be used on or after October 1, 2011, and become effective 
on the effective date of the final regulations issued pursuant 
to section 17. 
(h) DEFINITIONS.—For the purposes of this section— 
(1) the term ‘‘base period’’ means the total sales 
of Federal Prison Industries during the period Octo-
ber 1, 2003, and September 30, 2004 (Fiscal Year 
2004); 
(2) the term ‘‘business sectors’’ means the seven 
product/service business groups identified in the 2004 
Federal Prison Industries annual report as the Cloth-
ing and Textiles Business Group, the Electronics 
Business Group, the Fleet Management and Vehicular 
Components Business Group, the Industrial Products 
Business Group, the Office Furniture Business Group, 
the Recycling Activities Business Group, and the 
Services Business Group; and 
(3) the term ‘‘fair and reasonable price’’ shall be 
given the same meaning as, and be determined pursu-
ant to, part 15.8 of the Federal Acquisition Regula-
tion (48 C.F.R. 15.8). 
(i) FINDING BY ATTORNEY GENERAL WITH RESPECT 
TO PUBLIC SAFETY.—(1) Not later than 60 days prior to 
the end of each fiscal year specified in subsection (e)(1), 
the Attorney General shall make a finding regarding the 
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effects of the percentage limitation imposed by such sub-
section for such fiscal year and the likely effects of the limi-
tation imposed by such subsection for the following fiscal 
year. 
(2) The Attorney General’s finding shall include a de-
termination whether such limitation has resulted or is like-
ly to result in a substantial reduction in inmate industrial 
employment and whether such reductions, if any, present 
a significant risk of adverse effects on safe prison operation 
or public safety. 
(3) If the Attorney General finds a significant risk of 
adverse effects on either safe prison management or public 
safety, he shall so advise the Congress. 
(4) In advising the Congress pursuant to paragraph 
(3), the Attorney General shall make recommendations for 
additional authorizations of appropriations to provide ad-
ditional alternative inmate rehabilitative opportunities and 
additional correctional staffing, as may be appropriate. 
(j) PROCEDURAL REQUIREMENTS FOR CIVILIAN AGEN-
CIES RELATING TO PRODUCTS OF FEDERAL PRISON INDUS-
TRIES.—Title III of the Federal Property and Administra-
tive Services Act of 1949 (41 U.S.C. 251 et seq.) is amended 
by adding at the end the following new section: 
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‘‘SEC. 318. PRODUCTS OF FEDERAL PRISON INDUSTRIES: 
PROCEDURAL REQUIREMENTS. 
‘‘(a) MARKET RESEARCH.—Before purchasing a prod-
uct listed in the latest edition of the Federal Prison Indus-
tries catalog under section 4124(g) of title 18, United States 
Code, the head of an executive agency shall conduct market 
research to determine whether the Federal Prison Industries 
product is comparable to products available from the pri-
vate sector that best meet the executive agency’s needs in 
terms of price, quality, and time of delivery. 
‘‘(b) COMPETITION REQUIREMENT.—If the head of the 
executive agency determines that a Federal Prison Indus-
tries product is not comparable in price, quality, or time 
of delivery to products available from the private sector that 
best meet the executive agency’s needs in terms of price, 
quality, and time of delivery, the agency head shall use 
competitive procedures for the procurement of the product 
or shall make an individual purchase under a multiple 
award contract. In conducting such a competition or mak-
ing such a purchase, the agency head shall consider a timely 
offer from Federal Prison Industries. 
‘‘(c) IMPLEMENTATION BY HEAD OF EXECUTIVE AGEN-
CY.—The head of an executive agency shall ensure that— 
‘‘(1) the executive agency does not purchase a 
Federal Prison Industries product or service unless a 
contracting officer of the agency determines that the 
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product or service is comparable to products or serv-
ices available from the private sector that best meet 
the agency’s needs in terms of price, quality, and time 
of delivery; and 
‘‘(2) Federal Prison Industries performs its con-
tractual obligations to the same extent as any other 
contractor for the executive agency. 
‘‘(d) MARKET RESEARCH DETERMINATION NOT SUB-
JECT TO REVIEW.—A determination by a contracting offi-
cer regarding whether a product or service offered by Fed-
eral Prison Industries is comparable to products or services 
available from the private sector that best meet an executive 
agency’s needs in terms of price, quality, and time of deliv-
ery shall not be subject to review pursuant to section 
4124(b) of title 18. 
‘‘(e) PERFORMANCE AS A SUBCONTRACTOR.—(1) A 
contractor or potential contractor of an executive agency 
may not be required to use Federal Prison Industries as 
a subcontractor or supplier of products or provider of serv-
ices for the performance of a contract of the executive agency 
by any means, including means such as— 
‘‘(A) a contract solicitation provision requiring 
a contractor to offer to make use of products or serv-
ices of Federal Prison Industries in the performance 
of the contract; 
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