[House Report 116-702]
[From the U.S. Government Publishing Office]


                                                 Union Calendar No. 585
116th Congress     }                                   {        Report    
			HOUSE OF REPRESENTATIVES
 2d Session        }                      	       {       116-702                                                               
_______________________________________________________________________
                                  
                                               
                        REPORT ON THE ACTIVITIES

                                 of the

                      COMMITTEE ON SMALL BUSINESS

                             116TH CONGRESS

		
		
		[GRAPHIC(S) NOT AVAILABLE IN TIFF FORMAT]
		
		


 December 29, 2020.--Committed to the Committee of the Whole House on 
            the State of the Union and ordered to be printed
            
                       
            		      __________
            
             		     
 		     U.S. GOVERNMENT PUBLISHING OFFICE

42-804 			     WASHINGTON : 2020            
            
                        
            
                         
                         
                         
                         LETTER OF TRANSMITTAL

                              ----------                              

                          House of Representatives,
                               Committee on Small Business,
                                 Washington, DC, December 29, 2020.
Hon. Nancy Pelosi,
Speaker, House of Representatives,
Washington, DC.
    Dear Speaker Pelosi: In accordance with Rule XI(1)(d)(1) of 
the Rules of the House of Representatives, I respectfully 
submit the activities report of the Committee on Small Business 
for the 116th Congress.
            Sincerely,
                                        Nydia M. Velazquez,
                                                        Chairwoman.
                         
                         
                         
                             C O N T E N T S

                               __________
                                                                   Page
Letter of Transmittal............................................   III
Jurisdiction of the Committee....................................     1
Rules of the Committee...........................................     1
Membership and Organization of the Committee.....................    15
Authorization and Oversight Plan.................................    17
Legislative Activities...........................................    25
Oversight Summary................................................    63
Part A--Full Committee Hearings..................................    63
Part B--Subcommittee Hearings....................................    97
Part C--Waste, Fraud, Abuse, and Mismanagement...................   131
Part D--Implementation of Oversight Plan.........................   135



                                                 Union Calendar No. 585
116th Congress                                                   Report
                        HOUSE OF REPRESENTATIVES
 2d Session                                                     116-702

======================================================================



 
  REPORT ON THE ACTIVITIES OF THE COMMITTEE ON SMALL BUSINESS FOR THE 
                             116TH CONGRESS

                                _______
                                

 December 29, 2020.--Committed to the Committee of the Whole House on 
            the State of the Union and ordered to be printed

                                _______
                                

         Ms. Velazquez, from the Committee on Small Business, 
                        submitted the following

                              R E P O R T

    Clause 1(d) of rule XI of the Rules of the House of 
Representatives for the 116th Congress requires that each 
standing committee, not later than January 2nd of each odd-
numbered year, submit to the House a report on the activities 
of that Committee, including separate sections summarizing the 
legislative and oversight activities of that Committee.

JURISDICTION AND SPECIAL OVERSIGHT FUNCTION

    Clause 1(q) of rule X of the Rules of the House of 
Representatives of the 116th Congress sets forth the 
jurisdiction of the Committee on Small Business as follows--
    (1) Assistance to and protection of small business, 
including financial aid, regulatory flexibility, and paperwork 
reduction.
    (2) Participation of small-business enterprises in Federal 
procurement and Government contracts.
    Clause 3(l) of rule X of the Rules of the House of 
Representatives for the 116th Congress sets forth the Special 
Oversight Function of the Committee on Small Business as 
follows--
    The Committee on Small Business shall study and investigate 
on a continuing basis the problems of all types of small 
business.

RULES OF THE COMMITTEE ON SMALL BUSINESS

ONE HUNDRED SIXTEENTH CONGRESS

                         1. GENERAL PROVISIONS

    (A) Rules of the Committee. The Rules of the House of 
Representatives, in total (but especially with respect to the 
operations of committees Rule X, cl. 1(q), cl. 2, cl. 3(l), and 
Rule XI), are the rules of the Committee on Small Business 
(``Committee'') to the extent applicable and are incorporated 
by reference.
    (B) Appointments by the Chair. Pursuant to the Rules of the 
House, the Chair shall designate a Member of the Committee 
Majority to serve as Vice Chair of the Committee. The Vice 
Chair shall preside at any meeting or hearing during the 
temporary absence of the Chair. The Chair also reserves the 
right to designate a Member of the Committee Majority to serve 
as the Chair at a hearing or meeting.

                   2. REFERRAL OF BILLS BY THE CHAIR

    (A) The Chair will retain consideration of all legislation 
referred to the Committee by the Speaker. No action will be 
required of a Subcommittee before legislation is considered for 
report by the Committee. Subcommittee chairs, pursuant to the 
rules set out herein, may hold hearings on any bill referred to 
the Committee.

                            3. SUBCOMMITTEES

    (A) Generally. Each Subcommittee of the Committee is part 
of the Committee and is subject to the authority and direction 
of the Committee, and to the Rules of the House and the rules 
adopted herein, to the extent applicable. The Chairman and 
Ranking Member of the Committee are ex officio Members of all 
Subcommittees for the purpose of any meeting conducted by a 
Subcommittee.
    (B) The Committee shall be organized into the following 
five subcommittees:
          (1) Subcommittee on Rural Development, Agriculture, 
        Trade, and Entrepreneurship
          This Subcommittee (which will consist of six (6) 
        Democratic Members and four (4) Republican Members) 
        will address policies that enhance rural economic 
        growth, increasing America's energy independence and 
        ensuring that America's small businesses can compete 
        effectively in a global marketplace.
           Oversight of agricultural policies.
           Oversight of environmental issues and 
        regulations (including agencies such as the 
        Environmental Protection Agency and the Army Corps of 
        Engineers).
           Oversight of energy issues, including 
        expansion of domestic resources, whether they are 
        renewable or non-renewable.
           Oversight of international trade policy with 
        particular emphasis on agencies that provide direct 
        assistance to small businesses, such as: the Small 
        Business Administration's (SBA) Office of International 
        Trade, the Department of Commerce's United States 
        Export Assistance Centers, the Department of 
        Agriculture's Foreign Agricultural Service, and the 
        Export-Import Bank.
           Oversight of infringement of intellectual 
        property rights by foreign competition.
           Oversight of SBA entrepreneurial development 
        programs, including Small Business Development Centers, 
        Women's Business Centers, Veteran Business Outreach 
        Centers, and SCORE.
          (2) Subcommittee on Innovation and Workforce 
        Development
          This Subcommittee (which will consist of six (6) 
        Democratic Members and four (4) Republican Members) 
        will address how innovation promotes economic growth 
        and job creation by small businesses. In addition, the 
        Subcommittee will examine small business job growth 
        through the creation and adoption of advanced 
        technologies. The Subcommittee will review the broad 
        scope of workforce issues that affect the ability of 
        small businesses to obtain and maintain qualified 
        employees.
           Oversight of all federal policies that 
        affect the workforce including, but not limited to, the 
        roles of the Department of Labor and the National Labor 
        Relations Board.
           Oversight of workforce issues, including but 
        not limited to health care, retirement, and labor 
        challenges facing small businesses.
           Oversight of general technology issues, 
        including intellectual property policy in the United 
        States.
           Oversight of United States 
        telecommunications policies including, but not limited 
        to, the National Broadband Plan and allocation of 
        electromagnetic spectrum.
           Oversight of the Small Business Innovation 
        Research Program.
           Oversight of the Small Business Technology 
        Transfer Program.
          (3) Subcommittee on Economic Growth, Tax, and Capital 
        Access
          This Subcommittee (which will consist of six (6) 
        Democratic Members and four (4) Republican Members) 
        will evaluate the operation of the financial markets in 
        the United States and their ability to provide needed 
        capital to small businesses. In addition, the 
        Subcommittee will review federal programs, especially 
        those overseen by the SBA, aimed at assisting 
        entrepreneurs in obtaining needed capital. Since the 
        tax policy plays an integral role in access to capital, 
        this Committee also will examine the impact of federal 
        tax policies on small businesses.
           Oversight of capital access and financial 
        markets.
           Implementation of the Dodd-Frank Wall Street 
        Reform and Consumer Protection Act.
           SBA financial assistance programs, including 
        guaranteed loans, microloans, certified development 
        company loans, and small business investment companies.
           Oversight of the Department of Agriculture 
        business and industry guaranteed loan program.
           Oversight of general tax policy affecting 
        small businesses.
           The management of the SBA disaster loan 
        program.
          (4) Subcommittee on Investigations, Oversight, and 
        Regulations
          This Subcommittee (which will consist of six (6) 
        Democratic Members and four (4) Republican Members) 
        will probe the efficient operation of government 
        programs that affect small businesses, including the 
        SBA, and develop proposals to make them operate in a 
        more cost-effective manner. This Subcommittee also will 
        review the regulatory burdens imposed on small 
        businesses and how those burdens may be alleviated.
           Oversight of general issues affecting small 
        businesses and federal agencies.
           Oversight of the management of the SBA.
           Oversight of the SBA Inspector General.
           Implementation of the Regulatory Flexibility 
        Act.
           Oversight of the Office of Information and 
        Regulatory Affairs at the Office of Management and 
        Budget.
           Use of the Congressional Review Act.
           Transparency of the federal rulemaking 
        process as required by the Administrative Procedure and 
        Data Quality Acts.
           Implementation of the Paperwork Reduction 
        Act.
          (5) Subcommittee on Contracting and Infrastructure
          This Subcommittee (which will consist of six (6) 
        Democratic Members and four (4) Republican Members) 
        will assess the federal procurement system, including 
        those programs designed specifically to enhance 
        participation by small businesses in providing goods 
        and services to the federal government. The 
        Subcommittee will review the broad scope of 
        opportunities available to small businesses for 
        rebuilding and modernizing the nations' infrastructure.
           Oversight of government-wide procurement 
        practices and programs affecting small businesses.
           Oversight of federal procurement policies 
        that inhibit or expand participation by small 
        businesses in the federal contracting marketplace.
           All contracting programs established by the 
        Small Business Act, including HUBZone, 8(a), Women-, 
        and Service Disabled Veteran-Owned Small Business 
        Programs.
           Technical assistance provided to federal 
        contractors and prospective contractors through SBA 
        personnel, Offices of Small and Disadvantaged Business 
        Utilization, and Procurement Technical Assistance 
        Centers.
           The SBA Surety Bond guarantee program.
           General oversight of programs available to 
        small businesses in modernizing and strengthening the 
        nation's infrastructure.
    (C) Powers and Duties of Subcommittees. Each Subcommittee 
is authorized to meet, hold hearings, receive evidence, and 
report to the Committee on any matters referred to it. Prior to 
the scheduling of any meeting or hearing of a Subcommittee, the 
Chair of the Subcommittee shall obtain the approval of the 
Chair of the Committee.
    (D) Hearing Time and Date. No hearing or meeting of a 
Subcommittee shall take place at the same time as the meeting 
or hearing of the full Committee or another Subcommittee, 
provided however, that the Subcommittee Chairs may hold field 
hearings that conflict with those held by other Subcommittees 
of the Committee.

                           4. COMMITTEE STAFF

    (A) Majority Staff. The employees of the Committee, except 
those assigned to the Minority as provided below, shall be 
appointed and assigned, and may be removed by the Chair of the 
Committee. The Chair shall fix their remuneration and they 
shall be under the general supervision and direction of the 
Chair.
    (B) Minority Staff. The employees of the Committee assigned 
to the Minority shall be appointed and assigned, and their 
remuneration determined, as the Ranking Minority Member of the 
Committee shall decide.
    (C) Subcommittee Staff. There shall be no separate staff 
assigned to Subcommittees. The Chair and Ranking Minority 
Member shall endeavor to ensure that sufficient Committee staff 
is made available in order that each Subcommittee may carry out 
the responsibilities set forth in Rule 3, supra.

                              5. MEETINGS

    (A) Regular Meetings. The regular meeting day of the 
Committee shall be the second Wednesday of every month when the 
House is in session. The Chair may dispense with the meeting of 
the Committee, if in the sole discretion of the Chair, there is 
no need for such meeting.
    (B) Additional Meetings. Additional meetings may be called 
as deemed necessary by the Chair or at the request of the 
majority Members of the Committee pursuant to Rule XI, cl. 2(c) 
of the rules of the House. At least 3 days' notice, pursuant to 
Rule XI, cl. 2(g)(3)(A), of such an additional meeting shall be 
given unless the Chair, with the concurrence of the Ranking 
Minority Member, determines that there is good cause to call 
the meeting on less notice or upon a vote by a majority of the 
Committee (a quorum being present). Announcements of the 
meeting shall be published promptly in the Daily Digest and 
made publicly available in electronic form.
    (C) Business to be Considered. The determination of the 
business to be considered at each meeting shall be made by the 
Chair subject to limitations set forth in House Rule XI, cl. 
2(c).
    (D) Meeting Materials. The Chair shall provide to each 
Member of the Committee, to the extent practicable, at least 48 
hours in advance of a meeting, a copy of the bill, resolution, 
report or other item to be considered at the meeting, but no 
later than 24 hours before the meeting. Such material also 
shall be made available to the public at least 24 hours in 
advance in electronic form.
    (E) Special and Emergency Meetings. The rules for notice 
and meetings as set forth in Rule 5 of these Rules shall not 
apply to special and emergency meetings. Clause 2(c)(2) of Rule 
XI and clause 2(g)(3)(A) of Rule XI of the Rules of the House, 
as applicable, shall apply to such meetings.

                 6. NOTICE AND ANNOUNCEMENT OF HEARINGS

    (A) Announcement of Hearings. Public announcement of the 
date, place, and subject matter of any hearing to be conducted 
by the Committee shall be made no later than seven (7) calendar 
days before the commencement of the hearing. To the extent 
possible, the seven days shall be counted from 168 hours before 
the time of the Committee's hearing.
    (B) Exception. The Chair, with the concurrence of the 
Ranking Minority Member, or upon a vote by the majority of the 
Committee (a quorum being present), may authorize a hearing to 
commence on less than 7 days' notice.
    (C) Witness Lists. Unless the Chair determines it is 
impracticable to do so, the Committee shall make a tentative 
witness list available at the time it makes the public 
announcement of the hearing. If a tentative witness list is not 
made available at the time of the announcement of the hearing, 
such witness list shall be made available as soon as 
practicable after such announcement is made. A final witness 
list shall be issued by the Committee no later than 48 hours 
prior to the commencement of the hearing.
    (D) Hearing Material. The Chair shall provide to all 
Members of the Committee, as soon as practicable after the 
announcement of the hearing, a memorandum explaining the 
subject matter of the hearing and any official reports from 
departments and agencies on the subject matter of the hearing. 
Such material shall be made available to all Members of the 
Committee no later than 48 hours before the commencement of the 
hearing, unless the Chair, after consultation with the Ranking 
Minority Member, determines that certain reports from 
departments or agencies should not be made available prior to 
the commencement of the hearing. Material provided by the Chair 
to all Members, whether provided prior to or at the hearing, 
shall be placed on the Committee website no later than 48 hours 
after the commencement of the hearing, unless such material 
contains sensitive or classified information, in which case 
such material shall be handled pursuant to Rule 16 of the 
Committee's Rules.

              7. MEETINGS AND HEARINGS OPEN TO THE PUBLIC

    (A) Meetings. Each meeting of the Committee or its 
Subcommittees for the transaction of business, including the 
markup of legislation, shall be open to the public, including 
to radio, television, and still photography coverage, except as 
provided by House Rule XI, cl. 4. If the majority of Members of 
the Committee or Subcommittee present at the meeting determine 
by a recorded vote in open session that all or part of the 
remainder of the meeting on that day shall be closed to the 
public because the disclosure of matters to be considered would 
endanger national security, would compromise sensitive law 
enforcement information, or would tend to defame, degrade, or 
incriminate any person or otherwise would violate any law or 
rule of the House; provided however, that no person other than 
Members of the Committee, and such congressional staff and such 
executive branch representatives they may authorize, shall be 
present in any meeting which has been closed to the public.
    (B) Hearings. Each hearing conducted by the Committee or 
its Subcommittees shall be open to the public, including radio, 
television and still photography coverage. If the majority of 
Members of the Committee or Subcommittee present at the hearing 
determine by a recorded vote in open session that all or part 
of the remainder of the hearing on that day shall be closed to 
the public because the disclosure of matters to be considered 
would endanger national security, would compromise sensitive 
law enforcement information, or would tend to defame, degrade, 
or incriminate any person or otherwise would violate any law or 
rule of the House; provided however, that the Committee or 
Subcommittee may by the same procedure also vote to close one 
subsequent day of hearings. Notwithstanding the requirements of 
the preceding sentence, a majority of those present (if the 
requisite number of Members are present under Committee rules 
for the purpose of taking testimony) may vote: (i) to close the 
hearing for the sole purpose of discussing whether the 
testimony or evidence to be received would endanger the 
national security, would compromise sensitive law enforcement 
information, or violate Rule XI, cl. 2(k)(5) of the House or 
(ii) to close the hearing, as provided clause 2(k)(5) of Rule 
XI of the House.
    (C) Participation in Subcommittee Hearings. The Chair and 
Ranking Minority Member are ex officio Members of all 
Subcommittees for any hearing conducted by a Subcommittee. 
Members of the Committee who wish to participate in a hearing 
of the Subcommittee to which they are not Members shall make 
such request to the Chair and the Ranking Minority Member of 
the Subcommittee at the commencement of the hearing. The Chair, 
after consultation with the Ranking Minority Member of the 
Subcommittee, shall grant such request.
    (D) Non-Participatory Attendance by Other Members of the 
House. No Member of the House may be excluded from non-
participatory attendance at any hearing of the Committee or any 
Subcommittee, unless the House of Representatives shall by 
majority vote authorize the Committee or Subcommittees, for 
purposes of a particular subject of investigation, to close its 
hearing to Members by the same procedures designated to close 
hearings to the public.
    (E) Procedure to Participate. Members of Congress who are 
not Members of the Committee but would like to participate in a 
hearing shall notify the Chair and the Ranking Minority Member 
and submit a formal request no later than 24 hours before the 
commencement of the meeting or hearing. Such Member may not 
vote on any matter; be counted for the purpose of establishing 
a quorum; participate in questioning a witness under the 5-
Minute rule, unless permitted to do so by the Chair in 
consultation with the Ranking Minority Member; raise points of 
order; or offer amendments or motions.
    (F) Audio and Video Coverage. To the maximum extent 
practicable, the Committee shall provide audio and video 
coverage of each hearing or meeting for the transaction of 
business in a manner that allows the public to easily listen 
and view the proceedings and shall maintain the recordings of 
such coverage in a manner easily accessible to the public. 
Operation and use of any Committee internet broadcast system 
shall be fair and nonpartisan, and in accordance with clauses 4 
(b) and (f) of House Rule XI and all other applicable rules of 
the Committee and the House.

                              8. WITNESSES

    (A) Number of Witnesses. For any hearing conducted by the 
Committee or Subcommittee there shall be no more than four non-
governmental witnesses of which the Ranking Minority Member of 
the Committee or Subcommittee (as appropriate) is entitled to 
select one witness for the hearing.
    (B) Witnesses Selected by the Minority. Witnesses selected 
by the Ranking Minority Member of the Committee or Subcommittee 
shall be invited to testify by the Chair of the Committee or 
Subcommittee (as appropriate). Rule 6(A) shall apply with equal 
force to witnesses selected by the Ranking Minority Member of 
the Committee or Subcommittee.
    (C) Small Business Week Exception. The limitations set 
forth in the preceding paragraph shall not apply if the 
Committee holds a hearing to honor the work of the small 
business community in conjunction with the annual celebration 
of Small Business Week. Witness limitations for such a hearing 
shall be determined by the Chair in consultation with the 
Ranking Minority Member.
    (D) Statement of Witnesses.
          (1) Insofar as is practicable, each witness who is to 
        appear before the Committee or Subcommittee shall file 
        an electronic copy of the written testimony with the 
        Committee and the Ranking Minority Member no later than 
        48 hours before the commencement of the hearing. In 
        addition, the witness shall provide 25 copies of the 
        written testimony by the commencement of the hearing. 
        The Chair may waive the requirement by the witness 
        providing 25 copies in which case the Committee or 
        Subcommittee shall provide the 25 copies.
          (2) Each witness shall limit his or her oral 
        presentation to a five-minute summary of the written 
        testimony, unless the Chair in consultation with the 
        Ranking Minority Member extends this time period.
          (3) Insofar as is practicable, each non-governmental 
        witness shall provide to the Committee and the Ranking 
        Minority Member, no later than 48 hours before the 
        commencement of the hearing, a curriculum vitae or 
        other statement describing their education, employment, 
        professional affiliation or other background 
        information pertinent to their testimony.
    (E) Witness Disclosure. As required by Rule XI, cl. 2(g) of 
the Rules of the House, each non-governmental witness before 
the commencement of the hearing shall file with the Chair a 
disclosure form detailing any contracts or grants that the 
witness has with the federal government, as well as the amount 
and country of origin of any payment or contract related to the 
subject of the hearing originating with a foreign government. 
Such information shall be posted on the Committee website 
within 24 hours after the witness appeared at the hearing.
    (F) Failure to Comply. The failure to provide the materials 
set forth by the deadlines set forth in these rules may be 
grounds for excluding both the oral and written testimony of 
the witness unless waived by the Chair of the Committee or 
Subcommittee.
    (G) Public Access to Witness Materials. The Committee will 
provide public access to printed materials, including the 
testimony of witnesses in electronic form on the Committee's 
website no later than 24 hours after the hearing is adjourned. 
Supplemental material provided after the hearing adjourns shall 
be placed on the Committee website no later than 24 hours after 
receipt of such material.
    (H) Questioning of Witnesses. Except when the Committee 
adopts a motion pursuant to subdivisions (B) and (C) of clause 
2(i)(2) of Rule XI of the Rules of the House, Committee Members 
may question witnesses only when they have been recognized by 
the Chair for that purpose. Members shall have the opportunity, 
as set forth in Rule XI, cl. 2 (j) of the Rules of the House, 
to question each witness on the panel for a period not to 
exceed five minutes. For any hearing, the Chair of the 
Committee or Subcommittee may offer a motion to extend the 
questioning of a witness or witnesses by the Member identified 
in the motion for more than five minutes as set forth in Rule 
XI, cl. 2(j)(B). No Member may be recognized for a second 
period of interrogation, subject to the 5-minute rule, until 
each Member present, who wishes to be recognized, has been 
recognized at least once.
    (I) Order of Questioning. The Chair of the Committee or 
Subcommittee shall commence questioning followed by the Ranking 
Minority Member. Thereafter, questioning shall alternate 
between the majority and minority Members. Before the gavel has 
been struck, or in the case of Members arriving simultaneously, 
the order of questioning shall be based on seniority among 
Members of his or her own party. After the gavel has been 
struck, Members first to arrive shall have priority over 
Members of his or her own party. Members of Congress who are 
not Members of the Committee, if allowed by the Chair, may be 
recognized for questioning of witnesses but only after all 
Committee Members have first been recognized.
    (J) Consideration of Ratio. In recognizing Members to 
question witnesses, the Chair may take into consideration the 
ratio of majority and minority Members present in such a manner 
as to not disadvantage the Members of either party.

                               9. QUORUM

    (A) Determining a Quorum. A quorum, for purposes of 
reporting a measure or recommendation, shall be a majority of 
the Committee Members.
    (B) Quorum for a Hearing. For purposes of taking testimony 
or receiving evidence, a quorum shall be one Member from the 
Majority and one Member from the Minority. The Chair of the 
Committee or Subcommittee shall exercise reasonable comity by 
waiting for the Ranking Minority Member even if a quorum is 
present before striking the gavel to commence the hearing. For 
hearings held by the Committee or a Subcommittee in a location 
other than the Committee's hearing room in Washington, DC, a 
quorum shall be deemed to be present if the Chair of the 
Committee or Subcommittee is present.

                            10. RECORD VOTES

    (A) When Provided. A record vote of the Committee shall be 
provided on any question before the Committee upon the request 
of any Member of the Committee. A record of the vote of each 
Member of the Committee on a matter before the Committee shall 
be available in electronic form within 48 hours of such record 
vote, and, with respect to any roll call vote on any motion to 
amend or report, shall be included in the report of the 
Committee showing the total number of votes cast for and 
against and the names of those Members voting for and against.
    (B) Proxy Voting. No vote by any member of the Committee 
with respect to any measure or matter may be cast by proxy.
    (C) Public Access to Record Votes. The Chair of the 
Committee shall, not later than 24 hours after consideration of 
a bill, resolution, report or other item, cause the text of the 
reported item and any amendment adopted thereto to be made 
publicly available in electronic form.

                             11. SUBPOENAS

    (A) Authorization and Issuance. A subpoena may be 
authorized and issued by the Committee in the conduct of any 
investigation or series of investigations or activities to 
require the attendance and testimony of such witness and the 
production of such books, records, correspondence, memoranda, 
papers and documents, as deemed necessary. Such subpoena shall 
be authorized by a majority of the full Committee. The 
requirement that the authorization of a subpoena require a 
majority vote may be waived by the Ranking Minority Member of 
the Committee.
    (B) Issuance During Congressional Recess. The Chair may 
issue a subpoena, in consultation with the Ranking Minority 
Member, when the House is out for session for more than three 
legislative days.

                      12. AMENDMENTS DURING MARKUP

    (A) Availability of Amendments. Any amendment offered to 
any pending legislation before the Committee must be made 
available in written form by any Member of the Committee. If 
such amendment is not available in written form when requested, 
the Chair shall allow an appropriate period for the provision 
thereof and may adjourn the markup to provide sufficient time 
for the provision of such written amendment. Such period or 
adjournment shall not prejudice the offering of such amendment.
    (B) Drafting and Filing of Amendments. For amendments to be 
accepted during markup, there is no requirement that the 
amendments be filed prior to commencement of the markup or 
prepared with the assistance of the Office of Legislative 
Counsel. Even though it is not necessary, Members seeking to 
amend legislation during markup should draft amendments with 
the assistance of the Office of Legislative Counsel and consult 
with the Chair or Ranking Minority Member's staff (as 
appropriate) in the preparation of such amendments.

                    13. POSTPONEMENT OF PROCEEDINGS

    (A) When Postponement is Permissible. The Chair, in 
consultation with the Ranking Minority Member, may postpone 
further proceedings when a record vote is ordered on the 
question of approving any measure or matter or adopting an 
amendment. The Chair may resume postponed proceedings, but no 
later than 24 hours after such postponement, unless the House 
is not in session or there are conflicts with Member schedules 
that make it unlikely a quorum will be present to conduct 
business on the postponed proceeding. In such cases, the Chair 
will consult with Members to set a time as early as possible to 
resume proceedings but in no event later than the next meeting 
date as set forth in Rule 5 of these Rules.
    (B) Resumption of Proceedings. When proceedings resume on a 
postponed question, notwithstanding any intervening order for 
the previous question, an underlying proposition shall remain 
subject to further debate or amendment to the same extent as 
when the question was postponed.

                         14. COMMITTEE RECORDS

    (A) The Committee shall keep a complete record of all 
actions, which shall include a record of the votes on any 
question on which a recorded vote is demanded. The result of 
any vote by the Committee, or if applicable by a Subcommittee, 
including a voice vote shall be posted on the Committee's 
website within 24 hours after the vote has been taken. Such 
record shall include a description of the amendment, motion, 
order, or other proposition, the name of the Member voting for 
and against such amendment, motion, order, or other 
proposition, and the names of Members present but not voting. 
For any amendment, motion, order, or other proposition decided 
by voice vote, the record shall include a description and 
whether the voice vote was in favor or against.
    (B) Transcripts. The Committee shall keep a complete record 
of all Committee and Subcommittee activity which, in the case 
of a meeting or hearing transcript, shall include a 
substantially verbatim account of the remarks actually made 
during the proceedings subject only to technical, grammatical, 
and typographical corrections authorized by the person making 
the remarks.
    (C) Availability of Records. The records of the Committee 
at the National Archives and Records Administration shall be 
made available in accordance with Rule VII of the Rules of the 
House. The Chair of the Committee shall notify the Ranking 
Member of the Committee of any decision, pursuant to Rule VII, 
cl. 3(b)(3) or cl. 4 (b), to withhold a record otherwise 
available, and the matter shall be presented to the Committee 
for a determination of the written request of any Member of the 
Committee.
    (D) Publishing and Posting of Records. The Committee Rules 
shall be made publicly available in electronic form and 
published in the Congressional Record not later than 60 days 
after the Chair of the Committee is elected in each odd-
numbered year.

                         15. COMMITTEE WEBSITE

    (A) The Chair shall maintain an official Committee website 
for the purpose of furthering the Committee's legislative and 
oversight responsibilities, including communicating information 
about Committee's activities to Committee Members and other 
Members of the House. The Ranking Minority Member may maintain 
a similar website for the same purpose, including communicating 
information about the activities of the Minority to Committee 
Members and other Members of the House.

           16. ACCESS TO CLASSIFIED OR SENSITIVE INFORMATION

    (A) Access to classified or sensitive information supplied 
to the Committee or Subcommittees and attendance at closed 
sessions of the Committee or a Subcommittee shall be limited to 
Members and necessary Committee staff and stenographic 
reporters who have appropriate security clearance when the 
Chair determines that such access or attendance is essential to 
the functioning of the Committee or one of its Subcommittees.
    (B) Procedures Governing Availability. The procedures to be 
followed in granting access to those hearings, records, data, 
charts, and files of the Committee which involve classified 
information or information deemed to be sensitive shall be as 
follows:
          (1) Only Members of the House of Representatives and 
        specifically designated Committee staff of the 
        Committee on Small Business may have access to such 
        information.
          (2) Members who desire to read materials that are in 
        possession of the Committee shall notify the Clerk of 
        the Committee in writing.
          (3) The Clerk of the Committee will maintain an 
        accurate access log, which identifies the circumstances 
        surrounding access to the information, without 
        revealing the material examined.
          (4) If the material desired to be reviewed is 
        material which the Committee or Subcommittee deems to 
        be sensitive enough to require special handling, before 
        receiving access to such information, individuals will 
        be required to sign an access information sheet 
        acknowledging such access and that the individual has 
        read and understands the procedures under which access 
        is being granted.
          (5) Material provided for review under this rule 
        shall not be removed from a specified room within the 
        Committee offices.
          (6) Individuals reviewing materials under this rule 
        shall make certain that the materials are returned to 
        the proper custodian.
          (7) No reproductions or recordings may be made of any 
        portion of such materials.
          (8) The contents of such information shall not be 
        divulged to any person in any way, form, shape, or 
        manner and shall not be discussed with any person who 
        has not received the information in the manner 
        authorized by the rules of the Committee.
          (9) When not being examined in the manner described 
        herein, such information will be kept in secure safes 
        or locked file cabinets within the Committee offices.
          (10) These procedures only address access to 
        information the Committee or Subcommittee deems to be 
        sensitive enough to require special treatment.
          (11) If a Member of the House of Representatives 
        believes that certain sensitive information should not 
        be restricted as to dissemination or use, the Member 
        may petition the Committee or Subcommittee to so rule. 
        With respect to information and materials provided to 
        the Committee by the Executive Branch or an independent 
        agency as that term is defined in 44 U.S.C. Sec. 3502, 
        the classification of information and materials as 
        determined by the Executive Branch or independent 
        agency shall prevail unless affirmatively changed by 
        the Committee or Subcommittee involved, after 
        consultation with the Executive Branch or independent 
        agency.
          (12) Other materials in the possession of the 
        Committee are to be handled in the accordance with 
        normal practices and traditions of the Committee.

                          17. OTHER PROCEDURES

    (A) The Chair of the Committee may establish such other 
procedures and take such actions as may be necessary to carry 
out the foregoing rules or to facilitate the effective 
operation of the Committee.

                   18. AMENDMENTS TO COMMITTEE RULES

    (A) The rules of the Committee may be modified, amended, or 
repealed by a majority vote of the Members, at a meeting 
specifically called for such purpose, but only if written 
notice of the proposed change or changes has been provided to 
each Member of the Committee at least 72 hours prior to the 
time of the meeting of the Committee to consider such change or 
changes.

                         19. BUDGET AND TRAVEL

    (A) Allocation of Budget. From the amount provided to the 
Committee in the primary expense resolution adopted by the 
House of Representatives in the 116th Congress, the Chair, 
after consultation with the Ranking Minority Member, shall 
designate one-third of the budget under the direction of the 
Ranking Minority Member for the purposes of minority staff, 
travel expenses of minority staff and Members, and minority 
office expenses.
    (B) Authorization of Travel. The Chair may authorize travel 
in connection with activities or subject matters under the 
legislative or oversight jurisdiction of the Committee as set 
forth in Rule X of the Rules of the House. The Ranking Minority 
Member may authorize travel for any Minority Member or staff of 
the minority in connection with activities or subject matters 
under the Committee's jurisdiction as set forth in Rule X of 
the Rules of the House. Before such travel, there shall be 
submitted to the Chair of the Committee in writing the 
following at least seven (7) calendar days prior specifying: a) 
the purpose of the travel; b) the dates during which the travel 
is to occur; c) the names of the states or countries to be 
visited and the length of time spent in each; and d) the names 
of Members and staff of the Committee participating in such 
travel.

                      MEMBERSHIP AND ORGANIZATION

                                 OF THE

                      COMMITTEE ON SMALL BUSINESS

                     ONE HUNDRED SIXTEENTH CONGRESS

                      Committee on Small Business
                             (Ratio: 14-10)
                 Nydia Velazquez, New York, Chairwoman

Republicans                          Democrats
Steve Chabot, Ohio, Ranking Member   Abby Finkenauer, Iowa
Aumua Amata Coleman Radewagen, American Samoa, Vice Ranking Member
Troy Balderson, Ohio                 Andy Kim, New Jersey
Kevin Hern, Oklahoma                 Jason Crow, Colorado
Jim Hagedorn, Minnesota              Sharice Davids, Kansas
Pete Stauber, Minnesota              Kweisi Mfume, Maryland
Tim Burchett, Tennessee              Judy Chu, California
Ross Spano, Florida                  Dwight Evans, Pennsylvania, Vice 
John Joyce, Pennsylvania             Chair
Dan Bishop, North Carolina           Brad Schneider, Illinois
                                     Adriano Espaillat, New York
                                     Antonio Delgado, New York
                                     Chrissy Houlahan, Pennsylvania
                                     Angie Craig, Minnesota

----------
February 26, 2019--Ms. Angie Craig, Minnesota, was elected to the 
Committee, H. Res. 148.
September 25, 2019--Mr. Trent Kelly, Mississippi, resigned from the 
Committee.
September 26, 2019--Mr. Dan Bishop, North Carolina, was elected to the 
Committee, H. Res. 596.
May 7, 2020--Mr. Marc Veasey, Texas, resigned from the Committee.
May 8, 2020--Mr. Kweisi Mfume, Maryland, was elected to the Committee, 
H. Res. 954.

                        SUBCOMMITTEE MEMBERSHIPS
      Subcommittee on Rural Development, Agriculture, Trade, and 
                            Entrepreneurship
                   Abby Finkenauer, Iowa, Chairwoman

John Joyce, Pennsylvania, Ranking Membered Golden, Maine
Aumua Amata Coleman Radewagen, American Samoaow, Colorado
Jim Hagedorn, Minnesota              Angie Craig, Minnesota
Dan Bishop, North Carolina           Nydia Velazquez, New York [Ex 
Steve Chabot, Ohio [Ex Officio]      Officio]

          Subcommittee on Innovation and Workforce Development
                     Jason Crow, Colorado, Chairman

Troy Balderson, Ohio, Ranking Member Chrissy Houlahan, Pennsylvania
Tim Burchett, Tennessee              Abby Finkenauer, Iowa
Kevin Hern, Oklahoma                 Andy Kim, New Jersey
John Joyce, Pennsylvania             Sharice Davids, Kansas
Steve Chabot, Ohio [Ex Officio]      Nydia Velazquez, New York [Ex 
                                     Officio]

        Subcommittee on Economic Growth, Tax, and Capital Access
                     Andy Kim, New Jersey, Chairman

Kevin Hern, Oklahoma, Ranking Member Sharice Davids, Kansas
Ross Spano, Florida                  Brad Schneider, Illinois
Aumua Amata Coleman Radewagen, American SamoaEspaillat, New York
Pete Stauber, Minnesota              Antonio Delgado, New York
Steve Chabot, Ohio [Ex Officio]      Jason Crow, Colorado
                                     Nydia Velazquez, New York [Ex 
                                     Officio]

       Subcommittee on Investigations, Oversight, and Regulations
                    Judy Chu, California, Chairwoman

Ross Spano, Florida, Ranking Member  Dwight Evans, Pennsylvania
Tim Burchett, Tennessee              Angie Craig, Minnesota
Steve Chabot, Ohio [Ex Officio]      Nydia Velazquez, New York [Ex 
                                     Officio]

             Subcommittee on Contracting and Infrastructure
                     Jared Golden, Maine, Chairman

Pete Stauber, Minnesota, Ranking Memberdy Chu, California
Jim Hagedorn, Minnesota              Nydia Velazquez, New York [Ex 
Troy Balderson, Ohio                 Officio]
Steve Chabot, Ohio [Ex Officio]

  AUTHORIZATION AND OVERSIGHT PLAN OF THE COMMITTEE ON SMALL BUSINESS

                     ONE HUNDRED SIXTEENTH CONGRESS

    Ms. Velazquez, from the Committee on Small Business, 
submitted to the Committee on Oversight and Reform and the 
Committee on House Administration the following:

                                 REPORT

    Rule X, cl. 2(d)(1) of the Rules of the House requires each 
standing Committee to adopt an oversight plan for the two-year 
period of the Congress and to submit the plan to the Committees 
on Oversight and Reform and House Administration not later than 
March 1 of the first session of the Congress. Under Rule X, the 
Committee has oversight authority to investigate and examine 
any matter affecting small business. This Report reflects that 
broad oversight jurisdiction.

              OVERSIGHT OF FEDERAL CAPITAL ACCESS PROGRAMS

    The Committee will conduct hearings and investigations into 
Small Business Administration (SBA) and other federal agencies 
that provide capital to America's entrepreneurs that may 
include any or all of the following, as well as matters brought 
to the attention of the Committee subsequent to the filing of 
this Report:
           Effectiveness of the capital access programs 
        to generate jobs in the fastest growing small 
        businesses.
           Whether lenders are meeting their goals to 
        lend to small businesses and create jobs.
           Adequacy of SBA oversight of its lending 
        partners to ensure that federal taxpayers are properly 
        protected.
           Capabilities of the SBA information 
        technology to manage the loan portfolio.
           Whether SBA rules, regulations, and guidance 
        result in transparent and reasoned decision making with 
        respect to capital access programs.
           Assessment of credit-scoring algorithms as a 
        replacement for individual credit assessment by SBA and 
        its lending partners.
           The exercise of discretion by SBA to create 
        pilot programs and the risk they pose to the taxpayer 
        and whether such authority should be curtailed or 
        eliminated.
           Whether SBA disaster loan program and its 
        oversight ensure that small businesses are able to 
        revive and rebuild communities.
           Review the recent change by SBA for fee 
        waivers and the impact moving from a dollar limitation 
        to a geographic determination will have on small 
        businesses.
           Efficacy and duplication of federal capital 
        access programs offered by the Department of 
        Agriculture to small businesses in rural areas.
           Utilization by small businesses of export 
        capital programs at the Export-Import Bank and the 
        Overseas Private Investment Corporation.
           Study the need to enhance the 7(a) and 
        Certified Development Company programs so that they are 
        more effective in reaching borrowers unable to secure 
        conventional loans.
           Analyze the Microloan program with the 
        intent of making it more affordable for borrowers and 
        reducing barriers to its growth.
           Examine methods to enhance equity financing 
        to meet the needs of small business borrowers wherein 
        debt financing is not appropriate and how SBA programs 
        may be used to increase equity financing.
           Continued examination of the Small Business 
        Lending Fund and State Small Business Credit Initiative 
        established by Pub. L. No. 111-240, the Small Business 
        Jobs Act of 2010, in creating jobs and providing 
        capital to small businesses.
           Implementation of crowdfunding and other 
        provisions of the Jumpstart Our Business Startups Act, 
        Pub. L. No. 112-106.
           Continued oversight and analysis of the role 
        that the SBA secondary market plays in small business 
        finance and the effectiveness of changes made by SBA to 
        the pooling program established in the Federal Register 
        Notice of October 16, 2017.
           Review and oversight into the Master Reserve 
        Fund at SBA.
           Implementation of program clarifications 
        made to encourage more cooperative and employee stock 
        ownership plan lending through SBA programs established 
        by the Main Street Employee Ownership Act of 2018, 
        passed into law by the John S. McCain National Defense 
        Authorization Act for Fiscal Year 2019, Pub. L. No. 
        115-232.
           Implementation of changes made to increase 
        oversight of the 7(a) loan program established by Pub. 
        L. No. 115-189, the Small Business 7(a) Lending 
        Oversight Reform Act of 2018.
           Examination of the Express Bridge Loan Pilot 
        Program for disaster recovery lending for small 
        businesses and its performance after recent disasters, 
        such as Hurricanes Harvey, Irma, and Maria and numerous 
        wildfires.
           Investigate franchising contracts to learn 
        how SBA loans are being utilized, default rates, and 
        whether small business owners are being harmed in case 
        improvements in the SBA franchise directory can be 
        made.
           The effectiveness of SBA in minimizing risk 
        to the taxpayer in the SBA capital access programs.
    In performing oversight, the Committee will focus on 
particularly risky aspects of financial assistance programs 
including, but not limited to, commercial real estate 
refinancing, premier certified lenders, participating security 
small business investment companies, small business lending 
companies, express lenders, and loan programs utilizing 
simplified lending applications.

OVERSIGHT OF SBA AND OTHER FEDERAL ENTREPRENEURIAL DEVELOPMENT PROGRAMS

    The Committee will conduct hearings and investigations into 
the SBA programs that provide training and advice to small 
businesses that may include any or all of the following, as 
well as matters brought to the attention of the Committee 
subsequent to the filing of this Report:
           Examining effectiveness of SBA 
        entrepreneurial development programs in creating jobs 
        at startups and traditional firms.
           Suggesting methods for enhancing 
        coordination among federal agencies in aiding 
        entrepreneurs, including, but not limited to, 
        businesses located in underserved areas, such as rural 
        and low-income communities and those seeking to provide 
        goods and services in the federal procurement 
        marketplace.
           Enhancing the efficacy and utilization of 
        the Manufacturing Extension Partnership at the 
        Department of Commerce, including developments in 
        renewable energy.

          OVERSIGHT OF FEDERAL GOVERNMENT CONTRACTING MATTERS

    The Committee will conduct hearings and investigations into 
the federal procurement system that may include any or all of 
the following, as well as matters brought to the attention of 
the Committee subsequent to the filing of this Report:
           Whether fraud or other problems exist in the 
        federal government contracting programs overseen by the 
        SBA including the 8(a), HUBZone, service-disabled 
        veteran, women-owned contracting, and Small Business 
        Innovation Research programs.
           Effectiveness of SBA contracting programs to 
        increase participation by small businesses in federal 
        procurement.
           Effectiveness of federal agency protections 
        against contract bundling and consolidation.
           The accuracy and utility of SBA size 
        standards and federal procurement databases.
           Operation and effectiveness of federal 
        agency assistance provided to small businesses 
        interested in federal procurement, including that 
        provided by the SBA, Offices of Small and Disadvantaged 
        Business Utilization and Procurement Technical 
        Assistance Centers.
           Development of federal acquisition policies 
        and whether small businesses have sufficiently 
        effective voice in development of such policies.
           Cost-effectiveness of outsourcing government 
        work to private enterprise rather than expanding the 
        government to do provide the good or service internally 
        (i.e., government insourcing).
           Implementation and efficacy of changes made 
        in small business federal procurement programs arising 
        from the enactment of the National Defense 
        Authorization Acts for FYs 2012-2019.
           Examination of the Small Business Innovation 
        Research Program as modified by the National Defense 
        Authorization Act for FY 2012, Pub. L. No. 112-81, 
        including, but not limited to, increased efforts at 
        commercializing federally-funded technology.
           Implementation and efficacy of changes made 
        to the Small Business Innovation Research Program 
        arising from the enactment of the John S. McCain 
        National Defense Authorization Act for Fiscal Year 
        2019, Pub. L. No. 115-232.
           Implementation and efficacy of changes made 
        to the HUBZone program arising from the enactment of 
        the National Defense Authorization Act for Fiscal Year 
        2018, Pub. L. No. 115-91.
    In performing oversight, the Committee will focus its 
efforts on uncovering abuse and misuse of the small business 
designation to obtain federal government contracts.

                      OVERSIGHT OF SBA MANAGEMENT

    The Committee will conduct the hearings and investigations 
into the management of the SBA that may include any or all of 
the following, as well as matters brought to the attention of 
the Committee subsequent to the filing of this Report:
           The appropriate mission of the SBA.
           Whether agency employees in the field are 
        empowered to assist small businesses.
           Duplication of offices and missions at SBA 
        headquarters.
           Effectiveness of personnel management to 
        ensure that employees are rewarded for assisting small 
        businesses.
           Capabilities of SBA employees to provide 
        proper assistance to small business owners.
           Review the agency's cooperative agreements, 
        partnerships and co-sponsorships.
           Continue to assess the adequacy of the 
        agency's budgetary requests, financial management, and 
        reporting goals.
           Agency personnel capabilities to properly 
        manage loan defaults to maximize recovery of 
        collateral.
           Whether SBA improperly utilizes statutory 
        authority to create untested initiatives and the 
        procedures by which the agency develops such programs.
    In carrying out this oversight, the Committee will focus 
particularly on streamlining and reorganizing of the agency's 
operations to provide maximum assistance to small business 
owners. Offices that primarily provide assistance or advice to 
headquarters staff that do not promote the interests of small 
businesses or protect the federal government as a guarantor of 
loans will be recommended for cuts or elimination.

         OVERSIGHT OF FEDERAL REGULATORY AND PAPERWORK BURDENS

    The Committee will conduct hearings and investigations into 
burdensome federal rules, reporting and recordkeeping 
requirements affecting small businesses that may include any or 
all of the following, as well as matters brought to the 
attention of the Committee subsequent to the filing of this 
Report:
           Identify specific rules and regulations 
        already issued or at the proposed rule stage to assess 
        the impact on small businesses.
           Examine agency compliance with the 
        Regulatory Flexibility Act and Paperwork Reduction Act.
           Oversee, to the extent relevant, the work of 
        the Office of Information and Regulatory Affairs at the 
        Office of Management and Budget and the Chief Counsel 
        for Advocacy at the Small Business Administration to 
        ensure that they are fulfilling their mission to 
        advocate vigorously on behalf of America's small 
        business owners in regulatory matters at federal 
        agencies.
           Identify regulations that impose unnecessary 
        barriers to competitive market entry by small 
        businesses and place small businesses at a competitive 
        disadvantage with respect to larger competitors.
           Identify regulations that fail to minimize 
        recordkeeping and reporting requirements, including the 
        elimination of duplicative requirements as required by 
        the Paperwork Reduction Act.
           Assess whether small businesses are provided 
        sufficient compliance assistance, including small 
        entity compliance guides issued by agencies as mandated 
        by the Small Business Regulatory Enforcement Fairness 
        Act.
           Evaluate the need to amend and further 
        strengthen the Regulatory Flexibility Act and the 
        Paperwork Reduction Act to improve agency compliance 
        with the laws and ensure that small businesses are not 
        unnecessarily burdened by regulations.

