1.This Act may be cited as the Small Business Jobs Act of 2010
.
2.The table of contents for this Act is as follows:
Sec. 1. Short title.
Sec. 2. Table of contents.
TITLE I—Small businesses
Sec. 1001. Definitions.
Subtitle A—Small business access to credit
Sec. 1101. Short title.
PART I—Next Steps for Main Street Credit Availability
Sec. 1111. Section 7(a) business loans.
Sec. 1112. Maximum loan amounts under 504 program.
Sec. 1113. Maximum loan limits under microloan program.
Sec. 1114. Loan guarantee enhancement extensions.
Sec. 1115. New Markets Venture Capital company investment limitations.
Sec. 1116. Alternative size standards.
Sec. 1117. Sale of 7(a) loans in secondary market.
Sec. 1118. Online lending platform.
Sec. 1119. SBA Secondary Market Guarantee Authority.
PART II—Small Business Access to Capital
Sec. 1122. Low-interest refinancing under the local development business loan program.
PART III—Other matters
Sec. 1131. Small business intermediary lending pilot program.
Sec. 1132. Public policy goals.
Sec. 1133. Floor plan pilot program extension.
Sec. 1134. Guarantees for bonds and notes issued for community or economic development purposes.
Sec. 1135. Temporary express loan enhancement.
Sec. 1136. Prohibition on using TARP funds or tax increases.
Subtitle B—Small business trade and exporting
Sec. 1201. Short title.
Sec. 1202. Definitions.
Sec. 1203. Office of International Trade.
Sec. 1204. Duties of the Office of International Trade.
Sec. 1205. Export assistance centers.
Sec. 1206. International trade finance programs.
Sec. 1207. State Trade and Export Promotion Grant Program.
Sec. 1208. Rural export promotion.
Sec. 1209. International trade cooperation by small business development centers.
Subtitle C—Small business contracting
PART I—Contract bundling
Sec. 1311. Small Business Act.
Sec. 1312. Leadership and oversight.
Sec. 1313. Consolidation of contract requirements.
Sec. 1314. Small business teams pilot program.
PART II—Subcontracting integrity
Sec. 1321. Subcontracting misrepresentations.
Sec. 1322. Small business subcontracting improvements.
PART III—Acquisition process
Sec. 1331. Reservation of prime contract awards for small businesses.
Sec. 1332. Micro-purchase guidelines.
Sec. 1333. Agency accountability.
Sec. 1334. Payment of subcontractors.
Sec. 1335. Repeal of Small Business Competitiveness Demonstration Program.
PART IV—Small business size and status integrity
Sec. 1341. Policy and presumptions.
Sec. 1342. Annual certification.
Sec. 1343. Training for contracting and enforcement personnel.
Sec. 1344. Updated size standards.
Sec. 1345. Study and report on the mentor-protege program.
Sec. 1346. Contracting goals reports.
Sec. 1347. Small business contracting parity.
Subtitle D—Small business management and counseling assistance
Sec. 1401. Matching requirements under small business programs.
Sec. 1402. Grants for SBDCs.
Subtitle E—Disaster loan improvement
Sec. 1501. Aquaculture business disaster assistance.
Subtitle F—Small Business Regulatory Relief
Sec. 1601. Requirements providing for more detailed analyses.
Sec. 1602. Office of advocacy.
Subtitle G—Appropriations provisions
Sec. 1701. Salaries and expenses.
Sec. 1702. Business loans program account.
Sec. 1703. Community Development Financial Institutions Fund program account.
Sec. 1704. Small business loan guarantee enhancement extensions.
TITLE II—Tax provisions
Sec. 2001. Short title.
Subtitle A—Small business relief
PART I—Providing access to capital
Sec. 2011. Temporary exclusion of 100 percent of gain on certain small business stock.
Sec. 2012. General business credits of eligible small businesses for 2010 carried back 5 years.
Sec. 2013. General business credits of eligible small businesses in 2010 not subject to alternative minimum tax.
Sec. 2014. Temporary reduction in recognition period for built-in gains tax.
PART II—Encouraging investment
Sec. 2021. Increased expensing limitations for 2010 and 2011; certain real property treated as section 179 property.
Sec. 2022. Additional first-year depreciation for 50 percent of the basis of certain qualified property.
Sec. 2023. Special rule for long-term contract accounting.
PART III—Promoting entrepreneurship
Sec. 2031. Increase in amount allowed as deduction for start-up expenditures in 2010.
Sec. 2032. Authorization of appropriations for the United States Trade Representative to develop market access opportunities for United States small- and medium-sized businesses and to enforce trade agreements.
PART IV—Promoting small business fairness
Sec. 2041. Limitation on penalty for failure to disclose reportable transactions based on resulting tax benefits.
Sec. 2042. Deduction for health insurance costs in computing self-employment taxes in 2010.
Sec. 2043. Removal of cellular telephones and similar telecommunications equipment from listed property.
Subtitle B—Revenue provisions
PART I—Reducing the tax gap
Sec. 2101. Information reporting for rental property expense payments.
Sec. 2102. Increase in information return penalties.
Sec. 2103. Report on tax shelter penalties and certain other enforcement actions.
Sec. 2104. Application of continuous levy to tax liabilities of certain Federal contractors.
PART II—Promoting retirement preparation
Sec. 2111. Participants in government section 457 plans allowed to treat elective deferrals as Roth contributions.
Sec. 2112. Rollovers from elective deferral plans to designated Roth accounts.
Sec. 2113. Special rules for annuities received from only a portion of a contract.
PART III—Closing unintended loopholes
Sec. 2121. Crude tall oil ineligible for cellulosic biofuel producer credit.
Sec. 2122. Source rules for income on guarantees.
PART IV—Time for payment of corporate estimated taxes
Sec. 2131. Time for payment of corporate estimated taxes.
TITLE III—State Small Business Credit Initiative
Sec. 3001. Short title.
Sec. 3002. Definitions.
Sec. 3003. Federal funds allocated to States.
Sec. 3004. Approving States for participation.
Sec. 3005. Approving State capital access programs.
Sec. 3006. Approving collateral support and other innovative credit access and guarantee initiatives for small businesses and manufacturers.
Sec. 3007. Reports.
Sec. 3008. Remedies for State program termination or failures.
Sec. 3009. Implementation and administration.
Sec. 3010. Regulations.
Sec. 3011. Oversight and audits.
TITLE IV—Additional small business provisions
Subtitle A—Small Business Lending Fund
Sec. 4101. Purpose.
Sec. 4102. Definitions.
Sec. 4103. Small business lending fund.
Sec. 4104. Additional authorities of the Secretary.
Sec. 4105. Considerations.
Sec. 4106. Reports.
Sec. 4107. Oversight and audits.
Sec. 4108. Credit reform; funding.
Sec. 4109. Termination and continuation of authorities.
Sec. 4110. Preservation of authority.
Sec. 4111. Assurances.
Sec. 4112. Study and report with respect to women-owned, veteran-owned, and minority-owned businesses.
Sec. 4113. Sense of Congress.
Subtitle B—Other provisions
PART I—Small business export promotion initiatives
Sec. 4221. Short title.
Sec. 4222. Global business development and promotion activities of the Department of Commerce.
Sec. 4223. Additional funding to improve access to global markets for rural businesses.
Sec. 4224. Additional funding for the ExporTech program.
Sec. 4225. Additional funding for the market development cooperator program of the Department of Commerce.
Sec. 4226. Hollings Manufacturing Partnership Program; Technology Innovation Program.
Sec. 4227. Sense of the Senate concerning Federal collaboration with States on export promotion issues.
Sec. 4228. Report on tariff and nontariff barriers.
PART II—Medicare fraud
Sec. 4241. Use of predictive modeling and other analytics technologies to identify and prevent waste, fraud, and abuse in the Medicare fee-for-service program.
TITLE V—Budgetary provisions
Sec. 5001. Determination of budgetary effects.
<enum>I</enum><header>Small businesses</header>
<section id="HA9DEE4D2496E4D12B98474065C9A3CB1"><enum>1001.</enum><header>Definitions</header><text display-inline="no-display-inline">In this title—</text>
<paragraph commented="no" display-inline="no-display-inline" id="H92F196F528B2485E9A0DBE82D16F587C"><enum>(1)</enum><text display-inline="yes-display-inline">the terms <term>Administration</term> and <term>Administrator</term> mean the Small Business Administration and the Administrator thereof, respectively; and</text></paragraph>
<paragraph commented="no" display-inline="no-display-inline" id="H44513F84C1D44670AF8B74C1E2B7CB14"><enum>(2)</enum><text display-inline="yes-display-inline">the term <term>small business concern</term> has the meaning given that term under section 3 of the Small Business Act (15 U.S.C. 632).</text></paragraph></section>
<subtitle id="HE6A7266C217547CF9243256E03A8F50D"><enum>A</enum><header>Small business access to credit</header>
<section id="H295A2A745D304D0CB2F0499E8F879EAF" section-type="subsequent-section"><enum>1101.</enum><header>Short title</header><text display-inline="no-display-inline">This subtitle may be cited as the <quote>Small Business Job Creation and Access to Capital Act of 2010</quote>.</text></section>
<part id="H26E1C14EB7DF4C2DAFA8E8FB000B3658"><enum>I</enum><header>Next Steps for Main Street Credit Availability</header>
<section id="HF80A965BDA82466DBD2DECAB41448271"><enum>1111.</enum><header>Section 7<enum-in-header>(a)</enum-in-header> business loans</header>
<subsection id="HB184CE00D58B4B5FB4BAEB3F3ACCD6AD"><enum>(a)</enum><header>Amendment</header><text display-inline="yes-display-inline">Section 7(a) of the Small Business Act (15 U.S.C. 636(a)) is amended—</text>
<paragraph id="H386384BEB4A14B00A4A57B9B94E14128"><enum>(1)</enum><text display-inline="yes-display-inline">in paragraph (2)(A)—</text>
<subparagraph id="HFCB748A26CBE42DFB76A8456E77BC52B"><enum>(A)</enum><text>in clause (i), by striking <quote>75 percent</quote> and inserting <quote>90 percent</quote>; and</text></subparagraph>
<subparagraph id="H3438B8AB394A4E8DB1609034E5B42266"><enum>(B)</enum><text>in clause (ii), by striking <quote>85 percent</quote> and inserting <quote>90 percent</quote>; and</text></subparagraph></paragraph>
<paragraph id="HC256AA1497F042EBBB51E06E6672B1D6"><enum>(2)</enum><text display-inline="yes-display-inline">in paragraph (3)(A), by striking <quote>$1,500,000 (or if the gross loan amount would exceed $2,000,000</quote> and inserting <quote>$4,500,000 (or if the gross loan amount would exceed $5,000,000</quote>.</text></paragraph></subsection>
<subsection id="H0D6B61182FA8469A8E8EDDA0520089D6"><enum>(b)</enum><header>Prospective repeal</header><text display-inline="yes-display-inline">Effective January 1, 2011, section 7(a) of the Small Business Act (15 U.S.C. 636(a)) is amended—</text>
<paragraph id="H277CD8FBF95F473DAC968A5A87A1C9FF"><enum>(1)</enum><text display-inline="yes-display-inline">in paragraph (2)(A)—</text>
<subparagraph id="H4D2D2AEA84B04D6397C4DA35B81B78D5"><enum>(A)</enum><text>in clause (i), by striking <quote>90 percent</quote> and inserting <quote>75 percent</quote>; and</text></subparagraph>
<subparagraph id="H4C626A4B675F42C49E102BC21310DEF0"><enum>(B)</enum><text>in clause (ii), by striking <quote>90 percent</quote> and inserting <quote>85 percent</quote>; and</text></subparagraph></paragraph>
<paragraph commented="no" display-inline="no-display-inline" id="HBFCDE25559AE48F993A77353D340362C"><enum>(2)</enum><text display-inline="yes-display-inline">in paragraph (3)(A), by striking <quote>$4,500,000</quote> and inserting <quote>$3,750,000</quote>.</text></paragraph></subsection></section>
<section id="HD2D26E39F52749E992D2466366F7851F"><enum>1112.</enum><header>Maximum loan amounts under 504 program</header><text display-inline="no-display-inline">Section 502(2)(A) of the Small Business Investment Act of 1958 (15 U.S.C. 696(2)(A)) is amended—</text>
<paragraph id="HBF12C000A784431FA7F89B282EEF53D0"><enum>(1)</enum><text display-inline="yes-display-inline">in clause (i), by striking <quote>$1,500,000</quote> and inserting <quote>$5,000,000</quote>;</text></paragraph>
<paragraph id="HD1580B21228A431A8C98237913F6354A"><enum>(2)</enum><text>in clause (ii), by striking <quote>$2,000,000</quote> and inserting <quote>$5,000,000</quote>;</text></paragraph>
<paragraph id="HDC5D3CC300E842DF985D5E0347846CA4"><enum>(3)</enum><text>in clause (iii), by striking <quote>$4,000,000</quote> and inserting <quote>$5,500,000</quote>;</text></paragraph>
<paragraph id="H1B798B4CEBCD4D0882DE7C98DFB0B29A"><enum>(4)</enum><text>in clause (iv), by striking <quote>$4,000,000</quote> and inserting <quote>$5,500,000</quote>; and</text></paragraph>
<paragraph id="H5522E7936C0446B69E293FBD79456344"><enum>(5)</enum><text>in clause (v), by striking <quote>$4,000,000</quote> and inserting <quote>$5,500,000</quote>.</text></paragraph></section>
<section id="HD4896D6B717847959F77E73A42A6822C"><enum>1113.</enum><header>Maximum loan limits under microloan program</header><text display-inline="no-display-inline">Section 7(m) of the Small Business Act (15 U.S.C. 636(m)) is amended—</text>
<paragraph id="HB7EFFF5846A54A67A540BCBE541B3F07"><enum>(1)</enum><text display-inline="yes-display-inline">in paragraph (1)(B)(iii), by striking <quote>$35,000</quote> and inserting <quote>$50,000</quote>;</text></paragraph>
<paragraph id="H6C228C65B2B14D78AFE461699CC359A5"><enum>(2)</enum><text>in paragraph (3)—</text>
<subparagraph id="H77BFE984A16847D4898A80BD24F09339"><enum>(A)</enum><text>in subparagraph (C), by striking <quote>$3,500,000</quote> and inserting <quote>$5,000,000</quote>; and</text></subparagraph>
<subparagraph id="HBF59000C6385413FB69FB79A6A1BF802"><enum>(B)</enum><text>in subparagraph (E), by striking <quote>$35,000</quote> each place that term appears and inserting <quote>$50,000</quote>; and</text></subparagraph></paragraph>
<paragraph commented="no" display-inline="no-display-inline" id="H2F7E8B31278542E6B0A6B2A68AE3AD5A"><enum>(3)</enum><text>in paragraph (11)(B), by striking <quote>$35,000</quote> and inserting <quote>$50,000</quote>.</text></paragraph></section>
<section commented="no" display-inline="no-display-inline" id="HFE4157CE72054D42854F63C4FB0D1A33"><enum>1114.</enum><header>Loan guarantee enhancement extensions</header>
<subsection commented="no" display-inline="no-display-inline" id="H6848D72F9910460C8842A411ED1FCE15"><enum>(a)</enum><header>Fees</header><text display-inline="yes-display-inline">Section 501 of the American Recovery and Reinvestment Act of 2009 (Public Law 111–5; 123 Stat. 151) is amended by striking <quote>September 30, 2010</quote> each place that term appears and inserting <quote>December 31, 2010</quote>.</text></subsection>
<subsection id="H2ED7829B01A745B6BF545693A66E905A"><enum>(b)</enum><header>Loan guarantees</header><text>Section 502(f) of division A of the American Recovery and Reinvestment Act of 2009 (Public Law 111–5; 123 Stat. 153) is amended by striking <quote>May 31, 2010</quote> and inserting <quote>December 31, 2010</quote>.</text></subsection></section>
<section id="H2CB9CDEE5D0445559298CD527BFB8071"><enum>1115.</enum><header>New Markets Venture Capital company investment limitations</header><text display-inline="no-display-inline">Section 355 of the Small Business Investment Act of 1958 (15 U.S.C. 689d) is amended by adding at the end the following:</text>
<quoted-block changed="added" display-inline="no-display-inline" id="HB9B2AFC80C344B37ADA37E0794B6617B" reported-display-style="italic" style="OLC">
<subsection id="HD30369C69B584DF4BC45DC27FC1E078F"><enum>(e)</enum><header>Investment limitations</header>
<paragraph id="H4DF2B8940E7646DDB7894F02A8C27CC2"><enum>(1)</enum><header>Definition</header><text>In this subsection, the term <term>covered New Markets Venture Capital company</term> means a New Markets Venture Capital company—</text>
<subparagraph id="HDAB732D7E1D845CD94C27CCDFA21DB0C"><enum>(A)</enum><text>granted final approval by the Administrator under section 354(e) on or after March 1, 2002; and</text></subparagraph>
<subparagraph id="HBAA2C3B4DA9B4E0A98EE8D18CF03EE1C"><enum>(B)</enum><text>that has obtained a financing from the Administrator.</text></subparagraph></paragraph>
<paragraph id="HD7BF256298874685A274A571089F33F7"><enum>(2)</enum><header>Limitation</header><text>Except to the extent approved by the Administrator, a covered New Markets Venture Capital company may not acquire or issue commitments for securities under this title for any single enterprise in an aggregate amount equal to more than 10 percent of the sum of—</text>
<subparagraph id="H3AA1010E7A034CB086679D915EEE4ED6"><enum>(A)</enum><text>the regulatory capital of the covered New Markets Venture Capital company; and</text></subparagraph>
<subparagraph id="H6F73A8BA464D4A14857A526305239149"><enum>(B)</enum><text>the total amount of leverage projected in the participation agreement of the covered New Markets Venture Capital.</text></subparagraph></paragraph></subsection><after-quoted-block>.</after-quoted-block></quoted-block></section>
<section id="HE31DB9E6FB084D4A97DA64DC57AE5274"><enum>1116.</enum><header>Alternative size standards</header><text display-inline="no-display-inline">Section 3(a) of the Small Business Act (15 U.S.C. 632(a)) is amended by adding at the end the following:</text>
<quoted-block changed="added" display-inline="no-display-inline" id="H17859661F954433BA40B5E12BAF1133B" reported-display-style="italic" style="OLC">
<paragraph id="H5A73640C463B47C1842E7634B4C7C48A" indent="up1"><enum>(5)</enum><header>Alternative size standard</header>
<subparagraph id="H5F7430A8D6824D1288A615E99047A225"><enum>(A)</enum><header>In general</header><text>The Administrator shall establish an alternative size standard for applicants for business loans under section 7(a) and applicants for development company loans under title V of the Small Business Investment Act of 1958 (15 U.S.C. 695 et seq.), that uses maximum tangible net worth and average net income as an alternative to the use of industry standards.</text></subparagraph>
<subparagraph id="HF533CBF35F09430AB2B13C61C9A04621"><enum>(B)</enum><header>Interim rule</header><text>Until the date on which the alternative size standard established under subparagraph (A) is in effect, an applicant for a business loan under section 7(a) or an applicant for a development company loan under title V of the Small Business Investment Act of 1958 may be eligible for such a loan if—</text>
<clause id="H337878755A384E70AA78E9E87A5C3E1E"><enum>(i)</enum><text>the maximum tangible net worth of the applicant is not more than $15,000,000; and</text></clause>
<clause id="H9F9D465FB43A4C8C8B826673238CD4AF"><enum>(ii)</enum><text>the average net income after Federal income taxes (excluding any carry-over losses) of the applicant for the 2 full fiscal years before the date of the application is not more than $5,000,000.</text></clause></subparagraph></paragraph><after-quoted-block>.</after-quoted-block></quoted-block></section>
<section id="H3418134C48D248F49522B06C0161DAC9"><enum>1117.</enum><header>Sale of 7<enum-in-header>(a)</enum-in-header> loans in secondary market</header><text display-inline="no-display-inline">Section 5(g) of the Small Business Act (15 U.S.C. 634(g)) is amended by adding at the end the following:</text>
<quoted-block changed="added" display-inline="no-display-inline" id="HEEE32A891D394A8AB33BB9652F81E578" reported-display-style="italic" style="OLC">
<paragraph id="HA33E5D30E23B4D95BCD06CC3F9E87F01" indent="up1"><enum>(6)</enum><text>If the amount of the guaranteed portion of any loan under section 7(a) is more than $500,000, the Administrator shall, upon request of a pool assembler, divide the loan guarantee into increments of $500,000 and 1 increment of any remaining amount less than $500,000, in order to permit the maximum amount of any loan in a pool to be not more than $500,000. Only 1 increment of any loan guarantee divided under this paragraph may be included in the same pool. Increments of loan guarantees to different borrowers that are divided under this paragraph may be included in the same pool.</text></paragraph><after-quoted-block>.</after-quoted-block></quoted-block></section>
<section id="H2487CB27457547369A3DAC57FC3C2D75"><enum>1118.</enum><header>Online lending platform</header><text display-inline="no-display-inline">It is the sense of Congress that the Administrator of the Small Business Administration should establish a website that—</text>
<paragraph id="H13CE4FBE84E74F7688075C880B7EE96C"><enum>(1)</enum><text display-inline="yes-display-inline">lists each lender that makes loans guaranteed by the Small Business Administration and provides information about the loan rates of each such lender; and</text></paragraph>
<paragraph id="H53315846B7414C3E924E2DBA4C250BFD"><enum>(2)</enum><text display-inline="yes-display-inline">allows prospective borrowers to compare rates on loans guaranteed by the Small Business Administration.</text></paragraph></section>
<section id="H5F5206593B884859A8BCF5BE6CED663C"><enum>1119.</enum><header>SBA Secondary Market Guarantee Authority</header><text display-inline="no-display-inline">Section 503(f) of division A of the American Recovery and Reinvestment Act of 2009 (Public Law 111–5; 123 Stat. 155) is amended by striking <quote>on the date 2 years after the date of enactment of this section</quote> and inserting <quote>2 years after the date of the first sale of a pool of first lien position 504 loans guaranteed under this section to a third-party investor</quote>.</text></section></part>
<part id="HA0F27A87A39C48B3B446106B15462989"><enum>II</enum><header>Small Business Access to Capital</header>
<section id="H21CB35602E7E41FC870BF3E098E27ADD"><enum>1122.</enum><header>Low-interest refinancing under the local development business loan program</header>
<subsection id="H9EEA4C1BB40F419EADF899B0B831B977"><enum>(a)</enum><header>Refinancing</header><text display-inline="yes-display-inline">Section 502(7) of the Small Business Investment Act of 1958 (15 U.S.C. 696(7)) is amended by adding at the end the following:</text>
<quoted-block changed="added" display-inline="no-display-inline" id="H91737918DAC7408A9DD83F9C1FA64717" reported-display-style="italic" style="OLC">
<subparagraph id="HD31CC91F7D7D41148FEA9799CB02EA12"><enum>(C)</enum><header>Refinancing not involving expansions</header>
<clause id="H4780A5648F9D42CCBDFF22A21D3C9BFC"><enum>(i)</enum><header>Definitions</header><text>In this subparagraph—</text>
<subclause id="H42D4E8A376434F889C29A7301FBD0B3B"><enum>(I)</enum><text>the term <term>borrower</term> means a small business concern that submits an application to a development company for financing under this subparagraph;</text></subclause>
<subclause id="H49F10010E91D43EFA2668FC9ED6D0988"><enum>(II)</enum><text>the term <term>eligible fixed asset</term> means tangible property relating to which the Administrator may provide financing under this section; and</text></subclause>
<subclause id="H8EB41A0CF90C4CC0988066C4F266252C"><enum>(III)</enum><text>the term <term>qualified debt</term> means indebtedness—</text>
<item id="H164F351A83754A5BB6E3351832C30668"><enum>(aa)</enum><text>that—</text>
<subitem id="H02215F134B914F7E910437718A844D4A"><enum>(AA)</enum><text>was incurred not less than 2 years before the date of the application for assistance under this subparagraph;</text></subitem>
<subitem id="HA0DFCA9D2AB6493792D2347C22A60D04"><enum>(BB)</enum><text>is a commercial loan;</text></subitem>
<subitem id="HE7A854DFE3664CFFB130549B196C6C48"><enum>(CC)</enum><text>is not subject to a guarantee by a Federal agency;</text></subitem>
<subitem id="HEA35559942DA4A6BA5011AC6F9A33E04"><enum>(DD)</enum><text>the proceeds of which were used to acquire an eligible fixed asset;</text></subitem>
<subitem id="H00B8BFFD789540E291433C34A764D2D3"><enum>(EE)</enum><text>was incurred for the benefit of the small business concern; and</text></subitem>
<subitem id="H4E88359F9F454ABBA816562C235A4893"><enum>(FF)</enum><text>is collateralized by eligible fixed assets; and</text></subitem></item>
<item id="HE1C41D4403824272ADF4E292F6A1AAE8"><enum>(bb)</enum><text>for which the borrower has been current on all payments for not less than 1 year before the date of the application.</text></item></subclause></clause>
<clause id="HD354C132679E425F9A240012D06BEBBB"><enum>(ii)</enum><header>Authority</header><text>A project that does not involve the expansion of a small business concern may include the refinancing of qualified debt if—</text>
<subclause id="HD189A467D2D3450BADFA18DF799C3955"><enum>(I)</enum><text>the amount of the financing is not more than 90 percent of the value of the collateral for the financing, except that, if the appraised value of the eligible fixed assets serving as collateral for the financing is less than the amount equal to 125 percent of the amount of the financing, the borrower may provide additional cash or other collateral to eliminate any deficiency;</text></subclause>
<subclause id="HAA4CCBB30FE04F0E8671528510EF510F"><enum>(II)</enum><text>the borrower has been in operation for all of the 2-year period ending on the date of the loan; and</text></subclause>
<subclause id="H523CC6FDC1934FC691555F1FEFB44F8F"><enum>(III)</enum><text>for a financing for which the Administrator determines there will be an additional cost attributable to the refinancing of the qualified debt, the borrower agrees to pay a fee in an amount equal to the anticipated additional cost.</text></subclause></clause>
<clause id="H7925EE16389D4FE6BB6611B8341CB9F5"><enum>(iii)</enum><header>Financing for business expenses</header>
<subclause id="H71D6B74CAA0D4571AD60922C9D563069"><enum>(I)</enum><header>Financing for business expenses</header><text>The Administrator may provide financing to a borrower that receives financing that includes a refinancing of qualified debt under clause (ii), in addition to the refinancing under clause (ii), to be used solely for the payment of business expenses.</text></subclause>
<subclause id="HCB926BC87B824D31AA9495FAED6E00A0"><enum>(II)</enum><header>Application for financing</header><text>An application for financing under subclause (I) shall include—</text>
<item id="H348B54C97F41444A8D0D67F070F86BD4"><enum>(aa)</enum><text>a specific description of the expenses for which the additional financing is requested; and</text></item>
<item id="H562FD76AF0C14D62B286B1AB36732E0E"><enum>(bb)</enum><text>an itemization of the amount of each expense.</text></item></subclause>
<subclause id="H3D518A1B86644C10BCE46CB97C17D6B7"><enum>(III)</enum><header>Condition on additional financing</header><text>A borrower may not use any part of the financing under this clause for non-business purposes.</text></subclause></clause>
<clause id="H1D4174143F3744378F5E1F6D2C898F8B"><enum>(iv)</enum><header>Loans based on jobs</header>
<subclause id="HF4EBC2A4F2184A24A2EAD5CB04C60779"><enum>(I)</enum><header>Job creation and retention goals</header>
<item id="HA3EE823282FE43E0836559325613CD6B"><enum>(aa)</enum><header>In general</header><text>The Administrator may provide financing under this subparagraph for a borrower that meets the job creation goals under subsection (d) or (e) of section 501.</text></item>
<item id="HA78F80D9095D4709BB643CE1FF43441B"><enum>(bb)</enum><header>Alternate job retention goal</header><text>The Administrator may provide financing under this subparagraph to a borrower that does not meet the goals described in item (aa) in an amount that is not more than the product obtained by multiplying the number of employees of the borrower by $65,000.</text></item></subclause>
<subclause id="H326D2C9031374D3B8C94F82F99B20E3D"><enum>(II)</enum><header>Number of employees</header><text>For purposes of subclause (I), the number of employees of a borrower is equal to the sum of—</text>
<item id="H174A956A366B443AB1DAD4E00AC093B6"><enum>(aa)</enum><text>the number of full-time employees of the borrower on the date on which the borrower applies for a loan under this subparagraph; and</text></item>
<item id="H0220ABFE486246CB94A435A05A394C15"><enum>(bb)</enum><text>the product obtained by multiplying—</text>
<subitem id="H0FCA4A0E474E4F1990B59DE4C231D110"><enum>(AA)</enum><text>the number of part-time employees of the borrower on the date on which the borrower applies for a loan under this subparagraph; by</text></subitem>
<subitem id="H8519EC49411D4935BCC97773D640504F"><enum>(BB)</enum><text>the quotient obtained by dividing the average number of hours each part time employee of the borrower works each week by 40.</text></subitem></item></subclause></clause>
<clause id="HDB2E46349AB84611989DE571DD580EC8"><enum>(v)</enum><header>Nondelegation</header><text>Notwithstanding section 508(e), the Administrator may not permit a premier certified lender to approve or disapprove an application for assistance under this subparagraph.</text></clause>
<clause id="HB94059C5DCCA482FA393D2BFEC1F8B51"><enum>(vi)</enum><header>Total amount of loans</header><text>The Administrator may provide not more than a total of $7,500,000,000 of financing under this subparagraph for each fiscal year.</text></clause></subparagraph><after-quoted-block>.</after-quoted-block></quoted-block></subsection>
<subsection id="H610048FB06A548CF8A487315571DA3EE"><enum>(b)</enum><header>Prospective repeal</header><text>Effective 2 years after the date of enactment of this Act, section 502(7) of the Small Business Investment Act of 1958 (15 U.S.C. 696(7)) is amended by striking subparagraph (C).</text></subsection>
<subsection id="H20B5B2098392485DB20FCF9AB4A2A4EC"><enum>(c)</enum><header>Technical correction</header><text>Section 502(2)(A)(i) of the Small Business Investment Act of 1958 (15 U.S.C. 696(2)(A)(i)) is amended by striking <quote>subparagraph (B) or (C)</quote> and inserting <quote>clause (ii), (iii), (iv), or (v)</quote>.</text></subsection></section></part>
<part id="H3B5D413F43874FF9A1D8B63BCF3B8ABF"><enum>III</enum><header>Other matters</header>
<section id="HAC1D644297E3416FA8EDCE0EE3F2B128"><enum>1131.</enum><header>Small business intermediary lending pilot program</header>
<subsection id="HA95F1BEA81B3465483E5F7F97E5C9B99"><enum>(a)</enum><header>In general</header><text>Section 7 of the Small Business Act (15 U.S.C. 636) is amended by striking subsection (l) and inserting the following:</text>
<quoted-block changed="added" display-inline="no-display-inline" id="HBDD03B1A2BAF405294174462FCF83E89" reported-display-style="italic" style="OLC">
<subsection id="HABC9A240C1C2425195A371FEEA68B244"><enum>(l)</enum><header>Small Business Intermediary Lending Pilot Program</header>
<paragraph id="HB9025B12176944EEBBBDC476FC3632BA"><enum>(1)</enum><header>Definitions</header><text>In this subsection—</text>
<subparagraph id="HDC04EDFDD57E4AAA8D0C8EF212268B73"><enum>(A)</enum><text>the term <term>eligible intermediary</term>—</text>
<clause id="H7DF61EAD9EFA45D2B549A046F10BEF84"><enum>(i)</enum><text>means a private, nonprofit entity that—</text>
<subclause id="HFD2C60F525EA4BB5A53F7FC704B2E1AB"><enum>(I)</enum><text>seeks or has been awarded a loan from the Administrator to make loans to small business concerns under this subsection; and</text></subclause>
<subclause id="HECE356F353EC45568D24BD1A317A54EF"><enum>(II)</enum><text>has not less than 1 year of experience making loans to startup, newly established, or growing small business concerns; and</text></subclause></clause>
<clause id="H4660EA4EB982492287E73CD495E70954"><enum>(ii)</enum><text>includes—</text>
<subclause id="HA5D27E92484C46A2A08F9B89FB819976"><enum>(I)</enum><text>a private, nonprofit community development corporation;</text></subclause>
<subclause id="HCF6E870327C040B790D00222A973F680"><enum>(II)</enum><text>a consortium of private, nonprofit organizations or nonprofit community development corporations; and</text></subclause>
<subclause id="HAE7F6DA7BFBC49A684BAA30DBC7BA8DC"><enum>(III)</enum><text>an agency of or nonprofit entity established by a Native American Tribal Government; and</text></subclause></clause></subparagraph>
<subparagraph id="H15E9D502D02B4214947F99B17DB66151"><enum>(B)</enum><text>the term <term>Program</term> means the small business intermediary lending pilot program established under paragraph (2).</text></subparagraph></paragraph>
<paragraph id="H6DBF1197375B4201BD04EC20BF9F9C80"><enum>(2)</enum><header>Establishment</header><text>There is established a 3-year small business intermediary lending pilot program, under which the Administrator may make direct loans to eligible intermediaries, for the purpose of making loans to startup, newly established, and growing small business concerns.</text></paragraph>
<paragraph id="H086C110F9DA646A8AD3FEFD0F6FE0629"><enum>(3)</enum><header>Purposes</header><text>The purposes of the Program are—</text>
<subparagraph id="H9AB852F290D14396A6EBCFF3701A15D0"><enum>(A)</enum><text>to assist small business concerns in areas suffering from a lack of credit due to poor economic conditions or changes in the financial market; and</text></subparagraph>
<subparagraph id="HEDE61580641E45B4A2A2AB3E71FEBB9D"><enum>(B)</enum><text>to establish a loan program under which the Administrator may provide loans to eligible intermediaries to enable the eligible intermediaries to provide loans to startup, newly established, and growing small business concerns for working capital, real estate, or the acquisition of materials, supplies, or equipment.</text></subparagraph></paragraph>
<paragraph id="HED65C9281C0849BCA0E234CDA36DD063"><enum>(4)</enum><header>Loans to eligible intermediaries</header>
<subparagraph id="HD50D7B3C8D724A1A99CB2206FE3FEE63"><enum>(A)</enum><header>Application</header><text>Each eligible intermediary desiring a loan under this subsection shall submit an application to the Administrator that describes—</text>
<clause id="HF62B927EA9234B70B5085D7CB50FB96E"><enum>(i)</enum><text>the type of small business concerns to be assisted;</text></clause>
<clause id="H390525ADA3F244BF946DC4165701737C"><enum>(ii)</enum><text>the size and range of loans to be made;</text></clause>
<clause id="H188ACDCF3E074E759572C0C28078C266"><enum>(iii)</enum><text>the interest rate and terms of loans to be made;</text></clause>
<clause id="H857CC3544AA64B6DBCB49C1B2EA29968"><enum>(iv)</enum><text>the geographic area to be served and the economic, poverty, and unemployment characteristics of the area;</text></clause>
<clause id="H7E9DFF6B6BFD4D9094706D2BFD061276"><enum>(v)</enum><text>the status of small business concerns in the area to be served and an analysis of the availability of credit; and</text></clause>
<clause id="H7895A08700DB47F28BEAEC35EDDC980C"><enum>(vi)</enum><text>the qualifications of the applicant to carry out this subsection.</text></clause></subparagraph>
<subparagraph id="H44053C2531C44C319CCA9FB6271CE492"><enum>(B)</enum><header>Loan limits</header><text>No loan may be made to an eligible intermediary under this subsection if the total amount outstanding and committed to the eligible intermediary by the Administrator would, as a result of such loan, exceed $1,000,000 during the participation of the eligible intermediary in the Program.</text></subparagraph>
<subparagraph id="HEA6023CD46D44ECC9C85A8D680201D68"><enum>(C)</enum><header>Loan duration</header><text>Loans made by the Administrator under this subsection shall be for a term of 20 years.</text></subparagraph>
<subparagraph id="H991CB475D78849AC8329A2126B7DFBF7"><enum>(D)</enum><header>Applicable interest rates</header><text>Loans made by the Administrator to an eligible intermediary under the Program shall bear an annual interest rate equal to 1.00 percent.</text></subparagraph>
<subparagraph id="HE34F954A416F409294F0EEEDABC3F2A0"><enum>(E)</enum><header>Fees; collateral</header><text>The Administrator may not charge any fees or require collateral with respect to any loan made to an eligible intermediary under this subsection.</text></subparagraph>
<subparagraph id="HFA827D9866F942A288C6DCE40575D1F4"><enum>(F)</enum><header>Delayed payments</header><text>The Administrator shall not require the repayment of principal or interest on a loan made to an eligible intermediary under the Program during the 2-year period beginning on the date of the initial disbursement of funds under that loan.</text></subparagraph>
<subparagraph id="H7274C1E0A20749548FBCCFF7C5B5BBD6"><enum>(G)</enum><header>Maximum participants and amounts</header><text>During each of fiscal years 2011, 2012, and 2013, the Administrator may make loans under the Program—</text>
<clause id="H4800F793D0934EBCB2D80BA2BA6DC99D"><enum>(i)</enum><text>to not more than 20 eligible intermediaries; and</text></clause>
<clause id="H593BBDC3B4FB4FA888359FF8FE3C7F47"><enum>(ii)</enum><text>in a total amount of not more than $20,000,000.</text></clause></subparagraph></paragraph>
<paragraph id="H5BADDF05EB884FBA8397808081AE6A59"><enum>(5)</enum><header>Loans to small business concerns</header>
<subparagraph id="HE0029BCC03A84E34B25F20DD8F98DC79"><enum>(A)</enum><header>In general</header><text>The Administrator, through an eligible intermediary, shall make loans to startup, newly established, and growing small business concerns for working capital, real estate, and the acquisition of materials, supplies, furniture, fixtures, and equipment.</text></subparagraph>
<subparagraph id="HED4EC2FE8ABB46D3A34D34C99E715903"><enum>(B)</enum><header>Maximum loan</header><text>An eligible intermediary may not make a loan under this subsection of more than $200,000 to any 1 small business concern.</text></subparagraph>
<subparagraph id="HD6616B1F8849460C8067E38DFF935542"><enum>(C)</enum><header>Applicable interest rates</header><text>A loan made by an eligible intermediary to a small business concern under this subsection, may have a fixed or a variable interest rate, and shall bear an interest rate specified by the eligible intermediary in the application of the eligible intermediary for a loan under this subsection.</text></subparagraph>
<subparagraph id="HED25874362EC4914A5682A31658703EF"><enum>(D)</enum><header>Review restrictions</header><text>The Administrator may not review individual loans made by an eligible intermediary to a small business concern before approval of the loan by the eligible intermediary.</text></subparagraph></paragraph>
<paragraph id="H4FCB0A2C772D4D0E852FB83A4A8CCC5F"><enum>(6)</enum><header>Termination</header><text>The authority of the Administrator to make loans under the Program shall terminate 3 years after the date of enactment of the Small Business Job Creation and Access to Capital Act of 2010.</text></paragraph></subsection><after-quoted-block>.</after-quoted-block></quoted-block></subsection>
<subsection id="H5938C64D8A4E44079C19BCF5E3EEB155"><enum>(b)</enum><header>Rulemaking authority</header><text>Not later than 180 days after the date of enactment of this Act, the Administrator shall issue regulations to carry out section 7(l) of the Small Business Act, as amended by subsection (a).</text></subsection>
<subsection commented="no" display-inline="no-display-inline" id="HF9918A5E973F4D2BBFEA954FB037119B"><enum>(c)</enum><header>Availability of funds</header><text>Any amounts provided to the Administrator for the purposes of carrying out section 7(l) of the Small Business Act, as amended by subsection (a), shall remain available until expended.</text></subsection></section>
<section commented="no" display-inline="no-display-inline" id="H1DE17295E01F471396F749F264A06F5A"><enum>1132.</enum><header>Public policy goals</header><text display-inline="no-display-inline">Section 501(d)(3) of the Small Business Investment Act of 1958 (15 U.S.C. 695(d)(3)) is amended—</text>
<paragraph commented="no" display-inline="no-display-inline" id="HB41799FE2C8B49BC898D237078AD43CD"><enum>(1)</enum><text display-inline="yes-display-inline">in subparagraph (J), by striking <quote>or</quote> at the end;</text></paragraph>
<paragraph commented="no" display-inline="no-display-inline" id="H3E10B04E3D5A4ADFAA74DC97DDFC5B23"><enum>(2)</enum><text>in subparagraph (K), by striking the period at the end and inserting <quote>, or</quote>; and</text></paragraph>
<paragraph commented="no" display-inline="no-display-inline" id="HE6767405CEFD408EBD28C8273930F2F3"><enum>(3)</enum><text>by adding at the end the following:</text>
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<subparagraph commented="no" display-inline="no-display-inline" id="H3894197B9E594612AE8527FE34B36BC5"><enum>(L)</enum><text>reduction of rates of unemployment in labor surplus areas, as such areas are determined by the Secretary of Labor.</text></subparagraph><after-quoted-block>.</after-quoted-block></quoted-block></paragraph></section>
<section commented="no" display-inline="no-display-inline" id="H5C09D417ADB043B89950599F6D4C657D"><enum>1133.</enum><header>Floor plan pilot program extension</header>
<subsection id="H19A7E9EA11324BA9846961AD1E8214B8"><enum>(a)</enum><header>In general</header><text>Section 7(a) of the Small Business Act (15 U.S.C. 636(a)) is amended—</text>
<paragraph id="H62D674B6576A4186860C45100446A476"><enum>(1)</enum><text>by redesignating paragraph (32), relating to increased veteran participation, as added by section 208 of the Military Reservist and Veteran Small Business Reauthorization and Opportunity Act of 2008 (Public Law 110–186; 122 Stat. 631), as paragraph (33); and</text></paragraph>
<paragraph commented="no" display-inline="no-display-inline" id="H4F2296692199457A99DC081ADC4B5B58"><enum>(2)</enum><text>by adding at the end the following:</text>
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<paragraph commented="no" display-inline="no-display-inline" id="HD3118FB101AE47FC9A811AA5CE00664E"><enum>(34)</enum><header>Floor plan financing program</header>
<subparagraph commented="no" display-inline="no-display-inline" id="HEB47D414825A471DB5D89F9757C7BA47"><enum>(A)</enum><header>Definition</header><text>In this paragraph, the term <term>eligible retail good</term>—</text>
<clause commented="no" display-inline="no-display-inline" id="HA0368E4477464B988F937A6D4C6F249C"><enum>(i)</enum><text>means a good for which a title may be obtained under State law; and</text></clause>
<clause commented="no" display-inline="no-display-inline" id="HD593CDFBF1114A03A6F8051AC065AE5B"><enum>(ii)</enum><text>includes an automobile, recreational vehicle, boat, and manufactured home.</text></clause></subparagraph>
<subparagraph commented="no" display-inline="no-display-inline" id="H476B819957324F378542CEAD5A5D01CD"><enum>(B)</enum><header>Program</header><text>The Administrator may guarantee the timely payment of an open-end extension of credit to a small business concern, the proceeds of which may be used for the purchase of eligible retail goods for resale.</text></subparagraph>
<subparagraph commented="no" display-inline="no-display-inline" id="HE85F33912FDA495EB0655C9550D30E3E"><enum>(C)</enum><header>Amount</header><text>An open-end extension of credit guaranteed under this paragraph shall be in an amount not less than $500,000 and not more than $5,000,000.</text></subparagraph>
<subparagraph commented="no" display-inline="no-display-inline" id="H9EAB3CB65EEC428BAF605F78AA068E18"><enum>(D)</enum><header>Term</header><text>An open-end extension of credit guaranteed under this paragraph shall have a term of not more than 5 years.</text></subparagraph>
<subparagraph commented="no" display-inline="no-display-inline" id="HD6988C6025E349A690A5064DB0CEE5C6"><enum>(E)</enum><header>Guarantee percentage</header><text>The Administrator may guarantee—</text>
<clause commented="no" display-inline="no-display-inline" id="H7D01057C249B413D997D9E0DC9C6639C"><enum>(i)</enum><text>not less than 60 percent of an open-end extension of credit under this paragraph; and</text></clause>
<clause commented="no" display-inline="no-display-inline" id="H2139F5C2B0B340208948FD8E0ADBDEF3"><enum>(ii)</enum><text>not more than 75 percent of an open-end extension of credit under this paragraph.</text></clause></subparagraph>
<subparagraph commented="no" display-inline="no-display-inline" id="H4765A2BFDC94440E8B2FBAFD4895A20F"><enum>(F)</enum><header>Advance rate</header><text>The lender for an open-end extension of credit guaranteed under this paragraph may allow the borrower to draw funds on the line of credit in an amount equal to not more than 100 percent of the value of the eligible retail goods to be purchased.</text></subparagraph></paragraph><after-quoted-block>.</after-quoted-block></quoted-block></paragraph></subsection>
<subsection commented="no" display-inline="no-display-inline" id="H577E26F507E140F29CE398AB5F3405A5"><enum>(b)</enum><header>Sunset</header><text>Effective September 30, 2013, section 7(a) of the Small Business Act (15 U.S.C. 636(a)) is amended—</text>
<paragraph commented="no" display-inline="no-display-inline" id="HD6C39239AF5244D6BE68B130D0AD9D6D"><enum>(1)</enum><text>by striking paragraph (34); and</text></paragraph>
<paragraph commented="no" display-inline="no-display-inline" id="HFCF369188A5048A88556FB8A26CBADC1"><enum>(2)</enum><text>by redesignating paragraph (35), as added by section 1206 of this Act, as paragraph (34).</text></paragraph></subsection></section>
<section id="H013853E5378F45C7A03F0D4333372C8F"><enum>1134.</enum><header>Guarantees for bonds and notes issued for community or economic development purposes</header><text display-inline="no-display-inline">The Riegle Community Development and Regulatory Improvement Act of 1994 (12 U.S.C. 4701 et seq.) is amended by inserting after section 114 (12 U.S.C. 4713) the following:</text>
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<section id="H14A929C5DB544D66BFE669E02855DE9A"><enum>114A.</enum><header>Guarantees for bonds and notes issued for community or economic development purposes</header>
<subsection id="HA80A266B699C42939506A315BE9AED80"><enum>(a)</enum><header>Definitions</header><text>In this section, the following definitions shall apply:</text>
<paragraph id="H2482E54620514304A15008D3D6FFBBE5"><enum>(1)</enum><header>Eligible community development financial institution</header><text>The term <term>eligible community development financial institution</term> means a community development financial institution (as described in section 1805.201 of title 12, Code of Federal Regulations, or any successor thereto) certified by the Secretary that has applied to a qualified issuer for, or been granted by a qualified issuer, a loan under the Program.</text></paragraph>
<paragraph id="H87EC82507BC946BE92A087C8D0F99DE5"><enum>(2)</enum><header>Eligible community or economic development purpose</header><text>The term <term>eligible community or economic development purpose</term>—</text>
<subparagraph id="H28F2A088039C41A49766054A94989764"><enum>(A)</enum><text>means any purpose described in section 108(b); and</text></subparagraph>
<subparagraph id="H3042050611FB4E6CAFC45DE18F94ACB3"><enum>(B)</enum><text>includes the provision of community or economic development in low-income or underserved rural areas.</text></subparagraph></paragraph>
<paragraph id="H2FC0248DB1BF4C80B4D280AC745650FE"><enum>(3)</enum><header>Guarantee</header><text>The term <term>guarantee</term> means a written agreement between the Secretary and a qualified issuer (or trustee), pursuant to which the Secretary ensures repayment of the verifiable losses of principal, interest, and call premium, if any, on notes or bonds issued by a qualified issuer to finance or refinance loans to eligible community development financial institutions.</text></paragraph>
<paragraph id="HC4862AD2C99F4AB7AE64BD15B70E0ED6"><enum>(4)</enum><header>Loan</header><text>The term <term>loan</term> means any credit instrument that is extended under the Program for any eligible community or economic development purpose.</text></paragraph>
<paragraph id="H7FC95258BC8B4DF5ADBF7C55B0943CA8"><enum>(5)</enum><header>Master servicer</header>
<subparagraph id="H761A3138DAE341329208377BFED80E66"><enum>(A)</enum><header>In general</header><text>The term <term>master servicer</term> means any entity approved by the Secretary in accordance with subparagraph (B) to oversee the activities of servicers, as provided in subsection (f)(4).</text></subparagraph>
<subparagraph id="HAE5C26C4ABA1490D8098B65CCC7490E2"><enum>(B)</enum><header>Approval criteria for master servicers</header><text>The Secretary shall approve or deny any application to become a master servicer under the Program not later than 90 days after the date on which all required information is submitted to the Secretary, based on the capacity and experience of the applicant in—</text>
<clause id="H7902C6290902459EB8353BDF821CEF1A"><enum>(i)</enum><text>loan administration, servicing, and loan monitoring;</text></clause>
<clause id="HB72C088F71ED4DBFABCFB24E2AEEAFF9"><enum>(ii)</enum><text>managing regional or national loan intake, processing, or servicing operational systems and infrastructure;</text></clause>
<clause id="H8FE5CA433FA94A95BBA2974CA00B823E"><enum>(iii)</enum><text>managing regional or national originator communication systems and infrastructure;</text></clause>
<clause id="H64F76C3E71EB4CE2A560ABC8C65442E9"><enum>(iv)</enum><text>developing and implementing training and other risk management strategies on a regional or national basis; and</text></clause>
<clause id="H8EBE5ADEDD694730B133ED42383616B8"><enum>(v)</enum><text>compliance monitoring, investor relations, and reporting.</text></clause></subparagraph></paragraph>
<paragraph id="HAB6B1E6170E34CA4987F64232518F57D"><enum>(6)</enum><header>Program</header><text>The term <term>Program</term> means the guarantee Program for bonds and notes issued for eligible community or economic development purposes established under this section.</text></paragraph>
<paragraph id="H5C4C2EA4E35D4E8483A1FC6C9B906E69"><enum>(7)</enum><header>Program administrator</header><text>The term <term>Program administrator</term> means an entity designated by the issuer to perform administrative duties, as provided in subsection (f)(2).</text></paragraph>
<paragraph id="H25BE32743E064F2882DDBF23C95026F9"><enum>(8)</enum><header>Qualified issuer</header>
<subparagraph id="H9A6B3342463445D099F590C5F01B7AF5"><enum>(A)</enum><header>In general</header><text>The term <term>qualified issuer</term> means a community development financial institution (or any entity designated to issue notes or bonds on behalf of such community development financial institution) that meets the qualification requirements of this paragraph.</text></subparagraph>
<subparagraph id="H1F48FF288CD44050A1EF06BA03FEE576"><enum>(B)</enum><header>Approval criteria for qualified issuers</header>
<clause id="H70484E32ED244060BC9D8E720E6A5077"><enum>(i)</enum><header>In general</header><text>The Secretary shall approve a qualified issuer for a guarantee under the Program in accordance with the requirements of this paragraph, and such additional requirements as the Secretary may establish, by regulation.</text></clause>
<clause id="HAC28E665E4884C77818963FE90B62CF2"><enum>(ii)</enum><header>Terms and qualifications</header><text>A qualified issuer shall—</text>
<subclause id="H01BED7D390A9491398EC04C2197AA472"><enum>(I)</enum><text>have appropriate expertise, capacity, and experience, or otherwise be qualified to make loans for eligible community or economic development purposes;</text></subclause>
<subclause id="H8A771D5FBC2A49E791ADC319EE719CF6"><enum>(II)</enum><text>provide to the Secretary—</text>
<item id="H6D9CF29CEE1840EEB4F25AB286334C44"><enum>(aa)</enum><text>an acceptable statement of the proposed sources and uses of the funds; and</text></item>
<item id="H39B4CCB045B24DA28A85DF5CA3050058"><enum>(bb)</enum><text>a capital distribution plan that meets the requirements of subsection (c)(1); and</text></item></subclause>
<subclause id="H8DA03C4365604E7EA96E2A1FD4E7B8AC"><enum>(III)</enum><text>certify to the Secretary that the bonds or notes to be guaranteed are to be used for eligible community or economic development purposes.</text></subclause></clause></subparagraph>
<subparagraph id="H0E7679182187497E888E839F6C0D2076"><enum>(C)</enum><header>Department opinion; timing</header>
<clause id="HD2EDF6A99A664A5F8E40107FE2B5109F"><enum>(i)</enum><header>Department opinion</header><text>Not later than 30 days after the date of a request by a qualified issuer for approval of a guarantee under the Program, the Secretary shall provide an opinion regarding compliance by the issuer with the requirements of the Program under this section.</text></clause>
<clause id="H0AC2ED8E2BE4429F969B2BFE700AC4C4"><enum>(ii)</enum><header>Timing</header><text>The Secretary shall approve or deny a guarantee under this section after consideration of the opinion provided to the Secretary under clause (i), and in no case later than 90 days after receipt of all required information by the Secretary with respect to a request for such guarantee.</text></clause></subparagraph></paragraph>
<paragraph id="H14D5F5A36A2D4D89BECBBA8D696EF3AC"><enum>(9)</enum><header>Secretary</header><text>The term <term>Secretary</term> means the Secretary of the Treasury.</text></paragraph>
<paragraph id="H1D33E2C4EF3A4BAD8D5FBB15FFB0A91B"><enum>(10)</enum><header>Servicer</header><text>The term <term>servicer</term> means an entity designated by the issuer to perform various servicing duties, as provided in subsection (f)(3).</text></paragraph></subsection>
<subsection id="HB6054AFDCD0F41D4A70C6C82841C3DBD"><enum>(b)</enum><header>Guarantees authorized</header><text>The Secretary shall guarantee payments on bonds or notes issued by any qualified issuer, if the proceeds of the bonds or notes are used in accordance with this section to make loans to eligible community development financial institutions—</text>
<paragraph id="H132873ACCEFC4CFD80FACC2299D93804"><enum>(1)</enum><text>for eligible community or economic development purposes; or</text></paragraph>
<paragraph id="HE47F42C72182471380E1AD839616ED20"><enum>(2)</enum><text>to refinance loans or notes issued for such purposes.</text></paragraph></subsection>
<subsection id="HB0711BD8E7114045951961AE7188B1FE"><enum>(c)</enum><header>General Program requirements</header>
<paragraph id="HCC6D0519A280429EAC2E10205B397BC4"><enum>(1)</enum><header>In general</header><text>A capital distribution plan meets the requirements of this subsection, if not less than 90 percent of the principal amount of guaranteed bonds or notes (other than costs of issuance fees) are used to make loans for any eligible community or economic development purpose, measured annually, beginning at the end of the 1-year period beginning on the issuance date of such guaranteed bonds or notes.</text></paragraph>
<paragraph id="HC19CA3EFC7FC4283B2983386A7EA5399"><enum>(2)</enum><header>Relending account</header><text>Not more than 10 percent of the principal amount of guaranteed bonds or notes, multiplied by an amount equal to the outstanding principal balance of issued notes or bonds, minus the risk-share pool amount under subsection (d), may be held in a relending account and may be made available for new eligible community or economic development purposes.</text></paragraph>
<paragraph id="H7BB06F8954704F30BCBD77A3DB24219A"><enum>(3)</enum><header>Limitations on unpaid principal balances</header><text>The proceeds of guaranteed bonds or notes under the Program may not be used to pay fees (other than costs of issuance fees), and shall be held in—</text>
<subparagraph id="HFF08686B5CCB4469835C6B6249368A97"><enum>(A)</enum><text>community or economic development loans;</text></subparagraph>
<subparagraph id="H987DAA85DA47441E8092F9AD1AB3528B"><enum>(B)</enum><text>a relending account, to the extent authorized under paragraph (2); or</text></subparagraph>
<subparagraph id="HB83A8A21DF3E4CC2A7D3C977DAED93BF"><enum>(C)</enum><text>a risk-share pool established under subsection (d).</text></subparagraph></paragraph>
<paragraph id="H1E5A10D548334C0C802C9308BE99BAF1"><enum>(4)</enum><header>Repayment</header><text>If a qualified issuer fails to meet the requirements of paragraph (1) by the end of the 90-day period beginning at the end of the annual measurement period, repayment shall be made on that portion of bonds or notes necessary to bring the bonds or notes that remain outstanding after such repayment into compliance with the 90 percent requirement of paragraph (1).</text></paragraph>
<paragraph id="H53C4928B48C7420CB73516DEA5FFCD7C"><enum>(5)</enum><header>Prohibited uses</header><text>The Secretary shall, by regulation—</text>
<subparagraph id="HAFF647ACAA224B36B8E1CB622E316E75"><enum>(A)</enum><text>prohibit, as appropriate, certain uses of amounts from the guarantee of a bond or note under the Program, including the use of such funds for political activities, lobbying, outreach, counseling services, or travel expenses; and</text></subparagraph>
<subparagraph id="H1583DACCE6E5494BBAC8D030D1BD0F1D"><enum>(B)</enum><text>provide that the guarantee of a bond or note under the Program may not be used for salaries or other administrative costs of—</text>
<clause id="H2D18766B17554C2F8F9E8BE2381C8953"><enum>(i)</enum><text>the qualified issuer; or</text></clause>
<clause id="H5844B0D83D244903B400CDE3E53701EC"><enum>(ii)</enum><text>any recipient of amounts from the guarantee of a bond or note.</text></clause></subparagraph></paragraph></subsection>
<subsection id="H502847B6F185489F972253CC1B8233B5"><enum>(d)</enum><header>Risk-Share pool</header><text>Each qualified issuer shall, during the term of a guarantee provided under the Program, establish a risk-share pool, capitalized by contributions from eligible community development financial institution participants an amount equal to 3 percent of the guaranteed amount outstanding on the subject notes and bonds.</text></subsection>
<subsection id="HA08D6BB640BC4207A2918789F29F032E"><enum>(e)</enum><header>Guarantees</header>
<paragraph id="H444A172C2FB7441D8FD6EED90D31B1F0"><enum>(1)</enum><header>In general</header><text>A guarantee issued under the Program shall—</text>
<subparagraph id="H66CB1C460C0A4561A3AE5E45D03242D5"><enum>(A)</enum><text>be for the full amount of a bond or note, including the amount of principal, interest, and call premiums;</text></subparagraph>
<subparagraph id="H4259DCF0278E43A6A8E950229B8A44E6"><enum>(B)</enum><text>be fully assignable and transferable to the capital market, on terms and conditions that are consistent with comparable Government-guaranteed bonds, and satisfactory to the Secretary;</text></subparagraph>
<subparagraph id="H0AA60B0E778B429395C77B9B094B41A6"><enum>(C)</enum><text>represent the full faith and credit of the United States; and</text></subparagraph>
<subparagraph id="HAA7C74D093784402B244249997E8F722"><enum>(D)</enum><text>not exceed 30 years.</text></subparagraph></paragraph>
<paragraph id="HB07466521BC74A8A958F0ACAB15F871C"><enum>(2)</enum><header>Limitations</header>
<subparagraph id="H0D10DD885C3C45B18F08F93E4B38D447"><enum>(A)</enum><header>Annual number of guarantees</header><text>The Secretary shall issue not more than 10 guarantees in any calendar year under the Program.</text></subparagraph>
<subparagraph id="HB3235735A635415E964BFD8E031BD78C"><enum>(B)</enum><header>Guarantee amount</header><text>The Secretary may not guarantee any amount under the Program equal to less than $100,000,000, but the total of all such guarantees in any fiscal year may not exceed $1,000,000,000.</text></subparagraph></paragraph></subsection>
<subsection id="H6D88515383194C03A2C83424729D517B"><enum>(f)</enum><header>Servicing of transactions</header>
<paragraph id="H3B382C11867F4E6FB1D075223D4B5D61"><enum>(1)</enum><header>In general</header><text>To maximize efficiencies and minimize cost and interest rates, loans made under this section may be serviced by qualified Program administrators, bond servicers, and a master servicer.</text></paragraph>
<paragraph id="H8C3FA8B57D69469F87EFECFD7854F717"><enum>(2)</enum><header>Duties of Program administrator</header><text>The duties of a Program administrator shall include—</text>
<subparagraph id="H69C75D5887F5409A88978A527AB562D0"><enum>(A)</enum><text>approving and qualifying eligible community development financial institution applications for participation in the Program;</text></subparagraph>
<subparagraph id="H35294D50F9194762B041E98F81CA3BA1"><enum>(B)</enum><text>compliance monitoring;</text></subparagraph>
<subparagraph id="H74BE148727DE47BFA8F87CA4AA9C0E20"><enum>(C)</enum><text>bond packaging in connection with the Program; and</text></subparagraph>
<subparagraph id="H69D36D9C8FA045149D4DC00C0797B168"><enum>(D)</enum><text>all other duties and related services that are customarily expected of a Program administrator.</text></subparagraph></paragraph>
<paragraph id="HD2E95A4256414F03B6E62FAA3E4CA4D1"><enum>(3)</enum><header>Duties of servicer</header><text>The duties of a servicer shall include—</text>
<subparagraph id="HEFC79A43CB314FA5BF949D58A97B1E2E"><enum>(A)</enum><text>billing and collecting loan payments;</text></subparagraph>
<subparagraph id="H9088E60339E34821BC67D91B9CF96F74"><enum>(B)</enum><text>initiating collection activities on past-due loans;</text></subparagraph>
<subparagraph id="HA7F1262A1CA443169D38CA92BBEE823E"><enum>(C)</enum><text>transferring loan payments to the master servicing accounts;</text></subparagraph>
<subparagraph commented="no" id="H45D39B1A05ED477D8C21C58EC5516F63"><enum>(D)</enum><text>loan administration and servicing;</text></subparagraph>
