II 

112TH CONGRESS 

2D SESSION S. 3405 

To amend title 38, United States Code, to treat small businesses bequeathed 

to spouses and dependents by members of the Armed Forces killed 

in line of duty as small business concerns owned and controlled by 

veterans for purposes of Department of Veterans Affairs contracting 

goals and preferences, and for other purposes. 

IN THE SENATE OF THE UNITED STATES 

JULY 19, 2012 

Mr. HELLER (for himself and Mr. BURR) introduced the following bill; which 

was read twice and referred to the Committee on Veterans’ Affairs 

A BILL 

To amend title 38, United States Code, to treat small businesses bequeathed to spouses and dependents by members of the Armed Forces killed in line of duty as small 

business concerns owned and controlled by veterans for 

purposes of Department of Veterans Affairs contracting 

goals and preferences, and for other purposes. 

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

3 SECTION 1. SHORT TITLE. 

4 This Act may be cited as the ‘‘Veterans Small Busi5 ness Protection Act of 2012’’. 


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•S 3405 IS

1 SEC. 2. TREATMENT OF BUSINESSES AFTER DEATHS OF 

2 SERVICEMEMBER-OWNERS FOR PURPOSES 

3 OF DEPARTMENT OF VETERANS AFFAIRS 

4 CONTRACTING GOALS AND PREFERENCES. 

5 (a) IN GENERAL.—Section 8127 of title 38, United 

6 States Code, is amended— 

7 (1) by redesignating subsections (i) through (l) 

8 as subsections (j) through (m), respectively; and 

9 (2) by inserting after subsection (h) the fol10 lowing new subsection (i): 

11 ‘‘(i) TREATMENT OF BUSINESSES AFTER DEATH OF

12 SERVICEMEMBER-OWNER.—(1) If a member of the Armed 

13 Forces owns at least 51 percent of a small business con14 cern and such member is killed in line of duty in the active 

15 military, naval, or air service, the surviving spouse or de16 pendent of such member who acquires such ownership 

17 rights in such small business concern shall, for the period 

18 described in paragraph (2), be treated as if the surviving 

19 spouse or dependent were a veteran with a service-con20 nected disability for purposes of determining the status 

21 of the small business concern as a small business concern 

22 owned and controlled by veterans for purposes of con23 tracting goals and preferences under this section. 

24 ‘‘(2) The period referred to in paragraph (1) is the 

25 period beginning on the date on which the member of the 

26 Armed Forces dies and ending on the date as follows: 


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•S 3405 IS

1 ‘‘(A) In the case of a surviving spouse, the ear2 liest of the following dates: 

3 ‘‘(i) The date on which the surviving 

4 spouse remarries. 

5 ‘‘(ii) The date on which the surviving 

6 spouse relinquishes an ownership interest in the 

7 small business concern and no longer owns at 

8 least 51 percent of such small business concern. 

9 ‘‘(iii) The date that is ten years after the 

10 date of the member’s death. 

11 ‘‘(B) In the case of a dependent who is not a 

12 spouse, the earliest of the following dates: 

13 ‘‘(i) The date on which the surviving de14 pendant relinquishes an ownership interest in 

15 the small business concern and no longer owns 

16 at least 51 percent of such small business con17 cern. 

18 ‘‘(ii) The date that is ten years after the 

19 date of the member’s death.’’. 

20 (b) EFFECTIVE DATE.—Subsection (i) of section 

21 8127 of such title, as added by subsection (a), take effect 

22 on the date of the enactment of this Act and shall apply 

23 with respect to the deaths of members of the Armed 

24 Forces occurring on or after such date. 

Æ 


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