IB 
Union Calendar No. 322 
112TH CONGRESS 
2D SESSION 
H. R. 3534 
[Report No. 112–460] 
To amend title 31, United States Code, to revise requirements related to 
assets pledged by a surety, and for other purposes. 
IN THE HOUSE OF REPRESENTATIVES 
DECEMBER 1, 2011 
Mr. HANNA (for himself and Mr. MULVANEY) introduced the following bill; 
which was referred to the Committee on the Judiciary 
APRIL 27, 2012 
Additional sponsors: Mr. GOWDY and Mr. POLIS 
APRIL 27, 2012 
Reported with an amendment, committed to the Committee of the Whole 
House on the State of the Union, and ordered to be printed 
[Strike out all after the enacting clause and insert the part printed in italic] 
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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 ‘‘Security in Bonding 
Act of 2011’’. 
SEC. 2. SURETY BOND REQUIREMENTS. 
Chapter 93 of subtitle VI of title 31, United States 
Code, is amended— 
(1) in section 9304(b)— 
(A) by striking ‘‘may not require’’ and in-
serting ‘‘may require’’; and 
(B) by striking ‘‘or through’’ and inserting 
‘‘, but not through’’; 
(2) by adding at the end the following: 
‘‘§ 9310. Individual sureties 
‘‘If another applicable law or regulation permits the 
acceptance of a bond from a surety that is not subject 
to sections 9305 and 9306 and is based on a pledge of 
assets by the surety, the assets pledged by such surety 
shall— 
‘‘(1) consist of eligible obligations described 
under section 9303(a); and 
‘‘(2) be submitted to the official of the Govern-
ment required to approve or accept the bond, who 
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shall deposit the assets with a depository described 
under section 9303(b).’’; and 
(3) in the table of contents for such chapter, by 
adding at the end the following: 
‘‘9310. Individual sureties.’’. 
SECTION 1. SHORT TITLE. 
This Act may be cited as the ‘‘Security in Bonding 
Act of 2012’’. 
SEC. 2. SURETY BOND REQUIREMENTS. 
Chapter 93 of subtitle VI of title 31, United States 
Code, is amended— 
(1) by adding at the end the following: 
‘‘§ 9310. Individual sureties 
‘‘If another applicable law or regulation permits the 
acceptance of a bond from a surety that is not subject to 
sections 9305 and 9306 and is based on a pledge of assets 
by the surety, the assets pledged by such surety shall— 
‘‘(1) consist of eligible obligations described 
under section 9303(a); and 
‘‘(2) be submitted to the official of the Govern-
ment required to approve or accept the bond, who 
shall deposit the assets with a depository described 
under section 9303(b).’’; and 
(2) in the table of contents for such chapter, by 
adding at the end the following: 
‘‘9310. Individual sureties.’’. 
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SEC. 3. GAO STUDY. 
(a) STUDY.—The Comptroller General of the United 
States shall carry out a study on the following: 
(1) All instances during the 10-year period prior 
to the date of the enactment of this Act in which a 
surety bond proposed or issued by a surety in connec-
tion with a Federal project was— 
(A) rejected by a Federal contracting officer; 
or 
(B) accepted by a Federal contracting offi-
cer, but was later found to have been backed by 
insufficient collateral or to be otherwise deficient 
or with respect to which the surety did not per-
form. 
(2) The consequences to the Federal Government, 
subcontractors, and suppliers of the instances de-
scribed under paragraph (1). 
(3) The percentages of all Federal contracts that 
were awarded to small disadvantaged businesses (as 
defined under section 124.1002(b) of title 13, Code of 
Federal Regulations) and disadvantaged business en-
terprises (as defined under section 26.5 of title 49, 
Code of Federal Regulations) as prime contractors in 
the 2-year period prior to and the 2-year period fol-
lowing the date of enactment of this Act, and an as-
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sessment of the impact of this Act and the amend-
ments made by this Act upon such percentages. 
(b) REPORT.—Not later than the end of the 3-year pe-
riod beginning on the date of the enactment of this Act, 
the Comptroller General shall issue a report to the Com-
mittee on the Judiciary of the House of Representatives and 
the Committee on Homeland Security and Government Af-
fairs of the Senate containing all findings and determina-
tions made in carrying out the study required under sub-
section (a). 
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Union Calendar No. 322 
112TH CONGRESS 
2D SESSION 
H. R. 3534 
[Report No. 112–460] 
A BILL 
To amend title 31, United States Code, to revise 
requirements related to assets pledged by a sur-
ety, and for other purposes. 
APRIL 27, 2012 
Reported with an amendment, committed to the Com-
mittee of the Whole House on the State of the Union, 
and ordered to be printed 
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22:03 Apr 27, 2012
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