In the Senate of the United States,
December 19, 2007.
Resolved, That the bill from the House of Representa-
tives (H.R. 4253) entitled ‘‘An Act to improve and expand
small business assistance programs for veterans of the armed
forces and military reservists, and for other purposes.’’, do
pass with the following
AMENDMENT:
Strike out all after the enacting clause and insert:
SECTION 1. SHORT TITLE.
This Act may be cited as the ‘‘Military Reservist and
Veteran Small Business Reauthorization and Opportunity
Act of 2007’’.
SEC. 2. TABLE OF CONTENTS.
The table of contents for this Act is as follows:
Sec. 1. Short title.
Sec. 2. Table of contents.
Sec. 3. Definitions.
TITLE I—VETERANS BUSINESS DEVELOPMENT
Sec. 101. Increased funding for the Office of Veterans Business Development.
Sec. 102. Interagency task force.
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(6) the terms ‘‘service-disabled veteran’’ and
‘‘small business concern’’ have the meaning as in sec-
tion 3 of the Small Business Act (15 U.S.C. 632);
(7) the term ‘‘small business development center’’
means a small business development center described
in section 21 of the Small Business Act (15 U.S.C.
648); and
(8) the term ‘‘women’s business center’’ means a
women’s business center described in section 29 of the
Small Business Act (15 U.S.C. 656).
TITLE I—VETERANS BUSINESS
DEVELOPMENT
SEC. 101. INCREASED FUNDING FOR THE OFFICE OF VET-
ERANS BUSINESS DEVELOPMENT.
(a) IN GENERAL.—There are authorized to be appro-
priated to the Office of Veterans Business Development of
the Administration, to remain available until expended—
(1) $2,100,000 for fiscal year 2008; and
(2) $2,300,000 for fiscal year 2009.
(b) FUNDING OFFSET.—Amounts necessary to carry
out subsection (a) shall be offset and made available through
the reduction of the authorization of funding under section
20(e)(1)(B)(iv) of the Small Business Act (15 U.S.C. 631
note).
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(c) SENSE OF CONGRESS.—It is the sense of Congress
that any amounts provided pursuant to this section that
are in excess of amounts provided to the Administration
for the Office of Veterans Business Development in fiscal
year 2007, should be used to support Veterans Business Out-
reach Centers.
SEC. 102. INTERAGENCY TASK FORCE.
Section 32 of the Small Business Act (15 U.S.C. 657b)
is amended—
(1) by redesignating subsection (c) as (f); and
(2) by inserting after subsection (b) the fol-
lowing:
‘‘(c) INTERAGENCY TASK FORCE.—
‘‘(1) ESTABLISHMENT.—Not later than 90 days
after the date of enactment of this subsection, the
President shall establish an interagency task force to
coordinate the efforts of Federal agencies necessary to
improve capital and business development opportuni-
ties for, and ensure achievement of the pre-established
Federal contracting goals for, small business concerns
owned and controlled by service-disabled veterans and
small business concerns owned and controlled by vet-
erans (in this section referred to as the ‘task force’).
‘‘(2) MEMBERSHIP.—The members of the task
force shall include—
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‘‘(A) the Administrator, who shall serve as
chairperson of the task force; and
‘‘(B) a senior level representative from—
‘‘(i) the Department of Veterans Af-
fairs;
‘‘(ii) the Department of Defense;
‘‘(iii) the Administration (in addition
to the Administrator);
‘‘(iv) the Department of Labor;
‘‘(v) the Department of the Treasury;
‘‘(vi) the General Services Administra-
tion; and
‘‘(vii) the Office of Management and
Budget.
‘‘(3) DUTIES.—The task force shall—
‘‘(A) consult regularly with veterans service
organizations and military organizations in per-
forming the duties of the task force; and
‘‘(B) coordinate administrative and regu-
latory activities and develop proposals relating
to—
‘‘(i) improving capital access and ca-
pacity of small business concerns owned
and controlled by service-disabled veterans
and small business concerns owned and con-
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trolled by veterans through loans, surety
bonding, and franchising;
‘‘(ii) ensuring achievement of the pre-
established Federal contracting goals for
small business concerns owned and con-
trolled by service-disabled veterans and
small business concerns owned and con-
trolled by veterans through expanded men-
tor-prote´ge´ assistance and matching such
small business concerns with contracting
opportunities;
‘‘(iii) increasing the integrity of cer-
tifications of status as a small business con-
cern owned and controlled by service-dis-
abled veterans or a small business concern
owned and controlled by veterans;
‘‘(iv) reducing paperwork and admin-
istrative burdens on veterans in accessing
business development and entrepreneurship
opportunities;
‘‘(v) increasing and improving train-
ing and counseling services provided to
small business concerns owned and con-
trolled by veterans; and
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‘‘(vi) making other improvements re-
lating to the support for veterans business
development by the Federal Government.
