article: SECTION. 1. SHORT TITLE; FINDINGS. (a) Short Title.--This Act may be cited as the ``Telecommunications Economic Opportunity Act of 1995''. (b) Findings.--The Congress finds the following: (1) It is in the public interest for business enterprises owned by minorities and women to participate in procurement contracts of all providers of telecommunications services. (2) The opportunity for full participation in our free enterprise system by business enterprises that are owned by minorities and women is essential if this Nation is to attain social and economic equality for those businesses and improve the functioning of the national economy. (3) It is in this Nation's interest to expeditiously improve the economically disadvantaged position of business enterprises that are owned by minorities and women. (4) The position of these businesses can be improved through the development by the providers of telecommunications services of substantial long-range and annual goals, which are supported by training and technical assistance, for the purchase, to the maximum practicable extent, of technology, equipment, supplies, services, material and construction from minority business enterprises. (5) Procurement policies which include participation of business enterprises that are owned by minorities and women also benefit the communication industry and its consumers by encouraging the expansion of the numbers of suppliers for procurement, thereby encouraging competition among suppliers and promoting economic efficiency in the process. SEC. 2. PURPOSE. The purposes of this Act are-- (1) to encourage and foster greater economic opportunity for business enterprises that are owned by minorities and women; (2) to promote competition among suppliers to providers of telecommunications services and their affiliates to enhance economic efficiency in the procurement of telephone corporation contracts and contracts of their State commission-regulated subsidiaries and affiliates; (3) to clarify and expand a program for the procurement by State and federally-regulated telephone companies of technology, equipment, supplies, services, materials and construction work from business enterprises that are owned by minorities and women; and (4) to ensure that a fair proportion of the total purchases, contracts, and subcontracts for supplies, commodities, technology, property, and services offered by the providers of telecommunications services and their affiliates are awarded to minority and women business enterprises. SEC. 3. ANNUAL PLAN SUBMISSION. (a) Annual Plans Required.-- (1) In general.--The Commission shall require each provider of telecommunications services to submit annually a detailed and verifiable plan for increasing its procurement from business enterprises that are owned by minorities or women in all categories of procurement in which minorities are under represented. (2) Contents of plans.--The annual plans required by paragraph (1) shall include (but not be limited to) short- and long-term progressive goals and timetables, technical assistance, and training and shall, in addition to goals for direct contracting opportunities, include methods for encouraging both prime contractors and grantees to engage business enterprises that are owned by minorities and women in subcontracts in all categories in which minorities are under represented. (3) Implementation report.--Each provider of telecommunications services shall furnish an annual report to the Commission regarding the implementation of programs established pursuant to this Act in such form as the Commission shall require, and at such time as the Commission shall annually designate. (4) Report to congress.--The Commission shall provide an annual report to Congress, beginning in January 1996, on the progress of activities undertaken by each provider of telecommunications services regarding the implementation of activities pursuant to this Act to develop business enterprises that are owned by minorities or women. The report shall evaluate the accomplishments under this Act and shall recommend a program for enhancing the policy declared in this Act, together with such recommendations for legislation as it deems necessary or desirable to further that policy. (b) Regulations and Criteria for Determining Eligibility of Minority Business Enterprises for Procurement Contracts.-- (1) In general.--The Commission shall establish regulations for implementing programs pursuant to this Act that will govern providers of telecommunications services and their affiliates. (2) Verifying criteria.--The Commission shall develop and publish regulations setting forth criteria for verifying and determining the eligibility of business enterprises that are owned by minorities or women for procurement contracts. (3) Outreach.--The Commission's regulations shall require each provider of telecommunications services and its affiliates to develop and to implement an outreach program to inform and recruit business enterprises that are owned by minorities or women to apply for procurement contracts under this Act. (4) Enforcement.--The Commission shall establish and promulgate such regulations necessary to enforce the provisions of this Act. (c) Waiver Authority.