254 
Administrator and the disposal agency, the award of such contract is 
in the interest of assuring that a fair proportion of the total sales of 
Government property be made to small business concerns. 
(6) SALE OF ELECTRICAL POWER OR OTHER PROPERTY.—Nothing 
in this subsection shall be construed to change any preferences or pri-
orities established by law with respect to the sale of electrical power 
or other property by the Federal Government. 
(7) COSTS EXCEEDING FAIR MARKET PRICE.—A contract may not be 
awarded under this subsection if the cost of the contract to the award-
ing agency exceeds a fair market price. 
(b) AVOIDANCE OF CONTRACT BUNDLING.—To foster the participation of 
small business concerns in the contracting opportunities of the Government, 
a Federal agency, to the maximum extent practicable, shall— 
(1) foster the participation of small business concerns as prime con-
tractors, subcontractors, and suppliers; 
(2) structure its contracting requirements to facilitate competition by 
and among small business concerns, taking all reasonable steps to 
eliminate obstacles to participation by small business concerns; and 
(3) avoid unnecessary and unjustified bundling of contract require-
ments that precludes participation by small business in procurements 
as prime contractors. 
(c) WHOLESALERS AND RETAILERS.— 
(1) IN GENERAL.—An otherwise responsible small business concern 
that is described in paragraph (2) shall not be denied the opportunity 
to submit and have considered its offer for a procurement contract that 
has as its principal purpose the supply of a product to be let under 
this chapter solely because the small business concern is other than the 
manufacturer or processor of the product to be supplied under the con-
tract. 
(2) REQUIREMENTS.—A small business concern referred to in para-
graph (1) is a small business concern that— 
(A) is primarily engaged in wholesale or retail trade; 
(B) is a small business concern under the numerical size stand-
ard for the North American Industry Classification System code 
assigned to the contract solicitation on which the offer is being 
made; 
(C) is a regular dealer (as defined under section 6510 of title 
41) in the product to be offered the Government; and 
(D) represents that the small business concern will supply the 
product of a domestic small business manufacturer or processor, 
unless a waiver of this subparagraph is granted— 
VerDate Sep 11 2014 
04:03 Jul 18, 2018
Jkt 079200
PO 00000
Frm 00254
Fmt 6652
Sfmt 6221
E:\BILLS\H6389.IH
H6389
SSpencer on DSKBBXCHB2PROD with BILLS
255 
(i) by the Administrator, after reviewing a determination 
by the contracting officer that no small business manufac-
turer or processor can reasonably be expected to offer a prod-
uct meeting the specifications (including period for perform-
ance) required of an offeror by the solicitation; or 
(ii) by the Administrator for a product (or class of prod-
ucts), after determining that no small business manufacturer 
or processor is available to participate in the Federal procure-
ment market. 
(3) LIMITATION.—This subsection does not apply to a contract that 
has as its principal purpose the acquisition of a service or construction. 
(d) FORECAST OF CONTRACT OPPORTUNITIES.— 
(1) IN GENERAL.—An executive agency that reports to the Federal 
Procurement Data System contract actions with an aggregate value in 
excess of $50,000,000 in any fiscal year shall— 
(A) prepare a forecast of expected contract opportunities or 
classes of contract opportunities for the next and succeeding fiscal 
years that small business concerns are capable of performing; and 
(B) periodically revise the forecast during the following year. 
(2) CONTENTS.—To the extent that the information is available, a 
forecast under paragraph (1) shall specify— 
(A) the approximate number of individual contract opportunities 
(and the number of opportunities within a class); 
(B) the approximate dollar value, or range of dollar values, for 
each contract opportunity or class of contract opportunities; 
(C) the anticipated time (by fiscal year quarter) for the issuance 
of a procurement request; and 
(D) the activity responsible for the award and administration of 
the contract. 
(3) SUBMISSION OF FORECASTS.—Not later than 10 days after com-
pletion of a forecast under paragraph (1), the head of the executive 
agency that prepared the forecast shall submit the forecast to— 
(A) the Director of Small and Disadvantaged Business Utiliza-
tion of the executive agency; and 
(B) the Administrator. 
(4) SCOPE
OF
INFORMATION
REPORTED.—A forecast submitted 
under paragraph (3) may be limited to classes of items and services 
for which there are substantial annual purchases. 
(5) AVAILABILITY
OF
FORECASTS.—A forecast submitted under 
paragraph (3) shall be available to small business concerns. 
VerDate Sep 11 2014 
04:03 Jul 18, 2018
Jkt 079200
PO 00000
Frm 00255
Fmt 6652
Sfmt 6221
E:\BILLS\H6389.IH
H6389
SSpencer on DSKBBXCHB2PROD with BILLS
256 
§ 251102. Placement of contracts by procuring agency 
With respect to any work to be performed the amount of which would 
exceed the maximum amount of a contract for which a surety may be guar-
anteed against loss under section 321102 of this title, the contracting pro-
curement agency shall, to the extent practicable, place contracts so as to 
allow more than 1 small business concern to perform the work. 
