[Congressional Record Volume 168, Number 68 (Tuesday, April 26, 2022)]
[House]
[Pages H4463-H4465]
From the Congressional Record Online through the Government Publishing Office [www.gpo.gov]




       SMALL BUSINESS DEVELOPMENT CENTERS IMPROVEMENT ACT OF 2022

  Ms. VELAZQUEZ. Mr. Speaker, I move to suspend the rules and pass the 
bill (H.R. 6445) to amend the Small Business Act to require an annual 
report on entrepreneurial development programs, and for other purposes.
  The Clerk read the title of the bill.
  The text of the bill is as follows:

                               H.R. 6445

       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 Development 
     Centers Improvement Act of 2022''.

     SEC. 2. ANNUAL REPORT ON ENTREPRENEURIAL DEVELOPMENT 
                   PROGRAMS.

       Section 10 of the Small Business Act (15 U.S.C. 639) is 
     amended by adding at the end the following new subsection:
       ``(i) Annual Report on Entrepreneurial Development 
     Programs.--
       ``(1) Report required.--The Administrator shall include in 
     the comprehensive annual report required under subsection (a) 
     the following data:
       ``(A) A list of all entrepreneurial development activities 
     undertaken during the fiscal year preceding the date of the 
     report through a covered program, including--
       ``(i) a description and operating details for each such 
     covered program and the activities performed under each such 
     covered program;
       ``(ii) operating circulars, manuals, and standard operating 
     procedures for each such covered program;
       ``(iii) a description of the process used to make awards 
     relating to the provision of entrepreneurial development 
     activities under each such covered program;
       ``(iv) a list of all recipients of awards under each such 
     covered program and the amount of each such award; and
       ``(v) a list of contractors, including the name and 
     location of such contractor, of an award recipient.
       ``(B) The total amount of funding obligated for a covered 
     program and the entrepreneurial development activities 
     conducted under each such covered program for the fiscal year 
     preceding the date of the report.
       ``(C) The names and titles of the individuals responsible 
     for carrying out a covered program.
       ``(D) For entrepreneurial development activities undertaken 
     during the fiscal year preceding the date of the report 
     through the Small Business Development Center Program 
     established under section 21 (in this section referred to as 
     the `Program')--
       ``(i) the number of individuals counseled or trained 
     through the Program;
       ``(ii) the total number of hours of counseling and training 
     services provided through the Program;
       ``(iii) the demographics of participants in the Program, 
     which shall include the gender, race, and age of each such 
     participant;
       ``(iv) the number of participants in the Program who are 
     veterans;
       ``(v) the number of new businesses started by participants 
     in the Program;
       ``(vi) to the extent practicable, the number of jobs 
     supported, created, or retained with assistance from the 
     Program;
       ``(vii) the amount of capital secured by participants in 
     the Program, including through loans and equity investment;
       ``(viii) the number of participants in the Program 
     receiving financial assistance, including the type and dollar 
     amount, under a loan program of the Administration;
       ``(ix) an estimate of gross receipts, including (to the 
     extent practicable) a description of any change in revenue, 
     of small business concerns assisted through the Program;
       ``(x) the number of referrals of individuals to other 
     resources and programs of the Administration;
       ``(xi) the results of satisfaction surveys of participants 
     in the Program, including a summary of any comments received 
     from such participants; and
       ``(xii) any recommendations by the Administrator to improve 
     the delivery of services by the Program.
       ``(2) Definitions.--In this subsection:
       ``(A) Covered program.--The term `covered program' means a 
     program authorized under section 7(j), 7(m), 8(a), 8(b)(1), 
     21, 22, 29, 32, or 34 of this Act.
       ``(B) Entrepreneurial development activity.--The term 
     `entrepreneurial development activity' means an activity 
     related to the delivery of entrepreneurial development 
     services, entrepreneurial education, or support for the 
     development and maintenance of business training services 
     carried out through a covered program.''.

