II 

116TH CONGRESS 

2D SESSION S. 4208 

To require the Minority Business Development Agency of the Department 

of Commerce to promote and administer programs in the public and 

private sectors to assist the development of minority business enterprises, 

to ensure that such Agency has the necessary supporting resources, 

particularly during economic downturns, and for other purposes. 

IN THE SENATE OF THE UNITED STATES 

JULY 2, 2020 

Mr. CARDIN (for himself, Ms. CANTWELL, Mr. BOOKER, Ms. HARRIS, Mr. 

SCHUMER, and Ms. CORTEZ MASTO) introduced the following bill; which 

was read twice and referred to the Committee on Commerce, Science, and 

Transportation 

A BILL 

To require the Minority Business Development Agency of 

the Department of Commerce to promote and administer 

programs in the public and private sectors to assist the 

development of minority business enterprises, to ensure 

that such Agency has the necessary supporting resources, 

particularly during economic downturns, 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, 


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1 SECTION 1. SHORT TITLE; TABLE OF CONTENTS. 

2 (a) SHORT TITLE.—This Act may be cited as the 

3 ‘‘Minority Business Resiliency Act of 2020’’. 

4 (b) TABLE OF CONTENTS.—The table of contents for 

5 this Act is as follows: 

Sec. 1. Short title; table of contents. 

Sec. 2. Findings and purposes. 

Sec. 3. Definitions. 

Sec. 4. Minority Business Development Agency. 

TITLE I—COVID–19 RAPID RESPONSE 

Sec. 101. Emergency appropriation. 

TITLE II—EXISTING INITIATIVES 

Subtitle A—Market Development, Research, and Information 

Sec. 201. Private sector development. 

Sec. 202. Public sector development. 

Sec. 203. Research and information. 

Subtitle B—Minority Business Development Center Program 

Sec. 210. Purpose. 

Sec. 211. Definitions. 

Sec. 212. Establishment. 

Sec. 213. Cooperative agreements. 

Sec. 214. Minimizing disruptions to existing Business Centers program. 

Sec. 215. Publicity. 

Sec. 216. Authorization of appropriations. 

TITLE III—NEW INITIATIVES TO PROMOTE ECONOMIC 

RESILIENCY FOR MINORITY BUSINESSES 

Sec. 301. Annual diverse business forum on capital formation. 

Sec. 302. Agency study on alternative financing solutions. 

Sec. 303. Educational development relating to management and entrepreneurship. 

TITLE IV—ADMINISTRATIVE AND OTHER POWERS OF THE 

AGENCY; MISCELLANEOUS PROVISIONS 

Sec. 401. Administrative powers. 

Sec. 402. Financial assistance. 

Sec. 403. Audits. 

Sec. 404. Review and report by Comptroller general. 

Sec. 405. Annual reports; recommendations. 

Sec. 406. Separability. 

Sec. 407. Executive Order 11625. 

Sec. 408. Amendment to the Federal Acquisition Streamlining Act of 1994. 


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1 SEC. 2. FINDINGS AND PURPOSES. 

2 (a) FINDINGS.—Congress finds the following: 

3 (1) During times of economic downturn or re4 cession, communities of color, and businesses within 

5 those communities, are generally more adversely af6 fected, which requires an expansion of the ability of 

7 the Federal Government to infuse resources into 

8 those communities. 

9 (2) Despite the growth in the number of minor10 ity business enterprises, gaps remain with respect to 

11 key metrics for those enterprises, such as access to 

12 capital, revenue, number of employees, and survival 

13 rate. Specifically— 

14 (A) according to the Department of Com15 merce, minority business enterprises are 2 to 3 

16 times more likely to be denied loans than non17 minority business enterprises; 

18 (B) according to the Bureau of the Cen19 sus, the average non-minority business enter20 prise reports receipts that are more than 3 

21 times higher than receipts reported by the aver22 age minority business enterprise; and 

23 (C) according to the Kauffman Founda24 tion— 

25 (i) minority business enterprises are 

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1 pared with non-minority business enter2 prises; and 

3 (ii) if minorities started and owned 

4 businesses at the same rate as non-minori5 ties, the United States economy would 

6 have more than 1,000,000 additional em7 ployer businesses and more than 9,500,000 

8 additional jobs. 

9 (3) Because of the conditions described in para10 graph (2), it is in the interest of the United States 

11 and the economy of the United States to expedi12 tiously ameliorate the disparities that minority busi13 ness enterprises experience. 

14 (4) Many individuals who own minority busi15 ness enterprises are socially disadvantaged because 

16 those individuals identify as members of certain 

17 groups that have suffered the effects of discrimina18 tory practices or similar circumstances over which 

19 those individuals have no control, including individ20 uals who are— 

21 (A) Black or African American; 

22 (B) Hispanic or Latino; 

23 (C) American Indian or Alaska Native; 

24 (D) Asian; and 


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1 (E) Native Hawaiian or other Pacific Is2 lander. 

3 (5) Discriminatory practices and similar cir4 cumstances described in paragraph (4) are a signifi5 cant determinant of overall economic disadvantage 

6 in the United States, which is evident in the per7 sistent racial wealth gap in the United States. 

8 (6) While other Federal agencies focus only on 

9 small businesses and businesses that represent a 

10 broader demographic than solely minority business 

11 enterprises, the Agency focuses exclusively on— 

12 (A) the unique needs of minority business 

13 enterprises; and 

14 (B) enhancing the capacity of minority 

15 business enterprises. 

16 (b) PURPOSES.—The purposes of this Act are to— 

17 (1) require the Agency to promote and admin18 ister programs in the public and private sectors to 

19 assist the development of minority business enter20 prises; and 

21 (2) achieve the development described in para22 graph (1) by authorizing the Assistant Secretary to 

23 carry out programs that will result in increased ac24 cess to capital, management, and technology for mi25 nority business enterprises. 


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1 SEC. 3. DEFINITIONS. 