SEC. 103. PERMANENT EXTENSION OF SBA ADVISORY COM-
MITTEE ON VETERANS BUSINESS AFFAIRS.
(a) ASSUMPTION OF DUTIES.—Section 33 of the Small
Business Act (15 U.S.C. 657c) is amended—
(1) by striking subsection (h); and
(2) by redesignating subsections (i) through (k)
as subsections (h) through (j), respectively.
(b) PERMANENT EXTENSION OF AUTHORITY.—Section
203 of the Veterans Entrepreneurship and Small Business
Development Act of 1999 (15 U.S.C. 657b note) is amended
by striking subsection (h).
SEC. 104. OFFICE OF VETERANS BUSINESS DEVELOPMENT.
Section 32 of the Small Business Act (15 U.S.C. 657b)
is amended by inserting after subsection (c) (as added by
section 102) the following:
‘‘(d) PARTICIPATION IN TAP WORKSHOPS.—
‘‘(1) IN GENERAL.—The Associate Administrator
shall increase veteran outreach by ensuring that Vet-
eran Business Outreach Centers regularly participate,
on a nationwide basis, in the workshops of the Tran-
sition Assistance Program of the Department of
Labor.
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‘‘(2) PRESENTATIONS.—In carrying out para-
graph (1), a Veteran Business Outreach Center may
provide grants to entities located in Transition As-
sistance Program locations to make presentations on
the opportunities available from the Administration
for recently separating or separated veterans. Each
presentation under this paragraph shall include, at a
minimum, a description of the entrepreneurial and
business training resources available from the Admin-
istration.
‘‘(3) WRITTEN MATERIALS.—The Associate Ad-
ministrator shall—
‘‘(A) create written materials that provide
comprehensive information on self-employment
and veterans entrepreneurship, including infor-
mation on resources available from the Adminis-
tration on such topics; and
‘‘(B) make the materials created under sub-
paragraph (A) available to the Secretary of
Labor for inclusion in the Transition Assistance
Program manual.
‘‘(4) REPORTS.—The Associate Administrator
shall submit to Congress progress reports on the im-
plementation of this subsection.
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‘‘(e) WOMEN VETERANS BUSINESS TRAINING.—The
Associate Administrator shall—
‘‘(1) compile information on existing resources
available to women veterans for business training, in-
cluding resources for—
‘‘(A) vocational and technical education;
‘‘(B) general business skills, such as mar-
keting and accounting; and
‘‘(C) business assistance programs targeted
to women veterans; and
‘‘(2) disseminate the information compiled under
paragraph (1) through Veteran Business Outreach
Centers and women’s business centers.’’.
SEC. 105. INCREASING THE NUMBER OF OUTREACH CEN-
TERS.
(a) IN GENERAL.—The Administrator shall use the au-
thority in section 8(b)(17) of the Small Business Act (15
U.S.C. 637(b)(17)) to ensure that the number of Veterans
Business Outreach Centers throughout the United States
increases—
(1) subject to subsection (b), by at least 2, for
each of fiscal years 2008 and 2009; and
(2) by the number that the Administrator con-
siders appropriate, based on need, for each fiscal year
thereafter.
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(b) LIMITATION.—Subsection (a)(1) shall apply in a
fiscal year if, for that fiscal year, the amount made avail-
able for the Office of Veterans Business Development is more
than the amount made available for the Office of Veterans
Business Development for fiscal year 2007.
SEC. 106. INDEPENDENT STUDY ON GAPS IN AVAILABILITY
OF OUTREACH CENTERS.
The Administrator shall sponsor an independent study
on gaps in the availability of Veterans Business Outreach
Centers across the United States, to inform decisions on
funding and on the allocation and coordination of re-
sources. Not later than 6 months after the date of enactment
of this Act, the Administrator shall submit to Congress a
report on the results of the study.
SEC. 201. VETERANS ASSISTANCE AND SERVICES PROGRAM.
