I 
111TH CONGRESS 
1ST SESSION H. R. 3722 
To amend the Small Business Investment Act of 1958 to improve the New 
Markets Venture Capital and Renewable Fuel Capital Investment Pro-
grams, and for other purposes. 
IN THE HOUSE OF REPRESENTATIVES 
OCTOBER 6, 2009 
Mrs. KIRKPATRICK of Arizona introduced the following bill; which was 
referred to the Committee on Small Business 
A BILL 
To amend the Small Business Investment Act of 1958 to 
improve the New Markets Venture Capital and Renew-
able Fuel Capital Investment Programs, 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 ‘‘Enhanced New Mar-
kets and Expanded Investment in Renewable Energy for 
Small Manufacturers Act of 2009’’. 
VerDate Nov 24 2008 
04:31 Oct 07, 2009
Jkt 089200
PO 00000
Frm 00001
Fmt 6652
Sfmt 6201
E:\BILLS\H3722.IH
H3722
wwoods2 on DSK1DXX6B1PROD with BILLS
TITLE I—ENHANCED NEW MAR-
KETS 
VENTURE 
CAPITAL 
PROGRAM 
SEC. 101. EXPANSION OF NEW MARKETS VENTURE CAPITAL 
PROGRAM. 
(a) ADMINISTRATION PARTICIPATION REQUIRED.— 
Section 353 of the Small Business Investment Act of 1958 
(15 U.S.C. 689b) is amended by striking ‘‘under which 
the Administrator may’’ and inserting ‘‘under which the 
Administrator shall’’. 
(b) REPORT TO CONGRESS.—Not later than 1 year 
after the date of the enactment of this Act, the Adminis-
trator of the Small Business Administration shall submit 
to Congress a report describing any expansion of the New 
Markets Venture Capital Program as a result of this sec-
tion. 
SEC. 102. IMPROVED NATIONWIDE DISTRIBUTION. 
Section 354 of the Small Business Investment Act 
of 1958 (15 U.S.C. 689c) is amended by adding at the 
end the following: 
‘‘(f) GEOGRAPHIC EXPANSION.—From among com-
panies submitting applications under subsection (b), the 
Administrator shall consider the selection criteria and pro-
motion of nationwide distribution under subsection (c) and 
shall, to the extent practicable, approve at least one com-
VerDate Nov 24 2008 
04:31 Oct 07, 2009
Jkt 089200
PO 00000
Frm 00002
Fmt 6652
Sfmt 6201
E:\BILLS\H3722.IH
H3722
wwoods2 on DSK1DXX6B1PROD with BILLS
pany from each geographic region of the Small Business 
Administration.’’. 
SEC. 103. INCREASED INVESTMENT IN SMALL BUSINESS 
CONCERNS ENGAGED PRIMARILY IN MANU-
FACTURING. 
(a) DEVELOPMENTAL VENTURE CAPITAL AND PAR-
TICIPATION AGREEMENTS.—Section 351 of the Small 
Business Investment Act of 1958 (15 U.S.C. 689) is 
amended— 
(1) in paragraph (1) by inserting after ‘‘geo-
graphic areas’’ the following: ‘‘or encouraging the 
growth or continuation of small business concerns 
located in low-income geographic areas and engaged 
primarily in manufacturing’’; and 
(2) in paragraph (6)(B) by inserting after ‘‘geo-
graphic areas’’ the following: ‘‘or in small business 
concerns located in low-income geographic areas at 
least 80 percent of which are engaged primarily in 
manufacturing’’. 
(b) PURPOSES.—Section 352(2) of the Small Busi-
ness Investment Act of 1958 (15 U.S.C. 689a(2)) is 
amended— 
(1) in the matter preceding subparagraph (A) 
by inserting after ‘‘geographic areas’’ the following: 
‘‘and small business concerns located in low-income 
VerDate Nov 24 2008 
04:31 Oct 07, 2009
Jkt 089200
PO 00000
Frm 00003
Fmt 6652
Sfmt 6201
E:\BILLS\H3722.IH
H3722
wwoods2 on DSK1DXX6B1PROD with BILLS
geographic areas and engaged primarily in manufac-
turing’’; 
(2) in subparagraph (B) by inserting after ‘‘ge-
ographic areas’’ the following: ‘‘or in small business 
concerns located in low-income geographic areas and 
engaged primarily in manufacturing’’; and 
(3) in subparagraph (C) by inserting after 
‘‘smaller enterprises’’ the following: ‘‘and small busi-
ness concerns’’. 