2 In this Act: 

3 (1) AGENCY.—The term ‘‘Agency’’ means the 

4 Minority Business Development Agency of the De5 partment of Commerce. 

6 (2) ASSISTANT SECRETARY.—The term ‘‘Assist7 ant Secretary’’ means the Assistant Secretary of 

8 Commerce for Minority Business Development who 

9 is appointed as described in section 4(b) to admin10 ister this Act. 

11 (3) FEDERAL AGENCY.—The term ‘‘Federal 

12 agency’’ has the meaning given the term ‘‘agency’’ 

13 in section 551 of title 5, United States Code. 

14 (4) FEDERALLY RECOGNIZED AREA OF ECO15 NOMIC DISTRESS.—The term ‘‘federally recognized 

16 area of economic distress’’ means— 

17 (A) a HUBZone, as that term is defined in 

18 section 31(b) of the Small Business Act (15 

19 U.S.C. 657a(b)); 

20 (B) an area that— 

21 (i) has been designated as— 

22 (I) an empowerment zone under 

23 section 1391 of the Internal Revenue 

24 Code of 1986; or 


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1 (II) a Promise Zone by the Sec2 retary of Housing and Urban Devel3 opment; or 

4 (ii) is a low or moderate income area, 

5 as determined by the Bureau of the Cen6 sus; 

7 (C) a qualified opportunity zone, as that 

8 term is defined in section 1400Z–1 of the Inter9 nal Revenue Code of 1986; or 

10 (D) any other political subdivision or unin11 corporated area of a State determined by the 

12 Assistant Secretary to be an area of economic 

13 distress. 

14 (5) INDIAN TRIBE.— 

15 (A) IN GENERAL.—Subject to subpara16 graph (B), the term ‘‘Indian Tribe’’ has the 

17 meaning given the term ‘‘Indian tribe’’ in sec18 tion 4 of the Indian Self-Determination and 

19 Education Assistance Act (25 U.S.C. 5304). 

20 (B) NATIVE HAWAIIAN ORGANIZATION.— 

21 The term ‘‘Indian Tribe’’ includes a Native Ha22 waiian organization. 

23 (6) INSTITUTION OF HIGHER EDUCATION.—The 

24 term ‘‘institution of higher education’’ has the 


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1 meaning given the term in section 101 of the Higher 

2 Education Act of 1965 (20 U.S.C. 1001). 

3 (7) MINORITY BUSINESS ENTERPRISE.—The 

4 term ‘‘minority business enterprise’’ means a for5 profit business enterprise— 

6 (A) that is not less than 51 percent-owned 

7 by 1 or more socially disadvantaged individuals; 

8 and 

9 (B) the management and daily business 

10 operations of which are controlled by 1 or more 

11 socially disadvantaged individuals. 

12 (8) PRIVATE SECTOR ENTITY.—The term ‘‘pri13 vate sector entity’’— 

14 (A) means an entity that is not a public 

15 sector entity; and 

16 (B) does not include— 

17 (i) the Federal Government; 

18 (ii) any Federal agency; or 

19 (iii) any instrumentality of the Fed20 eral Government. 

21 (9) PUBLIC SECTOR ENTITY.—The term ‘‘public 

22 sector entity’’ means— 

23 (A) a State; 

24 (B) an agency of a State; 

25 (C) a political subdivision of a State; or 


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1 (D) an agency of a political subdivision of 

2 a State. 

3 (10) SECRETARY.—The term ‘‘Secretary’’ 

4 means the Secretary of Commerce. 

5 (11) SOCIALLY DISADVANTAGED INDIVIDUAL.— 

6 (A) IN GENERAL.—The term ‘‘socially dis7 advantaged individual’’ means an individual 

8 who has been subjected to racial or ethnic prej9 udice or cultural bias because of the identity of 

10 the individual as a member of a group, without 

11 regard to any individual quality of the indi12 vidual that is unrelated to that identity. 

13 (B) PRESUMPTION.—In carrying out this 

14 Act, the Assistant Secretary shall presume that 

15 the term ‘‘socially disadvantaged individual’’ in16 cludes any individual who is— 

17 (i) Black or African American; 

18 (ii) Hispanic or Latino; 

19 (iii) American Indian or Alaska Na20 tive; 

21 (iv) Asian; 

22 (v) Native Hawaiian or other Pacific 

23 Islander; or 

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1 termines under part 1400 of title 15, Code 

2 of Federal Regulations, as in effect on No3 vember 23, 1984, is a socially disadvan4 taged group eligible to receive assistance. 

5 (12) STATE.—The term ‘‘State’’ means— 

6 (A) each of the States of the United 

7 States; 

8 (B) the District of Columbia; 

9 (C) the Commonwealth of Puerto Rico; 

10 (D) the United States Virgin Islands; 

11 (E) Guam; 

12 (F) American Samoa; 

13 (G) the Commonwealth of the Northern 

14 Mariana Islands; and 

15 (H) each Indian Tribe. 

16 SEC. 4. MINORITY BUSINESS DEVELOPMENT AGENCY. 

17 (a) IN GENERAL.—There is within the Department 

18 of Commerce the Minority Business Development Agency. 

19 (b) ASSISTANT SECRETARY.— 

20 (1) APPOINTMENT AND DUTIES.—The Agency 

21 shall be headed by an Assistant Secretary of Com22 merce for Minority Business Development, who shall 

23 be— 

24 (A) appointed by the President, by and 

25 with the advice and consent of the Senate; and 


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1 (B) except as otherwise expressly provided, 

2 responsible for the administration of this Act. 

3 (2) COMPENSATION.—The Assistant Secretary 

4 shall be compensated at an annual rate of basic pay 

5 prescribed for level IV of the Executive Schedule 

6 under section 5315 of title 5, United States Code. 

7 (c) REPORT TO CONGRESS.—Not later than 120 days 

8 after the date of enactment of this Act, the Secretary shall 

9 submit to Congress a report that describes— 

10 (1) the organizational structure of the Agency; 

11 (2) the organizational position of the Agency 

12 within the Department of Commerce; and 

13 (3) a description of how the Agency shall func14 tion in relation to the operations carried out by each 

15 other component of the Department of Commerce. 

