II 

117TH CONGRESS 

1ST SESSION S. 2068 

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 

JUNE 15, 2021 

Mr. CARDIN (for himself, Mr. SCOTT of South Carolina, Ms. CANTWELL, and 

Mr. WICKER) 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 Development Act of 2021’’. 

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—EXISTING INITIATIVES 

Subtitle A—Market Development, Research, and Information 

Sec. 101. Private sector development. 

Sec. 102. Public sector development. 

Sec. 103. Research and information. 

Subtitle B—Minority Business Development Agency Business Center Program 

Sec. 111. Definition. 

Sec. 112. Purpose. 

Sec. 113. Establishment. 

Sec. 114. Grants and cooperative agreements. 

Sec. 115. Minimizing disruptions to existing MBDA Business Center program. 

Sec. 116. Publicity. 

TITLE II—NEW INITIATIVES TO PROMOTE ECONOMIC 

RESILIENCY FOR MINORITY BUSINESSES 

Sec. 201. Annual diverse business forum on capital formation. 

Sec. 202. Agency study on alternative financing solutions. 

Sec. 203. Educational development relating to management and entrepreneurship. 

TITLE III—RURAL MINORITY BUSINESS CENTER PROGRAM 

Sec. 301. Definitions. 

Sec. 302. Business centers. 

Sec. 303. Report to Congress. 

Sec. 304. Study and report. 

TITLE IV—MINORITY BUSINESS DEVELOPMENT GRANTS 

Sec. 401. Grants to nonprofit organizations that support minority business enterprises. 

TITLE V—MINORITY BUSINESS ENTERPRISES ADVISORY COUNCIL 

Sec. 501. Purpose. 

Sec. 502. Composition and term. 

Sec. 503. Duties. 


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TITLE VI—FEDERAL COORDINATION OF MINORITY BUSINESS 

PROGRAMS 

Sec. 601. General duties. 

Sec. 602. Participation of Federal departments and agencies. 

TITLE VII—ADMINISTRATIVE POWERS OF THE AGENCY; 

MISCELLANEOUS PROVISIONS 

Sec. 701. Administrative powers. 

Sec. 702. Federal assistance. 

Sec. 703. Recordkeeping. 

Sec. 704. Review and report by Comptroller General. 

Sec. 705. Biannual reports; recommendations. 

Sec. 706. Separability. 

Sec. 707. Executive Order 11625. 

Sec. 708. Amendment to the Federal Acquisition Streamlining Act of 1994. 

Sec. 709. Authorization of appropriations. 

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. 

7 (2) Despite the growth in the number of minor8 ity business enterprises, gaps remain with respect to 

9 key metrics for those enterprises, such as access to 

10 capital, revenue, number of employees, and survival 

11 rate. Specifically— 

12 (A) according to the 2021 Small Business 

13 Credit Survey of the Federal Reserve Banks, 

14 Black-owned and Latino-owned employer busi15 nesses are more than 2 and 1.5 times more 

16 likely to be denied loans, respectively, than 

17 White-owned employer businesses; 


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1 (B) according to the Bureau of the Cen2 sus, the average non-minority business enter3 prise reports revenue that is more than 3 times 

4 higher than revenue reported by the average 

5 minority business enterprise; and 

6 (C) according to the Kauffman Founda7 tion— 

8 (i) minority business enterprises are 

1 9 ⁄2 as likely to employ individuals, as com10 pared with non-minority business enter11 prises; and 

12 (ii) if minorities started and owned 

13 businesses at the same rate as non-minori14 ties, the economy of the United States 

15 would have more than 1,000,000 additional 

16 employer businesses and more than 

17 9,500,000 additional jobs. 

18 (3) Because of the conditions described in para19 graph (2), it is in the interest of the United States 

20 and the economy of the United States to expedi21 tiously ameliorate the disparities that minority busi22 ness enterprises experience. 

23 (4) Many individuals who own minority busi24 ness enterprises are socially disadvantaged because 

25 those individuals identify as members of certain 


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1 groups that have suffered the effects of discrimina2 tory practices or similar circumstances over which 

3 those individuals have no control, including individ4 uals who are— 

5 (A) Black or African American; 

6 (B) Hispanic or Latino; 

7 (C) American Indian or Alaska Native; 

8 (D) Asian; and 

9 (E) Native Hawaiian or other Pacific Is10 lander. 

11 (5) Discriminatory practices and similar cir12 cumstances described in paragraph (4) are a signifi13 cant determinant of overall economic disadvantage 

14 in the United States. 

15 (6) It is in the interest of Congress to address 

16 the persistent racial wealth gap in the United States 

17 and to support entrepreneurship as a pathway to 

18 wealth development. 

19 (7) While other Federal agencies focus only on 

20 small businesses and businesses that represent a 

21 broader demographic than solely minority business 

22 enterprises, the Agency focuses exclusively on— 

23 (A) the unique needs of minority business 

24 enterprises; and 


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1 (B) enhancing the capacity of minority 

2 business enterprises. 

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

4 (1) require the Agency to promote and admin5 ister programs in the public and private sectors to 

6 assist the development of minority business enter7 prises; and 

8 (2) achieve the development described in para9 graph (1) by authorizing the Under Secretary to 

10 carry out programs that will result in increased ac11 cess to capital, management, and technology for mi12 nority business enterprises. 

13 SEC. 3. DEFINITIONS. 

14 In this Act: 

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

16 Minority Business Development Agency of the De17 partment of Commerce. 

18 (2) COMMUNITY-BASED ORGANIZATION.—The 

19 term ‘‘community-based organization’’ has the 

20 meaning given the term in section 8101 of the Ele21 mentary and Secondary Education Act of 1965 (20 

22 U.S.C. 7801). 

23 (3) ELIGIBLE ENTITY.—Except as otherwise ex24 pressly provided, the term ‘‘eligible entity’’— 

25 (A) means— 


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1 (i) a private sector entity; 

2 (ii) a public sector entity; or 

3 (iii) a Tribal government; and 

4 (B) includes an institution of higher edu5 cation. 

6 (4) FEDERAL AGENCY.—The term ‘‘Federal 

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

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

9 (5) FEDERALLY RECOGNIZED AREA OF ECO10 NOMIC DISTRESS.—The term ‘‘federally recognized 

11 area of economic distress’’ means— 

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

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

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

15 (B) an area that— 

16 (i) has been designated as— 

17 (I) an empowerment zone under 

18 section 1391 of the Internal Revenue 

19 Code of 1986; or 

20 (II) a Promise Zone by the Sec21 retary of Housing and Urban Devel22 opment; or 

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

24 as determined by the Department of Hous25 ing and Urban Development; 


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1 (C) a qualified opportunity zone, as that 

2 term is defined in section 1400Z–1 of the Inter3 nal Revenue Code of 1986; or 

4 (D) any other political subdivision or unin5 corporated area of a State determined by the 

6 Under Secretary to be an area of economic dis7 tress. 

8 (6) INDIAN TRIBE.—The term ‘‘Indian 

9 Tribe’’— 

10 (A) has the meaning given the term in sec11 tion 4 of the Indian Self-Determination and 

12 Education Assistance Act (25 U.S.C. 5304); 

13 and 

14 (B) includes a Native Hawaiian organiza15 tion. 

16 (7) INSTITUTION OF HIGHER EDUCATION.—The 

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

18 meaning given the term in section 101 of the Higher 

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

20 (8) MBDA BUSINESS CENTER.—The term 

21 ‘‘MBDA Business Center’’ means any business cen22 ter that— 

23 (A) is established by the Agency; and 


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1 (B) provides technical business assistance 

2 to minority business enterprises consistent with 

3 the requirements of this Act. 

