[Congressional Bills 108th Congress]
[From the U.S. Government Publishing Office]
[H.R. 132 Introduced in House (IH)]
108th CONGRESS
1st Session
H. R. 132
To create Federal advertising procurement opportunities for minority
business concerns, and for other purposes.
_______________________________________________________________________
IN THE HOUSE OF REPRESENTATIVES
January 7, 2003
Ms. Kilpatrick introduced the following bill; which was referred to the
Committee on Government Reform, and in addition to the Committee on
Small Business, for a period to be subsequently determined by the
Speaker, in each case for consideration of such provisions as fall
within the jurisdiction of the committee concerned
_______________________________________________________________________
A BILL
To create Federal advertising procurement opportunities for minority
business concerns, 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. FINDINGS.
The Congress finds the following:
(1) Minority business concerns are of vital importance to
job growth and the economic strength of the United States but
have faced historic exclusion and underutilization in Federal
advertising procurement.
(2) All departments and agencies within the executive
branch with procurement authority should take all necessary
steps, as permitted by law, to increase contracting for Federal
advertising between the Federal Government and minority
business concerns.
SEC. 2. RESPONSIBILITIES OF EXECUTIVE DEPARTMENTS AND AGENCIES WITH
PROCUREMENT AUTHORITY RELATING TO FEDERAL ADVERTISING
PROCUREMENT.
(a) In General.--Each executive department and agency with
procurement authority shall--
(1) ensure substantial participation in Federal advertising
procurements by minority business concerns;
(2) ensure that the creation, placement, and transmission
of Federal advertising by the department or agency is fully
reflective of the diversity of the United States, including
ensuring placement with respect to publications and television
and radio stations that reach specific ethnic and racial
audiences;
(3) ensure that payment for Federal advertising is
commensurate with fair market rates in the relevant market;
(4) structure Federal advertising contracts as commercial
acquisitions consistent with part 12 of the Federal Acquisition
Regulation to enhance participation by minority business
concerns;
(5) aggressively seek to ensure that minority business
concerns are aware of Federal advertising procurement
opportunities through the wide dissemination of contract
announcements using the forms of communication which will be
most effective in reaching such concerns, including the
Internet, speciality press, and trade press;
(6) work with the Small Business Administration to ensure
that eligible small business concerns receive information
regarding sole source Federal advertising contracts awarded
under section 8(a) of the Small Business Act (15 U.S.C.
637(a));
(7) ensure that the price evaluation preference programs
authorized by section 7102 of the Federal Acquisition
Streamlining Act of 1994 (15 U.S.C. 644 note) are used to the
maximum extent permitted by law when granting Federal
advertising contracts to minority business concerns;
(8) aggressively use small business concerns engaged in the
advertising industry and certified by the Small Business
Administration as eligible to receive benefits under section
8(a) of the Small Business Act (15 U.S.C. 637(a)), particularly
those concerns in the developmental stage of the program, so
that such concerns have an opportunity to overcome artificial
barriers to Federal advertising procurement;
(9) take all reasonable steps to ensure that prime
contractors meet, or exceed Federal advertising subcontracting
goals and enforce Federal advertising subcontracting
commitments as required by section 8(d) of the Small Business
Act (15 U.S.C. 637(d)) and other related laws, including
ensuring that prime contractors actively solicit bids for
Federal advertising subcontracting opportunities from minority
business concerns and fulfill their subcontracting obligations
to such concerns;
(10) ensure that--
(A) contracts which involve commitments to
subcontract with minority business concerns include
clauses providing for the assessment of liquidated
damages when such commitments are not met; and
(B) such clauses are enforced;
(11) encourage the establishment of mentoring and teaming
relationships to foster the development of minority business
concerns which are engaged in the advertising industry and to
facilitate long-term business relationships among such
concerns;
(12) offer information, training, and technical assistance
programs for minority business concerns which are engaged in
the advertising industry, including, where appropriate,
Government acquisition forecasts in order to assist such
concerns in developing their products, skills, business
planning practices, and marketing techniques;
(13) train procurement officials regarding the policy of
including minority business concerns in Federal advertising
procurement, including structuring procurements to facilitate
participation by such concerns;
(14) provide the information required by the Department of
Commerce when it requests data to develop the benchmarks used
in the price evaluation preference programs authorized by
section 7102 of the Federal Acquisition Streamlining Act of
1994 (15 U.S.C. 644 note); and
(15) ensure that Directors of Offices of Small and
Disadvantaged Business Utilization carry out their
responsibilities to maximize the participation of minority
business concerns in Federal advertising procurement and, in
particular, ensure that the Directors report directly to the
head of each department or agency as required by law.
