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(1) MANNER IN WHICH FILLED.—A vacancy in the membership of 
the Committee shall be filled in the manner in which the original ap-
pointment was made. 
(2) UNFULFILLED TERM.—A member appointed under paragraph 
(2), (3), (4), or (5) of subsection (b) to fill a vacancy occurring prior 
to the expiration of the term for which the predecessor was appointed 
shall be appointed only for the remainder of the term. The member 
may serve after the expiration of a term until a successor takes office. 
(f) PAY AND TRAVEL EXPENSES.— 
(1) AMOUNT TO WHICH MEMBERS ARE ENTITLED.—Except as pro-
vided in paragraph (2), members of the Committee are entitled to re-
ceive the daily equivalent of the maximum annual rate of basic pay 
payable under section 5376 of title 5 for each day (including travel- 
time) during which they perform services for the Committee. A member 
is entitled to travel expenses, including a per diem allowance instead 
of subsistence, as provided under section 5703 of title 5. 
(2) OFFICERS OR EMPLOYEES OF THE FEDERAL GOVERNMENT.— 
Members who are officers or employees of the Federal Government may 
not receive additional pay because of their service on the Committee. 
(g) STAFF.— 
(1) APPOINTMENT AND COMPENSATION.—Subject to rules the Com-
mittee may adopt and to chapters 33 and 51 and subchapter III of 
chapter 53 of title 5, the Chairman may appoint and fix the pay of 
personnel the Committee determines are necessary to assist it in car-
rying out this chapter. 
(2) PERSONNEL FROM OTHER ENTITIES.—On request of the Com-
mittee, the head of an entity of the Federal Government may detail, 
on a reimbursable basis, any personnel of the entity to the Committee 
to assist it in carrying out this chapter. 
(h) OBTAINING OFFICIAL INFORMATION.—The Committee may secure di-
rectly from an entity of the Federal Government information necessary to 
enable it to carry out this chapter. On request of the Chairman, the head 
of the entity shall furnish the information to the Committee. 
(i) ADMINISTRATIVE SUPPORT SERVICES.—The Administrator of General 
Services shall provide to the Committee, on a reimbursable basis, adminis-
trative support services the Committee requests. 
(j) ANNUAL REPORT.—Not later than December 31 of each year, the 
Committee shall transmit to the President a report that includes the names 
of the Committee members serving in the prior fiscal year, the dates of 
Committee meetings in that year, a description of the activities of the Com-
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HR 1107 RH 
mittee under this chapter in that year, and any recommendations for 
changes in this chapter which the Committee determines are necessary. 
§ 8503. Duties and powers of the Committee 
(a) PROCUREMENT LIST.— 
(1) MAINTENANCE OF LIST.—The Committee shall maintain and 
publish in the Federal Register a procurement list. The list shall in-
clude the following products and services determined by the Committee 
to be suitable for the Federal Government to procure pursuant to this 
chapter: 
(A) Products produced by a qualified nonprofit agency for the 
blind or by a qualified nonprofit agency for other severely disabled. 
(B) The services those agencies provide. 
(2) CHANGES TO LIST.—The Committee may, by rule made in ac-
cordance with the requirements of section 553(b) to (e) of title 5, add 
to and remove from the procurement list products so produced and 
services so provided. 
(b) FAIR MARKET PRICE.—The Committee shall determine the fair mar-
ket price of products and services contained on the procurement list that 
are offered for sale to the Federal Government by a qualified nonprofit 
agency for the blind or a qualified nonprofit agency for other severely dis-
abled. The Committee from time to time shall revise its price determinations 
with respect to those products and services in accordance with changing 
market conditions. 
(c) CENTRAL NONPROFIT AGENCY OR AGENCIES.—The Committee shall 
designate a central nonprofit agency or agencies to facilitate the distribu-
tion, by direct allocation, subcontract, or any other means, of orders of the 
Federal Government for products and services on the procurement list 
among qualified nonprofit agencies for the blind or qualified nonprofit agen-
cies for other severely disabled. 
(d) REGULATIONS.—The Committee— 
(1) may prescribe regulations regarding specifications for products 
and services on the procurement list, the time of their delivery, and 
other matters as necessary to carry out this chapter; and 
(2) shall prescribe regulations providing that when the Federal Gov-
ernment purchases products produced and offered for sale by qualified 
nonprofit agencies for the blind or qualified nonprofit agencies for 
other severely disabled, priority shall be given to products produced and 
offered for sale by qualified nonprofit agencies for the blind. 
