PDF(PDF provides a complete and accurate display of this text.)Tip?
116th Congress } { Report
HOUSE OF REPRESENTATIVES
1st Session } { 116-117
======================================================================
BOOSTING RATES OF AMERICAN VETERAN EMPLOYMENT ACT
_______
June 18, 2019.--Committed to the Committee of the Whole House on the
State of the Union and ordered to be printed
_______
Mr. Takano, from the Committee on Veterans' Affairs, submitted the
following
R E P O R T
[To accompany H.R. 2109]
[Including cost estimate of the Congressional Budget Office]
The Committee on Veterans' Affairs, to whom was referred
the bill (H.R. 2109) to amend title 38, United States Code, to
authorize the Secretary of Veterans Affairs, in awarding a
contract for the procurement of goods or services, to give a
preference to offerors that employ veterans, having considered
the same, report favorably thereon without amendment and
recommend that the bill do pass.
CONTENTS
Page
Purpose and Summary.............................................. 2
Background and Need for Legislation.............................. 2
Hearings......................................................... 2
Subcommittee Consideration....................................... 3
Committee Consideration.......................................... 3
Committee Votes.................................................. 3
Committee Oversight Findings..................................... 3
Statement of General Performance Goals and Objectives............ 3
New Budget Authority, Entitlement Authority, and Tax Expenditures 3
Earmarks and Tax and Tariff Benefits............................. 4
Committee Cost Estimate.......................................... 4
Congressional Budget Office Estimate............................. 4
Federal Mandates Statement....................................... 5
Advisory Committee Statement..................................... 5
Constitutional Authority Statement............................... 5
Applicability to Legislative Branch.............................. 5
Statement on Duplication of Federal Programs..................... 5
Disclosure of Directed Rulemaking................................ 5
Section-by-Section Analysis of the Legislation................... 6
Changes in Existing Law Made by the Bill as Reported............. 6
Purpose and Summary
To amend title 38, United States Code, to authorize the
Secretary of Veterans Affairs, in awarding a contract for the
procurement of goods or services, to give a preference to
offerors that employ veterans was introduced by Representative
Kathleen Rice, along with Representative Paul Cook on April 4,
2019. H.R. 2109 authorizes the Secretary of Veterans Affairs,
when awarding federal contracts, to give preference to
companies that have high concentrations of full-time veteran
employees, which will reward contractors that actively hire
veterans and create an incentive for others to do the same.
Background and Need for Legislation
The Department of Veterans Affairs (VA) establishes long-
term contracts with private businesses for medical equipment,
supplies, services, and more. Currently, the VA gives
preference for these contracts to veteran-owned small
businesses, but not to businesses that actively employ
veterans.
H.R. 2109 would allow the VA to consider the proportion of
veterans employed on a full-time basis by a prospective
contractor when awarding federal contracts. In addition, H.R.
2109 would not impose any additional costs or burdens on
taxpayers, and it provides oversight of VA contractors by
allowing the debarment of any company that knowingly
misrepresents the number or proportion of veterans they employ.
H.R. 2109 provides oversight of VA contractors by allowing
debarment, at the discretion of the VA Secretary, of those who
intentionally misrepresent their proportion of veteran
employees.
The intent of the legislation is to incentivize businesses,
both large and small, to focus on and improve their veteran
hiring and retention practices. The Committee recommends that
H.R. 2109, and the newly created Sec. 8129 titled ``Preference
for offerors employing veterans,'' shall not be construed as a
separate procurement strategy to Sec. 8128 and may only be
taken into consideration by VA as part of the tiered
evaluations process.
Hearings
For the purposes of section 103(i) of H. Res. 6 of the
116th Congress--the following hearings and meetings were used
to develop or consider H.R. 2109.
On April 9, 2019, the Subcommittee on Economic Opportunity
conducted a legislative hearing on various bills introduced
during the 116th Congress, including H.R. 2109.
