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15 U.S. Code § 637 - Additional powers | U.S. Code | US Law | LII / Legal Information Institute

LII > U.S. Code > Title 15 > CHAPTER 14A > § 637

15 U.S. Code § 637 - Additional powers
U.S. Code

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(1) It shall be the duty of the Administration and it is hereby
empowered, whenever it determines such action is necessary or
appropriate—
(A) to enter into contracts with the United States Government
and any department, agency, or officer thereof having
procurement powers obligating the Administration to furnish
articles, equipment, supplies, services, or materials to the
Government or to perform construction work for the Government.
In any case in which the Administration certifies to any officer of
the Government having procurement powers that the
Administration is competent and responsible to perform any
specific Government procurement contract to be let by any such
officer, such officer shall be authorized in his discretion to let such
procurement contract to the Administration upon such terms and
conditions as may be agreed upon between the Administration
and the procurement officer. Whenever the Administration and
such procurement officer fail to agree, the matter shall be
submitted for determination to the Secretary or the head of the
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appropriate department or agency by the Administrator. Not later
than 5 days from the date the Administration is notified of a
procurement officer’s adverse decision, the Administration may
notify the contracting officer of the intent to appeal such adverse
decision, and within 15 days of such date the Administrator shall
file a written request for a reconsideration of the adverse decision
with the Secretary of the department or agency head. For the
purposes of this subparagraph, a procurement officer’s adverse
decision includes a decision not to make available for award
pursuant to this subsection a particular procurement requirement
or the failure to agree on the terms and conditions of a contract
to be awarded noncompetitively under the authority of this
subsection. Upon receipt of the notice of intent to appeal, the
Secretary of the department or the agency head shall suspend
further action regarding the procurement until a written decision
on the Administrator’s request for reconsideration has been
issued by such Secretary or agency head, unless such officer
makes a written determination that urgent and compelling
circumstances which significantly affect interests of the United
States will not permit waiting for a reconsideration of the adverse
decision. If the Administrator’s request for reconsideration is
denied, the Secretary of the department or agency head shall
specify the reasons why the selected firm was determined to be
incapable to perform the procurement requirement, and the
findings supporting such determination, which shall be made a
part of the contract file for the requirement. A contract may not
be awarded under this subsection if the award of the contract
would result in a cost to the awarding agency which exceeds a
fair market price;
(B) to arrange for the performance of such procurement
contracts by negotiating or otherwise letting subcontracts to
socially and economically disadvantaged small business concerns
for construction work, services, or the manufacture, supply,
assembly of such articles, equipment, supplies, materials, or
parts thereof, or servicing or processing in connection therewith,
or such management services as may be necessary to enable the
Administration to perform such contracts;
(C) to make an award to a small business concern owned and
controlled by socially and economically disadvantaged individuals
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which has completed its period of Program Participation as
prescribed by section 636(j)(15) of this title, if—
(i) the contract will be awarded as a result of an offer
(including price) submitted in response to a published
solicitation relating to a competition conducted pursuant to
subparagraph (D); and
(ii) the prospective contract awardee was a Program
Participant eligible for award of the contract on the date
specified for receipt of offers contained in the contract
solicitation; and
(D)
(i) A contract opportunity offered for award pursuant to this
subsection shall be awarded on the basis of competition
restricted to eligible Program Participants if—
(I) there is a reasonable expectation that at least two
eligible Program Participants will submit offers and that
award can be made at a fair market price, and
(II) the anticipated award price of the contract (including
options) will exceed $5,000,000 in the case of a contract
opportunity assigned a standard industrial classification
code for manufacturing and $3,000,000 (including options)
in the case of all other contract opportunities.
(ii) The Associate Administrator for Minority Small Business
and Capital Ownership Development, on a nondelegable basis,
is authorized to approve a request from an agency to award a
contract opportunity under this subsection on the basis of a
competition restricted to eligible Program Participants even if
the anticipated award price is not expected to exceed the
dollar amounts specified in clause (i)(II). Such approvals shall
be granted only on a limited basis.

(2) Notwithstanding subsections (a), (b), and (e) of section 3131 of
title 40, no small business concern shall be required to provide any
amount of any bond as a condition of receiving any subcontract
under this subsection if the Administrator determines that such
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amount is inappropriate for such concern in performing such
contract: Provided, That the Administrator shall exercise the
authority granted by the paragraph only if—
(A) the Administration takes such measures as it deems
appropriate for the protection of persons furnishing materials and
labor to a small business receiving any benefit pursuant to this
paragraph;
(B) the Administration assists, insofar as practicable, a small
business receiving the benefits of this paragraph to develop,
within a reasonable period of time, such financial and other
capability as may be needed to obtain such bonds as the
Administration may subsequently require for the successful
completion of any program conducted under the authority of this
subsection;
(C) the Administration finds that such small business is unable to
obtain the requisite bond or bonds from a surety and that no
surety is willing to issue bond or bonds subject to the guarantee
provisions of Title IV of the Small Business Investment Act of
1958 [15 U.S.C. 692 et seq.]; and
(D) the small business is determined to be a start-up concern
and such concern has not been participating in any program
conducted under the authority of this subsection for a period
exceeding one year.
The authority to waive bonds provided in this paragraph (2) may
not be exercised after September 30, 1988.
(3)
(A) Any Program Participant selected by the Administration to
perform a contract to be let noncompetitively pursuant to this
subsection shall, when practicable, participate in any negotiation
of the terms and conditions of such contract.
(B)
(i) For purposes of paragraph (1) a “fair market price” shall
be determined by the agency offering the procurement
requirement to the Administration, in accordance with clauses
(ii) and (iii).
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(ii) The estimate of a current fair market price for a new
procurement requirement, or a requirement that does not
have a satisfactory procurement history, shall be derived from
a price or cost analysis. Such analysis may take into account
prevailing market conditions, commercial prices for similar
products or services, or data obtained from any other agency.
Such analysis shall consider such cost or pricing data as may
be timely submitted by the Administration.
(iii) The estimate of a current fair market price for a
procurement requirement that has a satisfactory procurement
history shall be based on recent award prices adjusted to
insure comparability. Such adjustments shall take into
account differences in quantities, performance times, plans,
specifications, transportation costs, packaging and packing
costs, labor and materials costs, overhead costs, and any
other additional costs which may be deemed appropriate.
(C) An agency offering a procurement requirement for potential
award pursuant to this subsection shall, upon the request of the
Administration, promptly submit to the Administration a written
statement detailing the method used by the agency to estimate
the current fair market price for such contract, identifying the
information, studies, analyses, and other data used by such
agency. The agency’s estimate of the current fair market price
(and any supporting data furnished to the Administration) shall
not be disclosed to any potential offeror (other than the
Administration).
(D) A small business concern selected by the Administration to
perform or negotiate a contract to be let pursuant to this
subsection may request the Administration to protest the
agency’s estimate of the fair market price for such contract
pursuant to paragraph (1)(A).
(4)
(A) For purposes of this section, the term “socially and
economically disadvantaged small business concern” means any
small business concern which meets the requirements of
subparagraph (B) and—
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(i) which is at least 51 per centum unconditionally owned by
—
(I) one or more socially and economically disadvantaged
individuals,
(II) an economically disadvantaged Indian tribe (or a
wholly owned business entity of such tribe), or
(III) an economically disadvantaged Native Hawaiian
organization, or
(ii) in the case of any publicly owned business, at least 51 per
centum of the stock of which is unconditionally owned by—
(I) one or more socially and economically disadvantaged
individuals,
(II) an economically disadvantaged Indian tribe (or a
wholly owned business entity of such tribe), or
(III) an economically disadvantaged Native Hawaiian
organization.

(B) A small business concern meets the requirements of this
subparagraph if the management and daily business operations
of such small business concern are controlled by one or more—
(i) socially and economically disadvantaged individuals
described in subparagraph (A)(i)(I) or subparagraph (A)(ii)(I),
(ii) members of an economically disadvantaged Indian tribe
described in subparagraph (A)(i)(II) or subparagraph (A)(ii)
(II), or
(iii) Native Hawaiian organizations described in subparagraph
(A)(i)(III) or subparagraph (A)(ii)(III).
(C) Each Program Participant shall certify, on an annual basis,
that it meets the requirements of this paragraph regarding
ownership and control.
(5) Socially disadvantaged individuals are those who have been
subjected to racial or ethnic prejudice or cultural bias because of
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their identity as a member of a group without regard to their
individual qualities.
(6)
(A) Economically disadvantaged individuals are those socially
disadvantaged individuals whose ability to compete in the free
enterprise system has been impaired due to diminished capital
and credit opportunities as compared to others in the same
business area who are not socially disadvantaged. In determining
the degree of diminished credit and capital opportunities the
Administration shall consider, but not be limited to, the assets
and net worth of such socially disadvantaged individual. In
determining the economic disadvantage of an Indian tribe, the
Administration shall consider, where available, information such
as the following: the per capita income of members of the tribe
excluding judgment awards, the percentage of the local Indian
population below the poverty level, and the tribe’s access to
capital markets.
(B) Each Program Participant shall annually submit to the
Administration—
(i) a personal financial statement for each disadvantaged
owner;
(ii) a record of all payments made by the Program Participant
to each of its disadvantaged owners or to any person or entity
affiliated with such owners; and
(iii) such other information as the Administration may deem
necessary to make the determinations required by this
paragraph.
(C)
(i) Whenever, on the basis of information provided by a
Program Participant pursuant to subparagraph (B) or
otherwise, the Administration has reason to believe that the
standards to establish economic disadvantage pursuant to
subparagraph (A) have not been met, the Administration shall
conduct a review to determine whether such Program
Participant and its disadvantaged owners continue to be
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impaired in their ability to compete in the free enterprise
system due to diminished capital and credit opportunities
when compared to other concerns in the same business area,
which are not socially disadvantaged.
(ii) If the Administration determines, pursuant to such
review, that a Program Participant and its disadvantaged
owners are no longer economically disadvantaged for the
purpose of receiving assistance under this subsection, the
Program Participant shall be graduated pursuant to section
636(j)(10)(G) of this title subject to the right to a hearing as
provided for under paragraph (9).
(D)
(i) Whenever, on the basis of information provided by a
Program Participant pursuant to subparagraph (B) or
otherwise, the Administration has reason to believe that the
amount of funds or other assets withdrawn from a Program
Participant for the personal benefit of its disadvantaged
owners or any person or entity affiliated with such owners
may have been unduly excessive, the Administration shall
conduct a review to determine whether such withdrawal of
funds or other assets was detrimental to the achievement of
the targets, objectives, and goals contained in such Program
Participant’s business plan.
(ii) If the Administration determines, pursuant to such
review, that funds or other assets have been withdrawn to the
detriment of the Program Participant’s business, the
Administration shall—
(I) initiate a proceeding to terminate the Program
Participant pursuant to section 636(j)(10)(F) of this title,
subject to the right to a hearing under paragraph (9); or
(II) require an appropriate reinvestment of funds or other
assets and such other steps as the Administration may
deem necessary to ensure the protection of the concern.

