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LEGISLATIVE PROVISIONS NOT ADOPTED

House and Senate Bill Sections Not Enacted

House Conference Report 110-477

SEC. 327. ADDITIONAL REQUIREMENTS FOR ANNUAL REPORT ON PUBLIC-PRIVATE COMPETITIONS.

Paragraph (1) of subsection (b) of section 2462 is amended by adding at the end the following new paragraphs:

`(4) For any function converted to performance by a contractor, the effect of such conversion on the quality of the performance of the function.

`(5) For any function for which a public-private competition is anticipated during any subsequent fiscal year, an assessment of whether any method of business reform or reengineering other than a public-private competition, including a decision to consolidate, restructure, or reengineer an organization, function, or activity covered under section 2475 of this title, could, if implemented in the future, achieve any anticipated or budgeted savings.'.

The House bill contained a provision (sec. 327) that would add additional elements to the annual report on the results of public-private competitions conducted by the Department of Defense.

The Senate amendment contained no similar provision.

The House recedes.

SEC. 357. REPORT ON PUBLIC-PRIVATE PARTNERSHIPS.

(a) Report Required- Not later than April 1, 2008, the Secretary of Defense shall submit to the Committee on Armed Services of the House of Representatives and the Committee of Armed Services of the Senate a report regarding public-private partnerships at Centers of Industrial and Technical Excellence designated under section 2474 of title 10, United States Code.

(b) Contents of Report- The report required under paragraph (1) shall include a description of each of the following:

(1) Common approaches and procedures for the military departments regarding implementation of public-private partnerships.

(2) Consistent cost methodologies and reimbursement guidance applicable to maintenance and repair workload performed by Federal Government personnel.

(3) Implementation procedures for completing contract negotiations for public-private partnerships within 12 months.

(4) The Secretary's utilization of commercial practices to replace existing inventory and component management, technical publication data, document management, and equipment maintenance, and calibration requirements of the Department of Defense.

(5) Delegation of Class 2 Design authority based on commercial practices to maintain the form, fit, and function of a weapon system platform, major end item, component of a major end item, or article.

(6) The Secretary's plan to expand Department of Defense core capabilities, as defined in section 2464 of such title.

The House bill contained a provision (sec. 357) that would require the Secretary of Defense to submit a report on the public-private partnerships at the Department of Defense Centers of Industrial and Technical Excellence (CITEs).

The Senate amendment contained no similar provision.

The House recedes.

The conferees direct the Secretary of Defense to submit a report to the Committees on Armed Services of the House of Representatives and the Senate by March 1, 2008, that describes:

(1) common approaches and procedures for Department of Defense CITEs to use in the implementation of public-private partnerships;

(2) consistent cost methodologies and reimbursement guidance applicable to maintenance and repair workload performed by Federal Government personnel participating in public-private partnerships;

(3) implementation procedures for completing contract negotiations for public-private partnerships within 12 months of initiating negotiations;

(4) the Secretary's use in a public-private partnership of commercial practices to replace existing inventory and component management, technical publication data, document management, and equipment maintenance and calibration requirements;

(5) delegation during a public-private partnership of Class 2 design authority based on commercial practices to maintain the form, fit, and function of a weapon system platform, major end item, component of a major end item, or article; and

(6) plans to expand core capabilities through the use of public-private partnerships at Department of Defense CITEs.

The conferees direct the Comptroller General to review the Department's report for completeness and submit the review to the Committees on Armed Services of the House of Representatives and Senate by May 1, 2008.

SEC. 850. CLARIFICATION OF JURISDICTION OF THE UNITED STATES DISTRICT COURTS TO HEAR BID PROTEST DISPUTES INVOLVING MARITIME CONTRACTS.

Section 1491 of title 28, United States Code, is amended by adding at the end the following:

`(d) Jurisdiction over any actions described under subsection (b)(1) of this section arising out of a maritime contract (as that term is used in the Contract Disputes Act of 1978 (41 U.S.C. 601 et seq.)) or a proposed maritime contract shall be governed by this section, and shall not be subject to the jurisdiction of the district courts of the United States under chapter 309 of title 46, popularly known as the Suits in Admiralty Act, or chapter 311 of title 46, popularly known as the Public Vessels Act.'.

The House bill contained a provision (sec. 850) that would limit bid protests arising out of maritime contracts to the U.S. Court of Federal Claims.

The Senate amendment contained no similar provision.

The House recedes.

SEC. 845. EVALUATION OF COST OF COMPLIANCE WITH REQUIREMENT TO BUY CERTAIN ARTICLES FROM AMERICAN SOURCES.

