II

106TH CONGRESS

2D SESSION S. 2569

To ensure and enhance participation in the HUBZone program by small

business concerns in Native America, to expand eligibility for certain

small businesses on a trial basis, and for other purposes.

IN THE SENATE OF THE UNITED STATES

MAY 16, 2000

Mr. BOND (for himself, Mr. KERRY, Mr. CAMPBELL, Mr. MURKOWSKI, Mr.

STEVENS, Mr. DASCHLE, and Mr. BAUCUS) introduced the following bill;

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

A BILL

To ensure and enhance participation in the HUBZone program by small business concerns in Native America, to

expand eligibility for certain small businesses on a trial

basis, 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. HUBZONE SMALL BUSINESS CONCERN.

4 Section 3(p)(3) of the Small Business Act (15 U.S.C.

5 632(p)(3)) is amended to read as follows:

6 ‘‘(3) HUBZONE SMALL BUSINESS CONCERN.—

7 The term ‘HUBZone small business concern’

8 means—
2

•S 2569 IS

1 ‘‘(A) a small business concern that is

2 owned and controlled by 1 or more persons,

3 each of whom is a United States citizen;

4 ‘‘(B) a small business concern that is—

5 ‘‘(i) an Alaska Native Corporation

6 owned and controlled by Natives (as deter7 mined pursuant to section 29(e)(1) of the

8 Alaska Native Claims Settlement Act (43

9 U.S.C. 1626(e)(1))); or

10 ‘‘(ii) a direct or indirect subsidiary

11 corporation, joint venture, or partnership

12 of an Alaska Native Corporation qualifying

13 pursuant to section 29(e)(1) of the Alaska

14 Native Claims Settlement Act (43 U.S.C.

15 1626(e)(1)), if that subsidiary, joint ven16 ture, or partnership is owned and con17 trolled by Natives (as determined pursuant

18 to section 29(e)(2)) of the Alaska Native

19 Claims Settlement Act (43 U.S.C.

20 1626(e)(2))); or

21 ‘‘(C) a small business concern—

22 ‘‘(i) that is wholly owned by 1 or more

23 Indian tribal governments, or by a corpora24 tion that is wholly owned by 1 or more In25 dian tribal governments; or
3

•S 2569 IS

1 ‘‘(ii) that is owned in part by 1 or

2 more Indian tribal governments, or by a

3 corporation that is wholly owned by 1 or

4 more Indian tribal governments, if all

5 other owners are either United States citi6 zens or small business concerns.’’.

7 SEC. 2. QUALIFIED HUBZONE SMALL BUSINESS CONCERN.

8 (a) IN GENERAL.—Section 3(p)(5)(A)(i) of the Small

9 Business Act (15 U.S.C. 632(p)(5)(A)(i)) is amended by

10 striking subclauses (I) and (II) and inserting the fol11 lowing:

12 ‘‘(I) it is a HUBZone small busi13 ness concern—

14 ‘‘(aa) pursuant to subpara15 graph (A) or (B) of paragraph

16 (3), and that its principal office

17 is located in a HUBZone and not

18 fewer than 35 percent of its em19 ployees reside in a HUBZone; or

20 ‘‘(bb) pursuant to paragraph

21 (3)(C), and not fewer than 35

22 percent of its employees engaged

23 in performing a contract awarded

24 to the small business concern on

25 the basis of a preference provided
4

•S 2569 IS

1 under section 31(b) reside within

2 any Indian reservation governed

3 by 1 or more of the tribal govern4 ment owners, or reside within

5 any HUBZone adjoining any

6 such Indian reservation;

7 ‘‘(II) the small business concern

8 will attempt to maintain the applica9 ble employment percentage under sub10 clause (I) during the performance of

11 any contract awarded to the small

12 business concern on the basis of a

13 preference provided under section

14 31(b); and’’.

15 (b) HUBZONE PILOT PROGRAM FOR SPARSELY POP16 ULATED AREAS.—Section 3(p)(5) of the Small Business

17 Act (15 U.S.C. 632(p)(5)) is amended by adding at the

18 end the following:

19 ‘‘(E) HUBZONE PILOT PROGRAM FOR

20 SPARSELY POPULATED AREAS.—

21 ‘‘(i) IN GENERAL.—Notwithstanding

22 subparagraph (A)(i)(I)(aa), during the pe23 riod beginning on the date of enactment of

24 the Small Business Reauthorization Act of

25 2000 and ending on September 30, 2003,
5

•S 2569 IS

1 a small business concern, the principal of2 fice of which is located in the State of