4 (9) MBDA BUSINESS CENTER AGREEMENT.— 

5 The term ‘‘MBDA Business Center agreement’’ 

6 means a legal instrument— 

7 (A) reflecting a relationship between the 

8 Agency and the recipient of a Federal assist9 ance award that is the subject of the instru10 ment; and 

11 (B) that establishes the terms by which the 

12 recipient described in subparagraph (A) shall 

13 operate an MBDA Business Center. 

14 (10) MINORITY BUSINESS ENTERPRISE.— 

15 (A) IN GENERAL.—The term ‘‘minority 

16 business enterprise’’ means a business enter17 prise— 

18 (i) that is not less than 51 percent19 owned by 1 or more socially or economi20 cally disadvantaged individuals; and 

21 (ii) the management and daily busi22 ness operations of which are controlled by 

23 1 or more socially or economically dis24 advantaged individuals. 


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1 (B) RULE OF CONSTRUCTION.—Nothing in 

2 subparagraph (A) may be construed to exclude 

3 a business enterprise from qualifying as a ‘‘mi4 nority business enterprise’’ under that subpara5 graph because of— 

6 (i) the status of the business enter7 prise as a for-profit or not-for-profit enter8 prise; or 

9 (ii) the annual revenue of the business 

10 enterprise. 

11 (11) PRIVATE SECTOR ENTITY.—The term 

12 ‘‘private sector entity’’— 

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

14 sector entity; and 

15 (B) does not include— 

16 (i) the Federal Government; 

17 (ii) any Federal agency; or 

18 (iii) any instrumentality of the Fed19 eral Government. 

20 (12) PUBLIC SECTOR ENTITY.—The term ‘‘pub21 lic sector entity’’ means— 

22 (A) a State; 

23 (B) an agency of a State; 

24 (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 (13) SECRETARY.—The term ‘‘Secretary’’ 

4 means the Secretary of Commerce. 

5 (14) SOCIALLY OR ECONOMICALLY DISADVAN6 TAGED BUSINESS CONCERN.—The term ‘‘socially or 

7 economically disadvantaged business concern’’ means 

8 a for-profit business enterprise— 

9 (A)(i) that is not less than 51 percent 

10 owned by 1 or more socially or economically dis11 advantaged individuals; or 

12 (ii) that is socially or economically dis13 advantaged; or 

14 (B) the management and daily business 

15 operations of which are controlled by 1 or more 

16 socially or economically disadvantaged individ17 uals. 

18 (15) SOCIALLY OR ECONOMICALLY DISADVAN19 TAGED INDIVIDUAL.— 

20 (A) IN GENERAL.—The term ‘‘socially or 

21 economically disadvantaged individual’’ means 

22 an individual who has been subjected to racial 

23 or ethnic prejudice or cultural bias (or the abil24 ity of whom to compete in the free enterprise 

25 system has been impaired due to diminished 


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1 capital and credit opportunities, as compared to 

2 others in the same line of business and competi3 tive market area) because of the identity of the 

4 individual as a member of a group, without re5 gard to any individual quality of the individual 

6 that is unrelated to that identity. 

7 (B) PRESUMPTION.—In carrying out this 

8 Act, the Under Secretary shall presume that 

9 the term ‘‘socially or economically disadvan10 taged individual’’ includes any individual who 

11 is— 

12 (i) Black or African American; 

13 (ii) Hispanic or Latino; 

14 (iii) American Indian or Alaska Na15 tive; 

16 (iv) Asian; 

17 (v) Native Hawaiian or other Pacific 

18 Islander; or 

19 (vi) a member of a group that the 

20 Agency determines under part 1400 of title 

21 15, Code of Federal Regulations, as in ef22 fect on November 23, 1984, is a socially 

23 disadvantaged group eligible to receive as24 sistance. 


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1 (16) SPECIALTY CENTER.—The term ‘‘specialty 

2 center’’ means an MBDA Business Center that pro3 vides specialty services focusing on specific business 

4 needs, including assistance relating to— 

5 (A) capital access; 

6 (B) Federal procurement; 

7 (C) entrepreneurship; 

8 (D) technology transfer; or 

9 (E) any other area determined necessary 

10 or appropriate based on the priorities of the 

11 Agency. 

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

13 (A) each of the States of the United 

14 States; 

15 (B) the District of Columbia; 

16 (C) the Commonwealth of Puerto Rico; 

17 (D) the United States Virgin Islands; 

18 (E) Guam; 

19 (F) American Samoa; 

20 (G) the Commonwealth of the Northern 

21 Mariana Islands; and 

22 (H) each Indian Tribe. 

23 (18) UNDER SECRETARY.—The term ‘‘Under 

24 Secretary’’ means the Under Secretary of Commerce 

25 for Minority Business Development, who is apVerDate Sep 11 2014 23:32 Jun 18, 2021 Jkt 019200 PO 00000 Frm 00013 Fmt 6652 Sfmt 6201 E:\BILLS\S2068.IS S2068

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1 pointed as described in section 4(b) to administer 

2 this Act. 

3 SEC. 4. MINORITY BUSINESS DEVELOPMENT AGENCY. 

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

5 of Commerce the Minority Business Development Agency. 

6 (b) UNDER SECRETARY.— 

7 (1) APPOINTMENT AND DUTIES.—The Agency 

8 shall be headed by the Under Secretary of Com9 merce for Minority Business Development, who 

10 shall— 

11 (A) be appointed by the President, by and 

12 with the advice and consent of the Senate; 

13 (B) except as otherwise expressly provided, 

14 be responsible for the administration of this 

15 Act; and 

16 (C) report directly to the Secretary. 

17 (2) COMPENSATION.— 

18 (A) IN GENERAL.—The Under Secretary 

19 shall be compensated at an annual rate of basic 

20 pay prescribed for level III of the Executive 

21 Schedule under section 5314 of title 5, United 

22 States Code. 

23 (B) TECHNICAL AND CONFORMING AMEND24 MENT.—Section 5314 of title 5, United States 

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1 retary of Commerce for Travel and Tourism’’ 

2 and inserting ‘‘Under Secretary of Commerce 

3 for Travel and Tourism, and Under Secretary 

4 of Commerce for Minority Business Develop5 ment’’. 

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

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

8 submit to Congress a report that describes— 

9 (1) the organizational structure of the Agency; 

10 (2) the organizational position of the Agency 

11 within the Department of Commerce; and 

12 (3) a description of how the Agency shall func13 tion in relation to the operations carried out by each 

14 other component of the Department of Commerce. 

15 (d) OFFICE OF BUSINESS CENTERS.— 

16 (1) ESTABLISHMENT.—There is established 

17 within the Agency the Office of Business Centers. 

18 (2) DIRECTOR.—The Office of Business Cen19 ters shall be administered by a Director, who shall 

20 be appointed by the Under Secretary. 

21 (e) OFFICES OF THE AGENCY.— 

22 (1) IN GENERAL.—In addition to the regional 

23 offices that the Under Secretary is required to estab24 lish under paragraph (2), the Under Secretary shall 


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1 establish such other offices within the Agency as are 

2 necessary to carry out this Act. 

3 (2) REGIONAL OFFICES.— 

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

5 this Act, the Under Secretary shall establish a 

6 regional office of the Agency for each of the re7 gions of the United States, as determined by 

8 the Under Secretary. 