16 (d) OFFICE OF BUSINESS CENTERS.— 

17 (1) ESTABLISHMENT.—There is established 

18 within the Agency an Office of Business Centers. 

19 (2) DIRECTOR.—The Office of Business Cen20 ters shall be administered by a Director, who shall 

21 be appointed by the Assistant Secretary. 

22 (e) OFFICES OF THE AGENCY.— 

23 (1) IN GENERAL.—The Assistant Secretary 

24 shall establish such other offices within the Agency 

25 as are necessary to carry out this Act. 


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1 (2) REGIONAL OFFICES.— 

2 (A) IN GENERAL.—In order to carry out 

3 this Act, the Assistant Secretary may establish 

4 a regional office of the Agency for each of the 

5 regions of the United States, as determined by 

6 the Assistant Secretary. 

7 (B) DUTIES.—Each regional office estab8 lished under subparagraph (A) shall expand the 

9 reach of the Agency and enable the Federal 

10 Government to better serve the needs of minor11 ity business enterprises in the region served by 

12 the office, including by— 

13 (i) understanding and participating in 

14 the business environment of that region; 

15 (ii) working with— 

16 (I) Centers, as that term is de17 fined in section 211, that are located 

18 in that region; and 

19 (II) resource and lending part20 ners of the Small Business Adminis21 tration that are located in that region; 

22 (iii) being aware of business retention 

23 or expansion programs specific to that re24 gion; 


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1 (iv) seeking out opportunities to col2 laborate with regional public and private 

3 programs that focus on minority business 

4 enterprises; and 

5 (v) promoting business continuity and 

6 preparedness. 

7 TITLE I—COVID–19 RAPID 

8 RESPONSE 

9 SEC. 101. EMERGENCY APPROPRIATION. 

10 (a) IN GENERAL.—There is appropriated to the 

11 Agency for fiscal year 2020, out of any money in the 

12 Treasury not otherwise appropriated, $60,000,000 to pro13 vide assistance to minority business enterprises affected 

14 by the economic downturn caused by the COVID–19 pan15 demic, which shall remain available until expended. 

16 (b) EMERGENCY REQUIREMENT.—The amount pro17 vided by this section is designated by the Congress as 

18 being for an emergency requirement pursuant to section 

19 251(b)(2)(A)(i) of the Balanced Budget and Emergency 

20 Deficit Control Act of 1985. 


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1 TITLE II—EXISTING INITIATIVES 

2 Subtitle A—Market Development, 

3 Research, and Information 

4 SEC. 201. PRIVATE SECTOR DEVELOPMENT. 

5 The Assistant Secretary shall, whenever the Assistant 

6 Secretary determines such action is necessary or appro7 priate— 

8 (1) assist minority business enterprises to pene9 trate domestic and foreign markets by making avail10 able to those business enterprises, either directly or 

11 in cooperation with private sector entities, including 

12 community-based organizations and national non13 profit organizations— 

14 (A) resources relating to management; 

15 (B) technological assistance; 

16 (C) financial and marketing services; and 

17 (D) services relating to workforce develop18 ment; 

19 (2) encourage minority business enterprises to 

20 establish joint ventures and projects— 

21 (A) with other minority business enter22 prises; or 

23 (B) in cooperation with public sector enti24 ties or private sector entities, including commu25 nity-based organizations and national nonprofit 


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1 organizations, to increase the share of any mar2 ket activity being performed by minority busi3 ness enterprises; and 

4 (3) facilitate the efforts of private sector enti5 ties and Federal agencies to advance the growth of 

6 minority business enterprises. 

7 SEC. 202. PUBLIC SECTOR DEVELOPMENT. 

8 The Assistant Secretary shall, whenever the Assistant 

9 Secretary determines such action is necessary or appro10 priate— 

11 (1) consult and cooperate with public sector en12 tities for the purpose of leveraging resources avail13 able in the jurisdictions of those public sector enti14 ties to promote the position of minority business en15 terprises in the local economies of those public sector 

16 entities, including by assisting public sector entities 

17 to establish or enhance— 

18 (A) programs to procure goods and serv19 ices through minority business enterprises and 

20 goals for that procurement; 

21 (B) programs offering assistance relating 

22 to— 

23 (i) management; 

24 (ii) technology; 

25 (iii) financing; 


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1 (iv) marketing; and 

2 (v) workforce development; and 

3 (C) informational programs designed to in4 form minority business enterprises located in 

5 the jurisdictions of those public sector entities 

6 about the availability of programs described in 

7 this section; 

8 (2) meet with leaders and officials of public sec9 tor entities for the purpose of recommending and 

10 promoting local administrative and legislative initia11 tives needed to advance the position of minority 

12 business enterprises in the local economies of those 

13 public sector entities; and 

14 (3) facilitate the efforts of public sector entities 

15 and Federal agencies to advance the growth of mi16 nority business enterprises. 

17 SEC. 203. RESEARCH AND INFORMATION. 

18 (a) IN GENERAL.—In order to achieve the purposes 

19 of this Act, the Assistant Secretary— 

20 (1) shall— 

21 (A) collect and analyze data, including 

22 data relating to the causes of the success or 

23 failure of minority business enterprises; 

24 (B) perform evaluations of programs car25 ried out by Federal agencies with an emphasis 


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1 on increasing coordination between Federal 

2 agencies with respect to the development of mi3 nority business enterprises; and 

4 (C) conduct research, studies, and surveys 

5 of— 

6 (i) economic conditions generally in 

7 the United States; and 

8 (ii) how the conditions described in 

9 clause (i) particularly affect the develop10 ment of minority business enterprises; and 

11 (2) may, at the request of a public sector entity 

12 or a private sector entity, perform an evaluation of 

13 programs carried out by the entity that are designed 

14 to assist the development of minority business enter15 prises. 