                    OVERSIGHT OF FEDERAL TAX POLICY

    The Committee will conduct hearings and investigations into 
the federal tax code, its impact on small business, and 
Internal Revenue Service's (IRS) collection of taxes that may 
include any or all of the following, as well as matters brought 
to the attention of the Committee subsequent to the filing of 
this Report:
           Identification of tax code provisions and 
        proposed rules that hinder the ability of small 
        businesses to create jobs and recommendations for 
        modifying those provisions to boost small business job 
        growth.
           Examination of the structure of the tax code 
        in order to simplify compliance for small businesses.
           Assessment of the recordkeeping and 
        reporting requirements associated with tax compliance 
        and suggestions for reducing such burdens on small 
        businesses.
           Impact of the tax reform law, Pub. L. No. 
        115-97, on small business tax liabilities and 
        compliance and its harm to economic growth and job 
        creation.
           Efficiencies at the IRS that improve the 
        interaction between the government and small business 
        owners.
           Inefficiencies at the IRS that force small 
        businesses to divert capital from job growth to tax 
        compliance.
           Investigate incentives that may be used to 
        support the growth of the micro-entrepreneur.
           Analyze tax code restructuring to enhance 
        the ability of small businesses to offer retirement 
        benefits through lowering their costs.

                    OVERSIGHT OF HEALTH CARE POLICY

    The Committee will conduct hearings and investigations into 
federal health care policy (such as Medicare and Medicaid), as 
well as matters brought to the attention of the Committee 
subsequent to the filing of this Report:
           The availability of health insurance in the 
        federal marketplaces established by the Patient 
        Protection and Affordable Care Act.
           Implementation and efficacy of changes made 
        to health care policy through various laws enacted 
        throughout the 115th Congress, including but not 
        limited to the tax reform law, Pub. L. No. 115-97.
           The impact of the Patient Protection and 
        Affordable Care Act, Medicare and Medicaid on the 
        ability of physicians, pharmacists, and allied health 
        care providers to offer the best care possible to 
        patients.
           Examination of increases in efficiencies 
        that will improve the provision of health care while 
        reducing costs to small businesses that offer their 
        workers' health insurance.

                       OVERSIGHT OF ENERGY POLICY

    The Committee will conduct hearings and investigations into 
energy policy to reduce the cost of energy and increase 
renewable energy that may include any or all of the following, 
as well as matters brought to the attention of the Committee 
subsequent to the filing of this Report:
           Innovations developed by small businesses 
        that create greater reliance on renewable energy.
           Federal regulatory policies that increase 
        dependence on renewable energy and decrease energy 
        costs.
           Policies needed to incentivize production of 
        renewable energy in the United States.
           Examination of commercialization of research 
        in renewable energy.
           Federal regulations or policies that affect 
        energy costs for small businesses.
           Investigate methods to increase energy 
        efficiency and improve resource conservation practices 
        for small businesses.
           Federal initiatives to streamline business 
        operations and reduce energy costs for small firms.
    The primary thrust of the Committee's efforts will focus on 
efforts to use the innovation of America's entrepreneurs to 
fuel the drive for greater energy independence, including the 
development of renewable energy products.

          OVERSIGHT OF TRADE AND INTELLECTUAL PROPERTY POLICY

    The Committee will conduct hearings and investigations into 
international trade and intellectual property policies of 
America and its trading partners that may include any or all of 
the following, as well as matters brought to the attention of 
the Committee subsequent to the filing of this Report:
           Impact of free trade agreements to increase 
        exports by American small businesses.
           Oversight of SBA's Office of International 
        Trade and the agency's efforts to promote small 
        business exports.
           Examination of the impact of illicit actions 
        by foreign entities on small businesses and whether the 
        federal government is doing enough to protect their 
        interests.
           Whether the federal government is doing 
        enough to protect the intellectual property rights of 
        small businesses by foreign competitors.
           The impact of federal intellectual property 
        policies, particularly patents and copyrights, to 
        protect the innovations of American entrepreneurs.
           Efforts to increase exports by small 
        businesses.
           Whether the United States Trade 
        Representative and Department of Commerce sufficiently 
        protect the interests of small businesses in the 
        negotiation of free trade agreements.
           Whether the United States Trade 
        Representative takes positions at the World Trade 
        Organization that sufficiently promote the interests of 
        American small businesses.
           Measure the performance of federal trade 
        programs, which seek to reduce small firms' costs of 
        expanding into international markets, including those 
        administered by the SBA, Departments of Commerce and 
        Agriculture, the Export-Import Bank, and the Overseas 
        Private Investment Corporation.
           Evaluate the implementation of the National 
        Export Promotion Strategy, particularly its focus on 
        small businesses.
           Examine efforts methods to increase the 
        representation of small business interests in the 
        negotiation of new trade agreements and enforcement of 
        existing agreements and treaties.
           Evaluate the availability and quality of 
        data measuring the contributions to the nation's trade 
        performance by small businesses, including information 
        gathered by the Department of Commerce and the United 
        States Trade Representative.
           Assess current trade duties and tariffs, 
        both domestic and foreign, to evaluate their impact on 
        American small businesses, economic growth, and job 
        creation.
           Conduct analysis on the importance of 
        intellectual property rights to underserved 
        entrepreneurs and how best to increase their 
        representation of such rights.

                    OVERSIGHT OF AGRICULTURE POLICY

    The Committee will conduct hearings and investigations into 
agriculture policies that may include any or all of the 
following, as well as matters brought to the attention of the 
Committee subsequent to the filing of this Report:
           Examine the impact of federal policies on 
        family farms, ranchers, and rural small businesses, 
        including changes made by the 2018 Farm Bill.
           Evaluate the impact of access to capital 
        issues facing rural areas, farmers and agribusinesses.
           Analyze the extent to which SBA programs and 
        United States Department of Agriculture programs 
        overlap and how they can better coordinate to provide 
        better services and streamlines assistance to the 
        agriculture community.
           Oversee federal activities to spur economic 
        development in rural communities.
           Examine ways in which the federal government 
        can enhance the use of next-generation technologies in 
        small agriculture businesses.

             OVERSIGHT OF TECHNOLOGY AND INNOVATION POLICY

    The Committee will conduct hearings and investigations into 
technology and telecommunications policies that may include any 
or all of the following, as well as matters brought to the 
attention of the Committee subsequent to the filing of this 
Report:
           Examine the impact of federal policies on 
        broadband deployment, particularly in underserved 
        areas.
           Investigate the economic benefits of 
        increasing the speed of broadband and proposals for 
        funding the Universal Service Fund.
           Examine the cost and benefits of proposed 
        reforms to the United States patent system and their 
        impact on small innovators.
           Evaluate the need to increase IP education 
        and services to underserved innovators.
            Monitor efforts to assist small businesses 
        in cybersecurity hygiene and evaluate the role the SBA 
        has in the process to collect and disseminate 
        information and educate small businesses.
           Assess the current government-wide 
        initiative to ensure small technology firms have 
        adequate contracting opportunities while also 
        protecting government systems through rigorous 
        cybersecurity requirements.
           Examine ways in which the federal government 
        can enhance the use of next-generation technologies in 
        small agriculture businesses.

             OVERSIGHT OF VETERANS' ENTREPRENEURSHIP POLICY

    The Committee will conduct hearings and investigations into 
veterans' policies that may include any or all of the 
following, as well as matters brought to the attention of the 
Committee subsequent to the filing of this Report:
           Examine how current entrepreneurial and 
        capital assistance programs are accommodating the 
        growing veteran population.
           Review federal actions to assist veteran 
        entrepreneurs and ensure they are consistent with 
        federal small business policy.
           Evaluate the effectiveness of federal 
        programs that seek to improve veterans' access to 
        markets and training by implementing and monitoring 
        enhanced programmatic data collection.
           Assess whether the federal government is 
        sufficiently coordinating activities and allocating 
        resources appropriately with regard to veteran 
        entrepreneurship activities and initiatives.
           Monitor the transition of federal 
        entrepreneurial programs from the Department of 
        Veterans' Affairs to the SBA.

                OVERSIGHT OF LABOR AND WORKFORCE POLICY

    The Committee will conduct hearings and investigations into 
labor and workforce policies that may include any or all of the 
following, as well as matters brought to the attention of the 
Committee subsequent to the filing of this Report:
           Review federal actions to assist employers 
        in workforce training and analyze ways to meet the 
        growing need for more skilled workers.
           Study the effectiveness of efforts to 
        encourage more underserved workers to enter fields 
        where skilled labor is needed.
           Evaluate the role immigration policy plays 
        in assisting small businesses meet their workforce 
        needs and whether the existing visa system should be 
        reformed.
           Investigate policies to encourage more 
        participation in labor market through initiatives that 
        can be offered by small businesses, such as increased 
        minimum wages, paid sick leave, paid parental leave, 
        and flexible work arrangements.
           Study the role student loan debt plays in 
        entrepreneurship and methods to address the crisis.

                         LEGISLATIVE ACTIVITIES

    Clause 1(d) of Rule XI of the Rules of the House of 
Representatives for the 116th Congress requires that each 
standing committee, no later than January 2 of each odd-
numbered year, submit to the House a report on the activities 
of that committee, including a separate section summarizing the 
legislative activities of that committee.

                  INVESTING IN MAIN STREET ACT OF 2019

                                H.R. 116

Summary

    H.R. 116 amends the Small Business Investment Act of 1958 
to permit certain banking entities, subject to the approval of 
the appropriate federal banking agency, to invest up to 15 
percent of their capital and surplus in one or more small 
business investment companies (SBICs), or in any entity 
established to invest solely in SBICs.

Legislative History

    H.R. 116 was introduced on January 3, 2019 by 
Representative Judy Chu (D-CA) and Representative Ralph Norman 
(R-SC). H.R. 116 passed the House on January 14, 2019 under 
Suspension of the Rules by a vote of 403-2 (Roll Call No. 30). 
H.R. 116 was received in the Senate and read twice and referred 
to the Committee on Small Business and Entrepreneurship on 
January 15, 2019.

                SMALL BUSINESS ADVOCACY IMPROVEMENTS ACT

                                H.R. 128

Summary

    H.R. 128 amends the Small Business Act to expand the 
primary functions and additional duties of the Office of 
Advocacy of the Small Business Administration to include 
examining the role of small businesses in the international 
economy and representing the views and interests of small 
businesses before foreign governments and international 
entities to contribute to regulatory and trade initiatives that 
may affect small businesses.

Legislative History

    H.R. 128 was introduced on January 3, 2019 by 
Representative James Comer (R-KY) and Chairwoman Nydia M. 
Velazquez (D-NY). H.R. 128 passed the House on January 8, 2019 
under Suspension of the Rules by voice vote. H.R. 128 was 
received in the Senate and read twice and referred to the 
Committee on Small Business and Entrepreneurship on January 9, 
2019.

       EXPANDING CONTRACTING OPPORTUNITIES FOR SMALL BUSINESS ACT

                                H.R. 190

Summary

    H.R. 190 amends the Small Business Act to eliminate the 
inclusion of option years in the award price for certain sole 
source contracts (i.e., contracts awarded without a competitive 
process). Under current law, option years in the award price 
for such contracts limit their dollar award threshold. 
Specifically, the bill revises requirements for the award of 
these contracts to (1) qualified Historically Underutilized 
Business Zone (HUBZone) small businesses, (2) small businesses 
owned and controlled by service-disabled veterans, (3) 
economically disadvantaged small businesses owned and 
controlled by women, and (4) small businesses owned and 
controlled by women in substantially underrepresented 
industries. The Government Accountability Office must evaluate 
the policies and practices used by the Small Business 
Administration and other federal agencies to ensure that 
contracting officers are properly classifying sole source 
contracts under procurement programs for businesses owned by 
women and disabled veterans in the Federal Procurement Data 
System.

Legislative History

    H.R. 190 was introduced on January 8, 2019 by 
Representative Roger Marshall (R-KS) and Representative Bradley 
Schneider (D-IL). H.R. 190 was considered under Suspension of 
the Rules on January 14, 2019 and passed the House on January 
16, 2019, by a vote of 415-6 (Roll Call No. 36). H.R. 190 was 
received in the Senate and read twice and referred to the 
Committee on Small Business and Entrepreneurship on January 17, 
2019.

               ENCOURAGING SMALL BUSINESS INNOVATION ACT

                                H.R. 206

Summary

    H.R. 206 amends the Small Business Act to modify 
requirements of the Small Business Innovation Research (SBIR) 
and Small Technology Transfer Research (STTR) programs to 
require participating agencies to use part of their allocations 
to conduct outreach to minorities and underrepresented states 
by removing the waiver requirement from statute. It also 
increases financial assistance to SBIR and STTR companies by 
utilizing Small Business Investment Companies (SBICs) and 
increasing the calculated leverage of these companies by 
excluding the amount of any investment made by SBIR and STTR 
participants with a cap of 20 percent of the private capital of 
that company. Finally, the bill provides an avenue for more 
experienced SBIR and STTR companies to mentor new companies.

Legislative History

    H.R. 206 was introduced on January 3, 2019 by 
Representative Harley Rouda (D-CA). H.R. 206 passed the House 
on January 14, 2019 under Suspension of the Rules by voice 
vote. H.R. 206 was received in the Senate and read twice and 
referred to the Committee on Small Business and 
Entrepreneurship on January 15, 2019.

   CLARITY ON SMALL BUSINESS PARTICIPATION IN CATEGORY MANAGEMENT ACT

                                H.R. 226

Summary

    H.R. 226 amends the Small Business Act to revise the SBA's 
reporting requirements to the President and Congress on 
procurement contracts to include spending data in each best in 
class designation (highest current industry performance level) 
and the number of and total contract amounts awarded to: (1) 
qualified Historically Underutilized Business Zone (HUBZone) 
small businesses, (2) small businesses owned and controlled by 
women, (3) small businesses owned and controlled by service-
disabled veterans, and (4) small businesses owned and 
controlled by socially and economically disadvantaged 
individuals.

Legislative History

    H.R. 226 was introduced on January 3, 2019 by Chairwoman 
Nydia M. Velazquez (D-NY) and Ranking Member Steve Chabot (R-
OH). H.R. 226 was considered under Suspension of the Rules on 
January 8, 2019 and passed the House on January 9, 2019, by a 
vote of 414-11 (Roll Call No. 18). H.R. 226 was received in the 
Senate and read twice and referred to the Committee on Small 
Business and Entrepreneurship on January 10, 2019. H.R. 226 was 
included in H.R. 2500, the National Defense Authorization Act 
for Fiscal Year 2020. H.R. 2500 was reported, as amended, by 
the House Committee on Armed Services on June 19, 2019, and 
passed the House on July 12, 2020, by a vote of 220-197 (Roll 
Call No. 473). H.R. 226 was included in the final version of 
the National Defense Authorization Act of 2020, (S. 1790).

              INCENTIVIZING FAIRNESS IN SUBCONTRACTING ACT

                                H.R. 227

Summary

    H.R. 227 amends the Small Business Act to modify provisions 
regarding the credit given to small business prime contractors 
for the use of certain lower-tier subcontractors in order to 
attain the percentage goals specified in their subcontracting 
plans. Such credit may be given if the goals pertain only to 
single contracts with federal agencies or to two or more 
contracts with one or more of such agencies. In addition, the 
bill requires each contracting agency to collect and review 
data on subcontracting plans and establishes a dispute process 
for non-payment to subcontractors.

Legislative History

    H.R. 227 was introduced on January 3, 2019 by Chairwoman 
Nydia M. Velazquez (D-NY) and Representative Trent Kelly (R-
MS). H.R. 227 passed the House on January 8, 2019 under 
Suspension of the Rules by voice vote. H.R. 227 was received in 
the Senate and read twice and referred to the Committee on 
Small Business and Entrepreneurship on January 9, 2019. H.R. 
227 was included in H.R. 2500, the National Defense 
Authorization Act for Fiscal Year 2020. H.R. 2500 was reported, 
as amended, by the House Committee on Armed Services on June 
19, 2019, and passed the House on July 12, 2020, by a vote of 
220-197 (Roll Call No. 473). H.R. 227 was included in the final 
version of the National Defense Authorization Act of 2020, (S. 
1790).

             STIMULATING INNOVATION THROUGH PROCUREMENT ACT

                                H.R. 246

Summary

    H.R. 246 amends the Small Business Act to provide 
assistance to small businesses participating in the Small 
Business Innovation Research (SBIR) Program or the Small 
Business Technology Transfer (STTR) Program. Specifically, the 
bill requires (1) the Small Business Administration (SBA) to 
coordinate with the senior procurement executives of federal 
agencies participating in SBIR or STTR programs to assist small 
businesses participating in such programs with commercializing 
research before the business is awarded a federal contract; (2) 
the SBA to modify its policy directives to require procurement 
center representatives to assist small businesses participating 
in SBIR or STTR programs with researching solicitations for 
federal contracts and submitting bids; and (3) each Office of 
Small and Disadvantaged Business Utilization to assist small 
businesses participating in SBIR or STTR programs with 
researching solicitations for federal contracts and submitting 
bids.

Legislative History

    H.R. 246 was introduced on January 4, 2019 by 
Representative Abby Finkenauer (D-IA), Chairwoman Nydia M. 
Velazquez (D-NY), and Representative John Curtis (R-UT). H.R. 
246 passed the House on January 14, 2019 under Suspension of 
the Rules by voice vote. H.R. 246 was received in the Senate 
and read twice and referred to the Committee on Small Business 
and Entrepreneurship on January 15, 2019. H.R. 246 was included 
in H.R. 2500, the National Defense Authorization Act for Fiscal 
Year 2020. H.R. 2500 was reported, as amended, by the House 
Committee on Armed Services on June 19, 2019, and passed the 
House on July 12, 2020, by a vote of 220-197 (Roll Call No. 
473). H.R. 246 was included in the final version of the 
National Defense Authorization Act of 2020, (S. 1790).

ACCESS TO SUFFICIENT CAPITAL FOR EVERYONE IN NATURAL DISASTER AREAS ACT 
                                OF 2019

                                H.R. 277

Summary

    H.R. 277 amends the Small Business Act to make permanent 
the temporary increase of the minimum disaster loan amount for 
which the Small Business Administration (SBA) may require 
collateral from $14,000 to $25,000 for physical damage loans in 
SBA agency disaster declarations.

Legislative History

    H.R. 277 was introduced on January 8, 2019 by Chairwoman 
Nydia M. Velazquez (D-NY) and Ranking Member Steve Chabot (R-
OH). H.R. 277 was reported by the House Committee on Small 
Business on June 13, 2019 and passed the House on July 15, 2019 
under Suspension of the Rules by voice vote. H.R. 277 was 
received in the Senate and read twice and referred to the 
Committee on Small Business and Entrepreneurship on July 16, 
2019.

       SERVICE DISABLED VETERANS SMALL BUSINESS CONTINUATION ACT

                                H.R. 499

Summary

    H.R. 499 provides a technical and clerical amendment to 
section 3(q)(2) of the Small Business Act (15 U.S.C. 632(q)) to 
ensure eligible surviving spouses of veterans who died with 
less than a 100 percent disability rating are able to maintain 
their service-disabled veteran-owned small business (SDVOSB) 
status for up to three years following the death of the 
service-disabled veteran. H.R. 499 aims to create parity in the 
treatment of surviving spouses between the service-disabled 
veteran-owned small business contracting program managed by the 
U.S. Department of Veterans Affairs and that managed by the 
Small Business Administration.

Legislative History

    H.R. 499 was introduced on January 11, 2019, by 
Representative Steve Chabot (R-OH) and Representative Antonio 
Delgado (D-NY). H.R. 499 was reported by the House Committee on 
Small Business on October 15, 2019. The House passed H.R. 499 
on November 13, 2019, under Suspension of the Rules by a vote 
of 423-0 (Roll Call No. 613). H.R. 499 was included in the 
final version of the National Defense Authorization Act of 
2020, (S. 1790).

  VERIFICATION ALIGNMENT AND SERVICE DISABLED BUSINESS ADJUSTMENT ACT

                               H.R. 1615

Summary

    H.R. 1615 eliminates the certification process offered by 
the U.S. Department of Veterans Affairs (VA) and transfers to 
the Small Business Administration (SBA) the responsibility of 
certifying all veteran-owned and service-disabled veteran-owned 
small businesses interested in participating in the VA's small 
business contracting program. The bill transfers to the SBA the 
responsibility of keeping a database of all certified veteran-
owned and service-disabled veteran-owned small businesses, 
allows the VA to provide the necessary funds to cover SBA's 
costs in certifying veteran-owned small businesses and, 
transfers assets of the VA's Center for Verification and 
Evaluation to the SBA. Furthermore, H.R. 1615 requires formal 
certification of service-disabled veteran-owned small 
businesses in SBA's government-wide contracting program.

Legislative History

    H.R. 1615 was introduced on March 07, 2019, by 
Representative Trent Kelly (R-MS), Ranking Member Steve Chabot 
(R-OH), Chairwoman Nydia Velazquez (D-NY), and Ann Kuster (D-
MH). An amendment offered by Representative Trent Kelly (R-MS) 
was agreed to by voice vote. H.R. 1615 was reported, as amended 
by the House Committee on Small Business on November 12, 2019 
and passed the House, as amended, on November 13, 2019 under 
Suspension of the Rules by voice vote. H.R. 1615 was included 
in H.R. 6395, the William M. (Mac) Thornberry National Defense 
Authorization Act for Fiscal Year 2021. H.R. 6395 was reported, 
as amended, by the House Committee on Armed Services on July 9, 
2020, and passed the House on July 21, 2020, by a vote of 295-
125 (Roll Call No. 152). H.R. 1615 was included in the final 
version of the William M. (Mac) Thornberry National Defense 
Authorization Act of 2021, (H.R. 6395).

     SMALL BUSINESS ADVANCE CYBERSECURITY ENHANCEMENTS ACT OF 2019

                               H.R. 1648

Summary

    H.R. 1648 amends the Small Business Act to encourage small 
businesses to work with the Federal Government by providing 
them additional resources. In order to combat small businesses' 
reluctance to engage with the Federal Government, this 
legislation encourages their collaboration in the following 
ways: it establishes Small Business Administration (SBA) Small 
Business Development Centers (SBDCs) as the primary interface 
for federal information sharing for small businesses; ensures 
small businesses that share cyber indicators through SBDCs 
receive the same protections and exemptions provided in the 
Cybersecurity Information Sharing Act of 2015; ensures that any 
policies or rulemaking adopted by any federal agency as a 
result of small business cyber information sharing do not 
unfairly burden small businesses; and expands liability 
protections for small businesses that engage with the Federal 
Government in good faith.

Legislative History

    H.R. 1648 was introduced on March 8, 2019, by Ranking 
Member Steve Chabot (R-OH) and Chairwoman Nydia Velazquez (D-
NY). H.R. 1648 was referred to the House Committee on Small 
Business on March 8, 2019. H.R. 1649 was ordered out of the 
House Committee on Small Business on June 13, 2019 by voice 
vote.

      SMALL BUSINESS DEVELOPMENT CENTER CYBER TRAINING ACT OF 2019

                               H.R. 1649

Summary

    H.R. 1649 would establish a cyber counseling certification 
program in Small Business Development Centers (SBDCs) to 
provide specific, free-of-charge cyber training for small 
businesses. The cyber training provided by the nationwide 
network of SBDCs will offer crucial resources for small 
businesses to plan and implement cybersecurity protections and 
combat cyber-attacks.

Legislative History

    H.R. 1649 was introduced on March 8, 2019, by Ranking 
Member Steve Chabot and Representative Dwight Evans (D-PA). 
H.R. 1649 was reported by the House Committee on Small Business 
on June 13, 2019 and passed the House on July 15, 2019, by a 
voice vote. On July 16, 2019, the bill was received by the 
Senate and was placed on the Senate Legislative Calendar under 
General Orders. H.R. 1649 was included in H.R. 2500, the 
National Defense Authorization Act for Fiscal Year 2020. H.R. 
2500 was reported, as amended, by the House Committee on Armed 
Services on June 19, 2019, and passed the House on July 12, 
2020, by a vote of 220 197 (Roll Call No. 473). H.R. 1649 was 
not included in the final version of the National Defense 
Authorization Act of 2020, (S. 1790).

   TO AMEND THE SMALL BUSINESS ACT TO REQUIRE THE SMALL BUSINESS AND 
 AGRICULTURE REGULATORY ENFORCEMENT OMBUDSMAN TO CREATE A CENTRALIZED 
         WEBSITE FOR COMPLIANCE GUIDES, AND FOR OTHER PURPOSES.

                               H.R. 2142

Summary

    H.R. 2142 requires the Office of the National Ombudsman at 
the Small Business Administration to create a centralized, 
publicly available website. H.R. 2141 mandates the website 
provide hyperlinks to small business compliance guides 
described under section 212 of the Small Business Regulatory 
Enforcement Fairness Act of 1996 and provide the contact 
information for the person at the agency who could provide 
small businesses with assistance on the rules within the 
guides. H.R. 2142 also requires the Ombudsman to report on 
federal agencies' compliance with the Section 212 requirements 
of the Small Business Regulatory Enforcement Fairness Act 
(SBREFA) in its annual report to Congress.

Legislative History

    H.R. 2142 was introduced on April 9, 2019, by 
Representative Antonio Delgado (D-NY) and Representative John 
Joyce (R-PA). H.R. 2142 was reported by the House Committee on 
Small Business on June 13, 2019 and passed the House by voice 
vote under Suspension of the Rules on July 15, 2019. H.R. 2142 
was received in the Senate and referred to the Committee on 
Small Business and Entrepreneurship on July 16, 2019.

                        SBA CYBER AWARENESS ACT

                               H.R. 2331

Summary

    H.R. 2331 requires the SBA to report annually to Congress 
on (1) an assessment of SBA's information technology (IT) and 
cybersecurity infrastructure; (2) a strategy to increase such 
infrastructure; (3) a detailed account of SBA's IT equipment or 
interconnected system or subsystem of equipment manufactured by 
an entity that has its principal place of business in the 
People's Republic of China; and (4) any SBA cybersecurity risk 
or incident that occurred during two years before the report, 
including SBA's action to respond to or remediate it.

Legislative History

    H.R. 2331 was introduced on April 18, 2019, by 
Representative Jason Crow (D-CO), Representative Troy Balderson 
(R-OH), Chairwoman Nydia Velazquez (D-NY), and Ranking Member 
Steve Chabot (R-OH). H.R. 2331 was reported by the House 
Committee on Small Business on June 13, 2019 and passed the 
House by voice vote on July 15, 2019. The Senate received the 
bill on July 16, 2019 and placed it on the Legislative Calendar 
under General Orders. H.R. 2331 was included in H.R. 2500, the 
National Defense Authorization Act for Fiscal Year 2020. H.R. 
2500 was reported, as amended, by the House Committee on Armed 
Services on June 19, 2019, and passed the House on July 12, 
2020, by a vote of 220-197 (Roll Call No. 473). H.R. 2331 was 
not included in the final version of the National Defense 
Authorization Act of 2020, (S. 1790).

           CLARIFYING THE SMALL BUSINESS RUNWAY EXTENSION ACT

                               H.R. 2345

Summary

    H.R. 2345 provides for the implementation of the Small 
Business Runway Extension Act of 2018 (Runway Act), which 
became law on December 17, 2018 and extended the receipts-based 
size standard calculation to 5 years. In particular, H.R. 2345 
amends section 3(a)(2)(C) of the Small Business Act to clarify 
that the changes made by the Runway Act are applicable to the 
Small Business Administration (SBA) and institutes a date by 
which the SBA must issue a final rule for its implementation. 
The bill also aligns the size standard based on data to the 
receipts-based size standard by changing the calculation to 5 
years. Finally, the bill required SBA to develop a transition 
plan for small businesses and agencies, to help them 
successfully navigate the transition from the previous 3-year 
calculation to the new 5-year calculation, as mandated by the 
Runway Act.

Legislative History

    H.R. 2345 was introduced on April 18, 2019, by 
Representative Pete Stauber (R-MN) and Representative Jared 
Golden (D-ME). An amendment offered by Representative Jim 
Hagedorn (R-MN) was agreed to by voice vote. H.R. 2345 was 
reported, as amended by the House Committee on Small Business 
on June 13, 2019 and passed the House, as amended, on July 15, 
2019, under Suspension of the Rules by voice vote. H.R. 2345 
was included in H.R. 2500, the National Defense Authorization 
Act for Fiscal Year 2020. H.R. 2500 was reported, as amended, 
by the House Committee on Armed Services on June 19, 2019, and 
passed the House on July 12, 2020, by a vote of 220 197 (Roll 
Call No. 473). H.R. 2345 was not included in the final version 
of the National Defense Authorization Act of 2020, (S. 1790).

                 SMALL BUSINESS CONTRACTING ACT OF 2019

                               H.R. 3372

Summary

    H.R. 3372 amends the Small Business Act to authorize 
federal agencies to double the value of contracts awarded to 
Puerto Rican subcontractors for the purpose of obtaining credit 
towards the small business prime contracting goal.

Legislative History

    H.R. 3372 was introduced on June 19, 2019 by Chairwoman 
Nydia M. Velazquez (D-NY) and Representative Gilbert Cisneros 
(D-CA). H.R. 3372 was included in H.R. 2500, the National 
Defense Authorization Act for Fiscal Year 2020. H.R. 2500 was 
reported, as amended, by the House Committee on Armed Services 
on June 19, 2019, and passed the House on July 12, 2020, by a 
vote of 220-197 (Roll Call No. 473). H.R. 3372 was included in 
the final version of the National Defense Authorization Act of 
2020, (S. 1790).

                 SMALL BUSINESS TERRITORIES EQUITY ACT

                               H.R. 3428

Summary

    H.R. 3428 amends the Small Business Act to authorize 
federal agencies to double the value of contracts awarded to 
small businesses in the U.S. Virgin Islands, American Samoa, 
Guam, or the Northern Mariana Islands for the purpose of 
obtaining credit towards the small business contracting goal.

Legislative History

    H.R. 3428 was introduced on June 19, 2019 by Chairwoman 
Nydia M. Velazquez (D-NY), Representative Stacey Plaskett (D-
VI), Representative Gregorio Sablan (D-MP), Representative 
Michael San Nicolas (D-GU), and Representative Aumua Amata 
Coleman Radewagen (R-AS). H.R. 23428 was included in H.R. 2500, 
the National Defense Authorization Act for Fiscal Year 2020. 
H.R. 2500 was reported, as amended, by the House Committee on 
Armed Services on June 19, 2019, and passed the House on July 
12, 2020, by a vote of 220-197 (Roll Call No. 473). H.R. 3372 
was included in the final version of the National Defense 
Authorization Act of 2020, (S. 1790).

             VETERAN ENTREPRENEURSHIP TRAINING ACT OF 2019

                               H.R. 3537

Summary

    H.R. 3537 amends the Small Business Act to codify for five 
years the Boots to Business program, which helps transitioning 
servicemembers launch and grow small businesses. The bill also 
sets the goals of the program, which include in-depth training 
for servicemembers interested in owning a business; and 
development of tools to identify opportunities, draft business 
plans, identify sources of capital, connect with local 
resources for small business, and launch a small business. The 
bill delineates the program components, which include a two-
day, in-person entrepreneurship program. It also gives SBA the 
authority to collaborate with public and private entities to 
develop the curricula; and it ensures Veterans Business 
Outreach Centers (VBOCs) regularly participate in the program, 
and to the reasonable maximum extent, allows the participation 
of other resource partners as well.

Legislative History

    H.R. 3537 was introduced on June 27, 2019, by 
Representative Bradley Schneider (D-IL) and Representative Ross 
Spano (R-FL). H.R. 3537 was reported by the House Committee on 
Small Business on October 15, 2019 and passed the House under 
Suspension of the Rules on November 13, 2019, by a vote of 424-
1 (Roll Call No. 612). H.R. 3537 was received in the Senate and 
read twice and referred to the Committee on Small Business and 
Entrepreneurship on November 14, 2019. H.R. 3537 was included 
in H.R. 2500, the National Defense Authorization Act for Fiscal 
Year 2020. H.R. 2500 was reported, as amended, by the House 
Committee on Armed Services on June 19, 2019, and passed the 
House on July 12, 2020, by a vote of 220-197 (Roll Call No. 
473). H.R. 3537 was not included in the final version of the 
National Defense Authorization Act of 2020, (S. 1790).

        ENSURING SAFE CAPITAL ACCESS FOR ALL SMALL BUSINESS ACT

                               H.R. 3540

Summary

    H.R. 3540 amends the Small Business Act to removes cannabis 
from the schedule of controlled substances, and it prohibits 
the Small Business Administration from declining to provide 
certain small business loans to an eligible entity solely 
because it is a cannabis-related legitimate business or service 
provider.

Legislative History

    H.R. 3540 was introduced on June 27, 2019 by Chairwoman 
Nydia M. Velazquez (D-NY). H.R. 3540 was included as a 
provision in H.R. 3884, the Marijuana Opportunity Reinvestment 
and Expungement Act of 2019 (MORE Act). H.R. 3884 was reported, 
as amended, by the House Committee on the Judiciary on November 
21, 2019, and passed the House on December 4, 2020.

ENSURING ACCESS TO COUNSELING AND TRAINING FOR ALL SMALL BUSINESSES ACT

                               H.R. 3543

Summary

    H.R. 3543 amends the Small Business Act to remove cannabis 
from the schedule of controlled substances, and it prohibits 
the Small Business Administration from declining to provide 
certain small business loans to an eligible entity solely 
because it is a cannabis-related legitimate business or service 
provider.

Legislative History

    H.R. 3543 was introduced on June 27, 2019 by Representative 
Jared Golden (D-ME). H.R. 3543 was included as a provision in 
H.R. 3884, the Marijuana Opportunity Reinvestment and 
Expungement Act of 2019 (MORE Act). H.R. 3884 was reported, as 
amended, by the House Committee on the Judiciary on November 
21, 2019, and passed the House on December 4, 2020.

                         HOMEGROWN ACT OF 2019

                               H.R. 3544

Summary

    H.R. 3544 removes marijuana from the list of scheduled 
substances under the Controlled Substances Act and eliminates 
criminal penalties for an individual who manufactures, 
distributes, or possesses with intent to distribute marijuana. 
Additionally, the bill requires the Small Business 
Administration to establish the Equitable Licensing Grant 
Program. The purpose of the grant program is to support the 
implementation of cannabis licensing programs that minimize 
barriers to licensing and employment for individuals adversely 
impacted by the war on drugs.

Legislative History

    H.R. 3544 was introduced on June 27, 2019 by Representative 
Dwight Evans (D-PA). H.R. 3544 was included as a provision in 
H.R. 3884, the Marijuana Opportunity Reinvestment and 
Expungement Act of 2019 (MORE Act). H.R. 3884 was reported, as 
amended, by the House Committee on the Judiciary on November 
21, 2019, and passed the House on December 4, 2020.

               PATRIOTIC EMPLOYER PROTECTION ACT OF 2019

                               H.R. 3661

Summary

    H.R. 3661 amends the Small Business Act to remove statutory 
restrictions that limit use of the Small Business 
Administration's Military Reservist Economic Injury Disaster 
Loan (MREIDL) and Repayment Deferral programs to active duty 
``during a period of military conflict'' and replaces this 
language with ``being ordered to perform active service for a 
period of more than 30 consecutive days.'' This change to the 
law broadens the pool of service members and reservists 
eligible for the MREIDL and Repayment Deferral programs. H.R. 
3661 also requires the President to submit to Congress a report 
on the number of loans made under the MREIDL program and the 
dollar volume of those loans.

Legislative History

    H.R. 3661 was introduced on July 10, 2019 by Representative 
Andy Kim (D-NJ) and Representative Tim Burchett (R-TN). H.R. 
3661 was reported by the House Committee on Small Business on 
October 15, 2019, and passed the House, as amended, on November 
13, 2019 under Suspension of the Rules by voice vote. H.R. 3661 
was received in the Senate and read twice and referred to the 
Committee on Small Business and Entrepreneurship on November 
14, 2019. H.R. 3661 was included in the final version of the 
National Defense Authorization Act of 2020, (S. 1790).

      SUCCESSFUL ENTREPRENEURSHIP FOR RESERVISTS AND VETERANS ACT

                               H.R. 3734

Summary

    H.R. 3734 amends the Small Business Act to require The 
Interagency Task Force for Small Business Development to report 
annually to Congress on the appointments made to the task force 
and to identify and outline a plan for outreach and promotion 
of programs serving veterans at SBA. The bill also requires a 
report from the Government Accountability Office on the credit 
issues related to veterans.

Legislative History

    H.R. 3734 was introduced on July 12, 2019, by 
Representative Sharice Davids (D-KS) and Ranking Member Steve 
Chabot (R-OH). H.R. 3734 was reported by the House Committee on 
Small Business on October 15, 2019, and passed the House on 
November 13, 2019, under Suspension of the Rules by a vote of 
421-3 (Roll Call No. 614). H.R. 3734 was received in the Senate 
and read twice and referred to the Committee on Small Business 
and Entrepreneurship on November 14, 2019.

   TO ESTABLISH GROWTH ACCELERATOR FUND COMPETITION WITHIN THE SMALL 
            BUSINESS ADMINISTRATION, AND FOR OTHER PURPOSES.

                               H.R. 4387

Summary

    The SBA funds the Growth Accelerator Fund Competition for 
the nation's most innovative and promising small business 
accelerators and incubators. Accelerators, incubators, co-
working start-up companies, or other entrepreneurial ecosystem 
models compete for monetary prizes of $50,000 each. H.R. 4387 
codifies the Growth Accelerator Fund Competition at the Small 
Business Administration. The bill would mandate that awards be 
given on a competitive basis to assist small businesses in 
accessing capital, mentors, and networking opportunities; and 
advise small business concerns on topics such as market 
analysis, company strategy, revenue growth, and securing 
funding. H.R. 4387 would also require the Small Business 
Administration to prioritize applications from small businesses 
in underserved communities.
    Additionally, the bill would require the Small Business 
Administration to develop metrics that are science-based and 
statistically driven, reflect the mission of the 
Administration, and include factors related to the economic 
impact of the Growth Accelerator Fund Competition. The bill 
authorizes $2 million in funds annually for 4 years to carry 
out the Competition.

Legislative History

    H.R. 4387 was introduced on September 18, 2019, by 
Representative Adriano Espaillat (D-NY) and Representative Troy 
Balderson (R-OH). H.R. 4387 was reported by the House Committee 
on Small Business on October 17, 2019 and passed the House by 
voice vote under Suspension of the Rules on October 21, 2019. 
H.R. 4387 was received in the Senate and referred to the 
Committee on Small Business and Entrepreneurship.

               WOMEN'S BUSINESS CENTERS IMPROVEMENTS ACT

                               H.R. 4405

Summary

    The Women's Business Centers Improvements Act strengthens 
the Women's Business Center program to ensure that women 
entrepreneurs across the country have access to the vital 
counseling and technical training services from startup to 
success. The bill also authorizes the Women's Business Center 
program for four years at $31.5 million for each fiscal year, 
establishes an accreditation program to strengthen Women's 
Business Centers, creates a transparent process to set up new 
center locations, and requires an annual report by the Small 
Business Administration to evaluate program effectiveness.

Legislative History

    H.R. 4405 was introduced on September 19, 2019, by 
Representative Sharice Davids (D-IL) and Rep. Jim Hagedorn (R-
MN). H.R. 4405 was reported by the House Committee on Small 
Business on October 17, 2019 and passed the House under 
Suspension of the Rules by voice vote.
    H.R. 4405 was received in the Senate and referred to the 
Committee on Small Business and Entrepreneurship on October 22, 
2019.

       SMALL BUSINESS DEVELOPMENT CENTERS IMPROVEMENT ACT OF 2019

                               H.R. 4406

Summary

    H.R. 4406 modernizes and strengthens the Small Business 
Development Center (SBDC) network and authorizes funding for 
the SBDC program for four years (FY2020-FY2023) at $175 million 
for each fiscal year. The bill also requires an annual report 
to measure the effectiveness of the SBDC program and allows for 
the promotion and advertising of the program and its services.

Legislative History

    H.R. 4406 was introduced on September 19, 2019, by 
Representative Jared Golden (D-ME) and Representative Aumua 
Amata Coleman Radewagen (R-AS). H.R. 4406 was reported by the 
House Committee on Small Business on October 17, 2019, and 
passed the House on October 21, 2019 under Suspension of the 
Rules by a vote of 375-25 (Roll Call no. 569). H.R. 4406 was 
received in the Senate and referred to the Committee on Small 
Business and Entrepreneurship on October 22, 2019.

                  SCORE FOR SMALL BUSINESS ACT OF 2019

                               H.R. 4407

Summary

    H.R. 4407 amends the Small Business Act to strengthen the 
Service Corps of Retired Executives (SCORE) and restores 
integrity, accounting, and performance to the program. The bill 
includes certain safeguards, ensuring the Small Business 
Administration is a good agent of government funds and the 
counseling and training program is operating effectively and 
efficiently for the 30 million small business owners and 
aspiring entrepreneurs throughout the country. More 
specifically, the bill protects taxpayers' dollars, ensures 
federal contracts are awarded properly, aligns salaries and 
performances with federal standards, protects whistleblowers, 
and expands services and promotes diversity.

Legislative History

    H.R. 4407 was introduced on September 19, 2019, by 
Representative Kevin Hern (R-OK) and Representative Angie Craig 
(D-MN). H.R. 4407 was reported by the House Committee on Small 
Business on October 17, 2019, and passed the House on October 
21, 2019 under Suspension of the Rules by a vote of 389-8 (Roll 
Call No. 570). H.R. 4407 was received in the Senate and 
referred to the Committee on Small Business and 
Entrepreneurship on October 22, 2019.

         PRISON TO PROPRIETORSHIP FOR FORMERLY INCARCERATED ACT

                               H.R. 5065

Summary

    H.R. 5065 directs the Service Corps of Retired Executives 
(SCORE) to provide mentoring, workshops, and training videos 
for formerly incarcerated individuals on how to launch and grow 
small businesses. H.R. 5065 provides individualized business 
mentoring to support the development of business plans and 
entrepreneurial growth for recipients of the prison to 
proprietorship services up to a year after release; connect 
individuals with small business networks and resources; 
identify opportunities to access capital when appropriate; 
develop a series of instructional videos designed specifically 
for incarcerated and formerly incarcerated individuals; and 
host workshops on topics specifically tailored to meet the 
needs of formerly incarcerated individuals.

Legislative History

    H.R. 5065 was introduced on November 13, 2019 by 
Representative Hakeem Jeffries (D-NY) and Representative Tim 
Burchett (R-TN). H.R. 5065 was reported by the House Committee 
on Small Business on December 12, 2019, and passed the House by 
voice vote under Suspension of the Rules on January 8, 2020. 
H.R. 5065 was received by the Senate and referred to the 
Committee on Small Business and Entrepreneurship on January 9, 
2020.

                      PRISON TO PROPRIETORSHIP ACT

                               H.R. 5078

Summary

    H.R. 5078 directs the Associations of Women's Business 
Centers and Small Business Development Centers to coordinate 
re-entry entrepreneurship services. Coordination includes 
developing the curriculum, training mentors and instructors, 
identifying opportunities to access capital, and establishing 
public-private partnerships to support formerly incarcerated 
men and women. Modeled after the successful Boots to Business 
program, which provides entrepreneurship training to 
servicemembers as they transition from military to civilian 
life, the re-entry entrepreneurship services provided through 
H.R. 5078 include an introductory presentation highlighting the 
opportunities in small business; a self-study course focused on 
the basics of entrepreneurship, the language of business, and 
small business ownership; five two-day sessions of in-depth 
classroom instruction introducing the foundations of self-
employment; and one-on-one mentorship.

Legislative History

    H.R. 5078 was introduced on November 13, 2019 by Chairwoman 
Nydia Velazquez (D-NY) and Ranking Member Steve Chabot (R-OH). 
H.R. 5078 was reported by the House Committee on Small Business 
on December 12, 2019, and passed the House under Suspension of 
the Rules by a vote of 370-41 (Roll Call No. 8). H.R. 5078 was 
received in the Senate and read twice and referred to the 
Committee on Small Business and Entrepreneurship on January 13, 
2020.

               CAPTURING ALL SMALL BUSINESSES ACT OF 2019

                               H.R. 5130

Summary

    H.R. 5130 amends the Small Business Act to extend the 
calculation period for the employee-based size standard from 
the preceding ``12 months'' to ``24 months.'' The purpose of 
the bill is to provide parity between the employee-based size 
standard and the receipts-based size standard, whose 
calculation had been recently modified by the Small Business 
Runway Extension Act of 2018 (Pub. L. 115-324). The bill also 
provides language specifying that, when establishing size 
standards, the Small Business Administration is subject to the 
requirements in the Small Business Act that encompass the 
employee-based formula as modified and sets an effective date 
of a year after its enactment.

Legislative History

    H.R. 5130 was introduced on November 15, 2019 by 
Representative Mark Veasey (D-TX) and Representative Kevin Hern 
(R-OK). H.R. 5130 was reported by the House Committee on Small 
Business on December 19, 2019, and passed the House on January 
8, 2020, under Suspension of the Rules by voice vote. H.R. 5130 
was included in H.R. 6395, the William M. (Mac) Thornberry 
National Defense Authorization Act for Fiscal Year 2021. H.R. 
6395 was reported, as amended, by the House Committee on Armed 
Services on July 9, 2020, and passed the House on July 21, 
2020, by a vote of 295-125 (Roll Call No. 152). H.R. 5130 was 
included in the final version of the National Defense 
Authorization Act of 2021, (H.R. 6395).

        UNLOCKING OPPORTUNITIES FOR SMALL BUSINESSES ACT OF 2019

                               H.R. 5146

Summary

    H.R. 5146 amends the Small Business Act to require the 
Small Business Administration (SBA) to promulgate regulations 
requiring contracting officers to consider the past performance 
of a joint venture, when evaluating an offer on a prime 
contract presented by the small business joint venture member. 
The small business concern must specify its own duties and 
responsibilities independent of its joint venture partner. 
Similarly, H.R. 5146 requires the SBA to promulgate regulations 
requiring contracting officers to accept past performance 
information provided by a prime contractor regarding its small 
business subcontractor, when evaluating an offer on a prime 
contract presented by the small business concern.

Legislative History

    H.R. 5146 was introduced on November 18, 2019, by 
Representative Jim Hagedorn (R-MN) and Representative Dwight 
Evans (D-PA). H.R. 5146 was reported by the House Committee on 
Small Business on December 19, 2019 and passed the House on 
January 8, 2020, under Suspension of the Rules by voice vote. 
H.R. 5146 was also included in H.R. 6395, the William M. (Mac) 
Thornberry National Defense Authorization Act for Fiscal Year 
2021. H.R. 6395 was reported, as amended, by the House 
Committee on Armed Services on July 9, 2020, and passed the 
House on July 21, 2020 by a vote of 295-125 (Roll Call No. 
152). H.R. 5146 was included in the final version of the 
National Defense Authorization Act of 2021, (H.R. 6395).

        NORTHERN MARIANA ISLANDS SMALL BUSINESS DEVELOPMENT ACT

                               H.R. 6021

Summary

    H.R. 6021 amends the Small Business Act to allow the 
Commonwealth of the Northern Mariana Islands to establish a 
lead Small Business Development Center (SBDC) on the islands 
and be eligible for funding. The bill requires the Small 
Business Development Center established in the Commonwealth of 
the Northern Mariana Islands to meet the same 50 percent match 
funding requirement met by Small Business Development Centers 
in other states and territories. However, the bill waives the 
requirement that the new Small Business Development Center be 
established at a higher education institution because the 
Commonwealth of the Northern Mariana Islands does not have a 
college or university to operate a Small Business Development 
Center on-campus. Lastly, this bill allows the Commonwealth of 
the Northern Mariana Islands to be eligible for funds through 
the Federal and State Technology (FAST) Partnership Program in 
order to increase the number of Small Business Innovation 
Research (SBIR) and Small Business Technical Transfer (STTR) 
applications.