9 (B) DUTIES.—Each regional office estab10 lished under subparagraph (A) shall expand the 

11 reach of the Agency and enable the Federal 

12 Government to better serve the needs of minor13 ity business enterprises in the region served by 

14 the office, including by— 

15 (i) understanding and participating in 

16 the business environment of that region; 

17 (ii) working with— 

18 (I) MBDA Business Centers that 

19 are located in that region; 

20 (II) resource and lending part21 ners of other appropriate Federal 

22 agencies that are located in that re23 gion; and 


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1 (III) Federal, State, and local 

2 procurement offices that are located 

3 in that region; 

4 (iii) being aware of business retention 

5 or expansion programs that are specific to 

6 that region; 

7 (iv) seeking out opportunities to col8 laborate with regional public and private 

9 programs that focus on minority business 

10 enterprises; and 

11 (v) promoting business continuity and 

12 preparedness. 

13 TITLE I—EXISTING INITIATIVES 

14 Subtitle A—Market Development, 

15 Research, and Information 

16 SEC. 101. PRIVATE SECTOR DEVELOPMENT. 

17 The Under Secretary shall, whenever the Under Sec18 retary determines such action is necessary or appro19 priate— 

20 (1) provide Federal assistance to minority busi21 ness enterprises operating in domestic and foreign 

22 markets by making available to those business enter23 prises, either directly or in cooperation with private 

24 sector entities, including community-based organiza25 tions and national nonprofit organizations— 


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1 (A) resources relating to management; 

2 (B) technological and technical assistance; 

3 (C) financial, legal, and marketing serv4 ices; and 

5 (D) services relating to workforce develop6 ment; 

7 (2) encourage minority business enterprises to 

8 establish joint ventures and projects— 

9 (A) with other minority business enter10 prises; or 

11 (B) in cooperation with public sector enti12 ties or private sector entities, including commu13 nity-based organizations and national nonprofit 

14 organizations, to increase the share of any mar15 ket activity being performed by minority busi16 ness enterprises; and 

17 (3) facilitate the efforts of private sector enti18 ties and Federal agencies to advance the growth of 

19 minority business enterprises. 

20 SEC. 102. PUBLIC SECTOR DEVELOPMENT. 

21 The Under Secretary shall, whenever the Under Sec22 retary determines such action is necessary or appro23 priate— 

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1 able in the jurisdictions of those public sector enti2 ties to promote the position of minority business en3 terprises in the local economies of those public sector 

4 entities, including by assisting public sector entities 

5 to establish or enhance— 

6 (A) programs to procure goods and serv7 ices through minority business enterprises and 

8 goals for that procurement; 

9 (B) programs offering assistance relating 

10 to— 

11 (i) management; 

12 (ii) technology; 

13 (iii) law; 

14 (iv) financing, including accounting; 

15 (v) marketing; and 

16 (vi) workforce development; and 

17 (C) informational programs designed to in18 form minority business enterprises located in 

19 the jurisdictions of those public sector entities 

20 about the availability of programs described in 

21 this section; 

22 (2) meet with leaders and officials of public sec23 tor entities for the purpose of recommending and 

24 promoting local administrative and legislative initia25 tives needed to advance the position of minority 


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1 business enterprises in the local economies of those 

2 public sector entities; and 

3 (3) facilitate the efforts of public sector entities 

4 and Federal agencies to advance the growth of mi5 nority business enterprises. 

6 SEC. 103. RESEARCH AND INFORMATION. 

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

8 of this Act, the Under Secretary— 

9 (1) shall— 

10 (A) collect and analyze data, including 

11 data relating to the causes of the success or 

12 failure of minority business enterprises; 

13 (B) conduct research, studies, and surveys 

14 of— 

15 (i) economic conditions generally in 

16 the United States; and 

17 (ii) how the conditions described in 

18 clause (i) particularly affect the develop19 ment of minority business enterprises; and 

20 (C) provide outreach, educational services, 

21 and technical assistance in, at a minimum, the 

22 5 most commonly spoken languages in the 

23 United States to ensure that limited-English 

24 proficient individuals receive culturally and linVerDate Sep 11 2014 23:32 Jun 18, 2021 Jkt 019200 PO 00000 Frm 00020 Fmt 6652 Sfmt 6201 E:\BILLS\S2068.IS S2068

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1 guistically appropriate access to the services 

2 and information provided by the Agency; and 

3 (2) may perform an evaluation of programs car4 ried out by the Under Secretary that are designed 

5 to assist the development of minority business enter6 prises. 

7 (b) INFORMATION CLEARINGHOUSE.—The Under 

8 Secretary shall— 

9 (1) establish and maintain an information clear10 inghouse for the collection and dissemination to rel11 evant parties (including business owners and re12 searchers) of demographic, economic, financial, man13 agerial, and technical data relating to minority busi14 ness enterprises; and 

15 (2) take such steps as the Under Secretary may 

16 determine to be necessary and desirable to— 

17 (A) search for, collect, classify, coordinate, 

18 integrate, record, and catalog the data de19 scribed in paragraph (1); and 

20 (B) in a manner that is consistent with 

21 section 552a of title 5, United States Code, pro22 tect the privacy of the minority business enter23 prises to which the data described in paragraph 

24 (1) relates. 


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1 Subtitle B—Minority Business De2 velopment Agency Business 

3 Center Program 

4 SEC. 111. DEFINITION. 

5 In this subtitle, the term ‘‘MBDA Business Center 

6 Program’’ means the program established under section 

7 113. 

8 SEC. 112. PURPOSE. 

9 The purpose of the MBDA Business Center Program 

10 shall be to create a national network of public-private 

11 partnerships that— 

12 (1) assist minority business enterprises to— 

13 (A) access capital, contracts, and grants; 

14 and 

15 (B) create and maintain jobs; 

16 (2) provide counseling and mentoring to minor17 ity business enterprises; and 

18 (3) facilitate the growth of minority business 

19 enterprises by promoting trade. 

20 SEC. 113. ESTABLISHMENT. 

21 (a) IN GENERAL.—There is established in the Agency 

22 a program— 

23 (1) that shall be known as the MBDA Business 

24 Center Program; 


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

2 efforts of the Under Secretary under section 101; 

3 and 

4 (3) under which the Under Secretary shall 

5 make Federal assistance awards to eligible entities 

6 to operate MBDA Business Centers, which shall, in 

7 accordance with section 114, provide technical as8 sistance and business development services, or spe9 cialty services, to minority business enterprises. 

10 (b) COVERAGE.—The Under Secretary shall take all 

11 necessary actions to ensure that the MBDA Business Cen12 ter Program, in accordance with section 114, offers the 

13 services described in subsection (a)(3) in all regions of the 

14 United States. 

15 SEC. 114. GRANTS AND COOPERATIVE AGREEMENTS. 

16 (a) REQUIREMENTS.—An MBDA Business Center 

17 (referred to in this subtitle as a ‘‘Center’’), with respect 

18 to the Federal financial assistance award made to operate 

19 the Center under the MBDA Business Center Program— 

20 (1) shall— 

21 (A) provide to minority business enter22 prises programs and services determined to be 

23 appropriate by the Under Secretary, which may 

24 include— 


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1 (i) referral services to meet the needs 

2 of minority business enterprises; and 

3 (ii) programs and services to accom4 plish the goals described in section 101(1); 

5 (B) develop, cultivate, and maintain a net6 work of strategic partnerships with organiza7 tions that foster access by minority business en8 terprises to economic markets, capital, or con9 tracts; 

10 (C) continue to upgrade and modify the 

11 services provided by the Center, as necessary, in 

12 order to meet the changing and evolving needs 

13 of the business community; 

14 (D) establish or continue a referral rela15 tionship with not less than 1 community-based 

16 organization; and 

17 (E) collaborate with other Centers; and 

18 (2) in providing programs and services under 

19 the applicable MBDA Business Center agreement, 

20 may— 

21 (A) operate on a fee-for-service basis; or 

22 (B) generate income through the collection 

23 of— 

24 (i) client fees; 

25 (ii) membership fees; and 


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1 (iii) any other appropriate fees pro2 posed by the Center in the application sub3 mitted by the Center under subsection (e). 

