[Federal Register Volume 83, Number 222 (Friday, November 16, 2018)]
[Proposed Rules]
[Pages 58094-58097]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2018-24165]



[[Page 58093]]

Vol. 83

Friday,

No. 222

November 16, 2018

Part XIX





Small Business Administration





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Semiannual Regulatory Agenda

  Federal Register / Vol. 83 , No. 222 / Friday, November 16, 2018 / 
Unified Agenda  

[[Page 58094]]


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SMALL BUSINESS ADMINISTRATION

13 CFR Ch. I


Semiannual Regulatory Agenda

AGENCY: U.S. Small Business Administration (SBA).

ACTION: Semiannual regulatory agenda.

-----------------------------------------------------------------------

SUMMARY: This semiannual Regulatory Agenda (Agenda) is a summary of 
current and projected regulatory and deregulatory actions and completed 
actions of the Small Business Administration (SBA). This summary 
information is intended to enable the public to be more aware of, and 
effectively participate in, SBA's regulatory and deregulatory 
activities. Accordingly, SBA invites the public to submit comments on 
any aspect of this Agenda.

FOR FURTHER INFORMATION CONTACT: 
    General: Please direct general comments or inquiries to Imelda A. 
Kish, Law Librarian, U.S. Small Business Administration, 409 Third 
Street SW, Washington, DC 20416, (202) 205-6849, [email protected].
    Specific: Please direct specific comments and inquiries on 
individual regulatory activities identified in this Agenda to the 
individual listed in the summary of the regulation as the point of 
contact for that regulation.

SUPPLEMENTARY INFORMATION: The Regulatory Flexibility Act (RFA) 
requires SBA to publish in the Federal Register a semiannual regulatory 
flexibility agenda describing those Agency rules that are likely to 
have a significant economic impact on a substantial number of small 
entities (5 U.S.C. 602). The summary information published in the 
Federal Register is limited to those rules. Additional information 
regarding all of the rulemakings SBA expects to consider in the next 12 
months is included in the Federal Government's complete Regulatory 
Agenda, which will be available online at www.reginfo.gov in a format 
that offers users enhanced ability to obtain information about SBA's 
rules.
    SBA is fully committed to implementing the Administration's 
regulatory reform policies, as established by Executive Order 13771, 
Reducing Regulation and Controlling Regulatory Costs (January 30, 2017) 
and Executive Order 13777, Enforcing the Regulatory Reform Agenda 
(February 24, 2017). In order to fully implement the goal of these 
executive orders, SBA seeks feedback from the public in identifying any 
SBA regulations affected parties believe impose unnecessary burdens or 
costs that exceed their benefits; eliminate jobs or inhibit job 
creation; or are ineffective or outdated.

    Dated: July 27, 2018.
Linda E. McMahon,
Administrator.

           Small Business Administration--Proposed Rule Stage
------------------------------------------------------------------------
                                                           Regulation
       Sequence No.                    Title             Identifier No.
------------------------------------------------------------------------
370.......................  Small Business Development         3245-AE05
                             Center Program Revisions.
371.......................  Small Business Size                3245-AG16
                             Standards; Alternative
                             Size Standard for 7(a),
                             504, and Disaster Loan
                             Programs.
372.......................  Small Business HUBZone             3245-AG38
                             Program and Government
                             Contracting Programs (Reg
                             Plan Seq No. 157).
373.......................  Women-Owned Small Business         3245-AG75
                             and Economically
                             Disadvantaged Women-Owned
                             Small Business--
                             Certification (Reg Plan
                             Seq No. 158).
374.......................  National Defense                   3245-AG86
                             Authorization Acts of
                             2016 and 2017, RISE After
                             Disaster Act of 2015, and
                             Other Small Business
                             Government Contracting
                             Amendments.
375.......................  Small Business Size                3245-AG88
                             Standards: Educational
                             Services; Health Care and
                             Social Assistance; Arts,
                             Entertainment and
                             Recreation; Accommodation
                             and Food Services; Other
                             Services.
376.......................  Small Business Size                3245-AG89
                             Standards: Agriculture,
                             Forestry, Fishing and
                             Hunting; Mining,
                             Quarrying, and Oil and
                             Gas Extraction;
                             Utilities; Construction.
377.......................  Small Business Size                3245-AG90
                             Standards: Transportation
                             and Warehousing;
                             Information; Finance and
                             Insurance; Real Estate
                             and Rental and Leasing.
378.......................  Small Business Size                3245-AG91
                             Standards: Professional,
                             Scientific and Technical
                             Services; Management of
                             Companies and
                             Enterprises;
                             Administrative and
                             Support, Waste Management
                             and Remediation Services.
379.......................  Streamlining and                   3245-AG97
                             Modernizing Certified
                             Development Company
                             Program (504 Loan
                             Program) Corporate
                             Governance Requirements.
380.......................  Streamlining and                   3245-AG98
                             Modernizing the 7(a),
                             Microloan, and 504 Loan
                             Programs to Reduce
                             Unnecessary Regulatory
                             Burden.
------------------------------------------------------------------------
References in boldface appear in The Regulatory Plan in part II of this
  issue of the Federal Register.


