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[Congressional Bills 118th Congress]
[From the U.S. Government Publishing Office]
[H.R. 5367 Introduced in House (IH)]

<DOC>

118th CONGRESS
  1st Session
                                H. R. 5367

   To amend the Small Business Act to make improvements to the Small 
      Business Development Center Program, and for other purposes.

_______________________________________________________________________

                    IN THE HOUSE OF REPRESENTATIVES

                           September 8, 2023

  Mr. Golden of Maine (for himself and Ms. Velazquez) introduced the 
 following bill; which was referred to the Committee on Small Business

_______________________________________________________________________

                                 A BILL

 
   To amend the Small Business Act to make improvements to the Small 
      Business Development Center Program, and for other purposes.

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

SECTION 1. SHORT TITLE.

    This Act may be cited as the ``Small Business Development Centers 
Improvement Act of 2023''.

SEC. 2. USE OF AUTHORIZED ENTREPRENEURIAL DEVELOPMENT PROGRAMS.

    (a) In General.--The Small Business Act (15 U.S.C. 631 et seq.) is 
amended--
            (1) by redesignating section 49 as section 50; and
            (2) by inserting after section 48 the following new 
        section:

``SEC. 49. USE OF AUTHORIZED ENTREPRENEURIAL DEVELOPMENT PROGRAMS.

    ``(a) Expanded Support for Entrepreneurs.--
            ``(1) In general.--Notwithstanding any other provision of 
        law and except as provided in paragraph (3), the 
        Administrator--
                    ``(A) shall only deliver entrepreneurial 
                development services, entrepreneurial education, or 
                support for the development and maintenance of the 
                Regional Innovation Clusters Program (or similar 
                business training services) through a program of the 
                Administration that was established before the date of 
                the enactment of this section; and
                    ``(B) may not establish a program after the date of 
                the enactment of this Act to provide such services, 
                education, or support without explicit authority 
                provided by an Act of Congress.
            ``(2) Notification.--The Administrator shall notify 
        Congress before providing any services, education, or support 
        described in paragraph (1)(A).
            ``(3) Exception.--This section does not apply to services 
        provided to assist small business concerns owned by an Indian 
        tribe (as such term is defined in section 8(a)(13)).
    ``(b) Annual Report.--The Administrator shall include in the annual 
report required under section 10(a) the following information:
            ``(1) A list of all covered activities undertaken through a 
        program of the Administration during the fiscal year preceding 
        the date of the report, including--
                    ``(A) a description and operating details for each 
                such program and the covered activities conducted under 
                each such program;
                    ``(B) operating circulars, manuals, notices of 
                awards, notices of funding opportunities, and standard 
                operating procedures for each such program and the 
                covered activities conducted under each such program;
                    ``(C) a description of the process used to provide 
                awards for covered activities conducted under each such 
                program;
                    ``(D) a list of all recipients of awards under each 
                such program, contractors, and vendors (including 
                organization name and location) and the amount of 
                awards provided during the fiscal year preceding the 
                date of the report for such programs and activities 
                performed under such programs;
                    ``(E) the total amount of funding obligated for 
                each such program and the covered activities conducted 
                under each such program for the fiscal year preceding 
                the date of the report; and
                    ``(F) the names and titles of the individuals 
                responsible for carrying out each such program.
            ``(2) Covered activity defined.--In this subsection, the 
        term `covered activity' means entrepreneurial development 
        services, entrepreneurial education, or support for the 
        development and maintenance of the Regional Innovation Clusters 
        Program (or similar business training services).''.
    (b) Applicability.--Subsection (b) of section 49 of the Small 
Business Act (15 U.S.C. 639), as added by this section, shall apply 
with respect to the first annual report required under section 10(a) of 
such Act (15 U.S.C. 639(a)) after October 1, 2023.

SEC. 3. DATA COLLECTION BY THE SMALL BUSINESS DEVELOPMENT CENTER 
              ASSOCIATION, WOMEN'S BUSINESS CENTERS, AND SCORE.

