I 
111TH CONGRESS 
2D SESSION 
H. R. 4818 
To amend the Small Business Act to improve the program under section 
8(a), and for other purposes. 
IN THE HOUSE OF REPRESENTATIVES 
MARCH 10, 2010 
Ms. RICHARDSON (for herself, Ms. BORDALLO, and Ms. JACKSON LEE of 
Texas) introduced the following bill; which was referred to the Committee 
on Small Business 
A BILL 
To amend the Small Business Act to improve the program 
under section 8(a), 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 ‘‘Small Business Reform 
Act of 2010’’ or the ‘‘Not Too Small to Succeed in Busi-
ness Act of 2010’’. 
SEC. 2. FINDINGS. 
Congress finds the following: 
(1) Small businesses are a vital part of the 
economy of the United States. 
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(2) The 26,800,000 small businesses in the 
United States account for more than 99.7 percent of 
all employer firms. 
(3) Small businesses employ just over half of all 
private sector employees. 
(4) Four million one-hundred thousand small 
businesses owned by individuals who are members of 
economically disadvantaged groups generate approxi-
mately $694,000,000,000 in revenues and employ 
approximately 4,800,000 individuals each year. 
(5) Small businesses need help to remain com-
petitive in the global economy, particularly during 
difficult economic times. 
(6) Economically disadvantaged-owned busi-
nesses receive less than 7 percent of venture capital. 
(7) Seventy percent of small businesses survive 
at least 2 years, but less than half survive 5 years. 
(8) The Small Business Administration was es-
tablished in 1953 by the Federal Government to aid, 
counsel, assist, and protect the interests of small 
business concerns, to preserve free competitive enter-
prise, and to maintain and strengthen the overall 
economy of the United States. 
(9) The Small Business Administration assists 
firms owned and controlled by economically dis-
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(13) Reliance by the Small Business Adminis-
tration on measures that do not reflect contem-
porary conditions has had, and will continue to have, 
the unintended consequence of keeping small busi-
nesses too small to succeed, which is as undesirable 
as protecting companies that are too big to fail. 
SEC. 3. IMPROVEMENT OF PROGRAM UNDER SECTION 8(a) 
OF THE SMALL BUSINESS ACT. 
(a) PERIOD OF ELIGIBILITY.— 
(1) EXTENSION.—Section 7(j)(15) of the Small 
Business Act (15 U.S.C. 636(j)(15)) is amended— 
(A) in the matter preceding subparagraph 
(A) by striking ‘‘nine years’’ and inserting ‘‘11 
years’’; and 
(B) in subparagraph (B) by striking ‘‘five 
years’’ and inserting ‘‘7 years’’. 
(2) COMPLETED
PERIODS.—A small business 
concern that completed a 9-year period of participa-
tion in the program under section 8(a) of the Small 
Business Act (15 U.S.C. 637(a)) prior to the date 
of enactment of this Act and that is otherwise eligi-
ble to participate in such program except for having 
completed such 9-year period, and current net worth 
exceeds $750,000 but still less than $2,250,000, 
may participate in such program during the 2-year 
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period beginning on the date of enactment of this 
Act. 
(b) NET WORTH AND INCOME LIMITATIONS.— 
(1) INCREASE.—Section 8(a)(6)(A) of the 
Small Business Act (15 U.S.C. 637(a)(6)(A)) is 
amended by inserting after ‘‘disadvantaged indi-
vidual.’’ the following: ‘‘For purposes of eligibility 
for admission as a Program Participant the net 
worth of such individual may be any amount not ex-
ceeding $750,000 and for purposes of continued eli-
gibility after admission the net worth of such indi-
vidual 
may 
be 
any 
amount 
not 
exceeding 
$2,250,000. For purposes of eligibility for admission 
as a Program Participant and continued eligibility 
after admission, the modified adjusted gross income 
(as such term is defined in section 25A(d)(3) of the 
Internal Revenue Code of 1986) of such individual 
for an applicable taxable year may be any amount 
not exceeding $500,000.’’. 
(2) COMPLETED PERIODS OF PARTICIPATION.— 
If the Administrator of the Small Business Adminis-
tration graduated a small business concern from the 
program under section 8(a) of the Small Business 
Act (15 U.S.C. 637(a)) prior to the date of enact-
ment of this Act as a result of a determination that 
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such concern did not meet standards relating to eco-
nomic disadvantage and such concern meets require-
ments under such section as amended by this Act, 
such concern may participate in such program for a 
period— 
(A) of 11 years less the period of time 
such concern previously participated in such 
program; and 
(B) beginning on the date of enactment of 
this Act. 
Æ 
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