Legislative History

    H.R. 6021 was introduced on February 28, 2020 by 
Representative Gregorio Sablan (D-MP) and Representative Aumua 
Amata Coleman Radewagen (R-AS). H.R. 6021 was ordered to be 
Reported by voice vote on March 11, 2020, and passed the House 
by voice vote under Suspension of the Rules on September 14, 
2020. H.R. 6021 was received by the Senate and referred to the 
Committee on Small Business and Entrepreneurship on September 
15, 2020. H.R. 6021 was also included in H.R. 6395, the William 
M. (Mac) Thornberry National Defense Authorization Act for 
Fiscal Year 2021. H.R. 6395 was reported, as amended, by the 
House Committee on Armed Services on July 9, 2020, and passed 
the House on July 21, 2020, by a vote of 295-125 (Roll Call No. 
152). On July 23, 2020 the Senate passed H.R. 6395 by a vote of 
86-14 (Record Vote Number: 140). H.R. 6021 was included in the 
final version of the National Defense Authorization Act of 
2021, (H.R. 6395).

   SMALL BUSINESS RELIEF FROM COMMUNICABLE DISEASE INDUCED ECONOMIC 
                          HARDSHIP ACT OF 2020

                               H.R. 6040

Summary

    H.R. 6040 amends the Small Business Act to expand the 
definition of a disaster for which the Small Business 
Administration (SBA) may provide disaster loans to small 
business concerns to include communicable diseases for which 
the government issues a travel alert or travel warning, and it 
authorizes the SBA to make interest free disaster loans to 
small businesses affected by a disaster for which the 
government issues a public health emergency.

Legislative History

    H.R. 6040 was introduced on February 28, 2020 by Chairwoman 
Nydia M. Velzquez (D-NY), Representative Judy Chu (D-CA), 
Representative Grace Meng (D-NY), and Representative Antonio 
Delgado (D-NY). A similar provision was included in H.R. 6074, 
the Coronavirus Preparedness and Response Supplemental 
Appropriations Act in Title II. H.R. 6074 passed the House 
under Suspension of the Rules by a vote of 415-2 (Roll Call No. 
86), passed the Senate by a vote of 96-1 (Record Vote No. 66), 
and signed by the President on March 6, 2020 becoming Pub. Law. 
No. 116-123.

         MICROLOAN TRANSPARENCY AND ACCOUNTABILITY ACT OF 2020

                               H.R. 6078

Summary

    H.R. 6078 amends the Small Business Act to make rural-based 
intermediaries eligible to receive a bonus technical assistance 
grant and expands Small Business Administration (SBA) reporting 
on key Microloan performance metrics, including the number, 
amount, and percentage of such loans that defaulted in the 
previous year; the extent to which Microloans are provided to 
small businesses in rural areas; and the average loan size, 
interest rate, fees charged for each Microloan. Specifically, 
H.R. 6078 provides a 5 percent technical assistance grant for 
intermediaries who make at least 25 percent of their loans to 
rural small businesses.

Legislative History

    H.R. 6078 was introduced on March 4, 2020 by 
Representatives Tim Burchett (R-TN) and Andy Kim (D-NJ). H.R. 
6078 was ordered to be reported by voice vote by the House 
Committee on Small Business on March 11, 2020, and passed the 
House, as amended, on September 14, 2020 under Suspension of 
the Rules by voice vote. H.R. 6078 was received in the Senate 
and read twice and referred to the Committee on Small Business 
and Entrepreneurship on September 15, 2020.

                   MICROLOAN IMPROVEMENT ACT OF 2020

                               H.R. 6079

Summary

    H.R. 6079 amends the Small Business Act to make numerous 
program changes that enhance the ability of Microloan 
Intermediaries to provide affordable capital and technical 
assistance to existing microbusinesses and aspiring 
entrepreneurs. Among other provisions, H.R. 6079 eliminates the 
1/55 rule, which has restricted the ability of high-volume 
intermediaries to meet demand in their respective states; 
lowers interest rates for eligible intermediaries; and extends 
repayment terms to seven years for Microloans of $10,000 or 
less and to ten years for Microloans greater than $10,000.

Legislative History

    H.R. 6079 was introduced on March 4, 2020 by 
Representatives Andy Kim (D-NJ) and Tim Burchett (R-TN). H.R. 
6079 was ordered to be reported by voice vote by the House 
Committee on Small Business on March 11, 2020 and passed by the 
House on September 14, 2020 under Suspension of the Rules by 
voice vote. H.R. 6079 was received in the Senate and read twice 
and referred to the Committee on Small Business and 
Entrepreneurship on September 15, 2020.

                      STEP IMPROVEMENT ACT OF 2020

                               H.R. 6133

Summary

    H.R. 6133 reauthorizes the State Trade Expansion Program 
(STEP) for four fiscal years, FY 2021 through FY 2024, and 
makes improvements to the program. Specifically, H.R. 6133 
mandates the creation of a standardized application process, 
increases grant spending flexibility, improves communication 
between the Small Business Administration and States. The bill 
also requires the collection of performance metrics and an 
annual report to Congress.

Legislative History

    H.R. 6133 was introduced on March 4, 2020, by 
Representative Abby Finkenauer (D-IA) and Representative Ross 
Spano (R-FL). H.R. 6133 was ordered to be reported by voice 
vote by the House Committee on Small Business on March 11, 2020 
and passed the House by voice vote under Suspension of the 
Rules on September 14, 2020. H.R. 6133 was received in the 
Senate and read twice and referred to the Committee on Small 
Business and Entrepreneurship on September 15, 2020.

               MICROLOAN EMERGENCY ASSISTANCE ACT OF 2020

                               H.R. 6291

Summary

    H.R. 6291 expands the Microloan Program of the Small 
Business Administration (SBA). Specifically, the bill increases 
the amount of funds available to an individual loan 
intermediary (i.e., a recipient of SBA direct loans that, in 
turn, makes microloans to startups and newly established or 
growing small businesses). The bill also makes eligible for 
certain technical assistance grants an intermediary that, among 
other requirements, provides at least 25% of its loans to small 
businesses in an economically distressed area.
    In addition, the bill temporarily (1) extends repayment 
terms for microloans, and (2) authorizes the SBA to provide 
increased amounts for both technical assistance grants and 
direct loans. The bill also requires the SBA to temporarily 
waive (1) the requirement that an intermediary contribute non-
federal funds as a condition of receiving a technical 
assistance grant, and (2) the limitation on amounts allowed to 
be expended to provide certain information and technical 
assistance.

Legislative History

    H.R. 6291 was introduced on March 19, 2020 by 
Representative Andy Kim (D-NJ). A similar provision was 
included in H.R. 925, as amended, the Heroes Act as Section 605 
of Division E. H.R. 925, as amended passed the House under 
Suspension of the Rules by a vote of 214-207 (Roll Call No. 
214) on October 1, 2020. A similar provision was included in 
H.R. 133, as amended, the Consolidated Appropriations Act, 2021 
as Section 329 of Title III of Division N. H.R. 133, as amended 
passed the House on December 21, 2020 by a vote of 327-85 (Roll 
Call No. 250) and a vote of 359-53 (Roll Call No. 251), passed 
by the Senate by a vote of 92-60 (Record Vote No. 289), and 
signed by the President on December 27, 2020.

                SBA REACHING ALL COMMUNITIES ACT OF 2020

                               H.R. 6301

Summary

    H.R. 6301 amends the Small Business Act to require the 
Small Business Administration to provide resources and services 
to small businesses in the 10 most commonly spoken languages, 
other than English, in the United States. This shall include 
Mandarin, Cantonese, Japanese, and Korean.

Legislative History

    H.R. 6301 was introduced on March 19, 2020 by 
Representative Judy Chu (D-CA). A similar provision was 
included in H.R. 748, the Coronavirus Aid, Relief, and Economic 
Security Act or the CARES Act as Section 1111. H.R. 748, as 
amended passed the Senate by a vote of 96-0 (Record Vote No. 
80) on March 25, 2020, passed the House with the Senate 
amendment under Suspension of the Rules by voice vote on March 
27, 2020, and signed by the President on March 27, 2020 
becoming Pub. Law. No. 116-136.

                INCREASING ACCESS TO CAPITAL ACT OF 2020

                               H.R. 6303

Summary

    H.R. 6303 requires the Small Business Administration (SBA) 
to temporarily waive, or reduce to the maximum extent possible, 
certain fees on SBA loans. The bill also temporarily increases 
the guarantee amount and loan size for certain SBA loans, 
including express loans, and it permanently waives the 
guarantee fee on SBA loans for veterans.

Legislative History

    H.R. 6303 was introduced on March 19, 2020 by 
Representative Jason Crow (D-CO). A similar provision was 
included in H.R. 925, as amended, the Heroes Act in Title VI of 
Division E.
    H.R. 925, as amended passed the House under Suspension of 
the Rules by a vote of 214-207 (Roll Call No. 214) on October 
1, 2020. A similar provision was included in H.R. 133, as 
amended, the Consolidated Appropriations Act, 2021 as Section 
326, 327, and 328 of Title III of Division N.
    H.R. 133, as amended passed the House on December 21, 2020 
by a vote of 327-85 (Roll Call No. 250) and a vote of 359-53 
(Roll Call No. 251), passed by the Senate by a vote of 92-60 
(Record Vote No. 289), and signed by the President on December 
27, 2020.

              SMALL BUSINESS REPAYMENT RELIEF ACT OF 2020

                               H.R. 6304

                                SUMMARY

    H.R. 6304 amends the Small Business Act to require the 
Small Business Administration (SBA) to pay the principal, 
interest, and any associated fees owed on certain loans made to 
small businesses for a six-month period. The SBA must also 
encourage the Federal Deposit Insurance Corporation, the Office 
of the Comptroller of the Currency, and state bank regulators 
to not require lenders to increase their reserves on account of 
receiving such payments made by the SBA. The SBA shall waive 
statutory limits on maximum loan maturities for certain loan 
durations where the lender provides a deferral and extends the 
maturity of such loans and, when necessary to provide more time 
because of difficulties during the COVID-19 (i.e., coronavirus 
disease 2019) pandemic, extend lender site visit requirements.

Legislative History

    H.R. 6304 was introduced on March 19, 2020 by 
Representative Antonio Delgado (D-NY). A similar provision was 
included in H.R. 748, the Coronavirus Aid, Relief, and Economic 
Security Act or the CARES Act as Section 1112. H.R. 748, as 
amended passed the Senate by a vote of 96-0 (Record Vote No. 
80) on March 25, 2020, passed the House with the Senate 
amendment under Suspension of the Rules by voice vote on March 
27, 2020, and signed by the President on March 27, 2020 
becoming Pub. Law. No. 116-136.

          SMALL BUSINESS COVID-19 RECOVERY GRANTS ACT OF 2020

                               H.R. 6343

Summary

    H.R. 6343 amends the Small Business Act to require the 
Small Business Administration to provide grants to small 
businesses that have suffered substantial economic injury as a 
result of COVID-19 (i.e., coronavirus disease 2019). Such 
grants may not exceed a specified amount and may be used to 
address direct effects of COVID-19, including (1) providing 
paid sick leave to employees, (2) maintaining payroll, and (3) 
meeting increased supply chain costs.

Legislative History

    H.R. 6343 was introduced on March 23, 2020 by 
Representative Adriano Espaillat (D-NY). A similar provision 
was included in H.R. 925, as amended, the Heroes Act as Section 
405 of Division E. H.R. 925, as amended passed the House under 
Suspension of the Rules by a vote of 214-207 (Roll Call No. 
214) on October 1, 2020. A similar provision was included in 
H.R. 133, as amended, the Consolidated Appropriations Act, 2021 
as Sections 331 and 332 of Title III of Division N. H.R. 133, 
as amended passed the House on December 21, 2020 by a vote of 
327-85 (Roll Call No. 250) and a vote of 359-53 (Roll Call No. 
251), passed by the Senate by a vote of 92-60 (Record Vote No. 
289), and signed by the President on December 27, 2020.

                EXPEDITING THE EIDL PROGRAM ACT OF 2020

                               H.R. 6344


Summary

    H.R. 6344 amends the Small Business Act to modify the 
disbursement of economic injury disaster loans by the Small 
Business Administration (SBA) with respect to such loans made 
in response to COVID-19 (i.e., coronavirus disease 2019). 
Specifically, the bill authorizes the SBA to increase the 
amount of a disaster loan to a small business by 20% to cover 
costs related to continuity of operations and risk mitigation 
improvements. The bill also authorizes the SBA to make such 
loans to startups and to waive rules related to affiliation, 
and it requires the SBA to waive the personal guarantee 
requirement on such loans made to cooperatives.
    In addition, an applicant for a disaster loan may request 
an advance on such loan up to a specified amount, and they 
shall not be required to repay any amount of an advance if they 
are subsequently denied a disaster loan. The bill also 
authorizes the SBA to approve an applicant for a disaster loan 
that is below a certain amount based solely on the applicant's 
credit score and to use alternative methods to determine such 
applicant's ability to repay. Further, the bill establishes a 
maximum interest rate on a disaster loan based on an 
applicant's ability to obtain credit elsewhere, and it expands 
the qualifying events for which a disaster loan may be awarded 
to include emergencies involving federal primary 
responsibility.

Legislative History

    H.R. 6344 was introduced on March 23, 2020 by 
Representative Dwight Evans (D-PA). A similar provision was 
included in H.R. 748, the Coronavirus Aid, Relief, and Economic 
Security Act or the CARES Act as Section 1110. H.R. 748, as 
amended passed the Senate by a vote of 96-0 (Record Vote No. 
80) on March 25, 2020, passed the House with the Senate 
amendment under Suspension of the Rules by voice vote on March 
27, 2020, and signed by the President on March 27, 2020 
becoming Pub. Law. No. 116-136.

                     STEP REIMBURSEMENT ACT OF 2020

                               H.R. 6345

Summary

    H.R. 6345 amends the Small Business Act to require the 
Small Business Administration to reimburse any recipient of a 
grant under the State Trade Expansion Program for financial 
losses relating to a foreign trade mission or a trade show 
exhibition that was cancelled due to COVID-19 (i.e., the 
coronavirus disease 2019). In addition, the bill authorizes a 
state that receives a grant under the program to revise their 
budget plan under certain circumstances.

Legislative History

    H.R. 6345 was introduced on March 23, 2020 by 
Representative Abby Finkenauer (D-IA). A similar provision was 
included in H.R. 748, the Coronavirus Aid, Relief, and Economic 
Security Act or the CARES Act as Section 1104. H.R. 748, as 
amended passed the Senate by a vote of 96-0 (Record Vote No. 
80) on March 25, 2020, passed the House with the Senate 
amendment under Suspension of the Rules by voice vote on March 
27, 2020, and signed by the President on March 27, 2020 
becoming Pub. Law. No. 116-136.

         CONTINUITY OF BUSINESS OPERATIONS SUPPORT ACT OF 2020

                               H.R. 6349

Summary

    H.R. 6349 amends the Small Business Act to require the 
Small Business Administration (SBA) to provide grants to small 
business development centers, women's business centers, and 
chapters of the Service Corps of Retired Executives to educate 
and advise small businesses on specified matters related to 
COVID-19 (i.e., coronavirus disease 2019). The SBA must 
establish goals and metrics for the use of such funds awarded 
to small business development centers, which shall (1) consider 
the extent of the circumstances relating to the spread of 
COVID-19 that affect small businesses served by grant 
recipients, (2) ensure grant recipients have the flexibility to 
respond to unique situations, and (3) encourage grant 
recipients to develop and provide services to small businesses 
in areas substantially affected by COVID-19.

Legislative History

    H.R. 6349 was introduced on March 23, 2020 by 
Representative Jared Golden (D-NE). A similar provision was 
included in H.R. 748, the Coronavirus Aid, Relief, and Economic 
Security Act or the CARES Act as Section 1103. H.R. 748, as 
amended passed the Senate by a vote of 96-0 (Record Vote No. 
80) on March 25, 2020, passed the House with the Senate 
amendment under Suspension of the Rules by voice vote on March 
27, 2020, and signed by the President on March 27, 2020 
becoming Pub. Law. No. 116-136.

       ENTREPRENEURIAL DEVELOPMENT COVID-19 RESPONSE ACT OF 2020

                               H.R. 6367

Summary

    H.R. 6367 amends the Small Business Act to require the 
Small Business Administration to award grants for small 
business development centers, women's business centers, and 
chapters of the Service Corps of Retired Executives to provide 
small businesses with specified assistance related to COVID-19 
(i.e., coronavirus disease 2019).

Legislative History

    H.R. 6344 was introduced on March 23, 2020 by 
Representative Bradley Schneider (D-IL). A similar provision 
was included in H.R. 748, the Coronavirus Aid, Relief, and 
Economic Security Act or the CARES Act as Section 1105. H.R. 
748, as amended passed the Senate by a vote of 96-0 (Record 
Vote No. 80) on March 25, 2020, passed the House with the 
Senate amendment under Suspension of the Rules by voice vote on 
March 27, 2020, and signed by the President on March 27, 2020 
becoming Pub. Law. No. 116-136.

                INCREASING ACCESS TO CAPITAL ACT OF 2020

                               H.R. 6697

Summary

    H.R. 6697 modifies the Paycheck Protection Program 
implemented by the Small Business Administration in response to 
COVID-19 (i.e., coronavirus disease 2019) to include certain 
entities and exclude certain individuals. Specifically, the 
bill expands the program to encompass organizations with 300 or 
fewer employees that (1) operate under section 501(c)(6) of the 
Internal Revenue Code (other than a professional football 
league), or (2) are a destination marketing organization 
engaged in promoting communities and facilities to businesses 
and leisure travelers. The bill also narrows the definition of 
payroll costs under the program to exclude any compensation of 
an employee who is a registered lobbyist from the calculation 
for loan amounts or for allowable uses of funds provided under 
the program.

Legislative History

    H.R. 6697 was introduced on May 5, 2020 by Representative 
Chris Pappas (D-NH), Representative Gilbert Cisneros (D-CA), 
Representative Brian Fitzpatrick (R-PA), and Representative 
Gregory Steube (R-FL). A similar provision was included in H.R. 
925, as amended, the Heroes Act in Section 204 of Division E. 
H.R. 925, as amended passed the House under Suspension of the 
Rules by a vote of 214-207 (Roll Call No. 214) on October 1, 
2020. A similar provision was included in H.R. 133, as amended, 
the Consolidated Appropriations Act, 2021 as Section 318 of 
Title III of Division N. H.R. 133, as amended passed the House 
on December 21, 2020 by a vote of 327-85 (Roll Call No. 250) 
and a vote of 359-53 (Roll Call No. 251), passed by the Senate 
by a vote of 92-60 (Record Vote No. 289), and signed by the 
President on December 27, 2020.

  TO AMEND THE SMALL BUSINESS ACT TO INCLUDE CERTAIN CRITICAL ACCESS 
  HOSPITALS IN THE PAYCHECK PROTECTION PROGRAM, AND FOR OTHER PURPOSES

                               H.R. 6716

Summary

    H.R. 6716 expands the Paycheck Protection Program, 
established to support small businesses in response to COVID-19 
(i.e., coronavirus disease 2019), to encompass critical access 
hospitals. A critical access hospital is a hospital that, among 
other things, is located in a rural area, furnishes 24-7 
emergency services, and has 25 or fewer inpatient beds.

Legislative History

    H.R. 6716 was introduced on May 5, 2020 by Representative 
Jared Golden (D-ME). A similar provision was included in H.R. 
925, as amended, the Heroes Act in Section 204 of Division E. 
H.R. 925, as amended passed the House under Suspension of the 
Rules by a vote of 214-207 (Roll Call No. 214) on October 1, 
2020.

   SMALL BUSINESS TRANSPARENCY AND REPORTING FOR THE UNDERBANKED AND 
                 TAXPAYERS AT HOME ACT OR THE TRUTH ACT

                               H.R. 6782

Summary

    H.R. 6782 requires the Small Business Administration (SBA) 
to make information regarding economic relief measures 
implemented in response to COVID-19 (i.e., coronavirus disease 
2019) publicly available. Specifically, with respect to the 
Paycheck Protection Program and economic injury disaster loans 
and emergency grants, the SBA must publish (1) the identity of 
each recipient of assistance and an explanation of the 
decision-making process underlying such disbursal; (2) the 
number of employees of each recipient and the date on which 
such assistance was disbursed; (3) an identification of each 
lender or intermediary through which assistance was disbursed; 
and (4) the amount of assistance disbursed to small businesses 
owned and controlled by socially and economically disadvantaged 
individuals, women, and veterans.

Legislative

    History H.R. 6782 was introduced on May 8, 2020 by 
Representative Dean Phillips (D-MN), Representative J. Luis 
Correa (D-CA), Representative Janice Schakowsky (D-IL), 
Representative Lucille Roybal-Allard (D-CA), Representative Tom 
Malinowski (K-NJ), Representative Abigail Spanberger (D-VA), 
Representative Josh Gottheimer (D-NJ), Representative John 
Garamendi (D-CA), Representative Gregorio Sablan (D-MP), 
Representative Betty McCollum (D-MN), and Representative Debra 
Haaland (D-NM). H.R. 6782 failed the House on May 28, 2020 
under Suspension of the Rules by a vote of 269-147 (Roll Call 
No. 113).

               FAIR CHANCE FOR SMALL BUSINESS RELIEF ACT

                               H.R. 6894

Summary

    H.R. 6894 prohibits the Small Business Administration from 
declining to provide or guarantee certain small business loans 
solely on the basis that an applicant (1) is on probation or 
parole, (2) is presently subject to a means by which formal 
criminal charges are brought (e.g., indictment or arraignment), 
or (3) has been arrested or convicted of any crime.

Legislative History

    H.R. 6894 was introduced on May 15, 2020 by Representative 
Joyce Beatty (D-OH). A similar provision was included in H.R. 
925, as amended, the Heroes Act as Section 218 of Division E. 
H.R. 925, as amended passed the House under Suspension of the 
Rules by a vote of 214-207 (Roll Call No. 214) on October 1, 
2020.

            LOCAL NEWS AND EMERGENCY INFORMATION ACT OF 2020

                               H.R. 6897

Summary

    H.R. 6897 expands the Paycheck Protection Program, 
established to support small businesses in response to COVID-19 
(i.e., coronavirus disease 2019), to include certain newspaper 
publishers, radio stations, and television broadcasters. 
Specifically, such a media purveyor is eligible to receive a 
paycheck protection loan if (1) the individual physical 
location that applies for the loan does not exceed Small 
Business Administration size standards (up to 1,000 employees 
for newspaper publishers and $41.5 million in gross receipts 
for radio and television broadcasters); and (2) the proceeds of 
the loan are used to support the continued provision of local 
news, information, content, or emergency information. Such a 
recipient may not remit any portion of a paycheck protection 
loan to any entity other than the individual physical location 
that is the loan's intended recipient.

Legislative History

    H.R. 6897 was introduced on May 15, 2020 by Representative 
David Cicilline (D-RI) and Representative James Sensenbrenner 
(R-WI). A similar provision was included in H.R. 925, as 
amended, the Heroes Act as Section 204 of Division E. H.R. 925, 
as amended passed the House under Suspension of the Rules by a 
vote of 214-207 (Roll Call No. 214) on October 1, 2020. A 
similar provision was included in H.R. 133, as amended, the 
Consolidated Appropriations Act, 2021 as Section 317 of Title 
III of Division N. H.R. 133, as amended passed the House on 
December 21, 2020 by a vote of 327-85 (Roll Call No. 250) and a 
vote of 359-53 (Roll Call No. 251), passed by the Senate by a 
vote of 92-60 (Record Vote No. 289), and signed by the 
President on December 27, 2020.

                       RELIEF FOR MAIN STREET ACT

                               H.R. 6907

Summary

    H.R. 6907 establishes for one year the Small Business Local 
Relief Program, which shall allocate resources to states, local 
governments, and Native American tribes for providing 
assistance to certain small businesses and nonprofits that have 
lost revenue due to COVID-19 (i.e., coronavirus disease 2019). 
Specifically, the bill provides $50.5 billion for such 
assistance, of which (1) $35 billion shall be distributed based 
on the Community Development Block Grant formula (70% allocated 
to larger cities and counties and 30% to rural communities), 
(2) $15 billion shall be allocated to provide financing 
exclusively to businesses in rural areas, and (3) $500 million 
shall be for Native American Tribes.
    These amounts shall be used to start or scale a local small 
business emergency fund or to support organizations that 
provide technical assistance to small businesses or nonprofits. 
Such local funds or organizations may then use the amounts to 
assist small businesses (including sole proprietorships, 
independent contractors, and self-employed individuals) and 
nonprofits that (1) employ no more than 20 full-time employees 
(50 if the recipient is located in a low-income community), (2) 
has experienced a loss of revenue because of COVID-19, and (3) 
satisfies any additional requirements imposed by the 
administrator of the fund. A state, local government, or Native 
American tribe that receives funds under the bill must report 
specified demographic and disbursement information.

Legislative History

    H.R. 6907 was introduced on May 15, 2020 by Daniel Kildee 
(D-MI) and Representative Brian Fitzpatrick (R-PA). A similar 
provision was included in H.R. 925, as amended, the Heroes Act 
as Section 618 of Division E. H.R. 925, as amended passed the 
House under Suspension of the Rules by a vote of 214-207 (Roll 
Call No. 214) on October 1, 2020.

                                PPE ACT

                               H.R. 6973

Summary

    H.R. 6973 modifies allowable and forgivable uses of amounts 
received under the Paycheck Protection Program, established to 
support small businesses in response to COVID-19 (i.e., 
coronavirus disease 2019), to encompass costs related to the 
provision of personal protective equipment or other equipment 
or supplies necessary to protect the health and safety of 
employees. The bill also prohibits the Small Business 
Administration from limiting the non-payroll portion of a 
forgivable loan amount.

Legislative History

    H.R. 6973 was introduced on May 22, 2020 by Representative 
Abby Finkenauer (D-IA) and Representative Aumua Amata Coleman 
Radewagen (R-AS). A similar provision was included in H.R. 925, 
as amended, the Heroes Act in Section 206 of Division E. H.R. 
925, as amended passed the House under Suspension of the Rules 
by a vote of 214-207 (Roll Call No. 214) on October 1, 2020. A 
similar provision was included in H.R. 133, as amended, the 
Consolidated Appropriations Act, 2021 as Section 304 of Title 
III of Division N. H.R. 133, as amended passed the House on 
December 21, 2020 by a vote of 327-85 (Roll Call No. 250) and a 
vote of 359-53 (Roll Call No. 251), passed by the Senate by a 
vote of 92-60 (Record Vote No. 289), and signed by the 
President on December 27, 2020.

          PAYCHECK PROTECTION PROGRAM FLEXIBILITY ACT OF 2020

                               H.R. 7010

Summary

    H.R. 7010 modifies provisions related to the forgiveness of 
loans made to small businesses under the Paycheck Protection 
Program implemented in response to COVID-19 (i.e., coronavirus 
disease 2019). Specifically, the bill establishes a minimum 
maturity of five years for a paycheck protection loan with a 
remaining balance after forgiveness. The bill also extends the 
covered period during which a loan recipient may use such funds 
for certain expenses while remaining eligible for forgiveness. 
The bill raises the non-payroll portion of a forgivable covered 
loan amount from the current 25% up to 40%.
    The bill extends the period in which an employer may rehire 
or eliminate a reduction in employment, salary, or wages that 
would otherwise reduce the forgivable amount of a paycheck 
protection loan. However, the forgivable amount must be 
determined without regard to a reduction in the number of 
employees if the recipient is (1) unable to rehire former 
employees and is unable to to hire similarly qualified 
employees, or (2) unable to return to the same level of 
business activity due to compliance with federal requirements 
or guidance related to COVID-19.
    Additionally, the bill revises the deferral period for 
paycheck protection loans, allowing recipients to defer 
payments until they receive compensation for forgiven amounts. 
Recipients who do not apply for forgiveness shall have 10 
months from the program's expiration to begin making payments. 
The bill also eliminates a provision that makes a paycheck 
protection loan recipient who has such indebtedness forgiven 
ineligible to defer payroll tax payments. Lastly, the bill is 
designated as an emergency requirement pursuant to the 
Statutory Pay-As-You-Go Act of 2010 (PAYGO) and the Senate 
PAYGO rule.

Legislative History

    H.R. 7010 was introduced on May 26, 2020 by Representative 
Dean Phillips (D-MN) and Representative Chip Roy (R-TX). H.R. 
7010 passed the House under Suspension of the Rules by a vote 
of 417 1 (Roll Call No. 114), passed the Senate by voice vote, 
and was signed into law on June 5, 2020 (Pub. Law No. 116-142).

                                 P4 ACT

                               H.R. 7241

Summary

    H.R. 7241 authorizes new lending under the Paycheck 
Protection Program, established to support small businesses in 
response to COVID-19 (i.e., coronavirus disease 2019), for 
specified small businesses that have experienced a significant 
loss in revenue. Specifically, the bill authorizes one 
supplemental paycheck protection loan for a small business that 
(1) has no more than 100 employees, (2) operates under a sole 
proprietorship or as an independent contractor, or (3) is self-
employed. To be eligible for a supplemental paycheck protection 
loan, such small business must demonstrate a loss of revenue of 
50% or more and have either already expended an initial 
paycheck protection loan or be on pace to exhaust such loan 
prior to disbursal of the supplemental loan.
    The bill also extends the application deadline for an 
initial paycheck protection loan to December 31, 2020, and it 
authorizes loan recipients to apply for forgiveness as early as 
eight weeks after the loan's disbursal. The Small Business 
Administration must (1) issue guidance instructing lenders of 
paycheck protection loans to prioritize loan processing for and 
disbursement to underserved businesses, (2) update the loan 
application for paycheck protection loans to collect borrowers' 
demographic information, and (3) publish specified program 
information on its website.

Legislative History

    H.R. 7241 was introduced on June 18, 2020 by Representative 
Angie Craig (D-MN) and Representative Antonio Delgado (D-NY). A 
similar provision was included in H.R. 925, as amended, the 
Heroes Act in Section 202 of Division E. H.R. 925, as amended 
passed the House under Suspension of the Rules by a vote of 
214-207 (Roll Call No. 214) on October 1, 2020. A similar 
provision was included in H.R. 133, as amended, the 
Consolidated Appropriations Act, 2021 as Section 311 of Title 
III of Division N. H.R. 133, as amended passed the House on 
December 21, 2020 by a vote of 327-85 (Roll Call No. 250) and a 
vote of 359-53 (Roll Call No. 251), passed by the Senate by a 
vote of 92-60 (Record Vote No. 289), and signed by the 
President on December 27, 2020.

     FEDERAL SMALL BUSINESS CONTRACTOR PROMPT PAYMENT REPORTING ACT

                               H.R. 7342

Summary

    H.R. 7342 amends the Small Business Act to require each 
federal agency to report to Congress on the timeliness, 
including acceleration, of payments made to a prime contractor 
that is a small business or that subcontracts with a small 
business.

Legislative History

    H.R. 7342 was introduced on June 25, 2020 by Representative 
Jason Crow (D-CO) and Representative Troy Balderson (R-OH). 
H.R. 7342 was included in H.R. 6395, the William M. (Mac) 
Thornberry National Defense Authorization Act for Fiscal Year 
2021. H.R. 6395 was reported, as amended, by the House 
Committee on Armed Services on June 9, 2020, and passed the 
House on July 21, 2020, by a vote of 295-125 (Roll Call No. 
152). H.R. 7342 was included in the final version of the 
National Defense Authorization Act of 2020, (H.R. 6395).

      PROTECTING SMALL BUSINESS CONTRACTING OPPORTUNITIES OF 2020

                               H.R. 7403

Summary

    H.R. 7403 exempts certain contracts awarded to small 
businesses from the procedural requirements of any federal rule 
or guidance on category management or contract consolidation 
and limits the inclusion of such contracts when measuring the 
attainment of any federal goal or benchmark for category 
management or contract consolidation. Such contracts are 
government contracts awarded pursuant to Small Business 
Administration programs that facilitate contracting with small 
businesses owned by socially and economically disadvantaged 
individuals or entities, women, or veterans, or are located in 
historically underutilized business zones.

Legislative History

    H.R. 7403 was introduced on June 29, 2020 by Representative 
Chrissy Houlahan (D-PA) and Representative John Joyce (R-PA). 
H.R. 7403 was included in H.R. 6395, the William M. (Mac) 
Thornberry National Defense Authorization Act for Fiscal Year 
2021. H.R. 6395 was reported, as amended, by the House 
Committee on Armed Services on June 9, 2020, and passed the 
House on July 21, 2020, by a vote of 295-125 (Roll Call No. 
152). H.R. 7342 was not included in the final version of the 
National Defense Authorization Act of 2020, (H.R. 6395).

            SMALL BUSINESS CATEGORY MANAGEMENT TRAINING ACT

                               H.R. 7533

Summary

    H.R. 7533 requires the Small Business Administration to 
develop a training curriculum on category management, including 
best practices for purchasing goods and services from small 
businesses, for the staff of federal agencies with procurement 
or acquisition responsibilities. Category management is a 
federal government approach to procurement and acquisition that 
aims to (1) deliver more savings, value, and efficiency for 
federal agencies; (2) eliminate contract redundancies; and (3) 
meet federal small business contracting and procurement goals.

Legislative History

    H.R. 7533 was introduced on July 9, 2020 by Representative 
John Joyce (R-PA). H.R. 7533 was included in H.R. 6395, the 
William M. (Mac) Thornberry National Defense Authorization Act 
for Fiscal Year 2021. H.R. 6395 was reported, as amended, by 
the House Committee on Armed Services on June 9, 2020, and 
passed the House on July 21, 2020, by a vote of 295-125 (Roll 
Call No. 152). H.R. 7342 was included in the final version of 
the National Defense Authorization Act of 2020, (H.R. 6395).

 TO TEMPORARILY EXTEND PARTICIPATION IN THE 8(A) PROGRAM OF THE SMALL 
            BUSINESS ADMINISTRATION, AND FOR OTHER PURPOSES.

                               H.R. 7586

Summary

    H.R. 7586 amends the Small Business Act to require the 
Small Business Administration to allow any small business 
participating in its 8(a) Business Development program to 
extend participation by a period of one year. The 8(a) Business 
Development program limits competition for certain government 
contracts to small businesses that participate in the program.

Legislative History

    H.R. 7586 was introduced on July 13, 2020 by Representative 
Dwight Evans (D-PA) and Representative Ross Spano (R-PA). H.R. 
7586 was included in H.R. 925, the Heroes Act. H.R. 925 passed 
the House on a motion to concur in the Senate amendments with 
an amendment agreed to by a vote of 214-207 (Roll Call No. 
214). H.R. 7586 was included in H.R. 6395, the William M. (Mac) 
Thornberry National Defense Authorization Act for Fiscal Year 
2021. H.R. 6395 was reported, as amended, by the House 
Committee on Armed Services on June 9, 2020, and passed the 
House on July 21, 2020, by a vote of 295-125 (Roll Call No. 
152). H.R. 7342 was included in the final version of the 
National Defense Authorization Act of 2020, (H.R. 6395). A 
similar provision was included in H.R. 133, as amended, the 
Consolidated Appropriations Act, 2021 as Section 330 of Title 
III of Division N. H.R. 133, as amended passed the House on 
December 21, 2020 by a vote of 327-85 (Roll Call No. 250) and a 
vote of 359-53 (Roll Call No. 251), passed by the Senate by a 
vote of 92-60 (Record Vote No. 289), and signed by the 
President on December 27, 2020.

           PAYCHECK PROTECTION SMALL BUSINESS FORGIVENESS ACT

                               H.R. 7777

Summary

    H.R. 7777 modifies loan forgiveness under the Paycheck 
Protection Program established to support small businesses in 
response to COVID-19 (i.e., coronavirus disease 2019). 
Specifically, the bill provides for automatic forgiveness of a 
paycheck protection loan that is not more than $150,000 if the 
recipient submits a one-page form. Such form must allow a 
recipient to submit specified demographic and expenditure 
information, and certain individuals (e.g., the President, the 
Vice President, or the head of an executive department) are not 
eligible for such forgiveness. Further, the bill prohibits any 
enforcement or other action against a lender relating to loan 
origination, forgiveness, or guarantee based on the lender's 
reliance on certifications or documentation submitted by a loan 
applicant or recipient.

Legislative History

    H.R. 7777 was introduced on July 24, 2020 by Representative 
Chrissy Houlahan (D-PA) and Representative Fred Upton (R-MI). A 
similar provision was included in H.R. 925, as amended, the 
Heroes Act in Section 201 of Division E. H.R. 925, as amended 
passed the House under Suspension of the Rules by a vote of 
214-207 (Roll Call No. 214) on October 1, 2020. A similar 
provision was included in H.R. 133, as amended, the 
Consolidated Appropriations Act, 2021 as Section 307 of Title 
III of Division N. H.R. 133, as amended passed the House on 
December 21, 2020 by a vote of 327-85 (Roll Call No. 250) and a 
vote of 359-53 (Roll Call No. 251), passed by the Senate by a 
vote of 92-60 (Record Vote No. 289), and signed by the 
President on December 27, 2020.

                     SAVE OUR STAGES ACT OR SOS ACT

                               H.R. 7806

Summary

    H.R. 7806 authorizes the Small Business Administration 
(SBA) to make grants to eligible live venue operators, 
producers, promoters, or talent representatives to address the 
economic effects of the COVID-19 (i.e., coronavirus disease 
2019) pandemic on certain live venues. Specifically, the SBA 
may make (1) an initial grant of up to $12 million dollars to 
an eligible operator, promoter, producer, or talent 
representative; and (2) a supplemental grant that is equal to 
50% of the initial grant. An initial grant must be used for 
costs incurred between March 1, 2020, and December 31, 2020, 
but a supplemental grant may be used for expenses incurred 
through June 30, 2021. Such grants shall be used for specified 
expenses such as payroll costs, rent, utilities, and personal 
protective equipment.

Legislative History

    H.R. 7806 was introduced on July 27, 2020 by Representative 
Peter Welch (D-VT) and Representative Roger Williams (R-TX). A 
similar provision was included in H.R. 925, as amended, the 
Heroes Act as Section 619 of Division E. H.R. 925, as amended 
passed the House under Suspension of the Rules by a vote of 
214-207 (Roll Call No. 214) on October 1, 2020. A similar 
provision was included in H.R. 133, as amended, the 
Consolidated Appropriations Act, 2021 as Section 324 of Title 
III of Division N. H.R. 133, as amended passed the House on 
December 21, 2020 by a vote of 327-85 (Roll Call No. 250) and a 
vote of 359-53 (Roll Call No. 251), passed by the Senate by a 
vote of 92-60 (Record Vote No. 289), and signed by the 
President on December 27, 2020.

   TO ESTABLISH THE COMMUNITY ADVANTAGE LOAN PROGRAM, AND FOR OTHER 
                                PURPOSES

                               H.R. 7903

    Summary H.R. 7903 amends the Small Business Act to 
statutorily authorize the Small Business Administration's (SBA) 
Community Advantage Loan Program for five years (FY2021-
FY2025). To expedite lending for seasoned Community Advantage 
lenders, the bill also extends delegated lending authority to 
Community Advantage lenders who have made at least seven 
Community Advantage loans, and requires SBA to issue rules 
allowing Community Advantage lenders in good standing with SBA 
to maintain a three percent loan loss reserve ratio. To promote 
healthy dialogue between program participants and SBA, the bill 
also establishes a Community Advantage Working Group to develop 
ongoing recommendations for SBA to effectively manage, support, 
and promote the Community Advantage program, and establish 
metrics to evaluate the program's impact on expanding access to 
capital to underserved small businesses.

Legislative History

    H.R. 7903 was introduced on July 31, 2020, by 
Representative Judy Chu (D-CA). An amendment offered by Rep. 
Jason Crow (D-CO) was agreed to by voice vote. An amendment 
offered by Representative Ross Spano (R-FL) was agreed to by 
voice vote. H.R. 7903 was ordered to be reported, as amended, 
by the House Committee on Small Business on September 16, 2020 
by voice vote. H.R. 7903 passed the House by voice vote under 
Suspension of the Rules on December 3, 2020.

           504 CREDIT RISK MANAGEMENT IMPROVEMENT ACT OF 2020

                               H.R. 8199

Summary

    H.R. 8199 amends the Small Business Investment Act to shift 
loan closing file review responsibilities to the Small Business 
Administration's (SBA) Office of Credit Risk Management (OCRM), 
and allows SBA to charge Certified Development Companies (CDCs) 
a fee to cover the cost of oversight, which becomes effective 
one year after enactment. H.R. 8199 also clarifies OCRM's 
duties, as well as the enforcement actions OCRM may take 
against a CDC, which are aligned with those enacted under the 
7(a) Oversight Act of 2018. H.R. 8199 also directs SBA to issue 
rules for CDC compliance with the National Environmental Policy 
Act of 1969.

Legislative History

    H.R. 8199 was introduced on September 11, 2020, by 
Representative Dan Bishop (R-NC) and Representative Angie Craig 
(D-MN). H.R. 8199 ordered to be reported by the House Committee 
on Small Business on September 16, 2020 by voice vote. H.R. 
8199 passed the House by voice vote under Suspension of the 
Rules on December 3, 2020.

          504 MODERNIZATION AND SMALL MANUFACTURER ACT OF 2020

                               H.R. 8211

Summary

    H.R. 8211 amends the Small Business Investment Act to 
increase the maximum loan amount for manufacturing loans from 
$5.5 million to $6.5 million and require Small Business 
Administration (SBA) District Offices to partner with SBA 
Resource Partners to provide entrepreneurial development 
assistance to small manufacturers. To make 504 loans more 
affordable for small manufacturers, the bill also provides 
decreased project costs and adjusts collateral requirements and 
debt refinance parameters for small manufacturers. The bill 
also streamlines numerous administrative processes associated 
with the 504 loan closing process by allowing accredited 
Certified Development Companies (CDCs) to perform a number of 
closing-related tasks, such as correcting any borrower or 
lender information on loan documents. The bill also creates an 
``Express'' loan closing program for 504 loans under $500,000.

Legislative History

    H.R. 8211 was introduced on September 11, 2020, by 
Representative Angie Craig (D-MN) and Ranking Member Steve 
Chabot (R-OH). Amendments were offered by Chairwoman Nydia 
Velazquez (D-NY), Ranking Member Steve Chabot (R-OH), and 
Representative Judy Chu (D-CA) and all agreed to by voice vote. 
H.R. 8211 was ordered to be reported, as amended, by the House 
Committee on Small Business on September 16, 2020 by voice 
vote. H.R. 8211, as amended passed the House by voice vote 
under Suspension of the Rules on December 3, 2020.

                 PARITY FOR HUBZONE APPEALS ACT OF 2020

                               H.R. 8229

Summary

    H.R. 8229 directs the Small Business Administration (SBA) 
to issue regulations, no later than a year after its enactment, 
to grant the Office of Hearings and Appeals (OHA) jurisdiction 
over HUBZone status appeals. Currently, OHA does not hear 
appeals of HUBZone status protest determinations. Those appeals 
are heard by the SBA's Associate Administrator of the Office of 
Government Contracting & Business Development (AA/GCBD). The 
purpose of the bill is to achieve parity and uniformity of 
appeal processes between the HUBZone Program and the SDVOSB and 
WOSB programs by shifting the responsibility to hear HUBZone 
status appeals from the AA/GCBD to OHA. H.R. 8229 promotes 
efficiency and guarantees expertise by providing OHA with 
jurisdiction over all program status appeals. Finally, it 
encourages transparency and consistency in opinions since OHA 
opinions are published.

Legislative History

    H.R. 8229 was introduced on September 11, 2020 by 
Representative Aumua Amata Coleman Radewagen (R-AS) and 
Representative Chrissy Houlahan (D-PA). H.R. 8229 was ordered 
to be reported by the House Committee on Small Business on 
September 16, 2020 by voice vote. H.R. 8229 passed the House by 
voice vote under Suspension of the Rules on December 3, 2020.

            SMALL BUSINESS DEBT RELIEF EXTENSION ACT OF 2020

                               H.R. 8376

Summary

    H.R. 8376 extends and expands the debt relief for certain 
SBA loans that was provided in the CARES Act. Specifically, the 
bill extends for another six months to eighteen months loan 
subsidy payments on SBA 7(a), 504, and microloans.

Legislative History

    H.R. 8376 was introduced on September 24, 2020 by 
Representative Antonio Delgado (D-NY). A similar provision was 
included in H.R. 925, as amended, the Heroes Act as Section 602 
of Division E. H.R. 925, as amended passed the House under 
Suspension of the Rules by a vote of 214-207 (Roll Call No. 
214) on October 1, 2020. A similar provision was included in 
H.R. 133, as amended, the Consolidated Appropriations Act, 2021 
as Section 325 of Title III of Division N. H.R. 133, as amended 
passed the House on December 21, 2020 by a vote of 327-85 (Roll 
Call No. 250) and a vote of 359-53 (Roll Call No. 251), passed 
by the Senate by a vote of 92-60 (Record Vote No. 289), and 
signed by the President on December 27, 2020.

    A BILL TO EXTEND THE AUTHORITY FOR COMMITMENTS FOR THE PAYCHECK 
  PROTECTION PROGRAM AND SEPARATE AMOUNTS AUTHORIZED FOR OTHER LOANS 
 UNDER SECTION 7(A) OF THE SMALL BUSINESS ACT, AND FOR OTHER PURPOSES.

                                S. 4116

Summary

    S. 4116 extends through August 8, 2020, the application 
period for the Paycheck Protection Program established to 
support small businesses in response to COVID-19 (i.e., 
coronavirus disease 2019).

Legislative History

    S. 4116 passed the House under Unanimous Consent on July 1, 
2020 and signed by the President on July 4, 2020 (Pub. Law No. 
116-147) The House bill, H.R. 7437 was introduced on July 1, 
2020 by Representative Angie Craig (D-MN).

   EXPRESSING SUPPORT FOR THE DESIGNATION OF THE WEEK OF MAY 5, 2019 
THROUGH MAY 11, 2019, AS ``NATIONAL SMALL BUSINESS WEEK'' TO CELEBRATE 
   THE CONTRIBUTIONS OF SMALL BUSINESSES AND ENTREPRENEURS IN EVERY 
                    COMMUNITY IN THE UNITED STATES.

                              H. RES. 347

Summary

    H. Res. 347 celebrates the contributions of small 
businesses and entrepreneurs in every U.S. community and 
supports the designation of National Small Business Week. 
Further, it supports efforts to provide small businesses with 
aid and assistance through certain programs and initiatives.

Legislative History

    H. Res. 347 was introduced on May 1, 2019 by Chairwoman 
Nydia Velazquez (D-NY) and Ranking Member Steve Chabot (R-OH) 
and most members of the committee.

  EXPRESSING SUPPORT FOR THE RECOGNITION AND CELEBRATION OF THE VITAL 
ROLE OF SMALL BUSINESSES, ALONG WITH THE EFFORTS OF THE SMALL BUSINESS 
  ADMINISTRATION TO HELP AMERICANS START, BUILD, AND GROW BUSINESSES.

