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[Congressional Bills 105th Congress]
[From the U.S. Government Publishing Office]
[H.R. 96 Introduced in House (IH)]

  1st Session
                                 H. R. 96

 To provide regulatory assistance for small business concerns, and for 
                            other purposes.

_______________________________________________________________________

                    IN THE HOUSE OF REPRESENTATIVES

                            January 7, 1997

   Mr. Solomon (for himself, Mr. Condit, Mr. Hefley, and Mr. Flake) 
 introduced the following bill; which was referred to the Committee on 
 Small Business, and in addition to the Committee on Government Reform 
   and Oversight, for a period to be subsequently determined by the 
  Speaker, in each case for consideration of such provisions as fall 
           within the jurisdiction of the committee concerned

_______________________________________________________________________

                                 A BILL

 
 To provide regulatory assistance for small business concerns, 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 Regulatory Assistance 
Act of 1997''.

SEC. 2. PURPOSE.

    The purpose of this Act is to establish a system of confidential 
voluntary compliance with Federal regulations that will--
            (1) provide a low-cost process to significantly improve 
        voluntary compliance by small business concerns with Federal 
        regulations;
            (2) improve the level of outreach to the small business 
        community and reduce duplication of effort among Federal 
        agencies;
            (3) be funded without additional appropriations;
            (4) provide a mechanism for unbiased feedback to Federal 
        agencies on the small business regulatory environment; and
            (5) partner nonpunitive compliance assistance programs with 
        the small business development center service delivery network 
        in order to improve access to and utilization of these programs 
        by the small business community.

SEC. 3. ESTABLISHMENT OF PROGRAM.

    The Small Business Act (15 U.S.C. 637 et seq.) is amended--
            (1) by redesignating section 31 as section 32; and
            (2) by inserting after section 30 the following new 
        section:

``SEC. 31. SMALL BUSINESS REGULATORY RELIEF.

