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‘‘(1) The Federal Prison Industries Board of 
Directors shall designate an entity as the Inmate 
Work Training Administrator to administer the 
work-based training program authorized by this sec-
tion. 
‘‘(2) In selecting the Inmate Work Training 
Administrator, the Board of Directors shall select an 
entity—
‘‘(A) that is an organization described in 
section 501(c)(3) of the Internal Revenue Code 
of 1986 and exempt from taxation under sec-
tion 501(a) of such Code; and 
‘‘(B) that has demonstrated, for a period 
of not less than 5 years, expertise in the theory 
and practice of fostering inmate rehabilitation 
through work-based programs in cooperation 
with private sector firms. 
‘‘(3) With respect to the formation and per-
formance of an agreement authorized by this section, 
the Director of the Bureau of Prisons and the Chief 
Operating Officer of Federal Prison Industries shall 
be responsible only for—
‘‘(A) maintaining appropriate institutional 
and inmate security; and
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‘‘(B) matters relating to the selection and 
payment of participating inmates. 
‘‘(d) PROPOSED AGREEMENTS.—An eligible entity 
seeking to enter into an agreement pursuant to subsection 
(a) shall submit a detailed proposal to the Inmate Work 
Training Administrator. Each such agreement shall 
specify—
‘‘(1) types of work to be performed; 
‘‘(2) the proposed duration of the agreement, 
specified in terms of a base year and number of op-
tion years; 
‘‘(3) the number of inmate workers expected to 
be employed in the specified types of work during 
the various phases of the agreement; 
‘‘(4) the wage rates proposed to be paid to var-
ious classes of inmate workers; and 
‘‘(5) the facilities, services and personnel (other 
than correctional personnel dedicated to the security 
of the inmate workers) to be furnished by Federal 
Prison Industries or the Bureau of Prisons and the 
rates of reimbursement, if any, for such facilities, 
services, and personnel. 
‘‘(e) REPRESENTATIONS.—
‘‘(1) ELEEMOSYNARY WORK ACTIVITIES.—Each 
proposed agreement shall be accompanied by a writ-
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ten certification by the chief executive officer of the 
eligible entity that—
‘‘(A) the work to be performed by the in-
mate workers will be limited to the eleemosy-
nary work of such entity in the case of an enti-
ty described in paragraph (1) or (2) of sub-
section (b); 
‘‘(B) the work would not be performed but 
for the availability of the inmate workers; 
‘‘(C) the work performed by the inmate 
workers will not result, either directly or indi-
rectly, in the production of a new product or 
the furnishing of a service that is to be offered 
for other than resale or donation by the eligible 
entity or any affiliate of the such entity. 
‘‘(2) PROTECTIONS FOR
NON-INMATE
WORK-
ERS.—Each proposed agreement shall also be ac-
companied by a written certification by the chief ex-
ecutive officer of the eligible entity that—
‘‘(A) no non-inmate employee or volunteer 
of the eligible entity (or any affiliate of the enti-
ty) will have his or her job abolished or work 
hours reduced as a result of the entity being 
authorized to utilize inmate workers; and
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‘‘(B) the work to be performed by the in-
mate workers will not supplant work currently 
being performed by a contractor of the eligible 
entity. 
‘‘(f) APPROVAL BY BOARD OF DIRECTORS.—
‘‘(1) IN GENERAL.—Each such proposed agree-
ment shall be presented to the Board of Directors, 
be subject to the same opportunities for public com-
ment, and be publicly considered and acted upon by 
the Board in a manner comparable to that required 
by paragraphs (6) and (7) of section 4122(b). 
‘‘(2) MATTERS TO BE CONSIDERED.—In deter-
mining whether to approve a proposed agreement, 
the Board shall—
‘‘(A) give priority to an agreement that 
provides inmate work opportunities that will 
provide participating inmates with the best 
prospects of obtaining employment paying a liv-
able wage upon release; 
‘‘(B) give priority to an agreement that 
provides for maximum reimbursement for in-
mate wages and for the costs of supplies and 
equipment needed to perform the types of work 
to be performed;
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‘‘(C) not approve an agreement that will 
result in the displacement of non-inmate work-
ers or volunteers contrary to the representa-
tions required by subsection (e)(2) as deter-
mined by the Board or by the Secretary of 
Labor (pursuant to subsection (i)); and 
‘‘(D) not approve an agreement that will 
result, either directly or indirectly, in the pro-
duction of a new product or the furnishing of 
a service for other than resale or donation. 
