[Congressional Bills 106th Congress]
[From the U.S. Government Publishing Office]
[S. 791 Reported in Senate (RS)]





                                                       Calendar No. 372

106th CONGRESS

  1st Session

                                 S. 791

                          [Report No. 106-214]

_______________________________________________________________________

                                 A BILL

 To amend the Small Business Act with respect to the women's business 
                            center program.

_______________________________________________________________________

                            November 2, 1999

                       Reported with an amendment





                                                       Calendar No. 372
106th CONGRESS
  1st Session
                                 S. 791

                          [Report No. 106-214]

 To amend the Small Business Act with respect to the women's business 
                            center program.


_______________________________________________________________________


                   IN THE SENATE OF THE UNITED STATES

                             April 14, 1999

Mr. Kerry (for himself, Mr. Bond, Mr. Harkin, Mr. Bingaman, Mr. Levin, 
  Mr. Enzi, Mr. Kennedy, Mr. Domenici, Mr. Abraham, Mr. Sarbanes, Mr. 
   Akaka, Mr. Edwards, Mrs. Feinstein, Ms. Landrieu, Mrs. Boxer, Mr. 
Cleland, Mr. Kohl, Mr. Wellstone, Mr. Burns, Mr. Leahy, Ms. Snowe, Mrs. 
  Hutchison, Mr. Durbin, Mr. Santorum, Mrs. Murray, Ms. Mikulski, Mr. 
 Inouye, Mr. Jeffords, Mr. Lieberman, and Mr. Bennett) introduced the 
 following bill; which was read twice and referred to the Committee on 
                             Small Business

                            November 2, 1999

                Reported by Mr. Bond, with an amendment
 [Strike out all after the enacting clause and insert the part printed 
                               in italic]

_______________________________________________________________________

                                 A BILL


 
 To amend the Small Business Act with respect to the women's business 
                            center program.

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

<DELETED>SECTION 1. SHORT TITLE.</DELETED>

<DELETED>    This Act may be cited as the ``Women's Business Centers 
Sustainability Act of 1999''.</DELETED>

<DELETED>SEC. 2. WOMEN'S BUSINESS CENTER PROGRAM.</DELETED>

<DELETED>    (a) In General.--Section 29 of the Small Business Act (15 
U.S.C. 656) is amended by adding at the end the following:</DELETED>
<DELETED>    ``(l) Eligibility For Additional Assistance.--</DELETED>
        <DELETED>    ``(1) In general.--Subject to paragraph (2), a 
        private organization that has received financial assistance 
        under this section pursuant to a grant, contract, or 
        cooperative agreement, and that is in the final year of a 5-
        year project or that has completed a project financed under 
        this section (or any predecessor to this section), may apply 
        for financial assistance for an additional 5-year project under 
        this section.</DELETED>
        <DELETED>    ``(2) Conditions for participation.--
        Notwithstanding any other provision of this section, as a 
        condition of receiving financial assistance authorized by this 
        subsection, an organization described in paragraph (1)--
        </DELETED>
                <DELETED>    ``(A) shall meet such requirements as the 
                Administration shall establish to promote the viability 
                and success of the program under this section, in 
                addition to the requirements set forth in this section; 
                and</DELETED>
                <DELETED>    ``(B) shall agree to obtain, after its 
                application has been approved and notice of award has 
                been issued, cash contributions from non-Federal 
                sources for each year of additional program 
                participation in an amount equal to 1 non-Federal 
                dollar for each Federal dollar.''.</DELETED>
<DELETED>    (b) Authorization of Appropriations.--Section 29(k) of the 
Small Business Act (15 U.S.C. 656(k)) is amended by striking paragraph 
(1) and inserting the following:</DELETED>
        <DELETED>    ``(1) In general.--There is authorized to be 
        appropriated $12,000,000 for each of fiscal years 2000 and 2001 
        to carry out the projects authorized under this section, of 
        which, in each fiscal year, not more than 40 percent may be 
        used to carry out projects funded under subsection 
        (l).''.</DELETED>

SECTION 1. SHORT TITLE.

    This Act may be cited as the ``Women's Business Centers 
Sustainability Act of 1999''.

SEC. 2. PRIVATE NONPROFIT ORGANIZATIONS.

    Section 29 of the Small Business Act (15 U.S.C. 656) is amended--
            (1) in subsection (a)--
                    (A) by redesignating paragraphs (2) and (3) as 
                paragraphs (3) and (4), respectively; and
                    (B) by inserting after paragraph (1) the following:
            ``(2) the term `private nonprofit organization' means an 
        entity that is described in section 501(c) of the Internal 
        Revenue Code of 1986 and exempt from taxation under section 
        501(a) of such Code;''; and
            (2) in subsection (b), by inserting ``nonprofit'' after 
        ``private''.

