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114th Congress    }                                     {        Report
                        HOUSE OF REPRESENTATIVES
 1st Session      }                                     {       114-125

======================================================================



 
                     SCIENCE PRIZE COMPETITIONS ACT

                                _______
                                

  May 19, 2015.--Committed to the Committee of the Whole House on the 
              State of the Union and ordered to be printed

                                _______
                                

     Mr. Smith of Texas, from the Committee on Science, Space, and 
                  Technology, submitted the following

                              R E P O R T

                        [To accompany H.R. 1162]

      [Including cost estimate of the Congressional Budget Office]

    The Committee on Science, Space, and Technology, to whom 
was referred the bill (H.R. 1162) to make technical changes to 
provisions authorizing prize competitions under the Stevenson-
Wydler Technology Innovation Act of 1980, having considered the 
same, report favorably thereon with an amendment and recommend 
that the bill as amended do pass.

                                CONTENTS

                                                                   Page
Committee Statement and Views....................................     3
Section-by-Section...............................................     4
Explanation of Amendments........................................     4
Committee Consideration..........................................     5
Application of Law to the Legislative Branch.....................     5
Statement of Oversight Findings and Recommendations of the 
  Committee......................................................     5
Statement of General Performance Goals and Objectives............     5
Duplication of Federal Programs..................................     5
Disclosure of Directed Rule Makings..............................     5
Federal Advisory Committee Act...................................     6
Unfunded Mandate Statement.......................................     6
Earmark Identification...........................................     6
Committee Estimate...............................................     6
Budget Authority and Congressional Budget Office Cost Estimate...     6
Changes in Existing Law Made by the Bill as Reported.............     7

    The amendment is as follows:
  Strike all after the enacting clause and insert the 
following:

SECTION 1. SHORT TITLE.

  This Act may be cited as the ``Science Prize Competitions Act''.

SEC. 2. AMENDMENTS TO PRIZE COMPETITIONS.

  Section 24 of the Stevenson-Wydler Technology Innovation Act of 1980 
(15 U.S.C. 3719) is amended--
          (1) in subsection (c)--
                  (A) by inserting ``competition'' after ``section, a 
                prize'';
                  (B) by inserting ``types'' after ``following''; and
                  (C) in paragraph (4), by striking ``prizes'' and 
                inserting ``prize competitions'';
          (2) in subsection (f)--
                  (A) by striking ``in the Federal Register'' and 
                inserting ``on a publicly accessible Government 
                website, such as www.challenge.gov,''; and
                  (B) in paragraph (4), by striking ``prize'' and 
                inserting ``cash prize purse'';
          (3) in subsection (g), by striking ``prize'' and inserting 
        ``cash prize purse'';
          (4) in subsection (h), by inserting ``prize'' before 
        ``competition'' both places it appears;
          (5) in subsection (i)--
                  (A) in paragraph (1)(B), by inserting ``prize'' 
                before ``competition'';
                  (B) in paragraph (2)(A), by inserting ``prize'' 
                before ``competition'' both places it appears;
                  (C) by redesignating paragraph (3) as paragraph (4); 
                and
                  (D) by inserting after paragraph (2) the following 
                new paragraph:
          ``(3) Waiver.--An agency may waive the requirement under 
        paragraph (2). The annual report under subsection (p) shall 
        include a list of such waivers granted during the preceding 
        fiscal year, along with a detailed explanation of the reasons 
        for granting the waivers.'';
          (6) in subsection (k)--
                  (A) in paragraph (2)(A), by inserting ``prize'' 
                before ``competition''; and
                  (B) in paragraph (3), by inserting ``prize'' before 
                ``competitions'' both places it appears;
          (7) in subsection (l), by striking all after ``may enter 
        into'' and inserting ``a grant, contract, cooperative 
        agreement, or other agreement with a private sector for-profit 
        or nonprofit entity to administer the prize competition, 
        subject to the provisions of this section.'';
          (8) in subsection (m)--
                  (A) by amending paragraph (1) to read as follows:
          ``(1) In general.--Support for a prize competition under this 
        section, including financial support for the design and 
        administration of a prize competition or funds for a cash prize 
        purse, may consist of Federal appropriated funds and funds 
        provided by private sector for-profit and nonprofit entities. 
        The head of an agency may accept funds from other Federal 
        agencies, private sector for-profit entities, and nonprofit 
        entities to support such prize competitions. The head of an 
        agency may not give any special consideration to any private 
        sector for-profit or nonprofit entity in return for a 
        donation.'';
                  (B) in paragraph (2), by striking ``prize awards'' 
                and inserting ``cash prize purses'';
                  (C) in paragraph (3)(A)--
                          (i) by striking ``No prize'' and inserting 
                        ``No prize competition''; and
                          (ii) by striking ``the prize'' and inserting 
                        ``the cash prize purse'';
                  (D) in paragraph (3)(B), by striking ``a prize'' and 
                inserting ``a cash prize purse'';
                  (E) in paragraph (3)(B)(i), by inserting 
                ``competition'' after ``prize'';
                  (F) in paragraph (4)(A), by striking ``a prize'' and 
                inserting ``a cash prize purse''; and
                  (G) in paragraph (4)(B), by striking ``cash prizes'' 
                and inserting ``cash prize purses'';
          (9) in subsection (n), by inserting ``for both for-profit and 
        nonprofit entities,'' after ``contract vehicle'';
          (10) in subsection (o)(1), by striking ``or providing a 
        prize'' and insert ``a prize competition or providing a cash 
        prize purse''; and
          (11) in subsection (p)(2)--
                  (A) in subparagraph (C), by striking ``cash prizes'' 
                both places it occurs and inserting ``cash prize 
                purses''; and
                  (B) by adding at the end the following new 
                subparagraph:
                  ``(G) Plan.--A description of crosscutting topical 
                areas and agency-specific mission needs that may be the 
                strongest opportunities for prize competitions during 
                the upcoming 2 fiscal years.''.

