Small Business Act

Appendix B-1
Relevant Small Business Act Sections

This includes PL 112-239, enacted 1/3/13.
Sec. 10

Reports. 15 USC 639.

Sec. 22

Office of International Trade. 15 USC 649.

Sec. 29

Women’s business center program. 15 USC 656.

Relevant Small Business Act Sections

§ l0. (a)
The Administration shall, as soon as practicable each fiscal year make a
comprehensive annual report to the President, the President of the Senate, the Senate Select
Committee on Small Business, and the Speaker of the House of Representatives. Such report
shall include a description of the state of small business in the Nation and the several States, and
a description of the operations of the Administration under this chapter, including, but not
limited to, the general lending, disaster relief, Government regulation relief, procurement and
property disposal, research and development, technical assistance, dissemination of data and
information, and other functions under the jurisdiction of the Administration during the previous
fiscal year. Such report shall contain recommendations for strengthening or improving such
programs, or, when necessary or desirable to implement more effectively congressional policies
and proposals, for establishing new or alternative programs. In addition, such report shall
include the names of the business concerns to whom contracts are let and for whom financing is
arranged by the Administration, together with the amounts involved. With respect to minority
small business concerns, the report shall include the proportion of loans and other assistance
under this Act provided to such concerns, the goals of the Administration for the next fiscal year
with respect to such concerns, and recommendations for improving assistance to minority small
business concerns under this Act.
(b)
The Administration shall make a report to the President, the President of the
Senate, and the Speaker of the House of Representatives, to the Senate Select Committee on
Small Business, and to the Committee on Small Business of the House of Representatives, as
soon as practicable each fiscal year, showing as accurately as possible for each such period the
amount of funds appropriated to it that it has expended in the conduct of each of its principal
activities such as lending, procurement, contracting, and providing technical and
managerial aids. Such report shall contain the number and amount of loans, the number of
applications, the total amount applied for, and the number and amount of defaults for each type
of equipment or service for which loans are authorized by this Act. Such report shall provide
such information separately on each type of loan made under paragraphs (10) through (15) of
section 7(a) and separately for all other loan programs. In addition, the information on loans
shall be supplied on a monthly basis to the Committee on Small Business of the Senate and the
Committee on Small Business of the House of Representatives.
(c)

[Repealed].

(d)
For the purpose of aiding in carrying out the national policy to insure that a fair
proportion of the total purchases and contracts for property and services for the Government be
placed with small-business enterprises, and to maintain and strengthen the overall economy of
the Nation, the Department of Defense shall make an annual report to the Committees on Small
Business of the Senate and the House of Representatives showing the amount of funds
appropriated to the Department of Defense which have been expended, obligated, or contracted
to be spent with small business concerns and the amount of such funds expended, obligated, or
contracted to be spent with firms other than small business in the same fields of operation; and

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Relevant Small Business Act Sections

such reports shall show separately the funds expended, obligated, or contracted to be spent for
basic and applied scientific research and development.
(e)
The Administration and the Inspector General of the Administration shall retain
all correspondence, records of inquiries, memoranda, reports, books, and records, including
memoranda as to all investigations conducted by or for the Administration, for a period of at
least one year from the date of each thereof, and shall at all times keep the same available for
inspection and examination by the Senate Select Committee on Small Business and the
Committee on Small Business of the House of Representatives, or their duly authorized
representatives.
(2)
The Committee on Small Business of either the Senate or the House of
Representatives may request that the Office of the Inspector General of the Administration
conduct an investigation of any program or activity conducted under the authority of section 7(j)
or 8(a). Not later than thirty days after the receipt of such a request, the Inspector General shall
inform the committee, in writing, of the disposition of the request by such office.
(f)
To the extent deemed necessary by the Administrator to protect and preserve
small-business interests, the Administration shall consult and cooperate with other departments
and agencies of the Federal Government in the formulation by the Administration of policies
affecting small-business concerns. When requested by the Administrator, each department and
agency of the Federal Government shall consult and cooperate with the Administration in the
formulation by the Administration of policies affecting small-business concerns. When
requested by the Administrator, each department and agency of the Federal Government shall
consult and cooperate with the Administration in the formulation by such department or agency
of policies affecting small- business concerns, in order to insure that small-business interests will
be recognized, protected, and preserved. This subsection shall not require any department or
agency to consult or cooperate with the Administration in any case where the head of such
department or agency determines that such consultation or cooperation would unduly delay
action which must be taken by such department or agency to protect the national interest in an
emergency.
(g)
The Administration shall transmit, not later than December 3l of each year, to the
Senate Select Committee on Small Business and Committee on Small Business of the House of
Representatives a sealed report with respect to—
(l)
complaints alleging illegal conduct by employees of the Administration
which were received or acted upon by the Administration during the preceding fiscal year; and
(2)
investigations undertaken by the Administration, including external and
internal audits and security and investigation reports.
(h)
The Administration shall transmit, not later than March 31 of each year, to the
Committees on Small Business of the Senate and House of Representatives a report on the
secondary market operations during the preceding calendar year. This report shall include, but
not be limited to, (1) the number and the total dollar amount of loans sold into the secondary

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Relevant Small Business Act Sections

market and the distribution of such loans by size of loan, size of lender, geographic location of
lender, interest rate, maturity, lender servicing fees, whether the rate is fixed or variable, and
premium paid; (2) the number and dollar amount of loans resold in the secondary market with a
distribution by size of loan, interest rate, and premiums; (3) the number and total dollar amount
of pools formed; (4) the number and total dollar amount of loans in each pool; (5) the dollar
amount, interest rate, and terms on each loan in each pool and whether the rate is fixed or
variable; (6) the number, face value, interest rate, and terms of the trust certificates issued for
each pool; (7) to the maximum extent possible, the use by the lender of the proceeds of sales of
loans in the secondary market for additional lending to small business concerns; and (8) an
analysis of the information reported in (1) through (7) to assess small businesses' access to
capital at reasonable rates and terms as a result of secondary market operations.