4 (b) TERM.—Subject to subsection (g)(3), the term of 

5 an MBDA Business Center agreement shall be not less 

6 than 3 years. 

7 (c) FINANCIAL ASSISTANCE.— 

8 (1) IN GENERAL.—The amount of financial as9 sistance provided by the Under Secretary under an 

10 MBDA Business Center agreement shall be not less 

11 than $250,000 for the term of the agreement. 

12 (2) MATCHING REQUIREMENT.— 

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

not less than 1 14 ⁄3 of the amount of the financial 

15 assistance awarded to the Center under the 

16 terms of the applicable MBDA Business Center 

17 agreement, unless the Under Secretary deter18 mines that a waiver of that requirement is nec19 essary after a demonstration by the Center of 

20 a substantial need for that waiver. 

21 (B) FORM OF FUNDS.—A Center may 

22 meet the matching requirement under subpara23 graph (A) by using— 


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1 (i) cash or in-kind contributions, with2 out regard to whether the contribution is 

3 made by a third party; or 

4 (ii) Federal funds received from other 

5 Federal programs. 

6 (3) USE OF FINANCIAL ASSISTANCE AND PRO7 GRAM INCOME.—A Center shall use— 

8 (A) all financial assistance awarded to the 

9 Center under the applicable MBDA Business 

10 Center agreement to carry out subsection (a); 

11 and 

12 (B) all income that the Center generates in 

13 carrying out subsection (a)— 

14 (i) to meet the matching requirement 

15 under paragraph (2) of this subsection; 

16 and 

17 (ii) if the Center meets the matching 

18 requirement under paragraph (2) of this 

19 subsection, to carry out subsection (a). 

20 (d) CRITERIA FOR SELECTION.—The Under Sec21 retary shall— 

22 (1) establish criteria that— 

23 (A) the Under Secretary shall use in deter24 mining whether to enter into an MBDA BusiVerDate Sep 11 2014 23:32 Jun 18, 2021 Jkt 019200 PO 00000 Frm 00026 Fmt 6652 Sfmt 6201 E:\BILLS\S2068.IS S2068

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1 ness Center agreement with an eligible entity; 

2 and 

3 (B) may include criteria relating to wheth4 er an eligible entity is located in— 

5 (i) an area, the population of which is 

6 composed of not less than 51 percent so7 cially or economically disadvantaged indi8 viduals, as determined in accordance with 

9 data collected by the Bureau of the Cen10 sus; 

11 (ii) a federally recognized area of eco12 nomic distress; or 

13 (iii) a State that is underserved with 

14 respect to the MBDA Business Center 

15 Program, as defined by the Under Sec16 retary; and 

17 (2) make the criteria and standards established 

18 under paragraph (1) publicly available, including— 

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

20 (B) in each Notice of Funding Opportunity 

21 soliciting MBDA Business Center agreements. 

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

23 enter into an MBDA Business Center agreement shall 

24 submit to the Under Secretary an application that in25 cludes— 


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1 (1) a statement of— 

2 (A) how the eligible entity will carry out 

3 subsection (a); and 

4 (B) any experience or plans of the eligible 

5 entity with respect to— 

6 (i) assisting minority business enter7 prises to— 

8 (I) obtain— 

9 (aa) large-scale contracts, 

10 grants, or procurements; 

11 (bb) financing; or 

12 (cc) legal assistance; 

13 (II) access established supply 

14 chains; and 

15 (III) engage in— 

16 (aa) joint ventures, teaming 

17 arrangements, and mergers and 

18 acquisitions; or 

19 (bb) large-scale transactions 

20 in global markets; 

21 (ii) supporting minority business en22 terprises in increasing the size of the 

23 workforces of those enterprises, including, 

24 with respect to a minority business enter25 prise that does not have employees, aiding 


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1 the minority business enterprise in becom2 ing an enterprise that has employees; and 

3 (iii) advocating for minority business 

4 enterprises; and 

5 (2) the budget and corresponding budget nar6 rative that the eligible entity will use in carrying out 

7 subsection (a) during the term of the applicable 

8 MBDA Business Center agreement. 

9 (f) NOTIFICATION.—If the Under Secretary grants 

10 an application of an eligible entity submitted under sub11 section (e), the Under Secretary shall notify the eligible 

12 entity that the application has been granted not later than 

13 150 days after the last day on which an application may 

14 be submitted under that subsection. 

15 (g) PROGRAM EXAMINATION; ACCREDITATION; EX16 TENSIONS.— 

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

18 after the date of enactment of this Act, and bienni19 ally thereafter, the Under Secretary shall conduct a 

20 programmatic financial examination of each Center. 

21 (2) ACCREDITATION.—The Under Secretary 

22 may provide financial support, by contract or other23 wise, to an association, not less than 51 percent of 

24 the members of which are Centers, to— 


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1 (A) pursue matters of common concern 

2 with respect to Centers; and 

3 (B) develop an accreditation program with 

4 respect to Centers. 

5 (3) EXTENSIONS.— 

6 (A) IN GENERAL.—The Under Secretary 

7 may extend the term under subsection (b) of an 

8 MBDA Business Center agreement to which a 

9 Center is a party, if the Center consents to the 

10 extension. 

11 (B) FINANCIAL ASSISTANCE.—If the 

12 Under Secretary extends the term of an MBDA 

13 Business Center agreement under paragraph 

14 (1), the Under Secretary shall, in the same 

15 manner and amount in which financial assist16 ance was provided during the initial term of the 

17 agreement, provide financial assistance under 

18 the agreement during the extended term of the 

19 agreement. 

20 (h) MBDA INVOLVEMENT.—The Under Secretary 

21 may take actions to ensure that the Agency is substan22 tially involved in the activities of Centers in carrying out 

23 subsection (a), including by— 

24 (1) providing to each Center training relating to 

25 the MBDA Business Center Program; 


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1 (2) requiring that the operator and staff of 

2 each Center— 

3 (A) attend— 

4 (i) a conference with the Agency to 

5 establish the services and programs that 

6 the Center will provide in carrying out the 

7 requirements before the date on which the 

8 Center begins providing those services and 

9 programs; and 

10 (ii) training provided under paragraph 

11 (1); 

12 (B) receive necessary guidance relating to 

13 carrying out the requirements under subsection 

14 (a); and 

15 (C) work in coordination and collaboration 

16 with the Under Secretary to carry out the 

17 MBDA Business Center Program and other 

18 programs of the Agency; 

19 (3) facilitating connections between Centers 

20 and— 

21 (A) Federal agencies other than the Agen22 cy, as appropriate; and 

23 (B) other institutions or entities that use 

24 Federal resources, such as— 


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1 (i) small business development cen2 ters, as that term is defined in section 3(t) 

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

4 632(t)); 

5 (ii) women’s business centers de6 scribed in section 29 of the Small Business 

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

8 (iii) eligible entities, as that term is 

9 defined in section 2411 of title 10, United 

10 States Code, that provide services under 

11 the program carried out under chapter 142 

12 of that title; and 

13 (iv) entities participating in the Hol14 lings Manufacturing Extension Partnership 

15 Program established under section 25 of 

16 the National Institute of Standards and 

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

18 (4) monitoring projects carried out by each 

19 Center; and 

20 (5) establishing and enforcing administrative 

21 and reporting requirements for each Center to carry 

22 out subsection (a). 

