[Congressional Record Volume 167, Number 88 (Thursday, May 20, 2021)]
[Senate]
[Pages S3238-S3244]
From the Congressional Record Online through the Government Publishing Office [www.gpo.gov]
SA 1783. Mr. CARDIN submitted an amendment intended to be proposed to
amendment SA 1502 proposed by Mr. Schumer to the bill S. 1260, to
establish a new Directorate for Technology and Innovation in the
National Science Foundation, to establish a regional technology hub
program, to require a strategy and report on economic security,
science, research, innovation, manufacturing, and job creation, to
establish a critical supply chain resiliency program, and for other
purposes; which was ordered to lie on the table; as follows:
At the end, add the following:
DIVISION G--MINORITY BUSINESS RESILIENCY
SEC. 7001. SHORT TITLE; TABLE OF CONTENTS.
(a) Short Title.--This division may be cited as the
``Minority Business Resiliency Act of 2021''.
(b) Table of Contents.--The table of contents for this
division is as follows:
DIVISION G--MINORITY BUSINESS RESILIENCY
Sec. 7001. Short title; table of contents.
Sec. 7002. Findings and purposes.
Sec. 7003. Definitions.
Sec. 7004. Minority Business Development Agency.
TITLE I--EXISTING INITIATIVES
Subtitle A--Market Development, Research, and Information
Sec. 7101. Private sector development.
Sec. 7102. Public sector development.
Sec. 7103. Research and information.
Subtitle B--Minority Business Development Agency Business Center
Program
Sec. 7111. Definition.
Sec. 7112. Purpose.
Sec. 7113. Establishment.
Sec. 7114. Grants and cooperative agreements.
Sec. 7115. Minimizing disruptions to existing MBDA Business Center
program.
Sec. 7116. Publicity.
Sec. 7117. Funding.
TITLE II--NEW INITIATIVES TO PROMOTE ECONOMIC RESILIENCY FOR MINORITY
BUSINESSES
Sec. 7201. Annual diverse business forum on capital formation.
Sec. 7202. Agency study on alternative financing solutions.
Sec. 7203. Educational development relating to management and
entrepreneurship.
TITLE III--RURAL MINORITY BUSINESS CENTER PROGRAM
Sec. 7301. Definitions.
Sec. 7302. Business centers.
Sec. 7303. Report to Congress.
Sec. 7304. Study and report.
TITLE IV--MINORITY BUSINESS DEVELOPMENT GRANTS
Sec. 7401. Grants to nonprofit organizations that support minority
business enterprises.
Sec. 7402. Minority business grants.
TITLE V--ADMINISTRATIVE AND OTHER POWERS OF THE AGENCY; MISCELLANEOUS
PROVISIONS
Sec. 7501. Administrative powers.
Sec. 7502. Federal assistance.
Sec. 7503. Audits.
Sec. 7504. Review and report by Comptroller General.
Sec. 7505. Annual reports; recommendations.
Sec. 7506. Separability.
Sec. 7507. Executive Order 11625.
Sec. 7508. Amendment to the Federal Acquisition Streamlining Act of
1994.
Sec. 7509. Authorization of appropriations.
SEC. 7002. FINDINGS AND PURPOSES.
(a) Findings.--Congress finds the following:
(1) During times of economic downturn or recession,
communities of color, and businesses within those
communities, are generally more adversely affected, which
requires an expansion of the ability of the Federal
Government to infuse resources into those communities.
(2) Despite the growth in the number of minority business
enterprises, gaps remain with respect to key metrics for
those enterprises, such as access to capital, revenue, number
of employees, and survival rate. Specifically--
(A) according to the Department of Commerce, minority
business enterprises are 2 to 3 times more likely to be
denied loans than non-minority business enterprises;
(B) according to the Bureau of the Census, the average non-
minority business enterprise reports receipts that are more
than 3 times higher than receipts reported by the average
minority business enterprise; and
(C) according to the Kauffman Foundation--
(i) minority business enterprises are \1/2\ as likely to
employ individuals, as compared with non-minority business
enterprises; and
(ii) if minorities started and owned businesses at the same
rate as non-minorities, the United States economy would have
more than 1,000,000 additional employer businesses and more
than 9,500,000 additional jobs.
(3) Because of the conditions described in paragraph (2),
it is in the interest of the United States and the economy of
the United States to expeditiously ameliorate the disparities
that minority business enterprises experience.
(4) Many individuals who own minority business enterprises
are socially disadvantaged because those individuals identify
as members of certain groups that have suffered the effects
of discriminatory practices or similar circumstances over
which those individuals have no control, including
individuals who are--
(A) Black or African American;
(B) Hispanic or Latino;
(C) American Indian or Alaska Native;
(D) Asian; and
(E) Native Hawaiian or other Pacific Islander.
(5) Discriminatory practices and similar circumstances
described in paragraph (4) are a significant determinant of
overall economic disadvantage in the United States, which is
evident in the persistent racial wealth gap in the United
States.
(6) While other Federal agencies focus only on small
businesses and businesses that represent a broader
demographic than solely minority business enterprises, the
Agency focuses exclusively on--
(A) the unique needs of minority business enterprises; and
(B) enhancing the capacity of minority business
enterprises.
(b) Purposes.--The purposes of this division are to--
(1) require the Agency to promote and administer programs
in the public and private sectors to assist the development
of minority business enterprises; and
(2) achieve the development described in paragraph (1) by
authorizing the Assistant Secretary to carry out programs
that will result in increased access to capital, management,
and technology for minority business enterprises.
SEC. 7003. DEFINITIONS.
In this division:
(1) Agency.--The term ``Agency'' means the Minority
Business Development Agency of the Department of Commerce.
[[Page S3239]]
(2) Assistant secretary.--The term ``Assistant Secretary''
means the Assistant Secretary of Commerce for Minority
Business Development, who is appointed as described in
section 7004(b) to administer this division.
(3) Community-based organization.--The term ``community-
based organization'' has the meaning given the term in
section 8101 of the Elementary and Secondary Education Act of
1965 (20 U.S.C. 7801).
(4) Eligible entity.--Except as otherwise expressly
provided, the term ``eligible entity''--
(A) means--
(i) a private sector entity;
(ii) a public sector entity; or
(iii) a Tribal government; and
(B) includes an institution of higher education.
(5) Federal agency.--The term ``Federal agency'' has the
meaning given the term ``agency'' in section 551 of title 5,
United States Code.