‘‘(g) WAGE RATES AND DEDUCTIONS FROM INMATE 
WAGES.—
‘‘(1) IN
GENERAL.—Inmate workers shall be 
paid wages for work under the agreement at a basic 
hourly rate to be negotiated between the eligible en-
tity and Federal Prison Industries and specified in 
the agreement. The wage rates set by the Director 
of the Federal Bureau of Prisons to be paid inmates 
for various institutional work assignments are spe-
cifically authorized. 
‘‘(2) PAYMENT TO INMATE WORKER AND AU-
THORIZED DEDUCTIONS.—Wages shall be paid and 
deductions 
taken 
pursuant 
to 
section 
4122(b)(11)(C).
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‘‘(3) VOLUNTARY PARTICIPATION BY INMATE.—
Each inmate worker to be utilized by an eligible en-
tity shall indicate in writing that such person—
‘‘(A) is participating voluntarily; and 
‘‘(B) understands and agrees to the wages 
to be paid and deductions to be taken from 
such wages. 
‘‘(h) ASSIGNMENT TO WORK OPPORTUNITIES.—As-
signment of inmates to work under an approved agree-
ment with an eligible entity shall be subject to the Bureau 
of Prisons Program Statement Number 1040.10 (Non-
Discrimination Toward Inmates), as contained in section 
551.90 of title 28 of the Code of Federal Regulations (or 
any successor document). 
‘‘(i) ENFORCEMENT OF PROTECTIONS FOR NON-IN-
MATE WORKERS.—
‘‘(1) PRIOR TO BOARD CONSIDERATION.—Upon 
request of any interested person, the Secretary of 
Labor may promptly verify a certification made pur-
suant subsection (e)(2) with respect to the displace-
ment of non-inmate workers so as to make the re-
sults of such inquiry available to the Board of Direc-
tors prior to the Board’s consideration of the pro-
posed agreement. The Secretary and the person re-
questing the inquiry may make recommendations to
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the Board regarding modifications to the proposed 
agreement. 
‘‘(2) DURING PERFORMANCE.—
‘‘(A) IN
GENERAL.—Whenever the Sec-
retary deems appropriate, upon request or oth-
erwise, the Secretary may verify whether the 
actual performance of the agreement is result-
ing in the displacement of non-inmate workers 
or the use of inmate workers in a work activity 
not authorized under the approved agreement. 
‘‘(B) SANCTIONS.—Whenever the Sec-
retary determines that performance of the 
agreement has resulted in the displacement of 
non-inmate workers or employment of an in-
mate worker in an unauthorized work activity, 
the Secretary may—
‘‘(i) direct the Inmate Work Training 
Administrator to terminate the agreement 
for default, subject to the processes and 
appeals available to a Federal contractor 
whose procurement contract has been ter-
minated for default; and 
‘‘(ii) initiate proceedings to impose 
upon the person furnishing the certifi-
cation regarding non-displacement of non-
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inmate workers required by subsection 
(d)(2)(B) any administrative, civil, and 
criminal sanctions as may be available.’’. 
(2) AUTHORIZATION
OF
APPROPRIATION.—
There is authorized to be appropriated $5,000,000 
for each of the fiscal years 2004 through 2008 for 
the purposes of paying the wages of inmates and 
otherwise undertaking the maximum number of 
agreements with eligible entities pursuant to section 
4124a of title 18, United States Code, as added by 
paragraph (1). 
(3) CLERICAL AMENDMENT.—The table of sec-
tions for chapter 307 of title 18, United States 
Code, is amended by inserting after the item relating 
to section 4124 the following new item:
‘‘4124a. Additional inmate work opportunities through public service activities.’’.
(c) INMATE WORK OPPORTUNITIES IN SUPPORT OF 
NOT-FOR-PROFIT ENTITIES.—
(1) PROPOSALS FOR DONATION PROGRAMS.—
The Chief Operating Officer of Federal Prison In-
dustries shall develop and present to the Board of 
Directors of Federal Prison Industries proposals to 
have Federal Prison Industries donate products and 
services to eligible entities that provide goods or 
services to low-income individuals who would likely
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otherwise have difficulty purchasing such products 
or services in the commercial market. 