23 (i) REGULATIONS.—The Under Secretary shall issue 

24 and publish regulations that establish minimum standards 

25 regarding verification of minority business enterprise staVerDate Sep 11 2014 23:32 Jun 18, 2021 Jkt 019200 PO 00000 Frm 00032 Fmt 6652 Sfmt 6201 E:\BILLS\S2068.IS S2068

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1 tus for clients of entities operating under the MBDA Busi2 ness Center Program. 

3 SEC. 115. MINIMIZING DISRUPTIONS TO EXISTING MBDA 

4 BUSINESS CENTER PROGRAM. 

5 The Under Secretary shall ensure that each Federal 

6 assistance award made under the Business Centers pro7 gram of the Agency, as is in effect on the day before the 

8 date of enactment of this Act, is carried out in a manner 

9 that, to the greatest extent practicable, prevents disrup10 tion of any activity carried out under that award. 

11 SEC. 116. PUBLICITY. 

12 In carrying out the MBDA Business Center Pro13 gram, the Under Secretary shall widely publicize the 

14 MBDA Business Center Program, including— 

15 (1) on the website of the Agency; 

16 (2) via social media outlets; and 

17 (3) by sharing information relating to the 

18 MBDA Business Center Program with community19 based organizations, including interpretation groups 

20 where necessary, to communicate in the most com21 mon languages spoken by the groups served by those 

22 organizations. 


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1 TITLE II—NEW INITIATIVES TO 

2 PROMOTE ECONOMIC RESIL3 IENCY FOR MINORITY BUSI4 NESSES 

5 SEC. 201. 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 Under Secretary shall conduct a Gov10 ernment-business forum to review the current status of 

11 problems and programs relating to capital formation by 

12 minority business enterprises. 

13 (b) PARTICIPATION IN FORUM PLANNING.—The 

14 Under 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, not less than 1 certified owner of 

21 a minority business enterprise, business organizations, 

22 and professional organizations concerned with capital for23 mation to participate in the planning of each forum con24 ducted under subsection (a). 

25 (c) PREPARATION OF STATEMENTS AND REPORTS.— 


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1 (1) REQUESTS.—The Under Secretary may re2 quest that any head of a Federal department, agen3 cy, or organization, including those described in sub4 section (b), or any other group or individual, prepare 

5 a statement or report to be delivered at any forum 

6 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 Under Secretary 

11 to fulfill that request. 

12 (d) TRANSMITTAL OF PROCEEDINGS AND FIND13 INGS.—The Under 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 subsection 

10 (d)(2)(C), issue a public statement— 

11 (i) assessing the finding or rec12 ommendation; and 

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

14 Federal agency intends to take with re15 spect to the finding or recommendation. 

16 (2) JOINT STATEMENT PERMITTED.—If a find17 ing or recommendation described in subsection 

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

19 applicable Federal agencies may, for the purposes of 

20 the public statement required under paragraph 

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

22 SEC. 202. AGENCY STUDY ON ALTERNATIVE FINANCING SO23 LUTIONS. 

24 (a) PURPOSE.—The purpose of this section is to pro25 vide information relating to alternative financing solutions 


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1 to minority business enterprises, as those business enter2 prises are more likely to struggle in accessing, particularly 

3 at affordable rates, traditional sources of capital. 

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

5 after the date of enactment of this Act, the Under Sec6 retary shall— 

7 (1) conduct a study on opportunities for pro8 viding alternative financing solutions to minority 

9 business enterprises; and 

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

11 website of the Agency, a report describing the find12 ings of the study carried out under paragraph (1). 

13 SEC. 203. EDUCATIONAL DEVELOPMENT RELATING TO 

14 MANAGEMENT AND ENTREPRENEURSHIP. 

15 (a) DUTIES.—The Under Secretary shall, whenever 

16 the Under Secretary determines such action is necessary 

17 or appropriate— 

18 (1) promote the education and training of so19 cially or economically disadvantaged individuals in 

20 subjects directly relating to business administration 

21 and management; 

22 (2) encourage institutions of higher education, 

23 leaders in business and industry, and other public 

24 sector entities and private sector entities, particu25 larly minority business enterprises, to— 


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1 (A) develop programs to offer scholarships 

2 and fellowships, apprenticeships, and intern3 ships relating to business to socially or economi4 cally disadvantaged individuals; and 

5 (B) sponsor seminars, conferences, and 

6 similar activities relating to business for the 

7 benefit of socially or economically disadvan8 taged individuals; 

9 (3) stimulate and accelerate curriculum design 

10 and improvement in support of development of mi11 nority business enterprises; and 

12 (4) encourage and assist private institutions 

13 and organizations and public sector entities to un14 dertake activities similar to the activities described 

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

16 (b) PARREN J. MITCHELL ENTREPRENEURSHIP

17 EDUCATION GRANTS.— 

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

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

20 education described in any of paragraphs (1) 

21 through (7) of section 371(a) of the Higher Edu22 cation Act of 1965 (20 U.S.C. 1067q(a)). 

23 (2) GRANTS.—The Under Secretary shall award 

24 grants to eligible institutions to develop and imple25 ment entrepreneurship curricula. 


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1 (3) REQUIREMENTS.—An eligible institution to 

2 which a grant is awarded under this subsection shall 

3 use the grant funds to— 

4 (A) develop a curriculum that includes 

5 training in various skill sets needed by contem6 porary successful entrepreneurs, including— 

7 (i) business management and mar8 keting; 

9 (ii) financial management and ac10 counting; 

11 (iii) market analysis; 

12 (iv) competitive analysis; 

13 (v) innovation; 

14 (vi) strategic and succession planning; 

15 (vii) marketing; and 

16 (viii) any other skill set that the eligi17 ble institution determines is necessary for 

18 the students served by the eligible institu19 tion and the community in which the eligi20 ble institution is located; and 

21 (B) implement the curriculum developed 

22 under subparagraph (A) at the eligible institu23 tion. 

24 (4) IMPLEMENTATION TIMELINE.—The Under 

25 Secretary shall establish and publish a timeline 


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1 under which an eligible institution to which a grant 

2 is awarded under this section shall carry out the re3 quirements under paragraph (3). 

4 (5) REPORTS.—Each year, the Under Secretary 

5 shall submit to all applicable committees of Con6 gress, and as part of the annual budget submission 

7 of the President under section 1105(a) of title 31, 

8 United States Code, a report evaluating the award9 ing and use of grants under this subsection during 

10 the fiscal year immediately preceding the date on 

11 which the report is submitted, which shall include, 

12 with respect to that fiscal year— 

13 (A) a description of each curriculum devel14 oped and implemented under each grant award15 ed under this section; 

16 (B) the date on which each grant awarded 

17 under this section was awarded; and 

18 (C) the number of eligible entities that 

19 were recipients of grants awarded under this 

20 section. 

21 TITLE III—RURAL MINORITY 

22 BUSINESS CENTER PROGRAM 

23 SEC. 301. DEFINITIONS. 

24 In this title: 


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1 (1) APPROPRIATE CONGRESSIONAL COMMIT2 TEES.—The term ‘‘appropriate congressional com3 mittees’’ means— 

4 (A) the Committee on Commerce, Science, 

5 and Transportation of the Senate; and 

6 (B) the Committee on Financial Services 

7 of the House of Representatives. 

8 (2) ELIGIBLE ENTITY.—The term ‘‘eligible enti9 ty’’ means— 

10 (A) a part B institution; or 

11 (B) a consortium of institutions of higher 

12 education that is led by a part B institution. 

13 (3) MBDA RURAL BUSINESS CENTER.—The 

14 term ‘‘MBDA Rural Business Center’’ means an 

15 MBDA Business Center that provides technical busi16 ness assistance to minority business enterprises lo17 cated in rural areas. 