     SEC. 3. MARKETING OF SERVICES.

       Section 21 of the Small Business Act (15 U.S.C. 648) is 
     amended by adding at the end the following:
       ``(o) No Prohibition of Marketing of Services.--An 
     applicant receiving a grant under this section may use up to 
     10 percent of their budget to market and advertise the 
     services of such applicant to individuals and small business 
     concerns.''.

     SEC. 4. DATA COLLECTION BY THE SMALL BUSINESS DEVELOPMENT 
                   CENTER ASSOCIATION.

       (a) In General.--Section 21(a)(3)(A) of the Small Business 
     Act (15 U.S.C. 648(a)(3)(A)) is amended--
       (1) by striking ``as provided in this section and'' and 
     inserting ``as provided in this section,''; and
       (2) by inserting before the period at the end the 
     following: ``, and (iv) governing data collection activities 
     related to applicants receiving grants under this section''.
       (b) Annual Report on Data Collection.--Section 21 of the 
     Small Business Act (15 U.S.C. 648), as amended by section 3 
     of this Act, is further amended by adding at the end the 
     following:
       ``(p) Annual Report on Data Collection.--The Administrator 
     shall annually submit to the Committee on Small Business of 
     the House of Representatives and the Committee on Small 
     Business and Entrepreneurship of the Senate a report on any 
     data collection activities related to the Small Business 
     Development Center Program.''.
       (c) Working Group To Improve Data Collection.--
       (1) Establishment and study.--The Administrator of the 
     Small Business Administration shall establish a group to be 
     known as the ``Data Collection Working Group'' consisting of 
     entrepreneurial development grant recipients, the 
     associations and organizations representing such recipients, 
     and officials from the Small Business Administration, to 
     carry out a study to determine the best methods for 
     conducting data collection activities and create or revise 
     existing systems dedicated to data collection.
       (2) Report.--Not later than the end of the 180-day period 
     beginning on the date of the enactment of this Act, the Data 
     Collection Working Group shall issue a report to the 
     Committee on Small Business of the House of Representatives 
     and the Committee on Small Business and Entrepreneurship of 
     the Senate containing the findings and determinations made in 
     carrying out the study required under paragraph (1), 
     including--
       (A) recommendations for revising existing data collection 
     practices for the Small Business Development Center Program; 
     and
       (B) a proposed plan for the Administrator of the Small 
     Business Administration to implement such recommendations.

     SEC. 5. FEES FROM PRIVATE PARTNERSHIPS AND COSPONSORSHIPS.

       Section 21(a)(3) of the Small Business Act (15 U.S.C. 
     648(a)(3)) is amended by adding at the end the following:
       ``(D) Fees from private partnerships and cosponsorships.--A 
     small business development center that participates in a 
     private partnership or cosponsorship, in which the 
     Administrator or designee of the Administrator also 
     participates, may collect fees or other income related to the 
     operation of such private partnership or cosponsorship.''.

     SEC. 6. EQUITY FOR SMALL BUSINESS DEVELOPMENT CENTERS.

       Subclause (I) of section 21(a)(4)(C)(v) of the Small 
     Business Act (15 U.S.C. 648(a)(4)(C)(v)(I)) is amended to 
     read as follows:
       ``(I) In general.--Of the amounts made available in any 
     fiscal year to carry out this section, not more than $600,000 
     may be used by the Administration to pay expenses enumerated 
     in subparagraphs (B) through (D) of section 20(a)(1).''.

     SEC. 7. CONFIDENTIALITY REQUIREMENTS.

       Section 21(a)(7)(A) of the Small Business Act (15 U.S.C. 
     648(a)(7)(A)) is amended--
       (1) by striking ``or telephone number'' and inserting ``, 
     telephone number, or email address''; and

[[Page H4464]]

       (2) by inserting ``, or the nature or content of such 
     assistance, to any State, local, or Federal agency, or to any 
     third party'' after ``receiving assistance under this 
     section''.

