I 
117TH CONGRESS 
2D SESSION 
H. R. 9642 
To establish a pilot program for transitioning small businesses in the 
construction or engineering industries, and for other purposes. 
IN THE HOUSE OF REPRESENTATIVES 
DECEMBER 21, 2022 
Mr. BARR (for himself, Mr. CROW, and Mr. LUETKEMEYER) introduced the 
following bill; which was referred to the Committee on Small Business 
A BILL 
To establish a pilot program for transitioning small busi-
nesses in the construction or engineering industries, and 
for other purposes. 
Be it enacted by the Senate and House of Representa-
tives of the United States of America in Congress assembled, 
SECTION 1. SHORT TITLE. 
This Act may be cited as the ‘‘Solving the Unneces-
sary Contracting Cliff for Enterprises to Scale Success-
fully Act’’ or the ‘‘SUCCESS Act’’. 
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SEC. 2. PILOT PROGRAM FOR TRANSITIONING SMALL BUSI-
NESSES IN THE CONSTRUCTION OR ENGI-
NEERING INDUSTRIES. 
The Small Business Act (15 U.S.C. 631 et seq.) is 
amended by inserting after section 32 the following: 
‘‘SEC. 33. PILOT PROGRAM FOR TRANSITIONING SMALL 
BUSINESSES IN THE CONSTRUCTION OR EN-
GINEERING INDUSTRIES. 
‘‘(a) DEFINITIONS.—In this section: 
‘‘(1) ELIGIBLE CONCERN.—The term ‘eligible 
concern’ means a concern that has grown to exceed 
the size standard applicable to the North American 
Industry Classification System code corresponding 
to— 
‘‘(A) commercial and institutional building 
construction; or 
‘‘(B) engineering services. 
‘‘(2) PARTICIPANT.—The term ‘Participant’ 
means an eligible concern that— 
‘‘(A) meets the criteria described in sub-
section (d); and 
‘‘(B) participates in the Program. 
‘‘(3) PROGRAM.—The term ‘Program’ means 
the pilot program for transitioning small businesses 
established under paragraph (b). 
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‘‘(b) ESTABLISHMENT.—Not later than 1 year after 
the date of enactment of this section, the Administrator 
shall promulgate regulations establishing a pilot program 
to foster the continued success of eligible concerns by per-
mitting those concerns to qualify as small for certain con-
tracts during a transitional period. 
‘‘(c) PURPOSE.—The purpose of the Program is to 
assist eligible concerns in their transition from small busi-
ness concerns to other-than-small and thereby increase 
competition in the unrestricted Federal marketplace. 
‘‘(d) CRITERIA FOR PARTICIPATION.— 
‘‘(1) ELECTION.—An eligible concern may make 
a one-time election, which shall not be changed, to 
participate, with respect to the primary activity of 
the eligible concern, under— 
‘‘(A) the North American Industry Classi-
fication System Code corresponding to commer-
cial and institutional building construction; or 
‘‘(B) the North American Industry Classi-
fication System Code corresponding to engi-
neering services. 
‘‘(2) 
REGISTRATION.—An 
eligible 
concern 
shall— 
‘‘(A) register as a Participant with the 
System for Award Management (or any suc-
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cessor system) on the date on which the eligible 
concern makes the election under paragraph (1) 
in the registry described in subsection (h); and 
‘‘(B) ensure that the registration of the eli-
gible concern is current and accurate. 
‘‘(3) TERM OF THE TRANSITIONAL PERIOD.— 
‘‘(A) IN GENERAL.—Except as provided in 
subparagraph (B), the transitional period, dur-
ing which an eligible concern may be eligible to 
participate in the Program, shall— 
‘‘(i) begin on the date which the eligi-
ble concern first exceeds the size standard 
applicable to the North American Industry 
Classification System code corresponding 
to the industry elected by the concern pur-
suant to paragraph (1); and 
‘‘(ii) not exceed 7 consecutive years. 
‘‘(B) EXCEPTION.—An eligible concern 
first exceeding the size standard described in 
subparagraph (A)(i) within the 7-year period 
immediately preceding the effective date of reg-
ulations issued under subsection (b) shall be eli-
gible to participate in the Program for the re-
mainder of the 7-year period beginning on the 
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date which the concern first exceeded the size 
standard. 
