Preference for Local Veteran Contractors Act
Bill: H.R.800 | Sponsor: Rep. Cohen, Steve (D-TN)
Policy area: Armed Forces and National Security

Summary:
Preference for Local Veteran Contractors Act
This bill requires the Department of Veterans Affairs (VA) to give preference to local contractors for purposes of awarding contracts for the construction or maintenance of a VA facility or for services provided to a particular VA facility or campus. Local contractors are those who submit a bid or proposal and have principal offices or locations within a 60-mile radius of the VA facility covered by the contract. Per the bill, the VA must publish a public notice explaining why a local contractor was not awarded a contract if another contractor is selected.
The bill also updates the order of priority for awarding contracts to small business concerns to include priority for local contractors.

To amend title 38, United States Code, to direct the Secretary of 
Veterans Affairs to give preference to local contractors, and for other 
                               purposes.

    Be it enacted by the Senate and House of Representatives of the 
United States of America in Congress assembled,

SECTION 1. SHORT TITLE.

    This Act may be cited as the ``Preference for Local Veteran 
Contractors Act''.

SEC. 2. PREFERENCE FOR LOCAL CONTRACTORS.

    (a) Local Contractors.--
            (1) In general.--Chapter 5 of title 38, United States Code, 
        is amended by inserting after section 513 the following new 
        section:
``Sec. 513A. Preference for local contractors
    ``(a) In General.--(1) The Secretary shall give preference for 
awarding a covered contract to a local contractor.
    ``(2) In giving preference for awarding a covered contract to a 
local contractor under paragraph (1)--
            ``(A) if such local contractor is a small business concern, 
        such preference shall be given in accordance with section 
        8127(h) of this title; and
            ``(B) if such local contractor is not a small business 
        concern, the local contractor shall be treated as a contractor 
        covered under section 8127(h)(7).
    ``(b) Notice Required.--If the Secretary awards a covered contract 
to a contractor that is not a local contractor, the Secretary shall 
publish a public notice explaining why a local contractor was not 
awarded the contract.
    ``(c) Definitions.--In this section:
            ``(1) The term `covered contract' means a contract for--
                    ``(A) the construction or maintenance of a facility 
                of the Department; or
                    ``(B) services provided to a particular facility or 
                campus of the Department.
            ``(2) The term `local contractor' means a prime contractor 
        that--
                    ``(A) submits a bid or proposal for a covered 
                contract; and
                    ``(B) has its principal offices or location within 
                a 60-mile radius of the facility of the Department 
                covered by such contract.''.
            (2) Clerical amendment.--The table of sections at the 
        beginning of such chapter is amended by inserting after the 
        item relating to section 513 the following new item:

``513A. Preference for local contractors.''.
            (3) Conforming amendment.--Section 8106(a) of title 38, 
        United States Code, is amended by striking ``The Secretary'' 
        and inserting ``In accordance with section 513A of this title, 
        the Secretary''.
    (b) Small Business Concerns.--Section 8127(h) of title 38, United 
States Code, is amended to read as follows:
    ``(h) Priority for Contracting Preferences.--Preferences for 
awarding contracts to small business concerns shall be applied in the 
following order of priority:
            ``(1) Contracts awarded pursuant to subsection (b), (c), or 
        (d) to small business concerns owned and controlled by veterans 
        with service-connected disabilities that, for purposes of such 
        a contract, are local contractors under section 513A of this 
        title.
            ``(2) Contracts awarded pursuant to subsection (b), (c), or 
        (d) to small business concerns owned and controlled by veterans 
        with service-connected disabilities that are not covered by 
        paragraph (1).
            ``(3) Contracts awarded pursuant to subsection (b), (c), or 
        (d) to small business concerns owned and controlled by veterans 
        that--
                    ``(A) are not covered by paragraphs (1) or (2); and
                    ``(B) for purposes of such a contract, are local 
                contractors under section 513A of this title.
            ``(4) Contracts awarded pursuant to subsection (b), (c), or 
        (d) to small business concerns owned and controlled by veterans 
        that are not covered by paragraphs (1), (2), or (3).
            ``(5) Contracts awarded pursuant to section 8(a) of the 
        Small Business Act (15 U.S.C. 637(a)) or section 31 of such Act 
        (15 U.S.C. 657a) to a contractor that, for purposes of such a 
        contract, are local contractors under section 513A of this 
        title.
            ``(6) Contracts awarded pursuant to any other small 
        business contracting preference to a contractor that, for 
        purposes of such a contract, are local contractors under 
        section 513A of this title.
            ``(7) Contracts awarded pursuant to section 8(a) of the 
        Small Business Act (15 U.S.C. 637(a)) or section 31 of such Act 
        (15 U.S.C. 657a) to a contractor that is not covered by 
        paragraph (5).
            ``(8) Contracts awarded pursuant to any other small 
        business contracting preference to a contractor that is not 
        covered by paragraph (6).''.
    (c) Effective Date.--The amendments made by this section shall take 
effect 180 days after the date of the enactment of this Act.
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