<subparagraph id="H6F3C0FD1D72944FFA9610449F51F10E0"><enum>(E)</enum><text>systematic and timely reporting of loan performance through remittance and servicing reports;</text></subparagraph>
<subparagraph id="HAEA229D67B3B41D0949329AC9BD153A5"><enum>(F)</enum><text>proper measurement of annual outstanding loan requirements; and</text></subparagraph>
<subparagraph id="HA292583BB71246FAA595386037971D41"><enum>(G)</enum><text>all other duties and related services that are customarily expected of servicers.</text></subparagraph></paragraph>
<paragraph id="HA8655801E2CC495787D10591E12DF658"><enum>(4)</enum><header>Duties of master servicer</header><text>The duties of a master servicer shall include—</text>
<subparagraph id="HDD1FA56CB4274CE2B24249E70E15FF61"><enum>(A)</enum><text>tracking the movement of funds between the accounts of the master servicer and any other servicer;</text></subparagraph>
<subparagraph id="H976DA1C5D2DC4956A0F828D50D2D77F1"><enum>(B)</enum><text>ensuring orderly receipt of the monthly remittance and servicing reports of the servicer;</text></subparagraph>
<subparagraph id="H96A89481ACD34129A9297D1DCB1AC4E7"><enum>(C)</enum><text>monitoring the collection comments and foreclosure actions;</text></subparagraph>
<subparagraph id="HFB6D4AE5E40F44CAA59773A18E1A4E75"><enum>(D)</enum><text>aggregating the reporting and distribution of funds to trustees and investors;</text></subparagraph>
<subparagraph id="H48FAD967489A42278BD0BBAE12576AA9"><enum>(E)</enum><text>removing and replacing a servicer, as necessary;</text></subparagraph>
<subparagraph commented="no" id="HF5C0577C609F4A3CA0D24C9D56A8C10A"><enum>(F)</enum><text>loan administration and servicing;</text></subparagraph>
<subparagraph id="HF1DF70A30E8F4236865E669CA98707E9"><enum>(G)</enum><text>systematic and timely reporting of loan performance compiled from all bond servicers’ reports;</text></subparagraph>
<subparagraph id="H6345F9BD54BD4FBD9CF9B2492EBC115C"><enum>(H)</enum><text>proper distribution of funds to investors; and</text></subparagraph>
<subparagraph id="HDA58C01AF2E24DB191D59B9F9A4A4E33"><enum>(I)</enum><text>all other duties and related services that are customarily expected of a master servicer.</text></subparagraph></paragraph></subsection>
<subsection id="H5DAC614553E94B9B9DCD11813FB11D6D"><enum>(g)</enum><header>Fees</header>
<paragraph id="H2A379FCF275B49ADA3846B4FC47E203D"><enum>(1)</enum><header>In general</header><text>A qualified issuer that receives a guarantee issued under this section on a bond or note shall pay a fee to the Secretary, in an amount equal to 10 basis points of the amount of the unpaid principal of the bond or note guaranteed.</text></paragraph>
<paragraph id="H6B4BA0A1E5174BC5B8D3F9632D1DB19B"><enum>(2)</enum><header>Payment</header><text>A qualified issuer shall pay the fee required under this subsection on an annual basis.</text></paragraph>
<paragraph id="HDF9DD36C3308446BB4F079FB5A55354E"><enum>(3)</enum><header>Use of fees</header><text>Fees collected by the Secretary under this subsection shall be used to reimburse the Department of the Treasury for any administrative costs incurred by the Department in implementing the Program established under this section.</text></paragraph></subsection>
<subsection id="H825F379FB610443DB2935CF71C132229"><enum>(h)</enum><header>Authorization of appropriations</header>
<paragraph id="HEC71F0181AD949D997598CA7024BD561"><enum>(1)</enum><header>In general</header><text>There are authorized to be appropriated to the Secretary, such sums as are necessary to carry out this section.</text></paragraph>
<paragraph id="H080F40F917F144FD909A4F5926266ABA"><enum>(2)</enum><header>Use of fees</header><text>To the extent that the amount of funds appropriated for a fiscal year under paragraph (1) are not sufficient to carry out this section, the Secretary may use the fees collected under subsection (g) for the cost of providing guarantees of bonds and notes under this section.</text></paragraph></subsection>
<subsection id="H9998BDD1466A4EFFBCEFE73D40C85D89"><enum>(i)</enum><header>Investment in guaranteed bonds ineligible for Community Reinvestment Act purposes</header><text>Notwithstanding any other provision of law, any investment by a financial institution in bonds or notes guaranteed under the Program shall not be taken into account in assessing the record of such institution for purposes of the Community Reinvestment Act of 1977 (12 U.S.C. 2901).</text></subsection>
<subsection id="HB71434AE21654F4DBBA05A1078B3C47E"><enum>(j)</enum><header>Administration</header>
<paragraph id="H0A6A65015A9E4493919847AF28A537AA"><enum>(1)</enum><header>Regulations</header><text>Not later than 1 year after the date of enactment of this section, the Secretary shall promulgate regulations to carry out this section.</text></paragraph>
<paragraph id="HFA976F8DEA064C36B87355A8B3D1E6EB"><enum>(2)</enum><header>Implementation</header><text>Not later than 2 years after the date of enactment of this section, the Secretary shall implement this section.</text></paragraph></subsection>
<subsection id="HE0C8B88BFE864164BCB31574C781E4B9"><enum>(k)</enum><header>Termination</header><text>This section is repealed, and the authority provided under this section shall terminate, on September 30, 2014.</text></subsection></section><after-quoted-block>.</after-quoted-block></quoted-block></section>
<section id="H4A8028ECF35B4FE88DDA45EFEC571885"><enum>1135.</enum><header>Temporary express loan enhancement</header>
<subsection id="H01743764AD9F4731BB26B1CF752A63B3"><enum>(a)</enum><header>In general</header><text display-inline="yes-display-inline">Section 7(a)(31)(D) of the Small Business Act (15 U.S.C. 636(a)(31)(D)) is amended by striking <quote>$350,000</quote> and inserting <quote>$1,000,000</quote>.</text></subsection>
<subsection id="H27399C57580C45FD91A8DF5DADB3BEEF"><enum>(b)</enum><header>Prospective repeal</header><text display-inline="yes-display-inline">Effective 1 year after the date of enactment of this Act, section 7(a)(31)(D) of the Small Business Act (15 U.S.C. 636(a)(31)(D)) is amended by striking <quote>$1,000,000</quote> and inserting <quote>$350,000</quote>.</text></subsection></section>
<section id="HCF6496D294C444188F2C268EC3BC005C"><enum>1136.</enum><header>Prohibition on using TARP funds or tax increases</header>
<subsection id="H08719591EACF469AAFE6E317092FBECF"><enum>(a)</enum><header>In general</header><text display-inline="yes-display-inline">Except as provided in subsection (b), nothing in section 1111, 1112, 1113, 1114, 1115, 1116, 1117, 1118, 1122, or 1131, or an amendment made by such sections, shall be construed to limit the ability of Congress to appropriate funds.</text></subsection>
<subsection id="H68BCF354B3264301B7D47CB544ED6F2C"><enum>(b)</enum><header>TARP funds and tax increases</header>
<paragraph id="H32C9B6C1575A441F897D9CEAFD0EF90B"><enum>(1)</enum><header>In general</header><text>Any covered amounts may not be used to carry out section 1111, 1112, 1113, 1114, 1115, 1116, 1117, 1118, 1122, or 1131, or an amendment made by such sections.</text></paragraph>
<paragraph id="HA0779FB8B3AD44F28F04F98FCB48C2CE"><enum>(2)</enum><header>Definition</header><text>In this subsection, the term <quote>covered amounts</quote> means—</text>
<subparagraph id="H8D4DCC02741F4FAEBFADE6075908CEE6"><enum>(A)</enum><text>the amounts made available to the Secretary of the Treasury under title I of the Emergency Economic Stabilization Act of 2008 S.C. 5201 et seq.) to purchase (under section 101) or guarantee (under section 102) assets under that Act; and</text></subparagraph>
<subparagraph id="HD3850C422EAA44EBB8501495304F7E8C"><enum>(B)</enum><text>any revenue increase attributable to any amendment to the Internal Revenue Code of 1986 made during the period beginning on the date of enactment of this Act and ending on December 31, 2010.</text></subparagraph></paragraph></subsection></section></part></subtitle>
<subtitle id="H284F153DAFD548D9895A78E254BAC63C"><enum>B</enum><header>Small business trade and exporting</header>
<section commented="no" display-inline="no-display-inline" id="H69641412DCD4417D8A8E680BECFED879" section-type="subsequent-section"><enum>1201.</enum><header display-inline="yes-display-inline">Short title</header><text display-inline="no-display-inline">This subtitle may be cited as the <quote>Small Business Export Enhancement and International Trade Act of 2010</quote>.</text></section>
<section commented="no" display-inline="no-display-inline" id="HB6CC854A8709449B836BD63ACB5B91DE" section-type="subsequent-section"><enum>1202.</enum><header display-inline="yes-display-inline">Definitions</header>
<subsection commented="no" display-inline="no-display-inline" id="HB1060878497944F3809A333ED2220F0D"><enum>(a)</enum><header display-inline="yes-display-inline">Definitions</header><text display-inline="yes-display-inline">In this subtitle—</text>
<paragraph commented="no" display-inline="no-display-inline" id="H60C235F083FD4BA3B0086741A1C5BA97"><enum>(1)</enum><text display-inline="yes-display-inline">the term <term>Associate Administrator</term> means the Associate Administrator for International Trade appointed under section 22(a)(2) of the Small Business Act, as amended by this subtitle;</text></paragraph>
<paragraph commented="no" display-inline="no-display-inline" id="H4DC4665F3EF04636AB198911BC7C0115"><enum>(2)</enum><text display-inline="yes-display-inline">the term <term>Export Assistance Center</term> means a one-stop shop referred to in section 2301(b)(8) of the Omnibus Trade and Competitiveness Act of 1988 (15 U.S.C. 4721(b)(8)); and</text></paragraph>
<paragraph commented="no" display-inline="no-display-inline" id="H3047F2655ECA4ED9920292A31BF04830"><enum>(3)</enum><text display-inline="yes-display-inline">the term <term>rural small business concern</term> means a small business concern located in a rural area, as that term is defined in section 1393(a)(2) of the Internal Revenue Code of 1986.</text></paragraph></subsection>
<subsection commented="no" display-inline="no-display-inline" id="HFB055595ABE0418D9C7853353207323C"><enum>(b)</enum><header display-inline="yes-display-inline">Technical and conforming amendments</header>
<paragraph commented="no" display-inline="no-display-inline" id="H4E5F9E056994495A9DA9957D088630C4"><enum>(1)</enum><header display-inline="yes-display-inline">Definitions</header><text display-inline="yes-display-inline">Section 3 of the Small Business Act (15 U.S.C. 632) is amended by adding at the end the following:</text>
<quoted-block changed="added" display-inline="no-display-inline" id="HDB577D4B987F45768D39746FA8D9C853" reported-display-style="italic" style="OLC">
<subsection commented="no" display-inline="no-display-inline" id="H6886FB68157D4A9BBA4AA6006967917D"><enum>(t)</enum><header display-inline="yes-display-inline">Small business development center</header><text display-inline="yes-display-inline">In this Act, the term <term>small business development center</term> means a small business development center described in section 21.</text></subsection>
<subsection commented="no" display-inline="no-display-inline" id="HDBBE6967B23846368CB03F867651145F"><enum>(u)</enum><header display-inline="yes-display-inline">Region of the Administration</header><text display-inline="yes-display-inline">In this Act, the term <quote>region of the Administration</quote> means the geographic area served by a regional office of the Administration established under section 4(a).</text></subsection><after-quoted-block>.</after-quoted-block></quoted-block></paragraph>
<paragraph commented="no" display-inline="no-display-inline" id="HDA80F12C68194708BBC0E63D4AB4B1D5"><enum>(2)</enum><header display-inline="yes-display-inline">Conforming amendment</header><text display-inline="yes-display-inline">Section 4(b)(3)(B)(x) of the Small Business Act (15 U.S.C. 633(b)(3)(B)(x)) is amended by striking <quote>Administration district and region</quote> and inserting <quote>district and region of the Administration</quote>.</text></paragraph></subsection></section>
<section commented="no" display-inline="no-display-inline" id="H24BA3D22D42C40A4A25942851590F00A" section-type="subsequent-section"><enum>1203.</enum><header display-inline="yes-display-inline">Office of International Trade</header>
<subsection commented="no" display-inline="no-display-inline" id="HBA40030197BA43C88F928525C82EFF4B"><enum>(a)</enum><header display-inline="yes-display-inline">Establishment</header><text display-inline="yes-display-inline">Section 22 of the Small Business Act (15 U.S.C. 649) is amended—</text>
<paragraph commented="no" display-inline="no-display-inline" id="H9B482E8C771C4B88BC2AC127738F433F"><enum>(1)</enum><text display-inline="yes-display-inline">by striking <quote><header-in-text level="subsection" style="traditional">Sec. 22.</header-in-text> (a) There</quote> and inserting the following:</text>
<quoted-block changed="added" display-inline="no-display-inline" id="HA309FEBC60AE4AE29D8A52BEB8AA6952" reported-display-style="italic" style="OLC">
<section commented="no" display-inline="no-display-inline" id="H8A39F8A251514CFCA6F7A999A8ED803F" section-type="subsequent-section"><enum>22.</enum><header display-inline="yes-display-inline">Office of International Trade</header>
<subsection commented="no" display-inline="no-display-inline" id="H8C1FDAD90CC14B409AAEACA120E6EE14"><enum>(a)</enum><header display-inline="yes-display-inline">Establishment</header>
<paragraph commented="no" display-inline="no-display-inline" id="H7E8825D25C574F8EBFF56B5D25690BBA"><enum>(1)</enum><header display-inline="yes-display-inline">Office</header><text display-inline="yes-display-inline">There</text></paragraph></subsection></section><after-quoted-block>; and</after-quoted-block></quoted-block></paragraph>
<paragraph commented="no" display-inline="no-display-inline" id="H688847AD992941798E1AAFC1DCE9403C"><enum>(2)</enum><text display-inline="yes-display-inline">in subsection (a)—</text>
<subparagraph commented="no" display-inline="no-display-inline" id="H648000719DA3422FB9C71A5717A6348B"><enum>(A)</enum><text display-inline="yes-display-inline">in paragraph (1), as so designated, by striking the period and inserting “for the primary purposes of increasing—</text>
<quoted-block changed="added" display-inline="no-display-inline" id="H28345AD509F14CFE96BF6247D559FC7D" reported-display-style="italic" style="OLC">
<subparagraph commented="no" display-inline="no-display-inline" id="HDCF9F2862CC5463B821E7E1BCB69C49A"><enum>(A)</enum><text display-inline="yes-display-inline">the number of small business concerns that export; and</text></subparagraph>
<subparagraph commented="no" display-inline="no-display-inline" id="H60461E6814824C92966EBE6421899DD0"><enum>(B)</enum><text display-inline="yes-display-inline">the volume of exports by small business concerns.</text></subparagraph><after-quoted-block>; and</after-quoted-block></quoted-block></subparagraph>
<subparagraph commented="no" display-inline="no-display-inline" id="H87529486AF0A4A4A964CC4358B4FE39B"><enum>(B)</enum><text display-inline="yes-display-inline">by adding at the end the following:</text>
<quoted-block changed="added" display-inline="no-display-inline" id="HFFB976913A6A45A88E234EEB60670D9E" reported-display-style="italic" style="OLC">
<paragraph commented="no" display-inline="no-display-inline" id="HC9C0450B025F41839F00089A015DEF13"><enum>(2)</enum><header display-inline="yes-display-inline">Associate Administrator</header><text display-inline="yes-display-inline">The head of the Office shall be the Associate Administrator for International Trade, who shall be responsible to the Administrator.</text></paragraph><after-quoted-block>.</after-quoted-block></quoted-block></subparagraph></paragraph></subsection>
<subsection commented="no" display-inline="no-display-inline" id="HF0DBAE0E5A5F4D60A6CB5BB040390E54"><enum>(b)</enum><header display-inline="yes-display-inline">Authority for Additional Associate Administrator</header><text display-inline="yes-display-inline">Section 4(b)(1) of the Small Business Act (15 U.S.C. 633(b)(1)) is amended—</text>
<paragraph commented="no" display-inline="no-display-inline" id="H8EFEC65158904EB7B53386C091BBEB09"><enum>(1)</enum><text display-inline="yes-display-inline">in the fifth sentence, by striking <quote>five Associate Administrators</quote> and inserting <quote>Associate Administrators</quote>; and</text></paragraph>
<paragraph commented="no" display-inline="no-display-inline" id="H710E7483FED14E9C93C6193EC36208AE"><enum>(2)</enum><text display-inline="yes-display-inline">by adding at the end the following: <quote>One such Associate Administrator shall be the Associate Administrator for International Trade, who shall be the head of the Office of International Trade established under section 22.</quote>.</text></paragraph></subsection>
<subsection commented="no" display-inline="no-display-inline" id="H9BC3D6A9F49B49CCBD217CBF3936C9D2"><enum>(c)</enum><header display-inline="yes-display-inline">Discharge of International Trade Responsibilities of Administration</header><text display-inline="yes-display-inline">Section 22 of the Small Business Act (15 U.S.C. 649) is amended by adding at the end the following:</text>
<quoted-block changed="added" display-inline="no-display-inline" id="H239FC20464AA488082FCE8D4AB92A60C" reported-display-style="italic" style="OLC">
<subsection commented="no" display-inline="no-display-inline" id="H405A2D8E2D304D9482549689F10F976E"><enum>(h)</enum><header display-inline="yes-display-inline">Discharge of International Trade Responsibilities of Administration</header><text display-inline="yes-display-inline">The Administrator shall ensure that—</text>
<paragraph commented="no" display-inline="no-display-inline" id="HB48416E94981423189094B1F0CC62373"><enum>(1)</enum><text display-inline="yes-display-inline">the responsibilities of the Administration regarding international trade are carried out by the Associate Administrator;</text></paragraph>
<paragraph commented="no" display-inline="no-display-inline" id="HD67739A940F0484499EA9DFCDFEB70ED"><enum>(2)</enum><text display-inline="yes-display-inline">the Associate Administrator has sufficient resources to carry out such responsibilities; and</text></paragraph>
<paragraph commented="no" display-inline="no-display-inline" id="HBDA9057C0E024BB6B63451788511F028"><enum>(3)</enum><text display-inline="yes-display-inline">the Associate Administrator has direct supervision and control over—</text>
<subparagraph commented="no" display-inline="no-display-inline" id="HBA06AEC07747431FB0CD4075D2812D68"><enum>(A)</enum><text display-inline="yes-display-inline">the staff of the Office; and</text></subparagraph>
<subparagraph commented="no" display-inline="no-display-inline" id="H8345F44435EA4D698E1A71416C66A88B"><enum>(B)</enum><text display-inline="yes-display-inline">any employee of the Administration whose principal duty station is an Export Assistance Center, or any successor entity.</text></subparagraph></paragraph></subsection><after-quoted-block>.</after-quoted-block></quoted-block></subsection>
<subsection commented="no" display-inline="no-display-inline" id="HCE3E2BDD92BC4F01A14F4261577D3984"><enum>(d)</enum><header display-inline="yes-display-inline">Role of Associate Administrator in carrying out international trade policy</header><text display-inline="yes-display-inline">Section 2(b)(1) of the Small Business Act (15 U.S.C. 631(b)(1)) is amended in the matter preceding subparagraph (A)—</text>
<paragraph commented="no" display-inline="no-display-inline" id="HBEB1A3E31EA74EE19BAD3A3BCC35684A"><enum>(1)</enum><text display-inline="yes-display-inline">by inserting <quote>the Administrator of</quote> before <quote>the Small Business Administration</quote>; and</text></paragraph>
<paragraph commented="no" display-inline="no-display-inline" id="H919288AF4CB246148F742FC728D512E2"><enum>(2)</enum><text display-inline="yes-display-inline">by inserting <quote>through the Associate Administrator for International Trade, and</quote> before <quote>in cooperation with</quote>.</text></paragraph></subsection>
<subsection commented="no" display-inline="no-display-inline" id="H04AA0DDE9FB64EDE8B559099A2963134"><enum>(e)</enum><header display-inline="yes-display-inline">Implementation date</header><text display-inline="yes-display-inline">Not later than 90 days after the date of enactment of this Act, the Administrator of the Small Business Administration shall appoint an Associate Administrator for International Trade under section 22(a) of the Small Business Act (15 U.S.C. 649(a)), as added by this section.</text></subsection></section>
<section commented="no" display-inline="no-display-inline" id="HB66097D3DC63470D814E36B5487B94EC" section-type="subsequent-section"><enum>1204.</enum><header display-inline="yes-display-inline">Duties of the Office of International Trade</header>
<subsection commented="no" display-inline="no-display-inline" id="HE89B81ABB9DC44A688B3A4DADD9EEAFF"><enum>(a)</enum><header display-inline="yes-display-inline">Amendments to section 22</header><text display-inline="yes-display-inline">Section 22 of the Small Business Act (15 U.S.C. 649) is amended—</text>
<paragraph commented="no" display-inline="no-display-inline" id="HBAE91D16C8C24E0CAE748CF3E45B381A"><enum>(1)</enum><text display-inline="yes-display-inline">by striking subsection (b) and inserting the following:</text>
<quoted-block changed="added" display-inline="no-display-inline" id="H5FF0E94DD5E64539BBFBC2117581A17F" reported-display-style="italic" style="OLC">
<subsection commented="no" display-inline="no-display-inline" id="H55A77A57A75F41F3BD8E9DCE1EF2CEA9"><enum>(b)</enum><header display-inline="yes-display-inline">Trade distribution network</header><text display-inline="yes-display-inline">The Associate Administrator, working in close cooperation with the Secretary of Commerce, the United States Trade Representative, the Secretary of Agriculture, the Secretary of State, the President of the Export-Import Bank of the United States, the President of the Overseas Private Investment Corporation, Director of the United States Trade and Development Agency, and other relevant Federal agencies, small business development centers engaged in export promotion efforts, Export Assistance Centers, regional and district offices of the Administration, the small business community, and relevant State and local export promotion programs, shall—</text>
<paragraph commented="no" display-inline="no-display-inline" id="H00C376E0041C4D4DB50D4C04034EC743"><enum>(1)</enum><text display-inline="yes-display-inline">maintain a distribution network, using regional and district offices of the Administration, the small business development center network, networks of women's business centers, the Service Corps of Retired Executives authorized by section 8(b)(1), and Export Assistance Centers, for programs relating to—</text>
<subparagraph commented="no" display-inline="no-display-inline" id="H5015F1FE35AE43829A48DE127315EE24"><enum>(A)</enum><text display-inline="yes-display-inline">trade promotion;</text></subparagraph>
<subparagraph commented="no" display-inline="no-display-inline" id="H11994DEA2E1447468767D70EEF9FD996"><enum>(B)</enum><text display-inline="yes-display-inline">trade finance;</text></subparagraph>
<subparagraph commented="no" display-inline="no-display-inline" id="HD3D2565759F54BFB8F78CBA2B1E74257"><enum>(C)</enum><text display-inline="yes-display-inline">trade adjustment assistance;</text></subparagraph>
<subparagraph commented="no" display-inline="no-display-inline" id="HFB63B43D187543A2A14F24C26DB2CFEC"><enum>(D)</enum><text display-inline="yes-display-inline">trade remedy assistance; and</text></subparagraph>
<subparagraph commented="no" display-inline="no-display-inline" id="HAA418E655C454F18B536F6AF020CDB00"><enum>(E)</enum><text display-inline="yes-display-inline">trade data collection;</text></subparagraph></paragraph>
<paragraph commented="no" display-inline="no-display-inline" id="H60D653F02FF943F7945B97F61877E313"><enum>(2)</enum><text display-inline="yes-display-inline">aggressively market the programs described in paragraph (1) and disseminate information, including computerized marketing data, to small business concerns on exporting trends, market-specific growth, industry trends, and international prospects for exports;</text></paragraph>
<paragraph commented="no" display-inline="no-display-inline" id="H4F84913B43384755873288BB37E3A833"><enum>(3)</enum><text display-inline="yes-display-inline">promote export assistance programs through the district and regional offices of the Administration, the small business development center network, Export Assistance Centers, the network of women's business centers, chapters of the Service Corps of Retired Executives, State and local export promotion programs, and partners in the private sector; and</text></paragraph>
<paragraph commented="no" display-inline="no-display-inline" id="H73AA38E212704479855498D819C272C6"><enum>(4)</enum><text display-inline="yes-display-inline">give preference in hiring or approving the transfer of any employee into the Office or to a position described in subsection (c)(9) to otherwise qualified applicants who are fluent in a language in addition to English, to—</text>
<subparagraph commented="no" display-inline="no-display-inline" id="H43C60F0DA639472099F676590B141F51"><enum>(A)</enum><text display-inline="yes-display-inline">accompany small business concerns on foreign trade missions; and</text></subparagraph>
<subparagraph commented="no" display-inline="no-display-inline" id="H728CF0B07FC14638ADEC49665C91859F"><enum>(B)</enum><text display-inline="yes-display-inline">translate documents, interpret conversations, and facilitate multilingual transactions, including by providing referral lists for translation services, if required.</text></subparagraph></paragraph></subsection><after-quoted-block>;</after-quoted-block></quoted-block></paragraph>
<paragraph commented="no" display-inline="no-display-inline" id="HDE581A5D10DE4A76AEC4F66477B56F5C"><enum>(2)</enum><text display-inline="yes-display-inline">in subsection (c)—</text>
<subparagraph commented="no" display-inline="no-display-inline" id="H1C23A700D8C14703A8FE52F1F3D11C4B"><enum>(A)</enum><text display-inline="yes-display-inline">by striking <quote>(c) The Office</quote> and inserting the following:</text>
<quoted-block changed="added" display-inline="no-display-inline" id="H17AD7F00DB16497DB7E84A28FE14D3FF" reported-display-style="italic" style="OLC">
<subsection commented="no" display-inline="no-display-inline" id="HCFC626C1D7FE4D3ABE8B3BDB7F6F6E6B"><enum>(c)</enum><header display-inline="yes-display-inline">Promotion of sales opportunities</header><text display-inline="yes-display-inline">The Associate Administrator</text></subsection><after-quoted-block>;</after-quoted-block></quoted-block></subparagraph>
<subparagraph commented="no" display-inline="no-display-inline" id="HD595E2EBEE1040DA8B99F0B21C61A29D"><enum>(B)</enum><text display-inline="yes-display-inline">by redesignating paragraphs (1) through (8) as paragraphs (2) through (9), respectively;</text></subparagraph>
<subparagraph commented="no" display-inline="no-display-inline" id="H74CF44223F4D4E3A90BFD31D929884D3"><enum>(C)</enum><text display-inline="yes-display-inline">by inserting before paragraph (2), as so redesignated, the following:</text>
<quoted-block changed="added" display-inline="no-display-inline" id="H75A286BA769A497193E4107D6078C961" reported-display-style="italic" style="OLC">
<paragraph commented="no" display-inline="no-display-inline" id="H796782CFC30241A29BBDB4D5981D830A"><enum>(1)</enum><text display-inline="yes-display-inline">establish annual goals for the Office relating to—</text>
<subparagraph commented="no" display-inline="no-display-inline" id="H0AF96B4DF30B476D9C94E3E7EF8EEAAC"><enum>(A)</enum><text display-inline="yes-display-inline">enhancing the exporting capability of small business concerns and small manufacturers;</text></subparagraph>
<subparagraph commented="no" display-inline="no-display-inline" id="HBA77F153E72F4052AE65CE4B53B2AC88"><enum>(B)</enum><text display-inline="yes-display-inline">facilitating technology transfers;</text></subparagraph>
<subparagraph commented="no" display-inline="no-display-inline" id="H5F5B6162390141F08C45C9FA7D33CCB9"><enum>(C)</enum><text display-inline="yes-display-inline">enhancing programs and services to assist small business concerns and small manufacturers to compete effectively and efficiently in foreign markets;</text></subparagraph>
<subparagraph commented="no" display-inline="no-display-inline" id="HA22A4CE1BF844E8E8FD026695C799132"><enum>(D)</enum><text display-inline="yes-display-inline">increasing the ability of small business concerns to access capital; and</text></subparagraph>
<subparagraph commented="no" display-inline="no-display-inline" id="H5E6757C79CDB4D749E6BD0519B433F01"><enum>(E)</enum><text display-inline="yes-display-inline">disseminating information concerning Federal, State, and private programs and initiatives;</text></subparagraph></paragraph><after-quoted-block>;</after-quoted-block></quoted-block></subparagraph>
<subparagraph commented="no" display-inline="no-display-inline" id="H20351E1B18064C0D827DCEB30C1B3314"><enum>(D)</enum><text display-inline="yes-display-inline">in paragraph (2), as so redesignated, by striking <quote>mechanism for</quote> and all that follows through <quote>(D) assisting</quote> and inserting the following:</text>
<quoted-block changed="added" display-inline="yes-display-inline" id="HFC2C30F35DAF4066BBC3993015478D76" reported-display-style="italic" style="OLC"><text>mechanism for—</text>
<subparagraph commented="no" display-inline="no-display-inline" id="H2A0266DAFD684D6D8E8DB663FB531946"><enum>(A)</enum><text display-inline="yes-display-inline">identifying subsectors of the small business community with strong export potential;</text></subparagraph>
<subparagraph commented="no" display-inline="no-display-inline" id="H28E5E973D39B4D2BB7C582BE4441C8CD"><enum>(B)</enum><text display-inline="yes-display-inline">identifying areas of demand in foreign markets;</text></subparagraph>
<subparagraph commented="no" display-inline="no-display-inline" id="H7F3C2B96546B4C7F8921C0FCA1B5E26C"><enum>(C)</enum><text display-inline="yes-display-inline">prescreening foreign buyers for commercial and credit purposes; and</text></subparagraph>
<subparagraph commented="no" display-inline="no-display-inline" id="H361492767D1A4FFBB5E16FBF5DD1A4DB"><enum>(D)</enum><text display-inline="yes-display-inline">assisting</text></subparagraph><after-quoted-block>;</after-quoted-block></quoted-block></subparagraph>
<subparagraph commented="no" display-inline="no-display-inline" id="H26A82A6F34484E889DF4449FDC32E86D"><enum>(E)</enum><text display-inline="yes-display-inline">in paragraph (3), as so redesignated, by striking <quote>assist small businesses in the formation and utilization of</quote> and inserting <quote>assist small business concerns in forming and using</quote>;</text></subparagraph>
<subparagraph commented="no" display-inline="no-display-inline" id="H2065922D0BBF4B07801053151565FD1D"><enum>(F)</enum><text display-inline="yes-display-inline">in paragraph (4), as so redesignated—</text>
<clause commented="no" display-inline="no-display-inline" id="H5716E4CD31374F50B05B0E4954B2FE5B"><enum>(i)</enum><text display-inline="yes-display-inline">by striking <quote>local</quote> and inserting <quote>district</quote>;</text></clause>
<clause commented="no" display-inline="no-display-inline" id="H83F1A1870E474E73A22D3B47754D0DD0"><enum>(ii)</enum><text display-inline="yes-display-inline">by striking <quote>existing</quote>;</text></clause>
<clause commented="no" display-inline="no-display-inline" id="HD3CBEEB7109C49488233CE3F9671A5EE"><enum>(iii)</enum><text display-inline="yes-display-inline">by striking <quote>Small Business Development Center network</quote> and inserting <quote>small business development center network</quote>; and</text></clause>
<clause commented="no" display-inline="no-display-inline" id="H41FA303D052F437DA24500AE1703A8F0"><enum>(iv)</enum><text display-inline="yes-display-inline">by striking <quote>Small Business Development Center Program</quote> and inserting <quote>small business development center program</quote>;</text></clause></subparagraph>
<subparagraph commented="no" display-inline="no-display-inline" id="H5D9BE08FE3364464A3B989F345CAD0B3"><enum>(G)</enum><text display-inline="yes-display-inline">in paragraph (5), as so redesignated—</text>
<clause commented="no" display-inline="no-display-inline" id="H950BECFE686744A6A9BF32BB471ADA20"><enum>(i)</enum><text display-inline="yes-display-inline">in subparagraph (A), by striking <quote>Gross State Produce</quote> and inserting <quote>Gross State Product</quote>;</text></clause>
<clause commented="no" display-inline="no-display-inline" id="H67C410D73F4C4F9C970844F2B0F0B1D8"><enum>(ii)</enum><text display-inline="yes-display-inline">in subparagraph (B), by striking <quote>SIC</quote> each place it appears and inserting <quote>North American Industry Classification System</quote>; and</text></clause>
<clause commented="no" display-inline="no-display-inline" id="H53D3095DBA504D44849D2BD2B72FE33C"><enum>(iii)</enum><text display-inline="yes-display-inline">in subparagraph (C), by striking <quote>small businesses</quote> and inserting <quote>small business concerns</quote>;</text></clause></subparagraph>
<subparagraph commented="no" display-inline="no-display-inline" id="H89BEA0ADDB7F40B6B22C509DA78A0BE5"><enum>(H)</enum><text display-inline="yes-display-inline">in paragraph (6), as so redesignated, by striking the period at the end and inserting a semicolon;</text></subparagraph>
<subparagraph commented="no" display-inline="no-display-inline" id="HDF4973C1DDA94E7693850BF906A81D8E"><enum>(I)</enum><text display-inline="yes-display-inline">in paragraph (7), as so redesignated—</text>
<clause commented="no" display-inline="no-display-inline" id="H798644A996DF4936BDE7F4FE639F4693"><enum>(i)</enum><text display-inline="yes-display-inline">in the matter preceding subparagraph (A)—</text>
<subclause commented="no" display-inline="no-display-inline" id="H58A9FE84A51E4B65B56907697EFB515E"><enum>(I)</enum><text display-inline="yes-display-inline">by inserting <quote>concerns</quote> after <quote>small business</quote>; and</text></subclause>
<subclause commented="no" display-inline="no-display-inline" id="H1393B2E7D21840CCB08695569925E703"><enum>(II)</enum><text display-inline="yes-display-inline">by striking <quote>current</quote> and inserting <quote>up to date</quote>;</text></subclause></clause>
<clause commented="no" display-inline="no-display-inline" id="H6B3856B7089A435EB43FC3B7489FA512"><enum>(ii)</enum><text display-inline="yes-display-inline">in subparagraph (A), by striking <quote>Administration's regional offices</quote> and inserting <quote>regional and district offices of the Administration</quote>;</text></clause>
<clause commented="no" display-inline="no-display-inline" id="HC649DDDCFB11485AB719F4DB4790BBB4"><enum>(iii)</enum><text display-inline="yes-display-inline">in subparagraph (B) by striking <quote>current</quote>;</text></clause>
<clause commented="no" display-inline="no-display-inline" id="H6BD549FCB6DD43C6933FFEC353362306"><enum>(iv)</enum><text display-inline="yes-display-inline">in subparagraph (C), by striking <quote>current</quote>; and</text></clause>
<clause commented="no" display-inline="no-display-inline" id="HD652C530B8F9494392D6AC1F749BCA0B"><enum>(v)</enum><text display-inline="yes-display-inline">by striking <quote>small businesses</quote> each place that term appears and inserting <quote>small business concerns</quote>;</text></clause></subparagraph>
<subparagraph commented="no" display-inline="no-display-inline" id="H1C902AE8ABFE4DF0AA5D5D332493A45E"><enum>(J)</enum><text display-inline="yes-display-inline">in paragraph (8), as so redesignated, by striking and at the end;</text></subparagraph>
<subparagraph commented="no" display-inline="no-display-inline" id="HF78ED3552DC34BA987B9E6F2EEC91C08"><enum>(K)</enum><text display-inline="yes-display-inline">in paragraph (9), as so redesignated—</text>
<clause commented="no" display-inline="no-display-inline" id="HC3B7F2F74410454B9703022C3F0532DA"><enum>(i)</enum><text display-inline="yes-display-inline">in the matter preceding subparagraph (A)—</text>
<subclause commented="no" display-inline="no-display-inline" id="H09572268CBAB4B43848C375B3971CA91"><enum>(I)</enum><text display-inline="yes-display-inline">by striking <quote>full-time export development specialists to each Administration regional office and assigning</quote>; and</text></subclause>
<subclause commented="no" display-inline="no-display-inline" id="H044D491AB4A94D9BA3A5AA4CE4C46F27"><enum>(II)</enum><text display-inline="yes-display-inline">by striking <quote>person in each district office. Such specialists</quote> and inserting <quote>individual in each district office and providing each Administration regional office with a full-time export development specialist, who</quote>;</text></subclause></clause>
<clause commented="no" display-inline="no-display-inline" id="H1358861EF15B4D1AA7CAFCD4F462ABAF"><enum>(ii)</enum><text display-inline="yes-display-inline">in subparagraph (B)—</text>
<subclause commented="no" display-inline="no-display-inline" id="HDC419C944D714D698B6AC7E52E5292B1"><enum>(I)</enum><text display-inline="yes-display-inline">by striking <quote>current</quote>; and</text></subclause>
<subclause commented="no" display-inline="no-display-inline" id="H58C346D2021B4D7D98095002DE549F1E"><enum>(II)</enum><text display-inline="yes-display-inline">by striking <quote>with</quote> and inserting <quote>in</quote>;</text></subclause></clause>
<clause commented="no" display-inline="no-display-inline" id="H0F5D520575134738B78DA14D24FF30CD"><enum>(iii)</enum><text display-inline="yes-display-inline">in subparagraph (D)—</text>
<subclause commented="no" display-inline="no-display-inline" id="H3C76F9CDF8D541258E03E70ECDE77683"><enum>(I)</enum><text display-inline="yes-display-inline">by striking <quote>Administration personnel involved in granting</quote> and inserting <quote>personnel of the Administration involved in making</quote>; and</text></subclause>
<subclause commented="no" display-inline="no-display-inline" id="H1EE96A8925FB44DA97E0EBB863F5AF65"><enum>(II)</enum><text display-inline="yes-display-inline">by striking <quote>and</quote> at the end;</text></subclause></clause>
<clause commented="no" display-inline="no-display-inline" id="HC4E43F2F93884AE0974132723448AC2A"><enum>(iv)</enum><text display-inline="yes-display-inline">in subparagraph (E)—</text>
<subclause commented="no" display-inline="no-display-inline" id="H037F7C35FFB14C958B6CCF70C408315F"><enum>(I)</enum><text display-inline="yes-display-inline">by striking <quote>small businesses' needs</quote> and inserting <quote>the needs of small business concerns</quote>; and</text></subclause>
<subclause commented="no" display-inline="no-display-inline" id="H2F96529AAF4D40A2B22966F817C59451"><enum>(II)</enum><text display-inline="yes-display-inline">by striking the period at the end and inserting a semicolon;</text></subclause></clause>
<clause commented="no" display-inline="no-display-inline" id="HF0BF52CE35574B138ED44D31CD485029"><enum>(v)</enum><text display-inline="yes-display-inline">by adding at the end the following:</text>
<quoted-block changed="added" display-inline="no-display-inline" id="H2AF901F480B44188B108DF0776725531" reported-display-style="italic" style="OLC">
<subparagraph commented="no" display-inline="no-display-inline" id="H50D7AD715B2147659EDB0BAF3A4B2D89"><enum>(F)</enum><text display-inline="yes-display-inline">participate, jointly with employees of the Office, in an annual training program that focuses on current small business needs for exporting; and</text></subparagraph>
<subparagraph commented="no" display-inline="no-display-inline" id="H6B756389EC35414A9EA3F575A622FCAC"><enum>(G)</enum><text display-inline="yes-display-inline">develop and conduct training programs for exporters and lenders, in cooperation with the Export Assistance Centers, the Department of Commerce, the Department of Agriculture, small business development centers, women's business centers, the Export-Import Bank of the United States, the Overseas Private Investment Corporation, and other relevant Federal agencies;</text></subparagraph><after-quoted-block>; and</after-quoted-block></quoted-block></clause>
<clause commented="no" display-inline="no-display-inline" id="HC000A7D4FF0244CDB7830BFB4D5DA273"><enum>(vi)</enum><text display-inline="yes-display-inline">by striking <quote>small businesses</quote> each place that term appears and inserting <quote>small business concerns</quote>; and</text></clause></subparagraph>
<subparagraph commented="no" display-inline="no-display-inline" id="H1E8DDAA59A6449D583CB8BC2BAB5AA19"><enum>(L)</enum><text display-inline="yes-display-inline">by adding at the end the following:</text>
<quoted-block changed="added" display-inline="no-display-inline" id="H62678FA015664F5F84A46A7D7D260AAB" reported-display-style="italic" style="OLC">
<paragraph commented="no" display-inline="no-display-inline" id="H6D4DE1CD1AB441DAADDB20CBFF8508C1"><enum>(10)</enum><text display-inline="yes-display-inline">make available on the website of the Administration the name and contact information of each individual described in paragraph (9);</text></paragraph>
<paragraph commented="no" display-inline="no-display-inline" id="H5A1B68E491AD4E7BB3605CA6C31C29EB"><enum>(11)</enum><text display-inline="yes-display-inline">carry out a nationwide marketing effort using technology, online resources, training, and other strategies to promote exporting as a business development opportunity for small business concerns;</text></paragraph>
<paragraph commented="no" display-inline="no-display-inline" id="HBAD4819E99CC487E860B57598B700C0D"><enum>(12)</enum><text display-inline="yes-display-inline">disseminate information to the small business community through regional and district offices of the Administration, the small business development center network, Export Assistance Centers, the network of women's business centers, chapters of the Service Corps of Retired Executives authorized by section 8(b)(1), State and local export promotion programs, and partners in the private sector regarding exporting trends, market-specific growth, industry trends, and prospects for exporting; and</text></paragraph>
<paragraph commented="no" display-inline="no-display-inline" id="H3F2A5E9D442F403185A346D152F46D43"><enum>(13)</enum><text display-inline="yes-display-inline">establish and carry out training programs for the staff of the regional and district offices of the Administration and resource partners of the Administration on export promotion and providing assistance relating to exports.</text></paragraph><after-quoted-block>;</after-quoted-block></quoted-block></subparagraph></paragraph>
<paragraph commented="no" display-inline="no-display-inline" id="H562E4C7AC8A44B9BBF1B05D9036972D6"><enum>(3)</enum><text display-inline="yes-display-inline">in subsection (d)—</text>
<subparagraph commented="no" display-inline="no-display-inline" id="H8B79ED5CCBF141F281145A613518C5E8"><enum>(A)</enum><text display-inline="yes-display-inline">by redesignating paragraphs (1) through (5) as clauses (i) through (v), respectively, and adjusting the margins accordingly;</text></subparagraph>
<subparagraph commented="no" display-inline="no-display-inline" id="H9F6DD5E288CB4106BD6B75281390288E"><enum>(B)</enum><text display-inline="yes-display-inline">by striking <quote>(d) The Office</quote> and inserting the following:</text>
<quoted-block changed="added" display-inline="no-display-inline" id="H0F08E076E2AE4CB69CBC523424FEE4A5" reported-display-style="italic" style="OLC">
<subsection commented="no" display-inline="no-display-inline" id="H0B04CE6DD5154C58BE8111D1650A3DAF"><enum>(d)</enum><header display-inline="yes-display-inline">Export financing programs</header>
<paragraph commented="no" display-inline="no-display-inline" id="HC3DDFA1528FA4482ABDBA124736541C7"><enum>(1)</enum><header display-inline="yes-display-inline">In general</header><text display-inline="yes-display-inline">The Associate Administrator</text></paragraph></subsection><after-quoted-block>; and</after-quoted-block></quoted-block></subparagraph>
<subparagraph commented="no" display-inline="no-display-inline" id="H4785908BFDC34632B4BC7CF13B0F98D7"><enum>(C)</enum><text display-inline="yes-display-inline">by striking <quote>To accomplish this goal, the Office shall work</quote> and inserting the following:</text>
<quoted-block changed="added" display-inline="no-display-inline" id="HD8B4CAFB1D1C4D2C841C49CFCAE2E2B9" reported-display-style="italic" style="OLC">
<paragraph commented="no" display-inline="no-display-inline" id="H200874B9555A4B23A978DC54A0D19100"><enum>(2)</enum><header display-inline="yes-display-inline">Trade finance specialist</header><text display-inline="yes-display-inline">To accomplish the goal established under paragraph (1), the Associate Administrator shall—</text>
<subparagraph commented="no" display-inline="no-display-inline" id="H2C085DD1A15741589D5FB0625CA7580D"><enum>(A)</enum><text display-inline="yes-display-inline">designate at least 1 individual within the Administration as a trade finance specialist to oversee international loan programs and assist Administration employees with trade finance issues; and</text></subparagraph>
<subparagraph commented="no" display-inline="no-display-inline" id="H89C8827D52424D97A70B96F651181A47"><enum>(B)</enum><text display-inline="yes-display-inline">work</text></subparagraph></paragraph><after-quoted-block>;</after-quoted-block></quoted-block></subparagraph></paragraph>
<paragraph commented="no" display-inline="no-display-inline" id="HD69FF4B95B0B4E36A43BFEFB015A4391"><enum>(4)</enum><text display-inline="yes-display-inline">in subsection (e), by striking <quote>(e) The Office</quote> and inserting the following:</text>
<quoted-block changed="added" display-inline="no-display-inline" id="HE9FFE39F642743BD81726C5EC3CD9406" reported-display-style="italic" style="OLC">
<subsection commented="no" display-inline="no-display-inline" id="H8ED83E813C2B425D8013E409831391A2"><enum>(e)</enum><header display-inline="yes-display-inline">Trade Remedies</header><text display-inline="yes-display-inline">The Associate Administrator</text></subsection><after-quoted-block>;</after-quoted-block></quoted-block></paragraph>
<paragraph commented="no" display-inline="no-display-inline" id="HF2D444517D0043FEA06235A6148A8236"><enum>(5)</enum><text display-inline="yes-display-inline">by amending subsection (f) to read as follows:</text>
<quoted-block changed="added" display-inline="no-display-inline" id="HFFC501068A294D719D7E8A771FAD5B54" reported-display-style="italic" style="OLC">
<subsection commented="no" display-inline="no-display-inline" id="H72EEF8BB68E74012BFAB7D4F02BD1E79"><enum>(f)</enum><header display-inline="yes-display-inline">Reporting requirement</header><text display-inline="yes-display-inline">The Associate Administrator shall submit an annual report to the Committee on Small Business and Entrepreneurship of the Senate and the Committee on Small Business of the House of Representatives that contains—</text>
<paragraph commented="no" display-inline="no-display-inline" id="HEDB75ADD378049C78B195016FF031D46"><enum>(1)</enum><text display-inline="yes-display-inline">a description of the progress of the Office in implementing the requirements of this section;</text></paragraph>
<paragraph commented="no" display-inline="no-display-inline" id="H9AC4C282BD1C45779F6BDC503C5842B2"><enum>(2)</enum><text display-inline="yes-display-inline">a detailed account of the results of export growth activities of the Administration, including the activities of each district and regional office of the Administration, based on the performance measures described in subsection (i);</text></paragraph>
<paragraph commented="no" display-inline="no-display-inline" id="HD5479655E093452F86FC335DB991F2DC"><enum>(3)</enum><text display-inline="yes-display-inline">an estimate of the total number of jobs created or retained as a result of export assistance provided by the Administration and resource partners of the Administration;</text></paragraph>
<paragraph commented="no" display-inline="no-display-inline" id="HE4EDF7214E594D608D764B63FF7FA3A9"><enum>(4)</enum><text display-inline="yes-display-inline">for any travel by the staff of the Office, the destination of such travel and the benefits to the Administration and to small business concerns resulting from such travel; and</text></paragraph>
<paragraph commented="no" display-inline="no-display-inline" id="H8C5EA628AFFA47358469CF89B55FC6DE"><enum>(5)</enum><text display-inline="yes-display-inline">a description of the participation by the Office in trade negotiations.</text></paragraph></subsection><after-quoted-block>;</after-quoted-block></quoted-block></paragraph>
<paragraph commented="no" display-inline="no-display-inline" id="H781AF5C639C1405DBB85C65C849B8D44"><enum>(6)</enum><text display-inline="yes-display-inline">in subsection (g), by striking <quote>(g) The Office</quote> and inserting the following:</text>
<quoted-block changed="added" display-inline="no-display-inline" id="H26C702069C314D38B6D03560ABA717E3" reported-display-style="italic" style="OLC">
<subsection commented="no" display-inline="no-display-inline" id="H3D601053948348B0BA5D6A2D151A9921"><enum>(g)</enum><header display-inline="yes-display-inline">Studies</header><text display-inline="yes-display-inline">The Associate Administrator</text></subsection><after-quoted-block>; and</after-quoted-block></quoted-block></paragraph>
<paragraph commented="no" display-inline="no-display-inline" id="H55B4DA619AF2456F8679AC5CADDF0CC2"><enum>(7)</enum><text display-inline="yes-display-inline">by adding after subsection (h), as added by section 1203 of this subtitle, the following:</text>
<quoted-block changed="added" display-inline="no-display-inline" id="HB4EA02CDDA97474A83B4FF206078C4A3" reported-display-style="italic" style="OLC">
<subsection commented="no" display-inline="no-display-inline" id="H35C3CF23F6834E41A69E7DF3AA98E21F"><enum>(i)</enum><header display-inline="yes-display-inline">Export and trade counseling</header>
<paragraph commented="no" display-inline="no-display-inline" id="HFDC394C24A7D46A1A993C6BA27C8BA73"><enum>(1)</enum><header display-inline="yes-display-inline">Definition</header><text display-inline="yes-display-inline">In this subsection—</text>
<subparagraph commented="no" display-inline="no-display-inline" id="H58B20F72F4894BA2BDEC41E81295224B"><enum>(A)</enum><text display-inline="yes-display-inline">the term <term>lead small business development center</term> means a small business development center that has received a grant from the Administration; and</text></subparagraph>
<subparagraph commented="no" display-inline="no-display-inline" id="H24A0228302F94CFB88BEF3624788BFAD"><enum>(B)</enum><text display-inline="yes-display-inline">the term <term>lead women's business center</term> means a women's business center that has received a grant from the Administration.</text></subparagraph></paragraph>
<paragraph commented="no" display-inline="no-display-inline" id="HFEFF5100B76A48218D57ADD0ADE09E67"><enum>(2)</enum><header display-inline="yes-display-inline">Certification program</header><text display-inline="yes-display-inline">The Administrator shall establish an export and trade counseling certification program to certify employees of lead small business development centers and lead women's business centers in providing export assistance to small business concerns.</text></paragraph>
<paragraph commented="no" display-inline="no-display-inline" id="H22B36286ED19491BA63DCF8F39B1DB85"><enum>(3)</enum><header display-inline="yes-display-inline">Number of certified employees</header><text display-inline="yes-display-inline">The Administrator shall ensure that the number of employees of each lead small business development center who are certified in providing export assistance is not less than the lesser of—</text>
<subparagraph commented="no" display-inline="no-display-inline" id="H12D01640633541668DABB06AF9765516"><enum>(A)</enum><text display-inline="yes-display-inline">5; or</text></subparagraph>
<subparagraph commented="no" display-inline="no-display-inline" id="H04965992AFA043D2B92B85EBC4171784"><enum>(B)</enum><text display-inline="yes-display-inline">10 percent of the total number of employees of the lead small business development center.</text></subparagraph></paragraph>
<paragraph commented="no" display-inline="no-display-inline" id="HD7EEC8929D5A4BD998318F7C5AB297CB"><enum>(4)</enum><header display-inline="yes-display-inline">Reimbursement for certification</header>
<subparagraph commented="no" display-inline="no-display-inline" id="H385299035F5C47C9B01F3F4C634D0C87"><enum>(A)</enum><header display-inline="yes-display-inline">In general</header><text display-inline="yes-display-inline">Subject to the availability of appropriations, the Administrator shall reimburse a lead small business development center or a lead women's business center for costs relating to the certification of an employee of the lead small business center or lead women's business center in providing export assistance under the program established under paragraph (2).</text></subparagraph>
<subparagraph commented="no" display-inline="no-display-inline" id="H1B7A7E5F6A764D4A853B59DDD2C3C7FD"><enum>(B)</enum><header display-inline="yes-display-inline">Limitation</header><text display-inline="yes-display-inline">The total amount reimbursed by the Administrator under subparagraph (A) may not exceed $350,000 in any fiscal year.</text></subparagraph></paragraph></subsection>
<subsection commented="no" display-inline="no-display-inline" id="HFD2579B740264AF2B5F640A5E1E3834D"><enum>(j)</enum><header display-inline="yes-display-inline">Performance measures</header>
<paragraph commented="no" display-inline="no-display-inline" id="HEA3BDB2C194B483D8F32C25FC857C1FD"><enum>(1)</enum><header display-inline="yes-display-inline">In general</header><text display-inline="yes-display-inline">The Associate Administrator shall develop performance measures for the Administration to support export growth goals for the activities of the Office under this section that include—</text>
<subparagraph commented="no" display-inline="no-display-inline" id="HA1FF41C804AE49C3A730219F6CD2FA83"><enum>(A)</enum><text display-inline="yes-display-inline">the number of small business concerns that—</text>
<clause commented="no" display-inline="no-display-inline" id="H93BC3C21E62446668969DD8DD00274C6"><enum>(i)</enum><text display-inline="yes-display-inline">receive assistance from the Administration;</text></clause>
<clause commented="no" display-inline="no-display-inline" id="H3ECB5280641749D4A9C90C928BC4A87D"><enum>(ii)</enum><text display-inline="yes-display-inline">had not exported goods or services before receiving the assistance described in clause (i); and</text></clause>
<clause commented="no" display-inline="no-display-inline" id="HB54BBB3E53F54974AAC0DFCFA3A0539E"><enum>(iii)</enum><text display-inline="yes-display-inline">export goods or services;</text></clause></subparagraph>
<subparagraph commented="no" display-inline="no-display-inline" id="H7B6F15350C51473AA68AE4A5B967C943"><enum>(B)</enum><text display-inline="yes-display-inline">the number of small business concerns receiving assistance from the Administration that export goods or services to a market outside the United States into which the small business concern did not export before receiving the assistance;</text></subparagraph>
<subparagraph commented="no" display-inline="no-display-inline" id="H600A95171FCD4CA6AEBAD50DA52B593A"><enum>(C)</enum><text display-inline="yes-display-inline">export revenues by small business concerns assisted by programs of the Administration;</text></subparagraph>
<subparagraph commented="no" display-inline="no-display-inline" id="H0124A9E1CBE74247BF38ADAC9DF47B26"><enum>(D)</enum><text display-inline="yes-display-inline">the number of small business concerns referred to an Export Assistance Center or a small business development center by the staff of the Office;</text></subparagraph>
<subparagraph commented="no" display-inline="no-display-inline" id="H10BF1D4DB10B4DBBAFEF5F03FF5EF777"><enum>(E)</enum><text display-inline="yes-display-inline">the number of small business concerns referred to the Administration by an Export Assistance Center or a small business development center; and</text></subparagraph>
<subparagraph commented="no" display-inline="no-display-inline" id="HB24A3D4BCC0645A2A4705C1A727DA4D7"><enum>(F)</enum><text display-inline="yes-display-inline">the number of small business concerns referred to the Department of Commerce, the Department of Agriculture, the Department of State, the Export-Import Bank of the United States, the Overseas Private Investment Corporation, or the United States Trade and Development Agency by the staff of the Office, an Export Assistance Center, or a small business development center.</text></subparagraph></paragraph>
<paragraph commented="no" display-inline="no-display-inline" id="HC1B700EEF1A94C558C71236DDEF71F47"><enum>(2)</enum><header display-inline="yes-display-inline">Joint performance measures</header><text display-inline="yes-display-inline">The Associate Administrator shall develop joint performance measures for the district offices of the Administration and the Export Assistance Centers that include the number of export loans made under—</text>
<subparagraph commented="no" display-inline="no-display-inline" id="HBDE1292C9DE845AEB5A912407E9F824F"><enum>(A)</enum><text display-inline="yes-display-inline">section 7(a)(16);</text></subparagraph>
<subparagraph commented="no" display-inline="no-display-inline" id="H5D4182422EF241CE9A13E969E8353336"><enum>(B)</enum><text display-inline="yes-display-inline">the Export Working Capital Program established under section 7(a)(14);</text></subparagraph>
<subparagraph commented="no" display-inline="no-display-inline" id="HFAE47D67B0B04F4692BD0C55B0E40970"><enum>(C)</enum><text display-inline="yes-display-inline">the Preferred Lenders Program, as defined in section 7(a)(2)(C)(ii); and</text></subparagraph>
<subparagraph commented="no" display-inline="no-display-inline" id="H323D5B56A47D445386C55B239941D766"><enum>(D)</enum><text display-inline="yes-display-inline">the export express program established under section 7(a)(34).</text></subparagraph></paragraph>
<paragraph commented="no" display-inline="no-display-inline" id="H0361794006334A38AC2783B97A690092"><enum>(3)</enum><header display-inline="yes-display-inline">Consistency of tracking</header><text display-inline="yes-display-inline">The Associate Administrator, in coordination with the departments and agencies that are represented on the Trade Promotion Coordinating Committee established under section 2312 of the Export Enhancement Act of 1988 (15 U.S.C. 4727) and the small business development center network, shall develop a system to track exports by small business concerns, including information relating to the performance measures developed under paragraph (1), that is consistent with systems used by the departments and agencies and the network.</text></paragraph></subsection><after-quoted-block>.</after-quoted-block></quoted-block></paragraph></subsection>
<subsection commented="no" display-inline="no-display-inline" id="H9595103D958647E0B4ABE9F40DE565FC"><enum>(b)</enum><header display-inline="yes-display-inline">Report</header><text display-inline="yes-display-inline">Not later than 60 days after the date of enactment of this Act, the Administrator shall submit a report to the Committee on Small Business and Entrepreneurship of the Senate and the Committee on Small Business of the House of Representatives on any travel by the staff of the Office of International Trade of the Administration, during the period beginning on October 1, 2004, and ending on the date of enactment of the Act, including the destination of such travel and the benefits to the Administration and to small business concerns resulting from such travel.</text></subsection></section>
<section commented="no" display-inline="no-display-inline" id="H489D552841EA43B38CBA0D9CE65403BC" section-type="subsequent-section"><enum>1205.</enum><header display-inline="yes-display-inline">Export assistance centers</header>
<subsection commented="no" display-inline="no-display-inline" id="HABDF3694114B43928476658EC7BDF403"><enum>(a)</enum><header display-inline="yes-display-inline">Export assistance centers</header><text display-inline="yes-display-inline">Section 22 of the Small Business Act (15 U.S.C. 649), as amended by this subtitle, is amended by adding at the end the following:</text>
<quoted-block changed="added" display-inline="no-display-inline" id="HCDC43F25A5C6491AA12598864E67233A" reported-display-style="italic" style="OLC">
<subsection commented="no" display-inline="no-display-inline" id="H2B7EFC214DE64B8E94ED6A4E48D077C2"><enum>(k)</enum><header display-inline="yes-display-inline">Export assistance centers</header>
<paragraph commented="no" display-inline="no-display-inline" id="HDBA21B96CEF148CEB65635B38EF3DC83"><enum>(1)</enum><header display-inline="yes-display-inline">Export finance specialists</header>