(6) Federally recognized area of economic distress.--The
term ``federally recognized area of economic distress''
means--
(A) a HUBZone, as that term is defined in section 31(b) of
the Small Business Act (15 U.S.C. 657a(b));
(B) an area that--
(i) has been designated as--
(I) an empowerment zone under section 1391 of the Internal
Revenue Code of 1986; or
(II) a Promise Zone by the Secretary of Housing and Urban
Development; or
(ii) is a low or moderate income area, as determined by the
Bureau of the Census;
(C) a qualified opportunity zone, as that term is defined
in section 1400Z-1 of the Internal Revenue Code of 1986; or
(D) any other political subdivision or unincorporated area
of a State determined by the Assistant Secretary to be an
area of economic distress.
(7) Indian tribe.--The term ``Indian Tribe''--
(A) has the meaning given the term in section 4 of the
Indian Self-Determination and Education Assistance Act (25
U.S.C. 5304); and
(B) includes a Native Hawaiian organization.
(8) Institution of higher education.--The term
``institution of higher education'' has the meaning given the
term in section 101 of the Higher Education Act of 1965 (20
U.S.C. 1001).
(9) MBDA business center.--The term ``MBDA Business
Center'' means any business center that--
(A) is established by the Agency; and
(B) provides technical business assistance to minority
business enterprises consistent with the requirements of this
division.
(10) MBDA business center agreement.--The term ``MBDA
Business Center agreement'' means a legal instrument--
(A) reflecting a relationship between the Agency and the
recipient of a Federal assistance award that is the subject
of the instrument; and
(B) that establishes the terms by which the recipient
described in subparagraph (A) shall operate an MBDA Business
Center.
(11) Minority business enterprise.--
(A) In general.--The term ``minority business enterprise''
means a business enterprise--
(i) that is not less than 51 percent-owned by 1 or more
socially and economically disadvantaged individuals; and
(ii) the management and daily business operations of which
are controlled by 1 or more socially and economically
disadvantaged individuals.
(B) Rule of construction.--Nothing in subparagraph (A) may
be construed to exclude a business enterprise from qualifying
as a ``minority business enterprise'' under that subparagraph
because of--
(i) the status of the business enterprise as a for-profit
or not-for-profit enterprise; or
(ii) the revenue of the business enterprise.
(12) Private sector entity.--The term ``private sector
entity''--
(A) means an entity that is not a public sector entity; and
(B) does not include--
(i) the Federal Government;
(ii) any Federal agency; or
(iii) any instrumentality of the Federal Government.
(13) Public sector entity.--The term ``public sector
entity'' means--
(A) a State;
(B) an agency of a State;
(C) a political subdivision of a State; or
(D) an agency of a political subdivision of a State.
(14) Secretary.--The term ``Secretary'' means the Secretary
of Commerce.
(15) Socially and economically disadvantaged individual.--
(A) In general.--The term ``socially and economically
disadvantaged individual'' means an individual who has been
subjected to racial or ethnic prejudice, or to cultural bias,
because of the identity of the individual as a member of a
group, without regard to any individual quality of the
individual that is unrelated to that identity.
(B) Presumption.--In carrying out this division, the
Assistant Secretary shall presume that the term ``socially
and economically disadvantaged individual'' includes any
individual who is--
(i) Black or African American;
(ii) Hispanic or Latino;
(iii) American Indian or Alaska Native;
(iv) Asian;
(v) Native Hawaiian or other Pacific Islander; or
(vi) a member of a group that the Agency determines under
part 1400 of title 15, Code of Federal Regulations, as in
effect on November 23, 1984, is a socially disadvantaged
group eligible to receive assistance.
(16) Specialty center.--The term ``specialty center'' means
an MBDA Business Center that provides specialty services
focusing on specific business needs, including assistance
relating to--
(A) capital access;
(B) Federal procurement;
(C) entrepreneurship;
(D) technology transfer; or
(E) any other area determined necessary or appropriate
based on the priorities of the Agency.
(17) State.--The term ``State'' means--
(A) each of the States of the United States;
(B) the District of Columbia;
(C) the Commonwealth of Puerto Rico;
(D) the United States Virgin Islands;
(E) Guam;
(F) American Samoa;
(G) the Commonwealth of the Northern Mariana Islands; and
(H) each Indian Tribe.
SEC. 7004. MINORITY BUSINESS DEVELOPMENT AGENCY.
(a) In General.--There is within the Department of Commerce
the Minority Business Development Agency.
(b) Assistant Secretary.--
(1) Appointment and duties.--The Agency shall be headed by
an Assistant Secretary of Commerce for Minority Business
Development, who shall be--
(A) appointed by the President, by and with the advice and
consent of the Senate; and
(B) except as otherwise expressly provided, responsible for
the administration of this division.
(2) Compensation.--
(A) In general.--The Assistant Secretary shall be
compensated at an annual rate of basic pay prescribed for
level IV of the Executive Schedule under section 5315 of
title 5, United States Code.
(B) Technical and conforming amendment.--Section 5315 of
title 5, United States Code, is amended, in the item relating
to Assistant Secretaries of Commerce, by striking ``(11)''
and inserting ``(12)''.
(c) Report to Congress.--Not later than 120 days after the
date of enactment of this Act, the Secretary shall submit to
Congress a report that describes--
(1) the organizational structure of the Agency;
(2) the organizational position of the Agency within the
Department of Commerce; and
(3) a description of how the Agency shall function in
relation to the operations carried out by each other
component of the Department of Commerce.
(d) Office of Business Centers.--
(1) Establishment.--There is established within the Agency
an Office of Business Centers.
(2) Director.--The Office of Business Centers shall be
administered by a Director, who shall be appointed by the
Assistant Secretary.
(e) Offices of the Agency.--
(1) In general.--In addition to the regional offices that
the Assistant Secretary is required to establish under
paragraph (2), the Assistant Secretary shall establish such
other offices within the Agency as are necessary to carry out
this division.
(2) Regional offices.--
(A) In general.--In order to carry out this division, the
Assistant Secretary shall establish a regional office of the
Agency for each of the regions of the United States, as
determined by the Assistant Secretary.
