A bill to provide for an economic analysis of the impact in small business concerns and small governmental jurisdictions of agency and other decisions that result in a net loss of at least 1,000 jobs, and for other purposes.

SECTION 1. SHORT TITLE.

    This Act may be cited as the ``Small Business Economic Impact 
Analysis Act of 2005''.

SEC. 2. AGENCY RESTRUCTURING OR TERMINATION OF USE OF FACILITY.

    (a) In General.--The Small Business Act (15 U.S.C. 631 et seq.) is 
amended--
            (1) by redesignating section 37 as section 38; and
            (2) by inserting after section 36 the following:

``SEC. 37. AGENCY RESTRUCTURING OR TERMINATION OF USE OF FACILITY.

    ``(a) Definitions.--As used in this section, the following 
definitions apply:
            ``(1) Agency.--The term `agency' has the meaning given the 
        term in section 551(1) of title 5, United States Code.
            ``(2) Qualifying termination or restructuring.--The term 
        `qualifying termination or restructuring' means any termination 
        of the use of a facility or restructuring that will result in 
        the net loss of at least 1,000 governmental and nongovernmental 
        jobs in any State.
            ``(3) Restructuring.--The term `restructuring' means any 
        action by an agency that both reduces and relocates functions 
        and personnel, but does not include a reduction in personnel 
        resulting from workload adjustments, reduced funding levels, or 
        skill imbalances.
            ``(4) Small governmental jurisdiction.--The term `small 
        governmental jurisdiction' has the meaning given the term in 
        section 601(5) of title 5, United States Code.
            ``(5) State.--The term `State' means each of the several 
        States of the United States, the District of Columbia, and the 
        Commonwealth of Puerto Rico.
    ``(b) General Requirement.--
            ``(1) Agencies.--An agency may not make a qualified 
        termination or restructuring until after complying with the 
        requirements of subsections (c) through (e).
            ``(2) Other entities.--An entity that is statutorily 
        authorized to recommend a qualified termination or 
        restructuring may not finalize its recommendation until after 
        complying with the requirements of subsections (c) through (e).
    ``(c) Economic Analysis.--
            ``(1) Economic analysis required.--
                    ``(A) Agencies.--Prior to making any qualifying 
                termination or restructuring, an agency shall conduct a 
                detailed analysis of the impact on small business 
                concerns and small governmental jurisdictions of the 
                proposed termination or restructuring.
                    ``(B) Other entities.--Prior to recommending a 
                qualifying termination or restructuring, any entity 
                statutorily authorized to make such recommendations 
                shall conduct a detailed analysis of the impact on 
                small business concerns and small governmental 
                jurisdictions of the proposed termination or 
                restructuring.
            ``(2) Scope of economic analysis.--The analysis required 
        under paragraph (1) shall include--
                    ``(A) a description of the small business concerns 
                and small governmental jurisdictions that will be 
                affected by the proposed termination or restructuring 
                and an estimate of the number of such small business 
                concerns and small governmental jurisdictions;
                    ``(B) a description of the efforts by the agency or 
                entity to minimize the significant adverse economic 
                impact on small business concerns and small 
                governmental jurisdictions of the proposed termination 
                or restructuring; and
                    ``(C) a description of any alternative termination 
                or restructuring that would reduce the overall impact 
                of the proposed termination or restructuring on small 
                business concerns, together with an explanation of the 
                reasons for not proposing such alternative termination 
                or restructuring.
            ``(3) Cost-benefit analysis of impact on certain states.--
                    ``(A) In general.--In conducting the analysis 
                required under paragraph (1), the agency or entity 
                shall also conduct, consistent with the principles 
                stated in Office of Management and Budget Circular A-4 
                (September 17, 2003), a quantitative cost-benefit 
                analysis of the economic impact upon small business 
                concerns and small governmental jurisdictions of the 
                proposed termination or restructuring in any State 
                where the agency or entity determines the economic 
                impact of such termination or restructuring would 
                exceed $100,000,000.
                    ``(B) Scope of cost-benefit analysis.--In 
                conducting a cost-benefit analysis under subparagraph 
                (A), the agency or entity shall--
                            ``(i) evaluate and compare the costs and 
                        benefits to small business concerns and small 
                        governmental jurisdictions of the proposed 
                        termination or restructuring, quantifying and 
                        expressing in monetized values to the maximum 
                        extent possible such costs and benefits;
                            ``(ii) provide clearly stated alternatives 
                        to the proposed termination or restructuring; 
                        and
                            ``(iii) prepare a summary report of the 
                        costs and benefits to small business concerns 
                        and small governmental jurisdictions of the 
                        termination or restructuring proposed under 
