# U.S. Troop Readiness, Veterans' Care, Katrina Recovery, and Iraq Accountability Appropriations Act, 2007/Title VIII/Subtitle C

==SUBTITLE C — SMALL BUSINESS INCENTIVES==

### Sec. 8301. Short Title.

    This subtitle may be cited as the ``Small Business and Work Opportunity Act of 2007´´.

### Sec. 8302. Enhanced Compliance Assistance for Small Businesses.

    (a) In General.—
       Section 212 of the Small Business Regulatory Enforcement Fairness Act of 1996 (5 U.S.C. 601 note) is amended by striking subsection (a) and inserting the following:
                "(a) Compliance Guide.—
                   "(1) In general.—For each rule or group of related rules for which an agency is required to prepare a final regulatory flexibility analysis under section 605(b) of title 5, United States Code, the agency shall publish 1 or more guides to assist small entities in complying with the rule and shall entitle such publications `small entity compliance guides'.
                   "(2) Publication of guides.—The publication of each guide under this subsection shall include—
                      "(A) the posting of the guide in an easily identified location on the website of the agency; and
                      "(B) distribution of the guide to known industry contacts, such as small entities, associations, or industry leaders affected by the rule.
                   "(3) Publication date.—An agency shall publish each guide (including the posting and distribution of the guide as described under paragraph (2))—
                      "(A) on the same date as the date of publication of the final rule (or as soon as possible after that date); and
                      "(B) not later than the date on which the requirements of that rule become effective.
                   "(4) Compliance actions.—
                      "(A) In general.—Each guide shall explain the actions a small entity is required to take to comply with a rule.
                      "(B) Explanation.—The explanation under subparagraph (A)—
                         "(i) shall include a description of actions needed to meet the requirements of a rule, to enable a small entity to know when such requirements are met; and
                         "(ii) if determined appropriate by the agency, may include a description of possible procedures, such as conducting tests, that may assist a small entity in meeting such requirements, except that, compliance with any procedures described pursuant to this section does not establish compliance with the rule, or establish a presumption or inference of such compliance.
                      "(C) Procedures.—Procedures described under subparagraph (B)(ii)—
                         "(i) shall be suggestions to assist small entities; and
                         "(ii) shall not be additional requirements, or diminish requirements, relating to the rule.
                   "(5) Agency preparation of guides.—The agency shall, in its sole discretion, taking into account the subject matter of the rule and the language of relevant statutes, ensure that the guide is written using sufficiently plain language likely to be understood by affected small entities. Agencies may prepare separate guides covering groups or classes of similarly affected small entities and may cooperate with associations of small entities to develop and distribute such guides. An agency may prepare guides and apply this section with respect to a rule or a group of related rules.
                   "(6) Reporting.—Not later than 1 year after the date of enactment of the Fair Minimum Wage Act of 2007, and annually thereafter, the head of each agency shall submit a report to the Committee on Small Business and Entrepreneurship of the Senate, the Committee on Small Business of the House of Representatives, and any other committee of relevant jurisdiction describing the status of the agency's compliance with paragraphs (1) through (5).".
    (b) Technical and Conforming Amendment.—
       Section 211(3) of the Small Business Regulatory Enforcement Fairness Act of 1996 (5 U.S.C. 601 note) is amended by inserting "and entitled" after "designated".

