I 

113TH CONGRESS 

1ST SESSION H. R. 2474 

To transfer funds to the Community Development Financial Institutions Fund 

to increase the availability of credit for small businesses, to improve 

the microenterprise technical assistance and capacity building grant program, to establish an Office of Youth Entrepreneurship in the Small 

Business Administration, and for other purposes. 

IN THE HOUSE OF REPRESENTATIVES 

JUNE 20, 2013 

Mr. RICHMOND (for himself, Ms. BROWN of Florida, Ms. JACKSON LEE, Mr. 

PAYNE, Mr. CA ́RDENAS, Mr. RUSH, Mr. CARSON of Indiana, Mr. 

ENYART, Mr. THOMPSON of Mississippi, Ms. CHU, Mr. CLAY, Mr. LEWIS, 

and Ms. CLARKE) introduced the following bill; which was referred to the 

Committee on Financial Services, and in addition to the Committees on 

Small Business and Education and the Workforce, for a period to be subsequently determined by the Speaker, in each case for consideration of 

such provisions as fall within the jurisdiction of the committee concerned 

A BILL 

To transfer funds to the Community Development Financial 

Institutions Fund to increase the availability of credit 

for small businesses, to improve the microenterprise technical assistance and capacity building grant program, 

to establish an Office of Youth Entrepreneurship in the 

Small Business Administration, and for other purposes. 

1 Be it enacted by the Senate and House of Representa2 tives of the United States of America in Congress assembled, 


smartinez on DSK6TPTVN1PROD with BILLS
2 

•HR 2474 IH

1 SECTION 1. SHORT TITLE. 

2 This Act may be cited as the ‘‘Community Lending 

3 and Small Business Jobs Act of 2013’’. 

4 TITLE I—SMALL BUSINESS LEG5 UP ACT OF 2013 

6 SEC. 101. SHORT TITLE. 

7 This title may be cited as the ‘‘Small Business Lend8 ing to Entrepreneurs for Growth in Underserved Popu9 lations Act of 2013’’ or the ‘‘Small Business Leg-Up Act 

10 of 2013’’. 

11 SEC. 102. FINDINGS. 

12 The Congress finds the following: 

13 (1) Families and small businesses in under14 served areas have for generations been unable to ac15 cess affordable credit. 

16 (2) The financial crisis of 2008 only served to 

17 exacerbate efforts by entrepreneurs to access capital 

18 for the purpose of creating jobs and improving eco19 nomic outcomes in the community. 

20 (3) Small business investments revitalize com21 munities by creating jobs but also contributing to 

22 the local tax base, which helps finance investments 

23 in schools, hospitals, infrastructure, and public safe24 ty. 

25 (4) The Community Development Financial In26 stitutions Fund is well placed to make careful, tarVerDate Mar 15 2010 03:26 Jun 25, 2013 Jkt 029200 PO 00000 Frm 00002 Fmt 6652 Sfmt 6201 E:\BILLS\H2474.IH H2474

smartinez on DSK6TPTVN1PROD with BILLS
3 

•HR 2474 IH

1 geted investments in community development finan2 cial institutions for the purposes of improving eco3 nomic outcomes for underserved families across 

4 America. 

5 (5) Providing the Community Development Fi6 nancial Institutions Fund with a robust capital infu7 sion will make efficient use of taxpayer dollars, by 

8 leveraging Federal investment for the purpose of 

9 small business lending. 

10 SEC. 103. TRANSFER OF FUNDS FROM SMALL BUSINESS 

11 LENDING FUND TO THE CDFI FUND. 

12 (a) UNOBLIGATED FUNDS.—On the date of the expi13 ration of the investment authority described under section 

14 4109(a) of the Small Business Jobs Act of 2010, the Sec15 retary shall transfer all unobligated funds in the Small 

16 Business Lending Fund to the Community Development 

17 Financial Institutions Fund. 

18 (b) PROCEEDS.—Section 4103(b)(3) of the Small 

19 Business Jobs Act of 2010 is amended to read as follows: 

20 ‘‘(3) PROCEEDS TRANSFERRED TO CDFI

21 FUND.—All funds received by the Secretary in con22 nection with purchases made pursuant to paragraph 

23 (1), including principal, interest payments, dividend 

24 payments, and proceeds from the sale of any finanVerDate Mar 15 2010 03:26 Jun 25, 2013 Jkt 029200 PO 00000 Frm 00003 Fmt 6652 Sfmt 6201 E:\BILLS\H2474.IH H2474

smartinez on DSK6TPTVN1PROD with BILLS
4 

•HR 2474 IH

1 cial instrument, shall be transferred to the Commu2 nity Development Financial Institutions Fund.’’. 