                     Committee Statement and Views


                          PURPOSE AND SUMMARY

    H.R. 1162, the Science Prize Competitions Act, is sponsored 
by Representative Don Beyer (D-VA-08), Ranking Member of the 
Oversight Subcommittee of the House Science, Space, and 
Technology Committee. The purpose of the bill is to make 
technical changes to provisions authorizing prize competitions 
under the Stevenson-Wydler Innovation Act of 1980.

                  BACKGROUND AND NEED FOR LEGISLATION

    Prizes have an established record of spurring innovation in 
the private and philanthropic sectors. In March 2010, the 
Office of Management and Budget (OMB) issued a formal policy 
framework\1\ to guide agency leaders in using prizes to advance 
their core missions. The memo stated, under the right 
circumstances, prizes may allow the government to further a 
federal agency's mission by attracting more interest and 
attention to a defined program, activity, or issue of concern; 
stimulate private sector investment that is many times greater 
than the cash value of the prize; and capture the public 
imagination and change the public's perception of what is 
possible.\2\
---------------------------------------------------------------------------
    \1\http://www.whitehouse.gov/sites/default/files/omb/assets/
memoranda_2010/m10-11.pdf.
    \2\http://www.whitehouse.gov/sites/default/files/omb/assets/
memoranda_2010/m10-11.pdf.
---------------------------------------------------------------------------
    In September 2010, the Administration launched 
Challenge.gov,\3\ a one-stop website where entrepreneurs and 
``citizen solvers'' can find public-sector prizes. On January 
4, 2011, the President signed into law P.L. 111-358, the 
America COMPETES Reauthorization Act. Section 105 of the Act 
added ``Prize Competitions'' to the Stevenson-Wydler Technology 
Innovation Act of 1980 to provide agencies with authority to 
conduct prize competitions in order to spur innovation, solve 
tough problems, and advance their core mission.\4\ This prize 
competition authority does not affect any existing prize 
competition authority already provided by any other law.
---------------------------------------------------------------------------
    \3\http://www.challenge.gov/list/.
    \4\http://www.whitehouse.gov/sites/default/files/microsites/ostp/
competes_prizesreport_fy13_final.pdf.
---------------------------------------------------------------------------

                          LEGISLATIVE HISTORY

    In the 113th Congress, Rep. Larry Bucshon (R-IN-08) 
introduced H.R. 4186, the Frontiers in Innovation, Research, 
Science, and Technology (FIRST) Act of 2014. Section 307 of 
that bill included language almost identical to H.R. 1162. The 
FIRST Act was marked up by the Research and Technology 
Subcommittee of the House Science, Space, and Technology 
Committee on March 13, 2014. It was reported, as amended, to 
the full Committee by voice vote. H.R. 4186 was subsequently 
reported by the full Committee by voice vote on May 28, 2014.