<subparagraph commented="no" display-inline="no-display-inline" id="HF2A7882D61BF464DA34C26D7AC785EE6"><enum>(A)</enum><header display-inline="yes-display-inline">Minimum number of export finance specialists</header><text display-inline="yes-display-inline">On and after the date that is 90 days after the date of enactment of this subsection, the Administrator, in coordination with the Secretary of Commerce, shall ensure that the number of export finance specialists is not less than the number of such employees so assigned on January 1, 2003.</text></subparagraph>
<subparagraph commented="no" display-inline="no-display-inline" id="HF1B6C9936D14401398A2B280D302DEAA"><enum>(B)</enum><header display-inline="yes-display-inline">Export finance specialists assigned to each region of the Administration</header><text display-inline="yes-display-inline">On and after the date that is 2 years after the date of enactment of this subsection, the Administrator, in coordination with the Secretary of Commerce, shall ensure that there are not fewer than 3 export finance specialists in each region of the Administration.</text></subparagraph></paragraph>
<paragraph commented="no" display-inline="no-display-inline" id="H342D900496B94E0D877344DBB9BDA0E0"><enum>(2)</enum><header display-inline="yes-display-inline">Placement of export finance specialists</header>
<subparagraph commented="no" display-inline="no-display-inline" id="HBAFF2BDEE1E948838384F83118EA17AB"><enum>(A)</enum><header display-inline="yes-display-inline">Priority</header><text display-inline="yes-display-inline">The Administrator shall give priority, to the maximum extent practicable, to placing employees of the Administration at any Export Assistance Center that—</text>
<clause commented="no" display-inline="no-display-inline" id="H4262F8A30BAC4B348F536665FD4B0FC6"><enum>(i)</enum><text display-inline="yes-display-inline">had an Administration employee assigned to the Export Assistance Center before January 2003; and</text></clause>
<clause commented="no" display-inline="no-display-inline" id="H0100CC27840A433FB79FABA888DEE939"><enum>(ii)</enum><text display-inline="yes-display-inline">has not had an Administration employee assigned to the Export Assistance Center during the period beginning January 2003, and ending on the date of enactment of this subsection, either through retirement or reassignment.</text></clause></subparagraph>
<subparagraph commented="no" display-inline="no-display-inline" id="H3C90424D801B4DF89CE23C7B955DA689"><enum>(B)</enum><header display-inline="yes-display-inline">Needs of exporters</header><text display-inline="yes-display-inline">The Administrator shall, to the maximum extent practicable, strategically assign Administration employees to Export Assistance Centers, based on the needs of exporters.</text></subparagraph>
<subparagraph commented="no" display-inline="no-display-inline" id="H382CDE697FCD4837A827A7B1782F7969"><enum>(C)</enum><header display-inline="yes-display-inline">Rule of construction</header><text display-inline="yes-display-inline">Nothing in this subsection may be construed to require the Administrator to reassign or remove an export finance specialist who is assigned to an Export Assistance Center on the date of enactment of this subsection.</text></subparagraph></paragraph>
<paragraph commented="no" display-inline="no-display-inline" id="H4B4D204C0DF4497BBF0D7D0EB5B46716"><enum>(3)</enum><header display-inline="yes-display-inline">Goals</header><text display-inline="yes-display-inline">The Associate Administrator shall work with the Department of Commerce, the Export-Import Bank of the United States, and the Overseas Private Investment Corporation to establish shared annual goals for the Export Assistance Centers.</text></paragraph>
<paragraph commented="no" display-inline="no-display-inline" id="H5710D2D5759D4910BDB07CC5D0CB5C24"><enum>(4)</enum><header display-inline="yes-display-inline">Oversight</header><text display-inline="yes-display-inline">The Associate Administrator shall designate an individual within the Administration to oversee all activities conducted by Administration employees assigned to Export Assistance Centers.</text></paragraph></subsection>
<subsection commented="no" display-inline="no-display-inline" id="HC4FB3B41626A4274A80876A813445423"><enum>(l)</enum><header display-inline="yes-display-inline">Definitions</header><text display-inline="yes-display-inline">In this section—</text>
<paragraph commented="no" display-inline="no-display-inline" id="HEB52B72E2EB5438FA7B170767F63E95E"><enum>(1)</enum><text display-inline="yes-display-inline">the term <term>Associate Administrator</term> means the Associate Administrator for International Trade described in subsection (a)(2);</text></paragraph>
<paragraph commented="no" display-inline="no-display-inline" id="H955DD6B2EDEB45BD96AE3A8A15DFAC00"><enum>(2)</enum><text display-inline="yes-display-inline">the term <term>Export Assistance Center</term> means a one-stop shop for United States exporters established by the United States and Foreign Commercial Service of the Department of Commerce pursuant to section 2301(b)(8) of the Omnibus Trade and Competitiveness Act of 1988 (15 U.S.C. 4721(b)(8));</text></paragraph>
<paragraph commented="no" display-inline="no-display-inline" id="H9AB16F927827404B8664B5E53E939713"><enum>(3)</enum><text display-inline="yes-display-inline">the term <term>export finance specialist</term> means a full-time equivalent employee of the Office assigned to an Export Assistance Center to carry out the duties described in subsection (e); and</text></paragraph>
<paragraph commented="no" display-inline="no-display-inline" id="HAA3D44D31DEF4FA1A1066B759E8EB3EF"><enum>(4)</enum><text display-inline="yes-display-inline">the term <term>Office</term> means the Office of International Trade established under subsection (a)(1).</text></paragraph></subsection><after-quoted-block>.</after-quoted-block></quoted-block></subsection>
<subsection commented="no" display-inline="no-display-inline" id="H6E4C3058F53B46E491C8C78FE96DC6C5"><enum>(b)</enum><header display-inline="yes-display-inline">Study and report on filling gaps in high-and-Low-Export volume areas</header>
<paragraph commented="no" display-inline="no-display-inline" id="HDFEAD4BD1C4B403287B810BFC76958E4"><enum>(1)</enum><header display-inline="yes-display-inline">Study and report</header><text display-inline="yes-display-inline">Not later than 6 months after the date of enactment of this Act, and every 2 years thereafter, the Administrator shall—</text>
<subparagraph commented="no" display-inline="no-display-inline" id="HB844BCBE1EC24D6C996133E0FE79A4B6"><enum>(A)</enum><text display-inline="yes-display-inline">conduct a study of—</text>
<clause commented="no" display-inline="no-display-inline" id="HA7DC66AF82724294AF4FA462C0F45FC0"><enum>(i)</enum><text display-inline="yes-display-inline">the volume of exports for each State;</text></clause>
<clause commented="no" display-inline="no-display-inline" id="H958FDBF955E04BD4859B52E759BEBC25"><enum>(ii)</enum><text display-inline="yes-display-inline">the availability of export finance specialists in each State;</text></clause>
<clause commented="no" display-inline="no-display-inline" id="H0596DED26A1E46A789BCB599D2565BC6"><enum>(iii)</enum><text display-inline="yes-display-inline">the number of exporters in each State that are small business concerns;</text></clause>
<clause commented="no" display-inline="no-display-inline" id="H2942877798DA456481BC14E274A8F7EB"><enum>(iv)</enum><text display-inline="yes-display-inline">the percentage of exporters in each State that are small business concerns;</text></clause>
<clause commented="no" display-inline="no-display-inline" id="H9097A1DB14CA479A914E9324D914C0EA"><enum>(v)</enum><text display-inline="yes-display-inline">the change, if any, in the number of exporters that are small business concerns in each State—</text>
<subclause commented="no" display-inline="no-display-inline" id="H17525846E0814652915BCAE7E52A03F2"><enum>(I)</enum><text display-inline="yes-display-inline">for the first study conducted under this subparagraph, during the 10-year period ending on the date of enactment of this Act; and</text></subclause>
<subclause commented="no" display-inline="no-display-inline" id="H8EA3B84BE41C423CABF85622588D97AC"><enum>(II)</enum><text display-inline="yes-display-inline">for each subsequent study, during the 10-year period ending on the date the study is commenced;</text></subclause></clause>
<clause commented="no" display-inline="no-display-inline" id="HCDAC1A5C70A94CE48382968BDCD7BEC9"><enum>(vi)</enum><text display-inline="yes-display-inline">the total value of the exports in each State by small business concerns;</text></clause>
<clause commented="no" display-inline="no-display-inline" id="H8B7BCC5B41DA416D9B6C69E9A2CFF82E"><enum>(vii)</enum><text display-inline="yes-display-inline">the percentage of the total volume of exports in each State that is attributable to small business concerns; and</text></clause>
<clause commented="no" display-inline="no-display-inline" id="H16CB3A9D18FB4318A0FB38AC0F2FFF82"><enum>(viii)</enum><text display-inline="yes-display-inline">the change, if any, in the percentage of the total volume of exports in each State that is attributable to small business concerns—</text>
<subclause commented="no" display-inline="no-display-inline" id="H6446088AF23646139FDA07DC7305D520"><enum>(I)</enum><text display-inline="yes-display-inline">for the first study conducted under this subparagraph, during the 10-year period ending on the date of enactment of this Act; and</text></subclause>
<subclause commented="no" display-inline="no-display-inline" id="HBFAF1306A08943D9BF02D7375185EEC3"><enum>(II)</enum><text display-inline="yes-display-inline">for each subsequent study, during the 10-year period ending on the date the study is commenced; and</text></subclause></clause></subparagraph>
<subparagraph commented="no" display-inline="no-display-inline" id="H9DE9F4FFB512417EB06FC68026AFCDF5"><enum>(B)</enum><text display-inline="yes-display-inline">submit to the Committee on Small Business and Entrepreneurship of the Senate and the Committee on Small Business of the House of Representatives a report containing—</text>
<clause commented="no" display-inline="no-display-inline" id="HBBD86B5C321D4F6DB5028C73BF3D5D71"><enum>(i)</enum><text display-inline="yes-display-inline">the results of the study under subparagraph (A);</text></clause>
<clause commented="no" display-inline="no-display-inline" id="HED9188EE627C46B08DE3BA3EC37D2647"><enum>(ii)</enum><text display-inline="yes-display-inline">to the extent practicable, a recommendation regarding how to eliminate gaps between the supply of and demand for export finance specialists in the 15 States that have the greatest volume of exports, based upon the most recent data available from the Department of Commerce;</text></clause>
<clause commented="no" display-inline="no-display-inline" id="H51964B240883475B8C6A36572C3AFA6F"><enum>(iii)</enum><text display-inline="yes-display-inline">to the extent practicable, a recommendation regarding how to eliminate gaps between the supply of and demand for export finance specialists in the 15 States that have the lowest volume of exports, based upon the most recent data available from the Department of Commerce; and</text></clause>
<clause commented="no" display-inline="no-display-inline" id="HAF4F63A899FA489987C89516683A7255"><enum>(iv)</enum><text display-inline="yes-display-inline">such additional information as the Administrator determines is appropriate.</text></clause></subparagraph></paragraph>
<paragraph commented="no" display-inline="no-display-inline" id="H959DBD2A14E1407AA47F298B9731084C"><enum>(2)</enum><header display-inline="yes-display-inline">Definition</header><text display-inline="yes-display-inline">In this subsection, the term <term>export finance specialist</term> has the meaning given that term in section 22(l) of the Small Business Act, as added by this title.</text></paragraph></subsection></section>
<section commented="no" display-inline="no-display-inline" id="H6F28D18AE8594B788CD6AF3E0DD73EC0" section-type="subsequent-section"><enum>1206.</enum><header display-inline="yes-display-inline">International trade finance programs</header>
<subsection commented="no" display-inline="no-display-inline" id="HD846EC687E234452871544680B2A35F3"><enum>(a)</enum><header display-inline="yes-display-inline">Loan limits</header>
<paragraph commented="no" display-inline="no-display-inline" id="H36D97096CB7340C8BD911C72EBFE605B"><enum>(1)</enum><header display-inline="yes-display-inline">Total amount outstanding</header><text display-inline="yes-display-inline">Section 7(a)(3)(B) of the Small Business Act (15 U.S.C. 636(a)(3)(B)) is amended by striking <quote>$1,750,000, of which not more than $1,250,000</quote> and inserting <quote>$4,500,000 (or if the gross loan amount would exceed $5,000,000), of which not more than $4,000,000</quote>.</text></paragraph>
<paragraph commented="no" display-inline="no-display-inline" id="H80A2A3BB14684B8080DD8D06BD71E994"><enum>(2)</enum><header display-inline="yes-display-inline">Participation</header><text display-inline="yes-display-inline">Section 7(a)(2) of the Small Business Act (15 U.S.C. 636(a)(2)) is amended—</text>
<subparagraph commented="no" display-inline="no-display-inline" id="HD631F4084DBE4EF9B26C48E1AC578C67"><enum>(A)</enum><text display-inline="yes-display-inline">in subparagraph (A), in the matter preceding clause (i), by striking <quote>subparagraph (B)</quote> and inserting <quote>subparagraphs (B), (D), and (E)</quote>;</text></subparagraph>
<subparagraph commented="no" display-inline="no-display-inline" id="H8990B5306D474BB9B894C6BFA0343271"><enum>(B)</enum><text display-inline="yes-display-inline">in subparagraph (D), by striking <quote>Notwithstanding subparagraph (A), in</quote> and inserting <quote>In</quote>; and</text></subparagraph>
<subparagraph commented="no" display-inline="no-display-inline" id="HB761A682D93C4DE6B9DCD0BA906A83F1"><enum>(C)</enum><text display-inline="yes-display-inline">by adding at the end the following:</text>
<quoted-block changed="added" display-inline="no-display-inline" id="H9B221D739D2B459C9FE0133A0547598F" reported-display-style="italic" style="OLC">
<subparagraph commented="no" display-inline="no-display-inline" id="HDEE4CC2267684F6EB93DCC8227F3E201"><enum>(E)</enum><header display-inline="yes-display-inline">Participation in international trade loan</header><text display-inline="yes-display-inline">In an agreement to participate in a loan on a deferred basis under paragraph (16), the participation by the Administration may not exceed 90 percent.</text></subparagraph><after-quoted-block>.</after-quoted-block></quoted-block></subparagraph></paragraph></subsection>
<subsection commented="no" display-inline="no-display-inline" id="HCF97908FC5A2438EAE6ABFFBC047DECC"><enum>(b)</enum><header display-inline="yes-display-inline">Working capital</header><text display-inline="yes-display-inline">Section 7(a)(16)(A) of the Small Business Act (15 U.S.C. 636(a)(16)(A)) is amended—</text>
<paragraph commented="no" display-inline="no-display-inline" id="H8AB8984724674CA9913B6F655DEBC623"><enum>(1)</enum><text display-inline="yes-display-inline">in the matter preceding clause (i), by striking <quote>in—</quote> and inserting <quote>—</quote>;</text></paragraph>
<paragraph commented="no" display-inline="no-display-inline" id="H38B2EF0CB2A54810A05940C366F0BC1E"><enum>(2)</enum><text display-inline="yes-display-inline">in clause (i)—</text>
<subparagraph commented="no" display-inline="no-display-inline" id="H1C29469F21A8466B90CCCF699FCED9B1"><enum>(A)</enum><text display-inline="yes-display-inline">by inserting <quote>in</quote> after <quote>(i)</quote>; and</text></subparagraph>
<subparagraph commented="no" display-inline="no-display-inline" id="HFF89E52F2BD44CC989AE2BC01C7F38D1"><enum>(B)</enum><text display-inline="yes-display-inline">by striking <quote>or</quote> at the end;</text></subparagraph></paragraph>
<paragraph commented="no" display-inline="no-display-inline" id="HE9FF7F0EEDD041658720E6C488A3B3FD"><enum>(3)</enum><text display-inline="yes-display-inline">in clause (ii)—</text>
<subparagraph commented="no" display-inline="no-display-inline" id="HE1F90FE7CB014C838B669675B4B00A49"><enum>(A)</enum><text display-inline="yes-display-inline">by inserting <quote>in</quote> after <quote>(ii)</quote>; and</text></subparagraph>
<subparagraph commented="no" display-inline="no-display-inline" id="HE2351E1E611C49EFB2BE9BD259AF0C00"><enum>(B)</enum><text display-inline="yes-display-inline">by striking the period at the end and inserting <quote>, including any debt that qualifies for refinancing under any other provision of this subsection; or</quote>; and</text></subparagraph></paragraph>
<paragraph commented="no" display-inline="no-display-inline" id="HE7BD942A282D46A5B161F3AE3B7E74ED"><enum>(4)</enum><text display-inline="yes-display-inline">by adding at the end the following:</text>
<quoted-block changed="added" display-inline="no-display-inline" id="HCAF176AACCB8475FB5CCE227752770BD" reported-display-style="italic" style="OLC">
<clause commented="no" display-inline="no-display-inline" id="H9C4CDB0693A244118F75AA1B613FF897"><enum>(iii)</enum><text display-inline="yes-display-inline">by providing working capital.</text></clause><after-quoted-block>.</after-quoted-block></quoted-block></paragraph></subsection>
<subsection commented="no" display-inline="no-display-inline" id="HDA6115B316A347AF82A02FEF3B02452E"><enum>(c)</enum><header display-inline="yes-display-inline">Collateral</header><text display-inline="yes-display-inline">Section 7(a)(16)(B) of the Small Business Act (15 U.S.C. 636(a)(16)(B)) is amended—</text>
<paragraph commented="no" display-inline="no-display-inline" id="H815761FA4EC648DDB2D17296403ECC92"><enum>(1)</enum><text display-inline="yes-display-inline">by striking <quote>Each loan</quote> and inserting the following:</text>
<quoted-block changed="added" display-inline="no-display-inline" id="HE147B3322634402CA5F2EAECFB0A01C9" reported-display-style="italic" style="OLC">
<clause commented="no" display-inline="no-display-inline" id="HD48D6190BFC6472D94BDFCF2836FD0DD"><enum>(i)</enum><header display-inline="yes-display-inline">In general</header><text display-inline="yes-display-inline">Except as provided in clause (ii), each loan</text></clause><after-quoted-block>; and</after-quoted-block></quoted-block></paragraph>
<paragraph commented="no" display-inline="no-display-inline" id="HA6CF7F225E0C40709EDE0C582976B9E3"><enum>(2)</enum><text display-inline="yes-display-inline">by adding at the end the following:</text>
<quoted-block changed="added" display-inline="no-display-inline" id="H1FF1B6091419483BB3672220635BE9E4" reported-display-style="italic" style="OLC">
<clause commented="no" display-inline="no-display-inline" id="HD9C8AAE9B2314741ACBF6397318CF285"><enum>(ii)</enum><header display-inline="yes-display-inline">Exception</header><text display-inline="yes-display-inline">A loan under this paragraph may be secured by a second lien position on the property or equipment financed by the loan or on other assets of the small business concern, if the Administrator determines the lien provides adequate assurance of the payment of the loan.</text></clause><after-quoted-block>.</after-quoted-block></quoted-block></paragraph></subsection>
<subsection commented="no" display-inline="no-display-inline" id="H59F5A532BF0440BB8A9B5BD28E9B029F"><enum>(d)</enum><header display-inline="yes-display-inline">Export working capital program</header><text display-inline="yes-display-inline">Section 7(a) of the Small Business Act (15 U.S.C. 636(a)) is amended—</text>
<paragraph commented="no" display-inline="no-display-inline" id="H2EC7228A95E44434A7174FB64D949049"><enum>(1)</enum><text display-inline="yes-display-inline">in paragraph (2)(D), by striking <quote>not exceed</quote> and inserting <quote>be</quote>; and</text></paragraph>
<paragraph commented="no" display-inline="no-display-inline" id="H2990E80F379D4AA88FB36553B5064F58"><enum>(2)</enum><text display-inline="yes-display-inline">in paragraph (14)—</text>
<subparagraph commented="no" display-inline="no-display-inline" id="H7C99537763124A83B6EFEF7DC7403F88"><enum>(A)</enum><text display-inline="yes-display-inline">by striking <quote>(A) The Administration</quote> and inserting the following: “<header-in-text level="paragraph" style="OLC">Export working capital program</header-in-text>.—</text>
<quoted-block changed="added" display-inline="no-display-inline" id="H4B2546413EF44546B3BAF2DC7B20D9AA" reported-display-style="italic" style="OLC">
<subparagraph commented="no" display-inline="no-display-inline" id="H408BD186BE634BE092C847A94F45A5AA"><enum>(A)</enum><header display-inline="yes-display-inline">In general</header><text display-inline="yes-display-inline">The Administrator</text></subparagraph><after-quoted-block>;</after-quoted-block></quoted-block></subparagraph>
<subparagraph commented="no" display-inline="no-display-inline" id="HB9D0C25A047249D6BDC8FFB62058F55E"><enum>(B)</enum><text display-inline="yes-display-inline">by striking <quote>(B) When considering</quote> and inserting the following:</text>
<quoted-block changed="added" display-inline="no-display-inline" id="HB2CED9617419459E8FDA3801BE82241B" reported-display-style="italic" style="OLC">
<subparagraph commented="no" display-inline="no-display-inline" id="H996BA788B5F24EB19EAADC0F403E768B"><enum>(C)</enum><header display-inline="yes-display-inline">Considerations</header><text display-inline="yes-display-inline">When considering</text></subparagraph><after-quoted-block>; </after-quoted-block></quoted-block></subparagraph>
<subparagraph commented="no" display-inline="no-display-inline" id="HD9709B0034264DC79B214AFC8F867C34"><enum>(C)</enum><text display-inline="yes-display-inline">by striking <quote>(C) The Administration</quote> and inserting the following:</text>
<quoted-block changed="added" display-inline="no-display-inline" id="H10B96275F97D4B1EAD69D7C920F1A363" reported-display-style="italic" style="OLC">
<subparagraph commented="no" display-inline="no-display-inline" id="H5393763B7A9E4122B2C53953BCA12913"><enum>(D)</enum><header display-inline="yes-display-inline">Marketing</header><text display-inline="yes-display-inline">The Administrator</text></subparagraph><after-quoted-block>; and</after-quoted-block></quoted-block></subparagraph>
<subparagraph commented="no" display-inline="no-display-inline" id="H6DF984664FEC46568EF197A67248AFAF"><enum>(D)</enum><text display-inline="yes-display-inline">by inserting after subparagraph (A) the following:</text>
<quoted-block changed="added" display-inline="no-display-inline" id="HA87DDD76433C467DB742B750EFF8D6D7" reported-display-style="italic" style="OLC">
<subparagraph commented="no" display-inline="no-display-inline" id="H71A2EC5CEA4F480CA0BBA5DAA73B8FB8"><enum>(B)</enum><header display-inline="yes-display-inline">Terms</header>
<clause commented="no" display-inline="no-display-inline" id="H6727BB43C8C94CB89BD397CEC6B0C277"><enum>(i)</enum><header display-inline="yes-display-inline">Loan amount</header><text display-inline="yes-display-inline">The Administrator may not guarantee a loan under this paragraph of more than $5,000,000.</text></clause>
<clause commented="no" display-inline="no-display-inline" id="H199F7ECF0EAE41E5A607E89EAC7A8738"><enum>(ii)</enum><header display-inline="yes-display-inline">Fees</header>
<subclause commented="no" display-inline="no-display-inline" id="HAF66C77E3DE9434CA15C16303516EA71"><enum>(I)</enum><header display-inline="yes-display-inline">In general</header><text display-inline="yes-display-inline">For a loan under this paragraph, the Administrator shall collect the fee assessed under paragraph (23) not more frequently than once each year.</text></subclause>
<subclause commented="no" display-inline="no-display-inline" id="H2B0F14806E1840419F40332D57E72F39"><enum>(II)</enum><header display-inline="yes-display-inline">Untapped credit</header><text display-inline="yes-display-inline">The Administrator may not assess a fee on capital that is not accessed by the small business concern.</text></subclause></clause></subparagraph><after-quoted-block>.</after-quoted-block></quoted-block></subparagraph></paragraph></subsection>
<subsection commented="no" display-inline="no-display-inline" id="H154B585076D94A23B3068495539C2E79"><enum>(e)</enum><header display-inline="yes-display-inline">Participation in Preferred Lenders Program</header><text display-inline="yes-display-inline">Section 7(a)(2)(C) of the Small Business Act (15 U.S.C. 636(a)(2)(C)) is amended—</text>
<paragraph commented="no" display-inline="no-display-inline" id="HEB557EA76DDC40A4878CE503E881EDC7"><enum>(1)</enum><text display-inline="yes-display-inline">by redesignating clause (ii) as clause (iii); and</text></paragraph>
<paragraph commented="no" display-inline="no-display-inline" id="H611766287FEE400A83411BAAACA1CA5D"><enum>(2)</enum><text display-inline="yes-display-inline">by inserting after clause (i) the following:</text>
<quoted-block changed="added" display-inline="no-display-inline" id="H6A575B9588384E869520310433015327" reported-display-style="italic" style="OLC">
<clause commented="no" display-inline="no-display-inline" id="HF7CA98CCB967468A951778BED38A3F8D"><enum>(ii)</enum><header display-inline="yes-display-inline">Export-Import Bank lenders</header><text display-inline="yes-display-inline">Any lender that is participating in the Delegated Authority Lender Program of the Export-Import Bank of the United States (or any successor to the Program) shall be eligible to participate in the Preferred Lenders Program.</text></clause><after-quoted-block>.</after-quoted-block></quoted-block></paragraph></subsection>
<subsection commented="no" display-inline="no-display-inline" id="H87C6E7B6854742C59E03165DC53125D0"><enum>(f)</enum><header display-inline="yes-display-inline">Export Express Program</header><text display-inline="yes-display-inline">Section 7(a) of the Small Business Act (15 U.S.C. 636(a)) is amended by adding at the end the following:</text>
<quoted-block changed="added" display-inline="no-display-inline" id="HAFD0B6AD70454413A23F19B6EBD99AB0" reported-display-style="italic" style="OLC">
<paragraph commented="no" display-inline="no-display-inline" id="H2BA186B7B9F94FC888E919C382796B59"><enum>(35)</enum><header display-inline="yes-display-inline">Export Express Program</header>
<subparagraph commented="no" display-inline="no-display-inline" id="H14654FEDE1774E0DBDF11ED1DE59F09E"><enum>(A)</enum><header display-inline="yes-display-inline">Definitions</header><text display-inline="yes-display-inline">In this paragraph—</text>
<clause commented="no" display-inline="no-display-inline" id="HE3DF6FD40F3746A9987767CD335CD1BC"><enum>(i)</enum><text display-inline="yes-display-inline">the term <term>export development activity</term> includes—</text>
<subclause commented="no" display-inline="no-display-inline" id="H61FD5C7738A144789435C0172928035C"><enum>(I)</enum><text display-inline="yes-display-inline">obtaining a standby letter of credit when required as a bid bond, performance bond, or advance payment guarantee;</text></subclause>
<subclause commented="no" display-inline="no-display-inline" id="H766B224F938A4BB4ABA15CCC35FE2365"><enum>(II)</enum><text display-inline="yes-display-inline">participation in a trade show that takes place outside the United States;</text></subclause>
<subclause commented="no" display-inline="no-display-inline" id="H36BB2853692D4499AE2A1897AB9DE57A"><enum>(III)</enum><text display-inline="yes-display-inline">translation of product brochures or catalogues for use in markets outside the United States;</text></subclause>
<subclause commented="no" display-inline="no-display-inline" id="H3BC4E1CF7C944CC183522023E5514037"><enum>(IV)</enum><text display-inline="yes-display-inline">obtaining a general line of credit for export purposes;</text></subclause>
<subclause commented="no" display-inline="no-display-inline" id="H5B6A60AD2B124C10A6950BD7B588234E"><enum>(V)</enum><text display-inline="yes-display-inline">performing a service contract from buyers located outside the United States;</text></subclause>
<subclause commented="no" display-inline="no-display-inline" id="H82E7A574F36442FEB5926ED74F2E3965"><enum>(VI)</enum><text display-inline="yes-display-inline">obtaining transaction-specific financing associated with completing export orders;</text></subclause>
<subclause commented="no" display-inline="no-display-inline" id="HB3156DEDE4F3430CA8895B486A89A922"><enum>(VII)</enum><text display-inline="yes-display-inline">purchasing real estate or equipment to be used in the production of goods or services for export;</text></subclause>
<subclause commented="no" display-inline="no-display-inline" id="H50D89A32CC49447F8A43DD645483F4EB"><enum>(VIII)</enum><text display-inline="yes-display-inline">providing term loans or other financing to enable a small business concern, including an export trading company and an export management company, to develop a market outside the United States; and</text></subclause>
<subclause commented="no" display-inline="no-display-inline" id="H87AAC2CCDEC446E09A4C2D68683D0517"><enum>(IX)</enum><text display-inline="yes-display-inline">acquiring, constructing, renovating, modernizing, improving, or expanding a production facility or equipment to be used in the United States in the production of goods or services for export; and</text></subclause></clause>
<clause commented="no" display-inline="no-display-inline" id="HE3B84FF1E55E42DCA56AAACB0A061337"><enum>(ii)</enum><text display-inline="yes-display-inline">the term <term>express loan</term> means a loan in which a lender uses to the maximum extent practicable the loan analyses, procedures, and documentation of the lender to provide expedited processing of the loan application.</text></clause></subparagraph>
<subparagraph commented="no" display-inline="no-display-inline" id="H958F5B4C74524152BA34C6477AB9AA5C"><enum>(B)</enum><header display-inline="yes-display-inline">Authority</header><text display-inline="yes-display-inline">The Administrator may guarantee the timely payment of an express loan to a small business concern made for an export development activity.</text></subparagraph>
<subparagraph commented="no" display-inline="no-display-inline" id="H9E2C35DB95EA445BA173EEB27DDD92A1"><enum>(C)</enum><header display-inline="yes-display-inline">Level of participation</header>
<clause commented="no" display-inline="no-display-inline" id="H564564E9766F4F1C98C7A0497046C47C"><enum>(i)</enum><header display-inline="yes-display-inline">Maximum amount</header><text display-inline="yes-display-inline">The maximum amount of an express loan guaranteed under this paragraph shall be $500,000.</text></clause>
<clause commented="no" display-inline="no-display-inline" id="HA7F8596AE19C4FE8828CC12CCBD661EC"><enum>(ii)</enum><header display-inline="yes-display-inline">Percentage</header><text display-inline="yes-display-inline">For an express loan guaranteed under this paragraph, the Administrator shall guarantee—</text>
<subclause commented="no" display-inline="no-display-inline" id="HF542A9F9D7D840418A0B1B6B37A776AF"><enum>(I)</enum><text display-inline="yes-display-inline">90 percent of a loan that is not more than $350,000; and</text></subclause>
<subclause commented="no" display-inline="no-display-inline" id="H84CF599F09A94C4DB81203486BD5BE23"><enum>(II)</enum><text display-inline="yes-display-inline">75 percent of a loan that is more than $350,000 and not more than $500,000.</text></subclause></clause></subparagraph></paragraph><after-quoted-block>.</after-quoted-block></quoted-block></subsection>
<subsection commented="no" display-inline="no-display-inline" id="H66582D14B9944D5BA7576753C689ED24"><enum>(g)</enum><header display-inline="yes-display-inline">Annual listing of export finance lenders</header><text display-inline="yes-display-inline">Section 7(a)(16) of the Small Business Act (15 U.S.C. 636(a)(16)) is amended by adding at the end the following:</text>
<quoted-block changed="added" display-inline="no-display-inline" id="H9A291946AF08401E9371E97587178225" reported-display-style="italic" style="OLC">
<subparagraph commented="no" display-inline="no-display-inline" id="H35ABFC7B9A9F4DF0882A967D835186B2"><enum>(F)</enum><header display-inline="yes-display-inline">List of export finance lenders</header>
<clause commented="no" display-inline="no-display-inline" id="HB4EF9F92FDF64CEDB3348627275B1682"><enum>(i)</enum><header display-inline="yes-display-inline">Publication of list required</header><text display-inline="yes-display-inline">The Administrator shall publish an annual list of the banks and participating lending institutions that, during the 1-year period ending on the date of publication of the list, have made loans guaranteed by the Administration under—</text>
<subclause commented="no" display-inline="no-display-inline" id="HFDDCC74640894676807D8E76270B6844"><enum>(I)</enum><text display-inline="yes-display-inline">this paragraph;</text></subclause>
<subclause commented="no" display-inline="no-display-inline" id="H575B04A5B36B4F98A4CCBCFD2F8DF100"><enum>(II)</enum><text display-inline="yes-display-inline">paragraph (14); or</text></subclause>
<subclause commented="no" display-inline="no-display-inline" id="HE2C7E99ADE014555AA198C91B369FCBD"><enum>(III)</enum><text display-inline="yes-display-inline">paragraph (34).</text></subclause></clause>
<clause commented="no" display-inline="no-display-inline" id="H31B6EDDFC13A42399F03A2C0D41A2870"><enum>(ii)</enum><header display-inline="yes-display-inline">Availability of list</header><text display-inline="yes-display-inline">The Administrator shall—</text>
<subclause commented="no" display-inline="no-display-inline" id="H648F018D26A046F581602657A7A96201"><enum>(I)</enum><text display-inline="yes-display-inline">post the list published under clause (i) on the website of the Administration; and</text></subclause>
<subclause commented="no" display-inline="no-display-inline" id="H7798C69FDDFC48529D317A62DF4DD1C1"><enum>(II)</enum><text display-inline="yes-display-inline">make the list published under clause (i) available, upon request, at each district office of the Administration.</text></subclause></clause></subparagraph><after-quoted-block>.</after-quoted-block></quoted-block></subsection>
<subsection commented="no" display-inline="no-display-inline" id="HCFF9AB3078AC401899E1C84FB8FDDAAC"><enum>(h)</enum><header display-inline="yes-display-inline">Applicability</header><text display-inline="yes-display-inline">The amendments made by subsections (a) through (f) shall apply with respect to any loan made after the date of enactment of this Act.</text></subsection></section>
<section commented="no" display-inline="no-display-inline" id="H9EB1839A1D6F437A93F5FEC7D3FF4742" section-type="subsequent-section"><enum>1207.</enum><header display-inline="yes-display-inline">State Trade and Export Promotion Grant Program</header>
<subsection commented="no" display-inline="no-display-inline" id="H5B5077EC601A4FA68DF3C9B8491D1AB3"><enum>(a)</enum><header display-inline="yes-display-inline">Definitions</header><text display-inline="yes-display-inline">In this section—</text>
<paragraph commented="no" display-inline="no-display-inline" id="HC463C37AE10B4E66B4DC8DA98EB95067"><enum>(1)</enum><text display-inline="yes-display-inline">the term <term>eligible small business concern</term> means a small business concern that—</text>
<subparagraph commented="no" display-inline="no-display-inline" id="HEB4D8A4D594040EBB4E0640D72A07AAB"><enum>(A)</enum><text display-inline="yes-display-inline">has been in business for not less than the 1-year period ending on the date on which assistance is provided using a grant under this section;</text></subparagraph>
<subparagraph commented="no" display-inline="no-display-inline" id="H294D2179CEBA4472BBB6B8B34B3215A2"><enum>(B)</enum><text display-inline="yes-display-inline">is operating profitably, based on operations in the United States;</text></subparagraph>
<subparagraph commented="no" display-inline="no-display-inline" id="HA42C7356D9734F1B9FE796B74940906E"><enum>(C)</enum><text display-inline="yes-display-inline">has demonstrated understanding of the costs associated with exporting and doing business with foreign purchasers, including the costs of freight forwarding, customs brokers, packing and shipping, as determined by the Associate Administrator; and</text></subparagraph>
<subparagraph commented="no" display-inline="no-display-inline" id="HF595F285A6BD4AF487A9A17184BC0994"><enum>(D)</enum><text display-inline="yes-display-inline">has in effect a strategic plan for exporting;</text></subparagraph></paragraph>
<paragraph commented="no" display-inline="no-display-inline" id="H83E51AA96C744CC19E911B986C0F9EDE"><enum>(2)</enum><text display-inline="yes-display-inline">the term <term>program</term> means the State Trade and Export Promotion Grant Program established under subsection (b);</text></paragraph>
<paragraph commented="no" display-inline="no-display-inline" id="HC605FBB06F9D4FB9AFA5B8E6C6584FD9"><enum>(3)</enum><text display-inline="yes-display-inline">the term <term>small business concern owned and controlled by women</term> has the meaning given that term in section 3 of the Small Business Act (15 U.S.C. 632);</text></paragraph>
<paragraph commented="no" display-inline="no-display-inline" id="H3CE4F5E955F34A50B8D5EA11FBC82A2D"><enum>(4)</enum><text display-inline="yes-display-inline">the term <term>socially and economically disadvantaged small business concern</term> has the meaning given that term in section 8(a)(4)(A) of the Small Business Act (15 U.S.C. 6537(a)(4)(A)); and</text></paragraph>
<paragraph commented="no" display-inline="no-display-inline" id="H5EC938A1DAF34BC79082E27A6A9320CD"><enum>(5)</enum><text display-inline="yes-display-inline">the term <term>State</term> means each of the several States, the District of Columbia, the Commonwealth of Puerto Rico, the Virgin Islands, Guam, and American Samoa.</text></paragraph></subsection>
<subsection commented="no" display-inline="no-display-inline" id="H52A8FAC0D07E4067B1204C26275A1348"><enum>(b)</enum><header display-inline="yes-display-inline">Establishment of program</header><text display-inline="yes-display-inline">The Associate Administrator shall establish a 3-year trade and export promotion pilot program to be known as the State Trade and Export Promotion Grant Program, to make grants to States to carry out export programs that assist eligible small business concerns in—</text>
<paragraph commented="no" display-inline="no-display-inline" id="H3001A16FFD5F483A98473912463846B9"><enum>(1)</enum><text display-inline="yes-display-inline">participation in a foreign trade mission;</text></paragraph>
<paragraph commented="no" display-inline="no-display-inline" id="HCFBC7D69DA824E7BAF9F1A760FB7769C"><enum>(2)</enum><text display-inline="yes-display-inline">a foreign market sales trip;</text></paragraph>
<paragraph commented="no" display-inline="no-display-inline" id="H6303694FAEAE4A339A876F740ECAF418"><enum>(3)</enum><text display-inline="yes-display-inline">a subscription to services provided by the Department of Commerce;</text></paragraph>
<paragraph commented="no" display-inline="no-display-inline" id="HBE909DE22FC84A5D8C34E51BCFBCAECD"><enum>(4)</enum><text display-inline="yes-display-inline">the payment of website translation fees;</text></paragraph>
<paragraph commented="no" display-inline="no-display-inline" id="H904FF79296DF47FAB0A4EBBBB0E104E5"><enum>(5)</enum><text display-inline="yes-display-inline">the design of international marketing media;</text></paragraph>
<paragraph commented="no" display-inline="no-display-inline" id="H7094B74399F7492DBAF8D16236A5FCD1"><enum>(6)</enum><text display-inline="yes-display-inline">a trade show exhibition;</text></paragraph>
<paragraph commented="no" display-inline="no-display-inline" id="H6EC688F9318E48AAAC50794A8E0D64FC"><enum>(7)</enum><text display-inline="yes-display-inline">participation in training workshops; or</text></paragraph>
<paragraph commented="no" display-inline="no-display-inline" id="HD4F5BA99F8534A27BE7F41A637218795"><enum>(8)</enum><text display-inline="yes-display-inline">any other export initiative determined appropriate by the Associate Administrator.</text></paragraph></subsection>
<subsection commented="no" display-inline="no-display-inline" id="HEB0B2D9A63D7403FA7A93ABB1A3BAC41"><enum>(c)</enum><header display-inline="yes-display-inline">Grants</header>
<paragraph commented="no" display-inline="no-display-inline" id="H2B7C4C7B996E40D490666C935346F4D0"><enum>(1)</enum><header display-inline="yes-display-inline">Joint review</header><text display-inline="yes-display-inline">In carrying out the program, the Associate Administrator may make a grant to a State to increase the number of eligible small business concerns in the State that export or to increase the value of the exports by eligible small business concerns in the State.</text></paragraph>
<paragraph commented="no" display-inline="no-display-inline" id="H0EED3A02653C4A7A8A050E39D10E43F2"><enum>(2)</enum><header display-inline="yes-display-inline">Considerations</header><text display-inline="yes-display-inline">In making grants under this section, the Associate Administrator may give priority to an application by a State that proposes a program that—</text>
<subparagraph commented="no" display-inline="no-display-inline" id="H0FE5F8CEDE254892824C9FD8D6F25822"><enum>(A)</enum><text display-inline="yes-display-inline">focuses on eligible small business concerns as part of an export promotion program;</text></subparagraph>
<subparagraph commented="no" display-inline="no-display-inline" id="H965A6D02F79C4B0AB70D84E31081665B"><enum>(B)</enum><text display-inline="yes-display-inline">demonstrates success in promoting exports by—</text>
<clause commented="no" display-inline="no-display-inline" id="HD7C0C6D9C2DC4EC28E40CFA315A8B19F"><enum>(i)</enum><text display-inline="yes-display-inline">socially and economically disadvantaged small business concerns;</text></clause>
<clause commented="no" display-inline="no-display-inline" id="H627BE6C611E5431DBD46A60D1EE6119D"><enum>(ii)</enum><text display-inline="yes-display-inline">small business concerns owned or controlled by women; and</text></clause>
<clause commented="no" display-inline="no-display-inline" id="H7D034AF1436B48D5B115BD249A9E1A73"><enum>(iii)</enum><text display-inline="yes-display-inline">rural small business concerns;</text></clause></subparagraph>
<subparagraph commented="no" display-inline="no-display-inline" id="HAC4E5D27699F4E6487970FE413E0E5B2"><enum>(C)</enum><text display-inline="yes-display-inline">promotes exports from a State that is not 1 of the 10 States with the highest percentage of exporters that are small business concerns, based upon the latest data available from the Department of Commerce; and</text></subparagraph>
<subparagraph commented="no" display-inline="no-display-inline" id="HDB4BF3B162194EB4A07AA3B4D9B89374"><enum>(D)</enum><text display-inline="yes-display-inline">promotes new-to-market export opportunities to the People’s Republic of China for eligible small business concerns in the United States.</text></subparagraph></paragraph>
<paragraph commented="no" display-inline="no-display-inline" id="HDB0B2E4BD0884637BB20F128657278D9"><enum>(3)</enum><header display-inline="yes-display-inline">Limitations</header>
<subparagraph commented="no" display-inline="no-display-inline" id="HFB70EDAB740A42898454BB0869B806F3"><enum>(A)</enum><header display-inline="yes-display-inline">Single application</header><text display-inline="yes-display-inline">A State may not submit more than 1 application for a grant under the program in any 1 fiscal year.</text></subparagraph>
<subparagraph commented="no" display-inline="no-display-inline" id="HEDC19E33F07149ACBE6D509D171FBAE3"><enum>(B)</enum><header display-inline="yes-display-inline">Proportion of amounts</header><text display-inline="yes-display-inline">The total value of grants under the program made during a fiscal year to the 10 States with the highest number of exporters that are small business concerns, based upon the latest data available from the Department of Commerce, shall be not more than 40 percent of the amounts appropriated for the program for that fiscal year.</text></subparagraph></paragraph>
<paragraph commented="no" display-inline="no-display-inline" id="H99E05B5A46B74EAE91975EEBE029CB3B"><enum>(4)</enum><header display-inline="yes-display-inline">Application</header><text display-inline="yes-display-inline">A State desiring a grant under the program shall submit an application at such time, in such manner, and accompanied by such information as the Associate Administrator may establish.</text></paragraph></subsection>
<subsection commented="no" display-inline="no-display-inline" id="HF7A8C81DF0D149059FE48C5AC38FC9CA"><enum>(d)</enum><header display-inline="yes-display-inline">Competitive basis</header><text display-inline="yes-display-inline">The Associate Administrator shall award grants under the program on a competitive basis.</text></subsection>
<subsection commented="no" display-inline="no-display-inline" id="H516022DB90F34CFFB9088473B2FAF48D"><enum>(e)</enum><header display-inline="yes-display-inline">Federal share</header><text display-inline="yes-display-inline">The Federal share of the cost of an export program carried out using a grant under the program shall be—</text>
<paragraph commented="no" display-inline="no-display-inline" id="HA9C7E307A76F44999BE6187073E807B1"><enum>(1)</enum><text display-inline="yes-display-inline">for a State that has a high export volume, as determined by the Associate Administrator, not more than 65 percent; and</text></paragraph>
<paragraph commented="no" display-inline="no-display-inline" id="H80FFE4BD083542CFBE147B75AFFA003B"><enum>(2)</enum><text display-inline="yes-display-inline">for a State that does not have a high export volume, as determined by the Associate Administrator, not more than 75 percent.</text></paragraph></subsection>
<subsection id="H4DEADB5172DF490FBBDAC4A93D2CE79C"><enum>(f)</enum><header>Non-Federal Share</header><text>The non-Federal share of the cost of an export program carried using a grant under the program shall be comprised of not less than 50 percent cash and not more than 50 percent of indirect costs and in-kind contributions, except that no such costs or contributions may be derived from funds from any other Federal program.</text></subsection>
<subsection commented="no" display-inline="no-display-inline" id="H72463471F00040B5B3869239AAADC4EE"><enum>(g)</enum><header display-inline="yes-display-inline">Reports</header>
<paragraph commented="no" display-inline="no-display-inline" id="H7B0E81AF12FA4CB2B6EF4B7298C55373"><enum>(1)</enum><header display-inline="yes-display-inline">Initial report</header><text display-inline="yes-display-inline">Not later than 120 days after the date of enactment of this Act, the Associate Administrator shall submit to the Committee on Small Business and Entrepreneurship of the Senate and the Committee on Small Business of the House of Representatives a report, which shall include—</text>
<subparagraph commented="no" display-inline="no-display-inline" id="HB3C0E0BD02884D83A2B3450D871B7AE5"><enum>(A)</enum><text display-inline="yes-display-inline">a description of the structure of and procedures for the program;</text></subparagraph>
<subparagraph commented="no" display-inline="no-display-inline" id="H4BA55C8949CD40A6BBBA81961D468028"><enum>(B)</enum><text display-inline="yes-display-inline">a management plan for the program; and</text></subparagraph>
<subparagraph commented="no" display-inline="no-display-inline" id="H84329DED7C8949ACBA0DA0C3AA53DAA1"><enum>(C)</enum><text display-inline="yes-display-inline">a description of the merit-based review process to be used in the program.</text></subparagraph></paragraph>
<paragraph commented="no" display-inline="no-display-inline" id="HD4240FE270F04EE4B6360CA7B7604A76"><enum>(2)</enum><header display-inline="yes-display-inline">Annual reports</header><text display-inline="yes-display-inline">The Associate Administrator shall submit an annual report to the Committee on Small Business and Entrepreneurship of the Senate and the Committee on Small Business of the House of Representatives regarding the program, which shall include—</text>
<subparagraph commented="no" display-inline="no-display-inline" id="HEDCAEF40FFC44CFB8F6ED8E4D77ADDC3"><enum>(A)</enum><text display-inline="yes-display-inline">the number and amount of grants made under the program during the preceding year;</text></subparagraph>
<subparagraph commented="no" display-inline="no-display-inline" id="H859C09AE1E1B401EB99302215959038C"><enum>(B)</enum><text display-inline="yes-display-inline">a list of the States receiving a grant under the program during the preceding year, including the activities being performed with grant; and</text></subparagraph>
<subparagraph commented="no" display-inline="no-display-inline" id="HB6C2406C1193478AA62A4FBEA30C3D2F"><enum>(C)</enum><text display-inline="yes-display-inline">the effect of each grant on exports by eligible small business concerns in the State receiving the grant.</text></subparagraph></paragraph></subsection>
<subsection commented="no" display-inline="no-display-inline" id="H20D724B9DDC7465F9E9FB91479984009"><enum>(h)</enum><header display-inline="yes-display-inline">Reviews by inspector general</header>
<paragraph commented="no" display-inline="no-display-inline" id="H3721E13887A4455EB31EE17473494863"><enum>(1)</enum><header display-inline="yes-display-inline">In general</header><text display-inline="yes-display-inline">The Inspector General of the Administration shall conduct a review of—</text>
<subparagraph commented="no" display-inline="no-display-inline" id="H8F25A0EB5B9E47489E1EAE96EE80C445"><enum>(A)</enum><text display-inline="yes-display-inline">the extent to which recipients of grants under the program are measuring the performance of the activities being conducted and the results of the measurements; and</text></subparagraph>
<subparagraph commented="no" display-inline="no-display-inline" id="H7F958BAE7FD647C2943D68A304077654"><enum>(B)</enum><text display-inline="yes-display-inline">the overall management and effectiveness of the program.</text></subparagraph></paragraph>
<paragraph commented="no" display-inline="no-display-inline" id="HBF849018BBD240089140AC80D254A26F"><enum>(2)</enum><header display-inline="yes-display-inline">Report</header><text display-inline="yes-display-inline">Not later than September 30, 2012, the Inspector General of the Administration shall submit to the Committee on Small Business and Entrepreneurship of the Senate and the Committee on Small Business of the House of Representatives a report regarding the review conducted under paragraph (1).</text></paragraph></subsection>
<subsection commented="no" display-inline="no-display-inline" id="H10E44599D03E426D8452AF18A9A4D72C"><enum>(i)</enum><header display-inline="yes-display-inline">Authorization of appropriations</header><text display-inline="yes-display-inline">There is authorized to be appropriated to carry out the program $30,000,000 for each of fiscal years 2011, 2012, and 2013.</text></subsection>
<subsection commented="no" display-inline="no-display-inline" id="H00FA388F6E184B1CB17E4135DE3F4600"><enum>(j)</enum><header display-inline="yes-display-inline">Termination</header><text display-inline="yes-display-inline">The authority to carry out the program shall terminate 3 years after the date on which the Associate Administrator establishes the program.</text></subsection></section>
<section commented="no" display-inline="no-display-inline" id="H47D088199BDD463E80D66F59D1724D26" section-type="subsequent-section"><enum>1208.</enum><header display-inline="yes-display-inline">Rural export promotion</header><text display-inline="no-display-inline">Not later than 6 months after the date of enactment of this Act, the Administrator, in consultation with the Secretary of Agriculture and the Secretary of Commerce, shall submit to the Committee on Small Business and Entrepreneurship of the Senate and the Committee on Small Business of the House of Representatives a report that contains—</text>
<paragraph commented="no" display-inline="no-display-inline" id="H6DED24AF5AAD43619996E8AA355FA840"><enum>(1)</enum><text display-inline="yes-display-inline">a description of each program of the Administration that promotes exports by rural small business concerns, including—</text>
<subparagraph commented="no" display-inline="no-display-inline" id="H9CF907FD64A4479B9880AC1152171E14"><enum>(A)</enum><text display-inline="yes-display-inline">the number of rural small business concerns served by the program;</text></subparagraph>
<subparagraph commented="no" display-inline="no-display-inline" id="H1189CD3A3B834C4CACBFCF8EEA6FAE35"><enum>(B)</enum><text display-inline="yes-display-inline">the change, if any, in the number of rural small business concerns as a result of participation in the program during the 10-year period ending on the date of enactment of this Act;</text></subparagraph>
<subparagraph commented="no" display-inline="no-display-inline" id="HD96EDEAFE65B40A483E1EA6F0D217463"><enum>(C)</enum><text display-inline="yes-display-inline">the volume of exports by rural small business concerns that participate in the program; and</text></subparagraph>
<subparagraph commented="no" display-inline="no-display-inline" id="H6001E5BA332A40BEBCF4081D586F548F"><enum>(D)</enum><text display-inline="yes-display-inline">the change, if any, in the volume of exports by rural small businesses that participate in the program during the 10-year period ending on the date of enactment of this Act;</text></subparagraph></paragraph>
<paragraph commented="no" display-inline="no-display-inline" id="H025492E8637745A7A744BF7C1FF1A763"><enum>(2)</enum><text display-inline="yes-display-inline">a description of the coordination between programs of the Administration and other Federal programs that promote exports by rural small business concerns;</text></paragraph>
<paragraph commented="no" display-inline="no-display-inline" id="H2AE589C180AD41C4B3ACE6ECA5CDF2A3"><enum>(3)</enum><text display-inline="yes-display-inline">recommendations, if any, for improving the coordination described in paragraph (2);</text></paragraph>
<paragraph commented="no" display-inline="no-display-inline" id="H5C82AE7FC76944F7B0BCB12914F27147"><enum>(4)</enum><text display-inline="yes-display-inline">a description of any plan by the Administration to market the international trade financing programs of the Administration through lenders that—</text>
<subparagraph commented="no" display-inline="no-display-inline" id="HE530AA94E7B04B31886CBB0F6A389FAE"><enum>(A)</enum><text display-inline="yes-display-inline">serve rural small business concerns; and</text></subparagraph>
<subparagraph commented="no" display-inline="no-display-inline" id="H9A6EF408832F4438BAF208C9FBA5D7C8"><enum>(B)</enum><text display-inline="yes-display-inline">are associated with financing programs of the Department of Agriculture;</text></subparagraph></paragraph>
<paragraph commented="no" display-inline="no-display-inline" id="H548D47A0CE524F30814C063736E49C75"><enum>(5)</enum><text display-inline="yes-display-inline">recommendations, if any, for improving coordination between the counseling programs and export financing programs of the Administration, in order to increase the volume of exports by rural small business concerns; and</text></paragraph>
<paragraph commented="no" display-inline="no-display-inline" id="H3E547A16E9AE4793AF9BE3795E51AB6F"><enum>(6)</enum><text display-inline="yes-display-inline">any additional information the Administrator determines is necessary.</text></paragraph></section>
<section commented="no" display-inline="no-display-inline" id="H27AF87171DEC44F3A510DAB96945E890" section-type="subsequent-section"><enum>1209.</enum><header display-inline="yes-display-inline">International trade cooperation by small business development centers</header><text display-inline="no-display-inline">Section 21(a) of the Small Business Act (15 U.S.C. 648(a)) is amended—</text>
<paragraph commented="no" display-inline="no-display-inline" id="H105F0E1176D24A8A9D3455AD6CA134C3"><enum>(1)</enum><text display-inline="yes-display-inline">by striking <quote>(2) The Small Business Development Centers</quote> and inserting the following:</text>
<quoted-block changed="added" display-inline="no-display-inline" id="H417E0ACEB5D04E8D97843C7B0EA52982" reported-display-style="italic" style="OLC">
<paragraph commented="no" display-inline="no-display-inline" id="H68A8B071F191474FA8BE02F29A3DE59E"><enum>(2)</enum><header display-inline="yes-display-inline">Cooperation to provide international trade services</header>
<subparagraph commented="no" display-inline="no-display-inline" id="H6375ECF9398940B7BF8DD05EBB65EF58"><enum>(A)</enum><header display-inline="yes-display-inline">Information and services</header><text display-inline="yes-display-inline">The small business development centers</text></subparagraph></paragraph><after-quoted-block>; and</after-quoted-block></quoted-block></paragraph>
<paragraph commented="no" display-inline="no-display-inline" id="H46FE3C1E5CFC412198F30D22CD88E1D9"><enum>(2)</enum><text display-inline="yes-display-inline">in paragraph (2)—</text>
<subparagraph commented="no" display-inline="no-display-inline" id="H92647963980041578A315A311589811C"><enum>(A)</enum><text display-inline="yes-display-inline">in subparagraph (A), as so designated, by inserting <quote>(including State trade agencies),</quote> after <quote>local agencies</quote>; and</text></subparagraph>
<subparagraph commented="no" display-inline="no-display-inline" id="HDD817556F9D54F1685022EF5D8694129"><enum>(B)</enum><text display-inline="yes-display-inline">by adding at the end the following:</text>
<quoted-block changed="added" display-inline="no-display-inline" id="H1A2451AEE62348C6A53617AD5B567513" reported-display-style="italic" style="OLC">
<subparagraph commented="no" display-inline="no-display-inline" id="H6E7BA9F23ADB44EF8102FB976E48A0D4"><enum>(B)</enum><header display-inline="yes-display-inline">Cooperation with State trade agencies and Export Assistance Centers</header><text display-inline="yes-display-inline">A small business development center that counsels a small business concern on issues relating to international trade shall—</text>
<clause commented="no" display-inline="no-display-inline" id="H19C8F4B34E68416F86D0624222E264F6"><enum>(i)</enum><text display-inline="yes-display-inline">consult with State trade agencies and Export Assistance Centers to provide appropriate services to the small business concern; and</text></clause>
<clause commented="no" display-inline="no-display-inline" id="HFE0C5F9D0FE245D79E01B5F3439E69B3"><enum>(ii)</enum><text display-inline="yes-display-inline">as necessary, refer the small business concern to a State trade agency or an Export Assistance Center for further counseling or assistance.</text></clause></subparagraph>
<subparagraph commented="no" display-inline="no-display-inline" id="HF3F1D6B27D484F9AB2BC7521E03A4937"><enum>(C)</enum><header display-inline="yes-display-inline">Definition</header><text display-inline="yes-display-inline">In this paragraph, the term <term>Export Assistance Center</term> has the same meaning as in section 22.</text></subparagraph><after-quoted-block>.</after-quoted-block></quoted-block></subparagraph></paragraph></section></subtitle>
<subtitle id="H451B16BA10BA471FB8035BB1E2D4ABDC"><enum>C</enum><header>Small business contracting</header>
<part id="HA78B4C60F1944D1F920EAC51DE816274"><enum>I</enum><header>Contract bundling</header>
<section id="H5764DF23D0B34D10819814863F20A6EE"><enum>1311.</enum><header>Small Business Act</header><text display-inline="no-display-inline">Section 3 of the Small Business Act (15 U.S.C. 632), as amended by section 1202, is amended by adding at the end the following:</text>
<quoted-block changed="added" display-inline="no-display-inline" id="HE2C6228ED0554BAF825A0A26B249AB33" reported-display-style="italic" style="OLC">
<subsection id="HCB95A81338724B77B8306CE34F021E0C"><enum>(v)</enum><header>Multiple award contract</header><text>In this Act, the term <term>multiple award contract</term> means—</text>
<paragraph id="H66374A0F4CD042809955E958FE469824"><enum>(1)</enum><text>a multiple award task order contract or delivery order contract that is entered into under the authority of sections 303H through 303K of the Federal Property and Administrative Services Act of 1949 (41 U.S.C. 253h through 253k); and</text></paragraph>
<paragraph id="H8321ECD6287E4DEAA8CAC52ED4A49B24"><enum>(2)</enum><text>any other indefinite delivery, indefinite quantity contract that is entered into by the head of a Federal agency with 2 or more sources pursuant to the same solicitation.</text></paragraph></subsection><after-quoted-block>.</after-quoted-block></quoted-block></section>
<section id="H1470723C8A694F20B4694D5C07908E2C"><enum>1312.</enum><header>Leadership and oversight</header>