             Small Business Administration--Final Rule Stage
------------------------------------------------------------------------
                                                           Regulation
       Sequence No.                    Title             Identifier No.
------------------------------------------------------------------------
381.......................  Small Business Timber Set-         3245-AG69
                             Aside Program.
------------------------------------------------------------------------


            Small Business Administration--Completed Actions
------------------------------------------------------------------------
                                                           Regulation
       Sequence No.                    Title             Identifier No.
------------------------------------------------------------------------
382.......................  Ownership and Control of           3245-AG85
                             Service-Disabled Veteran-
                             Owned Small Business
                             Concerns.
------------------------------------------------------------------------


[[Page 58095]]

SMALL BUSINESS ADMINISTRATION (SBA)

Proposed Rule Stage

370. Small Business Development Center Program Revisions

    E.O. 13771 Designation: Other.
    Legal Authority: 15 U.S.C. 634(b)(6); 15 U.S.C. 648
    Abstract: Updates the Small Business Development Center (SBDC) 
program regulations by proposing to amend: (1) Procedures for approving 
applications for new Host SBDCs; (2) approval procedures for travel 
outside the continental U.S. and U.S. territories; (3) procedures and 
requirements regarding findings and disputes resulting from financial 
exams, programmatic reviews, accreditation reviews, and other SBA 
oversight activities; (4) requirements for new or renewal applications 
for SBDC grants, including electronic submission through the approved 
electronic Government submission facility; (5) procedures regarding the 
determination to affect suspension, termination or non-renewal of an 
SBDC's cooperative agreement; and (6) provisions regarding the 
collection and use of the individual SBDC client data.
    Timetable:

------------------------------------------------------------------------
               Action                    Date            FR Cite
------------------------------------------------------------------------
ANPRM...............................   04/02/15  80 FR 17708
ANPRM Comment Period End............   06/01/15  .......................
NPRM................................   03/00/19  .......................
------------------------------------------------------------------------

    Regulatory Flexibility Analysis Required: Yes.
    Agency Contact: Bruce D. Purdy, Deputy Associate Administrator for 
Small Business Development Centers, Small Business Administration, 409 
Third Street SW, Washington, DC 20416, Phone: 202 205-7532, Email: 
[email protected].
    RIN: 3245-AE05

371. Small Business Size Standards; Alternative Size Standard for 7(A), 
504, and Disaster Loan Programs

    E.O. 13771 Designation: Other.
    Legal Authority: Pub. L. 111-240, sec. 1116
    Abstract: SBA will request public comment on options to amend its 
size eligibility criteria for Business Loans, certified development 
company (CDC) loans under title V of the Small Business Investment Act 
(504) and economic injury disaster loans (EIDL). For the SBA 7(a) 
Business Loan Program and the 504 program, the eventual amendments will 
provide an alternative size standard for loan applicants that do not 
meet the small business size standards for their industries. The Small 
Business Jobs Act of 2010 (Jobs Act) established alternative size 
standards that apply to both of these programs until SBA's 
Administrator establishes other alternative size standards. For the 
disaster loan program, the amendments will provide an alternative size 
standard for loan applicants that do not meet the Small Business Size 
Standard for their industries. SBA loan program alternative size 
standards do not affect other Federal Government programs, including 
Federal procurement.
    Timetable:

------------------------------------------------------------------------
               Action                    Date            FR Cite
------------------------------------------------------------------------
ANPRM...............................   03/22/18  83 FR 12506
ANPRM Comment Period End............   05/21/18  .......................
NPRM................................   12/00/18  .......................
------------------------------------------------------------------------

    Regulatory Flexibility Analysis Required: Yes.
    Agency Contact: Dr. Khem Raj Sharma, Chief, Office of Size 
Standards, Small Business Administration, 409 Third Street SW, 
Washington, DC 20416, Phone: 202 205-7189, Fax: 202 205-6390, Email: 
[email protected].
    RIN: 3245-AG16

372. Small Business Hubzone Program and Government Contracting Programs

    Regulatory Plan: This entry is Seq. No. 157 in part II of this 
issue of the Federal Register.
    RIN: 3245-AG38

373. Women-Owned Small Business and Economically Disadvantaged Women-
Owned Small Business--Certification

    Regulatory Plan: This entry is Seq. No. 158 in part II of this 
issue of the Federal Register.
    RIN: 3245-AG75

374. National Defense Authorization Acts of 2016 and 2017, Rise After 
Disaster Act of 2015, and Other Small Business Government Contracting 
Amendments

    E.O. 13771 Designation: Other.
    Legal Authority: 15 U.S.C. 637(d)(17); Pub. L. 114-328, sec. 1811, 
sec. 1821; Pub. L. 114-92, sec. 863; Pub. L. 114-88, sec. 2108
    Abstract: Section 1811 of the National Defense Authorization Act 
(NDAA) for Fiscal Year 2017, Public Law 114-328, Dec. 23, 2016, (NDAA) 
of 2017 limits the scope of review of Procurement Center 
Representatives for certain Department of Defense procurements 
performed outside of the United States. Section 1821 of the NDAA of 
2017 establishes that failure to act in good faith in providing timely 
subcontracting reports shall be considered a material breach of the 
contract. Section 863 of the NDAA for FY 2016, Public Law 114-92, Nov. 
25, 2015, establishes procedures for the publication of acquisition 
strategies if the acquisition involves consolidation or substantial 
bundling. SBA also intends to request comment on various proposed 
changes requested by industry or other agencies, including those 
pertaining to exclusions from calculating compliance with the 
limitations on subcontracting, an agency's ability to set aside orders 
under set-aside contracts, and a contracting officer's authority to 
request reports on a prime contractor's compliance with the limitations 
on subcontracting. Section 2108 of Public Law 114-88 provides agencies 
with double credit when they award to a local small business in a 
disaster area.
    Timetable:

------------------------------------------------------------------------
               Action                    Date            FR Cite
------------------------------------------------------------------------
NPRM................................   10/00/18  .......................
------------------------------------------------------------------------

    Regulatory Flexibility Analysis Required: Yes.
    Agency Contact: Kenneth Dodds, Director, Office of Policy, Planning 
and Liaison, Small Business Administration, 409 Third Street SW, 
Washington, DC 20416, Phone: 202 619-1766, Fax: 202 481-2950, Email: 
[email protected].
    RIN: 3245-AG86

375. Small Business Size Standards: Educational Services; Health Care 
and Social Assistance; Arts, Entertainment and Recreation; 
Accommodation and Food Services; Other Services

    E.O. 13771 Designation: Other.
    Legal Authority: 15 U.S.C. 632(a)
    Abstract: The Small Business Jobs Act of 2010 (Jobs Act) requires 
SBA to conduct every five years a detailed review of all size standards 
and to make appropriate adjustments to reflect market conditions. As 
part of the second five-year review of size standards under the Jobs 
Act, in this proposed rule, SBA will evaluate size standards for all 
industries in North American Industry Classification System (NAICS) 
Sector 61 (Educational Services), Sector 62 (Health Care and Social 
Assistance), Sector 71 (Arts, Entertainment and Recreation), Sector 72 
(Accommodation and Food Services), and Sector 81 (Other Services) and 
make necessary adjustments to size standards in these sectors. This is 
one of a series of proposed rules that will examine groups of NAICS 
sectors. SBA will apply its