(B) Duties.--Each regional office established under
subparagraph (A) shall expand the reach of the Agency and
enable the Federal Government to better serve the needs of
minority business enterprises in the region served by the
office, including by--
(i) understanding and participating in the business
environment of that region;
(ii) working with--
(I) MBDA Business Centers that are located in that region;
(II) resource and lending partners of the Small Business
Administration and the Department of Agriculture that are
located in that region; and
(III) Federal, State, and local procurement offices that
are located in that region;
(iii) being aware of business retention or expansion
programs that are specific to that region;
(iv) seeking out opportunities to collaborate with regional
public and private programs that focus on minority business
enterprises; and
(v) promoting business continuity and preparedness.
TITLE I--EXISTING INITIATIVES
Subtitle A--Market Development, Research, and Information
SEC. 7101. PRIVATE SECTOR DEVELOPMENT.
The Assistant Secretary shall, whenever the Assistant
Secretary determines such action is necessary or
appropriate--
(1) provide Federal assistance to minority business
enterprises operating in domestic and foreign markets by
making available to those business enterprises, either
directly or in cooperation with private sector entities,
including community-based organizations and national
nonprofit organizations--
(A) resources relating to management;
(B) technological and technical assistance;
(C) financial, legal, and marketing services; and
[[Page S3240]]
(D) services relating to workforce development;
(2) encourage minority business enterprises to establish
joint ventures and projects--
(A) with other minority business enterprises; or
(B) in cooperation with public sector entities or private
sector entities, including community-based organizations and
national nonprofit organizations, to increase the share of
any market activity being performed by minority business
enterprises; and
(3) facilitate the efforts of private sector entities and
Federal agencies to advance the growth of minority business
enterprises.
SEC. 7102. PUBLIC SECTOR DEVELOPMENT.
The Assistant Secretary shall, whenever the Assistant
Secretary determines such action is necessary or
appropriate--
(1) consult and cooperate with public sector entities for
the purpose of leveraging resources available in the
jurisdictions of those public sector entities to promote the
position of minority business enterprises in the local
economies of those public sector entities, including by
assisting public sector entities to establish or enhance--
(A) programs to procure goods and services through minority
business enterprises and goals for that procurement;
(B) programs offering assistance relating to--
(i) management;
(ii) technology;
(iii) law;
(iv) financing, including accounting;
(v) marketing; and
(vi) workforce development; and
(C) informational programs designed to inform minority
business enterprises located in the jurisdictions of those
public sector entities about the availability of programs
described in this section;
(2) meet with leaders and officials of public sector
entities for the purpose of recommending and promoting local
administrative and legislative initiatives needed to advance
the position of minority business enterprises in the local
economies of those public sector entities; and
(3) facilitate the efforts of public sector entities and
Federal agencies to advance the growth of minority business
enterprises.
SEC. 7103. RESEARCH AND INFORMATION.
(a) In General.--In order to achieve the purposes of this
division, the Assistant Secretary--
(1) shall--
(A) collect and analyze data, including data relating to
the causes of the success or failure of minority business
enterprises;
(B) perform evaluations of programs carried out by Federal
agencies with an emphasis on increasing coordination between
Federal agencies with respect to the development of minority
business enterprises;
(C) conduct research, studies, and surveys of--
(i) economic conditions generally in the United States; and
(ii) how the conditions described in clause (i)
particularly affect the development of minority business
enterprises; and
(D) provide outreach, educational services, and technical
assistance in the 10 most commonly spoken languages in the
United States to ensure that limited-English proficient
individuals receive culturally and linguistically appropriate
access to the services and information provided by the
Agency; and
(2) may, at the request of a public sector entity or a
private sector entity, perform an evaluation of programs
carried out by the entity that are designed to assist the
development of minority business enterprises.
(b) Information Clearinghouse.--The Assistant Secretary
shall--
(1) establish and maintain an information clearinghouse for
the collection and dissemination to relevant parties
(including business owners and researchers) of demographic,
economic, financial, managerial, and technical data relating
to minority business enterprises; and
(2) take such steps as the Assistant Secretary may
determine to be necessary and desirable to--
(A) search for, collect, classify, coordinate, integrate,
record, and catalog the data described in paragraph (1); and
(B) in a manner that is consistent with section 552a of
title 5, United States Code, protect the privacy of the
minority business enterprises to which the data described in
paragraph (1) relates.
Subtitle B--Minority Business Development Agency Business Center
Program
SEC. 7111. DEFINITION.
In this subtitle, the term ``MBDA Business Center Program''
means the program established under section 7113.
SEC. 7112. PURPOSE.
The purpose of the MBDA Business Center Program shall be to
create a national network of public-private partnerships
that--
(1) assist minority business enterprises to--
(A) access capital, contracts, and grants; and
(B) create and maintain jobs;
(2) provide counseling and mentoring to minority business
enterprises; and
(3) facilitate the growth of minority business enterprises
by promoting trade.
SEC. 7113. ESTABLISHMENT.
(a) In General.--There is established in the Agency a
program--
(1) that shall be known as the MBDA Business Center
Program;
(2) that shall be separate and distinct from the efforts of
the Assistant Secretary under section 7101; and
(3) under which the Assistant Secretary shall make Federal
assistance awards to eligible entities to operate MBDA
Business Centers, which shall, in accordance with section
7114, provide technical assistance and business development
services, or specialty services, to minority business
enterprises.
(b) Coverage.--The Assistant Secretary shall take all
necessary actions to ensure that the MBDA Business Center
Program, in accordance with section 7114, offers the services
described in subsection (a)(3) in all regions of the United
States.
SEC. 7114. GRANTS AND COOPERATIVE AGREEMENTS.
(a) Requirements.--An MBDA Business Center (referred to in
this subtitle as a ``Center''), with respect to the Federal
financial assistance award made to operate the Center under
the MBDA Business Center Program--
(1) shall--
(A) provide to minority business enterprises programs and
services determined to be appropriate by the Assistant
Secretary, which--
(i) shall include referral services to meet the needs of
minority business enterprises; and
(ii) may include programs and services to accomplish the
goals described in section 7101(1);
(B) develop, cultivate, and maintain a network of strategic
partnerships with organizations that foster access by
minority business enterprises to economic markets, capital,
or contracts;
(C) continue to upgrade and modify the services provided by
the Center, as necessary, in order to meet the changing and
evolving needs of the business community;
(D) establish or continue a referral relationship with not
less than 1 community-based organization; and
(E) collaborate with other Centers; and
(2) in providing programs and services under the applicable
MBDA Business Center agreement, may--
(A) operate on a fee-for-service basis; or
(B) generate income through the collection of--
(i) client fees;
(ii) membership fees; and
(iii) any other appropriate fees proposed by the Center in
the application submitted by the Center under subsection (e).