(2) SCHEDULE FOR SUBMISSION AND CONSID-
ERATION OF DONATION PROGRAMS.—
(A) INITIAL PROPOSALS.—The Chief Oper-
ating Officer shall submit the initial group of 
proposals for programs of the type described in 
paragraph (1) within 180 days after the date of 
the enactment of this Act. The Board of Direc-
tors of Federal Prison Industries shall consider 
such proposals from the Chief Operating Officer 
not later than the date that is 270 days after 
the date of the enactment of this Act. 
(B) 
ANNUAL
OPERATING
PLAN.—The 
Board of Directors of Federal Prison Industries 
shall consider proposals by the Chief Operating 
Officer for programs of the type described in 
paragraph (1) as part of the annual operating 
plan for Federal Prison Industries. 
(C) OTHER
PROPOSALS.—In addition to 
proposals submitted by the Chief Operating Of-
ficer, the Board of Directors may, from time to 
time, consider proposals presented by prospec-
tive eligible entities.
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(3) DEFINITION OF ELIGIBLE ENTITIES.—For 
the purposes of this subsection, the term ‘‘eligible 
entity’’ means an entity—
(A) that is an organization described in 
section 501(c)(3) of the Internal Revenue Code 
of 1986 and exempt from taxation under sec-
tion 501(a) of such Code and that has been 
such an organization for a period of not less 
than 36 months prior to inclusion in a proposal 
of the type described in paragraph (1), or 
(B) that is a religious organization de-
scribed in section 501(d) of such Code and ex-
empt from taxation under section 501(a) of 
such Code. 
(4) AUTHORIZATION
OF
APPROPRIATIONS.—
There are authorized to be appropriated $7,000,000 
for each of the fiscal years 2004 through 2008 for 
the purposes of paying the wages of inmates and 
otherwise carrying out programs of the type de-
scribed in paragraph (1). 
(d) MAXIMIZING INMATE REHABILITATIVE OPPOR-
TUNITIES
THROUGH
COGNITIVE
ABILITIES
ASSESS-
MENTS.—
(1) DEMONSTRATION PROGRAM AUTHORIZED.—
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(A) IN GENERAL.—There is hereby estab-
lished within the Federal Bureau of Prisons a 
program to be known as the ‘‘Cognitive Abili-
ties Assessment Demonstration Program’’. The 
purpose of the demonstration program is to de-
termine the effectiveness of a program that as-
sesses the cognitive abilities and perceptual 
skills of Federal inmates to maximize the bene-
fits of various rehabilitative opportunities de-
signed to prepare each inmate for a successful 
return to society and reduce recidivism. The 
demonstration program shall be undertaken by 
a contractor with a demonstrated record of ena-
bling the behavioral and academic improvement 
of adults through the use of research-based sys-
tems that maximize the development of both the 
cognitive and perceptual capabilities of a par-
ticipating individual, including adults in a cor-
rectional setting. 
(B) SCOPE
OF
DEMONSTRATION
PRO-
GRAM.—The demonstration program shall to 
the maximum extent practicable, be—
(i) conducted during a period of three 
consecutive fiscal years, commencing dur-
ing fiscal year 2004;
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(ii) conducted at 12 Federal correc-
tional institutions; and 
(iii) offered to 6,000 inmates, who are 
categorized as minimum security or less, 
and are within five years of release. 
(C) REPORT ON RESULTS OF PROGRAM.—
Not later than 60 days after completion of the 
demonstration program, the Director shall sub-
mit to Congress a report on the results of the 
program. At a minimum, the report shall in-
clude an analysis of employment stability, sta-
bility of residence, and rates of recidivism 
among inmates who participated in the program 
after 18 months of release. 
(2) AUTHORIZATION
OF
APPROPRIATIONS.—
There is authorized to be appropriated $3,000,000 
in each of the three fiscal years after fiscal year 
2003, to remain available until expended, for the 
purposes of conducting the demonstration program 
authorized by subsection (a). 
