PUBLIC LAW 106-65—OCT. 5, 1999 113 STAT. 707 "(2) A program participation term for any period of not more than three years, except that the term may be a period of up to five years if the Secretary of Defense determines in writing that unusual circumstances justify a program participation term in excess of three years.". (b) INCENTIVES AUTHORIZED FOR MENTOR FIRMS.— Subsection (g) of such section is amended— (1) in paragraph (1), by striking "shall" and inserting "may"; (2) in paragraph (2)— (A) in subparagraph (A)— (i) by striking "shall" and inserting "may"; (ii) by striking "subsection (f)" and all that follows through "(i) as a line item" and inserting "subsection (f) as provided for in a line item"; (iii) by striking the semicolon preceding clause (ii) and inserting ", except that this sentence does not apply in a case in which the Secretary of Defense determines in writing that unusual circumstances justify reimbursement using a separate contract."; and (iv) by striking clauses (ii), (iii), and (iv); and (B) by striking subparagraph (B) and inserting the following: "(B) The determinations made in annual performance reviews of a mentor firm's mentor-protege agreement under subsection (1)(2) shall be a major factor in the determinations of amounts of reimbursement, if any, that the mentor firm is eligible to receive in the remaining years of the program participation term under the agreement. "(C) The total amount reimbursed under this paragraph to a mentor firm for costs of assistance furnished in a fiscal year to a protege firm may not exceed $1,000,000, except in a case in which the Secretary of Defense determines in writing that unusual circumstances justify a reimbursement of a higher amount."; and (3) in paragraph (3)(A), by striking "either subparagraph (A) or (C) of paragraph (2) or are reimbursed pursuant to subparagraph (B) of such paragraph" and inserting "paragraph (2)". (c) THREE-YEAR EXTENSION OF AUTHORITY. —Subsection (j) of such section is amended to read as follows: " ( j) EXPIRATION OF AUTHORITY. —(1) No mentor-protege agreement may be entered into under subsection (e) after September 30, 2002. "(2) No reimbursement may be paid, and no credit toward the attainment of a subcontracting goal may be granted, under subsection (g) for any cost incurred after September 30, 2005.". (d) REPORTS AND REVIEWS.—(1) Subsection (1) of such section is amended to read as follows: "(1) REPORTS AND REVIEWS.—(1) The mentor firm and protege firm under a mentor-protege agreement shall submit to the Secretary of Defense an annual report on the progress made by the protege firm in employment, revenues, and participation in Department of Defense contracts during the fiscal year covered by the report. The requirement for submission of an annual report applies with respect to each fiscal year covered by the program participation term under the agreement and each of the two fiscal years following
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