Sec. 4. GAO Study

321 words·~1 min read·/bill/114/hr/838/ih/section-4

A research copy — for the controlling text, always check the official state or federal source. Not legal advice.

The Comptroller General of the United States shall carry out a study on the following: All instances during the 10-year period prior to the date of enactment of the Act in which a surety bond proposed or issued by a surety in connection with a Federal project was— rejected by a Federal contracting officer; or accepted by a Federal contracting officer, but was later found to have been backed by insufficient collateral or to be otherwise deficient or with respect to which the surety did not perform.

The consequences to the Federal Government, subcontractors, and suppliers of the instances described under paragraph (1). The percentages of all Federal contracts that were awarded to new startup businesses (including new startup businesses that are small disadvantaged businesses or disadvantaged business enterprises), small disadvantaged businesses, and disadvantaged business enterprises as prime contractors in the 2-year period prior to and the 2-year period following the date of enactment of this Act, and an assessment of the impact of this Act and the amendments made by this Act upon such percentages.

Not later than the end of the 3-year period beginning on the date of the enactment of this Act, the Comptroller General shall issue a report to the Committee on the Judiciary of the House of Representatives and the Committee on Homeland Security and Government Affairs of the Senate containing all findings and determinations made in carrying out the study required under subsection (a). For purposes of this section: The term disadvantaged business enterprise has the meaning given that term under section 26.5 of title 49, Code of Federal Regulations.

The term new startup business means a business that was formed in the 2-year period ending on the date on which the business bids on a Federal contract that requires giving a surety bond. The term small disadvantaged business has the meaning given that term under section 124.1002(b) of title 13, Code of Federal Regulations.