(e) PRERELEASE EMPLOYMENT ASSISTANCE.—
(1) IN GENERAL.—The Director of the Federal 
Bureau of Prisons shall, to the maximum extent 
practicable, afford to inmates opportunities to par-
ticipate in programs and activities designed to help
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prepare such inmates to obtain employment upon re-
lease. 
(2) PRERELEASE
EMPLOYMENT
PLACEMENT 
ASSISTANCE.—Such prerelease employment place-
ment assistance required by subsection (a) shall 
include—
(A) training in the preparation of resumes 
and job applications; 
(B) training in interviewing skills; 
(C) training and assistance in job search 
techniques; 
(D) conduct of job fairs; and 
(E) such other methods deemed appro-
priate by the Director. 
(3) PRIORITY PARTICIPATION.—Priority in pro-
gram participation shall be accorded to inmates who 
are participating in work opportunities afforded by 
Federal Prison Industries and are within 24 months 
of release from incarceration. 
SEC. 11. RESTRUCTURING THE BOARD OF DIRECTORS. 
Section 4121 of title 18, United States Code, is 
amended to read as follows:
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‘‘§ 4121. Federal Prison Industries; Board of Direc-
tors: executive management 
‘‘(a) Federal Prison Industries is a government cor-
poration of the District of Columbia organized to carry 
on such industrial operations in Federal correctional insti-
tutions as authorized by its Board of Directors. The man-
ner and extent to which such industrial operations are car-
ried on in the various Federal correctional institutions 
shall be determined by the Attorney General. 
‘‘(b)(1) The corporation shall be governed by a board 
of 11 directors appointed by the President. 
‘‘(2) In making appointments to the Board, the 
President shall assure that 3 members represent the busi-
ness community, 3 members represent organized labor, 1 
member shall have special expertise in inmate rehabilita-
tion techniques, 1 member represents victims of crime, 1 
member represents the interests of Federal inmate work-
ers, and 2 additional members whose background and ex-
pertise the President deems appropriate. The members of 
the Board representing the business community shall in-
clude, to the maximum extent practicable, representation 
of firms furnishing services as well as firms producing 
products, especially from those industry categories from 
which Federal Prison Industries derives substantial sales. 
The members of the Board representing organized labor 
shall, to the maximum practicable, include representation
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from labor unions whose members are likely to be most 
affected by the sales of Federal Prison Industries. 
‘‘(3) Each member shall be appointed for a term of 
5 years, except that of members first appointed—
‘‘(A) 2 members representing the business com-
munity shall be appointed for a term of 3 years; 
‘‘(B) 2 members representing labor shall be ap-
pointed for a term of 3 years; 
‘‘(C) 2 members whose background and exper-
tise the President deems appropriate for a term of 
3 years; 
‘‘(D) 1 member representing victims of crime 
shall be appointed for a term of 3 years; 
‘‘(E) 1 member representing the interests of 
Federal inmate workers shall be appointed for a 
term of 3 years; 
‘‘(F) 1 member representing the business com-
munity shall be appointed for a term of 4 years; 
‘‘(G) 1 member representing the business com-
munity shall be appointed for a term of 4 years; and 
‘‘(H) the members having special expertise in 
inmate rehabilitation techniques shall be appointed 
for a term of 5 years.
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‘‘(4) The President shall designate 1 member of the 
Board as Chairperson. The Chairperson may designate a 
Vice Chairperson. 
‘‘(5) Members of the Board may be reappointed. 
‘‘(6) Any vacancy on the Board shall be filled in the 
same manner as the original appointment. Any member 
appointed to fill a vacancy occurring before the expiration 
of the term for which the member’s predecessor was ap-
pointed shall be appointed for the remainder of that term. 
‘‘(7) The members of the Board shall serve without 
compensation. The members of the Board shall be allowed 
travel expenses, including per diem in lieu of subsistence, 
at rates authorized for employees of agencies under sub-
chapter I of chapter 57 of title 5, United States Code, 
to attend meetings of the Board and, with the advance 
approval of the Chairperson of the Board, while otherwise 
away from their homes or regular places of business for 
purposes of duties as a member of the Board. 
‘‘(8)(A) The Chairperson of the Board may appoint 
and terminate any personnel that may be necessary to en-
able the Board to perform its duties. 
