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[Congressional Bills 103th Congress]
[From the U.S. Government Publishing Office]
[H.R. 4263 Committee Discharged House (CDH)]

103d CONGRESS
  2d Session
                                H. R. 4263

                      [Report No. 103-606, Part I]

 To promote the participation of small business enterprises, including 
   minority small businesses, in Federal procurement and Government 
                   contracts, and for other purposes.

_______________________________________________________________________

                    IN THE HOUSE OF REPRESENTATIVES

                             April 20, 1994

 Mr. LaFalce introduced the following bill; which was referred to the 
                      Committee on Small Business

                             July 14, 1994

Reported with an amendment and referred to the Committee on Government 
   Operations for a period ending not later than August 5, 1994, for 
consideration of such provisions contained in the bill and amendment as 
fall within the jurisdiction of that committee pursuant to clause 1(j), 
                                 rule X
 [Strike out all after the enacting clause and insert the part printed 
                               in italic]

                             August 3, 1994

   Referral to the Committee on Government Operations extended for a 
              period ending not later than August 12, 1994

                            August 12, 1994

                Additional sponsor: Ms. Brown of Florida

                            August 12, 1994

  The Committee on Government Operations discharged; referred to the 
         Committee of the Whole House on the State of the Union
 [For text of introduced bill, see copy of bill as introduced on April 
                               20, 1994]

_______________________________________________________________________

                                 A BILL

 
 To promote the participation of small business enterprises, including 
   minority small businesses, in Federal procurement and Government 
                   contracts, and for other purposes.

    Be it enacted by the Senate and House of Representatives of the 
United States of America in Congress assembled,

SECTION 1. SHORT TITLE.

    This Act may be cited as the ``Small Business and Minority Small 
Business Procurement Opportunities Act of 1994''.

SEC. 2. FUNCTIONS OF SMALL BUSINESS ADMINISTRATION.

    The Small Business Act (15 U.S.C. 631 et seq.) is amended by 
inserting before section 30 the following:
    ``Sec. 29. The Administrator of the Small Business Administration, 
in coordination with other Federal agencies, shall--
            ``(1) develop plans to coordinate and promote the use of 
        the Federal Acquisition Computer Network by small businesses 
        that incorporate outreach efforts by the Administration, agency 
        Offices of Small and Disadvantaged Business Utilization, Small 
        Business Development Centers, and other appropriate 
        organizations;
            ``(2) inform and provide consistent and comprehensive 
        training on the Federal Acquisition Computer Network for small 
        businesses; and
            ``(3) provide Minority Business Development Centers and 
        other minority business assistance programs of the Department 
        of Commerce information on procurement opportunities and access 
        to the Federal Acquisition Computer Network.''.

SEC. 3. SMALL BUSINESS RESERVATION.

    Section 15(j) of the Small Business Act (15 U.S.C. 644(j)) is 
amended to read as follows:
    ``(j)(1) Each contract for the procurement of goods and services 
that has an anticipated value not in excess of $100,000 or the 
simplified acquisition threshold, whichever is higher, shall be 
reserved exclusively for small business concerns unless the contracting 
officer is unable to obtain offers from 2 or more small business 
concerns that (A) are competitive with market prices, and (B) are 
competitive with regard to the quality and delivery of the goods or 
services being procured.
    ``(2) In carrying out paragraph (1), a contracting officer shall 
consider any effort that is responsive and that is received in a timely 
manner from an eligible small business offeror.
    ``(3) Nothing in paragraph (1) shall be construed as precluding an 
award of a contract with a value not in excess of $100,000 under the 
authority of--
            ``(A) section 8(a) of this Act;
            ``(B) section 2323 of title 10, United States Code;
            ``(C) subsection (g) of this section; or
            ``(D) section 12 of the Business Opportunity Development 
        Reform Act of 1988.
    ``(4) A purchase by an executive agency with an anticipated value 
of the micropurchase threshold or less shall not be subject to the 
small business reserve requirements of paragraph (1).''.

SEC. 4. TECHNICAL AND CONFORMING CHANGES.

    (a) Simplified Acquisition Threshold Defined.--Section 3(m) of the 
Small Business Act (15 U.S.C. 632(m)) is amended to read as follows:
    ``(m) For purposes of this Act, the term `simplified acquisition 
threshold' has the meaning given such term in section 4A of the Office 
of Federal Procurement Policy Act and the term `micro-purchase 
threshold' has the meaning given such term in section 4B(e) of such 
Act.''.
    (b) Conforming Amendment.--Section 8(d)(2)(A) of the Small Business 
Act (15 U.S.C. 637(d)(2)(A)) is amended by striking ``does not exceed 
the small purchase threshold'' and inserting ``is for an amount not in 
excess of the simplified acquisition threshold''.

