HR 1332 PCS
veterans of the Armed Forces or members of 
the reserve components of the Armed Forces. 
‘‘(B) The loan shall include the participa-
tion by the Administration equal to 90 percent 
of the balance of the financing outstanding at 
the time of disbursement. 
‘‘(C) The fees on the loan under para-
graphs (18) and (23) shall not apply.’’. 
(b) NOTICE AND COMMENT.—The program required 
by section 7(a)(36) of the Small Business Act, as added 
by subsection (a), shall be established after the oppor-
tunity for notice and comment and not later than 180 days 
after the date of the enactment of this Act. 
SEC. 106. ALTERNATIVE SIZE STANDARD. 
(a) IN GENERAL.—Section 3(a) of the Small Busi-
ness Act (15 U.S.C. 632(a)) is amended by adding at the 
end the following: 
‘‘(5) In addition to any other size standard 
under this subsection, the Administrator shall estab-
lish, and permit a lender making a loan under sec-
tion 7(a) and a lender making a loan under the de-
velopment company loan program to use, an alter-
native size standard. The alternative size standard 
shall be based on factors including maximum tan-
gible net worth and average net income.’’. 
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HR 1332 PCS
(b) APPLICABILITY.—Until the Administrator estab-
lishes, under section 3(a)(5) of the Small Business Act 
(as added by subsection (a)), an alternative size standard 
in the case of a lender making a loan under section 7(a) 
of that Act, the alternative size standard in section 
121.301(b) of title 13, Code of Federal Regulations, shall 
apply to such a case. 
SEC. 107. SUPPORT TO REGIONAL OFFICES. 
Section 7(a) of the Small Business Act (15 U.S.C. 
636(a)) is amended by adding at the end the following: 
‘‘(37) SUPPORT TO REGIONAL OFFICES.—The 
Administrator shall carry out a program, within an 
element of the Administration already in existence 
as of the date of the enactment of the , to provide 
support to regional offices of the Administration in 
assisting small lenders who do not participate in the 
preferred lender program to participate in the 7(a) 
program.’’. 
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TITLE II—CERTIFIED DEVELOP-
MENT COMPANY ECONOMIC 
DEVELOPMENT 
LOAN 
PRO-
GRAM 
SEC. 201. CERTIFIED DEVELOPMENT COMPANY ECONOMIC 
DEVELOPMENT LOAN PROGRAM. 
Section 504 of the Small Business Investment Act 
of 1958 (15 U.S.C. 697a) is amended— 
(1) by redesignating subsections (a) and (b) as 
subsections (b) and (c); and 
(2) by inserting before subsection (b) (as so re-
designated) the following: 
‘‘(a) The program to provide financing to small busi-
nesses by guarantees of loans under this Act which are 
funded by debentures guaranteed by the Administration 
may be known as the ‘Certified Development Company 
Economic Development Loan Program’.’’. 
SEC. 202. DEFINITIONS. 
Section 103(6) of the Small Business Investment Act 
of 1958 (15 U.S.C. 662(6)) is amended to read as follows: 
‘‘(6) the term ‘development company’ means an 
entity incorporated under State law with the author-
ity to promote and assist the growth and develop-
ment of small-business concerns in the areas in 
which it is authorized to operate by the Administra-
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