I
103D CONGRESS
1ST SESSION
H. R. 163
To require that the Federal Government procure from the private sector
the goods and services necessary for the operations and management
of certain Government agencies, and for other purposes.
IN THE HOUSE OF REPRESENTATIVES
JANUARY 5, 1993
Mr. 
DUNCAN
(for 
himself, 
Mr. 
TAYLOR
of 
North 
Carolina, 
Mr.
ROHRABACHER, Mr. SMITH of Oregon, Mr. DORNAN, Mr. HANCOCK, Mr.
SCHIFF, Mr. COMBEST, and Mr. COX) introduced the following bill; which
was referred to the Committee on Government Operations
A BILL
To require that the Federal Government procure from the
private sector the goods and services necessary for the
operations and management of certain Government agen-
cies, 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 ‘‘Freedom from Govern-
ment Competition Act of 1992’’.
SEC. 2. FINDINGS.
The Congress finds and declares that—
(1) private sector business concerns, which are
free to respond to the private or public demands of
the marketplace, constitute the strength of the
American economic system;
(2) competitive private enterprises are the most
productive, efficient, and effective sources of goods
and services;
(3) Government competition with the private
sector of the economy is detrimental to the American
economic system;
(4) Government competition with the private
sector of the economy is at an unacceptably high
level, both in scope and in dollar volume;
(5) current law and policy have failed to ad-
dress adequately the problem of Government com-
petition with the private sector of the economy; and
(6) it is in the public interest that the Govern-
ment establish a consistent policy to rely on the pri-
vate sector of the economy to provide goods and
services necessary for or beneficial to the operation
and management of Government agencies and to
avoid Government competition with the private sec-
tor of the economy.
SEC. 3. DEFINITIONS.
As used in this Act the term ‘‘agency’’ means—
(1) an executive department as defined by sec-
tion 101 of title 5, United States Code;
(2) a military department as defined by section
102 of such title; and
(3) an independent establishment as defined by
section 104(l) of such title.
SEC. 4. PROCUREMENT FROM PRIVATE SOURCES.
(a) GENERAL RULE.—Notwithstanding any other
provision of law, each agency shall obtain all goods and
services necessary for or beneficial to the accomplishment
of its authorized functions by procurement from private
sources unless—
(1) the goods or services are required by law to
be produced or performed, respectively, by the agen-
cy; or
(2) the head of the agency determines and cer-
tifies to the Congress in accordance with regulations
promulgated by the Director of the Office of Man-
agement and Budget that—
(A) Government production, manufacture,
or provision of a good or service is necessary for
the national defense;
(B) a good or service is so inherently gov-
ernmental in nature that it is in the public in-
terest to require production or performance, re-
spectively, by a Government employee; or
(C) there is no private source capable of
providing the good or service.
(b) REGULATIONS.—The Director of the Office of
Management and Budget shall promulgate such regula-
tions as the Director considers necessary to carry out sub-
section (a).
SEC. 5. STUDY AND REPORT.
The Director of the Office of Management and Budg-
et, in conjunction with the Comptroller General of the
United States, shall carry out a study to identify all cur-
rent activities of agencies which are inconsistent with the
requirements of section 5(a) and shall transmit to the
Congress within one year after the date of enactment of
this Act a report on such study. The report shall include
a list of all activities identified under the preceding sen-
tence and a schedule for the transfer of such activities to
the private sector of the economy. The schedule included
in the report shall provide for the completion of the trans-
fer within 5 years after the date on which such report is
transmitted to the Congress.
Æ