18 (4) MBDA RURAL BUSINESS CENTER AGREE19 MENT.—The term ‘‘MBDA Rural Business Center 

20 agreement’’ means an MBDA Business Center 

21 agreement that establishes the terms by which the 

22 recipient of the Federal assistance award that is the 

23 subject of the agreement shall operate an MBDA 

24 Rural Business Center. 


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1 (5) PART B INSTITUTION.—The term ‘‘part B 

2 institution’’ has the meaning given the term in sec3 tion 322 of the Higher Education Act of 1965 (20 

4 U.S.C. 1061). 

5 (6) RURAL AREA.—The term ‘‘rural area’’ has 

6 the meaning given the term in section 343(a) of the 

7 Consolidated Farm and Rural Development Act (7 

8 U.S.C. 1991(a)). 

9 (7) RURAL MINORITY BUSINESS ENTERPRISE.— 

10 The term ‘‘rural minority business enterprise’’ 

11 means a minority business enterprise located in a 

12 rural area. 

13 SEC. 302. BUSINESS CENTERS. 

14 (a) IN GENERAL.—The Under Secretary may estab15 lish MBDA Rural Business Centers. 

16 (b) PARTNERSHIP.— 

17 (1) IN GENERAL.—With respect to an MBDA 

18 Rural Business Center established by the Under 

19 Secretary, the Under Secretary shall establish the 

20 MBDA Rural Business Center in partnership with 

21 an eligible entity in accordance with paragraph (2). 

22 (2) MBDA AGREEMENT.— 

23 (A) IN GENERAL.—With respect to each 

24 MBDA Rural Business Center established by 

25 the Under Secretary, the Under Secretary shall 


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1 enter into a cooperative agreement with an eli2 gible entity that provides that— 

3 (i) the eligible entity shall provide 

4 space, facilities, and staffing for the 

5 MBDA Rural Business Center; 

6 (ii) the Under Secretary shall provide 

7 funding for, and oversight with respect to, 

8 the MBDA Rural Business Center; and 

9 (iii) subject to subparagraph (B), the 

10 eligible entity shall match 20 percent of 

11 the amount of the funding provided by the 

12 Under Secretary under clause (ii), which 

13 may be calculated to include the costs of 

14 providing the space, facilities, and staffing 

15 under clause (i). 

16 (B) LOWER MATCH REQUIREMENT.— 

17 Based on the available resources of an eligible 

18 entity, the Under Secretary may enter into a 

19 cooperative agreement with the eligible entity 

20 that provides that— 

21 (i) the eligible entity shall match less 

22 than 20 percent of the amount of the fund23 ing provided by the Under Secretary under 

24 subparagraph (A)(ii); or 


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1 (ii) if the Under Secretary makes a 

2 determination, upon a demonstration by 

3 the eligible entity of substantial need, the 

4 eligible entity shall not be required to pro5 vide any match with respect to the funding 

6 provided by the Under Secretary under 

7 subparagraph (A)(ii). 

8 (C) ELIGIBLE FUNDS.—An eligible entity 

9 may provide matching funds required under an 

10 MBDA Rural Business Center agreement with 

11 Federal funds received from other Federal pro12 grams. 

13 (3) TERM.—The initial term of an MBDA 

14 Rural Business Center agreement shall be not less 

15 than 3 years. 

16 (4) EXTENSION.—The Under Secretary and an 

17 eligible entity may agree to extend the term of an 

18 MBDA Rural Business Center agreement with re19 spect to an MBDA Rural Business Center. 

20 (c) FUNCTIONS.—An MBDA Rural Business Center 

21 shall— 

22 (1) primarily serve clients that are— 

23 (A) rural minority business enterprises; or 

24 (B) minority business enterprises that are 

25 located more than 50 miles from an MBDA 


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1 Business Center (other than that MBDA Rural 

2 Business Center); 

3 (2) focus on— 

4 (A) issues relating to— 

5 (i) the adoption of broadband internet 

6 access service (as defined in section 8.1(b) 

7 of title 47, Code of Federal Regulations, or 

8 any successor regulation), digital literacy 

9 skills, and e-commerce by rural minority 

10 business enterprises; 

11 (ii) advanced manufacturing; 

12 (iii) the promotion of manufacturing 

13 in the United States; 

14 (iv) ways in which rural minority busi15 ness enterprises can meet gaps in the sup16 ply chain of critical supplies and essential 

17 goods and services for the United States; 

18 (v) improving the connectivity of rural 

19 minority business enterprises through 

20 transportation and logistics; 

21 (vi) promoting trade and export op22 portunities by rural minority business en23 terprises; 

24 (vii) securing financial capital; 


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1 (viii) facilitating entrepreneurship in 

2 rural areas; and 

3 (ix) creating jobs in rural areas; and 

4 (B) any other issue relating to the unique 

5 challenges faced by rural minority business en6 terprises; and 

7 (3) provide education, training, and legal, finan8 cial, and technical assistance to minority business 

9 enterprises. 

10 (d) APPLICATIONS.— 

11 (1) IN GENERAL.—Not later than 90 days after 

12 the date of enactment of this Act, the Under Sec13 retary shall issue a Notice of Funding Opportunity 

14 requesting applications from eligible entities that de15 sire to enter into MBDA Rural Business Center 

16 agreements. 

17 (2) CRITERIA AND PRIORITY.—In selecting an 

18 eligible entity with which to enter into an MBDA 

19 Rural Business Center agreement, the Under Sec20 retary shall— 

21 (A) select an eligible entity that dem22 onstrates— 

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1 terprises through public-private partner2 ships; 

3 (ii) the research and extension capac4 ity to support minority business enter5 prises; 

6 (iii) knowledge of the community that 

7 the eligible entity serves and the ability to 

8 conduct effective outreach to that commu9 nity to advance the goals of an MBDA 

10 Rural Business Center; 

11 (iv) the ability to provide innovative 

12 business solutions, including access to con13 tracting opportunities, markets, and cap14 ital; 

15 (v) the ability to provide services that 

16 advance the development of science, tech17 nology, engineering, and math jobs within 

18 minority business enterprises; 

19 (vi) the ability to leverage resources 

20 from within the eligible entity to advance 

21 an MBDA Rural Business Center; 

22 (vii) that the mission of the eligible 

23 entity aligns with the mission of the Agen24 cy; 


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1 (viii) the ability to leverage relation2 ships with rural minority business enter3 prises; and 

4 (ix) a referral relationship with not 

5 less than 1 community-based organization; 

6 and 

7 (B) give priority to an eligible entity lo8 cated in a State or region that— 

9 (i) lacks an MBDA Business Center, 

10 as of the date of enactment of this Act; or 

11 (ii) has a significant population of so12 cially or economically disadvantaged indi13 viduals. 

14 SEC. 303. REPORT TO CONGRESS. 

15 Not later than 1 year after the date of enactment 

16 of this Act, the Under Secretary shall submit to the appro17 priate congressional committees a report that includes— 

18 (1) a summary of the efforts of the Under Sec19 retary to provide services to minority business enter20 prises located in States that lack an MBDA Busi21 ness Center, as of the date of enactment of this Act, 

22 and especially in those States that have significant 

23 minority populations; and 

24 (2) recommendations for extending the outreach 

25 of the Agency to underserved areas. 


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1 SEC. 304. STUDY AND REPORT. 

2 (a) IN GENERAL.—The Under Secretary, in coordi3 nation with relevant leadership of the Agency and relevant 

4 individuals outside of the Department of Commerce, shall 

5 conduct a study that addresses the ways in which minority 

6 business enterprises can meet gaps in the supply chain of 

7 the United States, with a particular focus on the supply 

8 chain of advanced manufacturing and essential goods and 

9 services. 