(E) Whenever the Administration computes personal net worth
for any purpose under this paragraph, it shall exclude from such
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computation—
(i) the value of investments that disadvantaged owners have
in their concerns, except that such value shall be taken into
account under this paragraph when comparing such concerns
to other concerns in the same business area that are owned
by other than socially disadvantaged persons;
(ii) the equity that disadvantaged owners have in their
primary personal residences, except that any portion of such
equity that is attributable to unduly excessive withdrawals
from a Program Participant or a concern applying for program
participation shall be taken into account.

(7)
(A) No small business concern shall be deemed eligible for any
assistance pursuant to this subsection unless the Administration
determines that with contract, financial, technical, and
management support the small business concern will be able to
perform contracts which may be awarded to such concern under
paragraph (1)(C) and has reasonable prospects for success in
competing in the private sector.
(B) Limitations established by the Administration in its
regulations and procedures restricting the award of contracts
pursuant to this subsection to a limited number of standard
industrial classification codes in an approved business plan shall
not be applied in a manner that inhibits the logical business
progression by a participating small business concern into areas
of industrial endeavor where such concern has the potential for
success.
(8) All determinations made pursuant to paragraph (5) with respect
to whether a group has been subjected to prejudice or bias shall be
made by the Administrator after consultation with the Associate
Administrator for Minority Small Business and Capital Ownership
Development. All other determinations made pursuant to paragraphs
(4), (5), (6), and (7) shall be made by the Associate Administrator
for Minority Small Business and Capital Ownership Development
under the supervision of, and responsible to, the Administrator.
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(9)
(A) Subject to the provisions of subparagraph (E), the
Administration, prior to taking any action described in
subparagraph (B), shall provide the small business concern that
is the subject of such action, an opportunity for a hearing on the
record, in accordance with chapter 5 of title 5.
(B) The actions referred to in subparagraph (A) are—
(i) denial of program admission based upon a negative
determination pursuant to paragraph (4), (5), or (6);
(ii) a termination pursuant to section 636(j)(10)(F) of this
title;
(iii) a graduation pursuant to section 636(j)(10)(G) of this
title; and
(iv) the denial of a request to issue a waiver pursuant to
paragraph (21)(B).
(C) The Administration’s proposed action, in any proceeding
conducted under the authority of this paragraph, shall be
sustained unless it is found to be arbitrary, capricious, or contrary
to law.
(D) A decision rendered pursuant to this paragraph shall be the
final decision of the Administration and shall be binding upon the
Administration and those within its employ.
(E) The adjudicator selected to preside over a proceeding
conducted under the authority of this paragraph shall decline to
accept jurisdiction over any matter that—
(i) does not, on its face, allege facts that, if proven to be
true, would warrant reversal or modification of the
Administration’s position;
(ii) is untimely filed;
(iii) is not filed in accordance with the rules of procedure
governing such proceedings; or

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(iv) has been decided by or is the subject of an adjudication
before a court of competent jurisdiction over such matters.
(F) Proceedings conducted pursuant to the authority of this
paragraph shall be completed and a decision rendered, insofar as
practicable, within ninety days after a petition for a hearing is
filed with the adjudicating office.
(10) The Administration shall develop and implement an outreach
program to inform and recruit small business concerns to apply for
eligibility for assistance under this subsection. Such program shall
make a sustained and substantial effort to solicit applications for
certification from small business concerns located in areas of
concentrated unemployment or underemployment or within labor
surplus areas and within States having relatively few Program
Participants and from small disadvantaged business concerns in
industry categories that have not substantially participated in the
award of contracts let under the authority of this subsection.
(11) To the maximum extent practicable, construction subcontracts
awarded by the Administration pursuant to this subsection shall be
awarded within the county or State where the work is to be
performed.
(12)
(A) The Administration shall require each concern eligible to
receive subcontracts pursuant to this subsection to annually
prepare and submit to the Administration a capability statement.
Such statement shall briefly describe such concern’s various
contract performance capabilities and shall contain the name and
telephone number of the Business Opportunity Specialist
assigned such concern. The Administration shall separate such
statements by those primarily dependent upon local contract
support and those primarily requiring a national marketing effort.
Statements primarily dependent upon local contract support shall
be disseminated to appropriate buying activities in the marketing
area of the concern. The remaining statements shall be
disseminated to the Directors of Small and Disadvantaged
Business Utilization for the appropriate agencies who shall further
distribute such statements to buying activities with such agencies
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that may purchase the types of items or services described on
the capability statements.
(B) Contracting activities receiving capability statements shall,
within 60 days after receipt, contact the relevant Business
Opportunity Specialist to indicate the number, type, and
approximate dollar value of contract opportunities that such
activities may be awarding over the succeeding 12-month period
and which may be appropriate to consider for award to those
concerns for which it has received capability statements.
(C) Each executive agency reporting to the Federal Procurement
Data System contract actions with an aggregate value in excess
of $50,000,000 in fiscal year 1988, or in any succeeding fiscal
year, shall prepare a forecast of expected contract opportunities
or classes of contract opportunities for the next and succeeding
fiscal years that small business concerns, including those owned
and controlled by socially and economically disadvantaged
individuals, are capable of performing. Such forecast shall be
periodically revised during such year. To the extent such
information is available, the agency forecasts shall specify:
(i) The approximate number of individual contract
opportunities (and the number of opportunities within a
class).
(ii) The approximate dollar value, or range of dollar values,
for each contract opportunity or class of contract
opportunities.
(iii) The anticipated time (by fiscal year quarter) for the
issuance of a procurement request.
(iv) The activity responsible for the award and administration
of the contract.
(D) The head of each executive agency subject to the provisions
of subparagraph (C) shall within 10 days of completion furnish
such forecasts to—
(i) the Director of the Office of Small and Disadvantaged
Business Utilization established pursuant to section 644(k) of
this title for such agency; and
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(ii) the Administrator.
(E) The information reported pursuant to subparagraph (D) may
be limited to classes of items and services for which there are
substantial annual purchases.
(F) Such forecasts shall be available to small business concerns.
(13) For purposes of this subsection, the term “Indian tribe” means
any Indian tribe, band, nation, or other organized group or
community of Indians, including any Alaska Native village or regional
or village corporation (within the meaning of the Alaska Native
Claims Settlement Act [43 U.S.C. 1601 et seq.]) which—
(A) is recognized as eligible for the special programs and services
provided by the United States to Indians because of their status
as Indians, or
(B) is recognized as such by the State in which such tribe, band,
nation, group, or community resides.
(14) L
.—
A concern may not be awarded a contract under this subsection as a
small business concern unless the concern agrees to satisfy the
requirements of section 657s of this title.
(15) For purposes of this subsection, the term “Native Hawaiian
Organization” means any community service organization serving
Native Hawaiians in the State of Hawaii which—
(A) is a nonprofit corporation that has filed articles of
incorporation with the director (or the designee thereof) of the
Hawaii Department of Commerce and Consumer Affairs, or any
successor agency,
(B) is controlled by Native Hawaiians, and
(C) whose business activities will principally benefit such Native
Hawaiians.
(16)

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(A) The Administration shall award sole source contracts under
this section to any small business concern recommended by the
procuring agency offering the contract opportunity if—
(i) the Program Participant is determined to be a responsible
contractor with respect to performance of such contract
opportunity;
(ii) the award of such contract would be consistent with the
Program Participant’s business plan; and
(iii) the award of the contract would not result in the Program
Participant exceeding the requirements established by section
636(j)(10)(I) of this title.
(B) To the maximum extent practicable, the Administration shall
promote the equitable geographic distribution of sole source
contracts awarded pursuant to this subsection.
(17)
(A) An otherwise responsible business concern that is in
compliance with the requirements of subparagraph (B) shall not
be denied the opportunity to submit and have considered its offer
for any procurement contract, which contract has as its principal
purpose the supply of a product to be let pursuant to this
subsection, subsection (m), section 644(a) of this title, section
657a of this title, or section 657f of this title, solely because such
concern is other than the actual manufacturer or processor of the
product to be supplied under the contract.
(B) To be in compliance with the requirements referred to in
subparagraph (A), such a business concern shall—
(i) be primarily engaged in the wholesale or retail trade;
(ii) be a small business concern under the numerical size
standard for the Standard Industrial Classification Code
assigned to the contract solicitation on which the offer is being
made;
(iii) be a regular dealer, as defined pursuant to section
35(a) [1] of title 41 (popularly referred to as the Walsh-Healey
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Public Contracts Act), in the product to be offered the
Government or be specifically exempted from such section by
section 636(j)(13)(C) of this title; and
(iv) represent that it will supply the product of a domestic
small business manufacturer or processor, unless a waiver of
such requirement is granted—
(I) by the Administrator, after reviewing a determination
by the contracting officer that no small business
manufacturer or processor can reasonably be expected to
offer a product meeting the specifications (including period
for performance) required of an offeror by the solicitation;
or
(II) by the Administrator for a product (or class of
products), after determining that no small business
manufacturer or processor is available to participate in the
Federal procurement market.