                              H. RES. 730

Summary

    H. Res. 730 recognizes and celebrates small businesses by 
(1) acknowledging the importance of promoting a business-
friendly environment for small business owners, (2) encouraging 
young entrepreneurs to pursue their passions and create more 
startup businesses, and (3) conveying appreciation for the ways 
small businesses support their communities and workers.

Legislative History

    H. Res. 730 was introduced on November 21, 2019 by 
Chairwoman Nydia Velazquez (D-NY) and Ranking Member Steve 
Chabot (R-OH) and all members of the committee.

    EXPRESSING SUPPORT FOR THE DESIGNATION OF SEPTEMBER 22, 2020 TO 
 SEPTEMBER 24, 2020, AS ``NATIONAL SMALL BUSINESS WEEK'' TO HONOR THE 
   ENTREPRENEURIAL SPIRIT AND CONTRIBUTIONS OF SMALL BUSINESSES AND 
                   ENTREPRENEURS IN THE UNITED STATES

                              H. RES. 1134

Summary

    H. Res. 1134 celebrates the contributions of small 
businesses and entrepreneurs in every U.S. community and 
supports the designation of National Small Business Week. 
Further, it supports efforts to provide small businesses with 
aid and assistance through certain programs and initiatives.

Legislative History

    H. Res. 1134 was introduced on September 24, 2020 by 
Chairwoman Nydia Velazquez (D-NY) and Ranking Member Steve 
Chabot (R-OH) and most members of the committee.

  EXPRESSING SUPPORT FOR THE RECOGNITION AND CELEBRATION OF THE VITAL 
ROLE OF SMALL BUSINESSES, ALONG WITH THE EFFORTS OF THE SMALL BUSINESS 
  ADMINISTRATION TO HELP AMERICANS START, BUILD, AND GROW BUSINESSES.

                              H. RES. 1235

Summary

    H. Res. 1235 recognizes and celebrates small businesses by 
(1) acknowledging the importance of promoting a business-
friendly environment for small business owners, (2) supporting 
small firms through the COVID-19 crisis, (3) encouraging young 
entrepreneurs to pursue their passions and create more startup 
businesses, and (4) conveying appreciation for the ways small 
businesses support their communities and workers.

Legislative History

    H. Res. 1235 was introduced on November 20, 2020 by 
Chairwoman Nydia Velazquez (D-NY) and Ranking Member Steve 
Chabot (R-OH) and members of the committee.

                           OVERSIGHT SUMMARY

    Clause 1(d) of Rule XI of the Rules of the House of 
Representatives for the 116th Congress requires each standing 
committee, not later than January 2 of each odd numbered year, 
to submit to the House a report on the activities of that 
committee, including a separate section summarizing the 
oversight activities of that committee. The report shall also 
include a delineation of any hearings held pursuant to clauses 
2(n), (o), or (p) of Rule XI related to waste, fraud and abuse 
in government programs.

                                 PART A

                        Full Committee Hearings

                  First Session of the 116th Congress


           THE SHUTDOWN: ECONOMIC IMPACT ON SMALL BUSINESSES

    On Wednesday, February 6, 2019, the Committee on Small 
Business held a hearing entitled: ``The Shutdown: Economic 
Impact on Small Businesses.'' The hearing examined the impact 
the partial government shutdown had on small businesses, 
federal workers, contractors, and the general economy. The 
hearing provided an opportunity for Members of the Committee to 
hear directly from small business owners on how they were 
impacted from shuttered agencies.
    The witnesses for the hearing were: Dr. Matthew D. Shapiro, 
Professor of Economics at the University of Michigan; Mr. Bill 
Butcher, Founder of Port City Brewing Company; Ms. Heidi 
Gerding, CEO of HeiTech Services, Inc. and Mr. Charles ``Tee'' 
Rowe, President and CEO of America's Small Business Development 
Centers.
    The witnesses expressed frustration and an inability to 
operate at full capacity, while awaiting a full resolution that 
can bring long-term certainty. Further, one witnesses outlined 
the impact the shutdown had on staff moral and their financial 
outlook for the remainder of the year. Dr. Matthew Shapiro, an 
Economist from the University of Michigan, also provided an 
analysis of what happens to family pocketbooks and consumer 
spending when a prolonged government shutdown occurs.

            SMALL BUSINESS PRIORITIES FOR THE 116TH CONGRESS

    On Wednesday, February 13, 2019, the Committee on Small 
Business held a hearing entitled: ``Small Business Priorities 
for the 116th Congress.'' The hearing was intended to inform 
future committee hearings, advocacy efforts, and legislative 
priorities. The hearing gave Members of the Committee the 
opportunity to hear from small business organizations and small 
business owners on what priorities the 116th Congress should 
focus on and provided the Committee with ideas about federal 
policies that will help them grow their businesses.
    The witnesses for the hearing were: Mr. John Arensmeyer, 
Founder & CEO of Small Business Majority; Ms. Sabrina Parsons, 
CEO of Palo Alto Software; Mr. J Kelly Conklin, CO-Owner & 
Founder Foley Wait LLC; and Mr. Thomas M. Sullivan, Vice 
President at Small Business Policy.
    The panel discussed various policies, such as paid family 
leave, and SBA programming that has allowed them and their 
members to expand business operations, while also highlighting 
areas of concern. Witnesses also highlighted the need for 
updated access to reliable broadband for rural communities as a 
way to address the declining startup rate in these areas.

  SUPPORTING AMERICA'S STARTUPS: REVIEW OF THE SBA'S ENTREPRENEURIAL 
                          DEVELOPMENT PROGRAMS

    On Thursday, February 27, 2019, the Committee on Small 
Business held a hearing titled: ``Supporting America's 
Startups: Review of the SBA's Entrepreneurial Development 
Programs.'' The hearing examined how the Small Business 
Administration's (SBA) Entrepreneurial Development programs 
work and offered Members of the Committee the opportunity to 
review the major technical assistance programs.
    The witnesses for the hearing were: Mr. Charles ``Tee'' 
Rowe, President and CEO of America's Small Business Development 
Centers; Ms. Corinne Hodges, CEO, Association of Women Business 
Centers; Mr. W. Kenneth Yancey, Jr. CEO, SCORE; and Ms. 
Cherylynn Sagester, Director, Veterans Business Outreach 
Center, Old Dominion University, Virginia.
    The witnesses provided testimony detailing the history and 
mission of each entrepreneurial development program, and they 
also made specific recommendations to improve the programs. Mr. 
Tee Rowe testified that the reauthorization of the Small 
Business Development Center (SBDC) program is long overdue and 
recommended that the Committee consider a proposal that would 
increase the authorization level for SBDCs, strengthen the 
collaboration between the Small Business Administration (SBA) 
and SBDCs, clarify SBDC marketing and co-sponsorship 
activities, and make several other changes. Ms. Hodges 
testified that legislation to reauthorize the Women's Business 
Centers (WBC) is necessary and certain changes were needed to 
strengthen the program. Ms. Hodges would like the Committee to 
consider proposals to increase the cap of $150,000 per center, 
remove requirements that require centers to overmatch federal 
funds, increase federal funds, and strengthen data to better 
quantify the growth of women's entrepreneurship. Mr. Yancey 
testified about the history, mission, and activities of the 
SCORE program. More specifically, he discussed plans to 
centralize the accounting system at the national level to 
reduce the bookkeeping and reporting burdens for chapters, and 
their efforts to centralize the social media program so 
chapters could provide more counseling and mentoring. In 
addition, Mr. Yancey discussed an appropriation request of 
$13.5 million in funding for SCORE. Ms. Sagester testified in 
support of the Boots to Business program and Veterans Business 
Outreach Centers.

             REBUILDING AMERICA: SMALL BUSINESS PERSPECTIVE

    On Wednesday, March 6, 2019, the Small Business Committee 
held a hearing titled: ``Rebuilding America: Small Business 
Perspective.'' The hearing allowed Members of the Committee to 
hear about the country's current infrastructure needs and how 
small businesses can stand to benefit from a comprehensive plan 
that includes surface, broadband, and water, among others.
    Witnesses included Ms. Terri Williams, Director, SBDC 
Procurement Technical Assistance Center, University of Texas at 
San Antonio (UTSA), San Antonio, Texas; Mr. Tim Donovan, Senior 
Vice President, Legislative Affairs, Competitive Carriers 
Association, Washington, D.C.; Ms. Roseline Bougher, President, 
A.D. Marble, King of Prussia, Pennsylvania (testify on behalf 
of the American Council of Engineering Companies); and The 
Honorable Kris Knochelmann, Judge Executive and President, 
Ohio-Kentucky-Indiana Regional Council of Governments, Kenton 
County, KY.
    Ms. Williams testified that infrastructure powers 
businesses, creates opportunities for communities, enables 
trade, connects workers to their jobs, creates opportunities 
for struggling communities and protects the nation from an 
increasingly unpredictable natural environment. Her testimony 
highlighted that adequate broadband connects small businesses 
with customers, enables remote access to employees and improves 
operations. Ms. Williams also testified about the importance of 
government contracts for businesses in her area stating that 
the federal establishment of business utilization goals is a 
good start to rebuilding America's business economy.
    Ms. Bougher testified that Congress has a unique 
opportunity in 2019 to pass major infrastructure legislation to 
modernize the nation's transportation, water, energy, and 
communications systems to enhance U.S. competitiveness in the 
global marketplace and provide robust contracting opportunities 
for small businesses like hers. In addition, she mentioned 
these will also provide local businesses with direct 
contracting opportunities, and the flow-down effect helps 
bolster other local economic activity as well. Mr. Knochelmann 
emphasized that small businesses are the lifeblood of the 
American economy but are also competing in a global economy. He 
testified that this depends on the adequately performing road, 
airports, and bridges mentioning that the current state of our 
crumbling infrastructure is stifling economic growth.

         FLIPPING THE SWITCH ON RURAL DIGITAL ENTREPRENEURSHIP

    On Wednesday, March 13, 2019, the Committee on Small 
Business held a hearing titled: ``Flipping the Switch on Rural 
Digital Entrepreneurship.'' According to U.S. Census data, only 
17 percent of businesses are located in rural areas despite 97 
percent of the nation being classified as rural. The hearing 
allowed Members of the Committee to review opportunities online 
technology holds and examine the barriers rural small 
businesses face.
    Witnesses included Mr. Dana F. Connors, President and CEO, 
Main State Chamber of Commerce, Augusta, ME, Testifying on 
behalf of the Maine State Chamber; Mr. Bill Ingersoll, Founder, 
Bikes, Trikes and Quads, Sloansville, NY; Ms. Afton Stout, 
Founder, My Dinosaur Dreams, State Center, Iowa and Mr. Jake 
Ward, President Connected Commerce Council, Washington, DC.
    Ms. Connors' testimony focused on a report titled Unlocking 
the Digital Potential of Rural America, that detailed how 
digital tools are driving the success of small businesses in 
rural America and the opportunity digital tools present for 
entrepreneurs living in rural America. Specifically, her 
testimony highlighted that digital technology boosts sales and 
reduces costs for rural small businesses by helping businesses 
expand their customer base in their own community, neighboring 
states, and, in some cases, outside of the country as well. Mr. 
Ingersoll highlighted as well that rural broadband is essential 
to ensuring that rural small business owners and entrepreneurs 
can take advantage of the latest technologies and reach 
customers. He also testified about the importance of the U.S. 
Postal Service. Small businesses rely on affordable, reliable 
and universal postal service. He went to state that like 
broadband, the US Postal Service is essential for all 
Americans, no matter where they live, and without it, rural 
small businesses will have a harder time competing with giant 
e-commerce companies that have their own warehouses and 
logistics networks. Ms. Stout testified that platforms like 
Etsy represent a new face of entrepreneurship--87% are women, 
and on average, these entrepreneurs are much younger than 
traditional business owners.

              UNLOCKING SMALL BUSINESS RETIREMENT SECURITY

    On Wednesday, March 27, 2019, the Committee on Small 
Business held a hearing titled: ``Unlocking Small Business 
Retirement Security.'' The hearing examined retirement plan 
options for small employers, the benefits and barriers they 
face in offering plans, and options for expanding coverage for 
their workers.
    The witnesses for the hearing were Martella A. Turner-
Joseph, Founding Partner Joseph & Turner Consulting Actuaries, 
LLC New York, NY Testifying on behalf of the American 
Retirement Association; Mr. Paul F. Davidson Director, Product 
Management Paychex, Inc. Rochester NY; Mr. Greg Gorgone CFO 
Citizant, Inc Chantilly, Virginia, Testifying on behalf of the 
U.S. Women's Chamber of Commerce and Mr. Keith Hall President 
and Chief Executive Officer National Association for the Self-
Employed Washington, DC.
    The hearing discussed how Congress can help more small 
businesses provide their employees with affordable retirement 
plans. Today, half of all small businesses do not have a 
retirement plan set up and millions of workers have little 
saved for their retirement. Witnesses testimony focused on 
reversing this trend by looking at the possibilities of 
reducing the student debt burden facing young professionals, 
offering increased tax incentives to small business owners who 
choose to sponsor a plan, exploring auto-enrollment, and 
potentially allowing small firms to band together to offer 
retirement plans which could lead to administrative savings and 
reduced fiduciary liability.

  NATIONAL SMALL BUSINESS WEEK: HONORING THE NATION'S SMALL BUSINESS 
                                 HEROES

    On Wednesday, May 8, 2019 the Committee on Small Business 
held a hearing titled: ``Honoring the Nation's Small Business 
Heroes.'' The Small Business Administration (SBA) has 
designated May 5-11 as its National Small Business Week. To 
honor all of America's entrepreneurs, the House Small Business 
Committee brought in business leaders from across the country 
who exemplify the determination, hard work, and creativity that 
showcases the American entrepreneurial spirit.
    Witnesses included, Ms. Gia Giasullo Owner Brooklyn Farmacy 
& Soda Fountain Brooklyn, NY; Ms. Amy Fox President & 
Operations Spiral Brewery Hastings, MN; Mr. Nels Leader Vice 
President Bread Alone Bakery Lake Katrine, NY; Mr. Robert 
Hoffman Broker Robert Hoffman Realty Inc. Albert Lea, MN; Mr. 
Jason Brochu President and Co-Owner Pleasant River Lumber 
Dover-Foxcroft, ME; Mr. Kristofer Sabey President Surf Liquors 
& Market Seaside Heights, NJ; Mr. Bill Skalish Owner Granite 
Tech, Inc. and The Benchmark GRP, LLC Landenberg, PA; Mr. Jerry 
Kortesmaki Owner London Road Rental Center Duluth, MN; Mr. Dave 
Walton Farmer Iowa Soybean Association Wilton, IA; Ms. Brittney 
Reese Co-Founder and Head FIT Coach FIT & NU Aurora, CO; Ms. 
Colleen Cruze Bhatti Owner Cruze Farm Knoxville, TN; Mr. Shawn 
Pulford CEO LB Water Chambersburg, PA.
    The estimated 30 million small firms in the U.S., represent 
99.7 percent of all employers and generate two-thirds of all 
net new jobs. Members of Congress were able to hear directly 
from small businesses across the country about the challenges 
they face starting a small business, the rewarding experience 
of building a successful company, and the impact they have on 
their local communities. Witnesses testified that access to 
affordable capital, finding and retaining talented workers, 
accessing new customers, and competing against larger 
competitors all provide headwinds for small business success. 
They suggested, among other things, that Congress should expand 
access to capital, workforce development and opportunities to 
do business with the federal government.

            MEMBER DAY HEARING: COMMITTEE ON SMALL BUSINESS

    On Wednesday, May 15, 2019, the Committee on Small Business 
held a hearing titled: ``Member Day Hearing: Committee on Small 
Business.'' House Rules require that each Committee allow 
Members of Congress to testify regarding jurisdictional issues 
of each Committee that impacts their constituents.
    Witnesses included the Honorable Ed Case Member of Congress 
U.S. House of Representatives Washington, DC and the Honorable 
Tony Cardenas Member of Congress U.S. House of Representatives 
Washington, D.C.
    Representative Case encouraged the Committee to enhance 
programs that benefit minority owned small businesses such as 
the 8a program especially for Asian & Pacific Islander 
Americans. Among other things, Representative Cardenas 
encourages the Committee to support programs and politics 
bridge the skill gap between the available workforce and 
employers by investing in funding programs that will encourage 
the development of computer science career education programs 
that meet the market needs of employers.

              IMMIGRATION AND THE SMALL BUSINESS WORKFORCE

    On Wednesday, May 22, 2019, the Committee on Small Business 
held a hearing titled: ``Immigration and the Small Business 
Workforce.'' Temporary and permanent immigration have long been 
at the forefront of the national conversation, yet the labor 
force needs of small businesses in this regard are often 
overlooked. The hearing allowed Members of the Committee to 
examine the current challenges small businesses face in hiring 
qualified foreign labor and what legislative solutions would 
help them.
    Witnesses included Mr. Dan Wallace, Director of Special 
Projects, New American Economy, New York, NY; Mr. Derek Shoare, 
Senior Vice President, Challenger Sports, Lenexa, KS; Mr. Nick 
Sabino, Founder, Deer Park Roofing Inc., Cincinnati, OH 
(Testifying on behalf of the National Roofing Contractors 
Association) and Mr. Daniel Griswold, Senior Research Fellow 
and Co-Director, Trade and Immigration Project, Mercatus Center 
at George Mason University, Arlington, VA.
    Witnesses testified Immigrants not only help fill shortages 
in the labor market, they also create jobs for Americans at 
every skill level noting that although they represent roughly 
13.7 percent of the U.S. population immigrants account for more 
than 20 percent of all entrepreneurs. Witnesses also testified 
there are not enough American workers available to work full 
time in seasonal programs particularly in the agriculture, 
construction, and hospitality industries. Witnesses suggested 
reforming the nation's immigration system will help small 
businesses and stimulate economic growth.

 THE DOCTOR IS OUT: RISING STUDENT LOAN DEBT AND THE DECLINE OF SMALL 
                            MEDICAL PRACTICE

    On Wednesday, June 12, 2019, the Committee on Small 
Business held a hearing titled: ``The Doctor is Out: Rising 
Student Loan Debt and the Decline of Small Medical Practice.'' 
The hearing provided the Committee the opportunity to 
understand the link between the growing student loan crisis and 
the problems facing the medical community. This includes the 
incentive structure for those exiting their Graduate Medical 
Education (GME) or Residency and entering the workforce.
    Witnesses included Ms. Sandy Norby PT, DPT, CEO of HomeTown 
Physical Therapy, Des Moines, IA; Dr. Lauren Weise, Orthodontic 
Resident, University of Maryland School of Dentistry, 
Baltimore, MD; Dr. Tracy Henry, MD, MPH, MS, Assistant 
Professor of Medicine, Emory University, Atlanta GA; Mr. Jason 
Delisle, Resident Fellow, American Enterprise Institute. 
Washington, D.C.
    The Panel discussed how the growing student loan debt 
crisis was affecting their decisions. Physicians have some of 
the highest debt burden of anyone in the country, and that 
adversely effects where they end up practicing medicine. Ms. 
Norby's business model is to find physical therapists that grew 
up in rural Iowa to come back to their hometown and practice 
physical therapy there. She mentioned that it is hard to 
convince them to come back because they will not be making 
enough to pay back their student loans alongside managing a 
business and affording a place to live. Dr. Weise noted that 
many of her orthodontic colleagues are in upper-six-figure 
debt, and the large amounts of debt she owes prevents her from 
opening her own practice, and her husband from going to med 
school. Dr. Henry testified to keep programs like Public 
Service Loan Forgiveness (PSLF) from being undercut by the 
Trump Administration because she is using them to pay off her 
mountains of debt. The Republican witness, Jason Delisle, took 
the opposite approach, arguing that those same programs should 
be cut to nothing and done away with.

     UNLOCKED POTENTIAL? SMALL BUSINESSES IN THE CANNABIS INDUSTRY

    On Wednesday, June 19, 2019, the Committee on Small 
Business held a hearing titled: ``Unlocked Potential? Small 
Businesses in the Cannabis Industry.'' The hearing allowed 
Members to learn about the opportunities the legitimate 
cannabis industry presents for small businesses in states with 
legal cannabis, as well as entrepreneurs from traditionally 
underserved communities. The hearing also explored the 
challenges currently faced by those ``direct'' cannabis 
businesses, but also by so-called ``ancillary'' or ``indirect'' 
cannabis businesses that may not be directly involved in the 
production or distribution of cannabis products but transact 
with direct cannabis businesses.
    Witnesses on the panel were: Ms. Shanita Penny, M.B.A.; 
President of the Board of Directors, Minority Cannabis Business 
Association, Washington, DC; Mr. Eric Goepel; Founder & CEO, 
Veterans Cannabis Coalition, Walnut, CA; Ms. Dana Chaves; 
Senior Vice President and Director of Specialty Banking, First 
Federal Bank of Florida, Lake City, FL; and Mr. Paul Larkin; 
John, Barbara, and Victoria Rumpel Senior Legal Research Fellow 
in the Meese Center for Legal and Judicial Studies, The 
Heritage Foundation, Washington, DC.
    Ms. Penny testified on how the legal cannabis industry 
presents significant business opportunities, especially for 
people of color, as the underground market transitions into a 
regulated business sector. However, onerous capital 
requirements, restrictions on licensing for those with minor 
drug-related offenses, and numerous other factors have limited 
opportunities and success for minorities and other 
disadvantaged groups in the legal cannabis industry. She 
testified that a lack of access to capital contributes to the 
widening ownership equity gap, and that access to SBA's loan 
programs would help close the equity gap in the legal cannabis 
industries and help keep cannabis revenues in the communities 
suffering the greatest economic and social harms of the War on 
Drugs.
    Mr. Goepel testified that because of their regular 
interaction with the federal government for healthcare, 
education, housing, and employment, veterans find themselves 
particularly impacted by federal cannabis prohibition. He also 
testified that considering the synergy that veterans have long 
maintained with cannabis, it is a disservice for government to 
prevent those who served when called on from pursuing their 
life and liberty. Ms. Chaves testified regarding her experience 
as a community banker in two states with some form of legal 
cannabis, and the challenges she's faced in delivering 
financial services to legitimate cannabis-related businesses. 
Mr. Larkin testified that if Congress were to legalize adult-
use cannabis, it should require that states own and manage 
distribution facilities.

      CRUSHED BY CONFESSIONS OF JUDGMENT: THE SMALL BUSINESS STORY

    On Wednesday, June 26, 2019, the Committee on Small 
Business held a hearing titled: ``Crushed by Confessions of 
Judgment: The Small Business Story.'' The hearing allowed the 
Committee to examine the practice of merchant cash advance 
(``MCA'') companies requiring small businesses to sign a 
confession of judgment as a condition of receiving a funds. 
Members heard from a variety of witnesses detailing the 
legalities of the practice, its use, and impact on small 
business borrowers.
    Witnesses on the panel were: Mr. Hosea H. Harvey, Law 
Professor and Consumer Finance Law Expert, Philadelphia, PA; 
Mr. Jerry Bush; Former Owner, JB Plumbing & Heating of 
Virginia, Inc., Roanoke, VA; Mr. Shane Heskin, Partner, White 
and Williams, LLP., Philadelphia, PA; and Mr. Benjamin R. 
Picker, Shareholder, McCausland Keen + Buckman, Devon, PA.
    Mr. Harvey testified that though current law generally 
presumes that business-to-business transactions take place 
between sophisticated parties on equal footing (unlike consumer 
transactions), the theoretical line between consumer and 
business credit transactions has blurred over time. He also 
noted that a discrepancy among state laws (and silence in 
federal law) on this issue has made the use of confessions of 
judgment in small business lending ripe for abuse. Mr. Bush 
testified regarding his experience as a business owner who was 
approached by MCA companies that pressured him into taking out 
one of their loan-like cash products and signing the 
corresponding confession of judgment, which enabled the lender 
to declare delinquency on the cash product and quickly obtain 
repayment by draining his bank accounts.
    Mr. Heskin testified regarding his experience as a 
litigation attorney who has defended more than fifty small 
businesses and individuals in connection with confessions of 
judgment across the country. His testimony highlighted the 
lengths to which MCA companies go to attempt to collect debts 
allegedly owed, going so far as harassing borrowers and their 
families. He also argued the Fair Debt Collection Practices Act 
should apply to small business borrowers. Mr. Picker testified 
that any legislation on confessions of judgment should be 
limited to small business loans; should require the confession 
of judgment provision be capitalized, bolded, and that a plain 
language disclosure should be placed on the first page of the 
contract; and should require that the confessed judgment be 
filed only in the state where the borrower is located.

           CONTINUING TO SERVE: FROM MILITARY TO ENTREPRENEUR

    On Wednesday, July 10, 2019, the Committee on Small 
Business held a hearing titled: ``Continuing to Serve: From 
Military to Entrepreneur.'' The purpose of the hearing was to 
discuss the role of veteran entrepreneurs in growing the 
economy and examine legislative efforts to foster veteran 
entrepreneurship.
    The witnesses for the hearing were: Mr. Davy Leghorn, 
Assistant Director for The American Legion; Mr. Scott M. 
Davidson, Owner of GCO Consulting, Retired Army Captain; Ms. 
Torrance Harrington Hart, Owner of Teak and Twine; and Ms. 
Laurie Sayles, President and CEO of Civility Management 
Solutions (CivilityMS).
    The witnesses testified about their experiences with 
veteran entrepreneurship and expressed support for legislative 
initiatives, including the codification of the Boots to 
Business program, improvements to the Military Reservist 
Economic Injury Disaster Loan (MREIDL) program, and the SBA 
assumption of the VA certification process for service-disabled 
veteran-owned small businesses. Mr. Leghorn testified on behalf 
of The American Legion supporting draft legislation for: the 
codification of the Boots to Business program, calling it 
``imperative to make a permanent fixture''; reform of the 
MREIDL program to reflect more accurately current deployment 
practices; and the SBA adoption of VA certifications. Mr. 
Davidson's testimony expressed support for the Boots to 
Business program and advocated for the SBA assumption of VA 
certification on practical, track-record grounds. Ms. Hart 
testified about her experiences as a veteran entrepreneur and 
military spouse, and expressed support for the Boots to 
Business program, particularly for military spouses. Military 
spouses oftentimes forgo careers because of frequent moves, 
which make it difficult to get established. Entrepreneurship 
can help to overcome these barriers for military spouses. Ms. 
Sayles testified in support of SBA assumption of VA 
certifications for service-disabled veteran-owned small 
business (SDVOSB), and advocated for greater transparency and 
accountability in sub-contracting plans for government awarded 
contracts.

  FLOODED OUT: VANISHING ENVIRONMENTAL REVIEWS AND THE SBA'S DISASTER 
                              LOAN PROGRAM

    On Friday, July 19, 2019, in Wheeling, IL, the Committee on 
Small Business met for a field hearing titled: ``Flooded Out: 
Vanishing Environmental Reviews and the SBA's Disaster Loan 
Program.'' They examined the utilization of the SBA's Disaster 
Loan Program in the context of severe flooding that impacted 
parts of Illinois in 2017. Members heard from a variety of 
witnesses who will address how the floods impacted their local 
communities.
    The witnesses were Mr. Mark Warner, Executive Director, 
Lake County Stormwater Management Commission, Lake County, IL; 
Mr. Howard Learner, Executive Director, the Environmental Law & 
Policy Center, Chicago, IL; and Mr. John Durning, Owner 
Pizzeria Deville, Libertyville, IL.
    Mr. Warner testified that Lake County has seen record 
setting increases in flooding over the last three years and in 
particular that the July 2017 flood set record high water 
levels on all nine river gages throughout the County, caused 
millions of dollars of damage and threatened the lives of many 
residents and visitors. He also testified that communities 
along the Des Plaines and Fox River watersheds have long faced 
flooding issues during significant rain events. Since 2013 
alone, Lake County has experience two ``100-year floods,'' and 
6 of the 10 largest storm events on record have occurred since 
1994. In July 2017, intense storms damaged more than 3,200 
homes, resulting in a state of emergency declaration for the 
region and causing millions of dollars in damage to the 
community. As a result, after severe businesses in Lake County, 
Illinois utilized SBA's disaster loans to rebuild and recover. 
Mr. Durning, who owns Pizzeria DeVille in Libertyville, 
testified that the 2017 floods destroyed equipment and shut 
down parts of his restaurant for six weeks. Witnesses testified 
that environmental reviews protect communities by studying in 
advance the social, environmental, and economic harms that 
could result from a construction project. With projections of 
more severe future flooding across the country, the SBA 
disaster loan program could face further unnecessary strain. 
The hearing allowed Members of Congress to consider adapting 
the program to face additional challenges related to increasing 
disasters, and how compliance with required environmental 
reviews can ensure the longevity of the SBA disaster program.

    IS THE TAX CUTS AND JOBS ACT A HELP OR HINDRANCE TO MAIN STREET?

    On Wednesday, July 24, 2019, the Committee on Small 
Business held a hearing titled: ``Is the Tax Cuts and Jobs Act 
a Help or Hinderance to Main Street?'' The hearing examined how 
the Tax Cuts and Jobs Act has affected small businesses. The 
Committee heard from a policy expert and small businesses 
testified how the current tax law has impacted them, and what 
outstanding issues still exist.
    The witnesses included Ms. Jane Gravelle Senior Specialist 
in Economic Policy Congressional Research Service Washington, 
DC; Mr. Grafton H Willey, IV CPA and Small Business Owner Sole-
Proprietor Portsmouth, RI, testifying on behalf of the NSBA-
National Small Business Association and the RI Society of 
CPA's; Mr. Muneer Baig Founder & CEO SYSUSA, Inc. Manassas, VA, 
testifying on behalf of Small Business Majority; and Mr. Justin 
Conger President Conger Construction Group Lebanon, OH.
    Ms. Gravelle testified the tax bill can affect small 
businesses through an increase in overall economic growth that 
increases demand for their products. She went on to explain 
that Although some claims were made for significant short-term 
growth, with some sources claiming the tax cut would produce 
enough growth to pay for itself, most analysts projected a 
relatively small effect on the economy in the short run, 
ranging from 0.1% to 0.8% of GDP in 2018. Mr. Willey testified 
that there were good things in the Tax Cuts and Jobs Act (TCJA) 
but negative things as well. He testified from a tax 
simplification perspective, a key goal of tax reform for small 
businesses, the TCJA was a ``dismal failure.'' He also 
testified that in attempting to create parity between large 
corporations and small businesses, the TCJA provided good 
benefits to large corporations and left small businesses short 
on the parity issue. Mr. Baig testified that TCJA failed to 
deliver upon its promise for most Main Street small businesses, 
including his to create more jobs.

 UTILIZATION MANAGEMENT: BARRIERS TO CARE AND BURDENS ON SMALL MEDICAL 
                               PRACTICES

    On Wednesday, September 11, 2019, the Committee on Small 
Business held a hearing titled: ``Utilization Management: 
Barriers to Care and Burdens on Small Medical Practices.'' The 
hearing provided the Committee the opportunity to understand 
increasing costs and administrative burdens for doctors caused 
by utilization management by insurance companies in the form of 
prior authorization and step therapy. These practices cause 
medical professionals to spend their time filling out 
duplicative forms and sitting on hold with insurance company 
representatives to argue that the patient should in fact get 
the medication, device, or procedure prescribed by the doctor. 
These programs affect the quality of care and prove overly 
burdensome on many small medical practices.
    Witnesses included Dr. Paul M. Harari, M.D., Professor and 
Chairman, Department of Human Oncology, University of Wisconsin 
School of Medicine and Public Health; Testifying on behalf of 
the American Society for Radiation Oncology. Dr. David R. 
Walega, M.D., MSCI, Associate Professor of Anesthesiology; 
Chief, Division of Pain Medicine; Vice Chair for Research, 
Department of Anesthesiology, Northwestern University Feinberg 
School of Medicine; Testifying on behalf of the American 
Society of Anesthesiology. Dr. John Cullen, M.D., President, 
American Academy of Family Physicians. Dr. Howard Rogers, M.D., 
FAAD, Advanced Dermatology, Testifying on behalf of the 
American Academy of Dermatology Association.
    The Panel discussed how the growing burden of prior 
authorization is distracting them from providing quality care 
for their patients and causing an undue financial burden on 
their practices. Dr. Harari testified that many of the 
requirements enforced by insurance companies for prior 
authorization do not align with the treatment codes set up by 
the American Society for Radiation Oncology. Dr. Walega 
testified about his patient, who was denied a simple, minimally 
invasive surgery that would have saved her much pain and from 
opioids, and spent months arguing with insurance companies for 
her to get the surgery. Dr. Cullen testified about the many 
hours of uncompensated administrative work associated with 
prior authorization and how that hurts his small practice in a 
town of 4,000 residents in Valdez, AK, where he is the primary 
caregiver. Dr. Rogers, also testified to the growing burden on 
physician practice and how this can negatively affect care and 
the patient-physician relationship.

  THE ROLE OF THE SBA 8(A) PROGRAM IN ENHANCING ECONOMIC OPPORTUNITIES

    On September 18, 2019, the Committee on Small Business held 
a hearing titled: ``The Role of the SBA 8(a) Program in 
Enhancing Economic Opportunities.'' The hearing focused on 
SBA's 8(a) program, which was designed as a business 
development program to help disadvantaged businesses compete in 
the federal marketplace. The hearing examined how the program 
operates, the benefits to entrepreneurs and communities, and 
steps Congress can take to improve the effectiveness of the 
program.
    The witnesses for the hearing were: Mr. Ralph C. Thomas 
III, Executive Director Emeritus & Representative of the 
National Association of Minority Contractors (NAMC) and Lawyer, 
Law Offices of Ralph C. Thomas III PLLC, Washington, D.C.; Ms. 
Dottie Li, Founder and CEO of Transpacific Communications, 
Cheverly, MD; Mr. Clarence McAllister, CEO of Fortis Networks, 
Phoenix, AZ; and Ms. Rebecca Askew, CEO & General Counsel, 
Circuit Media LLC, Denver, CO.
    The witnesses testified that the 8(a) program is one of the 
Federal Government's primary vehicles to help develop socially 
and economically disadvantage small businesses. Moreover, all 
witnesses discussed the weaknesses and made recommendations to 
improve the program. For example, many businesses start to gain 
traction in the last years of the program, which substantially 
reduces their ability to receive contracts and limits their 
growth. To address these concerns, Mr. Thomas suggested a 
follow-up survey to graduated 8(a) firms to understand their 
rate of success and understand potential weaknesses in the 
program. By contrast, Mr. McAllister suggested extending the 
program beyond the current 9-year term.
    Additionally, the witnesses emphasized the need to improve 
small business assistance within the program. Mr. McAllister 
recommended providing legal assistance to 8(a) contractors and 
Ms. Askew recommended the creation of two 7(j) educational 
tracks: one for those who are starting the program and another 
one for those that are culminating it. Finally, the witnesses 
highlighted the Mentor/Protege Program as an indispensable tool 
to increase small business capacity and knowledge. However, 
they also called attention to the importance of having proper 
safeguards in the Mentor/Protege Program so that it can truly 
serve its purpose.

    SBA MANAGEMENT REVIEW: SMALL BUSINESS INVESTMENT COMPANY PROGRAM

    On Thursday, September 26, 2019, the Committee on Small 
Business held a hearing titled: ``SBA Management Review: Small 
Business Investment Company Program.'' Committee members 
learned more about the Small Business Investment Company (SBIC) 
program, which is designed to incentivize increased debt and 
equity financing to high-risk small businesses lacking access 
to adequate capital from traditional sources. Members also 
learned about the SBIC funds who deliver SBIC financing to 
small businesses in need of patient capital, and the role they 
play in creating jobs in their local communities. The hearing 
explored the current administrative challenges facing the 
program and its industry participants.
    There were two witness panels. Mr. Joseph Shepard, 
Associate Administrator for the Office of Investment and 
Innovation at SBA, testified as the sole witness on the first 
panel. Witnesses on the second panel were: Mr. Brett Palmer, 
President, Small Business Investor Alliance; Mr. John Paglia, 
Professor of Finance, Graziadio Business School--Pepperdine 
University, Malibu, CA; Ms. Ronda Penn, Chief Financial 
Officer, Raleigh, NC; and Mr. Walt Rodgers, Chief Executive 
Officer, Family RV, Cincinnati, OH. The Committee also received 
written testimony from Mr. Brian Lueger, Principal, Konza 
Valley Capital, Inc., Overland Park, KS.
    Mr. Shepard testified regarding program operations under 
his tenure, which had been marred by industry reports of 
serious delays in licensing, examinations, and other key 
program components. He testified that his response to those 
concerns was to have an ``intense focus'' on examinations, and 
reported that by July 2018, statutory compliance with 
examinations was 100%. Mr. Palmer's testimony summarized a 
series of concerns and frustrations SBICs have felt during Mr. 
Shepard's tenure, and reported that ``nearly all processes 
involving the Associate Administrator are delayed, commonly for 
exceedingly long periods of time.'' Mr. Paglia's testimony 
summarized key findings from his three reports regarding the 
positive role the SBIC program plays in job creation, and the 
better diversity performance compared to the broader venture 
capital and private equity community. Ms. Penn's testimony 
offered the perspective of a SBIC with multiple licenses, 
including the extensive limited partner network and the impact 
her fund has had over 22 years. Mr. Rodgers' testimony offered 
the perspective of the portfolio company (one that received a 
SBIC investment), and how it enabled the company to grow 
financially and expand geographically. Mr. Lueger's written 
testimony focused on how a technical change to the programmatic 
definition of ``leverageable capital'' would enable his fund 
(an ``evergreen'' fund that re-invests gains from individual 
investments back into the fund, instead of paying out the 
fund's limited partners) to access more leverage from the SBA.

  CLOSING THE DIGITAL DIVIDE: CONNECTING RURAL AMERICANS TO RELIABLE 
                            INTERNET SERVICE

    On Friday, October 4, 2019, at Columbia Greene Community 
College in Hudson, NY, the Committee on Small Business met for 
a field hearing titled: ``Closing the Digital Divide: 
Connecting Rural Americans to Reliable Internet Service.'' The 
hearing allowed Members to hear about the lack of broadband and 
its impact on quality of life for rural Americans, low-income 
communities, and minorities.
    Witnesses included Mr. Tim Johnson, CEO, Otsego Electric 
Cooperative, Edmeston, NY; Ms. Shannon Hayes, Owner, Sap Bush 
Hollow Farm Store and Cafe, West Fulton, NY; Mr. David Berman, 
Co-Chair, Columbia Connect Ghent, NY; Mr. Jason Miller, General 
Manager, Delhi Telephone Company, Delhi, NY; Mr. Brian Dunn, 
Superintendent, Middleburgh Central School District, 
Middleburgh, NY; and Dr. Cliff Belden, Chief Medical Officer, 
Columbia Memorial Health Hudson, NY.
    Mr. Johnson testified that broadband is vital to the 
survival and growth of both the communities his company serves 
and all of rural America. He suggested that more granular and 
accurate maps showing broadband availability are a key part of 
reaching all rural Americans with high-speed broadband service. 
Mr. Berman addressed the issue of closing the digital divide 
head on. He testified the only solution to this issue is to 
base local, state and federal programs on the goal of reaching 
every address in the United States. He testified that means 
eliminating using census blocks to define coverage, 
availability, and financing because census blocks are both 
confusing and lead to some bizarre results. Dr. Belden focuses 
his testimony on three broad areas where the impact of 
broadband is felt in the delivery of health care--patient care, 
the location and types of services available in a facility and 
a sometimes-unrecognized effect on our workforce. Mr. Miller 
acknowledged the benefits that broadbands stating that it is 
crucial to the current and future success of rural America. 
However, he noted that small, rural telecom providers like his 
company are deploying faster broadband throughout their service 
areas, but no carrier--regardless of size--can deliver high-
speed, high-capacity broadband in rural America without the 
business case to justify the investment.

SILICON PRAIRIE: TECH, INNOVATION, AND A HIGH-SKILLED WORKFORCE IN THE 
                               HEARTLAND

    On Tuesday, October 8, 2019, the Committee on Small 
Business met at the Dr. Thomas R. Burke Technical Education 
Center at Kansas City Community College in Kansas City, Kansas 
for a field hearing titled: ``Silicon Prairie: Tech, 
Innovation, and a High-Skilled Workforce in the Heartland.'' 
The field hearing was led by Representative Sharice Davids and 
attended by Representative Emanuel Cleaver. It provided the 
opportunities to focus on the tech boom happening in the 
Midwest and how the U.S. should be training the workforce in 
the area to satisfy the demand from tech employers. It also 
provided the opportunity for small business owners, government 
officials, and experts to provide innovative solutions to 
combat the labor shortage.
    In two panels there was a total of eight witnesses. The 
first government panel included Mr. David Toland, Secretary, 
Kansas Department of Commerce, Topeka, KS. Ms. Delia Garcia, 
Secretary, Kansas Department of Labor, Topeka, KS. Mr. Thomas 
Salisbury, Regional Administrator, Region VII, Small Business 
Administration, Kansas City, MO. The second, private sector 
panel included Ms. Neelima Parasker, President and CEO, SnapIT 
Solutions, Overland Park, KS. Mr. Ruben Alonso III, President, 
AltCap, Kansas City, MO. Ms. Tammie Wahaus, CEO, Elias Animal 
Health, Olathe, KS. Mr. Brad Sandt, President & CEO, Menlo, 
K12itc, Civic ITC, Kansas City, MO. Mr. Daniel Silva, President 
& CEO, Kansas City Kansas Chamber of Commerce. Kansas City, KS.
    The first panel focused mainly on things the government is 
doing regarding workforce development, investing in schools and 
education, and encouraging partnerships between businesses, 
local governments and chambers of commerce, and educational 
institutions to provide an education for in-demand skills that 
can translate to jobs. The second panel talked largely about 
many of the challenges small businesses face in hiring and how 
they are investing in a workforce that has 21st century skills 
and provides middle skill training for technology jobs to 
people of all ages.

SBA MANAGEMENT REVIEW: SBA IG REPORT ON THE MOST SERIOUS MANAGEMENT AND 
                 PERFORMANCE CHALLENGES FACING THE SBA

    On Wednesday, October 16, 2019, the Committee on Small 
Business held a hearing titled: ``SBA Management Review: SBA IG 
Report on the Most Serious Management and Performance 
Challenges Facing the SBA.'' The hearing focused on the Small 
Business Administration Office of Inspector General's (OIG) 
annual report on the most serious management and performance 
issues within the agency. The hearing allowed Members the 
opportunity to learn more about the significant issues that 
could be addressed to enhance the effectiveness of the agency 
and its programs.
    The sole witness for the hearing was: Mr. Hannibal ``Mike'' 
Ware, Inspector General, United States Small Business 
Administration, Washington, D.C.
    The witness testified that SBA made progress addressing 
that year's management challenges. The OIG stated that SBA made 
concerted efforts to address outstanding internal control 
recommendations and, as a result, fully implemented or made 
substantial progress in 23 out of 25 challenge areas. Despite 
this progress, the OIG testified that SBA still faces 
significant ricks in loan program oversight and controls, 
oversight of its statutory programs to promote small business 
development and government contracting and deploying 
information technology and related cybersecurity controls.

   PRISON TO PROPRIETORSHIP: ENTREPRENEURSHIP OPPORTUNITIES FOR THE 
                         FORMERLY INCARCERATED

    On Wednesday, October 23, 2019, the Committee on Small 
Business held a hearing titled: ``Prison to Proprietorship: 
Entrepreneurship Opportunities for the Formerly Incarcerated.'' 
Many formerly incarcerated individuals face barriers to 
reentering the workforce. Some employers hesitate to hire the 
formerly incarcerated, which drastically reduces employment 
possibilities and earnings potential. Entrepreneurship can help 
overcome these barriers to employment and reduce recidivism.
    The witnesses for the hearing were: Mr. Shon Hopwood, 
Associate Professor of Law, Georgetown University Law Center, 
Washington, D.C.; Mr. Gary Wozniak, President and Chief 
Executive Officer (CEO), RecoveryPark, Detroit, MI; Ms. Corinne 
Hodges, CEO, Association of Women's Business Centers, 
Washington, D.C.; Jerry Blassingame, Founder and CEO, Soteria 
CDC, Greenville, SC.
    The witnesses discussed challenges facing incarcerated and 
formerly incarcerated individuals and how entrepreneurship can 
give them a second chance upon reentering society. Mr. Hopwood 
expressed support for the Prison to Proprietorship bills, which 
would require SBA's resource partners to provide 
entrepreneurship services in-prison and to the formerly 
incarcerated. After serving time in federal prison, Mr. Wozniak 
spent three months actively seeking employment to no avail. To 
overcome this challenge, he opened a pizza franchise, utilizing 
the skills he gained as a stockbroker.
    Ms. Hodges testified that many of the Women's Business 
Centers offer specific training and resources to the formerly 
incarcerated and described the services that several centers 
currently provide. Moreover, she said that entrepreneurship has 
the power to create pathways to success while reducing 
recidivism. Mr. Blassingame discussed his experience upon being 
released from prison, including the process of starting a 
nonprofit that eventually helped with reentry. He found that 
successful reentry included more than housing and jobs, it was 
also family integration. The community must work together to 
overcome issues pertaining to trauma, financial literacy, and 
family reintegration. Mr. Hopwood, Mr. Wozniak, and Ms. Hodges 
express support for the Prison to Proprietorship bills.

      FORCE OF NATURE: THE POWER OF SMALL BUSINESSES IN AMERICA'S 
                      RECREATIONAL INFRASTRUCTURE

    On Wednesday, October 30, 2019, the Committee on Small 
Business held a hearing titled: ``Force of Nature: The Power of 
Small Businesses in America's Recreational Infrastructure.'' 
The economic prosperity of the nation is impacted by the 
growing recreational and tourism sector, which is served by 
many small businesses. Members were able to hear testimony on 
the significance of the outdoor recreation sector which 
produced over $400 billion in $400 billion in gross economic 
output and supported over 5 million jobs nationwide in 2017.
    Witnesses included Mr. Ray Rasker, Executive Director, 
Headwaters Economics, MT; Mr. Frank-Paul Anthony King, 
President and Chief Executive Officer, Temple Fork Outfitters 
(TFO), Dallas, TX; Ms. Lindsey Davis, CEO, WYLDER, Salt Lake 
City, UT; and Mr. John Wooden, Owner, River Valley Power & 
Sport, Rochester, MN, testifying on behalf of the National 
Marine Manufacturers Association.
    Witnesses highlighted that outdoor recreation and tourism 
supports communities across the country by generating hundreds 
of billions in federal, state, and local tax revenue every year 
and that the outdoor recreation industry has strong ties to 
various vital economic sectors, including manufacturing, 
retail, transportation, and tourism which are dominated by 
small businesses. Mr. Rasker testified that more than 140 
economic studies document the many ways that hiking and biking 
trails, picnic areas, fishing access sites, and other 
infrastructure contribute to local economies. Mr. King 
highlighted the importance of conservation in promoting outdoor 
recreation. Ms. Davis emphasized that upgrades to our public 
lands will benefit small firms and local economies. She 
testified that the health of our ecosystems relies on adequate 
and organized public access and infrastructure by way of 
trails, waterways and wildlife corridors. She went on to say 
green and blue infrastructure will not only improve visitation, 
but also make it possible for wildlife and watersheds to 
continue to thrive and recreationalists to continue building a 
lifelong relationship to the outdoors.

