[Congressional Record Volume 145, Number 104 (Wednesday, July 21, 1999)]
[Senate]
[Pages S8955-S8956]
From the Congressional Record Online through the Government Publishing Office [www.gpo.gov]

      By Mr. JEFFORDS (for himself, Mr. Moynihan, Mr. Schumer, Mr. 
        Lautenberg, Mr. Lieberman, and Mr. Leahy):
  S. 1408. A bill to amend the Small Business Investment Act of 1958 to 
promote the cleanup of abandoned, idled, or underused commercial or 
industrial facilities, the expansion or redevelopment of which are 
complicated by real or perceived environmental contamination, and for 
other purposes; to the Committee on Small Business.


          small business brownfields redevelopment act of 1999

  Mr. JEFFORDS. Mr. President, I rise today to introduce the Small 
Business Brownfields Redevelopment Act of 1999.
  As we debate the best avenue to promote smart growth in our 
communities, a prominent issue is brownfields revitalization. 
Historically an issue of corporate America, small businesses can play a 
crucial role in revitalizing brownfields sites. Providing small 
businesses with the necessary capital to redevelop these sites is 
critical. The potential for small businesses to redevelop brownfields 
sites has gone untapped for far too long.
  Although Congress clarified lender liability in 1996--in the FY 1997 
Omnibus Appropriations bill--P.L. 104-208--there has been little 
progress to enhance small business brownfields redevelopment efforts. 
Larger corporations have the necessary resources; for example, Bank of 
America has recognized the economic benefits for brownfields lending. 
The Small Business Brownfields Redevelopment Act of 1999 would level 
this playing field.
  Our goal with this legislation is to take an existing framework--the 
Small Business Administration's (SBA) successful loan guarantee and 
community development corporation programs--and channel important 
resources into brownfields redevelopment and prevention. It is a 
concept with multiple objectives. It will provide legitimacy to 
brownfields investment and lending, which does not now exist; and 
promote innovative cleanup technologies.
  By redeveloping brownfields and easing development pressure on 
greenfields, we are promoting smart growth; and by providing critical 
financial tools to our small businesses, we are promoting the backbone 
of our nation's economy. Revitalizing brownfields is pro-business, pro-
community, and pro-environment.
  Mr. President, I ask unanimous consent that the text of the bill be 
printed in the Record.
  There being no objection, the bill was ordered to be printed in the 
Record, as follows:

                                S. 1408

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

     SECTION 1. SHORT TITLE.

       This Act may be cited as the ``Small Business Brownfields 
     Redevelopment Act of 1999''.

     SEC. 2. SMALL BUSINESS DEVELOPMENT COMPANY PROGRAM SET-ASIDE 
                   FOR BROWNFIELD PREVENTION AND REDEVELOPMENT.

       Section 504 of the Small Business Investment Act of 1958 
     (15 U.S.C. 697a) is amended by adding at the end the 
     following:
       ``(c) Set-Aside for Brownfield Prevention and Redevelopment 
     Projects.--
       ``(1) In general.--Of the amount authorized for financings 
     under this section in each fiscal year, the Administration 
     shall set aside the lesser of $50,000,000 or 10 percent, 
     which shall be used by qualified State and local development 
     companies to finance projects that assist qualified small 
     businesses (or prospective owners or operators of qualified 
     small businesses) in--
       ``(A) carrying out site assessment and cleanup activities 
     at brownfield sites or at sites contaminated with petroleum; 
     and
       ``(B) acquiring new, clean technologies and production 
     equipment.
       ``(2) Definitions.--In this subsection--
       ``(A) the term `brownfield site' has the meaning given that 
     term in section 321(d);
       ``(B) the term `site assessment' means any investigation of 
     a site determined to be appropriate by the President and 
     undertaken pursuant to section 104(b) of the Comprehensive 
     Environmental Response, Compensation, and Liability Act of 
     1980 (42 U.S.C. 9604(b));
       ``(C) the term `qualified small business' means a small 
     business--
       ``(i) that--

       ``(I) has acquired a brownfield site; or
       ``(II) uses, in the course of doing business, any hazardous 
     substance (as defined in section 101(14) of such Act (42 
     U.S.C. 9601(14)); and

       ``(ii) that has limited or no access to capital from 
     conventional sources, as determined by the Administration; 
     and
       ``(D) the term `qualified State or local development 
     company' has the meaning given that term in section 
     503(e).''.

     SEC. 3. PROMOTION OF SMALL BUSINESS INVESTMENT COMPANIES FOR 
                   BROWNFIELD ACTIVITIES.

       Title III of the Small Business Investment Act of 1958 (15 
     U.S.C. 681 et seq.) is amended by adding at the end the 
     following:

     ``SEC. 321. SMALL BUSINESS INVESTMENT COMPANIES FOR 
                   BROWNFIELD ACTIVITIES.

       ``(a) Establishment of Certain Small Business Investment 
     Companies.--The Administration shall promote the 
     establishment of 1 or more small business investment 
     companies, the primary purpose of which is to finance--
       ``(1) cleanup activities for brownfield sites or sites 
     contaminated with petroleum, including those that use 
     innovative or experimental cleanup technologies; or
       ``(2) projects that assist small businesses in cleaning up 
     the facilities owned or operated by those small businesses 
     and adopting new, clean technologies.
       ``(b) Authority To Waive Certain Fee.--The Administration 
     may waive any filing fee otherwise required by the 
     Administration under this title with respect to any small 
     business investment company described in subsection (a).
       ``(c) Set-Aside.--Notwithstanding any other provision of 
     this title, of the amount authorized for purchases of 
     participating securities and guarantees of debentures under 
     this title in each fiscal year, the Administration shall set 
     aside the lesser of $2,000,000 or 10 percent, which shall be 
     used to provide leverage to any small business investment 
     company described in subsection (a).

[[Page S8956]]

       ``(d) Brownfield Site Defined.--In this section, the term 
     `brownfield site' means an abandoned, idled, or underused 
     commercial or industrial facility, the expansion or 
     redevelopment of which is complicated by real or perceived 
     environmental contamination.''.

  Mr. MOYNIHAN. Mr. President, I rise to introduce the Small Business 
Brownfields Redevelopment Act of 1999, a bill to set aside a portion of 
the Small business Administration's (SBA) resources for use by small 
businesses for brownfields prevention and redevelopment.
  I am pleased to co-sponsor this measure with Senator Jeffords of 
Vermont. Together, we co-chair the Northeast-Midwest Senate Coalition. 
We recognize that our area of the country has its share of brownfields 
and the need for this important legislation.
  Many smaller banks, including those represented by the SBA, are 
hesitant to lend to projects involving brownfields which they perceive 
to be risky. Our bill will encourage and provide the legitimacy to 
brownfields investment and lending that is long overdue.
  This bill designates a portion of the funding of two of SBA's 
programs, Section 504, Certified Development Companies (CDCs) and Small 
Business Investment Companies (SBICs), for brownfields activities. This 
will ensure that small businesses receive the support they need to 
promote the redevelopment of valuable land.
  Companies across the nation have recognized the financial and social 
advantages of Smart Growth and brownfields redevelopment. Communities 
call on us to preserve and promote open space. This bill unites the 
goals of businesses and residents in a common purpose: more efficient, 
economical and ecological use of our nation's lands.
                                 ______