SEC. 5. CONTRACT GOALS FOR SMALL BUSINESSES OWNED BY SOCIALLY 
              DISADVANTAGED INDIVIDUALS AND BY WOMEN.

    Section 15(g) of the Small Business Act (15 U.S.C. 644(g)) is 
amended to read as follows:
    ``(g)(1) In order to carry out the small business objectives and 
findings set forth in section 2(a) of this Act, and in order to help 
remedy the past discrimination against businesses owned and controlled 
by socially disadvantaged individuals as set forth in the congressional 
findings in section 2(f) of this Act, and in order to help remedy the 
past discrimination against businesses owned and controlled by women as 
set forth in the congressional findings in section 2(h) of this Act, 
the President annually shall establish Government-wide goals, which 
shall not be interpreted as quotas, for procurement contracts awarded 
to small business concerns, small business concerns owned and 
controlled by socially disadvantaged individuals, and small business 
concerns owned and controlled by women. The Government-wide goal for 
participation by small business concerns shall be established at not 
less than 25 percent of the total value of all prime contract awards 
for each fiscal year. The Government-wide goal for participation by 
small business concerns owned and controlled by socially disadvantaged 
individuals shall be established at not less than 5 percent of the 
total value of all prime contract and subcontract awards for each 
fiscal year. The Government-wide goal for participation by small 
business concerns owned and controlled by women shall be established at 
not less than 5 percent of the total value of all prime contract and 
subcontract awards for each fiscal year. Individual agency small 
business and women-owned small business goals shall be negotiated 
annually between each agency and the Administration.
    ``(2) A goal of not less than 5 percent of the amount described in 
paragraph (4) shall be established by each executive agency in each of 
fiscal years 1994 through 2000 for the total combined amount obligated 
for contracts, including any agency contracts for such things as travel 
services and food services which do not directly involve appropriated 
or obligated funds but from which the agency derives benefit, and 
subcontracts entered into with small business concerns owned and 
controlled by socially disadvantaged individuals, the majority of the 
earnings of which directly accrue to such individuals.
    ``(3) The Administrator for Federal Procurement Policy, in 
consultation with the Administration, shall provide procedures or 
guidelines for contracting officers to set goals which executive agency 
prime contractors that are required to submit subcontracting plans 
under section 8(d) in furtherance of the agency's program to meet the 5 
percent goal specified in paragraph (2) should meet in awarding 
subcontracts to entities described in that paragraph.
    ``(4) The requirements of paragraphs (2) and (3) for any fiscal 
year apply to the total value of all prime contract awards entered into 
by the executive agency for such fiscal year.
    ``(5)(A) To attain the goal specified in paragraph (2), the head of 
the agency shall provide technical assistance to the entities described 
in that paragraph.
    ``(B) Technical assistance provided under this section shall 
include information about the program, advice about the agency's 
procurement procedures, instruction in preparation of proposals, and 
such other assistance as the agency head considers appropriate. If the 
resources of the executive agency are inadequate to provide such 
assistance, the agency head may enter into contracts with minority 
private sector entities with experience and expertise in the design, 
development, and delivery of technical assistance services to eligible 
individuals, business firms and institutions, acquisition agencies, and 
prime contractors. Agency contracts with such entities shall be awarded 
annually based upon, among other things, the number of minority small 
business concerns that each such entity brings into the program.
    ``(6) To attain the goal of paragraph (2):
            ``(A) The head of the agency shall--
                    ``(i) ensure that substantial progress is made in 
                increasing awards of agency contracts to entities 
                described in paragraph (2);
                    ``(ii) exercise his or her authority, 
                resourcefulness, and diligence; and
                    ``(iii) actively monitor and assess the progress of 
                prime contractors of the agency in attaining such goal.
            ``(B) In making the assessment under subparagraph (A)(iii), 
        the agency head shall evaluate the extent to which use of the 
        authority provided by subparagraphs (C) and (D) and compliance 
        with the requirement of subparagraph (E) is effective for 
        facilitating the attainment of the goal described in paragraph 
        (2).
            ``(C) To the extent practicable, and when necessary to 
        facilitate achievement of the goal described in paragraph (2), 
        the agency head shall make advance payments under section 305 