                            COMMITTEE VIEWS

    Scientific prize challenges play an important role in 
spurring innovation, and the Federal government and private 
sector are crucial to sustaining these challenges. The America 
COMPETES Reauthorization Act of 2010 (P.L. 111-358) granted all 
federal agencies broad authority to conduct prize competitions, 
and provided the Office of Science and Technology Policy (OSTP) 
the responsibility to lay the policy and legal framework for 
agencies to take advantage of the prize authority.
    The Committee is encouraged by OSTP's May 2014 report for 
FY 2013 prize activity which noted the number of prizes 
conducted was 41, a significant increase from the 27 prizes 
conducted in FY 2012. The Committee urges agencies to consider 
how any given prize competition fits into a broader agency 
innovation strategy when determining when and how to use the 
prize authority. The amendment introduced by Rep. Bill Johnson 
(described below) is in keeping with the overarching objective 
of H.R. 1162, which is to encourage more federal-private prize 
competitions, especially prizes to spur breakthrough 
technologies leading to economic growth and the creation of new 
jobs.

                           Section-by-Section


Section 1. Short title

    Science Prize Competitions Act.

Section 2. Amendments to prize competitions

    This section makes changes to provisions authorizing prize 
competitions under the Stevenson-Wydler Technology Innovation 
Act of 1980 (15 U.S.C. 3719).
    This section inserts the term ``prize competition'' for 
``prize'' where appropriate, and specifies ``cash prize purse'' 
instead of ``prize'' where appropriate.
    This section directs agency heads to publish notices of 
prize competitions on a publicly accessible government website, 
such as www.challenge.gov, instead of in the Federal Register.
    This section provides agencies with the option to waive the 
requirement for participants in a prize competition to obtain 
liability insurance or demonstrate financial responsibility. A 
list of all waivers, including a detailed explanation for the 
waivers, will be included in an annual report on prize 
competitions from OSTP to Congress.
    This section provides for the head of an agency to be able 
to enter into a grant, contract, cooperative agreement or other 
agreement with a private sector for-profit or nonprofit entity 
to administer the prize competition.
    This section ensures private sector for-profit and 
nonprofit entities may provide funds for the design and 
administration of a prize competition or for a cash prize 
purse. Such funds may also consist of Federal appropriated 
funds. Additionally, the head of an agency may accept funds 
from other Federal agencies. The head of an agency may not give 
any special consideration to a private sector for-profit or 
nonprofit entity in return for a donation.

                       Explanation of Amendments

    An amendment offered by Representative Bill Johnson (R-OH-
06), Vice-Chairman of the Oversight Subcommittee of the House 
Science, Space, and Technology Committee, was adopted by voice 
vote and is incorporated in the base text of H.R. 1162. The 
amendment requires the OSTP Director to include in the annual 
report to Congress a plan identifying crosscutting areas and 
agency-specific needs for future prize competitions during the 
upcoming two fiscal years.
    The amendment is in keeping with the overarching objective 
of H.R. 1162 to encourage agencies to strategically utilize 
prize competitions.

                        Committee Consideration

    On March 4, 2015, the Committee met in open session and 
ordered reported favorably the bill, H.R. 1162, as amended, by 
voice vote, a quorum being present.

              Application of Law to the Legislative Branch

    Section 102(b)(3) of Public Law 104-1 requires a 
description of the application of this bill to the legislative 
branch where the bill relates to the terms and conditions of 
employment or access to public services and accommodations. 
This bill makes technical changes to provisions authorizing 
prize competitions under the Stevenson-Wydler Innovation Act of 
1980. As such this bill does not relate to employment or access 
to public services and accommodations.

  Statement of Oversight Findings and Recommendations of the Committee

    In compliance with clause 3(c)(1) of rule XIII and clause 
(2)(b)(1) of rule X of the Rules of the House of 
Representatives, the Committee's oversight findings and 
recommendations are reflected in the descriptive portions of 
this report.