    ``(a) Definitions.--For purposes of this section--
            ``(1) the term `participating agency' means--
                    ``(A) the Environmental Protection Agency;
                    ``(B) the Internal Revenue Service of the 
                Department of the Treasury; and
                    ``(C) the Department of Labor;
            ``(2) the term `small business development center' means a 
        small business development center established pursuant to 
        section 21;
            ``(3) the term `system of voluntary compliance' means the 
        system under which small business development centers or 
        consortia of small business development centers provide 
        confidential assistance to one or more small business concerns 
        in achieving voluntary compliance with regulatory requirements 
        imposed on small business concerns by a participating agency; 
        and
            ``(4) the term `compliance assistance plan' means a five 
        year plan jointly developed and annually revised by each 
        participating agency, the Office of Small Business Development 
        Centers for the Small Business Administration, and 
        representatives of an association representing a majority of 
        small business development centers for the establishment and 
        maintenance of the system of voluntary compliance.
    ``(b) Duties of Participating Agencies.--
            ``(1) Compliance assistance plan.--Not later than 90 days 
        after the date of enactment of this Act and annually 
        thereafter, each participating agency, the Office of Small 
        Business Development Centers of the Small Business 
        Administration, and representatives of an association 
        representing a majority of small business development centers 
        shall agree to a compliance assistance plan.
            ``(2) Contents of compliance assistance plan.--Each 
        compliance assistance plan agreed to under paragraph (1) shall 
        include--
                    ``(A) the regulatory compliance objectives of the 
                participating agency;
                    ``(B) the regulatory compliance priorities of the 
                participating agency;
                    ``(C) identification of the types of services, 
                materials, and resources to be developed or used by the 
                participating agency;
                    ``(D) identification of participating agency 
                facilities, expertise, and other resources that may be 
                accessed by the Office of Small Business Development 
                Centers of the Small Business Administration, a small 
                business development center, or a small business 
                concern participating in the system of voluntary 
                compliance established under this section; and
                    ``(E) performance outcome measures and evaluation 
                criteria to be used by the participating agency in 
                evaluating the effectiveness of the system of voluntary 
                compliance to be established under this section.
            ``(3) Duplication of effort.--In carrying out this 
        subsection, each participating agency shall, to the maximum 
        extent practicable, ensure that the participating agencies do 
        not duplicate the compliance assistance efforts of this 
        section.
            ``(4) Enforcement.--The participating agency, the 
        Department of Justice, or any other Federal agency shall 
        consider a small business concern participating in the system 
        of voluntary compliance to be in full compliance, if the small 
        business concern fulfills the regulatory compliance objectives 
        and priorities established in the compliance assistance plans 
        submitted under subsection (b)(1).
    ``(c) Duties of the Office of Small Business Development Centers.--
            ``(1) Implementation and administration of compliance 
        assistance plans.--
                    ``(A) In general.--Based on each compliance 
                assistance plan agreed to under subsection (b)(1), not 
later than 180 days after the date of enactment of this Act, the Office 
of Small Business Development Centers, with the agreement of an 
association representing the majority of small business development 
centers, shall develop and publish guidelines for the establishment by 
small business development centers or consortia of small business 
development centers of the system of voluntary compliance in accordance 
with this section.
                    ``(B) Guideline requirements.--The guidelines 
                published under subparagraph (A) shall--
                            ``(i) establish priorities for the types of 
                        assistance to be provided to small business 
                        concerns under the system of voluntary 
                        compliance established by small business 
                        development centers or consortia of small 
                        business development centers under this 
                        section; and
                            ``(ii) establish standards relating to 
                        educational, technical, and support services 
                        required by small business development centers 
                        or consortia of small business development 
                        centers to provide a system of voluntary 
                        compliance.
                    ``(C) Program delivery.--The guidelines established 
                under subparagraph (A) shall--
                            ``(i) require that the assistance to small 
                        business concerns participating in the system 
                        of voluntary compliance under this section be 
                        carried out by small business development 
                        centers or by consortia of small business 
                        development centers who shall, to the maximum 
                        extent practicable, access other existing 
                        Federal and State non-punitive, compliance and 
                        technical assistance programs, including, but 
                        not limited to, the technical and environmental 
                        compliance assistance programs established 
                        under section 507 of the Clean Air Act 
                        Amendments of 1990; and
                            ``(ii) provide that certain national 
                        service delivery support requirements be 
                        carried out under contract with an association 
                        representing the majority of small business 
                        development centers.
                    ``(D) Issuance of grant.--Not later than 150 days 
                after the submission of work plans under subsection 
                (d)(1), the Office of Small Business Development 
                Centers shall issue a grant to each small business 
                development center or each consortium of small business 
                development centers to carry out the system of 
                voluntary compliance.
    ``(d) Duties of Small Business Development Centers.--
            ``(1) Work plan.--Beginning not later than 60 days after 
        the date on which the guidelines are published by the Office of 
        Small Business Development Centers under subsection (c)(1)(A), 
        each small business development center or consortium of small 
        business development centers shall, on an annual basis, submit 
        to the Office of Small Business Development Centers a work plan 
        under which the small business development center will carry 
        out the system of voluntary compliance in accordance with such 
        guidelines.
            ``(2) Assistance provided.--The assistance to small 
        business concerns participating in the system of voluntary 
        compliance shall include--
                    ``(A) access to information and resources;
                    ``(B) training and educational activities;
                    ``(C) confidential, free-of-charge, one-on-one in-
                depth counseling; and
                    ``(D) technical assistance.
            ``(3) Reports; recommendations.--
                    ``(A) Each small business development center or 
                consortium of small business development centers shall, 
                on an annual basis, submit to the Office of Small 
                Business Development Centers of the Small Business 
                Administration a report on the assistance provided by 
                the small business development center or consortia 
                established under the system of voluntary compliance 
                established under this section.
                    ``(B) No small business development center, 
                consortium of small business development centers, or 
                any person relied on by any such small business 
                development center shall be required to disclose the 
                name or address of any small business concern 
                participating in the system of voluntary compliance 
                under this section.
                    ``(C) Subparagraph (B) shall not be construed to 
                prevent the Office of Inspector General of the 
                Administration from auditing a small business 
                development center, consortium of small business 
development centers, or any person relied on by any such small business 
development center.
    ``(e) Evaluations.--
            ``(1) Annual report.--The Office of Small Business 
        Development Centers of the Small Business Administration shall, 
        on an annual basis, submit to the President and to the 
        Committees on Small Business of the Senate and the House of 
        Representatives a report, which shall include--
                    ``(A) a description of the types of assistance 
                provided by small business development centers and 
                consortia of small business development centers to 