        of the Federal Property and Administrative Services Act of 1949 
        to contractors described in paragraph (2) of this subsection. 
        The Federal Acquisition Regulation shall provide guidance to 
        contracting officers for making advance payments to entities 
        described in subsection (a)(1) of this section under section 
        305 of the Federal Property and Administrative Services Act of 
        1949.
            ``(D) To the extent practicable and when necessary to 
        facilitate achievement of the goal described in paragraph (2), 
        the agency head may enter into contracts using less than full 
        and open competitive procedures (including awards under section 
        8(a)) and partial set asides for entities described in 
        paragraph (2), but shall, except when using competition open 
        only to small businesses, pay a price not exceeding fair market 
        cost by more than 10 percent in payment per contract to 
        contractors or subcontractors described in paragraph (2). The 
        agency head shall adjust the percentage specified in the 
        preceding sentence for any industry category if available 
        information clearly indicates that nondisadvantaged small 
        business concerns in such industry category are generally being 
        denied a reasonable opportunity to compete for contracts 
        because of the use of that percentage in the application of 
        this paragraph.
            ``(E) To the extent practicable, the agency head shall 
        maximize the number of socially disadvantaged small business 
        concerns participating in the program.
            ``(F) The Administrator for Federal Procurement Policy, in 
        consultation with the Administration, shall prescribe 
        regulations which provide for the following:
                    ``(i) Procedures or guidance for contracting 
                officers to provide incentives for prime contractors 
                described in paragraph (2) to increase subcontractor 
                awards to entities described in such paragraph.
                    ``(ii) A requirement that contracting officers 
                emphasize the award of contracts to entities described 
                in paragraph (2) in all industry categories, including 
                those categories in which such entities have not 
                traditionally dominated.
                    ``(iii) Guidance to executive agency personnel on 
                the relationship among the following programs:
                            ``(I) The program implementing this 
                        subsection.
                            ``(II) The program established under 
                        section 8(a).
                            ``(III) The small business set-aside 
                        program established under subsection (a).
                    ``(iv) With respect to an agency procurement which 
                is reasonably likely to be set aside for entities 
                described in paragraph (2), a requirement that, to the 
                maximum extent practicable, the procurement be 
                designated as such a set-aside before the solicitation 
                for the procurement is issued.
                    ``(v) Policies and procedures that, to the maximum 
                extent practicable, will ensure that current levels in 
                the number or dollar value of contracts awarded under 
                the program established under section 8(a) and under 
                the small business set-aside program established under 
                subsection (a) of this section are maintained and that 
                every effort is made to provide new opportunities for 
                contract awards to eligible entities, in order to meet 
                the goal of paragraph (2) of this subsection.
                    ``(vi) Implementation of this section in a manner 
                which will not alter the procurement process under the 
                program established under section 8(a).
                    ``(vii) A requirement that one factor used in 
                evaluating the performance of a contracting officer 
                will be the ability of the officer to increase contract 
                awards to entities described in paragraph (2).
                    ``(viii) Increased technical assistance to entities 
                described in paragraph (2).
    ``(7)(A) Whoever for the purpose of securing a contract or 
subcontract under paragraph (2), misrepresents the status of any 
concern or person as a small business concern owned and controlled by 
socially disadvantaged individuals (as described in paragraph (2)) 
shall be punished by imprisonment for not more than 1 year or a fine of 
not less than $10,000, or both.
    ``(B) The Federal Acquisition Regulation shall prohibit awarding a 
contract under this section to an entity described in paragraph (2) 
unless the entity agrees to comply with the requirements of subsection 
(o)(1).
    ``(8)(A) To the maximum extent practicable, the head of the agency 
shall--