(b) Term.--Subject to subsection (g)(3), the term of an
MBDA Business Center agreement shall be not less than 3
years.
(c) Financial Assistance.--
(1) In general.--The amount of financial assistance
provided by the Assistant Secretary under an MBDA Business
Center agreement shall be not less than $250,000 for the term
of the agreement.
(2) Matching requirement.--
(A) In general.--A Center shall match not less than \1/3\
of the amount of the financial assistance awarded to the
Center under the terms of the applicable MBDA Business Center
agreement, unless the Assistant Secretary determines that a
waiver of that requirement is necessary after a demonstration
by the Center of a substantial need for that waiver.
(B) Form of funds.--A Center may meet the matching
requirement under subparagraph (A) using--
(i) cash or in-kind contributions, without regard to
whether the contribution is made by a third party; or
(ii) Federal funds received from other Federal programs.
(3) Use of financial assistance and program income.--A
Center shall use--
(A) all financial assistance awarded to the Center under
the applicable MBDA Business Center agreement to carry out
subsection (a); and
(B) all income that the Center generates in carrying out
subsection (a)--
(i) to meet the matching requirement under paragraph (2) of
this subsection; and
(ii) if the Center meets the matching requirement under
paragraph (2) of this subsection, to carry out subsection
(a).
(d) Criteria for Selection.--The Assistant Secretary
shall--
(1) establish criteria that--
(A) the Assistant Secretary shall use in determining
whether to enter into an MBDA Business Center agreement with
an eligible entity; and
(B) may include criteria relating to whether an eligible
entity is located in--
(i) an area, the population of which is composed of not
less than 51 percent socially and economically disadvantaged
individuals, as determined in accordance with data collected
by the Bureau of the Census;
(ii) a federally recognized area of economic distress; or
(iii) a State that is underserved with respect to the MBDA
Business Center Program, as defined by the Assistant
Secretary; and
(2) make the criteria and standards established under
paragraph (1) publicly available, including--
(A) on the website of the Agency; and
(B) in each Notice of Funding Opportunity soliciting MBDA
Business Center agreements.
(e) Applications.--An eligible entity desiring to enter
into an MBDA Business Center agreement shall submit to the
Assistant Secretary an application that includes--
(1) a statement of--
(A) how the eligible entity will carry out subsection (a);
and
(B) any experience of the eligible entity in--
[[Page S3241]]
(i) assisting minority business enterprises to--
(I) obtain--
(aa) large-scale contracts, grants, or procurements;
(bb) financing; or
(cc) legal assistance;
(II) access established supply chains; and
(III) engage in--
(aa) joint ventures, teaming arrangements, and mergers and
acquisitions; or
(bb) large-scale transactions in global markets;
(ii) supporting minority business enterprises in increasing
the size of the workforces of those enterprises, including,
with respect to a minority business enterprise that does not
have employees, aiding the minority business enterprise in
becoming an enterprise that has employees; and
(iii) advocating for minority business enterprises; and
(2) the budget and corresponding budget narrative that the
eligible entity will use in carrying out subsection (a)
during the term of the applicable MBDA Business Center
agreement.
(f) Notification.--If the Assistant Secretary grants an
application of an eligible entity submitted under subsection
(e), the Assistant Secretary shall notify the eligible entity
that the application has been granted not later than 150 days
after the last day on which an application may be submitted
under that subsection.
(g) Program Examination; Accreditation; Extensions.--
(1) Examination.--Not later than 180 days after the date of
enactment of this Act, and biennially thereafter, the
Assistant Secretary shall conduct a programmatic financial
examination of each Center.
(2) Accreditation.--The Assistant Secretary may provide
financial support, by contract or otherwise, to an
association, not less than 51 percent of the members of which
are Centers, to--
(A) pursue matters of common concern with respect to
Centers; and
(B) develop an accreditation program with respect to
Centers.
(3) Extensions.--
(A) In general.--The Assistant Secretary may extend the
term under subsection (b) of an MBDA Business Center
agreement to which a Center is a party, if the Center
consents to the extension.
(B) Financial assistance.--If the Assistant Secretary
extends the term of an MBDA Business Center agreement under
paragraph (1), the Assistant Secretary shall, in the same
manner and amount in which financial assistance was provided
during the initial term of the agreement, provide financial
assistance under the agreement during the extended term of
the agreement.
(h) MBDA Involvement.--The Assistant Secretary may take
actions to ensure that the Agency is substantially involved
in the activities of Centers in carrying out subsection (a),
including by--
(1) providing to each Center training relating to the MBDA
Business Center Program;
(2) requiring that the operator and staff of each Center--
(A) attend--
(i) a conference with the Agency to establish the services
and programs that the Center will provide in carrying out the
requirements before the date on which the Center begins
providing those services and programs; and
(ii) training provided under paragraph (1);
(B) receive necessary guidance relating to carrying out the
requirements under subsection (a); and
(C) work in coordination and collaboration with the
Assistant Secretary to carry out the MBDA Business Center
Program and other programs of the Agency;
(3) facilitating connections between Centers and--
(A) Federal agencies other than the Agency, including the
Small Business Administration, the Department of Agriculture,
the Federal Trade Commission, the United States Patent and
Trademark Office, and the Economic Development Administration
of the Department of Commerce; and
(B) other institutions or entities that use Federal
resources, including--
(i) small business development centers, as that term is
defined in section 3(t) of the Small Business Act (15 U.S.C.
632(t));
(ii) women's business centers described in section 29 of
the Small Business Act (15 U.S.C. 656);
(iii) eligible entities, as that term is defined in section
2411 of title 10, United States Code, that provide services
under the program carried out under chapter 142 of that
title; and
(iv) entities participating in the Hollings Manufacturing
Extension Partnership Program established under section 25 of
the National Institute of Standards and Technology Act (15
U.S.C. 278k);
(4) monitoring projects carried out by each Center; and
(5) establishing and enforcing administrative and reporting
requirements for each Center to carry out subsection (a).
(i) Regulations.--The Assistant Secretary shall issue and
publish regulations that establish minimum standards
regarding verification of minority business enterprise status
for clients of entities operating under the MBDA Business
Center Program.