     SEC. 8. LIMITATION ON AWARD OF GRANTS TO SMALL BUSINESS 
                   DEVELOPMENT CENTERS.

       (a) In General.--Section 21 of the Small Business Act (15 
     U.S.C. 648), as amended by section 4, is further amended--
       (1) in subsection (a)(1)--
       (A) by striking ``any women's business center operating 
     pursuant to section 29,'';
       (B) by striking ``or a women's business center operating 
     pursuant to section 29''; and
       (C) by striking ``and women's business centers operating 
     pursuant to section 29''; and
       (2) by adding at the end the following:
       ``(q) Limitation on Award of Grants.--Except for not-for-
     profit institutions of higher education, and notwithstanding 
     any other provision of law, the Administrator may not award a 
     grant or contract to, or enter into a cooperative agreement 
     with, an entity under this section unless that entity--
       ``(1) received a grant or contract from, or entered into a 
     cooperative agreement with, the Administrator under this 
     section before the date of the enactment of this subsection; 
     and
       ``(2) seeks to renew such a grant, contract, or cooperative 
     agreement after such date.''.
       (b) Rule of Construction.--The amendments made by this 
     section may not be construed as prohibiting a women's 
     business center (as described under section 29 of the Small 
     Business Act) from receiving a subgrant from an entity 
     receiving a grant under section 21 of the Small Business Act.

     SEC. 9. MANAGEMENT OF PROGRAM ACTIVITIES.

       Section 21(a)(3) of the Small Business Act (15 U.S.C. 
     648(a)(3)), as amended by section 4, is further amended--
       (1) in the matter preceding subparagraph (A), by striking 
     ``upon, with full participation of both parties,'' and 
     inserting ``upon with the full participation of all parties 
     (including the association authorized in subparagraph (A)), 
     and carried out'';
       (2) in subparagraph (A), by striking ``and develop'' and 
     inserting ``and negotiate the development of''; and
       (3) in subparagraph (C)--
       (A) by striking ``Whereas'';
       (B) by inserting ``Program'' after ``Center'';
       (C) by striking ``National'' and inserting ``national''; 
     and
       (D) by moving such subparagraph 2 ems to the left.

     SEC. 10. AUTHORIZATION OF APPROPRIATIONS FOR FORMULA GRANTS 
                   RECEIVED BY STATES.

       Section 21(a)(4)(C) of the Small Business Act (15 U.S.C. 
     648(a)(4)(C)) is amended--
       (1) in clause (vii), by striking ``subparagraph'' and all 
     that follows through the period at the end and inserting 
     ``subparagraph $175,000,000 for each of fiscal years 2022 
     through 2025.''; and
       (2) in clause (viii), by striking ``shall reserve not less 
     than $1,000,000'' and inserting ``shall reserve not more than 
     $2,000,000''.

     SEC. 11. REQUIREMENTS RELATING TO MATCHING FUNDS.

       Section 21(a)(4)(A) of the Small Business Act (15 U.S.C. 
     648(a)(4)(A)) is amended by adding at the end the following 
     new sentence: ``Such matching funds shall be evidenced by 
     good faith assertions from the applicant, and the expenditure 
     of matching funds shall not be made a prerequisite of the 
     reimbursement of Federal funds, notwithstanding the final 
     reconciliation payment for the close-out of each award.''.

     SEC. 12. CONTRACT PREREQUISITES.

       Section 21(a)(5)(B) of the Small Business Act (15 U.S.C. 
     648(a)(5)(B)) is amended by striking the second sentence and 
     inserting the following: ``Each contract shall be deemed 
     approved under subparagraph (A) unless the Associate 
     Administrator certifies in writing within 15 business days 
     after award of the contract that the contract will not 
     provide assistance to small business concerns and that 
     performance of the contract will hinder the small business 
     development center in carrying out the terms of the grant 
     received by the small business development center under this 
     section.''.

