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

Bill: 116-hr-6348
Sponsor: full_name: Rep. Garcia, Sylvia R. [D-TX-29]
Introduced: 2020-03-23
Policy area: Commerce
Subjects: Accounting and auditing

Administrative remedies

Business expenses

Business records

Congressional oversight

Department of Commerce

Government Accountability Office (GAO)

Government information and archives

Minority and disadvantaged businesses
Latest action: action_date: 2020-03-23
text: 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.

Summaries:
action_date: 2020-03-23
action_desc: Introduced in House
text: <p>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.</p> <p>Interest earned on grant funds deposited into an interest-bearing account may be obligated and expended to carry out the grant's purposes.</p> <p>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. </p>

tv_txt: I 116th CONGRESS 2d Session H. R. 6348 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.

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).