HR 2965 RCS 
‘‘(6)(A) Whenever Federal Prison Industries pro-
poses to offer for sale a new specific product or specific 
service or to expand production of a currently authorized 
product or service, the Chief Operating Officer of Federal 
Prison Industries shall submit an appropriate proposal to 
the board of directors and obtain the board’s approval be-
fore initiating any such expansion. The proposal submitted 
to the board shall include a detailed analysis of the prob-
able impact of the proposed expansion of sales within the 
Federal market by Federal Prison Industries on private 
sector firms and their non-inmate workers. 
‘‘(B)(i) The analysis required by subparagraph (A) 
shall be performed by an interagency team on a reimburs-
able basis or by a private contractor paid by Federal Pris-
on Industries. 
‘‘(ii) If the analysis is to be performed by an inter-
agency team, such team shall be led by the Administrator 
of the Small Business Administration or the designee of 
such officer with representatives of the Department of 
Labor, the Department of Commerce, and the Federal 
Procurement Data Center. 
‘‘(iii) If the analysis is to be performed by a private 
contractor, the selection of the contractor and the admin-
istration of the contract shall be conducted by one of the 
entities referenced in clause (ii) as an independent execu-
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HR 2965 RCS 
tive agent for the board of directors. Maximum consider-
ation shall be given to any proposed statement of work 
furnished by the Chief Operating Officer of Federal Prison 
Industries. 
‘‘(C) The analysis required by subparagraph (A) shall 
identify and consider— 
‘‘(i) the number of vendors that currently meet 
the requirements of the Federal Government for the 
specific product or specific service; 
‘‘(ii) the proportion of the Federal Government 
market for the specific product or specific service 
currently furnished by small businesses during the 
previous 3 fiscal years; 
‘‘(iii) the share of the Federal market for the 
specific product or specific service projected for Fed-
eral Prison Industries for the fiscal year in which 
production or performance will commence or expand 
and the subsequent 4 fiscal years; 
‘‘(iv) whether the industry producing the spe-
cific product or specific service in the private sec-
tor— 
‘‘(I) has an unemployment rate higher 
than the national average; or 
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HR 2965 RCS 
‘‘(II) has a rate of unemployment for 
workers that has consistently shown an increase 
during the previous 5 years; 
‘‘(v) whether the specific product is an import- 
sensitive product; 
‘‘(vi) the requirements of the Federal Govern-
ment and the demands of entities other than the 
Federal Government for the specific product or serv-
ice during the previous 3 fiscal years; 
‘‘(vii) the projected growth or decline in the de-
mand of the Federal Government for the specific 
product or specific service; 
‘‘(viii) the capability of the projected demand of 
the Federal Government for the specific product or 
service to sustain both Federal Prison Industries 
and private vendors; and 
‘‘(ix) whether authorizing the production of the 
new product or performance of a new service will 
provide inmates with the maximum opportunity to 
acquire knowledge and skill in trades and occupa-
tions that will provide them with a means of earning 
a livelihood upon release. 
‘‘(D)(i) The board of directors may not approve a 
proposal to authorize the production and sale of a new 
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specific product or continued sale of a previously author-
ized product unless— 
‘‘(I) the product to be furnished is a prison- 
made product; or 
‘‘(II) the service to be furnished is to be per-
formed by inmate workers. 
‘‘(ii) The board of directors may not approve a pro-
posal to authorize the production and sale of a new prison- 
made product or to expand production of a currently au-
thorized product if the product is— 
‘‘(I) produced in the private sector by an indus-
try which has reflected during the previous year an 
unemployment rate above the national average; or 
‘‘(II) an import-sensitive product. 
‘‘(iii) The board of directors may not approve a pro-
posal for inmates to provide a service in which an inmate 
worker has access to— 
‘‘(I) personal or financial information about in-
dividual private citizens, including information relat-
ing to such person’s real property, however de-
scribed, without giving prior notice to such persons 
or class of persons to the greatest extent practicable; 
‘‘(II) geographic data regarding the location of 
surface and subsurface infrastructure providing com-
munications, water and electrical power distribution, 
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