16 (b) INFORMATION CLEARINGHOUSE.—The Assistant 

17 Secretary shall— 

18 (1) establish and maintain an information clear19 inghouse for the collection and dissemination of de20 mographic, economic, financial, managerial, and 

21 technical data relating to minority business enter22 prises; and 

23 (2) take such steps as the Assistant Secretary 

24 may determine to be necessary and desirable to 

25 search for, collect, classify, coordinate, integrate, 


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1 record, and catalog the data described in paragraph 

2 (1). 

3 Subtitle B—Minority Business 

4 Development Center Program 

5 SEC. 210. PURPOSE. 

6 The purpose of the MBDC Program shall be to create 

7 a national network of public-private partnerships that— 

8 (1) assist minority business enterprises to— 

9 (A) access capital and contracts; and 

10 (B) create and maintain jobs; 

11 (2) provide counseling and mentoring to minor12 ity business enterprises; and 

13 (3) facilitate the growth of minority business 

14 enterprises by promoting trade. 

15 SEC. 211. DEFINITIONS. 

16 In this title: 

17 (1) CENTER.—The term ‘‘Center’’ means an el18 igible entity that enters into an MBDC agreement 

19 with the Assistant Secretary. 

20 (2) ELIGIBLE ENTITY.—Except as otherwise ex21 pressly provided, the term ‘‘eligible entity’’— 

22 (A) means— 

23 (i) a private sector entity; or 

24 (ii) a public sector entity; and 


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1 (B) includes an institution of higher edu2 cation. 

3 (3) MBDC AGREEMENT.—The term ‘‘MBDC 

4 agreement’’ means a collaborative agreement entered 

5 into between the Assistant Secretary and a Center 

6 under the MBDC Program. 

7 (4) MBDC PROGRAM.—The term ‘‘MBDC Pro8 gram’’ means the program established under section 

9 212. 

10 SEC. 212. ESTABLISHMENT. 

11 (a) IN GENERAL.—Subject to subsection (b), there 

12 is established in the Agency a program— 

13 (1) that shall be known as the Minority Busi14 ness Development Centers Program; 

15 (2) that shall be separate and distinct from the 

16 efforts of the Assistant Secretary under section 201; 

17 and 

18 (3) under which the Assistant Secretary shall 

19 enter into cooperative agreements with eligible enti20 ties under which, in accordance with section 213— 

21 (A) the eligible entities shall provide tech22 nical assistance and business development serv23 ices to minority business enterprises; and 

24 (B) the Assistant Secretary shall provide 

25 financial assistance to the eligible entities to 


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1 carry out the activities described in subpara2 graph (A). 

3 (b) COVERAGE.—The Assistant Secretary shall take 

4 all necessary actions to ensure that the MBDC Program, 

5 in accordance with section 213, offers the services de6 scribed in subsection (a)(3)(A) in all regions of the United 

7 States. 

8 (c) SCOPE OF AUTHORITY.—The authority of the As9 sistant Secretary to enter into MBDC agreements shall 

10 be effective each fiscal year only to the extent that 

11 amounts are made available to the Assistant Secretary 

12 under applicable appropriations Acts. 

13 SEC. 213. COOPERATIVE AGREEMENTS. 

14 (a) REQUIREMENTS.—A Center shall, using financial 

15 assistance awarded to the Center under an MBDC agree16 ment— 

17 (1) provide to minority business enterprises 

18 programs and services determined to be appropriate 

19 by the Assistant Secretary, which— 

20 (A) shall include referral services to meet 

21 the needs of minority business enterprises; and 

22 (B) may include programs and services to 

23 accomplish the goals described in section 

24 201(1); 


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1 (2) develop, cultivate, and maintain a network 

2 of strategic partnerships with organizations that fos3 ter access by minority business enterprises to eco4 nomic markets or contracts; 

5 (3) continue to upgrade and modify the services 

6 provided by the Center, as necessary, in order to 

7 meet the changing and evolving needs of the busi8 ness community; 

9 (4) collaborate with other Centers; and 

10 (5) in providing programs and services under 

11 the MBDC agreement— 

12 (A) operate on a fee-for-service basis; and 

13 (B) generate income through the collection 

14 of— 

15 (i) client fees; 

16 (ii) membership fees; 

17 (iii) success fees; and 

18 (iv) any other appropriate fees pro19 posed by the Center in the application sub20 mitted by the Center for the MBDC agree21 ment. 

22 (b) TERM.—Subject to subsection (g), the term of an 

23 MBDC agreement shall be 3 years. 

24 (c) FINANCIAL ASSISTANCE.— 


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1 (1) MINIMUM AMOUNT.—Subject to paragraph 

2 (2), the amount of financial assistance provided by 

3 the Assistant Secretary under an MBDC agreement 

4 shall be not less than $250,000 for the term of the 

5 MBDC agreement. 

6 (2) ADDITIONAL AMOUNTS.—In determining 

7 whether to award financial assistance under an 

8 MBDC agreement to a Center in an amount greater 

9 than $250,000, the Assistant Secretary shall take 

10 into consideration the cost of living and the size of 

11 the population in the area in which the Center is lo12 cated. 

13 (3) MATCHING REQUIREMENT.— 

14 (A) IN GENERAL.—A Center shall match 

not less than 1 15 ⁄3 of the amount of the financial 

16 assistance awarded to the Center under an 

17 MBDC agreement. 

18 (B) FORM OF FUNDS.—A Center may 

19 meet the matching requirement under subpara20 graph (A) using cash or in-kind contributions, 

21 without regard to whether the contribution is 

22 made by a third party. 

23 (4) USE OF FINANCIAL ASSISTANCE AND PRO24 GRAM INCOME.—A Center shall use— 


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1 (A) all financial assistance awarded to the 

2 Center under an MBDC agreement to carry out 

3 the requirements under subsection (a); and 

4 (B) all income that the Center generates in 

5 carrying out the requirements under subsection 

6 (a)— 

7 (i) to meet the matching requirement 

8 under paragraph (3) of this subsection; 

9 and 

10 (ii) if the Center meets the matching 

11 requirement under paragraph (3) of this 

12 subsection, to carry out the requirements 

13 under subsection (a). 