SEC. 7115. MINIMIZING DISRUPTIONS TO EXISTING MBDA BUSINESS
CENTER PROGRAM.
The Assistant Secretary shall ensure that each Federal
assistance award made under the Business Centers program of
the Agency, as is in effect on the day before the date of
enactment of this Act, is carried out in a manner that, to
the greatest extent practicable, prevents disruption of any
activity carried out under that award.
SEC. 7116. PUBLICITY.
In carrying out the MBDA Business Center Program, the
Assistant Secretary shall widely publicize the MBDA Business
Center Program, including--
(1) on the website of the Agency;
(2) via social media outlets; and
(3) by sharing information relating to the MBDA Business
Center Program with community-based organizations, including
interpretation groups where necessary, to communicate in the
most common languages spoken by the groups served by those
organizations.
SEC. 7117. FUNDING.
The Assistant Secretary shall use not less than 50 percent
of the amount made available to carry out this division in
each of fiscal years 2021 through 2024 to carry out the MBDA
Business Center Program, including the component of the
program relating to specialty centers.
TITLE II--NEW INITIATIVES TO PROMOTE ECONOMIC RESILIENCY FOR MINORITY
BUSINESSES
SEC. 7201. ANNUAL DIVERSE BUSINESS FORUM ON CAPITAL
FORMATION.
(a) Responsibility of Agency.--Not later than 18 months
after the date of enactment of this Act, and annually
thereafter, the Agency shall conduct a Government-business
forum to review the current status of problems and programs
relating to capital formation by minority business
enterprises.
(b) Participation in Forum Planning.--The Assistant
Secretary shall invite the heads of other Federal agencies,
such as the Chairman of the Securities and Exchange
Commission, the Secretary of the Treasury, and the Chairman
of the Board of Governors of the Federal Reserve System,
organizations representing State securities commissioners,
representatives of leading minority chambers of commerce, not
less than 1 certified owner of a minority business
enterprise, business organizations, and professional
organizations concerned with capital formation to participate
in the planning of each forum conducted under subsection (a).
(c) Preparation of Statements and Reports.--
(1) Requests.--The Assistant Secretary may request that any
head of a Federal department, agency, or organization,
including those described in subsection (b), or any other
group or individual, prepare a statement or report to be
delivered at any forum conducted under subsection (a).
(2) Cooperation.--Any head of a Federal department, agency,
or organization who receives a request under paragraph (1)
shall, to the greatest extent practicable, cooperate with the
Assistant Secretary to fulfill that request.
(d) Transmittal of Proceedings and Findings.--The Assistant
Secretary shall--
(1) prepare a summary of the proceedings of each forum
conducted under subsection (a), which shall include the
findings and recommendations of the forum; and
(2) transmit the summary described in paragraph (1) with
respect to each forum conducted under subsection (a) to--
(A) the participants in the forum;
(B) Congress; and
(C) the public, through a publicly available website.
(e) Review of Findings and Recommendations; Public
Statements.--
(1) In general.--A Federal agency to which a finding or
recommendation described in subsection (d)(1) relates shall--
(A) review that finding or recommendation; and
(B) promptly after the finding or recommendation is
transmitted under subsection (d)(2)(C), issue a public
statement--
(i) assessing the finding or recommendation; and
(ii) disclosing the action, if any, the Federal agency
intends to take with respect to the finding or
recommendation.
(2) Joint statement permitted.--If a finding or
recommendation described in subsection (d)(1) relates to more
than 1 Federal agency, the applicable Federal agencies may,
for the purposes of the public statement required under
paragraph (1)(B), issue a joint statement.
SEC. 7202. AGENCY STUDY ON ALTERNATIVE FINANCING SOLUTIONS.
(a) Purpose.--The purpose of this section is to provide
information relating to alternative financing solutions to
minority business enterprises, as those business enterprises
are more likely to struggle in accessing, particularly at
affordable rates, traditional sources of capital.
(b) Study and Report.--Not later than 1 year after the date
of enactment of this Act, the Assistant Secretary shall--
(1) conduct a study on opportunities for providing
alternative financing solutions to minority business
enterprises; and
(2) submit to Congress, and publish on the website of the
Agency, a report describing the findings of the study carried
out under paragraph (1).
SEC. 7203. EDUCATIONAL DEVELOPMENT RELATING TO MANAGEMENT AND
ENTREPRENEURSHIP.
(a) Duties.--The Assistant Secretary shall, whenever the
Assistant Secretary determines such action is necessary or
appropriate--
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(1) promote and provide assistance for the education and
training of socially and economically disadvantaged
individuals in subjects directly relating to business
administration and management;
(2) join with, and encourage, institutions of higher
education, leaders in business and industry, and other public
sector and private sector entities, particularly minority
business enterprises, to--
(A) develop programs to offer scholarships and fellowships,
apprenticeships, and internships relating to business to
socially and economically disadvantaged individuals; and
(B) sponsor seminars, conferences, and similar activities
relating to business for the benefit of socially and
economically disadvantaged individuals;
(3) stimulate and accelerate curriculum design and
improvement in support of development of minority business
enterprises; and
(4) encourage and assist private institutions and
organizations and public sector entities to undertake
activities similar to the activities described in paragraphs
(1), (2), and (3).
(b) Parren J. Mitchell Entrepreneurship Education Grants.--
(1) Definition.--In this subsection, the term ``eligible
institution'' means an institution of higher education
described in any of paragraphs (1) through (7) of section
371(a) of the Higher Education Act of 1965 (20 U.S.C.
1067q(a)).
(2) Grants.--The Assistant Secretary shall award grants to
eligible institutions to develop and implement
entrepreneurship curricula.
(3) Requirements.--An eligible institution to which a grant
is awarded under this subsection shall use the grant funds
to--
(A) develop a curriculum that includes training in various
skill sets needed by contemporary successful entrepreneurs,
including--
(i) business management and marketing;
(ii) financial management and accounting;
(iii) market analysis;
(iv) competitive analysis;
(v) innovation;
(vi) strategic planning; and
(vii) any other skill set that the eligible institution
determines is necessary for the students served by the
eligible institution and the community in which the eligible
institution is located; and
(B) implement the curriculum developed under subparagraph
(A) at the eligible institution.
(4) Implementation timeline.--The Assistant Secretary shall
establish and publish a timeline under which an eligible
institution to which a grant is awarded under this section
shall carry out the requirements under paragraph (3).