(a) Exclusion From Price or Cost Comparison- For all Department of Defense prime contract awards and subcontract awards at any tier, in the event that a price or cost comparison is made as part of an evaluation of offers for goods or services provided by a United States firm and by a foreign source benefitting from the exception provided in section 2533a(e)(1)(B) or 2533b(d)(1)(B) of title 10, United States Code, the cost of compliance described in subsection (c) shall not be considered in such an evaluation.

(b) Inclusion in Evaluation of Offers- The cost of compliance shall be considered in the evaluation of offers provided by United States firms and by foreign sources submitting compliant offers.

(c) Cost of Compliance- The cost of compliance described in this subsection is the cost of compliance for a United States firm to procure items grown, reprocessed, reused, or produced in the United States, in accordance with section 2533a of title 10, United States Code, or to procure specialty metals melted or produced in the United States, in accordance with section 2533b of such title 10.

The House bill contained a provision (sec. 845) that would require that costs related to compliance with requirements related to the purchase of specialty metals from non-domestic sources be excluded from consideration in the evaluation of offers for Department of Defense contracts.

The Senate amendment contained no similar provision.

The House recedes.

SEC. 849. JURISDICTION UNDER CONTRACT DISPUTES ACT OF 1978 OVER CLAIMS, DISPUTES, AND APPEALS ARISING OUT OF MARITIME CONTRACTS.

Section 4 of the Contract Disputes Act of 1978 (41 U.S.C. 603) is amended by striking `of maritime contracts,' and all that follows through the end of the section and inserting `of maritime contracts, shall be governed exclusively by this Act.'.

The House bill contained a provision (sec. 849) that would extend the coverage of the Contract Disputes Act of 1978 (41 U.S.C. 601 et seq.) to maritime contracts.

The Senate amendment contained no similar provision.

The House recedes.

SEC. 842. REPORT TO CONGRESS REQUIRED ON DELAYS IN MAJOR PHASES OF ACQUISITION PROCESS FOR MAJOR AUTOMATED INFORMATION SYSTEM PROGRAMS.

(a) Report Required for Certain Delays- In the case of any major automated information system program, if there is a delay in meeting any deadline for a phase of the acquisition process for the program specified in subsection (b), the Secretary of Defense, acting through the Under Secretary of Defense for Acquisition, Technology, and Logistics, shall submit to the congressional defense committees a report on the delay. The report shall be submitted not later than 30 days after the delay occurs.

(b) Deadlines- The deadlines for a phase of the acquisition process referred to in subsection (a) are the following:

(1) With respect to approval of any analysis of alternatives, within one year from the date each analysis began.

(2) With respect to achieving Milestone B in accordance with section 2366a of title 10, United States Code, within 18 months after the date of Milestone A approval.

(3) With respect to completion of any capability development document, within six months from the time of determined need to the time of approval.

(c) Matters Covered by Report- The report required by subsection (a)--

(1) shall set forth the reason or reasons the Department of Defense was unable to complete the delayed process or processes on time; and

(2) shall include a written certification with a supporting explanation stating that--

(A) the program is necessary for the efficient management of the Department; and

(B) the most current estimates of the costs, schedule, and performance parameters with respect to the program and system are reasonable; and the management structure for the program is adequate to manage and control program costs.

The Senate amendment contained a provision (sec. 842) that would authorize the military departments to establish Contract Support Acquisition Centers.

The House bill contained no similar provision.

The Senate recedes.

SEC. 822. MAXIMIZING FIXED-PRICE PROCUREMENT CONTRACTS.

(a) Plans Required- Subject to subsection (c), the head of each executive agency covered by title III of the Federal Property and Administrative Services Act of 1949 (41 U.S.C. 251 et seq.) or, in the case of the Department of Defense, the Under Secretary of Defense for Acquisition, Technology, and Logistics, shall develop and implement a plan to maximize, to the fullest extent practicable, the use of fixed-price type contracts for the procurement of goods and services by the agency or department concerned. The plan shall contain measurable goals and shall be completed and submitted to the Committee on Oversight and Government Reform of the House of Representatives, the Committee on Homeland Security and Governmental Affairs of the Senate, and the Committees on Appropriations of the House of Representatives and the Senate and, in the case of the Department of Defense and the Department of Energy, the Committees on Armed Services of the Senate and the House of Representatives, with a copy provided to the Comptroller General, not later than 1 year after the date of the enactment of this Act.

(b) Comptroller General Review- The Comptroller General shall review the plans provided under subsection (a) and submit a report to Congress on the plans not later than 18 months after the date of the enactment of this Act.

(c) Requirement Limited to Certain Agencies- The requirement of subsection (a) shall apply only to those agencies that awarded contracts in a total amount of at least $1,000,000,000 in the fiscal year preceding the fiscal year in which the report is submitted.