SEC. 3. INCREASED MANAGEMENT OVERSIGHT AND REVIEW OF WOMEN'S BUSINESS 
              CENTERS.

    Section 29 of the Small Business Act (15 U.S.C. 656) is amended--
            (1) by striking subsection (h) and inserting the following:
    ``(h) Program Examination.--
            ``(1) In general.--The Administration shall--
                    ``(A) develop and implement an annual programmatic 
                and financial examination of each women's business 
                center established pursuant to this section, pursuant 
                to which each such center shall provide to the 
                Administration--
                            ``(i) an itemized cost breakdown of actual 
                        expenditures for costs incurred during the 
                        preceding year; and
                            ``(ii) documentation regarding the amount 
                        of matching assistance from non-Federal sources 
                        obtained and expended by the center during the 
                        preceding year in order to meet the 
                        requirements of subsection (c) and, with 
                        respect to any in-kind contributions described 
                        in subsection (c)(2) that were used to satisfy 
                        the requirements of subsection (c), 
                        verification of the existence and valuation of 
                        those contributions; and
                    ``(B) analyze the results of each such examination 
                and, based on that analysis, make a determination 
                regarding the programmatic and financial viability of 
                each women's business center.
            ``(2) Conditions for continued funding.--In determining 
        whether to award a contract (as a sustainability grant) under 
        subsection (l) or to renew a contract (either as a grant or 
        cooperative agreement) under this section with a women's 
        business center, the Administration--
                    ``(A) shall consider the results of the most recent 
                examination of the center under paragraph (1); and
                    ``(B) may withhold such award or renewal, if the 
                Administration determines that--
                            ``(i) the center has failed to provide any 
                        information required to be provided under 
                        clause (i) or (ii) of paragraph (1)(A), or the 
                        information provided by the center is 
                        inadequate; or
                            ``(ii) the center has failed to provide any 
                        information required to be provided by the 
                        center for purposes of the report of the 
                        Administration under subsection (j), or the 
                        information provided by the center is 
                        inadequate.''; and
            (2) by striking subsection (j) and inserting the following:
    ``(j) Management Report.--
            ``(1) In general.--The Administration shall prepare and 
        submit to the Committees on Small Business of the House of 
        Representatives and the Senate a report on the effectiveness of 
        all projects conducted under this section.
            ``(2) Contents.--Each report submitted under paragraph (1) 
        shall include information concerning, with respect to each 
        women's business center established pursuant to this section--
                    ``(A) the number of individuals receiving 
                assistance;
                    ``(B) the number of startup business concerns 
                formed;
                    ``(C) the gross receipts of assisted concerns;
                    ``(D) the employment increases or decreases of 
                assisted concerns;
                    ``(E) to the maximum extent practicable, increases 
                or decreases in profits of assisted concerns; and
                    ``(F) the most recent analysis, as required under 
                subsection (h)(1)(B), and the subsequent determination 
                made by the Administration under that subsection.''.

SEC. 4. WOMEN'S BUSINESS CENTERS SUSTAINABILITY PILOT PROGRAM.

