DISCUSSION DRAFT

As of: 20 Feb 17

115th Congress H.R. ____

1st Session

To amend the Small Business Act to foster greater transparency in the

administration of construction contracts, to provide prospective construction
contractors with information regarding a buying agencys policies with
respect to the administration of change orders so as to be able to make
informed business decisions regarding the pricing of bids or proposals, to
establish standards relating to the administration of construction contracts,
and for other purposes.

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IN THE HOUSE OF REPRESENTATIVES

Mr/Ms (name) (for himself/herself and [include list of Original Cosponsors]

introduced the following bill; which was read twice and referred to

____________________________

A BILL
To amend the Small Business Act to foster greater transparency in the
administration of construction contracts, to provide prospective construction
contractors with information regarding a buying agencys policies with
respect to the administration of change orders so as to be able to make
informed business decisions regarding the pricing of bids or proposals, to
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establish standards relating to the administration of construction contracts,

and for other purposes.

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 Small Business Know-
before-you-Bid Construction Transparency Act of 2017.

The Small Business Act (31 U.S.C. 613, et seq.) is amended by

adding a new Section 644b, as follows:

Sec. 644b. Construction Contract Administration.

(a) Transparency in the administration of construction contracts.

(1) In General. The Administrator, in consultation with the Director of
the Office of Management, shall provide for an electronic system through which
each Federal agency shall provide access to documents relating to each
construction contract administered by the agency that is awarded to a small
business concern.

(2) Documents to be made available. Except as provided in

paragraph (4), at minimum, the following items shall be made available:

(A) the contract, as awarded;

(B) a copy of the payment bond provided for the contract and any
modification to such bond or additional payment bonds required by the
agency;

(C) each payment made to the prime contractor, including the date
of payment and the amount paid, specifying any amounts withheld from the
amount requested by the contractor and a general statement regarding the
cause of the withheld amount;
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(D) each contract modification, if any, including any unilateral

change order directed on behalf of the agency, the date of such direction, and
a copy of the direction, unless the direction was verbal;

(E) any request for a contract modification made by the contractor,

including any Request for an Equitable Adjustment in response to a
unilateral change order directed on behalf of the agency, the date of the
request and the status of the agencys response to the request;

(F) any determination and finding relating to the contract.

(3) Timeliness of inclusion of information.

(A) Except as provided in sub paragraph (B), each item of

information shall be promptly made available electronically after its inclusion in
the contract file, but in no event later than 15 days after the item of information is
available in the contract file.

(B) The information required by subsection b (iii) shall be included

within seven days of the payment date.

(4) Exemptions from publication.

(A) if requested by the contractor, material may be redacted to
prevent publication of any material which would be exempt from release pursuant
to Section 552 (b)(4) of Title 5, United States Code; or
(B) if the contract would be exempt from release pursuant to
Section 552(b)(1) of Title 5, United States Code.

(b) Standards relating to the administration of change orders to

construction contracts.

(1) Solicitation notice regarding administration of change orders for

construction. With respect to any solicitation for the award of a contract
anticipated to be awarded to a small business concern, the buying agency shall
provide notice to prospective bidders or offerors, whether the buying agency has a
specific policy or practice in complying with FAR Part 43.204 (b)(1)
(Definitization) regarding a contractors request for an equitable adjustment of the
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contract price to reflect a unilateral change order by the buying agency, within the
following time periods

(A) 30 days or fewer;

(B) 45 days or fewer;

(C) 90 days or fewer;

(D) 180 days or fewer; or

(E) greater than 365 days; or

(F) after the completion of contract performance through a contract

modification addressing all undefinitized requests for an equitable
adjustment received during the term of the contract.

(2) Interim Partial Payment of Undefinitized Requests for an

Equitable Adjustment. A contract for construction awarded to a small business
concern shall provide an interim partial payment of a request for an equitable
adjustment timely made by the contractor specifying a sum certain to pay for
specified additional costs resulting from the change in contract performance
unilaterally directed on behalf of the buying agency, at a rate that is 50 percent of
the amount requested. Such payment shall not be deemed a definitization of any
part of the request for an adjustment, binding upon either the contractor or the
Government, and may subject to further negotiation or become subject to the FAR
52.233-1 (Disputes Clause).