    (a) In General.--Section 21(a)(3)(A) of the Small Business Act (15 
U.S.C. 648(a)(3)(A)) is amended--
            (1) by striking ``as provided in this section and'' and 
        inserting ``as provided in this section,''; and
            (2) by inserting before the period at the end the 
        following: ``, and (iv) governing data collection activities 
        related to applicants receiving grants under this section''.
    (b) Working Group To Improve Data Collection.--
            (1) Establishment.--The Administrator of the Small Business 
        Administration shall establish a group to be known as the 
        ``Data Collection Working Group'' consisting of--
                    (A) entrepreneurial development grant recipients;
                    (B) associations and organizations representing 
                such recipients;
                    (C) contractors that handle data systems for 
                women's business centers (as described under section 29 
                of the Small Business Act (15 U.S.C. 656)), small 
                business development centers (as defined in section 3 
                of such Act (15 U.S.C. 632)), and chapters of the 
                Service Corps of Retired Executives (established under 
                section 8(b)(1)(B) of such Act (15 U.S.C. 
                637(b)(1)(B))); and
                    (D) officials from the Small Business 
                Administration.
            (2) Responsibilities.--The Data Collection Working Group 
        shall--
                    (A) determine the best methods for conducting data 
                collection activities for the Small Business 
                Development Center Program, women's business centers, 
                and chapters of the Service Corps of Retired 
                Executives; and
                    (B) develop recommendations to create or revise 
                existing systems dedicated to data collection for the 
                Small Business Development Center Program, women's 
                business centers, and chapters of the Service Corps of 
                Retired Executives.
            (3) Report.--Not later than the end of the 180-day period 
        beginning on the date of the enactment of this Act, the Data 
        Collection Working Group shall issue a report to the Committee 
        on Small Business of the House of Representatives and the 
        Committee on Small Business and Entrepreneurship of the Senate 
        containing the findings and determinations of the Data 
        Collection Working Group pursuant to paragraph (2), including--
                    (A) the recommendations developed under paragraph 
                (2)(B); and
                    (B) a proposed plan for the Administrator of the 
                Small Business Administration to implement such 
                recommendations.

SEC. 4. MARKETING OF SERVICES.

    Section 21 of the Small Business Act (15 U.S.C. 648), as amended by 
section 14, is further amended by adding at the end the following:
    ``(q) No Prohibition of Marketing of Services.--An applicant 
receiving a grant under this section may use up to 10 percent of 
program funds to market and advertise the services of such applicant to 
individuals and small business concerns.''.

SEC. 5. FEES FROM PRIVATE PARTNERSHIPS.

    Section 21(a)(3) of the Small Business Act (15 U.S.C. 648(a)(3)) is 
amended by adding at the end the following:
            ``(D) Fees from private partnerships and cosponsorships.--A 
        small business development center that participates in a 
        private partnership or cosponsorship, in which the 
        Administrator or designee of the Administrator also 
        participates, may collect fees or other income related to the 
        operation of such private partnership or cosponsorship.''.

SEC. 6. EQUITY FOR SMALL BUSINESS DEVELOPMENT CENTERS.

    Subclause (I) of section 21(a)(4)(C)(v) of the Small Business Act 
(15 U.S.C. 648(a)(4)(C)(v)(I)) is amended to read as follows:
                    ``(I) In general.--Of the amounts made available in 
                any fiscal year to carry out this section, not more 
                than $600,000 may be used by the Administration to pay 
                expenses enumerated in subparagraphs (B) through (D) of 
                section 20(a)(1).''.

SEC. 7. CONFIDENTIALITY REQUIREMENTS.

    Section 21(a)(7)(A) of the Small Business Act (15 U.S.C. 
648(a)(7)(A)) is amended--
            (1) by striking ``or telephone number'' and inserting ``, 
        telephone number, or email address''; and
            (2) by inserting ``, or the nature or content of such 
        assistance, to any State, local, or Federal agency, or to any 
        third party'' after ``receiving assistance under this 
        section''.

SEC. 8. LIMITATION ON AWARD OF GRANTS TO SMALL BUSINESS DEVELOPMENT 
              CENTERS.

    (a) In General.--Section 21 of the Small Business Act (15 U.S.C. 
648), as amended by this Act, is further amended--
            (1) in subsection (a)(1)--
                    (A) by striking ``any women's business center 
                operating pursuant to section 29,'';
                    (B) by striking ``or a women's business center 
                operating pursuant to section 29''; and
                    (C) by striking ``and women's business centers 
                operating pursuant to section 29''; and
            (2) by adding at the end the following:
    ``(r) Limitation on Award of Grants.--Except for institutions of 
higher education (as defined in section 101 of the Higher Education Act 
of 1965 (20 U.S.C. 1001), and notwithstanding any other provision of 
law, the Administrator may not award a grant or contract to, or enter 
into a cooperative agreement with, an entity under this section unless 
that entity--
            ``(1) received a grant or contract from, or entered into a 
        cooperative agreement with, the Administrator under this 
        section before the date of the enactment of this subsection; 
        and
            ``(2) seeks to renew such a grant, contract, or cooperative 
        agreement after such date.''.
    (b) Rule of Construction.--The amendments made by this section may 
not be construed as prohibiting a women's business center (as described 
under section 29 of the Small Business Act) from receiving a subgrant 
from an entity receiving a grant under section 21 of the Small Business 
Act.

SEC. 9. MANAGEMENT OF PROGRAM ACTIVITIES.