(C) Limitation.—
This paragraph shall not apply to a contract that has as its
principal purpose the acquisition of services or construction.
(18)
(A) No person within the employ of the Administration shall,
during the term of such employment and for a period of two
years after such employment has been terminated, engage in any
activity or transaction specified in subparagraph (B) with respect
to any Program Participant during such person’s term of
employment, if such person participated personally (either
directly or indirectly) in decision-making responsibilities relating
to such Program Participant or with respect to the administration
of any assistance provided to Program Participants generally
under this subsection, section 636(j)(10) of this title, or section
636(a)(20) of this title.
(B) The activities and transactions prohibited by subparagraph
(A) include—
(i) the buying, selling, or receiving (except by inheritance) of
any legal or beneficial ownership of stock or any other
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ownership interest or the right to acquire any such interest;
(ii) the entering into or execution of any written or oral
agreement (whether or not legally enforceable) to purchase or
otherwise obtain any right or interest described in clause (i);
or
(iii) the receipt of any other benefit or right that may be an
incident of ownership.
(C)
(i) The employees designated in clause (ii) shall annually
submit a written certification to the Administration regarding
compliance with the requirements of this paragraph.
(ii) The employees referred to in clause (i) are—
(I) regional administrators;
(II) district directors;
(III) the Associate Administrator for Minority Small
Business and Capital Ownership Development;
(IV) employees whose principal duties relate to the award
of contracts or the provision of other assistance pursuant
to this subsection or section 636(j)(10) of this title; and
(V) such other employees as the Administrator may deem
appropriate.
(iii) Any present or former employee of the Administration
who violates this paragraph shall be subject to a civil penalty,
assessed by the Attorney General, that shall not exceed 300
per centum of the maximum amount of gain such employee
realized or could have realized as a result of engaging in
those activities and transactions prescribed [2] by
subparagraph (B).
(iv) In addition to any other remedy or sanction provided for
under law or regulation, any person who falsely certifies
pursuant to clause (i) shall be subject to a civil penalty under

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the Program Fraud Civil Remedies Act of 1986 (31 U.S.C.
3801–3812).

(19)
(A) Any employee of the Administration who has authority to
take, direct others to take, recommend, or approve any action
with respect to any program or activity conducted pursuant to
this subsection or section 636(j) of this title, shall not, with
respect to any such action, exercise or threaten to exercise such
authority on the basis of the political activity or affiliation of any
party. Employees of the Administration shall expeditiously report
to the Inspector General of the Administration any such action for
which such employee’s participation has been solicitated [3] or
directed.
(B) Any employee who willfully and knowingly violates
subparagraph (A) shall be subject to disciplinary action which
may consist of separation from service, reduction in grade,
suspension, or reprimand.
(C) Subparagraph (A) shall not apply to any action taken as a
penalty or other enforcement of a violation of any law, rule, or
regulation prohibiting or restricting political activity.
(D) The prohibitions of subparagraph (A), and remedial
measures provided for under subparagraphs (B) and (C) with
regard to such prohibitions, shall be in addition to, and not in lieu
of, any other prohibitions, measures or liabilities that may arise
under any other provision of law.
(20)
(A) Small business concerns participating in the Program under
section 636(j)(10) of this title and eligible to receive contracts
pursuant to this section shall semiannually report to their
assigned Business Opportunity Specialist the following:
(i) A listing of any agents, representatives, attorneys,
accountants, consultants, and other parties (other than
employees) receiving compensation to assist in obtaining a
Federal contract for such Program Participant.
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(ii) The amount of compensation received by any person
listed under clause (i) during the relevant reporting period and
a description of the activities performed in return for such
compensation.
(B) The Business Opportunity Specialist shall promptly review
and forward such report to the Associate Administrator for
Minority Small Business and Capital Ownership Development. Any
report that raises a suspicion of improper activity shall be
reported immediately to the Inspector General of the
Administration.
(C) The failure to submit a report pursuant to the requirements
of this subsection and applicable regulations shall be considered
“good cause” for the initiation of a termination proceeding
pursuant to section 636(j)(10)(F) of this title.
(21)
(A) Subject to the provisions of subparagraph (B), a contract
(including options) awarded pursuant to this subsection shall be
performed by the concern that initially received such contract.
Notwithstanding the provisions of the preceding sentence, if the
owner or owners upon whom eligibility was based relinquish
ownership or control of such concern, or enter into any
agreement to relinquish such ownership or control, such contract
or option shall be terminated for the convenience of the
Government, except that no repurchase costs or other damages
may be assessed against such concerns due solely to the
provisions of this subparagraph.
(B) The Administrator may, on a nondelegable basis, waive the
requirements of subparagraph (A) only if one of the following
conditions exist:
(i) When it is necessary for the owners of the concern to
surrender partial control of such concern on a temporary basis
in order to obtain equity financing.
(ii) The head of the contracting agency for which the contract
is being performed certifies that termination of the contract

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would severely impair attainment of the agency’s program
objectives or missions;
(iii) Ownership and control of the concern that is performing
the contract will pass to another small business concern that
is a program participant, but only if the acquiring firm would
otherwise be eligible to receive the award directly pursuant to
subsection (a);
(iv) The individuals upon whom eligibility was based are no
longer able to exercise control of the concern due to
incapacity or death; or
(v) When, in order to raise equity capital, it is necessary for
the disadvantaged owners of the concern to relinquish
ownership of a majority of the voting stock of such concern,
but only if—
(I) such concern has exited the Capital Ownership
Development Program;
(II) the disadvantaged owners will maintain ownership of
the largest single outstanding block of voting stock
(including stock held by affiliated parties); and
(III) the disadvantaged owners will maintain control of
daily business operations.

(C) The Administrator may waive the requirements of
subparagraph (A) if—
(i) in the case of subparagraph (B) (i), (ii) and (iv), he is
requested to do so prior to the actual relinquishment of
ownership or control; and
(ii) in the case of subparagraph (B)(iii), he is requested to do
so as soon as possible after the incapacity or death occurs.
(D) Concerns performing contracts awarded pursuant to this
subsection shall be required to notify the Administration
immediately upon entering an agreement (either oral or in
writing) to transfer all or part of its stock or other ownership
interest to any other party.
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(E) Notwithstanding any other provision of law, for the purposes
of determining ownership and control of a concern under this
section, any potential ownership interests held by investment
companies licensed under the Small Business Investment Act of
1958 [15 U.S.C. 661 et seq.] shall be treated in the same
manner as interests held by the individuals upon whom eligibility
is based.

(b) P

;
-

It shall also be the duty of the Administration and it is empowered,
whenever it determines such action is necessary—
(1)
(A) to provide—
(i) technical, managerial, and informational aids to small
business concerns—
(I) by advising and counseling on matters in connection
with Government procurement and policies, principles, and
practices of good management;
(II) by cooperating and advising with—
(aa) voluntary business, professional, educational, and
other nonprofit organizations, associations, and
institutions (except that the Administration shall take
such actions as it determines necessary to ensure that
such cooperation does not constitute or imply an
endorsement by the Administration of the organization
or its products or services, and shall ensure that it
receives appropriate recognition in all printed
materials); and
(bb) other Federal and State agencies;
(III) by maintaining a clearinghouse for information on
managing, financing, and operating small business
enterprises; and

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(IV) by disseminating such information, including through
recognition events, and by other activities that the
Administration determines to be appropriate; and
(ii) through cooperation with a profit-making concern
(referred to in this paragraph as a “cosponsor”), training,
information, and education to small business concerns, except
that the Administration shall—
(I) take such actions as it determines to be appropriate to
ensure that—
(aa) the Administration receives appropriate recognition
and publicity;
(bb) the cooperation does not constitute or imply an
endorsement by the Administration of any product or
service of the cosponsor;
(cc) unnecessary promotion of the products or services
of the cosponsor is avoided; and
(dd) utilization of any one cosponsor in a marketing
area is minimized; and
(II) develop an agreement, executed on behalf of the
Administration by an employee of the Administration in
Washington, the District of Columbia, that provides, at a
minimum, that—
(aa) any printed material to announce the
cosponsorship or to be distributed at the cosponsored
activity, shall be approved in advance by the
Administration;
(bb) the terms and conditions of the cooperation shall
be specified;
(cc) only minimal charges may be imposed on any
small business concern to cover the direct costs of
providing the assistance;
(dd) the Administration may provide to the
cosponsorship mailing labels, but not lists of names and
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addresses of small business concerns compiled by the
Administration;
(ee) all printed materials containing the names of both
the Administration and the cosponsor shall include a
prominent disclaimer that the cooperation does not
constitute or imply an endorsement by the
Administration of any product or service of the
cosponsor; and
(ff) the Administration shall ensure that it receives
appropriate recognition in all cosponsorship printed
materials.

(B) To establish, conduct, and publicize, and to recruit, select,
and train volunteers for (and to enter into contracts, grants, or
cooperative agreements therefor), volunteer programs, including
a Service Corps of Retired Executives (SCORE) and an Active
Corps of Executive (ACE) for the purposes of subparagraph (A). To
facilitate the implementation of such volunteer programs the
Administration shall maintain at its headquarters and pay the
salaries, benefits, and expenses of a volunteer and professional
staff to manage and oversee the program. Any such payments
made pursuant to this subparagraph shall be effective only to
such extent or in such amounts as are provided in advance in
appropriation Acts. Notwithstanding any other provision of law,
SCORE may solicit cash and in-kind contributions from the private
sector to be used to carry out its functions under this chapter, and
may use payments made by the Administration pursuant to this
subparagraph for such solicitation and the management of the
contributions received.
(C) To allow any individual or group of persons participating with
it in furtherance of the purposes of subparagraphs (A) and (B) to
use the Administration’s office facilities and related material and
services as the Administration deems appropriate, including
clerical and stenographic services:
(i) such volunteers, while carrying out activities under this
paragraph shall be deemed Federal employees for the
purposes of the Federal tort claims provisions in title 28; and
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for the purposes of subchapter I of chapter 81 of title 5
(relative to compensation to Federal employees for work
injuries) shall be deemed civil employees of the United States
within the meaning of the term “employee” as defined in
section 8101 of title 5, and the provisions of that subchapter
shall apply except that in computing compensation benefits for
disability or death, the monthly pay of a volunteer shall be
deemed that received under the entrance salary for a grade
GS–11 employee;
(ii) the Administrator is authorized to reimburse such
volunteers for all necessary out-of-pocket expenses incident to
their provision of services under this chapter, or in connection
with attendance at meetings sponsored by the Administration,
or for the cost of malpractice insurance, as the Administrator
shall determine, in accordance with regulations which he or
she shall prescribe, and, while they are carrying out such
activities away from their homes or regular places of business,
for travel expenses (including per diem in lieu of subsistence)
as authorized by section 5703 of title 5 for individuals serving
without pay; and
(iii) such volunteers shall in no way provide services to a
client of such Administration with a delinquent loan
outstanding, except upon a specific request signed by such
client for assistance in connection with such matter.
(D) Notwithstanding any other provision of law, no payment for
supportive services or reimbursement of out-of-pocket expenses
made to persons serving pursuant to this paragraph shall be
subject to any tax or charge or be treated as wages or
compensation for the purposes of unemployment, disability,
retirement, public assistance, or similar benefit payments, or
minimum wage laws.
(E) In carrying out its functions under subparagraph (A), to make
grants (including contracts and cooperative agreements) to any
public or private institution of higher education for the
establishment and operation of a small business institute, which
shall be used to provide business counseling and assistance to
small business concerns through the activities of students enrolled
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at the institution, which students shall be entitled to receive
educational credits for their activities.
(F) Notwithstanding any other provision of law and pursuant to
regulations which the Administrator shall prescribe, counsel may
be employed and counsel fees, court costs, bail, and other
expenses incidental to the defense of volunteers may be paid in
judicial or administrative proceedings arising directly out of the
performance of activities pursuant to this paragraph, to which
volunteers have been made parties.
(G) In carrying out its functions under this chapter and to carry
out the activities authorized by title IV of the Women’s Business
Ownership Act of 1988 [15 U.S.C. 7101 et seq.], the
Administration is authorized to accept, in the name of the
Administration, and employ or dispose of in furtherance of the
purposes of this chapter, any money or property, real, personal, or
mixed, tangible, or intangible, received by gift, devise, bequest,
or otherwise; and, further, to accept gratuitous services and
facilities.
(2) to make a complete inventory of all productive facilities of smallbusiness concerns or to arrange for such inventory to be made by
any other governmental agency which has the facilities. In making
any such inventory, the appropriate agencies in the several States
may be requested to furnish an inventory of the productive facilities
of small-business concerns in each respective State if such an
inventory is available or in prospect;
(3) to coordinate and to ascertain the means by which the
productive capacity of small-business concerns can be most
effectively utilized;
(4) to consult and cooperate with officers of the Government having
procurement or property disposal powers, in order to utilize the
potential productive capacity of plants operated by small-business
concerns;
(5) to obtain information as to methods and practices which
Government prime contractors utilize in letting subcontracts and to
take action to encourage the letting of subcontracts by prime

