110th CONGRESS
1st Session
H. R. 1611
To amend the Small Business Act to improve the 8(a) program.
IN THE HOUSE OF REPRESENTATIVES
March 20, 2007
Mr. REYES introduced the following bill; which was referred to the Committee
on Small Business
A BILL
To amend the Small Business Act to improve the 8(a) program.
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 `8(a) Modernization Act'.
SEC. 2. FINDINGS.
(1) when the 8(a) program was implemented in 1968, the thresholds for
noncompetitive contracts were $3,000,000 and $5,000,000 (for manufacturing),
and today those thresholds have risen to only $3,500,000 and $5,500,000,
respectively, a rate of growth far overtaken by inflation; and
(2) when the 8(a) program was implemented in 1968, the net worth limit
was $250,000, and today that limit is exactly the same.
SEC. 3. IMPROVEMENTS TO 8(a) PROGRAM.
Section 8(a) of the Small Business Act (15 U.S.C. 637(a)) is amended--
(1) in paragraph (1)(D)(i)(II)--
(A) by striking `$5,000,000' and inserting `$12,000,000'; and
(B) by striking `$3,000,000' and inserting `$10,000,000'; and
(2) in paragraph (6) by adding at the end the following:
`(F) the Administrator shall establish, for each industry classification,
a maximum level of net worth for an economically disadvantaged individual.
In establishing such maximum levels, the Administrator shall take into
consideration the capital needs of each industry. The Administrator
shall not establish a maximum net worth that prohibits program entry
of less than $750,000.'.
END
