Sept. 25, 2000 sees Congressional Record publish “SMALL BUSINESS INNOVATION RESEARCH PROGRAM REAUTHORIZATION ACT OF 2000”

Friday, Sep 24, 2021 @ 7:12pm By EP News Wire Reports

Volume 146, No. 115 covering the 2nd Session of the 106th Congress (1999 - 2000) was published by the Congressional Record.

The Congressional Record is a unique source of public documentation. It started in 1873, documenting nearly all the major and minor policies being discussed and debated.

“SMALL BUSINESS INNOVATION RESEARCH PROGRAM REAUTHORIZATION ACT OF 2000” mentioning the Environmental Protection Agency was published in the House of Representatives section on pages H8008-H8018 on Sept. 25, 2000.

The publication is reproduced in full below:

SMALL BUSINESS INNOVATION RESEARCH PROGRAM REAUTHORIZATION ACT OF 2000

Mrs. KELLY. Mr. Speaker, I move to suspend the rules and agree to the resolution (H. Res. 590) providing for the concurrence by the House with an amendment in the amendment of the Senate to H.R. 2392.

The Clerk read as follows:

H. Res. 590

Resolved, That upon the adoption of this resolution the House shall be considered to have taken from the Speaker's table the bill H.R. 2392, with the amendment of the Senate thereto, and to have concurred in the amendment of the Senate with an amendment as follows:

In lieu of the matter proposed to be inserted by the amendment of the Senate, insert the following:

SECTION 1. TABLE OF CONTENTS.

The table of contents for this Act is as follows:

Sec. 1. Table of contents.

TITLE I--SMALL BUSINESS INNOVATION RESEARCH PROGRAM

Sec. 101. Short title.

Sec. 102. Findings.

Sec. 103. Extension of SBIR program.

Sec. 104. Annual report.

Sec. 105. Third phase assistance.

Sec. 106. Report on programs for annual performance plan.

Sec. 107. Output and outcome data.

Sec. 108. National Research Council reports.

Sec. 109. Federal agency expenditures for the SBIR program.

Sec. 110. Policy directive modifications.

Sec. 111. Federal and State technology partnership program.

Sec. 112. Mentoring networks.

Sec. 113. Simplified reporting requirements.

Sec. 114. Rural outreach program extension.

TITLE II--GENERAL BUSINESS LOAN PROGRAM

Sec. 201. Short title.

Sec. 202. Levels of participation.

Sec. 203. Loan amounts.

Sec. 204. Interest on defaulted loans.

Sec. 205. Prepayment of loans.

Sec. 206. Guarantee fees.

Sec. 207. Lease terms.

TITLE III--CERTIFIED DEVELOPMENT COMPANY PROGRAM

Sec. 301. Short title.

Sec. 302. Women-owned businesses.

Sec. 303. Maximum debenture size.

Sec. 304. Fees.

Sec. 305. Premier certified lenders program.

Sec. 306. Sale of certain defaulted loans.

Sec. 307. Loan liquidation.

TITLE IV--CORRECTIONS TO THE SMALL BUSINESS INVESTMENT ACT OF 1958

Sec. 401. Short title.

Sec. 402. Definitions.

Sec. 403. Investment in small business investment companies.

Sec. 404. Subsidy fees.

Sec. 405. Distributions.

Sec. 406. Conforming amendment.

TITLE V--REAUTHORIZATION OF SMALL BUSINESS PROGRAMS

Sec. 501. Short title.

Sec. 502. Reauthorization of small business programs.

Sec. 503. Additional reauthorizations.

TITLE VI--MISCELLANEOUS PROVISIONS

Sec. 601. Loan application processing.

Sec. 602. Application of ownership requirements.

Sec. 603. Eligibility for HUBZone program.

Sec. 604. Subcontracting preference for veterans.

Sec. 605. Small business development center program funding.

Sec. 606. Surety bonds.

TITLE I--SMALL BUSINESS INNOVATION RESEARCH PROGRAM

SECTION 101. SHORT TITLE.

(a) Short Title.--This title may be cited as the ``Small Business Innovation Research Program Reauthorization Act of 2000''.

SEC. 102. FINDINGS.

Congress finds that--

(1) the small business innovation research program established under the Small Business Innovation Development Act of 1982, and reauthorized by the Small Business Research and Development Enhancement Act of 1992 (in this Act referred to as the ``SBIR program'') is highly successful in involving small businesses in federally funded research and development;

(2) the SBIR program made the cost-effective and unique research and development capabilities possessed by the small businesses of the Nation available to Federal agencies and departments;

(3) the innovative goods and services developed by small businesses that participated in the SBIR program have produced innovations of critical importance in a wide variety of high-technology fields, including biology, medicine, education, and defense;

(4) the SBIR program is a catalyst in the promotion of research and development, the commercialization of innovative technology, the development of new products and services, and the continued excellence of this Nation's high-technology industries; and

(5) the continuation of the SBIR program will provide expanded opportunities for one of the Nation's vital resources, its small businesses, will foster invention, research, and technology, will create jobs, and will increase this Nation's competitiveness in international markets.

SEC. 103. EXTENSION OF SBIR PROGRAM.

Section 9(m) of the Small Business Act (15 U.S.C. 638(m)) is amended to read as follows:

``(m) Termination.--The authorization to carry out the Small Business Innovation Research Program established under this section shall terminate on September 30, 2008.''.

SEC. 104. ANNUAL REPORT.

Section 9(b)(7) of the Small Business Act (15 U.S.C. 638(b)(7)) is amended by striking ``and the Committee on Small Business of the House of Representatives'' and inserting ``, and to the Committee on Science and the Committee on Small Business of the House of Representatives,''.

SEC. 105. THIRD PHASE ASSISTANCE.

Section 9(e)(4)(C)(i) of the Small Business Act (15 U.S.C. 638(e)(4)(C)(i)) is amended by striking ``; and'' and inserting ``; or''.