         Statement of General Performance Goals and Objectives

    In accordance with clause 3(c)(4) of rule XIII of the Rules 
of the House of Representatives, the Committee's performance 
goals and objectives are to encourage more federal-private 
prize competitions, especially prizes to spur breakthrough 
technologies leading to economic growth and the creation of new 
jobs.

                    Duplication of Federal Programs

    No provision of H.R. 1162 establishes or reauthorizes a 
program of the Federal Government known to be duplicative of 
another Federal program, a program that was included in any 
report from the Government Accountability Office to Congress 
pursuant to section 21 of Public Law 111-139, or a program 
related to a program identified in the most recent Catalog of 
Federal Domestic Assistance.

                  Disclosure of Directed Rule Makings

    The Committee estimates that enacting H.R. 1162 does not 
direct the completion of any specific rule makings within the 
meaning of 5 U.S.C. 551.

                     Federal Advisory Committee Act

    The Committee finds that the legislation does not establish 
or authorize the establishment of an advisory committee within 
the definition of 5 U.S.C. App., Section 5(b).

                       Unfunded Mandate Statement

    Section 423 of the Congressional Budget and Impoundment 
Control Act (as amended by Section 101(a)(2) of the Unfunded 
Mandate Reform Act, P.L. 104-4) requires a statement as to 
whether the provisions of the reported include unfunded 
mandates. In compliance with this requirement the Committee has 
received a letter from the Congressional Budget Office included 
herein.

                         Earmark Identification

    H.R. 1162 does not include any congressional earmarks, 
limited tax benefits, or limited tariff benefits as defined in 
clause 9 of rule XXI.

                           Committee Estimate

    Clause 3(d)(2) of rule XIII of the Rules of the House of 
Representatives requires an estimate and a comparison by the 
Committee of the costs that would be incurred in carrying out 
H.R. 1162. However, clause 3(d)(3)(B) of that rule provides 
that this requirement does not apply when the Committee has 
included in its report a timely submitted cost estimate of the 
bill prepared by the Director of the Congressional Budget 
Office under section 402 of the Congressional Budget Act.

     Budget Authority and Congressional Budget Office Cost Estimate

    With respect to the requirements of clause 3(c)(2) of rule 
XIII of the Rules of the House of Representatives and section 
308(a) of the Congressional Budget Act of 1974 and with respect 
to requirements of clause (3)(c)(3) of rule XIII of the Rules 
of the House of Representatives and section 402 of the 
Congressional Budget Act of 1974, the Committee has received 
the following cost estimate for H.R. 1162 from the Director of 
Congressional Budget Office:

                                                    March 20, 2015.
Hon. Lamar Smith,
Chairman, Committee on Science, Space, and Technology,
House of Representatives, Washington, DC.
    Dear Mr. Chairman: The Congressional Budget Office has 
prepared the enclosed cost estimate for H.R. 1162, the Science 
Prize Competitions Act.
    If you wish further details on this estimate, we will be 
pleased to provide them. The CBO staff contact is Marin 
Burnett.
            Sincerely,
                                              Douglas W. Elmendorf.
    Enclosure.

H.R. 1162--Science Prize Competitions Act

    Under current law, heads of federal agencies may hold prize 
competitions as an incentive for scientific and technological 
innovation. H.R. 1162 would clarify that agencies may partner 
with both nonprofit and for-profit entities in the private 
sector to support the competitions and require that 
notification of the competitions be publicly available on a 
government website.
    The bill also would allow agencies that sponsor prize 
competitions to waive a requirement that participants in such 
competitions obtain liability insurance to protect the 
government against claims by third party entities, making the 
federal government potentially responsible for paying the cost 
of successful claims. Because those claims would probably be 
paid from the Treasury's Judgment Fund (a permanent, indefinite 
appropriation for claims and judgments against the United 
States), enacting the bill could affect direct spending; 
therefore, pay-as-you-go procedures apply. However, based on 
information from some agencies that conduct competitions, CBO 
anticipates that any such cases would be rare and that any 
effect on direct spending would be insignificant.
    H.R. 1162 contains no intergovernmental or private-sector 
mandates as defined in the Unfunded Mandates Reform Act and 
would not affect the budgets of state, local, or tribal 
governments.
    The CBO staff contact for this estimate is Marin Burnett. 
The estimate was approved by Theresa Gullo, Deputy Assistant 
Director for Budget Analysis.