3 SEC. 104. SMALL BUSINESS CAPITAL INVESTMENT PRO4 GRAM. 

5 (a) IN GENERAL.—The Riegle Community Develop6 ment and Regulatory Improvement Act of 1994 is amend7 ed by inserting after section 108 the following: 

8 ‘‘SEC. 108A. SMALL BUSINESS CAPITAL INVESTMENT PRO9 GRAM TO INCREASE CREDIT AVAILABILITY 

10 FOR SMALL BUSINESSES. 

11 ‘‘(a) SMALL BUSINESS REVOLVING LOAN PRO12 GRAM.— 

13 ‘‘(1) IN GENERAL.—Using amounts described 

14 under subsection (b), the Administrator shall carry 

15 out a Small Business Capital Investment Program 

16 (‘Program’) to make capital investments in eligible 

17 community development financial institutions in 

18 order to increase the availability of credit for small 

19 businesses. 

20 ‘‘(2) STRUCTURE OF THE PROGRAM.—To the 

21 extent practicable, the Administrator shall carry out 

22 the Program in the same manner as the Small Busi23 ness Lending Fund Program authorized under sec24 tion 4103(a)(2) of the Small Business Jobs Act of 

25 2010, except that— 


smartinez on DSK6TPTVN1PROD with BILLS
5 

•HR 2474 IH

1 ‘‘(A) all funds received by the Adminis2 trator in connection with purchases made under 

3 the Program, including principal, interest pay4 ments, dividend payments, and proceeds from 

5 the sale of any financial instrument, shall be 

6 deposited into the Fund; 

7 ‘‘(B) eligible community development fi8 nancial institutions may apply to receive a cap9 ital investment from the Fund in an amount 

10 not exceeding 10 percent of total assets, or such 

11 other percentage as the Administrator deter12 mines to be appropriate; and 

13 ‘‘(C) the authority to make capital invest14 ments in eligible community development finan15 cial institutions shall continue so long as 

16 amounts described under subsection (b) are 

17 available to make such investments. 

18 ‘‘(b) FUNDING.— 

19 ‘‘(1) IN GENERAL.—Notwithstanding any other 

20 provision of this Act, amounts deposited into the 

21 Fund pursuant to section 4(a) of the Small Business 

22 Leg-Up Act of 2013, section 4103(b)(3) of the 

23 Small Business Jobs Act of 2010, or subsection 

24 (a)(2)(A) shall only be available to carry out the 

25 Program established under subsection (a). 


smartinez on DSK6TPTVN1PROD with BILLS
6 

•HR 2474 IH

1 ‘‘(2) ADMINISTRATION COSTS.—Interest pay2 ments received under subsection (a)(2)(A) may be 

3 used to pay for the administrative costs of carrying 

4 out the Program. 

5 ‘‘(3) AUTHORIZATION OF APPROPRIATIONS.— 

6 There is authorized to be appropriated to the Ad7 ministrator $4,000,000 to carry out the Program. 

8 ‘‘(c) RULEMAKING.—The Administrator may issue 

9 such regulations as the Administrator determines to be ap10 propriate to carry out this section. 

11 ‘‘(d) ELIGIBLE COMMUNITY DEVELOPMENT FINAN12 CIAL INSTITUTION DEFINED.—For purposes of this sec13 tion, the term ‘eligible community development financial 

14 institution’ means a community development financial in15 stitution with assets of $10,000,000,000 or less, as re16 ported in audited financial statements.’’. 

17 (b) TECHNICAL AMENDMENT.—The table of contents 

18 for the Riegle Community Development and Regulatory 

19 Improvement Act of 1994 is amended by inserting after 

20 the item relating to section 108 the following new item: 

‘‘Sec. 108A. Small Business Capital Investment Program to increase credit 

availability for small businesses.’’. 


smartinez on DSK6TPTVN1PROD with BILLS
7 

•HR 2474 IH

1 TITLE II—MICROENTERPRISE 

2 AND YOUTH ENTREPRENEUR3 SHIP DEVELOPMENT ACT OF 

4 2013 

5 SEC. 201. SHORT TITLE. 

6 This title may be cited as the ‘‘Microenterprise and 

7 Youth Entrepreneurship Development Act of 2013’’. 

8 SEC. 202. MICROENTERPRISE TECHNICAL ASSISTANCE AND 

9 CAPACITY BUILDING PROGRAM. 

10 (a) DEFINITIONS.—Section 172(5) of the Riegle 

11 Community Development and Regulatory Improvement 

12 Act of 1994 (15 U.S.C. 6901(5)) is amended— 

13 (1) in subparagraph (B) by striking ‘‘or’’ at the 

14 end; 

15 (2) in subparagraph (C) by striking the period 

16 at the end and inserting ‘‘; or’’; and 

17 (3) by adding at the end the following: 

18 ‘‘(D) an entrepreneur that operates a busi19 ness or intends to operate a business in an in20 vestment area (as such term is defined in sec21 tion 103(16) of this Act).’’. 