    Section 21(a)(3) of the Small Business Act (15 U.S.C. 648(a)(3)), 
as amended by section 5, is further amended--
            (1) in the matter preceding subparagraph (A), by striking 
        ``upon, with full participation of both parties,'' and 
        inserting ``upon with the full participation of all parties 
        (including the association authorized in subparagraph (A)), and 
        carried out'';
            (2) in subparagraph (A), by striking ``and develop'' and 
        inserting ``and negotiate the development of''; and
            (3) in subparagraph (C)--
                    (A) by striking ``Whereas'';
                    (B) by inserting ``Program'' after ``Center'';
                    (C) by striking ``National'' and inserting 
                ``national''; and
                    (D) by moving such subparagraph 2 ems to the left.

SEC. 10. AUTHORIZATION OF APPROPRIATIONS FOR FORMULA GRANTS RECEIVED BY 
              STATES.

    Section 21(a)(4)(C) of the Small Business Act (15 U.S.C. 
648(a)(4)(C)) is amended--
            (1) in clause (vii), by striking ``this subparagraph--'' 
        and all that follows through the period at the end and 
        inserting ``this subparagraph $175,000,000 for each of fiscal 
        years 2024 through 2027.''; and
            (2) in clause (viii)--
                    (A) by striking ``shall reserve not less than 
                $1,000,000'' and inserting ``shall reserve not more 
                than $2,000,000''; and
                    (B) by striking ``shall not exceed $100,000'' and 
                inserting ``shall not exceed $200,000''.

SEC. 11. REQUIREMENTS RELATING TO MATCHING FUNDS.

    Section 21(a)(4)(A) of the Small Business Act (15 U.S.C. 
648(a)(4)(A)) is amended by adding at the end the following new 
sentence: ``Such matching funds shall be evidenced by good faith 
assertions from the applicant, and the expenditure of matching funds 
shall not be made a prerequisite of the reimbursement of Federal funds, 
notwithstanding the final reconciliation payment for the close-out of 
each award.''.

SEC. 12. CONTRACT PREREQUISITES.

    Section 21(a)(5)(B) of the Small Business Act (15 U.S.C. 
648(a)(5)(B)) is amended by adding at the end the following: ``If the 
Associate Administrator fails to issue a determination of an approval 
for a contract within 10 days after receipt of a request for such 
determination, such contract shall be deemed to be approved.''.

SEC. 13. DUTIES OF THE ASSOCIATE ADMINISTRATOR FOR SMALL BUSINESS 
              DEVELOPMENT CENTERS.

    Section 21(h)(2) of the Small Business Act (15 U.S.C. 648(h)(2)) is 
amended by adding at the end the following new subparagraph:
                    ``(C) Marketing.--The Associate Administrator for 
                Small Business Development Centers shall market and 
                advertise the Small Business Development Center Program 
                and participants in such Program as a resource 
                available to any Federal program providing assistance 
                to small business concerns.''.

SEC. 14. ANNUAL REPORT ON ENTREPRENEURIAL DEVELOPMENT ACTIVITIES.

    Section 21 of the Small Business Act (15 U.S.C. 648) is amended by 
adding at the end the following new subsection:
    ``(p) Small Business Development Centers Annual Report.--Beginning 
on the first December 1 after the date of the enactment of this 
subsection, the Administrator shall annually submit to the Committee on 
Small Business of the House of Representatives and the Committee on 
Small Business and Entrepreneurship of the Senate a report on the 
entrepreneurial development activities undertaken during the fiscal 
year preceding the date of the report through the Small Business 
Development Center Program (in this subsection referred to as the 
`Program'), including--
            ``(1) the total number of hours of counseling and training 
        services provided through the Program;
            ``(2) to the extent practicable, the demographics of 
        participants in the Program, which shall include the gender, 
        race, and age of each such participant;
            ``(3) the number of participants in the Program who are 
        veterans;
            ``(4) the number of new businesses started by participants 
        in the Program;
            ``(5) to the extent practicable, the number of jobs created 
        or retained with assistance from the Program;
            ``(6) to the extent practicable, the amount of capital 
        secured by participants in the Program, including through loans 
        and equity investment;
            ``(7) the number of participants in the Program receiving 
        financial assistance, including the type and dollar amount, 
        under a loan program of the Administration;
            ``(8) an estimate of gross receipts, including (to the 
        extent practicable) a description of any change in revenue, of 
        small business concerns assisted through the Program;
            ``(9) the number of referrals of individuals counseled or 
        trained through the Program to other resources and programs of 
        the Administration;
            ``(10) the results of satisfaction surveys of participants 
        in the Program, including a summary of any comments received 
        from such participants; and
            ``(11) any recommendations by the Administrator or the 
        National Small Business Development Center Advisory Board 
        (established under subsection (i)) to improve the delivery of 
        services by the Program.''.
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