I 
115TH CONGRESS 
2D SESSION 
H. R. 5178 
To amend the Small Business Act to provide for small business concerns 
located in Puerto Rico, and for other purposes. 
IN THE HOUSE OF REPRESENTATIVES 
MARCH 6, 2018 
Ms. VELA´ZQUEZ introduced the following bill; which was referred to the 
Committee on Small Business 
A BILL 
To amend the Small Business Act to provide for small busi-
ness concerns located in Puerto Rico, and for other pur-
poses. 
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 ‘‘Puerto Rico Small 
Business Contracting Assistance Act of 2018’’. 
SEC. 2. DEFINITION OF PUERTO RICO BUSINESS. 
Section 3 of the Small Business Act (15 U.S.C. 632) 
is amended by adding at the end the following new sub-
section: 
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‘‘(ee) PUERTO RICO BUSINESS.—In this Act, the 
term ‘Puerto Rico business’ means a small business con-
cern that has its principal office located in the Common-
wealth of Puerto Rico.’’. 
SEC. 3. SMALL BUSINESS CREDIT FOR PUERTO RICO BUSI-
NESSES. 
Section 15 of the Small Business Act (15 U.S.C. 644) 
is amended by adding at the end the following new sub-
section: 
‘‘(w) SMALL BUSINESS CREDIT FOR PUERTO RICO 
BUSINESSES.— 
‘‘(1) CREDIT
FOR
MEETING
CONTRACTING 
GOALS.—If an agency awards a prime contract to 
Puerto Rico business during the period beginning on 
the date of enactment of this subsection and ending 
on the date that is 4 years after such date of enact-
ment, the value of the contract shall be doubled for 
purposes of determining compliance with the goals 
for 
procurement 
contracts 
under 
subsection 
(g)(1)(A)(i) during such period. 
‘‘(2) REPORT.—Along with the report required 
under subsection (h)(1), the head of each Federal 
agency shall submit to the Administrator, and make 
publicly available on the scorecard described in sec-
tion 868(b) of the National Defense Authorization 
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Act for Fiscal Year 2016 (15 U.S.C. 644 note), an 
analysis of the number and dollar amount of prime 
contracts awarded pursuant to paragraph (1) for 
each fiscal year of the period described in such para-
graph.’’. 
SEC. 4. PRIORITY FOR SURPLUS PROPERTY TRANSFERS. 
Section 7(j)(13)(F) of the Small Business Act (15 
U.S.C. 636(j)(13)(F)) is amended by adding at the end 
the following new clause: 
‘‘(iii)(I) In this clause, the term ‘covered period’ 
means the period beginning on the date of enact-
ment of this clause and ending on the date on which 
the Oversight Board established under section 101 
of the Puerto Rico Oversight, Management, and 
Economic Stability Act (48 U.S.C. 2121) termi-
nates. 
‘‘(II) The Administrator may transfer tech-
nology or surplus property under clause (i) to a 
Puerto Rico business if the Puerto Rico business 
meets the requirements for such a transfer, without 
regard to whether the Puerto Rico business is a Pro-
gram Participant.’’. 
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SEC. 5. CONTRACTING INCENTIVES FOR PROTEGE FIRMS 
THAT ARE PUERTO RICO BUSINESSES. 
(a) IN GENERAL.—Section 45(a) of the Small Busi-
ness Act (15 U.S.C. 657r(a)) is amended by adding at 
the end the following new paragraph: 
‘‘(3) PUERTO RICO BUSINESSES.—During the 
period beginning on the date of enactment of this 
paragraph and ending on the date on which the 
Oversight Board established under section 101 of 
the Puerto Rico Oversight, Management, and Eco-
nomic Stability Act (48 U.S.C. 2121) terminates, 
the Administrator shall identify potential incentives 
to a covered mentor that awards a subcontract to its 
covered protege, including— 
‘‘(A) positive consideration in any past per-
formance evaluation of the covered mentor; 
‘‘(B) the application of costs incurred for 
providing training to such covered protege to 
the subcontracting plan (as required under 
paragraph (4) or (5) of section 8(d)) of the cov-
ered mentor; and 
‘‘(C) such other incentives as the Adminis-
trator determines appropriate.’’. 
(b) DEFINITIONS.—Section 45(d) of the Small Busi-
ness Act (15 U.S.C. 657r(d)) is amended by adding at 
the end the following new paragraphs: 
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‘‘(4) COVERED
MENTOR.—The term ‘covered 
mentor’ means a mentor that enters into an agree-
ment under this Act, or under any mentor-protege 
program approved under subsection (b)(1), with a 
covered protege. 
‘‘(5) COVERED PROTEGE.—The term ‘covered 
protege’ means a protege of a covered mentor that 
is a Puerto Rico business.’’. 
SEC. 6. ADDITIONAL MENTOR-PROTEGE RELATIONSHIPS 
FOR PROTEGE FIRMS THAT ARE PUERTO 
RICO BUSINESSES. 
Section 45(b)(3)(A) of the Small Business Act (15 
U.S.C. 657r(b)(3)(A)) is amended by inserting ‘‘, except 
that such restrictions shall not apply to up to 2 mentor- 
protege relationships if such relationships are between a 
covered protege and covered mentor’’ after ‘‘each partici-
pant’’. 
Æ 
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