SEC. 804. PROHIBITION ON PROCUREMENT FROM BENEFICIARIES OF FOREIGN SUBSIDIES.

(a) Prohibition- The Secretary of Defense may not enter into a contract for the procurement of goods or services from any foreign person to which the government of a foreign country that is a member of the World Trade Organization has provided a subsidy if--

(1) the United States has requested consultations with that foreign country under the Agreement on Subsidies and Countervailing Measures on the basis that the subsidy is a prohibited subsidy under that Agreement; and

(2) either--

(A) the issue before the World Trade Organization has not been resolved; or

(B) the World Trade Organization has ruled that the subsidy provided by the foreign country is a prohibited subsidy under the Agreement on Subsidies and Countervailing Measures.

(b) Joint Ventures- The prohibition under subsection (a) with respect to a foreign person also applies to any joint venture, cooperative organization, partnership, or contracting team of which that foreign person is a member.

(c) Subcontracts and Task Orders- The prohibition under subsection (a) with respect to a contract also applies to any subcontracts at any tier entered into under the contract and any task orders at any tier issued under the contract.

(d) Definitions- In this section:

(1) The term `Agreement on Subsidies and Countervailing Measures' means the agreement described in section 101(d)(12) of the Uruguay Round Agreements Act (19 U.S.C. 3501(d)(12)).

(2) The term `foreign person' means--

(A) an individual who is not a United States person or an alien lawfully admitted for permanent residence into the United States; or

(B) a corporation, partnership, or other nongovernmental entity which is not a United States person.

(3) The term `United States person' means--

(A) a natural person who is a citizen of the United States or who owes permanent allegiance to the United States; and

(B) a corporation or other legal entity which is organized under the laws of the United States, any State or territory thereof, or the District of Columbia, if natural persons described in subparagraph (A) own, directly or indirectly, more than 50 percent of the outstanding capital stock or other beneficial interest in such legal entity.

(e) Applicability-

(1) PROGRAMS WITH MILESTONE B APPROVAL NOT COVERED- The prohibition under subsection (a) shall not apply to any contract under a major defense acquisition program that has received Milestone B approval as of the date of the enactment of this Act.

(2) DEFINITIONS- In this subsection:

(A) The term `major defense acquisition program' means a Department of Defense acquisition program that is a major defense acquisition program for purposes of section 2430 of title 10, United States Code.

(B) The term `Milestone B approval' has the meaning provided that term in section 2366(e)(7) of such title.

The House bill contained a provision (sec. 804) that would prohibit the Secretary of Defense from entering into a contract with a foreign person who has received a subsidy from the government of a foreign country, if the United States has requested a consultation with that foreign country on the basis that the subsidy is prohibited under the Agreement on Subsidies and Countervailing Measures.

The Senate amendment contained no similar provision.

The House recedes.

SEC. 805. PROHIBITION ON PROCUREMENT FROM COMPANIES IN VIOLATION OF THE IRAN AND SYRIA NONPROLIFERATION ACT.

(a) Prohibition- Except as provided in subsection (c), funds appropriated or otherwise available to the Department of Defense may not be used for the procurement of goods or services from a source subject to sanctions for violations of the Iran and Syria Nonproliferation Act (Public Law 106-178; 50 U.S.C. 1701 note) or from any source that is owned or controlled by a sanctioned entity.

(b) Contracts Covered- This section applies to prime contracts and subcontracts at any tier under such contracts.

(c) Exception-

(1) IN GENERAL- Subsection (a) does not apply in any case in which the Secretary of Defense determines that there is a compelling reason to solicit an offer from, award a contract or subcontract to, or extend a contract or subcontract with a source described in that subsection. The exception in the preceding sentence may not be used if the same or reasonably equivalent products or services are available from a non-sanctioned source.

(2) NOTICE TO CONGRESS- The Secretary shall transmit to the Committees on Armed Services of the Senate and the House of Representatives a notice of any determination made under paragraph (1) at the time of the determination.

The House bill contained a provision (sec. 805) that would prohibit the use of funds for the procurement of goods or services at a prime contract or subcontract level from any source that is owned or controlled by an entity that is subject to sanctions for violations of the Iran and Syria Nonproliferation Act (Public Law 106-178).

The Senate amendment contained no similar provision.

The House recedes.

SEC. 875. REPEAL OF REQUIREMENT FOR IDENTIFICATION OF ESSENTIAL MILITARY ITEMS AND MILITARY SYSTEM ESSENTIAL ITEM BREAKOUT LIST.

Section 813 of the National Defense Authorization Act for Fiscal Year 2004 (Public Law 108-136; 117 Stat. 1543) is repealed.