SEC. 106. REPORT ON PROGRAMS FOR ANNUAL PERFORMANCE PLAN.

Section 9(g) of the Small Business Act (15 U.S.C. 638(g)) is amended--

(1) in paragraph (7), by striking ``and'' at the end;

(2) in paragraph (8), by striking the period at the end and inserting a semicolon; and

(3) by adding at the end the following new paragraph:

``(9) include, as part of its annual performance plan as required by subsections (a) and (b) of section 1115 of title 31, United States Code, a section on its SBIR program, and shall submit such section to the Committee on Small Business of the Senate, and the Committee on Science and the Committee on Small Business of the House of Representatives; and''.

SEC. 107. OUTPUT AND OUTCOME DATA.

(a) Collection.--Section 9(g) of the Small Business Act (15 U.S.C. 638(g)), as amended by section 106 of this Act, is further amended by adding at the end the following new paragraph:

``(10) collect, and maintain in a common format in accordance with subsection (v), such information from awardees as is necessary to assess the SBIR program, including information necessary to maintain the database described in subsection (k).''.

(b) Report to Congress.--Section 9(b)(7) of the Small Business Act (15 U.S.C. 638(b)(7)), as amended by section 104 of this Act, is further amended by inserting before the period at the end ``, including the data on output and outcomes collected pursuant to subsections (g)(10) and

(o)(9), and a description of the extent to which Federal agencies are providing in a timely manner information needed to maintain the database described in subsection (k)''.

``(k) Database.--

``(1) Public database.--Not later than 180 days after the date of enactment of the Small Business Innovation Research Program Reauthorization Act of 2000, the Administrator shall develop, maintain, and make available to the public a searchable, up-to-date, electronic database that includes--

``(A) the name, size, location, and an identifying number assigned by the Administrator, of each small business concern that has received a first phase or second phase SBIR award from a Federal agency;

``(B) a description of each first phase or second phase SBIR award received by that small business concern, including--

``(i) an abstract of the project funded by the award, excluding any proprietary information so identified by the small business concern;

``(ii) the Federal agency making the award; and

``(iii) the date and amount of the award;

``(C) an identification of any business concern or subsidiary established for the commercial application of a product or service for which an SBIR award is made; and

``(D) information regarding mentors and Mentoring Networks, as required by section 35(d).

``(2) Government database.--Not later than 180 days after the date of enactment of the Small Business Innovation Research Program Reauthorization Act of 2000, the Administrator, in consultation with Federal agencies required to have an SBIR program pursuant to subsection (f)(1), shall develop and maintain a database to be used solely for SBIR program evaluation that--

``(A) contains for each second phase award made by a Federal agency--

``(i) information collected in accordance with paragraph

(3) on revenue from the sale of new products or services resulting from the research conducted under the award;

``(ii) information collected in accordance with paragraph

(3) on additional investment from any source, other than first phase or second phase SBIR or STTR awards, to further the research and development conducted under the award; and

``(iii) any other information received in connection with the award that the Administrator, in conjunction with the SBIR program managers of Federal agencies, considers relevant and appropriate;

``(B) includes any narrative information that a small business concern receiving a second phase award voluntarily submits to further describe the outputs and outcomes of its awards;

``(C) includes for each applicant for a first phase or second phase award that does not receive such an award--

``(i) the name, size, and location, and an identifying number assigned by the Administration;

``(ii) an abstract of the project; and

``(iii) the Federal agency to which the application was made;

``(D) includes any other data collected by or available to any Federal agency that such agency considers may be useful for SBIR program evaluation; and

``(E) is available for use solely for program evaluation purposes by the Federal Government or, in accordance with policy directives issued by the Administration, by other authorized persons who are subject to a use and nondisclosure agreement with the Federal Government covering the use of the database.

``(3) Updating information for database.--

``(A) In general.--A small business concern applying for a second phase award under this section shall be required to update information in the database established under this subsection for any prior second phase award received by that small business concern. In complying with this paragraph, a small business concern may apportion sales or additional investment information relating to more than one second phase award among those awards, if it notes the apportionment for each award.

``(B) Annual updates upon termination.--A small business concern receiving a second phase award under this section shall--

``(i) update information in the database concerning that award at the termination of the award period; and

``(ii) be requested to voluntarily update such information annually thereafter for a period of 5 years.

``(4) Protection of information.--Information provided under paragraph (2) shall be considered privileged and confidential and not subject to disclosure pursuant to section 552 of title 5, United States Code.

``(5) Rule of construction.--Inclusion of information in the database under this subsection shall not be considered to be publication for purposes of subsection (a) or (b) of section 102 of title 35, United States Code.''.

SEC. 108. NATIONAL RESEARCH COUNCIL REPORTS.

(a) Study and Recommendations.--The head of each agency with a budget of more than $50,000,000 for its SBIR program for fiscal year 1999, in consultation with the Small Business Administration, shall, not later than 6 months after the date of enactment of this Act, cooperatively enter into an agreement with the National Academy of Sciences for the National Research Council to--

(1) conduct a comprehensive study of how the SBIR program has stimulated technological innovation and used small businesses to meet Federal research and development needs, including--

(A) a review of the value to the Federal research agencies of the research projects being conducted under the SBIR program, and of the quality of research being conducted by small businesses participating under the program, including a comparison of the value of projects conducted under the SBIR program to those funded by other Federal research and development expenditures;

(B) to the extent practicable, an evaluation of the economic benefits achieved by the SBIR program, including the economic rate of return, and a comparison of the economic benefits, including the economic rate of return, achieved by the SBIR program with the economic benefits, including the economic rate of return, of other Federal research and development expenditures;

(D) a comparison of the allocation for fiscal year 2000 of Federal research and development funds to small businesses with such allocation for fiscal year 1983, and an analysis of the factors that have contributed to such allocation; and