(5) Reports.--Each year, the Assistant Secretary shall
submit to the Committee on Commerce, Science, and
Transportation of the Senate, the Committee on Small Business
and Entrepreneurship of the Senate, the Committee on
Financial Services of the House of Representatives, and the
Committee on Small Business of the House of Representatives,
as part of the annual budget submission of the President
under section 1105(a) of title 31, United States Code, a
report evaluating the awarding and use of grants under this
subsection during the fiscal year immediately preceding the
date on which the report is submitted, which shall include,
with respect to that fiscal year--
(A) a description of each curriculum developed and
implemented under each grant awarded under this section;
(B) the date on which each grant awarded under this section
was awarded; and
(C) the number of eligible entities that were recipients of
grants awarded under this section.
TITLE III--RURAL MINORITY BUSINESS CENTER PROGRAM
SEC. 7301. DEFINITIONS.
In this title:
(1) Appropriate congressional committees.--The term
``appropriate congressional committees'' means--
(A) the Committee on Commerce, Science, and Transportation
of the Senate;
(B) the Committee on Small Business and Entrepreneurship of
the Senate;
(C) the Committee on Financial Services of the House of
Representatives; and
(D) the Committee on Small Business of the House of
Representatives.
(2) Eligible entity.--The term ``eligible entity'' means--
(A) a minority-serving institution; or
(B) a consortium of institutions of higher education that
is led by a minority-serving institution.
(3) MBDA rural business center.--The term ``MBDA Rural
Business Center'' means an MBDA Business Center that provides
technical business assistance to minority business
enterprises located in rural areas.
(4) MBDA rural business center agreement.--The term ``MBDA
Rural Business Center agreement'' means an MBDA Business
Center agreement that establishes the terms by which the
recipient of the Federal assistance award that is the subject
of the agreement shall operate an MBDA Rural Business Center.
(5) Minority-serving institution.--The term ``minority-
serving institution'' means an institution described in any
of paragraphs (1) through (7) of section 371(a) of the Higher
Education Act of 1965 (20 U.S.C. 1067q(a)).
(6) Rural area.--
(A) In general.--Subject to subparagraph (B), the term
``rural area'' has the meaning given the term in section
343(a) of the Consolidated Farm and Rural Development Act (7
U.S.C. 1991(a)).
(B) 100,000 inhabitants.--For the purpose of this title,
the reference to ``50,000 inhabitants'' in section
343(a)(13)(A)(i) of the Consolidated Farm and Rural
Development Act (7 U.S.C. 1991(a)(13)(A)(i)) shall be deemed
to refer to 100,000 inhabitants.
(7) Rural minority business enterprise.--The term ``rural
minority business enterprise'' means a minority business
enterprise located in a rural area.
SEC. 7302. BUSINESS CENTERS.
(a) In General.--The Assistant Secretary may establish MBDA
Rural Business Centers.
(b) Partnership.--
(1) In general.--With respect to an MBDA Rural Business
Center established by the Assistant Secretary, the Assistant
Secretary shall establish the MBDA Rural Business Center in
partnership with an eligible entity in accordance with
paragraph (2).
(2) MBDA agreement.--
(A) In general.--With respect to each MBDA Rural Business
Center established by the Assistant Secretary, the Assistant
Secretary shall enter into a cooperative agreement with an
eligible entity that provides that--
(i) the eligible entity shall provide space, facilities,
and staffing for the MBDA Rural Business Center;
(ii) the Assistant Secretary shall provide funding for, and
oversight with respect to, the MBDA Rural Business Center;
and
(iii) subject to subparagraph (B), the eligible entity
shall match 20 percent of the amount of the funding provided
by the Assistant Secretary under clause (ii), which may be
calculated to include the costs of providing the space,
facilities, and staffing under clause (i).
(B) Lower match requirement.--Based on the available
resources of an eligible entity, the Assistant Secretary may
enter into a cooperative agreement with the eligible entity
that provides that--
(i) the eligible entity shall match less than 20 percent of
the amount of the funding provided by the Assistant Secretary
under subparagraph (A)(ii); or
(ii) if the Assistant Secretary makes a determination, upon
a demonstration by the eligible entity of substantial need,
the eligible entity shall not be required to provide any
match with respect to the funding provided by the Assistant
Secretary under subparagraph (A)(ii).
(C) Eligible funds.--An eligible entity may provide
matching funds required under an MBDA Rural Business Center
agreement with Federal funds received from other Federal
programs.
(3) Term.--The initial term of an MBDA Rural Business
Center agreement shall be 3 years.
(4) Extension.--The Assistant Secretary and an eligible
entity may agree to extend the term of an MBDA Rural Business
Center agreement with respect to an MBDA Rural Business
Center.
(c) Functions.--An MBDA Rural Business Center shall--
(1) primarily serve clients that are--
(A) rural minority business enterprises; or
(B) minority business enterprises that are located more
than 50 miles from an MBDA Business Center (other than that
MBDA Rural Business Center);
(2) focus on--
(A) issues relating to--
(i) the adoption of broadband internet access service (as
defined in section 8.1(b) of title 47, Code of Federal
Regulations, or any successor regulation), digital literacy
skills, and e-commerce by rural minority business
enterprises;
(ii) advanced manufacturing;
(iii) the promotion of manufacturing in the United States;
(iv) ways in which rural minority business enterprises can
meet gaps in the supply chain of critical supplies and
essential goods and services for the United States;
(v) improving the connectivity of rural minority business
enterprises through transportation and logistics;
(vi) promoting trade and export opportunities by rural
minority business enterprises;
(vii) securing financial capital;
(viii) facilitating entrepreneurship in rural areas; and
(ix) creating jobs in rural areas; and
(B) any other issue relating to the unique challenges faced
by rural minority business enterprises; and
(3) provide education, training, and legal, financial, and
technical assistance to minority business enterprises.
(d) Applications.--
(1) In general.--Not later than 90 days after the date of
enactment of this Act, the Assistant Secretary shall issue a
Notice of Funding Opportunity requesting applications from
eligible entities that desire to enter into MBDA Rural
Business Center agreements.