22 (b) USES OF ASSISTANCE.—Section 174 of the Riegle 

23 Community Development and Regulatory Improvement 

24 Act of 1994 (15 U.S.C. 6903) is amended— 


smartinez on DSK6TPTVN1PROD with BILLS
8 

•HR 2474 IH

1 (1) in paragraph (3) by striking ‘‘and’’ at the 

2 end; 

3 (2) by redesignating paragraph (4) as para4 graph (5); and 

5 (3) by inserting after paragraph (3) the fol6 lowing: 

7 ‘‘(4) to advertise in print, electronic, and other 

8 media the training and technical assistance provided 

9 under paragraph (1); and’’. 

10 (c) TARGETED ASSISTANCE.—Section 176(b) of the 

11 Riegle Community Development and Regulatory Improve12 ment Act of 1994 (15 U.S.C. 6905(b)) is amended by 

13 striking ‘‘50 percent’’ and inserting ‘‘60 percent’’. 

14 (d) MATCHING REQUIREMENTS.—Section 177(c) of 

15 the Riegle Community Development and Regulatory Im16 provement Act of 1994 (15 U.S.C. 6906(c)) is amended 

17 by adding at the end the following: 

18 ‘‘(3) CONSIDERATION.—In determining whether 

19 to reduce or eliminate matching requirements under 

20 paragraph (1), the Administrator shall consider the 

21 impact of the economic crisis of 2007 through 2009 

22 on the geographic area in which an applicant oper23 ates.’’. 

24 (e) REPORT.—Not later than 180 days after the date 

25 of enactment of this Act, the Administrator of the Small 


smartinez on DSK6TPTVN1PROD with BILLS
9 

•HR 2474 IH

1 Business Administration shall submit to the Committee on 

2 Small Business of the House of Representatives and the 

3 Committee on Small Business and Entrepreneurship of 

4 the Senate a report describing recommendations for im5 proving the application and grant making process of the 

6 microenterprise technical assistance and capacity building 

7 grant program (carried out under subtitle C of title I of 

8 the Riegle Community Development and Regulatory Im9 provement Act of 1994), including recommendations, de10 veloped in consultation with stakeholders, for streamlining 

11 the application and grant making process of that program. 

12 (f) MICROENTERPRISE COORDINATOR.— 

13 (1) ESTABLISHMENT.—Not later than 1 year 

14 after the date of enactment of this Act, the Adminis15 trator shall establish in the Small Business Adminis16 tration the position of Microenterprise Coordinator. 

17 (2) DUTIES.—The Microenterprise Coordinator 

18 shall— 

19 (A) work to ensure that the contributions 

20 of microenterprises to the economy are maxi21 mized; 

22 (B) work to enhance, support, and coordi23 nate the programs of the Federal Government 

24 providing assistance to microenterprises, includ25 ing Federal technical assistance programs; 


smartinez on DSK6TPTVN1PROD with BILLS
10 

•HR 2474 IH

1 (C) work to ensure that underserved entre2 preneurs are included in the programs of the 

3 Federal Government providing assistance to 

4 microenterprises; 

5 (D) make available to the public annually 

6 a comprehensive list and description of each 

7 Federal program that provides assistance to 

8 microenterprises; and 

9 (E) encourage public-private partnerships 

10 that support entrepreneurship. 

11 (3) MICROENTERPRISE DEFINED.—In this sub12 section, the term ‘‘microenterprise’’ has the meaning 

13 given that term in section 172(10) of the Riegle 

14 Community Development and Regulatory Improve15 ment Act of 1994 (15 U.S.C. 6901(10)). 

16 SEC. 203. OFFICE OF YOUTH ENTREPRENEURSHIP. 

17 (a) ESTABLISHMENT.—Not later than 1 year after 

18 the date of enactment of this Act, the Administrator of 

19 the Small Business Administration shall establish an Of20 fice of Youth Entrepreneurship (in this section referred 

21 to as the ‘‘Office’’) in the Small Business Administration. 

22 (b) DIRECTOR.—The Administrator shall appoint a 

23 Director of Youth Entrepreneurship (in this section re24 ferred to as the ‘‘Director’’) to serve as the head of the 

25 Office. 


smartinez on DSK6TPTVN1PROD with BILLS
11 

•HR 2474 IH

1 (c) DUTIES.—The Director shall— 

2 (1) carry out the youth entrepreneurship tech3 nical assistance grant program described in sub4 section (d); 

5 (2) carry out the youth entrepreneurship cur6 riculum grant program described in subsection (e); 

7 (3) promote the growth of youth entrepreneur8 ship by establishing public-private partnerships and 

9 carrying out advertising campaigns; 

10 (4) sponsor and support State and national 

11 youth entrepreneurship competitions that raise 

12 awareness of the importance of small business devel13 opment; 

14 (5) study and promote Federal activities that 

15 support entrepreneurship education; and 

16 (6) support the establishment of public and pri17 vate youth entrepreneurship education and men18 toring opportunities. 

