,i #aafth ,,congress #ast ,session ,h4 ,r4 #bjbb ,,in ,,the ,,house ,,of ,,representatives ,april #b1 #bjai,mr4 ,bucshon introduced the following bill2 which was referred to the ,committee on ,oversight and ,reform1 and in addition to the ,committees on ,armed ,services1 and ,small ,business1 for a period to be subsequently determined by the ,speaker1 in each case for consideration of such provisions as fall within the jurisdiction of the committee concerned ,a ,,bill ,to establish certain procurement procedures with respect to businesses wholly-owned through an ,,esop1 and for other purposes4 #a4 ,short title ,this ,act may be referred to as the ,,esop ,business ,act of #bjai4 #b4 ,findings ,congress finds the following3 7#a7 ,businesses wholly-owned through an ,,esop-- 7,a7 offer unique benefits to the ,united ,states and to customers of such businesses2 7,b7 provide better retirement security1 work culture1 and wage growth for workers2 and 7,c7 reduce wealth inequality among managers and employees4 7#b7 ,current ,federal contracting laws may inadvertently exclude businesses wholly-owned through an ,,esop from key projects4 7#c7 ,the growth of the number of businesses wholly-owned through an ,,esop benefits employees of such businesses4 #c4 ,sense of ,congress ,it is the sense of ,congress that-- 7#a7 businesses wholly-owned through an ,,esop are beneficial to the economy2 7#b7 ,congress should provide incentives for businesses to become businesses wholly-owned through an ,,esop2 and 7#c7 businesses wholly-owned through an ,,esop should be rewarded through the ,federal contracting process for the benefits that such businesses provide4 #d4 ,deeming of businesses wholly-owned through an ,,esop as small business concerns ,section #c7;a7 of the ,small ,business ,act 7#ae ,u4,s4,c4 #fcb7;a77 is amended by adding at the end the following new paragraph3 7#aj7 ,application to businesses wholly-owned through an ,,esop 7,a7 ,in general ,notwithstanding the requirements relating to size standards in this subsection1 a business wholly-owned through an ,,esop shall be deemed to be a small business concern for the purposes of any ,federal procurement programs4 7,b7 ,definition ,the term business wholly-owned through an ,,esop means a business for which #ajj percent of the outstanding stock is held through an employee stock ownership plan 7as defined in section #dgie7;e77#g7 of the ,internal ,revenue ,code74 4 #e4 ,pricing preference for contracts awarded to businesses wholly-owned through an ,,esop 7a7 ,pricing preference for defense contracts ,section #bcjd of title #aj1 ,united ,states ,code1 is amended by adding at the end the following new subsection3 7m7 ,for a contract awarded pursuant to this section1 the head of the agency may enter into a contract with a business wholly-owned through an ,,esop using a price evaluation preference not in excess of #aj percent when evaluating an offer received from such a business4 ,in this subsection1 the term business wholly-owned through an ,,esop means a business for which #ajj percent of the outstanding stock is held through an employee stock ownership plan 7as defined in section #dgie7;e77#g7 of the ,internal ,revenue ,code74 4 7b7 ,pricing preference for civilian contracts ,section #ccja of title #da1 ,united ,states ,code1 is amended by adding at the end the following new subsection3 7g7 ,pricing preference for contracts ,for a contract awarded pursuant to this section1 the head of an agency may enter into a contract with a business wholly-owned through an ,,esop using a price evaluation preference not in excess of #aj percent when evaluating an offer received from such a business4 ,in this subsection1 the term business wholly-owned through an ,,esop means a business for which #ajj percent of the outstanding stock is held through an employee stock ownership plan 7as defined in section #dgie7;e77#g7 of the ,internal ,revenue ,code74 4 #f4 ,follow-on contracts for businesses wholly-owned through an ,,esop 7a7 ,use of noncompetitive procedures for defense contracts ,section #bcjd7;d77#a7 of title #aj1 ,united ,states ,code1 is amended by adding at the end the following new subparagraph3 7,c7 in the case of a follow-on contract for the delivery of goods or services that are the same as or substantially similar to the goods or services delivered under a prior contract awarded to a source that is a business wholly-owned through an ,,esop 7as defined in subsection 7m771 such goods or services shall be deemed to be available only from that source if the ,secretary rates the performance of that source on the prior contract as satisfactory or better 7or the equivalent7 in the applicable past performance database used by the ,secretary for making source selection decisions 4 7b7 ,use of noncompetitive procedures for civilian contracts ,section #ccjd7;b7 of title #da1 ,united ,states ,code1 is amended-- 7#a7 in paragraph 7#a71 by striking or after procurement22 7#b7 in paragraph 7#b77;,b71 by striking the period and inserting 2 or2 and 7#c7 by adding at the end the following3 7#c7 a follow-on contract for the delivery of goods or services determined by the head of the executive agency to be substantially similar to the goods or services delivered under a prior contract awarded to a source that is a business wholly-owned through an ,,esop1 such goods or services shall be deemed to be available only from that source if the executive agency rates the performance of that source on the prior contract as satisfactory or better 7or the equivalent7 in the applicable past performance database used by the head of the agency for making source selection decisions4 4