[[Page 58096]]

Size Standards Methodology to this proposed rule.
    Timetable:

------------------------------------------------------------------------
               Action                    Date            FR Cite
------------------------------------------------------------------------
NPRM................................   12/00/18  .......................
------------------------------------------------------------------------

    Regulatory Flexibility Analysis Required: Yes.
    Agency Contact: Dr. Khem Raj Sharma, Chief, Office of Size 
Standards, Small Business Administration, 409 Third Street SW, 
Washington, DC 20416, Phone: 202 205-7189, Fax: 202 205-6390, Email: 
[email protected].
    RIN: 3245-AG88

376. Small Business Size Standards: Agriculture, Forestry, Fishing and 
Hunting; Mining, Quarrying, and Oil and Gas Extraction; Utilities; 
Construction

    E.O. 13771 Designation: Other.
    Legal Authority: 15 U.S.C. 632(a)
    Abstract: The Small Business Jobs Act of 2010 (Jobs Act) requires 
SBA to conduct every five years a detailed review of all size standards 
and to make appropriate adjustments to reflect market conditions. As 
part of the second five-year review of size standards under the Jobs 
Act, in this proposed rule, SBA will evaluate each industry that has a 
receipts-based standard in North American Industry Classification 
System (NAICS) Sector 11 (Agriculture, Forestry, Fishing and Hunting), 
Sector 21 (Mining, Quarrying, and Oil and Gas Extraction), Sector 22 
(Utilities), and Sector 23 (Construction), and make necessary 
adjustments to size standards in these sectors. This is one of a series 
of proposed rules that will examine groups of NAICS sectors. SBA will 
apply its Size Standards Methodology to this proposed rule.
    Timetable:

------------------------------------------------------------------------
               Action                    Date            FR Cite
------------------------------------------------------------------------
NPRM................................   12/00/18  .......................
------------------------------------------------------------------------

    Regulatory Flexibility Analysis Required: Yes.
    Agency Contact: Dr. Khem Raj Sharma, Chief, Office of Size 
Standards, Small Business Administration, 409 Third Street SW, 
Washington, DC 20416, Phone: 202 205-7189, Fax: 202 205-6390, Email: 
[email protected].
    RIN: 3245-AG89

377. Small Business Size Standards: Transportation and Warehousing; 
Information; Finance and Insurance; Real Estate and Rental and Leasing

    E.O. 13771 Designation: Other.
    Legal Authority: 15 U.S.C. 632(a)
    Abstract: The Small Business Jobs Act of 2010 (Jobs Act) requires 
SBA to conduct every five years a detailed review of all size standards 
and to make appropriate adjustments to reflect market conditions. As 
part of the second five-year review of size standards under the Jobs 
Act, in this proposed rule, SBA will evaluate each industry that has a 
receipts-based standard in North American Industry Classification 
System (NAICS) Sector 48-49 (Transportation and Warehousing), Sector 51 
(Information), Sector 52 (Finance and Insurance), and Sector 53 (Real 
Estate and Rental and Leasing) and make necessary adjustments to size 
standards in these sectors. This is one of a series of proposed rules 
that will examine groups of NAICS sectors. SBA will apply its Size 
Standards Methodology to this proposed rule.
    Timetable:

------------------------------------------------------------------------
               Action                    Date            FR Cite
------------------------------------------------------------------------
NPRM................................   12/00/18  .......................
------------------------------------------------------------------------

    Regulatory Flexibility Analysis Required: Yes.
    Agency Contact: Dr. Khem Raj Sharma, Chief, Office of Size 
Standards, Small Business Administration, 409 Third Street SW, 
Washington, DC 20416, Phone: 202 205-7189, Fax: 202 205-6390, Email: 
[email protected].
    RIN: 3245-AG90

378. Small Business Size Standards: Professional, Scientific and 
Technical Services; Management of Companies and Enterprises; 
Administrative and Support, Waste Management and Remediation Services