Section 21 of the Small Business Act (15 U.S.C. 648)
is amended by adding at the end the following:
‘‘(n) VETERANS ASSISTANCE
AND SERVICES PRO-
GRAM.—
‘‘(1) IN
GENERAL.—A small business develop-
ment center may apply for a grant under this sub-
section to carry out a veterans assistance and services
program.
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‘‘(2) ELEMENTS
OF
PROGRAM.—Under a pro-
gram carried out with a grant under this subsection,
a small business development center shall—
‘‘(A) create a marketing campaign to pro-
mote awareness and education of the services of
the center that are available to veterans, and to
target the campaign toward veterans, service-dis-
abled veterans, military units, Federal agencies,
and veterans organizations;
‘‘(B) use technology-assisted online coun-
seling and distance learning technology to over-
come the impediments to entrepreneurship faced
by veterans and members of the Armed Forces;
and
‘‘(C) increase coordination among organiza-
tions that assist veterans, including by estab-
lishing virtual integration of service providers
and offerings for a one-stop point of contact for
veterans who are entrepreneurs or owners of
small business concerns.
‘‘(3) AMOUNT OF GRANTS.—A grant under this
subsection shall be for not less than $75,000 and not
more than $250,000.
‘‘(4) FUNDING.—Subject to amounts approved in
advance in appropriations Acts, the Administration
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may make grants or enter into cooperative agreements
to carry out the provisions of this subsection.’’.
SEC. 202. DISASTER LOANS.
Section 7(b)(3) of the Small Business Act (15 U.S.C.
636(b)(3)) is amended—
(1) in subparagraph (E), by striking ‘‘unless’’
and all that follows and inserting a period; and
(2) by inserting after subparagraph (I), the fol-
lowing:
‘‘(J) There shall be reasonable assurance that a
loan recipient under this paragraph can repay the
loan of personal or business cash flow.’’.
TITLE III—RESERVIST
PROGRAMS
SEC. 301. RESERVIST PROGRAMS.
(a) APPLICATION PERIOD.—Section 7(b)(3)(C) of the
Small Business Act (15 U.S.C. 636(b)(3)(C)) is amended—
(1) by striking ‘‘90 days’’ and inserting ‘‘1
year’’; and
(2) by adding at the end the following: ‘‘The Ad-
ministrator may, when appropriate (as determined
by the Administrator), extend the ending date speci-
fied in the preceding sentence by not more than 1
year.’’.
(b) PRE-CONSIDERATION PROCESS.—
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(1) DEFINITION.—In this subsection, the term
‘‘eligible Reservist’’ means a Reservist who—
(A) has not been ordered to active duty;
(B) expects to be ordered to active duty dur-
ing a period of military conflict; and
(C) can reasonably demonstrate that the
small business concern for which that Reservist
is a key employee will suffer economic injury in
the absence of that Reservist.
(2) ESTABLISHMENT.—Not later than 6 months
after the date of enactment of this Act, the Adminis-
trator shall establish a pre-consideration process,
under which the Administrator—
(A) may collect all relevant materials nec-
essary for processing a loan to a small business
concern under section 7(b)(3) of the Small Busi-
ness Act (15 U.S.C. 636(b)(3)) before an eligible
Reservist employed by that small business con-
cern is activated; and
(B) shall distribute funds for any loan ap-
proved under subparagraph (A) if that eligible
Reservist is activated.
(c) OUTREACH
AND TECHNICAL ASSISTANCE PRO-
GRAM.—
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(1) IN GENERAL.—Not later than 6 months after
the date of enactment of this Act, the Administrator,
in consultation with the Secretary of Veterans Affairs
and the Secretary of Defense, may develop a com-
prehensive outreach and technical assistance program
(in this subsection referred to as the ‘‘program’’) to—
(A) market the loans available under section
7(b)(3) of the Small Business Act (15 U.S.C.
636(b)(3)) to Reservists, and family members of
Reservists, that are on active duty and that are
not on active duty; and
(B) provide technical assistance to a small
business concern applying for a loan under that
section.
(2) COMPONENTS.—The program shall—
(A) incorporate appropriate websites main-
tained by the Administration, the Department of
Veterans Affairs, and the Department of Defense;
and
(B) require that information on the pro-
gram is made available to small business con-
cerns directly through—
(i) the district offices and resource
partners of the Administration, including
small business development centers, women’s
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business centers, and the Service Corps of
Retired Executives; and
(ii) other Federal agencies, including
the Department of Veterans Affairs and the
Department of Defense.