(E) an analysis of whether Federal agencies, in fulfilling their procurement needs, are making sufficient effort to use small businesses that have completed a second phase award under the SBIR program; and

(2) make recommendations with respect to--

(A) measures of outcomes for strategic plans submitted under section 306 of title 5, United States Code, and performance plans submitted under section 1115 of title 31, United States Code, of each Federal agency participating in the SBIR program;

(B) whether companies who can demonstrate project feasibility, but who have not received a first phase award, should be eligible for second phase awards, and the potential impact of such awards on the competitive selection process of the program;

(C) whether the Federal Government should be permitted to recoup some or all of its expenses if a controlling interest in a company receiving an SBIR award is sold to a foreign company or to a company that is not a small business concern;

(D) how to increase the use by the Federal Government in its programs and procurements of technology-oriented small businesses; and

(E) improvements to the SBIR program, if any are considered appropriate.

(b) Participation by Small Business.--

(1) In general.--In a manner consistent with law and with National Research Council study guidelines and procedures, knowledgeable individuals from the small business community with experience in the SBIR program shall be included--

(A) in any panel established by the National Research Council for the purpose of performing the study conducted under this section; and

(B) among those who are asked by the National Research Council to peer review the study.

(2) Consultation.--To ensure that the concerns of small business are appropriately considered under this subsection, the National Research Council shall consult with and consider the views of the Office of Technology and the Office of Advocacy of the Small Business Administration and other interested parties, including entities, organizations, and individuals actively engaged in enhancing or developing the technological capabilities of small business concerns.

(c) Progress Reports.--The National Research Council shall provide semiannual progress reports on the study conducted under this section to the Committee on Science and the Committee on Small Business of the House of Representatives, and to the Committee on Small Business of the Senate.

(d) Report.--The National Research Council shall transmit to the heads of agencies entering into an agreement under this section and to the Committee on Science and the Committee on Small Business of the House of Representatives, and to the Committee on Small Business of the Senate--

(1) not later than 3 years after the date of enactment of this Act, a report including the results of the study conducted under subsection (a)(1) and recommendations made under subsection (a)(2); and

(2) not later than 6 years after that date of enactment, an update of such report.

SEC. 109. FEDERAL AGENCY EXPENDITURES FOR THE SBIR PROGRAM.

Section 9(i) of the Small Business Act (15 U.S.C. 638(i)) is amended--

(1) by striking ``(i) Each Federal'' and inserting the following:

``(i) Annual Reporting.--

``(1) In general.--Each Federal''; and

(2) by adding at the end the following:

``(2) Calculation of extramural budget.--

``(A) Methodology.--Not later than 4 months after the date of enactment of each appropriations Act for a Federal agency required by this section to have an SBIR program, the Federal agency shall submit to the Administrator a report, which shall include a description of the methodology used for calculating the amount of the extramural budget of that Federal agency.

``(B) Administrator's analysis.--The Administrator shall include an analysis of the methodology received from each Federal agency referred to in subparagraph (A) in the report required by subsection (b)(7).''.

SEC. 110. POLICY DIRECTIVE MODIFICATIONS.

Section 9(j) of the Small Business Act (15 U.S.C. 638(j)) is amended by adding at the end the following:

``(3) Additional modifications.--Not later than 120 days after the date of enactment of the Small Business Innovation Research Program Reauthorization Act of 2000, the Administrator shall modify the policy directives issued pursuant to this subsection--

``(A) to clarify that the rights provided for under paragraph (2)(A) apply to all Federal funding awards under this section, including the first phase (as described in subsection (e)(4)(A)), the second phase (as described in subsection (e)(4)(B)), and the third phase (as described in subsection (e)(4)(C));

``(B) to provide for the requirement of a succinct commercialization plan with each application for a second phase award that is moving toward commercialization;

``(C) to require agencies to report to the Administration, not less frequently than annually, all instances in which an agency pursued research, development, or production of a technology developed by a small business concern using an award made under the SBIR program of that agency, and determined that it was not practicable to enter into a follow-on non-SBIR program funding agreement with the small business concern, which report shall include, at a minimum--

``(i) the reasons why the follow-on funding agreement with the small business concern was not practicable;

``(ii) the identity of the entity with which the agency contracted to perform the research, development, or production; and

``(iii) a description of the type of funding agreement under which the research, development, or production was obtained; and

``(D) to implement subsection (v), including establishing standardized procedures for the provision of information pursuant to subsection (k)(3).''.

SEC. 111. FEDERAL AND STATE TECHNOLOGY PARTNERSHIP PROGRAM.

(a) Findings.--Congress finds that--

(1) programs to foster economic development among small high-technology firms vary widely among the States;

(2) States that do not aggressively support the development of small high-technology firms, including participation by small business concerns in the SBIR program, are at a competitive disadvantage in establishing a business climate that is conducive to technology development; and

(3) building stronger national, State, and local support for science and technology research in these disadvantaged States will expand economic opportunities in the United States, create jobs, and increase the competitiveness of the United States in the world market.

(b) Federal and State Technology Partnership Program.--The Small Business Act (15 U.S.C. 631 et seq.) is amended--

(1) by redesignating section 34 as section 36; and

(2) by inserting after section 33 the following new section:

``SEC. 34. FEDERAL AND STATE TECHNOLOGY PARTNERSHIP PROGRAM.

``(a) Definitions.--In this section and section 35, the following definitions apply:

``(1) Applicant.--The term `applicant' means an entity, organization, or individual that submits a proposal for an award or a cooperative agreement under this section.

``(2) Business advice and counseling.--The term `business advice and counseling' means providing advice and assistance on matters described in section 35(c)(2)(B) to small business concerns to guide them through the SBIR and STTR program process, from application to award and successful completion of each phase of the program.

