Teacher:In this task, you are given text for US Congressional and California state bills, your task is to generate a summary for this bill.
Teacher: Now, understand the problem? Solve this instance: SECTION 1. SHORT TITLE.

This Act may be cited as the ''Small Business Venture Capital Act
of 2009''.

SEC. 2. DEFINITIONS.

In this Act--
(1) the terms ''Administration'' and ''Administrator'' mean
the Small Business Administration and the Administrator
thereof, respectively;
(2) the term ''New Markets Venture Capital company'' has
the meaning given that term in section 351 of the Small
Business Investment Act of 1958 (15 U.S.C. 689); and
(3) the term ''New Markets Venture Capital Program'' means
the program under part B of title III of the Small Business
Investment Act of 1958 (15 U.S.C. 689 et seq.).

SEC. 3. TABLE OF CONTENTS.

The table of contents for this Act is as follows:

Sec. 1. Short title.
Sec. 2. Definitions.
Sec. 3. Table of contents.
TITLE I--SMALL BUSINESS INVESTMENT COMPANY PROGRAM

Sec. 101. Reauthorization.
Sec. 102. Leverage.
Sec. 103. Private capital.
Sec. 104. Maximum investment in a company.
TITLE II--NEW MARKETS VENTURE CAPITAL PROGRAM

Sec. 201. Diversification of New Markets Venture Capital Program.
Sec. 202. Establishment of Office of New Markets Venture Capital.
Sec. 203. Low-income geographic areas.
Sec. 204. Applications for New Markets Venture Capital Program.
Sec. 205. Operational assistance grants.
Sec. 206. Authorization.

TITLE I--SMALL BUSINESS INVESTMENT COMPANY PROGRAM

SEC. 101. REAUTHORIZATION.

Section 20 of the Small Business Act (15 U.S.C. 631 note) is
amended--
(1) by redesignating subsection (j) as subsection (f); and
(2) by adding at the end the following:
''(g) Small Business Venture Capital.--For the programs authorized
under part A of title III of the Small Business Investment Act of 1958
(15 U.S.C. 681 et seq.), the Administrator is authorized to make--
''(1) $500,000,000 in purchases of participating securities
for each of fiscal years 2010 through 2013; and
''(2)(A) $2,000,000,000 in guarantees of debentures for
fiscal year 2010;
''(B) $2,250,000,000 in guarantees of debentures for fiscal
year 2011;
''(C) $2,500,000,000 in guarantees of debentures for fiscal
year 2012; and
''(D) $2,750,000,000 in guarantees of debentures for fiscal
year 2013.''.

SEC. 102. LEVERAGE.

Section 303(b)(2) of the Small Business Investment Act of 1958 (15
U.S.C. 683(b)(2)) is amended by adding at the end the following:
''(E) Investments in small business concerns owned
and controlled by women and socially and economically
disadvantaged small business concerns.--
''(i) In general.--The maximum amount of
outstanding leverage made available to--
''(I) any 1 small business
investment company described in clause
(ii) may not exceed the lesser of--
''(aa) 300 percent of
private capital; or
''(bb) $175,000,000; and
''(II) 2 or more small business
investment companies described in
clause (ii) that are commonly
controlled (as determined by the
Administrator) may not exceed
$250,000,000.
''(ii) Applicability.--A small business
investment company described in this clause is
a small business investment company that
certifies in writing that not less than 50
percent of the dollar amount of investments of
the small business investment company are or
will be made in small business concerns owned
and controlled by women, as defined in section
3 of the Small Business Act (15 U.S.C. 632), or
socially and economically disadvantaged small
business concerns, as defined in section
8(a)(4)(A) of the Small Business Act (15 U.S.C.
637(a)(4)(A)).''.

SEC. 103. PRIVATE CAPITAL.

Section 103(9)(A)(ii) of the Small Business Investment Act of 1958
(15 U.S.C. 662(9)(A)(ii)) is amended by inserting '', except for any
company licensed under section 301(c) on or before September 30, 2004,
that holds commitments from the Administration for participating
security leverage,'' before ''leverage shall not be funded based on
such commitments''.

SEC. 104. MAXIMUM INVESTMENT IN A COMPANY.

Section 306(a) of the Small Business Investment Act of 1958 (15
U.S.C. 686(a)) is amended by striking ''10 percent'' and inserting ''30
percent''.

TITLE II--NEW MARKETS VENTURE CAPITAL PROGRAM

SEC. 201. DIVERSIFICATION OF NEW MARKETS VENTURE CAPITAL PROGRAM.

(a) Selection of Companies in Each Geographic Region.--Section 354
of the Small Business Investment Act of 1958 (15 U.S.C. 689c) is
amended by adding at the end the following:
''(f) Geographic Goal.--In selecting companies to participate as
New Markets Venture Capital companies in the program established under
this part, the Administrator shall, to the maximum extent practicable,
select at least 1 company from each geographic region of the
Administration.''.
(b) Participation in New Markets Venture Capital Program.--
(1) Administration participation required.--Section 353 of
the Small Business Investment Act of 1958 (15 U.S.C. 689b) is
amended in the matter preceding paragraph (1), by striking
''under which the Administrator may'' and inserting ''under
which the Administrator shall''.
(2) Small manufacturer participation.--Section 353(1) of
the Small Business Investment Act of 1958 (15 U.S.C. 689b(1))
is amended by inserting '', and shall set a goal of entering
into at least 1 such agreement each fiscal year with a company
that is engaged primarily in development of, and investment in,
small manufacturers, as that term is defined in section
501(e)(6)'' after ''section 352''.

SEC. 202. ESTABLISHMENT OF OFFICE OF NEW MARKETS VENTURE CAPITAL.