(3) REPORT.—
(A) IN GENERAL.—Not later than 6 months
after the date of enactment of this Act, and every
6 months thereafter until the date that is 30
months after such date of enactment, the Admin-
istrator shall submit to Congress a report on the
status of the program.
(B) CONTENTS.—Each report submitted
under subparagraph (A) shall include—
(i) for the 6-month period ending on
the date of that report—
(I) the number of loans approved
under section 7(b)(3) of the Small
Business Act (15 U.S.C. 636(b)(3));
(II) the number of loans disbursed
under that section; and
(III) the total amount disbursed
under that section; and
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(ii) recommendations, if any, to make
the program more effective in serving small
business concerns that employ Reservists.
SEC. 302. RESERVIST LOANS.
(a) IN GENERAL.—Section 7(b)(3)(E) of the Small
Business Act (15 U.S.C. 636(b)(3)(E)) is amended by strik-
ing ‘‘$1,500,000’’ each place such term appears and insert-
ing ‘‘$2,000,000’’.
(b) LOAN INFORMATION.—
(1) IN GENERAL.—The Administrator and the
Secretary of Defense shall develop a joint website and
printed materials providing information regarding
any program for small business concerns that is
available to veterans or Reservists.
(2) 
MARKETING.—The 
Administrator 
is
authorized—
(A) to advertise and promote the program
under section 7(b)(3) of the Small Business Act
jointly with the Secretary of Defense and vet-
erans’ service organizations; and
(B) to advertise and promote participation
by lenders in such program jointly with trade
associations for banks or other lending institu-
tions.
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SEC. 303. NONCOLLATERALIZED LOANS.
Section 7(b)(3) of the Small Business Act (15 U.S.C.
636(b)(3)) is amended by adding at the end the following:
‘‘(G)(i) Notwithstanding any other provi-
sion of law, the Administrator may make a loan
under this paragraph of not more than $50,000
without collateral.
‘‘(ii) The Administrator may defer payment
of principal and interest on a loan described in
clause (i) during the longer of—
‘‘(I) the 1-year period beginning on the
date of the initial disbursement of the loan;
and
‘‘(II) the period during which the rel-
evant essential employee is on active duty.’’.
SEC. 304. LOAN PRIORITY.
Section 7(b)(3) of the Small Business Act (15 U.S.C.
636(b)(3)), as amended by this Act, is amended by adding
at the end the following:
‘‘(H) The Administrator shall give priority
to any application for a loan under this para-
graph and shall process and make a determina-
tion regarding such applications prior to proc-
essing or making a determination on other loan
applications under this subsection, on a rolling
basis.’’.
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SEC. 305. RELIEF FROM TIME LIMITATIONS FOR VETERAN-
OWNED SMALL BUSINESSES.
Section 3(q) of the Small Business Act (15 U.S.C.
632(q)) is amended by adding at the end the following:
‘‘(5) RELIEF FROM TIME LIMITATIONS.—
‘‘(A) IN GENERAL.—Any time limitation on
any qualification, certification, or period of par-
ticipation imposed under this Act on any pro-
gram that is available to small business concerns
shall be extended for a small business concern
that—
‘‘(i) is owned and controlled by—
‘‘(I) a veteran who was called or
ordered to active duty under a provi-
sion 
of 
law 
specified 
in 
section
101(a)(13)(B) of title 10, United
States Code, on or after September 11,
2001; or
‘‘(II) a service-disabled veteran
who became such a veteran due to an
injury or illness incurred or aggra-
vated in the active military, naval, or
air service during a period of active
duty pursuant to a call or order to ac-
tive duty under a provision of law re-
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ferred to in subclause (I) on or after
September 11, 2001; and
‘‘(ii) was subject to the time limitation
during such period of active duty.
‘‘(B) 
DURATION.—Upon 
submission 
of
proper documentation to the Administrator, the
extension of a time limitation under subpara-
graph (A) shall be equal to the period of time
that such veteran who owned or controlled such
a concern was on active duty as described in
that subparagraph.
‘‘(C) EXCEPTION FOR PROGRAMS SUBJECT
TO FEDERAL CREDIT REFORM ACT OF 1990.—The
provisions of subparagraphs (A) and (B) shall
not apply to any programs subject to the Federal
Credit Reform Act of 1990 (2 U.S.C. 661 et
seq.).’’.
SEC. 306. SERVICE-DISABLED VETERANS.
