,,ii #aagth ,,congress #b;d ,session ,s4 #ecdd ,,in ,,the ,,senate ,,of ,,the ,,united ,,states ,december #ba1 #bjbb,mr4 ,young 7for himself1 ,mr4 ,hickenlooper1 and ,mr4 ,kelly7 introduced the following bill2 which was read twice and referred to the ,committee on ,small ,business and ,entrepreneurship ,a ,,bill ,to establish a pilot program for transitioning small businesses in the construction or engineering industries1 and for other purposes4 #a4 ,short title ,this ,act may be cited as the ,solving the ,unnecessary ,contracting ,cliff for ,enterprises to ,scale ,successfully ,act or the ,,success ,act4 #b4 ,pilot program for transitioning small businesses in the construction or engineering industries ,the ,small ,business ,act 7#ae ,u4,s4,c4 #fca et seq47 is amended by inserting after section #cb the following3 #cc4 ,pilot program for transitioning small businesses in the construction or engineering industries 7a7 ,definitions ,in this section3 7#a7 ,eligible concern ,the term eligible concern means a concern that has grown to exceed the size standard applicable to the ,north ,american ,industry ,classification ,system code corresponding to-- 7,a7 commercial and institutional building construction2 or 7,b7 engineering services4 7#b7 ,participant ,the term ,participant means an eligible concern that-- 7,a7 meets the criteria described in subsection 7d72 and 7,b7 participates in the ,program4 7#c7 ,program ,the term ,program means the pilot program for transitioning small businesses established under paragraph 7b74 7b7 ,establishment ,not later than #a year after the date of enactment of this section1 the ,administrator shall promulgate regulations establishing a pilot program to foster the continued success of eligible concerns by permitting those concerns to qualify as small for certain contracts during a transitional period4 7c7 ,purpose ,the purpose of the ,program is to assist eligible concerns in their transition from small business concerns to other-than-small and thereby increase competition in the unrestricted ,federal marketplace4 7d7 ,criteria for participation 7#a7 ,election ,an eligible concern may make a one-time election1 which shall not be changed1 to participate1 with respect to the primary activity of the eligible concern1 under-- 7,a7 the ,north ,american ,industry ,classification ,system ,code corresponding to commercial and institutional building construction2 or 7,b7 the ,north ,american ,industry ,classification ,system ,code corresponding to engineering services4 7#b7 ,registration ,an eligible concern shall-- 7,a7 register as a ,participant with the ,system for ,award ,management 7or any successor system7 on the date on which the eligible concern makes the election under paragraph 7#a7 in the registry described in subsection 7h72 and 7,b7 ensure that the registration of the eligible concern is current and accurate4 7#c7 ,term of the transitional period 7,a7 ,in general ,except as provided in subparagraph 7,b71 the transitional period1 during which an eligible concern may be eligible to participate in the ,program1 shall-- 7i7 begin on the date which the eligible concern first exceeds the size standard applicable to the ,north ,american ,industry ,classification ,system code corresponding to the industry elected by the concern pursuant to paragraph 7#a72 and 7ii7 not exceed #g consecutive years4 7,b7 ,exception ,an eligible concern first exceeding the size standard described in subparagraph 7,a77i7 within the #g-year period immediately preceding the effective date of regulations issued under subsection 7b7 shall be eligible to participate in the ,program for the remainder of the #g-year period beginning on the date which the concern first exceeded the size standard4 7#d7 ,activity targets ,the regulations described in subsection 7b7 shall establish non-small business set aside business activity targets that-- 7,a7 are applicable to ,participants during the third year and each succeeding year of ,program participation2 and 7,b7 during the period of time described in subparagraph 7,a71 shall reflect a reasonably consistent increase in sales other than obtained through contracts set aside for small business concerns1 expressed as a percentage of total sales4 7#e7 ,cap on average annual receipts ,each ,participant shall be subject to a cap on average annual receipts that is #e times the size standard applicable to the ,north ,american ,industry ,classification ,system code corresponding to the industry elected by the concern1 calculated consistent with the method in #aba4ajd of title #ac1 ,code of ,federal ,regulations1 or any successor regulation4 7#f7 ,certification 7,a7 ,in general ,each ,participant shall be required to annually certify in the ,system for ,award ,management 7or any successor system7 as to whether or not the ,participant has-- 7i7 met the activity target established under paragraph 7#d7 for the preceding year2 and 7ii7 complied with the restrictions described in subsection 7e74 7,b7 ,noncompliance ,if a ,participant certifies that the ,participant has not met the applicable activity targets established under paragraph 7#d7 for #b consecutive years1 or certifies that the ,participant has not complied with the restrictions described in subsection 7e71 the ,participant shall no longer be eligible to participate in the ,program4 7#g7 ,participant report ,the regulations issued under subsection 7b7 shall establish-- 7,a7 requirements for annual reporting by ,participants to the ,administrator during ,program participation1 to include reporting on compliance with activity targets established under paragraph 7#d71 the number and dollar value of contracts awarded based on eligibility under subsection 7f77#a71 and information required for the registry under subsection 7h72 and 7,b7 reporting requirements applicable for a period of not less than #e years after exiting the ,program4 7#h7 ,no reinstatement ,upon the expiration of the transitional period1 or once a ,participant otherwise becomes ineligible for the ,program1 the concern shall not be eligible for reinstatement in the ,program4 7e7 ,restrictions 7#a7 ,mentor-protg 7,a7 ,in general ,a ,participant may not apply to be a protg under a mentor-protg program established under this ,act4 7,b7 ,existing protgs ,a ,participant that is already a protg prior to registration under the ,program under subsection 7d77#b7 may1 in years #a and #b of the transitional period of the ,program1 continue to submit proposals in a mentor-protg program established under this ,act4 7#b7 ,additional restrictions ,in addition to the restrictions described in paragraph 7#a71 the ,administrator may include additional restrictions for ,participants consistent with the purposes of this ,act4 7f7 ,purposes for which participants may qualify as small ,subject to the restrictions in paragraph 7e71 a ,participant may otherwise qualify as small for purposes of the following3 7#a7 ,contracts that are set aside for small business concerns and assigned a ,north ,american ,industry ,classification ,system code corresponding to the industry elected by the ,participant under subsection 7d77#a7 and-- 7,a7 the ,government of the ,united ,states expects to be equal to or exceed-- 7i7 for commercial and institutional building construction1 #e1jjj1jjj2 and 7ii7 for engineering services1 #a1jjj1jjj2 and 7,b7 any orders under such contracts irrespective of the value of the order4 7#b7 ,goals established pursuant to section #ae7;g7 for participation by small business concerns1 small business concerns owned and controlled by service-disabled veterans1 qualified ,h,u,b,zone small business concerns1 small business concerns owned and controlled by socially and economically disadvantaged individuals1 and small business concerns owned and controlled by women4 7g7 ,termination 7#a7 ,in general ,the ,program shall terminate on the date that is #aj years after the date of enactment of this section4 7#b7 ,continuation of participation ,notwithstanding paragraph 7#a71 any ,participant in the program as of the date on which the ,program terminates under paragraph 7#a7 may continue to participate until the expiration of the term of the ,participant under subsection 7d77#c74 7h7 ,publication of registry required ,the ,administrator shall establish and maintain in the ,system for ,award ,management 7or any successor system7 a registry of eligible ,participants1 which registry shall1 to the extent practicable-- 7#a7 include the name1 address1 transitional period entry and exit dates1 and elected ,north ,american ,industry ,classification ,system code with respect to each ,participant2 and 7#b7 be updated by the ,administrator not less than annually4 7i7 ,additional information ,to be maintained ,the ,administrator shall maintain data regarding-- 7#a7 the number of ,participants in the ,program2 7#b7 the number of former ,participants that have exited the ,program2 7#c7 the number of former ,participants that have successfully transitioned to other-than-small1 under such criteria as the ,administrator may establish2 7#d7 the number of former ,participants that have returned to being small under ,north ,american ,industry ,classification ,system code elected by the ,participant under subsection 7d77#a72 and 7#e7 the total dollar value of small business awards made each fiscal year to ,participants by each ,federal agency4 7j7 ,,gao study and report 7#a7 ,study ,not later than #b years after the date of enactment of this section1 the ,comptroller ,general of the ,united ,states shall begin conducting a study to evaluate the implementation of the ,program4 7#b7 ,report ,not later than #h years after the date of enactment of this section1 the ,comptroller ,general of the ,united ,states shall submit to ,congress a report on the results of the study required under paragraph 7#a71 which shall include-- 7,a7 an assessment of the feasibility and advisability of broadening the ,program to include additional industries1 as defined under the ,north ,american ,industry ,classification ,system2 7,b7 the effects of the ,program1 if any1 on ,participants and on the industrial base2 7,c7 any recommendations for improving the ,program1 including whether the ,program should be made permanent2 and 7,d7 any additional findings and recommendations as the ,comptroller ,general of the ,united ,states considers appropriate4 4