  UPSKILLING THE MEDICAL WORKFORCE: OPPORTUNITIES IN HEALTH INNOVATION

    On Wednesday, November 13, 2019, the Committee on Small 
Business met for a hearing titled: ``Upskilling the Medical 
Workforce: Opportunities in Health Innovation.'' This hearing 
explored the exponential advancement of medical technology 
including but not limited to telehealth, electronic health 
records, robotics, and artificial intelligence and ways medical 
professionals are trained to adapt to this rapid development 
using simulations, robots, and augmented and virtual reality. 
The focus was how to use this technology to cope for a number 
of different problems emerging in healthcare, such as higher 
costs, concentration of health services, higher administrative 
and student loan burdens for physicians, and lack of access for 
many in rural and under-resourced urban communities.
    Witnesses included Dr. Matthew Conti, MD, Orthopaedic 
Surgery Resident, Hospital for Special Surgery, New York City, 
NY, Testifying on behalf of the American Academy of Orthopaedic 
Surgeons (AAOS). Dr. Ingrid Zimmer-Galler, MD, Associate 
Professor of Ophthalmology, Founding clinical Director, Office 
of Telemedicine, Johns Hopkins University, Baltimore, MD, 
Testifying on behalf of the American Academy of Ophthalmology. 
Dr. Nancy Fahrenwald, PhD, RN, PHNA-BC, FAAN, Dean and 
Professor, Texas A&M College of Nursing, Bryan, TX, Testifying 
on behalf of the American Association of Colleges of Nursing. 
Mr. Michael Hopkins, Founder and CEO, True Concepts Medical 
Technologies, Cincinnati, OH.
    Dr. Conti testified about the new technology used to train 
Orthopaedic surgeons in the Hospital for Special Surgery in New 
York City, one of the most technologically advanced hospitals 
in the United States, such as robotics, simulations, and 
virtual reality. Dr. Zimmer-Galler testified about the ability 
of telemedicine to expand access to expand access to rural 
areas that do not currently have access to care and the 
innovative ways they are training ophthalmologists to use 
telemedicine at Johns Hopkins. Dr. Fahrenwald testified to the 
advanced simulations they use to train nursing students and how 
expanding the scope of practice for advanced practice 
registered nurses (APRNs) can fill in the gaps in rural areas 
where doctors are short. Furthermore, APRNs can use 
telemedicine to consult with doctors many miles away about 
treatment plans for their patients. The Republican witness, 
Michael Hopkins, testified to the advancement of medical 
devices to save lives, like his own dual syringe technology 
that can protect patients from sepsis.

A FAIR PLAYING FIELD? INVESTIGATING BIG TECH'S IMPACT ON SMALL BUSINESS

    On Thursday, November 14, 2019, the Committee on Small 
Business held a hearing titled: ``A Fair Playing Field? 
Investigating Big Tech's Impact on Small Business.'' The 
Internet has transformed American lives and spurred economic 
growth for millions of small businesses due in large part to 
powerful digital platforms, commonly referred to as Big Tech. 
The hearing gave Members the opportunity to hear from both 
large tech companies and small businesses about the 
opportunities and challenges online platforms pose for 
entrepreneurs and small firms.
    Witnesses included: Mr. Dharmesh M. Mehta, Vice President, 
Customer Trust and Partner Support, Seattle, WA; testifying on 
behalf of Amazon, Inc.; Ms. Erica Swanson, Head of Community 
Engagement for Grow with Google, Mountain View, CA; testifying 
on behalf of Alphabet, Inc., Dr. Joe Kennedy, Senior Fellow, 
Information Technology & Innovation Foundation, Washington, 
D.C.; testifying on behalf of the Information Technology & 
Innovation Foundation; Ms. Allyson Cavaretta, Director of Sales 
& Marketing, Meadowmere Resort, Olgonquit, ME; Mr. Molson Hart, 
CEO, Viahart Toy Co., Houston, TX; Mr. Harold Feld, Senior Vice 
President, Public Knowledge, Washington, D.C.; Ms. Theo 
Prodromitis, Co-Founder and CEO, Spa Destinations, Tampa, FL; 
Mr. Jake Ward, President, Connected Commerce Council, 
Washington, D.C. and Mr. Graham Dufault, Sr. Director of Public 
Policy, ACT | The App Association, Washington, D.C.
    Mr. Mehta testified that Amazon, by offering small and 
medium-sized businesses a low cost way to reach customers 
worldwide, and through our investments to support these 
businesses, has lowered barriers to entry for entrepreneurs, 
helps make retail even more vibrantly competitive, and 
continues to delight customers with new innovations. Ms. 
Swanson testified that Google tools help American businesses 
find and connect with customers. In 2018, Google's search and 
advertising tools helped provide $335 billion of economic 
activity nationwide. More than 1.3 million businesses, website 
publishers, and nonprofits benefited from using Google's 
advertising solutions. Mr. Kennedy testified that Internet 
platforms allow any business to set up a website, Facebook 
page, Instagram account, YouTube channel and other online 
presences to reach customers, exchange information, and build a 
loyal customer base.
    Mr. Hart testified that Amazon has created business 
solutions that have enabled small businesses to reach and serve 
new customers. However, he also testified that due to their 
market dominance, can determine if a small business succeeds or 
does not simply by allowing or not allowing it on its platform. 
He stated ``if Amazon suspends us from the platform, we go 
bust, and we go bust fast.'' Ms. Caveretta testified that 
Google's most recent actions in the online travel ecosystem 
present a serious threat to small business and how those 
actions have harmed end consumers. She urged Congress to 
address immediately Google's near monopoly access to market for 
small business. Ms. Caveretta described in detail changes made 
by Google's search algorithm that prioritizes larger online 
travel companies and prioritizes those businesses that pay more 
for advertising on the Google platform. Mr. Feld testified that 
the dominance of a handful of massive companies in online 
retail, online search, online video and social media creates 
enormous problems for small businesses. He explained that small 
businesses face potential obstacles when they potentially 
compete with digital platforms citing reports that Amazon 
harvests small business data and then creates competing 
products. He also testified that Congress must set necessary 
safeguards that balance providing a stable and competitive 
environment for small businesses while preserving the valuable 
features of digital platforms.

    EMBRACING CORPORATE SOCIAL RESPONSIBILITY: SMALL BUSINESS BEST 
                               PRACTICES

    On Wednesday, December 4, 2019, the Committee on Small 
Business met for a hearing titled: ``Embracing Corporate Social 
Responsibility: Small Business Best Practices.'' This hearing 
informed members about recent changes to corporate values in 
the wake of the restatement by the Business Roundtable on the 
purpose of a corporations from shareholder primacy to 
stakeholder primacy. It elevated the concerns caused by 
shareholder primacy such as environmental degradation, 
stagnating wages, and lack of diversity and inclusion in upper 
level management. Members heard from academics and small and 
large business owners about the importance of businesses giving 
back to their community.
    Witnesses included Dr. Robert Strand, Executive Director of 
the Center for Responsible Business and Lecturer at the 
University of California, Berkeley's Haas School of Business. 
Mr. Vincent Stanley, Director of Philosophy, Patagonia, Inc. 
Ms. Kristy Wallace, CEO, Ellevate Network. Mr. Jaime Arroyo, 
Associate, Work Wisdom LLC. Mr. Sean McElwee, President and 
Chief Creative Officer, Seanese; Accompanied by Ms. Sandra 
McElwee, Chief Dream Facilitator, Seanese.
    Dr. Strand testified about what the United States can learn 
from the stakeholder primacy that many Scandinavian countries 
have embraced for decades to invest much of their profits back 
in their workers and communities rather than just their owners. 
Mr. Stanley shared the experiences of Patagonia over the past 
40 years and their journey of becoming a more environmentally 
responsible company. He also explained the legal framework of 
benefit corporations and how they can create a competition to 
be more sustainable and retain sustainability through transfer 
of ownership. Ms. Wallace testified about the importance of 
investing in women owned businesses and creating a network of 
support for women entrepreneurs. Mr. Arroyo echoed this 
sentiment and added the importance of diversity and inclusion. 
Mr. McElwee and his mom, Sandra, testified about the importance 
of companies--even microbusinesses like his own--to give back 
to their communities and dedicate a portion of their profits to 
charitable organizations and acts, like his own baby onesie 
initiative for new parents with children with Down syndrome.

                  Second Session of the 116th Congress


          ENHANCING PATENT DIVERSITY FOR AMERICA'S INNOVATORS

    On Wednesday, January 15, 2020, the Committee on Small 
Business held a hearing titled: ``Enhancing Patent Diversity 
for America's Innovators.'' The exceptional economic 
performance of the United States has largely been driven by 
innovation, entrepreneurship, and competitiveness which has led 
to new business formation and improved the lives of all 
Americans. However, women, racial minorities, and low-income 
individuals are significantly underrepresented in the 
innovation ecosystem. The hearing gave academics and small 
business innovators the chance to testify on the challenges 
that women and minorities often face when trying to obtain a 
patent.
    Witnesses included Ms. Andrea Ippolito, Program Director of 
W.E. Cornell, Cornell University, Ithaca, NY; Dr. Rashawn Ray, 
David M. Rubenstein Fellow, The Brookings Institution, 
Washington, DC; Ms. Janeya Griffin, Managing Member and 
Principal Consultant, The Commercializer, LLC, Lancaster, CA; 
and Mr. Rick C. Wade, Vice President, Strategic Alliances and 
Outreach, U.S. Chamber of Commerce, Washington, D.C.
    The witnesses cited difficulties like lack of access to 
capital, a lack of diversity in the tech field, and a shortage 
of women and minorities in the STEM field as barriers to 
achieving patent equity. The hearing also discussed Chairwoman 
Velazquez' bill, H.R. 4075, which would direct the United 
States Patent and Trade Office to collect voluntary demographic 
data during the patent process that would provide insight into 
who is applying for and obtaining patents.
    Ms. Ippolito testified that the number of women obtaining 
patents has improved, albeit slowly, over the past 40 years. 
She stated that the share of patents with at least one female 
inventor has increased from five percent in 1976 to 21 percent 
in 2016. Mr. Ray testified that it is clear that disparities 
extend from who applies to who is ultimately awarded a patent. 
He went to testify that collecting demographic data can help 
fill these important gaps, create more understanding and equity 
in the process, and better streamline resources for trainings 
and funding so all Americans can assist the United States in 
continuing to be a major world innovator for new products that 
can help drive the economy and create jobs. Ms. Griffin 
testified that it is crucial that minority inventors 
participate in the patenting and commercialization process 
because a patent will give minority inventors an incentive to 
further innovate.

           SBA MANAGEMENT REVIEW: OFFICE OF FIELD OPERATIONS

    On Wednesday, January 29, 2020, the Committee on Small 
Business held a hearing titled: ``SBA Management Review: Office 
of Field Operations.'' The hearing focused on the Small 
Business Administration's (SBA) Office of Field Operations' 
(OFO) 68 District Offices and ten Regional Field Offices and 
how they are the point of delivery for most SBA programs and 
services. The hearing also examined how the OFO oversees these 
offices and if the organizational structure allows the 
Administration to meet the needs of small businesses and 
entrepreneurs across the country.
    The sole witness for the hearing was: Mr. Michael A. 
Vallante, Associate Administrator, Office of Field Operations, 
Small Business Administration, Washington D.C.
    The witness testified that SBA District Offices are 
actively involved in their communities through supporting local 
businesses and coordinating with SBA Resource Partners. The 
witness stressed the subject matter expertise of the District 
Office workers, many of whom have worked for the District 
Office for over ten years. The witness also stressed the 
difference the District Office employees make in their 
communities, their dedication to service, and dedication to 
their small business clients.
    In addition, the witness testified about the modernizations 
happening within SBA District Offices. Modernizations include 
improved job descriptions, creating a career ladder to help 
retain staff and give them a path to advancement, new 
performance metrics, and greater collaboration within SBA. The 
witness also testified that the OFO has responded to the 
Government Accountability Office's (GAO) and the Office of 
Inspector General's (OIG) recommendations by reassessing the 
District Office's relationships with Historically Black 
Colleges and Universities (HBCUs) in their communities and 
instructed the District Offices to hold events and expand 
outreach into those communities.
    Lastly, the witness testified that the amount of OFO 
personnel retracted from the historic average of 800 employees 
to 687 because of a 14 percent attrition rate, a 100-day 
process to fill vacancies, and a hiring pause. The witness 
stated that the department implemented the pause to review the 
hiring process and cost of employees. The witness testified 
that the hiring pause is no longer in place.

        SBA MANAGEMENT REVIEW: OFFICE OF CREDIT RISK MANAGEMENT

    On Wednesday, February 5, 2020, the Committee on Small 
Business held a hearing titled: ``SBA Management Review: Office 
of Credit Risk Management.'' The hearing allowed Committee 
Members to learn about SBA's Office of Credit Risk Management 
(OCRM), which was codified in the 115th Congress as part of the 
Small Business 7(a) Lending Oversight Reform Act of 2018 
(Oversight Act). Members learned about the current 
administrative challenges facing OCRM and ways to continue 
enhancing oversight and credit risk management for SBA's 
Capital Access programs.
    The sole witness was Ms. Susan Streich, Director for OCRM, 
Office of Capital Access, SBA.
    Ms. Streich's testimony gave a detailed summary of the role 
OCRM plays within SBA's Office of Capital Access as it relates 
to monitoring the performance of over 3,500 7(a) and 504 
lenders. She also highlighted the impact of the Oversight Act, 
which allowed OCRM to rely less on contracted staff, and to 
increase staff. Following the Oversight Act, OCRM was able to 
implement a rigorous training program to ensure it has the 
workforce capability and leadership in-house to support its 
heightened mission and responsibilities. In response to 
questioning, Ms. Streich also emphasized SBA currently lacks a 
mechanism for systematically tracking 7(a) loan agents, which 
would enhance transparency within the loan programs.

       CHALLENGES AND BENEFITS OF EMPLOYEE-OWNED SMALL BUSINESSES

    On Wednesday, February 12, 2020, the Committee on Small 
Business held a hearing titled: ``Challenges and Benefits of 
Employee-owned Small Businesses.'' The hearing allowed 
Committee Members to learn about the benefits of employee 
ownership for business owners, their employees, and their local 
economies. Members were also exposed to the broad distinctions 
that exist between the two most prominent forms of employee 
ownership: Employee Stock Ownership Plans (ESOPs) and 
cooperatives (co-ops).
    Witnesses on the panel were: Mr. Daniel Goldstein, CEO and 
President, Folience, Cedar Rapids, IA; Mr. R.L. Condra, Vice 
President of Advocacy and Government Programs, National 
Cooperative Bank, Arlington, VA; Mr. John Abrams, CEO and Co-
owner, South Mountain Company, West Tisbury, MA; and Mr. Mark 
Gillming, Senior Vice President, Messer Construction Company, 
Cincinnati, OH.
    Mr. Goldstein's testimony focused on Folience's role as a 
company that purchases fledgling businesses and converts them 
into ESOPs as a business-saving strategy. His testimony 
identified three major obstacles to the expansion of employee 
ownership in the economy: 1) an absence of clear federal 
regulatory guidance, particularly on business valuations for 
purposes of securing an ESOP loan; 2) a shortage of lending 
capital for ESOP formation or acquisitions; and 3) low public 
and professional awareness about ESOPs. Mr. Condra's testimony 
focused on current challenges cooperatives face in navigating 
the federal programmatic landscape, specifically how the SBA 
7(a) program's personal guarantee requirement presents a nearly 
insurmountable barrier for cooperatives in accessing 7(a) 
loans. According to Mr. Condra's testimony, there has only been 
one 7(a) loan to a cooperative in SBA's history.
    Mr. Abrams' testimony focused on the many benefits of the 
cooperative business structure, saying that ``when employee 
owners are making the decisions, it is more likely that 
companies will stay rooted in place and be positive forces in 
their local community.'' Mr. Gillming's testimony centered on 
the benefits of employee ownership from the perspective of a 
business that was converted to an ESOP including increased 
worker productivity, job satisfaction, and year over year 
business growth.

A DISCUSSION WITH SBA ADMINISTRATOR JOVITA CARRANZA: CURRENT ISSUES AND 
                           THE FY2021 BUDGET

    On Wednesday, February 26, 2020, the Committee on Small 
Business held a hearing titled: ``A Discussion with SBA 
Administrator Jovita Carranza: Current Issues and the FY2021 
Budget''. The hearing was an opportunity for Members to discuss 
the newly appointed Small Business Administration (SBA) 
Administrator's vision for the Agency, the President's FY2021 
budget request, and the opportunities and challenges that exist 
for participants in SBA's programs.
    The sole witness for the hearing was: The Honorable Jovita 
Carranza, Administrator, U.S. Small Business Administration, 
Washington, D.C.
    Administrator Carranza testified on her priorities for the 
Agency as she begins her role as SBA Administrator. One of her 
priorities was to continue to support SBA's Disaster Assistance 
program to ensure that SBA officials are available and on-the-
ground during a disaster. The witness emphasized another 
priority of continuing to expand SBA's counseling, lending, and 
contracting opportunities to women, minority, and veteran-owned 
businesses. The witness stressed her commitment to promoting 
women-owned businesses particularly as women begin to represent 
a greater portion of the workforce and small business owners. 
The Administrator testified that, as she continues in her new 
position, she will engage with SBA's internal and external 
stakeholders to examine staffing and operational needs.
    In addition, the witness testified that she reviewed the 
President's budget request but would continue to examine the 
needs of SBA's programs in-depth. The Administrator stated that 
she will continue to review the open recommendations made by 
the Government Accountability Office (GAO) and the SBA's Office 
of Inspector General (OIG). The witness also pledged to create 
a steering committee to proactively address the potential 
effects of COVID-19 on small businesses.

 BUILDING BLOCKS OF CHANGE: THE BENEFITS OF BLOCKCHAIN TECHNOLOGY FOR 
                            SMALL BUSINESSES

    On Wednesday, March 4, 2020, the Committee on Small 
Business met for a hearing titled: ``Building Blocks of Change: 
The Benefits of Blockchain Technology for Small Businesses.''
    The witnesses included: Mr. Shane Bigelow, CEO, Ownum, 
LLC., Cleveland, OH who testified on behalf of the Chamber of 
Digital Commerce; Ms. Dawn Dickson, Founder and CEO, PopCom, 
Columbus, OH; Mr. Marvin Ammori, General Counsel, Protocol 
Labs, Wilmington, DE, who testified on behalf of the Blockchain 
Association; Mr. Jim Harper, Visiting Fellow, American 
Enterprise Institute, Washington, D.C.
    The witnesses discussed how blockchain can be used for 
things like cryptocurrency, but also has many other uses, 
including tracking goods in global supply chains or enabling 
peer-to-peer transactions between connected devices. Mr. 
Bigelow discussed how blockchain technology is used to digitize 
vital records, and how secure digital access to such records 
can be beneficial to small businesses. Ms. Dickson discussed 
how her small business utilizes blockchain technology, and also 
outlined how SBA programs and resource partners have engaged 
with this emerging technology. Mr. Ammori provided Committee 
Members a basic understanding of the varied applications of 
blockchain technology including how it can improve 
cybersecurity, payment processing, and record keeping. He 
outlined how blockchain technology can help small businesses 
complete on a level playing field with larger companies and 
also eliminate the need for intermediaries in a number of 
business transactions. Mr. Harper discussed how blockchain 
technology can help lower costs for small businesses, allow for 
diversified and open market structures, and reduce the 
competitive advantage that large businesses have with big data.

        THE IMPACT OF CORONAVIRUS ON AMERICA'S SMALL BUSINESSES

    On Tuesday, March 10, 2020, the Committee on Small Business 
met for a hearing titled: ``The Impact of Coronavirus on 
America's Small Businesses.'' During the hearing, members heard 
from public health experts, small business owners, and 
economists about the early toll of the COVID-19 pandemic on 
America's small firms and how it would affect them moving 
forward as the nation began to shut down.
    The panelists were: Dr. Jennifer Huang Bouey, Ph.D., M.D., 
Senior Policy Researcher, Tang Chair in China Policy Studies, 
Rand Corporation, Arlington, VA; Mr. Jay Ellenby, President 
Safe Harbors Business Travel Group, Bel Air, MD, Testifying on 
behalf of the American Society of Travel Advisors (ASTA); Mr. 
Andrew Chau, Co-Founder and CEO, Boba Guys-Tea People USA, 
Brisbane CA and; Dr. Yanzhong Huang, Ph.D., Senior Fellow for 
Global Health, Council on Foreign Relations, Professor, Seton 
Hall University's School of Diplomacy and International 
Relations, Washington, D.C.
    Dr. Bouey testified about the early effects of the COVID-19 
pandemic in China, and how the economic shutdown in the country 
was likely to hurt small U.S. firms that engage in 
international trade. She also clearly emphasized the two 
epidemics that arise when a viral outbreak hits: that of fear, 
and that of disinformation. Mr. Ellenby testified about the 
early effects on the travel industry, which was one of the 
earliest casualties from the pandemic. He praised the committee 
for its work on the EIDL program and went further to say small 
firms needed additional help, especially in the travel industry 
which had already began mass layoffs. Mr. Chau described the 
early effects of the virus on Asian-American communities here 
in the U.S., which had a significant decline in traffic in the 
lead up to economic shutdowns across the country. He described 
the prejudice and disinformation that was hurting these 
companies' ability to stay afloat. Dr. Huang echoed the 
sentiments of Dr. Bouey and put a greater emphasis on the 
supply chain issues many small companies in the U.S. faced due 
to economic shutdowns in China.

  MEMBER DAY HEARING ON COVID-19 RESPONSE AND RECOVERY: COMMITTEE ON 
                             SMALL BUSINESS

    On Thursday, April 23, 2020, the Committee on Small 
Business held a hearing titled: ``Member Day Hearing on COVID-
19 Response and Recovery: Committee on Small Business''. The 
hearing gave Members of the House of Representatives, including 
non-Committee Members, the opportunity to testify before the 
Committee about priorities related to the Paycheck Protection 
Program (PPP) and the Economic Injury Disaster Loan (EIDL) as 
established under the CARES Act. The hearing was comprised of 
six panels.
    The witnesses for panel one were: The Honorable Ed Case, 
The Honorable Andy Barr, The Honorable Gil Cisneros, The 
Honorable Gus Bilirakis, The Honorable Veronica Escobar, The 
Honorable Ted Budd, The Honorable Jimmy Gomez, and The 
Honorable Mark Amodei.
    The witnesses for panel two were: The Honorable Deb 
Haaland, The Honorable Bradley Byrne, The Honorable Steven 
Horsford, The Honorable Buddy Carter, The Honorable Derek 
Kilmer, The Honorable John Curtis, The Honorable Susie Lee, and 
The Honorable Michael Burgess.
    The witnesses for panel three were: The Honorable Elaine 
Luria, The Honorable Morgan Griffith, The Honorable Tom 
Malinowski, The Honorable Dusty Johnson, The Honorable Joe 
Neguse, The Honorable Mike Johnson, The Honorable Donald 
Norcross, and The Honorable Brian Fitzpatrick.
    The witnesses for panel four were: The Honorable Dean 
Phillips, The Honorable Fred Keller, The Honorable Max Rose, 
The Honorable Greg Pence, The Honorable Adam Schiff, The 
Honorable Tom Rice, The Honorable Kim Schrier, and The 
Honorable John Katko.
    The witnesses for panel five were: The Honorable Mikie 
Sherrill, The Honorable Chip Roy, The Honorable Elissa Slotkin, 
The Honorable Lloyd Smucker, The Honorable Abigail Spanberger, 
The Honorable Scott Tipton, The Honorable Haley Stevens, and 
The Honorable Phil Roe.
    The witnesses for panel six were: The Honorable Mike 
Thompson, The Honorable Ann Wagner, The Honorable Steve Womack, 
and The Honorable Glenn Thompson.

 UPDATE FROM THE SMALL BUSINESS ADMINISTRATION'S RESOURCE PARTNERS ON 
                  THE IMPLEMENTATION OF THE CARES ACT

    On Thursday, May 7, 2020, the Committee on Small Business 
met for a bipartisan virtual forum titled: ``Update from the 
Small Business Administration's Resource Partners on the 
Implementation of the CARES Act.'' The virtual forum focused on 
the Resource Partner implementation of the CARES Act, what is 
working well and what can be improved. The virtual forum 
examined the slow disbursement of CARES Act funding, a lack of 
clear and consistent guidance from SBA, a lack of communication 
from SBA, and the delay in SBA implementing CARES Act language 
services requirements.
    The panelists for the virtual forum were: Mr. Tee Rowe, 
President and CEO, America's SBDC, Burke, VA; Ms. Corinne 
Hodges, CEO, Association of Women's Business Centers, 
Washington, D.C.; Ms. Bridget Weston, Acting CEO, The Service 
Corps of Retired Executives (SCORE), Herndon, VA.; Ms. Amy 
Amoroso, Director, Veteran's Business Outreach Center, Region 
II NY/NJ/PR/USVI, Watervliet, NY; Ms. Linda Womack, Director, 
Minority Business Development Agency, Tacoma-Business Center, 
Tacoma Washington.
    SBA Resource Partners stated that, since the beginning of 
the COVID-19 outbreak, they experienced a dramatic increase in 
clients, doing a years' worth of work within a few months. 
Resource Partner's stated that their focus was to help their 
clients navigate the Federal resources provided through the 
CARES Act, create resiliency plans for a long-term loss of 
revenue, and pivot to virtual and remote customer service. In 
addition, Resource Partners stated that the conflicting 
information and guidance from SBA hindered their ability to 
provide accurate and timely information to small business 
owners and entrepreneurs. Lastly, the Resource Partners stated 
that they relied on the languages services that their centers 
can provide in-house because SBA had not provided services and 
materials in foreign languages.

      A CONVERSATION WITH SBA PAYCHECK PROTECTION PROGRAM LENDERS

    On Wednesday, May 13, 2020, the Committee on Small Business 
held a bipartisan virtual forum titled: ``A Conversation with 
SBA Paycheck Protection Program Lenders'' led by Subcommittee 
on Economic Growth, Tax, and Capital Access Chairman Andy Kim 
(D-NJ) and Ranking Member Kevin Hern (R-OK). During the forum, 
Committee Members learned about the issues lenders and 
borrowers encountered in the program. Members also discussed 
potential improvements with the panelists.
    The panelists were: Mr. Tony Wilkinson, President, National 
Association of Government Guaranteed Lenders (NAGGL); Ms. 
Dafina Williams, Vice President of Public Policy, Opportunity 
Finance Network (OFN); Mr. Brett Palmer, President, Small 
Business Investor Alliance (SBIA); and Mr. D. Jay Hannah, 
Executive Vice President of Financial Services, BancFirst Bank.
    Mr. Wilkinson's testimony provided a broad overview of the 
issues Paycheck Protection Program (PPP) lenders faced early in 
the program, which for lenders, centered on a lack of 
programmatic guidance, both for program operations, and 
specifically on the forgiveness rule. Mr. Wilkinson also 
testified that many borrowers reported the forgiveness terms 
were too restrictive, and that they would struggle to achieve 
full forgiveness. Ms. Williams testified from the perspective 
of Community Development Financial Institutions (CDFIs) 
following the $60 billion set-aside for community lenders that 
was included in the Paycheck Protection Program and Health Care 
Enhancement Act. Mr. Palmer testified regarding the role the 
SBA's Small Business Investment Company Program can play in 
providing long-term recovery funding, particularly for those 
businesses who need different capital solutions than 
traditional bank financing or a PPP loan. Mr. Hannah offered 
the perspective of a community banker participating in the PPP 
and testified regarding the job-saving impact the program was 
having on his community.

   FIRST LOOK: SBA OFFICE OF INSPECTOR GENERAL PRELIMINARY PAYCHECK 
                       PROTECTION PROGRAM REPORT

    On Friday, May 15, 2020, the Committee on Small Business 
met to hold a bipartisan virtual forum titled: ``First Look: 
SBA Office of Inspector General Preliminary Paycheck Protection 
Program Report'' led by Subcommittee on Investigations, 
Oversight, and Regulations Chairwoman Judy Chu (D-CA) and 
Ranking Member Ross Spano (R-FL). The forum focused on the 
Small Business Administration (SBA) Office of Inspector 
General's (OIG) plan to conduct audits and reviews of the CARES 
Act Paycheck Protection Program (PPP) and Economic Injury 
Disaster Loan (EIDL) program. The virtual forum also included a 
discussion on the ``Flash Report'' released on May 8, 2020, by 
the SBA OIG that outlined where SBA's interim finale rules 
(IFR) and FAQs where aligned with the intent of the CARES Act 
and were they differed.
    The panelist for the virtual forum was: The Honorable 
Hannibal ``Mike'' Ware, the Inspector General of the Small 
Business Administration.
    The panelist stated that the OIG plans to leverage past 
oversight work, aimed at reducing fraud, waste, and abuse, and 
utilize lessons learned from previous audits to inform the 
CARES Act funding recipients and SBA on ways to avoid risk 
areas. The panelist also detailed the findings from the May 8, 
2020, ``Flash Report'' that stated that SBA did not issue 
guidance to prioritize underserved markets or to lenders on the 
deferment process. In addition, the OIG stated that SBA 
implemented two requirements that did not align with the CARES 
Act; the requirements that 75 percent of the PPP loan be used 
for payroll and that borrowers repay any amount not eligible 
for forgiveness withing two years. The panelist suggested that 
SBA could improve upon the findings in the ``Flash Report'' by 
issuing appropriate guidance, collecting demographic data on 
loans, and evaluate the negative impact of the 75 percent of 
PPP usage rule and reevaluate as necessary.

               THE EFFECTS OF COVID-19 ON RURAL ECONOMIES

    On Wednesday, May 20, 2020, the Committee on Small Business 
held a bipartisan virtual forum titled: ``The Effects of COVID-
19 on Rural Economies'' led by Subcommittee on Rural 
Development, Agriculture, Trade, and Entrepreneurship 
Chairwoman Abby Finkenauer (D-IA) and Ranking Member John Joyce 
(R-PA). This forum provided an opportunity for members of 
Congress to hear from rural leaders about the impacts of COVID-
19 on rural communities and how Small Business Administration's 
(SBA) programs, and other federal programs, are addressing the 
issues.
    At the virtual forum, members heard from the following 
panelists: Mr. Bill Menner, Executive Director of the Iowa 
Rural Development Council, Grinnell, Iowa; Ms. Melissa Moretz, 
Farmer at Moretz Farm and Commercial Portfolio Manager at First 
Citizens Bank, Mason City, Iowa; Ms. Ines Polonius, CEO of 
Communities Unlimited, Fayetteville, Arkansas: Mr. Rick Ebert, 
President of Pennsylvania Farm Bureau, Blairsville, 
Pennsylvania.
    The witnesses testified about programs in the CARES Act 
that were intended to provide relief for struggling small 
businesses impacted by the global COVID-19 pandemic, including 
programs at SBA and USDA. Witnesses discussed rural community 
vitality, health, and well-being, and pointed out that many 
rural communities had challenges prior to the outbreak of 
COVID-19 such as capital access, and broadband connectivity 
issues which have been exacerbated by COVID-19 and need to be 
addressed as part of comprehensive recovery efforts. Witnesses 
also discussed many CARES act programs and their importance for 
rural communities. However, some witnesses pointed out that 
these programs are only helpful if the businesses and 
communities have knowledge of the programs and access to 
lenders or resource partners. Some witnesses pointed out that 
many rural communities are unbanked, and the important role 
that CDFIs and other microlenders play in supporting rural 
small businesses. Witnesses also discussed the impacts of the 
COVID-19 pandemic on agriculture. One witness pointed out that 
the loss of markets has impacted farm businesses around the 
country, many farmers initially had problems in accessing SBA 
CARES act programs. Additionally, many of the witnesses 
outlined the importance of 501(c)(6) and other non- profits in 
rural communities and discussed the desire for those entities 
to be eligible for CARES act supports.

  BUSINESS INTERRUPTION COVERAGE: ARE POLICYHOLDERS BEING LEFT BEHIND?

    On Thursday, May 21, 2020, the Committee on Small Business 
held a bipartisan virtual forum titled: ``Business Interruption 
Coverage: Are Policyholders Being Left Behind?'' It was led by 
led by Subcommittee on Innovation and Workforce Development 
Chairman Jason Crow (D-CO) and Ranking Member Troy Balderson 
(R-OH). During the forum, Committee Members learned about the 
issues small business insurance policyholders have faced in 
making pandemic-related insurance claims. Members also 
discussed various proposed solutions.
    The panelists were: Mr. Chris Morrow, Owner, Northshire 
Bookstore; Mr. Francisco Schlotterbeck, CEO, Maya Cinemas; Mr. 
Mark Shaker, Co-Founder, Stanley Marketplace; Mr. John W. 
Houghtaling II, Managing Partner, Gauthier Murphy & Houghtaling 
LLC; and Sean Kevelighan, President and CEO, Insurance 
Information Institute.
    As a bookstore owner with stores in two states, Mr. Morrow 
testified as to the challenges he faced with two different sets 
of insurance rules governing the policies in each state. Mr. 
Schlotterbeck testified regarding the unique impact the 
pandemic was having on movie theaters and other businesses who 
depend on gathering people together. Mr. Shaker's testimony 
offered the perspective of a small business owner who also 
rents space in his marketplace to other small businesses, and 
shared with the Committee some of the ways in which he has been 
able to offer his tenants relief. Mr. Houghtaling testified 
regarding policyholder's rights under business interruption 
insurance policies generally, and especially with regard to 
policies that explicitly include coverage for viral pandemics 
claims on which have been denied. Mr. Houghtaling also 
testified regarding some potential solutions for policyholders. 
Mr. Kevelighan testified from the insurance industry's 
perspective and argued against relief for policyholders under 
many existing contracts.

   SMALL BUSINESS PRIORITIES FOR THE NEXT PHASE OF RECOVERY: HOW TO 
         LEVERAGE THE SMALL BUSINESS DEVELOPMENT CENTER NETWORK

    On Thursday, May 28, 2020, the Committee on Small Business 
met for a bipartisan virtual forum led by Subcommittee 
Contracting and Infrastructure Chairman Jared Golden (D-ME) and 
Ranking Member Pete Stauber (R-MN) titled: ``Small Business 
Priorities for the Next Phase of Recovery: How to Leverage the 
Small Business Development Center Network.'' The virtual forum 
provided an opportunity for Members to learn how Small Business 
Development Centers (SBDCs) have supported small businesses in 
their local communities through the COVID-19 pandemic and 
examined the challenges businesses face through phased 
reopening. The forum also discussed how H.R. 4406, the Small 
Business Development Center Improvement Act of 2019, would 
allow SBDCs to reach more small businesses through marketing.
    The panelists for the virtual forum were: Mr. Tee Rowe, 
President and CEO, America's SBDC, Burke, VA; Mr. Mark Delisle, 
State Director, Maine SBDC, Portland, ME; Mr. Joe Musumeci and 
Ms. Mary Ellms, Co-Owners, Farmington Underground Escape Room, 
Farmington, ME; Mr. Bruce Strong, State Director, Minnesota 
SBDC, St. Paul, MN.
    The panelists stated that fragmented phased reopening 
requirements across the country created confusion among SBDC 
counselors, clients, and customers. In addition, seasonal 
businesses were negatively impacted by closures as they rely on 
the summer months to generate a large portion of their annual 
revenue. Panelists stated that this frustration was compounded 
when seasonal businesses initially had to calculate Paycheck 
Protection Program (PPP) applications with their current number 
of staff, not their peak staff level. While this was addressed 
through an April 2, 2020 Interim Final Rule (IFR) from the 
Small Business Administration (SBA), seasonal businesses have 
had to use SBDCs to get creative and pivot their business 
models to adapt and survive.
    Panelists also discussed the negative impact of SBDCs being 
unable to market their services. Panelists stated that more 
small businesses and entrepreneurs could use the invaluable 
services that SBDC provide but, they may be unaware of their 
existence in their communities.Panelists stated that if 
Congress were to pass H.R. 4406, the bills marketing provisions would 
help small businesses learn about and access the services of SBDCs 
across the country.

   THE ECONOMIC INJURY DISASTER LOAN PROGRAM: A VIEW FROM MAIN STREET

    On Wednesday, June 10, 2020, the Committee on Small 
Business held a virtual hearing titled: ``The Economic Injury 
Disaster Loan Program: A View from Main Street.'' During the 
hearing, Committee Members learned about the SBA's Economic 
Injury Disaster Loan (EIDL) program, which was made available 
to small businesses, independent contractors, and certain 
nonprofits as a way to provide financial assistance for harm 
caused by the COVID-19 pandemic issues small business insurance 
policyholders have faced in making pandemic-related insurance 
claims. Members also discussed various proposed solutions.
    The panelists were: Ms. Nancy Sexton, Owner, The Muse 
Rooms, North Hollywood, CA; Mr. Jerome Whack, Owner, Christian 
Street Pharmacy, Philadelphia, PA; Dr. Craig Gerstein, 
Ophthalmologist, Gerstein Eye Institute, Chicago, IL; Ms. Karen 
Kerrigan, President and CEO, SBE Council, Vienna, VA.
    As the owner of a co-working space for other entrepreneurs, 
Ms. Sexton's testimony offered the perspective of a small 
business owner who also rents space to other small businesses, 
and shared with the Committee some of the unique challenges she 
faced and how she tried to offer her tenants relief. She also 
testified regarding her expectations that the EIDL would 
provide long- term low-interest capital for flexible uses, and 
was disappointed to learn that neither her EIDL loan or advance 
amounts would meet her needs. Mr. Whack's testimony focused on 
how the pandemic had a disproportionate impact on communities 
of color, and how his pharmacy struggled through the pandemic 
with particularly thin margins but continued to serve the 
community. He was hopeful the EIDL Advance would have provided 
a quick bridge to longer-term capital, but an unintentional 
error kept him from quickly accessing funds. Dr. Gerstein's 
testified that he needed a loan of about $800,000 to $1 million 
in order for his business to survive the pandemic and felt that 
with a maximum loan size of $2 million, the EIDL program was 
perfect for his needs. He testified regarding his 
disappointment at the SBA-imposed $150,000 cap on loan sizes, 
and how he was then forced to seek more expensive capital 
elsewhere. Ms. Kerrigan's testimony summarized numerous issues 
with borrower's experience in the EIDL program, and offered 
numerous recommendations for improving the EIDL program, which 
included increasing transparency with stakeholders about 
changes and why they are being made.

   PAYCHECK PROTECTION PROGRAM: LOAN FORGIVENESS AND OTHER CHALLENGES

    On Wednesday, June 17, 2020, the Committee on Small 
Business held a virtual hearing titled: ``Paycheck Protection 
Program: Loan Forgiveness and Other Challenges.'' During the 
hearing, Committee Members learned about the SBA's Paycheck 
Protection Program (PPP) and the issues borrowers and lenders 
faced in applying for and using the loans, especially regarding 
the eligible use of proceeds that qualify borrowers for full 
loan forgiveness. Members also heard about the positive 
experiences and impact of the program, feedback regarding 
recently enacted changes to the program, and recommendations to 
continue optimizing the program.
    The panelists were: Ms. Melissa Kelly, Executive Chef and 
Proprietor, Primo, Rockland, ME; Mr. Eduardo Sosa, Senior Vice 
President, SBA Lending, Commerce National Bank, West Lake 
Hills, TX; Ms. Ashley Harrington, Director of Federal Advocacy 
and Senior Counsel, Center for Responsible Lending, Washington, 
DC; and Dr. Rich Coleman, DVM, Owner, Four Paws Animal 
Hospital, Lebanon, OH.
    Ms. Kelly testified that the restricted use of PPP loan 
funds limited the business-saving value of the loan to her 
business, which needed relief beyond payroll support, though 
she did retain multiple employees. Mr. Sosa's testimony offered 
the perspective of a seasoned 7(a) lender with deep knowledge 
and experience with the 7(a) loan program. He reported 
frustrations with the PPP, particularly the lack of 
programmatic guidance for lenders and forgiveness guidance for 
borrowers. Ms. Harrington's testimony focused on the 
disproportionate impact the COVID-19 pandemic was having on 
businesses of color and urged Congress to strengthen community 
lender set asides. Both Mr. Sosa and Ms. Harrington urged 
Congress to provide automatic loan forgiveness for all PPP 
loans of at least $125,000. Dr. Coleman's testimony provided a 
generally positive review of the program, as the loan helped 
him save 34 jobs at his animal hospital, and reported his only 
concern with the loan process was that the documents he signed 
did not have any language discussing loan forgiveness terms, 
and felt he was signing the loan in good faith that the 
government would honor forgiveness.

   THE ECONOMIC INJURY DISASTER LOAN PROGRAM: STATUS UPDATE FROM THE 
                             ADMINISTRATION

    On Wednesday, July 1, 2020, the Committee on Small Business 
held a hybrid hearing titled: ``The Economic Injury Disaster 
Loan Program: Status Update from the Administration.'' During 
the hearing, Committee Members heard about the SBA's 
implementation of the Economic Injury Disaster Loan (EIDL) 
program during the Coronavirus pandemic (COVID-19). Members 
also asked Mr. James Rivera, the Associate Administrator for 
ODA, about his plan to strengthen the program in the coming 
months, and what programmatic changes were needed from Congress 
in order to improve the program's operations and reach.
    The sole witness was Mr. James Rivera, Associate 
Administrator for the SBA's Office of Disaster Assistance.
    Mr. Rivera testified that the SBA's decisions to cap EIDL 
loan sizes at $150,000, and to limit EIDL Advances to $1,000 
per employee, were out of a desire to ensure limited program 
funds could reach all borrowers. He also testified regarding 
the numerous challenges the agency faced ramping up the program 
in response to COVID-19, which saw more disaster lending than 
for any other disaster in the agency's history, combined. At 
the time of the hearing, Mr. Rivera reported that ODA staff 
totaled over 7,000 personnel, which was an all-time high for 
SBA's disaster response efforts. He also addressed concerns 
over SBA's lack of communication with borrowers and 
stakeholders.

          LONG-LASTING SOLUTIONS FOR A SMALL BUSINESS RECOVERY

    On Wednesday, July 15, 2020, the Committee on Small 
Business met for a virtual hearing titled: ``Long-Lasting 
Solutions for a Small Business Recovery.'' The hearing focused 
on current barriers and solutions to recovery for small 
businesses. It explored efforts to stimulate small business 
growth following the Great Recession, applying those programs 
to the Coronavirus Pandemic (COVID-19), and new ideas to help 
industries that have been disproportionally impacted by COVID-
19.
    The witnesses for the hearing were: Mr. Brett Palmer, 
President of the Small Business Investor Alliance; Ms. Amanda 
Cohen, Chef and Owner of Dirt Candy; Dr. Lisa D. Cook, 
Professor at Michigan State University; and Mr. Pete Blackshaw, 
CEO of Cintrifuse.
    The witnesses testified how small businesses and the 
economy as a whole were doing before and during the pandemic. 
All of the witnesses discussed how SBA and government programs, 
such as Economic Injury Disaster Loan Program (EIDL) and 
Paycheck Protection Program (PPP) have helped their businesses 
during the COVID-19 pandemic. The witnesses provided 
recommendations on how SBA and the Federal government could 
further improve programs to assist small businesses during and 
after the COVID-19 pandemic. For example, Mr. Palmer suggested 
improving the SBIC program to help challenges with accessing 
capital--especially equity and growth capital--and improving 
access to short-term lines of credit. While Dr. Cook focused on 
how to target the PPP and EIDL programs to further assist women 
and minority-owned businesses.
    Additionally, the witnesses emphasized how the current SBA 
programs have not fully addressed problems in rural communities 
and with women-owned, minority-owned, and microbusinesses. Two 
of the witnesses Dr. Cook and Ms. Cohen advocated that moving 
forward, there needs to be more access to grants, rather than 
loans, to target the most underrepresented groups. Ms. Cohen 
also advocated for the RESTAURANTS Act, which would build on 
the successes of the PPP and Emergency EIDL grants by creating 
a new $120 billion dollar grant program to provide additional 
support for restaurants that have been hit the hardest by the 
COVID-19 pandemic. Finally, Mr. Palmer testified regarding how 
a new ``Micro-SBIC'' license would help remove unintentional 
barriers to entry to the private equity space by minority 
investors.

   OVERSIGHT OF THE SMALL BUSINESS ADMINISTRATION AND DEPARTMENT OF 
                       TREASURY PANDEMIC PROGRAMS

    On Friday, July 17, 2020, the Committee on Small Business 
held a hybrid hearing titled: ``Oversight of the Small Business 
Administration and Department of Treasury Pandemic Programs.'' 
During the hearing, Committee Members heard directly from the 
two agency heads responsible for the implementation of several 
legislative provisions designed to assist small businesses 
during the Coronavirus pandemic (COVID-19), including the 
Paycheck Protection Program (PPP) established under the CARES 
Act, as well as SBA's long-standing EIDL program. Members also 
asked the panelists about further policy changes to ensure the 
programs are reaching underserved small businesses.
    The witnesses were the Honorable Steven Mnuchin, U.S. 
Secretary of the Treasury and the Honorable Jovita Carranza, 
Administrator of the Small Business Administration (SBA).
    Secretary Mnuchin testified in support of setting aside PPP 
dollars for minority-owned businesses, though he did not commit 
to a specific amount. Mr. Mnuchin's testimony also provided an 
update regarding PPP data and the agencies' cooperation with 
the Government Accountability Office (GAO). He further 
testified about other Treasury pandemic programs, such as the 
Economic Impact Payments and Federal Reserve facilities. 
Administrator Carranza testified that SBA's Office of Capital 
Access approved over 3,600 new lenders who have never before 
participated in SBA lending, and that over 5,300 lenders were 
in the smallest lender category. She also testified these 
lenders reported making the highest number of loans. She 
further testified that though SBA continues to process and 
approve EIDL loans, the agency exhausted the $20 billion 
provided for EIDL Advances. Members also pressed the 
Administrator to lift the $150,000 cap on the EIDL, stating the 
decision shortchanged millions of small businesses.

                 TRANSPARENCY IN SMALL BUSINESS LENDING

    On Wednesday, September 9, 2020, the Committee on Small 
Business held a hearing titled: ``Transparency in Small 
Business Lending.'' During the hearing, Committee Members 
learned about the importance of transparency in the terms and 
pricing of small business loans, especially in a credit market 
filled with predatory lenders. Members heard from a large 
Community Development Financial Institution (CDFI) that 
recently partnered with two financial technology (Fintech) 
companies to expand access to affordable capital to underserved 
borrowers. Members also heard from a second CDFI lender and 
fair lending advocate about state-level efforts to improve 
transparency in small business lending, and more broadly about 
the risks presented to small business owners by some Fintech 
products. Members also asked the legal expert on the panel how 
the current patchwork of state and federal law cannot properly 
oversee and regulate the small business credit market, and 
recommendations for improving transparency and fairness in 
small business lending without hurting the affordability of 
credit.
    The witnesses were: Ms. Luz Urrutia, CEO, Opportunity Fund, 
San Jose, CA; Ms. Yanki Tshering, Executive Director, Business 
Center for New Americans, New York, NY; Mr. Adam Levitin, 
Professor of Law, Georgetown University Law Center, Washington, 
DC; and Mr. Michael Hiles, Founder and CEO, 10XTS, Cincinnati, 
OH.
    Ms. Urrutia testified regarding the ways Fintech advances 
can be deployed responsibly to improve access to affordable 
capital for small businesses. Specifically, she testified that 
her CDFI's recent partnership with two large Fintech companies 
allows her CDFI to expand its geographic reach across the 
country. Ms. Tshering testified regarding the impact unfair 
lending practices and terms can have on minority and immigrant 
small business owners, and as a CDFI lender has refinanced many 
predatory loans into more affordable products. She, along with 
Ms. Urrutia and Mr. Levitin, broadly agreed that Representative 
Velazquez's bill, H.R. 7889 which was introduced on July 30, 
2020 and would apply the Truth in Lending Act to small business 
loans, is a step in the right direction to protect small 
businesses and enhance the role of the Consumer Financial 
Protection Bureau in policing the small business credit market. 
Mr. Levitin testified regarding the legal framework that 
enables predatory small business lenders to operate relatively 
unchecked--a loose and inconsistent patchwork of state and 
federal laws that fail to properly oversee and consistently 
regulate market participants. Mr. Hiles testified regarding the 
opportunities Fintech advances presents for improving 
operations and efficiency at SBA and the federal government 
overall. He also testified on the shifting expectations of 
younger consumers with respect to technology, how it is 
changing the nature of banking, and how this will impact the 
future of small business borrowing.

