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[Congressional Bills 108th Congress]
[From the U.S. Government Publishing Office]
[H.R. 3483 Introduced in House (IH)]

108th CONGRESS
  1st Session
                                H. R. 3483

 To amend the Small Business Act to establish a temporary loan program 
   and a temporary vocational development program for small business 
               concerns owned and controlled by veterans.

_______________________________________________________________________

                    IN THE HOUSE OF REPRESENTATIVES

                            November 7, 2003

  Mr. Udall of New Mexico (for himself and Mrs. Kelly) introduced the 
 following bill; which was referred to the Committee on Small Business

_______________________________________________________________________

                                 A BILL

 
 To amend the Small Business Act to establish a temporary loan program 
   and a temporary vocational development program for small business 
               concerns owned and controlled by veterans.

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

SECTION 1. SHORT TITLE.

    This Act may be cited as the ``Seeds for Soldiers Act''.

SEC. 2. TEMPORARY LOAN PROGRAM FOR SMALL BUSINESS CONCERNS OWNED AND 
              CONTROLLED BY VETERANS.

    (a) In General.--The Administrator of the Small Business 
Administration may make loans under section 7(a) of the Small Business 
Act (15 U.S.C. 636(a)) to small business concerns owned and controlled 
by veterans.
    (b) Special Rules.--Notwithstanding the requirements of section 7 
of the Small Business Act (15 U.S.C. 636), the following special rules 
apply to loans described in subsection (a):
            (1) Purpose of loans.--The Administrator may make such 
        loans for any business purpose, including the refinancing of 
        any outstanding business debt.
            (2) Deferral of payments without interest.--No payment of 
        principal on any such loan shall be due or payable during the 
        1-year period beginning on the date that such loan is issued. 
        Any interest payable with respect to such loan for such period 
        shall be paid by the Administration.
            (3) Amount of loans.--Any such loan may be made if the 
        total amount outstanding and committed to the borrower under 
        section 7(a) of the Small Business Act (15 U.S.C. 636(a)) would 
        not exceed $3,000,000.
            (4) Guaranteed loans.--In the case of an agreement to 
        participate on a deferred basis in any such loan--
                    (A) Participation.--Such participation by the 
                Administration shall be equal to 90 percent of the 
                balance of the financing outstanding at the time of 
                disbursement of the loan.
                    (B) Guarantee fees.--The Administrator shall 
                collect (except in the case of a loan that is repayable 
                in 1 year or less) a guarantee fee, which shall be 
                payable by the participating lender, and may be charged 
                to the borrower as follows:
                            (i) A guarantee fee equal to 0.5 percent of 
                        the deferred participation share of a total 
                        loan amount that is not more than $150,000.
                            (ii) A guarantee fee equal to 1.5 percent 
                        of the deferred participation share of a total 
                        loan amount that is more than $150,000, but not 
                        more than $700,000.
                            (iii) A guarantee fee equal to 2 percent of 
                        the deferred participation share of a total 
                        loan amount that is more than $700,000.
                    (C) Annual fees.--The annual fee assessed and 
                collected on any such loan shall not exceed an amount 
                equal to 0.15 percent of the outstanding balance of the 
                deferred participation share of the loan.
            (5) Credit elsewhere.--The Administrator may make such 
        loans without regard to the ability of a small business concern 
        to obtain credit elsewhere.
            (6) Collateral.--The Administrator shall make such loans 
        without regard to the availability of collateral to secure such 
        loans.
    (c) Termination.--The Administrator shall not make any loan under 
this section after December 31, 2005.
    (d) Definitions.--For purpose of this section, the terms 
``Administrator'', ``Administration'', ``credit elsewhere'', and 
``small business concern owned and controlled by veterans'' have the 
respective meanings given such terms in section 3 of the Small Business 
Act (15 U.S.C. 632), except as provided in subsection (b)(8).
    (e) Authorization of Appropriations.--There is authorized to be 
appropriated to carry out this section $25,000,000 for fiscal year 
2004. Such sum shall remain available until expended.

SEC. 3. TEMPORARY VOCATIONAL DEVELOPMENT PROGRAM FOR VETERANS.

    (a) Establishment.--In accordance with this section, the 
Administrator of the Small Business Administration shall make grants to 
small business development centers to enable such centers to provide to 
veterans a program of assistance that includes training in a vocational 
or technical trade and entrepreneurial assistance in establishing and 
operating a small business concern that provides services in such 
trade.
    (b) Minimum Grant.--The Administrator shall not make a grant under 
this section for an amount less than $500,000.
    (c) Application and Award.--Each small business development center 
seeking a grant under this section shall submit to the Administrator an 
application in such form as the Administrator may require. The 
application shall include information regarding the applicant's goals 
and objectives for the program of assistance described in subsection 
(a). In awarding the grants, the Administrator shall consider the needs 
of the area served by the small business development center, including 
whether the small business development center is located in the 
proximity of a United States military installation.
    (d) Termination.--The Administrator shall not make any grant under 
this section after December 31, 2005.
    (e) Coordination With Small Business Act.--Grants made under this 
section shall not be taken into account for purposes of section 21 of 
the Small Business Act (15 U.S.C. 648).
    (f) Definitions.--For purposes of this section:
            (1) Administrator.--The term ``Administrator'' means the 
        Administrator of the Small Business Administration.
            (2) Small business development center.--The term ``small 
        business development center'' means a small business 
        development center described in section 21 of the Small 
        Business Act (15 U.S.C. 648).
            (3) Veteran.--The term ``veteran'' has the meaning given 
        such term in section 3(q)(4) of the Small Business Act (15 
        U.S.C. 632(q)(4)).
    (g) Authorization of Appropriations.--There is authorized to be 
appropriated to carry out this section $25,000,000 for fiscal year 
2004. Such sum shall remain available until expended.
                                 <all>
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