‘‘(B) Upon request of the Chairperson of the Board, 
a Federal agency may detail a Federal Government em-
ployee to the Board without reimbursement. Such detail
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shall be without interruption or loss of civil service status 
or privilege. 
‘‘(9) The Chairperson of the Board may procure tem-
porary and intermittent services under section 3109(b) of 
title 5, United States Code. 
‘‘(c) The Director of the Bureau of Prisons shall 
serve as Chief Executive Officer of the Corporation. The 
Director shall designate a person to serve as Chief Oper-
ating Officer of the Corporation.’’. 
SEC. 12. PROVIDING ADDITIONAL MANAGEMENT FLEXI-
BILITY TO FEDERAL PRISON INDUSTRIES OP-
ERATIONS. 
Section 4122(b)(3) of title 18, United States Code, 
is amended—
(1) by striking ‘‘(3)’’ and inserting ‘‘(3)(A)’’; 
and 
(2) by adding at the end the following new 
paragraphs: 
‘‘(B) Federal Prison Industries may locate more than 
one workshop at a Federal correctional facility. 
‘‘(C) Federal Prison Industries may operate a work-
shop outside of a correctional facility if all of the inmates 
working in such workshop are classified as minimum secu-
rity inmates.’’.
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SEC. 13. TRANSITIONAL PERSONNEL MANAGEMENT AU-
THORITY. 
Any correctional officer or other employee of Federal 
Prison Industries being paid with nonappropriated funds 
who would be separated from service because of a reduc-
tion in the net income of Federal Prison Industries during 
any fiscal year specified in section 4(e)(1) shall be—
(1) eligible for appointment (or reappointment) 
in the competitive service pursuant to title 5, United 
States Code; 
(2) registered on a Bureau of Prisons reemploy-
ment priority list; and 
(3) given priority for any other position within 
the Bureau of Prisons for which such employee is 
qualified. 
SEC. 14. FEDERAL PRISON INDUSTRIES REPORT TO CON-
GRESS. 
Section 4127 of title 18, United States Code, is 
amended to read as follows: 
‘‘§ 4127. Federal Prison Industries report to Congress 
‘‘(a) IN GENERAL.—Pursuant to chapter 91 of title 
31, the board of directors of Federal Prison Industries 
shall submit an annual report to Congress on the conduct 
of the business of the corporation during each fiscal year 
and the condition of its funds during the fiscal year.
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‘‘(b) CONTENTS OF REPORT.—In addition to the 
matters required by section 9106 of title 31, and such 
other matters as the board considers appropriate, a report 
under subsection (a) shall include—
‘‘(1) a statement of the amount of obligations 
issued under section 4129(a)(1) of this title during 
the fiscal year; 
‘‘(2) an estimate of the amount of obligations 
that will be issued in the following fiscal year; 
‘‘(3) an analysis of—
‘‘(A) the corporation’s total sales for each 
specific product and type of service sold to the 
Federal agencies and the commercial market; 
‘‘(B) the total purchases by each Federal 
agency of each specific product and type of 
service; 
‘‘(C) the corporation’s share of such total 
Federal Government purchases by specific prod-
uct and type of service; and 
‘‘(D) the number and disposition of dis-
putes submitted to the heads of the Federal de-
partments and agencies pursuant to section 
4124(e) of this title; 
‘‘(4) an analysis of the inmate workforce that 
includes—
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‘‘(A) the number of inmates employed; 
‘‘(B) the number of inmates utilized to 
produce products or furnish services sold in the 
commercial market; 
‘‘(C) the number and percentage of em-
ployed inmates by the term of their incarcer-
ation; and 
‘‘(D) the various hourly wages paid to in-
mates employed with respect to the production 
of the various specific products and types of 
services authorized for production and sale to 
Federal agencies and in the commercial market; 
and 
‘‘(5) data concerning employment obtained by 
former inmates upon release to determine whether 
the employment provided by Federal Prison Indus-
tries during incarceration provided such inmates 
with knowledge and skill in a trade or occupation 
that enabled such former inmate to earn a livelihood 
upon release. 
‘‘(c) PUBLIC AVAILABILITY.—Copies of an annual re-
port under subsection (a) shall be made available to the 
public at a price not exceeding the cost of printing the 
report.’’.