(c) ELIGIBILITY, APPLICATIONS, AND
REQUIRE-
MENTS FOR FINAL APPROVAL.—Section 354 of the Small 
Business Investment Act of 1958 (15 U.S.C. 689c), as 
amended by this Act, is further amended— 
(1) in subsection (a)(3) by inserting after ‘‘geo-
graphic areas’’ the following: ‘‘or investing in small 
business concerns located in low-income geographic 
areas and engaged primarily in manufacturing’’; 
(2) in subsection (b)— 
(A) in paragraph (1) by inserting after 
‘‘geographic areas’’ the following: ‘‘or in small 
business concerns located in low-income geo-
graphic areas and engaged primarily in manu-
facturing’’; and 
VerDate Nov 24 2008 
04:31 Oct 07, 2009
Jkt 089200
PO 00000
Frm 00004
Fmt 6652
Sfmt 6201
E:\BILLS\H3722.IH
H3722
wwoods2 on DSK1DXX6B1PROD with BILLS
(B) in paragraph (4) by inserting after 
‘‘smaller enterprises’’ the following: ‘‘or small 
business concerns’’; and 
(3) in subsection (d)— 
(A) in paragraph (1)— 
(i) by striking ‘‘Each’’ and inserting 
the following: 
‘‘(A) IN GENERAL.—Except as provided in 
subparagraph (B), each’’; and 
(ii) by adding at the end the fol-
lowing: 
‘‘(B) SMALL
BUSINESS
CONCERNS
EN-
GAGED PRIMARILY IN MANUFACTURING.—Each 
conditionally approved company engaged pri-
marily in development of and investment in 
small business concerns located in low-income 
geographic areas and engaged primarily in 
manufacturing 
shall 
raise 
not 
less 
than 
$3,000,000 of private capital or binding capital 
commitments from one or more investors (other 
than agencies or departments of the Federal 
Government) who met criteria established by 
the Administrator.’’; and 
VerDate Nov 24 2008 
04:31 Oct 07, 2009
Jkt 089200
PO 00000
Frm 00005
Fmt 6652
Sfmt 6201
E:\BILLS\H3722.IH
H3722
wwoods2 on DSK1DXX6B1PROD with BILLS
(B) in paragraph (2)(A) by inserting after 
‘‘smaller enterprises’’ the following: ‘‘or small 
business concerns’’. 
(d) OPERATIONAL ASSISTANCE GRANTS.—Section 
358 of the Small Business Investment Act of 1958 (15 
U.S.C. 689g) is amended— 
(1) in subsection (a)(1) by inserting after 
‘‘smaller enterprises’’ the following: ‘‘and small busi-
ness concerns’’; and 
(2) in subsection (b)(1) by inserting after 
‘‘smaller enterprises’’ the following: ‘‘and small busi-
ness concerns’’. 
SEC. 104. EXPANDED USES FOR OPERATIONAL ASSISTANCE 
IN MANUFACTURING. 
Section 351 of the Small Business Investment Act 
of 1958 (15 U.S.C. 689), as amended by this Act, is fur-
ther amended in paragraph (5) by inserting after ‘‘busi-
ness development’’ the following: ‘‘or assistance that as-
sists a small business concern located in a low-income geo-
graphic area and engaged primarily in manufacturing with 
retooling, updating, or replacing machinery or equip-
ment’’. 
VerDate Nov 24 2008 
04:31 Oct 07, 2009
Jkt 089200
PO 00000
Frm 00006
Fmt 6652
Sfmt 6201
E:\BILLS\H3722.IH
H3722
wwoods2 on DSK1DXX6B1PROD with BILLS
SEC. 105. UPDATING DEFINITION OF LOW-INCOME GEO-
GRAPHIC AREA. 
