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paragraph (2)(B) for purposes of consultation required by
paragraph (1).
‘‘(c) CONGRESSIONAL NOTIFICATION.—(1) Before com-
mencing a public-private competition under subsection (a),
the head of an executive agency shall submit to Congress
a report containing the following:
‘‘(A) The function for which such public-private
competition is to be conducted.
‘‘(B) The location at which the function is per-
formed by agency civilian employees.
‘‘(C) The number of agency civilian employee po-
sitions potentially affected.
‘‘(D) The anticipated length and cost of the pub-
lic-private competition, and a specific identification
of the budgetary line item from which funds will be
used to cover the cost of the public-private competi-
tion.
‘‘(E) A certification that a proposed performance
of the function by a contractor is not a result of a
decision by an official of an executive agency to im-
pose predetermined constraints or limitations on such
employees in terms of man years, end strengths, full-
time equivalent positions, or maximum number of
employees.
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‘‘(2) The report required under paragraph (1) shall in-
clude an examination of the potential economic effect of per-
formance of the function by a contractor on—
‘‘(A) agency civilian employees who would be af-
fected by such a conversion in performance; and
‘‘(B) the local community and the Government,
if more than 50 agency civilian employees perform
the function.
‘‘(3)(A) A representative individual or entity at a fa-
cility where a public-private competition is conducted may
submit to the head of the executive agency an objection to
the public private competition on the grounds that the re-
port required by paragraph (1) has not been submitted or
that the certification required by paragraph (1)(E) is not
included in the report submitted as a condition for the pub-
lic private competition. The objection shall be in writing
and shall be submitted within 90 days after the following
date:
‘‘(i) In the case of a failure to submit the report
when required, the date on which the representative
individual or an official of the representative entity
authorized to pose the objection first knew or should
have known of that failure.
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‘‘(ii) In the case of a failure to include the cer-
tification in a submitted report, the date on which the
report was submitted to Congress.
‘‘(B) If the head of the executive agency deter-
mines that the report required by paragraph (1) was
not submitted or that the required certification was
not included in the submitted report, the function for
which the public-private competition was conducted
for which the objection was submitted may not be the
subject of a solicitation of offers for, or award of, a
contract until, respectively, the report is submitted or
a report containing the certification in full compli-
ance with the certification requirement is submitted.
‘‘(d) EXEMPTION FOR THE PURCHASE OF PRODUCTS
AND SERVICES
OF
THE BLIND
AND OTHER SEVERELY
HANDICAPPED PERSONS.—This section shall not apply to
a commercial or industrial type function of an executive
agency that—
‘‘(1) is included on the procurement list estab-
lished pursuant to section 2 of the Javits-Wagner-
O’Day Act (41 U.S.C. 47); or
‘‘(2) is planned to be changed to performance by
a qualified nonprofit agency for the blind or by a
qualified nonprofit agency for other severely handi-
capped persons in accordance with that Act.
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‘‘(e) INAPPLICABILITY
DURING
WAR
OR
EMER-
GENCY.—The provisions of this section shall not apply dur-
ing war or during a period of national emergency declared
by the President or Congress.’’.
(b) CLERICAL AMENDMENT.—The table of sections in
section 1(b) of such Act is amended by adding at the end
the following new item:
‘‘Sec. 43. Public-private competition required before conversion to contractor per-
formance.’’.
SEC. 368. PERFORMANCE OF CERTAIN WORK BY FEDERAL
GOVERNMENT EMPLOYEES.
(a) GUIDELINES.—
(1) IN GENERAL.—The Under Secretary of De-
fense for Personnel and Readiness shall prescribe
guidelines and procedures for ensuring that consider-
ation is given to using Federal Government employees
on a regular basis for new work and work that is per-
formed under Department of Defense contracts and
could be performed by Federal Government employees.
(2) CRITERIA.—The guidelines and procedures
prescribed under paragraph (1) shall provide for spe-
cial consideration to be given to contracts that—
(A) have been performed by Federal Govern-
ment employees at any time on or after October
1, 1980;
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(B) are associated with the performance of
inherently governmental functions;
(C) have been performed by a contractor
pursuant to a contract that was awarded on a
noncompetitive basis, either a contract for a
function once performed by Federal employees
that was awarded without the conduct of a pub-
lic-private competition or a contract that was
last awarded without the conduct of an actual
competition between contractors; or
(D) have been performed poorly by a con-
tractor because of excessive costs or inferior qual-
ity, as determined by a contracting officer with-
in the last five years .
(3) DEADLINE FOR ISSUANCE OF GUIDELINES.—
The Secretary of Defense shall implement the guide-
lines required under paragraph (1) by not later than
60 days after the date of the enactment of this Act.
(4) ESTABLISHMENT
OF
CONTRACTOR
INVEN-
TORY.—The Secretary of Defense shall establish an
inventory of Department of Defense contracts to deter-
mine which contracts meet the criteria set forth in
paragraph (2).
(b) NEW REQUIREMENTS.—