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contractors to small-business concerns at prices and on conditions
and terms which are fair and equitable;
(6) to determine within any industry the concerns, firms, persons,
corporations, partnerships, cooperatives, or other business
enterprises which are to be designated “small-business concerns” for
the purpose of effectuating the provisions of this chapter. To carry out
this purpose the Administrator, when requested to do so, shall issue
in response to each such request an appropriate certificate certifying
an individual concern as a “small-business concern” in accordance
with the criteria expressed in this chapter. Any such certificate shall
be subject to revocation when the concern covered thereby ceases to
be a “small-business concern”. Offices of the Government having
procurement or lending powers, or engaging in the disposal of
Federal property or allocating materials or supplies, or promulgating
regulations affecting the distribution of materials or supplies, shall
accept as conclusive the Administration’s determination as to which
enterprises are to be designated “small-business concerns”, as
authorized and directed under this paragraph;
(7)
(A) To certify to Government procurement officers, and officers
engaged in the sale and disposal of Federal property, with respect
to all elements of responsibility, including, but not limited to,
capability, competency, capacity, credit, integrity, perseverance,
and tenacity, of any small business concern or group of such
concerns to receive and perform a specific Government contract.
A Government procurement officer or an officer engaged in the
sale and disposal of Federal property may not, for any reason
specified in the preceding sentence preclude any small business
concern or group of such concerns from being awarded such
contract without referring the matter for a final disposition to the
Administration.
(B) If a Government procurement officer finds that an otherwise
qualified small business concern may be ineligible due to the
provisions of section 35(a) 1 of title 41, he shall notify the
Administration in writing of such finding. The Administration shall
review such finding and shall either dismiss it and certify the small
business concern to be an eligible Government contractor for a
specific Government contract or if it concurs in the finding,
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forward the matter to the Secretary of Labor for final disposition,
in which case the Administration may certify the small business
concern only if the Secretary of Labor finds the small business
concern not to be in violation.
(C) In any case in which a small business concern or group of
such concerns has been certified by the Administration pursuant
to (A) or (B) to be a responsible or eligible Government contractor
as to a specific Government contract, the officers of the
Government having procurement or property disposal powers are
directed to accept such certification as conclusive, and shall let
such Government contract to such concern or group of concerns
without requiring it to meet any other requirement of
responsibility or eligibility. Notwithstanding the first sentence of
this subparagraph, the Administration may not establish an
exemption from referral or notification or refuse to accept a
referral or notification from a Government procurement officer
made pursuant to subparagraph (A) or (B) of this paragraph, but
nothing in this paragraph shall require the processing of an
application for certification if the small business concern to which
the referral pertains declines to have the application processed.
(8) to obtain from any Federal department, establishment, or agency
engaged in procurement or in the financing of procurement or
production such reports concerning the letting of contracts and
subcontracts and the making of loans to business concerns as it may
deem pertinent in carrying out its functions under this chapter;
(9) to obtain from any Federal department, establishment, or agency
engaged in the disposal of Federal property such reports concerning
the solicitation of bids, time of sale, or otherwise as it may deem
pertinent in carrying out its functions under this chapter;
(10) to obtain from suppliers of materials information pertaining to
the method of filling orders and the bases for allocating their supply,
whenever it appears that any small business is unable to obtain
materials from its normal sources;
(11) to make studies and recommendations to the appropriate
Federal agencies to insure that a fair proportion of the total
purchases and contracts for property and services for the
Government be placed with small-business enterprises, to insure that
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a fair proportion of Government contracts for research and
development be placed with small-business concerns, to insure that a
fair proportion of the total sales of Government property be made to
small-business concerns, and to insure a fair and equitable share of
materials, supplies, and equipment to small-business concerns;
(12) to consult and cooperate with all Government agencies for the
purpose of insuring that small-business concerns shall receive fair
and reasonable treatment from such agencies;
(13) to establish such advisory boards and committees as may be
necessary to achieve the purposes of this chapter and of the Small
Business Investment Act of 1958 [15 U.S.C. 661 et seq.]; to call
meetings of such boards and committees from time to time; to pay
the transportation expenses and a per diem allowance in accordance
with section 5703 of title 5 to the members of such boards and
committees for travel and subsistence expenses incurred at the
request of the Administration in connection with travel to points more
than fifty miles distant from the homes of such members in attending
the meeting of such boards and committees; and to rent temporarily,
within the District of Columbia or elsewhere, such hotel or other
accommodations as are needed to facilitate the conduct of such
meetings;
(14) to provide at the earliest practicable time such information and
assistance as may be appropriate, including information concerning
eligibility for loans under section 636(b)(3) of this title, to local public
agencies (as defined in section 110(h) of the Housing Act of 1949 [42
U.S.C. 1460(h)]) and to small-business concerns to be displaced by
federally aided urban renewal projects in order to assist such smallbusiness concerns in reestablishing their operations;
(15) to disseminate, without regard to the provisions of section 3204
of title 39 data and information, in such form as it shall deem
appropriate, to public agencies, private organizations, and the
general public;
(16) to make studies of matters materially affecting the competitive
strength of small business, and of the effect on small business of
Federal laws, programs, and regulations, and to make
recommendations to the appropriate Federal agency or agencies for

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the adjustment of such programs and regulations to the needs of
small business; and
(17) to make grants to, and enter into contracts and cooperative
agreements with, educational institutions, private businesses,
veterans’ nonprofit community-based organizations, and Federal,
State, and local departments and agencies for the establishment and
implementation of outreach programs for disabled veterans (as
defined in section 4211(3) of title 38), veterans, and members of a
reserve component of the Armed Forces.
(c) [R

]

(d) P

;
;
;

;

;
;

;

C
(1) It is the policy of the United States that small business concerns,
small business concerns owned and controlled by veterans, small
business concerns owned and controlled by service-disabled
veterans, qualified HUBZone small business concerns, small business
concerns owned and controlled by socially and economically
disadvantaged individuals, and small business concerns owned and
controlled by women, shall have the maximum practicable
opportunity to participate in the performance of contracts let by any
Federal agency, including contracts and subcontracts for subsystems,
assemblies, components, and related services for major systems. It
is further the policy of the United States that its prime contractors
establish procedures to ensure the timely payment of amounts due
pursuant to the terms of their subcontracts with small business
concerns, small business concerns owned and controlled by veterans,
small business concerns owned and controlled by service-disabled
veterans, qualified HUBZone small business concerns, small business
concerns owned and controlled by socially and economically
disadvantaged individuals, and small business concerns owned and
controlled by women.
(2) The clause stated in paragraph (3) shall be included in all
contracts let by any Federal agency except any contract which—
(A) does not exceed the simplified acquisition threshold;
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(B) including all subcontracts under such contracts will be
performed entirely outside of any State, territory, or possession of
the United States, the District of Columbia, or the Commonwealth
of Puerto Rico; or
(C) is for services which are personal in nature.
(3) The clause required by paragraph (2) shall be as follows:
“(A) It is the policy of the United States that small business
concerns, small business concerns owned and controlled by
veterans, small business concerns owned and controlled by
service-disabled veterans, qualified HUBZone small business
concerns, small business concerns owned and controlled by
socially and economically disadvantaged individuals, and small
business concerns owned and controlled by women shall have the
maximum practicable opportunity to participate in the
performance of contracts let by any Federal agency, including
contracts and subcontracts for subsystems, assemblies,
components, and related services for major systems. It is further
the policy of the United States that its prime contractors establish
procedures to ensure the timely payment of amounts due
pursuant to the terms of their subcontracts with small business
concerns, small business concerns owned and controlled by
veterans, small business concerns owned and controlled by
service-disabled veterans, qualified HUBZone small business
concerns, small business concerns owned and controlled by
socially and economically disadvantaged individuals, and small
business concerns owned and controlled by women.
“(B) The contractor hereby agrees to carry out this policy in the
awarding of subcontracts to the fullest extent consistent with the
efficient performance of this contract. The contractor further
agrees to cooperate in any studies or surveys as may be
conducted by the United States Small Business Administration or
the awarding agency of the United States as may be necessary to
determine the extent of the contractor’s compliance with this
clause.
“(C) As used in this contract, the term ‘small business concern’
shall mean a small business as defined pursuant to section 3 of
the Small Business Act and relevant regulations promulgated
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pursuant thereto. The term ‘small business concern owned and
controlled by socially and economically disadvantaged individuals’
shall mean a small business concern—
“(i) which is at least 51 per centum owned by one or more
socially and economically disadvantaged individuals; or, in the
case of any publicly owned business, at least 51 per centum of
the stock of which is owned by one or more socially and
economically disadvantaged individuals; and
“(ii) whose management and daily business operations are
controlled by one or more of such individuals.
“The contractor shall presume that socially and economically
disadvantaged individuals include Black Americans, Hispanic
Americans, Native Americans, Asian Pacific Americans, and
other minorities, or any other individual found to be
disadvantaged by the Administration pursuant to section 8(a)
of the Small Business Act.
“(D) The term ‘small business concern owned and controlled by
women’ shall mean a small business concern—
“(i) which is at least 51 per centum owned by one or more
women; or, in the case of any publicly owned business, at
least 51 per centum of the stock of which is owned by one or
more women; and
“(ii) whose management and daily business operations are
controlled by one or more women.
“(E) The term ‘small business concern owned and controlled by
veterans’ shall mean a small business concern—
“(i) which is at least 51 per centum owned by one or more
eligible veterans; or, in the case of any publicly owned
business, at least 51 per centum of the stock of which is
owned by one or more veterans; and
“(ii) whose management and daily business operations are
controlled by such veterans. The contractor shall treat as
veterans all individuals who are veterans within the meaning
of the term under section 3(q) of the Small Business Act.