         Changes in Existing Law Made by the Bill, as Reported

  In compliance with clause 3(e) of rule XIII of the Rules of 
the House of Representatives, changes in existing law made by 
the bill, as reported, are shown as follows (existing law 
proposed to be omitted is enclosed in black brackets, new 
matter is printed in italic, existing law in which no change is 
proposed is shown in roman):

           STEVENSON-WYDLER TECHNOLOGY INNOVATION ACT OF 1980




           *       *       *       *       *       *       *
SEC. 24. PRIZE COMPETITIONS.

  (a) Definitions.--In this section:
          (1) Agency.--The term ``agency'' means a Federal 
        agency.
          (2) Director.--The term ``Director'' means the 
        Director of the Office of Science and Technology 
        Policy.
          (3) Federal agency.--The term ``Federal agency'' has 
        the meaning given under section 4, except that term 
        shall not include any agency of the legislative branch 
        of the Federal Government.
          (4) Head of an agency.--The term ``head of an 
        agency'' means the head of a Federal agency.
  (b) In General.--Each head of an agency, or the heads of 
multiple agencies in cooperation, may carry out a program to 
award prizes competitively to stimulate innovation that has the 
potential to advance the mission of the respective agency.
  (c) Prizes.--For purposes of this section, a prize 
competition may be one or more of the following types:
          (1) A point solution prize that rewards and spurs the 
        development of solutions for a particular, well-defined 
        problem.
          (2) An exposition prize that helps identify and 
        promote a broad range of ideas and practices that may 
        not otherwise attract attention, facilitating further 
        development of the idea or practice by third parties.
          (3) Participation prizes that create value during and 
        after the competition by encouraging contestants to 
        change their behavior or develop new skills that may 
        have beneficial effects during and after the 
        competition.
          (4) Such other types of [prizes] prize competitions 
        as each head of an agency considers appropriate to 
        stimulate innovation that has the potential to advance 
        the mission of the respective agency.
  (d) Topics.--In selecting topics for prize competitions, the 
head of an agency shall consult widely both within and outside 
the Federal Government, and may empanel advisory committees.
  (e) Advertising.--The head of an agency shall widely 
advertise each prize competition to encourage broad 
participation.
  (f) Requirements and Registration.--For each prize 
competition, the head of an agency shall publish a notice [in 
the Federal Register] on a publicly accessible Government 
website, such as www.challenge.gov, announcing--
          (1) the subject of the competition;
          (2) the rules for being eligible to participate in 
        the competition;
          (3) the process for participants to register for the 
        competition;
          (4) the amount of the [prize] cash prize purse; and
          (5) the basis on which a winner will be selected.
  (g) Eligibility.--To be eligible to win a [prize] cash prize 
purse under this section, an individual or entity--
          (1) shall have registered to participate in the 
        competition under any rules promulgated by the head of 
        an agency under subsection (f);
          (2) shall have complied with all the requirements 
        under this section;
          (3) in the case of a private entity, shall be 
        incorporated in and maintain a primary place of 
        business in the United States, and in the case of an 
        individual, whether participating singly or in a group, 
        shall be a citizen or permanent resident of the United 
        States; and
          (4) may not be a Federal entity or Federal employee 
        acting within the scope of their employment.
  (h) Consultation With Federal Employees.--An individual or 
entity shall not be deemed ineligible under subsection (g) 
because the individual or entity used Federal facilities or 
consulted with Federal employees during a prize competition if 
the facilities and employees are made available to all 
individuals and entities participating in the prize competition 
on an equitable basis.
  (i) Liability.--
          (1) In general.--
                  (A) Definition.--In this paragraph, the term 
                ``related entity'' means a contractor or 
                subcontractor at any tier, and a supplier, 
                user, customer, cooperating party, grantee, 
                investigator, or detailee.
                  (B) Liability.--Registered participants shall 
                be required to agree to assume any and all 
                risks and waive claims against the Federal 
                Government and its related entities, except in 
                the case of willful misconduct, for any injury, 
                death, damage, or loss of property, revenue, or 
                profits, whether direct, indirect, or 
                consequential, arising from their participation 
                in a prize competition, whether the injury, 
                death, damage, or loss arises through 
                negligence or otherwise.
          (2) Insurance.--Participants shall be required to 
        obtain liability insurance or demonstrate financial 
        responsibility, in amounts determined by the head of an 
        agency, for claims by--
                  (A) a third party for death, bodily injury, 
                or property damage, or loss resulting from an 
                activity carried out in connection with 
