Small Business Federal Contracting Restoration Act of 1987

Small Business Federal Contracting Restoration Act of 1987 - Amends the Small Business Act to delete the existing requirement that set-aside programs be established in industry categories. Requires the program to be based on a fair proportion of government contracts related to the total awards within the Federal Procurement Data System.

Prohibits the award of a contract under such program if it would result in a cost to the awarding agency which exceeds a fair and reasonable price (currently, a fair market price).

Increases from $10,000 to $25,000 the value of procurement contracts for which Federal agencies must establish goals for participation by small businesses.

Requires a small business, in order to receive a contract under the set-aside program, to agree to make its best efforts to use its own personnel to perform at least 50 percent of the cost of any contract for services and 50 percent of the cost of manufacturing the supplies in a contract for the procurement of supplies. (Current law requires the business to satisfy such personnel-level goal.) Authorizes contracting officers to allow higher percentages of permissible subcontracting in individual contract solicitations.

Provides that the amendments to the small business procurement set-aside program included in the Defense Acquisition Improvement Act of 1986 shall apply to solicitations issued on or after October 1, 1987.

Repeals the requirement for the heads of Federal agencies to disclose the names and addresses of small businesses expected to respond to set-aside procurements.