     SEC. 13. DUTIES OF THE ASSOCIATE ADMINISTRATOR FOR SMALL 
                   BUSINESS DEVELOPMENT CENTERS.

       Section 21(h)(2) of the Small Business Act (15 U.S.C. 
     648(h)(2)) is amended by adding at the end the following new 
     subparagraph:
       ``(C) Marketing.--The Associate Administrator for Small 
     Business Development Centers shall market and advertise the 
     Small Business Development Center Program and participants in 
     such Program as a resource available to any Federal program 
     providing assistance to small business concerns, including 
     the FAST program established under section 34.''.

     SEC. 14. DETERMINATION OF BUDGETARY EFFECTS.

       The budgetary effects of this Act, for the purpose of 
     complying with the Statutory Pay-As-You-Go Act of 2010, shall 
     be determined by reference to the latest statement titled 
     ``Budgetary Effects of PAYGO Legislation'' for this Act, 
     submitted for printing in the Congressional Record by the 
     Chairman of the House Budget Committee, provided that such 
     statement has been submitted prior to the vote on passage.

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


 =========================== NOTE =========================== 

  
  April 26, 2022, on page H4464, in the second column, the 
following appeared: The SPEAKER pro tempore. Pursuant to the rule, 
the gentlewoman from New York (Ms. Velazquez) and the gentleman 
from Minnesota (Mr. Luetkemeyer) each will control 20 minutes.
  
  The online version has been corrected to read: The SPEAKER pro 
tempore. Pursuant to the rule, the gentlewoman from New York (Ms. 
Velazquez) and the gentleman from Missouri (Mr. Luetkemeyer) each 
will control 20 minutes.


 ========================= END NOTE ========================= 


  The Chair recognizes the gentlewoman from New York.


                             general leave

  Ms. VELAZQUEZ. Mr. Speaker, I ask unanimous consent that all Members 
may have 5 legislative days in which to revise and extend their remarks 
and include extraneous material on the measure 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, before I begin, I thank all of our members for their 
tireless work on the bills before us today. As we head into National 
Small Business Week, the legislation we are passing today showcases the 
bipartisan nature of our committee and highlights how Congress supports 
the American entrepreneurial spirit.
  I rise today in support of H.R. 6445, the Small Business Development 
Center Improvement Act of 2022, introduced by Representative Golden 
from Maine and the late Representative Hagedorn from Minnesota.
  I will take a moment to remember the late Representative Hagedorn and 
his work as a member of the Small Business Committee. Before and 
throughout his illness, Mr. Hagedorn maintained his steadfast 
commitment to small businesses. My thoughts continue to be with Mr. 
Hagedorn's family, friends, and staff.
  Today's bill is a testament to his dedication to his community and 
small firms, and I am glad to honor his memory with this legislation.
  H.R. 6445 strengthens SBA's largest resource partner, the Small 
Business Development Center, or SBDC, network, by modernizing the 
program to meet the needs of today's small businesses and 
entrepreneurs.
  SBDCs deliver free face-to-face and virtual counseling and training 
in all aspects of business management to small business owners and 
entrepreneurs across the country. The services include: assisting 
entrepreneurs with developing a business plan, accessing capital, 
creating a marketing plan, procuring government contracts, 
strengthening cybersecurity protections, and entering into 
international trade.
  Through their network of 62 lead centers, managing nearly 1,000 
outreach locations, SBDCs assist small business owners and 
entrepreneurs throughout the country.
  SBDCs are a remarkable investment of taxpayer dollars with every 
Federal dollar spent on the SBDC program generating $1.99 in Federal 
revenue, a nearly 100 percent return on investment.
  To build on this success, H.R. 6445 increases the authorization level 
to $175 million for the next four fiscal years, allowing the program to 
grow and reach more of America's 30 million small firms.
  The bill also clarifies that SBDCs, and the SBA, may actively market 
their services. In the Small Business Committee, we often say that 
SBDCs are the best-kept small business secret.
  This bill will go a long way to ensuring more small employers and 
entrepreneurs are aware that free or low-cost counseling and training 
exists to help them on their path to success.
  I thank the sponsors for leading this effort to modernize and improve 
the SBDC program and its many valuable services. I urge Members to 
support this bipartisan piece of legislation, and I reserve the balance 
of my time.
  Mr. LUETKEMEYER. Mr. Speaker, I yield myself such time as I may 
consume.
  Mr. Speaker, I rise in support of H.R. 6445, the Small Business 
Development Centers Improvement Act of 2022.
  Before we begin, I will highlight next week's National Small Business 
Week celebration. This will be a time to honor and reflect upon some of 
America's hardest working businesses and their employees.
  It is with this in mind that I am glad that we are gathering on the 
House floor today to discuss a number of bills that improve and enhance 
the Small Business Administration.
  Importantly, all five bills that we will be discussing today have 
been favorably reported out of our committee