19 (d) YOUTH ENTREPRENEURSHIP TECHNICAL AS20 SISTANCE GRANT PROGRAM.—The Director shall estab21 lish a program under which the Director may make grants 

22 to assist entities, including nonprofit microenterprise de23 velopment organizations, to provide individuals under 25 

24 years of age with technical assistance related to entrepre25 neurship. 


smartinez on DSK6TPTVN1PROD with BILLS
12 

•HR 2474 IH

1 (e) YOUTH ENTREPRENEURSHIP CURRICULUM

2 GRANT PROGRAM.— 

3 (1) IN GENERAL.—The Director shall establish 

4 a program under which the Director may make 

5 grants to a covered entity to assist the development, 

6 improvement, or implementation of a youth entre7 preneurship curriculum that includes information on 

8 the topics of— 

9 (A) securing capital and borrowing; 

10 (B) business plan conception and drafting; 

11 (C) accounting; 

12 (D) management; and 

13 (E) marketing. 

14 (2) APPLICATION PROCESS.—To be eligible for 

15 a grant described in paragraph (1), a covered entity 

16 shall submit to the Director an application at such 

17 time, in such manner, and containing such informa18 tion as the Director may require, except that the ap19 plication shall include at least— 

20 (A) a description of the curriculum to be 

21 developed, improved, or implemented; 

22 (B) a description of how grant funds will 

23 be used; 


smartinez on DSK6TPTVN1PROD with BILLS
13 

•HR 2474 IH

1 (C) a description of goals relating to the 

2 use of grant funds and the curriculum to be de3 veloped, improved, or implemented; and 

4 (D) a description of how progress will be 

5 measured with respect to the goals described in 

6 subparagraph (C). 

7 (3) COVERED ENTITY DEFINED.—In this sub8 section, the term ‘‘covered entity’’ means a local 

9 educational agency in any of the several States, the 

10 District of Columbia, or a territory or possession of 

11 the United States and a local educational agency of 

12 a federally recognized Indian tribe. 

13 (f) INVESTMENT AREAS.— 

14 (1) IN GENERAL.—The Director shall ensure 

15 that at least 25 percent of the amounts made avail16 able to carry out the Office each fiscal year are used 

17 to assist youth in investment areas. 

18 (2) INVESTMENT AREA DEFINED.—In this sub19 section, the term ‘‘investment area’’ has the meaning 

20 given that term in section 103(16) of the Riegle 

21 Community Development and Regulatory Improve22 ment Act of 1994 (12 U.S.C. 4702(16)). 

23 (g) STUDENT LOAN ASSISTANCE.—Not later than 

24 180 days after the date of enactment of this Act, the Di25 rector, in consultation with the Secretary of Education, 


smartinez on DSK6TPTVN1PROD with BILLS
14 

•HR 2474 IH

1 shall submit to Congress a report that includes detailed 

2 recommendations for legislation— 

3 (1) establishing a program to forgive student 

4 loans in a manner that assists youth entrepreneur5 ship by making available capital for business forma6 tion; and 

7 (2) establishing a program to defer student loan 

8 repayments in a manner that assists youth entrepre9 neurship by making available capital for business 

10 formation. 

11 SEC. 204. GAO STUDY AND REPORT. 

12 (a) STUDY.—The Comptroller General of the United 

13 States shall conduct a study on— 

14 (1) the economic impact of allowing youth en15 trepreneurs to defer student loan repayments to 

16 make available capital for business formation; 

17 (2) the economic impact of increasing the par18 ticipation of individuals under 25 years of age in the 

19 microloan program of the Small Business Adminis20 tration (carried out under section 7(m) of the Small 

21 Business Act (15 U.S.C. 636(m)), notwithstanding 

22 the limited collateral and formal business experience 

23 of such individuals; 


smartinez on DSK6TPTVN1PROD with BILLS
15 

•HR 2474 IH

1 (3) alternative methods for measuring credit2 worthiness that may assist youth entrepreneurship; 

3 and 

4 (4) actions Congress should consider to promote 

5 youth entrepreneurship. 

6 (b) REPORT.—Not later than 180 days after the date 

7 of enactment of this Act, the Comptroller General shall 

8 submit to the Committee on Small Business of the House 

9 of Representatives and the Committee on Small Business 

10 and Entrepreneurship of the Senate a report on the re11 sults of the study conducted under subsection (a). 

Æ 


smartinez on DSK6TPTVN1PROD with BILLS