   TAKING CARE OF BUSINESS: HOW CHILDCARE IS IMPORTANT FOR REGIONAL 
                               ECONOMIES

    On Wednesday, September 30, 2020, the Committee on Small 
Business held a hybrid hearing titled: ``How COVID-19 is 
Impacting Small Businesses Across the Food System.'' This 
hearing gave members a chance to hear about the role of small 
businesses within our food production, distribution, and retail 
systems, the challenges they are facing, and how federal 
programs are addressing these challenges.
    Witnesses included: Ms. Kimberly Gorton, President and CEO, 
Slade Gorton & Co., Inc., Boston, MA; Mr. Jimmy Wright, 
President, Wright's Market, Opelika, AL; Mr. Rob Larew, 
President, National Farmers Union, Washington, DC; Mr. Collin 
Castore, Owner, Seventh Son Brewing, President, Ohio Craft 
Brewers Association (OCBA), Columbus, OH.
    Witnesses discussed the various ways that COVID-19 has 
exposed numerous vulnerabilities across our food system, and 
the impacts on farmers, ranchers, fisheries, and retailers. Ms. 
Gorton discussed how the fisheries and seafood industry are 
dealing with a 70% decline and billions in lost sales, and also 
with the job losses due to COVID-19. She outlined how the small 
businesses in the middle of the food supply chain are critical 
links in distribution, are hurting due to significantly 
decreased demand, and also provide essential financing/credit 
via accounts receivable to restaurant customers. Mr. Wright 
discussed issues facing small retailers, as the struggled to 
compete with larger retailers for in-demand products. He 
discussed both supply chain shortages and changing technologies 
that have been impacting food retail. He also discussed the 
importance of federal nutrition programs like SNAP, that help 
address food insecurity around the nation.
    Mr. Larew outlined the numerous challenges facing American 
farmers and ranchers due to the pandemic. He discussed supply 
chain distributions, consolidation across the food and 
agricultural sectors, and the impact of COVID-19 outbreaks at 
processing plants. He also discussed how food and farm workers 
are on the front lines of the pandemic, and the challenges they 
face. Mr. Castore discussed the economic impact of COVID-19 
restrictions on his small business, and the loss of revenue 
with reduction of on-premises alcohol consumption.

                                 PART B

                         Subcommittee Hearings


                  First Session of the 116th Congress


EXPLORING CHALLENGES AND OPPORTUNITIES OF UNDERSERVED BUSINESSES IN THE 
                              21ST CENTURY

    On Thursday, February 7, 2019, the Subcommittee on Economic 
Growth, Tax, and Capital Access held a hearing titled: 
``Exploring Challenges and Opportunities of Underserved 
Businesses in the 21st Century.'' The hearing allowed Members 
to explore the challenges faced by women-owned, minority-owned, 
veteran-owned businesses, and rural businesses; how those 
businesses have overcome those challenges; and how Congress can 
enhance opportunities for growth within each of those 
entrepreneurial communities.
    Witnesses on the panel were: Ms. Sharon Pinder, President & 
CEO, Capital Region Minority Supplier Development Council; Ms. 
Marla Bilonick, Executive Director, Latino Economic Development 
Center; Mr. Davy Leghorn, Assistant Director, American Legion 
Veterans Employment & Education Division; and Mr. Michael 
Romano, Senior Vice President, Industry Affairs & Business 
Development, NTCA--The Rural Broadband Association.
    In her testimony, Ms. Pinder questioned why the SBA hasn't 
licensed more minority-led small business investment companies 
(SBICs), and argued that diverse businesses play a critical 
role in closing the racial wealth gap. Ms. Bilonick testified 
that though underserved businesses tend to face many 
challenges, the most significant are a lack of access to 
capital, lack of access to information and educational 
resources, poor or no credit history, and systemic and 
institutional racism and sexism. In his testimony, Mr. Leghorn 
argued that the Department of Veterans' Affairs Veterans First 
Contracting Program should be legislatively extended to the 
Department of Defense and Department of Homeland Security. He 
also testified that to prevent lapses in federal appropriations 
from inhibiting the ability of lenders in the SBA's loan 
programs to make loans, SBA's loan processing staff should be 
designated ``essential workers.'' Mr. Romano testified on the 
challenges many rural-based businesses face in accessing 
affordable and reliable broadband Internet. He also testified 
that the primary challenge of rural network development is 
``making a business case for constructing networks across 
hundreds or thousands of miles where the population is sparse, 
the terrain is diverse, and the permitting and contractual 
considerations can be substantial.''

             SHUTDOWN LESSONS: SBA CAPITAL ACCESS PROGRAMS

    On Tuesday, February 26, 2019, the Subcommittee on 
Investigations, Oversight, and Regulations held a hearing 
titled: ``Shutdown Lessons: SBA Capital Access Programs.'' The 
hearing allowed Members to explore the challenges faced by the 
Small Business Administration's (SBA) Office of Capital Access 
during the recent 35-day partial government shutdown, as well 
as any lessons learned from conducting its business during a 
lapse in appropriations.
    The sole witness was Mr. William Manger, Associate 
Administrator, Office of Capital Access, SBA.
    Mr. Manger testified that during the government shutdown of 
2018-19, SBA was unable to approve loans, nor was able to 
accept new loan applications. SBA was also unable to process 
applications for SBA-guaranteed surety bonds. All new secondary 
market 7(a) loan pools were stopped and purchasing of SBA-
guaranteed loans was also halted. He also testified that though 
most routine activity in the Office of Capital Access ceased to 
operate, a few excepted and exempt operations were functional 
during the lapse, including the administrative closing of 
certain pre-approved and obligated 504 loans, continued 
applications and servicing actions on disaster loans, and the 
Lender Match platform.

        SMALL BUT MIGHTY: A REVIEW OF THE SBA MICROLOAN PROGRAM

    On Thursday, March 7, 2019, the Subcommittee on Economic 
Growth, Tax, and Capital Access held a hearing titled ``Small 
but Mighty: A Review of the SBA Microloan Program.'' The 
hearing allowed Members to learn about the program and its 
functions, explore opportunities to continue strengthening the 
program, and listen to some of its success stories.
    Witnesses on the panel were: Ms. Ceyl Prinster, President & 
CEO, Colorado Enterprise Fund, Denver, CO; Ms. Carolina 
Martinez, CEO, California Association for Micro Enterprise 
Opportunity, San Francisco, CA; Ms. Mariama Jallow, Owner, 
Mariama's Beauty Supply, Portland, ME; and Ms. Michelle 
Richards, Executive Director, Great Lakes Women's Business 
Council, Livonia, MI (testified on behalf of Women Impacting 
Public Policy).
    Ms. Prinster testified in favor of two changes to the 
Microloan program she believes would reduce administrative 
burdens on both Intermediaries and the SBA, and facilitate 
improved processes to support small businesses seeking credit. 
The first is the elimination of the ``one-fifty-fifth rule,'' 
which places an annual limitation on the distribution of loan 
funds for the first half of the year to the lesser of $800,000 
or one-fifty-fifth of the new funds appropriated. The second is 
the elimination of the ``50-50 rule,'' which governs the amount 
of technical assistance grant funds an Intermediary may use on 
pre-loan vs. borrower support. Ms. Martinez also testified in 
favor of eliminating the 50-50 rule, as well as amending the 
one-fifty-fifth rule and for creating a reserve fund at SBA so 
that SBA can deploy capital throughout the year in the event of 
a lapse in appropriations. She also testified that SBA should 
make Microloan data publicly available on its website, similar 
to the data publicly available for the 7(a) program. Ms. Jallow 
testified regarding her positive experience as a borrower in 
the program, and particularly with regard to the importance of 
the technical assistance component of the program. Ms. 
Richards' testimony echoed the others in arguing for changes to 
the one-fifty-fifth and 50-50 rules that would provide greater 
flexibility to Intermediaries. She also advocated for increased 
public access to Microloan data.

           CHALLENGES IN SBA'S STATE TRADE EXPANSION PROGRAM

    On Tuesday, March 12, 2019, the Subcommittee on Rural 
Development, Agriculture, Trade, and Entrepreneurship held a 
hearing titled: ``Challenges in SBA's State Trade Expansion 
Program.'' The hearing reviewed the state of the SBA State 
Trade Expansion Program (STEP), which was created by The Trade 
Facilitation and Trade Enforcement Act of 2015 (TFTEA). The 
program provides grants to states to increase the number of 
small businesses exploring trade opportunities.
    The witnesses for the hearing were: Ms. Kimberly 
Gianopoulos, Director, International Affairs and Trade, 
Government Accountability Office (GAO); and Mr. Hannibal 
``Mike'' Ware, Inspector General of the Small Business 
Administration.
    Ms. Gianopoulos' testimony was based on a GAO report, which 
examined the extent to which SBA's management process provides 
reasonable assurance of compliance with the TFTEA and whether 
SBA has taken steps to address the challenges states report in 
using grant funds. Ms. Gianopoulos testified that SBA's 
management process does not provide reasonable assurance that 
STEP grant recipients met two of the three TFTEA requirements, 
which are: proportional distribution requirement, total match 
requirement, and cash match requirement. While SBA's process 
provides reasonable assurance of compliance with the 
proportional distribution requirement, some states report 
challenges with using the grant funds and SBA has not 
adequately assessed the risk to the program from low grant use. 
Ms. Gianopoulos also testified that some states cited 
additional challenges, which include the timing of the 
application and award processes, administrative burdens, and 
communication with SBA.
    Mr. Ware testified that the performance measurements could 
be improved, and recipients could have been held more 
accountable for meeting the reporting requirements. Mr. Ware 
discussed the nine recommendations the OIG made to improve 
accountability and performance of STEP, which include (1) meet 
with Congress to determine STEP expectations for FY 2012; (2) 
ensure that STEP grant recipients' FY 2012 performance measures 
align with Congress' expectations; (3) require STEP grant 
recipients to establish and provide SBA with quarterly 
milestones that will measure effectiveness and efficiency on a 
quarterly basis; (4) in cases where STEP grant recipients do 
not meet established milestones, require grant recipients to 
provide SBA with revised work plans and budget estimates to 
meet proposed performance goals; (5) hold STEP grant recipients 
accountable for adhering to reporting requirements established 
in the notices of award and the FY 2012 STEP grant program 
announcement; (6) document and maintain all analyses, 
evaluations, and rationale used to award STEP grants; (7) 
provide Grant Officer's Technical Representative (GOTR) 
training to OIT personnel acting in that capacity; (8) 
establish and implement a policy requiring GOTRs to conduct in-
depth reviews of STEP grant recipients' quarterly submissions 
and provide feedback to grant recipients; and (9) consult with 
OGM to modify STEP grant terms and conditions to align with 
SBA's management of the program.

   CLEARED FOR TAKE-OFF? IMPLEMENTATION OF THE SMALL BUSINESS RUNWAY 
                             EXTENSION ACT

    On Tuesday, March 26, 2019, the Subcommittee on Contracting 
and Infrastructure held a hearing titled: ``Cleared for Take-
off? Implementation of the Small Business Runway Extension 
Act.'' The hearing examined the Small Business Runway Extension 
Act of 2018 and the reasons presented by the Small Business 
Administration to delay its implementation. Furthermore, the 
hearing explored potential solutions to clarify the statute's 
intent and mitigate any implementation challenges.
    The witnesses for the hearing were: Mr. David Black, 
Partner, Holland & Knight, Tysons, VA; Ms. Megan C. Connor, 
Partner, PilieroMazza PLLC, Washington, DC; Mr. Brian Morales, 
President, ProCal Lighting, Vista, CA, who testified on behalf 
of the National Electrical Contractors Association and; Ms. 
Erin Allen, President, Contemporaries, Inc., Silver Spring, MD, 
who testified on behalf of the Montgomery County Chamber of 
Commerce.
    Mr. Black explained the unnecessary confusion that the SBA 
created in the small business procurement community by claiming 
that the Runway Extension Act was not immediately effective 
upon enactment and that it was not applicable to SBA. He stated 
why those arguments were legally incorrect and recommended to 
address the issue with clarifying amendments that would shed 
light onto congressional intent. Moreover, he stressed that 
Congress had done a great thing by passing the Runway Extension 
Act and that delaying its implementation through any other 
legislative action would be taking away a benefit that had 
already been provided to the community.
    Ms. Connor advocated for a transition period to ensure that 
those small firms that might be negatively impacted by Runway 
Extension Act are able to adequately adjust. Furthermore, she 
stressed that the System for Award Management--commonly known 
as SAM--must be modified to appropriately reflect the change in 
the receipts-based formula directed by the Runway Extension 
Act. Finally, Mr. Morales and Ms. Connor, both business owners, 
provided their perspective as to the benefits that the Runway 
Extension Act brings to small business companies that are 
steadily growing. They welcomed any additional measures taken 
by the Committee to provide further guidance, reduce confusion 
and ensure that the law is promptly implemented.

       THE SMALL BUSINESS TRADE SNAPSHOT: AGRICULTURE AND WORKERS

    On Tuesday, April 2, 2019 the Subcommittee on Rural 
Development, Agriculture, Trade, and Entrepreneurship met for a 
hearing titled, ``The Small Business Trade Snapshot: 
Agriculture and Workers.'' With trade at the issues at the 
forefront of national conversations, small businesses which 
include farmers, make up ninety-seven percent of U.S. 
exporters.
    Witnesses included, Mr. Mark Meirick, Board Member, Iowa 
Pork Producers Association Protivin, IA, testifying on behalf 
of the National Pork Producers Council; Ms. Rebecca Dostal, 
Iowa Farm Bureau, Traer, IA, testifying on behalf of the Iowa 
Farm Bureau Federation; Mr. Josh Nassar, Legislative Director, 
International Union, United Automobile, Aerospace, and 
Agricultural Implement Workers of America, UAW, Washington, 
D.C.; and Mr. Glenn Stoltzfus, Co-owner, Pennwood Farms, 
District 11 State Board Director and Dairy Committee Chairman, 
Pennsylvania Farm Bureau, Berlin, PA.
    Mr. Meirick testified that the tariffs imposed by the 
Administration are currently disrupting the pork producing 
industry. He stated there never is a good time to have an 
export disruption, but the timing now is particularly bad. He 
went onto explain that the current trade wars are hurting pork 
producers because of retaliatory tariffs. Ms. Dostal testified 
about the importance of farming and exporting to the 
sustainability of rural economies, particularly Iowa. She 
stressed that trade deals like TPP, USMCA, a trade agreement 
with the EU that includes agriculture, and a trade deal with 
China that is fair and predictable, would expand our markets, 
help American farmers, and sustain our rural communities. Mr. 
Nassar testified that lawmakers must re-think trade policies 
with a focus on the ensuring American workers are protected. He 
testified that any effort to reset America's trade policy must 
also be accompanied by a strong industrial policy focused on 
education, workforce training, research and development, 
support for advanced manufacturing and technologies, building a 
21st century infrastructure, balancing environmental and energy 
policy, and creating penalties for companies that turn their 
back on American workers.

    SBA 7(A) BUDGET PROPOSAL AND THE IMPACT OF FEE STRUCTURE CHANGES

    On Wednesday, April 10, 2019, the Subcommittee on Economic 
Growth, Tax, and Capital Access held a hearing titled: ``SBA 
7(a) Budget Proposal and the Impact of Fee Structure Changes.'' 
The hearing allowed Members to learn about the 7(a) Loan 
Guaranty Program and how it functions as one that usually 
operates at zero cost to the taxpayer. Further, the hearing 
examined the Small Business Administration's (SBA) budget 
proposal for Fiscal Year 2020 (FY2020), the proposal contained 
therein to adjust the fee structures in the program, and the 
impact the proposed changes could have on the sustainability of 
the 7(a) program.
    There were two witness panels. Mr. Tim Gribben, Chief 
Financial Officer and Associate Administrator for Performance 
Management at SBA testified as the sole witness on the first 
panel. Panelists on the second panel were: Mr. Tony Wilkinson, 
President & CEO, National Association of Government Guaranteed 
Lenders, Stillwater, OK; Ms. Lynn G. Ozer, President-SBA 
Lending, Fulton Bank, Pottstown, PA; Ms. Gail Jansen, Vice 
President-Business Services & Operations, Kinecta Federal 
Credit Union, Manhattan Beach, CA (testified on behalf of the 
National Association of Federally-Insured Credit Unions); and 
Mr. Gordon Gray, Director of Fiscal Policy, American Action 
Forum, Washington, D.C.
    On the first witness panel, Mr. Gribben testified regarding 
SBA's projection that in FY2020, the 7(a) program will operate 
at a positive subsidy, meaning SBA will need either a subsidy 
appropriation from Congress, or an adjustment to the fee rates.
    On the second witness panel, Mr. Wilkinson testified urging 
the Committee to question the subsidy projection made by SBA 
and OMB. Ms. Ozer testified that for the 7(a) portfolio to have 
gone from a zero subsidy cost to a positive subsidy cost of $99 
million, there would be some indication in a worsening of the 
portfolio's performance, but in her view there was not. She 
also observed that the FY2020 budget revealed that every cohort 
of loans made for the past nine fiscal years showed significant 
downward re-estimates, meaning that in those years when SBA 
asked for a certain level of fees from borrowers and lenders, 
SBA could have asked for much less and still have covered the 
cost of the program at zero subsidy, that accordingly SBA has 
been repeatedly overcharging borrowers and lenders, and that 
therefore, the current subsidy model used to project the cost 
of the program is not working as it should. Ms. Jansen noted 
SBA's proposed fee structure adjustment did not propose changes 
for loans of $150,000 or less, which Ms. Jansen testified was 
positive. However, she testified that the proposed increases to 
fees for loans of $500,001 to $1,500,000 would make it more 
expensive for members of her credit union to access credit at 
that amount. Mr. Gray testified regarding federal credit 
reform, and on how OMB and the various agencies that extend 
federal credit calculate projected subsidy costs for each 
fiscal year.

 LOST OPPORTUNITIES? SBA'S ENGAGEMENT WITH HISTORICALLY BLACK COLLEGES 
                            AND UNIVERSITIES

    On Tuesday, April 30, 2019, the Subcommittee on 
Investigations, Oversight, and Regulations met in room 2360 of 
the Rayburn House Office for a hearing titled: ``Lost 
Opportunities? SBA's Engagement with Historically Black 
Colleges and Universities.'' The hearing examined whether 
Historically Black Colleges and Universities (HBCUs) are 
receiving adequate support from the Small Business 
Administration (SBA) to help develop successful entrepreneurs.
    There were two panels. The first panel was comprised of two 
government witnesses, they were: Ms. Anna Maria Ortiz, Acting 
Director, Financial Markets and Community Investment, 
Government Accountability Office; and Mr. Allen Gutierrez, 
Association Administrator, Office of Entrepreneurial 
Development, Small Business Administration. The second panel 
was comprised of four representatives from Historically Black 
Colleges and Universities, they were: Dr. Paulette Dillard, 
President, Shaw University; Dr. Barron H. Harvey, Dean of the 
School of Business, Howard University; Dr. Michael H. Casson, 
Jr., Dean of the School of Business, Delaware State University; 
and Dr. Roslyn Clark Artis, President and CEO, Benedict 
College.
    Ms. Ortiz testified that SBA programs and activities that 
foster entrepreneurship have included, but do not specifically 
target Historically Black Colleges and Universities (HBCUs). 
Preliminary observations indicate that SBA has limited data on 
entrepreneurship related efforts at HBCUs, and the 
relationships between selected HBCUs, SBA resource partners, 
and district offices varied. Mr. Gutierrez testified that in 
the past the HBCU initiative has resided in various SBA 
offices, and in 2018 the Administrator directed Mr. Gutierrez 
to lead this effort. Moving forward, the goals will be to break 
down any existing silos within the HBCU engagements, foster 
greater coordination with the Office of Field Operations, and 
ensure consistency and data collection.
    On the second panel, Dr. Dillard testified about Shaw's 
experiences and relationship with the SBA. Shaw signed a 
Strategic Alliance Memorandum with SBA in January 2013, with 
the purpose of developing and fostering a working relationship 
to strengthen small business development in the local area. As 
part of this partnership, Shaw opened a Small Business Resource 
Center in the fall of 2013. The Center hosts seminars and 
workshops on a variety of small business topics, including 
business planning, credit building, and marketing to students, 
alumni, and community residents. Dr. Shaw testified that she 
hopes to see greater collaboration between SBA and HBCUs, and 
legislation enacted to strengthen Executive Order 13779.
    Dr. Harvey testified that entrepreneurship for minorities 
has made progress over the last six years but more needs to be 
done. The main challenge for African American owned small 
businesses is securing capital. More than one-third of minority 
owned firms with gross revenues under $500,000 do not apply for 
a loan out of fear of rejection. Howard University hosts a lead 
SBDC center on campus, and Dr. Harvey discussed how HBCUs can 
provide opportunities for the Small Business Administration 
through its SBDCs to educate the next generation of 
entrepreneurs in the minority and African-American communities. 
He recommended that SBA implement a unique and special 
partnership with HBCUs, including expanding the number of SBDC 
subcenters at HBCUs from 16 to more than 50, strategically 
located in communities and areas of great need for economic 
impact.
    Dr. Casson testified that the impact of the SBA's funding 
and services could be exponentially more significant if the 
University and the SBA strategically worked together to develop 
targeted programming that effectively integrates the talent and 
resources of both entities. Dr. Artis testified about 
Benedict's experiences with the SBA, and its Strategic Alliance 
Memorandum with SBA. Similar to Dr. Dillard's testimony, Dr. 
Artis testified that she hopes to see greater collaboration 
between SBA and HBCUs, and legislation enacted to strengthen 
Executive Order 13779.

          THE DIGITAL ECOSYSTEM: NEW PATHS TO ENTREPRENEURSHIP

    On Thursday, May 9, 2019, the Subcommittee on Innovation 
and Workforce Development held a hearing titled: ``The Digital 
Ecosystem: New Paths to Entrepreneurship.'' The hearing 
provided the Committee the opportunity to discuss how digital 
platforms empower small businesses and potential barriers to 
the adoption.
    Witnesses included Ms. Kellyn Blossom, Head of Public 
Policy, Thumbtack, San Francisco, CA; Ms. Erika Mozes, Co-
Founder and COO, Hyr, Inc., New York, NY; and Mrs. Olivia Omega 
Wallace, Co-Founder, Wallace Marketing Group, Aurora, CO.
    The Panel discussed how the integration of digital 
platforms is vital for small businesses. Mr. Blossom discussed 
how small businesses can benefit from tools like Thumbtack to 
reach larger audiences and use platform-developed data to track 
engagement. Ms. Mozes spoke about how hiring gig workers can 
help small business meet labor needs without overspending on 
overheard. Ms. Wallace explained why using digital marketing 
tools is essential for small business growth and shared ways 
that small businesses can adopt these tools at little to no 
cost.

  OVERSIGHT OF THE SBA'S WOMEN-OWNED SMALL BUSINESS FEDERAL CONTRACT 
                                PROGRAM

    On Thursday, May 16, 2019, the Subcommittee on Contracting 
and Infrastructure held a hearing titled: ``Oversight of the 
SBA's Women-Owned Small Business Federal Contract Program.'' 
The hearing focused on the extent to which SBA had implemented 
the amendments enacted in the Carl Levin and Howard P. ``Buck'' 
McKeon National Defense Authorization Act for Fiscal Year 2015 
(the 2015 NDAA) to the Women-Owned Small Business Program (WOSB 
Program). Additionally, it focused on the extent to which SBA 
had addressed the deficiencies found in the 2014 GAO report and 
reiterated in the 2019 GAO report.
    The witnesses for this hearing were: Mr. William B. Shear, 
Director, Financial Markets and Community Investment, U.S. 
Government Accountability Office, Washington D.C. and; Mr. Robb 
N. Wong, Associate Administrator, Office of Government 
Contracting and Business Development, U.S. Small Business 
Administration, Washington D.C.
    Mr. Shear explained that out of the three changes 
promulgated in the 2015 NDAA, SBA had implemented just one: the 
sole-source authority. SBA had not eliminated the option for 
program participants to self-certify and had not implemented 
the certification program. Moreover, he explained that SBA had 
not addressed program oversight deficiencies highlighted in 
GAO's 2014 report. In particular, SBA had not established 
procedures to assess the performance of third party certifiers 
and had not taken steps to enhance eligibility examinations of 
program participants. Thus, GAO maintains that the 
implementation of sole-source authority in light of these 
continuous oversight deficiencies can increase risks of fraud 
and abuse. Furthermore, he testified that it was still a 
mystery to him and his team what were the challenges that 
contributed to the delay in the implementation of the 2015 NDAA 
changes. In multiple occasions, GAO received mixed information 
as to where the agency was in the process of creating the 
proposed rule for the certification program and SBA could not 
even provide project plans or timelines to provide much needed 
clarity. Mr. Shear added that, now that the proposed rule had 
been finally issued and in looking at its content, he was still 
at a lost as to why this proposed rule took so long.
    Mr. Wong explained that when he started about two years ago 
as Associate Administrator of the Office of Government 
Contracting, he quickly learned that nothing had been done with 
regards to the WOSB certification program. However, he stressed 
that during his tenure, the agency has been developing a 
blueprint that would offer clarity as to SBA's present state 
and would guide future efforts. This blueprint emphasized 
unifying common elements of eligibility and standardizing their 
processes and analysis while reducing any variations, in order 
to process applications across the different contracting 
programs. He expressed that this blueprint will also serve as a 
plan of action for funding and staffing needs and that it would 
have been irresponsible to make any such requests without 
having this blueprint in place. According to Mr. Wong, the main 
part of this blueprint has been recently completed and with it 
the agency can start to address the concerns raised by GAO and 
the 2015 changes. Moreover, he expressed that SBA's estimated 
date for initial implementation of the WOSB certification 
program is June 2021.

   INVESTING IN COMMUNITY: THE SBA'S COMMUNITY ADVANTAGE LOAN PROGRAM

    On Tuesday, May 21, 2019, the Subcommittee on 
Investigations, Oversight, and Regulations held a hearing 
titled: ``Investing in Community: The SBA's Community Advantage 
Loan Program.'' The hearing allowed Members to learn about 
SBA's Community Advantage (CA) loan program, which has been on 
a pilot status since its creation in 2011, as a program 
designed to reach communities traditionally underserved by 
conventional lenders. The hearing also enabled Members to hear 
perspectives from lenders and borrowers on whether the program 
should be made permanent.
    Witnesses on the panel were: Ms. Angela Mavridis, Owner, 
Tribali Foods, San Marino, CA; Mr. Robert Villareal, Executive 
Vice President, CDC Small Business Finance, San Diego, CA; Ms. 
Janie Barrera, President and CEO, LiftFund, San Antonio, TX; 
and Mr. John Kropf, President, Growth Capital Corp, Cleveland, 
OH.
    Ms. Mavridis testified regarding her experience as a 
borrower in the Community Advantage program, and reported a 
positive experience. According to Ms. Mavridis, the Community 
Advantage loan she took out enabled her to jump-start her 
business' growth, expanding distribution of her product to 35 
states. Mr. Villarreal testified regarding his experience as a 
lender in the program, and reported that the cumulative charge-
off rate on CA loans through FY2018 has been 2 percent, and the 
cumulative default rate has been under 4 percent. He testified 
that these rates are significantly lower than what SBA 
anticipated when the CA pilot program was initiated. Ms. 
Barrera similarly testified regarding her experience as a 
lender in the program. She reported on several metrics she 
argued demonstrated her organization has learned how to 
mitigate risk: in 25 years of business, her organization's 
average loan size is under $25,000, her borrower's average FICO 
score is 590, and her organization has a 96 percent repayment 
rate. Mr. Kropf, another CA lender, testified regarding the 
benefits of the CA program's flexible structure that allowed 
his organization to partner with a bank in Ohio to provide an 
innovative financing structure that has, according to Mr. 
Kropf's testimony, worked ``tremendously well'' for a high 
volume limited balance sheet lender. Mr. Villarreal, Ms. 
Barrera, and Mr. Kropf all called for making the CA program 
permanent.

SMALL BUSINESSES AND THEIR LIMITATIONS WITHOUT RELIABLE ACCESS TO RURAL 
                               BROADBAND

    On Thursday, May 30, 2019, the Subcommittee on Contracting 
and Infrastructure held a field hearing at Bulltear Industries 
in Scandia, MN titled: ``Small Businesses and Their Limitations 
Without Reliable Access to Rural Broadband.'' The hearing 
allowed Members to focus on broadband deployment efforts in 
rural America and the challenges small firms in those areas 
face without reliable broadband services.
    Witnesses included Mr. Adam Artz, Realtor, Realty 
Executives, Blaine, MN; Mr. Marc Johnson, Director, East 
Central Minnesota Educational Cable Cooperative, Braham, MN; 
Mr. Greg Carlson, Executive Director of Partnered & Affiliated 
Boards, Cambridge Presbyterian Homes, Roseville, MN; and Mr. 
Matt Crescenzo, Owner, Bulltear Industries, Inc., Scandia, MN.
    Mr. Artz testified that good internet is no longer a luxury 
and top notch internet is a foundation of future growth. He 
mentioned that the majority of all paperwork is sent, signed 
and stored electronically and that's next to impossible with 
current internet at his home. Mr. Johnson testified that small 
businesses are the lifeblood of communities and rural areas in 
East Central MN, throughout the state and around the nation. He 
testified that agriculture, tourism, hospitality, 
manufacturing, healthcare, retail and other sectors rely on the 
Internet to communicate with suppliers and customers, to 
provide their services and to stay viable. He also testified 
that lack of adequate internet can impact the sustainability of 
rural communities. He stated that without access to affordable 
high-speed Internet, businesses cannot thrive, families are 
less likely to locate in the area and it is difficult to 
provide a fair and equitable education. Mr. Carlson testified 
that work from home and business from home activities are 
increasing as are technology-based health care making business 
class broadband availability in rural neighborhoods an economic 
development and safety issue. Mr. Crescenzo stated his business 
relies on customer experience not volume but the network of 
very happy customers to keep his company busy. He stated 
adequate broadband is crucial to his company's success that so 
that he can upload training videos, download customer files and 
talk on the phone without interruption.

      MIND THE `SKILLS' GAP: APPRENTICESHIPS AND TRAINING PROGRAMS

    On Tuesday, June 4, 2019, the Subcommittee on Innovation 
and Workforce Development held a hearing titled: ``Mind the 
(Skills) Gap: Apprenticeships and Training'' The hearing 
provided the Subcommittee the opportunity to hear from 
workforce experts about the challenges facing small firms as 
they create jobs and what efforts are being taken to address 
the skills gap.
    Witnesses included Mr. Joshua Broder, CEO, Tilson; Mr. Tim 
Herbert, Vice President of Research, CompTIA; Mr. Ronald 
Marlow, Vice President for Workforce Development, National 
Urban League; and Mr. Talbot Gee, CEO, HARDI.
    The panel emphasized the importance apprenticeships and job 
training programs to close the skills gap. Mr. Broder shared 
success stories from Tilson's apprenticeship program for tower 
climbers. Mr. Herbert discussed the eminent importance of 
building a cybersecurity workforces to combat the advancement 
of cyber threats and the importance of building and nurturing a 
pipeline of cybersecurity professionals.

      SBA'S STATE TRADE EXPANSION PROGRAM: THE STATES' PERSPECTIVE

    On Tuesday, June 11, 2019, the Subcommittee on Rural 
Development, Agriculture, Trade, and Entrepreneurship held a 
hearing titled: ``SBA's State Trade Expansion Program: The 
States' Perspective.'' The purpose of the hearing was to review 
the state of the SBA State Trade Expansion Program (STEP). The 
Trade Facilitation and Trade Enforcement Act of 2015 directed 
SBA to establish the program to provide grants to states to 
increase the number of small businesses exploring trade 
opportunities. The hearing allowed Members to hear the states' 
perspectives on SBA's State Trade and Expansion Program (STEP) 
and its effectiveness in providing export opportunities for 
small businesses.
    The witnesses for the hearing were: Mr. Wade Merritt, 
President and State Director of International Trade at the 
Maine International Trade Center; Ms. Jennifer Bacon, Co-
Founder of FlapJacked; Mr. Clifton Broumand, Founder and CEO of 
Man & Machine, Inc.; and Ms. Jennifer Black, Executive Director 
of Export Development for the Pennsylvania Department of 
Community & Economic Development in the Office of International 
Business Development.
    Witnesses representing small business owners and state 
trade representatives expressed overall support for the 
program, but raised concerns with the timeline for awarding 
grants, the lack of communication with SBA, and the complexity 
of the reporting requirements. Mr. Wade testified to the 
importance of the STEP program to help small businesses 
penetrate international markets but raised concerns with SBA's 
management of the program. Ms. Bacon testified in support of 
the STEP program, which helped her get in front of retailers 
directly and bypass expensive distributers and middlemen, 
making it easier to offer products at affordable prices. Mr. 
Broumand testified in support of the STEP program, which 
`primes the pump' and sets business owners up with exporting 
opportunities. He testified that sales do not always 
materialize immediately, but sometimes farther down the road. 
Ms. Black's testimony encouraged collaboration with states by 
the SBA in an effort to alleviate complex reporting 
requirements and administrative burdens, in addition to support 
for the STEP program.

THE IMPORTANCE OF ACCURATE CENSUS DATA TO SMALL BUSINESS FORMATION AND 
                                 GROWTH

    On Thursday, June 20, 2019, the Subcommittee on Economic 
Growth, Tax, and Capital Access held a hearing titled: ``The 
Importance of Accurate Census Data to Small Business Formation 
and Growth'' The hearing provided the Subcommittee the 
opportunity to hear from Small Business Development Centers 
(SBDCs), Regional Chambers of Commerce, and Small Businesses 
about the importance of census data.
    Witnesses included Mr. Darrin Conroy, Library Directory, NY 
Small Business Development Center, Albany, NY; Mr. James 
Parker, President, Riverview Studios, Bordentown, NJ; Mr. 
Jonathan Weinhagen, President & CEO, Minneapolis Regional 
Chamber of Commerce, Minneapolis, MN; Ms. Jill Dietz, Regional 
Center Director of Statewide Services, Oklahoma Small Business 
Development Center, Tulsa, OK.
    The Panel emphasized the importance of accurate census data 
for the creation of small businesses. Mr. Conroy had a wealth 
of data from the NY SBDC of times census data was used by SBDC 
counselors to help small businesses choose a location and find 
their target market. James Parker himself uses census data as a 
way to make business decisions, and openly advocated for it on 
behalf of the New Jersey Main Street Alliance. Mr. Weinhagen 
emphasized that the amount of federal dollars that come into 
Minnesota due to the census were essential to the startup of 
new businesses because it funds infrastructure spending, 
workforce development programs, and education. Ms. Dietz echoed 
the many ways SBDC counselors use census data to help 
entrepreneurs make foundational business decisions.

    BROADBAND MAPPING: SMALL CARRIER PERSPECTIVES ON A PATH FORWARD

    On Tuesday, June 25, 2019 the Subcommittee on Contracting 
and Infrastructure held a hearing titled: ``Broadband Mapping: 
Small Carrier Perspectives on a Path Forward.'' Access to 
reliable high-speed broadband is a critical issue for small 
businesses. Federal funds, through grants, loans, and taxes 
direct funds to increase broadband throughout the U.S. The 
hearing allowed Members of the Committee to hear about the need 
for accurate broadband maps, current challenges and explored 
ways that federal government and private sector can work 
together to collect more accurate broadband coverage data.
    Witnesses included Mr. Tim Donovan, Senior Vice President, 
Legislative Affairs, Competitive Carriers Association, 
Washington, DC; Ms. Beth Osler, Director, Customer and Industry 
Relations, Unitel, Inc., Unity, ME; testifying on behalf of the 
National Rural Electric Cooperative Association; Mr. Dan 
Stelpflug, Director, Operations, Engineering & Technology, 
Allamakee Clayton Electric Cooperative, Postville, IA; 
testifying on behalf of the NTCA--The Rural Broadband 
Association; and Mr. Jason Hendricks, Chief Regulatory Officer, 
Range Companies, Forsyth, MT; testifying on behalf of the WTA--
Advocates for Rural Broadband.
    Mr. Donovan testified that closing the digital divide is a 
critical challenge, and it has a direct impact on our ability 
to power all of these innovations. He stated that 5G will 
supercharge existing services like telehealth and precision 
agriculture, and enable new services such as augmented and 
virtual reality, autonomous vehicles, and other innovations not 
yet invented. Mr. Stelpflug testified that Electrical 
Cooperatives primarily exist to provide reliable, clean and 
affordable electricity to its members, they also provide robust 
communications infrastructure including access to quality and 
affordable broadband that enables rural communities to thrive 
and compete in an increasingly connected, global marketplace.
    Ms. Osler testified that getting broadband to and keeping 
broadband in rural areas truly requires the best kinds of 
public-private partnership. She explained that much of the 
extensive network in Maine today is a result of private 
investment. However, she mentioned that for those places where 
densities are low and returns on infrastructure investments are 
measured in decades, government support is important to help 
make the business case. Ms. Osler has emphasized that to be 
able to determine where limited resources for support should be 
spent, and to ensure that incentives exist for private 
investments where they can be justified, mapping of broadband 
availability and identification of unserved areas are critical.

                 SBA MANAGEMENT AND OVERSIGHT OF SCORE

    On Thursday, July 11, 2019, the Subcommittee on 
Investigations, Oversight, and Regulations held a hearing 
titled: ``SBA Management and Oversight of SCORE.'' SCORE is a 
national, volunteer nonprofit organization comprised of 11,000 
volunteers who provide free business mentoring services at 
nearly 350 chapters nationwide. The Office of Inspector General 
released an audit of the program in April 2019, which examined 
SBA's oversight of the program's funds and its achievement of 
program goals.
    The witnesses for the hearing were: Mr. Hannibal ``Mike'' 
Ware, Inspector General, U.S. Small Business Administration; 
and Mr. Allen Gutierrez, Associate Administrator, Office of 
Entrepreneurial Development, U.S. Small Business 
Administration.
    Mr. Ware testified on the findings of the Office of 
Inspector General's (OIG) report, which found that SBA did not 
effectively oversee SCORE's use of federal funds. Mr. Ware 
apprised the Committee of three criminal investigations for 
potential instances of embezzlement and whistleblower 
retaliation violations that resulted from the investigation. 
The OIG found that SCORE commingled federal funds with 
unrestricted donations and used federal funds for unallowable, 
unallocable, and unsupported costs. The OIG also found that 
SCORE charged for publication materials that did not include 
the required SBA acknowledgement statement, and improperly 
managed funds used for cosponsored activities. As a result, the 
OIG questioned $713,986 of costs that did not adhere to the 
cooperative agreement requirements or were not properly 
supported. On a scale of 1 to 10 in terms of seriousness, Mr. 
Ware testified that the findings were an 8. Mr. Ware testified 
about the systemic issues in SBA's grant management function 
and deficiencies in the oversight and monitoring of federal 
funds. The lack of oversight, coupled with the IT issues with 
EDMIS, hampered SBA's ability to detect waste, fraud, and 
abuse, and further led to a culture in SCORE in which 
whistleblowing was discouraged.
    Mr. Gutierrez testified that he is deeply troubled by the 
OIG's findings, and his office has taken steps to increase the 
oversight of the program, which include revising the Standard 
Operating Procedures (SOP), clarifying the whistleblowing 
reporting language, developing guidance and training on federal 
financial management at SCORE's upcoming National Leadership 
Conference, and scheduling a financial examination of the SCORE 
Association.

 HELPING SMALL BUSINESSES COMPETE: CHALLENGES AND OPPORTUNITIES IN THE 
                    FEDERAL PROCUREMENT MARKETPLACE

    On Tuesday, July 16, 2019, the Subcommittee on Contracting 
and Infrastructure met for a hearing titled: ``Challenges and 
Opportunities in the Federal Procurement Marketplace.'' As part 
of the Subcommittee's ongoing efforts to improve the 
competitive viability of small businesses, the hearing examined 
a variety of issues impacting small contractors, allowing 
members to take a look at some of the common challenges faced 
by small businesses in the federal contracting marketplace. The 
hearing also provided an opportunity for small businesses to 
explain how these issues directly affect their daily operations 
and bring forward recommendations or potential solutions to 
address them.
    The witnesses for this hearing were: Ms. Belinda 
Guadarrama, Founder and CEO of GC Micro, testifying on behalf 
of GovEvolve--a group of small business IT value-added 
resellers; Mr. Bruce Lansdowne, President and CEO of Trinity 
Technology Partners, testifying on behalf of the Montgomery 
County Chamber of Commerce; Mr. Thomas J. DePace, CTS, COO and 
Sr. Engineering Manager, Advance Sound Company, testifying on 
behalf of National Electrical Contractors Association and; Ms. 
Dorothy Ann Callahan, Principal, D. Callahan, LLC.
    Ms. Guadarrama made numerous recommendations such as 
modifying the employee-based formula used to calculate size 
standards in a similar fashion to the way the receipts-based 
standard was modified through the Runway Extension Act; adding 
SBA to the FAR Council and; increasing sole-source thresholds 
while eliminating option years within the sole-source authority 
in the different contracting programs. Furthermore, Mr. DePace 
spoke about the cash-flow difficulties experienced by many 
contractors in the construction sector and praised the 
Committee's efforts for putting together H.R. 2344, which 
requires partial payments for unilateral change orders 
requested by the Government.
    In general, there was an emphasis on subcontracting. For 
example, Mr. Lansdowne suggested empowering the OSDBUs to 
monitor compliance of subcontracting plans; requiring SBA to 
report actual subcontracting dollars, not only percentages, in 
the annual scorecard and; requesting GAO to conduct a study 
about subcontracting authority, performance and processes. 
Meanwhile, Ms. Callahan recommended requiring identification of 
small businesses (their names) in subcontracting plans to 
ensure primes are held accountable; assessing performance of 
subcontracting plans as part of prime's annual evaluations and; 
eliminating the ``good-faith effort'' standard in 
subcontracting plans and replacing it with a pass/fail rating.

              HOW REGULATIONS STIFLE SMALL BUSINESS GROWTH

    On Monday, July 22, 2019, the Subcommittee on Economic 
Growth, Tax, and Capital Access met at Oklahoma State 
University--Tulsa in Tulsa, OK for a field hearing titled: 
``How Regulations Stifle Small Business Growth.'' The hearing 
enabled the Committee to generally examine the regulatory 
landscape small businesses and entrepreneurs must navigate, 
including its impact on their ability to successfully operate a 
business, and the effect on their communities at large. Members 
heard from a variety of witnesses who addressed how regulations 
impact their businesses, industries, and their local 
communities.
    Witnesses on the panel were: Mr. Chad Selman, Owner, Selman 
Farms, LLC, Skiatook, OK; Mr. Chris Jordan, President and CEO, 
The Farmers State Bank, Stigler, OK (on behalf of the 
Independent Community Bankers of America); Mr. Howard L. 
Ground, Director of Regulatory Affairs, The Petroleum Alliance 
of Oklahoma, Oklahoma City, OK; and Ms. Elizabeth Osburn, 
Senior Vice President of Government Affairs, Tulsa Regional 
Chamber, Tulsa, OK.
    Mr. Selman testified regarding his experience hiring H-2A 
immigrant workers, saying that because the program is so 
complicated, he is forced to rely on third-party consultants 
for hiring H-2A workers. Mr. Jordan testified regarding the 
regulatory burdens faced by small community banks. He also 
specifically noted that as cannabis-related businesses continue 
to mature, they require access to the traditional banking 
system, and that the conflict between state and federal law has 
created increasingly significant legal and compliance concerns 
for banks that wish to provide banking services to such 
businesses in jurisdictions with legal cannabis. Mr. Ground 
testified regarding the way small oil and gas producers must 
comply with regulations promulgated by numerous federal 
agencies, including the Environmental Protection Agency, the 
Department of Interior, and the Department of Labor, among 
others. Ms. Osburn testified that small businesses in the Tulsa 
Regional Chamber report being burdened by reporting 
requirements under the Affordable Care Act. She also warned of 
the potential for unintended consequences in the way some 
regulations can impact certain small businesses, such as those 
in the food service industry.

       SUPPORTING THE NEXT GENERATION OF AGRICULTURAL BUSINESSES

    On Thursday, July 25, 2019, the Subcommittee on Rural 
Development, Agriculture, Trade, and Entrepreneurship held a 
hearing titled: ``Supporting the Next Generation of 
Agricultural Businesses.'' The hearing allowed Members to hear 
firsthand about the issues that are impacting young and 
beginning farmers, as well as the programs and services 
available that support our next generation of farmers and 
agricultural entrepreneurs.
    Witnesses on the panel were Mr. Matthew Keesling, Farm 
Manager, Bures' Organic Family Farm, Deerbrook, WI; Mr. Jason 
Grimm, Owner, Grimm Family Farm, Williamsburg, IA; Ms. Meri 
Lillia Mullins, Farm Manager, Lighthearted Ranch, Longmont, CO; 
Mr. Rodney Hebrink, President and CEO, Compeer Financial, 
Lakeville, MN.
    The panel discussed the current state of American 
agriculture and the importance of supporting the new and 
beginning farmers as they seek to access land, capital, and 
programmatic support. Many of the witnesses noted the costs 
associated with farming, and the importance of access to 
capital in order to farm. Mr. Hebrink provided a strong 
perspective from Farm Credit about the opportunities for 
agricultural lending and highlighted many stories of new and 
beginning farmers from a variety of operations who have been 
able to develop successful agricultural businesses thanks to 
the lending of Farm Credit.
    One of the challenges that many younger farmers face is the 
burden of student loan debt. Both Mr. Grimm and Ms. Mullins 
articulating the many challenges and sacrifices they make in 
order to farm while in debt, and the impacts that student loan 
debt have on their ability to support and grow their farm 
enterprises. Additionally, Mr. Grimm discussed the importance 
of land access for young farmers and stressed the importance of 
supporting tax and policies that promote the transfer of 
farmland from older generations. Mr. Keesling discussed some of 
the challenges that he had securing both capital and training 
in agriculture, such as FSA beginning farmer requirements. Mr. 
Keesling also discussed how his apprenticeship program set him 
up for success for transition to farm ownership. He also 
highlighted the importance of ensuring that VA education 
support could go towards vocational training. All witnesses 
agreed that agriculture is important to our country and our 
communities, and that it is important to support those that 
choose a career in agriculture.