<subsection id="H682C8F98195A424AB90C12AE8D6447AC"><enum>(a)</enum><header>In general</header><text display-inline="yes-display-inline">Section 15 of the Small Business Act (15 U.S.C. 644) is amended by adding at the end the following:</text>
<quoted-block changed="added" display-inline="no-display-inline" id="H82BA90DABD114F1C9DE92CF345FBEDF1" reported-display-style="italic" style="OLC">
<subsection id="H4196CC5FFCCC4B56B25B1C782C70627F"><enum>(q)</enum><header>Bundling Accountability Measures</header>
<paragraph id="H007915D354B74A41943A8625EF18719A"><enum>(1)</enum><header>Teaming requirements</header><text display-inline="yes-display-inline">Each Federal agency shall include in each solicitation for any multiple award contract above the substantial bundling threshold of the Federal agency a provision soliciting bids from any responsible source, including responsible small business concerns and teams or joint ventures of small business concerns.</text></paragraph>
<paragraph id="H7563DAA9DDDA4095BA3D5F2477027B37"><enum>(2)</enum><header>Policies on Reduction of Contract Bundling</header>
<subparagraph id="H176DF8D9AA6C4DC5B89E9057CC79D2D0"><enum>(A)</enum><header>In general</header><text display-inline="yes-display-inline">Not later than 1 year after the date of enactment of this subsection, the Federal Acquisition Regulatory Council established under section 25(a) of the Office of Federal Procurement Policy Act (41 U.S.C. 4219(a)) shall amend the Federal Acquisition Regulation issued under section 25 of such Act to—</text>
<clause id="H1E45B9416F344D98B305DACC2B371DE9"><enum>(i)</enum><text>establish a Government-wide policy regarding contract bundling, including regarding the solicitation of teaming and joint ventures under paragraph (1); and</text></clause>
<clause id="HF38AD5B5F53846CCB8DF11185CE592C0"><enum>(ii)</enum><text>require that the policy established under clause (i) be published on the website of each Federal agency.</text></clause></subparagraph>
<subparagraph id="H8AAD0187E119490895457DFBD165A13E"><enum>(B)</enum><header>Rationale for contract bundling</header><text display-inline="yes-display-inline">Not later than 30 days after the date on which the head of a Federal agency submits data certifications to the Administrator for Federal Procurement Policy, the head of the Federal agency shall publish on the website of the Federal agency a list and rationale for any bundled contract for which the Federal agency solicited bids or that was awarded by the Federal agency.</text></subparagraph></paragraph>
<paragraph commented="no" display-inline="no-display-inline" id="H1B0D90D5FB634223A94CF4918AFCC1F3"><enum>(3)</enum><header display-inline="yes-display-inline">Reporting</header><text>Not later than 90 days after the date of enactment of this subsection, and every 3 years thereafter, the Administrator shall submit to the Committee on Small Business and Entrepreneurship of the Senate and the Committee on Small Business of the House of Representatives a report regarding procurement center representatives and commercial market representatives, which shall—</text>
<subparagraph commented="no" display-inline="no-display-inline" id="HB5D7E24B7EAD4C11B437DE73A214DAE2"><enum>(A)</enum><text>identify each area for which the Administration has assigned a procurement center representative or a commercial market representative;</text></subparagraph>
<subparagraph commented="no" display-inline="no-display-inline" id="H108A18BB470F4BA291D88845572132E5"><enum>(B)</enum><text>explain why the Administration selected the areas identified under subparagraph (A); and</text></subparagraph>
<subparagraph commented="no" display-inline="no-display-inline" id="HED0D60DD98CA499ABB2AD933C79E40F9"><enum>(C)</enum><text>describe the activities performed by procurement center representatives and commercial market representatives.</text></subparagraph></paragraph></subsection><after-quoted-block>.</after-quoted-block></quoted-block></subsection>
<subsection id="H9C05668C9D374996BB6C1C5850ACEAF8"><enum>(b)</enum><header>Technical correction</header><text>Section 15(g) of the Small Business Act (15 U.S.C. 644(g)) is amended by striking <quote>Administrator of the Office of Federal Procurement Policy</quote> each place it appears and inserting <quote>Administrator for Federal Procurement Policy</quote>.</text></subsection>
<subsection id="H315329A2C84E4AC5815EE4A564E25BE2"><enum>(c)</enum><header>Report</header>
<paragraph id="H984F6EA0DEB04559B3CD7CFBA364073B"><enum>(1)</enum><header>In general</header><text>Not later than 180 days after the date of enactment of this Act, the Comptroller General of the United States shall submit to Congress a report regarding the procurement center representative program of the Administration.</text></paragraph>
<paragraph id="H0C8827BCDFC64F998C88E56BDE687C6B"><enum>(2)</enum><header>Contents</header><text>The report submitted under paragraph (1) shall—</text>
<subparagraph id="H8B620A12213C4FEA9A8B93A93A71D89B"><enum>(A)</enum><text>address ways to improve the effectiveness of the procurement center representative program in helping small business concerns obtain Federal contracts;</text></subparagraph>
<subparagraph id="H7AD159999F3A4467BE2CE31FCE41025E"><enum>(B)</enum><text>evaluate the effectiveness of procurement center representatives and commercial marketing representatives; and</text></subparagraph>
<subparagraph id="HC19A7000C759402F819EFCEF7FD18663"><enum>(C)</enum><text>include recommendations, if any, on how to improve the procurement center representative program.</text></subparagraph></paragraph></subsection>
<subsection id="H2BCFBE3F0E024B63B64DD6D6DCEAD43F"><enum>(d)</enum><header>Electronic procurement center representative</header>
<paragraph id="H1D425479D8AD4449A54FE75C696C16CA"><enum>(1)</enum><header>In general</header><text>Not later than 1 year after the date of enactment of this Act, the Administrator shall implement a 3-year pilot electronic procurement center representative program.</text></paragraph>
<paragraph id="HE3FEF2BF51A04FAE8EA26C7F49612F17"><enum>(2)</enum><header>Report</header><text>Not later than 30 days after the pilot program under paragraph (1) ends, the Comptroller General of the United States shall submit to the Committee on Small Business and Entrepreneurship of the Senate and the Committee on Small Business of the House of Representatives a report regarding the pilot program.</text></paragraph></subsection></section>
<section id="H0EB402AF77B74463AC4EEDA7F0F160D2"><enum>1313.</enum><header>Consolidation of contract requirements</header>
<subsection id="H4FA52B48388B464EBE38052480829118"><enum>(a)</enum><header>In general</header><text display-inline="yes-display-inline">The Small Business Act (15 U.S.C. 631 et seq.) is amended—</text>
<paragraph id="HA08E5450CBEA4EA7B3A13B31894F68B2"><enum>(1)</enum><text display-inline="yes-display-inline">by redesignating section 44 as section 45; and</text></paragraph>
<paragraph commented="no" display-inline="no-display-inline" id="H525BE08330BC42488799B31013B876F2"><enum>(2)</enum><text display-inline="yes-display-inline">by inserting after section 43 the following:</text>
<quoted-block changed="added" display-inline="no-display-inline" id="HB4168964AD414810998E2684FA53F6CF" reported-display-style="italic" style="OLC">
<section id="H6192D911008448FD942AE2769966A76E"><enum>44.</enum><header>Consolidation of contract requirements</header>
<subsection id="HE3A1E7A30656467288DD1A5034AF54BD"><enum>(a)</enum><header>Definitions</header><text>In this section—</text>
<paragraph id="HB82BFB50172B425CAA506D541443E2B5"><enum>(1)</enum><text>the term <term>Chief Acquisition Officer</term> means the employee of a Federal agency designated as the Chief Acquisition Officer for the Federal agency under section 16(a) of the Office of Federal Procurement Policy Act (41 U.S.C. 414(a));</text></paragraph>
<paragraph id="H776EB2744AB34357AADD06D6218157DB"><enum>(2)</enum><text>the term <term>consolidation of contract requirements</term>, with respect to contract requirements of a Federal agency, means a use of a solicitation to obtain offers for a single contract or a multiple award contract to satisfy 2 or more requirements of the Federal agency for goods or services that have been provided to or performed for the Federal agency under 2 or more separate contracts lower in cost than the total cost of the contract for which the offers are solicited; and</text></paragraph>
<paragraph id="HDDEEBC4AF6A74493876ED60E375FF382"><enum>(3)</enum><text>the term <term>senior procurement executive</term> means an official designated under section 16(c) of the Office of Federal Procurement Policy Act (41 U.S.C. 414(c)) as the senior procurement executive for a Federal agency.</text></paragraph></subsection>
<subsection id="HDBF3EAA9C4434FA598F4169B99F94357"><enum>(b)</enum><header>Policy</header><text>The head of each Federal agency shall ensure that the decisions made by the Federal agency regarding consolidation of contract requirements of the Federal agency are made with a view to providing small business concerns with appropriate opportunities to participate as prime contractors and subcontractors in the procurements of the Federal agency.</text></subsection>
<subsection id="H20388210C62E4F2186BD917CB0D8D8B9"><enum>(c)</enum><header>Limitation on use of acquisition strategies involving consolidation</header>
<paragraph id="HDCD3BCA4E21D4281A5E4533BC6ED8C95"><enum>(1)</enum><header>In general</header><text>Subject to paragraph (4), the head of a Federal agency may not carry out an acquisition strategy that includes a consolidation of contract requirements of the Federal agency with a total value of more than $2,000,000, unless the senior procurement executive or Chief Acquisition Officer for the Federal agency, before carrying out the acquisition strategy—</text>
<subparagraph id="H69B712F2DE7D4CA48C629905B774131C"><enum>(A)</enum><text>conducts market research;</text></subparagraph>
<subparagraph id="H996C3C4F756148789C37C73F89131C29"><enum>(B)</enum><text>identifies any alternative contracting approaches that would involve a lesser degree of consolidation of contract requirements;</text></subparagraph>
<subparagraph id="HE926E62A92574FDD8D4F249ECFFAC4CC"><enum>(C)</enum><text>makes a written determination that the consolidation of contract requirements is necessary and justified;</text></subparagraph>
<subparagraph id="H212B7B01B11C4D9D8D982CFD2269E808"><enum>(D)</enum><text>identifies any negative impact by the acquisition strategy on contracting with small business concerns; and</text></subparagraph>
<subparagraph id="H85EE7C17201B42829D52592D38CB7DB3"><enum>(E)</enum><text>certifies to the head of the Federal agency that steps will be taken to include small business concerns in the acquisition strategy.</text></subparagraph></paragraph>
<paragraph id="HA18987113DBD446BABF849752650997F"><enum>(2)</enum><header>Determination that consolidation is necessary and justified</header>
<subparagraph id="HB872D7FB005E4678817B29D79A947523"><enum>(A)</enum><header>In general</header><text>A senior procurement executive or Chief Acquisition Officer may determine that an acquisition strategy involving a consolidation of contract requirements is necessary and justified for the purposes of paragraph (1)(C) if the benefits of the acquisition strategy substantially exceed the benefits of each of the possible alternative contracting approaches identified under paragraph (1)(B).</text></subparagraph>
<subparagraph id="HF40DD9221B9F4288BB54DD5315138532"><enum>(B)</enum><header>Savings in administrative or personnel costs</header><text>For purposes of subparagraph (A), savings in administrative or personnel costs alone do not constitute a sufficient justification for a consolidation of contract requirements in a procurement unless the expected total amount of the cost savings, as determined by the senior procurement executive or Chief Acquisition Officer, is expected to be substantial in relation to the total cost of the procurement.</text></subparagraph></paragraph>
<paragraph id="H98AA32B480A64255A06A0FD32EBEF8A0"><enum>(3)</enum><header>Benefits to be considered</header><text>The benefits considered for the purposes of paragraphs (1) and (2) may include cost and, regardless of whether quantifiable in dollar amounts—</text>
<subparagraph id="H25894E54833C46C9A694C87C7412A23B"><enum>(A)</enum><text>quality;</text></subparagraph>
<subparagraph id="H515A46AA0C08446288297AC0C3AAAAF2"><enum>(B)</enum><text>acquisition cycle;</text></subparagraph>
<subparagraph id="HD25F1F6D6F964C7C81B1C0D22294186B"><enum>(C)</enum><text>terms and conditions; and</text></subparagraph>
<subparagraph id="H6148BDFCBD664CB387B7A0238D2C28B7"><enum>(D)</enum><text>any other benefit.</text></subparagraph></paragraph>
<paragraph commented="no" display-inline="no-display-inline" id="H8697F041A9314C848A6A49EEE3DCA713"><enum>(4)</enum><header display-inline="yes-display-inline">Department of Defense</header>
<subparagraph commented="no" display-inline="no-display-inline" id="H604C5082CF354DC2AF9A472C03C176E9"><enum>(A)</enum><header display-inline="yes-display-inline">In general</header><text display-inline="yes-display-inline">The Department of Defense and each military department shall comply with this section until after the date described in subparagraph (C).</text></subparagraph>
<subparagraph commented="no" display-inline="no-display-inline" id="HB7C59CD22AC44958A575F8AD506D4CDE"><enum>(B)</enum><header>Rule</header><text display-inline="yes-display-inline">After the date described in subparagraph (C), contracting by the Department of Defense or a military department shall be conducted in accordance with section 2382 of title 10, United States Code.</text></subparagraph>
<subparagraph commented="no" display-inline="no-display-inline" id="HA0C6B0DFB95848259919DAD4921CDD02"><enum>(C)</enum><header>Date</header><text display-inline="yes-display-inline">The date described in this subparagraph is the date on which the Administrator determines the Department of Defense or a military department is in compliance with the Government-wide contracting goals under section 15.</text></subparagraph></paragraph></subsection></section><after-quoted-block>.</after-quoted-block></quoted-block></paragraph></subsection>
<subsection commented="no" display-inline="no-display-inline" id="H774D9DEAA8144AA4BBF7E2BAEE42CBE7"><enum>(b)</enum><header>Technical and conforming amendment</header><text>Section 2382(b)(1) of title 10, United States Code, is amended by striking <quote>An official</quote> and inserting <quote>Subject to section 44(c)(4), an official</quote>.</text></subsection></section>
<section id="HBD6851977B354D5AA1D90B5CD8970AB9"><enum>1314.</enum><header>Small business teams pilot program</header>
<subsection id="HB7375FF49BFB439B92160F3E0C7FBDEA"><enum>(a)</enum><header>Definitions</header><text>In this section—</text>
<paragraph id="HB3ADFF03CEB840D2A57F2AEDE1988D6C"><enum>(1)</enum><text>the term <term>Pilot Program</term> means the Small Business Teaming Pilot Program established under subsection (b); and</text></paragraph>
<paragraph id="H5C75686D456F4F2AA948B63E5DE7E114"><enum>(2)</enum><text>the term <term>eligible organization</term> means a well-established national organization for small business concerns with the capacity to provide assistance to small business concerns (which may be provided with the assistance of the Administrator) relating to—</text>
<subparagraph id="HAE0B78BBB8104122BA33F242E501B988"><enum>(A)</enum><text>customer relations and outreach;</text></subparagraph>
<subparagraph id="H80A028FE0FD94A80A3D83E6B546EB141"><enum>(B)</enum><text>team relations and outreach; and</text></subparagraph>
<subparagraph id="HD2099903758D443D822247060E34BC06"><enum>(C)</enum><text>performance measurement and quality assurance.</text></subparagraph></paragraph></subsection>
<subsection id="H0550ED7CEC5B4166B33BEC47C41CC130"><enum>(b)</enum><header>Establishment</header><text>The Administrator shall establish a Small Business Teaming Pilot Program for teaming and joint ventures involving small business concerns.</text></subsection>
<subsection id="HFC79B38C5F494BCBA57799E7A9C089AD"><enum>(c)</enum><header>Grants</header><text>Under the Pilot Program, the Administrator may make grants to eligible organizations to provide assistance and guidance to teams of small business concerns seeking to compete for larger procurement contracts.</text></subsection>
<subsection id="H984EBEFDC00B450EB2AA358031496187"><enum>(d)</enum><header>Contracting opportunities</header><text>The Administrator shall work with eligible organizations receiving a grant under the Pilot Program to recommend appropriate contracting opportunities for teams or joint ventures of small business concerns.</text></subsection>
<subsection id="H3DA92716891C4D9B91C4DE76093D7FDB"><enum>(e)</enum><header>Report</header><text>Not later than 1 year before the date on which the authority to carry out the Pilot Program terminates under subsection (f), the Administrator shall submit to the Committee on Small Business and Entrepreneurship of the Senate and the Committee on Small Business of the House of Representatives a report on the effectiveness of the Pilot Program.</text></subsection>
<subsection id="H1552C71435ED423A8B416B78E7627177"><enum>(f)</enum><header>Termination</header><text>The authority to carry out the Pilot Program shall terminate 5 years after the date of enactment of this Act.</text></subsection>
<subsection id="H219148CBA12440FEAC373654962A6390"><enum>(g)</enum><header>Authorization of appropriations</header><text>There are authorized to be appropriated for grants under subsection (c) $5,000,000 for each of fiscal years 2010 through 2015.</text></subsection></section></part>
<part id="H49CC597A81054C87889910FCF3369863"><enum>II</enum><header>Subcontracting integrity</header>
<section commented="no" id="H0012D42330CC488495E9EF6E0143E848"><enum>1321.</enum><header>Subcontracting misrepresentations</header><text display-inline="no-display-inline">Not later than 1 year after the date of enactment of this Act, the Administrator, in consultation with the Administrator for Federal Procurement Policy, shall promulgate regulations relating to, and the Federal Acquisition Regulatory Council established under section 25(a) of the Office of Federal Procurement Policy Act (41 U.S.C. 421(a)) shall amend the Federal Acquisition Regulation issued under section 25 of such Act to establish a policy on, subcontracting compliance relating to small business concerns, including assignment of compliance responsibilities between contracting offices, small business offices, and program offices and periodic oversight and review activities.</text></section>
<section id="H08DDF1ECA67C48FB9D518A80D06CCAA3"><enum>1322.</enum><header>Small business subcontracting improvements</header><text display-inline="no-display-inline">Section 8(d)(6) of the Small Business Act (15 U.S.C. 637(d)(6)) is amended—</text>
<paragraph id="HB04411C1180542B8ADA83F129E336B90"><enum>(1)</enum><text>in subparagraph (E), by striking <quote>and</quote> at the end;</text></paragraph>
<paragraph id="H712FE7C578D64A3680941E1613D797B4"><enum>(2)</enum><text>in subparagraph (F), by striking the period at the end and inserting <quote>; and</quote>; and</text></paragraph>
<paragraph commented="no" id="H1962F9179CB34BAA92F48D4310645572"><enum>(3)</enum><text>by adding at the end, the following:</text>
<quoted-block changed="added" id="HBBA8A14F2613428EB12CF332628E8C5E" reported-display-style="italic" style="OLC">
<subparagraph commented="no" id="HB888906B8B2E4EF2A05A3387A64B8FEE"><enum>(G)</enum><text>a representation that the offeror or bidder will—</text>
<clause commented="no" id="HAE503C1F1D1A4BB495174429DA2488C9"><enum>(i)</enum><text>make a good faith effort to acquire articles, equipment, supplies, services, or materials, or obtain the performance of construction work from the small business concerns used in preparing and submitting to the contracting agency the bid or proposal, in the same amount and quality used in preparing and submitting the bid or proposal; and</text></clause>
<clause commented="no" id="H5577887844284D6194122B396CEED867"><enum>(ii)</enum><text>provide to the contracting officer a written explanation if the offeror or bidder fails to acquire articles, equipment, supplies, services, or materials or obtain the performance of construction work as described in clause (i).</text></clause></subparagraph><after-quoted-block>.</after-quoted-block></quoted-block></paragraph></section></part>
<part id="H08C36A22712B42D19E45C5C40E1C5EF5"><enum>III</enum><header>Acquisition process</header>
<section id="H475C58E672AF4E709C7FCE8AB3E34E68"><enum>1331.</enum><header>Reservation of prime contract awards for small businesses</header><text display-inline="no-display-inline">Section 15 of the Small Business Act (15 U.S.C. 644), as amended by this Act, is amended by adding at the end the following:</text>
<quoted-block changed="added" display-inline="no-display-inline" id="H07C092C86DF54512AA532BC510AA18BC" reported-display-style="italic" style="OLC">
<subsection id="HEA6FA9DD7EEF4FEAA22764E1E4BE1E52"><enum>(r)</enum><header>Multiple award contracts</header><text>Not later than 1 year after the date of enactment of this subsection, the Administrator for Federal Procurement Policy and the Administrator, in consultation with the Administrator of General Services, shall, by regulation, establish guidance under which Federal agencies may, at their discretion—</text>
<paragraph id="H3B30EEE9A09D4B268EBC3B74F48656E0"><enum>(1)</enum><text>set aside part or parts of a multiple award contract for small business concerns, including the subcategories of small business concerns identified in subsection (g)(2);</text></paragraph>
<paragraph id="H89C282B20F7A4C849C00D3485A8FCE85"><enum>(2)</enum><text>notwithstanding the fair opportunity requirements under section 2304c(b) of title 10, United States Code, and section 303J(b) of the Federal Property and Administrative Services Act of 1949 (41 U.S.C. 253j(b)), set aside orders placed against multiple award contracts for small business concerns, including the subcategories of small business concerns identified in subsection (g)(2); and</text></paragraph>
<paragraph id="H7E84723EBD6141F0AA90513584CC8988"><enum>(3)</enum><text>reserve 1 or more contract awards for small business concerns under full and open multiple award procurements, including the subcategories of small business concerns identified in subsection (g)(2).</text></paragraph></subsection><after-quoted-block>.</after-quoted-block></quoted-block></section>
<section id="H68DDEE16442B4CF8BAB51C849CF733B4"><enum>1332.</enum><header>Micro-purchase guidelines</header><text display-inline="no-display-inline">Not later than 1 year after the date of enactment of this Act, the Director of the Office of Management and Budget, in coordination with the Administrator of General Services, shall issue guidelines regarding the analysis of purchase card expenditures to identify opportunities for achieving and accurately measuring fair participation of small business concerns in purchases in an amount not in excess of the micro-purchase threshold, as defined in section 32 of the Office of Federal Procurement Policy Act (41 U.S.C. 428) (in this section referred to as <quote>micro-purchases</quote>), consistent with the national policy on small business participation in Federal procurements set forth in sections 2(a) and 15(g) of the Small Business Act (15 U.S.C. 631(a) and 644(g)), and dissemination of best practices for participation of small business concerns in micro-purchases.</text></section>
<section id="HD1A8E9D875B84D25B16EB7D37201C7D9"><enum>1333.</enum><header>Agency accountability</header><text display-inline="no-display-inline">Section 15(g)(2) of the <act-name parsable-cite="SBA">Small Business Act</act-name> (15 U.S.C. 644(g)(2)) is amended—</text>
<paragraph id="HCEC26832671146BF9018D3556061BB36"><enum>(1)</enum><text>by inserting <quote>(A)</quote> after <quote>(2)</quote>;</text></paragraph>
<paragraph id="H4C5822A94E144C369B5CB41B0BD860CF"><enum>(2)</enum><text>by striking “Goals established” and inserting the following:</text>
<quoted-block changed="added" id="HC6B5A4C03605482C9C16F4107A41A327" reported-display-style="italic" style="OLC">
<subparagraph id="HED6D33A492164FE9A23468D0C6BD336B" indent="up2"><enum>(B)</enum><text>Goals established</text></subparagraph><after-quoted-block>;</after-quoted-block></quoted-block></paragraph>
<paragraph id="H7F2B2E0D854E4E30BCF9FC6A60B93869"><enum>(3)</enum><text>by striking <quote>Whenever</quote> and inserting the following:</text>
<quoted-block changed="added" id="H5CD279FCEECE4B6B8DF561CA4805061F" reported-display-style="italic" style="OLC">
<subclause id="HE15C8DC9BCE645B88E35033C40F667E4" indent="up4"><enum>(C)</enum><text>Whenever</text></subclause><after-quoted-block>;</after-quoted-block></quoted-block></paragraph>
<paragraph id="HF384618C8EB34259A2C976F6554119BB"><enum>(4)</enum><text>by striking <quote>For the purpose of</quote> and inserting the following:</text>
<quoted-block changed="added" id="H5FD212DC36A14F9CA70E1067D1443DA6" reported-display-style="italic" style="OLC">
<subparagraph id="H0CA419B86DEA4CB387E369FD3CE9619E" indent="up2"><enum>(D)</enum><text>For the purpose of</text></subparagraph><after-quoted-block>;</after-quoted-block></quoted-block></paragraph>
<paragraph id="H86A3E0F8A24940B8822741D6F8E3DD9F"><enum>(5)</enum><text>by striking <quote>The head of each Federal agency, in attempting to attain such participation</quote> and inserting the following:</text>
<quoted-block changed="added" display-inline="no-display-inline" id="HB11EB2F3BBD9420C911C48D29C279F9C" reported-display-style="italic" style="OLC">
<subparagraph id="HA7A02B5FFC3D40ADA01BDF2054BDB287" indent="up2"><enum>(E)</enum><text>The head of each Federal agency, in attempting to attain the participation described in subparagraph (D)</text></subparagraph><after-quoted-block>.</after-quoted-block></quoted-block></paragraph>
<paragraph id="H318E3CA8C07E45DC820D1C542C36BE35"><enum>(6)</enum><text>in subparagraph (E), as so designated—</text>
<subparagraph id="H13B84B1F18004548AC4A6BC65620E40C"><enum>(A)</enum><text>by striking <quote>(A) contracts</quote> and inserting <quote>(i) contracts</quote>; and</text></subparagraph>
<subparagraph id="HF42C3A5011234591A2963B35D8302944"><enum>(B)</enum><text>by striking <quote>(B) contracts</quote> and inserting <quote>(ii) contracts</quote>; and</text></subparagraph></paragraph>
<paragraph id="H391E044D7AEC45C1BA04A65EE2EA92FE"><enum>(7)</enum><text>by adding at the end the following:</text>
<quoted-block changed="added" id="H4BFFA4AFA0514CB2825F080A5408CA18" reported-display-style="italic" style="OLC">
<subparagraph id="HED93A10A6DC0422AA80BD1099179FA8D" indent="up2"><enum>(F)</enum>
<clause commented="no" display-inline="yes-display-inline" id="H2523A69FA8A74F8FAA6F03101C07FA65"><enum>(i)</enum><text>Each procurement employee or program manager described in clause (ii) shall communicate to the subordinates of the procurement employee or program manager the importance of achieving small business goals.</text></clause>
<clause id="H22FC089BF65F40C89D11CD4DCA05A9B0" indent="up1"><enum>(ii)</enum><text display-inline="yes-display-inline">A procurement employee or program manager described in this clause is a senior procurement executive, senior program manager, or Director of Small and Disadvantaged Business Utilization of a Federal agency having contracting authority.</text></clause> </subparagraph><after-quoted-block>.</after-quoted-block></quoted-block></paragraph></section>
<section id="HCE58E2ED66644CADADF6F91E6772C0BD"><enum>1334.</enum><header>Payment of subcontractors</header><text display-inline="no-display-inline">Section 8(d) of the Small Business Act (15 U.S.C. 637(d)) is amended by adding at the end the following:</text>
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<paragraph id="H2F4B1E9D1EB148068A432D3A3638B7F7" indent="up1"><enum>(12)</enum><header>Payment of subcontractors</header>
<subparagraph id="H7A71A85113694D508E9B8BBB890F3544"><enum>(A)</enum><header>Definition</header><text>In this paragraph, the term <term>covered contract</term> means a contract relating to which a prime contractor is required to develop a subcontracting plan under paragraph (4) or (5).</text></subparagraph>
<subparagraph id="H710320E3333C4D03BA1883E1EB7634D2"><enum>(B)</enum><header>Notice</header>
<clause id="H5E051F0757D34401B86E4690EC6D614A"><enum>(i)</enum><header>In general</header><text>A prime contractor for a covered contract shall notify in writing the contracting officer for the covered contract if the prime contractor pays a reduced price to a subcontractor for goods and services upon completion of the responsibilities of the subcontractor or the payment to a subcontractor is more than 90 days past due for goods or services provided for the covered contract for which the Federal agency has paid the prime contractor.</text></clause>
<clause id="HF1D040AC06CE4FA78E410501B36002B4"><enum>(ii)</enum><header>Contents</header><text>A prime contractor shall include the reason for the reduction in a payment to or failure to pay a subcontractor in any notice made under clause (i).</text></clause></subparagraph>
<subparagraph id="HA9E8F42882124E36B0C53E110E989BFF"><enum>(C)</enum><header>Performance</header><text>A contracting officer for a covered contract shall consider the unjustified failure by a prime contractor to make a full or timely payment to a subcontractor in evaluating the performance of the prime contractor.</text></subparagraph>
<subparagraph id="HAD8B6E49268E44188978FE98B5EC694D"><enum>(D)</enum><header>Control of funds</header><text>If the contracting officer for a covered contract determines that a prime contractor has a history of unjustified, untimely payments to contractors, the contracting officer shall record the identity of the contractor in accordance with the regulations promulgated under subparagraph (E).</text></subparagraph>
<subparagraph id="H833203E49F0F4B64B8D907D1C3DC4975"><enum>(E)</enum><header>Regulations</header><text>Not later than 1 year after the date of enactment of this paragraph, the Federal Acquisition Regulatory Council established under section 25(a) of the Office of Federal Procurement Policy Act (41 U.S.C. 421(a)) shall amend the Federal Acquisition Regulation issued under section 25 of such Act to—</text>
<clause id="HD38F918505244101B9F6DEF9308FB23C"><enum>(i)</enum><text>describe the circumstances under which a contractor may be determined to have a history of unjustified, untimely payments to subcontractors;</text></clause>
<clause id="H57A2A08F0DE34F48A4B47277AB561D0F"><enum>(ii)</enum><text>establish a process for contracting officers to record the identity of a contractor described in clause (i); and</text></clause>
<clause id="HD27016E7CA0A40888CEA2622581C58DD"><enum>(iii)</enum><text>require the identity of a contractor described in clause (i) to be incorporated in, and made publicly available through, the Federal Awardee Performance and Integrity Information System, or any successor thereto.</text></clause></subparagraph></paragraph><after-quoted-block>.</after-quoted-block></quoted-block></section>
<section id="H9C42415AB2C24F18968CD1EEED51EF89"><enum>1335.</enum><header>Repeal of Small Business Competitiveness Demonstration Program</header>
<subsection id="HA1AEA95DE4C64807A817BA115F3AFCAA"><enum>(a)</enum><header>In general</header><text>The Business Opportunity Development Reform Act of 1988 (Public Law 100–656) is amended by striking title VII (15 U.S.C. 644 note).</text></subsection>
<subsection id="H46CF7DD114C340EF8F1984553D881FB7"><enum>(b)</enum><header>Effective date and applicability</header><text>The amendment made by this section—</text>
<paragraph id="HE28651AB6D284D06BBC2BB46DCEC2E0B"><enum>(1)</enum><text>shall take effect on the date of enactment of this Act; and</text></paragraph>
<paragraph id="HE80496FA43B149C889882F7977C1EECA"><enum>(2)</enum><text>apply to the first full fiscal year after the date of enactment of this Act.</text></paragraph></subsection></section></part>
<part id="H5FFF2B221D6B448182930BC380B715AE"><enum>IV</enum><header>Small business size and status integrity</header>
<section id="HBCFBF2A53A2E46D5BCC21F819B2F6695" section-type="subsequent-section"><enum>1341.</enum><header>Policy and presumptions</header><text display-inline="no-display-inline">Section 3 of the Small Business Act (15 U.S.C. 632), as amended by section 1311, is amended by adding at the end the following:</text>
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<subsection id="H261CAEDC3ED840DD9A09E470C8002446"><enum>(w)</enum><header>Presumption</header>
<paragraph id="H69FF57FF2693432E9BDB64FC4D319D37"><enum>(1)</enum><header>In general</header><text>In every contract, subcontract, cooperative agreement, cooperative research and development agreement, or grant which is set aside, reserved, or otherwise classified as intended for award to small business concerns, there shall be a presumption of loss to the United States based on the total amount expended on the contract, subcontract, cooperative agreement, cooperative research and development agreement, or grant whenever it is established that a business concern other than a small business concern willfully sought and received the award by misrepresentation.</text></paragraph>
<paragraph id="H3622093924F74970901728162873293E"><enum>(2)</enum><header>Deemed certifications</header><text>The following actions shall be deemed affirmative, willful, and intentional certifications of small business size and status:</text>
<subparagraph id="H4438427E38804495A0D763286DC352A7"><enum>(A)</enum><text>Submission of a bid or proposal for a Federal grant, contract, subcontract, cooperative agreement, or cooperative research and development agreement reserved, set aside, or otherwise classified as intended for award to small business concerns.</text></subparagraph>
<subparagraph id="HDEEA769B0506494BA98CA703C5523902"><enum>(B)</enum><text>Submission of a bid or proposal for a Federal grant, contract, subcontract, cooperative agreement, or cooperative research and development agreement which in any way encourages a Federal agency to classify the bid or proposal, if awarded, as an award to a small business concern.</text></subparagraph>
<subparagraph id="HBF3E6871871948658B8993AD0AF4001C"><enum>(C)</enum><text>Registration on any Federal electronic database for the purpose of being considered for award of a Federal grant, contract, subcontract, cooperative agreement, or cooperative research agreement, as a small business concern.</text></subparagraph></paragraph>
<paragraph id="H68AA0A4FFE71471DA3AFB11E0FBAEF28"><enum>(3)</enum><header>Certification by signature of responsible official</header>
<subparagraph id="H61F1794823FB4D0A8060A41FF3164F66"><enum>(A)</enum><header>In general</header><text>Each solicitation, bid, or application for a Federal contract, subcontract, or grant shall contain a certification concerning the small business size and status of a business concern seeking the Federal contract, subcontract, or grant.</text></subparagraph>
<subparagraph id="HDFE7CB96A7134505A9397D4B0CF373A2"><enum>(B)</enum><header>Content of certifications</header><text>A certification that a business concern qualifies as a small business concern of the exact size and status claimed by the business concern for purposes of bidding on a Federal contract or subcontract, or applying for a Federal grant, shall contain the signature of an authorized official on the same page on which the certification is contained.</text></subparagraph></paragraph>
<paragraph id="HB2218381A7B54706BA358A176E5A47CC"><enum>(4)</enum><header>Regulations</header><text>The Administrator shall promulgate regulations to provide adequate protections to individuals and business concerns from liability under this subsection in cases of unintentional errors, technical malfunctions, and other similar situations.</text></paragraph></subsection><after-quoted-block>.</after-quoted-block></quoted-block></section>
<section id="H0B2A1AF5DD0E4B78BFE5EFA4032A979D"><enum>1342.</enum><header>Annual certification</header><text display-inline="no-display-inline">Section 3 of the Small Business Act (15 U.S.C. 632), as amended by section 1341, is amended by adding at the end the following:</text>
<quoted-block changed="added" display-inline="no-display-inline" id="H56A345DB02454F228B3394025D600CBC" reported-display-style="italic" style="OLC">
<subsection id="H602B5C398C784F168611FEBB8DE3EB2F"><enum>(x)</enum><header>Annual certification</header>
<paragraph id="HC7BC2F2B448F4A1FAE98CA7A7D140E2D"><enum>(1)</enum><header>In general</header><text>Each business certified as a small business concern under this Act shall annually certify its small business size and, if appropriate, its small business status, by means of a confirming entry on the Online Representations and Certifications Application database of the Administration, or any successor thereto.</text></paragraph>
<paragraph id="H77A75F91757A41D69957E02FA87BCC4E"><enum>(2)</enum><header>Regulations</header><text>Not later than 1 year after the date of enactment of this subsection, the Administrator, in consultation with the Inspector General and the Chief Counsel for Advocacy of the Administration, shall promulgate regulations to ensure that—</text>
<subparagraph id="HAB185755EB174A53B194551421DEB02D"><enum>(A)</enum><text>no business concern continues to be certified as a small business concern on the Online Representations and Certifications Application database of the Administration, or any successor thereto, without fulfilling the requirements for annual certification under this subsection; and</text></subparagraph>
<subparagraph id="HA81E019724034272BF1E465EEEC75ED5"><enum>(B)</enum><text>the requirements of this subsection are implemented in a manner presenting the least possible regulatory burden on small business concerns.</text></subparagraph></paragraph></subsection><after-quoted-block>.</after-quoted-block></quoted-block></section>
<section id="H30F4A7CD690B4A049338351DFD0A6960"><enum>1343.</enum><header>Training for contracting and enforcement personnel</header>
<subsection id="H1251EE7D1109402B946F8BFD62255A43"><enum>(a)</enum><header>In general</header><text>Not later than 1 year after the date of enactment of this Act, the Federal Acquisition Institute, in consultation with the Administrator for Federal Procurement Policy, the Defense Acquisition University, and the Administrator, shall develop courses for acquisition personnel concerning proper classification of business concerns and small business size and status for purposes of Federal contracts, subcontracts, grants, cooperative agreements, and cooperative research and development agreements.</text></subsection>
<subsection id="HED612AE1195448FF8D008489C8107867"><enum>(b)</enum><header>Policy on prosecutions of small business size and status fraud</header><text>Section 3 of the Small Business Act (15 U.S.C. 632), as amended by section 1342, is amended by adding at the end the following:</text>
<quoted-block changed="added" display-inline="no-display-inline" id="HDE38063C5B654A2DB2EAF554DEBCC833" reported-display-style="italic" style="OLC">
<subsection id="H370F3BD7202C4CECB23F8C42FADA2E9A"><enum>(y)</enum><header>Policy on prosecutions of small business size and status fraud</header><text>Not later than 1 year after the date of enactment of this subsection, the Administrator, in consultation with the Attorney General, shall issue a Government-wide policy on prosecution of small business size and status fraud, which shall direct Federal agencies to appropriately publicize the policy.</text></subsection><after-quoted-block>.</after-quoted-block></quoted-block></subsection></section>
<section id="H5FA0CF0F553447A7871EC02CF496D5DD"><enum>1344.</enum><header>Updated size standards</header>
<subsection id="HD2B6D69580964E7288C4D82BD3926A4A"><enum>(a)</enum><header>Rolling review</header>
<paragraph id="H7E0F54E5B3794B198850C9ACBD0D20CC"><enum>(1)</enum><header>In general</header><text display-inline="yes-display-inline">The Administrator shall—</text>
<subparagraph id="H13F54D3412124909839AEFD57D72589D"><enum>(A)</enum><text>during the 18-month period beginning on the date of enactment of this Act, and during every 18-month period thereafter, conduct a detailed review of not less than <fraction>1/3</fraction> of the size standards for small business concerns established under section 3(a)(2) of the Small Business Act (15 U.S.C. 632(a)(2)), which shall include holding not less than 2 public forums located in different geographic regions of the United States;</text></subparagraph>
<subparagraph id="H6C78B8DE570048888B59B04A7EEBE7F2"><enum>(B)</enum><text>after completing each review under subparagraph (A) make appropriate adjustments to the size standards established under section 3(a)(2) of the Small Business Act to reflect market conditions;</text></subparagraph>
<subparagraph id="H576235C35B5446ACADFAFC332C9F7D50"><enum>(C)</enum><text>make publicly available—</text>
<clause id="HF21BEC70206C4029A8057AC56D6D33C4"><enum>(i)</enum><text>information regarding the factors evaluated as part of each review conducted under subparagraph (A); and</text></clause>
<clause id="H23FBD7BB77CA422E8C7D7F9A942EC92D"><enum>(ii)</enum><text>information regarding the criteria used for any revised size standards promulgated under subparagraph (B); and</text></clause></subparagraph>
<subparagraph id="H9FD84CB845CA45D693251FA3FA266015"><enum>(D)</enum><text>not later than 30 days after the date on which the Administrator completes each review under subparagraph (A), submit to the Committee on Small Business and Entrepreneurship of the Senate and the Committee on Small Business of the House of Representatives and make publicly available a report regarding the review, including why the Administrator—</text>
<clause id="H3790FF30FA6B46569D50DFB66DAB4702"><enum>(i)</enum><text>used the factors and criteria described in subparagraph (C); and</text></clause>
<clause id="HDCA38E8303D144E6A4F32270603E755A"><enum>(ii)</enum><text>adjusted or did not adjust each size standard that was reviewed under the review.</text></clause></subparagraph></paragraph>
<paragraph id="H51D9D207845E4F2AB9D8F68DBBEFD47E"><enum>(2)</enum><header>Complete review of size standards</header><text>The Administrator shall ensure that each size standard for small business concerns established under section 3(a)(2) of the Small Business Act (15 U.S.C. 632(a)(2)) is reviewed under paragraph (1) not less frequently than once every 5 years.</text></paragraph></subsection>
<subsection id="H57B9D08580574E368FA5FE02B0460B2C"><enum>(b)</enum><header>Rules</header><text>Not later than 1 year after the date of enactment of this Act, the Administrator shall promulgate rules for conducting the reviews required under subsection (a).</text></subsection></section>
<section id="HFB1552A6BDC24E81BAE15B089E14A306"><enum>1345.</enum><header>Study and report on the mentor-protege program</header>
<subsection id="HB1F616EE78504C41BAC194CC2F757D16"><enum>(a)</enum><header>In general</header><text>The Comptroller General of the United States shall conduct a study of the mentor-protege program of the Administration for small business concerns participating in programs under section 8(a) of the Small Business Act (15 U.S.C. 637(a)), and other relationships and strategic alliances pairing a larger business and a small business concern partner to gain access to Federal Government contracts, to determine whether the programs and relationships are effectively supporting the goal of increasing the participation of small business concerns in Government contracting.</text></subsection>
<subsection id="HE0C8F58C218C4C0D8C5C2177218255C6"><enum>(b)</enum><header>Matters To Be studied</header><text>The study conducted under this section shall include—</text>
<paragraph id="HFCBD3FEB0EBA4FEE82364D9E4B04E784"><enum>(1)</enum><text>a review of a broad cross-section of industries; and</text></paragraph>
<paragraph id="H488C4D6DF6264857979D942466DA72C0"><enum>(2)</enum><text>an evaluation of—</text>
<subparagraph id="H998A49E536004870ADE9C171A587B2BF"><enum>(A)</enum><text>how each Federal agency carrying out a program described in subsection (a) administers and monitors the program;</text></subparagraph>
<subparagraph id="H6952FF13A601454089A5B6E20C3278FB"><enum>(B)</enum><text>whether there are systems in place to ensure that the mentor-protege relationship, or similar affiliation, promotes real gain to the protege, and is not just a mechanism to enable participants that would not otherwise qualify under section 8(a) of the Small Business Act (15 U.S.C. 637(a)) to receive contracts under that section; and</text></subparagraph>
<subparagraph id="H0F47B655A83E400B8693A8A96808369A"><enum>(C)</enum><text>the degree to which protege businesses become able to compete for Federal contracts without the assistance of a mentor.</text></subparagraph></paragraph></subsection>
<subsection id="HE3C34B3A74A1412F9EE6E8E332D89CC3"><enum>(c)</enum><header>Report to Congress</header><text>Not later than 180 days after the date of enactment of this Act, the Comptroller General shall submit to the Committee on Small Business and Entrepreneurship of the Senate and the Committee on Small Business of the House of Representatives a report on the results of the study conducted under this section.</text></subsection></section>
<section id="H6FBCCB09DDB94F22A1FD1E20E8A62E8F"><enum>1346.</enum><header>Contracting goals reports</header><text display-inline="no-display-inline">Section 15(h)(2) of the Small Business Act (15 U.S.C. 644(h)(2)) is amended by striking <quote>submit them</quote> and all that follows through <quote>the following:</quote> and inserting <quote>submit to the President and the Committee on Small Business and Entrepreneurship of the Senate and the Committee on Small Business of the House of Representatives the compilation and analysis, which shall include the following:</quote>.</text></section>
<section id="H4627D85FE2734D539DE6736AF868C83D"><enum>1347.</enum><header>Small business contracting parity</header>
<subsection id="HC97908B686394F9FB1CC027306B351F8"><enum>(a)</enum><header>Definitions</header><text display-inline="yes-display-inline">In this section—</text>
<paragraph commented="no" display-inline="no-display-inline" id="H6BDF83A51DF447DFB0FEE5F9809869BC"><enum>(1)</enum><text display-inline="yes-display-inline">the terms <term>Administration</term> and <term>Administrator</term> mean the Small Business Administration and the Administrator thereof, respectively; and</text></paragraph>
<paragraph id="H304C7F1CFB424507A3CA45624D531CAA"><enum>(2)</enum><text>the terms <term>HUBZone small business concern</term>, <term>small business concern </term>, <term>small business concern owned and controlled by service-disabled veterans</term>, and <term>small business concern owned and controlled by women</term> have the same meanings as in section 3 of the Small Business Act (15 U.S.C. 632).</text></paragraph></subsection>
<subsection id="HF3E38BF81BC4414885692200B31F7352"><enum>(b)</enum><header>Contracting improvements</header>
<paragraph id="H80E5398B48B74EF6A27D9F1C69592CB3"><enum>(1)</enum><header>Contracting opportunities</header><text>Section 31(b)(2)(B) of the Small Business Act (15 U.S.C. 657a(b)(2)(B)) is amended by striking <quote>shall</quote> and inserting <quote>may</quote>.</text></paragraph>
<paragraph id="H8B4FC37736974EB2991A697724776EE3"><enum>(2)</enum><header>Contracting goals</header><text>Section 15(g)(1) of the Small Business Act (15 U.S.C. 644(g)(1)) is amended in the fourth sentence by inserting <quote>and subcontract</quote> after <quote>not less than 3 percent of the total value of all prime contract</quote>.</text></paragraph>
<paragraph id="H3E399DBF314E4179AE51C35FBA6898FF"><enum>(3)</enum><header>Mentor-protege programs</header><text>The Administrator may establish mentor-protege programs for small business concerns owned and controlled by service-disabled veterans, small business concerns owned and controlled by women, and HUBZone small business concerns modeled on the mentor-protege program of the Administration for small business concerns participating in programs under section 8(a) of the Small Business Act (15 U.S.C. 637(a)).</text></paragraph></subsection>
<subsection id="H131574825C8C4F2685AA0E42DBD4B52E"><enum>(c)</enum><header>Small business contracting programs parity</header><text display-inline="yes-display-inline">Section 31(b)(2) of the Small Business Act (15 U.S.C. 657a(b)(2)) is amended—</text>
<paragraph id="H33F68A0E50384EAC8AA226C856D33F0F"><enum>(1)</enum><text display-inline="yes-display-inline">in the matter preceding subparagraph (A), by striking <quote>Notwithstanding any other provision of law—</quote>;</text></paragraph>
<paragraph id="H7DA9967DDB8B44CE90D02F37CE5FCEBA"><enum>(2)</enum><text>in subparagraph (A)—</text>
<subparagraph id="HCB8A4C2E5EE641D99169E25AB0798CB7"><enum>(A)</enum><text>in the matter preceding clause (i), by striking <quote>a contracting</quote> and inserting <quote><header-in-text level="subparagraph" style="OLC">Sole source contracts</header-in-text>.—A contracting</quote>; and</text></subparagraph>
<subparagraph id="HA483965DAA474E7C8DCE8FC2B1A6E604"><enum>(B)</enum><text>in clause (iii), by striking the semicolon at the end and inserting a period;</text></subparagraph></paragraph>
<paragraph id="HFE3E2EA8AD5B4285A59D7602A530A6F1"><enum>(3)</enum><text display-inline="yes-display-inline">in subparagraph (B)—</text>
<subparagraph id="HEDC0ABAF6F84447BA98B795CD3222B12"><enum>(A)</enum><text display-inline="yes-display-inline">by striking <quote>a contract opportunity shall</quote> and inserting <quote><header-in-text level="subparagraph" style="OLC">Restricted competition</header-in-text>.—A contract opportunity may</quote>; and</text></subparagraph>
<subparagraph id="H02E2285E110542A58E18715D88A9218B"><enum>(B)</enum><text>by striking <quote>; and</quote> and inserting a period; and</text></subparagraph></paragraph>
<paragraph id="H195FB8C6B6E64BC58174DA54F0BD8C80"><enum>(4)</enum><text>in subparagraph (C), by striking <quote>not later</quote> and inserting <quote><header-in-text level="subparagraph" style="OLC">Appeals</header-in-text>.—Not later</quote>.</text></paragraph></subsection></section></part></subtitle>
<subtitle id="H8B44FC406E4A4402A65024F011C1FB39"><enum>D</enum><header>Small business management and counseling assistance</header>
<section id="HB8B6BF090BF14AC394A41945E8EDDBE9"><enum>1401.</enum><header>Matching requirements under small business programs</header>
<subsection id="HF0D5A730373144F0A65F3D5126302F7E"><enum>(a)</enum><header>Microloan program</header><text>Section 7(m) of the Small Business Act (15 U.S.C. 636(m)) is amended—</text>
<paragraph id="H7C79792EF38342469B1D6313AE9799AA"><enum>(1)</enum><text>in paragraph (3)(B)—</text>
<subparagraph id="HF53590820143453E91BB29C32A0076DA"><enum>(A)</enum><text>by striking <quote>As a condition</quote> and inserting the following:</text>
<quoted-block changed="added" display-inline="no-display-inline" id="H91DF20C93FCC4B45AE5C62C398EE91DB" reported-display-style="italic" style="OLC">
<clause id="H9CC59BE0CC91474AA73DCF3BF936FF17"><enum>(i)</enum><header>In general</header><text>Subject to clause (ii), as a condition</text></clause><after-quoted-block>; </after-quoted-block></quoted-block></subparagraph>
<subparagraph id="HF8A2BA8F74DA4C48B1DEBEC7A4537D95"><enum>(B)</enum><text>by striking <quote>the Administration</quote> and inserting <quote>the Administrator</quote>; and</text></subparagraph>
<subparagraph id="H7BB61DC944434A22A5FC66A43067BC39"><enum>(C)</enum><text>by adding at the end the following:</text>
<quoted-block changed="added" display-inline="no-display-inline" id="HE4A0ADF61E6E4115982C9373D8DFCAAE" reported-display-style="italic" style="OLC">
<clause id="HE7859A0962B54E0C9617F1AD778933AA"><enum>(ii)</enum><header>Waiver of non-Federal share</header>
<subclause id="H5CD49BDD9034428AA776BBA9DFE6F005"><enum>(I)</enum><header>In general</header><text>Upon request by an intermediary, and in accordance with this clause, the Administrator may waive, in whole or in part, the requirement to obtain non-Federal funds under clause (i) for a fiscal year. The Administrator may waive the requirement to obtain non-Federal funds under this clause for successive fiscal years.</text></subclause>
<subclause id="H3C9CF7CA43BF4F7AAEF53A48D8E015B3"><enum>(II)</enum><header>Considerations</header><text>In determining whether to waive the requirement to obtain non-Federal funds under this clause, the Administrator shall consider—</text>
<item id="H87BA3EC54D4D40BBAD303212109693B6"><enum>(aa)</enum><text>the economic conditions affecting the intermediary;</text></item>
<item id="H6CDEDD5FD611405BA26E1332F5BA0289"><enum>(bb)</enum><text>the impact a waiver under this clause would have on the credibility of the microloan program under this subsection;</text></item>
<item id="HAB7BB4FA90C9465BB2F7443FD12FFFA1"><enum>(cc)</enum><text>the demonstrated ability of the intermediary to raise non-Federal funds; and</text></item>
<item id="HE96DD5CAE4F54136B9FC64D0B5189483"><enum>(dd)</enum><text>the performance of the intermediary.</text></item></subclause>
<subclause id="H40874A8DCD3B4EB69C5E661EC00C4265"><enum>(III)</enum><header>Limitations</header>
<item id="H26B50A9091AC4690B97E0217309F37E8"><enum>(aa)</enum><header>In general</header><text>The Administrator may not waive the requirement to obtain non-Federal funds under this clause if granting the waiver would undermine the credibility of the microloan program under this subsection.</text></item>
<item id="H201F021B7C2F4CB38A960C682E4AEA20"><enum>(bb)</enum><header>Sunset</header><text>The Administrator may not waive the requirement to obtain non-Federal funds under this clause for fiscal year 2013 or any fiscal year thereafter.</text></item></subclause></clause><after-quoted-block>; and</after-quoted-block></quoted-block></subparagraph></paragraph>
<paragraph id="HA5BDFF15D72C4529877E84DB0A2E27E5"><enum>(2)</enum><text>in paragraph (4)(B)—</text>
<subparagraph id="H1E156E8BBECD412F8E9F26F9D6DC7F08"><enum>(A)</enum><text>by striking <quote>As a condition</quote> and all that follows through <quote>the Administration shall require</quote> and inserting the following:</text>
<quoted-block changed="added" display-inline="no-display-inline" id="H98C13115205143359F8CEC06AC708407" reported-display-style="italic" style="OLC">
<clause id="HE6ECD5FA89B94A7F9D35BC0B21CB4E72"><enum>(i)</enum><header>In general</header><text>Subject to clause (ii), as a condition of a grant made under subparagraph (A), the Administrator shall require</text></clause><after-quoted-block>; and</after-quoted-block></quoted-block></subparagraph>
<subparagraph id="H02B1D6020D88462589868C939D4E585E"><enum>(B)</enum><text>by adding at the end the following:</text>
<quoted-block changed="added" display-inline="no-display-inline" id="H9DA3C06F5E6948E7A055380E7631C445" reported-display-style="italic" style="OLC">
<clause id="H273CEC32D1D54C899908EC5C3CB29C1A"><enum>(ii)</enum><header>Waiver of non-Federal share</header>
<subclause id="H017205426F8E4A3FB3063BD23D94C0B5"><enum>(I)</enum><header>In general</header><text>Upon request by an intermediary, and in accordance with this clause, the Administrator may waive, in whole or in part, the requirement to obtain non-Federal funds under clause (i) for a fiscal year. The Administrator may waive the requirement to obtain non-Federal funds under this clause for successive fiscal years.</text></subclause>
<subclause id="HD9DCC1A5941640B58294ED0994FBDB81"><enum>(II)</enum><header>Considerations</header><text>In determining whether to waive the requirement to obtain non-Federal funds under this clause, the Administrator shall consider—</text>
<item id="H51EDB3F50F574510A5121D5E01712F2D"><enum>(aa)</enum><text>the economic conditions affecting the intermediary;</text></item>
<item id="H889B7935A7674C1A90DAEBD6D833C8D6"><enum>(bb)</enum><text>the impact a waiver under this clause would have on the credibility of the microloan program under this subsection;</text></item>
<item id="H010831A959524EB191853B066E8EB243"><enum>(cc)</enum><text>the demonstrated ability of the intermediary to raise non-Federal funds; and</text></item>
<item id="H73A899EC79B34143A20C4C7522F5E025"><enum>(dd)</enum><text>the performance of the intermediary.</text></item></subclause>
<subclause id="HD888BBE551A04E68B3851CA72A7BA62D"><enum>(III)</enum><header>Limitations</header>
<item id="HE1BDDB95DC9541C38779BD037B8A769D"><enum>(aa)</enum><header>In general</header><text>The Administrator may not waive the requirement to obtain non-Federal funds under this clause if granting the waiver would undermine the credibility of the microloan program under this subsection.</text></item>
<item commented="no" display-inline="no-display-inline" id="HB3F327ECF68B402396BB681629A9720B"><enum>(bb)</enum><header display-inline="yes-display-inline">Sunset</header><text display-inline="yes-display-inline">The Administrator may not waive the requirement to obtain non-Federal funds under this clause for fiscal year 2013 or any fiscal year thereafter.</text></item></subclause></clause><after-quoted-block>.</after-quoted-block></quoted-block></subparagraph></paragraph></subsection>
<subsection id="H4972FA9BB1CD4DD1A58C87D67E8169F0"><enum>(b)</enum><header>Women's business center program</header><text>Section 29(c) of the Small Business Act (15 U.S.C. 656(c)) is amended—</text>
<paragraph id="HE31C8A988D624F3BB56709D66EFCA611"><enum>(1)</enum><text>in paragraph (1), by striking <quote>As a condition</quote> and inserting <quote>Subject to paragraph (5), as a condition</quote>; and</text></paragraph>
<paragraph id="H41DE876F68E640F8AD75007749612105"><enum>(2)</enum><text>by adding at the end the following:</text>
<quoted-block changed="added" display-inline="no-display-inline" id="H167C0672DC374E1A983140691039D035" reported-display-style="italic" style="OLC">
<paragraph id="HB59A4DAAF9CE4F729480206971431909"><enum>(5)</enum><header>Waiver of non-Federal share relating to technical assistance and counseling</header>
<subparagraph id="H034FCAE2A2E54528A4C86B0599F863B1"><enum>(A)</enum><header>In general</header><text>Upon request by a recipient organization, and in accordance with this paragraph, the Administrator may waive, in whole or in part, the requirement to obtain non-Federal funds under this subsection for the technical assistance and counseling activities of the recipient organization carried out using financial assistance under this section for a fiscal year. The Administrator may waive the requirement to obtain non-Federal funds under this paragraph for successive fiscal years.</text></subparagraph>
<subparagraph id="H2338E013555540CD8D2A95E2FED1F149"><enum>(B)</enum><header>Considerations</header><text>In determining whether to waive the requirement to obtain non-Federal funds under this paragraph, the Administrator shall consider—</text>
<clause id="H5CBC19A3770C4F1D9AB01D9A0BACBA07"><enum>(i)</enum><text>the economic conditions affecting the recipient organization;</text></clause>
<clause id="HDA0C67494B7142C18001A6A40CAFDA91"><enum>(ii)</enum><text>the impact a waiver under this clause would have on the credibility of the women's business center program under this section;</text></clause>
<clause id="H3E1760653D9F4E6E94355A3600C42C5B"><enum>(iii)</enum><text>the demonstrated ability of the recipient organization to raise non-Federal funds; and</text></clause>
<clause id="H09B819D3FCAE44F7B238E1D48C088886"><enum>(iv)</enum><text>the performance of the recipient organization.</text></clause></subparagraph>
<subparagraph id="HCB2E41DFCF4F45B2B14FB92BC1A42CC0"><enum>(C)</enum><header>Limitations</header>
<clause id="HD3C4447966174E3197D69ADF90BB8D9F"><enum>(i)</enum><header>In general</header><text>The Administrator may not waive the requirement to obtain non-Federal funds under this paragraph if granting the waiver would undermine the credibility of the women's business center program under this section.</text></clause>
<clause commented="no" display-inline="no-display-inline" id="H1411326593CE4C10B1B0B33F01D5B4CE"><enum>(ii)</enum><header display-inline="yes-display-inline">Sunset</header><text display-inline="yes-display-inline">The Administrator may not waive the requirement to obtain non-Federal funds under this paragraph for fiscal year 2013 or any fiscal year thereafter.</text></clause></subparagraph></paragraph><after-quoted-block>.</after-quoted-block></quoted-block></paragraph></subsection>
<subsection id="H6212DB046CB64633BD817D2B8389315C"><enum>(c)</enum><header>Prospective repeals</header><text>Effective October 1, 2012, the Small Business Act (15 U.S.C. 631 et seq.) is amended—</text>
<paragraph id="HC892A08BE4244CE9BF5DCE6D33DA4224"><enum>(1)</enum><text>in section 7(m) (15 U.S.C. 636(m))—</text>
<subparagraph id="H87BA1A579F9B45AB8E7AF028C423F458"><enum>(A)</enum><text>in paragraph (3)(B)—</text>
<clause id="H6A5E52C1B2C04BEEA24FBBEF33CC7A95"><enum>(i)</enum><text>by striking <quote><header-in-text level="subparagraph" style="OLC">Intermediary contribution</header-in-text>.—</quote> and all that follows through <quote>Subject to clause (ii), as</quote> and inserting <quote><header-in-text level="subparagraph" style="OLC">Intermediary contribution</header-in-text>.—As</quote>; and</text></clause>