[[Page H4465]]

in a bipartisan manner. I thank the chair for working with me to 
advance these bills to the floor.
  Small Business Development Centers provide valuable resources and 
free counseling to entrepreneurs across this great Nation. This 
Congress, I have heard from several small businesses who have benefited 
from the SBDC's services.
  In my home State of Missouri, the Missouri Small Business Development 
Center helped a local brewery create a business plan and apply for a 
504 loan to grow their business. They also helped a veteran-owned food 
shipping business scale up and find new partnerships during the 
pandemic.
  They supported countless small businesses in accessing SBA's COVID 
relief programs such as the Paycheck Protection Program and Economic 
Injury Disaster loans. I am grateful for their wide range of services 
to entrepreneurs.
  This important legislation will allow SBDCs to continue their 
important services and expand their network of small business 
beneficiaries through marketing.
  This legislation also ensures SBDC's client information is protected 
and that cooperation, communication, and collaboration between SBA and 
SBDC networks is improved.
  I thank Mr. Golden for working on this legislation with the late Jim 
Hagedorn. As we all know, Jim was a champion for small businesses and a 
truly invaluable member of our Small Business Committee. He will 
certainly be missed. He leaves a huge hole on our side of the aisle 
with regard to support of small businesses, and we remember him today.
  I also thank the chair for working with me in a bipartisan manner to 
advance this bill.
  I urge my colleagues to ensure that SBDCs can continue serving our 
small business constituents and communities, and to support H.R. 6445, 
which was passed favorably out of our committee by a voice vote and 
passed the House in a similar form last Congress.
  The Small Business Development Center network is critical in 
assisting our small business owners during their entrepreneurial 
business journey. H.R. 6445 will enhance and improve this journey and 
ensure the program remains strong and vibrant on behalf of America's 
small businesses.
  I urge my colleagues to support H.R. 6445, and I yield back the 
balance of my time.
  Ms. VELAZQUEZ. Mr. Speaker, I yield myself such time as I may 
consume.
  There is no question that we need to support the cornerstone of the 
SBA's entrepreneurial programs, the Small Business Development Centers. 
SBDCs are SBA's premier resource partner with centers in communities 
across the country. Their free or low-cost counseling and training have 
helped sustain small businesses and entrepreneurs throughout the 
pandemic.
  H.R. 6445 continues the long tradition of SBDC's work to meet the 
ever-evolving needs of America's entrepreneurs as they emerge from the 
pandemic. Strengthening the SBDC network will, in turn, provide the 
support our small businesses need in order to thrive.
  Today's bill is endorsed by America's SBDCs, an association 
representing the 63 SBDC networks and their nearly 1,000 centers.
  I thank Mr. Golden and remember the late Mr. Hagedorn for their 
bipartisan work on this bill.
  I urge my colleagues to vote ``yes,'' and 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. 6445.
  The question was taken; and (two-thirds being in the affirmative) the 
rules were suspended and the bill was passed.
  A motion to reconsider was laid on the table.

                          ____________________