USC Chapter 287

in effect

10 U.S.C. § 3901 Contracts: prohibition on competition between Department of Defense and small businesses

(a) Exclusion.—In any case in which the Secretary of Defense plans to use competitive procedures for a procurement, if the procurement is to be conducted as described in subsection (b), then the Secretary shall exclude the Department of Defense from competing in the procurement. (b) Procurement Description.—The requirement to exclude the Department of Defense under subsection (a) applies in the case of a procurement to be conducted by excluding from competition entities in the private sector other than small business concerns in furtherance of section 8 or 15 of the Small Business Act (15 U.S.C. 637 or 644).

10 U.S.C. § 3902 Credit for Indian contracting in meeting certain subcontracting goals for small disadvantaged businesses

(a) Regulations.—Subject to subsections (b) and (c), in any case in which a subcontracting goal is specified in a Department of Defense contract in the implementation of section 8(d) of the Small Business Act (15 U.S.C. 637(d)), credit toward meeting that subcontracting goal shall be given for—(1) work performed in connection with that Department of Defense contract, and work performed in connection with any subcontract awarded under that Department of Defense contract, if such work is performed on any Indian lands and meets the requirements of paragraph (1) of subsection (b); or (2) work performed in connection with that Department of Defense contract, and work performed in connection with any subcontract awarded under that Department of Defense contract, if the performance of such contract or subcontract is undertaken as a joint venture that meets the requirements of paragraph (2) of that subsection. (b) Eligible Work.—(1) Work performed on Indian lands meets the requirements of this paragraph if—(A) not less than 40 percent of the workers directly engaged in the performance of the work are Indians; or (B) the contractor or subcontractor has an agreement with the tribal government having jurisdiction over such Indian lands that provides goals for training and development of the Indian workforce and Indian management. (2) A joint venture undertaking to perform a contract or subcontract meets the requirements of this paragraph if—(A) an Indian tribe or tribally owned corporation owns at least 50 percent of the joint venture; (B) the activities of the joint venture under the contract or subcontract provide employment opportunities for Indians either directly or through the purchase of products or services for the performance of such contract or subcontract; and (C) the Indian tribe or tribally owned corporation manages the performance of such contract or subcontract. (c) Extent of Credit.—The amount of the credit given toward the attainment of any subcontracting goal under subsection (a) shall be—(1) in the case of work performed as described in subsection (a)(1), the value of the work performed; and (2) in the case of a contract or subcontract undertaken to be performed by a joint venture as described in subsection (a)(2), an amount equal to the amount of the contract or subcontract multiplied by the percentage of the tribe’s or tribally owned corporation’s ownership interest in the joint venture. (d) Regulations.—The Secretary of Defense shall prescribe regulations for the implementation of this section. (e) Definitions.—In this section:(1) The term “Indian lands” has the meaning given that term by section 4(4) of the Indian Gaming Regulatory Act (25 U.S.C. 2703(4)). (2) The term “Indian” has the meaning given that term by section 4(d) of the Indian Self-Determination and Education Assistance Act (25 U.S.C. 5304(d)). (3) The term “Indian tribe” has the meaning given that term by section 4(e) of the Indian Self-Determination and Education Assistance Act (25 U.S.C. 5304(e)). (4) The term “tribally owned corporation” means a corporation owned entirely by an Indian tribe.

10 U.S.C. § 3903 Subcontracting plans: credit for certain purchases

(a) Purchases Benefiting Severely Handicapped Persons.—In the case of a business concern that has negotiated a small business subcontracting plan with a military department or a Defense Agency, purchases made by that business concern from qualified nonprofit agencies for the blind or other severely handicapped shall count toward meeting the subcontracting goal provided in that plan. (b) Definitions.—In this section:(1) The term “small business subcontracting plan” means a plan negotiated pursuant to section 8(d) of the Small Business Act (15 U.S.C. 637(d)) that establishes a goal for the participation of small business concerns as subcontractors under a contract. (2) The term “qualified nonprofit agency for the blind or other severely handicapped” means—(A) a qualified nonprofit agency for the blind, as defined in section 8501(7) of title 41; (B) a qualified nonprofit agency for other severely disabled, as defined in section 8501(6) of title 41; and (C) a central nonprofit agency designated by the Committee for Purchase from People Who Are Blind or Severely Disabled under section 8503(c) of title 41.

