28 percent of the total value of all prime contract
and subcontract awards for each fiscal year.
‘‘(3) SMALL BUSINESS CONCERNS OWNED AND
CONTROLLED BY VETERANS.—
‘‘(A) IN GENERAL.—The Government-wide
goal for participation by small business con-
cerns owned and controlled by veterans shall be
established at not less than 3 percent of the
total value of all prime contract and sub-
contract awards for each fiscal year.
‘‘(B) 
SERVICE-DISABLED
VETERANS.—
Prime contract and subcontract awards to small
business concerns owned and controlled by serv-
ice-disabled veterans may be counted toward
the attainment of the goal established under
subparagraph (A) only if such concerns are not
certified by the Administration as eligible to re-
ceive benefits under section 8(a).
‘‘(4) QUALIFIED
HUBZONE
SMALL
BUSINESS
CONCERNS.—The Government-wide goal for partici-
pation by qualified HUBZone small business con-
cerns shall be established at not less than 2.5 per-
cent of the total value of all prime contract awards
for fiscal year 2002, and not less than 3 percent of
the total value of all prime contract awards for fiscal
year 2003 and each fiscal year thereafter.
‘‘(5) SMALL BUSINESS CONCERNS OWNED AND
CONTROLLED BY SOCIALLY AND ECONOMICALLY DIS-
ADVANTAGED INDIVIDUALS.—
‘‘(A) IN GENERAL.—The Government-wide
goal for participation by small business con-
cerns owned and controlled by socially and eco-
nomically disadvantaged individuals shall be es-
tablished at not less than 10 percent of the
total value of all prime contract and sub-
contract awards for each fiscal year.
‘‘(B) SERVICE-DISABLED VETERANS.—The
Government-wide goal for participation by small
business concerns owned and controlled by serv-
ice-disabled veterans which are certified by the
Administration as eligible to receive benefits
under section 8(a) shall be established at not
less than 3 percent of the total value of all
prime contract and subcontract awards for each
fiscal year.
‘‘(C) HANDICAPPED
INDIVIDUALS.—The
Government-wide goal for participation by small
business concerns owned and controlled by
handicapped individuals which are certified by
the Administration as eligible to receive benefits
under section 8(a) shall be established at not
less than 2 percent of the total value of all
prime contract and subcontract awards for each
fiscal year.
‘‘(6) SMALL BUSINESS CONCERNS OWNED AND
CONTROLLED
BY
WOMEN.—The Government-wide
goal for participation by small business concerns
owned and controlled by women shall be established
at not less than 5 percent of the total value of all
prime contract and subcontract awards for each fis-
cal year.
‘‘(7) AGENCY GOALS.—
‘‘(A) IN GENERAL.—Each Federal agency
shall have annual goals that present, for that
agency, the maximum practicable opportunity
for small business concerns and each of the
specified subcategories of small business con-
cerns to perform prime contracts let by such
agency and subcontracts under such prime con-
tracts.
‘‘(B) NOT LESS THAN GOVERNMENT-WIDE
GOALS.—No Federal agency may have an agen-
cy goal under subparagraph (A) which is less
than the corresponding Government-wide goal
established by the President under paragraph
(1).
‘‘(C) PROCEDURE FOR ESTABLISHMENT.—
Each year, the Administration and the head of
each Federal agency shall jointly establish the
goals described in subparagraph (A) for such
agency. Whenever the Administration and the
head of any Federal agency fail to agree on es-
tablished goals, the disagreement shall be sub-
mitted to the Administrator of the Office of
Federal Procurement Policy for final deter-
mination.
‘‘(D) EXPANSION OF PARTICIPATION.—For
the purpose of establishing goals under this
paragraph, the head of each Federal agency
shall make consistent efforts to annually expand
participation by small business concerns from
each industry category in procurement con-
tracts of the agency, including participation by
small business concerns and each of the speci-
fied subcategories of small business concerns.
The head of each Federal agency, in attempting
to attain such participation, shall consider—
‘‘(i) contracts awarded as the result of
unrestricted competition; and
‘‘(ii) contracts awarded after competi-
tion restricted to eligible small business
concerns under this section and under the
program established under section 8(a).’’.
SEC. 5. DEFINITIONS.
