II 

112TH CONGRESS 

1ST SESSION S. 236 

To eliminate the preferences and special rules for Alaska Native Corporations 

under the program under section 8(a) of the Small Business Act. 

IN THE SENATE OF THE UNITED STATES 

JANUARY 31, 2011 

Mrs. MCCASKILL (for herself and Mr. CARPER) introduced the following bill; 

which was read twice and referred to the Committee on Small Business 

and Entrepreneurship 

A BILL 

To eliminate the preferences and special rules for Alaska 

Native Corporations under the program under section 

8(a) of the Small Business Act. 

1 Be it enacted by the Senate and House of Representa2 tives of the United States of America in Congress assembled, 

3 SECTION 1. AMENDMENT TO DEFINITION OF INDIAN TRIBE. 

4 Section 8(a)(13) of the Small Business Act (15 

5 U.S.C. 637(a)(13)) is amended— 

6 (1) by redesignating subparagraphs (A) and 

7 (B) as clauses (i) and (ii), respectively, and adjust8 ing the margins accordingly; 


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1 (2) by striking ‘‘the term ‘Indian tribe’ means’’ 

2 and inserting the following: ‘‘the term ‘Indian 

3 tribe’— 

4 ‘‘(A) means’’; 

5 (3) by striking ‘‘, including any Alaska Native 

6 village or regional or village corporation (within the 

7 meaning of the Alaska Native Claims Settlement 

8 Act)’’; 

9 (4) in subparagraph (A)(i), as so designated, by 

10 striking ‘‘, or’’ and inserting ‘‘; or’’; 

11 (5) by striking the period at the end and insert12 ing ‘‘; and’’; and 

13 (6) by adding at the end the following: 

14 ‘‘(B) does not include an Alaska Native 

15 Corporation or Alaska Native Village.’’. 

16 SEC. 2. SOCIAL AND ECONOMIC DISADVANTAGE. 

17 (a) IN GENERAL.—Section 29(e) of the Alaska Na18 tive Claims Settlement Act (43 U.S.C. 1626(e)) is amend19 ed— 

20 (1) in paragraph (1), by striking ‘‘For all pur21 poses of’’ and inserting ‘‘Except as provided in para22 graph (5), for all purposes of’’; 

23 (2) in paragraph (2), by striking ‘‘For all pur24 poses of’’ and inserting ‘‘Except as provided in para25 graph (5), for all purposes of’’; and 


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1 (3) by adding at the end the following: 

2 ‘‘(5) For purposes of sections 7(j)(10) and 8(a) of 

3 the Small Business Act (15 U.S.C. 636(j)(10) and 

4 637(a)), whether a Native Corporation or Native village 

5 or a direct and indirect subsidiary corporation, joint ven6 ture, or partnership of a Native Corporation or Native vil7 lage is socially or economically disadvantaged shall be de8 termined in accordance with paragraph (5) or (6), respec9 tively, of section 8(a) of the Small Business Act.’’. 

10 (b) STANDARDS.—Section 8(a) of the Small Business 

11 Act (15 U.S.C. 637(a)) is amended— 

12 (1) in paragraph (4)— 

13 (A) in subparagraph (A)— 

14 (i) in clause (i)— 

15 (I) in subclause (II), by striking 

16 ‘‘or’’ at the end; and 

17 (II) by adding at the end the fol18 lowing: 

19 ‘‘(IV) a socially and economically disadvan20 taged Alaska Native Corporation or Alaska Na21 tive Village, or’’; and 

22 (ii) in clause (ii)— 

23 (I) in subclause (II), by striking 

24 ‘‘or’’ at the end; 


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1 (II) in subclause (III), by strik2 ing the period at the end and insert3 ing ‘‘, or’’; and 

4 (III) by adding at the end the 

5 following: 

6 ‘‘(IV) a socially and economically disadvan7 taged Alaska Native Corporation or Alaska Na8 tive Village.’’; 

9 (B) in subparagraph (B)— 

10 (i) in clause (ii), by striking ‘‘or’’ at 

11 the end; 

12 (ii) in clause (iii), by striking the pe13 riod at the end and inserting ‘‘, or’’; and 

14 (iii) by adding at the end the fol15 lowing: 

16 ‘‘(iv) members of a socially and economically 

17 disadvantaged Alaska Native Corporation or Alaska 

18 Native Village described in subparagraph (A)(i)(IV) 

19 or subparagraph (A)(ii)(IV).’’; and 

20 (C) by adding at the end the following: 

21 ‘‘(D) The Administrator may not waive the require22 ment under this paragraph that the management and 

23 daily business operations of a business concern partici24 pating in the program under this subsection are controlled 