``(3) FAST program.--The term `FAST program' means the Federal and State Technology Partnership Program established under this section.

``(4) Mentor.--The term `mentor' means an individual described in section 35(c)(2).

``(5) Mentoring network.--The term `Mentoring Network' means an association, organization, coalition, or other entity (including an individual) that meets the requirements of section 35(c).

``(6) Recipient.--The term `recipient' means a person that receives an award or becomes party to a cooperative agreement under this section.

``(7) SBIR program.--The term `SBIR program' has the same meaning as in section 9(e)(4).

``(8) State.--The term `State' means each of the several States, the District of Columbia, the Commonwealth of Puerto Rico, the Virgin Islands, Guam, and American Samoa.

``(9) STTR program.--The term `STTR program' has the same meaning as in section 9(e)(6).

``(b) Establishment of Program.--The Administrator shall establish a program to be known as the Federal and State Technology Partnership Program, the purpose of which shall be to strengthen the technological competitiveness of small business concerns in the States.

``(c) Grants and Cooperative Agreements.--

``(1) Joint review.--In carrying out the FAST program under this section, the Administrator and the SBIR program managers at the National Science Foundation and the Department of Defense shall jointly review proposals submitted by applicants and may make awards or enter into cooperative agreements under this section based on the factors for consideration set forth in paragraph (2), in order to enhance or develop in a State--

``(A) technology research and development by small business concerns;

``(B) technology transfer from university research to technology-based small business concerns;

``(C) technology deployment and diffusion benefiting small business concerns;

``(D) the technological capabilities of small business concerns through the establishment or operation of consortia comprised of entities, organizations, or individuals, including--

``(i) State and local development agencies and entities;

``(ii) representatives of technology-based small business concerns;

``(iii) industries and emerging companies;

``(iv) universities; and

``(v) small business development centers; and

``(E) outreach, financial support, and technical assistance to technology-based small business concerns participating in or interested in participating in an SBIR program, including initiatives--

``(i) to make grants or loans to companies to pay a portion or all of the cost of developing SBIR proposals;

``(ii) to establish or operate a Mentoring Network within the FAST program to provide business advice and counseling that will assist small business concerns that have been identified by FAST program participants, program managers of participating SBIR agencies, the Administration, or other entities that are knowledgeable about the SBIR and STTR programs as good candidates for the SBIR and STTR programs, and that would benefit from mentoring, in accordance with section 35;

``(iii) to create or participate in a training program for individuals providing SBIR outreach and assistance at the State and local levels; and

``(iv) to encourage the commercialization of technology developed through SBIR program funding.

``(2) Selection considerations.--In making awards or entering into cooperative agreements under this section, the Administrator and the SBIR program managers referred to in paragraph (1)--

``(A) may only consider proposals by applicants that intend to use a portion of the Federal assistance provided under this section to provide outreach, financial support, or technical assistance to technology-based small business concerns participating in or interested in participating in the SBIR program; and

``(B) shall consider, at a minimum--

``(i) whether the applicant has demonstrated that the assistance to be provided would address unmet needs of small business concerns in the community, and whether it is important to use Federal funding for the proposed activities;

``(ii) whether the applicant has demonstrated that a need exists to increase the number or success of small high-technology businesses in the State, as measured by the number of first phase and second phase SBIR awards that have historically been received by small business concerns in the State;

``(iii) whether the projected costs of the proposed activities are reasonable;

``(iv) whether the proposal integrates and coordinates the proposed activities with other State and local programs assisting small high-technology firms in the State; and

``(v) the manner in which the applicant will measure the results of the activities to be conducted.

``(3) Proposal limit.--Not more than 1 proposal may be submitted for inclusion in the FAST program under this section to provide services in any one State in any 1 fiscal year.

``(4) Process.--Proposals and applications for assistance under this section shall be in such form and subject to such procedures as the Administrator shall establish.

``(d) Cooperation and Coordination.--In carrying out the FAST program under this section, the Administrator shall cooperate and coordinate with--

``(1) Federal agencies required by section 9 to have an SBIR program; and

``(2) entities, organizations, and individuals actively engaged in enhancing or developing the technological capabilities of small business concerns, including--

``(A) State and local development agencies and entities;

``(B) State committees established under the Experimental Program to Stimulate Competitive Research of the National Science Foundation (as established under section 113 of the National Science Foundation Authorization Act of 1988 (42 U.S.C. 1862g));

``(C) State science and technology councils; and

``(D) representatives of technology-based small business concerns.

``(e) Administrative Requirements.--

``(1) Competitive basis.--Awards and cooperative agreements under this section shall be made or entered into, as applicable, on a competitive basis.

``(2) Matching requirements.--

``(A) In general.--The non-Federal share of the cost of an activity (other than a planning activity) carried out using an award or under a cooperative agreement under this section shall be--

``(i) 50 cents for each Federal dollar, in the case of a recipient that will serve small business concerns located in one of the 18 States receiving the fewest SBIR first phase awards (as described in section 9(e)(4)(A));

``(ii) except as provided in subparagraph (B), 1 dollar for each Federal dollar, in the case of a recipient that will serve small business concerns located in one of the 16 States receiving the greatest number of such SBIR first phase awards; and

``(iii) except as provided in subparagraph (B), 75 cents for each Federal dollar, in the case of a recipient that will serve small business concerns located in a State that is not described in clause (i) or (ii) that is receiving such SBIR first phase awards.

``(B) Low-income areas.--The non-Federal share of the cost of the activity carried out using an award or under a cooperative agreement under this section shall be 50 cents for each Federal dollar that will be directly allocated by a recipient described in subparagraph (A) to serve small business concerns located in a qualified census tract, as that term is defined in section 42(d)(5)(C)(ii) of the Internal Revenue Code of 1986. Federal dollars not so allocated by that recipient shall be subject to the matching requirements of subparagraph (A).