14 (d) CRITERIA FOR SELECTION.—The Assistant Sec15 retary shall— 

16 (1) establish— 

17 (A) criteria that— 

18 (i) the Assistant Secretary shall use in 

19 determining whether to enter into an 

20 MBDC agreement with an eligible entity; 

21 and 

22 (ii) may include criteria relating to 

23 whether an eligible entity is located in— 

24 (I) an area, the population of 

25 which is composed of not less than 51 


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1 percent socially disadvantaged individ2 uals; 

3 (II) a federally recognized area of 

4 economic distress; or 

5 (III) a State that is underserved 

6 with respect to the MBDC program, 

7 as defined by the Assistant Secretary; 

8 and 

9 (B) standards relating to the consideration 

10 given to the criteria established under subpara11 graph (A); and 

12 (2) make the criteria and standards established 

13 under paragraph (1) publicly available, including— 

14 (A) on the website of the Agency; and 

15 (B) in each solicitation for applications for 

16 MBDC agreements. 

17 (e) APPLICATIONS.—An eligible entity desiring to 

18 enter into an MBDC agreement shall submit to the Assist19 ant Secretary an application that includes— 

20 (1) a statement of— 

21 (A) how the eligible entity will meet the re22 quirements under subsection (a); and 

23 (B) any experience of the eligible entity 

24 in— 


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1 (i) assisting minority business enter2 prises to— 

3 (I) obtain— 

4 (aa) large-scale contracts or 

5 procurements; or 

6 (bb) financing; 

7 (II) access established supply 

8 chains; and 

9 (III) engage in— 

10 (aa) joint ventures, teaming 

11 arrangements, and mergers and 

12 acquisitions; or 

13 (bb) large-scale transactions 

14 in global markets; and 

15 (ii) advocating for minority business 

16 enterprises; and 

17 (2) the budget and corresponding budget nar18 rative that the eligible entity will use in carrying out 

19 the requirements under subsection (a) during the 

20 term of the MBDC agreement. 

21 (f) NOTIFICATION.—If the Assistant Secretary 

22 grants an application of an eligible entity submitted under 

23 subsection (e), the Assistant Secretary shall notify the eli24 gible entity that the application has been granted not later 


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1 than 150 days after the last day on which an application 

2 may be submitted under that subsection. 

3 (g) PROGRAM EXAMINATION; ACCREDITATION; EX4 TENSIONS.— 

5 (1) EXAMINATION.—Not later than 180 days 

6 after the date of enactment of this Act, and bienni7 ally thereafter, the Assistant Secretary shall conduct 

8 a programmatic financial examination of each Cen9 ter. 

10 (2) ACCREDITATION.—The Assistant Secretary 

11 may provide financial support, by contract or other12 wise, to an association, not less than 51 percent of 

13 the members of which are Centers, to— 

14 (A) pursue matters of common concern 

15 with respect to Centers; and 

16 (B) develop an accreditation program with 

17 respect to Centers. 

18 (3) EXTENSIONS.— 

19 (A) IN GENERAL.—The Assistant Sec20 retary may extend the term under subsection 

21 (b) of an MBDC agreement to which a Center 

22 is a party to a term of 5 years, if the Center 

23 consents to the extension. 

24 (B) FINANCIAL ASSISTANCE.—If the As25 sistant Secretary extends the term of an MBDC 


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1 agreement under paragraph (1), the Assistant 

2 Secretary shall, in the same manner and 

3 amount in which financial assistance was pro4 vided during the initial term of the MBDC 

5 agreement, provide financial assistance under 

6 the MBDC agreement during the extended term 

7 of the MBDC agreement. 

8 (h) PRIORITY.—In entering into MBDC agreements 

9 under the MBDC Program and extending MBDC agree10 ments under subsection (g)(3), the Assistant Secretary 

11 shall give priority to extending MBDC agreements under 

12 subsection (g)(3). 

13 (i) SUSPENSION, TERMINATION, AND REFUSAL TO

14 EXTEND.— 

15 (1) IN GENERAL.— 

16 (A) IN GENERAL.—The Assistant Sec17 retary may suspend, terminate, or refuse to ex18 tend the term of an MBDC agreement on the 

19 basis of the poor performance by a Center in 

20 meeting the performance goals established by 

21 the Secretary under subparagraph (B). 

22 (B) PERFORMANCE GOALS.—The Assistant 

23 Secretary shall establish performance goals by 

24 which to evaluate the performance of a Center 


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1 in meeting the requirements under subsection 

2 (a). 

3 (2) NOTICE.—Before suspending, terminating, 

4 or refusing to extend the term of an MBDC agree5 ment under paragraph (1), the Assistant Secretary 

6 shall provide to the relevant Center— 

7 (A) a written notice of the reasons for the 

8 suspension, termination, or refusal; and 

9 (B) an opportunity for a hearing, appeal, 

10 or other administrative proceeding to contest 

11 the suspension, termination, or refusal. 

12 (j) MBDA INVOLVEMENT.—The Assistant Secretary 

13 shall ensure that the Agency is substantially involved in 

14 the activities of Centers in carrying out the requirements 

15 under subsection (a), including by— 

16 (1) providing to each Center training relating to 

17 the MBDC Program; 

18 (2) requiring that the operator and staff of 

19 each Center— 

20 (A) attend— 

21 (i) a conference with the Agency to 

22 establish the services and programs that 

23 the Center will provide in carrying out the 

24 requirements before the date on which the 


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1 Center begins providing those services and 

2 programs; and 

3 (ii) training provided under paragraph 

4 (1); 

5 (B) receive necessary advising relating to 

6 carrying out the requirements under subsection 

7 (a); and 

8 (C) work in coordination and collaboration 

9 with the Assistant Secretary to carry out the 

10 MBDC Program and other programs of the 

11 Agency; 

12 (3) facilitating connections between Centers 

13 and— 

14 (A) Federal agencies other than the Agen15 cy, including the Small Business Administration 

16 and the Economic Development Administration 

17 of the Department of Commerce; and 

18 (B) other institutions or entities that use 

19 Federal resources, including— 

20 (i) small business development cen21 ters, as that term is defined in section 3(t) 

22 of the Small Business Act (15 U.S.C. 