Section 351 of the Small Business Investment Act 
of 1958 (15 U.S.C. 689), as amended by this Act, is fur-
ther amended— 
(1) by striking paragraphs (2) and (3); 
(2) by inserting after paragraph (1) the fol-
lowing: 
‘‘(2) LOW-INCOME
GEOGRAPHIC
AREA.—The 
term ‘low-income geographic area’ has the meaning 
given the term ‘low-income community’ in section 
45D(e) of the Internal Revenue Code of 1986.’’; and 
(3) by redesignating paragraphs (4) through 
(8) as paragraphs (3) through (7), respectively. 
SEC. 106. EXPANDING OPERATIONAL ASSISTANCE TO CON-
DITIONALLY APPROVED COMPANIES. 
Section 358(a) of the Small Business Investment Act 
of 1958 (15 U.S.C. 689g(a)) is amended by adding at the 
end the following: 
‘‘(6) GRANTS
TO
CONDITIONALLY
APPROVED 
COMPANIES.— 
‘‘(A) IN GENERAL.—Subject to the provi-
sions of this paragraph, upon the request of a 
company conditionally approved under section 
354(c), the Administrator shall make a grant to 
the company under this subsection. 
VerDate Nov 24 2008 
04:31 Oct 07, 2009
Jkt 089200
PO 00000
Frm 00007
Fmt 6652
Sfmt 6201
E:\BILLS\H3722.IH
H3722
wwoods2 on DSK1DXX6B1PROD with BILLS
‘‘(B) REPAYMENT BY COMPANIES NOT AP-
PROVED.—If a company receives a grant under 
this paragraph and does not receive final ap-
proval under section 354(e), the company shall 
repay the amount of the grant to the Adminis-
trator. 
‘‘(C) DEDUCTION
FROM
GRANT
TO
AP-
PROVED
COMPANY.—If a company receives a 
grant under this paragraph and receives final 
approval under section 354(e), the Adminis-
trator shall deduct the amount of such grant 
from the amount of any immediately succeeding 
grant the company receives for operational as-
sistance. 
‘‘(D) AMOUNT
OF
GRANT.—No company 
may receive a grant of more than $50,000 
under this paragraph.’’. 
SEC. 107. LIMITATION ON TIME FOR FINAL APPROVAL. 
Section 354(d) of the Small Business Investment Act 
of 1958 (15 U.S.C. 689c(d)) is amended in the matter 
preceding paragraph (1) by striking ‘‘a period of time, not 
to exceed 2 years,’’ and inserting ‘‘2 years’’. 
VerDate Nov 24 2008 
04:31 Oct 07, 2009
Jkt 089200
PO 00000
Frm 00008
Fmt 6652
Sfmt 6201
E:\BILLS\H3722.IH
H3722
wwoods2 on DSK1DXX6B1PROD with BILLS
SEC. 108. STREAMLINED APPLICATION FOR NEW MARKETS 
VENTURE CAPITAL PROGRAM. 
Not later than 60 days after the date of the enact-
ment of this Act, the Administrator of the Small Business 
Administration shall prescribe standard documents for a 
New Markets Venture Capital company final approval ap-
plication under section 354(e) of the Small Business In-
vestment Act of 1958 (15 U.S.C. 689c(e)). The Adminis-
trator shall ensure that the standard documents are de-
signed to substantially reduce the cost burden of the appli-
cation process for companies. 
SEC. 109. ELIMINATION OF MATCHING REQUIREMENT. 
Section 354(d)(2)(A)(i) of the Small Business Invest-
ment Act of 1958 (15 U.S.C. 689c(d)(2)(A)(i)) is amend-
ed— 
(1) in subclause (I) by adding ‘‘and’’ at the 
end; 
(2) in subclause (II) by striking ‘‘and’’ at the 
end; and 
(3) by striking subclause (III). 
SEC. 110. SIMPLIFIED FORMULA FOR OPERATIONAL AS-
SISTANCE GRANTS. 
Section 358(a)(4)(A) of the Small Business Invest-
ment Act of 1958 (15 U.S.C. 689g(a)(4)(A)) is amend-
ed— 
VerDate Nov 24 2008 
04:31 Oct 07, 2009
Jkt 089200
PO 00000
Frm 00009
Fmt 6652
Sfmt 6201
E:\BILLS\H3722.IH
H3722
wwoods2 on DSK1DXX6B1PROD with BILLS
(1) by striking ‘‘shall be equal to’’ and all that 
follows through the period at the end and inserting 
‘‘shall be equal to the lesser of—’’; and 
(2) by adding at the end the following: 
‘‘(i) 10 percent of the resources (in 
cash or in-kind) raised by the company 
under section 354(d)(2); or 
‘‘(ii) $1,000,000.’’. 