SEC. 864. REPORT ON DEPARTMENT OF DEFENSE CONTRACTING WITH CONTRACTORS OR SUBCONTRACTORS EMPLOYING MEMBERS OF THE SELECTED RESERVE.

(a) Study Required- The Secretary of Defense shall conduct a study on contracting with the Department of Defense by actual and potential contractors and subcontractors of the Department who employ members of the Selected Reserve of the reserve components of the Armed Forces.

(b) Elements- The study required by subsection (a) shall address the following:

(1) The extent to which actual and potential contractors and subcontractors of the Department, including small businesses, employ members of the Selected Reserve.

(2) The extent to which actual and potential contractors and subcontractors of the Department have been or are likely to be disadvantaged in the performance of contracts with the Department, or in competition for new contracts with the Department, when employees who are such members are mobilized as part of a United States military operation overseas.

(3) Any actions that, in the view of the Secretary, should be taken to address any such disadvantage, including--

(A) the extension of additional time for the performance of contracts to contractors and subcontractors of the Department who employ members of the Selected Reserve who are mobilized as part of a United States military operation overseas; and

(B) the provision of assistance in forming contracting relationships with other entities to ameliorate the temporary loss of qualified personnel.

(4) For any action addressed under paragraph (3)--

(A) the impact of that action on small business concerns (as that term is defined in section 3 of the Small Business Act (15 U.S.C. 632)); and

(B) how contractors and subcontractors that are small business concerns may assist in addressing any such disadvantage.

(c) Report- Not later than one year after the date of the enactment of this Act, the Secretary shall submit to Congress a report on the study required by this section. The report shall set forth the findings and recommendations of the Secretary as a result of the study.

(d) Repeal of Superseded Authority- Section 819 of the National Defense Authorization Act for Fiscal Year 2006 (Public Law 109-163; 119 Stat. 3385; 10 U.S.C. 2305 note) is repealed.

The Senate amendment contained a provision (sec. 864) that would require the Secretary of Defense to conduct a study on contracting with the Department of Defense by contractors and subcontractors who employ members of the Selected Reserve.

The House bill contained no similar provision.

The Senate recedes.

SEC. 826. REPORT TO CONGRESS.

(a) Report- Not later than 180 days after the date of the enactment of this Act, the Director of the Office of Government Ethics shall submit a report to Congress that contains the Director's recommendations on requiring Government contractors that advise one or more Federal agencies on procurement policy, and requiring federally funded research and development centers, to comply with restrictions relating to personal financial interests, such as those that apply to Federal employees.

(b) Definition- In this section:

(1) GOVERNMENT CONTRACTOR- The term `Government contractor' means any person (other than a Federal agency) with which a Federal agency has entered into a contract to acquire goods or services.

(2) FEDERAL AGENCY- The term `Federal agency' means--

(A) any executive department or independent establishment in the executive branch of the Government, including any wholly owned Government corporation; and

(B) any establishment in the legislative or judicial branch of the Government (except the Senate, the House of Representatives, and the Architect of the Capitol and any activities under the Architect's direction).

(3) FEDERALLY FUNDED RESEARCH AND DEVELOPMENT CENTER- The term `federally funded research and development center' means a federally funded research and development center as identified by the National Science Foundation in accordance with the Federal Acquisition Regulation.

The House bill contained a provision (sec. 826) that would require the Director of the Office of Government Ethics to submit a report to Congress that contains the Director's recommendations on requiring certain government contractor employees to comply with restrictions relating to personal financial interests such as those that apply to federal employees.

The Senate amendment contained no similar provision.

The House recedes.

SEC. 842. REPORT TO CONGRESS REQUIRED ON DELAYS IN MAJOR PHASES OF ACQUISITION PROCESS FOR MAJOR AUTOMATED INFORMATION SYSTEM PROGRAMS.

(a) Report Required for Certain Delays- In the case of any major automated information system program, if there is a delay in meeting any deadline for a phase of the acquisition process for the program specified in subsection (b), the Secretary of Defense, acting through the Under Secretary of Defense for Acquisition, Technology, and Logistics, shall submit to the congressional defense committees a report on the delay. The report shall be submitted not later than 30 days after the delay occurs.

(b) Deadlines- The deadlines for a phase of the acquisition process referred to in subsection (a) are the following:

(1) With respect to approval of any analysis of alternatives, within one year from the date each analysis began.

(2) With respect to achieving Milestone B in accordance with section 2366a of title 10, United States Code, within 18 months after the date of Milestone A approval.

(3) With respect to completion of any capability development document, within six months from the time of determined need to the time of approval.