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Relevant Small Business Act Sections

§ 22. OFFICE OF INTERNATIONAL TRADE.
(a)

ESTABLISHMENT.—
(1)

There is established within the Administration an Office of International

Trade which shall implement the programs pursuant to this section for the primary purposes of
increasing—
(A)

the number of small business concerns that export; and

(B)

the volume of exports by small business concerns.

(2)
ASSOCIATE ADMINISTRATOR.—the head of the Office shall be the
Associate Administrator for International Trade, who shall be responsible to the Administrator.
(b)
TRADE DISTRIBUTION NETWORK.—The Associate Administrator, working
in close cooperation with the Secretary of Commerce, the United States Trade Representative,
the Secretary of Agriculture, the Secretary of State, the President of the Export-Import Bank of
the United States, the President of the Overseas Private Investment Corporation, Director of the
United States Trade and Development Agency, and other relevant Federal agencies, small
business development centers engaged in export promotion efforts, Export Assistance centers,
regional and district offices of the Administration, the small business community, and relevant
State and local export promotion programs, shall—

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(1)
maintain a distribution network, using regional and district offices of the
Administration, the small business development center network, networks of women’s business
centers, the Service Corps of Retired Executives authorized by section 8(b)(1), and Export
Assistance Centers, for programs relating to—
(A)

trade promotion;

(B)

trade finance;

(C)

trade adjustment assistance;

(D)

trade remedy assistance; and

(E)

trade data collection;

(2)
aggressively market the programs described in paragraph (1) and
disseminate information, including computerized marketing data, to small business concerns on
exporting trends, market-specific growth, industry trends, and international prospects for exports;
(3)
promote export assistance programs through the district and regional
offices of the Administration, the small business development center network, Export Assistance
Centers, the network of women’s business centers, chapters of the Service Corps of Retired
Executives, State and local export promotion programs, and partners in the private sector; and
(4)
give preference in hiring or approving the transfer of any employee into
the Office or to a position described in subsection (c)(9) to otherwise qualified applicants who
are fluent in a language in addition to English, to—
(A)

accompany small business concerns on foreign trade missions; and

(B)
translate documents, interpret conversations, and facilitate
multilingual transactions, including by providing referral lists for translation services, if required.
(c)
PROMOTION OF SALES OPPORTUNITIES.—The Associate Administrator
shall promote sales opportunities for small business goods and services abroad. To accomplish
this objective the office shall—
(1)

establish annual goals for the Office relating to—
(A)

enhancing the exporting capability of small business concerns and

(B)

facilitating technology transfers;

small manufacturers;

(C)
enhancing programs and services to assist small business concerns
and small manufacturers to compete effectively and efficiently in foreign markets;

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(D)

increasing the ability of small business concerns to access capital;

and
(E)
programs and initiatives;

disseminating information concerning Federal, State, and private

(2)
in cooperation with the Department of Commerce, other relevant agencies,
regional and local Administration offices, the Small Business Development Center network, and
State programs, develop a mechanism for—
(A)
strong export potential;

identifying sub-sectors of the small business community with

(B)

identifying areas of demand in foreign markets;

(C)

prescreening foreign buyers for commercial and credit purposes;

and
(D)
assisting in increasing international marketing by disseminating
relevant information regarding market leads, linking potential sellers and buyers, and catalyzing
the formation of joint ventures, where appropriate;
(3)
in cooperation with the Department of Commerce, actively assist small
businesses in forming and using export trading companies, export management companies and
research and development pools authorized under section 9 of this Act;
(4)
work in conjunction with other Federal agencies, regional and district
offices of the Administration, the small business development center network, and the private
sector to identify and publicize translation services, including those available through colleges
and universities participating in the small business development center program;
(5)
work closely with the Department of Commerce and other relevant
Federal agencies to—
(A)
collect, analyze and periodically update relevant data regarding the
small business share of United States exports and the nature of State exports (including the
production of Gross State Product figures) and disseminate that data to the public and to
Congress;
(B)
make recommendations to the Secretary of Commerce and to
Congress regarding revision of the North American Industry Classification System codes to
encompass industries currently overlooked and to create North American Industry Classification
System codes for export trading companies and export management companies;

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(C)
improve the utility and accessibility of existing export promotion
programs for small business concerns; and
(D)

increase the accessibility of the Export Trading Company contact

facilitation service;
(6)
make available to the small business community information regarding
conferences on exporting and international trade sponsored by the public and private sector;
(7)
provide small business concerns with access to up to date and complete
export information by—
(A)
making available, at the regional and district offices of the
Administration through cooperation with the Department of Commerce, export information,
including, but not limited to, the worldwide information and trade system and world trade data
reports;
(B)

maintaining a list of financial institutions that finance export

operations;
(C)
maintaining a directory of all Federal, regional, State and private
sector programs that provide export information and assistance to small business concerns; and
(D)
preparing and publishing such reports as it determines to be
necessary concerning market conditions, sources of financing, export promotion programs, and
other information pertaining to the needs of small business exporting firms so as to insure that
the maximum information is made available to small businesses in a readily usable form;
(8)
encourage through cooperation with the Department of Commerce, greater
small business participation in trade fairs, shows, missions, and other domestic and overseas
export development activities of the Department of Commerce;
(9)
facilitate decentralized delivery of export information and assistance to
small business concerns by assigning primary responsibility for export development to one
individual in each district office and providing each Administration regional office with a fulltime export development specialist, who shall—
(A)
assist small business concerns in obtaining export information and
assistance from other Federal departments and agencies;
(B)
maintain a directory of all programs which provide export
information and assistance to small business concerns in the region;
(C)

encourage financial institutions to develop and expand programs

for export financing;

