I 
116TH CONGRESS 
1ST SESSION H. R. 2344 
To amend the Small Business Act to provide interim partial payment to 
small business contractors that request an equitable adjustment due 
to a change in the terms of a construction contract, and for other 
purposes. 
IN THE HOUSE OF REPRESENTATIVES 
APRIL 18, 2019 
Mr. STAUBER (for himself and Mr. VEASEY) introduced the following bill; 
which was referred to the Committee on Small Business 
A BILL 
To amend the Small Business Act to provide interim partial 
payment to small business contractors that request an 
equitable adjustment due to a change in the terms of 
a construction contract, and for other purposes. 
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 ‘‘Small Business Pay-
ment for Performance Act of 2019’’. 
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SEC. 2. EQUITABLE ADJUSTMENTS TO CONSTRUCTION 
CONTRACTS. 
(a) IN GENERAL.—The Small Business Act (15 
U.S.C. 631 et seq.) is amended by inserting after section 
15 the following new section: 
‘‘SEC. 15A. EQUITABLE ADJUSTMENTS TO CONSTRUCTION 
CONTRACTS. 
‘‘(a) REQUEST FOR AN EQUITABLE ADJUSTMENT.— 
A small business concern performing a construction con-
tract that was awarded by an agency may submit a re-
quest for an equitable adjustment to the contracting offi-
cer of such agency if the contracting officer directs a 
change in the terms of the contract performance without 
the agreement of the small business concern. Such request 
shall— 
‘‘(1) be timely made pursuant to the terms of 
the contract; and 
‘‘(2) specify the estimated amount required to 
cover additional costs resulting from such change in 
the terms of the contract performance. 
‘‘(b) AMOUNT.—Upon receipt of a request for equi-
table adjustment under subsection (a), the agency shall 
provide to the small business concern an interim partial 
payment in an amount that is at least 50 percent of the 
estimated amount under subsection (a)(2). 
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‘‘(c) LIMITATION.—Any interim partial payment 
made under this section shall not be deemed to be an ac-
tion to definitize the request for an equitable adjustment. 
‘‘(d) FLOW-DOWN OF INTERIM PARTIAL PAYMENT 
AMOUNTS.—A small business concern that requests an eq-
uitable adjustment under this section shall pay to a first 
tier subcontractor or supplier the portion of each interim 
partial payment received that is attributable to the in-
creased costs of performance incurred by the first tier sub-
contractor or supplier due to the change in the terms of 
the contract performance. A first tier subcontractor or 
supplier that receives a portion of an interim partial pay-
ment under this section shall pay to a subcontractor or 
supplier at any tier the appropriate portion of such pay-
ment.’’. 
(b) IMPLEMENTATION.—The Administrator of the 
Small Business Administration shall implement the re-
quirements of this section not later than the earlier of the 
following dates: 
(1) The first day of the first full fiscal year be-
ginning after the date of the enactment of this Act. 
(2) October 1, 2021. 
Æ 
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