    E.O. 13771 Designation: Other.
    Legal Authority: 15 U.S.C. 632(a)
    Abstract: The Small Business Jobs Act of 2010 (Jobs Act) requires 
SBA to conduct every five years a detailed review of all size standards 
and to make appropriate adjustments to reflect market conditions. As 
part of the second five-year review of size standards under the Jobs 
Act, in this proposed rule, SBA will evaluate each industry that has a 
receipts-based standard in North American Industry Classification 
System (NAICS) Sector 54 (Professional, Scientific and Technical 
Services), Sector 55 (Management of Companies and Enterprises), and 
Sector 56 (Administrative and Support, Waste Management and Remediation 
Services) and make necessary adjustments to size standards in these 
sectors. This is one of a series of proposed rules that will examine 
groups of NAICS sectors. SBA will apply its Size Standards Methodology 
to this proposed rule.
    Timetable:

------------------------------------------------------------------------
               Action                    Date            FR Cite
------------------------------------------------------------------------
NPRM................................   12/00/18  .......................
------------------------------------------------------------------------

    Regulatory Flexibility Analysis Required: Yes.
    Agency Contact: Dr. Khem Raj Sharma, Chief, Office of Size 
Standards, Small Business Administration, 409 Third Street SW, 
Washington, DC 20416, Phone: 202 205-7189, Fax: 202 205-6390, Email: 
[email protected].
    RIN: 3245-AG91

379. Streamlining and Modernizing Certified Development Company Program 
(504 Loan Program) Corporate Governance Requirements

    E.O. 13771 Designation: Other.
    Legal Authority: 15 U.S.C. 695 et seq.
    Abstract: SBA is proposing to simplify, streamline, and update 
SBA's regulations relating to CDC operational and organizational 
requirements in order to improve efficiencies and achieve costs savings 
without compromising performance in the 504 Loan Program. The proposed 
changes include lowering the number of directors required for the CDC's 
Board; clarifying that members of the Board must live or work in the 
CDC's Area of Operations; eliminating the requirement that one Board 
member represent the economic, community or workforce development 
fields; eliminating the requirement that limits the number of Board 
members in the commercial lending field to less than 50 percent of the 
Board; increasing the 504 loan portfolio balance above which each CDC 
must have its financial statements audited annually by a certified 
public accountant, resulting in increased savings to CDCs without 
creating undue risk; eliminating the requirement that a Multi-State CDC 
establish a Loan Committee in each State into which it expands; 
allowing a CDC to make a 504 loan outside its Area of Operation to an 
affiliate of a business that the CDC previously assisted; allowing CDCs 
that participate in the Premier Certified Lenders Program to base the 
balance it is required to maintain in its Loan Loss Reserve Fund on a 
declining balance methodology instead of the original principal amount; 
and allowing CDCs to provide greater assistance to each other than 
currently authorized under certain circumstances.
    Timetable:

[[Page 58097]]



------------------------------------------------------------------------
               Action                    Date            FR Cite
------------------------------------------------------------------------
NPRM................................   11/00/18  .......................
------------------------------------------------------------------------

    Regulatory Flexibility Analysis Required: Yes.
    Agency Contact: Linda Reilly, Chief, 504 Loan Program, Small 
Business Administration, 409 Third Street SW, Washington, DC 20416, 
Phone: 202 205-9949, Email: [email protected].
    RIN: 3245-AG97

380. Streamlining and Modernizing the 7(A), Microloan, and 504 Loan 
Programs To Reduce Unnecessary Regulatory Burden

    E.O. 13771 Designation: Other.
    Legal Authority: 15 U.S.C. 636(a); 15 U.S.C. 636(m); 15 U.S.C. 695 
et seq.
    Abstract: SBA is proposing to streamline the regulations in part 
120 of chapter 13 of the Code of Federal Regulations that apply to the 
7(a), Microloan, and 504 Loan Programs by eliminating the provisions 
that are obsolete, ineffective or unnecessary. The proposed changes 
include removing regulations related to programs that are either no 
longer in effect or have not been funded for many years, such as 
America's Recovery Capital Loan Program, direct loans, or a veteran's 
loan program; and clarifying the factors that SBA will consider when 
seeking the appointment of a receiver and the scope of the receivership 
with respect to Certified Development Companies, Small Business Lending 
Companies, and Non-Federally Regulated Lenders.
    Timetable:

------------------------------------------------------------------------
               Action                    Date            FR Cite
------------------------------------------------------------------------
NPRM................................   11/00/18  .......................
------------------------------------------------------------------------

    Regulatory Flexibility Analysis Required: Yes.
    Agency Contact: Linda Reilly, Chief, 504 Loan Program, Small 
Business Administration, 409 Third Street SW, Washington, DC 20416, 
Phone: 202 205-9949, Email: [email protected].
    RIN: 3245-AG98

SMALL BUSINESS ADMINISTRATION (SBA)

Final Rule Stage

381. Small Business Timber Set-Aside Program

    E.O. 13771 Designation: Other.
    Legal Authority: 15 U.S.C. 631; 15 U.S.C. 644(a)
    Abstract: The U.S. Small Business Administration (SBA or Agency) is 
amending its Small Business Timber Set-Aside Program (the Program) 
regulations. The Small Business Timber Set-Aside Program is rooted in 
the Small Business Act, which tasked SBA with ensuring that small 
businesses receive a fair proportion of the total sales of government 
property. Accordingly, the Program requires Timber sales to be set 
aside for small business when small business participation falls below 
a certain amount. SBA considered comments received during the Advance 
Notice of Proposed Rulemaking and Notice of Proposed Rulemaking 
processes, including on issues such as, but not limited to, whether the 
saw timber volume purchased through stewardship timber contracts should 
be included in calculations, and whether the appraisal point used in 
set-aside sales should be the nearest small business mill. In addition, 
SBA is considering data from the timber industry to help evaluate the 
current program and economic impact of potential changes.
    Timetable:

------------------------------------------------------------------------
               Action                    Date            FR Cite
------------------------------------------------------------------------
ANPRM...............................   03/25/15  80 FR 15697
ANPRM Comment Period End............   05/26/15  .......................
NPRM................................   09/27/16  81 FR 66199
NPRM Comment Period End.............   11/28/16  .......................
Final Rule..........................   07/00/19  .......................
------------------------------------------------------------------------

    Regulatory Flexibility Analysis Required: Yes.
    Agency Contact: David W. Loines, Area Director, Office of 
Government Contracting, Small Business Administration, 409 Third Street 
SW, Washington, DC 20416, Phone: 202 205-7311, Email: 
[email protected].
    RIN: 3245-AG69

SMALL BUSINESS ADMINISTRATION (SBA)

Completed Actions

382. Ownership and Control of Service-Disabled Veteran-Owned Small 
Business Concerns

    E.O. 13771 Designation: Other.
    Legal Authority: Pub. L. 114-328, sec. 1832, sec. 1835
    Abstract: Section 1832 of the National Defense Authorization Act 
for Fiscal Year 2017 (NDAA), Public Law 114-328, Dec. 23, 2016, 
provides for a government-wide, uniform definition of a small business 
concern owned and controlled by a service-disabled veteran. Section 
1835 requires the Small Business Administration (SBA) and the 
Department of Veterans Affairs (VA) to issue guidance, not later than 
180 days after the date of enactment of the NDAA of 2017. The rule will 
amend SBA's regulations to create a uniform definition of a small 
business owned and controlled by a service-disabled veteran to be used 
for purposes of eligibility for government procurements by agencies 
other than the VA under the authority of 15 U.S.C. 657f, and by the VA 
for VA procurements in accordance with 38 U.S.C. 8127. These changes 
will include addressing ownership by an employee stock ownership plan 
(ESOP) and ownership and control by a surviving spouse.
    Completed:

------------------------------------------------------------------------
               Reason                    Date            FR Cite
------------------------------------------------------------------------
Final Rule..........................   09/28/18  83 FR 48908
Final Rule Effective................   10/01/18  .......................
------------------------------------------------------------------------

    Regulatory Flexibility Analysis Required: Yes.
    Agency Contact: Kenneth Dodds, Phone: 202 619-1766, Fax: 202 481-
2950, Email: [email protected].
    RIN: 3245-AG85

[FR Doc. 2018-24165 Filed 11-15-18; 8:45 am]
 BILLING CODE 8025-01-P