            ``(i) ensure that no particular industry category bears a 
        disproportionate share of the contracts awarded to attain the 
        goal established by paragraph (2); and
            ``(ii) ensure that contracts awarded to attain the goal 
        established by paragraph (2) are made across the broadest 
        possible range of industry categories.
    ``(B) Under procedures prescribed by the head of the agency in 
consultation with the Administration, a person may request the agency 
head to determine whether the use of small disadvantaged business set-
asides by a contract activity of the agency has caused a particular 
industry category to bear a disproportionate share of the contracts 
awarded to attain the goal established for that contracting activity 
for the purposes of this subsection. Upon making a determination that a 
particular industry category is bearing a disproportionate share, the 
agency head shall take appropriate actions to limit the contracting 
activity's use of set-asides in awarding contracts in that particular 
industry category and to increase the contracting activity's use of 
set-asides in awarding contracts in other industry categories.
    ``(9)(A) The Administrator for Federal Procurement Policy, in 
consultation with the Administration, shall issue regulations to ensure 
that potential contractors submitting sealed bids or competitive 
proposals to the executive agency for procurement contracts to be 
awarded under the program provided for by this subsection are complying 
with applicable subcontracting plan requirements of section 8(d).
    ``(B) The regulations required by subparagraph (A) shall ensure 
that, with respect to a sealed bid or competitive proposal for which 
the bidder or offeror is required to negotiate or submit a 
subcontracting plan under section 8(d), the contracting plan shall be a 
factor in evaluating the bid or proposal.
    ``(10)(A) Not later than December 15 of each year, the 
Administration shall submit to Congress a report on the progress of 
each executive agency toward attaining the goal of paragraph (2) during 
the preceding fiscal year.
    ``(B) The report required under subparagraph (A) shall include a 
description of--
            ``(i) the degree of participation by small business 
        concerns owned and controlled by socially disadvantaged 
        individuals in procurements conducted by each executive agency, 
        including information concerning the race and gender of such 
        individuals; and
            ``(ii) the extent of compliance by executive agencies with 
        the goals for participation by such business concerns required 
        by paragraph (1), relating to Government-wide small business, 
        small disadvantaged business, and women-owned small business 
        goals for procurement contracts.
    ``(11) This subsection shall not be construed as modifying or 
superseding any other provision of law establishing the program under 
section 2323 of title 10, United States Code, or a goal or requirement 
for an agency to obligate 5 percent, or more than 5 percent, of the 
total value of all prime contract awards entered into by the agency for 
a fiscal year with any entity described in paragraph (2).
    ``(12) For the purposes of this subsection, an individual shall be 
considered to be socially disadvantaged if the individual has a 
physical or mental impairment that--
            ``(A) substantially limits one or more of the major life 
        activities of the individual; and
            ``(B) has been found by the Administration to result in a 
        socially disadvantaged status for the class of individuals 
        having such impairment.
    ``(13)(A) Not later than 1 year after the date of the enactment of 
this paragraph, the Administration shall issue regulations to make 
uniform the procedure by which a small business concern may qualify as 
a small business concern owned and controlled by socially disadvantaged 
individuals for the purposes of this subsection.
    ``(B) Regulations to be issued pursuant to subparagraph (A) shall 
provide, at a minimum, for the following:
            ``(i) Specification of the requirements for qualifying as a 
        small business concern owned and controlled by socially 
        disadvantaged individuals for the purposes of this subsection.
            ``(ii) Establishment of a uniform procedure to be applied 
        by each executive agency in the certification of small business 
        concerns meeting the requirements specified pursuant to clause 
        (i).
    ``(C) For the purposes of this subsection, an executive agency may 
not require a small business concern for which a certification issued 
by another executive agency pursuant to subparagraph (B)(ii) is in 
effect to make any additional showing that the small business concern 
qualifies as a small business concern owned and controlled by socially 
disadvantaged individuals.
    ``(14) This subsection shall not be construed as modifying or 
superseding eligibility requirements for participation in any other 
program established by this Act.
    ``(15) This subsection applies to each of fiscal years 1994 through 
2000.''.