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SEC. 15. INDEPENDENT STUDY TO DETERMINE THE EF-
FECTS OF ELIMINATING THE FEDERAL PRIS-
ON INDUSTRIES MANDATORY SOURCE AU-
THORITY. 
(a) STUDY REQUIRED.—The Comptroller General 
shall undertake to have an independent study conducted 
on the effects of eliminating the Federal Prison Industries 
mandatory source authority. 
(b) SOLICITATION OF VIEWS.—The Comptroller Gen-
eral shall ensure that in developing the statement of work 
and the methodology for the study, the views and input 
of private industry, organized labor groups, Members and 
staff of the relevant Congressional committees, officials of 
the executive branch, and the public are solicited. 
(c) SUBMISSION.—Not later than June 30, 2004, the 
Comptroller General shall submit the results of the study 
to Congress, including any recommendations for legisla-
tion. 
SEC. 16. SENSE OF CONGRESS. 
It is the sense of Congress that it is important to 
study the concept of implementing a ‘‘good time’’ release 
program for non-violent criminals in the Federal prison 
system. 
SEC. 17. DEFINITIONS. 
Chapter 307 of title 18, United States Code, is 
amended by adding at the end the following new section:
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‘‘§ 4131. Definitions 
‘‘As used in this chapter—
‘‘(1) the term ‘assembly’ means the process of 
uniting or combining articles or components (includ-
ing ancillary finished components or assemblies) so 
as to produce a significant change in form or utility, 
without necessarily changing or altering the compo-
nent parts; 
‘‘(2) the term ‘current market price’ means, 
with respect to a specific product, the fair market 
price of the product within the meaning of section 
15(a) of the Small Business Act (15 U.S.C. 644(a)), 
at the time that the contract is to be awarded, 
verified through appropriate price analysis or cost 
analysis, including any costs relating to transpor-
tation or the furnishing of any ancillary services; 
‘‘(3) the term ‘import-sensitive product’ means 
a product which, according to Department of Com-
merce data, has experienced competition from im-
ports at an import to domestic production ratio of 
25 percent or greater; 
‘‘(4) the term ‘labor-intensive manufacture’ 
means a manufacturing activity in which the value 
of inmate labor constitutes at least 10 percent of the 
estimate unit cost to produce the item by Federal 
Prison Industries;
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‘‘(5) the term ‘manufacture’ means the process 
of fabricating from raw or prepared materials, so as 
to impart to those materials new forms, qualities, 
properties, and combinations; 
‘‘(6) the term ‘reasonable share of the market’ 
means a share of the total purchases by the Federal 
departments and agencies, as reported to the Fed-
eral Procurement Data System for—
‘‘(A) any specific product during the 3 pre-
ceding fiscal years, that does not exceed 20 per-
cent of the Federal market for the specific 
product; and 
‘‘(B) any specific service during the 3 pre-
ceding fiscal years, that does not exceed 5 per-
cent of the Federal market for the specific serv-
ice; and 
‘‘(7) the term ‘services’ has the meaning given 
the term ‘service contract’ by section 37.101 of the 
Federal Acquisition Regulation (48 CFR 36.102), as 
in effect on July 1, 2002.’’. 
SEC. 18. IMPLEMENTING REGULATIONS AND PROCEDURES. 
(a) FEDERAL ACQUISITION REGULATION.—
(1) PROPOSED REVISIONS.—Proposed revisions 
to the Governmentwide Federal Acquisition Regula-
tion to implement the amendments made by this Act
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shall be published not later than 60 days after the 
date of the enactment of this Act and provide not 
less than 60 days for public comment. 
(2) FINAL
REGULATIONS.—Final regulations 
shall be published not later than 180 days after the 
date of the enactment of this Act and shall be effec-
tive on the date that is 30 days after the date of 
publication. 
(3) PUBLIC
PARTICIPATION.—The proposed 
regulations required by subsection (a) and the final 
regulations required by subsection (b) shall afford 
an opportunity for public participation in accordance 
with section 22 of the Office of Federal Procurement 
Policy Act (41 U.S.C. 418b). 
(b) BOARD OF DIRECTORS.—
(1) IN GENERAL.—The Board of Directors of 
Federal Prison Industries shall issue regulations de-
fining the terms specified in paragraph (2). 