The following witnesses testified:
Ms. Margarita Devlin, Principal Deputy Under
Secretary for Benefits, Veterans Benefits
Administration, U.S. Department of Veterans Affairs.
Ms. Ashlynne Haycock, Deputy Policy Director, Education
Support Services, Tragedy Assistance Program for
Survivors (TAPS). Mr. Patrick Murray, Deputy Director,
National Legislative Service, The Veterans of Foreign
Wars. Mr. John Kamin, Credentialing and Education
Policy Associate, National Veterans Employment and
Education Division, The American Legion. Ms. Rebecca
Burgess, Program Manager Citizenship Project, American
Enterprise Institute.
Statements for the record were submitted by:
Disabled American Veterans
Subcommittee Consideration
On May 1, 2019, the Subcommittee on Economic Opportunity
met in an open markup session, a quorum being present, and
ordered H.R. 2109 reported favorably to the Committee on
Veterans' Affairs by voice vote.
During the May 1, 2019 consideration, the Subcommittee
considered H.R. 2109 as introduced. No amendments were offered.
Committee Consideration
On May 8, 2019, the Committee on Veterans' Affairs met in
an open markup session, a quorum being present, and ordered
H.R. 2109 reported favorably to the House of Representatives by
voice vote.
Committee Votes
Clause 3(b) of rule XIII of the Rules of the House of
Representatives requires the Committee to list the recorded
votes on the motion to report the legislation and amendments
thereto. There were no recorded votes taken on amendments or in
connection with ordering H.R. 2109 reported to the House. A
motion by Ranking Member Phil Roe of Tennessee to report H.R.
2109 favorably to the House of Representatives was agreed to by
voice vote.
Committee Oversight Findings
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 authorize the Department of
Veterans Affairs' the ability to give preference to companies
with high concentration of veteran employees when awarding
Department contracts.
New Budget Authority, Entitlement Authority, and Tax Expenditures
In compliance with clause 3(c)(2) of rule XIII of the Rules
of the House of Representatives, the Committee adopts as its
own the estimate of new budget authority, entitlement
authority, or tax expenditures or revenues contained in the
cost estimate prepared by the Director of the Congressional
Budget Office pursuant to section 402 of the Congressional
Budget Act of 1974.
Earmarks and Tax and Tariff Benefits
H.R. 2109 does not contain any Congressional earmarks,
limited tax benefits, or limited tariff benefits as defined in
clause 9 of rule XXI of the Rules of the House of
Representatives.
Committee Cost Estimate
The Committee adopts as its own the cost estimate on H.R.
2196 prepared by the Director of the Congressional Budget
Office pursuant to section 402 of the Congressional Budget Act
of 1974.
Congressional Budget Office Cost Estimate
Pursuant to clause 3(c)(3) of rule XIII of the Rules of the
House of Representatives, the following is the cost estimate
for H.R. 2196 provided by the Director of the Congressional
Budget Office pursuant to section 402 of the Congressional
Budget Act of 1974:
According to the Congressional Budget Office estimate,
because H.R. 2109 would allow VA to earmark money to contract
with employers of veterans but would not affect the underlying
costs of administering VA programs, CBO estimates that
implementing the provision would not affect the federal budget,
and not have direct spending nor spending subject to
appropriation.
U.S. Congress,
Congressional Budget Office,
Washington, DC, May 15, 2019.
Hon. Mark Takano,
Chairman, Committee on Veterans' Affairs,
House of Representatives, Washington, DC.
Dear Mr. Chairman: The Congressional Budget Office has
prepared the enclosed cost estimate for H.R. 2109, the BRAVE
Act.
If you wish further details on this estimate, we will be
pleased to provide them. The CBO staff contact is Logan Smith.
Sincerely,
Keith Hall,
Director.
Enclosure.
[GRAPHIC(S) NOT AVAILABLE IN TIFF FORMAT>]
H.R. 2109 would permit the Department of Veterans Affairs
(VA) to give preference to firms that employ veterans when it
awards contracts for goods and services. The bill also would
establish penalties for firms that misrepresent the veteran
status of employees when bidding on VA contracts. Under current
law, VA can give preference to firms that are owned or
controlled by veterans, and the department must set goals for
the number of contracts awarded to such businesses.