(a) DEFINITIONS RELATING TO HANDICAPPED INDI-
VIDUALS.—
(1) IN GENERAL.—Section 3(f) of the Small
Business Act (15 U.S.C. 632(f)) is amended to read
as follows:
‘‘(f) DEFINITIONS RELATING TO SMALL BUSINESS
CONCERNS OWNED AND CONTROLLED BY HANDICAPPED
INDIVIDUALS.—For purposes of this Act:
‘‘(1) SMALL BUSINESS CONCERN OWNED AND
CONTROLLED BY HANDICAPPED INDIVIDUALS.—The
term ‘small business concern owned and controlled
by handicapped individuals’ means any small busi-
ness concern—
‘‘(A) not less than 51 percent of which is
owned by one or more handicapped individuals
or, in the case of any publicly owned business,
not less than 51 percent of the stock of which
is owned by one or more handicapped individ-
uals;
‘‘(B) the management and daily business
operations of which are controlled by one or
more handicapped individuals or, in the case of
a handicapped individual with permanent and
severe disability, the spouse or permanent care-
giver of such an individual; and
‘‘(C) which is not a small business concern
owned and controlled by service-disabled vet-
erans.
‘‘(2) HANDICAPPED
INDIVIDUAL.—The term
‘handicapped individual’ means an individual—
‘‘(A) who has a physical, mental, or emo-
tional impairment, defect, ailment, disease, or
disability of a permanent nature which in any
way limits the selection of any type of employ-
ment for which the person would otherwise be
qualified or qualifiable; or
‘‘(B) who is a service-disabled veteran.’’.
(2) 
CONFORMING
AMENDMENT.—Section
15(c)(1) of the Small Business Act (15 U.S.C.
644(c)(1)) is amended by striking subparagraph (C).
(b) SPECIFIED SUBCATEGORIES OF SMALL BUSINESS
CONCERNS.—Section 3 of the Small Business Act (15
U.S.C. 632) is amended by adding at the end the following
new subsection:
‘‘(r) SPECIFIED SUBCATEGORIES OF SMALL BUSI-
NESS CONCERNS.—For purposes of this Act, the term
‘specified subcategories of small business concerns’ means
the following subcategories of small business concerns:
‘‘(1) Small business concerns owned and con-
trolled by veterans (including small business con-
cerns owned and controlled by service-disabled vet-
erans only if such concerns are not certified by the
Administration as eligible to receive benefits under
section 8(a)).
‘‘(2) Qualified HUBZone small business con-
cerns.
‘‘(3) Small business concerns owned and con-
trolled by socially and economically disadvantaged
individuals.
‘‘(4) Small business concerns owned and con-
trolled by service-disabled veterans which are cer-
tified by the Administration as eligible to receive
benefits under section 8(a).
‘‘(5) Small business concerns owned and con-
trolled by handicapped individuals which are cer-
tified by the Administration as eligible to receive
benefits under section 8(a).
‘‘(6) Small business concerns owned and con-
trolled by women.’’.
(c) SMALL BUSINESS CONCERN OWNED AND CON-
TROLLED BY SOCIALLY AND ECONOMICALLY DISADVAN-
TAGED INDIVIDUALS.—Section 3 of the Small Business
Act (15 U.S.C. 632) is further amended by adding at the
end the following new subsection:
‘‘(s) SMALL BUSINESS CONCERN OWNED AND CON-
TROLLED BY SOCIALLY AND ECONOMICALLY DISADVAN-
TAGED INDIVIDUALS.—For purposes of this Act:
‘‘(1) IN GENERAL.—The term ‘small business
concern owned and controlled by socially and eco-
nomically disadvantaged individuals’ means a small
business concern—
‘‘(A) which is at least 51 percent owned by
one or more socially and economically disadvan-
taged individuals; or, in the case of any publicly
owned business, at least 51 percent of the stock
of which is owned by one or more socially and
economically disadvantaged individuals; and
‘‘(B) whose management and daily busi-
ness operations are controlled by one or more of
such individuals.’’.
‘‘(2) APPLICATION OF DEFINITION BY PERSONS
OTHER
THAN
THE
ADMINISTRATION.—Any indi-
vidual or entity (other than the Administration)
shall presume for purposes of carrying out any pro-
gram that socially and economically disadvantaged
individuals include Black Americans, Hispanic
Americans, Native Americans, Asian Pacific Ameri-
cans, other minorities, handicapped individuals, and
any other individual found to be disadvantaged by
the Administration pursuant to section 8(a) of the
Small Business Act.’’.
SEC. 6. UNIFORM APPLICATION OF DEFINITION OF SPECI-
FIED SUBCATEGORIES OF SMALL BUSINESS
CONCERNS.