25 by one or more socially and economically disadvantaged 


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1 individuals for a business concern owned by an Alaska Na2 tive Corporation or Alaska Native Village.’’; 

3 (2) in paragraph (5)— 

4 (A) by inserting ‘‘(A)’’ after ‘‘(5)’’; and 

5 (B) by adding at the end the following: 

6 ‘‘(B) For purposes of this subsection and section 

7 7(j)(10), the Administrator shall determine whether an 

8 Alaska Native Corporation or Alaska Native Village is, as 

9 an entity, socially disadvantaged in accordance with the 

10 factors described in subparagraph (A).’’; and 

11 (3) in paragraph (6), by adding at the end the 

12 following: 

13 ‘‘(F) For purposes of this subsection and section 

14 7(j)(10), the Administrator shall annually determine 

15 whether an Alaska Native Corporation or Alaska Native 

16 Village is economically disadvantaged in the same manner 

17 as for an applicant for or participant in the program under 

18 this subsection that is a Native Hawaiian organization.’’. 

19 SEC. 3. AFFILIATION. 

20 Section 7(j)(10)(J)(ii)(II) of the Small Business Act 

21 (15 U.S.C. 636(j)(10)(J)(ii)(II)) is amended by inserting 

22 ‘‘, as defined in section 8(a)(13)’’ after ‘‘Indian tribe’’. 

23 SEC. 4. SOLE SOURCE CONTRACTING DOLLAR LIMITS. 

24 (a) COMPETITIVE THRESHOLDS.—Not later than 

25 270 days after the date of enactment of this Act, the AdVerDate Mar 15 2010 22:05 Feb 01, 2011 Jkt 099200 PO 00000 Frm 00005 Fmt 6652 Sfmt 6201 E:\BILLS\S236.IS S236

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1 ministrator shall amend the regulations issued under sec2 tions 7(j)(10) and 8(a) of the Small Business Act (15 

3 U.S.C. 636(j)(10) and 637(a)) in accordance with this Act 

4 and the amendments made by this Act to apply to small 

5 business concerns owned by an Alaska Native Corporation 

6 or Alaska Native Village the competitive thresholds for 

7 awarding sole source contracts under section 8(a)(1)(D) 

8 of the Small Business Act (15 U.S.C. 637(a)(1)(D)) that 

9 are applicable to small business concerns that are owned 

10 by a socially and economically disadvantaged individual. 

11 (b) MAXIMUM TOTAL DOLLAR AMOUNT.—Section 

12 8(a)(1)(D) of the Small Business Act (15 U.S.C. 

13 637(a)(1)(D)) is amended by adding at the end the fol14 lowing: 

15 ‘‘(iii) For purposes of eligibility for the 

16 award of a contract on the basis of restricted 

17 competition under this subparagraph, the Ad18 ministrator may not establish a maximum total 

19 dollar amount of such awards during the period 

20 of Program Participation for participants that 

21 are owned by an Alaska Native Corporation or 

22 Alaska Native Village that is different from the 

23 amount for Program Participants that are 

24 owned by a socially and economically disadvan25 taged individual.’’. 


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1 SEC. 5. ONE TIME ELIGIBILITY. 

2 Section 7(j)(11)(B)(iii) of the Small Business Act (15 

3 U.S.C. 636(j)(11)(B)(iii)) is amended in the matter pre4 ceding subclause (I) by inserting ‘‘(as defined in section 

5 8(a)(13))’’ after ‘‘Indian tribe’’. 

6 SEC. 6. GRADUATION. 

7 (a) IN GENERAL.—Section 7(j)(15) of the Small 

8 Business Act (15 U.S.C. 636(j)(15)) is amended— 

9 (1) by redesignating subparagraphs (A) and 

10 (B) as clauses (i) and (ii), respectively; 

11 (2) by inserting ‘‘(A)’’ after ‘‘(15)’’; and 

12 (3) by adding at the end the following: 

13 ‘‘(B) The Administrator may not extend or waive the 

14 time limitations under this paragraph for a business con15 cern owned by an Alaska Native Corporation or Alaska 

16 Native Village.’’. 

17 (b) TECHNICAL AND CONFORMING AMENDMENTS.— 

18 The Small Business Act (15 U.S.C. 631 et seq.) is amend19 ed— 

20 (1) in section 7(j) (15 U.S.C. 636(j))— 

21 (A) in paragraph (10)(E)(ii), by striking 

22 ‘‘paragraph (15)’’ and inserting ‘‘paragraph 

23 (15)(A)’’; and 

24 (B) in paragraph (11)(D), by striking 

25 ‘‘paragraph (15)’’ and inserting ‘‘paragraph 

26 (15)(A)’’; and 


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1 (2) in section 8(a)(1)(C) (15 U.S.C. 