Because the bill would allow VA to earmark money to
contract with employers of veterans but would not affect the
underlying costs of administering VA programs, CBO estimates
that implementing the provision would not affect the federal
budget.
The CBO staff contact for this estimate is Logan Smith. The
estimate was reviewed by Leo Lex, Deputy Assistant Director for
Budget Analysis.
Federal Mandates Statement
The Committee adopts as its own the estimate of Federal
mandates regarding H.R. 2109 prepared by the Director of the
Congressional Budget Office pursuant to Section 423 of the
Unfunded Mandates Reform Act.
Advisory Committee Statement
No advisory committees within the meaning of section 5(b)
of the Federal Advisory Committee Act would be created by H.R.
2109.
Constitutional Authority Statement
Pursuant to Article I, section 8 of the United States
Constitution, H.R. 2109 is authorized by Congress' power to
``provide for the common Defense and general Welfare of the
United States.''
Applicability to Legislative Branch
The Committee finds that H.R. 2109 does not relate to the
terms and conditions of employment or access to public services
or accommodations within the legislative branch.
Statement on Duplication of Federal Programs
Pursuant to clause 3(c)(5) of rule XIII of the Rules of the
House of Representatives, the Committee finds that no provision
of H.R. 2109 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 Rulemaking
Pursuant to clause 3(c)(5) of rule XIII, the Committee
estimates that H.R. 2109 contains no directed rule making that
would require the Secretary to prescribe regulations.
Section-by-Section Analysis of the Legislation
Section 1: Short Title: ``Boosting Rates of American
Veteran Employment Act or BRAVE Act''
Section 2: Authorizes the Secretary to give a preference to
those employers which employ veterans on a full time basis.
This preference shall be determined by the percentage of full
time employers who are veterans. Also sets penalties for
misrepresentation of the number of veterans.
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):
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 (new matter is
printed in italic and existing law in which no change is
proposed is shown in roman):
TITLE 38, UNITED STATES CODE
* * * * * * *
PART VI--ACQUISITION AND DISPOSITION OF PROPERTY
* * * * * * *
CHAPTER 81--ACQUISITION AND OPERATION OF HOSPITAL AND DOMICILIARY
FACILITIES; PROCUREMENT AND SUPPLY; ENHANCED-USE LEASES OF REAL
PROPERTY
SUBCHAPTER I--ACQUISITION AND OPERATION OF MEDICAL FACILITIES
Sec.
8101. Definitions.
SUBCHAPTER II--PROCUREMENT AND SUPPLY
* * * * * * *
8129. Preference for offerors employing veterans.
* * * * * * *
SUBCHAPTER II--PROCUREMENT AND SUPPLY
* * * * * * *
Sec. 8129. Preference for offerors employing veterans
(a) Preference.--In awarding a contract for the procurement
of goods or services, the Secretary may give a preference to
offerors that employ veterans on a full-time basis. The
Secretary shall determine such preference based on the
percentage of the full-time employees of the offeror who are
veterans.
(b) Enforcement Penalties for Misrepresentation.--(1) Any
offeror that is determined by the Secretary to have willfully
and intentionally misrepresented the veteran status of the
employees of the offeror for purposes of subsection (a) may be
debarred from contracting with the Department for a period of
not less than five years.
(2) If the Secretary carries out a debarment under paragraph
(1), the Secretary shall commence debarment action against the
offeror by not later than 30 days after determining that the
offeror willfully and intentionally misrepresented the veteran
status of the employees of the offeror as described in
paragraph (1) and shall complete debarment actions against such
offeror by not later than 90 days after such determination.
(3) The debarment of an offeror under paragraph (1) includes
the debarment of all principals in the offeror for a period of
not less than five years.
* * * * * * *
[all]