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“(F) Contractors acting in good faith may rely on written
representations by their subcontractors regarding their status as
either a small business concern, small business concern owned
and controlled by veterans, small business concern owned and
controlled by service-disabled veterans, a small business concern
owned and controlled by socially and economically disadvantaged
individuals, or a small business concern owned and controlled by
women.
“(G) In this contract, the term ‘qualified HUBZone small business
concern’ has the meaning given that term in section 31(b) [4].
“(H) In this contract, the term ‘small business concern owned
and controlled by service-disabled veterans’ has the meaning
given that term in section 3(q) 4.”
(4)
(A) Each solicitation of an offer for a contract to be let by a
Federal agency which is to be awarded pursuant to the
negotiated method of procurement and which may exceed
$1,000,000, in the case of a contract for the construction of any
public facility, or $500,000, in the case of all other contracts,
shall contain a clause notifying potential offering companies of
the provisions of this subsection relating to contracts awarded
pursuant to the negotiated method of procurement.
(B) Before the award of any contract to be let, or any
amendment or modification to any contract let, by any Federal
agency which—
(i) is to be awarded, or was let, pursuant to the negotiated
method of procurement,
(ii) is required to include the clause stated in paragraph (3),
(iii) may exceed $1,000,000 in the case of a contract for the
construction of any public facility, or $500,000 in the case of
all other contracts, and
(iv) which offers subcontracting possibilities,
the apparent successful offeror shall negotiate with the
procurement authority a subcontracting plan which
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incorporates the information prescribed in paragraph (6). The
subcontracting plan shall be included in and made a material
part of the contract.
(C) If, within the time limit prescribed in regulations of the
Federal agency concerned, the apparent successful offeror fails to
negotiate the subcontracting plan required by this paragraph,
such offeror shall become ineligible to be awarded the contract.
Prior compliance of the offeror with other such subcontracting
plans shall be considered by the Federal agency in determining
the responsibility of that offeror for the award of the contract.
(D) No contract shall be awarded to any offeror unless the
procurement authority determines that the plan to be negotiated
by the offeror pursuant to this paragraph provides the maximum
practicable opportunity for small business concerns, qualified
HUBZone small business concerns, small business concerns
owned and controlled by veterans, small business concerns
owned and controlled by service-disabled veterans, small
business concerns owned and controlled by socially and
economically disadvantaged individuals, and small business
concerns owned and controlled by women to participate in the
performance of the contract.
(E) Notwithstanding any other provision of law, every Federal
agency, in order to encourage subcontracting opportunities for
small business concerns, small business concerns owned and
controlled by veterans, small business concerns owned and
controlled by service-disabled veterans, qualified HUBZone small
business concerns, and small business concerns owned and
controlled by the socially and economically disadvantaged
individuals as defined in paragraph (3) of this subsection and for
small business concerns owned and controlled by women, is
hereby authorized to provide such incentives as such Federal
agency may deem appropriate in order to encourage such
subcontracting opportunities as may be commensurate with the
efficient and economical performance of the contract: Provided,
That, this subparagraph shall apply only to contracts let pursuant
to the negotiated method of procurement.
(F)
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(i) Each contract subject to the requirements of this
paragraph or paragraph (5) shall contain a clause for the
payment of liquidated damages upon a finding that a prime
contractor has failed to make a good faith effort to comply
with the requirements imposed on such contractor by this
subsection.
(ii) The contractor shall be afforded an opportunity to
demonstrate a good faith effort regarding compliance prior to
the contracting officer’s final decision regarding the imposition
of damages and the amount thereof. The final decision of a
contracting officer regarding the contractor’s obligation to pay
such damages, or the amounts thereof, shall be subject to
chapter 71 of title 41.
(iii) Each agency shall ensure that the goals offered by the
apparent successful bidder or offeror are attainable in relation
to—
(I) the subcontracting opportunities available to the
contractor, commensurate with the efficient and
economical performance of the contract;
(II) the pool of eligible subcontractors available to fulfill
the subcontracting opportunities; and
(III) the actual performance of such contractor in fulfilling
the subcontracting goals specified in prior plans.

(G) The following factors shall be designated by the Federal
agency as significant factors for purposes of evaluating offers for
a bundled contract where the head of the agency determines that
the contract offers a significant opportunity for subcontracting:
(i) A factor that is based on the rate provided under the
subcontracting plan for small business participation in the
performance of the contract.
(ii) For the evaluation of past performance of an offeror, a
factor that is based on the extent to which the offeror attained
applicable goals for small business participation in the
performance of contracts.
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(5)
(A) Each solicitation of a bid for any contract to be let, or any
amendment or modification to any contract let, by any Federal
agency which—
(i) is to be awarded pursuant to the formal advertising
method of procurement,
(ii) is required to contain the clause stated in paragraph (3)
of this subsection,
(iii) may exceed $1,000,000 in the case of a contract for the
construction of any public facility, or $500,000, in the case of
all other contracts, and
(iv) offers subcontracting possibilities,
shall contain a clause requiring any bidder who is selected to
be awarded a contract to submit to the Federal agency
concerned a subcontracting plan which incorporates the
information prescribed in paragraph (6).
(B) If, within the time limit prescribed in regulations of the
Federal agency concerned, the bidder selected to be awarded the
contract fails to submit the subcontracting plan required by this
paragraph, such bidder shall become ineligible to be awarded the
contract. Prior compliance of the bidder with other such
subcontracting plans shall be considered by the Federal agency in
determining the responsibility of such bidder for the award of the
contract. The subcontracting plan of the bidder awarded the
contract shall be included in and made a material part of the
contract.
(6) Each subcontracting plan required under paragraph (4) or (5)
shall include—
(A) percentage goals for the utilization as subcontractors of small
business concerns, small business concerns owned and controlled
by veterans, small business concerns owned and controlled by
service-disabled veterans, qualified HUBZone small business
concerns, small business concerns owned and controlled by
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socially and economically disadvantaged individuals, and small
business concerns owned and controlled by women;
(B) the name of an individual within the employ of the offeror or
bidder who will administer the subcontracting program of the
offeror or bidder and a description of the duties of such
individual;
(C) a description of the efforts the offeror or bidder will take to
assure that small business concerns, small business concerns
owned and controlled by veterans, small business concerns
owned and controlled by service-disabled veterans, qualified
HUBZone small business concerns, small business concerns
owned and controlled by socially and economically disadvantaged
individuals, and small business concerns owned and controlled by
women will have an equitable opportunity to compete for
subcontracts;
(D) assurances that the offeror or bidder will include the clause
required by paragraph (2) of this subsection in all subcontracts
which offer further subcontracting opportunities, and that the
offeror or bidder will require all subcontractors (except small
business concerns) who receive subcontracts in excess of
$1,000,000 in the case of a contract for the construction of any
public facility, or in excess of $500,000 in the case of all other
contracts, to adopt a plan similar to the plan required under
paragraph (4) or (5), and assurances at a minimum that the
offeror or bidder, and all subcontractors required to maintain
subcontracting plans pursuant to this paragraph, will—
(i) review and approve subcontracting plans submitted by
their subcontractors;
(ii) monitor subcontractor compliance with their approved
subcontracting plans;
(iii) ensure that subcontracting reports are submitted by their
subcontractors when required;
(iv) acknowledge receipt of their subcontractors’ reports;
(v) compare the performance of their subcontractors to
subcontracting plans and goals; and
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(vi) discuss performance with subcontractors when necessary
to ensure their subcontractors make a good faith effort to
comply with their subcontracting plans;
(E) assurances that the offeror or bidder will submit such periodic
reports and cooperate in any studies or surveys as may be
required by the Federal agency or the Administration in order to
determine the extent of compliance by the offeror or bidder with
the subcontracting plan;
(F) a recitation of the types of records the successful offeror or
bidder will maintain to demonstrate procedures which have been
adopted to comply with the requirements and goals set forth in
this plan, including the establishment of source lists of small
business concerns, small business concerns owned and controlled
by veterans, small business concerns owned and controlled by
service-disabled veterans, qualified HUBZone small business
concerns, small business concerns owned and controlled by
socially and economically disadvantaged individuals, and small
business concerns owned and controlled by women; and efforts to
identify and award subcontracts to such small business concerns;
(G) a recitation of the types of records the successful offeror or
bidder will maintain to demonstrate that procedures have been
adopted to substantiate the credit the successful offeror or bidder
will elect to receive under paragraph (16)(A);
(H) a recitation of the types of records the successful offeror or
bidder will maintain to demonstrate procedures which have been
adopted to ensure subcontractors at all tiers comply with the
requirements and goals set forth in the plan established in
accordance with subparagraph (D) of this paragraph, including—
(i) the establishment of source lists of small business
concerns, small business concerns owned and controlled by
veterans, small business concerns owned and controlled by
service-disabled veterans, qualified HUBZone small business
concerns, small business concerns owned and controlled by
socially and economically disadvantaged individuals, and small
business concerns owned and controlled by women; and

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(ii) efforts to identify and award subcontracts to such small
business concerns; and
(I) a representation that the offeror or bidder will—
(i) make a good faith effort to 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; and
(ii) provide to the contracting officer a written explanation if
the offeror or bidder fails to acquire articles, equipment,
supplies, services, or materials or obtain the performance of
construction work as described in clause (i).