--The requirements of this section may be waived, in whole or in part, by the Commission with respect to a particular contract or subcontract in accordance with guidelines set forth in regulations which the Commission shall prescribe when it determines that the application of such regulations prove to result in undue hardship or unreasonable expense to a provider of telecommunications services. SEC. 4. SANCTIONS AND REMEDIES. (a) False Representation of Businesses; Sanctions.-- (1) In general.--Any person or corporation, through its directors, officers, or agent, which falsely represents the business as a business enterprise that is owned by minorities or women in the procurement or attempt to procure contracts from telephone operating companies and their affiliates pursuant to this article, shall be punished by a fine of not more than $5,000, or by imprisonment for a period not to exceed 5 years of its directors, officers, or agents responsible for the false statements, or by both fine and imprisonment. (2) Holding companies.--Any provider of telecommunications services which falsely represents its annual report to the Commission or its implementation of its programs pursuant to this section shall be subject to a fine of $100,000 and be subject to a penalty of up to 5 years restriction from participation in lines of business activities provided for in this Act. (b) Independent Cause of Action, Remedies, and Attorney Fees.-- (1) Discrimination prohibited.--No otherwise qualified business enterprise that is owned by minorities or women shall solely, by reason of its racial, ethnic, or gender composition be excluded from the participation in, be denied the benefits of, or be subjected to discrimination in procuring contracts from telephone utilities. (2) Civil actions authorized.--Whenever a qualified business enterprise that is owned by minorities or women has reasonable cause to believe that a provider of telecommunications services or its affiliate is engaged in a pattern or practice of resistance to the full compliance of any provision of this Act, the business enterprise may bring a civil action in the appropriate district court of the United States against the provider of telecommunications services or its affiliate requesting such monetary or injunctive relief, or both, as deemed necessary to ensure the full benefits of this Act. (3) Attorneys' fees and costs.--In any action or proceeding to enforce or charge of a violation of a provision of this Act, the court, in its discretion, may allow the prevailing party reasonable attorneys' fees and costs. SEC. 5. DEFINITIONS. For the purpose of this Act, the following definitions apply: (1) The term ``business enterprise owned by minorities or women'' means-- (A) a business enterprise that is at least 51 percent owned by a person or persons who are minority persons or women; or (B) in the case of any publicly owned business, at least 51 percent of the stock of which is owned by one or more persons who are minority persons or women, and whose management and daily business operations are controlled by one or more of those persons. (2) The term ``minority person'' means persons who are Black Americans, Hispanic Americans, Native Americans, Asian Americans, and Pacific Americans. (3) The term ``control'' means exercising the power to make financial and policy decisions. (4) The term ``operate'' means the active involvement in the day-to-day management of the business and not merely being officers or directors. (5) The term ``Commission'' means the Federal Communications Commission. (6) The term ``telecommunications service'' means the offering, on a common carrier basis, of telecommunications facilities, or of telecommunications by means of such facilities. Such term does not include an information service.
summary: Telecommunications Economic Opportunity Act of 1995 - Directs the Federal Communications Commission (FCC) to require each provider of telecommunications services (provider) to submit annually a detailed and verifiable plan for increasing its procurement from businesses that are owned by minorities and women in all categories of procurement in which minorities are underrepresented. Requires each provider to report annually to the FCC regarding implementation of programs established under this Act. Directs the FCC to report annually to the Congress on the progress of activities undertaken by each provider. Directs the FCC to establish regulations for: (1) implementing programs under this Act; and (2) verifying and determining the eligibility of businesses owned by minorities and women. Requires each provider and its affiliates to develop and implement an outreach program to inform and recruit eligible businesses to apply for procurement contracts under this Act. Allows for the waiver of such requirements when their application to a provider results in undue hardship or unreasonable expense. Provides sanctions and remedies in the case of: (1) a business that falsely represents itself as a business owned by minorities or women; or (2) a provider which makes false representations in its annual report to the FCC or in its implementation of programs under this Act. Prohibits discrimination against eligible businesses attempting to procure contracts from telephone utilities. Authorizes civil actions by eligible businesses to enforce the provisions of this Act.