GUIDELINES AND PUBLIC COMMENT ON NEW OR EXPANDED PRODUCTION BY FEDERAL PRISON INDUSTRIES.

SEC. 7096. GUIDELINES AND PUBLIC COMMENT ON NEW OR EXPANDED PRODUCTION BY FEDERAL PRISON INDUSTRIES. Section 4122(b) of title 18, United States Code, is amended— (1) by inserting “(1)” after “(b)”; (2) by striking out “all physically fit inmates in the United States penal and correctional institutions” and inserting in lieu thereof “the greatest number of those inmates in the United States penal and correctional institutions who are eligible to work as is reasonably possible”; and (3) by adding at the end thereof the following: “(2) Federal Prison Industries shall conduct its operations so as to produce products on an economic basis, but shall avoid capturing more than a reasonable share of the market among Federal departments, agencies, and institutions for any specific product. Federal Prison Industries shall concentrate on providing to the Federal Government only those products which permit employment of the greatest number of those inmates who are eligible to work as is reasonably possible. “(3) Federal Prison Industries shall diversify its products so that its sales are distributed among its industries as broadly as possible. “(4) Any decision by Federal Prison Industries to produce a new product or to significantly expand the production of an existing product shall be made by the board of directors of the corporation. 102 STAT. 4414 Before the board of directors makes a final decision, the corporation shall do the following: “(A) The corporation shall prepare a detailed written analysis of the probable impact on industry and free labor of the plans for new production or expanded production. In such written analysis the corporation shall, at a minimum, identify and consider— “(i) the number of vendors currently meeting the requirements of the Federal Government for the product; “(ii) the proportion of the Federal Government market for the product currently served by small businesses, small disadvantaged businesses, or businesses operating in labor surplus areas; “(iii) the size of the Federal Government and non-Federal Government markets for the product; “(iv) the projected growth in the Federal Government demand for the product; and “(v) the projected ability of the Federal Government market to sustain both Federal Prison Industries and private vendors. “(B) The corporation shall announce in a publication designed to most effectively provide notice to potentially affected private vendors the plans to produce any new product or to significantly expand production of an existing product. The announcement shall also indicate that the analysis prepared under subparagraph (A) is available through the corporation and shall invite comments from private industry regarding the new production or expanded production. “(C) The corporation shall directly advise those affected trade associations that the corporation can reasonably identify the plans for new production or expanded production, and the corporation shall invite such trade associations to submit comments on those plans. “(D) The corporation shall provide to the board of directors— “(i) the analysis prepared under subparagraph (A) on the proposal to produce a new product or to significantly expand the production of an existing product, “(ii) comments submitted to the corporation on the proposal, and “(iii) the corporation’s recommendations for action on the proposal in light of such comments. In addition, the board of directors, before making a final decision under this paragraph on a proposal, shall, upon the request of an established trade association or other interested representatives of private industry, provide a reasonable opportunity to such trade association or other representatives to present comments directly to the board of directors on the proposal. “(5) Federal Prison Industries shall publish in the manner specified in paragraph (4)(B) the final decision of the board with respect to the production of a new product or the significant expansion of the production of an existing product. “(6) Federal Prison Industries shall publish, after the end of each 6-month period, a list of sales by the corporation for that 6-month period. Such list shall be made available to all interested parties.”.