106TH CONGRESS
1ST SESSION
H. R. 1568
AN ACT
To provide technical, financial, and procurement as-
sistance to veteran owned small businesses, and
for other purposes.
106TH CONGRESS
1ST SESSION
H. R. 1568
AN ACT
To provide technical, financial, and procurement assistance
to veteran owned small businesses, and for other purposes.
Be it enacted by the Senate and House of Representa-
tives of the United States of America in Congress assembled,
SECTION 1. SHORT TITLE.
This Act may be cited as the ‘‘Veterans Entrepre-
neurship and Small Business Development Act of 1999’’.
SEC. 2. TABLE OF CONTENTS.
Sec. 1. Short title.
Sec. 2. Table of contents.
TITLE I—GENERAL PROVISIONS
Sec. 101. Findings.
Sec. 102. Purpose.
Sec. 103. Definitions.
TITLE II—VETERANS BUSINESS DEVELOPMENT
Sec. 201. Veterans business development in the Small Business Administration.
Sec. 202. National Veterans Business Development Corporation.
Sec. 203. Advisory Committee on Veterans Business Affairs.
TITLE III—TECHNICAL ASSISTANCE
Sec. 301. SCORE program.
Sec. 302. Entrepreneurial assistance.
Sec. 303. Business development and management assistance for military reserv-
ists’ small businesses.
TITLE IV—FINANCIAL ASSISTANCE
Sec. 401. General business loan program.
Sec. 402. Assistance to active duty military reservists.
Sec. 403. Microloan program.
Sec. 404. Delta loan program.
Sec. 405. State development company program.
TITLE V—PROCUREMENT ASSISTANCE
Sec. 501. Subcontracting.
Sec. 502. Participation in Federal procurement.
TITLE VI—REPORTS AND DATA COLLECTION
Sec. 601. Reporting requirements.
Sec. 602. Report on small business and competition.
Sec. 603. Annual report of the Administrator.
Sec. 604. Data and information collection.
TITLE VII—MISCELLANEOUS PROVISIONS
Sec. 701. Administrator’s order.
Sec. 702. Small Business Administration Office of Advocacy.
Sec. 703. Study of fixed-asset small business loans.
TITLE I—GENERAL PROVISIONS
SEC. 101. FINDINGS.
Congress finds the following:
(1) Veterans of the United States Armed
Forces have been and continue to be vital to the
small business enterprises of the United States.
(2) In serving the United States, veterans often
faced great risks to preserve the American dream of
freedom and prosperity.
(3) The United States has done too little to as-
sist veterans, particularly service-disabled veterans,
in playing a greater role in the economy of the
United States by forming and expanding small busi-
ness enterprises.
(4) Medical advances and new medical tech-
nologies have made it possible for service-disabled
veterans to play a much more active role in the for-
mation and expansion of small business enterprises
in the United States.
(5) The United States must provide additional
assistance and support to veterans to better equip
them to form and expand small business enterprises,
thereby enabling them to realize the American
dream that they fought to protect.
SEC. 102. PURPOSE.
The purpose of this Act is to expand existing and es-
tablish new assistance programs for veterans who own or
operate small businesses. This Act accomplishes this pur-
pose by—
(1) expanding the eligibility for certain small
business assistance programs to include veterans;
(2) directing certain departments and agencies
of the United States to take actions that enhance
small business assistance to veterans; and
(3) establishing new institutions to provide
small business assistance to veterans or to support
the institutions that provide such assistance.
SEC. 103. DEFINITIONS.
(a) SMALL BUSINESS ACT.—Section 3 of the Small
Business Act (15 U.S.C. 632) is amended by adding at
the end the following:
‘‘(q) DEFINITIONS RELATING
TO VETERANS.—In
this Act, the following definitions apply:
‘‘(1) SERVICE-DISABLED VETERAN.—The term
‘service-disabled veteran’ means a veteran with a
disability that is service-connected (as defined in sec-
tion 101(16) of title 38, United States Code).
‘‘(2) SMALL BUSINESS CONCERN OWNED AND
CONTROLLED
BY
SERVICE-DISABLED
VETERANS.—
The term ‘small business concern owned and con-
trolled by service-disabled veterans’ means a small
business concern—
‘‘(A) not less than 51 percent of which is
owned by one or more service-disabled veterans
or, in the case of any publicly owned business,
not less than 51 percent of the stock of which
is owned by one or more service-disabled vet-
erans; and
‘‘(B) the management and daily business
operations of which are controlled by one or
more service-disabled veterans or, in the case of
a veteran with permanent and severe disability,
the spouse or permanent caregiver of such vet-
eran.