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(D)
provide advice to personnel of the Administration involved in
making loans, loan guarantees, and extensions and revolving lines of credit, and providing other
forms of assistance to small business concerns engaged in exports;
(E)
within one hundred and eighty days of their appointment,
participate in training programs designed by the Administrator, in conjunction with the
Department of Commerce and other Federal departments and agencies, to study export programs
and to examine the needs of small business concerns for export information and assistance;
(F)
participate, jointly with employees of the Office, in an annual
training program that focuses on current small business needs for exporting; and
(G)
develop and conduct training programs for exporters and lenders,
in cooperation with the Export Assistance Centers, the Department of Commerce, the
Department of Agriculture, small business development centers, women’s business centers, the
Export-Import Bank of the United States, the Overseas Private Investment Corporation, and
other relevant Federal agencies;
(10) make available on the website of the Administration the name and contact
information of each individual described in paragraph (9);
(11) carry out a nationwide marketing effort using technology, online
resources, training, and other strategies to promote exporting as a business development
opportunity for small business concerns;
(12) disseminate information to the small business community through regional
and district offices of the Administration, the small business development center network, Export
Assistance Centers, the network of women’s business centers, chapters of the Service Corps of
Retired Executives authorized by section 8(b)(1), State and local export promotion programs,
and partners in the private sector regarding exporting trends, market-specific growth, industry
trends, and prospects for exporting; and
(13) establish and carry out training programs for the staff of the regional and
district offices of the Administration and resource partners of the administration on export
promotion and providing assistance relating to exports.
(d)

EXPORT FINANCING PROGRAMS.—

(1)
IN GENERAL.—The Associate Administrator shall work in cooperation
with the Export-Import Bank of the United States, the Department of Commerce, other relevant
Federal agencies, and the States to develop a program through which export specialists in the
regional offices of the Administration, regional and local loan officers, and Small Business
Development Center personnel can facilitate the access of small businesses to relevant export
financing programs of the Export-Import Bank of the United States and to export and pre-export
financing programs available from the Administration and the private sector.

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(2)
TRADE FINANCE SPECIALIST.—To accomplish the goal established
under paragraph (1), the Associate Administrator shall—
(A)
designate at least 1 individual within the Administration as a trade
finance specialist to oversee international loan programs and assist Administration employees
with trade finance issues; and
(B)
work in cooperation with the Export-Import Bank and the small
business community, including small business trade associations, to—
(i)
aggressively market existing Administration export
financing and pre-export financing programs;
(ii)
identify financing available under various Export-Import
Bank programs, and aggressively market those programs to small businesses;
(iii)
assist in the development of financial intermediaries and
facilitate the access of those intermediaries to existing financing programs;
(iv)
promote greater participation by private financial
institutions, particularly those institutions already participating in loan programs under this Act,
in export finance; and
(v)
provide for the participation of appropriate Administration
personnel in training programs conducted by the Export-Import Bank.
(e)

TRADE REMEDIES.—The Associate Administrator shall—

(1)
work in cooperation with other Federal agencies and the private sector to
counsel small businesses with respect to initiating and participating in any proceedings relating
to the administration of the United States trade laws; and
(2)
work with the Department of Commerce, the Office of the United States
Trade Representative, and the International Trade Commission to increase access to trade
remedy proceedings for small businesses.
(f)
REPORTING REQUIREMENT.—the Associate Administrator shall submit an
annual report to the Committee on Small Business and Entrepreneurship of the Senate and the
Committee on Small Business of the House of Representatives that contains—
(1)
a description of the progress of the Office in implementing the
requirements of this section;
(2)
a detailed account of the results of export growth activities of the
Administration, including the activities of each district and regional office of the Administration,
based on the performance measures described in subsection (i);

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(3)
an estimate of the total number of jobs created or retained as a result of
export assistance provided by the Administration and resource partners of the Administration;
(4)
for any travel by the staff of the Office, the destination of such travel and
the benefits to the Administration and to small business concerns resulting from such travel; and
(5)

a description of the participation by the Office in trade negotiations.

(g)
STUDIES.—The Associate Administrator, in cooperation, where appropriate,
with the Division of Economic Research of the Office of Advocacy, and with other Federal
agencies, shall undertake studies regarding the following issues and shall report to the
Committees on Small Business of the House of Representatives and the Senate, and to other
relevant Committees of the House and Senate within 6 months after the date of enactment of the
Small Business International Trade and Competitiveness Act with specific recommendations
on—
(1)
the viability and cost of establishing an annual, competitive small business
export incentive program similar to the Small Business Innovation Research program and
alternative methods of structuring such a program;
(2)
methods of streamlining trade remedy proceedings to increase access for,
and reduce expenses incurred by, smaller firms;
(3)
methods of improving the current small business foreign sales corporation
tax incentives and providing small businesses with greater benefits from this initiative;
(4)
methods of identifying potential export markets for United States small
businesses; maintaining and disseminating current foreign market data; and devising a
comprehensive export marketing strategy for United States small business goods and services,
and shall include data on the volume and dollar amount of goods and services, identified by type,
imported by United States trading partners over the past 10 years; and
(5)
the results of a survey of major United States trading partners to identify
the domestic policies, programs and incentives, and the private sector initiatives, which exist to
encourage the formation and growth of small business.
(h)
DISCHARGE OF INTERNATIONAL TRADE RESPONSIBILITIES OF
ADMINISTRATION.—The Administrator shall ensure that—
(1)
the responsibilities of the Administration regarding international trade are
carried out by the Associate Administrator;
(2)
the Associate Administrator has sufficient resources to carry out such
responsibilities; and