10 (b) REPORT.—Not later than 1 year after the date 

11 of enactment of this Act, the Under Secretary shall submit 

12 to the appropriate congressional committees a report that 

13 includes the results of the study conducted under sub14 section (a), which shall include recommendations regard15 ing the ways in which minority business enterprises can 

16 meet gaps in the supply chain of the United States. 

17 TITLE IV—MINORITY BUSINESS 

18 DEVELOPMENT GRANTS 

19 SEC. 401. GRANTS TO NONPROFIT ORGANIZATIONS THAT 

20 SUPPORT MINORITY BUSINESS ENTER21 PRISES. 

22 (a) DEFINITION.—In this section, the term ‘‘covered 

23 entity’’ means a private nonprofit organization that— 

24 (1) is described in paragraph (3), (4), (5), or 

25 (6) of section 501(c) of the Internal Revenue Code 


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1 of 1986 and exempt from tax under section 501(a) 

2 of such Code; and 

3 (2) can demonstrate that a primary activity of 

4 the organization is to provide services to minority 

5 business enterprises, whether through education, 

6 making grants or loans, or other similar activities. 

7 (b) PURPOSE.—The purpose of this section is to 

8 make grants to covered entities to help those covered enti9 ties continue the necessary work of supporting minority 

10 business enterprises. 

11 (c) ESTABLISHMENT OF OFFICE.—Not later than 

12 180 days after the date of enactment of this Act, the 

13 Under Secretary shall establish within the Agency an of14 fice that has adequate staffing to make and administer 

15 grants under this section. 

16 (d) APPLICATION.—A covered entity desiring a grant 

17 under this section shall submit to the Under Secretary an 

18 application at such time, in such manner, and containing 

19 such information as the Under Secretary may require. 

20 (e) PRIORITY.—The Under Secretary shall, in car21 rying out this section, prioritize granting an application 

22 submitted by a covered entity that is located in a federally 

23 recognized area of economic distress. 

24 (f) USE OF FUNDS.—A covered entity to which a 

25 grant is made under this section may use the grant funds 


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1 to support the development, growth, or retention of minor2 ity business enterprises. 

3 (g) PROCEDURES.—The Under Secretary shall estab4 lish procedures to— 

5 (1) discourage and prevent waste, fraud, and 

6 abuse by applicants for, and recipients of, grants 

7 made under this section; and 

8 (2) ensure that grants are made under this sec9 tion to a diverse array of covered entities, includ10 ing— 

11 (A) covered entities with a national pres12 ence; 

13 (B) community-based covered entities; 

14 (C) covered entities with annual budgets 

15 below $1,000,000; and 

16 (D) covered entities that principally serve 

17 low-income and rural communities. 

18 (h) INSPECTOR GENERAL AUDIT.—Not later than 

19 180 days after the date on which the Under Secretary be20 gins making grants under this section, the Inspector Gen21 eral of the Department of Commerce shall— 

22 (1) conduct an audit of grants made under this 

23 section, which shall seek to identify any discrep24 ancies or irregularities with respect to those grants; 

25 and 


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1 (2) submit to Congress a report regarding the 

2 audit conducted under paragraph (1). 

3 (i) UPDATES TO CONGRESS.—Not later than 90 days 

4 after the date on which the Under Secretary establishes 

5 the office described in subsection (c), and once every 30 

6 days thereafter, the Under Secretary shall submit to Con7 gress a report that contains— 

8 (1) the number of grants made under this sec9 tion during the period covered by the report; and 

10 (2) with respect to the grants described in para11 graph (1)— 

12 (A) the geographic distribution of those 

13 grants by State and county; 

14 (B) if applicable, demographic information 

15 with respect to the minority business enter16 prises served by the covered entities to which 

17 the grants were made; and 

18 (C) information regarding the industries of 

19 the minority business enterprises served by the 

20 covered entities to which the grants were made. 


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1 TITLE V—MINORITY BUSINESS 

2 ENTERPRISES ADVISORY 

3 COUNCIL 

4 SEC. 501. PURPOSE. 

5 The Under Secretary shall establish the Minority 

6 Business Enterprises Advisory Council (referred to in this 

7 title as the ‘‘Council’’) to advise and assist the Agency. 

8 SEC. 502. COMPOSITION AND TERM. 

9 (a) COMPOSITION.—The Council shall be composed 

10 of 9 members of the private sector and 1 representative 

11 from each of not fewer than 10 Federal agencies that sup12 port or otherwise have duties that relate to business for13 mation, including duties relating to labor development, 

14 monetary policy, national security, energy, agriculture, 

15 transportation, and housing. 

16 (b) CHAIR.—The Under Secretary shall designate 1 

17 of the private sector members of the Council as the Chair 

18 of the Council for a 1-year term. 

19 (c) TERM.—The Council shall meet at the request of 

20 the Under Secretary and members shall serve for a term 

21 of 2 years. Members of the Council may be reappointed. 

22 SEC. 503. DUTIES. 

23 (a) IN GENERAL.—The Council shall provide advice 

24 to the Under Secretary by— 


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1 (1) serving as a source of knowledge and infor2 mation on developments in areas of the economic 

3 and social life of the United States that affect so4 cially or economically disadvantaged business con5 cerns; 

6 (2) providing the Under Secretary with infor7 mation regarding plans, programs, and activities in 

8 the public and private sectors that relate to socially 

9 or economically disadvantaged business concerns; 

10 and 

11 (3) advising the Under Secretary regarding— 

12 (A) any measures to better achieve the ob13 jectives of this Act; and 

14 (B) problems and matters the Under Sec15 retary refers to the Council. 

16 (b) CAPACITY.—Members of the Council shall not be 

17 compensated for service on the Council but may be allowed 

18 travel expenses, including per diem in lieu of subsistence, 

19 in accordance with subchapter I of chapter 57 of title 5, 

20 United States Code. 

21 (c) TERMINATION.—Notwithstanding section 14 of 

22 the Federal Advisory Committee Act (5 U.S.C. App.), the 

23 Council shall terminate on the date that is 5 years after 

24 the date of enactment of this Act. 


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1 TITLE VI—FEDERAL COORDINA2 TION OF MINORITY BUSINESS 

3 PROGRAMS 

4 SEC. 601. GENERAL DUTIES. 

5 The Under Secretary may coordinate, as consistent 

6 with law, the plans, programs, and operations of the Fed7 eral Government that affect, or may contribute to, the es8 tablishment, preservation, and strengthening of socially or 

9 economically disadvantaged business concerns. 

10 SEC. 602. PARTICIPATION OF FEDERAL DEPARTMENTS AND 

11 AGENCIES. 

12 The Under Secretary shall— 

13 (1) consult with other Federal departments and 

14 agencies as appropriate to— 

15 (A) develop policies, comprehensive plans, 

16 and specific program goals for the programs 

17 carried out under subtitle B of title I and title 

18 III; 

19 (B) establish regular performance moni20 toring and reporting systems to ensure that 

21 goals established by the Under Secretary with 

22 respect to the implementation of this Act are 

23 being achieved; and 

24 (C) evaluate the impact of Federal support 

25 of socially or economically disadvantaged busiVerDate Sep 11 2014 23:32 Jun 18, 2021 Jkt 019200 PO 00000 Frm 00055 Fmt 6652 Sfmt 6201 E:\BILLS\S2068.IS S2068

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1 ness concerns in achieving the objectives of this 

2 Act; 

3 (2) conduct a coordinated review of all proposed 

4 Federal training and technical assistance activities 

5 in direct support of the programs carried out under 

6 subtitle B of title I and title III to ensure consist7 ency with program goals and to avoid duplication; 

8 and 

9 (3) convene, for purposes of coordination, meet10 ings of the heads of such departments and agencies, 

11 or their designees, the programs and activities of 

12 which may affect or contribute to the carrying out 

13 of this Act. 