                small business concerns participating in the system of 
                voluntary compliance;
                    ``(B) the level of outreach to small business 
                concerns achieved by small business development centers 
                and consortia of small business development centers 
                under this section; and
                    ``(C) recommendations for improvements in the 
                regulation of small business concerns participating in 
                the system of voluntary compliance.
            ``(2) Independent national assessment.--Upon the expiration 
        of the three-year period beginning on the date on which the 
        majority of small business development centers and consortia of 
        small business development centers have received grants to 
        begin implementation of the work plans described under 
        subsection (d)(1), the Office of Small Business Development 
        Centers shall provide for an evaluation of the system of 
        voluntary compliance established under this section by an 
        independent third party which shall be submitted to the 
        President and to the Committees on Small Business of the Senate 
        and House of Representatives.
    ``(f) Funding.--
            ``(1) In general.--To assist the Office of Small Business 
        Development Centers of the Small Business Administration in 
        fostering, promoting, developing, and carrying out the system 
        of voluntary compliance under this section--
                    ``(A) of the total amount provided to the 
                Department of Labor--
                            ``(i) not less than 0.10 percent shall be 
                        made available for obligation and expenditure 
                        by the Office of Small Business Development 
                        Centers of the Small Business Administration 
                        for the implementation and administration of 
                        the worker safety and health compliance 
                        assistance plans in fiscal year 1999;
                            ``(ii) not less than 0.14 percent shall be 
                        made available for obligation and expenditure 
                        by the Office of Small Business Development 
                        Centers of the Small Business Administration 
                        for the implementation and administration of 
                        the worker safety and health compliance 
                        assistance plans in fiscal year 2000;
                            ``(iii) not less than 0.18 percent shall be 
                        made available for obligation and expenditure 
                        by the Office of Small Business Development 
                        Centers of the Small Business Administration 
                        for the implementation and administration of 
                        the worker safety and health compliance 
                        assistance plans in fiscal year 2001; and
                            ``(iv) not less than 0.22 percent shall be 
                        made available for obligation and expenditure 
                        by the Office of Small Business Development 
                        Centers of the Small Business Administration 
                        for the implementation and administration of 
                        the worker safety and health compliance 
                        assistance plans in each of the fiscal years 
                        2002 and 2003; and
                    ``(B) of the total amount provided to the 
                Environmental Protection Agency--
                            ``(i) not less than 0.20 percent shall be 
                        made available for obligation and expenditure 
                        by the Office of Small Business Development 
                        Centers of the Small Business Administration 
                        for the implementation and administration of 
                        the compliance assistance plans in fiscal year 
                        1999;
                            ``(ii) not less than 0.24 percent shall be 
                        made available for obligation and expenditure 
                        by the Office of Small Business Development 
                        Centers of the Small Business Administration 
                        for the implementation and administration of 
                        the compliance assistance plans in fiscal year 
                        2000;
                            ``(iii) not less than 0.29 percent shall be 
                        made available for obligation and expenditure 
                        by the Office of Small Business Development 
                        Centers of the Small Business Administration 
                        for the implementation and administration of 
                        the compliance assistance plans in fiscal year 
                        2001; and
                            ``(iv) not less than 0.35 percent shall be 
                        made available for obligation and expenditure 
                        by the Office of Small Business Development 
                        Centers of the Small Business Administration 
                        for the implementation and administration of 
                        the compliance assistance plans in each of the 
                        fiscal years 2002 and 2003; and
                    ``(C) of the total amount provided to the Internal 
                Revenue Service of the Department of the Treasury--
                            ``(i) not less than 0.25 percent shall be 
                        made available for obligation and expenditure 
                        by the Office of Small Business Development 
                        Centers of the Small Business Administration 
                        for the implementation and administration of 
                        the compliance assistance plans in fiscal year 
                        1999;
                            ``(ii) not less than 0.31 percent shall be 
                        made available for obligation and expenditure 
                        by the Office of Small Business Development 
                        Centers of the Small Business Administration 
                        for the implementation and administration of 
                        the compliance assistance plans in fiscal year 
                        2000;
                            ``(iii) not less than 0.39 percent shall be 
                        made available for obligation and expenditure 
                        by the Office of Small Business Development 
                        Centers of the Small Business Administration 
                        for the implementation and administration of 
                        the compliance assistance plans in fiscal year 
                        2001; and
                            ``(iv) not less than 0.49 percent shall be 
                        made available for obligation and expenditure 
                        by the Office of Small Business Development 
                        Centers of the Small Business Administration 
                        for the implementation and administration of 
                        the compliance assistance plans in each of the 
                        fiscal years 2002 and 2003.
            ``(2) Distribution of assistance.--
                    ``(A) In general.--Amounts made available for the 
                system of voluntary compliance under paragraph (1) 
                shall be distributed by the Office of Small Business 
                Development Centers to the small business development 
                center in each State or in each consortium in 
                accordance with subparagraphs (B), (C), and (D).
                    ``(B) Population based funding formula.--Each small 
                business development center shall receive a 
                distribution under subparagraph (A) that is equal to 
                the sum of--
                            ``(i) the pro rata share of the State of 
                        the total amount distributed by the Office of 
                        Small Business Development Centers under 
                        subparagraph (A), based upon the population of 
                        the State as compared to the total population 
                        in the United States, as determined by the 
                        Office of Small Business Development Centers; 
                        and
                            ``(ii) $300,000 for each State.
                    ``(C) Exemption from matching requirement.--Funds 
                provided under this section shall not be subject to the 
                matching funds or eligibility requirements of section 
                21(a)(4).
                    ``(D) Certification requirement.--After September 
                30, 2000, the Office of Small Business Development 
                Centers may not provide any funds under this section to 
                a small business development center or a consortium of 
                small business development centers unless the center 
                has, or centers within the consortium have, been 
                approved under the certification program conducted 
                pursuant to section (21)(k)(2), except that the 
                Associate Administrator for Small Business Development 
                Centers may waive such certification requirement, in 
                the discretion of the Associate Administrator, upon 
                showing that the center is making a good faith effort 
                to obtain certification.
                    ``(E) Administrative costs.-- Not more than 2 
                percent of the amounts made available for the system of 
                voluntary compliance under subsection (f) shall be used 
                by the Office of Small Business Development Centers for 
                administration, evaluation, and reporting costs.''.
                                 <all>
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