3 Alaska, an Alaska Native Corporation

4 under paragraph (3)(B)(i), or a direct or

5 indirect subsidiary, joint venture, or part6 nership under paragraph (3)(B)(ii) shall be

7 considered to be a qualified HUBZone

8 small business concern if—

9 ‘‘(I) its principal office is located

10 within a HUBZone within the State

11 of Alaska;

12 ‘‘(II) not fewer than 35 percent

13 of its employees who will be engaged

14 in performing a contract awarded to it

15 on the basis of a preference provided

16 under section 31(b) will perform their

17 work in any HUBZone located within

18 the State of Alaska; or

19 ‘‘(III) not fewer than 35 percent

20 of its employees reside in a HUBZone

21 located within the State of Alaska or

22 in any Alaska Native Village within

23 the State of Alaska.

24 ‘‘(ii) EXCEPTION.—
6

•S 2569 IS

1 ‘‘(I) IN GENERAL.—Clause (i)

2 shall not apply in any fiscal year fol3 lowing a fiscal year in which the total

4 amount of contract dollars awarded in

5 furtherance of the contracting goals

6 established under section 15(g)(1) to

7 small business concerns located within

8 the State of Alaska is equal to more

9 than 2 percent of the total amount of

10 such contract dollars awarded to all

11 small business concerns nationally,

12 based on data from the Federal Pro13 curement Data System.

14 ‘‘(II) LIMITATION.—Subclause

15 (I) shall not be construed to disqualify

16 a HUBZone small business concern

17 from performing a contract awarded

18 to it on the basis of a preference pro19 vided under section 31(b), if such con20 cern was qualified under clause (i) at

21 the time at which the contract was

22 awarded.’’.

23 (c) CLARIFYING AMENDMENT.—Section

24 3(p)(5)(D)(i) of the Small Business Act (15 U.S.C.

25 632(p)(5)(D)(i)) is amended by inserting ‘‘once the Ad-
7

•S 2569 IS

1 ministrator has made the certification required by sub2 paragraph (A)(i) regarding a qualified HUBZone small

3 business concern and has determined that subparagraph

4 (A)(ii) does not apply to that concern,’’ before ‘‘include’’.

5 SEC. 3. OTHER DEFINITIONS.

6 Section 3(p) of the Small Business Act (15 U.S.C.

7 632(p)) is amended by adding at the end the following:

8 ‘‘(6) NATIVE AMERICAN SMALL BUSINESS CON9 CERNS.—

10 ‘‘(A) ALASKA NATIVE CORPORATION.—The

11 term ‘Alaska Native Corporation’ has the same

12 meaning as the term ‘Native Corporation’ in

13 section 3 of the Alaska Native Claims Settle14 ment Act (43 U.S.C. 1602).

15 ‘‘(B) ALASKA NATIVE VILLAGE.—The term

16 ‘Alaska Native Village’ has the same meaning

17 as the term ‘Native village’ in section 3 of the

18 Alaska Native Claims Settlement Act (43

19 U.S.C. 1602).

20 ‘‘(C) INDIAN RESERVATION.—The term

21 ‘Indian reservation’—

22 ‘‘(i) has the same meaning as the

23 term ‘Indian country’ in section 1151 of

24 title 18, United States Code, except that

25 such term does not include—
8

•S 2569 IS

1 ‘‘(I) any lands that are located

2 within a State in which a tribe did not

3 exercise governmental jurisdiction on

4 the date of enactment of this para5 graph, unless that tribe is recognized

6 after that date of enactment by either

7 an Act of Congress or pursuant to

8 regulations of the Secretary of the In9 terior for the administrative recogni10 tion that an Indian group exists as an

11 Indian tribe (part 83 of title 25, Code

12 of Federal Regulations); and

13 ‘‘(II) lands taken into trust or

14 acquired by an Indian tribe after the

15 date of enactment of this paragraph if

16 such lands are not located within the

17 external boundaries of an Indian res18 ervation or former reservation or are

19 not contiguous to the lands held in

20 trust or restricted status on that date

21 of enactment; and

22 ‘‘(ii) in the State of Oklahoma, means

23 lands that—

24 ‘‘(I) are within the jurisdictional

25 areas of an Oklahoma Indian tribe (as
9

•S 2569 IS

1 determined by the Secretary of the In2 terior); and

3 ‘‘(II) are recognized by the Sec4 retary of the Interior as eligible for

5 trust land status under part 151 of

6 title 25, Code of Federal Regulations

7 (as in effect on the date of enactment

8 of this paragraph).’’.

Æ