SEC. 6. ENCOURAGEMENT OF INNOVATIVE PAYMENT METHODS.

    Section 15(k)(5) of the Small Business Act (15 U.S.C. 644(k)(5)) is 
amended by striking the semicolon at the end and inserting the 
following: ``, and encourage procurement officials to implement 
innovative payment methods, including, but not limited to, advance 
payments or payments for mobilization costs, in the award or 
negotiation of contracts to small business concerns,''.

SEC. 7. MAINTAINING SMALL BUSINESS ACCESS TO CONTRACTING OPPORTUNITIES.

    Section 8 of the Small Business Act (15 U.S.C. 637) is amended--
            (1) in subsection (e)(1)(A), by striking ``the small 
        purchase threshold'' each place it appears and inserting 
        ``$25,000'';
            (2) in subsection (g)(1), by redesignating subparagraphs 
        (A), (B), (C), (D), and (E) as subparagraphs (B), (C), (D), 
        (E), and (F), respectively, and by inserting before 
        subparagraph (B), as so redesignated, the following:
            ``(A) the proposed procurement is conducted by means of 
        electronic commerce under the Federal Acquisition Computer 
        Network System established pursuant to the Office of Federal 
        Procurement Policy Act;'';
            (3) in subsection (e)(1)(B), by striking ``(B)'' and all 
        that follows before clause (i) and inserting the following:
            ``(B) an executive agency soliciting offers for the 
        purchase of property or services shall post in a public place 
        at the contracting office a notice of the contracting 
        opportunity (meeting the standards of subsection (f)) and 
        receive offers in response to such notice for a period of not 
        less than 10 days--''; and
            (4) in subsection (e), by adding at the end the following:
    ``(4) Whenever an executive agency conducts a procurement by means 
of electronic commerce under the Federal Acquisition Computer Network 
System established pursuant to the Office of Federal Procurement Policy 
Act, the solicitation of offers shall prescribe a deadline for the 
submission of offers that--
            ``(A) in the case of a solicitation to furnish a commercial 
        item, is not less than 5 days;
            ``(B) in the case of a solicitation to furnish any other 
        type of product, is not less than 10 days;
            ``(C) in the case of a solicitation to furnish advisory and 
        assistance services, is not less than 20 days; and
            ``(D) in the case of solicitation to furnish any other type 
        of service, is not less than 15 days.''.

SEC. 8. SIMPLIFIED ACQUISITION THRESHOLD.

    (a) Measuring Effect on Small Business Participation.--Until 
October 1, 1999, procuring activities shall report procurement awards 
with a dollar value of at least $10,000, but less than $100,000, in 
conformity with the procedures or the reporting of a contract award in 
excess of $25,000 that were in effect on October 1, 1992.
    (b) Fast Payment Procedures.--
            (1) Responsibilities of the administrator.--The 
        Administrator of the Small Business Administration shall 
        propose a modification to the Federal Acquisition Regulation 
        that provides for the use of the payments terms described in 
        paragraph (2), and for the disbursement of payment through 
        electronic fund transfer, whenever circumstance permits.
            (2) Required payment terms.--Unless mitigating 
        circumstances preclude, the payment terms for a purchase or 
        classes of purchases made pursuant to simplified acquisition 
        procedures shall require payment, in accordance with the 
        provisions of chapter 39 of title 31, United States Code, not 
        later than 15 days after the date of receipt of a proper 
        invoice for products delivered or services performed if--
                    (A) in the case of a purchase of property, title to 
                the property will vest in the Government upon delivery 
                of the property to the Government or to a common 
                carrier; and
                    (B) in the case of property or services for which 
                payment is due before the Government's acceptance of 
                the property or services, the vendor provides 
                commercial or other appropriate warranties assuring 
                that the property or services purchased conform to the 
                requirements set forth in the Government's purchase 
                offer.

SEC. 9. EXPEDITED RESOLUTION OF CONTRACT ADMINISTRATION MATTERS.

    (a) Regulations Required.--The Federal Acquisition Regulation shall 
include provisions that require a contracting officer--
            (1) to make every reasonable effort to respond in writing 
        within 30 days to any written request to a matter relating to 
        the administration of a contact that is received from a small 
        business concern; and
            (2) in the event that the contracting officer is unable to 
        render a decision within the 30-day period, to transmit to the 
        contractor within such period a written notification of a 
        specific date by which the contracting officer expects to 
        render a decision.
    (b) Rule of Construction.--Nothing in this section shall be 
considered as creating any rights under the Contract Disputes Act of 
1978.
    (c) Definition.--In this section, the term ``small business 
concern'' means a business concern that meets the requirements of 
section 3(a) of the Small Business Act and the regulations promulgated 
pursuant to such section.

SEC. 10. PROTECTIONS FOR SMALL BUSINESS.

    Section 15(b) of the Small Business Act (15 U.S.C. 644(b)) is 
amended by striking ``(b)'' and inserting ``(b)(1)'' and by adding at 
the end the following:
    ``(2) No contracting procurement agency shall use any market 
acceptance criterion which would preclude small business concerns from 
being eligible for the contract award solely on the basis of being 
unable to supply a quantity of product when the same amount of product 
could be obtained from a number of small business suppliers.''.

SEC. 11. DEADLINES FOR ISSUANCE OF REGULATIONS.

    (a) Proposed Regulations.--Proposed amendments to the Federal 
Acquisition Regulation or proposed Small Business Administration 
regulations shall be published not later than 120 days after the date 
of the enactment of this Act for the purpose of obtaining public 
comment pursuant to either section 22 of the Office of Federal 
Procurement Policy Act or the Administrative Procedures Act, as 
appropriate. The public shall be afforded not less than 60 days to 
submit comments.
    (b) Final Regulations.--Final regulations shall be published and 
become effective not later than 270 days after the date of the 
enactment of this Act.

