[Congressional Record Volume 155, Number 115 (Tuesday, July 28, 2009)]
[House]
[Pages H8912-H8915]
From the Congressional Record Online through the Government Publishing Office [www.gpo.gov]




                  VETERANS BUSINESS CENTER ACT OF 2009

  Ms. VELAZQUEZ. Mr. Speaker, I move to suspend the rules and pass the 
bill (H.R. 1803) to amend the Small Business Act to establish a 
Veterans Business Center program, and for other purposes, as amended.
  The Clerk read the title of the bill.
  The text of the bill is as follows:

                               H.R. 1803

       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 ``Veterans Business Center Act 
     of 2009''.

     SEC. 2. VETERANS BUSINESS CENTER PROGRAM.

       Section 32 of the Small Business Act (15 U.S.C. 657b) is 
     amended--
       (1) in subsection (f), by inserting ``(other than 
     subsections (g), (h), and (i))'' after ``this section''; and
       (2) by adding at the end the following:
       ``(g) Veterans Business Center Program.--
       ``(1) In general.--The Administrator shall establish a 
     Veterans Business Center program within the Administration to 
     provide entrepreneurial training and counseling to veterans 
     in accordance with this subsection.
       ``(2) Director.--The Administrator shall appoint a Director 
     of the Veterans Business Center program, who shall implement 
     and oversee such program and who shall report directly to the 
     Associate Administrator for Veterans Business Development.
       ``(3) Designation of veterans business centers.--The 
     Director shall establish by regulation an application, 
     review, and notification process to designate entities as 
     veterans business centers for purposes of this section. The 
     Director shall make publicly known the designation of an 
     entity as a veterans business center and the award of a grant 
     to such center under this subsection.
       ``(4) Funding for veterans business centers.--
       ``(A) Initial grants.--The Director is authorized to make a 
     grant (hereinafter in this subsection referred to as an 
     `initial grant') to each veterans business center each year 
     for not more than 5 years in the amount of $200,000.
       ``(B) Growth funding grants.--After a veterans business 
     center has received 5 years of initial grants under 
     subparagraph (A), the Director is authorized to make a grant 
     (hereinafter in this subsection referred to as a `growth 
     funding grant') to such center each year for not more than 3 
     years in the amount of $150,000. After such center has 
     received 3 years of growth funding grants, the Director shall 
     require such center to meet performance benchmarks 
     established by the Director to be eligible for growth funding 
     grants in subsequent years.
       ``(5) Center responsibilities.--Each veterans business 
     center receiving a grant under this subsection shall use the 
     funds primarily on veteran entrepreneurial development, 
     counseling of veteran-owned small businesses through one-on-
     one instruction and classes, and providing government 
     procurement assistance to veterans.
       ``(6) Matching funds.--Each veterans business center 
     receiving a grant under this subsection shall be required to 
     provide a non-

[[Page H8913]]