``(C) Types of funding.--The non-Federal share of the cost of an activity carried out by a recipient shall be comprised of not less than 50 percent cash and not more than 50 percent of indirect costs and in-kind contributions, except that no such costs or contributions may be derived from funds from any other Federal program.

``(D) Rankings.--For purposes of subparagraph (A), the Administrator shall reevaluate the ranking of a State once every 2 fiscal years, beginning with fiscal year 2001, based on the most recent statistics compiled by the Administrator.

``(3) Duration.--Awards may be made or cooperative agreements entered into under this section for multiple years, not to exceed 5 years in total.

``(f) Reports.--

``(1) Initial report.--Not later than 120 days after the date of enactment of the Small Business Innovation Research Program Reauthorization Act of 2000, the Administrator shall prepare and submit to the Committee on Small Business of the Senate and the Committee on Science and the Committee on Small Business of the House of Representatives a report, which shall include, with respect to the FAST program, including Mentoring Networks--

``(A) a description of the structure and procedures of the program;

``(B) a management plan for the program; and

``(C) a description of the merit-based review process to be used in the program.

``(2) Annual reports.--The Administrator shall submit an annual report to the Committee on Small Business of the Senate and the Committee on Science and the Committee on Small Business of the House of Representatives regarding--

``(A) the number and amount of awards provided and cooperative agreements entered into under the FAST program during the preceding year;

``(B) a list of recipients under this section, including their location and the activities being performed with the awards made or under the cooperative agreements entered into; and

``(C) the Mentoring Networks and the mentoring database, as provided for under section 35, including--

``(i) the status of the inclusion of mentoring information in the database required by section 9(k); and

``(ii) the status of the implementation and description of the usage of the Mentoring Networks.

``(g) Reviews by Inspector General.--

``(1) In general.--The Inspector General of the Administration shall conduct a review of--

``(A) the extent to which recipients under the FAST program are measuring the performance of the activities being conducted and the results of such measurements; and

``(B) the overall management and effectiveness of the FAST program.

``(2) Report.--During the first quarter of fiscal year 2004, the Inspector General of the Administration shall submit a report to the Committee on Small Business of the Senate and the Committee on Science and the Committee on Small Business of the House of Representatives on the review conducted under paragraph (1).

``(h) Program Levels.--

``(1) In general.--There is authorized to be appropriated to carry out the FAST program, including Mentoring Networks, under this section and section 35, $10,000,000 for each of fiscal years 2001 through 2005.

``(2) Mentoring database.--Of the total amount made available under paragraph (1) for fiscal years 2001 through 2005, a reasonable amount, not to exceed a total of $500,000, may be used by the Administration to carry out section 35(d).

``(i) Termination.--The authority to carry out the FAST program under this section shall terminate on September 30, 2005.''.

(c) Coordination of Technology Development Programs.--Section 9 of the Small Business Act (15 U.S.C. 638) is amended by adding at the end the following:

``(u) Coordination of Technology Development Programs.--

``(1) Definition of technology development program.--In this subsection, the term `technology development program' means--

``(A) the Experimental Program to Stimulate Competitive Research of the National Science Foundation, as established under section 113 of the National Science Foundation Authorization Act of 1988 (42 U.S.C. 1862g);

``(B) the Defense Experimental Program to Stimulate Competitive Research of the Department of Defense;

``(C) the Experimental Program to Stimulate Competitive Research of the Department of Energy;

``(D) the Experimental Program to Stimulate Competitive Research of the Environmental Protection Agency;

``(E) the Experimental Program to Stimulate Competitive Research of the National Aeronautics and Space Administration;

``(F) the Institutional Development Award Program of the National Institutes of Health; and

``(G) the National Research Initiative Competitive Grants Program of the Department of Agriculture.

``(2) Coordination requirements.--Each Federal agency that is subject to subsection (f) and that has established a technology development program may, in each fiscal year, review for funding under that technology development program--

``(A) any proposal to provide outreach and assistance to 1 or more small business concerns interested in participating in the SBIR program, including any proposal to make a grant or loan to a company to pay a portion or all of the cost of developing an SBIR proposal, from an entity, organization, or individual located in--

``(i) a State that is eligible to participate in that program; or

``(ii) a State described in paragraph (3); or

``(B) any proposal for the first phase of the SBIR program, if the proposal, though meritorious, is not funded through the SBIR program for that fiscal year due to funding restraints, from a small business concern located in--

``(i) a State that is eligible to participate in a technology development program; or

``(ii) a State described in paragraph (3).

``(3) Additionally eligible state.--A State referred to in subparagraph (A)(ii) or (B)(ii) of paragraph (2) is a State in which the total value of contracts awarded to small business concerns under all SBIR programs is less than the total value of contracts awarded to small business concerns in a majority of other States, as determined by the Administrator in biennial fiscal years, beginning with fiscal year 2000, based on the most recent statistics compiled by the Administrator.''.

SEC. 112. MENTORING NETWORKS.

The Small Business Act (15 U.S.C. 631 et seq.) is amended by inserting after section 34, as added by section 111(b)(2) of this Act, the following new section:

``SEC. 35. MENTORING NETWORKS.

``(a) Findings.--Congress finds that--

``(1) the SBIR and STTR programs create jobs, increase capacity for technological innovation, and boost international competitiveness;

``(2) increasing the quantity of applications from all States to the SBIR and STTR programs would enhance competition for such awards and the quality of the completed projects; and

``(3) mentoring is a natural complement to the FAST program of reaching out to new companies regarding the SBIR and STTR programs as an effective and low-cost way to improve the likelihood that such companies will succeed in such programs in developing and commercializing their research.

``(b) Authorization for Mentoring Networks.--The recipient of an award or participant in a cooperative agreement under section 34 may use a reasonable amount of such assistance for the establishment of a Mentoring Network under this section.

