I
103D CONGRESS
1ST SESSION
H. R. 1702
Entitled the ‘‘Government Procurement Act of 1993’’.
IN THE HOUSE OF REPRESENTATIVES
APRIL 7, 1993
Mrs. BENTLEY (for herself and Mr. VALENTINE) introduced the following bill;
which was referred jointly to the Committees on Government Operations
and Armed Services
A BILL
Entitled the ‘‘Government Procurement Act of 1993’’.
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 ‘‘Government Procure-
ment Act of 1993’’.
SEC. 2. AMENDMENTS.
(a) CIVILIAN PROCUREMENT.—Section 303B of the
Federal Property and Administration Services Act of 1949
(41 U.S.C. 253b) is amended by adding at the end thereof
the following new subsection:
‘‘(g)(1) In evaluating an offeror’s price contained in
any bid or proposal for any procurement in excess of
$100,000, the head of the agency shall treat as containing
the lowest price that bid or proposal which will yield the
lowest net cost to the Government.
‘‘(2) In determining net cost to the Government, the
head of the agency shall deduct from the price offered—
‘‘(A) the income taxes withheld or otherwise
paid on wages paid to the offeror’s employees for
work on performance on the procurement contract;
‘‘(B) projected corporate income taxes to be
paid by the offeror to the Government on any profits
made on the procurement;
‘‘(C) any other rebate, refunds, assessments, or
other receipts which are likely to accrue to the Gov-
ernment as a consequence of the offeror’s perform-
ance of the procurement contract.
‘‘(3) The Administrator of the Office of Federal Pro-
curement Policy shall, pursuant to section 6 of the Office
of Federal Procurement Policy Act, prescribe policies for
the implementation of this subsection.’’.
(b) DEFENSE AGENCIES.—Section 2305 of title 10,
United States Code, is amended by adding at the end
thereof the following new subsection:
‘‘(e)(1) In evaluating an offeror’s price contained in
any bid or proposal for any procurement in excess of
$100,000, the head of the agency shall treat as containing
the lowest price the bid or proposal which will yield the
lowest net cost to the Government.
‘‘(2) In determining net cost to the Government, the
head of the agency shall deduct from the price offered—
‘‘(A) the income taxes withheld or otherwise
paid on wages paid to the offeror’s employees for
work on performance on the procurement contract;
‘‘(B) projected corporate income taxes to be
paid by the offeror to the government on any profits
made on the procurement;
‘‘(C) any other rebate, refunds, assessments, or
other receipts which are likely to accrue to the Gov-
ernment as a consequence of the offeror’s perform-
ance of the procurement contract.
‘‘(3) The Administrator of the Office of Federal Pro-
curement Policy shall, pursuant to section 6 of the Office
of Federal Procurement Policy Act, prescribe policies for
the implementation of this subsection.’’.
(c) 
CONFORMING
AMENDMENTS.—(1) 
Section
303B(d)(4) of the Federal Property and Administrative
Services Act of 1949 is amended by striking ‘‘subsection
(b)’’ and inserting ‘‘subsections (b) and (g)’’.
(2) Section 2305(b)(4)(D) of title 10, United States
Code, is amended by inserting after ‘‘paragraph (2)’’ the
following ‘‘of this subsection and subsection (e)’’.
SEC. 3. EFFECTIVE DATE.
The amendments made by this Act shall apply with
respect to any procurement (the notice for which is pub-
lished) (the contract for which is awarded) (other test) on
or after (to be supplied).
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