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(3)

the Associate Administrator has direct supervision and control over—
(A)

the staff of the Office; and

(B)
any employee of the Administration whose principal duty station is
an Export Assistance Center, or any successor entity.
(i)

EXPORT AND TRADE COUNSELING.—
(1)

DEFINITION.—In this subsection—

(A)
the term “lead small business development center” means a small
business development center that has received a grant from the Administration; and
(B)
the term “lead women’s business center” means a women’s
business center that has received a grant from the Administration.
(2)
CERTIFICATION PROGRAM.—The Administrator shall establish an
export and trade counseling certification program to certify employees of lead small business
development centers and lead women’s business centers in providing export assistance to small
business concerns.
(3)
NUMBER OF CERTIFIED EMPLOYEES.—the Administrator shall
ensure that the number of employees of each lead small business development center who are
certified in providing export assistance is not less than the lesser of—
(A)

5; or

(B)
10 percent of the total number of employees of the lead small
business development center.
(4)

REIMBURSEMENT FOR CERTIFICATION.—

(A)
IN GENERAL.—Subject to the availability of appropriations, the
Administrator shall reimburse a lead small business development center or a lead women’s
business center for costs relating to the certification of an employee of the lead small business
center [sic; should probably read “lead small business development center”] or lead women’s business
center in providing export assistance under the program established under paragraph (2).
(B)
LIMITATION.—The total amount reimbursed by the
Administrator under subparagraph (A) may not exceed $350,000 in any fiscal year.
(j)

PERFORMANCE MEASURES.—

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(1)
IN GENERAL.—The Associate Administrator shall develop performance
measures for the Administration to support export growth goals for the activities of the Office
under this section that include—
(A)

the number of small business concerns that—
(i)

receive assistance from the Administration;

(ii)
had not exported goods or services before receiving the
assistance described in clause (i); and
(iii)

export goods or services;

(B)
the number of small business concerns receiving assistance from
the Administration that export goods or services to a market outside the United States into which
the small business concern did not export before receiving the assistance;
(C)

export revenues by small business concerns assisted by programs

of the Administration;
(D)
the number of small business concerns referred to an Export
Assistance Center or a small business development center by the staff of the Office;
(E)
the number of small business concerns referred to the
Administration by an Export Assistance Center or a small business development center; and
(F)
the number of small business concerns referred to the Department
of Commerce, the Department of Agriculture, the Department of State, the Export-Import Bank
of the United States, the Overseas Private Investment Corporation, or the United States Trade
and Development Agency by the staff of the Office, an Export Assistance Center, or a small
business development center.
(2)
JOINT PERFORMANCE MEASURES.—The Associate Administrator
shall develop joint performance measures for the district offices of the Administration and the
Export Assistance centers that include the number of export loans made under—
(A)

section 7(a)(16);

(B)

the Export Working Capital Program established under section

(C)

the Preferred Lenders Program, as defined in section 7(a)(2)(C)(ii);

(D)

the export express program established under section 7(a)(34).

7(a)(14);

and

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(3)
CONSISTENCY OF TRACKING.—The Associate Administrator, in
coordination with the departments and agencies that are represented on the Trade Promotion
Coordinating Committee established under section 2312 of the Export Enhancement Act of 1988
(15 U.S.C. 4727) and the small business development center network, shall develop a system to
track exports by small business concerns, including information relating to the performance
measures developed under paragraph (1), that is consistent with systems used by the departments
and agencies and the network.
(k)

EXPORT ASSISTANCE CENTERS.—
(1)

EXPORT FINANCE SPECIALISTS.—

(A)
MINIMUM NUMBER OF EXPORT FINANCE
SPECIALISTS.—On and after the date that is 90 days after the date of enactment of this
subsection, the Administrator, in coordination with the Secretary of Commerce, shall ensure that
the number of export finance specialists is not less than the number of such employees so
assigned on January 1, 2003.
(B)
EXPORT FINANCE SPECIALISTS ASSIGNED TO EACH
REGION OF THE ADMINISTRATION.—On and after the date that is 2 years after the date of
enactment of this subsection, the Administrator, in coordination with the Secretary of
Commerce, shall ensure that there are not fewer than 3 export finance specialists in each region
of the Administration.
(2)

PLACEMENT OF EXPORT FINANCE SPECIALISTS.—

(A)
PRIORITY.—The Administrator shall give priority, to the
maximum extent practicable, to placing employees of the Administration at any Export
Assistance Center that—
(i)
had an Administration employee assigned to the Export
Assistance Center before January 2003; and
(ii)
has not had an Administration employee assigned to the
Export Assistance Center during the period beginning January 2003, and ending on the date of
enactment of this subsection, either through retirement or reassignment.
(B)
NEEDS OF EXPORTERS.—The Administrator shall, to the
maximum extent practicable, strategically assign Administration employees to Export Assistance
Centers, based on the needs of exporters.
(C)
RULE OF CONSTRUCTION.—Nothing in this subsection may be
construed to require the Administrator to reassign or remove an export finance specialist who is
assigned to an Export Assistance Center on the date of enactment of this subsection.