(2) Criteria and priority.--In selecting an eligible entity
with which to enter into an MBDA Rural Business Center
agreement, the Assistant Secretary shall--
(A) select an eligible entity that demonstrates--
(i) the ability to collaborate with governmental and
private sector entities to leverage capabilities of minority
business enterprises through public-private partnerships;
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(ii) the research and extension capacity to support
minority business enterprises;
(iii) knowledge of the community that the eligible entity
serves and the ability to conduct effective outreach to that
community to advance the goals of an MBDA Rural Business
Center;
(iv) the ability to provide innovative business solutions,
including access to contracting opportunities, markets, and
capital;
(v) the ability to provide services that advance the
development of science, technology, engineering, and math
jobs within minority business enterprises;
(vi) the ability to leverage resources from within the
eligible entity to advance an MBDA Rural Business Center;
(vii) that the mission of the eligible entity aligns with
the mission of the Agency;
(viii) the ability to leverage relationships with rural
minority business enterprises; and
(ix) a referral relationship with not less than 1
community-based organization; and
(B) give priority to an eligible entity located in a State
or region that lacks an MBDA Business Center, as of the date
of enactment of this Act.
SEC. 7303. REPORT TO CONGRESS.
Not later than 1 year after the date of enactment of this
Act, the Assistant Secretary shall submit to the appropriate
congressional committees a report that includes--
(1) a summary of the efforts of the Assistant Secretary to
provide services to minority business enterprises located in
States that lack an MBDA Business Center, as of the date of
enactment of this Act, and especially in those States that
have significant minority populations; and
(2) recommendations for extending the outreach of the
Agency to underserved areas.
SEC. 7304. STUDY AND REPORT.
(a) In General.--The Assistant Secretary, in coordination
with relevant leadership of the Agency and relevant
individuals outside of the Department of Commerce, shall
conduct a study that addresses the ways in which minority
business enterprises can meet gaps in the supply chain of the
United States, with a particular focus on the supply chain of
advanced manufacturing and essential goods and services.
(b) Report.--Not later than 1 year after the date of
enactment of this Act, the Assistant Secretary shall submit
to the appropriate congressional committees a report that
includes the results of the study conducted under subsection
(a), which shall include recommendations regarding the ways
in which minority business enterprises can meet gaps in the
supply chain of the United States.
TITLE IV--MINORITY BUSINESS DEVELOPMENT GRANTS
SEC. 7401. GRANTS TO NONPROFIT ORGANIZATIONS THAT SUPPORT
MINORITY BUSINESS ENTERPRISES.
(a) Definition.--In this section, the term ``covered
entity'' means a private nonprofit organization that--
(1) is described in paragraph (3), (4), (5), or (6) of
section 501(c) of the Internal Revenue Code of 1986 and
exempt from tax under section 501(a) of such Code; and
(2) can demonstrate that a primary activity of the
organization is to provide services to minority business
enterprises, whether through education, making grants or
loans, or other similar activities.
(b) Purpose.--The purpose of this section is to make grants
to covered entities to help those covered entities continue
the necessary work of supporting minority business
enterprises.
(c) Establishment.--Not later than 180 days after the date
of enactment of this Act, the Assistant Secretary shall
establish within the Agency a grant program under which the
Assistant Secretary shall make grants to covered entities in
accordance with the requirements of this section.
(d) Application.--A covered entity desiring a grant under
this section shall submit to the Assistant Secretary an
application at such time, in such manner, and containing such
information as the Assistant Secretary may require.
(e) Priority.--The Assistant Secretary shall, in carrying
out this section, prioritize granting an application
submitted by a covered entity that is located in a federally
recognized area of economic distress.
(f) Use of Funds.--A covered entity to which a grant is
made under this section may use the grant funds to support
the development and growth of minority business enterprises.
(g) Procedures.--The Assistant Secretary shall establish
procedures to--
(1) discourage and prevent waste, fraud, and abuse by
applicants for, and recipients of, grants made under this
section; and
(2) ensure that grants are made under this section to a
diverse array of covered entities, including--
(A) covered entities with a national presence;
(B) community-based covered entities;
(C) covered entities with annual budgets below $1,000,000;
and
(D) covered entities that principally serve low-income and
rural communities.
(h) Inspector General Audit.--Not later than 180 days after
the date on which the Assistant Secretary begins making
grants under this section, the Inspector General of the
Department of Commerce shall--
(1) conduct an audit of grants made under this section,
which shall seek to identify any discrepancies or
irregularities with respect to those grants; and
(2) submit to Congress a report regarding the audit
conducted under paragraph (1).
(i) Updates to Congress.--Not later than 90 days after the
date on which the Assistant Secretary establishes the grant
program under subsection (c), and once every 30 days
thereafter, the Assistant Secretary shall submit to Congress
a report that contains--
(1) the number of grants made under this section during the
period covered by the report; and
(2) with respect to the grants described in paragraph (1),
the geographic distribution of those grants by State and
county.
SEC. 7402. MINORITY BUSINESS GRANTS.
(a) In General.--The Assistant Secretary may award grants
to minority business enterprises for the purpose of--
(1) growing a minority business enterprise; or
(2) helping a minority business enterprise to remain in
business.
(b) Establishment of Office.--The Assistant Secretary shall
establish an office within the Agency that has adequate
staffing to award and administer grants under subsection (a).
(c) Updates to Congress.--Not later than 120 days after the
date of enactment of this Act, and once every 30 days
thereafter, the Assistant Secretary shall submit to Congress
a report that contains--
(1) the number of grants made under this section during the
period covered by the report; and
(2) with respect to the grants described in paragraph (1)--
(A) the geographic distribution of those grants by State
and county; and
(B) with respect to each minority business enterprise to
which such a grant is awarded--
(i) demographic information with respect to the minority
business enterprise; and
(ii) information regarding the industry in which the
minority business enterprise operates.
TITLE V--ADMINISTRATIVE AND OTHER POWERS OF THE AGENCY; MISCELLANEOUS
PROVISIONS
SEC. 7501. ADMINISTRATIVE POWERS.