(e) STUDY
AND EVALUATION
OF ACTIVITIES.—The Committee shall 
make a continuing study and evaluation of its activities under this chapter 
to ensure effective and efficient administration of this chapter. The Com-
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mittee on its own or in cooperation with other public or nonprofit private 
agencies may study— 
(1) problems related to the employment of the blind and other se-
verely disabled individuals; and 
(2) the development and adaptation of production methods that 
would enable a greater utilization of the blind and other severely dis-
abled individuals. 
§ 8504. Procurement requirements for the Federal Govern-
ment 
(a) IN GENERAL.—An entity of the Federal Government intending to pro-
cure a product or service on the procurement list referred to in section 8503 
of this title shall procure the product or service from a qualified nonprofit 
agency for the blind or a qualified nonprofit agency for other severely dis-
abled in accordance with regulations of the Committee and at the price the 
Committee establishes if the product or service is available within the period 
required by the entity. 
(b) EXCEPTION.—This section does not apply to the procurement of a 
product that is available from an industry established under chapter 307 
of title 18 and that is required under section 4124 of title 18 to be procured 
from that industry. 
§ 8505. Audit 
For the purpose of audit and examination, the Comptroller General shall 
have access to the books, documents, papers, and other records of— 
(1) the Committee and of each central nonprofit agency the Com-
mittee designates under section 8503(c) of this title; and 
(2) qualified nonprofit agencies for the blind and qualified nonprofit 
agencies for other severely disabled that have sold products or services 
under this chapter to the extent those books, documents, papers, and 
other records relate to the activities of the agency in a fiscal year in 
which a sale was made under this chapter. 
§ 8506. Authorization of appropriations 
Necessary amounts may be appropriated to the Committee to carry out 
this chapter. 
CHAPTER 87—KICKBACKS 
Sec. 
8701.
Definitions. 
8702.
Prohibited conduct. 
8703.
Contractor responsibilities. 
8704.
Inspection authority. 
8705.
Administrative offsets. 
8706.
Civil actions. 
8707.
Criminal penalties. 
§ 8701. Definitions 
In this chapter: 
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(1) CONTRACTING AGENCY.—The term ‘‘contracting agency’’, when 
used with respect to a prime contractor, means a department, agency, 
or establishment of the Federal Government that enters into a prime 
contract with a prime contractor. 
(2) KICKBACK.—The term ‘‘kickback’’ means any money, fee, com-
mission, credit, gift, gratuity, thing of value, or compensation of any 
kind that is provided to a prime contractor, prime contractor employee, 
subcontractor, or subcontractor employee to improperly obtain or re-
ward favorable treatment in connection with a prime contract or a sub-
contract relating to a prime contract. 
(3) PRIME CONTRACT.—The term ‘‘prime contract’’ means a con-
tract or contractual action entered into by the Federal Government to 
obtain supplies, materials, equipment, or services of any kind. 
(4) PRIME CONTRACTOR.—The term ‘‘prime contractor’’ means a 
person that has entered into a prime contract with the Federal Govern-
ment. 
(5) PRIME CONTRACTOR EMPLOYEE.—The term ‘‘prime contractor 
employee’’ means an officer, partner, employee, or agent of a prime 
contractor. 
(6) SUBCONTRACT.—The term ‘‘subcontract’’ means a contract or 
contractual action entered into by a prime contractor or subcontractor 
to obtain supplies, materials, equipment, or services of any kind under 
a prime contract. 
(7) SUBCONTRACTOR.—The term ‘‘subcontractor’’— 
(A) means a person, other than the prime contractor, that offers 
to furnish or furnishes supplies, materials, equipment, or services 
of any kind under a prime contract or a subcontract entered into 
in connection with the prime contract; and 
(B) includes a person that offers to furnish or furnishes general 
supplies to the prime contractor or a higher tier subcontractor. 
(8) SUBCONTRACTOR
EMPLOYEE.—The term ‘‘subcontractor em-
ployee’’ means an officer, partner, employee, or agent of a subcon-
tractor. 
§ 8702. Prohibited conduct 
A person may not— 
(1) provide, attempt to provide, or offer to provide a kickback; 
(2) solicit, accept, or attempt to accept a kickback; or 
(3) include the amount of a kickback prohibited by paragraph (1) 
or (2) in the contract price— 
(A) a subcontractor charges a prime contractor or a higher tier 
subcontractor; or 
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