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(3)
GOALS.—The Associate Administrator shall work with the Department
of Commerce, the Export-Import Bank of the United States, and the Overseas Private Investment
Corporation to establish shared annual goals for the Export Assistance Centers.
(4)
OVERSIGHT.—The Associate Administrator shall designate an
individual within the Administration to oversee all activities conducted by Administration
employees assigned to Export Assistance Centers.
(l)

DEFINITION.—In this section—

(1)
the term “Associate Administrator” means the Associate Administrator for
International Trade described in subsection (a)(2);
(2)
the term “Export Assistance Center” means a one-stop shop for United
States exporters established by the United States and Foreign Commercial Service of the
Department of Commerce pursuant to section 2301(b)(8) of the Omnibus Trade and
Competitiveness Act of 1988 (15 U.S.C. 4721(b)(8));
(3)
the term “export finance specialist” means a full-time equivalent employee
of the Office assigned to an Export Assistance Center to carry out the duties described in
subsection (e); and
(4)
the term “Office” means the Office of International Trade established
under subsection (a)(1).

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§ 29. WOMEN’S BUSINESS CENTER PROGRAM.
(a)

DEFINITIONS - In this section—

(1)
the term “Assistant Administrator” means the Assistant Administrator of
the Office of Women’s Business Ownership established under subsection (g);
(2)
the term “private nonprofit organization” means an entity that is described
in section 501(c) of the Internal Revenue Code of 1986 and exempt from taxation under section
501(a) of such Code;
(3)
the term “small business concern owned and controlled by women,” either
startup or existing, includes any small business concern—
(A)

that is not less than 51 percent owned by 1 or more women; and

(B)
the management and daily business operations of which are
controlled by 1 or more women; and
(4)

the term “women’s business center site” means the location of—
(A)

a women’s business center; or

(B)
1 or more women’s business centers, established in conjunction
with another women’s business center in another location within a State or region—
(i)

that reach a distinct population that would otherwise not be

(ii)

whose services are targeted to women; and

served;

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(iii)
whose scope, function, and activities are similar to those of
the primary women’s business center or centers in conjunction with which it was established.
(b)
AUTHORITY.—The Administration may provide financial assistance to private
nonprofit organizations to conduct 5-year projects for the benefit of small business concerns
owned and controlled by women. The projects shall provide—
(1)
financial assistance, including training and counseling in how to apply for
and secure business credit and investment capital, preparing and presenting financial statements,
and managing cash flow and other financial operations of a business concern;
(2)
management assistance, including training and counseling in how to plan,
organize, staff, direct, and control each major activity and function of a small business concern;
and
(3)
marketing assistance, including training and counseling in identifying and
segmenting domestic and international market opportunities, preparing and executing marketing
Plans, developing pricing strategies, locating contract opportunities, negotiating contracts, and
utilizing varying public relations and advertising techniques.
(c)

CONDITIONS OF PARTICIPATION—

(1)
NON-FEDERAL CONTRIBUTIONS.—As a condition of receiving
financial assistance authorized by this section, the recipient organization shall agree to obtain,
after its application has been approved and notice of award has been issue, cash contributions
from non-Federal sources as follows:
(A)

in the first and second years, 1 non-Federal dollar for each 2

(B)

in the third, fourth, and fifth years, 1 non-Federal dollar for each

Federal dollars; and

Federal dollar.
(2)
FORM OF NON-FEDERAL CONTRIBUTIONS.—Not more than onehalf of the non-Federal sector matching assistance may be in the form of in-kind contributions
that are budget line items only, including office equipment and office space.
(3)
FORM OF FEDERAL CONTRIBUTIONS.—The financial assistance
authorized pursuant to this section may be made by grant, contract, or cooperative agreement and
may contain such provision, as necessary, to provide for payments in lump sum or installments,
and in advance or by way of reimbursement. The Administration may disburse up to 25 percent
of each year’s Federal share awarded to a recipient organization after notice of the award has
been issued and before the non-Federal sector matching funds are obtained.

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(4)
FAILURE TO OBTAIN NON-FEDERAL FUNDING.—If any recipient
of assistance fails to obtain the required non-Federal contribution during any project, it shall not
be eligible thereafter for advance disbursements pursuant to paragraph (3) during the remainder
of that project, or for any other project for which it is or may be funded by the Administration,
and prior to approving assistance to such organization for any other projects, the Administration
shall specifically determine whether the Administration believes that the recipient will be able to
obtain the requisite non-Federal funding and enter a written finding setting forth the reasons for
making such determination.
(5)
WAIVER ON NON-FEDERAL SHARE RELATING TO TECHNICAL
ASSISTANCE AND COUNSELING.—
(A)
IN GENERAL.—Upon request by a recipient organization, and in
accordance with this paragraph, the Administrator may waive, in whole or in part, the
requirement to obtain non-Federal funds under this subsection for the technical assistance and
counseling activities of the recipient organization carried out using financial assistance under this
section for a fiscal year. The Administrator may waive the requirement to obtain non-Federal
funds under this paragraph for successive fiscal years.
(B)
CONSIDERATIONS.—In determining whether to waive the
requirement to obtain non-Federal funds under this paragraph, the Administrator shall consider—
(i)

the economic conditions affecting the recipient

organization;
(ii)
the impact a waiver under this clause would have on the
credibility of the women’s business center program under this section;
(iii)

the demonstrated ability of the recipient organization to

(iv)

the performance of the recipient organization.

raise non-Federal funds; and

(C)

LIMITATIONS.—

(i)
IN GENERAL.—The Administrator may not waive the
requirement to obtain non-Federal funds under this paragraph if granting the waiver would
undermine the credibility of the women’s business center program under this section.
(ii)
SUNSET.—The Administrator may not waive the
requirement to obtain non-Federal funds under this paragraph for fiscal year 2013 or any fiscal
year thereafter.
(d)
CONTRACT AUTHORITY.—A women’s business center may enter into a
contract with a Federal department or agency to provide specific assistance to women and other
underserved small business concerns. Performance of such contract should not hinder the