    (a) In General.--Section 29 of the Small Business Act (15 U.S.C. 
656) is amended by adding at the end the following:
    ``(l) Sustainability Pilot Program.--
            ``(1) In general.--There is established a 4-year pilot 
        program under which the Administration is authorized to award 
        grants (referred to in this section as `sustainability grants') 
        on a competitive basis for an additional 5-year project under 
        this section to any private nonprofit organization (or a 
        division thereof)--
                    ``(A) that has received financial assistance under 
                this section pursuant to a grant, contract, or 
                cooperative agreement; and
                    ``(B) that--
                            ``(i) is in the final year of a 5-year 
                        project; or
                            ``(ii) to the extent that amounts are 
                        available for such purpose under subsection 
                        (k)(4)(B), has completed a project financed 
                        under this section (or any predecessor to this 
                        section) and continues to provide assistance to 
                        women entrepreneurs.
            ``(2) Conditions for participation.--In order to receive a 
        sustainability grant, an organization described in paragraph 
        (1) shall submit to the Administration an application, which 
        shall include--
                    ``(A) a certification that the applicant--
                            ``(i) is a private nonprofit organization;
                            ``(ii) employs a full-time executive 
                        director or program manager to manage the 
                        center; and
                            ``(iii) as a condition of receiving a 
                        sustainability grant, agrees--
                                    ``(I) to a site visit as part of 
                                the final selection process and to an 
                                annual programmatic and financial 
                                examination; and
                                    ``(II) to the maximum extent 
                                practicable, to remedy any problems 
                                identified pursuant to that site visit 
                                or examination;
                    ``(B) information demonstrating that the applicant 
                has the ability and resources to meet the needs of the 
                market to be served by the women's business center site 
                for which a sustainability grant is sought, including 
                the ability to fundraise;
                    ``(C) information relating to assistance provided 
                by the women's business center site for which a 
                sustainability grant is sought in the area in which the 
                site is located, including--
                            ``(i) the number of individuals assisted;
                            ``(ii) the number of hours of counseling, 
                        training, and workshops provided; and
                            ``(iii) the number of startup business 
                        concerns formed;
                    ``(D) information demonstrating the effective 
                experience of the applicant in--
                            ``(i) conducting financial, management, and 
                        marketing assistance programs, as described in 
                        paragraphs (1), (2), and (3) of subsection (b), 
                        designed to impart or upgrade the business 
                        skills of women business owners or potential 
                        owners;
                            ``(ii) providing training and services to a 
                        representative number of women who are both 
                        socially and economically disadvantaged;
                            ``(iii) using resource partners of the 
                        Administration and other entities, such as 
                        universities;
                            ``(iv) complying with the cooperative 
                        agreement of the applicant; and
                            ``(v) the prudent management of finances 
                        and staffing, including the manner in which the 
                        performance of the applicant compared to the 
business plan of the applicant and the manner in which grant funds 
awarded under subsection (b) were used by the applicant; and
                    ``(E) a 5-year plan that projects the ability of 
                the women's business center site for which a 
                sustainability grant is sought--
                            ``(i) to serve women business owners or 
                        potential owners in the future by improving 
                        fundraising and training activities; and
                            ``(ii) to provide training and services to 
                        a representative number of women who are both 
                        socially and economically disadvantaged.
            ``(3) Review of applications.--
                    ``(A) In general.--The Administration shall--
                            ``(i) review each application submitted 
                        under paragraph (2) based on the information 
                        provided under in subparagraphs (D) and (E) of 
                        that paragraph, and the criteria set forth in 
                        subsection (f);
                            ``(ii) as part of the final selection 
                        process, conduct a site visit at each women's 
                        business center for which a sustainability 
                        grant is sought; and
                            ``(iii) approve or disapprove applications 
                        for sustainability grants simultaneously with 
                        applications for grants under subsection (b).
                    ``(B) Data collection.--Consistent with the annual 
                report to Congress under subsection (j), each women's 
                business center site that is awarded a sustainability 
                grant shall, to the maximum extent practicable, collect 
                information relating to--
                            ``(i) the number of individuals assisted;
                            ``(ii) the number of hours of counseling 
                        and training provided and workshops conducted;
                            ``(iii) the number of startup business 
                        concerns formed;
                            ``(iv) any available gross receipts of 
                        assisted concerns; and
                            ``(v) the number of jobs created, 
                        maintained, or lost at assisted concerns.
                    ``(C) Record retention.--The Administration shall 
                maintain a copy of each application submitted under 
                this subsection for not less than 10 years.
            ``(4) Non-federal contribution.--
                    ``(A) In general.--Notwithstanding any other 
                provision of this section, as a condition of receiving 
                a sustainability grant, an organization described in 
                paragraph (1) shall agree to obtain, after its 
                application has been approved under paragraph (3) and 
                notice of award has been issued, cash and in-kind 
                contributions from non-Federal sources for each year of 
                additional program participation in an amount equal to 
                1 non-Federal dollar for each Federal dollar.
                    ``(B) Form of non-federal contributions.--Not more 
                than 50 percent of the non-Federal assistance obtained 
                for purposes of subparagraph (A) may be in the form of 
                in-kind contributions that are budget line items only, 
                including office equipment and office space.
            ``(5) Timing of requests for proposals.--In carrying out 
        this subsection, the Administration shall issue requests for 
        proposals for women's business centers applying for the pilot 
        program under this subsection simultaneously with requests for 
        proposals for grants under subsection (b).''.
    (b) Authorization of Appropriations.--Section 29(k) of the Small 
Business Act (15 U.S.C. 656(k)) is amended--
            (1) by striking paragraph (1) and inserting the following:
            ``(1) In general.--There is authorized to be appropriated, 
        to remain available until the expiration of the pilot program 
        under subsection (l)--
                    ``(A) $13,000,000 for fiscal year 2000;
                    ``(B) $14,300,000 for fiscal year 2001;
                    ``(C) $15,600,000 for fiscal year 2002; and
                    ``(D) $17,000,000 for fiscal year 2003.'';
            (2) in paragraph (2)--
                    (A) by striking ``Amounts made'' and inserting the 
                following:
                    ``(A) In general.--Except as provided in 
                subparagraph (B), amounts made''; and
                    (B) by adding at the end the following:
                    ``(B) Exceptions.--Of the amount made available 
                under this subsection for a fiscal year, the following 
                amounts shall be available for selection panel costs, 
                post-award conference costs, and costs related to 
                monitoring and oversight:
                            ``(i) For fiscal year 2000, 2.5 percent.
                            ``(ii) For fiscal year 2001, 2.3 percent.
                            ``(iii) For fiscal year 2002, 2.3 percent.
                            ``(iv) For fiscal year 2003, 1.9 
                        percent.''; and
            (3) by adding at the end the following:
            ``(4) Reservation of funds for sustainability pilot 
        program.--
                    ``(A) In general.--Subject to subparagraph (B), of 
                the total amount made available under this subsection 
                for a fiscal year, the following amounts shall be 
                reserved for sustainability grants under subsection 
                (l):
                            ``(i) For fiscal year 2000, 19.4 percent.
                            ``(ii) For fiscal year 2001, 21.9 percent.
                            ``(iii) For fiscal year 2002, 32 percent.
                            ``(iv) For fiscal year 2003, 35 percent.
                    ``(B) Use of unawarded funds for sustainability 
                pilot program grants.--If the amount reserved under 
                subparagraph (A) for any fiscal year is not fully 
                awarded to private nonprofit organizations described in 
                subsection (l)(1)(B)(i), the unawarded amount--
                            ``(i) shall first be made available for 
                        sustainability grant awards under subsection 
                        (l) to private nonprofit organizations 
                        described in subsection (l)(1)(B)(ii); and
                            ``(ii) any remaining unawarded amount shall 
                        be made available to fund additional women's 
                        business center sites or to increase funding of 
                        existing women's business center sites under 
                        subsection (b).''.
    (c) Guidelines.--Not later than 30 days after the date of enactment 
of this Act, the Administrator of the Small Business Administration 
shall issue guidelines to implement the amendments made by this 
section.