‘‘(3) SMALL BUSINESS CONCERN OWNED AND
CONTROLLED BY VETERANS.—The term ‘small busi-
ness concern owned and controlled by veterans’
means a small business concern—
‘‘(A) not less than 51 percent of which is
owned by one or more veterans or, in the case
of any publicly owned business, not less than 51
percent of the stock of which is owned by one
or more veterans; and
‘‘(B) the management and daily business
operations of which are controlled by one or
more veterans.
‘‘(4) VETERAN.—The term ‘veteran’ has the
meaning given the term in section 101(2) of title 38,
United States Code.’’.
(b) APPLICABILITY TO THIS ACT.—In this Act, the
definitions contained in section 3(q) of the Small Business
Act, as added by this section, apply.
TITLE II—VETERANS BUSINESS
DEVELOPMENT
SEC. 201. VETERANS BUSINESS DEVELOPMENT IN THE
SMALL BUSINESS ADMINISTRATION.
(a) IN GENERAL.—Section 4(b)(1) of the Small Busi-
ness Act (15 U.S.C. 633(b)(1)) is amended—
(1) in the fifth sentence, by striking ‘‘four Asso-
ciate Administrators’’ and inserting ‘‘five Associate
Administrators’’; and
(2) by inserting after the fifth sentence the fol-
lowing: ‘‘One such Associate Administrator shall be
the Associate Administrator for Veterans Business
Development, who shall administer the Office of Vet-
erans Business Development established under sec-
tion 32.’’.
(b) OFFICE
OF VETERANS BUSINESS DEVELOP-
MENT; ASSOCIATE ADMINISTRATOR.—The Small Business
Act (15 U.S.C. 631 et seq.) is further amended—
(1) by redesignating section 32 as section 34;
and
(2) by inserting after section 31 the following:
‘‘SEC. 32. VETERANS PROGRAMS.
‘‘(a) OFFICE
OF VETERANS BUSINESS DEVELOP-
MENT.—There is established in the Administration an Of-
fice of Veterans Business Development, which shall be ad-
ministered by the Associate Administrator for Veterans
Business Development (in this section referred to as the
‘Associate 
Administrator’) 
appointed 
under 
section
4(b)(1).
‘‘(b) ASSOCIATE ADMINISTRATOR
FOR VETERANS
BUSINESS
DEVELOPMENT.—The 
Associate
Administrator—
‘‘(1) shall be an appointee in the Senior Execu-
tive Service;
‘‘(2) shall be responsible for the formulation,
execution, and promotion of policies and programs of
the Administration that provide assistance to small
business concerns owned and controlled by veterans
and small business concerns owned and controlled by
service-disabled veterans. The Associate Adminis-
trator shall act as an ombudsman for full consider-
ation of veterans in all programs of the Administra-
tion; and
‘‘(3) shall report to and be responsible directly
to the Administrator.’’.
SEC. 202. NATIONAL VETERANS BUSINESS DEVELOPMENT
CORPORATION.
The Small Business Act (15 U.S.C. 631 et seq.) is
further amended by adding after section 32 (as added by
this Act) the following:
‘‘SEC. 33. NATIONAL VETERANS BUSINESS DEVELOPMENT
CORPORATION.
‘‘(a) ESTABLISHMENT.—There is established a feder-
ally chartered corporation to be known as the National
Veterans Business Development Corporation (in this sec-
tion referred to as the ‘Corporation’) which shall be incor-
porated under the laws of the District of Columbia and
which shall have the powers granted in this section.
‘‘(b) PURPOSES OF THE CORPORATION.—The pur-
poses of the Corporation shall be—
‘‘(1) to expand the provision of and improve ac-
cess to technical assistance regarding entrepreneur-
ship for the Nation’s veterans; and
‘‘(2) to assist veterans, including service-dis-
abled veterans, with the formation and expansion of
small business concerns by working with and orga-
nizing public and private resources, including those
of the Small Business Administration, the Depart-
ment of Veterans Affairs, the Department of Labor,
the Department of Commerce, the Department of
Defense, the Service Corps of Retired Executives
(described in section 8(b)(1)(B) of this Act), the
Small Business Development Centers (described in
section 21 of this Act), and the business develop-
ment staffs of each department and agency of the
United States.
‘‘(c) BOARD OF DIRECTORS.—
‘‘(1) IN
GENERAL.—The management of the
Corporation shall be vested in a Board of Directors
composed of nine voting members and three non-
voting ex officio members.
‘‘(2) APPOINTMENT
OF
VOTING
MEMBERS.—
The President shall appoint United States citizens
to be voting members of the Board of Directors as
follows:
‘‘(A) One from a list of individuals nomi-
nated by the chairman of the Committee on
Small Business of the House of Representa-
tives.