23 632(t)); 


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1 (ii) women’s business centers de2 scribed in section 29 of the Small Business 

3 Act (15 U.S.C. 656); 

4 (iii) eligible entities, as that term is 

5 defined in section 2411 of title 10, United 

6 States Code, that provide services under 

7 the program carried out under chapter 142 

8 of that title; and 

9 (iv) entities participating in the Hol10 lings Manufacturing Extension Partnership 

11 Program established under section 25 of 

12 the National Institute of Standards and 

13 Technology Act (15 U.S.C. 278k); 

14 (4) monitoring projects carried out by each 

15 Center; and 

16 (5) establishing and enforcing administrative 

17 and reporting requirements for each Center to carry 

18 out the requirements under subsection (a). 

19 (k) REGULATIONS.—The Assistant Secretary shall 

20 issue and publish regulations that establish minimum 

21 standards regarding verification of minority business en22 terprise status for clients of entities operating under the 

23 MBDC Program. 


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1 SEC. 214. MINIMIZING DISRUPTIONS TO EXISTING BUSI2 NESS CENTERS PROGRAM. 

3 The Assistant Secretary shall ensure that each coop4 erative agreement entered into under the Business Centers 

5 program of the Agency that is in effect on the day before 

6 the date of enactment of this Act is carried out in a man7 ner that, to the greatest extent practicable, prevents dis8 ruption of any activity carried out under the cooperative 

9 agreement. 

10 SEC. 215. PUBLICITY. 

11 In carrying out the MBDC Program, the Assistant 

12 Secretary shall widely publicize the MBDC Program, in13 cluding— 

14 (1) on the website of the Agency; and 

15 (2) via social media outlets. 

16 SEC. 216. AUTHORIZATION OF APPROPRIATIONS. 

17 There are authorized to be appropriated to the As18 sistant Secretary $30,000,000 for each of fiscal years 

19 2021 through 2024 to carry out the MBDC Program, in20 cluding the component of the program relating to Spe21 cialty Centers. 


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1 TITLE III—NEW INITIATIVES TO 

2 PROMOTE ECONOMIC RESIL3 IENCY FOR MINORITY BUSI4 NESSES 

5 SEC. 301. ANNUAL DIVERSE BUSINESS FORUM ON CAPITAL 

6 FORMATION. 

7 (a) RESPONSIBILITY OF AGENCY.—Not later than 18 

8 months after the date of enactment of this Act, and annu9 ally thereafter, the Agency shall conduct a Government10 business forum to review the current status of problems 

11 and programs relating to capital formation by minority 

12 business enterprises. 

13 (b) PARTICIPATION IN FORUM PLANNING.—The As14 sistant Secretary shall invite the heads of other Federal 

15 agencies, such as the Chairman of the Securities and Ex16 change Commission, the Secretary of the Treasury, and 

17 the Chairman of the Board of Governors of the Federal 

18 Reserve System, organizations representing State securi19 ties commissioners, representatives of leading minority 

20 chambers of commerce, business organizations, and pro21 fessional organizations concerned with capital formation 

22 to participate in the planning of each forum conducted 

23 under subsection (a). 

24 (c) PREPARATION OF STATEMENTS AND REPORTS.— 


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1 (1) REQUESTS.—The Assistant Secretary may 

2 request that any head of a Federal department, 

3 agency, or organization, including those described in 

4 subsection (b), or any other group or individual, pre5 pare a statement or report to be delivered at any 

6 forum conducted under subsection (a). 

7 (2) COOPERATION.—Any head of a Federal de8 partment, agency, or organization who receives a re9 quest under paragraph (1) shall, to the greatest ex10 tent practicable, cooperate with the Assistant Sec11 retary to fulfill that request. 

12 (d) TRANSMITTAL OF PROCEEDINGS AND FIND13 INGS.—The Assistant Secretary shall— 

14 (1) prepare a summary of the proceedings of 

15 each forum conducted under subsection (a), which 

16 shall include the findings and recommendations of 

17 the forum; and 

18 (2) transmit the summary described in para19 graph (1) with respect to each forum conducted 

20 under subsection (a) to— 

21 (A) the participants in the forum; 

22 (B) Congress; and 

23 (C) the public, through a publicly available 

24 website. 


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1 (e) REVIEW OF FINDINGS AND RECOMMENDATIONS; 

2 PUBLIC STATEMENTS.— 

3 (1) IN GENERAL.—A Federal agency to which 

4 a finding or recommendation described in subsection 

5 (d)(1) relates shall— 

6 (A) review that finding or recommenda7 tion; and 

8 (B) promptly after the finding or rec9 ommendation is transmitted under paragraph 

10 (2)(C) of subsection (d), issue a public state11 ment— 

12 (i) assessing the finding or rec13 ommendation; and 

14 (ii) disclosing the action, if any, the 

15 Federal agency intends to take with re16 spect to the finding or recommendation. 

17 (2) JOINT STATEMENT PERMITTED.—If a find18 ing or recommendation described in subsection 

19 (d)(1) relates to more than 1 Federal agency, the 

20 applicable Federal agencies may, for the purposes of 

21 the public statement required under paragraph 

22 (1)(B), issue a joint statement. 


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1 SEC. 302. AGENCY STUDY ON ALTERNATIVE FINANCING SO2 LUTIONS. 

3 (a) PURPOSE.—The purpose of this section is to pro4 vide information relating to alternative financing solutions 

5 to minority business enterprises, as those business enter6 prises are more likely to struggle in accessing, particularly 

7 at affordable rates, traditional sources of capital. 

8 (b) STUDY AND REPORT.—Not later than 1 year 

9 after the date of enactment of this Act, the Assistant Sec10 retary shall— 

11 (1) conduct a study on opportunities for pro12 viding alternative financing solutions to minority 

13 business enterprises; and 

14 (2) submit to Congress, and publish on the 

15 website of the Agency, a report describing the find16 ings of the study carried out under paragraph (1). 

