Title: To fully implement the Initiative to Build Growth Equity Funds for Minority Businesses, and for other purposes.
Policy area: Commerce

Summary:
This bill requires the Minority Business Development Agency to award a grant to fully implement the Initiative to Build Growth Equity Funds for Minority Businesses, which provides equity capital to invest in minority- and women-owned businesses.
Interest earned on grant funds deposited into an interest-bearing account may be obligated and expended to carry out the grant's purposes.
The Government Accountability Office shall carry out a biennial audit of the initiative and issue a report to Congress and the Minority Business Development Agency.

[Congressional Bills 116th Congress]
[From the U.S. Government Publishing Office]
[H.R. 6348 Introduced in House (IH)]

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116th CONGRESS
  2d Session
                                H. R. 6348

  To fully implement the Initiative to Build Growth Equity Funds for 
              Minority Businesses, and for other purposes.


_______________________________________________________________________


                    IN THE HOUSE OF REPRESENTATIVES

                             March 23, 2020

 Ms. Garcia of Texas introduced the following bill; which was referred 
    to the Committee on Financial Services, and in addition to the 
Committee on Small Business, for a period to be subsequently determined 
 by the Speaker, in each case for consideration of such provisions as 
        fall within the jurisdiction of the committee concerned

_______________________________________________________________________

                                 A BILL


 
  To fully implement the Initiative to Build Growth Equity Funds for 
              Minority Businesses, and for other purposes.

    Be it enacted by the Senate and House of Representatives of the 
United States of America in Congress assembled,

SECTION 1. FUNDING OF THE INITIATIVE TO BUILD GROWTH EQUITY FUNDS FOR 
              MINORITY BUSINESSES.

    (a) Grant.--The Minority Business Development Agency shall provide 
a grant of $3,000,000,000 to fully implement the Initiative to Build 
Growth Equity Funds for Minority Businesses (the ``Initiative''; award 
number MB19OBD8020113), including to use such amounts as capital for 
the Equity Funds.
    (b) Administrative Expenses.--Of the amounts provided under 
subsection (a), the grant recipient may use not more than 2.25 percent 
of such amount for administrative expenses, of which--
            (1) not more than 1.5 percent may be used for fees to be 
        paid to investment managers for fund investment activities, 
        including deal sourcing, due diligence, investment monitoring, 
        and investment reporting; and
            (2) not more than 0.75 percent may be used for fund 
        administration activities by the grant recipient, including 
        fund manager evaluation, selection, monitoring, and overall 
        fund program management.
    (c) Treatment of Interest.--Notwithstanding any other provision of 
law, with the approval of the Minority Business Development Agency, 
grant funds made available under subsection (a) may be deposited in 
interest-bearing accounts pending disbursement, and any interest which 
accrues may be retained without returning such interest to the Treasury 
of the United States and interest earned may be obligated and expended 
for the purposes for which the grant was made available without further 
appropriation.
    (d) Reporting and Audit Requirements.--
            (1) Reporting by recipient.--The grant recipient under this 
        section shall issue a report to the Minority Business 
        Development Agency every 6 months detailing the use of grant 
        funds received under this section and any other information 
        that the Minority Business Development Agency may require.
            (2) Annual report to congress.--The Minority Business 
        Development Agency shall issue an annual report to the Congress 
        containing the information received under paragraph (1) and an 
        analysis of the implementation of the Initiative.
            (3) GAO audit.--The Comptroller General of the United 
        States shall, every 2 years, carry out an audit of the 
        Initiative and issue a report to the Congress and the Minority 
        Business Development Agency containing the results of such 
        audit.
    (e) Funding.--There is authorized to be appropriated to the 
Minority Business Development Agency $3,000,000,000 to make the grant 
described under subsection (a).
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