     EXPANDING OPPORTUNITIES FOR SMALL BUSINESSES AT MILITARY BASES

    On Thursday, August 1, 2019, the Subcommittee on Economic 
Growth, Tax, and Capital Access met for a field hearing in 
Moorestown, New Jersey titled: ``Expanding Opportunities for 
Small Businesses at Military Bases''. The hearing focused on 
increasing procurement opportunities for small businesses with 
the Federal Government, particularly with the Joint Base 
McGuire-Dix-Lakehurst and at the state level (New Jersey).
    The witnesses for the hearing were: Mr. John Whittington, 
Business Representative, Sheet Metal Workers Local Union 27, 
Farmingdale, NJ; Mr. Paul Costello, President of Del Ran 
Business Association and Vice President of Sciacca's 
Upholstery, Delran, NJ; Mr. Raul Mercado; Director of the New 
Jersey Institute of Technology Procurement Technical Assistance 
Center, Newark, NJ; and Mr. Jeff Cantor, Founder & CEO of NJ 
State; Veterans Chamber of Commerce, Marlboro, NJ.
    Testimony focused on the challenges small business face and 
the fact that small businesses in the state are not getting 
their fair share of contracting opportunities, especially with 
the base. For example, Mr. Whittington's testimony emphasized 
on the lack of information when it comes to procurement 
opportunities with the base and insufficient lead times on 
project information. Lack of access to project personnel and 
contracting officers was another area highlighted by the 
witnesses. Mr. Cantor recommended having procurement fairs at 
the base where contracting officers can learn about the goods 
and services small businesses can provide. Mr. Costello also 
reiterated the need to encourage federal contracting personnel 
to reach out to small businesses to learn about what they can 
offer. Additionally, he suggested that the costs of entering 
the federal marketplace and doing business with the government 
should be kept within the reach of small businesses. Finally, 
Mr. Mercado touched upon numerous concerns that hinder small 
business participation. Some of the areas he discussed were: 
the lack of awareness of available resources offered by PTACs, 
inequitable funding of PTACS, burdensome information required 
from small businesses and the fact that large prime contractors 
should play a bigger role in small business procurement, 
mentorship and training.

CONNECTING RURAL SMALL BUSINESSES TO BROADBAND: CHALLENGES, SUCCESSES, 
                          AND HOW TO DO BETTER

    On Friday, September 6, 2019, at University of Maine 
Machias in Machias, Maine, the Subcommittee on Contracting and 
Infrastructure met for a field hearing titled: ``Connecting 
Rural Small Businesses to Broadband: Challenges, Successes, and 
How to Do Better.'' This field hearing allowed Members of the 
Committee to review the barriers to broadband infrastructure 
deployment in rural America and ways increased federal 
investment can help close the digital divide.
    Witnesses included Mr. Mark Ouellette, President & CEO 
Axiom Technologies, LLC Machias, ME; Mr. Chris Loughlin, Board 
Member, Downeast Broadband Utility Town Manager, Baileyville, 
ME; Ms. Lisa Hanscom, Co-Manager, Welch Farm & First Selectman 
Roque Bluffs, ME; and Mr. Timothy R. McAfee, CEO, Pioneer 
Broadband Houlton, ME.
    As the CEO of a full-service internet service provider, Mr. 
Ouellette's company delivers strategic and customized rural 
broadband deployment solutions to remote customers and 
communities across Maine. He testified that his company serves 
some of the most difficult customers to reach, in some of the 
most challenging and remote terrain in the United States. 
Importantly, he testified that internet connectivity can 
revitalize rural communities. Mr. McAfee testified that 
existing federal grant programs are sometimes very difficult to 
obtain. For example, he mentioned that the USDA Community 
Connect Grant will pay for construction of a network to every 
home but requires the operator to build and staff a community 
center with computers and Internet access. Mr. Loughlin 
emphasized that the fiber is the backbone of the Internet and 
that the middle mile also consists of fiber. He testified that 
the gap exists on the last mile because policy makers have 
relied on private companies to set the agenda and use public 
funds to connect customers with Digital Subscriber Lines (DSL), 
cable, or fixed wireless lines that use copper based 
technologies that are inadequate to the task of connecting 
every American. He continually emphasized the need that that 
the solution was rather simple to connect rural America and 
that is to build fiber networks from the source of the Internet 
to all homes and businesses.

                    GROWING THE CLEAN ENERGY ECONOMY

    On Tuesday, September 10, 2019, the Subcommittee on Rural 
Development, Agriculture, Trade, and Entrepreneurship met for a 
hearing titled: ``Growing the Clean Energy Economy.'' Clean 
energy is a driving force in the global economy. This hearing 
discussed the importance of clean energy industries across the 
country, outlined the challenges and opportunities for 
advancing energy efficiency and renewable energy, and examined 
what Congress can do to support small business engagement in 
the clean energy economy.
    Witnesses on the panel included Dr. Lynn Abramson, 
President, Clean Energy Business Network, Washington, DC; Mr. 
Thomas R. Brooks, General Manager, Western Dubuque Biodiesel, 
Farley, IA; Mr. Michael G. Williams, Deputy Director, BlueGreen 
Alliance, Washington, DC; and Mr. David J. Spigelmyer, 
President, Marcellus Shale Coalition, Pittsburgh, PA.
    At the hearing the panel discussed the diverse ways that 
small businesses are engaged in the growing clean energy 
economy. All of the witnesses discussed the potential for 
growth in this space and highlighted the important role that 
small businesses play. Dr. Abramson outlined the large number 
of jobs and small businesses that are part of the clean energy 
economy and pointed out specific policy recommendations that 
Congress can take toward supporting the clean energy economy. 
Mr. Brooks outlined the importance that biofuels production has 
in rural America and highlighted the challenges that American 
farmers and biofuels producers are dealing with thanks to the 
Trump administration's handling of trade with China and the 
Renewable Fuel Standards.
    Mr. Williams outlined the important role that American 
workers play in energy efficiency and clean energy technology. 
He highlighted that labor and environmental goals can work hand 
in hand, to ensure high-skilled jobs in the clean energy 
economy. Mr. Williams outlined the importance for an aggressive 
agenda that supports American leadership in clean energy 
innovation and manufacturing, through rebuilding American 
infrastructure. Mr. Spigelmyer talked about the economic 
opportunities that fracking and natural gas extraction have 
brought to certain parts of rural America, and the overall 
boost to the economy that has been brought about by cheap 
natural gas available through fracking. All witnesses agreed 
that there are economic benefits to supporting a clean energy 
economy, and that small businesses play a major role as 
employers, manufacturers, and consumers within the clean energy 
economy.

                    SBA PROGRAMS SPURRING INNOVATION

    On Thursday September 19, 2019, the Subcommittee on 
Innovation and Workforce Development held a hearing titled, 
``SBA Programs Spurring Innovation.'' The hearing examined how 
SBA's programs, such as the Small Business Innovation Research 
(SBIR), Small Business Technology Transfer (STTR), and growth 
accelerators help innovative entrepreneurs, startups, and small 
businesses grow and create jobs.
    Witnesses included, Ms. Alison Brown, President and CEO, 
Navsys Corporation, Colorado Springs, CO, testifying on Behalf 
of the Small Business Technology Council (SBTC); Mr. Rohit 
Shukla, CEO, Larta Institute, Los Angeles, CA; Mr. Javier 
Saade, Managing Partner & Venture Partner Impact Master 
Holdings & Fenway Summer Ventures, Jackson, WY; and Mr. Ron 
Shroder, CEO and President, Frontier Technology, Inc., 
Beavercreek, OH.
    Ms. Brown voiced strong support for the SBIR program. She 
reiterated that the SBIR program was established with the 
purpose of strengthening the role of small, innovative firms in 
federally funded research and development and remains today one 
of the few successful paths for small businesses to bring 
innovations into the hands of the warfighters. Mr. Shukla 
testified that the SBIR program, known as America's seed fund 
was designed so that the federal government as well as everyday 
Americans, can reap the benefits of the technologies that their 
tax dollars have already paid to develop. He detailed many 
improvements to the SBIR program that would make the program 
work even better. Mr. Saade mentioned that the American 
innovation ecosystem is one of our country's crown jewels and 
has been the leading source of economic growth and productivity 
for more than half a century. He stressed that the Growth 
Accelerator Fund Competition (GAFC) plays a small but important 
part in supporting the nation's innovation ecosystem.

 CAN OPPORTUNITY ZONES ADDRESS CONCERNS IN THE SMALL BUSINESS ECONOMY?

    On Thursday, October 17, 2019, the Subcommittee on Economic 
Growth, Tax, and Capital Access held a hearing titled: ``Can 
Opportunity Zones Address Concerns in the Small Business 
Economy?'' The hearing focused on what prospects the 
Opportunity Zones enacted in the Tax Cuts and Jobs Act provide 
for small businesses and local economic development.
    Witnesses included Mr. Brett Theodos, Senior Fellow, Urban 
Institute, Washington, D.C.; Mr. Aaron Seybert, Managing 
Director of Social Investment Practice, The Kresge Foundation, 
Troy, MI; Ms. Jennifer A. Vasiloff, Chief External Affairs 
Officer, Opportunity Finance Network, Washington, D.C.; and Mr. 
John Lettieri, President and Chief Executive Officer, Economic 
Innovation Group, Washington, D.C.
    Mr. Theodes testified that legislative and administrative 
reforms are needed to ensure the federal government avoids 
subsidizing deals that don't need the support. In particular he 
mentioned that reforms are needed to prevent taxpayer forgone 
revenues from being used locally in ways that taxpayers find 
incongruent with their objectives. Mr. Seybert testified that 
opportunity funds could help incentive new investors to enter 
this market but he remains concerned that there is a mismatch 
between the needs of small business owners and the incentives 
in place for investors and fund managers. Ms. Vasiloff 
testified that that the Opportunity Zone tax incentive is not a 
good match for the kind of neighborhood revitalization deals of 
interest to community development financial institutions, 
particularly those targeting small businesses. She testified 
that her experience, most investors are expecting double digit 
returns, prefer real estate to small business investments and 
largely shun the more challenging geographies that need an 
infusion of capital the most.

  HARVESTING THE DIGITAL AGE: CONNECTING OUR COMMUNITIES FOR A BETTER 
                                 FUTURE

    On Monday, October 21, 2019, the Subcommittee on Rural 
Development, Agriculture, Trade, and Entrepreneurship met at 
Adams County Agriculture and Natural Resources Center in 
Gettysburg, Pennsylvania. The field hearing titled: 
``Harvesting the Digital Age: Connecting our Communities for a 
Better Future'' provided an opportunity for the subcommittee 
chair and ranking member to hear from community members in 
rural Pennsylvania about the negative impacts of lack of 
broadband access.
    Witnesses on the panel included: Mr. Brandon Carson, 
Director at the Southern Alleghanies Planning and Development 
Commission; Mr. Mike Ross, President of FCADC; Mr. Anthony 
Angelini, Teacher at New Oxford Middle School; and Mr. Brock 
Widerman, President of Adams County Farm Bureau.
    Mr. Widerman discussed the importance of having 
connectivity on the farm in order to keep equipment maintained, 
check on the health of the farm animals, and to ensure that 
children of farm families have access to educational tools and 
information. Mr. Angelini very clearly expressed the gaps in 
educational and personal achievement between students that have 
reliable internet access and those that do not. He expressed 
concern for the increased disparities between those students 
that are not able to access information or download lessons or 
homework. Both Mr. Ross and Mr. Carson represent county or 
multicounty development commissions. They highlighted the 
challenges they face when attempting to develop and connect 
business cites to broadband infrastructure for rural counties. 
Mr. Carson also expressed some concern and challenges around 
ownership of fiberoptic network cables. Overall, the desire was 
expressed to close the digital divide, ensure rural homes and 
communities have access to reliable broadband around the 
country, and ensure that rural American is on a level digital 
playing field with the rest of the nation.

                NATIVE 8(A) CONTRACTING: EMERGING ISSUES

    On Tuesday, October 22, 2019, the Subcommittee on 
Investigations, Oversight and Regulations, held a hearing 
titled: ``Native 8(a) Contracting: Emerging Issues.'' The 
hearing provided a full overview of the 8(a) program as it 
applies to native 8(a) contractors, including some of the 
management weaknesses the Government Accountability Office 
(GAO) identified. The hearing also discussed the program's 
mission and overall performance; enabling Committee Members to 
gain valuable insight and assess whether it is working as 
intended.
    The hearing had two panels. The first panel had one 
witness: Mr. Seto Bagdoyan, Director of Forensic Audits and 
Investigative Service, Government Accountability Office, 
Washington, D.C. The second panel had five witnesses: Mr. Joe 
Valandra, Executive Director of the Native American Contractors 
Association, Washington, DC; Ms. Annette Hamilton, Chief 
Operating Officer of Ho-Chunk Inc., Winnebago, Nebraska; Mr. 
Edwin A. (Skip) Vincent, Chairman and Founder of the Hawaii 
Pacific Foundation, Honolulu, Hawaii, testifying on behalf of 
the Native Hawaiian Organization Association (NHOA); Ms. Jana 
Turvey, President and CEO of Leisnoi, Anchorage, Alaska, 
testifying on behalf of the Alaska Native Village Corporation 
Association (ANVCA) and Ms. Christine V. Williams, Managing 
Partner of Outlook Law LLC, Anchorage, AK.
    Mr. Bagdoyan discussed the main findings of three GAO 
reports on native 8(a) contracting that were issued between 
2006 and 2016. These reports examine SBA's oversight of the 
8(a) native contracting program and the lack of appropriate 
controls to deal with the complexities of the program. In 
particular, Mr. Bagdoyan detailed four key weaknesses that 
undermine SBA's monitoring and oversight efforts. These 
include: (1) incomplete information and documentation on ANC-
owned firms and their compliance with regulatory requirements; 
(2) limitations in its ability to track and share key program 
data needed to enforce its own program; (3) insufficient 
staffing in its Alaska District Office to carry out necessary 
and critical monitoring tasks; and (4) inadequate or vague 
program guidance for clearly communicating to staff how to 
interpret new regulations. Moreover, Mr. Bagdoyan explained 
that, while many of the recommendations issued on those reports 
were now closed based on SBA's intent to address them, 
additional audit work would be needed to understand the extent 
to which those recommendations have been implemented and the 
potential impact they have had.
    In the second panel, the witnesses--in representation of 
Indian tribes, Alaska Native Corporations, Native Hawaiian 
Organizations and stakeholders--provided an overview of the 
program and explained the benefits it provides to entire 
communities, which range from actual dividends to advancing 
principles of self-sufficiency and self-determination. 
Moreover, they explained key differences between how the 
program works for them (as group-owned entities) versus how it 
applies to individually owned firms. Finally, the members of 
the panel presented multiple suggestions on how to improve the 
program, including excepting 8(a) companies from category 
management and tailoring SBA's certification system to make it 
compatible with the documentation required from native 8(a) 
entities.

                  CREATING THE CLEAN ENERGY WORKFORCE

    On Tuesday, October 29, 2019, the Subcommittee on 
Innovation and Workforce Development met in Room 2360 of 
Rayburn House Office Building for a hearing titled: ``Creating 
the Clean Energy Workforce.'' This hearing provided members of 
the Subcommittee the opportunity to discuss the workforce 
challenges faced by clean and renewable energy companies facing 
a rapid transition of U.S. energy sources and rapidly 
increasing consumer demand. Members heard from industry 
leaders, labor unions, and training facility managers about how 
to create the workforce necessary to transition our nation 
rapidly from fossil fuels to renewable energy.
    Witnesses included Mr. Mark Farrar Jackson, Vice President, 
Community Housing Partners dba CHP Energy Solutions, 
Christiansburg, VA; Mr. Jason L. Wardrip, Business Manager, 
Colorado Building and Construction Trades Council, Aurora, CO; 
Mr. Neil James, Vice President of Operations and Maintenance, 
Apex Clean Energy, Charlottesville, VA; Mr. Ed Gilliland, 
Senior Director, The Solar Foundation, Washington, D.C.
    Mr. Jackson manages a 12,000 sq ft. training facility in 
Virginia that trains energy efficiency workers. He testified 
about the helpful grant money that was given to low income 
households to make their homes more energy efficient. Mr. 
Wardrip trains construction workers for his local union and he 
testified to providing a just transition for coal workers by 
retraining them using union apprenticeship programs. Neil James 
testified about the problems that larger renewable energy 
companies face attracting and retaining workers and laid out 
some of the ways they are investing in their future workforce. 
Ed Gilliland, the author of the solar jobs census published by 
The Solar Foundation, testified about the broader economic 
trends related to renewable energy as well as workforce 
statistics.

   FOSTERING THE AMERICAN DREAM: HOW SBA CAN EMPOWER IMMIGRANT SMALL 
                            BUSINESS OWNERS

    On Friday, November 8, 2019, the Subcommittee on 
Investigations, Oversight, and Regulations met at Rosemead City 
Hall in Rosemead, California for a field hearing titled: 
``Fostering the American Dream: How SBA Can Empower Immigrant 
Small Business Owners.'' Members had the opportunity to learn 
why immigrants are more likely to start new businesses but less 
likely to have access to traditional sources of capital and 
Small Business Administration (SBA) programs that can help 
immigrant business owners succeed.
    The witnesses for the hearing were: Ms. Rachelle Arizmendi, 
Vice-President and Chief Operations Officer, Pacific Asian 
Consortium in Employment (PACE), Los Angeles, CA; Mr. Donald J. 
Loewel, MBA, Director, Small Business Development Center, 
Pasadena City College, Pasadena, CA; Ms. Tatiana Bonilla, 
President, Andrew Design Group, Inc., Pasadena, CA; and Mr. 
Amir Salahi, Founder and CEO, Energy Advisor Hub, Pasadena, CA.
    The witnesses testified that increasing awareness of SBA's 
programs is the number one opportunity to make a greater impact 
on small business success. In addition, witnesses also 
testified that additional support for multilingual SBA advisors 
would greatly benefit the ability to interact with small 
business owners whose primary language is not English. Lastly, 
witnesses testified that leveraging community-based 
organizations and Community Development Financial Institutions 
(CDFIs) that have built trust within their communities in 
imperative to the continued success of SBA's Community 
Advantage and Microloan programs.

    ASSESSING THE GOVERNMENT'S ROLE IN SERVING RURAL AMERICAN SMALL 
                         BUSINESSES (PART ONE)

    On Thursday, November 14, 2019, the Subcommittee on Rural 
Affairs, Agriculture, Trade, and Entrepreneurship in Room 2360 
of the Rayburn House Office Building held a hearing titled: 
``Assessing the Government's Role in Serving Rural American 
Small Businesses (Part One).''
    The witnesses for the hearing were Ms. Bette Brand, 
Administrator, United States Department of Agriculture, Rural 
Business-Cooperative Service; and Ms. Michelle Christian, 
Director of Rural Affairs, Small Business Administration.
    At the hearing the witnesses testified about the wide 
variety of federal programs at USDA and SBA that support rural 
small businesses. Administrator Brand discussed several 
programs and outlined how USDA partners with rural businesses 
and service providers to support financial assistance and 
business development in rural areas. Administrator Brand also 
mentioned the importance of cooperative businesses that provide 
a wide variety of important services in rural communities. Ms. 
Christian outlined her role in coordinating with SBA district 
offices and other federal agencies to assist rural communities 
and entrepreneurs with access to small business resources. Both 
witnesses also discussed the Memorandum of Understanding that 
has signed in 2018 with the goals of strengthening rural 
businesses and agricultural economies through increased 
coordination between USDA and SBA.

 SMART CONSTRUCTION: INCREASING OPPORTUNITIES FOR SMALL BUSINESSES IN 
                             INFRASTRUCTURE

    On Tuesday, November 19, 2019, the Subcommittee on 
Contracting and Infrastructure met for a hearing titled: 
``Smart Construction: Increasing Opportunities for Small 
Businesses in Infrastructure.'' The hearing allowed Members of 
the Committee to explore new developments in smart construction 
technology and opportunities for small businesses to play a 
major role in improving America's infrastructure.
    Witnesses included, Mr. Lennart Anderssen, RA, Director of 
Virtual Design, Construction & Operations (VDCO)/Professor, 
LiRo Group/Pratt Institute, Irvington, NY; Mr. Ryan Forrestel, 
President, Cold Springs Construction, Akron, NY; Mr. Chris 
Shepard, Vice President, Construction Solutions Group, Trimble, 
Inc., Dayton, OH; and Mr. Phillip Ogilby, CEO and Co- Founder, 
STACK Construction Technologies, Cincinnati, OH.
    Mr. Anderssen testified that all phases of construction are 
poised to change and evolve in the coming years, incorporating 
traditional tools of the trade and new technologies that could 
transform the way projects are completed. Mr. Forrestel 
testified that due to competitive contracting environment, 
precision technologies allow his business to remain competitive 
against bigger contractors. Mr. Shephard stated that the 
construction industry is ripe for innovation. Mr. Shephard went 
on to testify that technology is transforming construct roads, 
bridges, and airports through the optimization of the entire 
construction lifecycle: planning, design, construction and 
operation. His company's experience in the construction 
industry has taught him that ineffective communication, 
planning and collaboration are causing the most problems and 
driving project costs. As a result, he mentioned that digital 
construction technologies are so important for small businesses 
because it enables small businesses to better manage their 
costs, schedules and resources.

          INNOVATIONS IN THE SCHOOL TO SMALL BUSINESS PIPELINE

    On Friday, November 22, 2019, the Subcommittee on 
Innovation and Workforce Development met at the Cherry Creek 
Innovation Campus in Aurora Colorado for a field hearing 
titled: ``Innovations in the School to Small Business 
Pipeline.'' This hearing gave members the opportunity to learn 
about the innovative approaches that local schools in Colorado 
are taking to combat the labor shortage in a number of in-
demand skill areas. By partnering with the private sector, 
Cherry Creek constructed a brand-new facility that offers a 
total of 7 career pathways that are meant to train high school 
students to be work-ready upon graduation.
    Witnesses included Ms. Sarah LC Grobbel, Assistant 
Superintendent, Career & Innovation, Cherry Creek Schools, 
Aurora, CO; Mr. Noel Ginsburg, Founder & CEO, CareerWise 
Colorado, Denver, CO; Mr. Matthew Kaplan, Vice President, 
Business Development and Membership, Outdoor Industry 
Association, Boulder, CO; Testifying on behalf of Outdoor 
Industry Association. Mr. Garry Edmonson, Program 
Administrator, Colorado Journeyman & Apprentice Program IUOE 
Local 9, Aurora, CO.
    Ms. Grobbel testified about the progress made on the 
innovation campus on which the hearing was held and how 
important it is to train high school students for 21st century 
jobs. Mr. Ginsburg testified about the CareerWise Colorado 
statewide apprenticeship program for high school students that 
prepares them for a number of different paths, while providing 
classroom learning, on-the-job training and fair pay. Matthew 
Kaplan provided testimony to about ways the outdoor industry is 
training the next generation of workers through internships and 
job training programs. Mr. Edmonson testified about the 
possibilities for workers trained through their local unions 
and how it can provide meaningful, in-demand skills that 
produce a quality job and dignified life.

                REVIEW OF THE SBA'S 504/CDC LOAN PROGRAM

    On Tuesday, December 10, 2019, the Subcommittee on 
Investigations, Oversight, & Regulations held a hearing titled: 
``Review of the SBA's 504/CDC Loan Program.'' The hearing 
enabled the Committee to learn about the 504/CDC loan program 
as one that is designed to enhance access to capital for small 
businesses seeking financing for major fixed assets such as 
land, buildings, equipment, and machinery. Members also learned 
about the nonprofit Certified Development Companies (CDCs) who 
deliver the 504 loan product (and in some cases, other SBA loan 
products), and the role they play in creating jobs in their 
local communities. The hearing explored the current 
administrative challenges facing the program and its industry 
participants.
    Witnesses on the panel were: Ms. Mary Mansfield, President 
& CEO, Bay Colony Development Corp., Waltham, MA; Mr. Wayne 
Williams, Senior Vice President, Business Finance Group Inc., 
Fairfax, VA; Ms. Elaine Fairman, Executive Director, Business 
Expansion Funding Corp., Charlotte, NC; and Ms. Brooke Mirenda, 
President & CEO, Sunshine State Economic Development Corp., 
Clearwater, FL.
    Ms. Mansfield testified regarding the complex and lengthy 
closing process for 504 loans, arguing that CDCs who have 
demonstrated reliability and quality when working with 
borrowers should be able to make certain de minimis changes to 
closing documents with their own authority. She also testified 
that numerous SBA district offices routinely require different 
documents for closing a 504 loan, which can complicate and 
further lengthen the closing process. Mr. Williams testified 
regarding the challenges posed by current owner occupancy 
requirements, which limit the ability of small businesses to 
use the 504 program to finance the purchase of multi-story 
buildings. Ms. Fairman testified regarding the rules governing 
Eligible Passive Company/Operating Company (EPC/OC) procedures 
and transactions, arguing that they have not been updated to 
reflect current common business practices. Ms. Mirenda 
testified regarding the 504 loan refinance program, and the 
challenges some borrowers of government loan products face in 
being unable to refinance that other government loan with a 504 
loan. Ms. Mirenda argued that other non-504 government loans 
should be eligible for refinancing with a 504 loan.

                  Second Session of the 116th Congress


 FARMING IN THE 21ST CENTURY: THE IMPACTS OF AGRICULTURE TECHNOLOGY IN 
                             RURAL AMERICA

    On Thursday, January 9, 2020, the Subcommittee on 
Innovation and Workforce Development held a hearing titled: 
``Farming in the 21st Century: The Impacts of Agriculture 
Technology in Rural America.'' This hearing gave Members the 
opportunity to hear from experts in the agricultural technology 
(ag tech) industry, farmers that are leveraging technology to 
be more sustainable and profitable, and startups in the ag tech 
field.
    The witnesses were: Mr. Kevin France, President and CEO, 
SWIIM Systems, Denver, Colorado; Dr. David Potere, Head of 
GeoInnovation, Indigo Agriculture, Boston, Massachusetts; Mr. 
Roberto Meza, Co-founder and Farmer, Emerald Gardens, Bennett, 
Colorado who was testifying on behalf of the Rocky Mountain 
Farmers Union; and Dr. Douglas Jackson-Smith, Assistant 
Director, School of Environmental Resources, The Ohio State 
University, Wooster, Ohio.
    Witnesses outlined the many agriculture advancements that 
ag tech has brought to our food systems and discussed the 
importance of rural broadband access. Mr. France outlined the 
importance of research and development to support small 
businesses in ag and ag tech sectors, and his small business 
has received support of both USDA and land grant universities. 
Dr. Potere outlined the numerous small businesses that are 
vital to our agricultural supply chains, and how technology and 
innovation has helped advance food and agricultural systems. 
Dr. Potere also highlighted the importance of ag tech to help 
agriculture be more economically viable and resource efficient, 
including addressing carbon sequestration and climate change. 
As a farmer, Mr. Meza has first-hand experience integrating ag-
tech into his operation and outlined both the environmental 
benefits of ag tech as well as some of the challenges and 
barriers that farmers can face in bringing on new and sometimes 
expensive technology into their operations. Dr. Jackson- Smith 
discussed the structural challenges that small businesses face, 
and the benefits that innovation and technological advancements 
have brought to diversified agricultural systems.

   TAKING CARE OF BUSINESS: HOW CHILDCARE IS IMPORTANT FOR REGIONAL 
                               ECONOMIES

    On Thursday, February 6, 2020, the Subcommittee on Rural 
Development, Agriculture, Trade, and Entrepreneurship held 
hearing titled: ``Taking Care of Business: How Childcare is 
Important for Regional Economies.'' The hearing gave members 
the opportunity to hear from experts about the economic impacts 
of childcare accessibility on small firms, their employees with 
a particular focus on the impact in rural economies.
    Witnesses included: Ms. Cindy Cisneros, Vice President for 
Education Programs at the Committee for Economic Development of 
the Conference Board (CED), Arlington, Virginia; Mr. Dan Levi, 
President of Levi Architecture, PLC., Cedar Falls, Iowa who 
testified on behalf of the Black Hawk Child Care Coalition; Ms. 
Sarah Piepenburg, Owner of Vinaigrette, Minneapolis, Minnesota 
who testified on behalf of Main Street Alliance; and Dr. 
Veronique de Rugy, Senior Research Fellow at the Mercatus 
Center, George Mason University, Arlington, Virginia.
    Witnesses all discussed how childcare is a necessity for 
American families, communities, and small businesses. They 
outlined how lack of affordable childcare impacts labor force 
participation, but also inhibits regional and local economic 
growth. Ms. Cisneros provided a detailed analysis of the 
economics of childcare, discussing how the industry has robust 
direct and indirect economic impacts. She presented information 
on the clear connection between access to affordable, reliable 
child-care and increased labor force participation and economic 
growth in regional economies. Mr. Levi provided a first-hand 
account of the challenges small business owners face when 
confronted with lack of childcare opportunities in their 
communities, and the steps that communities are trying to take 
to establish adequate childcare. Ms. Piepenburg discussed the 
economics of childcare from her prospective as a mother and 
small business owner. She discussed the challenges that her and 
her employees had in paying for childcare, and the sacrifices 
they had to make in order to ensure adequate care for their 
children. Dr. de Rugy discussed the licensing requirements of 
childcare, and the regulations and other factors that have 
impacted costs of childcare.

     THE INNOVATION PIPELINE: FROM UNIVERSITIES TO SMALL BUSINESSES

    On Tuesday, February 11, 2020, the Subcommittee on 
Innovation and Workforce Development met for a hearing titled: 
``The Innovation Pipeline: From Universities to Small 
Businesses.'' During the hearing, Members heard from technology 
transfer experts about the importance of federally funded 
research for application in the private sector and the link 
between the federal government, U.S. educational institutions, 
and the development of businesses and job creation.
    The panelists were: Dr. John Younger, MD, Vice President of 
Science & Technology, University City Science Center, 
Philadelphia, PA; Dr. Sheila Martin, PhD, Vice President, 
Economic Development and Community Engagement, Association of 
Publican and Land-grant Universities, Washington, DC.; Dr. 
Ethan Mann, PhD, Vice President of Marketing and Business 
Development, Sharklet Technologies, Inc., Aurora, CO; and Dr. 
Gregory P. Crawford, PhD, President, Miami University, Oxford 
OH.
    Dr. Younger testified about the challenges small firms face 
when commercializing new technology created in University labs, 
particularly in pharmaceuticals technology. He emphasized some 
of the bottlenecks in the SBIR and STTR programs and 
recommended streamlining guidance. Dr. Martin testified about 
the importance of the public and land grant university system 
in creating technology and entrepreneurial talent that allows 
local economies to grow. Dr. Mann testified about his own 
experience, bringing sharklet technology, a medical device 
company that uses biomimicry for its products, from university 
labs to the market. Dr. Crawford echoed the sentiments of Dr. 
Martin, but expanded upon the accomplishments of his own 
school, Miami University, in prioritizing entrepreneurship and 
technology transfer.

                MOVING AMERICA'S INFRASTRUCTURE FORWARD

    On Thursday, February 27, 2020, the Subcommittee on 
Contracting and Infrastructure held a hearing titled: ``Moving 
America's Infrastructure Forward.'' The hearing focused on how 
to make small business a priority as Congress explores ways to 
improve the nation's infrastructure networks. The hearing 
provided an opportunity for members to hear from a variety of 
witnesses regarding the importance of updating our nation's 
infrastructure, while discussing the opportunities and 
challenges that exist for small businesses.
    The witnesses for the hearing were: Ms. Lynn Frazier, 
Director and Senior Transportation Engineer for James W. Sewall 
Company; Ms. Lisa Jacobson, President of the Business Council 
for Sustainable Energy; Mr. Mike Saperstein, Vice President of 
Strategic Initiatives and Partnerships for USTelecom--The 
Broadband Association; and Mr. Todd Rothe, President of J.R. 
Jensen Construction Company.
    The witnesses testified how the nation's infrastructure has 
not kept up with our economy, our communities, and how further 
investments in infrastructure are needed. Ms. Lynn Frazier 
provided information about the American Society of Civil 
Engineers' estimate that America's infrastructure would need an 
additional investment of $4.6 trillion in order repair the 
nation's broken infrastructure system. Additionally, the 
witnesses emphasized how the House Transportation and 
Infrastructure Committee's Moving Forward Framework will help 
local economies, small businesses, and our nation as a whole. 
Ms. Lisa Jacobsen testified that improvements in infrastructure 
would improve the nation's economic competitiveness and how 
infrastructure investment has the potential to create tens of 
thousands of jobs. Finally, Mr. Saperstein testified that an 
investment in infrastructure--particularly in an investment in 
rural broadband--would greatly benefit America's small 
businesses.

 SOUTH DAKOTA V. WAYFAIR, INC.: ONLINE SALES TAXES AND THEIR IMPACT ON 
                              MAIN STREET

    On Tuesday, March 3, 2020, the Subcommittee on Economic 
Growth, Tax, and Capital Access held a hearing titled: ``South 
Dakota v. Wayfair, Inc.: Online Sales Taxes and their Impact on 
Main Street.'' The hearing focused on the impact to small 
businesses as a result of the U.S. Supreme Court's decision in 
South Dakota v. Wayfair. In Wayfair, the Court overturned a 
previous ruling where it determined that states could only 
collect sales tax from businesses that had brick and mortar 
locations in those states.
    The witnesses for the hearing were: Mr. Jamie Yesnowitz, 
Principal at Grant Thornton, LLP; Mrs. Linda Lester, Vice 
President of K Log, Inc.; Mr. Kevin Mahoney, President and 
Founder of FindTape.com; and Mr. Brad Scott, Financial Director 
of Halstead Bead, Inc.
    Mr. Jamie Yesnowitz testified that the Wayfair decision has 
resulted in a web of inconsistent, complicated, and burdensome 
state and local sales and income tax requirements across the 
country--especially for the nation's smallest businesses. Mrs. 
Linda Lester testified that following the Wayfair decision her 
company went from filing a return in just one state (Illinois) 
to filing in 42 states, at a cost of approximately $78,722. Mr. 
Scott testified that he has spent $27,900 to implement software 
to meet his requirement to file with 51 separate states and 
territories.
    Additionally, the witnesses testified about the unintended 
consequences of the Wayfair decision. Mr. Mahoney testified 
that his two-person company that sold tape on Amazon was 
audited by the state of Washington because his product was 
trans-shipped through the state. Mr. Scott testified that the 
state of Wyoming threatened a lien on his property for a tax 
assessment of $100 for December 2018, for a failure to file a 
$0.00 return.

AN OVERVIEW OF THE DYNAMIC BETWEEN THE DEFENSE PRODUCTION ACT AND SMALL 
                              CONTRACTORS

    On Wednesday, June 24, 2020, the Subcommittee on 
Contracting and Infrastructure held a remote hearing titled: 
``An Overview of the Dynamic Between the Defense Production Act 
and Small Contractors.'' The hearing provided an overview of 
the Defense Production Act (DPA) and its authorities, including 
those that relate to small businesses. It also examined how 
those authorities could be leveraged to assist small firms 
affected by the COVID-19 pandemic and what legislative actions 
could be taken to strengthen the DPA on behalf of our small 
business industrial base.
    The witnesses for the hearing were: Mr. Ian Patterson, 
Senior Associate, Koprince Law, Lawrence, KS; Mr. David Black, 
Partner, Holland & Knight, Tysons, VA; Ms. Mary Lockhart, 
President & CEO, PEMDAS Technologies & Innovations, Alexandria, 
VA, testifying on behalf of the National Defense Industrial 
Association (NDIA) Small Business Division; and Ms. Traci 
Tapani, Co-President, Wyoming Machine, Inc., Stacy, MN.
    Mr. Patterson expressed that, while the DPA confers 
preferential treatment to small businesses in all of its 
authorities, it does not provide any further instruction as to 
how small business participation should be accomplished. Thus, 
he emphasized on the need for data to evaluate the use of small 
businesses in the DPA. Similarly, Mr. Black expressed that DPA 
small business provisions were either not being followed or 
underutilized and agreed on the need for data collection. 
Moreover, he provided multiple recommendations to ensure these 
provisions work cohesively, such as: establishing procedures to 
apply the Title III small business preference, establishing a 
small business advisory subcommittee that includes small 
business concerns, and requiring information on how agencies 
are making information about DPA activities available to small 
businesses, as required in statute. Finally, Ms. Lockhart 
stressed the importance of maximizing small business 
participation in DPA Title III authorities, while Ms. Tapani 
focused on small businesses willingness and ability to mobilize 
to address the needs of the COVID-19 pandemic.

                        SUPPLY CHAIN RESILIENCY

    On Thursday, July 2, 2020, the Subcommittee on Economic 
Growth, Tax, and Capital Access met for a hybrid hearing 
titled: ``Supply Chain Resiliency.'' During the hearing, 
Members heard from economists, supply chain experts, and small 
business owners about the effects of the COVID-19 pandemic on 
world supply chains and particularly how it hurt small firms, 
and explored ways we can strengthen our supply chains as we 
rebuild to prepare for the next disaster.
    The panelists were: Dr. Eswar Prasad, Ph.D., Professor of 
Trade Policy, Cornell University, Senior Fellow, Brookings 
Institution, Ithaca, NY; Ms. Christine Fagnani, Co-Owner and 
Vice President of Lynn Medical Instrumentation Company, Wixom, 
MI; Mr. David Billstrom, CEO, Kitsbow Cycling Apparel, Old 
Fort, NC; Ms. Sheila Lawson, Chief Operations Officer and Vice 
President of Supply Chain, RL Hudson, Broken Arrow, OK.
    Dr. Prasad testified about the different effects of certain 
steps taken by firms and governments to strengthen supply 
chains, and clearly laid out the upsides and downsides of 
taking these steps. For instance, emphasizing that making 
supply chains less linear and specialized would avoid 
disruption if there is a disaster, but would also cut down on 
the efficiency of those supply chains, therefore causing hire 
prices and longer wait times. Ms. Fagnani explained the early 
effects of the COVID-19 pandemic on the medical supply chains, 
and the steps her company took to ameliorate the problems 
caused by global supply chain disruptions by sourcing PPE from 
small firms in the U.S. Mr. Billstrom testified about the steps 
his company took prior to the pandemic to become more 
resilient, and how those steps allowed him to quickly shift 
operations to manufacture PPE early in March, and almost double 
his staff by the middle of June. Ms. Lawson explained the 
problems in the heavy machinery and rubber supply chains, how 
the pandemic affected her company, and the steps they took to 
get back on track.

  PUTTING AMERICA BACK TO WORK: THE ROLE OF WORKFORCE DEVELOPMENT AND 
                        SMALL BUSINESS REHIRING

    On Thursday, July 16, 2020, the Committee Subcommittee on 
Innovation and Workforce Development held a remote hearing 
titled: ``Putting America Back to Work: The Role of Workforce 
Development and Small Business Rehiring.'' During the hearing, 
members heard from workforce development policy experts, 
workforce board chairs, a community college president, and a 
small business owner about ways we can retrain many unemployed 
workers in the U.S. right now to get the economy back on track 
and speed up hiring during the recovery.
    The panelists were: Dr. Demetra Smith Nightingale, 
Institute Fellow, Urban Institute, Washington D.C.; Ms. Kelly 
Folks, Workforce Director, Arapahoe/Douglas Workforce Center, 
Centennial, CO; Dr. Joe Schaffer, President, Laramie County 
Community College, Cheyenne, WY; and Ms. Kelly Moore, Vice 
President, GKM Auto Parts, Inc., Zanesville, OH.
    As a former DOL employee during the Obama Administration, 
Dr. Nightingale testified about the lessons they learned during 
the last recovery, particularly the importance of avoiding 
long-term unemployment for those that lose their job during the 
pandemic. Ms. Folks testified about the needs of local 
workforce boards, who are not only overwhelmed handling UI, but 
also inundated with newly unemployed workers who need 
retraining to find another job. Dr. Schaffer testified about 
the importance of community colleges not only for training 
workers, but for creating a new generation of workers that will 
revitalize places in rural America and help grow the economies 
of small towns that have suffered as their children move to 
cities. Ms. Moore testified about the struggle of hiring 
qualified employees, even when the pool of people looking for 
jobs is large, and the resources they must dedicate to train 
new ones.

       21ST CENTURY SBA: AN ANALYSIS OF SBA'S TECHNOLOGY SYSTEMS

    On Wednesday, July 22, 2020, the Subcommittee on 
Investigations, Oversight, and Regulations held a hybrid 
hearing titled: ``21st Century SBA: An Analysis of SBA's 
Technology Systems.'' The purpose of the hearing was to review 
the SBA's modernization efforts of its IT infrastructure and 
technology systems and how these systems performed during the 
coronavirus pandemic. The hearing allowed members to examine 
the SBA's IT organizational structure and its response to the 
technological issues that borrowers and lenders faced when 
applying for the economic relief programs.
    The sole witness for the hearing was Mr. Guy Cavallo, the 
Chief Information Officer of the Small Business Administration.
    Mr. Cavallo testified that over the past three years the 
SBA has focused on building the foundation to deliver IT 
modernization across the organization. He said that they 
upgraded the network infrastructure connecting all SBA offices 
and began the transition to the cloud, however, he testified 
that data is still siloed between offices. Mr. Cavallo 
testified that the SBA plans to replace its legacy loan 
processing system, E-Tran, but that it could take several 
years. He also shared that SBA launched six new cloud-based 
system to support the high demand during the coronavirus 
pandemic and shed light on the data ``exposure'' incident. He 
testified that the exposure (he stated that it was not a data 
breach) occurred due to a system glitch that was quickly 
corrected.

    KICK STARTING ENTREPRENEURSHIP AND MAIN STREET ECONOMIC RECOVERY

    On Thursday, September 10, 2020, the Subcommittee on Rural 
Development, Agriculture, Trade, and Entrepreneurship met for a 
remote hearing entitled ``Kick Starting Entrepreneurship and 
Main Street Economic Recovery.'' The hearing focused on why the 
COVID-19 pandemic has presented unique challenges for rural 
economies. It also focused on what worked and did not work to 
encourage rural development and entrepreneurship during and 
after the Great Recession and how these lessons can be applied 
to the current COVID-19 crisis.
    The witnesses for the hearing were: Mr. Chad Nath, 
Executive Director LINK Grinnell; Mr. Jeremy Ketelsen, Vice 
President Ketelsen RV; Mr. Mark Rembert, Head of the Rural 
Innovation Network at the Center on Rural Innovation; and Mr. 
Jason Duff Founder Small Nation.
    The witnesses testified about the challenges each of their 
businesses have faced during the COVID-19 pandemic. 
Specifically, Mr. Nath testified how LINK adapted to the COVID-
19 pandemic by pivoting from an aftercare program to a program 
that provided care for essential worker's children. While Mr. 
Ketelsen discussed how inventory shortages faced by his 
business has made staying open and staying profitable 
difficult. Mr. Rembert testified that the economic realities in 
rural America that were exposed during the Great Recession, has 
intensified during the COVID-19 pandemic. Specifically, he 
discussed how lack of rural broadband has held rural 
communities back from gains in economic development and 
entrepreneurship.

 SBA MANAGEMENT REVIEW: OFFICE OF GOVERNMENT CONTRACTING AND BUSINESS 
                              DEVELOPMENT

    On Tuesday, September 15, 2020, the Subcommittee on 
Contracting and Infrastructure held a hybrid hearing titled: 
``SBA Management Review: Office of Government Contracting and 
Business Development.'' The focus of the hearing was the 
operations of SBA's Office of Government Contracting and 
Business Development (GCBD), which assists small businesses 
that participate in the federal procurement space by 
administering SBA's business development and contracting 
programs.
    The sole witness for this hearing was Dr. Francis 
Spampinato, Associate Administrator of the Office of Government 
Contracting and Business Development, U.S. Small Business 
Administration, Washington, D.C.
    Dr. Spampinato highlighted that $132 billion was awarded to 
small businesses in fiscal year 2019. Despite this success, Dr. 
Spampinato explained that COVID-19 has resulted in significant 
challenges to small businesses, and that is why the Office has 
implemented measures such as posting guidance for small 
business contractors, introducing flexibilities in 8(a) and 
HUBZone program participation and conducting a robust outreach 
to small businesses to connect them with Federal agencies in 
need of products and services to combat COVID-19. Moreover, Dr. 
Spampinato acknowledged the decreasing number of firms that are 
involved in federal contracting and receiving prime contract 
awards, which has prompted engagements with Federal agencies, 
small business leaders and senior acquisition officers to 
understand why this is happening and how to address the 
situation. He also stressed on the importance of conducting 
research and obtaining data to understand the impacts of 
Category Management and the Cybersecurity Maturity Model 
Certification initiative (CMMC) on the small business base, as 
well as what can be done in the area of subcontracting to 
address this issue.
    To questions from Committee Members, Dr. Spampinato 
recognized that the HUBZone prime contracting goal was not met 
in fiscal year 2019. However, he affirmed there has been an 
increase in HUBZone awards in the past years and that SBA has a 
HUBZone plan underway--composed in part by statutory changes to 
the program and targeted outreach--to meet and surpass the 
HUBZone prime contracting goal. Moreover, he expressed his 
commitment to getting a new IT system in place to serve the 
contracting programs and his interest in providing an 
additional focus on subcontracting to meet the small business 
set-aside subcontracting goals.

 PAYCHECK PROTECTION PROGRAM: AN EXAMINATION OF LOAN FORGIVENESS, SBA 
                  LEGACY SYSTEMS, AND INACCURATE DATA

    On Thursday, September 24, 2020, the Subcommittee on 
Innovation and Workforce Development held a hybrid hearing 
titled: ``Paycheck Protection Program: An Examination of Loan 
Forgiveness, SBA Legacy Systems, and Inaccurate Data.'' The 
purpose of the hearing was to review the Paycheck Protection 
Program from a technical perspective. SBA's legacy technology 
systems were not fully equipped to handle the unprecedented 
level of applicants, resulting in a number of technical issues 
with the implementation. The hearing allowed members the 
opportunity to address these issues and the related concerns 
about the accuracy of the recently released PPP data, as well 
as learn more about SBA's new system for PPP forgiveness.
    The witness for the hearing was Mr. William Manger, the 
Chief of Staff of the SBA and the Associate Administrator of 
the Office of Capitol Access at the Small Business 
Administration.
    Mr. Manger testified that OCA has issued public guidance 
and continues to refine processes and requirements for loan 
forgiveness, loan reviews, guaranty purchases, and related 
activities under Section 1106 of the CARES Act. He also 
testified that the SBA has not approved any forgiveness 
applications as of September 24, 2020. In terms of data 
accuracy, Mr. Manger stated that PPP loan data reflects the 
information submitted by lenders to the SBA for PPP loans and 
that between the data releases, SBA made significant efforts 
and worked with lenders to improve the accuracy of the loan-
level data, including the improvement of congressional district 
loan data.

                      A REVIEW OF PPP FORGIVENESS

    On Friday, September 25, 2020, the Subcommittee on Economic 
Growth, Tax, & Capital Access met for a hybrid hearing titled: 
``A Review of PPP Forgiveness.'' During the hearing, Committee 
Members learned about the current state of PPP forgiveness from 
borrowers' and lenders' perspectives. Members heard primarily 
from PPP borrowers who reported serious concerns with the 
length and complexity of the PPP forgiveness applications, 
especially the documents required to be able to properly and 
accurately report all the requested information. Members also 
heard from a 7(a) lender who reported concerns of lenders, 
specifically the lack of clarity with regard to the lender's 
role in the forgiveness process.
    The witnesses were: Ms. Lynn Ozer, President of SBA 
Lending, Fulton Bank, Pottstown, PA; Ms. Amy Bonfig, Owner, 
Little Saints Academy, St. Joseph, MN; Mr. Jim Parker; CEO & 
Director, Riverview Studios, Bordentown, NJ; and Mr. Pete 
Patel, President & CEO, Promise Hotels, Tulsa, OK.
    Ms. Ozer testified on concerns shared by PPP lenders across 
the country, including a lack of clarity from SBA/Treasury on 
the lender's role in the PPP forgiveness process. According to 
Ms. Ozer, the lending community never envisioned being 
responsible for verifying the accuracy of borrowers' 
forgiveness applications and their accompanying documentation. 
Ms. Bonfig testified from the perspective of a PPP borrower who 
had completed the lengthier PPP forgiveness application and 
reported the significant burdens associated with completing all 
parts of the application, especially the employee counts at 
various times during the 8-week vs. 24-week periods. Mr. Parker 
testified about his perspective on PPP forgiveness as a 
microbusiness and reported concerns that other rules were put 
in place following the enactment of the CARES act about 
spending PPP loan proceeds on fixed costs. Mr. Patel testified 
as a hotel owner regarding the unique challenges his travel-
dependent business is facing in the midst of the COVID-19 
pandemic. He urged Congress to expand access to the Main Street 
Lending Program for asset- based businesses such as hotels.