(7) The head of the contracting agency shall ensure that—
(A) the agency collects and reports data on the extent to which
contractors of the agency meet the goals and objectives set forth
in subcontracting plans submitted pursuant to this subsection;
and
(B) the agency periodically reviews data collected and reported
pursuant to subparagraph (A) for the purpose of ensuring that
such contractors comply in good faith with the requirements of
this subsection and subcontracting plans submitted by the
contractors pursuant to this subsection.
(8) The provisions of paragraphs (4), (5), and (6) shall not apply to
offerors or bidders who are small business concerns.
(9) M

.—The failure of any contractor or

subcontractor to comply in good faith with—
(A) the clause contained in paragraph (3) of this subsection,
(B) any plan required of such contractor pursuant to the
authority of this subsection to be included in its contract or
subcontract, or
(C) assurances provided under paragraph (6)(E),
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shall be a material breach of such contract or subcontract and
may be considered in any past performance evaluation of the
contractor.
(10) Nothing contained in this subsection shall be construed to
supersede the requirements of Defense Manpower Policy Number 4A
(32A CFR Chap. 1) or any successor policy.
(11) In the case of contracts within the provisions of paragraphs (4),
(5), and (6), the Administration is authorized to—
(A) assist Federal agencies and businesses in complying with
their responsibilities under the provisions of this subsection,
including the formulation of subcontracting plans pursuant to
paragraph (4);
(B) review any solicitation for any contract to be let pursuant to
paragraphs (4) and (5) to determine the maximum practicable
opportunity for small business concerns, small business concerns
owned and controlled by veterans, small business concerns
owned and controlled by service-disabled veterans, qualified
HUBZone small business concerns, small business concerns
owned and controlled by socially and economically disadvantaged
individuals, and small business concerns owned and controlled by
women to participate as subcontractors in the performance of any
contract resulting from any solicitation, and to submit its findings,
which shall be advisory in nature, to the appropriate Federal
agency; and
(C) evaluate compliance with subcontracting plans as a
supplement to evaluations performed by the contracting agency,
either on a contract-by-contract basis or, in the case of
contractors having multiple contracts, on an aggregate basis.
(12) For purposes of determining the attainment of a subcontract
utilization goal under any subcontracting plan entered into with any
executive agency pursuant to this subsection, a mentor firm
providing development assistance to a protege firm under the pilot
Mentor-Protege Program established pursuant to section 831 of the
National Defense Authorization Act for Fiscal Year 1991 (Public Law
101–510; 10 U.S.C. 2301 note [2302 note]) shall be granted credit
for such assistance in accordance with subsection (g) of such section.
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(13) P

S

.—

(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 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 the Federal agency has paid the
prime contractor.
(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).
(C) Performance.—
A contracting officer for a covered contract shall consider the
unjustified 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.—
If the contracting officer for a covered contract determines that a
prime contractor has a history of unjustified, untimely payments
to contractors, the contracting officer shall record the identity of
the contractor in accordance with the regulations promulgated
under subparagraph (E).
(E) Regulations.—Not later than 1 year after September 27,
2010, the Federal Acquisition Regulatory Council established
under section 1302(a) of title 41 shall amend the Federal
Acquisition Regulation issued under section 1303(a) of title 41 to
—
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(i) describe the circumstances under which a contractor may
be determined to have a history of unjustified, untimely
payments to subcontractors;
(ii) establish a process for contracting officers to record the
identity of a contractor described in clause (i); and
(iii) require the identity of a contractor described in clause (i)
to be incorporated in, and made publicly available through, the
Federal Awardee Performance and Integrity Information
System, or any successor thereto.

(14) An offeror for a covered contract that intends to identify a small
business concern as a potential subcontractor in a bid or proposal for
the contract, or in a plan submitted pursuant to this subsection in
connection with the contract, shall notify the small business concern
prior to making such identification.
(15) The Administrator shall establish a reporting mechanism that
allows a subcontractor or potential subcontractor to report fraudulent
activity or bad faith by a contractor with respect to a subcontracting
plan submitted pursuant to this subsection.
(16) C
.—
(A) In general.—For purposes of determining whether or not a
prime contractor has attained the percentage goals specified in
paragraph (6)—
(i) if the subcontracting goals pertain only to a single contract
with a Federal agency, the prime contractor may elect to
receive credit for small business concerns performing as first
tier subcontractors or subcontractors at any tier pursuant to
the subcontracting plans required under paragraph (6)(D) in
an amount equal to the total dollar value of any subcontracts
awarded to such small business concerns; and
(ii) if the subcontracting goals pertain to more than one
contract with one or more Federal agencies, or to one contract
with more than one Federal agency, the prime contractor may
only receive credit for first tier subcontractors that are small
business concerns.
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(B) Collection and review of data on subcontracting plans.—The
head of each contracting agency shall ensure that the agency—
(i) collects and reports data on the extent to which prime
contractors of the agency meet the goals and objectives set
forth in subcontracting plans submitted pursuant to this
subsection; and
(ii) periodically reviews data collected and reported pursuant
to clause (i) for the purpose of ensuring that such contractors
comply in good faith with the requirements of this subsection.
(C) Rule of construction.—
Nothing in this paragraph shall be construed to allow a Federal
agency to establish a goal for an [5] number of subcontracts with a
subcontractor at any tier for a prime contractor otherwise eligible
to receive credit under this paragraph.
(17) P
O

P
S

P
B

P
S

P

R
.—

(A) Establishment.—
The Administrator shall establish a pilot program for a small
business concern without a past performance rating as a prime
contractor performing as a first tier subcontractor for a covered
contract (as defined in paragraph (13)(A)) to request a past
performance rating in the system used by the Federal
Government to monitor or record contractor past performance.
(B) Application.—
A small business concern described in subparagraph (A) shall
submit an application to the appropriate official for a past
performance rating no later than 270 days after the small
business concern completed the work for which it seeks a past
performance rating or 180 days after the prime contractor
completes work on the covered contract, whichever is earlier.
Such application shall include written evidence of the past
performance factors for which the small business concern seeks a
rating and a suggested rating.
(C) Determination.—The appropriate official shall submit the
application from the small business concern to the Office of Small
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and Disadvantaged Business Utilization for the covered contract
and to the prime contractor for review. The Office of Small and
Disadvantaged Business Utilization and the prime contractor shall,
not later than 30 days after receipt of the application, submit to
the appropriate official a response regarding the application.
(i) Agreement on rating.—
If the Office of Small and Disadvantaged Business Utilization
and the prime contractor agree on a past performance rating,
or if either the Office of Small and Disadvantaged Business
Utilization or the prime contractor fail to respond and the
responding person agrees with the rating of the applicant
small business concern, the appropriate official shall enter the
agreed-upon past performance rating in the system described
in subparagraph (A).
(ii) Disagreement on rating.—
If the Office of Small and Disadvantaged Business Utilization
and the prime contractor fail to respond within 30 days or if
they disagree about the rating, or if either the Office of Small
and Disadvantaged Business Utilization or the prime contractor
fail to respond and the responding person disagrees with the
rating of the applicant small business concern, the Office of
Small and Disadvantaged Business Utilization or the prime
contractor shall submit a notice contesting the application to
the appropriate official. The appropriate official shall follow the
requirements of subparagraph (D).
(D) Procedure for rating.—
Not later than 14 calendar days after receipt of a notice under
subparagraph (C)(ii), the appropriate official shall submit such
notice to the applicant small business concern. Such concern may
submit comments, rebuttals, or additional information relating to
the past performance of such concern not later 14 [6] calendar
days after receipt of such notice. The appropriate official shall
enter into the system described in subparagraph (A) a rating that
is neither favorable nor unfavorable along with the initial
application from such concern, any responses of the Office of
Small and Disadvantaged Business Utilization and the prime
contractor, and any additional information provided by such
concern. A copy of the information submitted shall be provided to
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the contracting officer (or designee of such officer) for the
covered contract.
(E) Use of information.—
A small business subcontractor may use a past performance
rating given under this paragraph to establish its past
performance for a prime contract.
(F) Duration.—
The pilot program established under this paragraph shall
terminate 3 years after the date on which the first applicant small
business concern receives a past performance rating for
performance as a first tier subcontractor.
(G) Report.—The Comptroller General of the United States shall
begin an assessment of the pilot program 1 year after the
establishment of such program. Not later than 6 months after
beginning such assessment, the Comptroller General shall submit
a report to the Committee on Small Business and
Entrepreneurship of the Senate and the Committee on Small
Business of the House of Representatives, which shall include—
(i) the number of small business concerns and, set forth
separately, the number of small business exporters, that have
received past performance ratings under the pilot program;
(ii) the number of applications, set forth separately by
applications from small business concerns and from small
business exporters, in which the contracting officer (or
designee) or the prime contractor contested the application of
the small business concern;
(iii) any suggestions or recommendations the Comptroller
General or the small business concerns participating in the
program have to address disputes between the small business
concern, the contracting officer (or designee), and the prime
contractor on past performance ratings;
(iv) the number of small business concerns awarded prime
contracts after receiving a past performance rating under this
pilot program; and
(v) any suggestions or recommendation the Comptroller
General has to improve the operation of the pilot program.
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(H) Definitions.—In this paragraph—
(i) the term “appropriate official” means—
(I) a commercial market representative;
(II) another individual designated by the senior official
appointed by the Administrator with responsibilities under
sections 637, 644, 657a, and 657f of this title; or
(III) the Office of Small and Disadvantaged Business
Utilization of a Federal agency, if the head of the Federal
agency and the Administrator agree;
(ii) the term “defense item” has the meaning given that term
in section 2778(j)(4)(A) of title 22;
(iii) the term “major non-NATO ally” means a country
designated as a major non-NATO ally under section 2321k of
title 22;
(iv) the term “past performance” includes performance of a
contract for a sale of defense items (under section 2778 of
title 22) to the government of a member nation of North [7]
Atlantic Treaty Organization, the government of a major nonNATO ally, or the government of a country with which the
United States has a defense cooperation agreement (as
certified by the Secretary of State); and
(v) the term “small business exporter” means a small
business concern that exports defense items under section
2778 of title 22 to the government of a member nation of the
North Atlantic Treaty Organization, the government of a major
non-NATO ally, or the government of a country with which the
United States has a defense cooperation agreement (as
certified by the Secretary of State).