<clause id="H0B1A046AC6A8406FA1F5FDE62101B56A"><enum>(ii)</enum><text>by striking clause (ii); and</text></clause></subparagraph>
<subparagraph id="H11D92F15DD4749058C939706472608D6"><enum>(B)</enum><text>in paragraph (4)(B)—</text>
<clause id="H8373C71BE88349358B8B0B0C8C6AC47E"><enum>(i)</enum><text>by striking <quote><header-in-text level="subparagraph" style="OLC">Contribution</header-in-text>.—</quote> and all that follows through <quote>Subject to clause (ii), as</quote> and inserting <quote><header-in-text level="subparagraph" style="OLC">Contribution</header-in-text>.—As</quote>; and</text></clause>
<clause id="H846F26B3CBBA46B79D6CCE7F34618DF7"><enum>(ii)</enum><text>by striking clause (ii); and</text></clause></subparagraph></paragraph>
<paragraph id="H58467B7E3165470B8C3664F74D3068F5"><enum>(2)</enum><text>in section 29(c) (15 U.S.C. 656(c))—</text>
<subparagraph id="HB692501543684E45ADBAD2388A685A00"><enum>(A)</enum><text>in paragraph (1), by striking <quote>Subject to paragraph (5), as</quote> and inserting <quote>As</quote>; and</text></subparagraph>
<subparagraph commented="no" display-inline="no-display-inline" id="HD4084F2688344214B780060C96D67752"><enum>(B)</enum><text>by striking paragraph (5).</text></subparagraph></paragraph></subsection></section>
<section commented="no" id="HA9AEF81BD73D4BDB9FA88BFCAA15DB12"><enum>1402.</enum><header>Grants for SBDCs</header>
<subsection commented="no" id="HB2729A57DD61419CAE237E21AB0B9A97"><enum>(a)</enum><header>In general</header><text display-inline="yes-display-inline">The Administrator may make grants to small business development centers under section 21 of the Small Business Act (15 U.S.C. 648) to provide targeted technical assistance to small business concerns seeking access to capital or credit, Federal procurement opportunities, energy efficiency audits to reduce energy bills, opportunities to export products or provide services to foreign customers, adopting, making innovations in, and using broadband technologies, or other assistance.</text></subsection>
<subsection commented="no" id="HB4D03B292D81416C94523587149B3289"><enum>(b)</enum><header>Allocation</header>
<paragraph commented="no" id="H8C5EF0C378944F89BBDF867734A55E3A"><enum>(1)</enum><header>In general</header><text display-inline="yes-display-inline">Subject to paragraph (2), and notwithstanding the requirements of section 21(a)(4)(C)(iii) of the Small Business Act (15 U.S.C. 648(a)(4)(C)(iii)), the amount appropriated to carry out this section shall be allocated under the formula under section 21(a)(4)(C)(i) of that Act.</text></paragraph>
<paragraph commented="no" id="HBBAA22C0976B4742BCE7571EAF94D364"><enum>(2)</enum><header>Minimum funding</header><text display-inline="yes-display-inline">The amount made available under this section to each State shall be not less than $325,000.</text></paragraph>
<paragraph commented="no" id="H4E71C56AD067463B8AE051A46CEA1B31"><enum>(3)</enum><header>Types of uses</header><text>Of the total amount of the grants awarded by the Administrator under this section—</text>
<subparagraph commented="no" id="H820126B1A4224E6ABB70C8F1EFF21A8B"><enum>(A)</enum><text>not less than 80 percent shall be used for counseling of small business concerns; and</text></subparagraph>
<subparagraph commented="no" id="H554DB46F3C964E03A67B4FE4819026D3"><enum>(B)</enum><text>not more than 20 percent may be used for classes or seminars.</text></subparagraph></paragraph></subsection>
<subsection commented="no" id="H90226FDF4A7F4E3AB1594892E958F36A"><enum>(c)</enum><header>No non-Federal share required</header><text>Notwithstanding section 21(a)(4)(A) of the Small Business Act (15 U.S.C. 648(a)(4)(A)), the recipient of a grant made under this section shall not be required to provide non-Federal matching funds.</text></subsection>
<subsection commented="no" id="HAFA3EF92FC904B6B86D9FDB345F51B4B"><enum>(d)</enum><header>Distribution</header><text>Not later than 30 days after the date on which amounts are appropriated to carry out this section, the Administrator shall disburse the total amount appropriated.</text></subsection>
<subsection commented="no" id="H7E2722FD72D9435FB9BBEB7FF71AEF01"><enum>(e)</enum><header>Authorization of appropriations</header><text>There is authorized to be appropriated to the Administrator $50,000,000 to carry out this section.</text></subsection></section></subtitle>
<subtitle id="HDB002C255B484079AB9811F76A5837A4"><enum>E</enum><header>Disaster loan improvement</header>
<section id="H28644F844DE0482A90200B21996F9F3A"><enum>1501.</enum><header>Aquaculture business disaster assistance</header><text display-inline="no-display-inline">Section 3 of the Small Business Act (15 U.S.C. 632), as amended by section 1343, is amended by adding at the end the following:</text>
<quoted-block changed="added" display-inline="no-display-inline" id="H7ABD5B9045FD4CC581F00D04BF5ACAF0" reported-display-style="italic" style="OLC">
<subsection id="HFC0F5791D07E4E9D9C505DBC05F56310"><enum>(z)</enum><header>Aquaculture business disaster assistance</header><text>Subject to section 18(a) and notwithstanding section 18(b)(1), the Administrator may provide disaster assistance under section 7(b)(2) to aquaculture enterprises that are small businesses.</text></subsection><after-quoted-block>.</after-quoted-block></quoted-block></section></subtitle>
<subtitle id="H27BE20AB5B1D42F5B01F26A322E919F9"><enum>F</enum><header>Small Business Regulatory Relief</header>
<section id="H0A4AB73945F9498D8B56E4F425960A2C"><enum>1601.</enum><header>Requirements providing for more detailed analyses</header><text display-inline="no-display-inline">Section 604(a) of title 5, United States Code, is amended—</text>
<paragraph id="H96062F0524AF4040993DE13B5BC2265A"><enum>(1)</enum><text>in paragraph (1), by striking <quote>succinct</quote>;</text></paragraph>
<paragraph id="H668211E073C84227BE01CC776DAEC2C0"><enum>(2)</enum><text>in paragraph (2), by striking <quote>summary</quote> each place it appears and inserting <quote>statement</quote>;</text></paragraph>
<paragraph id="H3BD9629F5450409BAE5D499497A4FE53"><enum>(3)</enum><text>by redesignating paragraphs (3), (4), and (5) as paragraphs (4), (5), and (6), respectively; and</text></paragraph>
<paragraph id="H3DF3E41C1D554250B7AE604AD3A9F37F"><enum>(4)</enum><text>by inserting after paragraph (2) the following:</text>
<quoted-block changed="added" display-inline="no-display-inline" id="HC23BC2395F1F4D2689CE27D628122D62" reported-display-style="italic" style="OLC">
<paragraph id="H4C0ADD8F82D842C99A2AFB5BF93A8EE8"><enum>(3)</enum><text>the response of the agency to any comments filed by the Chief Counsel for Advocacy of the Small Business Administration in response to the proposed rule, and a detailed statement of any change made to the proposed rule in the final rule as a result of the comments;</text></paragraph><after-quoted-block>.</after-quoted-block></quoted-block></paragraph></section>
<section id="H11F1F48000C64B929235E6D2B71BE8FA"><enum>1602.</enum><header>Office of advocacy</header>
<subsection id="HC46504F574C44E6896DA6EA708D9D6B5"><enum>(a)</enum><header>In General</header><text>Section 203 of Public Law 94–305 (15 U.S.C. 634c) is amended—</text>
<paragraph id="HB4B86A6C75F24F6FB1DC53D4AEB33DDC"><enum>(1)</enum><text>in paragraph (4), by striking <quote>and</quote> at the end;</text></paragraph>
<paragraph id="HD3BB789DD94D45F4B4F3A471DDF4A270"><enum>(2)</enum><text>in paragraph (5), by striking the period and inserting <quote>; and</quote>; and</text></paragraph>
<paragraph id="H85199EEC5DD34A4BA9B522DF03AD985C"><enum>(3)</enum><text>by adding at the end the following:</text>
<quoted-block changed="added" display-inline="no-display-inline" id="H43446A7F24DB4E579D6896184DCA2495" reported-display-style="italic" style="OLC">
<paragraph id="HE708780583414733B22F6B383D776370"><enum>(6)</enum><text>carry out the responsibilities of the Office of Advocacy under chapter 6 of title 5, United States Code.</text></paragraph><after-quoted-block>.</after-quoted-block></quoted-block></paragraph></subsection>
<subsection id="HDFA9A01636504AE6AD3C3AAAE93FACD0"><enum>(b)</enum><header>Budgetary Line Item and Authorization of Appropriations</header><text>Title II of Public Law 94–305 (15 U.S.C. 634a et seq.) is amended by striking section 207 and inserting the following:</text>
<quoted-block changed="added" display-inline="no-display-inline" id="H4A9198F826B3469C9700344E6B7CF770" reported-display-style="italic" style="OLC">
<section id="H251B435156274EF584C5F749A37DC9DF"><enum>207.</enum><header>Budgetary line item and authorization of appropriations</header>
<subsection id="HF00B0B421A2B4B4CB5D9946433CBE73A"><enum>(a)</enum><header>Appropriation Requests</header><text>Each budget of the United States Government submitted by the President under section 1105 of title 31, United States Code, shall include a separate statement of the amount of appropriations requested for the Office of Advocacy of the Small Business Administration, which shall be designated in a separate account in the General Fund of the Treasury.</text></subsection>
<subsection id="H8CB5CA313DDB47E7995D47D18B39FF2B"><enum>(b)</enum><header>Administrative Operations</header><text>The Administrator of the Small Business Administration shall provide the Office of Advocacy with appropriate and adequate office space at central and field office locations, together with such equipment, operating budget, and communications facilities and services as may be necessary, and shall provide necessary maintenance services for such offices and the equipment and facilities located in such offices.</text></subsection>
<subsection id="H4E68D9C33743478882A3FB241F4D30CD"><enum>(c)</enum><header>Authorization of Appropriations</header><text>There are authorized to be appropriated such sums as are necessary to carry out this title. Any amount appropriated under this subsection shall remain available, without fiscal year limitation, until expended.</text></subsection></section><after-quoted-block>.</after-quoted-block></quoted-block></subsection></section></subtitle>
<subtitle id="HC858A69B980A4BF7AE25A8F78DC96D4F"><enum>G</enum><header>Appropriations provisions</header>
<section id="H7DE72B2A568546AA814CE9C94848A80E"><enum>1701.</enum><header>Salaries and expenses</header>
<subsection id="H325AACAB25144B49BD0CA3A2DA5113D1"><enum>(a)</enum><header>Appropriation</header><text>There is appropriated, out of any money in the Treasury not otherwise appropriated, for the fiscal year ending September 30, 2010, $150,000,000, to remain available until September 30, 2012, for an additional amount for the appropriations account appropriated under the heading <quote><header-in-text level="appropriations-small" style="OLC">salaries and expenses</header-in-text></quote> under the heading <quote><header-in-text level="appropriations-intermediate" style="OLC">Small Business Administration</header-in-text></quote>, of which—</text>
<paragraph id="HE407F7C135E345E9A0400B49289B3A3A"><enum>(1)</enum><text>$50,000,000 is for grants to small business development centers authorized under section 1402;</text></paragraph>
<paragraph id="HE53DE48CA1B14828925D0BE38578FC91"><enum>(2)</enum><text>$1,000,000 is for the costs of administering grants authorized under section 1402;</text></paragraph>
<paragraph id="H0F7B262C18444E5C9739D701F10D6D4F"><enum>(3)</enum><text>$30,000,000 is for grants to States for fiscal year 2011 to carry out export programs that assist small business concerns authorized under section 1207;</text></paragraph>
<paragraph id="H88FF7260761442DF85B487A6CE83B4DE"><enum>(4)</enum><text>$30,000,000 is for grants to States for fiscal year 2012 to carry out export programs that assist small business concerns authorized under section 1207;</text></paragraph>
<paragraph id="HCD92B4B1FB8348148F0C76729DB70447"><enum>(5)</enum><text>$2,500,000 is for the costs of administering grants authorized under section 1207;</text></paragraph>
<paragraph id="H966EC7A238B54C25A6494723EDCD4157"><enum>(6)</enum><text>$5,000,000 is for grants for fiscal year 2011 under the Small Business Teaming Pilot Program under section 1314; and</text></paragraph>
<paragraph id="H7C0ABC47AB08427C98DC92300E716ACB"><enum>(7)</enum><text>$5,000,000 is for grants for fiscal year 2012 under the Small Business Teaming Pilot Program under section 1314.</text></paragraph></subsection>
<subsection id="H907CFAB464DA4D13AD51662445CF263A"><enum>(b)</enum><header>Report</header><text>Not later than 60 days after the date of enactment of this Act, the Administrator shall submit to the Committee on Appropriations of the Senate and the Committee on Appropriations of the House of Representatives a detailed expenditure plan for using the funds provided under subsection (a).</text></subsection></section>
<section id="H56B458371FB043CC959397A9FA85CDAE"><enum>1702.</enum><header>Business loans program account</header>
<subsection id="HB72582B869CB4F4C83B6B6F583A16649"><enum>(a)</enum><header>In general</header><text display-inline="yes-display-inline">There is appropriated, out of any money in the Treasury not otherwise appropriated, for the fiscal year ending September 30, 2010, for an additional amount for the appropriations account appropriated under the heading <quote><header-in-text level="appropriations-small" style="OLC">business loans program account</header-in-text></quote> under the heading <quote><header-in-text level="appropriations-intermediate" style="OLC">Small Business Administration</header-in-text></quote>—</text>
<paragraph id="H3BE1580378F6485AB551839B0C92988B"><enum>(1)</enum><text display-inline="yes-display-inline">$8,000,000, to remain available until September 30, 2012, for fiscal year 2011 for the cost of direct loans authorized under section 7(l) of the Small Business Act, as added by section 1131 of this title, including the cost of modifying the loans;</text></paragraph>
<paragraph id="HD9BC393FBDFA4677AE6F8DF5D89544B3"><enum>(2)</enum><text display-inline="yes-display-inline">$8,000,000, to remain available until September 30, 2012, for fiscal year 2012 for the cost of direct loans authorized under section 7(l) of the Small Business Act, as added by section 1131 of this title, including the cost of modifying the loans;</text></paragraph>
<paragraph id="HDEA0D13F4B3445F6B5B73533C880AFE2"><enum>(3)</enum><text>$6,500,000, to remain available until September 30, 2012, for administrative expenses to carry out the direct loan program authorized under section 7(l) of the Small Business Act, as added by section 1131 of this title, which may be transferred to and merged with the appropriations account appropriated under the heading <quote><header-in-text level="appropriations-small" style="OLC">salaries and expenses</header-in-text></quote> under the heading <quote><header-in-text level="appropriations-intermediate" style="OLC">Small Business Administration</header-in-text></quote>; and</text></paragraph>
<paragraph id="HDB3296CDFA2F4B33866C30A041DBC176"><enum>(4)</enum><text>$15,000,000, to remain available until September 30, 2011, for the cost of guaranteed loans as authorized under section 7(a) of the Small Business Act, including the cost of modifying the loans.</text></paragraph></subsection>
<subsection id="H3C699252C60D498AA94D7AAA9B2F677C"><enum>(b)</enum><header>Definition</header><text>In this section, the term <term>cost</term> has the meaning given that term in section 502 of the Congressional Budget Act of 1974.</text></subsection></section>
<section commented="no" display-inline="no-display-inline" id="H0964CD1167CE439B843AB47C682C7314" section-type="subsequent-section"><enum>1703.</enum><header display-inline="yes-display-inline">Community Development Financial Institutions Fund program account</header><text display-inline="no-display-inline">There is appropriated, out of any money in the Treasury not otherwise appropriated, for the fiscal year ending September 30, 2010, for an additional amount for the appropriations account appropriated under the heading <quote><header-in-text level="appropriations-small" style="OLC">Community Development Financial Institutions Fund program account</header-in-text></quote> under the heading <quote><header-in-text level="subsection" style="OLC">DEPARTMENT OF THE TREASURY</header-in-text></quote>, $13,500,000, to remain available until September 30, 2012, for the costs of administering guarantees for bonds and notes as authorized under section 114A of the Riegle Community Development and Regulatory Improvement Act of 1994, as added by section 1134 of this Act.</text></section>
<section id="H7336BA362100454B9C31CE33E3622399" section-type="subsequent-section"><enum>1704.</enum><header>Small business loan guarantee enhancement extensions</header>
<subsection id="H9D5DBDFB577D49FEACA0538FBF96CC1E"><enum>(a)</enum><header>Extension of programs</header>
<paragraph id="H9386A265851648A3B9D2D5E48D54B404"><enum>(1)</enum><header>In general</header><text>There is appropriated, out of any funds in the Treasury not otherwise appropriated, for an additional amount for <quote>Small Business Administration—Business Loans Program Account</quote>, $505,000,000, to remain available through December 31, 2010, for the cost of—</text>
<subparagraph id="H63CFDE317ABA4DDDBF1A86FE33B10B59"><enum>(A)</enum><text>fee reductions and eliminations under section 501 of division A of the American Recovery and Reinvestment Act of 2009 (Public Law 111–5; 123 Stat. 151), as amended by this Act; and</text></subparagraph>
<subparagraph id="H4A7B0868A54B4A7D960E207A29636BA5"><enum>(B)</enum><text>loan guarantees under section 502 of division A of the American Recovery and Reinvestment Act of 2009 (Public Law 111–5; 123 Stat. 152), as amended by this Act.</text></subparagraph></paragraph>
<paragraph commented="no" display-inline="no-display-inline" id="HDDD9430DEC75437FA78D65B3770B6939"><enum>(2)</enum><header>Cost</header><text>For purposes of this subsection, the term <term>cost</term> has the same meaning as in section 502 of the Congressional Budget Act of 1974 (2 U.S.C. 661a).</text></paragraph></subsection>
<subsection commented="no" display-inline="no-display-inline" id="HF7541CE0C2D74AD0B338D78FEEDB87AE"><enum>(b)</enum><header>Administrative expenses</header><text display-inline="yes-display-inline">There is appropriated for an additional amount, out of any funds in the Treasury not otherwise appropriated, for administrative expenses to carry out sections 501 and 502 of division A of the American Recovery and Reinvestment Act of 2009 (Public Law 111–5), $5,000,000, to remain available until expended, which may be transferred and merged with the appropriation for <quote>Small Business Administration—Salaries and Expenses</quote>.</text></subsection></section></subtitle>
<enum>II</enum><header>Tax provisions</header>
<section id="H7BD94AA855504E5EB8F0C04B1F170F9A"><enum>2001.</enum><header>Short title</header><text display-inline="no-display-inline">This title may be cited as the <quote>Creating Small Business Jobs Act of 2010</quote>.</text></section>
<subtitle id="H85B0CB3D09B04106927E4159DE16D1DE"><enum>A</enum><header>Small business relief</header>
<part id="HA4B7B06167134FD1A683CDB289BDB667"><enum>I</enum><header>Providing access to capital</header>
<section id="HA40AD22EBDD54275B4964C42988FB574" section-type="subsequent-section"><enum>2011.</enum><header>Temporary exclusion of 100 percent of gain on certain small business stock</header>
<subsection id="H725C141B7A204FEA979F0B91F53F9255"><enum>(a)</enum><header>In general</header><text display-inline="yes-display-inline">Subsection (a) of section 1202 of the Internal Revenue Code of 1986 is amended by adding at the end the following new paragraph:</text>
<quoted-block changed="added" display-inline="no-display-inline" id="HD6A54BF8618D40C590533CCC324B485C" reported-display-style="italic" style="OLC">
<paragraph id="H609D9A2050474F24B35EB6475F03FF1F"><enum>(4)</enum><header>100 percent exclusion for stock acquired during certain periods in 2010</header><text display-inline="yes-display-inline">In the case of qualified small business stock acquired after the date of the enactment of the Creating Small Business Jobs Act of 2010 and before January 1, 2011—</text>
<subparagraph id="H62061959FEF94CD9828FF5A132755569"><enum>(A)</enum><text>paragraph (1) shall be applied by substituting <quote>100 percent</quote> for <quote>50 percent</quote>,</text></subparagraph>
<subparagraph id="H72FD1A583FD245F6A3974CDD0A7B5BCF"><enum>(B)</enum><text>paragraph (2) shall not apply, and</text></subparagraph>
<subparagraph id="H0FDE57704410481A9768318F822442AA"><enum>(C)</enum><text display-inline="yes-display-inline">paragraph (7) of section 57(a) shall not apply.</text></subparagraph></paragraph><after-quoted-block>.</after-quoted-block></quoted-block></subsection>
<subsection id="HC4305A295CA641F5ACB785B896D80CE7"><enum>(b)</enum><header>Conforming amendment</header><text>Paragraph (3) of section 1202(a) of the Internal Revenue Code of 1986 is amended—</text>
<paragraph id="HD571DC8131D446D7B2B86D7337CCA784"><enum>(1)</enum><text>by inserting <quote><header-in-text level="paragraph" style="OLC">certain periods in</header-in-text></quote> before <quote><header-in-text level="paragraph" style="OLC">2010</header-in-text></quote> in the heading, and</text></paragraph>
<paragraph id="HA6AF69DC44A94EF29272D3A9E33178A2"><enum>(2)</enum><text>by striking <quote>before January 1, 2011</quote> and inserting <quote>on or before the date of the enactment of the Creating Small Business Jobs Act of 2010</quote>.</text></paragraph></subsection>
<subsection commented="no" display-inline="no-display-inline" id="H31BBF69185004B6BA53A5D0C86F4D7C3"><enum>(c)</enum><header>Effective date</header><text>The amendments made by this section shall apply to stock acquired after the date of the enactment of this Act.</text></subsection></section>
<section id="HF32F53E9F56E4779AE58570BA291A0D1"><enum>2012.</enum><header>General business credits of eligible small businesses for 2010 carried back 5 years</header>
<subsection id="H7E1D78F5C51A470EBA8EC5BFACDE9E4F"><enum>(a)</enum><header>In general</header><text display-inline="yes-display-inline">Section 39(a) of the Internal Revenue Code of 1986 is amended by adding at the end the following new paragraph:</text>
<quoted-block changed="added" display-inline="no-display-inline" id="H2EE8B53D3AFF47C5874660AF017DA528" reported-display-style="italic" style="OLC">
<paragraph id="HB15141934EE34E39846A5377FE714910"><enum>(4)</enum><header>5-year carryback for eligible small business credits</header>
<subparagraph id="HC3E73C11EFF24E75989A7DD5869F0D65"><enum>(A)</enum><header>In general</header><text>Notwithstanding subsection (d), in the case of eligible small business credits determined in the first taxable year of the taxpayer beginning in 2010—</text>
<clause id="H80DC8AF6769E4871BDA975661F0F260F"><enum>(i)</enum><text>paragraph (1) shall be applied by substituting <quote>each of the 5 taxable years</quote> for <quote>the taxable year</quote> in subparagraph (A) thereof, and</text></clause>
<clause id="HE5B58806ED78434A80B21E541588CB42"><enum>(ii)</enum><text>paragraph (2) shall be applied—</text>
<subclause id="H6DFD4EE798554A30B251686FF61AEB8A"><enum>(I)</enum><text>by substituting <quote>25 taxable years</quote> for <quote>21 taxable years</quote> in subparagraph (A) thereof, and</text></subclause>
<subclause id="H4EAF74B11B14473DB4A29DA1B70AD374"><enum>(II)</enum><text>by substituting <quote>24 taxable years</quote> for <quote>20 taxable years</quote> in subparagraph (B) thereof.</text></subclause></clause></subparagraph>
<subparagraph id="H391B17F8B9C74F12BB00DEC463523323"><enum>(B)</enum><header>Eligible small business credits</header><text>For purposes of this subsection, the term <term>eligible small business credits</term> has the meaning given such term by section 38(c)(5)(B).</text></subparagraph></paragraph><after-quoted-block>.</after-quoted-block></quoted-block></subsection>
<subsection id="H2054334906DC4D858E3978FE24C66335"><enum>(b)</enum><header>Conforming amendment</header><text>Section 39(a)(3)(A) of the Internal Revenue Code of 1986 is amended by inserting <quote>or the eligible small business credits</quote> after <quote>credit)</quote>.</text></subsection>
<subsection commented="no" display-inline="no-display-inline" id="H0F31353787204BF6AB72FD78569514D9"><enum>(c)</enum><header>Effective date</header><text>The amendments made by this section shall apply to credits determined in taxable years beginning after December 31, 2009.</text></subsection></section>
<section commented="no" display-inline="no-display-inline" id="HCD10D67994DF4297A97CD4B5619691CA"><enum>2013.</enum><header>General business credits of eligible small businesses in 2010 not subject to alternative minimum tax</header>
<subsection commented="no" display-inline="no-display-inline" id="H5B4A95F82D9342F0A27522E126B3B26E"><enum>(a)</enum><header>In general</header><text>Section 38(c) of the Internal Revenue Code of 1986 is amended by redesignating paragraph (5) as paragraph (6) and by inserting after paragraph (4) the following new paragraph:</text>
<quoted-block changed="added" display-inline="no-display-inline" id="H953AD223D54B45868C78C7EAB6E79862" reported-display-style="italic" style="OLC">
<paragraph commented="no" display-inline="no-display-inline" id="H4868D96041874FDBB45151B8BF0F5065"><enum>(5)</enum><header>Special rules for eligible small business credits in 2010</header>
<subparagraph commented="no" display-inline="no-display-inline" id="H9086FF29F594471A887E4860BFD8F074"><enum>(A)</enum><header>In general</header><text>In the case of eligible small business credits determined in taxable years beginning in 2010—</text>
<clause commented="no" display-inline="no-display-inline" id="HDEBA2DD8086142EA9B064D21EAEB4DA6"><enum>(i)</enum><text>this section and section 39 shall be applied separately with respect to such credits, and</text></clause>
<clause commented="no" display-inline="no-display-inline" id="H3F1E36FE2E3C466798E11E23E685B6DD"><enum>(ii)</enum><text>in applying paragraph (1) to such credits—</text>
<subclause commented="no" display-inline="no-display-inline" id="HF86180F3B337468180D8D53022F4F5E3"><enum>(I)</enum><text>the tentative minimum tax shall be treated as being zero, and</text></subclause>
<subclause commented="no" display-inline="no-display-inline" id="H894A64052FC04D0A9648880718FE5057"><enum>(II)</enum><text>the limitation under paragraph (1) (as modified by subclause (I)) shall be reduced by the credit allowed under subsection (a) for the taxable year (other than the eligible small business credits).</text></subclause></clause></subparagraph>
<subparagraph commented="no" display-inline="no-display-inline" id="H6E91F1F7DD8D417FB150E9E70A2DA923"><enum>(B)</enum><header>Eligible small business credits</header><text>For purposes of this subsection, the term <term>eligible small business credits</term> means the sum of the credits listed in subsection (b) which are determined for the taxable year with respect to an eligible small business. Such credits shall not be taken into account under paragraph (2), (3), or (4).</text></subparagraph>
<subparagraph commented="no" display-inline="no-display-inline" id="H8920E6CEC2734A9CA5725821FE12B0C4"><enum>(C)</enum><header>Eligible small business</header><text>For purposes of this subsection, the term <term>eligible small business</term> means, with respect to any taxable year—</text>
<clause commented="no" display-inline="no-display-inline" id="H3DAB0E7716DC4B658F9CA56B44F1F954"><enum>(i)</enum><text>a corporation the stock of which is not publicly traded,</text></clause>
<clause commented="no" display-inline="no-display-inline" id="H39A017FFDF2F4B289921295326AE18B1"><enum>(ii)</enum><text>a partnership, or</text></clause>
<clause commented="no" display-inline="no-display-inline" id="H39DBE9CCB7414D138E050631AEEDF5ED"><enum>(iii)</enum><text>a sole proprietorship,</text></clause><continuation-text continuation-text-level="subparagraph">if the average annual gross receipts of such corporation, partnership, or sole proprietorship for the 3-taxable-year period preceding such taxable year does not exceed $50,000,000. For purposes of applying the test under the preceding sentence, rules similar to the rules of paragraphs (2) and (3) of section 448(c) shall apply.</continuation-text></subparagraph>
<subparagraph id="H68C80EB9A8D340CAAFCC83137F4AC253"><enum>(D)</enum><header>Treatment of partners and S corporation shareholders</header><text>Credits determined with respect to a partnership or S corporation shall not be treated as eligible small business credits by any partner or shareholder unless such partner or shareholder meets the gross receipts test under subparagraph (C) for the taxable year in which such credits are treated as current year business credits.</text></subparagraph></paragraph><after-quoted-block>.</after-quoted-block></quoted-block></subsection>
<subsection id="HC8C867774E3D412B92787ED784606B22"><enum>(b)</enum><header>Technical amendment</header><text>Section 55(e)(5) of the Internal Revenue Code of 1986 is amended by striking <quote>38(c)(3)(B)</quote> and inserting <quote>38(c)(6)(B)</quote>.</text></subsection>
<subsection id="H5745D825B1D14CA1B500CC60E121BA9A"><enum>(c)</enum><header>Conforming amendments</header>
<paragraph id="HF58010154E094F93B58A75BEE0DD82A9"><enum>(1)</enum><text>Subclause (II) of section 38(c)(2)(A)(ii) of the Internal Revenue Code of 1986 is amended by inserting <quote>the eligible small business credits,</quote> after <quote>the New York Liberty Zone business employee credit,</quote>.</text></paragraph>
<paragraph id="H980A83BAEA124A03AA51E9C7B73E931E"><enum>(2)</enum><text>Subclause (II) of section 38(c)(3)(A)(ii) of such Code is amended by inserting <quote>, the eligible small business credits,</quote> after <quote>the New York Liberty Zone business employee credit</quote>.</text></paragraph>
<paragraph id="H218A3A8B46EB48E48010739BC2A1D3A5"><enum>(3)</enum><text>Subclause (II) of section 38(c)(4)(A)(ii) of such Code is amended by inserting <quote>the eligible small business credits and</quote> before <quote>the specified credits</quote>.</text></paragraph></subsection>
<subsection commented="no" display-inline="no-display-inline" id="H74A2175CC96D4A3093B4F4472F952D94"><enum>(d)</enum><header>Effective date</header><text>The amendments made by subsection (a) shall apply to credits determined in taxable years beginning after December 31, 2009, and to carrybacks of such credits.</text></subsection></section>
<section id="H2D5BB4358175498E927DB5AB33F36936"><enum>2014.</enum><header>Temporary reduction in recognition period for built-in gains tax</header>
<subsection id="H3426248CC27045858E7896AF0BFFE6C7"><enum>(a)</enum><header>In general</header><text display-inline="yes-display-inline">Subparagraph (B) of section 1374(d)(7) of the Internal Revenue Code of 1986 is amended to read as follows:</text>
<quoted-block act-name="" changed="added" id="H1AAE230510ED45D99DB02ED5AAC82EF5" reported-display-style="italic" style="OLC">
<subparagraph id="HC1D3EAB1C51C49ABA3768D1EBC427ACC"><enum>(B)</enum><header>Special rules for 2009, 2010, and 2011</header><text>No tax shall be imposed on the net recognized built-in gain of an S corporation—</text>
<clause id="HFC70E540F1C9421D93337304367D212A"><enum>(i)</enum><text>in the case of any taxable year beginning in 2009 or 2010, if the 7th taxable year in the recognition period preceded such taxable year, or</text></clause>
<clause id="H27CCC3D372BB40338237554A9ECA6ABE"><enum>(ii)</enum><text>in the case of any taxable year beginning in 2011, if the 5th year in the recognition period preceded such taxable year.</text></clause><continuation-text continuation-text-level="subparagraph">The preceding sentence shall be applied separately with respect to any asset to which paragraph (8) applies.</continuation-text></subparagraph><after-quoted-block>.</after-quoted-block></quoted-block></subsection>
<subsection commented="no" display-inline="no-display-inline" id="HE1DDDADB9D9446AAAA535EBDD7FA7B9B"><enum>(b)</enum><header>Effective date</header><text display-inline="yes-display-inline">The amendment made by this section shall apply to taxable years beginning after December 31, 2010.</text></subsection></section></part>
<part id="HF6BB9502E94E489E9470DD7C440F5AEE"><enum>II</enum><header>Encouraging investment</header>
<section id="H9015EEFD6D9B4AADB637112DB4F00C79"><enum>2021.</enum><header>Increased expensing limitations for 2010 and 2011; certain real property treated as section 179 property</header>
<subsection commented="no" display-inline="no-display-inline" id="H517823F2E65247D4B22068C9E7807DA0"><enum>(a)</enum><header>Increased limitations</header><text>Subsection (b) of section 179 of the Internal Revenue Code of 1986 is amended—</text>
<paragraph commented="no" display-inline="no-display-inline" id="H0218AD1732BE4133BD4B544C96A76CE8"><enum>(1)</enum><text>by striking <quote>shall not exceed</quote> and all that follows in paragraph (1) and inserting “shall not exceed—</text>
<quoted-block act-name="" changed="added" id="H538E45571A6546DFACBDB58BE0D39FD8" reported-display-style="italic" style="OLC">
<subparagraph id="H7A6DECBAA4B54F219BD3E540461E3A19"><enum>(A)</enum><text>$250,000 in the case of taxable years beginning after 2007 and before 2010,</text></subparagraph>
<subparagraph id="H79CE874A117F4188829A55EF72EA3BAE"><enum>(B)</enum><text>$500,000 in the case of taxable years beginning in 2010 or 2011, and</text></subparagraph>
<subparagraph id="H40B4FFD4A0A54687B2643DEC35951306"><enum>(C)</enum><text>$25,000 in the case of taxable years beginning after 2011.</text></subparagraph><after-quoted-block>, and</after-quoted-block></quoted-block></paragraph>
<paragraph commented="no" display-inline="no-display-inline" id="H3C448E6BCA484193B95AEFA307E2D235"><enum>(2)</enum><text>by striking <quote>exceeds</quote> and all that follows in paragraph (2) and inserting “exceeds—</text>
<quoted-block act-name="" changed="added" id="HBFEC5EBFBFAA416CB896B4B53208CD36" reported-display-style="italic" style="OLC">
<subparagraph id="H40AE91361F7A47CFA1345FDA34A14A06"><enum>(A)</enum><text>$800,000 in the case of taxable years beginning after 2007 and before 2010,</text></subparagraph>
<subparagraph id="H0137E70A30BC4DBEA540820A6C0D212C"><enum>(B)</enum><text>$2,000,000 in the case of taxable years beginning in 2010 or 2011, and</text></subparagraph>
<subparagraph id="HD9C665AF6E7748408DC167B42E2BD28C"><enum>(C)</enum><text>$200,000 in the case of taxable years beginning after 2011.</text></subparagraph><after-quoted-block>.</after-quoted-block></quoted-block></paragraph></subsection>
<subsection commented="no" display-inline="no-display-inline" id="H2ED569C35F374F4A81755443BBD0D16F"><enum>(b)</enum><header>Inclusion of certain real property</header><text>Section 179 of the Internal Revenue Code of 1986 is amended by adding at the end the following new subsection:</text>
<quoted-block act-name="" changed="added" id="H67AB4D5E746B406B8AF4852C887A1FBD" reported-display-style="italic" style="OLC">
<subsection id="HFB25363DEA2148F4BB13B8DD76770CB4"><enum>(f)</enum><header>Special rules for qualified real property</header>
<paragraph id="H364A69B3360541898A601BBCD8367E1F"><enum>(1)</enum><header>In general</header><text>If a taxpayer elects the application of this subsection for any taxable year beginning in 2010 or 2011, the term <term>section 179 property</term> shall include any qualified real property which is—</text>
<subparagraph id="H8338E18EE9064545B8DF5C9D3F8A238A"><enum>(A)</enum><text>of a character subject to an allowance for depreciation,</text></subparagraph>
<subparagraph id="H5AAE28FC9CCC4E85953187B16F5EC28F"><enum>(B)</enum><text>acquired by purchase for use in the active conduct of a trade or business, and</text></subparagraph>
<subparagraph id="HA499D9B1628E479592ACB212E38DCE24"><enum>(C)</enum><text>not described in the last sentence of subsection (d)(1).</text></subparagraph></paragraph>
<paragraph id="HABB97D0D2786463D9532E4E88EE0934B"><enum>(2)</enum><header>Qualified real property</header><text>For purposes of this subsection, the term <term>qualified real property</term> means—</text>
<subparagraph id="HBC33D10AE51E4947B9FE35C1E6B41D6A"><enum>(A)</enum><text>qualified leasehold improvement property described in section 168(e)(6),</text></subparagraph>
<subparagraph id="H3728D80C1716401B841F29AE65F7B5CA"><enum>(B)</enum><text>qualified restaurant property described in section 168(e)(7) (without regard to the dates specified in subparagraph (A)(i) thereof), and</text></subparagraph>
<subparagraph id="H886996BA57E4430697D393B0B856AFA4"><enum>(C)</enum><text>qualified retail improvement property described in section 168(e)(8) (without regard to subparagraph (E) thereof).</text></subparagraph></paragraph>
<paragraph id="H9DB3757533B64D47A507705E2E29C1CC"><enum>(3)</enum><header>Limitation</header><text>For purposes of applying the limitation under subsection (b)(1)(B), not more than $250,000 of the aggregate cost which is taken into account under subsection (a) for any taxable year may be attributable to qualified real property.</text></paragraph>
<paragraph id="HBA199B6DF03845B58A1632BB8AA91E7F"><enum>(4)</enum><header>Carryover limitation</header>
<subparagraph id="HB8D6EA6498E14A17BC2E0697400E2D60"><enum>(A)</enum><header>In general</header><text>Notwithstanding subsection (b)(3)(B), no amount attributable to qualified real property may be carried over to a taxable year beginning after 2011.</text></subparagraph>
<subparagraph id="H6F21E3D375CE4A3F926183247A1AD363"><enum>(B)</enum><header>Treatment of disallowed amounts</header><text>Except as provided in subparagraph (C), to the extent that any amount is not allowed to be carried over to a taxable year beginning after 2011 by reason of subparagraph (A), this title shall be applied as if no election under this section had been made with respect to such amount.</text></subparagraph>
<subparagraph id="HEDFCB1C02E4C422DA3630A04C4C6C1E9"><enum>(C)</enum><header>Amounts carried over from 2010</header><text>If subparagraph (B) applies to any amount (or portion of an amount) which is carried over from a taxable year other than the taxpayer's last taxable year beginning in 2011, such amount (or portion of an amount) shall be treated for purposes of this title as attributable to property placed in service on the first day of the taxpayer's last taxable year beginning in 2011.</text></subparagraph>
<subparagraph id="H82CAF142F0054E81A448402A8F86BE4C"><enum>(D)</enum><header>Allocation of amounts</header><text>For purposes of applying this paragraph and subsection (b)(3)(B) to any taxable year, the amount which is disallowed under subsection (b)(3)(A) for such taxable year which is attributed to qualified real property shall be the amount which bears the same ratio to the total amount so disallowed as—</text>
<clause id="H8A0A47C7045B410382F66837F794416A"><enum>(i)</enum><text>the aggregate amount attributable to qualified real property placed in service during such taxable year, increased by the portion of any amount carried over to such taxable year from a prior taxable year which is attributable to such property, bears to</text></clause>
<clause id="H9259CC0F84794BEDB6DDA4A08503FF61"><enum>(ii)</enum><text>the total amount of section 179 property placed in service during such taxable year, increased by the aggregate amount carried over to such taxable year from any prior taxable year.</text></clause><continuation-text continuation-text-level="subparagraph">For purposes of the preceding sentence, only section 179 property with respect to which an election was made under subsection (c)(1) (determined without regard to subparagraph (B) of this paragraph) shall be taken into account.</continuation-text></subparagraph></paragraph></subsection><after-quoted-block>.</after-quoted-block></quoted-block></subsection>
<subsection id="H37AAC82594534FC6B0E3825520B212D9"><enum>(c)</enum><header>Revocability of election</header><text>Paragraph (2) of section 179(c) of the Internal Revenue Code of 1986 is amended by striking <quote>2011</quote> and inserting <quote>2012</quote>.</text></subsection>
<subsection id="H7062C6C5C10C43BCB99AA04E90B3F361"><enum>(d)</enum><header>Computer software treated as 179 property</header><text>Clause (ii) of section 179(d)(1)(A) is amended by striking <quote>2011</quote> and inserting <quote>2012</quote>.</text></subsection>
<subsection commented="no" display-inline="no-display-inline" id="H4C74AD7A706F46C88383096E9DA04435"><enum>(e)</enum><header>Effective dates</header>
<paragraph commented="no" display-inline="no-display-inline" id="HD66FEDBD1CE2469BB41FE539C95DCCCC"><enum>(1)</enum><header>In general</header><text>Except as provided in paragraph (2), the amendments made by this section shall apply to property placed in service after December 31, 2009, in taxable years beginning after such date.</text></paragraph>
<paragraph commented="no" display-inline="no-display-inline" id="H5F0ED5D69C7B429988DC14ABF70E5643"><enum>(2)</enum><header>Extensions</header><text>The amendments made by subsections (c) and (d) shall apply to taxable years beginning after December 31, 2010.</text></paragraph></subsection></section>
<section id="H275DF61596EF4834A8797AAF9D6BD276"><enum>2022.</enum><header>Additional first-year depreciation for 50 percent of the basis of certain qualified property</header>
<subsection id="H66CD64BBDD5C4E25AAA04A46A03DB632"><enum>(a)</enum><header>In general</header><text display-inline="yes-display-inline">Paragraph (2) of section 168(k) of the Internal Revenue Code of 1986 is amended—</text>
<paragraph commented="no" id="H394AD9AE8C024F0C986D690D2B25B01B"><enum>(1)</enum><text>by striking <quote>January 1, 2011</quote> in subparagraph (A)(iv) and inserting <quote>January 1, 2012</quote>, and</text></paragraph>
<paragraph id="H0CA8BC2BED35466084104E124B89EE26"><enum>(2)</enum><text>by striking <quote>January 1, 2010</quote> each place it appears and inserting <quote>January 1, 2011</quote>.</text></paragraph></subsection>
<subsection id="H2EC4077928ED4E78AA6240E70B5F963B"><enum>(b)</enum><header>Conforming amendments</header>
<paragraph id="H1222C439D9D549F1B99141D76226EE1E"><enum>(1)</enum><text>The heading for subsection (k) of section 168 of the Internal Revenue Code of 1986 is amended by striking <quote><header-in-text level="subsection" style="OLC">January 1, 2010</header-in-text></quote> and inserting <quote><header-in-text level="subsection" style="OLC">January 1, 2011</header-in-text></quote>.</text></paragraph>
<paragraph id="H2BC36974F04C4D08ADBAC1334BF8D49C"><enum>(2)</enum><text>The heading for clause (ii) of section 168(k)(2)(B) of such Code is amended by striking <quote><header-in-text level="clause" style="OLC">Pre-January 1, 2010</header-in-text></quote> and inserting <quote><header-in-text level="clause" style="OLC">Pre-January 1, 2011</header-in-text></quote>.</text></paragraph>
<paragraph id="H2C393A72935A47FE8037ECB4491160D5"><enum>(3)</enum><text>Subparagraph (D) of section 168(k)(4) of such Code is amended by striking <quote>and</quote> at the end of clause (ii), by striking the period at the end of clause (iii) and inserting a comma, and by adding at the end the following new clauses:</text>
<quoted-block act-name="" changed="added" id="HE29ACA818C3F46DEAC4539FD67FDE83E" reported-display-style="italic" style="OLC">
<clause id="H1781874DD71740E9A13ECDB7DDC2C663"><enum>(iv)</enum><text><quote>January 1, 2011</quote> shall be substituted for <quote>January 1, 2012</quote> in subparagraph (A)(iv) thereof, and</text></clause>
<clause id="H3649D6760F19419C9709ABCF15A9A886"><enum>(v)</enum><text><quote>January 1, 2010</quote> shall be substituted for <quote>January 1, 2011</quote> each place it appears in subparagraph (A) thereof.</text></clause><after-quoted-block>.</after-quoted-block></quoted-block></paragraph>
<paragraph id="HC825D11F0C6645FCA2815ED9DB269B0B"><enum>(4)</enum><text>Subparagraph (B) of section 168(l)(5) of such Code is amended by striking <quote>January 1, 2010</quote> and inserting <quote>January 1, 2011</quote>.</text></paragraph>
<paragraph id="H72B16B28E12D4EF7B09513C56C536CD3"><enum>(5)</enum><text>Subparagraph (C) of section 168(n)(2) of such Code is amended by striking <quote>January 1, 2010</quote> and inserting <quote>January 1, 2011</quote>.</text></paragraph>
<paragraph id="H2980C253992347418503FCD19944D985"><enum>(6)</enum><text>Subparagraph (D) of section 1400L(b)(2) of such Code is amended by striking <quote>January 1, 2010</quote> and inserting <quote>January 1, 2011</quote>.</text></paragraph>
<paragraph id="HBF6DB71446524791B33BD5F3FE861B6A"><enum>(7)</enum><text>Subparagraph (B) of section 1400N(d)(3) of such Code is amended by striking <quote>January 1, 2010</quote> and inserting <quote>January 1, 2011</quote>.</text></paragraph></subsection>
<subsection commented="no" display-inline="no-display-inline" id="H28B2840D42074A659DC7D42F5C54D943"><enum>(c)</enum><header>Effective date</header><text>The amendments made by this section shall apply to property placed in service after December 31, 2009, in taxable years ending after such date.</text></subsection></section>
<section id="H2EA138FF98C14341B5A7328914486CDB"><enum>2023.</enum><header>Special rule for long-term contract accounting</header>
<subsection id="H5FC5DC6D4E494F19B2463E810766EA25"><enum>(a)</enum><header>In general</header><text display-inline="yes-display-inline">Section 460(c) of the Internal Revenue Code of 1986 is amended by adding at the end the following new paragraph:</text>
<quoted-block changed="added" display-inline="no-display-inline" id="H3EE2A4577B3B45A1B09389AE64B45C1A" reported-display-style="italic" style="OLC">
<paragraph id="H96DB0EEB010C42CEA5CAB1A6FDB17261"><enum>(6)</enum><header>Special rule for allocation of bonus depreciation with respect to certain property</header>
<subparagraph id="H836A9B6E04DE43BD8AEC140DCD561C55"><enum>(A)</enum><header>In general</header><text>Solely for purposes of determining the percentage of completion under subsection (b)(1)(A), the cost of qualified property shall be taken into account as a cost allocated to the contract as if subsection (k) of section 168 had not been enacted.</text></subparagraph>
<subparagraph id="H9AE5C45A696746469A0F58375F377F6C"><enum>(B)</enum><header>Qualified property</header><text>For purposes of this paragraph, the term <term>qualified property</term> means property described in section 168(k)(2) which—</text>
<clause id="HC29A56AFFC8748E3AAE97A5DB4159176"><enum>(i)</enum><text>has a recovery period of 7 years or less, and</text></clause>
<clause id="H83018A4097554CC0A425B57EDC2C3BFF"><enum>(ii)</enum><text>is placed in service after December 31, 2009, and before January 1, 2011 (January 1, 2012, in the case of property described in section 168(k)(2)(B)).</text></clause></subparagraph></paragraph><after-quoted-block>.</after-quoted-block></quoted-block></subsection>
<subsection id="HA4070594675E4F9A8F41FB20E21F6292"><enum>(b)</enum><header>Effective date</header><text>The amendment made by this section shall apply to property placed in service after December 31, 2009.</text></subsection></section></part>
<part id="HEEE2085423CC445199481057AFDD5C5F"><enum>III</enum><header>Promoting entrepreneurship</header>
<section id="HD604A17665D94BB6BEA2D31321847B1F" section-type="subsequent-section"><enum>2031.</enum><header>Increase in amount allowed as deduction for start-up expenditures in 2010</header>
<subsection id="HDBDDF61DB0E840328672D51D52AE9E3B"><enum>(a)</enum><header>Start-up expenditures</header><text display-inline="yes-display-inline">Subsection (b) of section 195 of the Internal Revenue Code of 1986 is amended by adding at the end the following new paragraph:</text>
<quoted-block changed="added" display-inline="no-display-inline" id="H60A35DBA7D6E4CB58D6B6E223DB9CD77" reported-display-style="italic" style="OLC">
<paragraph id="HE49112DD7C864F81992014136A768F04"><enum>(3)</enum><header>Special rule for taxable years beginning in 2010</header><text display-inline="yes-display-inline">In the case of a taxable year beginning in 2010, paragraph (1)(A)(ii) shall be applied—</text>
<subparagraph id="H98F3EBBAB6A0461CBEE1718B09CBC73A"><enum>(A)</enum><text>by substituting <quote>$10,000</quote> for <quote>$5,000</quote>, and</text></subparagraph>
<subparagraph id="H33619D8F0712483186FF5D22D02BC2E0"><enum>(B)</enum><text>by substituting <quote>$60,000</quote> for <quote>$50,000</quote>.</text></subparagraph></paragraph><after-quoted-block>.</after-quoted-block></quoted-block></subsection>
<subsection commented="no" display-inline="no-display-inline" id="H19D063CAE3C84F579EDE7A500FE6DAFA"><enum>(b)</enum><header>Effective date</header><text>The amendment made by this section shall apply to amounts paid or incurred in taxable years beginning after December 31, 2009.</text></subsection></section>
<section id="H73CE88C4A0E54DA3873A7693F1D43F64" section-type="subsequent-section"><enum>2032.</enum><header>Authorization of appropriations for the United States Trade Representative to develop market access opportunities for United States small- and medium-sized businesses and to enforce trade agreements</header>
<subsection id="H58604D613FB04122921725B585D5CD78"><enum>(a)</enum><header>In general</header><text>There are authorized to be appropriated to the Office of the United States Trade Representative $5,230,000, to remain available until expended, for—</text>
<paragraph id="HA4B50B53F992444AA350F728AE07A8FB"><enum>(1)</enum><text>analyzing and developing opportunities for businesses in the United States to access the markets of foreign countries; and</text></paragraph>
<paragraph id="HBA5815A00F77436A943AED61E002EF03"><enum>(2)</enum><text>enforcing trade agreements to which the United States is a party.</text></paragraph></subsection>
<subsection id="H57470B3BA81043DDB5DE751A02D96B7D"><enum>(b)</enum><header>Requirements</header><text>In obligating and expending the funds authorized to be appropriated under subsection (a), the United States Trade Representative shall—</text>
<paragraph id="HDFE0D75FB7A642A0A6BE1A739156769F"><enum>(1)</enum><text>give preference to those initiatives that the United States Trade Representative determines will create or sustain the greatest number of jobs in the United States or result in the greatest benefit to the economy of the United States; and</text></paragraph>
<paragraph id="HD04A1C1A2E0F44F68111C51C5BC9EA8B"><enum>(2)</enum><text>consider the needs of small- and medium-sized businesses in the United States with respect to—</text>
<subparagraph id="HB5892F6EE9B649219342CEE779A1CC22"><enum>(A)</enum><text>accessing the markets of foreign countries; and</text></subparagraph>
<subparagraph commented="no" display-inline="no-display-inline" id="HB2A70038513E41759E0DB5D40D99F1DE"><enum>(B)</enum><text>the enforcement of trade agreements to which the United States is a party.</text></subparagraph></paragraph></subsection></section></part>
<part id="H698E6C72AE964BFDB90B7FDDA386935D"><enum>IV</enum><header>Promoting small business fairness</header>
<section commented="no" display-inline="no-display-inline" id="H41EE1D20E5484A1DA874962837C3E605" section-type="subsequent-section"><enum>2041.</enum><header display-inline="yes-display-inline">Limitation on penalty for failure to disclose reportable transactions based on resulting tax benefits</header>
<subsection commented="no" display-inline="no-display-inline" id="H12D0FB343EE04406844CBCDDD1DB63CD"><enum>(a)</enum><header display-inline="yes-display-inline">In general</header><text display-inline="yes-display-inline">Subsection (b) of section 6707A of the Internal Revenue Code of 1986 is amended to read as follows:</text>
<quoted-block changed="added" display-inline="no-display-inline" id="H33BB3A4F152248A8AFCEE5E69D934BD1" reported-display-style="italic" style="OLC">
<subsection commented="no" display-inline="no-display-inline" id="H3592AD287B784AC2BE1A68C8D91B6D88"><enum>(b)</enum><header display-inline="yes-display-inline">Amount of penalty</header>
<paragraph commented="no" display-inline="no-display-inline" id="H622A4DE11E484FA99C6E633C6EEE0294"><enum>(1)</enum><header display-inline="yes-display-inline">In general</header><text display-inline="yes-display-inline">Except as otherwise provided in this subsection, the amount of the penalty under subsection (a) with respect to any reportable transaction shall be 75 percent of the decrease in tax shown on the return as a result of such transaction (or which would have resulted from such transaction if such transaction were respected for Federal tax purposes).</text></paragraph>
<paragraph commented="no" display-inline="no-display-inline" id="H8606CAE81DA34BA1A6585E8F390470B3"><enum>(2)</enum><header display-inline="yes-display-inline">Maximum penalty</header><text display-inline="yes-display-inline">The amount of the penalty under subsection (a) with respect to any reportable transaction shall not exceed—</text>
<subparagraph commented="no" display-inline="no-display-inline" id="HD1F1D9941A27431197EF0DB2B81A4F69"><enum>(A)</enum><text display-inline="yes-display-inline">in the case of a listed transaction, $200,000 ($100,000 in the case of a natural person), or</text></subparagraph>
<subparagraph commented="no" display-inline="no-display-inline" id="HD7A9746EA4BD47D5911E9F530FA3BCAC"><enum>(B)</enum><text display-inline="yes-display-inline">in the case of any other reportable transaction, $50,000 ($10,000 in the case of a natural person).</text></subparagraph></paragraph>
<paragraph commented="no" display-inline="no-display-inline" id="H5C4DA3AD8248411DBA9E32ABA88BAF79"><enum>(3)</enum><header display-inline="yes-display-inline">Minimum penalty</header><text display-inline="yes-display-inline">The amount of the penalty under subsection (a) with respect to any transaction shall not be less than $10,000 ($5,000 in the case of a natural person).</text></paragraph></subsection><after-quoted-block>.</after-quoted-block></quoted-block></subsection>
<subsection commented="no" display-inline="no-display-inline" id="H7AFDB23176B04ED29765414ACDE6AEEB"><enum>(b)</enum><header display-inline="yes-display-inline">Effective date</header><text display-inline="yes-display-inline">The amendment made by this section shall apply to penalties assessed after December 31, 2006.</text></subsection></section>
<section id="HC8F47F7E6DA746F59CFCAAE309EA6B2C"><enum>2042.</enum><header>Deduction for health insurance costs in computing self-employment taxes in 2010</header>
<subsection id="HF1DC7E5015324C2DBF700103590831B4"><enum>(a)</enum><header>In general</header><text>Paragraph (4) of section 162(l) of the Internal Revenue Code of 1986 is amended by inserting <quote>for taxable years beginning before January 1, 2010, or after December 31, 2010</quote> before the period.</text></subsection>
<subsection id="H0C632DF43AE441B88589749E9B935E05"><enum>(b)</enum><header>Effective date</header><text>The amendments made by this section shall apply to taxable years beginning after December 31, 2009.</text></subsection></section>
<section id="HCC934CDCB2A642138A8794E704A8E19A"><enum>2043.</enum><header>Removal of cellular telephones and similar telecommunications equipment from listed property</header>
<subsection id="H08E14C1DE8D54B6186F7BA4271AE4E80"><enum>(a)</enum><header>In general</header><text>Subparagraph (A) of section 280F(d)(4) of the Internal Revenue Code of 1986 (defining listed property) is amended by adding <quote>‘and</quote>’ at the end of clause (iv), by striking clause (v), and by redesignating clause (vi) as clause (v).</text></subsection>
<subsection id="H5230962826E143A3AF0B7AC5CCAFEAE6"><enum>(b)</enum><header>Effective date</header><text>The amendment made by this section shall apply to taxable years beginning after December 31, 2009.</text></subsection></section></part></subtitle>
<subtitle id="H5FCA92D6273448DFA45ABB09DB6AF216"><enum>B</enum><header>Revenue provisions</header>
<part id="HE26282A812B8465494FF5C37E718C66A"><enum>I</enum><header>Reducing the tax gap</header>
<section id="H79956F323E394AECA2E4A41E74E05055"><enum>2101.</enum><header>Information reporting for rental property expense payments</header>
<subsection id="H4AC1D263E16E4456ADE92F1808A43702"><enum>(a)</enum><header>In general</header><text>Section 6041 of the Internal Revenue Code of 1986, as amended by section 9006 of the Patient Protection and Affordable Care Act, is amended by redesignating subsections (h) and (i) as subsections (i) and (j), respectively, and by inserting after subsection (g) the following new subsection:</text>
<quoted-block changed="added" display-inline="no-display-inline" id="HBCCA9192238343C78678089D02683EC5" reported-display-style="italic" style="OLC">
<subsection id="HAB473D12A1B54E9C9850C2465CC09A87"><enum>(h)</enum><header>Treatment of rental property expense payments</header>
<paragraph id="HFE678171A68541FFB66BFCE5A324EDC8"><enum>(1)</enum><header>In general</header><text>Solely for purposes of subsection (a) and except as provided in paragraph (2), a person receiving rental income from real estate shall be considered to be engaged in a trade or business of renting property.</text></paragraph>
<paragraph commented="no" id="H16B0408C590A4F05B3B09BD5F8D0867A"><enum>(2)</enum><header>Exceptions</header><text>Paragraph (1) shall not apply to—</text>
<subparagraph commented="no" id="HAE4C43F55ED548EB8C29985247ABBABD"><enum>(A)</enum><text>any individual, including any individual who is an active member of the uniformed services or an employee of the intelligence community (as defined in section 121(d)(9)(C)(iv)), if substantially all rental income is derived from renting the principal residence (within the meaning of section 121) of such individual on a temporary basis,</text></subparagraph>
<subparagraph commented="no" id="H1E6B3901F907438A86E7C79BF36599AD"><enum>(B)</enum><text>any individual who receives rental income of not more than the minimal amount, as determined under regulations prescribed by the Secretary, and</text></subparagraph>
<subparagraph commented="no" display-inline="no-display-inline" id="H6CC73F1EC4C84836AFFB21680422EDD0"><enum>(C)</enum><text>any other individual for whom the requirements of this section would cause hardship, as determined under regulations prescribed by the Secretary.</text></subparagraph></paragraph></subsection><after-quoted-block>.</after-quoted-block></quoted-block></subsection>
<subsection commented="no" display-inline="no-display-inline" id="H2A89258CD20F4205A4CD2BFC6CB510C8"><enum>(b)</enum><header>Effective date</header><text>The amendments made by subsection (a) shall apply to payments made after December 31, 2010.</text></subsection></section>
<section display-inline="no-display-inline" id="HB0B21C50DB7E49CFB3560795A514478E" section-type="subsequent-section"><enum>2102.</enum><header>Increase in information return penalties</header>
<subsection id="H18A1F72FF1224E03A83C5516399199A2"><enum>(a)</enum><header>Failure To file correct information returns</header>
<paragraph id="H6A82AC058D7D4999B4DD6CE4810FE577"><enum>(1)</enum><header>In general</header><text>Subsections (a)(1), (b)(1)(A), and (b)(2)(A) of section 6721 of the Internal Revenue Code of 1986 are each amended by striking <quote>$50</quote> and inserting <quote>$100</quote>.</text></paragraph>
<paragraph id="H09BE5D7108084A35B81FE288B87F5047"><enum>(2)</enum><header>Aggregate annual limitation</header><text display-inline="yes-display-inline">Subsections (a)(1), (d)(1)(A), and (e)(3)(A) of section 6721 of such Code are each amended by striking <quote>$250,000</quote> and inserting <quote>$1,500,000</quote>.</text></paragraph></subsection>
<subsection id="H36F979C8816C412280CEAE6A8925EBFD"><enum>(b)</enum><header>Reduction where correction within 30 days</header>
<paragraph id="HC9E6FFC9C15040309A7DD75075FB25C9"><enum>(1)</enum><header>In general</header><text>Subparagraph (A) of section 6721(b)(1) of the Internal Revenue Code of 1986 is amended by striking <quote>$15</quote> and inserting <quote>$30</quote>.</text></paragraph>
<paragraph id="HD8FCAD66CDF14F79B273627937061D40"><enum>(2)</enum><header>Aggregate annual limitation</header><text>Subsections (b)(1)(B) and (d)(1)(B) of section 6721 of such Code are each amended by striking <quote>$75,000</quote> and inserting <quote>$250,000</quote>.</text></paragraph></subsection>
<subsection id="H980925449DD647E3B2FABA896C4E7BA6"><enum>(c)</enum><header>Reduction where correction on or before August 1</header>
<paragraph id="HECFF01FF6A1A4617BD381D5AD56E5386"><enum>(1)</enum><header>In general</header><text>Subparagraph (A) of section 6721(b)(2) of the Internal Revenue Code of 1986 is amended by striking <quote>$30</quote> and inserting <quote>$60</quote>.</text></paragraph>
<paragraph id="H0625D1748342415083D659DF7A0CC1BD"><enum>(2)</enum><header>Aggregate annual limitation</header><text display-inline="yes-display-inline">Subsections (b)(2)(B) and (d)(1)(C) of section 6721 of such Code are each amended by striking <quote>$150,000</quote> and inserting <quote>$500,000</quote>.</text></paragraph></subsection>