‘‘(4) ACTIVITY TARGETS.—The regulations de-
scribed in subsection (b) shall establish non-small 
business set aside business activity targets that— 
‘‘(A) are applicable to Participants during 
the third year and each succeeding year of Pro-
gram participation; and 
‘‘(B) during the period of time described in 
subparagraph (A), shall reflect a reasonably 
consistent increase in sales other than obtained 
through contracts set aside for small business 
concerns, expressed as a percentage of total 
sales. 
‘‘(5) CAP ON AVERAGE ANNUAL RECEIPTS.— 
Each Participant shall be subject to a cap on aver-
age annual receipts that is 5 times the size standard 
applicable to the North American Industry Classi-
fication System code corresponding to the industry 
elected by the concern, calculated consistent with the 
method in 121.104 of title 13, Code of Federal Reg-
ulations, or any successor regulation. 
‘‘(6) CERTIFICATION.— 
‘‘(A) IN GENERAL.—Each Participant shall 
be required to annually certify in the System 
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Participants consistent with the purposes of this 
Act. 
‘‘(f) PURPOSES
FOR WHICH PARTICIPANTS MAY 
QUALIFY AS SMALL.—Subject to the restrictions in para-
graph (e), a Participant may otherwise qualify as small 
for purposes of the following: 
‘‘(1) Contracts that are set aside for small busi-
ness concerns and assigned a North American In-
dustry Classification System code corresponding to 
the industry elected by the Participant under sub-
section (d)(1) and— 
‘‘(A) the Government of the United States 
expects to be equal to or exceed— 
‘‘(i) for commercial and institutional 
building construction, $5,000,000; and 
‘‘(ii) 
for 
engineering 
services, 
$1,000,000; and 
‘‘(B) any orders under such contracts irre-
spective of the value of the order. 
‘‘(2) Goals established pursuant to section 
15(g) for participation by small business concerns, 
small business concerns owned and controlled by 
service-disabled veterans, qualified HUBZone small 
business concerns, small business concerns owned 
and controlled by socially and economically disadvan-
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taged individuals, and small business concerns 
owned and controlled by women. 
‘‘(g) TERMINATION.— 
‘‘(1) IN GENERAL.—The Program shall termi-
nate on the date that is 10 years after the date of 
enactment of this section. 
‘‘(2) CONTINUATION OF PARTICIPATION.—Not-
withstanding paragraph (1), any Participant in the 
program as of the date on which the Program termi-
nates under paragraph (1) may continue to partici-
pate until the expiration of the term of the Partici-
pant under subsection (d)(3). 
‘‘(h) PUBLICATION OF REGISTRY REQUIRED.—The 
Administrator shall establish and maintain in the System 
for Award Management (or any successor system) a reg-
istry of eligible Participants, which registry shall, to the 
extent practicable— 
‘‘(1) include the name, address, transitional pe-
riod entry and exit dates, and elected North Amer-
ican Industry Classification System code with re-
spect to each Participant; and 
‘‘(2) be updated by the Administrator not less 
than annually. 
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‘‘(i) ADDITIONAL
INFORMATION
TO
BE
MAIN-
TAINED.—The Administrator shall maintain data regard-
ing— 
‘‘(1) the number of Participants in the Pro-
gram; 
‘‘(2) the number of former Participants that 
have exited the Program; 
‘‘(3) the number of former Participants that 
have successfully transitioned to other-than-small, 
under such criteria as the Administrator may estab-
lish; 
‘‘(4) the number of former Participants that 
have returned to being small under North American 
Industry Classification System code elected by the 
Participant under subsection (d)(1); and 
‘‘(5) the total dollar value of small business 
awards made each fiscal year to Participants by 
each Federal agency. 
‘‘(j) GAO STUDY AND REPORT.— 
‘‘(1) STUDY.—Not later than 2 years after the 
date of enactment of this section, the Comptroller 
General of the United States shall begin conducting 
a study to evaluate the implementation of the Pro-
gram. 
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‘‘(2) REPORT.—Not later than 8 years after the 
date of enactment of this section, the Comptroller 
General of the United States shall submit to Con-
gress a report on the results of the study required 
under paragraph (1), which shall include— 
‘‘(A) an assessment of the feasibility and 
advisability of broadening the Program to in-
clude additional industries, as defined under the 
North American Industry Classification System; 
‘‘(B) the effects of the Program, if any, on 
Participants and on the industrial base; 
‘‘(C) any recommendations for improving 
the Program, including whether the Program 
should be made permanent; and 
‘‘(D) any additional findings and rec-
ommendations as the Comptroller General of 
the United States considers appropriate.’’. 
Æ 
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