                participation in a prize competition, with the 
                Federal Government named as an additional 
                insured under the registered participant's 
                insurance policy and registered participants 
                agreeing to indemnify the Federal Government 
                against third party claims for damages arising 
                from or related to prize competition 
                activities; and
                  (B) the Federal Government for damage or loss 
                to Government property resulting from such an 
                activity.
          (3) Waiver.--An agency may waive the requirement 
        under paragraph (2). The annual report under subsection 
        (p) shall include a list of such waivers granted during 
        the preceding fiscal year, along with a detailed 
        explanation of the reasons for granting the waivers.
          [(3)] (4) Exception.--The head of an agency may not 
        require a participant to waive claims against the 
        administering entity arising out of the unauthorized 
        use or disclosure by the agency of the intellectual 
        property, trade secrets, or confidential business 
        information of the participant.
  (j) Intellectual Property.--
          (1) Prohibition on the government acquiring 
        intellectual property rights.--The Federal Government 
        may not gain an interest in intellectual property 
        developed by a participant in a competition without the 
        written consent of the participant.
          (2) Licenses.--The Federal Government may negotiate a 
        license for the use of intellectual property developed 
        by a participant for a competition.
  (k) Judges.--
          (1) In general.--For each competition, the head of an 
        agency, either directly or through an agreement under 
        subsection (l), shall appoint one or more qualified 
        judges to select the winner or winners of the prize 
        competition on the basis described under subsection 
        (f). Judges for each competition may include 
        individuals from outside the agency, including from the 
        private sector.
          (2) Restrictions.--A judge may not--
                  (A) have personal or financial interests in, 
                or be an employee, officer, director, or agent 
                of any entity that is a registered participant 
                in a prize competition; or
                  (B) have a familial or financial relationship 
                with an individual who is a registered 
                participant.
          (3) Guidelines.--The heads of agencies who carry out 
        prize competitions under this section shall develop 
        guidelines to ensure that the judges appointed for such 
        prize competitions are fairly balanced and operate in a 
        transparent manner.
          (4) Exemption from faca.--The Federal Advisory 
        Committee Act (5 U.S.C. App.) shall not apply to any 
        committee, board, commission, panel, task force, or 
        similar entity, created solely for the purpose of 
        judging prize competitions under this section.
  (l) Administering the Competition.--The head of an agency may 
enter into [an agreement with a private, nonprofit entity to 
administer a prize competition, subject to the provisions of 
this section.] a grant, contract, cooperative agreement, or 
other agreement with a private sector for-profit or nonprofit 
entity to administer the prize competition, subject to the 
provisions of this section.
  (m) Funding.--
          [(1) In general.--Support for a prize competition 
        under this section, including financial support for the 
        design and administration of a prize or funds for a 
        monetary prize purse, may consist of Federal 
        appropriated funds and funds provided by the private 
        sector for such cash prizes. The head of an agency may 
        accept funds from other Federal agencies to support 
        such competitions. The head of an agency may not give 
        any special consideration to any private sector entity 
        in return for a donation.]
          (1) In general.--Support for a prize competition 
        under this section, including financial support for the 
        design and administration of a prize competition or 
        funds for a cash prize purse, may consist of Federal 
        appropriated funds and funds provided by private sector 
        for-profit and nonprofit entities. The head of an 
        agency may accept funds from other Federal agencies, 
        private sector for-profit entities, and nonprofit 
        entities to support such prize competitions. The head 
        of an agency may not give any special consideration to 
        any private sector for-profit or nonprofit entity in 
        return for a donation.
          (2) Availability of funds.--Notwithstanding any other 
        provision of law, funds appropriated for [prize awards] 
        cash prize purses under this section shall remain 
        available until expended. No provision in this section 
        permits obligation or payment of funds in violation of 
        section 1341 of title 31, United States Code.
          (3) Amount of prize.--
                  (A) Announcement.-- [No prize] No prize 
                competition may be announced under subsection 
                (f) until all the funds needed to pay out the 
                announced amount of [the prize] the cash prize 
                purse have been appropriated or committed in 
                writing by a private source.
                  (B) Increase in amount.--The head of an 
                agency may increase the amount of [a prize] a 
