II 

113TH CONGRESS 

2D SESSION S. 2334 

To amend the Small Business Act and title 38, United States Code, to 

provide for a consolidated definition of a small business concern owned 

and controlled by veterans, and for other purposes. 

IN THE SENATE OF THE UNITED STATES 

MAY 14, 2014 

Mr. KING (for himself and Mr. BURR) introduced the following bill; which was 

read twice and referred to the Committee on Small Business and Entrepreneurship 

A BILL 

To amend the Small Business Act and title 38, United 

States Code, to provide for a consolidated definition of 

a small business concern owned and controlled by veterans, 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, 

3 SECTION 1. SHORT TITLE. 

4 This Act may be cited as the ‘‘Improving Opportuni5 ties for Service-Disabled Veteran-Owned Small Businesses 

6 Act of 2014’’. 

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1 SEC. 2. SMALL BUSINESS DEFINITION OF SMALL BUSINESS 

2 CONCERN CONSOLIDATED. 

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

4 632(q)) is amended— 

5 (1) by amending paragraph (2) to read as fol6 lows: 

7 ‘‘(2) SMALL BUSINESS CONCERN OWNED AND

8 CONTROLLED BY SERVICE-DISABLED VETERANS.— 

9 The term ‘small business concern owned and con10 trolled by service-disabled veterans’ means a small 

11 business concern— 

12 ‘‘(A)(i) not less than 51 percent of which 

13 is owned by one or more service-disabled vet14 erans or, in the case of any publicly owned busi15 ness, not less than 51 percent of the stock of 

16 which is owned by one or more service-disabled 

17 veterans; and 

18 ‘‘(ii) the management and daily business 

19 operations of which are controlled by one or 

20 more service-disabled veterans or, in the case of 

21 a veteran with permanent and severe disability, 

22 the spouse or permanent caregiver of such vet23 eran; or 

24 ‘‘(B) not less than 51 percent of which is 

25 owned by one or more veterans with service26 connected disabilities that are permanent and 

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1 total who are unable to manage the daily busi2 ness operations of such concern or, in the case 

3 of a publicly owned business, not less than 51 

4 percent of the stock of which is owned by one 

5 or more such veterans.’’; and 

6 (2) by adding at the end the following: 

7 ‘‘(6) TREATMENT OF BUSINESSES AFTER

8 DEATH OF VETERAN-OWNER.— 

9 ‘‘(A) IN GENERAL.—If the death of a serv10 ice-disabled veteran causes a small business 

11 concern to be less than 51 percent owned by 

12 one or more such veterans, the surviving spouse 

13 of such veteran who acquires ownership rights 

14 in such small business concern shall, for the pe15 riod described in subparagraph (B), be treated 

16 as if the surviving spouse were that veteran for 

17 the purpose of maintaining the status of the 

18 small business concern as a small business con19 cern owned and controlled by service-disabled 

20 veterans. 

21 ‘‘(B) PERIOD DESCRIBED.—The period re22 ferred to in subparagraph (A) is the period be23 ginning on the date on which the service-dis24 abled veteran dies and ending on the earliest of 

25 the following dates: 

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1 ‘‘(i) The date on which the surviving 

2 spouse remarries. 

3 ‘‘(ii) The date on which the surviving 

4 spouse relinquishes an ownership interest 

5 in the small business concern. 

6 ‘‘(iii) The date that— 

7 ‘‘(I) in the case of a surviving 

8 spouse of a veteran with a service-con9 nected disability rated as 100 percent 

10 disabling or who dies as a result of a 

11 service-connected disability, is 10 

12 years after the date of the veteran’s 

13 death; or 

14 ‘‘(II) in the case of a surviving 

15 spouse of a veteran with a service-con16 nected disability rated as less than 

17 100 percent disabling who does not 

18 die as a result of a service-connected 

19 disability, is three years after the date 

20 of the veteran’s death.’’. 

21 SEC. 3. VETERANS AFFAIRS DEFINITION OF SMALL BUSI22 NESS CONCERN CONSOLIDATED. 

23 Section 8127 of title 38, United States Code, is 

24 amended— 

25 (1) by striking subsection (h); and 

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1 (2) in subsection (l)(2), by striking ‘‘means’’ 

2 and all that follows through the period at the end 

3 and inserting the following: ‘‘has the meaning given 

4 that term under section 3(q) of the Small Business 

5 Act (15 U.S.C. 632(q)).’’. 

6 SEC. 4. GAO REPORT ON VERIFICATION OF STATUS. 

7 Not later than 270 days after the date of enactment 

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

9 shall submit to the Committee on Veterans’ Affairs and 

10 the Committee on Small Business and Entrepreneurship 

11 of the Senate and the Committee on Veterans’ Affairs and 

12 the Committee on Small Business of the House of Rep13 resentatives a report— 

14 (1) evaluating whether it is practicable for the 

15 Administrator of the Small Business Administration 

16 or the Secretary of Veterans Affairs to have Govern17 ment-wide responsibility for verifying whether a 

18 business concern purporting to be a small business 

19 concern owned and controlled by service-disabled 

20 veterans (as defined under section 3(q) of the Small 

21 Business Act (15 U.S.C. 632(q)), as amended by 

22 this Act) qualifies as a small business concern owned 

23 and controlled by service-disabled veterans; and 

24 (2) making recommendations on the advisability 

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1 tration or the Secretary of Veterans Affairs having 

2 such Government-wide responsibility. 

Æ 

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