(c) Matters Covered by Report- The report required by subsection (a)--

(1) shall set forth the reason or reasons the Department of Defense was unable to complete the delayed process or processes on time; and

(2) shall include a written certification with a supporting explanation stating that--

(A) the program is necessary for the efficient management of the Department; and

(B) the most current estimates of the costs, schedule, and performance parameters with respect to the program and system are reasonable; and the management structure for the program is adequate to manage and control program costs.

The House bill contained a provision (sec. 842) that would require the Secretary of Defense to report to Congress if there is a delay in meeting any deadline for a phase of the acquisition process in the case of a major automated information system program.

The Senate amendment contained no similar provision.

The House recedes.

SEC. 4001. SHORT TITLE.

This division may be cited as the `Military Reservist and Veteran Small Business Reauthorization and Opportunity Act of 2007'.

SEC. 4002. DEFINITIONS.

In this division--

(1) the term `activated' means receiving an order placing a Reservist on active duty;

(2) the term `active duty' has the meaning given that term in section 101 of title 10, United States Code;

(3) the terms `Administration' and `Administrator' mean the Small Business Administration and the Administrator thereof, respectively;

(4) the term `Reservist' means a member of a reserve component of the Armed Forces, as described in section 10101 of title 10, United States Code;

(5) the term `Service Corps of Retired Executives' means the Service Corps of Retired Executives authorized by section 8(b)(1) of the Small Business Act (15 U.S.C. 637(b)(1));

(6) the terms `service-disabled veteran' and `small business concern' have the meaning as in section 3 of the Small Business Act (15 U.S.C. 632);

(7) the term `small business development center' means a small business development center described in section 21 of the Small Business Act (15 U.S.C. 648); and

(8) the term `women's business center' means a women's business center described in section 29 of the Small Business Act (15 U.S.C. 656).

SEC. 4101. INCREASED FUNDING FOR THE OFFICE OF VETERANS BUSINESS DEVELOPMENT.

(a) In General- There are authorized to be appropriated to the Office of Veterans Business Development of the Administration, to remain available until expended--

(1) $2,100,000 for fiscal year 2008;

(2) $2,300,000 for fiscal year 2009; and

(3) $2,500,000 for fiscal year 2010.

(b) Funding Offset- Amounts necessary to carry out subsection (a) shall be offset and made available through the reduction of the authorization of funding under section 20(e)(1)(B)(iv) of the Small Business Act (15 U.S.C. 631 note).

(c) Sense of Congress- It is the sense of Congress that any amounts provided pursuant to this section that are in excess of amounts provided to the Administration for the Office of Veterans Business Development in fiscal year 2007, should be used to support Veterans Business Outreach Centers.

SEC. 4102. INTERAGENCY TASK FORCE.

Section 32 of the Small Business Act (15 U.S.C. 657b) is amended by adding at the end the following:

`(d) Interagency Task Force-

`(1) ESTABLISHMENT- Not later than 90 days after the date of enactment of this subsection, the President shall establish an interagency task force to coordinate the efforts of Federal agencies necessary to increase capital and business development opportunities for, and increase the award of Federal contracting and subcontracting opportunities to, small business concerns owned and controlled by service-disabled veterans and small business concerns owned and controlled by veterans (in this section referred to as the `task force').

`(2) MEMBERSHIP- The members of the task force shall include--

`(A) the Administrator, who shall serve as chairperson of the task force;

`(B) a representative from--

`(i) the Department of Veterans Affairs;

`(ii) the Department of Defense;

`(iii) the Administration (in addition to the Administrator);

`(iv) the Department of Labor;

`(v) the Department of the Treasury;

`(vi) the General Services Administration; and

`(vii) the Office of Management and Budget; and

`(C) 4 representatives from a veterans service organization or military organization or association, selected by the President.

`(3) DUTIES- The task force shall coordinate administrative and regulatory activities and develop proposals relating to--

`(A) increasing capital access and capacity of small business concerns owned and controlled by service-disabled veterans and small business concerns owned and controlled by veterans through loans, surety bonding, and franchising;

`(B) increasing access to Federal contracting and subcontracting for small business concerns owned and controlled by service-disabled veterans and small business concerns owned and controlled by veterans through expanded mentor-protege assistance and matching such small business concerns with contracting opportunities;

`(C) increasing the integrity of certifications of status as a small business concern owned and controlled by service-disabled veterans or a small business concern owned and controlled by veterans;

`(D) reducing paperwork and administrative burdens on veterans in accessing business development and entrepreneurship opportunities; and

`(E) making other improvements relating to the support for veterans business development by the Federal Government.

`(4) REPORTING- The task force shall submit an annual report regarding its activities and proposals to--

`(A) the Committee on Small Business and Entrepreneurship and the Committee on Veterans' Affairs of the Senate; and

`(B) the Committee on Small Business and the Committee on Veterans' Affairs of the House of Representatives.'.

