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TITLE XVI--INDUSTRIAL BASE MATTERS

Subtitle B--Department of Defense Activities Related to Small Business Matters

P. L. 112-

House Conference Report 112-705

SEC. 1613. INDEPENDENT ASSESSMENT OF FEDERAL PROCUREMENT CONTRACTING PERFORMANCE OF THE DEPARTMENT OF DEFENSE.

(a) Assessment Required- Not later than 60 days after the date of the enactment of this Act, the Secretary of Defense shall select an appropriate entity to conduct an independent assessment of the procurement performance of the Department of Defense related to small business concerns.

(b) Matters Covered- The assessment under subsection (a) shall, at a minimum, include an examination of--

(1) the industrial composition of companies receiving subcontracts pursuant to the test program for the negotiation of comprehensive small business subcontracting plans pursuant to section 834 of the National Defense Authorization Act for Fiscal Years 1990 and 1991 (Public Law 101-189; 15 U.S.C. 637 note), compared to the industrial composition of other contractors in the defense industrial base;

(2) the quality and reliability of data on small business prime contracting and subcontracting by the Department, and the reliability of the information technology systems that the Department uses to track such data;

(3) the negotiation and execution of small business subcontracting plans, and the degree to which proposed teaming agreements are or are not maintained through the performance of contracts;

(4) the extent to which the Department adheres to current policies and guidelines relating to small business prime contracting and subcontracting goals;

(5) the extent to which the Department bundles, consolidates, or otherwise groups requirements into contracts that are unsuitable for award to small business concerns, the extent to which such bundling, consolidation, or grouping of requirements is justified, and the effects that such practices have on small business participation in contracting opportunities with the Department;

(6) the degree to which abuses of small business contracting and subcontracting programs result in contracts and subcontracts intended for small business concerns not being awarded to small business concerns; and

(7) an examination of the transition challenges faced by businesses that graduate from small business programs or grow to exceed the size standards for participation in such programs, along with specific recommendations on steps that should be taken to help ensure the continued health and growth of such businesses.

(c) Report- Not later than January 1, 2014, the Secretary of Defense shall submit to the congressional defense committees a report on the independent assessment conducted under this section. The report shall include the findings and recommendations of the assessment, together with any recommendations that the Secretary may have for improving the Department's small business contracting practices and addressing any shortcomings identified by the assessment.

Independent assessment of Federal procurement contracting performance of the Department of Defense (sec. 1613)

The House bill contained a provision (sec. 1614) that would require the Secretary of Defense to enter into a contract with a federally funded research and development center to conduct an independent assessment of the procurement performance of the Department of Defense related to small business concerns.

The Senate amendment contained no similar provision.

The Senate recedes with an amendment that would: (1) direct the Secretary to select an appropriate entity to conduct the independent assessment; and (2) streamline and clarify the matters to be addressed by the review.

The conferees note that the amendment does not include a requirement to review the potential for increased opportunities for contracting and subcontracting with small business concerns owned and controlled by service-disabled veterans. The Department has informed the conferees that an independent assessment addressing this issue has already been completed by a federally funded research and development center and is currently in the review process.

House Report 112-479

SECTION 1614--INDEPENDENT ASSESSMENT OF FEDERAL PROCUREMENT CONTRACTING PERFORMANCE OF THE DEPARTMENT OF DEFENSE

This section would require the Secretary of Defense to enter into a contract with a Federally Funded Research and Development Center to conduct an independent assessment of the Department of Defense's Federal procurement performance related to small business concerns. This section would require the Secretary to submit a report to the congressional defense committees not later than January 1, 2014, on the independent assessment.

 

 

 

 

 

 

 

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