     Federal match of 50 percent of the Federal funds such center 
     receives under this subsection. The Director may issue to a 
     veterans business center, upon request, a waiver from all or 
     a portion of such matching requirement upon a determination 
     of hardship. The Director may waive the matching funds 
     requirement under this paragraph with respect to veterans 
     business centers that serve communities with a per capita 
     income less than 75 percent of the national per capita income 
     and an unemployment rate at least 150 percent higher than the 
     national average.
       ``(7) Targeted areas.--The Director shall give priority to 
     applications for designations and grants under this 
     subsection that will establish a veterans business center in 
     a geographic area, as determined by the Director, that is not 
     currently served by a veterans business center and in which--
       ``(A) the population of veterans exceeds the national 
     median of such measure; or
       ``(B) the population of veterans of Operation Iraqi Freedom 
     or Operation Enduring Freedom exceeds the national median of 
     such measure.
       ``(8) Training program.--The Director shall develop and 
     implement, directly or by contract, an annual training 
     program for the staff and personnel of designated veterans 
     business centers to provide education, support, and 
     information on best practices with respect to the 
     establishment and operation of such centers. The Director 
     shall develop such training program in consultation with 
     veterans business centers, the interagency task force 
     established under subsection (c), and veterans service 
     organizations.
       ``(9) Inclusion of other organizations in program.--Upon 
     the date of the enactment of this subsection, each Veterans 
     Business Outreach Center established by the Administrator 
     under the authority of section 8(b)(17) and each center that 
     received funds during fiscal year 2006 from the National 
     Veterans Business Development Corporation established under 
     section 33 and that remains in operation shall be treated as 
     designated as a veterans business center for purposes of this 
     subsection and shall be eligible for grants under this 
     subsection.
       ``(10) Rural areas.--The Director shall submit annually to 
     the Administrator a report on whether a sufficient 
     percentage, as determined by the Director, of veterans in 
     rural areas have adequate access to a veterans business 
     center. If the Director submits a report under this paragraph 
     that does not demonstrate that a sufficient percentage of 
     veterans in rural areas have adequate access to a veterans 
     business center, the Director shall give priority during the 
     1-year period following the date of the submission of such 
     report to applications for designations and grants under this 
     subsection that will establish veterans business centers in 
     rural areas.
       ``(11) Authorization of appropriations.--There is 
     authorized to be appropriated to carry out this subsection 
     $12,000,000 for fiscal year 2010 and $14,000,000 for fiscal 
     year 2011.
       ``(h) Additional Grants Available to Veterans Business 
     Centers.--
       ``(1) Access to capital grant program.--
       ``(A) In general.--The Director of the Veterans Business 
     Center program shall establish a grant program under which 
     the Director is authorized to make, to veterans business 
     centers designated under subsection (g), grants for the 
     following:
       ``(i) Developing specialized programs to assist veteran-
     owned small businesses to secure capital and repair damaged 
     credit.
       ``(ii) Providing informational seminars on securing loans 
     to veteran-owned small businesses.
       ``(iii) Providing one-on-one counseling to veteran-owned 
     small businesses to improve the financial presentations of 
     such businesses to lenders.
       ``(iv) Facilitating the access of veteran-owned small 
     businesses to both traditional and non-traditional financing 
     sources.
       ``(v) Providing one-on-one or group counseling to owners of 
     small business concerns who are members of the reserve 
     components of the armed forces, as specified in section 10101 
     of title 10, United States Code, to assist such owners to 
     effectively prepare their small businesses for periods when 
     such owners are deployed in support of a contingency 
     operation.
       ``(vi) Developing specialized programs to assist unemployed 
     veterans to become entrepreneurs.
       ``(B) Award size.--The Director may not award a veterans 
     business center more than $75,000 in grants under this 
     paragraph.
       ``(C) Authorization of appropriations.--There is authorized 
     to be appropriated to carry out this paragraph $1,500,000 for 
     each of fiscal years 2010 and 2011.
       ``(2) Procurement assistance grant program.--
       ``(A) In general.--The Director shall establish a grant 
     program under which the Director is authorized to make, to 
     veterans business centers designated under subsection (g), 
     grants for the following:
       ``(i) Assisting veteran-owned small businesses to identify 
     contracts that are suitable to such businesses.
       ``(ii) Preparing veteran-owned small businesses to be ready 
     as subcontractors and prime contractors for contracts made 
     available through the American Recovery and Reinvestment Act 
     of 2009 (Public Law 111-5) through training and business 
     advisement, particularly with respect to the construction 
     trades.
       ``(iii) Providing veteran-owned small businesses technical 
     assistance with respect to the Federal procurement process, 
     including assisting such businesses to comply with Federal 
     regulations and bonding requirements.
       ``(B) Award size.--The Director may not award a veterans 
     business center more than $75,000 in grants under this 
     paragraph.
       ``(C) Authorization of appropriations.--There is authorized 
     to be appropriated to carry out this paragraph $1,500,000 for 
     each of fiscal years 2010 and 2011.
       ``(3) Service-disabled veteran-owned small business grant 
     program.--
       ``(A) In general.--The Director shall establish a grant 
     program under which the Director is authorized to make, to 
     veterans business centers designated under subsection (g), 
     grants for the following:
       ``(i) Developing outreach programs for service-disabled 
     veterans to promote self-employment opportunities.
       ``(ii) Providing training to service-disabled veterans with 
     respect to business plan development, marketing, budgeting, 
     accounting, and merchandising.
       ``(iii) Assisting service-disabled veteran-owned small 
     businesses to locate and secure business opportunities.
       ``(B) Award size.--The Director may not award a veterans 
     business center more than $75,000 in grants under this 
     paragraph.
       ``(C) Authorization of appropriations.--There is authorized 
     to be appropriated to carry out this paragraph $1,500,000 for 
     each of fiscal years 2010 and 2011.
       ``(i) Veterans Entrepreneurial Development Summit.--
       ``(1) In general.--The Director of the Veterans Business 
     Center program is authorized to carry out an event, once 
     every two years, for the purpose of providing networking 
     opportunities, outreach, education, training, and support to 
     veterans business centers funded under this section, veteran-
     owned small businesses, veterans service organizations, and 
     other entities as determined appropriate for inclusion by the 
     Director. Such event shall include education and training 
     with respect to improving outreach to veterans in areas of 
     high unemployment.
       ``(2) Authorization of appropriations.--There is authorized 
     to be appropriated to carry out this subsection $450,000 for 
     fiscal years 2010 and 2011.
       ``(j) Inclusion of Surviving Spouses.--For purposes of 
     subsections (g), (h), and (i) the following apply:
       ``(1) The term `veteran' includes a surviving spouse of the 
     following:
       ``(A) A member of the Armed Forces, including a reserve 
     component thereof.
       ``(B) A veteran.
       ``(2) The term `veteran-owned small business' includes a 
     small business owned by a surviving spouse of the following:
       ``(A) A member of the Armed Forces, including a reserve 
     component thereof.
       ``(B) A veteran.
       ``(k) Inclusion of Reserve Components.--For purposes of 
     subsections (g), (h), and (i) the following apply:
       ``(1) The term `veteran' includes a member of the reserve 
     components of the armed forces as specified in section 10101 
     of title 10, United States Code.
       ``(2) The term `veteran-owned small business' includes a 
     small business owned by a member of the reserve components of 
     the armed forces as specified in section 10101 of title 10, 
     United States Code.''.