SEC. 4103. PERMANENT EXTENSION OF SBA ADVISORY COMMITTEE ON VETERANS BUSINESS AFFAIRS.

(a) Assumption of Duties- Section 33 of the Small Business Act (15 U.S.C. 657c) is amended--

(1) by striking subsection (h); and

(2) by redesignating subsections (i) through (k) as subsections (h) through (j), respectively.

(b) Permanent Extension of Authority- Section 203 of the Veterans Entrepreneurship and Small Business Development Act of 1999 (15 U.S.C. 657b note) is amended by striking subsection (h).

SEC. 4201. SHORT TITLE.

This title may be cited as the `National Reservist Enterprise Transition and Sustainability Act of 2007'.

SEC. 4202. PURPOSE.

The purpose of this title is to establish a program to--

(1) provide managerial, financial, planning, development, technical, and regulatory assistance to small business concerns owned and operated by Reservists;

(2) provide managerial, financial, planning, development, technical, and regulatory assistance to the temporary heads of small business concerns owned and operated by Reservists;

(3) create a partnership between the Small Business Administration, the Department of Defense, and the Department of Veterans Affairs to assist small business concerns owned and operated by Reservists;

(4) utilize the service delivery network of small business development centers, women's business centers, Veterans Business Outreach Centers, and centers operated by the National Veterans Business Development Corporation to expand the access of small business concerns owned and operated by Reservists to programs providing business management, development, financial, procurement, technical, regulatory, and marketing assistance;

(5) utilize the service delivery network of small business development centers, women's business centers, Veterans Business Outreach Centers, and centers operated by the National Veterans Business Development Corporation to quickly respond to an activation of Reservists that own and operate small business concerns; and

(6) utilize the service delivery network of small business development centers, women's business centers, Veterans Business Outreach Centers, and centers operated by the National Veterans Business Development Corporation to assist Reservists that own and operate small business concerns in preparing for future military activations.

SEC. 4203. NATIONAL GUARD AND RESERVE BUSINESS ASSISTANCE.

(a) In General- Section 21(a)(1) of the Small Business Act (15 U.S.C. 648(a)(1)) is amended by inserting `any small business development center, women's business center, Veterans Business Outreach Center, or center operated by the National Veterans Business Development Corporation providing enterprise transition and sustainability assistance to Reservists under section 37,' after `any women's business center operating pursuant to section 29,'.

(b) Program- The Small Business Act (15 U.S.C. 631 et seq.) is amended--

(1) by redesignating section 37 (15 U.S.C. 631 note) as section 38; and

(2) by inserting after section 36 the following:

`SEC. 37. RESERVIST ENTERPRISE TRANSITION AND SUSTAINABILITY.

`(a) In General- The Administrator shall establish a program to provide business planning assistance to small business concerns owned and operated by Reservists.

`(b) Definitions- In this section--

`(1) the terms `activated' and `activation' mean having received an order placing a Reservists on active duty, as defined by section 101(1) of title 10, United States Code;

`(2) the term `Administrator' means the Administrator of the Small Business Administration, acting through the Associate Administrator for Small Business Development Centers;

`(3) the term `Association' means the association established under section 21(a)(3)(A);

`(4) the term `eligible applicant' means--

`(A) a small business development center that is accredited under section 21(k);

`(B) a women's business center;

`(C) a Veterans Business Outreach Center that receives funds from the Office of Veterans Business Development; or

`(D) an information and assistance center operated by the National Veterans Business Development Corporation under section 33;

`(5) the term `enterprise transition and sustainability assistance' means assistance provided by an eligible applicant to a small business concern owned and operated by a Reservist, who has been activated or is likely to be activated in the next 12 months, to develop and implement a business strategy for the period while the owner is on active duty and 6 months after the date of the return of the owner;

`(6) the term `Reservist' means any person who is--

`(A) a member of a reserve component of the Armed Forces, as defined by section 10101 of title 10, United States Code; and

`(B) on active status, as defined by section 101(d)(4) of title 10, United States Code;

`(7) the term `small business development center' means a small business development center as described in section 21 of the Small Business Act (15 U.S.C. 648);

`(8) the term `State' means each of the several States of the United States, the District of Columbia, the Commonwealth of Puerto Rico, the Virgin Islands, American Samoa, and Guam; and

`(9) the term `women's business center' means a women's business center described in section 29 of the Small Business Act (15 U.S.C. 656).