(e) C

;

;

;
(1) Except as provided in subsection (g)—
(A) an executive agency intending to—
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(i) solicit bids or proposals for a contract for property or
services for a price expected to exceed $25,000; or
(ii) place an order, expected to exceed $25,000, under a basic
agreement, basic ordering agreement, or similar arrangement,
shall publish a notice described in subsection (f);
(B) an executive agency intending to solicit bids or proposals for
a contract for property or services shall post, for a period of not
less than ten days, in a public place at the contracting office
issuing the solicitation a notice of solicitation described in
subsection (f)—
(i) in the case of an executive agency other than the
Department of Defense, if the contract is for a price expected
to exceed $10,000, but not to exceed $25,000; and
(ii) in the case of the Department of Defense, if the contract
is for a price expected to exceed $5,000, but not to exceed
$25,000;
(C) an executive agency awarding a contract for property or
services for a price exceeding $100,000, or placing an order
referred to in clause (A)(ii) exceeding $100,000, shall furnish for
publication by the Secretary of Commerce a notice announcing
the award or order if there is likely to be any subcontract under
such contract or order.
(2)
(A) A notice of solicitation required to be published under
paragraph (1) may be published—
(i) by electronic means that meet the accessibility
requirements under section 1708(d) of title 41; or
(ii) by the Secretary of Commerce in the Commerce Business
Daily.
(B) The Secretary of Commerce shall promptly publish in the
Commerce Business Daily each notice or announcement received
under this subsection for publication by that means.
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(3) Whenever an executive agency is required by paragraph (1)(A)
to publish a notice of solicitation, such executive agency may not—
(A) issue the solicitation earlier than 15 days after the date on
which the notice is published; or
(B) in the case of a contract or order estimated to be greater
than the simplified acquisition threshold, establish a deadline for
the submission of all bids or proposals in response to the notice
required by paragraph (1)(A) that—
(i) in the case of an order under a basic agreement, basic
ordering agreement, or similar arrangement, is earlier than
the date 30 days after the date the notice required by
paragraph (1)(A)(ii) is published;
(ii) in the case of a solicitation for research and development,
is earlier than the date 45 days after the date the notice
required by paragraph (1)(A)(i) is published; or
(iii) in any other case, is earlier than the date 30 days after
the date the solicitation is issued.

(f) C
Each notice of solicitation required by subparagraph (A) or (B) of
subsection (e)(1) shall include—
(1) an accurate description of the property or services to be
contracted for, which description (A) shall not be unnecessarily
restrictive of competition, and (B) shall include, as appropriate, the
agency nomenclature, National Stock Number or other part number,
and a brief description of the item’s form, fit, or function, physical
dimensions, predominant material of manufacture, or similar
information that will assist a prospective contractor to make an
informed business judgment as to whether a copy of the solicitation
should be requested;
(2) provisions that—
(A) state whether the technical data required to respond to the
solicitation will not be furnished as part of such solicitation, and
identify the source in the Government, if any, from which the
technical data may be obtained; and
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(B) state whether an offeror, its product, or service must meet a
qualification requirement in order to be eligible for award, and, if
so, identify the office from which a qualification requirement may
be obtained;
(3) the name, business address, and telephone number of the
contracting officer;
(4) a statement that all responsible sources may submit a bid,
proposal, or quotation (as appropriate) which shall be considered by
the agency;
(5) in the case of a procurement using procedures other than
competitive procedures, a statement of the reason justifying the use
of such procedures and the identity of the intended source; and
(6) in the case of a contract in an amount estimated to be greater
than $25,000 but not greater than the simplified acquisition threshold
—
(A) a description of the procedures to be used in awarding the
contract; and
(B) a statement specifying the periods for prospective offerors
and the contracting officer to take the necessary preaward and
award actions.
(g) E

,

.,

(1) A notice is not required under subsection (e)(1) if—
(A) the proposed procurement is for an amount not greater than
the simplified acquisition threshold and is to be conducted by—
(i) using widespread electronic public notice of the solicitation
in a form that allows convenient and universal user access
through a single, Government-wide point of entry; and
(ii) permitting the public to respond to the solicitation
electronically.
(B) the notice would disclose the executive agency’s needs and
the disclosure of such needs would compromise the national
security;
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(C) the proposed procurement would result from acceptance of—
(i) any unsolicited proposal that demonstrates a unique and
innovative research concept and the publication of any notice
of such unsolicited research proposal would disclose the
originality of thought or innovativeness of the proposal or
would disclose proprietary information associated with the
proposal; or
(ii) a proposal submitted under section 638 of this title;
(D) the procurement is made against an order placed under a
requirements contract;
(E) the procurement is made for perishable subsistence supplies;
(F) the procurement is for utility services, other than
telecommunication services, and only one source is available; or
(G) the procurement is for the services of an expert for use in
any litigation or dispute (including preparation for any foreseeable
litigation or dispute) that involves or could involve the Federal
Government in any trial, hearing, or proceeding before any court,
administrative tribunal, or agency, or in any part of an alternative
dispute resolution process, whether or not the expert is expected
to testify.
(2) The requirements of subsection (a)(1)(A) do not apply to any
procurement under conditions described in paragraph (2), (3), (4),
(5), or (7) of section 3304(a) of title 41 or paragraph (2), (3), (4),
(5), or (7) of section 2304(c) of title 10.
(3) The requirements of subsection (a)(1)(A) shall not apply in the
case of any procurement for which the head of the executive agency
makes a determination in writing, after consultation with the
Administrator for Federal Procurement Policy and the Administrator
of the Small Business Administration, that it is not appropriate or
reasonable to publish a notice before issuing a solicitation.
(h) A

;

;

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(1) An executive agency may not award a contract using procedures
other than competitive procedures unless—
(A) except as provided in paragraph (2), a written justification for
the use of such procedures has been approved—
(i) in the case of a contract for an amount exceeding
$100,000 (but equal to or less than $1,000,000), by the
advocate for competition for the procuring activity (without
further delegation);
(ii) in the case of a contract for an amount exceeding
$1,000,000 (but equal to or less than $10,000,000), by the
head of the procuring activity or a delegate who, if a member
of the Armed Forces, is a general or flag officer, or, if a civilian,
is serving in a position in grade GS–16 or above under the
General Schedule (or in a comparable or higher position under
another schedule); or
(iii) in the case of a contract for an amount exceeding
$10,000,000, by the senior procurement executive of the
agency designated pursuant to section 414(3) of title 41 1
(without further delegation); and
(B) all other requirements applicable to the use of such
procedures under division C (except sections 3302, 3307(e),
3501(b), 3509, 3906, 4710, and 4711) of subtitle I of title 41 or
chapter 137 of title 10, as appropriate, have been satisfied.
(2) The same exceptions as are provided in paragraphs (3) and (4)
of section 3304(e) of title 41 or section 2304(f)(2) of title 10 shall
apply with respect to the requirements of paragraph (1)(A) of this
subsection in the same manner as such exceptions apply to the
requirements of section 3304(e)(1) of title 41 or section 2304(f)(1)
of title 10, as appropriate.
(i) A

;

;

An executive agency shall make available to any business concern, or
the authorized representative of such concern, the complete solicitation
package for any on-going procurement announced pursuant to a notice

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under subsection (e). An executive agency may require the payment of a
fee, not exceeding the actual cost of duplication, for a copy of such
package.
(j) “E

”

For purposes of this section, the term “executive agency” has the
meaning provided such term in section 133 of title 41.
(k) N
(1) I
Notices of subcontracting opportunities may be submitted for
publication on the appropriate Federal Web site (as determined
by the Administrator) by—
(A) a business concern awarded a contract by an executive
agency subject to subsection (e)(1)(C); and
(B) a business concern that is a subcontractor or supplier (at any
tier) to such contractor having a subcontracting opportunity in
excess of $10,000.
(2) C
The notice of a subcontracting opportunity shall include—
(A) a description of the business opportunity that is comparable
to the description specified in paragraphs (1), (2), (3), and (4) of
subsection (f); and
(B) the due date for receipt of offers.
(l) M
(1) I
The Administration shall utilize, as appropriate, its entrepreneurial
development and management assistance programs, including
programs involving State or private sector partners, to provide
business counseling and training to any small business concern
adversely affected by the deployment of units of the Armed Forces of
the United States in support of a period of military conflict.

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(2) D
In this subsection, the term “period of military conflict” means—
(A) a period of war declared by the Congress;
(B) a period of national emergency declared by the Congress or
by the President; or
(C) a period of a contingency operation, as defined in section
101(a) of title 10.
(m) P

-

(1) D
In this subsection, the following definitions apply:
(A) Contracting officer
The term “contracting officer” has the meaning given such term in
section 2101(1) of title 41.
(B) Small business concern owned and controlled by
women
The term “small business concern owned and controlled by
women” has the meaning given such term in section 632(n) of
this title, except that ownership shall be determined without
regard to any community property law.
(2) A
In accordance with this subsection, a contracting officer may
restrict competition for any contract for the procurement of
goods or services by the Federal Government to small business
concerns owned and controlled by women, if—
(A) each of the concerns is not less than 51 percent owned by
one or more women who are economically disadvantaged (and
such ownership is determined without regard to any community
property law);
(B) the contracting officer has a reasonable expectation that two
or more small business concerns owned and controlled by women
will submit offers for the contract;
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(C) the contract is for the procurement of goods or services with
respect to an industry identified by the Administrator pursuant to
paragraph (3);
(D) in the estimation of the contracting officer, the contract
award can be made at a fair and reasonable price; and
(E) each of the concerns is certified by a Federal agency, a State
government, the Administrator, or a national certifying entity
approved by the Administrator as a small business concern owned
and controlled by women.
(3) W
With respect to a small business concern owned and controlled by
women, the Administrator may waive subparagraph (2)(A) if the
Administrator determines that the concern is in an industry in which
small business concerns owned and controlled by women are
substantially underrepresented.
(4) I
The Administrator shall conduct a study to identify industries in which
small business concerns owned and controlled by women are
underrepresented with respect to Federal procurement contracting.
(5) E

;