SEC. 111. AUTHORIZATION OF APPROPRIATIONS AND EN-
HANCED ALLOCATION FOR SMALL MANUFAC-
TURING. 
Section 368(a) of the Small Business Investment Act 
of 1958 (15 U.S.C. 689q(a)) is amended— 
(1) in the matter preceding paragraph (1) by 
striking ‘‘fiscal years 2001 through 2006’’ and in-
serting ‘‘fiscal years 2010 and 2011’’; 
(2) in paragraph (1)— 
(A) by striking ‘‘$150,000,000’’ and in-
serting ‘‘$100,000,000’’; and 
(B) by inserting before the period at the 
end the following: ‘‘, of which not less than 50 
percent shall be used to guarantee debentures 
of companies engaged primarily in development 
of and investment in small business concerns lo-
VerDate Nov 24 2008 
05:41 Oct 07, 2009
Jkt 089200
PO 00000
Frm 00010
Fmt 6652
Sfmt 6201
E:\BILLS\H3722.IH
H3722
wwoods2 on DSK1DXX6B1PROD with BILLS
cated in low-income geographic areas and en-
gaged primarily in manufacturing’’; and 
(3) in paragraph (2)— 
(A) by striking ‘‘$30,000,000’’ and insert-
ing ‘‘$20,000,000’’; and 
(B) by inserting before the period at the 
end the following: ‘‘, of which not less than 50 
percent shall be used to make grants to compa-
nies engaged primarily in development of and 
investment in small business concerns located in 
low-income geographic areas and engaged pri-
marily in manufacturing’’. 
TITLE 
II—EXPANDED 
INVEST-
MENT IN SMALL BUSINESS 
RENEWABLE ENERGY 
SEC. 201. EXPANDED INVESTMENT IN RENEWABLE EN-
ERGY. 
Part C of title III of the Small Business Investment 
Act of 1958 (15 U.S.C. 690 et seq.) is amended— 
(1) in the heading by striking ‘‘RENEWABLE 
FUEL CAPITAL INVESTMENT’’ and inserting ‘‘RE-
NEWABLE ENERGY CAPITAL INVESTMENT’’; 
(2) in the heading of paragraph (4) of section 
381 by striking ‘‘RENEWABLE FUEL CAPITAL IN-
VerDate Nov 24 2008 
04:31 Oct 07, 2009
Jkt 089200
PO 00000
Frm 00011
Fmt 6652
Sfmt 6201
E:\BILLS\H3722.IH
H3722
wwoods2 on DSK1DXX6B1PROD with BILLS
VESTMENT’’ and inserting ‘‘RENEWABLE
ENERGY 
CAPITAL INVESTMENT’’; 
(3) in the heading of section 384 by striking 
‘‘RENEWABLE FUEL CAPITAL INVESTMENT’’ and 
inserting ‘‘RENEWABLE
ENERGY
CAPITAL
IN-
VESTMENT’’; and 
(4) by striking ‘‘Renewable Fuel Capital Invest-
ment’’ each place it appears and inserting ‘‘Renew-
able Energy Capital Investment’’. 
SEC. 202. RENEWABLE ENERGY CAPITAL INVESTMENT PRO-
GRAM MADE PERMANENT. 
Part C of title III of the Small Business Investment 
Act of 1958 (15 U.S.C. 690 et seq.), as amended by this 
Act, is further amended— 
(1) in the heading by striking ‘‘PILOT’’; and 
(2) by striking section 398. 
SEC. 203. EXPANDED ELIGIBILITY FOR SMALL BUSINESSES. 
Part C of title III of the Small Business Investment 
Act of 1958 (15 U.S.C. 690 et seq.), as amended by this 
Act, is further amended by striking ‘‘smaller enterprises’’ 
each place it appears and inserting ‘‘small business con-
cerns’’. 
VerDate Nov 24 2008 
04:31 Oct 07, 2009
Jkt 089200
PO 00000
Frm 00012
Fmt 6652
Sfmt 6201
E:\BILLS\H3722.IH
H3722
wwoods2 on DSK1DXX6B1PROD with BILLS