Not later than 180 days after the date of enactment
of this Act, the Comptroller General of the United States
shall submit to the Committee on Small Business and En-
trepreneurship of the Senate and the Committee on Small
Business of the House of Representatives a report
describing—
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(1) the types of assistance needed by service-dis-
abled veterans who wish to become entrepreneurs; and
(2) any resources that would assist such service-
disabled veterans.
SEC. 307. STUDY ON OPTIONS FOR PROMOTING POSITIVE
WORKING RELATIONS BETWEEN EMPLOYERS
AND THEIR RESERVE COMPONENT EMPLOY-
EES.
(a) STUDY REQUIRED.—The Comptroller General of
the United States shall conduct a study on options for pro-
moting positive working relations between employers and
Reserve component employees of such employers, including
assessing options for improving the time in which employ-
ers of Reservists are notified of the call or order of such
members to active duty other than for training.
(b) REPORT.—
(1) IN GENERAL.—Not later than 180 days after
the date of enactment of this Act, the Comptroller
General of the United States shall submit to the ap-
propriate committees of Congress a report on the
study conducted under subsection (a).
(2) CONTENTS.—The report submitted under
paragraph (1) shall—
(A) provide a quantitative and qualitative
assessment of—
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‘‘(i) the term ‘cost’ has the meaning
given that term in section 502 of the Fed-
eral Credit Reform Act of 1990 (2 U.S.C.
661a);
‘‘(ii) the term ‘pilot program’ means
the pilot program established under sub-
paragraph (B); and
‘‘(iii) the term ‘veteran participation
loan’ means a loan made under this sub-
section to a small business concern owned
and controlled by veterans of the Armed
Forces or members of the reserve components
of the Armed Forces.
‘‘(B) ESTABLISHMENT.—The Administrator
shall establish and carry out a pilot program
under which the Administrator shall reduce the
fees for veteran participation loans.
‘‘(C) DURATION.—The pilot program shall
terminate at the end of the second full fiscal year
after the date that the Administrator establishes
the pilot program.
‘‘(D) MAXIMUM PARTICIPATION.—A veteran
participation loan shall include the maximum
participation levels by the Administrator per-
mitted for loans made under this subsection.
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‘‘(E) FEES.—
‘‘(i) IN GENERAL.—The fee on a vet-
eran participation loan shall be equal to 50
percent of the fee otherwise applicable to
that loan under paragraph (18).
‘‘(ii) 
WAIVER.—The 
Administrator
may waive clause (i) for a fiscal year if—
‘‘(I) for the fiscal year before that
fiscal year, the annual estimated rate
of default of veteran participation
loans exceeds that of loans made under
this subsection that are not veteran
participation loans;
‘‘(II) the cost to the Administra-
tion of making loans under this sub-
section is greater than zero and such
cost is directly attributable to the cost
of making veteran participation loans;
and
‘‘(III) no additional sources of
revenue authority are available to re-
duce the cost of making loans under
this subsection to zero.
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‘‘(iii) EFFECT OF WAIVER.—If the Ad-
ministrator waives the reduction of fees
under clause (ii), the Administrator—
‘‘(I) shall not assess or collect fees
in an amount greater than necessary
to ensure that the cost of the program
under this subsection is not greater
than zero; and
‘‘(II) shall reinstate the fee reduc-
tions under clause (i) when the condi-
tions in clause (ii) no longer apply.
‘‘(iv) NO INCREASE OF FEES.—The Ad-
ministrator shall not increase the fees under
paragraph (18) on loans made under this
subsection that are not veteran participa-
tion loans as a direct result of the pilot pro-
gram.
‘‘(F) GAO REPORT.—
‘‘(i) IN GENERAL.—Not later than 1
year after the date that the pilot program
terminates, the Comptroller General of the
United States shall submit to the Committee
on Small Business of the House of Rep-
resentatives and the Committee on Small
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Business and Entrepreneurship of the Sen-
ate a report on the pilot program.
‘‘(ii) 
CONTENTS.—The 
report 
sub-
mitted under clause (i) shall include—
‘‘(I) the number of veteran par-
ticipation loans for which fees were re-
duced under the pilot program;
‘‘(II) a description of the impact
of the pilot program on the program
under this subsection;
‘‘(III) an evaluation of the effi-
cacy and potential fraud and abuse of
the pilot program; and
‘‘(IV) recommendations for im-
proving the pilot program.’’.
Attest:
Secretary.