### Sec. 8303. Small Business Child Care Grant Program.

    (a) Establishment.—
       The Secretary of Health and Human Services (referred to in this section as the "Secretary") shall establish a program to award grants to States, on a competitive basis, to assist States in providing funds to encourage the establishment and operation of employer-operated child care programs.
    (b) Application.—
       To be eligible to receive a grant under this section, a State shall prepare and submit to the Secretary an application at such time, in such manner, and containing such information as the Secretary may require, including an assurance that the funds required under subsection (e) will be provided.
    (c) Amount and Period of Grant.—
       The Secretary shall determine the amount of a grant to a State under this section based on the population of the State as compared to the population of all States receiving grants under this section. The Secretary shall make the grant for a period of 3 years.
    (d) Use of Funds.—
       (1) In general.—
          A State shall use amounts provided under a grant awarded under this section to provide assistance to small businesses (or consortia formed in accordance with paragraph (3)) located in the State to enable the small businesses (or consortia) to establish and operate child care programs. Such assistance may include—
          (A) technical assistance in the establishment of a child care program;
          (B) assistance for the startup costs related to a child care program;
          (C) assistance for the training of child care providers;
          (D) scholarships for low-income wage earners;
          (E) the provision of services to care for sick children or to provide care to school-aged children;
          (F) the entering into of contracts with local resource and referral organizations or local health departments;
          (G) assistance for care for children with disabilities;
          (H) payment of expenses for renovation or operation of a child care facility; or
          (I) assistance for any other activity determined appropriate by the State.
       (2) Application.—
          In order for a small business or consortium to be eligible to receive assistance from a State under this section, the small business involved shall prepare and submit to the State an application at such time, in such manner, and containing such information as the State may require.
       (3) Preference.—
          (A) In general.—
             In providing assistance under this section, a State shall give priority to an applicant that desires to form a consortium to provide child care in a geographic area within the State where such care is not generally available or accessible.
          (B) Consortium.—
             For purposes of subparagraph (A), a consortium shall be made up of 2 or more entities that shall include small businesses and that may include large businesses, nonprofit agencies or organizations, local governments, or other appropriate entities.
       (4) Limitations.—
          With respect to grant funds received under this section, a State may not provide in excess of $500,000 in assistance from such funds to any single applicant.
    (e) Matching Requirement.—
       To be eligible to receive a grant under this section, a State shall provide assurances to the Secretary that, with respect to the costs to be incurred by a covered entity receiving assistance in carrying out activities under this section, the covered entity will make available (directly or through donations from public or private entities) non-Federal contributions to such costs in an amount equal to—
       (1) for the first fiscal year in which the covered entity receives such assistance, not less than 50 percent of such costs ($1 for each $1 of assistance provided to the covered entity under the grant);
       (2) for the second fiscal year in which the covered entity receives such assistance, not less than 66\2/3\ percent of such costs ($2 for each $1 of assistance provided to the covered entity under the grant); and
       (3) for the third fiscal year in which the covered entity receives such assistance, not less than 75 percent of such costs ($3 for each $1 of assistance provided to the covered entity under the grant).
    (f) Requirements of Providers.—
       To be eligible to receive assistance under a grant awarded under this section, a child care provider—
       (1) who receives assistance from a State shall comply with all applicable State and local licensing and regulatory requirements and all applicable health and safety standards in effect in the State; and
       (2) who receives assistance from an Indian tribe or tribal organization shall comply with all applicable regulatory standards.
    (g) State-Level Activities.—
       A State may not retain more than 3 percent of the amount described in subsection (c) for State administration and other State-level activities.
    (h) Administration.—
       (1) State responsibility.—
          A State shall have responsibility for administering a grant awarded for the State under this section and for monitoring covered entities that receive assistance under such grant.
       (2) Audits.—
          A State shall require each covered entity receiving assistance under the grant awarded under this section to conduct an annual audit with respect to the activities of the covered entity. Such audits shall be submitted to the State.
       (3) Misuse of funds.—
          (A) Repayment.—
             If the State determines, through an audit or otherwise, that a covered entity receiving assistance under a grant awarded under this section has misused the assistance, the State shall notify the Secretary of the misuse. The Secretary, upon such a notification, may seek from such a covered entity the repayment of an amount equal to the amount of any such misused assistance plus interest.
          (B) Appeals process.—
             The Secretary shall by regulation provide for an appeals process with respect to repayments under this paragraph.
    (i) Reporting Requirements.—
       (1) 2-year study.—
          (A) In general.—
             Not later than 2 years after the date on which the Secretary first awards grants under this section, the Secretary shall conduct a study to determine—
             (i) the capacity of covered entities to meet the child care needs of communities within States;
             (ii) the kinds of consortia that are being formed with respect to child care at the local level to carry out programs funded under this section; and
             (iii) who is using the programs funded under this section and the income levels of such individuals.
          (B) Report.—
             Not later than 28 months after the date on which the Secretary first awards grants under this section, the Secretary shall prepare and submit to the appropriate committees of Congress a report on the results of the study conducted in accordance with subparagraph (A).
       (2) Four-year study.—
          (A) In general.—
             Not later than 4 years after the date on which the Secretary first awards grants under this section, the Secretary shall conduct a study to determine the number of child care facilities that are funded through covered entities that received assistance through a grant awarded under this section and that remain in operation, and the extent to which such facilities are meeting the child care needs of the individuals served by such facilities.
          (B) Report.—
             Not later than 52 months after the date on which the Secretary first awards grants under this section, the Secretary shall prepare and submit to the appropriate committees of Congress a report on the results of the study conducted in accordance with subparagraph (A).
    (j) Definitions.—
       In this section:
       (1) Covered entity.—
          The term "covered entity" means a small business or a consortium formed in accordance with subsection (d)(3).
       (2) Indian community.—
          The term "Indian community" means a community served by an Indian tribe or tribal organization.
       (3) Indian tribe; tribal organization.—
          The terms "Indian tribe" and "tribal organization" have the meanings given the terms in section 658P of the Child Care and Development Block Grant Act of 1990 (42 U.S.C. 9858n).
       (4) Small business.—
          The term "small business" means an employer who employed an average of at least 2 but not more than 50 employees on the business days during the preceding calendar year.
       (5) State.—
          The term "State" has the meaning given the term in section 658P of the Child Care and Development Block Grant Act of 1990 (42 U.S.C. 9858n).
    (k) Application to Indian Tribes and Tribal Organizations.—
       In this section:
       (1) In general.—
          Except as provided in subsection (f)(1), and in paragraphs (2) and (3), the term "State" includes an Indian tribe or tribal organization.
       (2) Geographic references.—
          The term "State" includes an Indian community in subsections (c) (the second and third place the term appears), (d)(1) (the second place the term appears), (d)(3)(A) (the second place the term appears), and (i)(1)(A)(i).
       (3) State-level activities.—
          The term "State-level activities" includes activities at the tribal level.
    (l) Authorization of Appropriations.—
       (1) In general.—
          There is authorized to be appropriated to carry out this section, $50,000,000 for the period of fiscal years 2008 through 2012.
       (2) Studies and administration.—
          With respect to the total amount appropriated for such period in accordance with this subsection, not more than $2,500,000 of that amount may be used for expenditures related to conducting studies required under, and the administration of, this section.
    (m) Termination of Program.—
       The program established under subsection (a) shall terminate on September 30, 2012.