  PREVENTING FRAUD AND ABUSE OF PPP AND EIDL: AN UPDATE WITH THE SBA 
  OFFICE OF INSPECTOR GENERAL AND THE GOVERNMENT ACCOUNTABILITY OFFICE

    On Thursday, October 1, 2020, the Subcommittee on 
Investigations, Oversight, and Regulations met for a hybrid 
hearing titled: ``Preventing Fraud and Abuse of PPP and EIDL: 
An Update with the SBA Office of Inspector General and the 
Government Accountability Office.'' During the hearing, 
Committee Members heard from the Small Business 
Administration's (SBA) Inspector General (IG) and the 
Government Accountability Office (GAO) about their recent 
reports detailing fraud, and the potential for fraud, in the 
Paycheck Protection Program (PPP) and Economic Injury Disaster 
Loan (EIDL) program.
    The witnesses were: Mr. Hannibal ``Mike'' Ware, Inspector 
General, Office of the Inspector General (OIG), SBA; and, Mr. 
William Shear, Director, Financial Markets and Community 
Investment, GAO.
    Inspector General Ware testified about the OIG's July 28 
Management Report, detailing instances of fraud found in the 
EIDL program and the potential for further fraud due to SBA's 
lack of internal controls. Mr. Shear testified about the GAO's 
August and September reports on the federal response to the 
COVID-19 pandemic. Mr. Shear focused on the SBA components of 
the pandemic response and supported the IG's findings that 
there is a high potential for fraud in the PPP and EIDL 
programs. In addition, Mr. Shear testified that SBA has not 
provided the necessary EIDL internal data and documents for GAO 
to complete their audit objectives.

                                 PART C

                 Waste, Fraud, Abuse and Mismanagement

    Of the hearings delineated above, the following were 
devoted specifically to an examination of programs within the 
Committee's jurisdiction with a focus on potential 
mismanagement, waste, fraud and abuse.

                 HEARINGS ON SBA MANAGEMENT AND BUDGET

    The Committee continued its oversight of the management of 
SBA through hearings and meetings with agency officials and 
stakeholder groups.
    During 2019 and early 2020, prior the COVID-19 pandemic, 
numerous SBA officials, industry representatives and small 
business owners were questioned about the operation of SBA 
programs:
           A Committee hearing on the federal 
        government shutdown of 2018-2019 was conducted on 
        February 6, 2019.
           A series of management review hearings with 
        SBA Associate Administrators, officers, or directors 
        was conducted on February 26, 2019, April 10, 2019, 
        April 30, 2019, July 11, 2019, September 26, 2019, 
        November 14, 2019, January 29, 2020, and February 5, 
        2020. The GAO testified about reports they issued at 
        the hearings on April 30, 2019, and May 16, 2019. The 
        SBA OIG testified about a report they issued at the 
        hearings on July 11, 2019.
           Hearings on SBA's State Trade Expansion 
        Program (STEP) were held on March 12, 2019 and June 11, 
        2019. The GAO and SBA OIG testified at the March 12, 
        2019 hearing on their respective reports on STEP.
           Hearings on SBA's Office of Rural Affairs 
        were held on March 12, 2019 and November 14, 2019.
           A Committee hearing on SBA's disaster loan 
        program was held on July 19, 2019.
           A Committee hearing on the SBA Office of 
        Inspector General's Report on the ``Most Serious 
        Management Challenges Facing the Agency'' was conducted 
        on October 16, 2019.
           A Committee hearing on the SBIR and STTR 
        programs was held on February 11, 2020.
           A Committee hearing with Administrator 
        Jovita Carranza on the Agency's FY2021 budget 
        justification was conducted on February 26, 2020.
    Starting in May 2020, after COVID-19 became a national 
pandemic, the Committee held numerous virtual forums and 
hearings on SBA's implementation of emergency response 
legislation and programs, notably those that were created under 
the CARES Act.
           A Committee hearing on SBA's COVID-19 
        Economic Injury Disaster Loan (EIDL) and Advance 
        programs was held on July 1, 2020. The SBA Associate 
        Administrator for the Office of Disaster Assistance 
        (ODA) was the sole witness.
           A Committee hearing on the federal 
        government's small business stimulus programs was 
        conducted on July 20, 2020. SBA Administrator Jovita 
        Carranza and Treasury Secretary Steve Mnuchin both 
        testified.
           A Committee hearing on SBA's Information 
        Technology Systems and COVID-19 programs was held on 
        July 22, 2020. The SBA Chief Information Officer (CIO) 
        was the sole witness.
           A Committee hearing on contracting was 
        conducted on September 15, 2020. The Associate 
        Administrator of Government Contracting and Business 
        Development (GCBC) was the sole witness.
           A Committee hearing on the Paycheck 
        Protection Program was conducted on September 24, 2020. 
        The Associate Administrator of the Office of Capital 
        Access (OCA) was the sole witness.
           A Committee hearing on PPP and EIDL was held 
        on October 1, 2020. The GAO and OIG both testified on 
        reports they issued and were the only witnesses.

             HEARINGS ON SBA FINANCIAL ASSISTANCE PROGRAMS

    In the 116th Congress, the Committee continued its focus on 
SBA's capital access programs. During 2019 and early 2020, 
prior the COVID-19 pandemic, numerous SBA officials, industry 
representatives and small business owners were questioned 
regarding frequent concerns about the struggle for small 
businesses to access capital to fund their operations.
           Hearings were held on SBA's capital access 
        programs on March 7, 2019, April 10, 2019, May 21, 
        2019, June 26, 2019, September 26, 2019, October 17, 
        2019, December 10, 2019, February 5, 2020, and February 
        12, 2020.
    Beginning in May 2020, the Committee held numerous virtual 
forums and hearings on SBA's implementation of the Paycheck 
Protection Program and EIDL Advance program, created by the 
CARES Act, and the underlying EIDL program.
           Hearings were held on SBA's COVID-19 related 
        capital access programs on June 10, 2020, June 17, 
        2020, July 15, 2020, September 24, 2020, September 25, 
        2020, and October 1, 2020.
           A virtual forum with the SBA OIG was held on 
        May 15, 2020.
           Virtual forums were held on SBA's COVID-19 
        related capital access programs May 13, 2020, and May 
        20, 2020.

                    HEARINGS ON FEDERAL PROCUREMENT

    During the 116th Congress, the Committee continued to 
examine federal procurement rules as they affect small 
businesses.
           Hearings were held on SBA's federal 
        contracting programs on March 26, 2019, May 16, 2019, 
        July 16, 2019, August 1, 2019, September 18, 2019, 
        October 22, 2019, and Sept 15, 2020. The GAO testified 
        about a report they issued at the hearing on October 
        22, 2019.

          HEARINGS ON SBA ENTREPRENEURIAL DEVELOPMENT PROGRAMS

    During the 116th Congress, the Committee continued to 
examine SBA's Entrepreneurial Development programs. During 2019 
and early 2020, prior the COVID-19 pandemic, numerous SBA 
officials, industry representatives and small business owners 
were questioned regarding delivery of the entrepreneurial 
development programs.
           Hearings on SBA's entrepreneurial 
        development program were held on February 27, 2019, 
        April 30, 2019, June 20, 2019, July 10, 2019, July 11, 
        2019, and October 23, 2019.
    Beginning in May 2020, the Committee held virtual forums on 
SBA's implementation of the changes and funding increases 
provided to the entrepreneurial development programs under the 
CARES Act.
           Virtual forums on SBA's COVID-19 related 
        entrepreneurial development programs were held on May 
        7, 2020, and May 28, 2020.

                                 PART D

Implementation of the Oversight Plan of the Committee on Small Business 
               for the One Hundred and Sixteenth Congress

        Subpart 1--Oversight of Federal Capital Access Programs

                   GENERAL ACCESS TO CAPITAL PROGRAMS

7(a) Program
    SBA's Congressional Budget Justification for FY2020 
predicted that SBA would not achieve a zero-subsidy rate for 
the 7(a) program, meaning the 7(a) program would not generate 
sufficient revenue through fee collections and/or recoveries of 
collateral on defaulted loans, and would require either an 
appropriation of $99 million from Congress in order to operate, 
or fee increases. It should be noted the program has operated 
at zero subsidy since FY 2014. To address the potential 
shortfall, SBA opted to propose numerous fee increases on 7(a) 
borrowers and lenders.
    Many 7(a) program stakeholders raised concerns regarding 
the changes made to the econometric models SBA uses in 
conjunction with Office of Management and Budget (OMB) to 
generate these subsidy projections. On April 10, 2019, the 
Committee held a hearing to assess these concerns, as well as 
the impact 7(a) fee increases would have on access to capital 
for small businesses. On May 6, 2019, Chairwoman Nydia M. 
Velazquez, Ranking Member Steve Chabot, Subcommittee on 
Economic Growth, Tax, and Capital Access Subcommittee Chairman 
Andy Kim, and Ranking Member Kevin Hern sent a letter to the 
Government Accountability Office (GAO) to request an evaluation 
of SBA's FY2020 budget submission for the 7(a) program, 
including SBA's budget estimation modeling. On September 30, 
2020, GAO published its findings that SBA generally 
incorporated cost estimation practices previously identified 
that can help agencies make reasonable, reliable estimates, and 
that the increase in the estimate was largely due to SBA's use 
of updated assumptions and calculation methods.
504/Certified Development Company Program
    On December 10, 2019, the Subcommittee on Investigations, 
Oversight, and Regulations held a hearing to review SBA's 504/
Certified Development Company (CDC) program. During the 
hearing, Subcommittee Members heard from a panel of CDCs 
regarding the current status of the program, as well as changes 
recommended to improve its reach and operation of the program. 
For example, CDCs on the panel testified that changes to 
occupancy requirements in the program would make it easier for 
504 loans to finance the purchase of multi-story buildings. 
CDCs also testified regarding the benefit to borrowers and 
lenders of streamlining the 504 loan closing process. On 
September 16, 2020, the Committee marked-up two bills to 
improve the 504 program, both of which were reported 
unanimously to the House.
Community Advantage Program
    On May 21, 2019, the Subcommittee on Investigations, 
Oversight, and Regulations held a hearing to review SBA's 
Community Advantage loan program. During the hearing, 
Subcommittee Members heard from a panel of Community Advantage 
lenders and borrowers about their experiences with the program. 
Specifically, the lenders on the panel urged Members to codify 
the program to provide long-term stability to the program. On 
March September 16, 2020, the Committee marked-up a bill to 
authorize the Community Advantage program under the Small 
Business Act for five years. On September 16, 2020, the bill 
was unanimously reported to the House.
Microloan Program
    On March 7, 2019, the Subcommittee on Economic Growth, Tax, 
and Capital Access held a hearing to review SBA's Microloan 
program. During the hearing, Subcommittee Members heard from 
Microlenders, Microloan borrowers, and program stakeholders 
regarding current program operations and recommendations to 
improve the program's performance and reach. For example, 
Microlenders on the panel testified that eliminating the 
program's ``1/55 rule'' (which places an arbitrary cap on the 
distribution of loan funds to Intermediaries for the first half 
of the year to the lesser of $800,000 or one-fifty-fifth of 
newly appropriated funds) would allow SBA to more efficiently 
get loan funds to Intermediaries when needed. Microlenders also 
testified about the importance of technical assistance and 
encouraged Congress to strengthen that component of the 
program. On March 11, 2020, the Committee marked up two bills 
to improve the Microloan program, both of which were reported 
unanimously to the House, and approved on September 14, 2020.
SBIC Program
    In the 116th Congress, oversight of the Capital Access 
programs was a top priority. With regard to the Small Business 
Investment Company (SBIC) program, the Committee held a SBIC 
management review hearing on September 26, 2019. The Associate 
Administrator (AA) for the Office of Investment and Innovation 
(OII), Joseph Shepard testified on the first panel, providing 
Committee Members with an update of program performance under 
his leadership. The second panel was comprised of SBIC industry 
participants, stakeholders, and policy experts who testified on 
the performance of the program, including the impact the 
programmatic delays had on investors' ability to assist small 
businesses. Witnesses raised concerns over delays in SBIC fund 
licensing for new and existing SBIC funds, as well as delays in 
conducting periodic examinations. On October 10, 2019, 
Chairwoman Nydia M. Velazquez and Ranking Member Steve Chabot 
sent a letter to Mr. Shepard outlining concerns from the 
September 26th hearing, specifically with regard to SBA's 
staffing for SBIC fund licensing and generally within OII. On 
October 18, 2019, the Chairwoman and Ranking Member received a 
response from SBA to the October 10th letter. SBA's response 
addressed many of the questions raised regarding SBIC fund 
licensing and staffing levels at OII.

              PANDEMIC-SPECIFIC ACCESS TO CAPITAL PROGRAMS

Paycheck Protection Program

    In response to the COVID-19 pandemic, Congress created the 
SBA Paycheck Protection Program (PPP), which has been 
implemented with the assistance of the Department of Treasury. 
The program is designed to help small employers access critical 
financial assistance quickly. The Committee held numerous 
oversight hearings on the PPP to assess the effectiveness of 
the program and evaluate ways to improve the program's reach 
and performance, particularly to women, minorities, and 
underserved communities. This included a hearing held on July 
17, 2020 with Treasury Secretary Steven Mnuchin and SBA 
Administrator Jovita Carranza regarding agency challenges with 
the program. Specifically, Secretary Mnuchin committed to 
setting aside some PPP funds for underserved small businesses.
    The Committee also held a hearing on June 17, 2020 with PPP 
participants and stakeholders to assess the effectiveness of 
the program, as well as where ongoing improvements are needed. 
Furthermore, the Committee held a hearing on September 25, 2020 
specifically on PPP loan forgiveness and the challenges 
borrowers and lenders faced in applying for forgiveness. 
Specifically, Committee Members heard about the need lenders 
and borrowers have for a streamlined PPP loan forgiveness 
process, particularly for the smallest of small businesses.
    The Subcommittee on Innovation and Workforce Development 
also held a hearing on September 24, 2020 with SBA's Chief of 
Staff and Associate Administrator for the Office of Capital 
Access, William Manger, regarding the technology systems SBA 
uses to operate its various business loan programs. 
Subcommittee Members heard about the issues SBA faced in 
rapidly processing PPP loans and the steps SBA is taking to 
increase memory capacity and system resiliency as the loan 
forgiveness process begins. The Committee has also maintained a 
steadfast effort to improve PPP transparency and specifically, 
public reporting of loan level data. This includes regular 
correspondence with SBA and government watchdog agencies.

Economic Injury Disaster Loan Program

    Responding to the COVID-19 pandemic, Congress also enacted 
numerous changes to SBA's Economic Injury Disaster Loan (EIDL) 
program to improve its ability to respond to the COVID-19 
pandemic. The improvements included additional funding to meet 
demand for EIDLs, a waiver of the credit elsewhere requirement, 
and the creation of an EIDL Advance grant program, which 
provided advance payments of up to $10,000 that would not need 
to be repaid, even if borrowers were later denied disaster 
loans. The Committee held multiple oversight hearings on the 
EIDL program to evaluate its effectiveness and hear from 
program participants regarding their experiences with the 
program. This included a hearing on June 10, 2020 with EIDL 
borrowers and Advance recipients, and a hearing with the 
Associate Administrator for the Office of Disaster Assistance 
(ODA) James Rivera on July 1, 2020 to hear the challenges ODA 
faced in implementing an expanded EIDL program and in standing 
up a new EIDL Advance program. This included a need to rapidly 
increase staff to manage the unprecedented demand for EIDLs and 
retain a contractor to assist with processing and evaluating 
COVID-19 EIDLs.
    On June 9, 2020, Chairwoman Nydia M. Velazquez and Ranking 
Member Steve Chabot sent SBA Administrator Jovita Carranza a 
letter expressing concerns over ODA's implementation of the 
EIDL and Advance programs, including an agency-imposed cap on 
EIDL amounts at $150,000, as well as concerns some EIDL 
applicants shared with the Committee regarding SBA's customer 
service. The June 9 letter also included 14 interrogatories 
(including all discrete subparts) addressed to the agency. 
Moreover, on July 31, 2020, Chairwoman Velazquez and 
Subcommittee on Investigations, Oversight, and Regulations 
Chairwoman Judy Chu sent Administrator Carranza a letter 
requesting a briefing on SBA's response to the findings in the 
Office of Inspector General's (OIG) report identifying 
potential fraud in the EIDL program. The staff briefing was 
held in early August 2020.

     Subpart 2--Oversight of SBA and other Federal Entrepreneurial 
                          Development Programs


              GENERAL ENTREPRENEURIAL DEVELOPMENT PROGRAMS

    The SBA offers a wide range of free or low-cost counseling 
and training services through its entrepreneurial development 
ecosystem to help entrepreneurs launch and grow their small 
businesses. To deliver these resources, the SBA relies on its 
four primary resource partners: Small Business Development 
Centers (SBDCs), Women's Business Centers (WBCs), SCORE, and 
Veterans Business Outreach Centers (VBOCs). During the 116th 
Congress, the Committee focused its oversight efforts on 
ensuring these programs were operating effectively in creating 
jobs at startups and traditional firms, meeting the needs of 
underserved populations, and using taxpayers' dollars 
responsibly.
    On February 27, 2019 the Committee held a hearing with 
representatives from the SBDC, WBC, SCORE, and VBOC programs to 
learn how these programs could be improved and strengthened 
through reauthorization. Following the hearing, the Committee 
worked with Representative Jared Golden on H.R. 4406, the 
``Small Business Development Center Improvement Act'' to 
reauthorize the SBDC program for four years, allow for the 
promotion and advertisement of the program, and strengthen 
oversight through an annual report to Congress. The Committee 
also worked with Representative Sharice Davids on H.R. 4405, 
the ``Women's Business Center Improvement Act'' to reauthorize 
the WBC program for four years, create an accreditation program 
for WBCs, and require annual reports to Congress. Lastly, the 
Committee worked with Representative Bradley Schneider on H.R. 
3537, the ``Veterans Entrepreneurship Act,'' to codify the 
Boots to Business program at VBOC for 5 years. These bills were 
marked up in committee and passed the House in the 116th 
Congress but were not considered in the Senate.
    On July 11, 2019 the Subcommittee on Investigations, 
Oversight, and Regulations held a hearing to examine the SBA 
Office of Inspector General's (OIG) April 25, 2019 report on 
the SCORE Program. Mr. Hannibal Ware, the Inspector General of 
SBA and Mr. Allen Gutierrez, Associate Administrator of the 
Office of Entrepreneurial Development Associate testified 
before the Committee. The report found that SBA did not 
effectively oversee SCORE's use of federal funds and that SBA's 
ability to detect fraud, waste, and abuse in the program was 
hampered. As a result, the Committee worked with Representative 
Kevin Hern on H.R. 4407, the ``SCORE for Small Business Act of 
2019,'' that created safeguards for SCORE's use of government 
funds and brought the program in line with Federal operating 
standards. H.R. 4407 passed the House on October 21, 2019 but 
was not considered in the Senate. Since the July 11th hearing, 
SCORE has independently closed the recommendations from the OIG 
report, changed leadership, and worked to restore public faith 
in the organization.
    A major priority of the Committee has been to investigate 
and expand access to SBA's entrepreneurial development services 
to underserved communities across the country. On April 30, 
2019 the Subcommittee on Investigations, Oversight, and 
Regulations held a hearing to discuss SBA's relationship with 
HBCUs. Following the hearing, Chairwoman Velazquez, 
Subcommittee Ranking Member Spano, Subcommittee Chairwoman Chu, 
Alma Adams, and Vice-Chair Dwight Evans sent a letter to SBA's 
Associate Administrator of Entrepreneurial Development, Allen 
Gutierrez, inquiring how SBA plans to meet recommendations from 
GAO's report (GAO-20-41), fulfill the promises from his April 
30th testimony, and strengthen SBA's relationship with HBCUs.
    Similarly, the Subcommittee on Investigations, Oversight, 
and Regulations held a field hearing on November 8, 2019 to 
determine how the federal government can better assist 
immigrant entrepreneurs and small business owners. In addition, 
the Committee held a hearing on October 23, 2019 on expanding 
entrepreneurial development services to the incarcerated and 
formerly incarcerated. This hearing led to the development and 
passage of H.R. 5078, the ``Prison to Proprietorship Act,'' 
with Chairwoman Nydia Velazquez, and H.R. 5065, ``Prison to 
Proprietorship for the Formerly Incarcerated Act'' with 
Representative Hakeem Jeffries. These bills would provide 
entrepreneurial development counseling and training to 
individuals currently incarcerated and recently released from 
prison. H.R. 5078 and H.R. 5065 were not considered by the 
Senate.

                       PANDEMIC RELATED PROGRAMS

    On January 30, 2020, The World Health Organization (WHO) 
declared a global health emergency over COVID-19. In response 
to the widespread disruption to public health, the economy, and 
small businesses particularly, Congress created and passed the 
CARES Act to respond to the effects of the pandemic. The CARES 
Act was signed into law on March 27, 2020 and the Committee has 
been actively engaged in oversight of its programs since 
enactment. Specifically, the Committee has overseen the 
implementation of the increased funding for SBA's SBDCs, WBCs, 
their Associations, and Minority Business Development Centers 
(MBDCs) and the implementation of SBA language services.
    On May 7, 2020, the Committee held a virtual forum with 
representatives from SBA's Resource Partners, the SBDCs, WBCs, 
SCORE, VBOCs, and Treasury's MBDC program. The SBDCs and WBCs 
received additional funding through the CARES Act to provide 
virtual counseling and training services and to tailor their 
curriculums to the challenges small businesses face during the 
mandatory shutdowns and pandemic life. The forum provided an 
opportunity for the Committee to perform oversight on the 
disbursement of funds and SBA's engagement with the Resource 
Partners to meet the challenges facing counselors and the 
communities they serve across the nation.
    On May 28, 2020, the Subcommittee on Contracting and 
Infrastructure held a virtual forum on how Congress can 
leverage the SBDC network to help small businesses recover from 
the pandemic. At this forum, members learned of the vast array 
of services SBDCs can provide small businesses and 
entrepreneurs including services tailored to the COVID-19 
pandemic. In addition, members learned of the importance of 
SBDCs being able to use CARES Act funds to market their 
services to reach as many small business owners and 
entrepreneurs as possible.
    In addition to virtual forums, the Subcommittee on 
Investigations, Oversight, and Regulations Chairwoman Judy Chu 
and Small Business Committee Chairwoman Nydia Velazquez led 72 
Members in a letter to SBA Administrator Carranza regarding the 
language services implementation as required in Section 1110 of 
the CARES Act. The letter detailed the Committee's concerns 
that SBA was slow to provide the necessary documents and 
materials in the 10 most common languages other than English 
including, Mandarin, Cantonese, Japanese, and Korean. The 
Committee has not received a response but SBA has updated their 
website with CARES Act program application forms, application 
instructions, and FAQs in the required languages.

         Subpart 3--Oversight of Federal Government Contracting

    One of the core functions of SBA is to ensure that a fair 
proportion of contracts and subcontracts are placed with small 
businesses. To accomplish this mission, SBA has a wide range of 
contracting programs and supporting resources that strive to 
level the playing field and grant small businesses access to 
the federal procurement space. During the 116th Congress, the 
Small Business Committee focused its oversight activities on 
ensuring these programs and resources are implemented in 
accordance with the statute and free from fraud and abuse.
    On March 26, 2019, the Committee held a hearing to examine 
SBA's delay in carrying out the Small Business Runway Extension 
Act (Runway Act) and possible measures to expedite its 
implementation. Following the hearing, on April 4, 2019, 
Congresswoman Nydia Velazquez, in conjunction with Ranking 
Member Chabot, Representative Golden and Representative Stauber 
sent a letter to SBA's Administrator, Linda McMahon, to request 
information on the agency's progress and request a timeline for 
issuing regulations to implement the legislation. The Committee 
also worked with Representative Stauber on H.R. 2345, the 
``Clarifying the Small Business Runway Extension Act,'' which 
sought to ensure the swift implementation of the Runway Act. 
H.R. 2345 passed the House on July 15, 2019. However, it was 
not enacted into law as SBA ultimately adopted rules to address 
the matter.
    Similarly, on May 16, 2019, the Committee held a hearing to 
discuss GAO's latest report regarding the Women Owned Small 
Business (WOSB) Contracting Program and SBA's lack of 
implementation of a formal WOSB certification, as required by 
the National Defense Authorization Act for Fiscal Year 2015. On 
June 19, 2019, the Committee sent a bipartisan letter to the 
former Associate Administrator of the Office of Government 
Contracting and Business Development, Mr. Wong, requesting 
SBA's timelines and plans to implement the formal certification 
process. Subsequent oversight efforts on this topic include a 
management review hearing hosted by the Committee on September 
15, 2020 where the new Associate Administrator for GCBD, Dr. 
Spampinato, had an opportunity to testify as to the status of 
the WOSB certification process, the current state of the 8(a) 
and HUBZone programs and the overall participation of small 
businesses in federal contracts and subcontracts.
    Eradicating fraud and abuse has been a longstanding 
oversight priority for the Committee. On October 22, 2019, the 
Committee held a hearing focused on GAO's reports detailing 
SBA's weaknesses in the management of the 8(a) program as it 
relates to native-owned small business. The hearing also 
addressed concerns of ineligible firms being certified into the 
program. On January 24, 2020 the Committee sent a letter to GAO 
requesting additional work in these areas and the report is 
currently underway.
    The Committee has also engaged in oversight efforts to 
guarantee resources, such as contracting personnel, are 
available to assist small businesses. On November 5, 2019, the 
Committee sent a bipartisan letter to the Director of the 
Defense Logistics Agency, Mr. Williams, to inquire about the 
agency's non-compliance with requirements of the Office of 
Small and Disadvantaged Business Utilization (OSDBU). Likewise, 
on August 12, 2020, Chairwoman Velazquez sent a letter to SBA 
referencing the findings of a recently published GAO report on 
procurement center representatives (PCRs) and requesting 
additional information as to the limited number of PCRs and 
efforts to fill available positions or to increase them.
    Finally, the Committee has performed its oversight function 
through legislation. For example, H.R. 226 the ``Clarity on 
Small Business Participation in Category Management Act of 
2019'' institutes a reporting requirement to understand the 
level of participation of small businesses in ``Best In Class'' 
contracting vehicles, which in turn will help measure the 
impact of category management on small businesses and federal 
procurement opportunities. H.R. 226 became law on December 20, 
2019, through its incorporation in S. 1790, the National 
Defense Authorization Act of 2019. Furthermore, given the 
importance of cash flow to small businesses particularly amid 
the COVID-19 pandemic, the Committee worked with Representative 
Crow on H.R. 7342, the ``Federal Small Businesses Contractor 
Prompt Payment Reporting Act.'' H.R. 7342 requires federal 
agencies to report to Congress on the timeliness of payments to 
prime contractors who are small businesses or have small 
businesses as subcontractors, including the date in which 
agencies started accelerating payments (with a goal of paying 
in 15 days after the submission of a proper invoice) in 
accordance with 10 U.S.C. 2307(a)(2) and 31 U.S.C. 3903(a)(10)-
(11). H.R. 7342 was introduced on June 25, 2020 and included in 
H.R. 6395, the ``William M. Mac Thornberry National 
Authorization Defense Act for Fiscal Year 2021.'' H.R. 6395 
passed the House on July 21, 2020 by a vote of 295-125 (Roll 
Call 152) and placed on the Senate Legislative Calendar on 
August 5, 2020.

                 Subpart 4--Oversight of SBA Management

    The Committee actively oversees the management of the Small 
Business Administration through hearings, letters, and meetings 
with agency officials and industry representatives.
    A primary concern for the Committee is to ensure that 
adequate levels of funding are available to fully implement SBA 
programs. The Small Business Administration assists small 
businesses through business loans, loan guarantees, counseling, 
and contracting preferences. To deliver these programs and 
services throughout the country, SBA relies largely on a 
network of 68 district offices located across the United States 
and its territories. The Committee held a management review 
hearing on the Office of Field Operations, in which Mr. Michael 
A. Vallante, the Associate Administrator of the Office of Field 
Operations, testified about the Office's organizational 
structure and performance. Members learned the aggregate number 
of Full Time Equivalents (FTE) employees in district and 
regional offices decreased from 813 in FY 2014 to 687 in FY 
2019. To ensure the agency meets its mission to serve small 
businesses throughout the nation and deliver high quality 
services to the small business community, the Committee 
recommended that funding be dedicated to the Office of Field 
Operations in ``the Views and Estimates of the Committee on 
Small Business on Matters to be set forth in the Concurrent 
Resolution on the Budget for Fiscal Year 2021.'' The letter was 
approved in a full Committee mark-up on March 4, 2021.
    The Committee also rejected the Administration's steep cuts 
to SBA's resource partner network, comprised of Small Business 
Development Centers (SBDCs), Women's Business Centers (WBC), 
SCORE chapters, and Veterans Business Outreach Centers (VBOCs). 
In the Views and Estimates letters for FY 2020 and FY 2021, the 
Committee advocated for robust levels of funding for the 
counseling and training programs to support small businesses. 
Moreover, on February 26, 2020, the Committee held a hearing on 
the Small Business Committee's Budget for FY 2021. The newly 
confirmed Administrator, Jovita Carranza testified before the 
Committee in which concerns were raised over the level of 
funding for district offices, as well as the steep cuts to the 
Entrepreneurial Development programs.
    On October 11, 2019, the Inspector General released its 
report on the most serious management and performance 
challenges facing the Small Business Administration in fiscal 
year 2020. On October the Committee held an oversight hearing 
to examine the management and performance challenges identified 
in the OIG's FY 2020 report and discuss SBA's efforts to 
address these challenges.
    The Committee has also been concerned the SBA has 
implemented unproven pilot programs that lack an authorization 
and robust controls. To that end, on September 19, 2019, the 
Subcommittee on Innovation and Workforce Development held a 
hearing to evaluate the Growth Accelerator Fund Competition 
(GAFC), a pilot program that provides $50,000 awards to 
accelerators to give early-stage entrepreneurs opportunities to 
immerse themselves in intense learning. At the hearing, 
witnesses testified that SBA's GAFC spurred economic 
development and helped to create jobs. Moreover, the pilot 
program fills geographic gaps by supporting the development of 
accelerators and their startups in regions of the country where 
there are fewer sources of capital. On October 17, 2019, the 
Committee reported H.R. 4387, legislation to establish a Growth 
Accelerator Program at the Small Business Administration and 
develop metrics to further evaluate the effectiveness of the 
program. The legislation was approved by the House of 
Representatives on October 21, 2019, however the Senate did not 
consider the measure.
    Throughout the Congress, the Committee also held a number 
of management review hearings to evaluate budgetary requests, 
financial management, and reporting goals in each of the 
offices at SBA. The respective Associate Administrator from 
each department testified before the Committee at these 
hearings, which are detailed in Subparts A and B above. 
Moreover, Committee staff met regularly with Associate 
Administrators and other SBA employees to conduct oversight.

    Subpart 5--Oversight of Federal Regulatory and Paperwork Burdens

    The Committee continues to prioritize oversight of federal 
agency regulations and paperwork requirements to ensure small 
businesses are not unduly burdened. On July 21, 2019, the 
Subcommittee on Economic Growth, Tax, and Capital Access held a 
field hearing in Tulsa, Oklahoma to examine the small business 
regulatory landscape and how it affects their ability to 
operate their businesses. This hearing allowed Members to learn 
of opportunities to reduce burdensome regulations and 
paperwork, as well as, hear which regulations work for small 
businesses and entrepreneurs.
    Legislatively, the Committee worked with Representative 
Antonio Delgado to advance H.R. 2142, which would require the 
SBA and Agriculture Regulatory Enforcement Ombudsman 
(Ombudsman) to create a centralized website for regulatory 
compliance guides. H.R. 2142 would reduce the administrative 
burden on small businesses by consolidating necessary 
regulatory information in one place. In addition, H.R. 2142 
requires the Ombudsman to report to Congress on federal 
agencies' compliance with the Small Business Regulatory 
Enforcement Fairness Act of 1996 (SBREFA). H.R. 2142 passed the 
House on July 15, 2019 but was not considered in the Senate.
    As part of its ongoing oversight efforts, the Committee 
continued to monitor federal agencies compliance with the 
SBREFA, which requires agencies to report to Congress annually 
on small entity compliance guides that are required for every 
final rule that has a significant impact on a substantial 
number of small entities under the Regulatory Flexibility Act.

               Subpart 6--Oversight of Federal Tax Policy

    During the 116th Congress, the Committee conducted hearings 
and investigations into the tax code and its impact on small 
businesses. Specifically, the Committee conducted a hearing on 
July 24, 2109 focused on how the Tax Cuts and Jobs Act (TCJA) 
failed to deliver on its promises for most Main Street small 
businesses. The Committee conducted a hearing on March 3rd, 
2020 regarding the impact of the 2018 U.S. Supreme Court 
decision in South Dakota v. Wayfair, Inc. regarding state sales 
and use taxes and tax compliance. Following the Wayfair hearing 
Representative Andy Kim--Chairman of the Economic Growth, Tax 
and Capital Access subcommittee--sent a letter in October 2020 
to the Government Accountability Office (GAO) requesting an 
update on a 2017 report that estimated revenue and compliance 
costs related to interstate sales and use taxes for states and 
businesses. Additionally, the Committee held a hearing on March 
27, 2019 examining retirement plan options for small businesses 
and the barriers small business owners face in saving for 
retirement. Finally, the Committee examined the impact of 
COVID-19 on small businesses and tax policy via the 
implementation of the Employee Retention Tax Credit (ERTC) and 
the Paycheck Protection Program (PPP).

               Subpart 7--Oversight of Health Care Policy

    During the 116th Congress, the Committee on Small Business 
conducted hearings and oversight analyzing federal health care 
policy, focusing on small, physician-owned medical practices 
and their ability to better service patients. That included a 
hearing on June 12, 2019 covering how increasing student loan 
debt is a barrier to entry for young doctors starting new 
firms, especially in underserved areas of the country. The 
Committee also held hearings on ways to reducing administrative 
burdens for small medical practices. Following a hearing on 
September 11, 2019 on prior authorization, a method used by 
health insurance companies to slow down the ability for doctors 
to serve their patients, members of the committee led letters 
on the issue. The first was to Ways and Means October 21st, 
2019, pushing for the passage of H.R. 3107, Improving Seniors' 
timely Access to Care Act of 2019, and the second led by 
Representative Davids on May 4, 2020 to CMS encouraging changes 
to Medicare Advantage regulations in the midst of the COVID-19 
pandemic. The Committee also conducted a hearing analyzing the 
connections between public health and small businesses in its 
first hearing on the COVID-19 pandemic, primarily focused on 
industries such as travel and dining, especially in Asian-
American communities.

                 Subpart 8--Oversight of Energy Policy

    During the 116th Congress, the Committee on the Small 
Business conducted hearings and oversight detailing how small 
businesses are involved in the clean energy economy, reducing 
emissions, increasing efficiencies while creating jobs in the 
United States. On September 6, 2019 the Committee held a 
hearing on the diverse ways small businesses are engaged in the 
growing the clean energy economy. This included the importance 
of tax incentives for renewable energy, energy efficiency, and 
clean transportation technologies and outlined the importance 
that biofuels production has in rural America. The Committee 
also provided input to the House Select Committee on the 
Climate Crisis on ways that the Small Business Administration 
can be supportive of small businesses seeking to adopt energy 
efficiency and renewable energy systems. Representative 
Finkenauer, the Chair of the Small Business Committee 
Subcommittee on Rural Development, Agriculture, Trade, and 
Entrepreneurship wrote a letter to the Administration on 
biofuels issues and the renewable fuel standards on June 8, 
2020. The letter pushed back against waivers provided by the 
Administration that impacted the production and use of 
renewable biofuels under the federal Renewable Fuel Standard.

     Subpart 9--Oversight of Trade and Intellectual Property Policy


Trade

    The State Trade Expansion Program (STEP) aims to increase 
the number of small businesses that export and raise the value 
of existing small business exporters. The SBA Associate 
Administer of the Office of International Trade is responsible 
for overseeing the program and awards matching funds to states 
and territories for participation in trade missions, 
international marketing efforts, workshops, export trade show 
exhibits, and other promotional activities.
    In the 116th Congress, the Committee worked to ensure the 
STEP program meets the needs of its participants and expands 
access to export markets across the country, in preparation for 
the reauthorization of the program. On March 12, 2019, the 
Subcommittee on Rural Development, Agriculture, Trade, and 
Entrepreneurship held a hearing with the Government 
Accountability Office (GAO) and SBA Office of Inspector General 
(OIG) to discuss the challenges facing the STEP program. In 
addition, on June 11, 2019, the Subcommittee held a hearing on 
the states' perspectives of the STEP program, where they heard 
from state representatives and small business participants. 
These hearings allowed Subcommittee members to understand the 
challenges facing the program from multiple perspectives.
    This oversight work culminated in the Committee working 
with Representative Abby Finkenauer on H.R. 6133, the STEP 
Improvement Act. H.R. 6133 would reauthorize the program 
through Fiscal Year 2024, streamline the application process, 
increase grant flexibility, and improve the communication 
between the SBA and state awardees. H.R. 6133 was passed by the 
House on September 14, 2020 but not considered in the Senate.
    In addition to the STEP program, the Committee also held a 
roundtable on February 12, 2020 with representatives from SBA's 
SBDC program. One of the panels of the roundtable focused on 
how the Committee can continue to prioritize small business 
exports and how imperative they are to small business growth.

Intellectual Property

    During the 116th Congress, the Committee on Small Business 
conducted hearings and oversight facing entrepreneurs, start-
ups, and small businesses regarding patents, trademarks, and 
copyrights. On January 19, 2020, the Committee held a hearing 
on the Inventor Diversity for Economic Advancement (IDEA) Act 
which would require the Patent Trade Office (PTO) to collect 
demographic data, reflecting the data categories collected in 
the SUCCESS Act from patent applicants on a voluntary basis. 
The Committee heard testimony that lack of diversity in the 
innovation process is hindering the economy and one way to 
combat this is to collect demographic data to create more 
understanding and equity in the in the innovation ecosystem.
    The Committee also held a roundtable on July 25, 2019 
regarding issues that women entrepreneurs face in the 
technology industry. Members of the Committee heard about ways 
to integrate more women into venture capital (VC) and 
developing resources to create pipeline of future female tech 
founders.

                  Subpart 10--Oversight of Agriculture

    During the 116th Congress, the Committee on Small Business 
conducted hearings and oversight on the important role small 
businesses play in the agriculture sector of the economy. Small 
businesses are engaged in a wide range of farm and food related 
activities as producers, distributors, and retailers 
domestically and in the international market. The Small 
Business Committee conducted a hearing on opportunities 
provided by advances in agricultural technology in rural 
economies on January 9, 2020. The Committee heard the concerns, 
challenges, and ways to supporting the next generation of 
farmers at a hearing on July 25, 2019. The Committee also held 
hearing on Sept. 30, 2020 analyzing how COVID-19 is impacting 
our nation's farmers and small businesses engaged in our food 
systems.
    The Committee also held a hearing on November 14, 2019 with 
officials from both USDA and SBA to discuss the memorandum of 
understanding between the agencies, the challenges facing rural 
businesses, and how the agencies can coordinate to best serve 
rural entrepreneurs and small businesses. In addition to these 
impactful hearings, the Small Business Committee analyzed trade 
policies by the Trump Administration and its impact on small 
farm businesses.
    Chairwoman Nydia Velazquez (NY-07) and members of the 
Committee sent a letter to the Administration on the impacts 
that trade wars and tariffs were having on small businesses on 
January 17, 2020. Congresswoman Abby Finkenauer (IA-01), joined 
by other members of the Committee, wrote letters to the SBA 
Administrator about the Office of Rural Affairs on December 13, 
2019 and April 30, 2020. Congressman Antonio Delgado (NY-19) 
and other members of the Committee engaged with the 
Administration on small agriculture businesses access to COVID-
19 relief programs, sending a letter on April 2, 2020.

       Subpart 11--Oversight of Technology and Innovation Policy

    During the 116th Congress, the Committee on Small Business 
conducted hearings and oversight facing entrepreneurs on the 
importance of innovation, entrepreneurship, and how small 
businesses are utilizing digital platforms to start and grow 
businesses. The Committee held a hearing with representatives 
from the ``Big Tech'' companies on November 14, 2019 regarding 
the opportunities and challenges online platforms such as 
Amazon and Google pose for entrepreneurs and small firms. The 
Committee also held several hearings on the importance of 
reliable and affordable broadband service is to the success of 
small businesses, especially in rural and underserved markets. 
One issue in particular addressed by the Committee, at a 
hearing on June 25, 2019, was on the importance of accurate 
broadband maps in closing the digital divide.
    The Committee also addressed how lack of access to 
broadband is impacting health care in rural communities during 
COVID-19. Representative Crow led a letter on May 6, 2020 to 
the Federal Communications FCC inquiring about how the FCC was 
operating its COVID-19 Telehealth Portal which allows 
healthcare providers to apply for reimbursements for costs they 
incur for telehealth services.
    During the 116th Congress, the Committee conducted 
oversight on SBA's efforts to modernize its legacy technology 
systems. The Committee learned that several projects the SBA 
started were not completed, most importantly, Certify.gov. The 
Committee also examined the systems used to implement the 
Paycheck Protection Program and Economic Injury Disaster Loan 
programs, focusing on system crashes, SBA's reliance on 
outdated systems, and SBA's plans to replace these systems.
    To that end, the Committee held two hearings, the first was 
held on July 22, 2020 with SBA's Deputy CIO, Mr. Guy Cavallo, 
focused on IT modernization efforts at the SBA over the past 
few years. The second hearing was held on September 24, 2020 
with SBA's Chief of Staff and Associate Administrator for the 
Office of Capital Access, Mr. Bill Manger, which focused on the 
technical concerns that arose during the PPP and EIDL programs. 
On September 16, 2020 Representative Jared Golden, Chair of the 
Subcommittee on Contracting and Infrastructure also sent a 
letter to SBA regarding the Certify.gov project: the questions 
centered on the cost of the project, why it was halted, and a 
timeline for the completion of the new Certify.gov system.

       Subpart 12--Oversight of Veterans' Entrepreneurship Policy

    The Committee continues to oversee and foster veteran 
entrepreneurship through contracting, entrepreneurial 
development, and loan guaranty programs that assist service 
members transitioning to civilian life. On July 10, 2019, the 
Committee held a hearing titled: ``Continuing to Serve: 
Military to Entrepreneurship,'' which focused on the role of 
veteran entrepreneurs in growing the economy and examined 
legislative efforts to foster veteran entrepreneurship. 
Following the hearing, on July 17, 2019, the Committee marked 
up four bills aimed to strengthen SBA's veteran programs.

Entrepreneurial Development

    Every year, more than 200,000 servicemembers make the 
transition from military to civilian life. Transition 
assistance is critical to ensure that those who serve in the 
military have opportunities for meaningful employment. The 
National Defense Authorization Act of Fiscal Year 2019 requires 
servicemembers participating in TAP to enroll in one of three 
capstone classes, which include: Accessing Higher Education, 
Career and Technical Training, and Entrepreneurship (Boots to 
Business). In order to continue to support veteran 
entrepreneurs, the Committee worked with Representative Bradley 
Schneider on H.R. 3537, the ``Veteran Entrepreneurship Training 
Act of 2019''. H.R. 3537 amends the Small Business Act to 
codify the Boots to Business program for five years.
    In addition, the Committee worked with Representative 
Sharice Davids on H.R. 3734, ``The Successful Entrepreneurship 
for Reservists and Veterans Act''. H.R. 3734 requires the 
Interagency Task Force for Small Business Development to 
annually report to Congress on the task force appointments and 
to identify and outline a plan for outreach and promotion of 
veterans' programs at SBA. H.R. 3734 also requires a GAO report 
to Congress on the credit issues related to veterans, ensuring 
Congress is apprised of issues facing the veteran community on 
a regular basis.
    These bills were marked up on July 17, 2019 by the 
Committee and passed the House in the 116th Congress but were 
not considered in the Senate.

Federal Contracting

    In the 116th Congress, the Committee also focused its 
efforts on harmonizing and ensuring consistency between two 
distinct federal contracting programs for veterans. The 
Committee worked with Representative Trent Kelly on H.R. 1615, 
the ``Verification Alignment and Service-Disabled Business 
Adjustment Act.'' H.R. 1615, institutes a formal certification 
process for SBA's Service-Disabled Veteran-Owned Small Business 
Contracting Program and transfers to the SBA the responsibility 
of certifying veteran-owned small businesses participating in 
the Department of Veterans Affairs contracting program.
    In addition, the Committee worked with Ranking Member 
Chabot on H.R. 499, the ``Service-Disabled Veterans Small 
Business Continuation Act''. H.R. 499 provides parity in the 
treatment of surviving spouses to these two contracting 
programs.
    H.R. 1615, as amended, was marked up in Committee, passed 
the House, and was included in H.R. 6395, the National Defense 
Authorization Act for Fiscal Year 2021. H.R. 6395 passed the 
House but was not considered in the Senate. Similarly, H.R. 499 
was marked up in Committee and passed the House in the 116th 
Congress but was not considered in the Senate.

Access to Capital

    Access to capital remains a significant barrier to veteran 
entrepreneurship and an oversight priority of the Committee. On 
February 7, 2019, the Subcommittee on Economic Growth, Tax, and 
Capital Access held a hearing to assess the challenges faced by 
underserved businesses, including those owned by veterans. 
During that hearing, Subcommittee Members heard about a change 
in the language of the Small Business Act that would increase 
the eligibility of military--focused SBA programs to those who 
have ``[been] ordered to perform active--duty service for more 
than 30 consecutive days,'' which would include National Guard 
and Reserve members.
    Following the hearing, the Committee worked with 
Representative Andy Kim on H.R. 3661, the ``Patriotic Employer 
Protection Act''. H.R. 3661 makes the aforementioned change to 
SBA's Military Reservist Economic Injury Disaster Loan (MREIDL) 
and Repayment Deferral programs, broadening the pool of 
servicemembers and reservists eligible for the MREIDL and 
Repayment Deferral programs. H.R. 3661 was marked up in 
Committee and passed the House in the 116th Congress but was 
not considered in the Senate.

          Subpart 13--Oversight of Labor and Workforce Policy

    During the 116th Congress, the Committee on Small Business 
conducted hearings and oversight to analyze the workforce needs 
of small businesses often through the lens of workforce 
development programs. On September 11, 2019 the Committee held 
a hearing analyzing policies that can upskill the medical 
services sector. The Committee also examined the importance of 
local workforce boards under the Workforce Innovation and 
Opportunity Act and Community Colleges for workforce training 
in the recovery from the COVID-19 pandemic. The Committee also 
conducted a field hearing in Colorado on November 22, 2019 on 
innovations in the education system that are creating a 
pipeline of highly skilled workers for small businesses using 
new training methods for high school and college students.

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