I 
109TH CONGRESS 
1ST SESSION H. R. 3207
To direct the Administrator of the Small Business Administration to establish 
a pilot program to make grants to eligible entities for the development 
of peer learning opportunities for second-stage small business concerns. 
IN THE HOUSE OF REPRESENTATIVES 
JULY 12, 2005
Mr. FITZPATRICK of Pennsylvania introduced the following bill; which was 
referred to the Committee on Small Business 
A BILL 
To direct the Administrator of the Small Business Adminis-
tration to establish a pilot program to make grants to 
eligible entities for the development of peer learning op-
portunities for second-stage small business concerns.
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 ‘‘Second-Stage Small 
Business Development Act of 2005’’. 
SEC. 2. PURPOSE. 
The purpose of this Act is to establish a four-year 
pilot program to—
(1) identify second-stage small business con-
cerns that have the capacity for significant business 
growth and job creation; 
(2) facilitate business growth and job creation 
by second-stage small business concerns through the 
development of peer learning opportunities; and 
(3) utilize the network of small business devel-
opment centers to expand access to peer learning op-
portunities for second-stage small business concerns. 
SEC. 3. PILOT PROGRAM. 
(a) ESTABLISHMENT.—The Administrator shall es-
tablish and carry out a pilot program (referred to in this 
Act as the ‘‘pilot program’’) to make grants to eligible en-
tities for the development of peer learning opportunities 
for second-stage small business concerns in accordance 
with this Act. 
(b) SELECTION OF GRANT RECIPIENTS.—
(1) IN GENERAL.—From the eligible entities lo-
cated in the States in each of the 10 regions under 
paragraph (3), the Administrator shall select 2 eligi-
ble entities to receive grants. 
(2) ELIGIBLE ENTITIES.—In this Act, the term 
‘‘eligible entity’’ means an entity that—
(A) is eligible to receive funding under sec-
tion 21 of the Small Business Act (15 U.S.C. 
648); and 
(B) submits to the Secretary an applica-
tion that includes—
(i) a plan to—
(I) offer peer learning opportuni-
ties to second-stage small business 
concerns; and 
(II) transition to providing such 
opportunities using non-governmental 
funding; and 
(ii) any other information and assur-
ances that the Secretary may require. 
(3) CRITERIA FOR SELECTION.— The Adminis-
trator shall evaluate the plans submitted by the eli-
gible entities under paragraph (2) and select eligible 
entities to receive grants on the basis of the merit 
of such plans. 
(4) REGIONS
DESCRIBED.—The regions re-
ferred to in paragraph (1) are as follows: 
(A) REGION
1.—Maine, Massachusetts, 
New Hampshire, Connecticut, Vermont, and 
Rhode Island.
(B) REGION 2.—New York, New Jersey, 
Puerto Rico, and the Virgin Islands. 
(C) REGION 3.— Pennsylvania, Maryland, 
West Virginia, Virginia, the District of Colum-
bia, and Delaware. 
(D) REGION 4.—Georgia, Alabama, North 
Carolina, South Carolina, Mississippi, Florida, 
Kentucky, and Tennessee. 
(E) REGION 5.—Illinois, Ohio, Michigan, 
Indiana, Wisconsin, and Minnesota. 
(F) REGION 6.—Texas, New Mexico, Ar-
kansas, Oklahoma, and Louisiana. 
(G) REGION 7.—Missouri, Iowa, Nebraska, 
and Kansas. 
(H) 
REGION
8.—Colorado, 
Wyoming, 
North Dakota, South Dakota, Montana, and 
Utah. 
(I) REGION 9.—California, Guam, Hawaii, 
Nevada, Arizona, and American Samoa. 
(J) 
REGION
10.—Washington, 
Alaska, 
Idaho, and Oregon. 
(5) CONSULTATION.—If small business develop-
ment centers have formed an association to pursue 
matters of common concern as authorized under sec-
tion 21(a)(3)(A) of the Small Business Act (15
U.S.C. 648(a)(3)(A)), the Administrator shall con-
sult with such association and give substantial 
weight to the recommendations of such association 
in selecting the grant recipients. 
(6) DEADLINE FOR INITIAL SELECTIONS.—The 
Administrator shall make selections under paragraph 
(1) not later than 60 days after the promulgation of 
regulations under section 4. 
(c) USE OF FUNDS.—An eligible entity that receives 
a grant under the pilot program shall use the grant to—
(1) identify second-stage small business con-
cerns in the service delivery areas of the eligible enti-
ty; and 
(2) establish and conduct peer learning oppor-
tunities for such second-stage small business con-
cerns. 
(d) AMOUNT OF GRANT.—
(1) IN GENERAL.—Except as provided in para-
graph (2), a grant under the pilot program shall be 
in an amount that does not exceed the product ob-
tained by multiplying— 
(A) the amount made available for grants 
under the pilot program for the fiscal year for 
which the grant is made; and
(B) the ratio that the population of the 
State in which the eligible entity is located 
bears to the aggregate population the States in 
which eligible entities receiving grants for that 
fiscal year are located. 
(2) MINIMUM
AMOUNT
OF
GRANT.—A grant 
under the pilot program shall be in an amount not 
less than $50,000. 
(e) MATCHING REQUIREMENT.—As a condition of a 
grant under the pilot program, the Administrator shall re-
quire that a matching amount be provided from sources 
other than the Federal Government that—
(1) is equal to the amount of the grant; 
(2) is not less than 50 percent cash; 
(3) is not more than 50 percent comprised of 
indirect costs and in-kind contributions; and 
(4) does not include any indirect cost or in-kind 
contribution derived from any Federal program 
(f) QUARTERLY REPORT TO ADMINISTRATOR.—
(1) IN GENERAL.—Each eligible entity that re-
ceives a grant under the pilot program shall submit 
to the Administrator a quarterly report that in-
cludes—