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Title 10 — Armed Forces

Part V · Chapter 388 — Procurement Technical Assistance Cooperative Agreement Program

§ 4959. Advancing small business growth

Statutory text

(a)

Contract Clause Required.—

(1)

The Under Secretary of Defense for Acquisition and Sustainment shall require the clause described in paragraph (2) to be included in each covered contract awarded by the Department of Defense.

(2)

The clause described in this paragraph is a clause that—

(A)

requires the contractor to acknowledge that acceptance of the contract may cause the business to exceed the applicable small business size standards (established pursuant to section 3(a) of the Small Business Act) for the industry concerned and that the contractor may no longer qualify as a small business concern for that industry; and

(B)

encourages the contractor to develop capabilities and characteristics typically desired in contractors that are competitive as an other-than-small business in that industry.

(b)

Availability of Assistance.—

Covered small businesses may be provided assistance as part of any procurement technical assistance furnished pursuant to this chapter.

(c)

Definitions.—

In this section:

(1)

The term “covered contract” means a contract—

(A)

awarded to a qualified small business concern as defined pursuant to section 3(a) of the Small Business Act; and

(B)

with an estimated annual value—

(i)

that will exceed the applicable receipt-based small business size standard; or

(ii)

if the contract is in an industry with an employee-based size standard, that will exceed $70,000,000.

(2)

The term “covered small business” means a qualified small business concern as defined pursuant to section 3(a) of the Small Business Act that has entered into a contract with the Department of Defense that includes a contract clause described in subsection (a)(2).

Legislative history

Reconstructed from this section’s Code source credit and amendment notes, resolved against the local Statutes at Large. Editorial notes are evidence, not the law that made the change.

  1. National Defense Authorization Act for Fiscal Year 2014

    Pub. L. 113–66 div. A title XVI § 1611(a)(1)(B) · 127 Stat. 672

    Enacted · 10 U.S.C. § 4959

    Added Pub. L. 113–66, div. A, title XVI, § 1611(a)(1)(B), Dec. 26, 2013, 127 Stat. 946, § 2419

    Source evidence

    Code source credit
    Added Pub. L. 113–66, div. A, title XVI, § 1611(a)(1)(B), Dec. 26, 2013, 127 Stat. 946, § 2419

    Enacted provision · exact public law section
    (B) by inserting after section 2418 the following new section 2419: “§ 2419. Advancing small business growth “(a) Contract Clause Required.— (1) The Under Secretary of Defense for Acquisition, Technology, and Logistics shall require the clause described in paragraph (2) to be included in each covered contract awarded by the Department of Defense. “(2) The clause described in this paragraph is a clause that— “(A) requires the contractor to acknowledge that acceptance of the contract may cause the business to exceed the applicable small business size standards (established pursuant to section 3(a) of the Small Business Act) for the industry concerned and that the contractor may no longer qualify as a small business concern for that industry; and “(B) encourages the contractor to develop capabilities and characteristics typically desired in contractors that are competitive as an other-than-small business in that industry. “(b) Availability of Assistance.— Covered small businesses may be provided assistance as part of any procurement technical assistance furnished pursuant to this chapter. “(c) Definitions.— In this section: “(1) The term ‘covered contract’ means a contract— “(A) awarded to a qualified small business concern as defined pursuant to section 3(a) of the Small Business Act; and “(B) with an estimated annual value— “(i) that will exceed the applicable receipt-based small business size standard; or “(ii) if the contract is in an industry with an employee-based size standard, that will exceed $70,000,000. “(2) The term ‘covered small business’ means a qualified small business concern as defined pursuant to section 3(a) of the Small Business Act that has entered into a contract with the Department of Defense that includes a contract clause described in subsection (a)(2).” .

  2. National Defense Authorization Act for Fiscal Year 2020

    Pub. L. 116–92 div. A title IX § 902(63) · 133 Stat. 1198

    Substituted · 10 U.S.C. § 4959(a)(1)

    Pub. L. 116–92 substituted “Under Secretary of Defense for Acquisition and Sustainment” for “Under Secretary of Defense for Acquisition, Technology, and Logistics”

    Source evidence

    Code amendment note
    Subsec. (a)(1). Pub. L. 116–92 substituted “Under Secretary of Defense for Acquisition and Sustainment” for “Under Secretary of Defense for Acquisition, Technology, and Logistics”.