``(c) Criteria for Mentoring Networks.--A Mentoring Network established using assistance under section 34 shall--

``(1) provide business advice and counseling to high technology small business concerns located in the State or region served by the Mentoring Network and identified under section 34(c)(1)(E)(ii) as potential candidates for the SBIR or STTR programs;

``(2) identify volunteer mentors who--

``(A) are persons associated with a small business concern that has successfully completed one or more SBIR or STTR funding agreements; and

``(B) have agreed to guide small business concerns through all stages of the SBIR or STTR program process, including providing assistance relating to--

``(i) proposal writing;

``(ii) marketing;

``(iii) Government accounting;

``(iv) Government audits;

``(v) project facilities and equipment;

``(vi) human resources;

``(vii) third phase partners;

``(viii) commercialization;

``(ix) venture capital networking; and

``(x) other matters relevant to the SBIR and STTR programs;

``(3) have experience working with small business concerns participating in the SBIR and STTR programs;

``(4) contribute information to the national database referred to in subsection (d); and

``(5) agree to reimburse volunteer mentors for out-of-pocket expenses related to service as a mentor under this section.

``(d) Mentoring Database.--The Administrator shall--

``(1) include in the database required by section 9(k)(1), in cooperation with the SBIR, STTR, and FAST programs, information on Mentoring Networks and mentors participating under this section, including a description of their areas of expertise;

``(2) work cooperatively with Mentoring Networks to maintain and update the database;

``(3) take such action as may be necessary to aggressively promote Mentoring Networks under this section; and

``(4) fulfill the requirements of this subsection either directly or by contract.''.

SEC. 113. SIMPLIFIED REPORTING REQUIREMENTS.

Section 9 of the Small Business Act (15 U.S.C. 638), as amended by this Act, is further amended by adding at the end the following new subsection:

``(v) Simplified Reporting Requirements.--The Administrator shall work with the Federal agencies required by this section to have an SBIR program to standardize reporting requirements for the collection of data from SBIR applicants and awardees, including data for inclusion in the database under subsection

(k), taking into consideration the unique needs of each agency, and to the extent possible, permitting the updating of previously reported information by electronic means. Such requirements shall be designed to minimize the burden on small businesses.''.

SEC. 114. RURAL OUTREACH PROGRAM EXTENSION.

(a) Extension of Termination Date.--Section 501(b)(2) of the Small Business Reauthorization Act of 1997 (15 U.S.C. 638 note; 111 Stat. 2622) is amended by striking ``2001'' and inserting ``2005''.

(b) Extension of Authorization of Appropriations.--Section 9(s)(2) of the Small Business Act (15 U.S.C. 638(s)(2)) is amended by striking ``for fiscal year 1998, 1999, 2000, or 2001'' and inserting ``for each of the fiscal years 2000 through 2005,''.

TITLE II--GENERAL BUSINESS LOAN PROGRAM

SEC. 201. SHORT TITLE.

This title may be cited as the ``Small Business General Business Loan Improvement Act of 2000''.

SEC. 202. LEVELS OF PARTICIPATION.

Section 7(a)(2)(A) of the Small Business Act (15 U.S.C. 636(a)(2)(A)) is amended--

(1) in paragraph (i) by striking ``$100,000'' and inserting

``$150,000''; and

(2) in paragraph (ii)--

(A) by striking ``80 percent'' and inserting ``85 percent''; and

(B) by striking ``$100,000'' and inserting ``$150,000''.

SEC. 203. LOAN AMOUNTS.

Section 7(a)(3)(A) of the Small Business Act (15 U.S.C. 636(a)(3)(A)) is amended by striking ``$750,000,'' and inserting, ``$1,000,000 (or if the gross loan amount would exceed $2,000,000),''.

SEC. 204. INTEREST ON DEFAULTED LOANS.

Subparagraph (B) of section 7(a)(4) of the Small Business Act (15 U.S.C. 636(a)(4)) is amended by adding at the end the following:

``(iii) Applicability.--Clauses (i) and (ii) shall not apply to loans made on or after October 1, 2000.''.

SEC. 205. PREPAYMENT OF LOANS.

Section 7(a)(4) of the Small Business Act (15 U.S.C. 636(a)(4)) is further amended--

(1) by striking ``(4) Interest rates and fees.--'' and inserting ``(4) Interest rates and prepayment charges.--''; and

(2) by adding at the end the following:

``(C) Prepayment charges.--

``(i) In general.--A borrower who prepays any loan guaranteed under this subsection shall remit to the Administration a subsidy recoupment fee calculated in accordance with clause (ii) if--

``(I) the loan is for a term of not less than 15 years;

``(II) the prepayment is voluntary;

``(III) the amount of prepayment in any calendar year is more than 25 percent of the outstanding balance of the loan; and

``(IV) the prepayment is made within the first 3 years after disbursement of the loan proceeds.

``(ii) Subsidy recoupment fee.--The subsidy recoupment fee charged under clause (i) shall be--

``(I) 5 percent of the amount of prepayment, if the borrower prepays during the first year after disbursement;

``(II) 3 percent of the amount of prepayment, if the borrower prepays during the second year after disbursement; and

``(III) 1 percent of the amount of prepayment, if the borrower prepays during the third year after disbursement.''.

SEC. 206. GUARANTEE FEES.

Section 7(a)(18)(B) of the Small Business Act (15 U.S.C. 636(a)(18)(B)) is amended to read as follows:

``(B) Exception for certain loans.--

``(i) In general.--Notwithstanding subparagraph (A), if the total deferred participation share of a loan guaranteed under this subsection is less than or equal to $150,000, the guarantee fee collected under subparagraph (A) shall be in an amount equal to 2 percent of the total deferred participation share of the loan.

``(ii) Retention of fees.--Lenders participating in the programs established under this subsection may retain not more than 25 percent of the fee collected in accordance with this subparagraph with respect to any loan not exceeding

$150,000 in gross loan amount.''.