10 U.S.C. § 3905 Products of Federal Prison Industries: procedural requirements

(a) Products for Which Federal Prison Industries Does Not Have Significant Market Share.—(1) Before purchasing a product listed in the latest edition of the Federal Prison Industries catalog under section 4124(d) of title 18 for which Federal Prison Industries does not have a significant market share, the Secretary of Defense shall conduct market research to determine whether the product is comparable to products available from the private sector that best meet the needs of the Department in terms of price, quality, and time of delivery. (2) If the Secretary determines that a Federal Prison Industries product described in paragraph (1) is not comparable in price, quality, or time of delivery to products of the private sector that best meets the needs of the Department in terms of price, quality, and time of delivery, the Secretary shall use competitive procedures for the procurement of the product, or shall make an individual purchase under a multiple award contract in accordance with the competition requirements applicable to such contract. In conducting such a competition, the Secretary shall consider a timely offer from Federal Prison Industries. (b) Products for Which Federal Prison Industries Has Significant Market Share.—(1) The Secretary of Defense may purchase a product listed in the latest edition of the Federal Prison Industries catalog for which Federal Prison Industries has a significant market share only if the Secretary uses competitive procedures for the procurement of the product or makes an individual purchase under a multiple award contract in accordance with the competition requirements applicable to such contract. In conducting such a competition, the Secretary shall consider a timely offer from Federal Prison Industries. (2) For purposes of this subsection, Federal Prison Industries shall be treated as having a significant share of the market for a product if the Secretary, in consultation with the Administrator of Federal Procurement Policy, determines that the Federal Prison Industries share of the Department of Defense market for the category of products including such product is greater than 5 percent. (c) Implementation by Secretary of Defense.—The Secretary of Defense shall ensure that—(1) the Department of Defense does not purchase a Federal Prison Industries product or service unless a contracting officer of the Department determines that the product or service is comparable to products or services available from the private sector that best meet the Department’s needs in terms of price, quality, and time of delivery; and (2) Federal Prison Industries performs its contractual obligations to the same extent as any other contractor for the Department of Defense. (d) Market Research Determination Not Subject to Review.—A determination by a contracting officer regarding whether a product or service offered by Federal Prison Industries is comparable to products or services available from the private sector that best meet the Department’s needs in terms of price, quality, and time of delivery shall not be subject to review pursuant to section 4124(b) of title 18. (e) Performance as a Subcontractor.—(1) A contractor or potential contractor of the Department of Defense may not be required to use Federal Prison Industries as a subcontractor or supplier of products or provider of services for the performance of a Department of Defense contract by any means, including means such as—(A) a contract solicitation provision requiring a contractor to offer to make use of products or services of Federal Prison Industries in the performance of the contract; (B) a contract specification requiring the contractor to use specific products or services (or classes of products or services) offered by Federal Prison Industries in the performance of the contract; or (C) any contract modification directing the use of products or services of Federal Prison Industries in the performance of the contract. (2) In this subsection, the term “contractor”, with respect to a contract, includes a subcontractor at any tier under the contract. (f) Protection of Classified and Sensitive Information.—The Secretary of Defense may not enter into any contract with Federal Prison Industries under which an inmate worker would have access to—(1) any data that is classified; (2) any geographic data regarding the location of—(A) surface and subsurface infrastructure providing communications or water or electrical power distribution; (B) pipelines for the distribution of natural gas, bulk petroleum products, or other commodities; or (C) other utilities; or (3) any personal or financial information about any individual private citizen, including information relating to such person’s real property however described, without the prior consent of the individual. (g) Definitions.—In this section:(1) The term “competitive procedures” has the meaning given such term in section 3012 of this title. (2) The term “market research” means obtaining specific information about the price, quality, and time of delivery of products available in the private sector through a variety of means, which may include—(A) contacting knowledgeable individuals in government and industry; (B) interactive communication among industry, acquisition personnel, and customers; and (C) interchange meetings or pre-solicitation conferences with potential offerors.