    Enacted provision · exact public law section
    (63) Section 2419(a)(1) of title 10, United States Code, is amended by striking “Under Secretary of Defense for Acquisition, Technology, and Logistics” and inserting “Under Secretary of Defense for Acquisition and Sustainment”.

  3. William M. (Mac) Thornberry National Defense Authorization Act for Fiscal Year 2021

    Pub. L. 116–283 § 1872(a)(10) · 134 Stat. 3388

    Amended · 10 U.S.C. § 4959

    Pub. L. 116–283, § 1872(a)(10), as amended by Pub. L. 117–81, § 1701(b)(24), (m)(2)(F), renumbered section 2419 of this title as this section

    Source evidence

    Code amendment note
    Pub. L. 116–283, § 1872(a)(10), as amended by Pub. L. 117–81, § 1701(b)(24), (m)(2)(F), renumbered section 2419 of this title as this section.

    Enacted provision · exact public law section
    (10) Transfer of section 2419.— Section 2419 of title 10, United States Code, is transferred to chapter 385 of such title, as amended by paragraph (1), inserted after section 4956, as transferred and redesignated by paragraph (7), and redesignated as section 4957.

    Effective date note
    Amendment by Pub. L. 117–81 applicable as if included in the enactment of title XVIII of Pub. L. 116–283 as enacted, see section 1701(a)(2) of Pub. L. 117–81, set out in a note preceding section 3001 of this title and note below. Amendment by Pub. L. 116–283 effective Jan. 1, 2022, with additional provisions for delayed implementation and applicability of existing law, see section 1801(d) of Pub. L. 116–283, set out as a note preceding section 3001 of this title.

3 of 3 references resolved to an enrolled provision

Editorial Notes

References in Text

Section 3(a) of the Small Business Act, referred to in subsecs. (a)(2)(A) and (c)(1)(A), (2), is classified to section 632(a) of Title 15, Commerce and Trade.

Codification
Amendments2019–2021 · 2 rounds

2019

Subsec. (a)(1). Pub. L. 116–92 substituted “Under Secretary of Defense for Acquisition and Sustainment” for “Under Secretary of Defense for Acquisition, Technology, and Logistics”.

Statutory Notes and Related Subsidiaries

Effective Date of 2021 Amendment

Amendment by Pub. L. 117–81 applicable as if included in the enactment of title XVIII of Pub. L. 116–283 as enacted, see section 1701(a)(2) of Pub. L. 117–81, set out in a note preceding section 3001 of this title and note below.

Amendment by Pub. L. 116–283 effective , with additional provisions for delayed implementation and applicability of existing law, see section 1801(d) of Pub. L. 116–283, set out as a note preceding section 3001 of this title.

Credits

2013–2021 · 4 acts
  1. 2013Added Pub. L. 113–66, div. A, title XVI, § 1611(a)(1)(B), , 127 Stat. 946, § 2419
  2. 2019amended Pub. L. 116–92, div. A, title IX, § 902(63), , 133 Stat. 1550
  3. 2021renumbered § 4959, Pub. L. 116–283, div. A, title XVIII, § 1872(a)(10), , 134 Stat. 4289
  4. 2021Pub. L. 117–81, div. A, title XVII, § 1701(b)(24), (m)(2)(F), , 135 Stat. 2135, 2145.
Show as published

(Added Pub. L. 113–66, div. A, title XVI, § 1611(a)(1)(B), , 127 Stat. 946, § 2419; amended Pub. L. 116–92, div. A, title IX, § 902(63), , 133 Stat. 1550; renumbered § 4959, Pub. L. 116–283, div. A, title XVIII, § 1872(a)(10), , 134 Stat. 4289; Pub. L. 117–81, div. A, title XVII, § 1701(b)(24), (m)(2)(F), , 135 Stat. 2135, 2145.)

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