`(c) Authority- The Administrator may award grants, in accordance with the regulations developed under subsection (d), to eligible applicants to assist small business concerns owned and operated by Reservists by--

`(1) providing management, development, financing, procurement, technical, regulatory, and marketing assistance;

`(2) providing access to information and resources, including Federal and State business assistance programs;

`(3) distributing contact information provided by the Department of Defense regarding activated Reservists to corresponding State directors;

`(4) offering free, one-on-one, in-depth counseling regarding management, development, financing, procurement, regulations, and marketing;

`(5) assisting in developing a long-term plan for possible future activation; and

`(6) providing enterprise transition and sustainability assistance.

`(d) Rulemaking-

`(1) IN GENERAL- The Administrator, in consultation with the Association and after notice and an opportunity for comment, shall promulgate regulations to carry out this section.

`(2) DEADLINE- The Administrator shall promulgate final regulations not later than 180 days of the date of enactment of the Military Reservist and Veteran Small Business Reauthorization and Opportunity Act of 2007.

`(3) CONTENTS- The regulations developed by the Administrator under this subsection shall establish--

`(A) procedures for identifying, in consultation with the Secretary of Defense, States that have had a recent activation of Reservists;

`(B) priorities for the types of assistance to be provided under the program authorized by this section;

`(C) standards relating to educational, technical, and support services to be provided by a grantee;

`(D) standards relating to any national service delivery and support function to be provided by a grantee;

`(E) standards relating to any work plan that the Administrator may require a grantee to develop; and

`(F) standards relating to the educational, technical, and professional competency of any expert or other assistance provider to whom a small business concern may be referred for assistance by a grantee.

`(e) Application-

`(1) IN GENERAL- Each eligible applicant desiring a grant under this section shall submit an application to the Administrator at such time, in such manner, and accompanied by such information as the Administrator may reasonably require.

`(2) CONTENTS- Each application submitted under paragraph (1) shall describe--

`(A) the activities for which the applicant seeks assistance under this section; and

`(B) how the applicant plans to allocate funds within its network.

`(f) Award of Grants-

`(1) DEADLINE- The Administrator shall award grants not later than 60 days after the promulgation of final rules and regulations under subsection (d).

`(2) AMOUNT- Each eligible applicant awarded a grant under this section shall receive a grant in an amount not greater than $300,000 per fiscal year.

`(g) Report-

`(1) IN GENERAL- The Comptroller General of the United States shall--

`(A) initiate an evaluation of the program not later than 30 months after the disbursement of the first grant under this section; and

`(B) submit a report not later than 6 months after the initiation of the evaluation under paragraph (1) to--

`(i) the Administrator;

`(ii) the Committee on Small Business and Entrepreneurship of the Senate; and

`(iii) the Committee on Small Business of the House of Representatives.

`(2) CONTENTS- The report under paragraph (1) shall--

`(A) address the results of the evaluation conducted under paragraph (1); and

`(B) recommend changes to law, if any, that it believes would be necessary or advisable to achieve the goals of this section.

`(h) Authorization of Appropriations-

`(1) IN GENERAL- There are authorized to be appropriated to carry out this section--

`(A) $5,000,000 for the first fiscal year beginning after the date of enactment of the Military Reservist and Veteran Small Business Reauthorization and Opportunity Act of 2007; and

`(B) $5,000,000 for each of the 3 fiscal years following the fiscal year described in subparagraph (A).

`(2) FUNDING OFFSET- Amounts necessary to carry out this section shall be offset and made available through the reduction of the authorization of funding under section 20(e)(1)(B)(iv) of the Small Business Act (15 U.S.C. 631 note).'.

SEC. 4301. RESERVIST PROGRAMS.

(a) Application Period- Section 7(b)(3)(C) of the Small Business Act (15 U.S.C. 636(b)(3)(C)) is amended by striking `90 days' and inserting `1 year'.

(b) Pre-Consideration Process-

(1) DEFINITION- In this subsection, the term `eligible Reservist' means a Reservist who--

(A) has not been ordered to active duty;

(B) expects to be ordered to active duty during a period of military conflict; and

(C) can reasonably demonstrate that the small business concern for which that Reservist is a key employee will suffer economic injury in the absence of that Reservist.

(2) ESTABLISHMENT- Not later than 6 months after the date of enactment of this Act, the Administrator shall establish a pre-consideration process, under which the Administrator--

(A) may collect all relevant materials necessary for processing a loan to a small business concern under section 7(b)(3) of the Small Business Act (15 U.S.C.

SEC. 4302. RESERVIST LOANS.

(a) In General- Section 7(b)(3)(E) of the Small Business Act (15 U.S.C. 636(b)(3)(E)) is amended by striking `$1,500,000' each place such term appears and inserting `$2,000,000'.

(b) Loan Information-

(1) IN GENERAL- The Administrator and the Secretary of Defense shall develop a joint website and printed materials providing information regarding any program for small business concerns that is available to veterans or Reservists.