§ 251103. Disabled individuals 
(a) DEFINITION OF COMMITTEE.—In this section, the term ‘‘Committee’’ 
means the Committee for Purchase From People Who Are Blind or Severely 
Disabled established under section 8502 of title 41. 
(b) PARTICIPATION.— 
(1) IN GENERAL.—During fiscal year 1995, public or private organi-
zations for the disabled shall be eligible to participate in programs au-
thorized under this chapter in an aggregate amount not to exceed 
$40,000,000. 
(2) PROCUREMENT LIST.—None of the amounts authorized for par-
ticipation by paragraph (1) may be placed on the procurement list 
maintained by the Committee under section 8503 of title 41. 
(c) MONITORING AND EVALUATION.—The Administrator shall monitor 
and evaluate participation under subsection (b). 
(d) APPEAL.— 
(1) FILING.—Not later than 10 days after the announcement of a 
proposed award of a contract by a Federal agency to a public or private 
organization for the disabled, a for-profit small business concern that 
has experienced or is likely to experience severe economic injury as the 
result of the proposed award may file an appeal of the proposed award 
with the Administrator. 
(2) ALLEVIATION OF INJURY.—If a small business concern files an 
appeal of a proposed award under paragraph (1) and the Adminis-
trator, after consultation with the Executive Director of the Committee, 
finds that the small business concern has experienced or is likely to ex-
perience severe economic injury as the result of the proposed award, 
not later than 30 days after the filing of the appeal, the Administrator 
shall require each Federal agency having procurement powers to take 
such action as is appropriate to alleviate economic injury sustained or 
likely to be sustained by the small business concern. 
(e) MAXIMUM AMOUNT OF AWARDS.— 
(1) REPORTING.—A Federal agency having procurement powers 
shall report to the Office of Federal Procurement Policy each time a 
contract subject to subsection (b) is entered into and shall include in 
VerDate Sep 11 2014 
04:03 Jul 18, 2018
Jkt 079200
PO 00000
Frm 00256
Fmt 6652
Sfmt 6221
E:\BILLS\H6389.IH
H6389
SSpencer on DSKBBXCHB2PROD with BILLS
257 
its report the amount of the next higher bid submitted by a for-profit 
small business concern. 
(2) DATA COLLECTION.—The Office of Federal Procurement Policy 
shall collect data reported under paragraph (1) through the Federal 
procurement data system and shall report the data to the Adminis-
trator. 
(3) NOTIFICATION.—The Administrator shall notify all Federal 
agencies having procurement powers when the maximum amount of 
awards authorized under subsection (b) has been made during any fis-
cal year. 
(f) CONTRACT PERFORMANCE BY DISABLED INDIVIDUALS.—A contract 
may be awarded under this section only if at least 75 percent of the direct 
labor performed on each item being produced under the contract in a shel-
tered workshop or performed in providing each type of service under the 
contract by a sheltered workshop is performed by disabled individuals. 
(g) MULTIYEAR CONTRACTS.—A Federal agency that awards 1 or more 
contracts to such a public or private organization for the disabled under this 
section may use multiyear contracts, if appropriate. 
§ 251104. Priorities and preferences 
(a) PRIORITY
FOR AREAS
OF CONCENTRATED UNEMPLOYMENT
OR 
UNDEREMPLOYMENT AND FOR LABOR SURPLUS AREAS.— 
(1) IN GENERAL.—For purposes of this chapter, priority shall be 
given to the awarding of contracts and the placement of subcontracts 
to small business concerns that shall perform a substantial proportion 
of the production on the contracts and subcontracts in— 
(A) an area of concentrated unemployment or underemploy-
ment; or 
(B) a labor surplus area. 
(2) SETASIDES.— 
(A) IN GENERAL.—Notwithstanding any other provision of law, 
total labor surplus area setasides under part 331 of title 44, Code 
of Federal Regulations (or any successor regulation), shall be au-
thorized if the Secretary of Defense specifically determines that 
there is a reasonable expectation that offers will be obtained from 
a sufficient number of eligible concerns so that awards will be 
made at reasonable prices. 
(B) DETERMINATION OF LABOR SURPLUS AREAS.— 
(i) CONSIDERATION OF PERSONS AVAILABLE FOR EMPLOY-
MENT.—To the extent possible, in determining labor surplus 
areas, consideration shall be given to persons who would be 
available for employment were suitable employment available. 
VerDate Sep 11 2014 
04:03 Jul 18, 2018
Jkt 079200
PO 00000
Frm 00257
Fmt 6652
Sfmt 6221
E:\BILLS\H6389.IH
H6389
SSpencer on DSKBBXCHB2PROD with BILLS