after subsection (j) the following new
    subsection (k):

    ``(k) <>  Limitations on Subcontracting.--
    (1)(A) The requirements applicable to a covered small business concern
    under section 46 of the Small Business Act (15 U.S.C. 657s) shall apply
    with respect to a small business concern owned and controlled by
    veterans that is awarded a contract under this section.

    ``(B) <>  For purposes of applying
    the requirements of section 46 of the Small Business Act (15 U.S.C.
    657s) pursuant to subparagraph (A), the term `similarly situated entity'
    used in such section 46 includes a subcontractor for a small business
    concern owned and controlled by veterans described in such subparagraph
    (A).

    ``(2) <>  The Secretary may award
    a contract under this section only after the Secretary obtains from the
    offeror a certification that the offeror will comply with the
    requirements described in paragraph (1)(A) if awarded the contract. Such
    certification shall--
    ``(A) <>  specify the exact
    performance requirements applicable under such paragraph; and
    ``(B) explicitly acknowledge that the certification is
    subject to section 1001 of title 18.

    ``(3)(A) The Director of Small and Disadvantaged Business
    Utilization for the Department, established pursuant to section 15(k) of
    the Small Business Act (15 U.S.C. 644(k)), and the Chief Acquisition
    Officer of the Department, established pursuant to section 1702 of title
    41, shall jointly implement a process using the systems described in
    section 16(g)(2) of the Small Business Act (15 U.S.C. 645(g)(2)), and
    any other relevant systems available, to monitor compliance with this
    subsection.

    [[Page 896]]

    ``(B) The Director of Small and Disadvantaged Business Utilization
    and the Chief Acquisition Officer shall jointly refer any violations or
    suspected violations of this subsection to the Inspector General of the
    Department.
    ``(C) <>  If the Secretary
    determines, in consultation with the Inspector General of the
    Department, that a small business concern that is awarded a contract
    under this section did not act in good faith with respect to the
    requirements described in paragraph (1)(A), the small business concern
    shall be subject to any or all of the following consequences--
    ``(i) referral to the Debarment and Suspension Committee of
    the Department;
    ``(ii) a fine under section 16(g)(1) of the Small Business
    Act (15 U.S.C. 645(g)(1)); and
    ``(iii) prosecution for violating section 1001 of title 18.

    ``(D) <>  Not later than
    November 30 for each of fiscal years 2021 through 2025, the Inspector
    General shall submit to the Committees on Veterans' Affairs of the
    Senate and House of Representatives a report for the fiscal year
    preceding the fiscal year during which the report is submitted that
    includes, for the fiscal year covered by the report--
    ``(i) the number of referred violations and suspected
    violations received under subparagraph (B); and
    ``(ii) the disposition of such referred violations,
    including the number of small business concerns suspended or
    debarred from Federal contracting or referred to the Attorney
    General for prosecution.''.

    (b) <>  Application.--Subsection (k) of
    section 8127 of title 38, United States Code, as added by subsection
    (a), shall apply with respect to a contract entered into after the date
    of the enactment of this Act.

    Approved October 30, 2020.

    LEGISLATIVE HISTORY--H.R. 561 (S. 3282):
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    CONGRESSIONAL RECORD, Vol. 166 (2020):
    Feb. 25, considered and passed House.
    Sept. 30, considered and passed Senate.