17 SEC. 303. EDUCATIONAL DEVELOPMENT RELATING TO 

18 MANAGEMENT AND ENTREPRENEURSHIP. 

19 (a) DUTIES.—The Assistant Secretary shall, when20 ever the Assistant Secretary determines such action is nec21 essary or appropriate— 

22 (1) promote and provide assistance for the edu23 cation and training of socially disadvantaged individ24 uals in subjects directly relating to business adminis25 tration and management; 


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1 (2) join with, and encourage, institutions of 

2 higher education, leaders in business and industry, 

3 and other public sector and private sector entities, 

4 particularly minority business enterprises, to— 

5 (A) develop programs to offer scholarships 

6 and fellowships, apprenticeships, and intern7 ships relating to business to socially disadvan8 taged individuals; and 

9 (B) sponsor seminars, conferences, and 

10 similar activities relating to business for the 

11 benefit of socially disadvantaged individuals; 

12 (3) stimulate and accelerate curriculum design 

13 and improvement in support of development of mi14 nority business enterprises; and 

15 (4) encourage and assist private institutions 

16 and organizations and public sector entities to un17 dertake activities similar to the activities described 

18 in paragraphs (1), (2), and (3). 

19 (b) PARREN J. MITCHELL ENTREPRENEURSHIP

20 EDUCATION GRANTS.— 

21 (1) DEFINITION.—In this subsection, the term 

22 ‘‘eligible institution’’ means an institution of higher 

23 education described in any of paragraphs (1) 

24 through (7) of section 371(a) of the Higher Edu25 cation Act of 1965 (20 U.S.C. 1067q(a)). 


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1 (2) GRANTS.—The Assistant Secretary shall 

2 award grants to eligible institutions to develop and 

3 implement entrepreneurship curricula. 

4 (3) REQUIREMENTS.—An eligible institution 

5 that receives a grant awarded under this subsection 

6 shall use the grant funds to— 

7 (A) develop a curriculum that includes 

8 training in various skill sets needed by contem9 porary successful entrepreneurs, including— 

10 (i) business management and mar11 keting; 

12 (ii) financial management and ac13 counting; 

14 (iii) market analysis; 

15 (iv) competitive analysis; 

16 (v) innovation; 

17 (vi) strategic planning; and 

18 (vii) any other skill set that the eligi19 ble institution determines is necessary for 

20 the students served by the eligible institu21 tion and the community in which the eligi22 ble institution is located; and 

23 (B) implement the curriculum developed 

24 under subparagraph (A) at the eligible institu25 tion. 


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1 (4) IMPLEMENTATION TIMELINE.—The Assist2 ant Secretary shall establish and publish a timeline 

3 under which an eligible institution that receives a 

4 grant under this section shall carry out the require5 ments under paragraph (3). 

6 (5) REPORTS.—Each year, the Assistant Sec7 retary shall submit to the Committee on Commerce, 

8 Science, and Transportation of the Senate and the 

9 Committee on Energy and Commerce of the House 

10 of Representatives, as part of the annual budget 

11 submission of the President under section 1105(a) 

12 of title 31, United States Code, a report evaluating 

13 the awarding and use of grants under this sub14 section during the fiscal year immediately preceding 

15 the date on which the report is submitted, which 

16 shall include, with respect to that fiscal year— 

17 (A) a description of each curriculum devel18 oped and implemented under each grant award19 ed under this section; 

20 (B) the date on which each grant awarded 

21 under this section was awarded; and 

22 (C) the number of eligible entities that 

23 were recipients of grants awarded under this 

24 section. 


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1 TITLE IV—ADMINISTRATIVE AND 

2 OTHER POWERS OF THE 

3 AGENCY; MISCELLANEOUS 

4 PROVISIONS 

5 SEC. 401. ADMINISTRATIVE POWERS. 

6 (a) IN GENERAL.—In carrying out this Act, the As7 sistant Secretary may— 

8 (1) adopt and use a seal for the Agency, which 

9 shall be judicially noticed; 

10 (2) hold hearings, sit and act, and take testi11 mony as the Assistant Secretary may determine to 

12 be necessary or appropriate to carry out this Act; 

13 (3) acquire, in any lawful manner, any property 

14 that the Assistant Secretary may determine to be 

15 necessary or appropriate to carry out this Act; 

16 (4) make advance payments under grants, con17 tracts, and cooperative agreements awarded under 

18 this Act; 

19 (5) enter into agreements with other Federal 

20 agencies; 

21 (6) coordinate with the heads of the Offices of 

22 Small and Disadvantaged Business Utilization of 

23 Federal agencies; 

24 (7) require a coordinated review of all training 

25 and technical assistance activities that are proposed 


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1 to be carried out by Federal agencies in direct sup2 port of the development of minority business enter3 prises to— 

4 (A) ensure consistency with the purposes 

5 of this Act; and 

6 (B) avoid duplication of existing efforts; 

7 and 

8 (8) prescribe such rules, regulations, and proce9 dures as the Agency may determine to be necessary 

10 or appropriate to carry out this Act. 

11 (b) EMPLOYMENT OF CERTAIN EXPERTS AND CON12 SULTANTS.— 

13 (1) IN GENERAL.—In carrying out this Act, the 

14 Assistant Secretary may employ experts and consult15 ants or organizations that are composed of experts 

16 or consultants, as authorized under section 3109 of 

17 title 5, United States Code. 

18 (2) RENEWAL OF CONTRACTS.—The Assistant 

19 Secretary may annually renew a contract for employ20 ment of an individual employed under paragraph 

21 (1). 

22 (c) DONATION OF PROPERTY.— 

23 (1) IN GENERAL.—Subject to paragraph (2), in 

24 carrying out this Act, the Assistant Secretary may, 

25 without cost (except for costs of care and handling), 


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1 donate for use by any public sector entity, or by any 

2 recipient nonprofit organization, for the purpose of 

3 the development of minority business enterprises, 

4 any real or tangible personal property acquired by 

5 the Agency in carrying out this Act. 