                cash prize purse after an initial announcement 
                is made under subsection (f) only if--
                          (i) notice of the increase is 
                        provided in the same manner as the 
                        initial notice of the prize 
                        competition; and
                          (ii) the funds needed to pay out the 
                        announced amount of the increase have 
                        been appropriated or committed in 
                        writing by a private source.
          (4) Limitation on amount.--
                  (A) Notice to congress.--No prize competition 
                under this section may offer [a prize] a cash 
                prize purse in an amount greater than 
                $50,000,000 unless 30 days have elapsed after 
                written notice has been transmitted to the 
                Committee on Commerce, Science, and 
                Transportation of the Senate and the Committee 
                on Science and Technology of the House of 
                Representatives.
                  (B) Approval of head of agency.--No prize 
                competition under this section may result in 
                the award of more than $1,000,000 in [cash 
                prizes] cash prize purses without the approval 
                of the head of an agency.
  (n) General Service Administration Assistance.--Not later 
than 180 days after the date of the enactment of the America 
COMPETES Reauthorization Act of 2010, the General Services 
Administration shall provide government wide services to share 
best practices and assist agencies in developing guidelines for 
issuing prize competitions. The General Services Administration 
shall develop a contract vehicle for both for-profit and 
nonprofit entities, to provide agencies access to relevant 
products and services, including technical assistance in 
structuring and conducting prize competitions to take maximum 
benefit of the marketplace as they identify and pursue prize 
competitions to further the policy objectives of the Federal 
Government.
  (o) Compliance With Existing Law.--
          (1) In General.--The Federal Government shall not, by 
        virtue of offering [or providing a prize] a prize 
        competition or providing a cash prize purse under this 
        section, be responsible for compliance by registered 
        participants in a prize competition with Federal law, 
        including licensing, export control, and 
        nonproliferation laws, and related regulations.
          (2) Other prize authority.--Nothing in this section 
        affects the prize authority authorized by any other 
        provision of law.
  (p) Annual Report.--
          (1) In general.--Not later than March 1 of each year, 
        the Director shall submit to the Committee on Commerce, 
        Science, and Transportation of the Senate and the 
        Committee on Science and Technology of the House of 
        Representatives a report on the activities carried out 
        during the preceding fiscal year under the authority in 
        subsection (b).
          (2) Information included.--The report for a fiscal 
        year under this subsection shall include, for each 
        prize competition under subsection (b), the following:
                  (A) Proposed goals.--A description of the 
                proposed goals of each prize competition.
                  (B) Preferable method.--An analysis of why 
                the utilization of the authority in subsection 
                (b) was the preferable method of achieving the 
                goals described in subparagraph (A) as opposed 
                to other authorities available to the agency, 
                such as contracts, grants, and cooperative 
                agreements.
                  (C) Amount of cash prizes.--The total amount 
                of [cash prizes] cash prize purses awarded for 
                each prize competition, including a description 
                of amount of private funds contributed to the 
                program, the sources of such funds, and the 
                manner in which the amounts of [cash prizes] 
                cash prize purses awarded and claimed were 
                allocated among the accounts of the agency for 
                recording as obligations and expenditures.
                  (D) Solicitations and evaluation of 
                submissions.--The methods used for the 
                solicitation and evaluation of submissions 
                under each prize competition, together with an 
                assessment of the effectiveness of such methods 
                and lessons learned for future prize 
                competitions.
                  (E) Resources.--A description of the 
                resources, including personnel and funding, 
                used in the execution of each prize competition 
                together with a detailed description of the 
                activities for which such resources were used 
                and an accounting of how funding for execution 
                was allocated among the accounts of the agency 
                for recording as obligations and expenditures.
                  (F) Results.--A description of how each prize 
                competition advanced the mission of the agency 
                concerned.
                  (G) Plan.--A description of crosscutting 
                topical areas and agency-specific mission needs 
                that may be the strongest opportunities for 
                prize competitions during the upcoming 2 fiscal 
                years.

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