SEC. 207. LEASE TERMS.

Section 7(a) of the Small Business Act (15 U.S.C. 636(a)) is further amended by adding at the end the following:

``(28) Leasing.--In addition to such other lease arrangements as may be authorized by the Administration, a borrower may permanently lease to one or more tenants not more than 20 percent of any property constructed with the proceeds of a loan guaranteed under this subsection, if the borrower permanently occupies and uses not less than 60 percent of the total business space in the property.''.

TITLE III--CERTIFIED DEVELOPMENT COMPANY PROGRAM

SEC. 301. SHORT TITLE.

This title may be cited as the ``Certified Development Company Program Improvements Act of 2000''.

SEC. 302. WOMEN-OWNED BUSINESSES.

Section 501(d)(3)(C) of the Small Business Investment Act

(15 U.S.C. 695(d)(3)(C)) is amended by inserting before the comma ``or women-owned business development''.

SEC. 303. MAXIMUM DEBENTURE SIZE.

Section 502(2) of the Small Business Investment Act of 1958

(15 U.S.C. 696(2)) is amended to read as follows:

``(2) Loans made by the Administration under this section shall be limited to $1,000,000 for each such identifiable small business concern, except loans meeting the criteria specified in section 501(d)(3), which shall be limited to

$1,300,000 for each such identifiable small business concern.''.

SEC. 304. FEES.

Section 503(f) of the Small Business Investment Act of 1958

(15 U.S.C. 697(f)) is amended to read as follows:

``(f) Effective Date.--The fees authorized by subsections

(b) and (d) shall apply to financings approved by the Administration on or after October 1, 1996, but shall not apply to financings approved by the Administration on or after October 1, 2003.''.

SEC. 305. PREMIER CERTIFIED LENDERS PROGRAM.

Section 217(b) of the Small Business Reauthorization and Amendments Act of 1994 (relating to section 508 of the Small Business Investment Act) is repealed.

SEC. 306. SALE OF CERTAIN DEFAULTED LOANS.

Section 508 of the Small Business Investment Act of 1958

(15 U.S.C. 697e) is amended--

(1) in subsection (a), by striking ``On a pilot program basis, the'' and inserting ``The'';

(2) by redesignating subsections (d) though (i) as subsections (e) though (j), respectively;

(3) in subsection (f) (as redesignated by paragraph (2)), by striking ``subsection (f)'' and inserting ``subsection

(g)'';

(4) in subsection (h) (as redesignated by paragraph (2)), by striking ``subsection (f)'' and inserting ``subsection

(g)''; and

(5) by inserting after subsection (c) the following:

``(d) Sale of Certain Defaulted Loans.--

``(1) Notice.--If, upon default in repayment, the Administration acquires a loan guaranteed under this section and identifies such loan for inclusion in a bulk asset sale of defaulted or repurchased loans or other financings, it shall give prior notice thereof to any certified development company which has a contingent liability under this section. The notice shall be given to the company as soon as possible after the financing is identified, but not less than 90 days before the date the Administration first makes any records on such financing available for examination by prospective purchasers prior to its offering in a package of loans for bulk sale.

``(2) Limitations.--The Administration shall not offer any loan described in paragraph (1) as part of a bulk sale unless it--

``(A) provides prospective purchasers with the opportunity to examine the Administration's records with respect to such loan; and

``(B) provides the notice required by paragraph (1).''.

SEC. 307. LOAN LIQUIDATION.

(a) Liquidation and Foreclosure.--Title V of the Small Business Investment Act of 1958 (15 U.S.C. 695 et seq.) is amended by adding at the end the following:

``SEC. 510. FORECLOSURE AND LIQUIDATION OF LOANS.

``(a) Delegation of Authority.--In accordance with this section, the Administration shall delegate to any qualified State or local development company (as defined in section 503(e)) that meets the eligibility requirements of subsection

(b)(1) the authority to foreclose and liquidate, or to otherwise treat in accordance with this section, defaulted loans in its portfolio that are funded with the proceeds of debentures guaranteed by the Administration under section 503.

``(b) Eligibility for Delegation.--

``(1) Requirements.--A qualified State or local development company shall be eligible for a delegation of authority under subsection (a) if--

``(A) the company--

``(i) has participated in the loan liquidation pilot program established by the Small Business Programs Improvement Act of 1996 (15 U.S.C. 695 note), as in effect on the day before promulgation of final regulations by the Administration implementing this section;

``(ii) is participating in the Premier Certified Lenders Program under section 508; or

``(iii) during the 3 fiscal years immediately prior to seeking such a delegation, has made an average of not less than 10 loans per year that are funded with the proceeds of debentures guaranteed under section 503; and

``(B) the company--

``(i) has one or more employees--

``(I) with not less than 2 years of substantive, decision-making experience in administering the liquidation and workout of problem loans secured in a manner substantially similar to loans funded with the proceeds of debentures guaranteed under section 503; and

``(II) who have completed a training program on loan liquidation developed by the Administration in conjunction with qualified State and local development companies that meet the requirements of this paragraph; or

``(ii) submits to the Administration documentation demonstrating that the company has contracted with a qualified third-party to perform any liquidation activities and secures the approval of the contract by the Administration with respect to the qualifications of the contractor and the terms and conditions of liquidation activities.

``(2) Confirmation.--On request the Administration shall examine the qualifications of any company described in subsection (a) to determine if such company is eligible for the delegation of authority under this section. If the Administration determines that a company is not eligible, the Administration shall provide the company with the reasons for such ineligibility.