6 (2) TERMS, CONDITIONS, RESERVATIONS, AND

7 RESTRICTIONS.—The Assistant Secretary may im8 pose reasonable terms, conditions, reservations, and 

9 restrictions upon the use of any property donated 

10 under paragraph (1). 

11 SEC. 402. FINANCIAL ASSISTANCE. 

12 (a) IN GENERAL.— 

13 (1) PROVISION OF FINANCIAL ASSISTANCE.—To 

14 carry out sections 201, 202, and 203(a), the Assist15 ant Secretary may provide financial assistance to 

16 public sector entities and private sector entities in 

17 the form of contracts, grants, or cooperative agree18 ments. 

19 (2) NOTICE.—Not later than 120 days before 

20 the first day of each fiscal year, the Assistant Sec21 retary shall, in accordance with subsection (b), 

22 broadly publish a statement regarding financial as23 sistance that will, or may, be made available under 

24 paragraph (1) in the first fiscal year that begins 


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1 after the date on which the statement is published, 

2 including— 

3 (A) the actual, or anticipated, amount of 

4 financial assistance that will, or may, be made 

5 available; 

6 (B) the types of financial assistance that 

7 will, or may, be made available; 

8 (C) the manner in which financial assist9 ance will be allocated among public sector enti10 ties and private sector entities, as applicable; 

11 and 

12 (D) the methodology used by the Assistant 

13 Secretary to make allocations under subpara14 graph (C). 

15 (3) CONSULTATION.—The Assistant Secretary 

16 shall consult with public sector entities and private 

17 sector entities, as applicable, in deciding the 

18 amounts and types of financial assistance to make 

19 available under paragraph (1). 

20 (b) PUBLICITY.—In carrying out this section, the As21 sistant Secretary shall broadly publicize all opportunities 

22 for financial assistance available under this section, in23 cluding— 

24 (1) on the website of the Agency; and 

25 (2) via social media outlets. 


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1 SEC. 403. AUDITS. 

2 (a) RECORDKEEPING REQUIREMENT.—Each recipi3 ent of assistance under this Act shall keep such records 

4 as the Assistant Secretary shall prescribe, including 

5 records that fully disclose, with respect to the assistance 

6 received by the recipient under this Act— 

7 (1) the amount and nature of that assistance; 

8 (2) the disposition by the recipient of the pro9 ceeds of that assistance; 

10 (3) the total cost of the undertaking for which 

11 the assistance is given or used; 

12 (4) the amount and nature of the portion of the 

13 cost of the undertaking described in paragraph (3) 

14 that is supplied by a source other than the Agency; 

15 and 

16 (5) any other records that will facilitate an ef17 fective audit of the assistance. 

18 (b) ACCESS BY GOVERNMENT OFFICIALS.—The As19 sistant Secretary, the Inspector General of the Depart20 ment of Commerce, and the Comptroller General of the 

21 United States, or any duly authorized representative of 

22 any such individual, shall have access, for the purpose of 

23 audit, investigation, and examination, to any book, docu24 ment, paper, record, or other material of a recipient of 

25 assistance under this Act that pertains to the assistance 

26 received by the recipient under this Act. 


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1 SEC. 404. REVIEW AND REPORT BY COMPTROLLER GEN2 ERAL. 

3 Not later than 4 years after the date of enactment 

4 of this Act, the Comptroller General of the United States 

5 shall— 

6 (1) conduct a thorough review of the programs 

7 carried out under this Act; and 

8 (2) submit to Congress a detailed report of the 

9 findings of the Comptroller General of the United 

10 States under the review carried out under paragraph 

11 (1), which shall include— 

12 (A) an evaluation of the effectiveness of 

13 the programs in achieving the purposes of this 

14 Act; 

15 (B) a description of any failure by any re16 cipient of assistance under this Act to comply 

17 with the requirements under this Act; and 

18 (C) recommendations for any legislative or 

19 administrative action that should be taken to 

20 improve the achievement of the purposes of this 

21 Act. 

22 SEC. 405. ANNUAL REPORTS; RECOMMENDATIONS. 

23 (a) ANNUAL REPORT.—Not later than 90 days after 

24 the last day of each fiscal year, the Assistant Secretary 

25 shall submit to Congress, and publish on the website of 

26 the Agency, a report of each activity of the Agency carried 


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1 out under this Act during the fiscal year preceding the 

2 date on which the report is submitted. 

3 (b) RECOMMENDATIONS.—The Assistant Secretary 

4 shall periodically submit to Congress and the President 

5 recommendations for legislation or other actions that the 

6 Assistant Secretary determines to be necessary or appro7 priate to promote the purposes of this Act. 

8 SEC. 406. SEPARABILITY. 

9 If a provision of this Act, or the application of a pro10 vision of this Act to any person or circumstance, is held 

11 by a court of competent jurisdiction to be invalid, that 

12 judgment— 

13 (1) shall not affect, impair, or invalidate— 

14 (A) any other provision of this Act; or 

15 (B) the application of this Act to any other 

16 person or circumstance; and 

17 (2) shall be confined in its operation to— 

18 (A) the provision of this Act with respect 

19 to which the judgment is rendered; or 

20 (B) the application of the provision of this 

21 Act to each person or circumstance directly in22 volved in the controversy in which the judgment 

23 is rendered. 


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1 SEC. 407. EXECUTIVE ORDER 11625. 

2 The powers and duties of the Agency shall be deter3 mined— 

4 (1) in accordance with this Act and the require5 ments of this Act; and 

6 (2) without regard to Executive Order 11625 

7 (36 Fed. Reg. 19967; relating to prescribing addi8 tional arrangements for developing and coordinating 

9 a national program for minority business enter10 prise). 

11 SEC. 408. AMENDMENT TO THE FEDERAL ACQUISITION 

12 STREAMLINING ACT OF 1994. 

13 Section 7104(c) of the Federal Acquisition Stream14 lining Act of 1994 (15 U.S.C. 644a(c)) is amended by 

15 striking paragraph (2) and inserting the following: 

16 ‘‘(2) The Assistant Secretary of Commerce for 

17 Minority Business Development.’’. 

Æ 


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