<subsection id="HA0EE3E01215642F48B9EC456FC98465C"><enum>(d)</enum><header>Aggregate annual limitations for persons with gross receipts of not more than $5,000,000</header>
<paragraph id="H3BB96484B71049E094B1125B19EF6BF0"><enum>(1)</enum><header>In general</header><text display-inline="yes-display-inline">Paragraph (1) of section 6721(d) of the Internal Revenue Code of 1986 is amended—</text>
<subparagraph id="H22D1F93C6C704C40B68629A6BDD41CC3"><enum>(A)</enum><text>by striking <quote>$100,000</quote> in subparagraph (A) and inserting <quote>$500,000</quote>,</text></subparagraph>
<subparagraph id="HA99A690F9C9240CD94E7DAB3C44F56E6"><enum>(B)</enum><text>by striking <quote>$25,000</quote> in subparagraph (B) and inserting <quote>$75,000</quote>, and</text></subparagraph>
<subparagraph id="H6664CB398A4E418B97074650E2C3A068"><enum>(C)</enum><text>by striking <quote>$50,000</quote> in subparagraph (C) and inserting <quote>$200,000</quote>.</text></subparagraph></paragraph>
<paragraph commented="no" id="HC7B586D0E7C14DB892B0081091CE5D97"><enum>(2)</enum><header>Technical amendment</header><text>Paragraph (1) of section 6721(d) of such Code is amended by striking <quote>such taxable year</quote> and inserting <quote>such calendar year</quote>.</text></paragraph></subsection>
<subsection id="H60D42AB9E6864328BF591DD321B67CC5"><enum>(e)</enum><header>Penalty in case of intentional disregard</header><text display-inline="yes-display-inline">Paragraph (2) of section 6721(e) of the Internal Revenue Code of 1986 is amended by striking <quote>$100</quote> and inserting <quote>$250</quote>.</text></subsection>
<subsection commented="no" display-inline="no-display-inline" id="H3B6720FBC33A4FC58E97C4F2A41DF95E"><enum>(f)</enum><header>Adjustment for inflation</header><text>Section 6721 of the Internal Revenue Code of 1986 is amended by adding at the end the following new subsection:</text>
<quoted-block changed="added" display-inline="no-display-inline" id="H3EF7018D8A5B4EA8AE45FB9C671DFC42" reported-display-style="italic" style="OLC">
<subsection commented="no" display-inline="no-display-inline" id="HF5378C648DE04401BF7E9DED816DC90A"><enum>(f)</enum><header display-inline="yes-display-inline">Adjustment for inflation</header>
<paragraph commented="no" display-inline="no-display-inline" id="H72D59A6D1ABA4272A2AAED5028C9B581"><enum>(1)</enum><header display-inline="yes-display-inline">In general</header><text display-inline="yes-display-inline">For each fifth calendar year beginning after 2012, each of the dollar amounts under subsections (a), (b), (d) (other than paragraph (2)(A) thereof), and (e) shall be increased by such dollar amount multiplied by the cost-of-living adjustment determined under section 1(f)(3) determined by substituting <quote>calendar year 2011</quote> for <quote>calendar year 1992</quote> in subparagraph (B) thereof.</text></paragraph>
<paragraph commented="no" display-inline="no-display-inline" id="HE2F64784C6DA491AB59054860FE7B443"><enum>(2)</enum><header display-inline="yes-display-inline">Rounding</header><text display-inline="yes-display-inline">If any amount adjusted under paragraph (1)—</text>
<subparagraph commented="no" display-inline="no-display-inline" id="HE516AAAFC3924CA4B1EA12D56FFE74CF"><enum>(A)</enum><text display-inline="yes-display-inline">is not less than $75,000 and is not a multiple of $500, such amount shall be rounded to the next lowest multiple of $500, and</text></subparagraph>
<subparagraph commented="no" display-inline="no-display-inline" id="H0E55C6625B1741BC92B42CDEFA910F50"><enum>(B)</enum><text display-inline="yes-display-inline">is not described in subparagraph (A) and is not a multiple of $10, such amount shall be rounded to the next lowest multiple of $10.</text></subparagraph></paragraph></subsection><after-quoted-block>.</after-quoted-block></quoted-block></subsection>
<subsection commented="no" display-inline="no-display-inline" id="HA64B04C3B4A141F082070493CF23D312"><enum>(g)</enum><header>Failure To furnish correct payee statements</header><text>Section 6722 of the Internal Revenue Code of 1986 is amended to read as follows:</text>
<quoted-block changed="added" display-inline="no-display-inline" id="HBC2A4733EF59467EADDD53A93A73A329" reported-display-style="italic" style="OLC">
<section id="HE8908C7FA944426EA756BF60B95BB681"><enum>6722.</enum><header>Failure to furnish correct payee statements</header>
<subsection id="H67DA2C784F4E4B56B3D97E8EF0D34AF1"><enum>(a)</enum><header>Imposition of penalty</header>
<paragraph id="HAFD1E222BC6E49B6AEC7323866922EDF"><enum>(1)</enum><header>General rule</header><text>In the case of each failure described in paragraph (2) by any person with respect to a payee statement, such person shall pay a penalty of $100 for each statement with respect to which such a failure occurs, but the total amount imposed on such person for all such failures during any calendar year shall not exceed $1,500,000.</text></paragraph>
<paragraph id="H2733B009F12E44A5B86D4E0F8DBE6B83"><enum>(2)</enum><header>Failures subject to penalty</header><text>For purposes of paragraph (1), the failures described in this paragraph are—</text>
<subparagraph id="H1162035D36F943FB9F9C14FC0199E958"><enum>(A)</enum><text>any failure to furnish a payee statement on or before the date prescribed therefor to the person to whom such statement is required to be furnished, and</text></subparagraph>
<subparagraph id="HB860CE837EDE47A69BA59677D839EDAF"><enum>(B)</enum><text>any failure to include all of the information required to be shown on a payee statement or the inclusion of incorrect information.</text></subparagraph></paragraph></subsection>
<subsection id="H57C702D38C8848EFA65636B099237253"><enum>(b)</enum><header>Reduction where correction in specified period</header>
<paragraph id="H96ECAE08C39F43A0995CC624E3EE33AB"><enum>(1)</enum><header>Correction within 30 days</header><text>If any failure described in subsection (a)(2) is corrected on or before the day 30 days after the required filing date—</text>
<subparagraph id="H11269489DDB449C69B5F25B88CB7827A"><enum>(A)</enum><text>the penalty imposed by subsection (a) shall be $30 in lieu of $100, and</text></subparagraph>
<subparagraph id="HB37DAD1A134E4E5EAA3E0FB69600D598"><enum>(B)</enum><text>the total amount imposed on the person for all such failures during any calendar year which are so corrected shall not exceed $250,000.</text></subparagraph></paragraph>
<paragraph id="H32AB38928BCA43EB9075E6C5509AD673"><enum>(2)</enum><header>Failures corrected on or before August 1</header><text>If any failure described in subsection (a)(2) is corrected after the 30th day referred to in paragraph (1) but on or before August 1 of the calendar year in which the required filing date occurs—</text>
<subparagraph id="H7D40696128724A9EB774845284131CB1"><enum>(A)</enum><text>the penalty imposed by subsection (a) shall be $60 in lieu of $100, and</text></subparagraph>
<subparagraph id="H24C26F058690415CAAF920007EC2A139"><enum>(B)</enum><text>the total amount imposed on the person for all such failures during the calendar year which are so corrected shall not exceed $500,000.</text></subparagraph></paragraph></subsection>
<subsection id="HC3B7308390184A9F8461040FE8DE4390"><enum>(c)</enum><header>Exception for de minimis failures</header>
<paragraph id="H06571D7D244545A79682A3F01CFD5AB9"><enum>(1)</enum><header>In general</header><text>If—</text>
<subparagraph id="H28A26154E43C4D43A0B3A555D695A9D9"><enum>(A)</enum><text>a payee statement is furnished to the person to whom such statement is required to be furnished,</text></subparagraph>
<subparagraph id="HA42E5C250A11467A9194D1CFDFEEFA19"><enum>(B)</enum><text>there is a failure described in subsection (a)(2)(B) (determined after the application of section 6724(a)) with respect to such statement, and</text></subparagraph>
<subparagraph id="H79F07851B82743AAAB52DF836D0E9CD9"><enum>(C)</enum><text>such failure is corrected on or before August 1 of the calendar year in which the required filing date occurs,</text></subparagraph><continuation-text continuation-text-level="paragraph">for purposes of this section, such statement shall be treated as having been furnished with all of the correct required information.</continuation-text></paragraph>
<paragraph id="H10EF3C04F45B4BB9AC847C9F38D6FAEE"><enum>(2)</enum><header>Limitation</header><text>The number of payee statements to which paragraph (1) applies for any calendar year shall not exceed the greater of—</text>
<subparagraph id="H06F94C2095024B4DA61B1D82FA00F19E"><enum>(A)</enum><text>10, or</text></subparagraph>
<subparagraph id="H82FB857C072743E58931F7892CA5D4CA"><enum>(B)</enum><text>one-half of 1 percent of the total number of payee statements required to be filed by the person during the calendar year.</text></subparagraph></paragraph></subsection>
<subsection id="HBCA8C10403254BD2A2D9C666A59A2E9B"><enum>(d)</enum><header>Lower limitations for persons with gross receipts of not more than $5,000,000</header>
<paragraph id="HBBFBC1706462461DAA0ADBD1E0A83B5B"><enum>(1)</enum><header>In general</header><text>If any person meets the gross receipts test of paragraph (2) with respect to any calendar year, with respect to failures during such calendar year—</text>
<subparagraph id="H7ABB23F75D8C4939BBC129D313B93803"><enum>(A)</enum><text>subsection (a)(1) shall be applied by substituting <quote>$500,000</quote> for <quote>$1,500,000</quote>,</text></subparagraph>
<subparagraph id="H139DF9EC82354A02BD26E8260E292FBF"><enum>(B)</enum><text>subsection (b)(1)(B) shall be applied by substituting <quote>$75,000</quote> for <quote>$250,000</quote>, and</text></subparagraph>
<subparagraph id="HE188692F3A984A849AF1EE7E7190452F"><enum>(C)</enum><text>subsection (b)(2)(B) shall be applied by substituting <quote>$200,000</quote> for <quote>$500,000</quote>.</text></subparagraph></paragraph>
<paragraph id="H953369984AAF4E40AD584BD6C31D584A"><enum>(2)</enum><header>Gross receipts test</header><text>A person meets the gross receipts test of this paragraph if such person meets the gross receipts test of section 6721(d)(2).</text></paragraph></subsection>
<subsection id="HAB6882461ADD4774BF2FFDB1C69A9D6E"><enum>(e)</enum><header>Penalty in case of intentional disregard</header><text>If 1 or more failures to which subsection (a) applies are due to intentional disregard of the requirement to furnish a payee statement (or the correct information reporting requirement), then, with respect to each such failure—</text>
<paragraph id="HDF5933077AD14ACE8C42F5AB140C82B7"><enum>(1)</enum><text>subsections (b), (c), and (d) shall not apply,</text></paragraph>
<paragraph id="H722355F0CDA74A4D89F659EEE074E6CD"><enum>(2)</enum><text>the penalty imposed under subsection (a)(1) shall be $250, or, if greater—</text>
<subparagraph id="H97B5716953CF4B4D9971231AAAD2DEC2"><enum>(A)</enum><text>in the case of a payee statement other than a statement required under section 6045(b), 6041A(e) (in respect of a return required under section 6041A(b)), 6050H(d), 6050J(e), 6050K(b), or 6050L(c), 10 percent of the aggregate amount of the items required to be reported correctly, or</text></subparagraph>
<subparagraph id="H5899A34650FA4BEF9D3400198554A999"><enum>(B)</enum><text>in the case of a payee statement required under section 6045(b), 6050K(b), or 6050L(c), 5 percent of the aggregate amount of the items required to be reported correctly, and</text></subparagraph></paragraph>
<paragraph id="H5D17544EDF5548B8A4978121CD3BE7F8"><enum>(3)</enum><text>in the case of any penalty determined under paragraph (2)—</text>
<subparagraph id="H6767E8806378429194D258B882528A3A"><enum>(A)</enum><text>the $1,500,000 limitation under subsection (a) shall not apply, and</text></subparagraph>
<subparagraph id="H25AC2F4087C947C9BA7C99A368CB613F"><enum>(B)</enum><text>such penalty shall not be taken into account in applying such limitation to penalties not determined under paragraph (2).</text></subparagraph></paragraph></subsection>
<subsection commented="no" display-inline="no-display-inline" id="H0145680A30C64501AD213A619482FD43"><enum>(f)</enum><header display-inline="yes-display-inline">Adjustment for inflation</header>
<paragraph commented="no" display-inline="no-display-inline" id="H77CEBA7AAC6B4F71B143C5C97A4D936E"><enum>(1)</enum><header display-inline="yes-display-inline">In general</header><text display-inline="yes-display-inline">For each fifth calendar year beginning after 2012, each of the dollar amounts under subsections (a), (b), (d)(1), and (e) shall be increased by such dollar amount multiplied by the cost-of-living adjustment determined under section 1(f)(3) determined by substituting <quote>calendar year 2011</quote> for <quote>calendar year 1992</quote> in subparagraph (B) thereof.</text></paragraph>
<paragraph commented="no" display-inline="no-display-inline" id="HECCEB88C6FD64238802F29477020D1CA"><enum>(2)</enum><header display-inline="yes-display-inline">Rounding</header><text display-inline="yes-display-inline">If any amount adjusted under paragraph (1)—</text>
<subparagraph commented="no" display-inline="no-display-inline" id="H9620EFCE17B345DCB83121521BE3BE5A"><enum>(A)</enum><text display-inline="yes-display-inline">is not less than $75,000 and is not a multiple of $500, such amount shall be rounded to the next lowest multiple of $500, and</text></subparagraph>
<subparagraph commented="no" display-inline="no-display-inline" id="H404316230922481EADCEC81530EBDDF4"><enum>(B)</enum><text display-inline="yes-display-inline">is not described in subparagraph (A) and is not a multiple of $10, such amount shall be rounded to the next lowest multiple of $10.</text></subparagraph></paragraph></subsection></section><after-quoted-block>.</after-quoted-block></quoted-block></subsection>
<subsection id="H74107A4CD2974B5CBEA03CBA190D69F6"><enum>(h)</enum><header>Effective Date</header><text>The amendments made by this section shall apply with respect to information returns required to be filed on or after January 1, 2011.</text></subsection></section>
<section id="H3E575A2192DB4639BDFF3D01F27E66C8"><enum>2103.</enum><header>Report on tax shelter penalties and certain other enforcement actions</header>
<subsection id="H2E88B6841FF34835AE9ECBBC71758FDC"><enum>(a)</enum><header>In general</header><text>The Commissioner of Internal Revenue, in consultation with the Secretary of the Treasury, shall submit to the Committee on Ways and Means of the House of Representatives and the Committee on Finance of the Senate an annual report on the penalties assessed by the Internal Revenue Service during the preceding year under each of the following provisions of the Internal Revenue Code of 1986:</text>
<paragraph id="H3B0CC04B48FC462BBA14AEA64D886BF4"><enum>(1)</enum><text>Section 6662A (relating to accuracy-related penalty on understatements with respect to reportable transactions).</text></paragraph>
<paragraph id="HDA6043B7A41042C6BC72DA154F832475"><enum>(2)</enum><text>Section 6700(a) (relating to promoting abusive tax shelters).</text></paragraph>
<paragraph id="H678C07E4701A4168AD5E9C6160757C88"><enum>(3)</enum><text>Section 6707 (relating to failure to furnish information regarding reportable transactions).</text></paragraph>
<paragraph id="HBB7E3A7F48964BBF8ADE44DF7121E375"><enum>(4)</enum><text>Section 6707A (relating to failure to include reportable transaction information with return).</text></paragraph>
<paragraph id="H595E8D6F0C5F4F0DA46BCF14ACC54AD0"><enum>(5)</enum><text>Section 6708 (relating to failure to maintain lists of advisees with respect to reportable transactions).</text></paragraph></subsection>
<subsection id="H09BEF1F6B3CF49F68A891D7F612CD670"><enum>(b)</enum><header>Additional information</header><text>The report required under subsection (a) shall also include information on the following with respect to each year:</text>
<paragraph id="H6490BBC855FB49ABB0F9676A0F26D188"><enum>(1)</enum><text>Any action taken under section 330(b) of title 31, United States Code, with respect to any reportable transaction (as defined in section 6707A(c) of the Internal Revenue Code of 1986).</text></paragraph>
<paragraph id="HEBADBCCD6DDC487C946330CE1FC5CEA3"><enum>(2)</enum><text>Any extension of the time for assessment of tax enforced, or assessment of any amount under such an extension, under paragraph (10) of section 6501(c) of the Internal Revenue Code of 1986.</text></paragraph></subsection>
<subsection commented="no" display-inline="no-display-inline" id="HE086849E7751458EAEF2AAB77C878D6D"><enum>(c)</enum><header>Date of report</header><text>The first report required under subsection (a) shall be submitted not later than December 31, 2010.</text></subsection></section>
<section commented="no" display-inline="no-display-inline" id="H301A6F87B65C41DBAD4ACF8319CA9F37" section-type="subsequent-section"><enum>2104.</enum><header display-inline="yes-display-inline">Application of continuous levy to tax liabilities of certain Federal contractors</header>
<subsection commented="no" display-inline="no-display-inline" id="H764C49049A70432C92AF0AFFBEDB9F95"><enum>(a)</enum><header display-inline="yes-display-inline">In general</header><text display-inline="yes-display-inline">Subsection (f) of section 6330 of the Internal Revenue Code of 1986 is amended by striking <quote>or</quote> at the end of paragraph (2), by inserting <quote>or</quote> at the end of paragraph (3), and by inserting after paragraph (3) the following new paragraph:</text>
<quoted-block changed="added" display-inline="no-display-inline" id="H139DC0BD8D6744DE9AECB6C8EC64A625" reported-display-style="italic" style="OLC">
<paragraph commented="no" display-inline="no-display-inline" id="HB06C604BE50442599BC51A01C6F2562A"><enum>(4)</enum><text display-inline="yes-display-inline">the Secretary has served a Federal contractor levy,</text></paragraph><after-quoted-block>.</after-quoted-block></quoted-block></subsection>
<subsection commented="no" display-inline="no-display-inline" id="H7737837E64A74B24B923E6F9C9F04C5D"><enum>(b)</enum><header display-inline="yes-display-inline">Federal contractor levy</header><text display-inline="yes-display-inline">Subsection (h) of section 6330 of the Internal Revenue Code of 1986 is amended—</text>
<paragraph commented="no" display-inline="no-display-inline" id="H0470A9DC1F5647668A1D2F1C51B43ABD"><enum>(1)</enum><text display-inline="yes-display-inline">by striking all that precedes <quote>any levy in connection with the collection</quote> and inserting the following:</text>
<quoted-block changed="added" display-inline="no-display-inline" id="H65F36C83450146B8A6701FA084BF908F" reported-display-style="italic" style="OLC">
<subsection commented="no" display-inline="no-display-inline" id="H9F93D962C95B4572A4D3D1A7154DBAA4"><enum>(h)</enum><header display-inline="yes-display-inline">Definitions related to exceptions</header><text display-inline="yes-display-inline">For purposes of subsection (f)—</text>
<paragraph commented="no" display-inline="no-display-inline" id="HEEA14920875C42AABC83D875BB0BE375"><enum>(1)</enum><header display-inline="yes-display-inline">Disqualified employment tax levy</header><text display-inline="yes-display-inline">A disqualified employment tax levy is</text></paragraph></subsection><after-quoted-block>; and</after-quoted-block></quoted-block></paragraph>
<paragraph commented="no" display-inline="no-display-inline" id="H842ECC735ED145A79B842A32630D681A"><enum>(2)</enum><text display-inline="yes-display-inline">by adding at the end the following new paragraph:</text>
<quoted-block changed="added" display-inline="no-display-inline" id="HE3D724059D0A4036846B3B1E6157AC3B" reported-display-style="italic" style="OLC">
<paragraph commented="no" display-inline="no-display-inline" id="H25851DD8118D484A985565C74FE5729D"><enum>(2)</enum><header display-inline="yes-display-inline">Federal contractor levy</header><text display-inline="yes-display-inline">A Federal contractor levy is any levy if the person whose property is subject to the levy (or any predecessor thereof) is a Federal contractor.</text></paragraph><after-quoted-block>.</after-quoted-block></quoted-block></paragraph></subsection>
<subsection commented="no" display-inline="no-display-inline" id="HD8E076E08A2246739FAF15038253BA64"><enum>(c)</enum><header display-inline="yes-display-inline">Conforming amendment</header><text display-inline="yes-display-inline">The heading of subsection (f) of section 6330 of the Internal Revenue Code of 1986 is amended by striking <quote><header-in-text level="subsection" style="OLC">Jeopardy and State refund collection</header-in-text></quote> and inserting <quote><header-in-text level="subsection" style="OLC">Exceptions</header-in-text></quote>.</text></subsection>
<subsection commented="no" display-inline="no-display-inline" id="HEDB68C5F83B04BF0817D6A6D8BFA2FBB"><enum>(d)</enum><header display-inline="yes-display-inline">Effective date</header><text display-inline="yes-display-inline">The amendments made by this section shall apply to levies issued after the date of the enactment of this Act.</text></subsection></section></part>
<part id="H808C36EC9C524E3999B454235036960F"><enum>II</enum><header>Promoting retirement preparation</header>
<section id="H3D11DD3D68D94DA8BEF3CF5F004E5328"><enum>2111.</enum><header>Participants in government section <enum-in-header>457</enum-in-header> plans allowed to treat elective deferrals as Roth contributions</header>
<subsection id="H8236EC47E0A04A4BB9D733BA78A11515"><enum>(a)</enum><header>In general</header><text>Section 402A(e)(1) of the Internal Revenue Code of 1986 is amended by striking <quote>and</quote> at the end of subparagraph (A), by striking the period at the end of subparagraph (B) and inserting <quote>, and</quote>, and by adding at the end the following:</text>
<quoted-block changed="added" id="HE245ABDECF5541BA80C4411A7EFCAD1B" reported-display-style="italic" style="OLC">
<subparagraph id="H8023DB61E5D1491AAD7E533E3078D740"><enum>(C)</enum><text>an eligible deferred compensation plan (as defined in section 457(b)) of an eligible employer described in section 457(e)(1)(A).</text></subparagraph><after-quoted-block>.</after-quoted-block></quoted-block></subsection>
<subsection id="H785D98B4527A45439855237ECB0BB500"><enum>(b)</enum><header>Elective deferrals</header><text>Section 402A(e)(2) of the Internal Revenue Code of 1986 is amended to read as follows:</text>
<quoted-block changed="added" id="HC769AA062BB74088A48EDB092EBB8B40" reported-display-style="italic" style="OLC">
<paragraph id="H93731A1C15654CCBB5259FD098A2CFC7"><enum>(2)</enum><header>Elective deferral</header><text>The term <term>elective deferral</term> means—</text>
<subparagraph id="HC73BB313F90B47DFBAD05C5C0CF6E5D9"><enum>(A)</enum><text>any elective deferral described in subparagraph (A) or (C) of section 402(g)(3), and</text></subparagraph>
<subparagraph id="HC9C4F52DE68C4C6A9BCF0004E2C9E8FE"><enum>(B)</enum><text>any elective deferral of compensation by an individual under an eligible deferred compensation plan (as defined in section 457(b)) of an eligible employer described in section 457(e)(1)(A).</text></subparagraph></paragraph><after-quoted-block>.</after-quoted-block></quoted-block></subsection>
<subsection commented="no" display-inline="no-display-inline" id="H2BBC43C688624825B628C735795BDB51"><enum>(c)</enum><header>Effective date</header><text>The amendments made by this section shall apply to taxable years beginning after December 31, 2010.</text></subsection></section>
<section id="HE569F6A170294590AB7A3B2D0E012A31"><enum>2112.</enum><header>Rollovers from elective deferral plans to designated Roth accounts</header>
<subsection id="H4C99E8CC4C1E4DDE976C2721E76DA558"><enum>(a)</enum><header>In general</header><text>Section 402A(c) of the Internal Revenue Code of 1986 is amended by adding at the end the following new paragraph:</text>
<quoted-block changed="added" display-inline="no-display-inline" id="H4033572092BA4838925FDFA499733C3C" reported-display-style="italic" style="OLC">
<paragraph id="H8DE64A390A8F4DD8BE9D882E96210A7C"><enum>(4)</enum><header>Taxable rollovers to designated Roth accounts</header>
<subparagraph id="H359FEB959D2847219F51489CE784CD3C"><enum>(A)</enum><header>In general</header><text display-inline="yes-display-inline">Notwithstanding sections 402(c), 403(b)(8), and 457(e)(16), in the case of any distribution to which this paragraph applies—</text>
<clause commented="no" display-inline="no-display-inline" id="HEDA8129C97504EF7833A111492FFEEBA"><enum>(i)</enum><text>there shall be included in gross income any amount which would be includible were it not part of a qualified rollover contribution,</text></clause>
<clause commented="no" display-inline="no-display-inline" id="H83EB00D8BB5D494F8DFBA87D79249E9F"><enum>(ii)</enum><text>section 72(t) shall not apply, and</text></clause>
<clause commented="no" display-inline="no-display-inline" id="HA275C4FA3E694FB09A29BF33DCEF0225"><enum>(iii)</enum><text>unless the taxpayer elects not to have this clause apply, any amount required to be included in gross income for any taxable year beginning in 2010 by reason of this paragraph shall be so included ratably over the 2-taxable-year period beginning with the first taxable year beginning in 2011.</text></clause><continuation-text commented="no" continuation-text-level="subparagraph">Any election under clause (iii) for any distributions during a taxable year may not be changed after the due date for such taxable year.</continuation-text></subparagraph>
<subparagraph id="H80B65355A0DB4C29B638D91045502888"><enum>(B)</enum><header>Distributions to which paragraph applies</header><text>In the case of an applicable retirement plan which includes a qualified Roth contribution program, this paragraph shall apply to a distribution from such plan other than from a designated Roth account which is contributed in a qualified rollover contribution (within the meaning of section 408A(e)) to the designated Roth account maintained under such plan for the benefit of the individual to whom the distribution is made.</text></subparagraph>
<subparagraph id="HFD15A77B02564C0BA34D17EE2D7BC587"><enum>(C)</enum><header>Coordination with limit</header><text>Any distribution to which this paragraph applies shall not be taken into account for purposes of paragraph (1).</text></subparagraph>
<subparagraph id="H0594BF0B1FE3476FADA4F00315612287"><enum>(D)</enum><header>Other rules</header><text>The rules of subparagraphs (D), (E), and (F) of section 408A(d)(3) (as in effect for taxable years beginning after 2009) shall apply for purposes of this paragraph.</text></subparagraph></paragraph><after-quoted-block>.</after-quoted-block></quoted-block></subsection>
<subsection commented="no" display-inline="no-display-inline" id="H3213A0208D134D92987B23D3140EA479"><enum>(b)</enum><header>Effective date</header><text>The amendments made by this section shall apply to distributions after the date of the enactment of this Act.</text></subsection></section>
<section id="HA781B992852940468844E6160AC13CF4"><enum>2113.</enum><header>Special rules for annuities received from only a portion of a contract</header>
<subsection id="H3C404E48132F4A2F926D4B6DB989ED4A"><enum>(a)</enum><header>In general</header><text display-inline="yes-display-inline">Subsection (a) of section 72 of the Internal Revenue Code of 1986 is amended to read as follows:</text>
<quoted-block changed="added" display-inline="no-display-inline" id="HF68B4A1850B3437E8B824016C40853F5" reported-display-style="italic" style="OLC">
<subsection id="H2DFE3D26FDFA42F5AB0CDE59CEE6D2F1"><enum>(a)</enum><header>General rules for annuities</header>
<paragraph id="H740881095F96414F9FBEEA857583BEC2"><enum>(1)</enum><header>Income inclusion</header><text display-inline="yes-display-inline">Except as otherwise provided in this chapter, gross income includes any amount received as an annuity (whether for a period certain or during one or more lives) under an annuity, endowment, or life insurance contract.</text></paragraph>
<paragraph id="HFA1A450E3C974ED7AC0FBEA2D6FDC612"><enum>(2)</enum><header>Partial annuitization</header><text display-inline="yes-display-inline">If any amount is received as an annuity for a period of 10 years or more or during one or more lives under any portion of an annuity, endowment, or life insurance contract—</text>
<subparagraph id="H0F80FB41EE10432CB8010787D8EDEA17"><enum>(A)</enum><text display-inline="yes-display-inline">such portion shall be treated as a separate contract for purposes of this section,</text></subparagraph>
<subparagraph id="H448C07DDD0D14F289316B21FDB60A113"><enum>(B)</enum><text>for purposes of applying subsections (b), (c), and (e), the investment in the contract shall be allocated pro rata between each portion of the contract from which amounts are received as an annuity and the portion of the contract from which amounts are not received as an annuity, and</text></subparagraph>
<subparagraph id="HCCC45C8410DE49BAA55CF5C3ACBD44C7"><enum>(C)</enum><text>a separate annuity starting date under subsection (c)(4) shall be determined with respect to each portion of the contract from which amounts are received as an annuity.</text></subparagraph></paragraph></subsection><after-quoted-block>.</after-quoted-block></quoted-block></subsection>
<subsection id="H9352A949A35D4ACABAB2BAAF6AD598FA"><enum>(b)</enum><header>Effective date</header><text>The amendment made by this section shall apply to amounts received in taxable years beginning after December 31, 2010.</text></subsection></section></part>
<part id="H06EC6D571A3342A7AEA58AEDF22B79B1"><enum>III</enum><header>Closing unintended loopholes</header>
<section commented="no" display-inline="no-display-inline" id="H8489AAF8B9164C81A8CE8F172635B081" section-type="subsequent-section"><enum>2121.</enum><header display-inline="yes-display-inline">Crude tall oil ineligible for cellulosic biofuel producer credit</header>
<subsection commented="no" display-inline="no-display-inline" id="H82906862E0334C688344B6686043B0D4"><enum>(a)</enum><header display-inline="yes-display-inline">In general</header><text display-inline="yes-display-inline">Clause (iii) of section 40(b)(6)(E) of the Internal Revenue Code of 1986, as added by the Health Care and Education Reconciliation Act of 2010, is amended—</text>
<paragraph commented="no" display-inline="no-display-inline" id="H77E5F0E22D6B48E58589B207FFEE190D"><enum>(1)</enum><text display-inline="yes-display-inline">by striking <quote>or</quote> at the end of subclause (I),</text></paragraph>
<paragraph commented="no" display-inline="no-display-inline" id="H1FC4CA22F62C4757AC1B13E6C6005C21"><enum>(2)</enum><text display-inline="yes-display-inline">by striking the period at the end of subclause (II) and inserting <quote>, or</quote>,</text></paragraph>
<paragraph commented="no" display-inline="no-display-inline" id="HC24F2AFEDE034B96B19E61D9DABAC3AE"><enum>(3)</enum><text display-inline="yes-display-inline">by adding at the end the following new subclause:</text>
<quoted-block changed="added" display-inline="no-display-inline" id="H8A42B99CB0704285AB2340C96E78F4AF" reported-display-style="italic" style="OLC">
<subclause commented="no" display-inline="no-display-inline" id="H5D5E9A154A734A27B60BBAB4278571D3"><enum>(III)</enum><text display-inline="yes-display-inline">such fuel has an acid number greater than 25.</text></subclause><after-quoted-block>, and</after-quoted-block></quoted-block></paragraph>
<paragraph commented="no" display-inline="no-display-inline" id="H585682AD74C54279AC2570DD788AB344"><enum>(4)</enum><text display-inline="yes-display-inline">by striking <quote><header-in-text level="clause" style="OLC">unprocessed</header-in-text></quote> in the heading and inserting <quote><header-in-text level="clause" style="OLC">certain</header-in-text></quote>.</text></paragraph></subsection>
<subsection commented="no" display-inline="no-display-inline" id="HD680C4CB8E564387B78A1765B7DEF3D0"><enum>(b)</enum><header display-inline="yes-display-inline">Effective date</header><text display-inline="yes-display-inline">The amendments made by this section shall apply to fuels sold or used on or after January 1, 2010.</text></subsection></section>
<section id="HFC8D8A71ECA3451BBE71BF209178FCB4"><enum>2122.</enum><header>Source rules for income on guarantees</header>
<subsection id="H7818255E1A2341C298FFEA3A07391712"><enum>(a)</enum><header>Amounts sourced within the United States</header><text display-inline="yes-display-inline">Subsection (a) of section 861 of the Internal Revenue Code of 1986 is amended by adding at the end the following new paragraph:</text>
<quoted-block act-name="" changed="added" id="H8B53668804064F3A899684F01C7234C4" reported-display-style="italic" style="OLC">
<paragraph id="H31282548971A4715BA8CC67BA7983F15"><enum>(9)</enum><header>Guarantees</header><text>Amounts received, directly or indirectly, from—</text>
<subparagraph id="HCD797CFF51DA4FA8B29F4F80D625AB6C"><enum>(A)</enum><text>a noncorporate resident or domestic corporation for the provision of a guarantee of any indebtedness of such resident or corporation, or</text></subparagraph>
<subparagraph id="H4B39925C6F474EFB8B4D3A0FF873B602"><enum>(B)</enum><text>any foreign person for the provision of a guarantee of any indebtedness of such person, if such amount is connected with income which is effectively connected (or treated as effectively connected) with the conduct of a trade or business in the United States.</text></subparagraph></paragraph><after-quoted-block>.</after-quoted-block></quoted-block></subsection>
<subsection id="H969F378E52BB4DE4A6B0722B45BD1047"><enum>(b)</enum><header>Amounts sourced without the United States</header><text>Subsection (a) of section 862 of the Internal Revenue Code of 1986 is amended by striking <quote>and</quote> at the end of paragraph (7), by striking the period at the end of paragraph (8) and inserting <quote>; and</quote>, and by adding at the end the following new paragraph:</text>
<quoted-block changed="added" display-inline="no-display-inline" id="H8C512064EEED45FCB287FA3CAABE975A" reported-display-style="italic" style="OLC">
<paragraph id="HFF848073067A47D0B6072B8350B1761A"><enum>(9)</enum><text display-inline="yes-display-inline">amounts received, directly or indirectly, from a foreign person for the provision of a guarantee of indebtedness of such person other than amounts which are derived from sources within the United States as provided in section 861(a)(9).</text></paragraph><after-quoted-block>.</after-quoted-block></quoted-block></subsection>
<subsection id="H17F8D82AD0324D34BF7880C100343DF9"><enum>(c)</enum><header>Conforming amendment</header><text>Clause (ii) of section 864(c)(4)(B) of the Internal Revenue Code of 1986 is amended by striking <quote>dividends or interest</quote> and inserting <quote>dividends, interest, or amounts received for the provision of guarantees of indebtedness</quote>.</text></subsection>
<subsection id="H6AA584BFC78A4A39AEA7583CCB656951"><enum>(d)</enum><header>Effective date</header><text>The amendments made by this section shall apply to guarantees issued after the date of the enactment of this Act.</text></subsection></section></part>
<part id="H963313022794459D8AA3C84E906052BC"><enum>IV</enum><header>Time for payment of corporate estimated taxes</header>
<section commented="no" display-inline="no-display-inline" id="HC5D79AD5ACB248F3892D8182595C9589"><enum>2131.</enum><header>Time for payment of corporate estimated taxes</header><text display-inline="no-display-inline">The percentage under paragraph (2) of section 561 of the Hiring Incentives to Restore Employment Act in effect on the date of the enactment of this Act is increased by 36 percentage points.</text></section></part></subtitle>
<enum>III</enum><header>State Small Business Credit Initiative</header>
<section id="H2A91AEBD1F4D4E13BFFAD9E89A740274"><enum>3001.</enum><header>Short title</header><text display-inline="no-display-inline">This title may be cited as the <quote>State Small Business Credit Initiative Act of 2010</quote>.</text></section>
<section id="H1D59E6D7F8A24D56BB66CC9E7F6FAAC9"><enum>3002.</enum><header>Definitions</header><text display-inline="no-display-inline">In this title, the following definitions shall apply:</text>
<paragraph id="H248FF956A7D34D7DAA6DC6AED5DEBC13"><enum>(1)</enum><header>Appropriate committees of Congress</header><text>The term <term>appropriate committees of Congress</term> means—</text>
<subparagraph id="H4ED71C5E37E7476B9EA76E305E0654F0"><enum>(A)</enum><text>the Committee on Small Business and Entrepreneurship, the Committee on Agriculture, Nutrition, and Forestry, the Committee on Banking, Housing, and Urban Affairs, the Committee on Finance, the Committee on the Budget, and the Committee on Appropriations of the Senate; and</text></subparagraph>
<subparagraph id="H9D2FE6FF729746D68653161B40687CBE"><enum>(B)</enum><text>the Committee on Small Business, the Committee on Agriculture, the Committee on Financial Services, the Committee on Ways and Means, the Committee on the Budget, and the Committee on Appropriations of the House of Representatives.</text></subparagraph></paragraph>
<paragraph id="H9FD69C2EA5E94AE4BB3C6AE072AA736B"><enum>(2)</enum><header>Appropriate Federal banking agency</header><text>The term <term>appropriate Federal banking agency</term>—</text>
<subparagraph id="H70D6D09177B64EC28F7D3D154252FF44"><enum>(A)</enum><text>has the same meaning as in section 3(q) of the Federal Deposit Insurance Act (12 U.S.C. 1813(q)); and</text></subparagraph>
<subparagraph id="HA4C0549B34C2453C9C671D6B0CFE66DD"><enum>(B)</enum><text>includes the National Credit Union Administration Board in the case of any credit union the deposits of which are insured in accordance with the Federal Credit Union Act.</text></subparagraph></paragraph>
<paragraph id="HAE0FF6D495B44CD2A1973DD68F19EC02"><enum>(3)</enum><header>Enrolled loan</header><text>The term <term>enrolled loan</term> means a loan made by a financial institution lender that is enrolled by a participating State in an approved State capital access program in accordance with this title.</text></paragraph>
<paragraph id="HAF398C67ED31476989028740C9337A13"><enum>(4)</enum><header>Federal contribution</header><text>The term <term>Federal contribution</term> means the portion of the contribution made by a participating State to, or for the account of, an approved State program that is made with Federal funds allocated to the State by the Secretary under section 3003.</text></paragraph>
<paragraph id="HE422DA91BAFE490BBD4123A615EADE49"><enum>(5)</enum><header>Financial institution</header><text>The term <term>financial institution</term> means any insured depository institution, insured credit union, or community development financial institution, as those terms are each defined in section 103 of the Riegle Community Development and Regulatory Improvement Act of 1994 (12 U.S.C. 4702).</text></paragraph>
<paragraph id="HBF2E08D548DA42C4B2EED6CC4D8206D2"><enum>(6)</enum><header>Participating State</header><text>The term <term>participating State</term> means any State that has been approved for participation in the Program under section 3004.</text></paragraph>
<paragraph id="H1AAA77B3BB264F40AA15AA37C0C57C03"><enum>(7)</enum><header>Program</header><text>The term <term>Program</term> means the State Small Business Credit Initiative established under this title.</text></paragraph>
<paragraph id="H452EA721BE6D452FADA00253982ADA30"><enum>(8)</enum><header>Qualifying loan or swap funding facility</header><text>The term <term>qualifying loan or swap funding facility</term> means a contractual arrangement between a participating State and a private financial entity under which—</text>
<subparagraph id="H7A2FB70851FB49569DE5F7724E1B506D"><enum>(A)</enum><text>the participating State delivers funds to the entity as collateral;</text></subparagraph>
<subparagraph id="H5CD75F2EBAB54ABB9686700FEB8E2317"><enum>(B)</enum><text>the entity provides funding from the arrangement back to the participating State; and</text></subparagraph>
<subparagraph id="H1705F4D1D86B4B8DA63DFB348DDD14AA"><enum>(C)</enum><text>the full amount of resulting funding from the arrangement, less any fees and other costs of the arrangement, is contributed to, or for the account of, an approved State program.</text></subparagraph></paragraph>
<paragraph id="HC03C8DDC7AE74694AE7B597775DA3578"><enum>(9)</enum><header>Reserve fund</header><text>The term <term>reserve fund</term> means a fund, established by a participating State, dedicated to a particular financial institution lender, for the purposes of—</text>
<subparagraph id="H964F6F9048CF4294BFBD075A4BDF59A9"><enum>(A)</enum><text>depositing all required premium charges paid by the financial institution lender and by each borrower receiving a loan under an approved State program from that financial institution lender;</text></subparagraph>
<subparagraph id="HB47EE42630FB4081AB8E4DEFF581C3A8"><enum>(B)</enum><text>depositing contributions made by the participating State, including State contributions made with Federal contributions; and</text></subparagraph>
<subparagraph id="H0A6C807F2872479DA5A66DA3AFFF5456"><enum>(C)</enum><text>covering losses on enrolled loans by disbursing accumulated funds.</text></subparagraph></paragraph>
<paragraph id="H968E6D5060D549FCB16E7CF452D98176"><enum>(10)</enum><header>State</header><text>The term <term>State</term> means—</text>
<subparagraph id="H801D1EEEFB33474FA60CE8ACC6C1FD79"><enum>(A)</enum><text>a State of the United States;</text></subparagraph>
<subparagraph id="HBEC06396A96640299FECC4A565B9DB28"><enum>(B)</enum><text>the District of Columbia, the Commonwealth of Puerto Rico, the Commonwealth of Northern Mariana Islands, Guam, American Samoa, and the United States Virgin Islands;</text></subparagraph>
<subparagraph id="H3A0B6312EC1B46498F23ABA3C33948EB"><enum>(C)</enum><text>when designated by a State of the United States, a political subdivision of that State that the Secretary determines has the capacity to participate in the Program; and</text></subparagraph>
<subparagraph id="HA6236D3E6498487C97B612E4C93BB3B9"><enum>(D)</enum><text>under the circumstances described in section 3004(d), a municipality of a State of the United States to which the Secretary has given a special permission under section 3004(d).</text></subparagraph></paragraph>
<paragraph id="H7CFCC284558143CB8B9BD6A769F9E531"><enum>(11)</enum><header>State capital access program</header><text>The term <term>State capital access program</term> means a program of a State that—</text>
<subparagraph id="HD1A4454EE16140AB91712EB6207CDAFF"><enum>(A)</enum><text>uses public resources to promote private access to credit; and</text></subparagraph>
<subparagraph id="H08F5ADC9E5DE4926A0A9641187C2F907"><enum>(B)</enum><text>meets the eligibility criteria in section 3005(c).</text></subparagraph></paragraph>
<paragraph id="HC8CC4F1BF1674AEAB58C7FFC8DE507BF"><enum>(12)</enum><header>State other credit support program</header><text>The term <term>State other credit support program</term>—</text>
<subparagraph id="HC8EEF8A0E4414E74B07D497A9B93E35E"><enum>(A)</enum><text>means a program of a State that—</text>
<clause id="H26F4AB5C959E47F4A66ED8E3D04DD383"><enum>(i)</enum><text>uses public resources to promote private access to credit;</text></clause>
<clause id="H31C2A8059CA2442A9CF22A2521BC86F8"><enum>(ii)</enum><text>is not a State capital access program; and</text></clause>
<clause id="HD41058CA9C9743598CBFE3DC3E61E212"><enum>(iii)</enum><text>meets the eligibility criteria in section 3006(c); and</text></clause></subparagraph>
<subparagraph id="H009819C781DD46B7BA62DFC7C306BAA1"><enum>(B)</enum><text>includes, collateral support programs, loan participation programs, State-run venture capital fund programs, and credit guarantee programs.</text></subparagraph></paragraph>
<paragraph id="H9C5D83541F4240C7819788C61B0CF5E7"><enum>(13)</enum><header>State program</header><text>The term <term>State program</term> means a State capital access program or a State other credit support program.</text></paragraph>
<paragraph id="HE4098443D9F64E92838BE7E88A9BBA84"><enum>(14)</enum><header>Secretary</header><text>The term <term>Secretary</term> means the Secretary of the Treasury.</text></paragraph></section>
<section id="H0517EFAD0B354C728B9EA00AF1C12B18"><enum>3003.</enum><header>Federal funds allocated to States</header>
<subsection id="HF906E3E5A22045499DA0F7A9D7A9905E"><enum>(a)</enum><header>Program established; purpose</header><text>There is established the State Small Business Credit Initiative, to be administered by the Secretary. Under the Program, the Secretary shall allocate Federal funds to participating States and make the allocated funds available to the participating States as provided in this section for the uses described in this section.</text></subsection>
<subsection id="H35746378BF8C42308659C6AC1F28213C"><enum>(b)</enum><header>Allocation formula</header>
<paragraph id="H01C99FDB0FF84E8287748395745FC2FA"><enum>(1)</enum><header>In general</header><text>Not later than 30 days after the date of enactment of this Act, the Secretary shall allocate Federal funds to participating States so that each State is eligible to receive an amount equal to the average of the respective amounts that the State—</text>
<subparagraph id="H26939F9864E14542B6323415BD61C338"><enum>(A)</enum><text>would receive under the 2009 allocation, as determined under paragraph (2); and</text></subparagraph>
<subparagraph id="H26C40417779A4CC1AF98AC0AC90D01A3"><enum>(B)</enum><text>would receive under the 2010 allocation, as determined under paragraph (3).</text></subparagraph></paragraph>
<paragraph id="H4AE02B0D32024435948A271B41E8FC7B"><enum>(2)</enum><header>2009 allocation formula</header>
<subparagraph id="H877C0A8A5C4A452C9B8B39B26D60D893"><enum>(A)</enum><header>In general</header><text>The Secretary shall determine the 2009 allocation by allocating Federal funds among the States in the proportion that each such State's 2008 State employment decline bears to the aggregate of the 2008 State employment declines for all States.</text></subparagraph>
<subparagraph id="HC9F6929A74584C6DBB1FB373C780CB17"><enum>(B)</enum><header>Minimum allocation</header><text>The Secretary shall adjust the allocations under subparagraph (A) for each State to the extent necessary to ensure that no State receives less than 0.9 percent of the Federal funds.</text></subparagraph>
<subparagraph id="H8EA312A24ECD4D409D8E006AA954C37C"><enum>(C)</enum><header>2008 State employment decline defined</header><text>In this paragraph and with respect to a State, the term <term>2008 State employment decline</term> means the excess (if any) of—</text>
<clause id="HC0BA3058D0314B438C16F34FFAB61C9E"><enum>(i)</enum><text>the number of individuals employed in such State determined for December 2007; over</text></clause>
<clause id="H549D3C79A6D74D409E0A692A82E09B29"><enum>(ii)</enum><text>the number of individuals employed in such State determined for December 2008.</text></clause></subparagraph></paragraph>
<paragraph id="HA44F6372DB2648F19934682AC33A8701"><enum>(3)</enum><header>2010 allocation formula</header>
<subparagraph id="H7E443C8DFD1F4C48BAF285174A9F56E3"><enum>(A)</enum><header>In general</header><text>The Secretary shall determine the 2010 allocation by allocating Federal funds among the States in the proportion that each such State's 2009 unemployment number bears to the aggregate of the 2009 unemployment numbers for all of the States.</text></subparagraph>
<subparagraph id="HAD2D96196EFB4B779242E8560DF7EF4F"><enum>(B)</enum><header>Minimum allocation</header><text>The Secretary shall adjust the allocations under subparagraph (A) for each State to the extent necessary to ensure that no State receives less than 0.9 percent of the Federal funds.</text></subparagraph>
<subparagraph id="HEE5A1005C24F4FDABB136C66C75E482C"><enum>(C)</enum><header>2009 Unemployment number defined</header><text>In this paragraph and with respect to a State, the term <term>2009 unemployment number</term> means the number of individuals within such State who were determined to be unemployed by the Bureau of Labor Statistics for December 2009.</text></subparagraph></paragraph></subsection>
<subsection id="H218BF904EBAA4389B304411E654FFADD"><enum>(c)</enum><header>Availability of allocated amount</header><text>The amount allocated by the Secretary to each participating State under subsection (b) shall be made available to the State as follows:</text>
<paragraph id="HD789247593CA456D997B3E5A2233D20A"><enum>(1)</enum><header>Allocated amount generally to be available to State in one-thirds</header>
<subparagraph id="H62764DCC8C3749B390248AED76F5185C"><enum>(A)</enum><header>In general</header><text>The Secretary shall—</text>
<clause id="H916FD5B7EF3B4ADA848A43D70BBE2A48"><enum>(i)</enum><text>apportion the participating State's allocated amount into thirds;</text></clause>
<clause id="H24687B7F570043028E45C5B36ABDBE5C"><enum>(ii)</enum><text>transfer to the participating State the first <fraction>1/3</fraction> when the Secretary approves the State for participation under section 3004; and</text></clause>
<clause id="H0FBBB63D75D14BFE9B2837E0E4E081C2"><enum>(iii)</enum><text>transfer to the participating State each successive <fraction>1/3</fraction> when the State has certified to the Secretary that it has expended, transferred, or obligated 80 percent of the last transferred <fraction>1/3</fraction> for Federal contributions to, or for the account of, State programs.</text></clause></subparagraph>
<subparagraph id="HE1E3A40B9375417EA4D126A442777C0D"><enum>(B)</enum><header>Authority to withhold pending audit</header><text>The Secretary may withhold the transfer of any successive <fraction>1/3</fraction> pending results of a financial audit.</text></subparagraph>
<subparagraph id="H16F13025BD634060AA8B517EF80C3E5A"><enum>(C)</enum><header>Inspector General audits</header>
<clause id="H9E5F62D6D7C74DA78732EFFA93EE68B1"><enum>(i)</enum><header>In general</header><text>The Inspector General of the Department of the Treasury shall carry out an audit of the participating State's use of allocated Federal funds transferred to the State.</text></clause>
<clause id="HD56561508E8A42A79C651325EFAC584A"><enum>(ii)</enum><header>Recoupment of misused transferred funds required</header><text>The allocation agreement between the Secretary and the participating State shall provide that the Secretary shall recoup any allocated Federal funds transferred to the participating State if the results of the an audit include a finding that there was an intentional or reckless misuse of transferred funds by the State.</text></clause>
<clause id="HE91678D95D964AE1977FD45DE4A3A9E8"><enum>(iii)</enum><header>Penalty for misstatement</header><text>Any participating State that is found to have intentionally misstated any report issued to the Secretary under the Program shall be ineligible to receive any additional funds under the Program. Funds that had been allocated or that would otherwise have been allocated to such participating State shall be paid into the general fund of the Treasury for reduction of the public debt.</text></clause>
<clause id="H8AADE0F4FA1646D8BF841BF814438639"><enum>(iv)</enum><header>Municipalities</header><text>In this subparagraph, the term <term>participating State</term> shall include a municipality given special permission to participate in the Program, under section 3004(d).</text></clause></subparagraph>
<subparagraph id="H1415D8F1368E49E49F1D3CC3AA16EB58"><enum>(D)</enum><header>Exception</header><text>The Secretary may, in the Secretary's discretion, transfer the full amount of the participating State's allocated amount to the State in a single transfer if the participating State applies to the Secretary for approval to use the full amount of the allocation as collateral for a qualifying loan or swap funding facility.</text></subparagraph></paragraph>
<paragraph id="HE28431E0DCEE49CC90E946B6C212F33C"><enum>(2)</enum><header>Transferred amounts</header><text>Each amount transferred to a participating State under this section shall remain available to the State until used by the State as permitted under paragraph (3).</text></paragraph>
<paragraph id="H845E75252F894D97870C2829B5F5BE6C"><enum>(3)</enum><header>Use of transferred funds</header><text>Each participating State may use funds transferred to it under this section only—</text>
<subparagraph id="HE9ED7CF78B47495BAAF0D2EDE0449BA4"><enum>(A)</enum><text>for making Federal contributions to, or for the account of, an approved State program;</text></subparagraph>
<subparagraph id="HD5D6470C6C2442CE91F64C91BA9C3E76"><enum>(B)</enum><text>as collateral for a qualifying loan or swap funding facility;</text></subparagraph>
<subparagraph id="H3F6164CA2039404EB6B001CCA42196F8"><enum>(C)</enum><text>in the case of the first <fraction>1/3</fraction> transferred, for paying administrative costs incurred by the State in implementing an approved State program in an amount not to exceed 5 percent of that first <fraction>1/3</fraction>; or</text></subparagraph>
<subparagraph id="H855488F6B3464948962B83AA9390765E"><enum>(D)</enum><text>in the case of each successive <fraction>1/3</fraction> transferred, for paying administrative costs incurred by the State in implementing an approved State program in an amount not to exceed 3 percent of that successive <fraction>1/3</fraction>.</text></subparagraph></paragraph>
<paragraph id="HFE08BBBBF028428A8D5739AF21D75A83"><enum>(4)</enum><header>Termination of availability of amounts not transferred within 2 years of participation</header><text>Any portion of a participating State's allocated amount that has not been transferred to the State under this section by the end of the 2-year period beginning on the date that the Secretary approves the State for participation may be deemed by the Secretary to be no longer allocated to the State and no longer available to the State and shall be returned to the General Fund of the Treasury.</text></paragraph>
<paragraph id="H09D7452A27934E9391B8588A8FFA7F56"><enum>(5)</enum><header>Transferred amounts not assistance</header><text>The amounts transferred to a participating State under this section shall not be considered assistance for purposes of subtitle V of title 31, United States Code.</text></paragraph>
<paragraph id="H02C335CE6D654B29BD11C045C7974ABC"><enum>(6)</enum><header>Definitions</header><text>In this section—</text>
<subparagraph id="H0CBF9BA2760B47F990F6E03FC48B507D"><enum>(A)</enum><text>the term <term>allocated amount</term> means the total amount of Federal funds allocated by the Secretary under subsection (b) to the participating State; and</text></subparagraph>
<subparagraph id="H6523C4BC3B0E41E085BE83748F64F9C8"><enum>(B)</enum><text>the term <term><fraction>1/3</fraction></term> means—</text>
<clause id="H500AB5BD351145D2846B407A7D09E883"><enum>(i)</enum><text>in the case of the first <fraction>1/3</fraction> and second <fraction>1/3</fraction>, an amount equal to 33 percent of a participating State's allocated amount; and</text></clause>
<clause id="H11D53BE695394DB38EF11217BAACEB14"><enum>(ii)</enum><text>in the case of the last <fraction>1/3</fraction>, an amount equal to 34 percent of a participating State's allocated amount.</text></clause></subparagraph></paragraph></subsection></section>
<section id="H38FF166A9A114563B01CDF7E63B1AE38"><enum>3004.</enum><header>Approving States for participation</header>
<subsection id="H5BD349743D5B49259D18D442DD0FAD97"><enum>(a)</enum><header>Application</header><text>Any State may apply to the Secretary for approval to be a participating State under the Program and to be eligible for an allocation of Federal funds under the Program.</text></subsection>
<subsection id="H5C98863B942A4420B5310085832911A8"><enum>(b)</enum><header>General approval criteria</header><text>The Secretary shall approve a State to be a participating State, if—</text>
<paragraph id="H1C2C0606315042A990344E06D0669F76"><enum>(1)</enum><text>a specific department, agency, or political subdivision of the State has been designated to implement a State program and participate in the Program;</text></paragraph>
<paragraph id="H54811F57F6E543F2A6BEF27C99867D6C"><enum>(2)</enum><text>all legal actions necessary to enable such designated department, agency, or political subdivision to implement a State program and participate in the Program have been accomplished;</text></paragraph>
<paragraph id="HB1C45FE0D2D448808061ABA1B927ABF5"><enum>(3)</enum><text>the State has filed an application with the Secretary for approval of a State capital access program under section 3005 or approval as a State other credit support program under section 3006, in each case within the time period provided in the respective section; and</text></paragraph>
<paragraph id="HCBB3004BB60044D6837CAF3210EAC6B4"><enum>(4)</enum><text>the State and the Secretary have executed an allocation agreement that—</text>
<subparagraph id="H7E7D29847CFD4AE4BF6EF0B5F4956D14"><enum>(A)</enum><text>conforms to the requirements of this title;</text></subparagraph>
<subparagraph id="H117564FE86414F05899346FEFC0AC20B"><enum>(B)</enum><text>ensures that the State program complies with such national standards as are established by the Secretary under section 3009(a)(2);</text></subparagraph>
<subparagraph id="H48C957B9B41F450892C88B88ED84DAE3"><enum>(C)</enum><text>sets forth internal control, compliance, and reporting requirements as established by the Secretary, and such other terms and conditions necessary to carry out the purposes of this title, including an agreement by the State to allow the Secretary to audit State programs;</text></subparagraph>
<subparagraph id="HFD416733733C40BD87CF879534B25F34"><enum>(D)</enum><text>requires that the State program be fully positioned, within 90 days of the State's execution of the allocation agreement with the Secretary, to act on providing the kind of credit support that the State program was established to provide; and</text></subparagraph>
<subparagraph id="HA96228F831E4469E8A9114CFC9D28BBB"><enum>(E)</enum><text>includes an agreement by the State to deliver to the Secretary, and update annually, a schedule describing how the State intends to apportion among its State programs the Federal funds allocated to the State.</text></subparagraph></paragraph></subsection>
<subsection id="H0E112DB5D9CB4F879E639F3B050A0E7D"><enum>(c)</enum><header>Contractual arrangements for implementation of State programs</header><text>A State may be approved to be a participating State, and be eligible for an allocation of Federal funds under the Program, if the State has contractual arrangements for the implementation and administration of its State program with—</text>
<paragraph id="H2068415C47F441BAA45CBCEF38C0E06E"><enum>(1)</enum><text>an existing, approved State program administered by another State; or</text></paragraph>
<paragraph id="H85C73971A2144334A8533F2F0F431527"><enum>(2)</enum><text>an authorized agent of, or entity supervised by, the State, including for-profit and not-for-profit entities.</text></paragraph></subsection>
<subsection id="H7FC875F9B2C54982AC7B8431DA10B091"><enum>(d)</enum><header>Special permission</header>
<paragraph id="H08531A4C4B514FAFAF12FE3A2AEAABA3"><enum>(1)</enum><header>Circumstances when a municipality may apply directly</header><text>If a State does not, within 60 days after the date of enactment of this Act, file with the Secretary a notice of its intent to apply for approval by the Secretary of a State program or within 9 months after the date of enactment of this Act, file with the Secretary a complete application for approval of a State program, the Secretary may grant to municipalities of that State a special permission that will allow them to apply directly to the Secretary without the State for approval to be participating municipalities.</text></paragraph>
<paragraph id="HFD119D396F174BC5ABE16ED1A7CB388B"><enum>(2)</enum><header>Timing requirements applicable to municipalities applying directly</header><text>To qualify for the special permission, a municipality of a State shall be required, within 12 months after the date of enactment of this Act, to file with the Secretary a complete application for approval by the Secretary of a State program.</text></paragraph>
<paragraph id="H87D25C629BEC441F8A45FDAB096B5A80"><enum>(3)</enum><header>Notices of intent and applications from more than 1 municipality</header><text>A municipality of a State may combine with 1 or more other municipalities of that State to file a joint notice of intent to file and a joint application.</text></paragraph>
<paragraph id="H2EB4FC661A7B40D3B5C99CFECA9E1818"><enum>(4)</enum><header>Approval criteria</header><text>The general approval criteria in paragraphs (2) and (4) shall apply.</text></paragraph>
<paragraph id="H1638984ABCE3458A9C1417425924A089"><enum>(5)</enum><header>Allocation to municipalities</header>
<subparagraph id="H150EF8E9490E4B06A168927DFA7881E2"><enum>(A)</enum><header>If more than 3</header><text>If more than 3 municipalities, or combination of municipalities as provided in paragraph (3), of a State apply for approval by the Secretary to be participating municipalities under this subsection, and the applications meet the approval criteria in paragraph (4), the Secretary shall allocate Federal funds to the 3 municipalities with the largest populations.</text></subparagraph>