(a) IN GENERAL.—
(1) Section 8(d)(1) of the Small Business Act
(15 U.S.C. 637(d)(1)) is amended—
(A) in the first sentence, by striking ‘‘,
small business concerns owned and controlled
by veterans’’ and all that follows through
‘‘women,’’ and inserting ‘‘and each of the speci-
fied subcategories of small business concerns’’;
and
(B) in the second sentence, by striking ‘‘,
small business concerns owned and controlled
by veterans’’ and all that follows through
‘‘women’’ and inserting ‘‘and each of the speci-
fied subcategories of small business concerns’’.
(2) Section 8(d)(4)(D) of the Small Business
Act (15 U.S.C. 637(d)(4)(D)) is amended by strik-
ing ‘‘, qualified HUBZone’’ and all that follows
through ‘‘women’’ and inserting ‘‘and each of the
specified subcategories of small business concerns’’.
(3) Section 8(d)(4)(E) of the Small Business
Act (15 U.S.C. 637(d)(4)(E)) is amended by strik-
ing ‘‘, small business concerns owned and controlled
by veterans’’ and all that follows through ‘‘women,’’
and inserting ‘‘and each of the specified subcat-
egories of small business concerns’’.
(4) Paragraphs (6)(A), (6)(C), (6)(F), and
(10)(B) of section 8(d) of the Small Business Act
(15 U.S.C. 637(d)) are each amended by striking ‘‘,
small business concerns owned and controlled by vet-
erans’’ and all that follows through ‘‘women’’ and
inserting ‘‘and each of the specified subcategories of
small business concerns’’.
(5) Section 15(h)(1) of the Small Business Act
(15 U.S.C. 644(h)(1)) is amended by striking ‘‘,
small business concerns owned and controlled by vet-
erans’’ and all that follows through ‘‘women’’ and
inserting ‘‘and each of the specified subcategories of
small business concerns’’.
(6) Subparagraphs (A), (D), and (E) of section
15(h)(2) of the Small Business Act (15 U.S.C.
644(h)(2)) are each amended by striking ‘‘, small
business concerns owned and controlled by service-
disabled veterans’’ and all that follows through
‘‘women’’ and inserting ‘‘and each of the specified
subcategories of small business concerns’’.
(7) Section 16(d)(1) of the Small Business Act
(15 U.S.C. 645(d)(1)) is amended by striking
‘‘ ‘small business concern’ ’’ and all that follows
through ‘‘women’,’’ and inserting ‘‘small business
concern or as any of the specified subcategories of
small business concerns’’.
(8) Section 16(e) of the Small Business Act (15
U.S.C. 645(e)) is amended by striking ‘‘ ‘small busi-
ness concern’ ’’ and all that follows through
‘‘women’ ’’ and inserting ‘‘small business concern or
as any of the specified subcategories of small busi-
ness concerns’’.
(b) APPLICATION TO CONTRACT CLAUSES.—
(1) IN GENERAL.—Section 8(d)(3) of the Small
Business Act (15 U.S.C. 637(d)(3)) is amended—
(A) in the first and second sentences of
subparagraph (A), by striking ‘‘, small business
concerns owned and controlled by veterans’’ and
all that follows through ‘‘women’’ and inserting
‘‘and each of the specified subcategories of
small business concerns’’;
(B) by striking subparagraphs (C), (D),
(E), (F), and (G); and
(C) by inserting after subparagraph (B)
the following new subparagraphs:
‘‘(C) As used in this contract, the terms
‘small business concern’ and ‘specified subcat-
egories of small business concerns’ have the re-
spective meanings given such terms pursuant to
section 3 of the Small Business Act and rel-
evant regulations promulgated thereto.
‘‘(D) The contractor shall presume that so-
cially and economically disadvantaged individ-
uals include Black Americans, Hispanic Ameri-
cans, Native Americans, Asian Pacific Ameri-
cans, other minorities, handicapped individuals,
and any other individual found to be disadvan-
taged by the Administration pursuant to section
8(a) of the Small Business Act.
‘‘(E) Contractors acting in good faith may
rely on written representations by their sub-
contractors regarding their status as a small
business concern or as any of the specified sub-
categories of small business concerns.’’.
(2) TREATMENT OF REFERENCES TO DEFINI-
TIONS.—Any reference in a law, regulation, or other
document of the United States to the meaning or
definition given to the term ‘‘small business concern
owned and controlled by socially and economically
disadvantaged individuals’’, ‘‘small business concern
owned and controlled by women’’, ‘‘small business
concern owned and controlled by veterans’’, or
‘‘qualified HUBZone small business concern’’ in sec-
tion 8(d)(3) of the Small Business Act (15 U.S.C.
637(d)(3)) (as in effect on the day before the date
of the enactment of this Act) shall be treated as a
reference to the meaning or definition given such
term in section 3 of the Small Business Act (as
amended by this Act).
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