(b) Comprehensive Plan.--Each department and agency with
procurement authority shall--
(1) not later than 90 days after the date of the enactment
of this Act, develop a long-term comprehensive plan to
implement the requirements of subsection (a) and submit such
plan to the Director of the Office of Management and Budget,
who shall review such plan and report to the President on its
sufficiency; and
(2) not later than April 30 of each year--
(A) assess its efforts and the results of those
efforts to increase utilization of minority business
concerns which are engaged in the advertising industry
as prime contractors and subcontractors; and
(B) submit a report regarding those efforts to the
President through the Director of the Office of
Management and Budget, who shall review the report.
SEC. 3. GOVERNMENT-WIDE GOALS FOR FEDERAL ADVERTISING PROCUREMENT
CONTRACTS TO SMALL BUSINESS CONCERNS.
Section 15(g) of the Small Business Act (15 U.S.C. 644(g)) is
amended by adding at the end the following new paragraph:
``(3) Application to federal advertising.--
``(A) In general.--With respect to contracts for
Federal advertising, each goal and requirement
described in this subsection and subsection (h) which
relates to small business concerns, small business
concerns owned and controlled by service-disabled
veterans, small business concerns owned and controlled
by veterans, qualified HUBZone small business concerns,
small business concerns owned and controlled by
socially and economically disadvantaged individuals, or
small business concerns owned and controlled by women
shall be applied separately with respect to such
concerns which are engaged in the advertising industry.
``(B) Federal advertising.--For purposes of this
paragraph, the term `Federal advertising' means any
product or service which involves the use of media,
regardless of the medium employed, to recruit personnel
for the Federal Government or to promote any Federal
program or the sale or use of any Federal product or
service, including any public service announcement and
any request for proposal.''.
SEC. 4. GENERAL SERVICES ADMINISTRATION SCHEDULES.
(a) Increased Participation by Certain Concerns.--The Administrator
of the Small Business Administration and the Administrator of General
Services shall act promptly to expand inclusion on General Service
Administration schedules of small business concerns owned and
controlled by socially and economically disadvantaged individuals and
other minority business concerns, which are engaged in the advertising
industry, and provide greater opportunities for such concerns to
participate in orders under such schedules. The Administrator of
General Services shall ensure that procurement and program officials at
all levels that use such schedules aggressively seek to utilize the
schedule contracts of such concerns.
(b) Applicability Toward Procurement Goals.--The Administrator of
General Services shall allow all executive departments and agencies
ordering under the Multiple Award Schedule from small business concerns
owned and controlled by socially and economically disadvantaged
individuals that are engaged in the advertising industry to count those
orders toward their procurement goals with respect to such concerns.
SEC. 5. REVIEW OF BUNDLING CONTRACTS.
(a) In General.--The head of each executive department and agency
shall submit to the Administrator of the Small Business Administration
for review any proposed bundling of contract requirements which
includes one or more Federal advertising requirements. The
determination of the Administrator with regard to the appropriateness
of bundling in each instance must be carefully reviewed by the
department or agency head, or his or her designee, and must be given
due consideration. If there is an unresolvable conflict, the
Administrator or the department or agency may seek assistance from the
Director of the Office of Management and Budget.
(b) Bundling of Contract Requirements.--For purposes of this
section, the term ``bundling of contract requirements'' has the meaning
given such term in section 3(o)(2) of the Small Business Act (15 U.S.C.
632(o)(2)).
SEC. 6. AWARDS PROGRAM.
The Secretary of Commerce and the Administrator of the Small
Business Administration shall jointly carry out a feasibility study to
determine the appropriateness of establishing an awards program for
executive departments and agencies that best exemplify the letter and
intent of this Act in increasing opportunities for small business
concerns owned and controlled by socially and economically
disadvantaged individuals and other minority business concerns in
Federal advertising procurement. Such study shall be submitted to the
President and to Congress on the date that is 90 days after the date of
the enactment of this Act.
SEC. 7. DEFINITIONS.
For purposes of this Act:
(1) Federal advertising.--The term ``Federal advertising''
means any product or service which involves the use of media,
regardless of the medium employed, to recruit personnel for the
Federal Government or to promote any Federal program or the
sale or use of any Federal product or service, including any
public service announcement and any request for proposal.
(2) Minority business concern.--The term ``minority
business concern'' means any business concern which would, but
for any applicable size standards, be a small business concern
owned and controlled by socially and economically disadvantaged
individuals.
(3) Small business concern owned and controlled by socially
and economically disadvantaged individuals.--The term ``small
business concern owned and controlled by socially and
economically disadvantaged individuals'' has the meaning given
such term in section 8(d)(3)(C) of the Small Business Act (15
U.S.C. 637(d)(3)(C)).
<all>