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women's business centers in carrying out the terms of the grant received by the women's business
centers from the Administration.
(e)
SUBMISSION OF 5-YEAR PLAN.—Each applicant organization initially shall
submit a 5-year Plan to the Administration on proposed fundraising and training activities, and a
recipient organization may receive financial assistance under this program for a maximum of 5
years per women's business center site.
(f)
CRITERIA.—The Administration shall evaluate and rank applicants in
accordance with predetermined selection criteria that shall be stated in terms of relative
importance. Such criteria and their relative importance shall be made publicly available and
stated in each solicitation for applications made by the Administration. The criteria shall
include—
(1)
the experience of the applicant in conducting programs or ongoing efforts
designed to impart or upgrade the business skills of women business owners or potential owners;
(2)
the present ability of the applicant to commence a project within a
minimum amount of time;
(3)
the ability of the applicant to provide training and services to a
representative number of women who are both socially and economically disadvantaged; and
(4)

the location for the women's business center site proposed by the

applicant.
(g)

OFFICE OF WOMEN’S BUSINESS OWNERSHIP—

(1)
ESTABLISHMENT.—There is established within the Administration an
Office of Women’s Business Ownership, which shall be responsible for the administration of the
Administration’s programs for the development of women's business enterprises (as defined in
section 408 of the Women’s Business Ownership Act of 1988 (15 U.S.C. 631 note)). The Office
of Women’s Business Ownership shall be administered by an Assistant Administrator, who shall
be appointed by the Administrator.
(2)
ASSISTANT ADMINISTRATOR OF THE OFFICE OF WOMEN’S
BUSINESS OWNERSHIP—
(A)
QUALIFICATIONS.—The position of Assistant Administrator
shall be a Senior Executive Service position under section 3132(a)(2) of title 5, United States
Code. The Assistant Administrator shall serve as a noncareer appointee (as defined in section
3132(a)(7) of that title).
(B)

RESPONSIBILITIES AND DUTIES—

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(i)
RESPONSIBILITIES.—The responsibilities of the
Assistant Administrator shall be to administer the programs and services of the Office of
Women’s Business Ownership established to assist women entrepreneurs in the areas of—

(ii)

(I)

starting and operating a small business;

(II)

development of management and technical skills;

(III)

seeking Federal procurement opportunities; and

(IV)

increasing the opportunity for access to capital.

DUTIES.—The Assistant Administrator shall—
(I)

administer and manage the Women's Business

Center program;
(II)
recommend the annual administrative and program
budgets for the Office of Women’s Business Ownership (including the budget for the Women's
Business Center program);
(III)

establish appropriate funding levels therefore;

(IV) review the annual budgets submitted by each
applicant for the Women's Business Center program;
(V)

select applicants to participate in the program under

(VI)

implement this section;

this section

(VII) maintain a clearinghouse to provide for the
dissemination and exchange of information between women's business centers;
(VIII) serve as the vice chairperson of the Interagency
Committee on Women’s Business Enterprise;
(IX)

serve as liaison for the National Women’s Business

(X)

advise the Administrator on appointments to the

Council; and
Women’s Business Council.
(C)
CONSULTATION REQUIREMENTS - In carrying out the
responsibilities and duties described in this paragraph, the Assistant Administrator shall confer

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with and seek the advice of the Administration officials in areas served by the women's business
centers.
(h)

PROGRAM EXAMINATION.—
(1)

IN GENERAL.—The Administration shall—

(A)
develop and implement an annual programmatic and financial
examination of each women’s business center established pursuant to this section, pursuant to
which each such center shall provide to the Administration—
(i)
an itemized cost breakdown of actual expenditures for costs
incurred during the preceding year; and
(ii)
documentation regarding the amount of matching
assistance from non-Federal sources obtained and expended by the center during the preceding
year in order to meet the requirements of subsection (c) and, with respect to any in-kind
contributions described in subsection (c)(2) that were used to satisfy the requirements of
subsection (c), verification of the existence and valuation of those contributions; and
(B)
analyze the results of each such examination and, based on that
analysis, make a determination regarding the programmatic and financial viability of each
women’s business center.
(2)
CONDITIONS FOR CONTINUED FUNDING.—In determining whether
to award a contract (as a sustainability grant) under subsection (l) or to renew a contract (either
as a grant or cooperative agreement) under this section with a women’s business center, the
Administration—
(A)
shall consider the results of the most recent examination of the
center under paragraph (1); and
(B)

may withhold such award or renewal, if the Administration

determines that—
(i)
the center has failed to provide any information required to
be provided under clause (i) or (ii) of paragraph (1)(A), or the information provided by the center
is inadequate; or
(ii)
the center has failed to provide any information required to
be provided by the center for purposes of the report of the Administration under subsection (j), or
the information provided by the center is inadequate.
(i)
CONTRACT AUTHORITY.—The authority of the Administrator to enter into
contracts shall be in effect for each fiscal year only to the extent and in the amounts as are
provided in advance in appropriations Acts. After the Administrator has entered into a contract,

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either as a grant or a cooperative agreement, with any applicant under this section, it shall not
suspend, terminate, or fail to renew or extend any such contract unless the Administrator
provides the applicant with written notification setting forth the reasons therefore and affords the
applicant an opportunity for a hearing, appeal, or other administrative proceeding under chapter
5 of title 5, United States Code.
(j)