2 637(a)(1)(C)), in the matter preceding clause (i), by 

3 striking ‘‘section 7(j)(15)’’ and inserting ‘‘section 

4 7(j)(15)(A)’’. 

5 SEC. 7. REPORTING. 

6 Section 8(a)(6)(B) of the Small Business Act (15 

7 U.S.C. 637(a)(6)(B)) is amended— 

8 (1) by redesignating clauses (i), (ii), and (iii) as 

9 subclauses (I), (II), and (III), respectively; 

10 (2) by inserting ‘‘(i)’’ after ‘‘(B)’’; and 

11 (3) by adding at the end the following: 

12 ‘‘(ii) The annual report submitted under clause (i) 

13 by a Program Participant that is an Alaska Native Cor14 poration or Alaska Native Village shall include, for the pe15 riod addressed by the report— 

16 ‘‘(I) the total revenue of the Alaska Native Cor17 poration or Alaska Native Village; 

18 ‘‘(II) the revenue of the Alaska Native Corpora19 tion or Alaska Native Village attributable to the par20 ticipation of the Alaska Native Corporation or Alas21 ka Native Village in the program under this sub22 section; and 

23 ‘‘(III) the total amount of benefits paid to 

24 shareholders of the Alaska Native Corporation or 

25 Alaska Native Village.’’. 


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1 SEC. 8. REGULATIONS. 

2 Not later than 270 days after the date of enactment 

3 of this Act, the Administrator shall amend the regulations 

4 issued under sections 7(j)(10) and 8(a) of the Small Busi5 ness Act (15 U.S.C. 636(j)(10) and 637(a)) in accordance 

6 with this section and the amendments made by this sec7 tion, which shall include— 

8 (1) establishing criteria for determining wheth9 er an Alaska Native Corporation or Alaska Native 

10 Village is, as a group, socially disadvantaged, in ac11 cordance with the factors described in section 

12 8(a)(5)(A) of the Small Business Act, as so des13 ignated by this Act; 

14 (2) establishing criteria for determining wheth15 er an Alaska Native Corporation, Alaska Native Vil16 lage, or Native Hawaiian Organization is economi17 cally disadvantaged; 

18 (3) repealing the provision that excludes certain 

19 affiliates of an Alaska Native Corporation or Alaska 

20 Native Village in determining whether a business is 

21 a small business concern; 

22 (4) repealing the waiver for Alaska Native Cor23 porations and Alaska Native Villages of the require24 ment that the management and daily business oper25 ations of a business concern participating in the pro26 gram under section 8(a) of the Small Business Act 


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1 (15 U.S.C. 637(a)) are controlled by one or more so2 cially and economically disadvantaged individuals; 

3 (5) applying to small business concerns owned 

4 by an Alaska Native Corporation or Alaska Native 

5 Village the limitation on eligibility for a sole source 

6 award under section 8(a)(1)(D) of the Small Busi7 ness Act (15 U.S.C. 637(a)(1)(D)) based on the 

8 maximum total amount of competitive and sole 

9 source awards under such section 8(a) that are ap10 plicable to small business concerns that are owned 

11 by a socially and economically disadvantaged indi12 vidual; 

13 (6) prohibiting a single Alaska Native Corpora14 tion or Alaska Native Village from conferring eligi15 bility to participate in the program under section 

16 8(a) of the Small Business Act (15 U.S.C. 637(a)) 

17 on more than 1 small business concern at any one 

18 time; and 

19 (7) applying to small business concerns owned 

20 by an Alaska Native Corporation or Alaska Native 

21 Village the limitation on ownership of other firms 

22 participating in the program under section 8(a) of 

23 the Small Business Act (15 U.S.C. 637(a)) that is 

24 applicable to small business concerns that are owned 


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1 by a socially and economically disadvantaged indi2 vidual. 

3 SEC. 9. DEFINITIONS. 

4 In this Act— 

5 (1) the term ‘‘Administrator’’ means the Ad6 ministrator of the Small Business Administration; 

7 (2) the terms ‘‘Alaska Native Corporation’’ and 

8 ‘‘Alaska Native Village’’ have the meanings given 

9 those terms in section 3(p)(6) of the Small Business 

10 Act (15 U.S.C. 632(p)(6)); 

11 (3) the term ‘‘Native Hawaiian Organization’’ 

12 has the meaning given that term in section 8(a)(15) 

13 of the Small Business Act (15 U.S.C. 637(a)(15)); 

14 and 

15 (4) the term ‘‘small business concern’’ has the 

16 meaning given that term under section 3 of the 

17 Small Business Act (15 U.S.C. 632). 

Æ 


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