(2) TERMS TO BE DEFINED.—The Board of Di-
rectors shall issue regulations for the following 
terms: 
(A) Prison-made product. 
(B) Prison-furnished service. 
(C) Specific product. 
(D) Specific service.
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(3) SCHEDULE
FOR
REGULATORY
DEFINI-
TIONS.—
(A) Proposed regulations relating to the 
matter described in subsection (b)(2) shall be 
published not later than 60 days after the date 
of enactment of this Act and provide not less 
than 60 days for public comment. 
(B) Final regulations relating to the mat-
ters described in subsection (b)(2) shall be pub-
lished not less than 180 days after the date of 
enactment of this Act and shall be effective on 
the date that is 30 days after the date of publi-
cation. 
(4) ENHANCED
OPPORTUNITIES
FOR
PUBLIC 
PARTICIPATION AND SCRUTINY.—
(A) ADMINISTRATIVE PROCEDURE ACT.—
Regulations issued by the Board of Directors 
shall be subject to notice and comment rule-
making pursuant to section 553 of title 5, 
United States Code. Unless determined wholly 
impracticable or unnecessary by the Board of 
Directors, the public shall be afforded 60 days 
for comment on proposed regulations. 
(B) ENHANCED
OUTREACH.—The Board 
of Directors shall use means designed to most
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effectively solicit public comment on proposed 
regulations, procedures, and policies and to in-
form the affected public of final regulations, 
procedures, and policies. 
(C) OPEN
MEETING
PROCESSES.—The 
Board of Directors shall take all actions relat-
ing to the adoption of regulations, operating 
procedures, guidelines, and any other matter re-
lating to the governance and operation of Fed-
eral Prison Industries based on deliberations 
and a recorded vote conducted during a meeting 
open to the public, unless closed pursuant to 
section 552(b) of title 5, United States Code. 
SEC. 19. RULES OF CONSTRUCTION. 
(a) AGENCY BID PROTESTS.—Subsection (e) of sec-
tion 4124 of title 18, United States Code, as amended by 
section 2, is not intended to alter any rights of any offeror 
other than Federal Prison Industries to file a bid protest 
in accordance with other law or regulation in effect on the 
date of the enactment of this Act. 
(b) JAVITS-WAGNER-O’DAY ACT.—Nothing in this 
Act is intended to modify the Javits-Wagner-O’Day Act 
(41 U.S.C. 46, et seq.).
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SEC. 20. EFFECTIVE DATE AND APPLICABILITY. 
(a) EFFECTIVE DATE.—Except as provided in sub-
section (b), this Act and the amendments made by this 
Act shall take effect on the date of enactment of this Act. 
(b) APPLICABILITY.—Section 4124 of title 18, United 
States Code, as amended by section 2, shall apply to any 
requirement for a product or service offered by Federal 
Prison Industries needed by a Federal department or 
agency after the effective date of the final regulations 
issued pursuant to section 18(a)(2), or after September 
30, 2004, whichever is earlier. 
SEC. 21. CLERICAL AMENDMENTS. 
The table of sections for chapter 307 of title 18, 
United States Code, is amended—
(1) by amending the item relating to section 
4121 to read as follows:
‘‘4121. Federal Prison Industries; Board of Directors: executive management.’’;
(2) by amending the item relating to section 
4124 to read as follows:
‘‘4124. Governmentwide procurement policy relating to purchases from Federal 
Prison Industries.’’;
(3) by amending the item relating to section 
4127 to read as follows:
‘‘4127. Federal Prison Industries report to Congress.’’;
and
HR 1829 RFS 
(4) by adding at the end the following new 
items:
‘‘4130. Construction of provisions. 
‘‘4131. Definitions.’’.
SEC. 22. PROCUREMENT OF GOODS AND SERVICES MANU-
FACTURED IN THE UNITED STATES. 
In any case in which a procurement activity proceeds 
to conduct a procurement for a product or service as de-
scribed in paragraph (6) of section 4124(b) of title 18, 
United States Code, as added by section 2, the procure-
ment must be of goods or services manufactured in the 
United States.
Passed the House of Representatives November 6, 
2003. 
Attest: 
JEFF TRANDAHL, 
Clerk. 
By MARTHA C. MORRISON, 
Deputy Clerk.