MANAGEMENT REPORT.—

(1)
IN GENERAL.—The Administration shall prepare and submit to the
Committees on Small Business of the House of Representatives and the Senate a report on the
effectiveness of all projects conducted under this section.
(2)
CONTENTS.—Each report submitted under paragraph (1) shall include
information concerning, with respect to each women’s business center established pursuant to
this section—
(A)

the number of individuals receiving assistance;

(B)

the number of startup business concerns formed;

(C)

the gross receipts of assisted concerns;

(D)

the employment increases or decreases of assisted concerns;

(E)
to the maximum extent practicable, increases or decreases in
profits of assisted concerns; and
(F)
the most recent analysis, as required under subsection (h)(1)(B),
and the subsequent determination made by the Administration under that subsection.
(k)

AUTHORIZATION OF APPROPRIATIONS—

(1)
IN GENERAL.—There is authorized to be appropriated, to remain
available until the expiration of the pilot program under subsection (l)—

(2)

(A)

$12,000,000 for fiscal year 2000;

(B)

$12,800,000 for fiscal year 2001;

(C)

$13,700,000 for fiscal year 2002; and

(D)

$14,500,000 for fiscal year 2003.

USE OF AMOUNTS.—

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(A)
IN GENERAL.—Except as provided in subparagraph (B),
amounts made available under this subsection for fiscal year 1999, and each fiscal year
thereafter, may only be used for grant awards and may not be used for costs incurred by the
Administration in connection with the management and administration of the program under this
section.
(B)
EXCEPTIONS.—Of the amount made available under this
subsection for a fiscal year, the following amounts shall be available for selection panel costs,
post-award conference costs, and costs related to monitoring and oversight:
(i)

For fiscal year 2000, 2 percent.

(ii)

For fiscal year 2001, 1.9 percent.

(iii)

For fiscal year 2002, 1.9 percent.

(iv)

For fiscal year 2003, 1.6 percent.

(3)
EXPEDITED ACQUISITION.—Notwithstanding any other provision of
law, the Administrator, acting through the Assistant Administrator, may use such expedited
acquisition methods as the Administrator determines to be appropriate to carry out this section,
except that the Administrator shall ensure that all small business sources are provided a
reasonable opportunity to submit proposals.
(4)
PROGRAM.—

RESERVATION OF FUNDS FOR SUSTAINABILITY PILOT

(A)
IN GENERAL.—Subject to subparagraph (B), of the total amount
made available under this subsection for a fiscal year, the following amounts shall be reserved
for sustainability grants under subsection (l):
(i)

For fiscal year 2000, 17 percent.

(ii)

For fiscal year 2001, 18.8 percent.

(iii)

For fiscal year 2002, 30.2 percent.

(iv)

For fiscal year 2003, 30.2 percent.

(B)
USE OF UNAWARDED FUNDS FOR SUSTAINABILITY
PILOT PROGRAM GRANTS.—If the amount reserved under subparagraph (A) for any fiscal
year is not fully awarded to private nonprofit organizations described in subsection (l)(1)(B), the
Administration is authorized to use the unawarded amount to fund additional women’s business
center sites or to increase funding of existing women’s business center sites under subsection (b).
(l)

SUSTAINABILITY PILOT PROGRAM.—

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(1)
IN GENERAL.—There is established a 4-year pilot program under which
the Administration is authorized to award grants (referred to in this section as “sustainability
grants”) on a competitive basis for an additional 5-year project under this section to any private
nonprofit organization (or a division thereof)—
(A)
that has received financial assistance under this section pursuant to
a grant, contract, or cooperative agreement; and
(B)

that—
(i)

is in the final year of a 5-year project; or

(ii)
has completed a project financed under this section (or any
predecessor to this section) and continues to provide assistance to women entrepreneurs.
(2)
CONDITIONS FOR PARTICIPATION.—In order to receive a
sustainability grant, an organization described in paragraph (1) shall submit to the
Administration an application, which shall include—
(A)

a certification that the applicant—
(i)

is a private nonprofit organization;

(ii)

employs a full-time executive director or program manager

(iii)

as a condition of receiving a sustainability grant, agrees—

to manage the center; and

(I)
to a site visit as part of the final selection process
and to an annual programmatic and financial examination; and
(II)
to the maximum extent practicable, to remedy any
problems identified pursuant to that site visit or examination;
(B) information demonstrating that the applicant has the ability and
resources to meet the needs of the market to be served by the women’s business center site for
which a sustainability grant is sought, including the ability to fundraise;
(C) information relating to assistance provided by the women’s business
center site for which a sustainability grant is sought in the area in which the site is located,
including—
(i)

the number of individuals assisted;

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Relevant Small Business Act Sections

(ii)

the number of hours of counseling, training, and workshops

(iii)

the number of startup business concerns formed;

provided; and

(D)

information demonstrating the effective experience of the applicant

in—
(i)
conducting financial, management, and marketing
assistance programs, as described in paragraphs (1), (2), and (3) of subsection (b), designed to
impart or upgrade the business skills of women business owners or potential owners;
(ii)
providing training and services to a representative number
of women who are both socially and economically disadvantaged;
(iii)

using resource partners of the Administration and other

(iv)

complying with the cooperative agreement of the applicant;

entities, such as universities;

and
(v)
the prudent management of finances and staffing, including
the manner in which the performance of the applicant compared to the business Plan of the
applicant and the manner in which grant funds awarded under subsection (b) were used by the
applicant; and
(E)
a 5-year Plan that projects the ability of the women’s business
center site for which a sustainability grant is sought—
(i)
to serve women business owners or potential owners in the
future by improving fundraising and training activities; and
(ii)
to provide training and services to a representative number
of women who are both socially and economically disadvantaged.
(3)