     SEC. 3. REPORTING REQUIREMENT FOR INTERAGENCY TASK FORCE.

       Section 32(c) of the Small Business Act (15 U.S.C. 657b(c)) 
     is amended by adding at the end the following:
       ``(4) Report.--The Administrator shall submit to Congress 
     biannually a report on the appointments made to and 
     activities of the task force.''.

     SEC. 4. COMPTROLLER GENERAL STUDY OF SMALL BUSINESS CONCERNS 
                   OWNED AND CONTROLLED BY VETERANS.

       The Comptroller General shall carry out a study on the 
     effects of this Act and the amendments made by this Act on 
     small business concerns owned and controlled by veterans and 
     submit to Congress a report on the results of such study. 
     Such report shall include the recommendations of the 
     Comptroller General with respect to how this Act and the 
     amendments made by this Act may be implemented to more 
     effectively serve small business concerns owned and 
     controlled by veterans.

  The SPEAKER pro tempore. Pursuant to the rule, the gentlewoman from 
New York (Ms. Velazquez) and the gentleman from Pennsylvania (Mr. 
Thompson) each will control 20 minutes.
  The Chair recognizes the gentlewoman from New York.


                             General Leave

  Ms. VELAZQUEZ. Mr. Speaker, I ask unanimous consent that all Members 
have 5 legislative days to revise and extend their remarks and include 
extraneous material on the bill under consideration.
  The SPEAKER pro tempore. Is there objection to the request of the 
gentlewoman from New York?
  There was no objection.
  Ms. VELAZQUEZ. Mr. Speaker, I yield myself such time as I may 
consume.
  Mr. Speaker, as a new generation of heroes returns home from the 
conflicts

[[Page H8914]]

