Sec. 502. Treatment of businesses after deaths of servicemember-owners for purposes of Department of Veterans Affairs contracting goals and preferences

337 words·~2 min read·/bill/114/s/1203/es/section-502

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Section 8127 of title 38, United States Code, is amended— by redesignating subsections

(i)through

(l)as subsections

(j)through (m), respectively; and by inserting after subsection

(h)the following new subsection (i): If a member of the Armed Forces owns at least 51 percent of a small business concern and such member is killed in line of duty in the active military, naval, or air service, the surviving spouse or dependent child of such member who acquires such ownership rights in such small business concern shall, for the period described in paragraph (2), be treated as if the surviving spouse or dependent child were a veteran with a service-connected disability for purposes of determining the status of the small business concern as a small business concern owned and controlled by veterans for purposes of contracting goals and preferences under this section. The period referred to in paragraph

(1)is the period beginning on the date on which the member of the Armed Forces dies and ending on the date as follows: In the case of a surviving spouse, the earliest of the following dates: The date on which the surviving spouse remarries. The date on which the surviving spouse relinquishes an ownership interest in the small business concern and no longer owns at least 51 percent of such small business concern. The date that is ten years after the date of the member's death. In the case of a dependent child, the earliest of the following dates: The date on which the surviving dependent child relinquishes an ownership interest in the small business concern and no longer owns at least 51 percent of such small business concern. The date that is ten years after the date of the member's death. . Subsection

(i)of section 8127 of such title, as added by subsection (a), shall take effect on the date of the enactment of this Act and shall apply with respect to the deaths of members of the Armed Forces occurring on or after such date.