REVIEW OF APPLICATIONS.—
(A)

IN GENERAL.—The Administration shall—

(i)
review each application submitted under paragraph (2)
based on the information provided in subparagraphs (D) and (E) of that paragraph, and the
criteria set forth in subsection (f);
(ii)
as part of the final selection process, conduct a site visit at
each women’s business center for which a sustainability grant is sought; and

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(iii)
approve or disapprove applications for sustainability grants
simultaneously with applications for grants under subsection (b).
(B)
DATA COLLECTION.—Consistent with the annual report to
Congress under subsection (j), each women’s business center site that is awarded a sustainability
grant shall, to the maximum extent practicable, collect information relating to—
(i)

the number of individuals assisted;

(ii)

the number of hours of counseling and training provided

(iii)

the number of startup business concerns formed;

(iv)

any available gross receipts of assisted concerns; and

(v)

the number of jobs created, maintained, or lost at assisted

and workshops conducted;

concerns.
(C)
RECORD RETENTION.—The Administration shall maintain a
copy of each application submitted under this subsection for not less than 10 years.
(4)

NON-FEDERAL CONTRIBUTION.—

(A)
IN GENERAL.—Notwithstanding any other provision of this
section, as a condition of receiving a sustainability grant, an organization described in paragraph
(1) shall agree to obtain, after its application has been approved under paragraph (3) and notice
of award has been issued, cash and in-kind contributions from non-Federal sources for each year
of additional program participation in an amount equal to 1 non-Federal dollar for each Federal
dollar.
(B)
FORM OF NON-FEDERAL CONTRIBUTIONS.—Not more than
50 percent of the non-Federal assistance obtained for purposes of subparagraph (A) may be in
the form of in-kind contributions that are budget line items only, including office equipment and
office space.
(5)
TIMING OF REQUESTS FOR PROPOSALS..—In carrying out this
subsection, the Administration shall issue requests for proposals for women’s business centers
applying for the pilot program under this subsection simultaneously with requests for proposals
for grants under subsection (b).
(m)

CONTINUED FUNDING FOR CENTERS.—

(1)
IN GENERAL.—A nonprofit organization described in paragraph (2)
shall be eligible to receive, subject to paragraph (3), a 3-year grant under this subsection.

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(2)
APPLICABILITY.—A nonprofit organization described in this paragraph
is a nonprofit organization that has received funding under subsection (b) or (l).
(3)

APPLICATION AND APPROVAL CRITERIA.—

(A)
CRITERIA.—Subject to subparagraph (B), the Administrator shall
develop and publish criteria for the consideration and approval of applications by nonprofit
organizations under this subsection.
(B)
CONTENTS.—Except as otherwise provided in this subsection,
the conditions for participation in the grant program under this subsection shall be the same as
the conditions for participation in the program under subsection (l), as in effect on the date of
enactment of this Act.
(C)
NOTIFICATION.—Not later than 60 days after the date of the
deadline to submit applications for each fiscal year, the Administrator shall approve or deny any
application under this subsection and notify the applicant for each application.
(4)

AWARD OF GRANTS.—

(A)
IN GENERAL.—Subject to the availability of appropriations, the
Administrator shall make a grant for the Federal share of the cost of activities described in the
application to each applicant approved under this subsection.
(B)
AMOUNT.—A grant under this subsection shall be for not more
than $150,000, for each year of that grant.
(C)
FEDERAL SHARE.—The Federal share under this subsection
shall not be more than 50 percent.
(D)
PRIORITY.—In allocating funds made available for grants under
this section, the Administrator shall give applications under this subsection or subsection (l)
priority over first-time applications under subsection (b).
(5)

RENEWAL.—

(A)
IN GENERAL.—The Administrator may renew a grant under this
subsection for additional 3-year periods, if the nonprofit organization submits an application for
such renewal at such time, in such manner, and accompanied by such information as the
Administrator may establish.
(B)
UNLIMITED RENEWALS.—There shall be no limitation on the
number of times a grant may be renewed under subparagraph (A).
(n)

PRIVACY REQUIREMENTS.—

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(1)
IN GENERAL.—A women’s business center may not disclose the name,
address, or telephone number of any individual or small business concern receiving assistance
under this section without the consent of such individual or small business concern, unless—
(A)
the Administrator is ordered to make such a disclosure by a court
in any civil or criminal enforcement action initiated by a Federal or State agency; or
(B)
the Administrator considers such a disclosure to be necessary for
the purpose of conducting a financial audit of a women’s business center, but a disclosure under
this subparagraph shall be limited to the information necessary for such audit.
(2)

ADMINISTRATION USE OF INFORMATION.—This subsection shall

not—
(A)

restrict Administration access to program activity data; or

(B)
prevent the Administration from using client information (other
than the information described in subparagraph (A)) to conduct client surveys.
(3)
REGULATIONS.—The Administrator shall issue regulations to establish
standards for requiring disclosures during a financial audit under paragraph (1)(B).
(o)

STUDY AND REPORT ON REPRESENTATION OF WOMEN.—

(1)
STUDY.—The Administrator shall periodically conduct a study to
identify industries, as defined under the North American Industry Classification System,
underrepresented by small business concerns owned and controlled by women.
(2)
REPORT.—Not later than 5 years after the date of enactment of this
subsection, and every 5 years thereafter, the Administrator shall submit to the Committee on
Small Business and Entrepreneurship of the Senate and the Committee on Small Business of the
House of Representatives a report on the results of each study under paragraph (1) conducted
during the 5-year period ending on the date of the report.

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