14 TITLE VII—ADMINISTRATIVE 

15 POWERS OF THE AGENCY; 

16 MISCELLANEOUS PROVI17 SIONS 

18 SEC. 701. ADMINISTRATIVE POWERS. 

19 (a) IN GENERAL.—In carrying out this Act, the 

20 Under Secretary may— 

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

22 shall be judicially noticed; 

23 (2) hold hearings, sit and act, and take testi24 mony as the Under Secretary may determine to be 

25 necessary or appropriate to carry out this Act; 


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

2 that the Under Secretary determines to be necessary 

3 or appropriate to carry out this Act; 

4 (4) with the consent of another Federal agency, 

5 enter into an agreement with that Federal agency to 

6 utilize, with or without reimbursement, any service, 

7 equipment, personnel, or facility of that Federal 

8 agency; and 

9 (5) coordinate with the heads of the Offices of 

10 Small and Disadvantaged Business Utilization of 

11 Federal agencies. 

12 (b) USE OF PROPERTY.— 

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

14 carrying out this Act, the Under Secretary may, 

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

16 allow any public sector entity, or any recipient non17 profit organization, for the purpose of the develop18 ment of minority business enterprises, to use any 

19 real or tangible personal property acquired by the 

20 Agency in carrying out this Act. 

21 (2) TERMS, CONDITIONS, RESERVATIONS, AND

22 RESTRICTIONS.—The Under Secretary may impose 

23 reasonable terms, conditions, reservations, and re24 strictions upon the use of any property under para25 graph (1). 


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1 SEC. 702. FEDERAL ASSISTANCE. 

2 (a) IN GENERAL.— 

3 (1) PROVISION OF FEDERAL ASSISTANCE.—To 

4 carry out sections 101, 102, and 103(a), the Under 

5 Secretary may provide Federal assistance to public 

6 sector entities and private sector entities in the form 

7 of grants or cooperative agreements. 

8 (2) NOTICE.—Not later than 120 days after the 

9 date on which amounts are appropriated to carry 

10 out this section, the Under Secretary shall, in ac11 cordance with subsection (b), broadly publish a 

12 statement regarding Federal assistance that will, or 

13 may, be provided under paragraph (1) during the 

14 fiscal year for which those amounts are appro15 priated, including— 

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

17 Federal assistance that will, or may, be made 

18 available; 

19 (B) the types of Federal assistance that 

20 will, or may, be made available; 

21 (C) the manner in which Federal assist22 ance will be allocated among public sector enti23 ties and private sector entities, as applicable; 

24 and 


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1 (D) the methodology used by the Under 

2 Secretary to make allocations under subpara3 graph (C). 

4 (3) CONSULTATION.—The Under Secretary 

5 shall consult with public sector entities and private 

6 sector entities, as applicable, in deciding the 

7 amounts and types of Federal assistance to make 

8 available under paragraph (1). 

9 (b) PUBLICITY.—In carrying out this section, the 

10 Under Secretary shall broadly publicize all opportunities 

11 for Federal assistance available under this section, includ12 ing through the means required under section 116. 

13 SEC. 703. RECORDKEEPING. 

14 (a) IN GENERAL.—Each recipient of assistance 

15 under this Act shall keep such records as the Under Sec16 retary shall prescribe, including records that fully disclose, 

17 with respect to the assistance received by the recipient 

18 under this Act— 

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

20 (2) the disposition by the recipient of the pro21 ceeds of that assistance; 

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

23 the assistance is given or used; 

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

25 cost of the undertaking described in paragraph (3) 


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

2 and 

3 (5) any other record that will facilitate an effec4 tive audit with respect to the assistance. 

5 (b) ACCESS BY GOVERNMENT OFFICIALS.—The 

6 Under Secretary, the Inspector General of the Department 

7 of Commerce, and the Comptroller General of the United 

8 States, or any duly authorized representative of any such 

9 individual, shall have access, for the purpose of audit, in10 vestigation, and examination, to any book, document, 

11 paper, record, or other material of the Agency or an 

12 MBDA Business Center. 

13 SEC. 704. REVIEW AND REPORT BY COMPTROLLER GEN14 ERAL. 

15 Not later than 4 years after the date of enactment 

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

17 shall— 

18 (1) conduct a thorough review of the programs 

19 carried out under this Act; and 

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

21 findings of the Comptroller General of the United 

22 States under the review carried out under paragraph 

23 (1), which shall include— 


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1 (A) an evaluation of the effectiveness of 

2 the programs in achieving the purposes of this 

3 Act; 

4 (B) a description of any failure by any re5 cipient of assistance under this Act to comply 

6 with the requirements under this Act; and 

7 (C) recommendations for any legislative or 

8 administrative action that should be taken to 

9 improve the achievement of the purposes of this 

10 Act. 

11 SEC. 705. BIANNUAL REPORTS; RECOMMENDATIONS. 

12 (a) BIANNUAL REPORT.—Not later than 1 year after 

13 the date of enactment of this Act, and 90 days after the 

14 last day of each odd-numbered year thereafter, the Under 

15 Secretary shall submit to Congress, and publish on the 

16 website of the Agency, a report of each activity of the 

17 Agency carried out under this Act during the period cov18 ered by the report. 

19 (b) RECOMMENDATIONS.—The Under Secretary shall 

20 periodically submit to Congress and the President rec21 ommendations for legislation or other actions that the 

22 Under Secretary determines to be necessary or appro23 priate to promote the purposes of this Act. 


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1 SEC. 706. SEPARABILITY. 

2 If a provision of this Act, or the application of a pro3 vision of this Act to any person or circumstance, is held 

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

5 judgment— 

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

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

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

9 person or circumstance; and 

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

11 (A) the provision of this Act with respect 

12 to which the judgment is rendered; or 

13 (B) the application of the provision of this 

14 Act to each person or circumstance directly in15 volved in the controversy in which the judgment 

16 is rendered. 

17 SEC. 707. EXECUTIVE ORDER 11625. 

18 The powers and duties of the Agency shall be deter19 mined— 

20 (1) in accordance with this Act and the require21 ments of this Act; and 

22 (2) without regard to Executive Order 11625 

23 (36 Fed. Reg. 19967; relating to prescribing addi24 tional arrangements for developing and coordinating 

25 a national program for minority business enter26 prise). 


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1 SEC. 708. AMENDMENT TO THE FEDERAL ACQUISITION 

2 STREAMLINING ACT OF 1994. 

3 Section 7104(c) of the Federal Acquisition Stream4 lining Act of 1994 (15 U.S.C. 644a(c)) is amended by 

5 striking paragraph (2) and inserting the following: 

6 ‘‘(2) The Under Secretary of Commerce for Mi7 nority Business Development.’’. 

8 SEC. 709. AUTHORIZATION OF APPROPRIATIONS. 

9 There are authorized to be appropriated to the Under 

10 Secretary $100,000,000 for each of fiscal years 2021 

11 through 2025 to carry out this Act, of which— 

12 (1) a majority shall be used in each such fiscal 

13 year to carry out the MBDA Business Center Pro14 gram under subtitle B of title I, including the com15 ponent of that program relating to specialty centers; 

16 and 

17 (2) $10,000,000 shall be used in each such fis18 cal year to carry out title III. 

Æ 


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