Page:United States Statutes at Large Volume 102 Part 4.djvu/895

 PUBLIC LAW 100-656—NOV. 15, 1988

102 STAT. 3865

TITLE III—BUSINESS DEVELOPMENT SEC 301. STAGES OF PROGRAM PARTICIPATION.

(a) IN GENERAL.—Section 7(j) of the Small Business Act (15 U.S.C. 636(j)) is amended by adding at the end thereof the following new paragraph: "(12XA) The Administration shall s^ment the Capital Ownership Development Program into two stages: a development stage; and a transitional stage. "(B) The developmental stage of pn^ram participation shall be designed to assist the concern to overcome its economic disadvantage by providing such assistance as may be necessary and appropriate to access its markets and to strengthen its financial and managerial skills. "(O The transitional stage of program participation shall be designed to overcome, insofar as pre^icable, the remaining elements of economic disadvantage and to prepare such concern for graduation from the program.". (b) DEVELOPMENTAL SFAGE OF PROGRAM PARTICIPATION.—Such

section is further amended by adding at the end thereof the following new paragraph: "(13) A Program Participant, if otherwise eligible, shall be qualified to receive the following assistance during the stages of program participation specified in paragraph 12: (A) (Contract support pursuant to section 8(a). "(B) Financial assistance pursuant to section 7(a)(20). "(C) A maximum of two exemptions from the requirements of section 1(a) of the Act entitled 'An Act providing conditions for the purchase of supplies and the making of contracts by the United States, and for other purposes', approved June 30, 1936 (49 Stat. 2036), which exemptions shall apply only to contracts awarded pursuant to section (8)(a) and shall only be used to allow for contingent agreements by a small business concern to acquire the machinery, equipment, facilities, or labor needed to perform such contracts. No exemption shall be made pursuant to this subparagraph if the contract to which it pertains has an anticipated value in excess of $10,000,000. This subparagraph Termination shall cease to be effective on October 1, 1992. ^^*^ "(D) A maximum of five exemptions from the requirements of the Act entitled 'An Act requiring contracts for the construction, alteration and repair of any public building or public work of the United States to be accompanied by a performance bond protecting the United States and by an additional bond for the protection of persons furnishing material and labor for the construction, alteration, or repair of said public buildings or public works', approved August 24, 1935 (49 Stat. 793), which exemptions shall apply only to contracts awarded pursuant to section 8(a), except that, such exemptions may be granted under this subparagraph only if— "(i) the Administration finds that such concern is unable to obtain the requisite bond or bonds from a surety and that no surety is willing to issue a bond subject to the guarantee provision of title IV of the Small Business Investment Act of 1958 (15 U.S.C. 692 et seq.); "(ii) the Administration and the agency providing the contracting opportunity have provided for the protection of

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