SEC. 12. ANNUAL REPORTS.

    (a) Correction of Data.--The Administrator for Federal Procurement 
Policy, in consultation with the Administration, the Secretary of 
Commerce, the Secretary of Defense, and other appropriate agencies, 
shall supervise the collection of data (either actual data or data 
acquired by valid statistical sample) on--
            (1) the number of small business concerns owned and 
        controlled by socially disadvantaged individuals or owned and 
        controlled by women;
            (2) the number of such small business concerns which 
        compete for or otherwise apply for Federal contracts; and
            (3) the number and dollar amounts of Federal contracts 
        awarded to such small business concerns.
Such statistics shall be gathered on an annual basis and shall be done 
by industry category or classes of such categories.
    (b) Reports.--On the basis of the statistics required to be 
collected under subsection (a), and on the basis of other sources of 
relevant information, the President shall report annually to Congress 
on the progress that small business concerns described in subsection 
(a) are making in obtaining a fair and equitable share of Federal 
procurement dollars. The President shall also assess the extent to 
which the Federal procurement system, or parts thereof, continues to 
require affirmative actions, such as the goals set forth in section 
15(g) of the Small Business Act (as amended by section 5 of this Act) 
in order to remedy past or presently remaining discrimination against 
such small business concerns.

SEC. 13. SMALL BUSINESS CONCERNS OWNED BY WOMEN.

    (a) Subcontract Participation.--Section 8(d) of the Small Business 
Act (15 U.S.C 637(d)) is amended--
            (1) by striking ``and small business concerns owned and 
        controlled by socially and economically disadvantaged 
        individuals'' both places it appears in paragraph (1), both 
        places it appears in paragraph (3)(A), in paragraph (4)(D), in 
        subparagraphs (A) and (F) of paragraph (6), and in paragraph 
        (10)(B) and inserting ``, small business concerns owned and 
        controlled by socially disadvantaged individuals, and small 
        business concerns owned and controlled by women'';
            (2) by striking subparagraph (D) in paragraph (3) and 
        inserting the following:
            ``(E) Contractors acting in good faith may relay on written 
        representations by their subcontractors regarding their status 
        as either small business concern, a small business concern 
        owned and controlled by socially disadvantaged individuals, or 
        a small business concern owned and controlled by women.'';
            (3) in paragraph (3), by inserting after subparagraph (C) 
        the following new subparagraph (D):
            ``(D) The term `small business concern owned and controlled 
        by women' shall mean a small business concern--
                    ``(i) which is at least 51 percent owned by one or 
                more women; or, in the case of any publicly owned 
                business, at least 51 percent 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.'';
            (4) in paragraph (4)(E), by inserting ``and for small 
        business concerns owned and controlled by women'' after ``as 
        defined in paragraph (3) of this subsection''; and
            (5) in paragraph (6)(C), by striking ``and small business 
        concerns owned and controlled by the socially and economically 
        disadvantaged individuals'' and inserting ``, small business 
        concerns owned and controlled by socially disadvantaged 
        individuals, and small business concerns owned and controlled 
        by women''.
    (b) Misrepresentations of Status.--(1) Subsection (d)(1) of section 
16 of such Act (15 U.S.C. 645) is amended by striking ``or `small 
business concern owned and controlled by socially and economically 
disadvantaged individuals''' and inserting the following: ``, or a 
`small business concern owned and controlled by socially and 
economically disadvantaged individuals', or a `small business concern 
owned and controlled by socially disadvantaged individuals', or a 
`small business concern owned and controlled by women'''.
    (2) Subsection (e) of such section is amended by striking ``or 
`small business concern owned and controlled by socially and 
economically disadvantaged individuals''' and inserting ``, or a `small 
business concern owned and controlled by socially and economically 
disadvantaged individuals', or a `small business concern owned and 
controlled by socially disadvantaged individuals', or a `small business 
concern owned and controlled by women'''.
    (c) Definition.--Section 3 of such Act (15 U.S.C. 632) is amended 
by adding at the end the following:
    ``(n) For the purposes of this Act, a small business concern is a 
small business concern owned and controlled by women if--
            ``(1) at least 51 percent of small business concern is 
        owned by 1 or more women or, in the case of publicly owned 
        business, at least 51 percent of the stock of which is owned by 
        1 or more women; and
            ``(2) the management and daily business operations of the 
        business are controlled by 1 or more women.''.
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HR 4263 CDH----2
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