(2) MARKETING- The Administrator is authorized--

(A) to advertise and promote the program under section 7(b)(3) of the Small Business Act jointly with the Secretary of Defense and veterans' service organizations; and

(B) to advertise and promote participation by lenders in such program jointly with trade associations for banks or other lending institutions.

SEC. 4303. NONCOLLATERALIZED LOANS.

Section 7(b)(3) of the Small Business Act (15 U.S.C. 636(b)(3)) is amended by adding at the end the following:

`(G)(i) Notwithstanding any other provision of law, the Administrator may make a loan under this paragraph of not more than $50,000 without collateral.

`(ii) The Administrator may defer payment of principal and interest on a loan described in clause (i) during the longer of--

`(I) the 1-year period beginning on the date of the initial disbursement of the loan; and

`(II) the period during which the relevant essential employee is on active duty.'.

SEC. 4304. LOAN PRIORITY.

Section 7(b)(3) of the Small Business Act (15 U.S.C. 636(b)(3)), as amended by this Act, is amended by adding at the end the following:

`(H) The Administrator shall give priority to any application for a loan under this paragraph and shall process and make a determination regarding such applications prior to processing or making a determination on other loan applications under this subsection, on a rolling basis.'.

SEC. 4305. RELIEF FROM TIME LIMITATIONS FOR VETERAN-OWNED SMALL BUSINESSES.

Section 3(q) of the Small Business Act (15 U.S.C. 632(q)) is amended by adding at the end the following:

`(5) RELIEF FROM TIME LIMITATIONS-

`(A) IN GENERAL- Any time limitation on any qualification, certification, or period of participation imposed under this Act on any program available to small business concerns shall be extended for a small business concern that--

`(i) is owned and controlled by--

`(I) a veteran who was called or ordered to active duty under a provision of law specified in section 101(a)(13)(B) of title 10, United States Code, on or after September 11, 2001; or

`(II) a service-disabled veteran who became such a veteran due to an injury or illness incurred or aggravated in the active military, naval, or air service during a period of active duty pursuant to a call or order to active duty under a provision of law referred to in subclause (I) on or after September 11, 2001; and

`(ii) was subject to the time limitation during such period of active duty.

`(B) DURATION- Upon submission of proper documentation to the Administrator, the extension of a time limitation under subparagraph (A) shall be equal to the period of time that such veteran who owned or controlled such a concern was on active duty as described in that subparagraph.'.

SEC. 4306. SERVICE-DISABLED VETERANS.

Not later than 180 days after the date of enactment of this Act, the Comptroller General of the United States shall submit to the Committee on Small Business and Entrepreneurship of the Senate and the Committee on Small Business of the House of Representatives a report describing--

(1) the types of assistance needed by service-disabled veterans who wish to become entrepreneurs; and

(2) any resources that would assist such service-disabled veterans.

SEC. 4307. STUDY ON OPTIONS FOR PROMOTING POSITIVE WORKING RELATIONS BETWEEN EMPLOYERS AND THEIR RESERVE COMPONENT EMPLOYEES.

(a) Study Required- The Comptroller General of the United States shall conduct a study on options for promoting positive working relations between employers and Reserve component employees of such employers, including assessing options for improving the time in which employers of Reservists are notified of the call or order of such members to active duty other than for training.

(b) Report-

(1) IN GENERAL- Not later than 180 days after the date of enactment of this Act, the Comptroller General of the United States shall submit to the appropriate committees of Congress a report on the study conducted under subsection (a).

(2) CONTENTS- The report submitted under paragraph (1) shall--

(A) provide a quantitative and qualitative assessment of--

(i) what measures, if any, are being taken to inform Reservists of the obligations and responsibilities of such members to their employers;

(ii) how effective such measures have been; and

(iii) whether there are additional measures that could be taken to promote positive working relations between Reservists and their employers, including any steps that could be taken to ensure that employers are timely notified of a call to active duty; and

(B) assess whether there has been a reduction in the hiring of Reservists by business concerns because of--

(i) any increase in the use of Reservists after September 11, 2001; or

(ii) any change in any policy of the Department of Defense relating to Reservists after September 11, 2001.

(c) Appropriate Committees of Congress Defined- In this section, the term `appropriate committees of Congress' means--

(1) the Committee on Armed Services and the Committee on Small Business and Entrepreneurship of the Senate; and

(2) the Committee on Armed Services and the Committee on Small Business of the House of Representatives.

The Senate amendment contained a division (Division D) that would provide for the Small Business Administration to provide assistance to military reservist and veteran small business.

The House bill contained no similar provision.

The Senate recedes.