in Iraq and Afghanistan, our Nation has a responsibility to ensure that 
they can earn a decent living for themselves and their families.
  When they reenter civilian life, many of our returning soldiers, 
sailors, airmen and marines will be interested in launching their own 
businesses. This is not surprising. After all, the attributes it takes 
to lead a successful business, like perseverance, leadership and 
strategic thinking, are the same skills that make members of our 
military effective.
  Already veterans comprise 14 percent of self-employed Americans. With 
more veterans returning home from Iraq every day, we can only expect 
the number of self-employed veterans to spike in coming months.
  The bill before us today is meant to make specialized services 
available to veterans so that they can succeed as small business 
owners. Under this bill, the Small Business Administration is 
instructed to establish a new Veterans Business Center program. This 
program will provide veterans with dedicated counseling and business 
training.
  There is already an existing Veterans Business Outreach Center 
initiative at the Small Business Administration, and while that program 
is limited in its scope, it has already demonstrated that veterans can 
succeed in business if they have the right tools.
  Importantly, under this bill, for the first time we will have a 
dedicated network of entrepreneurial development centers that are 
designed specifically with veterans' needs in mind.
  In addition to building on the success of the existing Veterans 
Business program, this legislation will tackle some of the most 
difficult challenges blocking veterans from becoming entrepreneurs. 
Given the ongoing credit crunch, there are specific measures in this 
bill to help veterans access capital and ensure loans.
  H.R. 1803 also helps veterans find Federal contracts that are well-
suited for veteran-owned businesses. This is a particularly timely 
program, given the wave of contracts that will be generated from the 
American Recovery and Reinvestment Act.
  Equally important, this bill makes clear that as the SBA activates 
the new network of Veterans Business Centers, it should look first to 
those areas of the country with large veterans populations. In short, 
we are bringing small business resources that veterans need to the 
communities with the most veterans.
  Mr. Speaker, all of us owe a debt to the men and women who wear our 
Nation's uniform in defense of our country. While we can never fully 
repay that debt, we can help our veterans reenter civilian life and 
pursue the American Dream.
  The legislation before the House today will help our returning heroes 
find their piece of the American Dream by launching and building their 
own businesses. I urge my colleagues to support this bill.
  Mr. Speaker, I reserve the balance of my time.
  Mr. THOMPSON of Pennsylvania. Mr. Speaker, I yield myself such time 
as I may consume.
  Mr. Speaker, today I rise in support of H.R. 1803, the Veterans 
Business Center Act of 2009. Today's current economic climate provides 
a hard path to success. While it has never been easy for small business 
owners, obligations for increases in taxes, utilities, high health care 
costs and loan payments make it even more difficult.
  With this ever-increasing burden, it is no wonder that small 
businesses are not thriving. And despite the barriers that are placed 
in front of them, small business owners are using their creativity to 
survive. The Small Business Administration has entrepreneurial 
technical assistance programs that must be reassessed in order to 
ensure that they are providing the most effective assistance to small 
business.
  When the men and women who have chosen to serve their country 
honorably in the armed services retire and return home, they are often 
faced with a daunting task of beginning new careers. Many times, they 
choose to serve their country in another way. These brave Americans 
frequently choose to open up a small business and contribute to the 
growth of America's economy. For these great Americans, we must provide 
them with the very best training to ensure the ease of transition to 
their new civilian lives.
  This important legislation modernizes one of SBA's most critical 
programs, the Veterans Business Center program, so it can help them 
become entrepreneurs during these difficult economic times. It will 
show them how to use their skills and creativity to establish small 
businesses and survive until such time as the economic climate allows 
their businesses to thrive. Then it will provide them with the 
assistance they need to help grow their business.
  Currently, the Office of Veterans Affairs at the SBA oversees five 
Veterans Business Centers that serve our veterans. Under this 
legislation, a Veterans Business Center program will be established to 
develop and run a larger network of Veterans Business Centers.
  Special attention will be paid to the areas of the country with dense 
veteran populations, such as those surrounding military facilities. 
These centers will offer counseling to veterans through one-on-one 
instruction. It will also provide continuing education to those who may 
have run a small business before entering the armed services and have 
returned to their business after a tour of duty.

                              {time}  1630

  Frequently overlooked and underappreciated are the spouses of 
Americans who have served in the Armed Forces. These individuals also 
face the challenges that a life in the armed services may present, 
including providing for a family in the absence of the servicemember. 
Under this legislation, spouses of deceased servicemembers will also 
benefit from the counseling and training of Veterans Business Centers 
if they are starting or running a small business.
  Enlisted personnel are not the only ones serving our country. Members 
of the National Guard are frequently called upon at a moment's notice 
to provide assistance, whether in disaster relief efforts or in tours 
of duty overseas during wartime. Given the service they provide to the 
country, they should have the same resources as enlisted members of the 
armed services when their commitment to their fellow citizens is over. 
This bill would open Veterans Business Centers to members of the 
National Guard.
  Everyone knows that a good business plan is the cornerstone of any 
successful small business. Creating and executing the business plan 
requires extensive business knowledge and ingenuity, including the 
ability to predict potential obstacles to the success that may unfold 
at any time.
  This bill fortifies an already existing program that teaches 
America's veterans how to tackle their problems head on. In short, this 
bill sharpens an already existing tool employed by the SBA to cultivate 
one of our Nation's greatest natural resources, its veteran 
entrepreneurs.
  Mr. Speaker, this legislation makes crucial changes to an important 
program at a critical time. I commend Mr. Nye for his hard work on this 
bill. I also commend Chairwoman Velazquez for moving this bill so 
swiftly through committee.
  I reserve the balance of my time.
  Ms. VELAZQUEZ. Mr. Speaker, I yield as much time as he may consume to 
the sponsor of the legislation, the gentleman from Virginia (Mr. Nye).
  Mr. NYE. Mr. Speaker, first of all, I would like to thank Chairwoman 
Velazquez for helping me bring my bill to the floor today. I can't 
thank my good friend enough for the hard work and the bipartisanship 
that she has shown in her leadership of the committee. I couldn't ask 
for a better chairwoman. I would also like to thank Ranking Member 
Graves and Mr. Thompson for their support.
  Mr. Speaker, I have the honor to represent Virginia's Second 
Congressional District, home to the largest concentration of veterans, 
military personnel and military families anywhere in the country. We 
know firsthand that our community is stronger not only because of the 
service of our military personnel but also because of the contributions 
of our veterans.
  The same drive and dedication that leads men and women from Hampton 
Roads and the Eastern Shore to serve our country in uniform also leads 
many of our veterans to take on the challenge of entrepreneurship. Like 
small businesses all across the country, veteran-owned small businesses 
are a

