S 236

112th CONGRESS
1st Session

S. 236

To eliminate the preferences and special rules for Alaska Native Corporations under the program under section 8(a) of the Small Business Act.

IN THE SENATE OF THE UNITED STATES

January 31, 2011

Mrs. MCCASKILL (for herself and Mr. CARPER) introduced the following bill; which was read twice and referred to the Committee on Small Business and Entrepreneurship


A BILL

To eliminate the preferences and special rules for Alaska Native Corporations under the program under section 8(a) of the Small Business Act.

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

SECTION 1. AMENDMENT TO DEFINITION OF INDIAN TRIBE.

    Section 8(a)(13) of the Small Business Act (15 U.S.C. 637(a)(13)) is amended--

      (1) by redesignating subparagraphs (A) and (B) as clauses (i) and (ii), respectively, and adjusting the margins accordingly;

      (2) by striking `the term `Indian tribe' means' and inserting the following: `the term `Indian tribe'--

        `(A) means';

      (3) by striking `, including any Alaska Native village or regional or village corporation (within the meaning of the Alaska Native Claims Settlement Act)';

      (4) in subparagraph (A)(i), as so designated, by striking `, or' and inserting `; or';

      (5) by striking the period at the end and inserting `; and'; and

      (6) by adding at the end the following:

        `(B) does not include an Alaska Native Corporation or Alaska Native Village.'.

SEC. 2. SOCIAL AND ECONOMIC DISADVANTAGE.

    (a) In General- Section 29(e) of the Alaska Native Claims Settlement Act (43 U.S.C. 1626(e)) is amended--

      (1) in paragraph (1), by striking `For all purposes of' and inserting `Except as provided in paragraph (5), for all purposes of';

      (2) in paragraph (2), by striking `For all purposes of' and inserting `Except as provided in paragraph (5), for all purposes of'; and

      (3) by adding at the end the following:

    `(5) For purposes of sections 7(j)(10) and 8(a) of the Small Business Act (15 U.S.C. 636(j)(10) and 637(a)), whether a Native Corporation or Native village or a direct and indirect subsidiary corporation, joint venture, or partnership of a Native Corporation or Native village is socially or economically disadvantaged shall be determined in accordance with paragraph (5) or (6), respectively, of section 8(a) of the Small Business Act.'.

    (b) Standards- Section 8(a) of the Small Business Act (15 U.S.C. 637(a)) is amended--

      (1) in paragraph (4)--

        (A) in subparagraph (A)--

          (i) in clause (i)--

            (I) in subclause (II), by striking `or' at the end; and

            (II) by adding at the end the following:

        `(IV) a socially and economically disadvantaged Alaska Native Corporation or Alaska Native Village, or'; and

          (ii) in clause (ii)--

            (I) in subclause (II), by striking `or' at the end;

            (II) in subclause (III), by striking the period at the end and inserting `, or'; and

            (III) by adding at the end the following:

        `(IV) a socially and economically disadvantaged Alaska Native Corporation or Alaska Native Village.';

        (B) in subparagraph (B)--

          (i) in clause (ii), by striking `or' at the end;

          (ii) in clause (iii), by striking the period at the end and inserting `, or'; and

          (iii) by adding at the end the following:

      `(iv) members of a socially and economically disadvantaged Alaska Native Corporation or Alaska Native Village described in subparagraph (A)(i)(IV) or subparagraph (A)(ii)(IV).'; and

        (C) by adding at the end the following:

    `(D) The Administrator may not waive the requirement under this paragraph that the management and daily business operations of a business concern participating in the program under this subsection are controlled by one or more socially and economically disadvantaged individuals for a business concern owned by an Alaska Native Corporation or Alaska Native Village.';

      (2) in paragraph (5)--

        (A) by inserting `(A)' after `(5)'; and

        (B) by adding at the end the following:

    `(B) For purposes of this subsection and section 7(j)(10), the Administrator shall determine whether an Alaska Native Corporation or Alaska Native Village is, as an entity, socially disadvantaged in accordance with the factors described in subparagraph (A).'; and

      (3) in paragraph (6), by adding at the end the following:

    `(F) For purposes of this subsection and section 7(j)(10), the Administrator shall annually determine whether an Alaska Native Corporation or Alaska Native Village is economically disadvantaged in the same manner as for an applicant for or participant in the program under this subsection that is a Native Hawaiian organization.'.

SEC. 3. AFFILIATION.

    Section 7(j)(10)(J)(ii)(II) of the Small Business Act (15 U.S.C. 636(j)(10)(J)(ii)(II)) is amended by inserting `, as defined in section 8(a)(13)' after `Indian tribe'.

SEC. 4. SOLE SOURCE CONTRACTING DOLLAR LIMITS.

    (a) Competitive Thresholds- Not later than 270 days after the date of enactment of this Act, the Administrator shall amend the regulations issued under sections 7(j)(10) and 8(a) of the Small Business Act (15 U.S.C. 636(j)(10) and 637(a)) in accordance with this Act and the amendments made by this Act to apply to small business concerns owned by an Alaska Native Corporation or Alaska Native Village the competitive thresholds for awarding sole source contracts under section 8(a)(1)(D) of the Small Business Act (15 U.S.C. 637(a)(1)(D)) that are applicable to small business concerns that are owned by a socially and economically disadvantaged individual.