<subparagraph id="H72F41C2E7E4B44009A48A778C9CCB326"><enum>(B)</enum><header>If 3 or fewer</header><text>If 3 or fewer municipalities, or combination of municipalities as provided in paragraph (3), of a State apply for approval by the Secretary to be participating municipalities under this subsection, and the applications meet the approval criteria in paragraph (4), the Secretary shall allocate Federal funds to each applicant municipality or combination of municipalities.</text></subparagraph></paragraph>
<paragraph id="H2A09DD4B02EA4BDCAFBBF1F405797982"><enum>(6)</enum><header>Apportionment of allocated amount among participating municipalities</header><text>If the Secretary approves municipalities to be participating municipalities under this subsection, the Secretary shall apportion the full amount of the Federal funds that are allocated to that State to municipalities that are approved under this subsection in amounts proportionate to the population of those municipalities, based on the most recent available decennial census.</text></paragraph>
<paragraph id="H4A39C2D524F74CE78804B200CE57500D"><enum>(7)</enum><header>Approving State programs for municipalities</header><text>If the Secretary approves municipalities to be participating municipalities under this subsection, the Secretary shall take into account the additional considerations in section 3006(d) in making the determination under section 3005 or 3006 that the State program or programs to be implemented by the participating municipalities, including a State capital access program, is eligible for Federal contributions to, or for the account of, the State program.</text></paragraph></subsection></section>
<section id="H28ADDE1C03DA497081468524C2A3058F"><enum>3005.</enum><header>Approving State capital access programs</header>
<subsection id="HFCFBD51B43B64DEC9DA5CF0A1F072A33"><enum>(a)</enum><header>Application</header><text>A participating State that establishes a new, or has an existing, State capital access program that meets the eligibility criteria in subsection (c) may apply to Secretary to have the State capital access program approved as eligible for Federal contributions to the reserve fund.</text></subsection>
<subsection id="HA3F5E00FC76D48C2BB564E37B7520F41"><enum>(b)</enum><header>Approval</header><text>The Secretary shall approve such State capital access program as eligible for Federal contributions to the reserve fund if—</text>
<paragraph id="H427183AB69074864902F8F97345380B9"><enum>(1)</enum><text>within 60 days after the date of enactment of this Act, the State has filed with the Secretary a notice of intent to apply for approval by the Secretary of a State capital access program;</text></paragraph>
<paragraph id="H8F2D5273A4AD4FCBBF66110C3D0B2D0D"><enum>(2)</enum><text>within 9 months after the date of enactment of this Act, the State has filed with the Secretary a complete application for approval by the Secretary of a capital access program;</text></paragraph>
<paragraph id="HF45FE6AAF27D4492906ECA646B8C0548"><enum>(3)</enum><text>the State satisfies the requirements of subsections (a) and (b) of section 3004; and</text></paragraph>
<paragraph id="HEAF172742965482F8CC2D573FAFEF0E1"><enum>(4)</enum><text>the State capital access program meets the eligibility criteria in subsection (c).</text></paragraph></subsection>
<subsection id="H29D09AF2D33846198415BCD33F27F989"><enum>(c)</enum><header>Eligibility criteria for State capital access programs</header><text>For a State capital access program to be approved under this section, that program shall be required to be a program of the State that—</text>
<paragraph id="H5125C833158E4D72AB6A903B56532A4E"><enum>(1)</enum><text>provides portfolio insurance for business loans based on a separate loan-loss reserve fund for each financial institution;</text></paragraph>
<paragraph id="H248ABA24C2144B138D5DD3CDBF4538B4"><enum>(2)</enum><text>requires insurance premiums to be paid by the financial institution lenders and by the business borrowers to the reserve fund to have their loans enrolled in the reserve fund;</text></paragraph>
<paragraph id="HF5BDB66209914D259A6347CEED9CE3E7"><enum>(3)</enum><text>provides for contributions to be made by the State to the reserve fund in amounts at least equal to the sum of the amount of the insurance premium charges paid by the borrower and the financial institution to the reserve fund for any newly enrolled loan; and</text></paragraph>
<paragraph id="H87DC1BB92B77483A9FD06134BCFB7529"><enum>(4)</enum><text>provides its portfolio insurance solely for loans that meet both the following requirements:</text>
<subparagraph id="H9FA693F576994EBAB51A2794DB9A7D73"><enum>(A)</enum><text>The borrower has 500 employees or less at the time that the loan is enrolled in the Program.</text></subparagraph>
<subparagraph id="H37F11700E41645F09339402FAABBF42D"><enum>(B)</enum><text>The loan amount does not exceed $5,000,000.</text></subparagraph></paragraph></subsection>
<subsection id="H00466E39C7EA4DBAB45F35E0A76048BC"><enum>(d)</enum><header>Federal contributions to approved State capital access programs</header><text>A State capital access program approved under this section will be eligible for receiving Federal contributions to the reserve fund in an amount equal to the sum of the amount of the insurance premium charges paid by the borrowers and by the financial institution to the reserve fund for loans that meet the requirements in subsection (c)(4). A participating State may use the Federal contribution to make its contribution to the reserve fund of an approved State capital access program.</text></subsection>
<subsection id="HA4C5034E942E45BEB4BB49DEBBFF43E9"><enum>(e)</enum><header>Minimum program requirements for State capital access programs</header><text>The Secretary shall, by regulation or other guidance, prescribe Program requirements that meet the following minimum requirements:</text>
<paragraph id="H199405BAB2934ED68497BA889C8C0442"><enum>(1)</enum><header>Experience and capacity</header><text>The participating State shall determine for each financial institution that participates in the State capital access program, after consultation with the appropriate Federal banking agency or, in the case of a financial institution that is a nondepository community development financial institution, the Community Development Financial Institution Fund, that the financial institution has sufficient commercial lending experience and financial and managerial capacity to participate in the approved State capital access program. The determination by the State shall not be reviewable by the Secretary.</text></paragraph>
<paragraph id="H94C7E1DA635149BCA05ADB3FF2BFEA4B"><enum>(2)</enum><header>Investment authority</header><text>Subject to applicable State law, the participating State may invest, or cause to be invested, funds held in a reserve fund by establishing a deposit account at the financial institution lender in the name of the participating State. In the event that funds in the reserve fund are not deposited in such an account, such funds shall be invested in a form that the participating State determines is safe and liquid.</text></paragraph>
<paragraph id="HB0D260B1B637451DAF1E4BF6B8BF9E77"><enum>(3)</enum><header>Loan terms and conditions to be determined by agreement</header><text>A loan to be filed for enrollment in an approved State capital access program may be made with such interest rate, fees, and other terms and conditions, and the loan may be enrolled in the approved State capital access program and claims may be filed and paid, as agreed upon by the financial institution lender and the borrower, consistent with applicable law.</text></paragraph>
<paragraph id="H57DD7DC855FA45BA949EF7DA76E0C4D7"><enum>(4)</enum><header>Lender capital at-risk</header><text>A loan to be filed for enrollment in the State capital access program shall require the financial institution lender to have a meaningful amount of its own capital resources at risk in the loan.</text></paragraph>
<paragraph id="H5B3BC494FC744D738DE6CF636DC19A10"><enum>(5)</enum><header>Premium charges minimum and maximum amounts</header><text>The insurance premium charges payable to the reserve fund by the borrower and the financial institution lender shall be prescribed by the financial institution lender, within minimum and maximum limits that require that the sum of the insurance premium charges paid in connection with a loan by the borrower and the financial institution lender may not be less than 2 percent nor more than 7 percent of the amount of the loan enrolled in the approved State capital access program.</text></paragraph>
<paragraph id="HD640011D35454A94959A5CC4E0EDA6F8"><enum>(6)</enum><header>State contributions</header><text>In enrolling a loan in an approved State capital access program, the participating State may make a contribution to the reserve fund to supplement Federal contributions made under this Program.</text></paragraph>
<paragraph id="H63E91F501C034784906E72165EBB2ED3"><enum>(7)</enum><header>Loan purpose</header>
<subparagraph id="H400F28E4D2B04E0FA856B86C04F92738"><enum>(A)</enum><header>Particular loan purpose requirements and prohibitions</header><text>In connection with the filing of a loan for enrollment in an approved State capital access program, the financial institution lender—</text>
<clause id="H842FB35AE84A43DBB1678937D10734A6"><enum>(i)</enum><text>shall obtain an assurance from each borrower that—</text>
<subclause id="H03947DAD5050418F96B85D87DB72642C"><enum>(I)</enum><text>the proceeds of the loan will be used for a business purpose;</text></subclause>
<subclause id="H00B4B163A3DE4EFC8C41E46602340292"><enum>(II)</enum><text>the loan will not be used to finance such business activities as the Secretary, by regulation, may proscribe as prohibited loan purposes for enrollment in an approved State capital access program; and</text></subclause>
<subclause id="H56256D9626E94B998E95BFE65F9D4417"><enum>(III)</enum><text>the borrower is not—</text>
<item id="H53FFCD3E0B2B45A689FD4FC9FEF8B596"><enum>(aa)</enum><text>an executive officer, director, or principal shareholder of the financial institution lender;</text></item>
<item id="HAF94E38F13B04EE5AF19744F162878EA"><enum>(bb)</enum><text>a member of the immediate family of an executive officer, director, or principal shareholder of the financial institution lender; or</text></item>
<item id="HD8C3CCFA217C44CD83612EEAED140027"><enum>(cc)</enum><text>a related interest of any such executive officer, director, principal shareholder, or member of the immediate family;</text></item></subclause></clause>
<clause id="HB163688925344ED3813FBD91B5BE0119"><enum>(ii)</enum><text>shall provide assurances to the participating State that the loan has not been made in order to place under the protection of the approved State capital access program prior debt that is not covered under the approved State capital access program and that is or was owed by the borrower to the financial institution lender or to an affiliate of the financial institution lender;</text></clause>
<clause id="HC3AA4A3D82F64D26B687665F5DCEA3AD"><enum>(iii)</enum><text>shall not allow the enrollment of a loan to a borrower that is a refinancing of a loan previously made to that borrower by the financial institution lender or an affiliate of the financial institution lender; and</text></clause>
<clause id="H9A1F7C75DCB74BD89AD2AFD21B219D25"><enum>(iv)</enum><text>may include additional restrictions on the eligibility of loans or borrowers that are not inconsistent with the provisions and purposes of this title, including compliance with all applicable Federal and State laws, regulations, ordinances, and Executive orders.</text></clause></subparagraph>
<subparagraph id="H9DBC28E393AF420B9F13C25C37046298"><enum>(B)</enum><header>Definitions</header><text>In this paragraph, the terms <term>executive officer</term>, <term>director</term>, <term>principal shareholder</term>, <term>immediate family</term>, and <term>related interest</term> refer to the same relationship to a financial institution lender as the relationship described in part 215 of title 12 of the Code of Federal Regulations, or any successor to such part.</text></subparagraph></paragraph>
<paragraph id="H593BC7F4849547218F58B16D0D5102B5"><enum>(8)</enum><header>Capital access for small businesses in underserved communities</header><text>At the time that a State applies to the Secretary to have the State capital access program approved as eligible for Federal contributions, the State shall deliver to the Secretary a report stating how the State plans to use the Federal contributions to the reserve fund to provide access to capital for small businesses in low- and moderate-income, minority, and other underserved communities, including women- and minority-owned small businesses.</text></paragraph></subsection></section>
<section id="H5A5AF6FD8446423DB27DE251C29942B6"><enum>3006.</enum><header>Approving collateral support and other innovative credit access and guarantee initiatives for small businesses and manufacturers</header>
<subsection id="H694666706A94473AB445C0F5D4892B2E"><enum>(a)</enum><header>Application</header><text>A participating State that establishes a new, or has an existing, credit support program that meets the eligibility criteria in subsection (c) may apply to the Secretary to have the State other credit support program approved as eligible for Federal contributions to, or for the account of, the State program.</text></subsection>
<subsection id="HAE807D9712C54EC5A6208904B95F8455"><enum>(b)</enum><header>Approval</header><text>The Secretary shall approve such State other credit support program as eligible for Federal contributions to, or for the account of, the program if—</text>
<paragraph id="H68E2F5239A2C42A393E2D6553F079250"><enum>(1)</enum><text>the Secretary determines that the State satisfies the requirements of paragraphs (1) through (3) of section 3005(b);</text></paragraph>
<paragraph id="HC7A0AF9C91A24016801DD1822F466C2D"><enum>(2)</enum><text>the Secretary determines that the State other credit support program meets the eligibility criteria in subsection (c);</text></paragraph>
<paragraph id="HABB9BE2572694DACA6042C40BC9070F3"><enum>(3)</enum><text>the Secretary determines the State other credit support program to be eligible based on the additional considerations in subsection (d); and</text></paragraph>
<paragraph id="H6E475FC0C1AF401C92BE7742D1FC3A3F"><enum>(4)</enum><text>within 9 months after the date of enactment of this Act, the State has filed with Treasury a complete application for Treasury approval.</text></paragraph></subsection>
<subsection id="H99A60BAC168B4D5685F7A8420228FDDC"><enum>(c)</enum><header>Eligibility criteria for State other credit support programs</header><text>For a State other credit support program to be approved under this section, that program shall be required to be a program of the State that—</text>
<paragraph id="H157C64C9030D4F059E17CC4BDB413E01"><enum>(1)</enum><text>can demonstrate that, at a minimum, $1 of public investment by the State program will cause and result in $1 of new private credit;</text></paragraph>
<paragraph id="HDF849D457E72495190353481F979318C"><enum>(2)</enum><text>can demonstrate a reasonable expectation that, when considered with all other State programs of the State, such State programs together have the ability to use amounts of new Federal contributions to, or for the account of, all such programs in the State to cause and result in amounts of new small business lending at least 10 times the new Federal contribution amount;</text></paragraph>
<paragraph id="H21464CCABFCE44C7885C6D970A57D769"><enum>(3)</enum><text>for those State other credit support programs that provide their credit support through 1 or more financial institution lenders, requires the financial institution lenders to have a meaningful amount of their own capital resources at risk in their small business lending; and</text></paragraph>
<paragraph id="HEF3E58950B1C4B53AB1718963E73C68D"><enum>(4)</enum><text>uses Federal funds allocated under this title to extend credit support that—</text>
<subparagraph id="H6E8C6461CE824D0491AF7147D508B734"><enum>(A)</enum><text>targets an average borrower size of 500 employees or less;</text></subparagraph>
<subparagraph id="H35928689154646F88F383D6B524E22C4"><enum>(B)</enum><text>does not extend credit support to borrowers that have more than 750 employees;</text></subparagraph>
<subparagraph id="H34E24ACC07C34462AF257C1DC9F1AC1D"><enum>(C)</enum><text>targets support towards loans with an average principal amount of $5,000,000 or less; and</text></subparagraph>
<subparagraph id="H054C3FE1AF9945759EFBCBAABABF5EE8"><enum>(D)</enum><text>does not extend credit support to loans that exceed a principal amount of $20,000,000.</text></subparagraph></paragraph></subsection>
<subsection id="HB22430500BCD43CAA7791D647BF52EC4"><enum>(d)</enum><header>Additional considerations</header><text>In making a determination that a State other credit support program is eligible for Federal contributions to, or for the account of, the State program, the Secretary shall take into account the following additional considerations:</text>
<paragraph id="HC7E6AD908CBD43AABD09266941C7605B"><enum>(1)</enum><text>The anticipated benefits to the State, its businesses, and its residents to be derived from the Federal contributions to, or for the account of, the approved State other credit support program, including the extent to which resulting small business lending will expand economic opportunities.</text></paragraph>
<paragraph id="HB50D081ED5BE48DA920BD129C6CB9779"><enum>(2)</enum><text>The operational capacity, skills, and experience of the management team of the State other credit support program.</text></paragraph>
<paragraph id="H0E76D8F3D9BC41CD9B7438D757F1264E"><enum>(3)</enum><text>The capacity of the State other credit support program to manage increases in the volume of its small business lending.</text></paragraph>
<paragraph id="H17A8C65FF8274691A58CA88DB28BD329"><enum>(4)</enum><text>The internal accounting and administrative controls systems of the State other credit support program, and the extent to which they can provide reasonable assurance that funds of the State program are safeguarded against waste, loss, unauthorized use, or misappropriation.</text></paragraph>
<paragraph id="H908729C386A04DE599B5D69075AF9DAE"><enum>(5)</enum><text>The soundness of the program design and implementation plan of the State other credit support program.</text></paragraph></subsection>
<subsection id="H7F5E6713C7244245867B05896E68FE7D"><enum>(e)</enum><header>Federal contributions to approved State other credit support programs</header><text>A State other credit support program approved under this section will be eligible for receiving Federal contributions to, or for the account of, the State program in an amount consistent with the schedule describing the apportionment of allocated Federal funds among State programs delivered by the State to the Secretary under the allocation agreement.</text></subsection>
<subsection id="H719A56C7353F42D088AEAD2CC6452E0E"><enum>(f)</enum><header>Minimum program requirements for State other credit support programs</header>
<paragraph id="H6453355570474044B713313DA71172E7"><enum>(1)</enum><header>Fund to prescribe</header><text>The Secretary shall, by regulation or other guidance, prescribe Program requirements for approved State other credit support programs.</text></paragraph>
<paragraph id="H08F411FA2B76403B8BF919F553AA43D6"><enum>(2)</enum><header>Considerations for fund</header><text>In prescribing minimum Program requirements for approved State other credit support programs, the Secretary shall take into consideration, to the extent the Secretary determines applicable and appropriate, the minimum Program requirements for approved State capital access programs in section 3005(e).</text></paragraph></subsection></section>
<section id="H3ADF8C8553E042D2B75257B3DF34FD16"><enum>3007.</enum><header>Reports</header>
<subsection id="H42EC87A535424FA1942A5ED5DEB23D48"><enum>(a)</enum><header>Quarterly use-of-funds report</header>
<paragraph id="HA9C945D634554D6784536D5B50C7AB4A"><enum>(1)</enum><header>In general</header><text>Not later than 30 days after the beginning of each calendar quarter, beginning after the first full calendar quarter to occur after the date the Secretary approves a State for participation, the participating State shall submit to the Secretary a report on the use of Federal funding by the participating State during the previous calendar quarter.</text></paragraph>
<paragraph id="HF70FF254D07A415F9A604769423B6B20"><enum>(2)</enum><header>Report contents</header><text>Each report under this subsection shall—</text>
<subparagraph id="H401CFA69BE9A4CE5AE7C45D7BFC1B03D"><enum>(A)</enum><text>indicate the total amount of Federal funding used by the participating State; and</text></subparagraph>
<subparagraph id="H06A7741FA7DD406883611CA2A83C9126"><enum>(B)</enum><text>include a certification by the participating State that—</text>
<clause id="HC9373D49EDD146068FA69EA8535E2BA9"><enum>(i)</enum><text>the information provided in accordance with subparagraph (A) is accurate;</text></clause>
<clause id="H481524A258C544168134ECA102F5D062"><enum>(ii)</enum><text>funds continue to be available and legally committed to contributions by the State to, or for the account of, approved State programs, less any amount that has been contributed by the State to, or for the account of, approved State programs subsequent to the State being approved for participation in the Program; and</text></clause>
<clause id="HF6CBFFA2D52641229405B04F433BD2B9"><enum>(iii)</enum><text>the participating State is implementing its approved State program or programs in accordance with this title and regulations issued under section 3010.</text></clause></subparagraph></paragraph></subsection>
<subsection id="H06AC0E68D08F473BB6C00E8B6A175943"><enum>(b)</enum><header>Annual report</header><text>Not later than March 31 of each year, beginning March 31, 2011, each participating State shall submit to the Secretary an annual report that shall include the following information:</text>
<paragraph id="H7587BF43AE3D43209FE8AD86A7352B5A"><enum>(1)</enum><text>The number of borrowers that received new loans originated under the approved State program or programs after the State program was approved as eligible for Federal contributions.</text></paragraph>
<paragraph id="HEEAF55B6A7A34713963DADD192401451"><enum>(2)</enum><text>The total amount of such new loans.</text></paragraph>
<paragraph id="H0B8D9859D274448896F042DB20941B3D"><enum>(3)</enum><text>Breakdowns by industry type, loan size, annual sales, and number of employees of the borrowers that received such new loans.</text></paragraph>
<paragraph id="HE462511958254A47817F68BD846417B1"><enum>(4)</enum><text>The zip code of each borrower that received such a new loan.</text></paragraph>
<paragraph id="HD2E509A0FBF54D25AE7F83705D55897B"><enum>(5)</enum><text>Such other data as the Secretary, in the Secretary's sole discretion, may require to carry out the purposes of the Program.</text></paragraph></subsection>
<subsection id="H71BF9D30C25C4956BAE4CDD668E6C9BC"><enum>(c)</enum><header>Form</header><text>The reports and data filed under subsections (a) and (b) shall be in such form as the Secretary, in the Secretary's sole discretion, may require.</text></subsection>
<subsection id="H2B9A55D6C1DF42109C9078172B2DBC45"><enum>(d)</enum><header>Termination of reporting requirements</header><text>The requirement to submit reports under subsections (a) and (b) shall terminate for a participating State with the submission of the completed reports due on the first March 31 to occur after 5 complete 12-month periods after the State is approved by the Secretary to be a participating State.</text></subsection></section>
<section id="H1307EAEB778E40D193E7DABED9416F93"><enum>3008.</enum><header>Remedies for State program termination or failures</header>
<subsection id="HCF5EFDA9F4094F9F8947C819BCBF2B20"><enum>(a)</enum><header>Remedies</header>
<paragraph id="HD03967ECA7CF420FA500BD44EEBA5265"><enum>(1)</enum><header>In general</header><text>If any of the events listed in paragraph (2) occur, the Secretary, in the Secretary's discretion, may—</text>
<subparagraph id="H6910939A905D46CC8C2BCEE357CAE97C"><enum>(A)</enum><text>reduce the amount of Federal funds allocated to the State under the Program; or</text></subparagraph>
<subparagraph id="HF943DEB365154D0A94B543FD9ECD1BD5"><enum>(B)</enum><text>terminate any further transfers of allocated amounts that have not yet been transferred to the State.</text></subparagraph></paragraph>
<paragraph id="H057F5F17ABA946AD98E97A98D7DFFE88"><enum>(2)</enum><header>Causal events</header><text>The events referred to in paragraph (1) are—</text>
<subparagraph id="HDE24740281E142DBB3DD87E6DA856828"><enum>(A)</enum><text>termination by a participating State of its participation in the Program;</text></subparagraph>
<subparagraph id="H076D5CEE67214244944E63D96A517982"><enum>(B)</enum><text>failure on the part of a participating State to submit complete reports under section 3007 on a timely basis; or</text></subparagraph>
<subparagraph id="H5300CDEAAD364DAC8CAB101504AC6816"><enum>(C)</enum><text>noncompliance by the State with the terms of the allocation agreement between the Secretary and the State.</text></subparagraph></paragraph></subsection>
<subsection id="H48C003F02D914F66943E87CB7AB47345"><enum>(b)</enum><header>Deallocated amounts To Be reallocated</header><text>If, after 13 months, any portion of the amount of Federal funds allocated to a participating State is deemed by the Secretary to be no longer allocated to the State after actions taken by the Secretary under subsection (a)(1), the Secretary shall reallocate that portion among the participating States, excluding the State whose allocated funds were deemed to be no longer allocated, as provided in section 3003(b).</text></subsection></section>
<section id="HA2E38EFDA50645C0B8D6BA4874599C0A"><enum>3009.</enum><header>Implementation and administration</header>
<subsection id="H44F8A15494FE467FA256B3D7BA931AED"><enum>(a)</enum><header>General authorities and duties</header><text>The Secretary shall—</text>
<paragraph id="HE6445A5C648D42B290729B3317E34B5D"><enum>(1)</enum><text>consult with the Administrator of the Small Business Administration and the appropriate Federal banking agencies on the administration of the Program;</text></paragraph>
<paragraph id="H4028DEE129194163B23C8E8784818E82"><enum>(2)</enum><text>establish minimum national standards for approved State programs;</text></paragraph>
<paragraph id="HDA8F9B9CD97D490C890D668FC9398735"><enum>(3)</enum><text>provide technical assistance to States for starting State programs and generally disseminate best practices;</text></paragraph>
<paragraph id="HDBD4CD148CF3413EA0FC26BB67C30C5B"><enum>(4)</enum><text>manage, administer, and perform necessary program integrity functions for the Program; and</text></paragraph>
<paragraph id="H292FA8442C7F4ACEB38E933DB3387516"><enum>(5)</enum><text>ensure adequate oversight of the approved State programs, including oversight of the cash flows, performance, and compliance of each approved State program.</text></paragraph></subsection>
<subsection id="HA4F72877FB994D798D484BF2350C0CCC"><enum>(b)</enum><header>Appropriations</header><text>There is hereby appropriated to the Secretary, out of funds in the Treasury not otherwise appropriated, $1,500,000,000 to carry out the Program, including to pay reasonable costs of administering the Program.</text></subsection>
<subsection id="HEEFD17840EA144B2ADF1F880B0217E59"><enum>(c)</enum><header>Termination of Secretary's program administration functions</header><text>The authorities and duties of the Secretary to implement and administer the Program shall terminate at the end of the 7-year period beginning on the date of enactment of this Act.</text></subsection>
<subsection id="HA1EC6BB3B7A644DF952C0CC084FB0126"><enum>(d)</enum><header>Expedited contracting</header><text>During the 1-year period beginning on the date of enactment of this Act, the Secretary may enter into contracts without regard to any other provision of law regarding public contracts, for purposes of carrying out this title.</text></subsection></section>
<section id="H9D16FF76DE3F4AB8AE8FC2BB34197DA2"><enum>3010.</enum><header>Regulations</header><text display-inline="no-display-inline">The Secretary, in consultation with the Administrator of the Small Business Administration, shall issue such regulations and other guidance as the Secretary determines necessary or appropriate to implement this title including to define terms, to establish compliance and reporting requirements, and such other terms and conditions necessary to carry out the purposes of this title.</text></section>
<section id="H665C255BC6204E33BB03D612BFFA95A3"><enum>3011.</enum><header>Oversight and audits</header>
<subsection id="H59EDE7B326EA4E3FA915A790B5B65605"><enum>(a)</enum><header>Inspector General oversight</header><text>The Inspector General of the Department of the Treasury shall conduct, supervise, and coordinate audits and investigations of the use of funds made available under the Program.</text></subsection>
<subsection id="HB241B23496134A3F9B64463291727FB9"><enum>(b)</enum><header>GAO audit</header><text>The Comptroller General of the United States shall perform an annual audit of the Program and issue a report to the appropriate committees of Congress containing the results of such audit.</text></subsection>
<subsection id="H6CE47742401F44B48CB63DA3C7257895"><enum>(c)</enum><header>Required certification</header>
<paragraph id="HAE7B6F94922B4FCE9F7C125017F0B289"><enum>(1)</enum><header>Financial institutions certification</header><text>With respect to funds received by a participating State under the Program, any financial institution that receives a loan, a loan guarantee, or other financial assistance using such funds after the date of the enactment of this Act shall certify that such institution is in compliance with the requirements of section 103.121 of title 31, Code of Federal Regulations, a regulation that, at a minimum, requires financial institutions, as that term is defined in section 5312 (a)(2) and (c)(1)(A) of title 31, United States Code, to implement reasonable procedures to verify the identity of any person seeking to open an account, to the extent reasonable and practicable, maintain records of the information used to verify the person's identity, and determine whether the person appears on any lists of known or suspected terrorists or terrorist organizations provided to the financial institution by any government agency.</text></paragraph>
<paragraph id="H951B183BD6654C449592189176D992A0"><enum>(2)</enum><header>Sex offense certification</header><text>With respect to funds received by a participating State under the Program, any private entity that receives a loan, a loan guarantee, or other financial assistance using such funds after the date of the enactment of this Act shall certify to the participating State that the principals of such entity have not been convicted of a sex offense against a minor (as such terms are defined in section 111 of the Sex Offender Registration and Notification Act (42 U.S.C. 16911)).</text></paragraph></subsection>
<subsection id="HEB769FE69E934968B630743B447E7042"><enum>(d)</enum><header>Prohibition on pornography</header><text>None of the funds made available under this title may be used to pay the salary of any individual engaged in activities related to the Program who has been officially disciplined for violations of subpart G of the Standards of Ethical Conduct for Employees of the Executive Branch for viewing, downloading, or exchanging pornography, including child pornography, on a Federal Government computer or while performing official Federal Government duties.</text></subsection></section>
<enum>IV</enum><header>Additional small business provisions</header>
<subtitle id="H3911A57C1E6845C6997B4C8B755A4B0C"><enum>A</enum><header>Small Business Lending Fund</header>
<section id="H517B0C1651AE4F03B048F7B1B4DB67F3"><enum>4101.</enum><header>Purpose</header><text display-inline="no-display-inline">The purpose of this subtitle is to address the ongoing effects of the financial crisis on small businesses by providing temporary authority to the Secretary of the Treasury to make capital investments in eligible institutions in order to increase the availability of credit for small businesses.</text></section>
<section id="H04BDCD58469445C8A71EDA1D50D45816"><enum>4102.</enum><header>Definitions</header><text display-inline="no-display-inline">For purposes of this subtitle:</text>
<paragraph id="H6C6E274A954E4A92B416A13D4D391F21"><enum>(1)</enum><header>Appropriate committees of Congress</header><text>The term <term>appropriate committees of Congress</term> means—</text>
<subparagraph id="H6FBA28B6080C452B9978C538834F37FE"><enum>(A)</enum><text>the Committee on Small Business and Entrepreneurship, the Committee on Agriculture, Nutrition, and Forestry, the Committee on Banking, Housing, and Urban Affairs, the Committee on Finance, the Committee on the Budget, and the Committee on Appropriations of the Senate; and</text></subparagraph>
<subparagraph id="H0B9EBD9D448F4EDC8737E4CF1D2C57F1"><enum>(B)</enum><text>the Committee on Small Business, the Committee on Agriculture, the Committee on Financial Services, the Committee on Ways and Means, the Committee on the Budget, and the Committee on Appropriations of the House of Representatives.</text></subparagraph></paragraph>
<paragraph id="H6EC53DAFE9DD477AB5CCD42E58CDECD5"><enum>(2)</enum><header>Appropriate Federal banking agency</header><text>The term <term>appropriate Federal banking agency</term> has the meaning given such term under section 3(q) of the Federal Deposit Insurance Act (12 U.S.C. 1813(q)).</text></paragraph>
<paragraph id="H577616D4D3384013A5FDF1D0640B47A5"><enum>(3)</enum><header>Bank holding company</header><text>The term <term>bank holding company</term> has the meaning given such term under section 2(a)(1) of the Bank Holding Company Act of 1956 (12 U.S.C. 1841(2)(a)(1)).</text></paragraph>
<paragraph id="H473FA5DFA43646C7BE3997BBAEC5C48B"><enum>(4)</enum><header>Call report</header><text>The term <term>call report</term> means—</text>
<subparagraph id="H86D4F35AF544421ABCEFBBCA06791E74"><enum>(A)</enum><text>reports of Condition and Income submitted to the Office of the Comptroller of the Currency, the Board of Governors of the Federal Reserve System, and the Federal Deposit Insurance Corporation;</text></subparagraph>
<subparagraph id="HDEC1DCEEA1514F4891529BDB5203D7C3"><enum>(B)</enum><text>the Office of Thrift Supervision Thrift Financial Report;</text></subparagraph>
<subparagraph id="H7C06D6ABDC27481BAC14F0BE8F66C4AB"><enum>(C)</enum><text>any report that is designated by the Office of the Comptroller of the Currency, the Board of Governors of the Federal Reserve System, the Federal Deposit Insurance Corporation, or the Office of Thrift Supervision, as applicable, as a successor to any report referred to in subparagraph (A) or (B);</text></subparagraph>
<subparagraph id="H25C86EB3B5974F0E8D4BACD48B678CF7"><enum>(D)</enum><text>reports of Condition and Income as designated through guidance developed by the Secretary, in consultation with the Director of the Community Development Financial Institutions Fund; and</text></subparagraph>
<subparagraph id="H7608B4067ADB443F9F2F4158E392C0BE"><enum>(E)</enum><text>with respect to an eligible institution for which no report exists that is described under subparagraph (A), (B), (C), or (D), such other report or set of information as the Secretary, in consultation with the Administrator of the Small Business Administration, may prescribe.</text></subparagraph></paragraph>
<paragraph id="H44459B826C7B4DD096EA65487119F209"><enum>(5)</enum><header>CDCI</header><text>The term <term>CDCI</term> means the Community Development Capital Initiative created by the Secretary under the Troubled Asset Relief Program established by the Emergency Economic Stabilization Act of 2008.</text></paragraph>
<paragraph id="H02DDCA16FF9649739F265A1903D5349C"><enum>(6)</enum><header>CDCI investment</header><text>The term <term>CDCI investment</term> means, with respect to any eligible institution, the principal amount of any investment made by the Secretary in such eligible institution under the CDCI that has not been repaid.</text></paragraph>
<paragraph id="HCB41A81609814BA688ACC62BBA2662A3"><enum>(7)</enum><header>CDFI; community development financial institution</header><text>The terms <term>CDFI</term> and <term>community development financial institution</term> have the meaning given the term <term>community development financial institution</term> under the Riegle Community Development and Regulatory Improvement Act of 1994.</text></paragraph>
<paragraph id="HA9E72B6C234B4A2DB3F55A1872C68681"><enum>(8)</enum><header>CDLF; community development loan fund</header><text>The terms <term>CDLF</term> and <term>community development loan fund</term> mean any entity that—</text>
<subparagraph id="H8A5A357E83D0431CAC601C58A6A01670"><enum>(A)</enum><text>is certified by the Department of the Treasury as a community development financial institution loan fund;</text></subparagraph>
<subparagraph id="H2581FC0BC6B94C049C3BB515C4077F42"><enum>(B)</enum><text>is exempt from taxation under the Internal Revenue Code of 1986; and</text></subparagraph>
<subparagraph id="HBF4859C59E964B918324C7D8864452EC"><enum>(C)</enum><text>had assets less than or equal to $10,000,000,000 as of the end of the fourth quarter of calendar year 2009.</text></subparagraph></paragraph>
<paragraph id="H4AD943322ED84CABBADD0068AE343B9B"><enum>(9)</enum><header>CPP</header><text>The term <term>CPP</term> means the Capital Purchase Program created by the Secretary under the Troubled Asset Relief Program established by the Emergency Economic Stabilization Act of 2008.</text></paragraph>
<paragraph id="H044315072C68490C81A2074F900DAAE4"><enum>(10)</enum><header>CPP investment</header><text>The term <term>CPP investment</term> means, with respect to any eligible institution, the principal amount of any investment made by the Secretary in such eligible institution under the CPP that has not been repaid.</text></paragraph>
<paragraph id="H8E281E9810BE41B099427C3CA554C1F4"><enum>(11)</enum><header>Eligible institution</header><text>The term <term>eligible institution</term> means—</text>
<subparagraph id="H582D09A0B04C4913A371F46955F256B0"><enum>(A)</enum><text>any insured depository institution, which—</text>
<clause id="H42A298AF0D864C1180038CACCDA65877"><enum>(i)</enum><text>is not controlled by a bank holding company or savings and loan holding company that is also an eligible institution;</text></clause>
<clause id="H576A5128341B4C9B867A46AFDEF78B93"><enum>(ii)</enum><text>has total assets of equal to or less than $10,000,000,000, as reported in the call report of the insured depository institution as of the end of the fourth quarter of calendar year 2009; and</text></clause>
<clause id="HAE65048CD121421BA304913AFA7F5FB7"><enum>(iii)</enum><text>is not directly or indirectly controlled by any company or other entity that has total consolidated assets of more than $10,000,000,000, as so reported;</text></clause></subparagraph>
<subparagraph id="H8801C046C6D14581B78AFD8DE516D071"><enum>(B)</enum><text>any bank holding company which has total consolidated assets of equal to or less than $10,000,000,000, as reported in the call report of the bank holding company as of the end of the fourth quarter of calendar year 2009;</text></subparagraph>
<subparagraph id="H93569124CC3E4D3A9D5AACCEC6CF22F3"><enum>(C)</enum><text>any savings and loan holding company which has total consolidated assets of equal to or less than $10,000,000,000, as reported in the call report of the savings and loan holding company as of the end of the fourth quarter of calendar year 2009; and</text></subparagraph>
<subparagraph id="H72278CF3FD454A839DBAFE3E8FC2294A"><enum>(D)</enum><text>any community development financial institution loan fund which has total assets of equal to or less than $10,000,000,000, as reported in audited financial statements for the fiscal year of the community development financial institution loan fund that ends in calendar year 2009.</text></subparagraph></paragraph>
<paragraph id="HD86C51B63C0941F6A9D8276441A9F3ED"><enum>(12)</enum><header>Fund</header><text>The term <term>Fund</term> means the Small Business Lending Fund established under section 4103(a)(1).</text></paragraph>
<paragraph id="H6D4D64E2ECB44F60A798A63922ECCE84"><enum>(13)</enum><header>Insured depository institution</header><text>The term <term>insured depository institution</term> has the meaning given such term under section 3(c)(2) of the Federal Deposit Insurance Act (12 U.S.C. 1813(c)(2)).</text></paragraph>
<paragraph id="H79496A0CF1DD4EBCBB8AC6185515AB6A"><enum>(14)</enum><header>Minority-owned and women-owned business</header><text>The terms <term>minority-owned business</term> and <term>women-owned business</term> shall have the meaning given the terms <term>minority-owned business</term> and <term>women's business</term>, respectively, under section 21A(r)(4) of the Federal Home Loan Bank Act (12 U.S.C. 1441A(r)(4)).</text></paragraph>
<paragraph id="H47DD78953ADF4A9CA51BAB87F647C99F"><enum>(15)</enum><header>Program</header><text>The term <term>Program</term> means the Small Business Lending Fund Program authorized under section 4103(a)(2).</text></paragraph>
<paragraph id="H274F71C8D28346199A3AE542F4C78286"><enum>(16)</enum><header>Savings and loan holding company</header><text>The term <term>savings and loan holding company</term> has the meaning given such term under section 10(a)(1)(D) of the Home Owners' Loan Act (12 U.S.C. 1467a(a)(1)(D)).</text></paragraph>
<paragraph id="H6DCC9961C2F14E61A81DB85B18B2B93A"><enum>(17)</enum><header>Secretary</header><text>The term <term>Secretary</term> means the Secretary of the Treasury.</text></paragraph>
<paragraph id="H3BE1642C4B274883959270C677855955"><enum>(18)</enum><header>Small business lending</header>
<subparagraph id="H780FB321E62F461F900BD1BC0EE89EB8"><enum>(A)</enum><header>In general</header><text>The term <term>small business lending</term> means lending, as defined by and reported in an eligible institutions' quarterly call report, where each loan comprising such lending is one of the following types:</text>
<clause id="HCC117BDAFB494FE996A75803F2FE46F7"><enum>(i)</enum><text>Commercial and industrial loans.</text></clause>
<clause id="HEAD60BAB1B6549C1ADDDDD4345CDE66B"><enum>(ii)</enum><text>Owner-occupied nonfarm, nonresidential real estate loans.</text></clause>
<clause id="HCFA8F0BD02BF47F0B142908BC586298D"><enum>(iii)</enum><text>Loans to finance agricultural production and other loans to farmers.</text></clause>
<clause id="H1EB45FB6CC854FEBB26FF73FEC6C0FB5"><enum>(iv)</enum><text>Loans secured by farmland.</text></clause></subparagraph>
<subparagraph id="H387F900DDA3B44C9AC773CB7D9750DE3"><enum>(B)</enum><header>Exclusion</header><text>No loan that has an original amount greater than $10,000,000 or that goes to a business with more than $50,000,000 in revenues shall be included in the measure.</text></subparagraph>
<subparagraph id="H1A18C338F0F8462EB352A291BB963724"><enum>(C)</enum><header>Treatment of holding companies</header><text>In the case of eligible institutions that are bank holding companies or savings and loan holding companies having one or more insured depository institution subsidiaries, small business lending shall be measured based on the combined small business lending reported in the call report of the insured depository institution subsidiaries.</text></subparagraph></paragraph>
<paragraph id="HB80F27712FD44682B281F36A5E292D38"><enum>(19)</enum><header>Veteran-owned business</header>
<subparagraph id="H9E922A30A2364D81A3EBD3D1B10DF51D"><enum>(A)</enum><text>The term <term>veteran-owned business</term> means a business—</text>
<clause id="HF24F27521FDF44E384D0E024483F4209"><enum>(i)</enum><text>more than 50 percent of the ownership or control of which is held by 1 or more veterans;</text></clause>
<clause id="HE51224842FB64BF58581D0A1A88990E9"><enum>(ii)</enum><text>more than 50 percent of the net profit or loss of which accrues to 1 or more veterans; and</text></clause>
<clause id="H0213218394444D3E9F1080B5DE78067F"><enum>(iii)</enum><text>a significant percentage of senior management positions of which are held by veterans.</text></clause></subparagraph>
<subparagraph id="HA8A1E96195D6441EB486B1633121BA25"><enum>(B)</enum><text>For purposes of this paragraph, the term <term>veteran</term> has the meaning given such term in section 101(2) of title 38, United States Code.</text></subparagraph></paragraph></section>
<section id="H619ED86799964071BE3042C87F54546D"><enum>4103.</enum><header>Small business lending fund</header>
<subsection id="HC36EBEF1148C4504B17B2B10F971F169"><enum>(a)</enum><header>Fund and program</header>
<paragraph id="H624D343F97DF4E888C0F01C926319772"><enum>(1)</enum><header>Fund established</header><text>There is established in the Treasury of the United States a fund to be known as the <quote>Small Business Lending Fund</quote>, which shall be administered by the Secretary.</text></paragraph>
<paragraph id="H80B5F377734D485A96AF70DBD57D4654"><enum>(2)</enum><header>Programs authorized</header><text>The Secretary is authorized to establish the Small Business Lending Fund Program for using the Fund consistent with this subtitle.</text></paragraph></subsection>
<subsection id="HA8B40B173B804DFF8CCADCBA6F89B372"><enum>(b)</enum><header>Use of fund</header>
<paragraph id="H293BBA09D9094CF8ABF00C904E6BEC6D"><enum>(1)</enum><header>In general</header><text>Subject to paragraph (2), the Fund shall be available to the Secretary, without further appropriation or fiscal year limitation, for the costs of purchases (including commitments to purchase), and modifications of such purchases, of preferred stock and other financial instruments from eligible institutions on such terms and conditions as are determined by the Secretary in accordance with this subtitle. For purposes of this paragraph and with respect to an eligible institution, the term <term>other financial instruments</term> shall include only debt instruments for which such eligible institution is fully liable or equity equivalent capital of the eligible institution. Such debt instruments may be subordinated to the claims of other creditors of the eligible institution.</text></paragraph>
<paragraph id="H2C4C1F38A7944ED49BFF8AD608B67C6C"><enum>(2)</enum><header>Maximum purchase limit</header><text>The aggregate amount of purchases (and commitments to purchase) made pursuant to paragraph (1) may not exceed $30,000,000,000.</text></paragraph>
<paragraph id="H3F14E1F3E187437C94B5C2932D27FF38"><enum>(3)</enum><header>Proceeds used to pay down public debt</header><text>All funds received by the Secretary in connection with purchases made pursuant to paragraph (1), including interest payments, dividend payments, and proceeds from the sale of any financial instrument, shall be paid into the general fund of the Treasury for reduction of the public debt.</text></paragraph>
<paragraph id="H7AD147DBA8A04C7693C429DDF0013587"><enum>(4)</enum><header>Limitation on purchases from CDLFs</header>
<subparagraph id="H0E03F2105F5D46339A2D10C12715C6F1"><enum>(A)</enum><header>In general</header><text>Not more than 1 percent of the maximum purchase limit of the Program, pursuant to paragraph (2), may be used to make purchases from community development loan funds.</text></subparagraph>
<subparagraph id="HD368551507954D9785570BB068991154"><enum>(B)</enum><header>Eligibility standards</header><text>The Secretary, in consultation with the Community Development Financial Institutions Fund, shall develop eligibility criteria to determine the financial ability of a CDLF to participate in the Program and repay the investment. Such criteria shall include the following:</text>
<clause id="HE74001FBF84E4FC08B72D663F3DA8C99"><enum>(i)</enum><text>Ratio of net assets to total assets is at least 20 percent.</text></clause>
<clause id="HBAB25AF43A9B4F94A49B1F785E046B25"><enum>(ii)</enum><text>Ratio of loan loss reserves to loans and leases 90 days or more delinquent (including loans sold with full recourse) is at least 30 percent.</text></clause>
<clause id="HB12FD66F50E840C7BAAAB7AA951D60D3"><enum>(iii)</enum><text>Positive net income measured on a 3-year rolling average.</text></clause>
<clause id="H0EEE0A61726042CE85C0E5AAFA15A991"><enum>(iv)</enum><text>Operating liquidity ratio of at least 1.0 for the 4 most recent quarters and for one or both of the two preceding years.</text></clause>
<clause id="HEC452C062CE144AC9ABCCE8DC2223E36"><enum>(v)</enum><text>Ratio of loans and leases 90 days or more delinquent (including loans sold with full recourse) to total equity plus loan loss reserves is less than 40 percent.</text></clause></subparagraph>
<subparagraph id="HED7834EBE30044D89EAB7264D8FB6346"><enum>(C)</enum><header>Requirement to submit audited financial statements</header><text>CDLFs participating in the Program shall submit audited financial statements to the Secretary, have a clean audit opinion, and have at least 3 years of operating experience.</text></subparagraph></paragraph></subsection>
<subsection id="HB7B77437DF974D408C994CD4BBE1E66D"><enum>(c)</enum><header>Credits to the fund</header><text>There shall be credited to the Fund amounts made available pursuant to section 4108, to the extent provided by appropriations Acts.</text></subsection>
<subsection id="HF01603C07B6E43718EEDF03512A3FA56"><enum>(d)</enum><header>Terms</header>
<paragraph id="H336AF9D7D99C4FB585A8D0C69D491156"><enum>(1)</enum><header>Application</header>
<subparagraph id="H5942E2FAA63E4272A31C913371E5980A"><enum>(A)</enum><header>Institutions with assets of $1,000,000,000 or less</header><text>Eligible institutions having total assets equal to or less than $1,000,000,000, as reported in a call report as of the end of the fourth quarter of calendar year 2009, may apply to receive a capital investment from the Fund in an amount not exceeding 5 percent of risk-weighted assets, as reported in the call report immediately preceding the date of application, less the amount of any CDCI investment and any CPP investment.</text></subparagraph>
<subparagraph id="H04871620A5B74EDF8BEC1F6E233129B0"><enum>(B)</enum><header>Institutions with assets of more than $1,000,000,000 and less than or equal to $10,000,000,000</header><text>Eligible institutions having total assets of more than $1,000,000,000 but less than $10,000,000,000, as of the end of the fourth quarter of calendar year 2009, may apply to receive a capital investment from the Fund in an amount not exceeding 3 percent of risk-weighted assets, as reported in the call report immediately preceding the date of application, less the amount of any CDCI investment and any CPP investment.</text></subparagraph>
<subparagraph id="H0882C4DEB3E7433AA5694DA5C04E6D0E"><enum>(C)</enum><header>Treatment of holding companies</header><text>In the case of an eligible institution that is a bank holding company or a savings and loan holding company having one or more insured depository institution subsidiaries, total assets shall be measured based on the combined total assets reported in the call report of the insured depository institution subsidiaries as of the end of the fourth quarter of calendar year 2009 and risk-weighted assets shall be measured based on the combined risk-weighted assets of the insured depository institution subsidiaries as reported in the call report immediately preceding the date of application.</text></subparagraph>
<subparagraph id="H7B3C88DA13BA4D47AFC97275D857817B"><enum>(D)</enum><header>Treatment of applicants that are institutions controlled by holding companies</header><text>If an eligible institution that applies to receive a capital investment under the Program is under the control of a bank holding company or a savings and loan holding company, then the Secretary may use the Fund to purchase preferred stock or other financial instruments from the top-tier bank holding company or savings and loan holding company of such eligible institution, as applicable. For purposes of this subparagraph, the term <term>control</term> with respect to a bank holding company shall have the same meaning as in section 2(a)(2) of the Bank Holding Company Act of 1956 (12 U.S.C. 1841(2)(a)(2)). For purposes of this subparagraph, the term <term>control</term> with respect to a savings and loan holding company shall have the same meaning as in 10(a)(2) of the Home Owners' Loan Act (12 U.S.C. 1467a(a)(2)).</text></subparagraph>
<subparagraph id="H6BE360200D5E4F96802B045AC7364CD2"><enum>(E)</enum><header>Requirement to provide a small business lending plan</header><text>At the time that an applicant submits an application to the Secretary for a capital investment under the Program, the applicant shall deliver to the appropriate Federal banking agency, and, for applicants that are State-chartered banks, to the appropriate State banking regulator, a small business lending plan describing how the applicant's business strategy and operating goals will allow it to address the needs of small businesses in the areas it serves, as well as a plan to provide linguistically and culturally appropriate outreach, where appropriate. In the case of eligible institutions that are community development loan funds, this plan shall be submitted to the Secretary. This plan shall be confidential supervisory information.</text></subparagraph>
<subparagraph id="H7E1AEDA10450407B96CE08EC6D187CC0"><enum>(F)</enum><header>Treatment of applicants that are community development loan funds</header><text>Eligible institutions that are community development loan funds may apply to receive a capital investment from the Fund in an amount not exceeding 5 percent of total assets, as reported in the audited financial statements for the fiscal year of the eligible institution that ends in calendar year 2009.</text></subparagraph></paragraph>
<paragraph id="HC4B0CF3A30184C269406A38FF4592463"><enum>(2)</enum><header>Consultation with regulators</header><text>For each eligible institution that applies to receive a capital investment under the Program, the Secretary shall—</text>
<subparagraph id="HC4630656A45C4F0CB4676B3CE77FC69F"><enum>(A)</enum><text>consult with the appropriate Federal banking agency or, in the case of an eligible institution that is a nondepository community development financial institution, the Community Development Financial Institution Fund, for the eligible institution, to determine whether the eligible institution may receive such capital investment;</text></subparagraph>
<subparagraph id="H9F08592B4A234653AA32D1C6A9E720C9"><enum>(B)</enum><text>in the case of an eligible institution that is a State-chartered bank, consider any views received from the State banking regulator of the State of the eligible institution regarding the financial condition of the eligible institution; and</text></subparagraph>
<subparagraph id="HE3A4387D7BD04F93966BCB07ED89C877"><enum>(C)</enum><text>in the case of a community development financial institution loan fund, consult with the Community Development Financial Institution Fund.</text></subparagraph></paragraph>
<paragraph id="H26FBC945821F4BDB824841231D48366A"><enum>(3)</enum><header>Consideration of matched private investments</header>
<subparagraph id="H79E78F40A421486B92CB4C662751CC7D"><enum>(A)</enum><header>In general</header><text>For an eligible institution that applies to receive a capital investment under the Program, if the entity to be consulted under paragraph (2) would not otherwise recommend the eligible institution to receive the capital investment, the Secretary, in consultation with the entity to be so consulted, may consider whether the entity to be consulted would recommend the eligible institution to receive a capital investment based on the financial condition of the institution if the conditions in subparagraph (B) are satisfied.</text></subparagraph>
<subparagraph id="HB1D540C9E8D14240AF31CD8858CFFDD2"><enum>(B)</enum><header>Conditions</header><text>The conditions referred to in subparagraph (A) are as follows:</text>
<clause id="H7FECB664BD764D559023EDB63457F8AF"><enum>(i)</enum><header>Capital sources</header><text>The eligible institution shall receive capital both under the Program and from private, nongovernment investors.</text></clause>
<clause id="HED909D5E00394B49B43E58168CEBD757"><enum>(ii)</enum><header>Amount of capital</header><text>The amount of capital to be received under the Program shall not exceed 3 percent of risk-weighted assets, as reported in the call report immediately preceding the date of application, less the amount of any CDCI investment and any CPP investment.</text></clause>
<clause id="H40FBCC76D12A436BB08B3BCEA473E443"><enum>(iii)</enum><header>Terms</header><text>The amount of capital to be received from private, nongovernment investors shall be—</text>
<subclause id="H36A6CC64A9C34C098B2BE2CECA97C59F"><enum>(I)</enum><text>equal to or greater than 100 percent of the capital to be received under the Program; and</text></subclause>
<subclause id="HFCEB14E69E614BA6AEAD7875CD517DF2"><enum>(II)</enum><text>subordinate to the capital investment made by the Secretary under the Program.</text></subclause></clause></subparagraph></paragraph>
<paragraph id="HEB67B059FAEA4D3EA2A4EEBA4FDDD91A"><enum>(4)</enum><header>Ineligibility of institutions on FDIC problem bank list</header>
<subparagraph id="H7D73EC9CBFFC450090C18B3BBBF8BEFF"><enum>(A)</enum><header>In general</header><text>An eligible institution may not receive any capital investment under the Program, if—</text>
<clause id="H199F817CFE0549ADAA275FD9C793D769"><enum>(i)</enum><text>such institution is on the FDIC problem bank list; or</text></clause>
<clause id="H432CA441864E43FD9E3257519AC36E74"><enum>(ii)</enum><text>such institution has been removed from the FDIC problem bank list for less than 90 days.</text></clause></subparagraph>
<subparagraph id="H82BBFCA3E02A40EFBA5D3FDB091B4B87"><enum>(B)</enum><header>Construction</header><text>Nothing in subparagraph (A) shall be construed as limiting the discretion of the Secretary to deny the application of an eligible institution that is not on the FDIC problem bank list.</text></subparagraph>
<subparagraph id="H3C30485D59AB4C188E97F3999E2F1CC6"><enum>(C)</enum><header>FDIC problem bank list defined</header><text>For purposes of this paragraph, the term <term>FDIC problem bank list</term> means the list of depository institutions having a current rating of 4 or 5 under the Uniform Financial Institutions Rating System, or such other list designated by the Federal Deposit Insurance Corporation.</text></subparagraph></paragraph>
<paragraph id="H41BBACAD238E44FD866F9EF93806B729"><enum>(5)</enum><header>Incentives to lend</header>
<subparagraph id="H1DDB7942F2D247AEB2A7CA46697E9036"><enum>(A)</enum><header>Requirements on preferred stock and other financial instruments</header><text>Any preferred stock or other financial instrument issued to Treasury by an eligible institution receiving a capital investment under the Program shall provide that—</text>
<clause id="HC77C111BD91E4A90BA06321E007DAD0D"><enum>(i)</enum><text>the rate at which dividends or interest are payable shall be 5 percent per annum initially;</text></clause>
<clause id="H920EDE38576746B8854012CB6ECB4F19"><enum>(ii)</enum><text>within the first 2 years after the date of the capital investment under the Program, the rate may be adjusted based on the amount of an eligible institution's small business lending. Changes in the amount of small business lending shall be measured against the average amount of small business lending reported by the eligible institution in its call reports for the 4 full quarters immediately preceding the date of enactment of this Act, minus adjustments from each quarterly balance in respect of—</text>
<subclause id="HC13E28E76E0E4000A6DCFFE9ACF73B81"><enum>(I)</enum><text>net loan charge offs with respect to small business lending; and</text></subclause>
<subclause id="H89D063FE3F4A436C9F44F5642B034BE2"><enum>(II)</enum><text>gains realized by the eligible institution resulting from mergers, acquisitions or purchases of loans after origination and syndication; which adjustments shall be determined in accordance with guidance promulgated by the Secretary; and</text></subclause></clause>
<clause id="H66968EE055664E27BBD460897F355629"><enum>(iii)</enum><text>during any calendar quarter during the initial 2-year period referred to in clause (ii), an institution's rate shall be adjusted to reflect the following schedule, based on that institution's change in the amount of small business lending relative to the baseline—</text>
<subclause id="HA8891A9D56DE4C5390E300AB17B7C599"><enum>(I)</enum><text>if the amount of small business lending has increased by less than 2.5 percent, the dividend or interest rate shall be 5 percent;</text></subclause>
<subclause id="HC8377139290E4D05BA58A42B16C6C72E"><enum>(II)</enum><text>if the amount of small business lending has increased by 2.5 percent or greater, but by less than 5.0 percent, the dividend or interest rate shall be 4 percent;</text></subclause>
