[Congressional Bills 118th Congress]
[From the U.S. Government Publishing Office]
[S. 973 Introduced in Senate (IS)]
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118th CONGRESS
1st Session
S. 973
To prohibit Federal contractors from imposing racial hiring quotas,
benchmarks, or goals.
_______________________________________________________________________
IN THE SENATE OF THE UNITED STATES
March 23, 2023
Mr. Cotton (for himself, Mr. Scott of Florida, Mr. Hagerty, and Mr.
Hawley) introduced the following bill; which was read twice and
referred to the Committee on Homeland Security and Governmental Affairs
_______________________________________________________________________
A BILL
To prohibit Federal contractors from imposing racial hiring quotas,
benchmarks, or goals.
Be it enacted by the Senate and House of Representatives of the
United States of America in Congress assembled,
SECTION 1. SHORT TITLE.
This Act may be cited as the ``Protecting Equal Opportunity from
ESG Act''.
SEC. 2. PURPOSE.
Acknowledging that distinctions between citizens solely because of
their ancestry are, by their very nature, odious to a free people whose
institutions are founded upon the doctrine of equality, and recognizing
that existing regulations have failed to eradicate the use of racial
hiring quotas among Federal contractors, the purpose of this Act is to
require contracts with the Federal Government to include an equal
opportunity clause prohibiting racial hiring quotas, benchmarks, or
goals.
SEC. 3. DEFINITIONS.
For purposes of this Act:
(1) Contractor.--The term ``contractor''--
(A) means any person that is awarded a contract
with the Federal Government or a subcontract under such
a contract, including any subcontractor (at any tier)
of such person; and
(B) includes a person that--
(i) is a lessor or lessee; or
(ii) is an employer of a worker performing
work on a contract with the Federal Government
whose wages are calculated pursuant to a
special certificate issued under section 14(c)
of the Fair Labor Standards Act of 1938 (29
U.S.C. 214(c)).
(2) Employment practices.--The term ``employment
practices''--
(A) means all terms and conditions of employment
(including of any paid or unpaid fellowship or
internship), including all practices relating to the
screening, recruitment, referral, nomination,
selection, training, appointment, promotion, demotion,
and assignment of personnel; and
(B) includes advertising, hiring, assignments,
classification, discipline, layoff and termination,
upgrading, transfer, leave practices, rate of pay,
fringe benefits, or other forms of pay or credit for
services rendered and use of facilities.
(3) Executive agency.--The term ``executive agency'' has
the meaning given that term in section 133 of title 41, United
States Code.
(4) National interest.--The term ``national interest''--
(A) means a national security interest, economic
interest, or public health and welfare interest; and
(B) does not include any purported interest in--
(i) racial or social justice objectives,
affirmative action agendas, or any other race-
based considerations; or
(ii) promoting, enabling, or excusing any
policy, initiative, or practice of an employer
concerning--
(I) environmental, social, and
governance (commonly known as ``ESG'');
(II) diversity, equity, and
inclusion (commonly known as ``DEI'');
or
(III) corporate social
responsibility (commonly known as
``CSR'').
(5) Secretary.--The term ``Secretary'' means the Secretary
of Labor.
SEC. 4. PROHIBITION ON IMPOSING RACIAL HIRING QUOTAS.
(a) In General.--The head of each executive agency shall, except as
provided in subsection (b), ensure that each contract entered into by
the executive agency on or after the date of enactment of this Act
includes requirements that the contractor shall--
(1) certify that, during the 5-year period immediately
preceding the date on which the contract is entered into, the
contractor did not initiate, carry out, or enforce any system
of quotas, benchmarks, or goals in regard to employment
practices that encourage or require any discrimination on the
basis of race; and
(2) not, during the performance of the contract, initiate,
carry out, or enforce any system of quotas, benchmarks, or
goals in regard to employment practices which encourage or
require any discrimination on the basis of race.
(b) Exception for Lookback Requirement.--Notwithstanding subsection
(a), the Secretary may exempt the head of an executive agency from the
requirement to include the certification described in subsection (a)(1)
in a specific contract, subcontract, or purchase order if the Secretary
determines that special circumstances in the national interest so
require.
SEC. 5. REGULATIONS AND IMPLEMENTATION.
(a) Regulations Required.--
(1) Department of labor.--Not later than 90 days after the
date of enactment of this Act, the Secretary shall issue such
regulations as are necessary to implement this Act.
(2) Federal acquisition regulation.--Not later than 90 days
after the date on which the Secretary issues regulations under
paragraph (1), the Federal Acquisition Regulatory Council shall
amend the Federal Acquisition Regulation, consistent with such
regulations, to provide for inclusion in any Federal
procurement solicitation or contract the requirements under
section 4.
(b) Agency Implementation.--Not later than 90 days after the date
on which the Secretary issues any regulations under subsection (a)(1)
and except as provided in section 4(b), the head of each executive
agency shall ensure that any contract entered into by the executive
agency complies with the requirements set forth in section 4(a).
SEC. 6. ENFORCEMENT.
(a) In General.--The Secretary shall have the authority to
investigate potential violations of this Act and obtain compliance,
including as provided in subsection (b).
(b) Penalties for Noncompliance.--In the case of a contractor that
violates a contract requirement under section 4--
(1) the relevant executive agency may cancel, terminate, or
suspend (in whole or in part) the applicable contract; and
(2) the Secretary may initiate a debarment proceeding with
respect to the contractor.
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