### Sec. 8304. Study of Universal Use of Advance Payment of Earned Income Credit.

    Not later than 180 days after the date of the enactment of this Act, the Secretary of the Treasury shall report to Congress on a study of the benefits, costs, risks, and barriers to workers and to businesses (with a special emphasis on small businesses) if the advance earned income tax credit program (under section 3507 of the Internal Revenue Code of 1986) included all recipients of the earned income tax credit (under section 32 of such Code) and what steps would be necessary to implement such inclusion.

### Sec. 8305. Renewal Grants for Women's Business Centers.

    (a) In General.—
       Section 29 of the Small Business Act (15 U.S.C. 656) is amended by adding at the end the following:
                "(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.
                   "(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 such 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 be not 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.—
                   "(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).".
    (b) Repeal.—
       Section 29(l) of the Small Business Act (15 U.S.C. 656(l)) is repealed effective October 1 of the first full fiscal year after the date of enactment of this Act.
    (c) Transitional Rule.—
       Notwithstanding any other provision of law, a grant or cooperative agreement that was awarded under subsection (l) of section 29 of the Small Business Act (15 U.S.C. 656), on or before the day before the date described in subsection (b) of this section, shall remain in full force and effect under the terms, and for the duration, of such grant or agreement.

### Sec. 8306. Reports on Acquisitions of Articles, Materials, and Supplies Manufactured Outside the United States.

    Section 2 of the Buy American Act (41 U.S.C. 10a) is amended—
       (1) by striking "Notwithstanding" and inserting the following:
                "(a) In General.—Notwithstanding"; and
       (2) by adding at the end the following:
                "(b) Reports.—
                   "(1) In general.—Not later than 180 days after the end of each of fiscal years 2007 through 2011, the head of each Federal agency shall submit to the Committee on Homeland Security and Governmental Affairs of the Senate and the Committee on Oversight and Government Reform of the House of Representatives a report on the amount of the acquisitions made by the agency in that fiscal year of articles, materials, or supplies purchased from entities that manufacture the articles, materials, or supplies outside of the United States.
                   "(2) Contents of report.—The report required by paragraph (1) shall separately include, for the fiscal year covered by such report—
                      "(A) the dollar value of any articles, materials, or supplies that were manufactured outside the United States;
                      "(B) an itemized list of all waivers granted with respect to such articles, materials, or supplies under this Act, and a citation to the treaty, international agreement, or other law under which each waiver was granted;
                      "(C) if any articles, materials, or supplies were acquired from entities that manufacture articles, materials, or supplies outside the United States, the specific exception under this section that was used to purchase such articles, materials, or supplies; and
                      "(D) a summary of—
                         "(i) the total procurement funds expended on articles, materials, and supplies manufactured inside the United States; and
                         "(ii) the total procurement funds expended on articles, materials, and supplies manufactured outside the United States.
                   "(3) Public availability.—The head of each Federal agency submitting a report under paragraph (1) shall make the report publicly available to the maximum extent practicable.
                   "(4) Exception for intelligence community.—This subsection shall not apply to acquisitions made by an agency, or component thereof, that is an element of the intelligence community as specified in, or designated under, section 3(4) of the National Security Act of 1947 (50 U.S.C. 401a(4)).".