<subclause id="H79F93E77AFB3416784B62EA968D35976"><enum>(III)</enum><text>if the amount of small business lending has increased by 5.0 percent or greater, but by less than 7.5 percent, the dividend or interest rate shall be 3 percent;</text></subclause>
<subclause id="HFC6DCE05340F4EDA824DA4EE315CBE88"><enum>(IV)</enum><text>if the amount of small business lending has increased by 7.5 percent or greater, and but by less than 10.0 percent, the dividend or interest rate shall be 2 percent; or</text></subclause>
<subclause id="HE94A3676D6FA45D38A1B5773F2BF04B3"><enum>(V)</enum><text>if the amount of small business lending has increased by 10 percent or greater, the dividend or interest rate shall be 1 percent.</text></subclause></clause></subparagraph>
<subparagraph id="H8DE35C26C6234C5CA9328F51D01603BB"><enum>(B)</enum><header>Basis of initial rate</header><text>The initial dividend or interest rate shall be based on call report data published in the quarter immediately preceding the date of the capital investment under the Program.</text></subparagraph>
<subparagraph id="H1B6CB5B944AD40468A85A4F28C732F91"><enum>(C)</enum><header>Timing of rate adjustments</header><text>Any rate adjustment shall occur in the calendar quarter following the publication of call report data, such that the rate based on call report data from any one calendar quarter, which is published in the first following calendar quarter, shall be adjusted in that first following calendar quarter and payable in the second following quarter.</text></subparagraph>
<subparagraph id="H6E3A41FE8A894BA2B369AFEB8A13048E"><enum>(D)</enum><header>Rate following initial 2-year period</header><text>Generally, the rate based on call report data from the eighth calendar quarter after the date of the capital investment under the Program shall be payable until the expiration of the 4<fraction>1/2</fraction>-year period that begins on the date of the investment. In the case where the amount of small business lending has remained the same or decreased relative to the institution's baseline in the eighth quarter after the date of the capital investment under the Program, the rate shall be 7 percent until the expiration of the 4<fraction>1/2</fraction>-year period that begins on the date of the investment.</text></subparagraph>
<subparagraph id="H36C4A7E2D1E6484D809905E5F22BD9DF"><enum>(E)</enum><header>Rate following initial 4<fraction>1/2</fraction> -year period</header><text>The dividend or interest rate paid on any preferred stock or other financial instrument issued by an eligible institution that receives a capital investment under the Program shall increase to 9 percent at the end of the 4<fraction>1/2</fraction>-year period that begins on the date of the capital investment under the Program.</text></subparagraph>
<subparagraph id="H06BB3DBE66C84CBD9A503F140669A219"><enum>(F)</enum><header>Limitation on rate reductions with respect to certain amount</header><text>The reduction in the dividend or interest rate payable to Treasury by any eligible institution shall be limited such that the rate reduction shall not apply to a dollar amount of the investment made by Treasury that is greater than the dollar amount increase in the amount of small business lending realized under this program. The Secretary may issue guidelines that will apply to new capital investments limiting the amount of capital available to eligible institutions consistent with this limitation.</text></subparagraph>
<subparagraph id="H29253FF124F14B048FD6FB770E3F5912"><enum>(G)</enum><header>Rate adjustments for s corporation</header><text>Before making a capital investment in an eligible institution that is an S corporation or a corporation organized on a mutual basis, the Secretary may adjust the dividend or interest rate on the financial instrument to be issued to the Secretary, from the dividend or interest rate that would apply under subparagraphs (A) through (F), to take into account any differential tax treatment of securities issued by such eligible institution. For purpose of this subparagraph, the term <term>S corporation</term> has the same meaning as in section 1361(a) of the Internal Revenue Code of 1986.</text></subparagraph>
<subparagraph id="H55ACD3D518304465BE9DDADB20AF7B37"><enum>(H)</enum><header>Repayment deadline</header><text>The capital investment received by an eligible institution under the Program shall be evidenced by preferred stock or other financial instrument that—</text>
<clause id="HCAC6FDF69CB04D208BF6707A312A6BD3"><enum>(i)</enum><text>includes, as a term and condition, that the capital investment will—</text>
<subclause id="HADF4E2F24F464F7A94C3410C2FEAAF1A"><enum>(I)</enum><text>be repaid not later than the end of the 10-year period beginning on the date of the capital investment under the Program; or</text></subclause>
<subclause id="HE17F0482B9AA4123ADBE1A80761663FE"><enum>(II)</enum><text>at the end of such 10-year period, be subject to such additional terms as the Secretary shall prescribe, which shall include a requirement that the stock or instrument shall carry the highest dividend or interest rate payable; and</text></subclause></clause>
<clause id="H710F4E0F959A4C1CA8E2A61FF68A51D6"><enum>(ii)</enum><text>provides that the term and condition described under clause (i) shall not apply if the application of that term and condition would adversely affect the capital treatment of the stock or financial instrument under current or successor applicable capital provisions compared to a capital instrument with identical terms other than the term and condition described under clause (i).</text></clause></subparagraph>
<subparagraph id="HADC46413849A41448A20E40DE7ED975D"><enum>(I)</enum><header>Requirements on financial instruments issued by a community development financial institution loan fund</header><text>Any equity equivalent capital issued to the Treasury by a community development loan fund receiving a capital investment under the Program shall provide that the rate at which interest is payable shall be 2 percent per annum for 8 years. After 8 years, the rate at which interest is payable shall be 9 percent.</text></subparagraph></paragraph>
<paragraph id="H88B2BC1BA7604531BC9C3572F5BDA9DC"><enum>(6)</enum><header>Additional incentives to repay</header><text>The Secretary may, by regulation or guidance issued under section 4104(9), establish repayment incentives in addition to the incentive in paragraph (5)(E) that will apply to new capital investments in a manner that the Secretary determines to be consistent with the purposes of this subtitle.</text></paragraph>
<paragraph id="H20E62CD06C914AEF87B4D83BB5016E53"><enum>(7)</enum><header>Capital purchase program refinance</header>
<subparagraph id="H7706A5ECDE7F45058F1E546091E3C26A"><enum>(A)</enum><header>In general</header><text>The Secretary shall, in a manner that the Secretary determines to be consistent with the purposes of this subtitle, issue regulations and other guidance to permit eligible institutions to refinance securities issued to Treasury under the CDCI and the CPP for securities to be issued under the Program.</text></subparagraph>
<subparagraph id="H94013E106EE84BD8BA8492A8A67F1E33"><enum>(B)</enum><header>Prohibition on participation by non-paying cpp participants</header><text>Subparagraph (A) shall not apply to any eligible institution that has missed more than one dividend payment due under the CPP. For purposes of this subparagraph, a CPP dividend payment that is submitted within 60 days of the due date of such payment shall not be considered a missed dividend payment.</text></subparagraph></paragraph>
<paragraph id="HBBEE2D006AD7472182B88AB9F3B4A5C0"><enum>(8)</enum><header>Outreach to minorities, women, and veterans</header><text>The Secretary shall require eligible institutions receiving capital investments under the Program to provide linguistically and culturally appropriate outreach and advertising in the applicant pool describing the availability and application process of receiving loans from the eligible institution that are made possible by the Program through the use of print, radio, television or electronic media outlets which target organizations, trade associations, and individuals that—</text>
<subparagraph id="H5456360519E347C5B8BD083BEB940590"><enum>(A)</enum><text>represent or work within or are members of minority communities;</text></subparagraph>
<subparagraph id="H3221DB4294EB49E5AADF838CB8B0AE89"><enum>(B)</enum><text>represent or work with or are women; and</text></subparagraph>
<subparagraph id="H5691A574FDC94241B80E6DB59E6B34D1"><enum>(C)</enum><text>represent or work with or are veterans.</text></subparagraph></paragraph>
<paragraph id="H4CC9CF947CF5451D9904304D349AD608"><enum>(9)</enum><header>Additional terms</header><text>The Secretary may, by regulation or guidance issued under section 4104(9), make modifications that will apply to new capital investments in order to manage risks associated with the administration of the Fund in a manner consistent with the purposes of this subtitle.</text></paragraph>
<paragraph id="HE6AFF128355E4A4A840772CBBBA03C12"><enum>(10)</enum><header>Minimum underwriting standards</header><text>The appropriate Federal banking agency for an eligible institution that receives funds under the Program shall within 60 days issue guidance regarding prudent underwriting standards that must be used for loans made by the eligible institution using such funds.</text></paragraph></subsection></section>
<section id="HFE966421C2DC458598564761DFBDCA9D"><enum>4104.</enum><header>Additional authorities of the Secretary</header><text display-inline="no-display-inline">The Secretary may take such actions as the Secretary deems necessary to carry out the authorities in this subtitle, including, without limitation, the following:</text>
<paragraph id="H8BD548866FDB47ECBDF6932FC5FBA672"><enum>(1)</enum><text>The Secretary may use the services of any agency or instrumentality of the United States or component thereof on a reimbursable basis, and any such agency or instrumentality or component thereof is authorized to provide services as requested by the Secretary using all authorities vested in or delegated to that agency, instrumentality, or component.</text></paragraph>
<paragraph id="HD21247CF3C0D49AEBF9D94828E377502"><enum>(2)</enum><text>The Secretary may enter into contracts, including contracts for services authorized by section 3109 of title 5, United States Code.</text></paragraph>
<paragraph id="H0694DAF615154BE8B236ECBD6CA2A52C"><enum>(3)</enum><text>The Secretary may designate any bank, savings association, trust company, security broker or dealer, asset manager, or investment adviser as a financial agent of the Federal Government and such institution shall perform all such reasonable duties related to this subtitle as financial agent of the Federal Government as may be required. The Secretary shall have authority to amend existing agreements with financial agents, entered into during the 2-year period before the date of enactment of this Act, to perform reasonable duties related to this subtitle.</text></paragraph>
<paragraph id="H813944FC13EE40778FFC8D55953A4EA0"><enum>(4)</enum><text>The Secretary may exercise any rights received in connection with any preferred stock or other financial instruments or assets purchased or acquired pursuant to the authorities granted under this subtitle.</text></paragraph>
<paragraph id="HA5CB00531F0D4E74ACEF0A7435FBFE74"><enum>(5)</enum><text>Subject to section 4103(b)(3), the Secretary may manage any assets purchased under this subtitle, including revenues and portfolio risks therefrom.</text></paragraph>
<paragraph id="H50D05FC745154BB0ACAD988F228B9FA5"><enum>(6)</enum><text>The Secretary may sell, dispose of, transfer, exchange or enter into securities loans, repurchase transactions, or other financial transactions in regard to, any preferred stock or other financial instrument or asset purchased or acquired under this subtitle, upon terms and conditions and at a price determined by the Secretary.</text></paragraph>
<paragraph id="H837FDA48525247AF8D2D12A47D7641EB"><enum>(7)</enum><text>The Secretary may manage or prohibit conflicts of interest that may arise in connection with the administration and execution of the authorities provided under this subtitle.</text></paragraph>
<paragraph id="H92CDB9BD9FDC440A958CCAD030E2A499"><enum>(8)</enum><text>The Secretary may establish and use vehicles, subject to supervision by the Secretary, to purchase, hold, and sell preferred stock or other financial instruments and issue obligations.</text></paragraph>
<paragraph id="H2AE5B6E2B9F44B9C8E22D897F117EA00"><enum>(9)</enum><text>The Secretary may, in consultation with the Administrator of the Small Business Administration, issue such regulations and other guidance as may be necessary or appropriate to define terms or carry out the authorities or purposes of this subtitle.</text></paragraph></section>
<section id="HA8912CCAB948470D9F9AA23AC15E0875"><enum>4105.</enum><header>Considerations</header><text display-inline="no-display-inline">In exercising the authorities granted in this subtitle, the Secretary shall take into consideration—</text>
<paragraph id="HE45159EAEC6B41D2850E4EF89DE920A4"><enum>(1)</enum><text>increasing the availability of credit for small businesses;</text></paragraph>
<paragraph id="H503B18604CF4474E8F427398C7B48245"><enum>(2)</enum><text>providing funding to minority-owned eligible institutions and other eligible institutions that serve small businesses that are minority-, veteran-, and women-owned and that also serve low- and moderate-income, minority, and other underserved or rural communities;</text></paragraph>
<paragraph id="HC4AE4B9F9A154F09861E43734A617CF5"><enum>(3)</enum><text>protecting and increasing American jobs;</text></paragraph>
<paragraph id="H5E10B753A5DB4035AEA5D9854BEDD581"><enum>(4)</enum><text>increasing the opportunity for small business development in areas with high unemployment rates that exceed the national average;</text></paragraph>
<paragraph id="HF7616690C84C4624A46BDAFC8DA68F0B"><enum>(5)</enum><text>ensuring that all eligible institutions may apply to participate in the program established under this subtitle, without discrimination based on geography;</text></paragraph>
<paragraph id="HC265FDAB9D3A4F5E90AF9207483CED4F"><enum>(6)</enum><text>providing transparency with respect to use of funds provided under this subtitle;</text></paragraph>
<paragraph id="H0D8C22683F2A4914B586403729594339"><enum>(7)</enum><text>minimizing the cost to taxpayers of exercising the authorities;</text></paragraph>
<paragraph id="H34D99D13CC274958A0F23D75A168FFEB"><enum>(8)</enum><text>promoting and engaging in financial education to would-be borrowers; and</text></paragraph>
<paragraph id="H35CDDA018B054B8EBAEDAF30469724C1"><enum>(9)</enum><text>providing funding to eligible institutions that serve small businesses directly affected by the discharge of oil arising from the explosion on and sinking of the mobile offshore drilling unit Deepwater Horizon and small businesses in communities that have suffered negative economic effects as a result of that discharge with particular consideration to States along the coast of the Gulf of Mexico.</text></paragraph></section>
<section id="H87ADDCB2D87443B49305DB1C9C5029D4"><enum>4106.</enum><header>Reports</header><text display-inline="no-display-inline">The Secretary shall provide to the appropriate committees of Congress—</text>
<paragraph id="H7B8848D016C54985A7680695B2ED8B62"><enum>(1)</enum><text>within 7 days of the end of each month commencing with the first month in which transactions are made under the Program, a written report describing all of the transactions made during the reporting period pursuant to the authorities granted under this subtitle;</text></paragraph>
<paragraph id="HAC06739CF8D94F5EB7D5906E833C2776"><enum>(2)</enum><text>after the end of March and the end of September, commencing September 30, 2010, a written report on all projected costs and liabilities, all operating expenses, including compensation for financial agents, and all transactions made by the Fund, which shall include participating institutions and amounts each institution has received under the Program; and</text></paragraph>
<paragraph id="H3D5F4FD246424B97873EBF7F304F1C6E"><enum>(3)</enum><text>within 7 days of the end of each calendar quarter commencing with the first calendar quarter in which transactions are made under the Program, a written report detailing how eligible institutions participating in the Program have used the funds such institutions received under the Program.</text></paragraph></section>
<section id="H407B64985C5C4181BE96790ED0D5668A"><enum>4107.</enum><header>Oversight and audits</header>
<subsection id="HF58E4F0DC92948A08F8CE0BFFFD35D5C"><enum>(a)</enum><header>Inspector General Oversight</header><text>The Inspector General of the Department of the Treasury shall conduct, supervise, and coordinate audits and investigations of the Program through the Office of Small Business Lending Fund Program Oversight established under subsection (b).</text></subsection>
<subsection id="HAEF87D9BBB694C3D9740B515319D905D"><enum>(b)</enum><header>Office of small business lending fund program oversight</header>
<paragraph id="HD2FFDFA5337C47F19E05EA90BFBFDE23"><enum>(1)</enum><header>Establishment</header><text>There is hereby established within the Office of the Inspector General of the Department of the Treasury a new office to be named the <quote>Office of Small Business Lending Fund Program Oversight</quote> to provide oversight of the Program.</text></paragraph>
<paragraph id="H22F7633FB59A41BAA96B5E2E8ECBB3FD"><enum>(2)</enum><header>Leadership</header><text>The Inspector General shall appoint a Special Deputy Inspector General for SBLF Program Oversight to lead the Office, with commensurate staff, who shall report directly to the Inspector General and who shall be responsible for the performance of all auditing and investigative activities relating to the Program.</text></paragraph>
<paragraph id="H3730A58A44CC427DA584BBDB70561AD6"><enum>(3)</enum><header>Reporting</header>
<subparagraph id="H87D8D807E489415AA1158311AD358BB4"><enum>(A)</enum><header>In general</header><text>The Inspector General shall issue a report no less than two times a year to the Congress and the Secretary devoted to the oversight provided by the Office, including any recommendations for improvements to the Program.</text></subparagraph>
<subparagraph id="H172BF352B8264F87A9AB551687FFFE78"><enum>(B)</enum><header>Recommendations</header><text>With respect to any deficiencies identified in a report under subparagraph (A), the Secretary shall either—</text>
<clause id="H39B39563598D4D22AC1828DAEB0B0559"><enum>(i)</enum><text>take actions to address such deficiencies; or</text></clause>
<clause id="H0A26BB0F1A6541D09EF81C8B115FE1EC"><enum>(ii)</enum><text>certify to the appropriate committees of Congress that no action is necessary or appropriate.</text></clause></subparagraph></paragraph>
<paragraph id="H89900C35ACDB46348C5089993609E57A"><enum>(4)</enum><header>Coordination</header><text>The Inspector General, in maximizing the effectiveness of the Office, shall work with other Offices of Inspector General, as appropriate, to minimize duplication of effort and ensure comprehensive oversight of the Program.</text></paragraph>
<paragraph id="HB7FEAED518A14F488A5679A8D1C7F625"><enum>(5)</enum><header>Termination</header><text>The Office shall terminate at the end of the 6-month period beginning on the date on which all capital investments are repaid under the Program or the date on which the Secretary determines that any remaining capital investments will not be repaid.</text></paragraph>
<paragraph id="HB22C77BC6E1D4A88AE2B72579D91AA2F"><enum>(6)</enum><header>Definitions</header><text>For purposes of this subsection:</text>
<subparagraph id="H656CC03008594C3EA784DF369F4AFB93"><enum>(A)</enum><header>Office</header><text>The term <term>Office</term> means the Office of Small Business Lending Fund Program Oversight established under paragraph (1).</text></subparagraph>
<subparagraph id="HA637C407951245ECA1BE6AC2D1810313"><enum>(B)</enum><header>Inspector general</header><text>The term <term>Inspector General</term> means the Inspector General of the Department of the Treasury.</text></subparagraph></paragraph></subsection>
<subsection id="HBF0F0B47CFB4498A9D91D37488DEF8B5"><enum>(c)</enum><header>GAO Audit</header><text>The Comptroller General of the United States shall perform an annual audit of the Program and issue a report to the appropriate committees of Congress containing the results of such audit.</text></subsection>
<subsection id="H9B1B721DF2F640CB9A32D026D40A04D1"><enum>(d)</enum><header>Required Certifications</header>
<paragraph id="HA781CA5D18A44F3AB021226DB866F76C"><enum>(1)</enum><header>Eligible institution certification</header><text>Each eligible institution that participates in the Program must certify that such institution is in compliance with the requirements of section 103.121 of title 31, Code of Federal Regulations, a regulation that, at a minimum, requires financial institutions, as that term is defined in 31 U.S.C. 5312(a)(2) and (c)(1)(A), to implement reasonable procedures to verify the identity of any person seeking to open an account, to the extent reasonable and practicable, maintain records of the information used to verify the person's identity, and determine whether the person appears on any lists of known or suspected terrorists or terrorist organizations provided to the financial institution by any government agency.</text></paragraph>
<paragraph id="H29EF090792214B118852CC125D120D92"><enum>(2)</enum><header>Loan recipients</header><text>With respect to funds received by an eligible institution under the Program, any business receiving a loan from the eligible institution using such funds after the date of the enactment of this Act shall certify to such eligible institution that the principals of such business have not been convicted of a sex offense against a minor (as such terms are defined in section 111 of the Sex Offender Registration and Notification Act (42 U.S.C. 16911)).</text></paragraph></subsection>
<subsection id="HB613BBF67F2A4ADAA9D03F2CD646ACC4"><enum>(e)</enum><header>Prohibition on Pornography</header><text>None of the funds made available under this subtitle may be used to pay the salary of any individual engaged in activities related to the Program who has been officially disciplined for violations of subpart G of the Standards of Ethical Conduct for Employees of the Executive Branch for viewing, downloading, or exchanging pornography, including child pornography, on a Federal Government computer or while performing official Federal Government duties.</text></subsection></section>
<section id="H61AD1A0FB31643F494B97A502A26BD6E"><enum>4108.</enum><header>Credit reform; funding</header>
<subsection id="H93064C7FA7EA41F390856680900BC66A"><enum>(a)</enum><header>Credit Reform</header><text>The cost of purchases of preferred stock and other financial instruments made as capital investments under this subtitle shall be determined as provided under the Federal Credit Reform Act of 1990 (2 U.S.C. 661 et seq.).</text></subsection>
<subsection id="H62F90B27781C43FA9554D6C55772EB9E"><enum>(b)</enum><header>Funds Made Available</header><text>There are hereby appropriated, out of funds in the Treasury not otherwise appropriated, such sums as may be necessary to pay the costs of $30,000,000,000 of capital investments in eligible institutions, including the costs of modifying such investments, and reasonable costs of administering the program of making, holding, managing, and selling the capital investments.</text></subsection></section>
<section id="H48710DB452A34AE9BE60FB89A3431AD3"><enum>4109.</enum><header>Termination and continuation of authorities</header>
<subsection id="H1DBEA67600744D35B9B3BE9DC106C510"><enum>(a)</enum><header>Termination of Investment Authority</header><text>The authority to make capital investments in eligible institutions, including commitments to purchase preferred stock or other instruments, provided under this subtitle shall terminate 1 year after the date of enactment of this Act.</text></subsection>
<subsection id="H154C111F4EF1424086D5558B8C2DBAF5"><enum>(b)</enum><header>Continuation of Other Authorities</header><text>The authorities of the Secretary under section 4104 shall not be limited by the termination date in subsection (a).</text></subsection></section>
<section id="H6B9044BC3FFD4DB790B4546134CEC446"><enum>4110.</enum><header>Preservation of authority</header><text display-inline="no-display-inline">Nothing in this subtitle may be construed to limit the authority of the Secretary under any other provision of law.</text></section>
<section id="HF3B6214769584F479EAE426F7565DD7C"><enum>4111.</enum><header>Assurances</header>
<subsection id="H6E2DCD5AA55B4FC5AE84AAF7A386565F"><enum>(a)</enum><header>Small Business Lending Fund Separate From TARP</header><text>The Small Business Lending Fund Program is established as separate and distinct from the Troubled Asset Relief Program established by the Emergency Economic Stabilization Act of 2008. An institution shall not, by virtue of a capital investment under the Small Business Lending Fund Program, be considered a recipient of the Troubled Asset Relief Program.</text></subsection>
<subsection id="HAF8A37014E594000ACBA11FB6215E801"><enum>(b)</enum><header>Change in Law</header><text>If, after a capital investment has been made in an eligible institution under the Program, there is a change in law that modifies the terms of the investment or program in a materially adverse respect for the eligible institution, the eligible institution may, after consultation with the appropriate Federal banking agency for the eligible institution, repay the investment without impediment.</text></subsection></section>
<section id="HF6051E786E5A41D484097EB6172A95E0"><enum>4112.</enum><header>Study and report with respect to women-owned, veteran-owned, and minority-owned businesses</header>
<subsection id="HCB2948E3E8EB434AA0A2C569C6CF1DA1"><enum>(a)</enum><header>Study</header><text>The Secretary shall conduct a study of the impact of the Program on women-owned businesses, veteran-owned businesses, and minority-owned businesses.</text></subsection>
<subsection id="H167B759727B8430D9217E3936723783E"><enum>(b)</enum><header>Report</header><text>Not later than one year after the date of enactment of this Act, the Secretary shall submit to Congress a report on the results of the study conducted pursuant to subsection (a). To the extent possible, the Secretary shall disaggregate the results of such study by ethnic group and gender.</text></subsection>
<subsection id="H7AF6650A44304C6EB9047EB0876FF8E7"><enum>(c)</enum><header>Information Provided to the Secretary</header><text>Eligible institutions that participate in the Program shall provide the Secretary with such information as the Secretary may require to carry out the study required by this section.</text></subsection></section>
<section id="HB109DAE4C6424C0DB47C0478A4EADF92"><enum>4113.</enum><header>Sense of congress</header><text display-inline="no-display-inline">It is the sense of Congress that the Federal Deposit Insurance Corporation and other bank regulators are sending mixed messages to banks regarding regulatory capital requirements and lending standards, which is a contributing cause of decreased small business lending and increased regulatory uncertainty at community banks.</text></section></subtitle>
<subtitle id="H62223ACD192C429190711AECD519DE94"><enum>B</enum><header>Other provisions</header>
<part id="H03B4761C25BE4A15A2D39AE880081AF6"><enum>I</enum><header>Small business export promotion initiatives</header>
<section id="HC6342997A8A64C07AB173D7D7AA89B35"><enum>4221.</enum><header>Short title</header><text display-inline="no-display-inline">This part may be cited as the <quote>Export Promotion Act of 2010</quote>.</text></section>
<section id="H47B6C36A33F340578BAC0C32A2BE4825"><enum>4222.</enum><header>Global business development and promotion activities of the Department of Commerce</header>
<subsection id="H228EC4E8154444CBB2BDB496592AB2DF"><enum>(a)</enum><header>Increase in employees with responsibility for global business development and promotion activities</header>
<paragraph id="HC5885F69AAEA453C820F0490B6BEB6E8"><enum>(1)</enum><header>In general</header><text>During the 24-month period beginning on the date of the enactment of this Act, the Secretary of Commerce shall increase the number of full-time departmental employees whose primary responsibilities involve promoting or facilitating participation by United States businesses in the global marketplace and facilitating the entry into, or expansion of, such participation by United States businesses. In carrying out this subsection, the Secretary shall ensure that—</text>
<subparagraph id="H09746D13A9A844748CCA867E3873C82C"><enum>(A)</enum><text>the cohort of such employees is increased by not less than 80 persons; and</text></subparagraph>
<subparagraph id="HCF1F548E2DA94E8990A4FD3C2492C976"><enum>(B)</enum><text>a substantial portion of the increased cohort is stationed outside the United States.</text></subparagraph></paragraph>
<paragraph id="HDED74A03E380486E9A7960EAFB470AC5"><enum>(2)</enum><header>Enhanced focus on United States small- and medium-sized businesses</header><text>In carrying out this subsection, the Secretary shall take such action as may be necessary to ensure that the activities of the Department of Commerce relating to promoting and facilitating participation by United States businesses in the global marketplace include promoting and facilitating such participation by small and medium-sized businesses in the United States.</text></paragraph>
<paragraph id="HD2A7578870D848FC8E23D9C99040156A"><enum>(3)</enum><header>Authorization of appropriations</header><text>There are authorized to be appropriated to the Secretary for each of the fiscal years 2011 and 2012 such sums as may be necessary to carry out this section.</text></paragraph></subsection>
<subsection id="H9EE9FF394D1443D5BAF658F51EF1FF4D"><enum>(b)</enum><header>Additional funding for global business development and promotion activities of the Department of Commerce</header>
<paragraph id="HAC8C165603794CE8A6334B100E34AC91"><enum>(1)</enum><header>In general</header><text>There are authorized to be appropriated to the Secretary of Commerce for the period beginning on the date of the enactment of this Act and ending 18 months thereafter, $30,000,000 to promote or facilitate participation by United States businesses in the global marketplace and facilitating the entry into, or expansion of, such participation by United States businesses.</text></paragraph>
<paragraph id="HAB0B3CD23ACC485A90CDF6DE90F4AE35"><enum>(2)</enum><header>Requirements</header><text>In obligating and expending the funds authorized to be appropriated by paragraph (1), the Secretary of Commerce shall give preference to activities that—</text>
<subparagraph id="HF1ABBA637A2246D0B85AA7134B39899C"><enum>(A)</enum><text>assist small- and medium-sized businesses in the United States; and</text></subparagraph>
<subparagraph id="H5E31F721C78B40029EEDD50CA8808643"><enum>(B)</enum><text>the Secretary determines will create or sustain the greatest number of jobs in the United States and obtain the maximum return on investment.</text></subparagraph></paragraph></subsection></section>
<section id="H480B8AFAC063457DAE74F418AAFBE34C"><enum>4223.</enum><header>Additional funding to improve access to global markets for rural businesses</header>
<subsection id="HA1BF5E85697A4F91903CB0D3DDBB1C51"><enum>(a)</enum><header>In general</header><text>There are authorized to be appropriated to the Secretary of Commerce $5,000,000 for each of the fiscal years 2011 and 2012 for improving access to the global marketplace for goods and services provided by rural businesses in the United States.</text></subsection>
<subsection id="H35B0CC588F6548E689471B710D789906"><enum>(b)</enum><header>Requirements</header><text>In obligating and expending the funds authorized to be appropriated by subsection (a), the Secretary of Commerce shall give preference to activities that—</text>
<paragraph id="H58ED03EAE73B453C90B4D7F8BD72B248"><enum>(1)</enum><text>assist small- and medium-sized businesses in the United States; and</text></paragraph>
<paragraph id="H7A46E236416A49EE8DC0124D955BE314"><enum>(2)</enum><text>the Secretary determines will create or sustain the greatest number of jobs in the United States and obtain the maximum return on investment.</text></paragraph></subsection></section>
<section id="H18C820AD74044AE59D5D97E5CB2A7347"><enum>4224.</enum><header>Additional funding for the ExporTech program</header>
<subsection id="H405B8DED1BA64347972B84C71425FA76"><enum>(a)</enum><header>In general</header><text>There are authorized to be appropriated to the Secretary of Commerce $11,000,000 for the period beginning on the date of the enactment of this Act and ending 18 months thereafter, to expand ExporTech, a joint program of the Hollings Manufacturing Partnership Program and the Export Assistance Centers of the Department of Commerce.</text></subsection>
<subsection id="H8CB2E9D067DD450D8ABC1D42F57E6E50"><enum>(b)</enum><header>Requirements</header><text>In obligating and expending the funds authorized to be appropriated by subsection (a), the Secretary of Commerce shall give preference to activities that—</text>
<paragraph id="H1C3CD0796A5944248A5B11DA77BB951E"><enum>(1)</enum><text>assist small- and medium-sized businesses in the United States; and</text></paragraph>
<paragraph id="HD6DA0FC2F9694A10827D879D8C48A419"><enum>(2)</enum><text>the Secretary determines will create or sustain the greatest number of jobs in the United States and obtain the maximum return on investment.</text></paragraph></subsection></section>
<section id="HA661A2B8425841F69A86455D4890B05F"><enum>4225.</enum><header>Additional funding for the market development cooperator program of the department of commerce</header>
<subsection id="H466DD275432642CF8327C3B6095443AE"><enum>(a)</enum><header>In general</header><text>There are authorized to be appropriated to the Secretary of Commerce for the period beginning on the date of the enactment of this Act and ending 18 months thereafter, $15,000,000 for the Manufacturing and Services unit of the International Trade Administration—</text>
<paragraph id="HA529ADC26DB44E558650452031407643"><enum>(1)</enum><text>to establish public-private partnerships under the Market Development Cooperator Program of the International Trade Administration; and</text></paragraph>
<paragraph id="HF93DDB8D89844F18B704C4E982C545C3"><enum>(2)</enum><text>to underwrite a portion of the start-up costs for new projects carried out under that Program to strengthen the competitiveness and market share of United States industry, not to exceed, for each such project, the lesser of—</text>
<subparagraph id="H89C6DE0E523B4B13A90417A8B5FB09AA"><enum>(A)</enum><text><fraction>1/3</fraction> of the total start-up costs for the project; or</text></subparagraph>
<subparagraph id="H1CD32DCADEC242E9840E90F84ED117A8"><enum>(B)</enum><text>$500,000.</text></subparagraph></paragraph></subsection>
<subsection id="HE6AC6A45E3FB49E79F717BC50A391F25"><enum>(b)</enum><header>Requirements</header><text>In obligating and expending the funds authorized to be appropriated by subsection (a), the Secretary of Commerce shall give preference to activities that—</text>
<paragraph id="H965CE290FD714458A41FBB46177B8D14"><enum>(1)</enum><text>assist small- and medium-sized businesses in the United States; and</text></paragraph>
<paragraph id="HBC1771B622AE448C82229CF81D32E5A9"><enum>(2)</enum><text>the Secretary determines will create or sustain the greatest number of jobs in the United States and obtain the maximum return on investment.</text></paragraph></subsection></section>
<section id="H82708F36C5A243C88E49C97228E7EEA3"><enum>4226.</enum><header>Hollings Manufacturing Partnership Program; Technology Innovation Program</header>
<subsection id="HC54EB2DE02294264A9E03CCFFFC2F32D"><enum>(a)</enum><header>Hollings manufacturing partnership program</header><text>Section 25(f) of the National Institute of Standards and Technology Act (15 U.S.C. 278k(f)) is amended by adding at the end the following:</text>
<quoted-block changed="added" display-inline="no-display-inline" id="H3206A67F07934AD594080C2EA7928708" reported-display-style="italic" style="OLC">
<paragraph id="HA0B726FDB0624F13BFFD338EA858BE8F"><enum>(7)</enum><header>Global marketplace projects</header><text>In making awards under this subsection, the Director, in consultation with the Manufacturing Extension Partnership Advisory Board and the Secretary of Commerce, may—</text>
<subparagraph id="H183472B113F54DD988B09D5630417D6E"><enum>(A)</enum><text>take into consideration whether an application has significant potential for enhancing the competitiveness of small and medium-sized United States manufacturers in the global marketplace; and</text></subparagraph>
<subparagraph id="H31C9A850338A476E80A12B09D30992DF"><enum>(B)</enum><text>give a preference to applications for such projects to the extent the Director deems appropriate, taking into account the broader purposes of this subsection.</text></subparagraph></paragraph><after-quoted-block>.</after-quoted-block></quoted-block></subsection>
<subsection id="HF5964A7868A04169962F1FE0703CF781"><enum>(b)</enum><header>Technology innovation program</header><text>In awarding grants, cooperative agreements, or contracts under section 28 of the National Institute of Standards and Technology Act (15 U.S.C. 278n), in addition to the award criteria set forth in subsection (c) of that section, the Director of the National Institute of Standards and Technology may take into consideration whether an application has significant potential for enhancing the competitiveness of small- and medium-sized businesses in the United States in the global marketplace. The Director shall consult with the Technology Innovation Program Advisory Board and the Secretary of Commerce in implementing this subsection.</text></subsection></section>
<section id="H7C33C1D5DB80465D93A6730FDAEBE245"><enum>4227.</enum><header>Sense of the Senate concerning Federal collaboration with States on export promotion issues</header><text display-inline="no-display-inline">It is the sense of the Senate that the Secretary of Commerce should enhance Federal collaboration with the States on export promotion issues by—</text>
<paragraph id="HAD792BAEAB0A42EDAEE20ABB2D7FE31A"><enum>(1)</enum><text>providing the necessary training to the staff at State international trade agencies to enable them to assist the United States and Foreign Commercial Service (established by section 2301 of the Export Enhancement Act of 1988 (15 U.S.C. 4721)) in providing counseling and other export services to businesses in their communities; and</text></paragraph>
<paragraph id="H9E3E611CC0FD43D18DE95A064B8464EC"><enum>(2)</enum><text>entering into agreements with State international trade agencies for those agencies to deliver export promotion services in their local communities in order to extend the outreach of United States and Foreign Commercial Service programs.</text></paragraph></section>
<section id="HC9C63E6BF3BC46AEA313AD0E3DB4331C"><enum>4228.</enum><header>Report on tariff and nontariff barriers</header><text display-inline="no-display-inline">Not later than 90 days after the date of the enactment of this Act, the Secretary of Commerce, in consultation with the United States Trade Representative and other appropriate entities, shall report to Congress on the tariff and nontariff barriers imposed by Colombia, the Republic of Korea, and Panama with respect to exports of articles from the United States, including articles exported or produced by small- and medium-sized businesses in the United States.</text></section></part>
<part id="H79D206B75DCD478E9F72BDDD79DDFAA3"><enum>II</enum><header>Medicare fraud</header>
<section id="HBA43A34B191A4C679F60ABD8E7C7A713"><enum>4241.</enum><header>Use of predictive modeling and other analytics technologies to identify and prevent waste, fraud, and abuse in the Medicare fee-for-service program</header>
<subsection id="HF6C61EE3560D4CBF8D3EF9311A1A48BF"><enum>(a)</enum><header>Use in the Medicare fee-for-service program</header><text>The Secretary shall use predictive modeling and other analytics technologies (in this section referred to as <quote>predictive analytics technologies</quote>) to identify improper claims for reimbursement and to prevent the payment of such claims under the Medicare fee-for-service program.</text></subsection>
<subsection id="H6C06696DE0034965B57328809EB40DEC"><enum>(b)</enum><header>Predictive analytics technologies requirements</header><text>The predictive analytics technologies used by the Secretary shall—</text>
<paragraph id="H8C2F4DEB7C2241A79929EF313B04C0AB"><enum>(1)</enum><text>capture Medicare provider and Medicare beneficiary activities across the Medicare fee-for-service program to provide a comprehensive view across all providers, beneficiaries, and geographies within such program in order to—</text>
<subparagraph id="H8FD8B36E12304B3EA5DC2EFC6F9FE151"><enum>(A)</enum><text>identify and analyze Medicare provider networks, provider billing patterns, and beneficiary utilization patterns; and</text></subparagraph>
<subparagraph id="HF95CDE95ED5C44E7B6B6BF6EBF16261D"><enum>(B)</enum><text>identify and detect any such patterns and networks that represent a high risk of fraudulent activity;</text></subparagraph></paragraph>
<paragraph id="H1E8A334BD17445CD88F0E0635F37B496"><enum>(2)</enum><text>be integrated into the existing Medicare fee-for-service program claims flow with minimal effort and maximum efficiency;</text></paragraph>
<paragraph id="HE695C086F4DE4859BAD25E965EA58C6B"><enum>(3)</enum><text>be able to—</text>
<subparagraph id="H42947EB6CD634ED999613F0C5A4F4996"><enum>(A)</enum><text>analyze large data sets for unusual or suspicious patterns or anomalies or contain other factors that are linked to the occurrence of waste, fraud, or abuse;</text></subparagraph>
<subparagraph id="HC177C70DD5D245218025C640352B90C3"><enum>(B)</enum><text>undertake such analysis before payment is made; and</text></subparagraph>
<subparagraph id="H4736140364074A59AC2DA28694DA4503"><enum>(C)</enum><text>prioritize such identified transactions for additional review before payment is made in terms of the likelihood of potential waste, fraud, and abuse to more efficiently utilize investigative resources;</text></subparagraph></paragraph>
<paragraph id="HC12006A2A7B44C0FAB508AAA2CF91A27"><enum>(4)</enum><text>capture outcome information on adjudicated claims for reimbursement to allow for refinement and enhancement of the predictive analytics technologies on the basis of such outcome information, including post-payment information about the eventual status of a claim; and</text></paragraph>
<paragraph id="H6C1792D2F97244739442D2C09C6DFA0F"><enum>(5)</enum><text>prevent the payment of claims for reimbursement that have been identified as potentially wasteful, fraudulent, or abusive until such time as the claims have been verified as valid.</text></paragraph></subsection>
<subsection id="HF2B691E83DBB4C89BD06B4D02881D72E"><enum>(c)</enum><header>Implementation requirements</header>
<paragraph id="HDEDE3DDE89FD470292AC3AAAF2A82583"><enum>(1)</enum><header>Request for proposals</header><text>Not later than January 1, 2011, the Secretary shall issue a request for proposals to carry out this section during the first year of implementation. To the extent the Secretary determines appropriate—</text>
<subparagraph id="H862DF20C8FF44AAB94C485CE077E88AB"><enum>(A)</enum><text>the initial request for proposals may include subsequent implementation years; and</text></subparagraph>
<subparagraph id="HD449A492FAD84AEA803BCE4357AA69D7"><enum>(B)</enum><text>the Secretary may issue additional requests for proposals with respect to subsequent implementation years.</text></subparagraph></paragraph>
<paragraph id="HE908C39F149741F6932CEB7339DFE307"><enum>(2)</enum><header>First implementation year</header><text>The initial request for proposals issued under paragraph (1) shall require the contractors selected to commence using predictive analytics technologies on July 1, 2011, in the 10 States identified by the Secretary as having the highest risk of waste, fraud, or abuse in the Medicare fee-for-service program.</text></paragraph>
<paragraph id="H24DEE776A9654A27AA401E4542811C97"><enum>(3)</enum><header>Second implementation year</header><text>Based on the results of the report and recommendation required under subsection (e)(1)(B), the Secretary shall expand the use of predictive analytics technologies on October 1, 2012, to apply to an additional 10 States identified by the Secretary as having the highest risk of waste, fraud, or abuse in the Medicare fee-for-service program, after the States identified under paragraph (2).</text></paragraph>
<paragraph id="H8227CE1E071E4932853DF52AF855618C"><enum>(4)</enum><header>Third implementation year</header><text>Based on the results of the report and recommendation required under subsection (e)(2), the Secretary shall expand the use of predictive analytics technologies on January 1, 2014, to apply to the Medicare fee-for-service program in any State not identified under paragraph (2) or (3) and the commonwealths and territories.</text></paragraph>
<paragraph id="HDB077FB16BC4458EB040BCFA6D01F53E"><enum>(5)</enum><header>Fourth implementation year</header><text>Based on the results of the report and recommendation required under subsection (e)(3), the Secretary shall expand the use of predictive analytics technologies, beginning April 1, 2015, to apply to Medicaid and CHIP. To the extent the Secretary determines appropriate, such expansion may be made on a phased-in basis.</text></paragraph>
<paragraph id="H5691DBE67929497890A1FA1058DB7AA2"><enum>(6)</enum><header>Option for refinement and evaluation</header><text>If, with respect to the first, second, or third implementation year, the Inspector General of the Department of Health and Human Services certifies as part of the report required under subsection (e) for that year no or only nominal actual savings to the Medicare fee-for-service program, the Secretary may impose a moratorium, not to exceed 12 months, on the expansion of the use of predictive analytics technologies under this section for the succeeding year in order to refine the use of predictive analytics technologies to achieve more than nominal savings before further expansion. If a moratorium is imposed in accordance with this paragraph, the implementation dates applicable for the succeeding year or years shall be adjusted to reflect the length of the moratorium period.</text></paragraph></subsection>
<subsection id="HFC1E96CF5E584CDA86E17218491CF6C4"><enum>(d)</enum><header>Contractor selection, qualifications, and data access requirements</header>
<paragraph id="H690D6CEA7AE9422AACDED8203D6D8C54"><enum>(1)</enum><header>Selection</header>
<subparagraph id="H65ECA70CD5924984AEE1139B9FC1C636"><enum>(A)</enum><header>In general</header><text>The Secretary shall select contractors to carry out this section using competitive procedures as provided for in the Federal Acquisition Regulation.</text></subparagraph>
<subparagraph id="HDA411CF5CE214AC1980121981F021668"><enum>(B)</enum><header>Number of contractors</header><text>The Secretary shall select at least 2 contractors to carry out this section with respect to any year.</text></subparagraph></paragraph>
<paragraph id="HDF919C4D27AF4A6EBD7CE8F4DC2EBB6B"><enum>(2)</enum><header>Qualifications</header>
<subparagraph id="H68B185C375B84CDA9B82982522AA80EA"><enum>(A)</enum><header>In general</header><text>The Secretary shall enter into a contract under this section with an entity only if the entity—</text>
<clause id="H5504C16693A64253BBC7429752504C61"><enum>(i)</enum><text>has leadership and staff who—</text>
<subclause id="H515EB8DE361C4655BC353566C2522A04"><enum>(I)</enum><text>have the appropriate clinical knowledge of, and experience with, the payment rules and regulations under the Medicare fee-for-service program; and</text></subclause>
<subclause id="H15E24B431CED406A9B88A571C526C130"><enum>(II)</enum><text>have direct management experience and proficiency utilizing predictive analytics technologies necessary to carry out the requirements under subsection (b); or</text></subclause></clause>
<clause id="HB4AE644F7386404AB53CC3AE68DE7C87"><enum>(ii)</enum><text>has a contract, or will enter into a contract, with another entity that has leadership and staff meeting the criteria described in clause (i).</text></clause></subparagraph>
<subparagraph id="HD97DDAA59A934020B006A66EB35696D2"><enum>(B)</enum><header>Conflict of interest</header><text>The Secretary may only enter into a contract under this section with an entity to the extent that the entity complies with such conflict of interest standards as are generally applicable to Federal acquisition and procurement.</text></subparagraph></paragraph>
<paragraph commented="no" id="H8142683AD2DE4BFBA9AE38CAD19E17F2"><enum>(3)</enum><header>Data access</header><text>The Secretary shall provide entities with a contract under this section with appropriate access to data necessary for the entity to use predictive analytics technologies in accordance with the contract.</text></paragraph></subsection>
<subsection id="H1670C40D2D56402BBECA32E2FFB21753"><enum>(e)</enum><header>Reporting requirements</header>
<paragraph id="HD016C77CD608436CBDB30A2173D42C37"><enum>(1)</enum><header>First implementation year report</header><text>Not later than 3 months after the completion of the first implementation year under this section, the Secretary shall submit to the appropriate committees of Congress and make available to the public a report that includes the following:</text>
<subparagraph id="H9DFE01305F264DBDAFADA87394FB1271"><enum>(A)</enum><text>A description of the implementation of the use of predictive analytics technologies during the year.</text></subparagraph>
<subparagraph id="H83B6BF483EAC43988D8084B036316BE4"><enum>(B)</enum><text>A certification of the Inspector General of the Department of Health and Human Services that—</text>
<clause id="H5B293241B85F44DB935035D399BC6DCB"><enum>(i)</enum><text>specifies the actual and projected savings to the Medicare fee-for-service program as a result of the use of predictive analytics technologies, including estimates of the amounts of such savings with respect to both improper payments recovered and improper payments avoided;</text></clause>
<clause id="HD55F3F97AD1A4A3D9BE1B4D2BBA86FD8"><enum>(ii)</enum><text>the actual and projected savings to the Medicare fee-for-service program as a result of such use of predictive analytics technologies relative to the return on investment for the use of such technologies and in comparison to other strategies or technologies used to prevent and detect fraud, waste, and abuse in the Medicare fee-for-service program; and</text></clause>
<clause id="H889C2802B2F04045B80CF976F223D9D4"><enum>(iii)</enum><text>includes recommendations regarding—</text>
<subclause id="H28F0F98713C047FBAF88A56FEC3CB39E"><enum>(I)</enum><text>whether the Secretary should continue to use predictive analytics technologies;</text></subclause>
<subclause id="H75FF5F6DC1774F628C97FB185B46968D"><enum>(II)</enum><text>whether the use of such technologies should be expanded in accordance with the requirements of subsection (c); and</text></subclause>
<subclause id="HCB93A0E20ECE4A90B7B43E36665BC412"><enum>(III)</enum><text>any modifications or refinements that should be made to increase the amount of actual or projected savings or mitigate any adverse impact on Medicare beneficiaries or providers.</text></subclause></clause></subparagraph>
<subparagraph id="HB64B28D226474AF79DF3738A830B8B96"><enum>(C)</enum><text>An analysis of the extent to which the use of predictive analytics technologies successfully prevented and detected waste, fraud, or abuse in the Medicare fee-for-service program.</text></subparagraph>
<subparagraph id="H52870C6AFF514AACAB26110999C5F7A7"><enum>(D)</enum><text>A review of whether the predictive analytics technologies affected access to, or the quality of, items and services furnished to Medicare beneficiaries.</text></subparagraph>
<subparagraph id="H6E771B97365B440D9FA480A02102554D"><enum>(E)</enum><text>A review of what effect, if any, the use of predictive analytics technologies had on Medicare providers.</text></subparagraph>
<subparagraph id="H997C482452CD4287B69E9BAE923230F3"><enum>(F)</enum><text>Any other items determined appropriate by the Secretary.</text></subparagraph></paragraph>
<paragraph id="HF2D4073E379447A0AE0A9376589E7EE3"><enum>(2)</enum><header>Second year implementation report</header><text>Not later than 3 months after the completion of the second implementation year under this section, the Secretary shall submit to the appropriate committees of Congress and make available to the public a report that includes, with respect to such year, the items required under paragraph (1) as well as any other additional items determined appropriate by the Secretary with respect to the report for such year.</text></paragraph>
<paragraph id="HF86A0743660B4B87BAC7A8683C0DDA6E"><enum>(3)</enum><header>Third year implementation report</header><text>Not later than 3 months after the completion of the third implementation year under this section, the Secretary shall submit to the appropriate committees of Congress, and make available to the public, a report that includes with respect to such year, the items required under paragraph (1), as well as any other additional items determined appropriate by the Secretary with respect to the report for such year, and the following:</text>
<subparagraph id="H65D31BA972C649C8A121BB63FC99783D"><enum>(A)</enum><text>An analysis of the cost-effectiveness and feasibility of expanding the use of predictive analytics technologies to Medicaid and CHIP.</text></subparagraph>
<subparagraph id="HBD81E69FF442453FB96EDB81313DE270"><enum>(B)</enum><text>An analysis of the effect, if any, the application of predictive analytics technologies to claims under Medicaid and CHIP would have on States and the commonwealths and territories.</text></subparagraph>
<subparagraph id="HE0FD36ABEF9A4DAE9BF19C9507D2C52F"><enum>(C)</enum><text>Recommendations regarding the extent to which technical assistance may be necessary to expand the application of predictive analytics technologies to claims under Medicaid and CHIP, and the type of any such assistance.</text></subparagraph></paragraph></subsection>
<subsection id="HFE2AD6DCC1104DB78D91E4A6E6CFC32D"><enum>(f)</enum><header>Independent evaluation and report</header>
<paragraph id="HF88F7808B1634D108D1767F21DBFB925"><enum>(1)</enum><header>Evaluation</header><text>Upon completion of the first year in which predictive analytics technologies are used with respect to claims under Medicaid and CHIP, the Secretary shall, by grant, contract, or interagency agreement, conduct an independent evaluation of the use of predictive analytics technologies under the Medicare fee-for-service program and Medicaid and CHIP. The evaluation shall include an analysis with respect to each such program of the items required for the third year implementation report under subsection (e)(3).</text></paragraph>
<paragraph id="H4220E0EB7A0E4FCFBCE15E3CBC30C80D"><enum>(2)</enum><header>Report</header><text>Not later than 18 months after the evaluation required under paragraph (1) is initiated, the Secretary shall submit a report to Congress on the evaluation that shall include the results of the evaluation, the Secretary's response to such results and, to the extent the Secretary determines appropriate, recommendations for legislation or administrative actions.</text></paragraph></subsection>
<subsection id="H19FB62D9F8754DDD8997EE215AEEB503"><enum>(g)</enum><header>Waiver authority</header><text>The Secretary may waive such provisions of titles XI, XVIII, XIX, and XXI of the Social Security Act, including applicable prompt payment requirements under titles XVIII and XIX of such Act, as the Secretary determines to be appropriate to carry out this section.</text></subsection>
<subsection commented="no" id="HED26988CF4E14E359173054A2741A1FE"><enum>(h)</enum><header>Funding</header>
<paragraph commented="no" id="H7BB242696C3644BA899882C1EBCD9F6C"><enum>(1)</enum><header>Appropriation</header><text>Out of any funds in the Treasury not otherwise appropriated, there is appropriated to the Secretary to carry out this section, $100,000,000 for the period beginning January 1, 2011, to remain available until expended.</text></paragraph>
<paragraph id="H38632F0DB0224AB0A6010710C567FD57"><enum>(2)</enum><header>Reservations</header>
<subparagraph id="H9866D8CDFEB141E8B8440D84DAAAA64C"><enum>(A)</enum><header>Independent evaluation</header><text>The Secretary shall reserve not more than 5 percent of the funds appropriated under paragraph (1) for purposes of conducting the independent evaluation required under subsection (f).</text></subparagraph>
<subparagraph id="H809C21FE1E944C2182B4B0B9ECCB8CF1"><enum>(B)</enum><header>Application to medicaid and chip</header><text>The Secretary shall reserve such portion of the funds appropriated under paragraph (1) as the Secretary determines appropriate for purposes of providing assistance to States for administrative expenses in the event of the expansion of predictive analytics technologies to claims under Medicaid and CHIP.</text></subparagraph></paragraph></subsection>
<subsection id="HE612FF22CC3F42C0A569B49976AE0F63"><enum>(i)</enum><header>Definitions</header><text>In this section:</text>
<paragraph commented="no" display-inline="no-display-inline" id="HD7F1FB9DF58A4A8EBF97BBDFD956F7A6"><enum>(1)</enum><header>Commonwealths and territories</header><text>The term <term>commonwealth and territories</term> includes the Commonwealth of Puerto Rico, the Virgin Islands, Guam, American Samoa, the Commonwealth of the Northern Mariana Islands, and any other territory or possession of the United States in which the Medicare fee-for-service program, Medicaid, or CHIP operates.</text></paragraph>
<paragraph id="H650B7A42588A4603B8B98D1B144D8A48"><enum>(2)</enum><header>CHIP</header><text>The term <term>CHIP</term> means the Children's Health Insurance Program established under title XXI of the Social Security Act (42 U.S.C. 1397aa et seq.).</text></paragraph>
<paragraph id="H78F37E3151F44B4DBF141F666231FF23"><enum>(3)</enum><header>Medicaid</header><text>The term <term>Medicaid</term> means the program to provide grants to States for medical assistance programs established under title XIX of the Social Security Act (42 U.S.C. 1396 et seq.).</text></paragraph>
<paragraph id="HE6AA5DAB911B4356B0A24D6F5D87AA3E"><enum>(4)</enum><header>Medicare beneficiary</header><text>The term <term>Medicare beneficiary</term> means an individual enrolled in the Medicare fee-for-service program.</text></paragraph>
<paragraph id="H881A437D1EF24431AE3521B9F248AD38"><enum>(5)</enum><header>Medicare fee-for-service program</header><text>The term <quote>Medicare fee-for-service program</quote> means the original medicare fee-for-service program under parts A and B of title XVIII of the Social Security Act (42 U.S.C. 1395 et seq.).</text></paragraph>
<paragraph id="HE9067C10FE3A483694EE20F4B2766042"><enum>(6)</enum><header>Medicare provider</header><text>The term <quote>Medicare provider</quote> means a provider of services (as defined in subsection (u) of section 1861 of the Social Security Act (42 U.S.C. 1395x)) and a supplier (as defined in subsection (d) of such section).</text></paragraph>
<paragraph commented="no" display-inline="no-display-inline" id="H32550B4CDDD34D12A93B0A45AEF9B3EE"><enum>(7)</enum><header>Secretary</header><text>The term <quote>Secretary</quote> means the Secretary of Health and Human Services, acting through the Administrator of the Centers for Medicare & Medicaid Services.</text></paragraph>
<paragraph commented="no" display-inline="no-display-inline" id="H8E26CB7CB64147E987D466CFF500A39E"><enum>(8)</enum><header>State</header><text>The term <quote>State</quote> means each of the 50 States and the District of Columbia.</text></paragraph></subsection></section></part></subtitle>
<enum>V</enum><header>Budgetary provisions</header>
<section id="HED917FE9CAFD485FA4BE0FEC71D1FE54"><enum>5001.</enum><header>Determination of budgetary effects</header><text display-inline="no-display-inline">The budgetary effects of this Act, for the purpose of complying with the Statutory Pay-As-You-Go-Act of 2010, shall be determined by reference to the latest statement titled <quote>Budgetary Effects of PAYGO Legislation</quote> for this Act, submitted for printing in the Congressional Record by the Chairman of the Senate Budget Committee, provided that such statement has been submitted prior to the vote on passage.</text></section>
Speaker of the House of Representatives.Vice President of the United States and President of the Senate.