[[Page H8915]]

crucial part of our economy, helping to create jobs and spur economic 
growth.
  It's no secret why they are successful. The skills and training that 
our veterans learn in the military are incredibly valuable in the 
private sector. However, despite their experience, many veterans leave 
the military without the resources to translate their skills to the 
challenges of starting and running a business. This bill will make sure 
our veterans have the support they need by establishing a nationwide 
network of Veterans Business Centers.
  These centers will provide counseling and business training. They 
will assist in accessing capital and securing loans and credit, and 
they will help veterans navigate the procurement process to compete 
more effectively in the Federal marketplace.
  Earlier this year, I spoke with a veteran in my district who started 
his own small business just 3 years ago; and as of this year, he has 
already created hundreds of jobs. Despite years of experience in the 
military, he told me that the only way that he got started was because 
of the support from other veteran business owners who showed him the 
ropes.
  While he was fortunate, not all of our veterans are in the same 
position. The Veterans Business Centers will ensure that all veterans 
have access to the same resources and information so that they too can 
launch and grow their own businesses. We know already from the existing 
outreach centers and Small Business Development Centers that the model 
can be very successful. My bill will build on what works and expand 
access to these critical services, especially in areas of the country 
with large numbers of veterans.
  The Veterans Business Center Act of 2009 has the support of both the 
American Legion and the Veterans of Foreign Wars; and most importantly, 
it will help spur the growth of small businesses and create jobs 
because at a time when we are working to rebuild our economy, America 
must draw upon the ingenuity of our small businesses and the dedication 
of our veteran entrepreneurs. I strongly urge my colleagues to support 
this bill.
  Mr. THOMPSON of Pennsylvania. I yield as much time as she may consume 
to the gentlelady from Florida (Ms. Ginny Brown-Waite).
  Ms. GINNY BROWN-WAITE of Florida. I thank the gentleman.
  Mr. Speaker, I rise today in support of H.R. 1803, the Veterans 
Business Center Act of 2009. By creating a Veterans Business Center 
program, this bill supplies veterans with the academic, instructional 
and economic support that they need to start their own businesses. In 
my home State of Florida, 99 percent of the State's employers are small 
businesses. At a time when Florida is facing unprecedented economic 
difficulties, this bill will provide veterans in my district with the 
entrepreneurial training and counseling that they need to enter this 
vital part of Florida's economy.
  I especially like the part of the bill that targets areas with high 
veteran populations. Madam Chairman, do I have the area for you: 
certainly the Tampa Bay area is home to so many veterans. We have 
MacDill; we have two wonderful veterans hospitals right there; and the 
third one is about to be built in the Orlando area.
  While serving in the Armed Forces, our men and women in uniform often 
need to put their own career goals and ambitions on hold while risking 
their lives to protect our freedom. One way that we can honor our 
troops for their sacrifices and bravery is to provide them with the 
opportunity to pursue their dreams once they return from the 
battlefield. This Veterans Business Center Act of 2009 is an important 
step in achieving this goal. I want to thank Mr. Nye for introducing 
this bill and certainly Ms. Velazquez from New York for allowing the 
bill to come before her committee and eventually to the floor. I 
encourage all of my colleagues to support this bill.
  Ms. VELAZQUEZ. Mr. Speaker, I have no further speakers. If the 
gentleman is ready to close or yield back, I am ready to close.
  Mr. THOMPSON of Pennsylvania. I just want to thank the chairwoman for 
her leadership with this and Mr. Nye for this piece of legislation, and 
I yield back the balance of my time.
  Ms. VELAZQUEZ. Again, Mr. Speaker, let me just take the opportunity 
to thank Mr. Nye and all the members from the other side on the Small 
Business Committee who have worked on this legislation. I encourage all 
the Members to support this bill.
  I yield back the balance of my time.
  The SPEAKER pro tempore. The question is on the motion offered by the 
gentlewoman from New York (Ms. Velazquez) that the House suspend the 
rules and pass the bill, H.R. 1803, as amended.
  The question was taken; and (two-thirds being in the affirmative) the 
rules were suspended and the bill, as amended, was passed.
  A motion to reconsider was laid on the table.

                          ____________________