                        each such set of alternate proposals.
                    ``(C) Transparency of cost-benefit analysis.--
                            ``(i) In general.--In conducting a cost-
                        benefit analysis under subparagraph (A) or 
                        preparing a summary report under subparagraph 
                        (B)(iii), the agency or entity shall take 
                        measures to ensure the transparency of such 
                        actions, including the bases for making 
                        estimates and forming conclusions for purposes 
                        of such analysis or report.
                            ``(ii) Required measures.--The measures an 
                        agency or entity takes to ensure transparency 
                        shall include--
                                    ``(I) incorporating an executive 
                                summary;
                                    ``(II) detailing the assumptions 
                                that were used in the analysis and the 
                                discount rates applied to future costs 
                                and benefits;
                                    ``(III) specifically referencing 
                                all sources of data;
                                    ``(IV) providing appendices with 
                                documentation of any models used; and
                                    ``(V) including the results of 
                                formal sensitivity and other 
                                uncertainty analyses.
    ``(d) Publication of Economic Analysis.--
            ``(1) Draft economic analysis.--Not later than 180 days 
        before taking final action on a qualifying termination or 
        restructuring, an agency or entity shall--
                    ``(A) publish a draft of its economic analysis 
                under subsection (c) on its website; and
                    ``(B) provide notice of the draft economic analysis 
                in the Federal Register with at least a 60-day period 
                for public comment.
            ``(2) Final economic analysis.--After due consideration of 
        any comments, the agency or entity shall publish--
                    ``(A) a final economic analysis on its web site; 
                and
                    ``(B) a notice regarding the final economic 
                analysis in the Federal Register.
    ``(e) GAO Review.--
            ``(1) In general.--After publishing the final economic 
        analysis under subsection (d), an agency or entity shall submit 
        its final economic analysis to the Comptroller General of the 
        United States for review of the analysis.
            ``(2) Deadline.--Not later than 90 days after receiving a 
        final economic analysis under paragraph (1), the Comptroller 
        General of the United States shall complete an analysis of the 
        submission and publish a report regarding the sufficiency of 
        the analysis.
            ``(3) Revised economic analysis required upon determination 
        of insufficient analysis.--If the Comptroller General of the 
        United States determines that the final economic analysis is 
        insufficient, the agency or entity shall repeat the procedures 
        required under subsections (c) and (d) and paragraph (1).
    ``(f) Final Action.--An agency or entity may not take final action 
on a qualifying termination or restructuring until after receiving a 
satisfactory review from the Comptroller General of the United States 
under subsection (e).
    ``(g) Judicial Review.--
            ``(1) In general.--Not later than 90 days after the notice 
        regarding the final economic analysis is published in the 
        Federal Register under subsection (d)(2)(B), any small business 
        concern or small governmental jurisdiction adversely affected 
        or aggrieved by the qualifying termination or restructuring may 
        file a petition for judicial review of the qualifying 
        termination or restructuring with the United States Court of 
        Appeals for the circuit in which the small business concern or 
        small governmental jurisdiction is located.
            ``(2) Expedited review.--The Court of Appeals shall provide 
        for expedited review of a petition under paragraph (1).
            ``(3) Scope of review.--Any review under paragraph (1) 
        shall be limited to determining whether--
                    ``(A) the qualifying termination or restructuring 
                constitutes an agency action that is arbitrary, 
                capricious, an abuse of discretion, or otherwise not in 
                accordance with law; and
                    ``(B) the economic analysis under subsection (c) 
                was insufficient.''.
    (b) Applicability.--The requirements of section 37 of the Small 
Business Act, as added by subsection (a), shall apply to any qualifying 
termination or restructuring (as that term is defined in subsection (a) 
of such section) for which final action has not occurred as of the date 
of the enactment of this Act.

Summary: Small Business Economic Impact Analysis Act of 2005 - Prohibits an agency from making a qualified termination or restructuring unless it conducts a detailed analysis of the impact on small businesses and small governmental jurisdictions of the proposed termination or restructuring. Requires: (1) a related cost-benefit analysis. And (2) the agency to publish a draft of the analysis at least 180 days before undertaking the termination or restructuring. Directs the: (1) agency to publish a final economic analysis. And (2) Comptroller General to review such final analysis. Prohibits an agency from taking final action on a termination or restructuring until its analysis receives a satisfactory review from the Comptroller General. Authorizes judicial review for any small business or small governmental jurisdiction adversely affected or aggrieved by a qualifying termination or restructuring.