    (b) Maximum Total Dollar Amount- Section 8(a)(1)(D) of the Small Business Act (15 U.S.C. 637(a)(1)(D)) is amended by adding at the end the following:

        `(iii) For purposes of eligibility for the award of a contract on the basis of restricted competition under this subparagraph, the Administrator may not establish a maximum total dollar amount of such awards during the period of Program Participation for participants that are owned by an Alaska Native Corporation or Alaska Native Village that is different from the amount for Program Participants that are owned by a socially and economically disadvantaged individual.'.

SEC. 5. ONE TIME ELIGIBILITY.

    Section 7(j)(11)(B)(iii) of the Small Business Act (15 U.S.C. 636(j)(11)(B)(iii)) is amended in the matter preceding subclause (I) by inserting `(as defined in section 8(a)(13))' after `Indian tribe'.

SEC. 6. GRADUATION.

    (a) In General- Section 7(j)(15) of the Small Business Act (15 U.S.C. 636(j)(15)) is amended--

      (1) by redesignating subparagraphs (A) and (B) as clauses (i) and (ii), respectively;

      (2) by inserting `(A)' after `(15)'; and

      (3) by adding at the end the following:

    `(B) The Administrator may not extend or waive the time limitations under this paragraph for a business concern owned by an Alaska Native Corporation or Alaska Native Village.'.

    (b) Technical and Conforming Amendments- The Small Business Act (15 U.S.C. 631 et seq.) is amended--

      (1) in section 7(j) (15 U.S.C. 636(j))--

        (A) in paragraph (10)(E)(ii), by striking `paragraph (15)' and inserting `paragraph (15)(A)'; and

        (B) in paragraph (11)(D), by striking `paragraph (15)' and inserting `paragraph (15)(A)'; and

      (2) in section 8(a)(1)(C) (15 U.S.C. 637(a)(1)(C)), in the matter preceding clause (i), by striking `section 7(j)(15)' and inserting `section 7(j)(15)(A)'.

SEC. 7. REPORTING.

    Section 8(a)(6)(B) of the Small Business Act (15 U.S.C. 637(a)(6)(B)) is amended--

      (1) by redesignating clauses (i), (ii), and (iii) as subclauses (I), (II), and (III), respectively;

      (2) by inserting `(i)' after `(B)'; and

      (3) by adding at the end the following:

    `(ii) The annual report submitted under clause (i) by a Program Participant that is an Alaska Native Corporation or Alaska Native Village shall include, for the period addressed by the report--

      `(I) the total revenue of the Alaska Native Corporation or Alaska Native Village;

      `(II) the revenue of the Alaska Native Corporation or Alaska Native Village attributable to the participation of the Alaska Native Corporation or Alaska Native Village in the program under this subsection; and

      `(III) the total amount of benefits paid to shareholders of the Alaska Native Corporation or Alaska Native Village.'.

SEC. 8. REGULATIONS.

    Not later than 270 days after the date of enactment of this Act, the Administrator shall amend the regulations issued under sections 7(j)(10) and 8(a) of the Small Business Act (15 U.S.C. 636(j)(10) and 637(a)) in accordance with this section and the amendments made by this section, which shall include--

      (1) establishing criteria for determining whether an Alaska Native Corporation or Alaska Native Village is, as a group, socially disadvantaged, in accordance with the factors described in section 8(a)(5)(A) of the Small Business Act, as so designated by this Act;

      (2) establishing criteria for determining whether an Alaska Native Corporation, Alaska Native Village, or Native Hawaiian Organization is economically disadvantaged;

      (3) repealing the provision that excludes certain affiliates of an Alaska Native Corporation or Alaska Native Village in determining whether a business is a small business concern;

      (4) repealing the waiver for Alaska Native Corporations and Alaska Native Villages of the requirement that the management and daily business operations of a business concern participating in the program under section 8(a) of the Small Business Act (15 U.S.C. 637(a)) are controlled by one or more socially and economically disadvantaged individuals;

      (5) applying to small business concerns owned by an Alaska Native Corporation or Alaska Native Village the limitation on eligibility for a sole source award under section 8(a)(1)(D) of the Small Business Act (15 U.S.C. 637(a)(1)(D)) based on the maximum total amount of competitive and sole source awards under such section 8(a) that are applicable to small business concerns that are owned by a socially and economically disadvantaged individual;

      (6) prohibiting a single Alaska Native Corporation or Alaska Native Village from conferring eligibility to participate in the program under section 8(a) of the Small Business Act (15 U.S.C. 637(a)) on more than 1 small business concern at any one time; and

      (7) applying to small business concerns owned by an Alaska Native Corporation or Alaska Native Village the limitation on ownership of other firms participating in the program under section 8(a) of the Small Business Act (15 U.S.C. 637(a)) that is applicable to small business concerns that are owned by a socially and economically disadvantaged individual.

SEC. 9. DEFINITIONS.

    In this Act--

      (1) the term `Administrator' means the Administrator of the Small Business Administration;

      (2) the terms `Alaska Native Corporation' and `Alaska Native Village' have the meanings given those terms in section 3(p)(6) of the Small Business Act (15 U.S.C. 632(p)(6));

      (3) the term `Native Hawaiian Organization' has the meaning given that term in section 8(a)(15) of the Small Business Act (15 U.S.C. 637(a)(15)); and

      (4) the term `small business concern' has the meaning given that term under section 3 of the Small Business Act (15 U.S.C. 632).

END