SEC. 5. SENSE OF THE SENATE REGARDING GOVERNMENT PROCUREMENT ACCESS FOR 
              WOMEN-OWNED SMALL BUSINESSES.

    (a) Findings.--The Senate finds that--
            (1) women-owned small businesses are a powerful force in 
        the economy;
            (2) between 1987 and 1996--
                    (A) the number of women-owned small businesses in 
                the United States increased by 78 percent, almost twice 
                the rate of increase of all businesses in the United 
                States;
                    (B) the number of women-owned small businesses 
                increased in every State;
                    (C) total sales by women-owned small businesses in 
                the United States increased by 236 percent;
                    (D) employment provided by women-owned small 
                businesses in the United States increased by 183 
                percent; and
                    (E) the rates of growth for women-owned small 
                businesses in the United States for the fastest growing 
                industries were--
                            (i) 171 percent in construction;
                            (ii) 157 percent in wholesale trade;
                            (iii) 140 percent in transportation and 
                        communications;
                            (iv) 130 percent in agriculture; and
                            (v) 112 percent in manufacturing;
            (3) approximately 8,000,000 women-owned small businesses in 
        the United States provide jobs for 15,500,000 individuals and 
        generate almost $1,400,000,000,000 in sales each year;
            (4) the participation of women-owned small businesses in 
        the United States in the procurement market of the Federal 
        Government is limited;
            (5) the Federal Government is the largest purchaser of 
        goods and services in the United States, spending more than 
        $200,000,000,000 each year;
            (6) the majority of Federal Government purchases are for 
        items that cost $25,000 or less; and
            (7) the rate of Federal procurement for women-owned small 
        businesses is 2.2 percent.
    (b) Sense of the Senate.--It is the sense of the Senate that, not 
later than 1 year after the date of enactment of this Act, the 
Comptroller General of the United States should--
            (1) conduct an audit of the Federal procurement system 
        regarding Federal contracting involving women-owned small 
        businesses for the 3 preceding fiscal years;
            (2) solicit from Federal employees involved in the Federal 
        procurement system any suggestions regarding how to increase 
        the number of Federal contracts awarded to women-owned small 
        businesses; and
            (3) submit to Congress a report on the results of that 
        audit, which report shall include--
                    (A) an analysis of any identified trends in Federal 
                contracting with respect to women-owned small 
                businesses;
                    (B) any recommended means to increase the number of 
                Federal contracts awarded to women-owned small 
                businesses that the Comptroller General considers to be 
                appropriate, after taking into consideration any 
                suggestions received pursuant to a solicitation 
                described in paragraph (2), including any such means 
                that incorporate the concepts of teaming or partnering; 
                and
                    (C) a discussion of any barriers to the receipt of 
                Federal contracts by women-owned small businesses and 
                other small businesses that are created by legal or 
                regulatory procurement requirements or practices.

SEC. 6. EFFECTIVE DATE.

    This Act and the amendments made by this Act shall take effect on 
October 1, 1999.