Title II of the Small Business Investment Act of 1958 (15 U.S.C.
671) is amended by adding at the end the following:

''SEC. 202. OFFICE OF NEW MARKETS VENTURE CAPITAL.

''(a) Establishment.--There is established in the Small Business
Investment Division of the Administration, the Office of New Markets
Venture Capital.
''(b) Director.--The head of the Office of New Markets Venture
Capital shall be an individual appointed by the Administrator in the
competitive service or the excepted service.
''(c) Responsibilities of Director.--The head of the Office of New
Markets Venture Capital shall--
''(1) administer the New Markets Venture Capital Program
under part B of title III;
''(2) assess, not less frequently than once every 2 years,
the nature and scope of the New Markets Venture Capital Program
and advise the Administrator on recommended changes to the
program;
''(3) make efforts to expand the number of small-business
concerns that participate in the New Markets Venture Capital
Program; and
''(4) encourage investment in small manufacturers, as that
term is defined in section 501(e)(6).''.

SEC. 203. LOW-INCOME GEOGRAPHIC AREAS.

(a) In General.--Section 351 of the Small Business Investment Act
of 1958 (15 U.S.C. 689) is amended--
(1) by striking paragraph (2);
(2) by redesignating paragraphs (3) through (8) as
paragraphs (2) through (7), respectively; and
(3) in paragraph (2), as so redesignated--
(A) in the matter preceding subparagraph (A)--
(i) by striking ''the term'' and inserting
''The term''; and
(ii) by striking ''means'';
(B) by striking subparagraph (A) and inserting the
following:
''(A) means a 'low-income community' within the
meaning of section 45D(e) of the Internal Revenue Code
of 1986 (relating to the new markets tax credit);
and''; and
(C) in subparagraph (B), in the matter preceding
clause (i), by inserting ''includes'' before ''any
area''.
(b) Application of Amended Definition to Capital Requirement.--The
definition of the term ''low-income geographic area'' under section 351
of the Small Business Investment Act of 1958, as amended by subsection
(a), shall apply to capital raised by a New Markets Venture Capital
company before, on, or after the date of enactment of this Act.

SEC. 204. APPLICATIONS FOR NEW MARKETS VENTURE CAPITAL PROGRAM.

Not later than 1 year after the date of enactment of this Act, the
Administrator shall prescribe standard documents for an application by
a New Markets Venture Capital company for final approval under section
354(e) of the Small Business Investment Act of 1958 (15 U.S.C.
689c(e)). The Administrator shall ensure that such documents are
designed to substantially reduce the cost of the application process
for a company making such an application.

SEC. 205. OPERATIONAL ASSISTANCE GRANTS.

(a) In General.--Section 358(a)(4)(A) of the Small Business
Investment Act of 1958 (15 U.S.C. 689g(a)(4)(A)) is amended to read as
follows:
''(A) New markets venture capital companies.--
Notwithstanding section 354(d), the amount of a grant
made under this subsection to a New Markets Venture
Capital company shall be equal to the lesser of--
''(i) 10 percent of the private capital
raised by the company; or
''(ii) $1,000,000.''.
(b) Requirements To Be Met for Final Approval.--Section 354(d) of
the Small Business Investment Act of 1958 (15 U.S.C. 689c(d)) is
amended to read as follows:
''(d) Requirements To Be Met for Final Approval.--Not later than 2
years after the date on which a company is conditionally approved by
the Administrator under subsection (c)(1), the company shall raise not
less than $5,000,000 of private capital, or binding capital
commitments, from 1 or more investors that--
''(1) are not agencies or departments of the Federal
Government; and
''(2) meet criteria established by the Administrator.''.
(c) Technical and Conforming Amendments.--Section 358(a)(4) of the
Small Business Investment Act of 1958 (15 U.S.C. 689g(a)(4)) is amended
by striking ''section 354(d)(2)'' each place it appears and inserting
''section 354(d)''.

SEC. 206. AUTHORIZATION.

Section 368(a) of the Small Business Investment Act of 1958 (15
U.S.C. 689q(a)) is amended--
(1) in the matter preceding paragraph (1), by striking
''fiscal years 2001 through 2006'' and inserting ''fiscal years
2010 through 2013''; and
(2) in paragraph (2), by striking ''$30,000,000'' and
inserting ''$20,000,000''.
Student:
Small Business Venture Capital Act of 2009 - Amends the Small Business Act to reauthorize for FY2010-FY2013 the venture capital program under the Small Business Investment Act of 1958 (a program under which small business investment companies (SBICs) provide capital financing to small businesses).

Increases the maximum amounts of outstanding leverage made available to SBICs that invest in women-owned or minority businesses.

Allows SBICs who were licensed as participating securities SBICs prior to October 1, 2004, to obtain leverage based on Small Business Administration (SBA)-approved commitments rather than paid-in capital.

Increases from 20% to 30% of total available private capital the maximum authorized SBIC investment in a single business (absent specific SBA approval).

Requires the SBA Administrator, in selecting investment companies to participate in the New Markets Venture Capital program (NMVC program) (investment in small businesses in low-income areas), to select at least one company from each SBA geographic region.

Requires the Administrator to have as a goal to enter into at least one NMVC program agreement with a company engaged primarily in the development of and investment in small manufacturers.

Establishes in the Investment Division of the SBA the Office of New Markets Venture Capital.

Modifies the definition of low-income geographic area to reflect the new markets tax credit under the Internal Revenue Code.

Requires the Administrator to prescribe standard documents for an application for final approval of a company under the NMVC program.

Allows NMVC companies to receive operational assistance grants. Requires the Administrator to grant each conditionally-approved NMVC company up to two years to raise the $5 million in private capital required for participation.

Reauthorizes the NMVC program for FY2010-FY2013. Reduces the authorization for operational assistance grants.