(A) Verification of eligibility
In carrying out this subsection, the Administrator shall
establish procedures relating to—
(i) the filing, investigation, and disposition by the
Administration of any challenge to the eligibility of a small
business concern to receive assistance under this subsection
(including a challenge, filed by an interested party, relating to
the veracity of a certification made or information provided to
the Administration by a small business concern under
paragraph (2)(E)); and
(ii) verification by the Administrator of the accuracy of any
certification made or information provided to the
Administration by a small business concern under paragraph
(2)(E).
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(B) Examinations
The procedures established under subparagraph (A) may provide
for program examinations (including random program
examinations) by the Administrator of any small business concern
making a certification or providing information to the
Administrator under paragraph (2)(E).
(C) Penalties
In addition to the penalties described in section 645(d) of this
title, any small business concern that is determined by the
Administrator to have misrepresented the status of that
concern as a small business concern owned and controlled by
women for purposes of this subsection, shall be subject to—
(i) section 1001 of title 18; and
(ii) sections 3729 through 3733 of title 31.
(6) P
Upon the request of the Administrator, the head of any Federal
department or agency shall promptly provide to the Administrator
such information as the Administrator determines to be necessary to
carry out this subsection.
(7) A

A contracting officer may award a sole source contract under this
subsection to any small business concern owned and controlled
by women described in paragraph (2)(A) and certified under
paragraph (2)(E) if—
(A) such concern is determined to be a responsible contractor
with respect to performance of the contract opportunity and the
contracting officer does not have a reasonable expectation that 2
or more businesses described in paragraph (2)(A) will submit
offers;
(B) the anticipated award price of the contract (including options)
will not exceed—
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(i) $6,500,000, in the case of a contract opportunity assigned
a standard industrial classification code for manufacturing; or
(ii) $4,000,000, in the case of any other contract opportunity;
and
(C) in the estimation of the contracting officer, the contract award
can be made at a fair and reasonable price.
(8) A

A contracting officer may award a sole source contract under this
subsection to any small business concern owned and controlled
by women certified under paragraph (2)(E) that is in an industry
in which small business concerns owned and controlled by
women are substantially underrepresented (as determined by the
Administrator under paragraph (3)) if—
(A) such concern is determined to be a responsible contractor
with respect to performance of the contract opportunity and the
contracting officer does not have a reasonable expectation that 2
or more businesses in an industry that has received a waiver
under paragraph (3) will submit offers;
(B) the anticipated award price of the contract (including options)
will not exceed—
(i) $6,500,000, in the case of a contract opportunity assigned
a standard industrial classification code for manufacturing; or
(ii) $4,000,000, in the case of any other contract opportunity;
and
(C) in the estimation of the contracting officer, the contract award
can be made at a fair and reasonable price.
(n) B
(1) I
In accordance with this subsection, the Administrator may make
grants to and enter into cooperative agreements with any
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coalition of private entities, public entities, or any combination of
private and public entities—
(A) to expand business-to-business relationships between large
and small businesses; and
(B) to provide businesses, directly or indirectly, with online
information and a database of companies that are interested in
mentor-protege programs or community-based, statewide, or
local business development programs.
(2) M
Subject to subparagraph (B), the Administrator may make a grant to
a coalition under paragraph (1) only if the coalition provides for
activities described in paragraph (1)(A) or (1)(B) an amount, either
in kind or in cash, equal to the grant amount.
(3) A
There is authorized to be appropriated to carry out this subsection
$6,600,000, to remain available until expended, for each of fiscal
years 2001 through 2006.
(Pub. L. 85–536, § 2[8], July 18, 1958, 72 Stat. 389; Pub. L. 87–305, §§ 7,
8, Sept. 26, 1961, 75 Stat. 667, 668; Pub. L. 88–560, title III, § 305(c),
Sept. 2, 1964, 78 Stat. 786; Pub. L. 89–754, title X, § 1017, Nov. 3, 1966,
80 Stat. 1295; Pub. L. 90–104, title I, §§ 105–107, Oct. 11, 1967, 81 Stat.
268, 269; Pub. L. 91–375, § 6(g), Aug. 12, 1970, 84 Stat. 776; Pub. L. 95–
89, title V, § 501, Aug. 4, 1977, 91 Stat. 561; Pub. L. 95–507, title II,
§§ 202(a), 211, Oct. 24, 1978, 92 Stat. 1761, 1767; Pub. L. 95–510, § 101,
Oct. 24, 1978, 92 Stat. 1780; Pub. L. 96–302, title I, § 118(b), July 2,
1980, 94 Stat. 840; Pub. L. 96–481, title I, §§ 101, 105, Oct. 21, 1980, 94
Stat. 2321, 2322; Pub. L. 98–47, §§ 1(a), 2, 3, July 13, 1983, 97 Stat. 243;
Pub. L. 98–72, § 1(a), Aug. 11, 1983, 97 Stat. 403; Pub. L. 98–362, § 5(a),
July 16, 1984, 98 Stat. 433; Pub. L. 98–577, title IV, §§ 401, 402, 404(a),
Oct. 30, 1984, 98 Stat. 3079, 3082; Pub. L. 99–272, title XVIII,
§ 18015(b)–(d), Apr. 7, 1986, 100 Stat. 370, 371; Pub. L. 99–500, § 101(c)
[title X, §§ 921(b)(2), (c)(1), 922(a), (d)(1)], Oct. 18, 1986, 100 Stat.
1783–82, 1783–147, 1783–151, 1783–152, and Pub. L. 99–591, § 101(c)
[title X, §§ 921(b)(2), (c)(1), 922(a), (d)(1)], Oct. 30, 1986, 100 Stat.
3341–82, 3341–147, 3341–151, 3341–152; Pub. L. 99–567, §§ 1(a), 2, 3,
Oct. 27, 1986, 100 Stat. 3188; Pub. L. 99–661, div. A, title IX, formerly title
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IV, §§ 921(b)(2), (c)(1), 922(a), (d)(1), Nov. 14, 1986, 100 Stat. 3927,
3930, 3932, renumbered title IX, Pub. L. 100–26, § 3(5), Apr. 21, 1987,
101 Stat. 273; Pub. L. 100–26, § 10(b)(3), Apr. 21, 1987, 101 Stat. 288;
Pub. L. 100–533, title II, §§ 201, 202, Oct. 25, 1988, 102 Stat. 2690, 2692;
Pub. L. 100–590, title I, §§ 127(a), (b), 131(b), Nov. 3, 1988, 102 Stat.
3001, 3003, 3004; Pub. L. 100–656, title II, §§ 201(b), 207(a), (c), 209,
title III, §§ 303(b)–(e), (g), (h), 304(a), title IV, §§ 402–404, 407, 409, title
V, § 501, Nov. 15, 1988, 102 Stat. 3858, 3861, 3863, 3869, 3870, 3872–
3874, 3876, 3878, 3880; Pub. L. 101–37, §§ 6(b), (d), 7(b), 10(c), (e), 12–
14, 16, 17, June 15, 1989, 103 Stat. 72–74; Pub. L. 101–162, title V, (3),
Nov. 21, 1989, 103 Stat. 1025; Pub. L. 101–510, div. A, title VIII, § 806(e)
(2), Nov. 5, 1990, 104 Stat. 1593; Pub. L. 101–574, title II, §§ 204(b), 207,
210, 244, Nov. 15, 1990, 104 Stat. 2819–2821, 2827; Pub. L. 102–190,
div. A, title VIII, § 814(c), Dec. 5, 1991, 105 Stat. 1425; Pub. L. 102–191,
§ 3, Dec. 5, 1991, 105 Stat. 1591; Pub. L. 102–366, title II, § 232(a), Sept.
4, 1992, 106 Stat. 1001; Pub. L. 102–564, title III, §§ 303(a), 304, Oct. 28,
1992, 106 Stat. 4262; Pub. L. 103–355, title I, § 1055(b)(2), title IV,
§§ 4202(d), 4404(b), title VII, § 7106(b), Oct. 13, 1994, 108 Stat. 3265,
3345, 3349, 3375; Pub. L. 103–403, title IV, §§ 401(a)(1), 407, 415, Oct.
22, 1994, 108 Stat. 4190, 4192, 4198; Pub. L. 104–106, div. D, title XLIII,
§ 4321(c)(1), (2), Feb. 10, 1996, 110 Stat. 674; Pub. L. 105–85, div. A, title
VIII, § 850(e)(1), Nov. 18, 1997, 111 Stat. 1848; Pub. L. 105–135, title IV,
§§ 415, 416(a), (c), title VI, § 603(a), title VII, § 708, Dec. 2, 1997, 111
Stat. 2619, 2620, 2631, 2637; Pub. L. 106–50, title III, § 303(a), title V,
§ 501, Aug. 17, 1999, 113 Stat. 243, 247; Pub. L. 106–398, § 1 [[div. A],
title VIII, § 810(c)], Oct. 30, 2000, 114 Stat. 1654, 1654A–209; Pub. L.
106–554, § 1(a)(8) [§ 2], § 1(a)(9) [title V, § 504(a), title VI, § 615(b), title
VIII, §§ 803, 807, 809, 811], Dec. 21, 2000, 114 Stat. 2763, 2763A–666,
2763A–695, 2763A–701, 2763A–702, 2763A–706, 2763A–708; Pub. L.
108–447, div. K, title I, §§ 132(b), (c), 141(a), 144, Dec. 8, 2004, 118 Stat.
3453, 3455; Pub. L. 111–240, title I, §§ 1322, 1334, Sept. 27, 2010, 124
Stat. 2540, 2542; Pub. L. 112–239, div. A, title XVI, §§ 1653(a), 1654,
1696(b)(2), 1697(a), Jan. 2, 2013, 126 Stat. 2081, 2083, 2091; Pub. L.
113–66, div. A, title XVI, § 1614(a), Dec. 26, 2013, 127 Stat. 948; Pub. L.
113–291, div. A, title VIII, § 825(a), Dec. 19, 2014, 128 Stat. 3437; Pub. L.
114–92, div. A, title VIII, § 864(a), Nov. 25, 2015, 129 Stat. 927; Pub. L.
114–328, div. A, title XVIII, §§ 1821(a), 1822, 1832(c), Dec. 23, 2016, 130
Stat. 2654, 2660; Pub. L. 115–91, div. A, title XVII, §§ 1701(a)(4)(C),
1706, Dec. 12, 2017, 131 Stat. 1796, 1808; Pub. L. 116–92, div. A, title
VIII, §§ 870, 877(d), Dec. 20, 2019, 133 Stat. 1524, 1530.)
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