(a) In General.--In carrying out this division, the
Assistant Secretary may--
(1) adopt and use a seal for the Agency, which shall be
judicially noticed;
(2) hold hearings, sit and act, and take testimony as the
Assistant Secretary may determine to be necessary or
appropriate to carry out this division;
(3) acquire, in any lawful manner, any property that the
Assistant Secretary determines to be necessary or appropriate
to carry out this division;
(4) make advance payments under grants, contracts, and
cooperative agreements awarded under this division;
(5) with the consent of another Federal agency, enter into
an agreement with that Federal agency to utilize, with or
without reimbursement, any service, equipment, personnel, or
facility of that Federal agency;
(6) coordinate with the heads of the Offices of Small and
Disadvantaged Business Utilization of Federal agencies;
(7) require a coordinated review of all training and
technical assistance activities that are proposed to be
carried out by Federal agencies in direct support of the
development of minority business enterprises to--
(A) ensure consistency with the purposes of this division;
and
(B) avoid duplication of existing efforts; and
(8) prescribe such rules, regulations, and procedures as
the Assistant Secretary determines to be necessary or
appropriate to carry out this division.
(b) Employment of Certain Experts and Consultants.--
(1) In general.--In carrying out this division, the
Assistant Secretary may employ experts and consultants or
organizations that are composed of experts or consultants, as
authorized under section 3109 of title 5, United States Code.
(2) Renewal of contracts.--The Assistant Secretary may
annually renew a contract for employment of an individual
employed under paragraph (1).
(c) Donation of Property.--
(1) In general.--Subject to paragraph (2), in carrying out
this division, the Assistant Secretary may, without cost
(except for costs of care and handling), donate for use by
any public sector entity, or by any recipient nonprofit
organization, for the purpose of the development of minority
business enterprises, any real or tangible personal property
acquired by the Agency in carrying out this division.
(2) Terms, conditions, reservations, and restrictions.--The
Assistant Secretary may impose reasonable terms, conditions,
reservations, and restrictions upon the use of any property
donated under paragraph (1).
SEC. 7502. FEDERAL ASSISTANCE.
(a) In General.--
(1) Provision of federal assistance.--To carry out sections
7101, 7102, and 7103(a), the Assistant Secretary may provide
Federal assistance to public sector entities and private
sector entities in the form of grants or cooperative
agreements.
(2) Notice.--Not later than 120 days after the date on
which amounts are appropriated to carry out this section, the
Assistant Secretary shall, in accordance with subsection (b),
broadly publish a statement regarding Federal assistance that
will, or may, be provided under paragraph (1) during the
fiscal year for which those amounts are appropriated,
including--
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(A) the actual, or anticipated, amount of Federal
assistance that will, or may, be made available;
(B) the types of Federal assistance that will, or may, be
made available;
(C) the manner in which Federal assistance will be
allocated among public sector entities and private sector
entities, as applicable; and
(D) the methodology used by the Assistant Secretary to make
allocations under subparagraph (C).
(3) Consultation.--The Assistant Secretary shall consult
with public sector entities and private sector entities, as
applicable, in deciding the amounts and types of Federal
assistance to make available under paragraph (1).
(b) Publicity.--In carrying out this section, the Assistant
Secretary shall broadly publicize all opportunities for
Federal assistance available under this section, including
through the means required under section 7116.
SEC. 7503. AUDITS.
(a) Recordkeeping Requirement.--Each recipient of
assistance under this division shall keep such records as the
Assistant Secretary shall prescribe, including records that
fully disclose, with respect to the assistance received by
the recipient under this division--
(1) the amount and nature of that assistance;
(2) the disposition by the recipient of the proceeds of
that assistance;
(3) the total cost of the undertaking for which the
assistance is given or used;
(4) the amount and nature of the portion of the cost of the
undertaking described in paragraph (3) that is supplied by a
source other than the Agency; and
(5) any other record that will facilitate an effective
audit with respect to the assistance.
(b) Access by Government Officials.--The Assistant
Secretary, the Inspector General of the Department of
Commerce, and the Comptroller General of the United States,
or any duly authorized representative of any such individual,
shall have access, for the purpose of audit, investigation,
and examination, to any book, document, paper, record, or
other material of a recipient of assistance under this
division that pertains to the assistance received by the
recipient under this division.
SEC. 7504. REVIEW AND REPORT BY COMPTROLLER GENERAL.
Not later than 4 years after the date of enactment of this
Act, the Comptroller General of the United States shall--
(1) conduct a thorough review of the programs carried out
under this division; and
(2) submit to Congress a detailed report of the findings of
the Comptroller General of the United States under the review
carried out under paragraph (1), which shall include--
(A) an evaluation of the effectiveness of the programs in
achieving the purposes of this division;
(B) a description of any failure by any recipient of
assistance under this division to comply with the
requirements under this division; and
(C) recommendations for any legislative or administrative
action that should be taken to improve the achievement of the
purposes of this division.
SEC. 7505. ANNUAL REPORTS; RECOMMENDATIONS.
(a) Annual Report.--Not later than 90 days after the last
day of each fiscal year, the Assistant Secretary shall submit
to Congress, and publish on the website of the Agency, a
report of each activity of the Agency carried out under this
division during the fiscal year preceding the date on which
the report is submitted.
(b) Recommendations.--The Assistant Secretary shall
periodically submit to Congress and the President
recommendations for legislation or other actions that the
Assistant Secretary determines to be necessary or appropriate
to promote the purposes of this division.
SEC. 7506. SEPARABILITY.
If a provision of this division, or the application of a
provision of this division to any person or circumstance, is
held by a court of competent jurisdiction to be invalid, that
judgment--
(1) shall not affect, impair, or invalidate--
(A) any other provision of this division; or
(B) the application of this division to any other person or
circumstance; and
(2) shall be confined in its operation to--
(A) the provision of this division with respect to which
the judgment is rendered; or
(B) the application of the provision of this division to
each person or circumstance directly involved in the
controversy in which the judgment is rendered.
SEC. 7507. EXECUTIVE ORDER 11625.
The powers and duties of the Agency shall be determined--
(1) in accordance with this division and the requirements
of this division; and
(2) without regard to Executive Order 11625 (36 Fed. Reg.
19967; relating to prescribing additional arrangements for
developing and coordinating a national program for minority
business enterprise).
SEC. 7508. AMENDMENT TO THE FEDERAL ACQUISITION STREAMLINING
ACT OF 1994.
Section 7104(c) of the Federal Acquisition Streamlining Act
of 1994 (15 U.S.C. 644a(c)) is amended by striking paragraph
(2) and inserting the following:
``(2) The Assistant Secretary of Commerce for Minority
Business Development.''.
SEC. 7509. AUTHORIZATION OF APPROPRIATIONS.
There are authorized to be appropriated to the Assistant
Secretary not less than $100,000,000 for fiscal year 2021,
and each fiscal year thereafter, to carry out this division.
______