``(c) Scope of Delegated Authority.--

``(1) In general.--Each qualified State or local development company to which the Administration delegates authority under section (a) may with respect to any loan described in subsection (a)--

``(A) perform all liquidation and foreclosure functions, including the purchase in accordance with this subsection of any other indebtedness secured by the property securing the loan, in a reasonable and sound manner according to commercially accepted practices, pursuant to a liquidation plan approved in advance by the Administration under paragraph (2)(A);

``(B) litigate any matter relating to the performance of the functions described in subparagraph (A), except that the Administration may--

``(i) defend or bring any claim if--

``(I) the outcome of the litigation may adversely affect the Administration's management of the loan program established under section 502; or

``(II) the Administration is entitled to legal remedies not available to a qualified State or local development company and such remedies will benefit either the Administration or the qualified State or local development company; or

``(ii) oversee the conduct of any such litigation; and

``(C) take other appropriate actions to mitigate loan losses in lieu of total liquidation or foreclosures, including the restructuring of a loan in accordance with prudent loan servicing practices and pursuant to a workout plan approved in advance by the Administration under paragraph (2)(C).

``(2) Administration approval.--

``(A) Liquidation plan.--

``(i) In general.--Before carrying out functions described in paragraph (1)(A), a qualified State or local development company shall submit to the Administration a proposed liquidation plan.

``(ii) Administration action on plan.--

``(I) Timing.--Not later than 15 business days after a liquidation plan is received by the Administration under clause (i), the Administration shall approve or reject the plan.

``(II) Notice of no decision.--With respect to any plan that cannot be approved or denied within the 15-day period required by subclause (I), the Administration shall within such period provide in accordance with subparagraph (E) notice to the company that submitted the plan.

``(iii) Routine actions.--In carrying out functions described in paragraph (1)(A), a qualified State or local development company may undertake routine actions not addressed in a liquidation plan without obtaining additional approval from the Administration.

``(B) Purchase of indebtedness.--

``(i) In general.--In carrying out functions described in paragraph (1)(A), a qualified State or local development company shall submit to the Administration a request for written approval before committing the Administration to the purchase of any other indebtedness secured by the property securing a defaulted loan.

``(ii) Administration action on request.--

``(I) Timing.--Not later than 15 business days after receiving a request under clause (i), the Administration shall approve or deny the request.

``(II) Notice of no decision.--With respect to any request that cannot be approved or denied within the 15-day period required by subclause (I), the Administration shall within such period provide in accordance with subparagraph (E) notice to the company that submitted the request.

``(C) Workout plan.--

``(i) In general.--In carrying out functions described in paragraph (1)(C), a qualified State or local development company shall submit to the Administration a proposed workout plan.

``(ii) Administration action on plan.--

``(I) Timing.--Not later than 15 business days after a workout plan is received by the Administration under clause

(i), the Administration shall approve or reject the plan.

``(II) Notice of no decision.--With respect to any workout plan that cannot be approved or denied within the 15-day period required by subclause (I), the Administration shall within such period provide in accordance with subparagraph

(E) notice to the company that submitted the plan.

``(D) Compromise of indebtedness.--In carrying out functions described in paragraph (1)(A), a qualified State or local development company may--

``(i) consider an offer made by an obligor to compromise the debt for less than the full amount owing; and

``(ii) pursuant to such an offer, release any obligor or other party contingently liable, if the company secures the written approval of the Administration.

``(E) Contents of notice of no decision.--Any notice provided by the Administration under subparagraphs

(A)(ii)(II), (B)(ii)(II), or (C)(ii)(II)--

``(i) shall be in writing;

``(ii) shall state the specific reason for the Administration's inability to act on a plan or request;

``(iii) shall include an estimate of the additional time required by the Administration to act on the plan or request; and

``(iv) if the Administration cannot act because insufficient information or documentation was provided by the company submitting the plan or request, shall specify the nature of such additional information or documentation.

``(3) Conflict of interest.--In carrying out functions described in paragraph (1), a qualified State or local development company shall take no action that would result in an actual or apparent conflict of interest between the company (or any employee of the company) and any third party lender, associate of a third party lender, or any other person participating in a liquidation, foreclosure, or loss mitigation action.

``(d) Suspension or Revocation of Authority.--The Administration may revoke or suspend a delegation of authority under this section to any qualified State or local development company, if the Administration determines that the company--

``(1) does not meet the requirements of subsection (b)(1);

``(2) has violated any applicable rule or regulation of the Administration or any other applicable law; or

``(3) fails to comply with any reporting requirement that may be established by the Administration relating to carrying out of functions described in paragraph (1).

``(e) Report.--

``(1) In general.--Based on information provided by qualified State and local development companies and the Administration, the Administration shall annually submit to the Committees on Small Business of the House of Representatives and of the Senate a report on the results of delegation of authority under this section.

``(2) Contents.--Each report submitted under paragraph (1) shall include the following information:

``(A) With respect to each loan foreclosed or liquidated by a qualified State or local development company under this section, or for which losses were otherwise mitigated by the company pursuant to a workout plan under this section--

``(i) the total cost of the project financed with the loan;

``(ii) the total original dollar amount guaranteed by the Administration;

``(iii) the total dollar amount of the loan at the time of liquidation, foreclosure, or mitigation of loss;

``(iv) the total dollar losses resulting from the liquidation, foreclosure, or mitigation of loss; and

``(v) the total recoveries resulting from the liquidation, foreclosure, or mitigation of loss, both as a percentage of the amount guaranteed and the total cost of the project financed.

``(B) With respect to each qualified State or local development company to which authority is delegated under this section, the totals of each of the amounts described in clauses (i) through (v) of subparagraph (A).

``(C) With respect to all loans subject to foreclosure, liquidation, or mitigation under this section, the totals of each of the amounts described in clauses (i) through (v) of subparagraph (A).

``(D) A comparison between--

``(i) the information provided under subparagraph (C) with respect to the 12-month period preceding the date on which the report is submitted; and

``(ii) the same information with respect to loans foreclosed and liquidated, or otherwise treated, by the Administration during the same period.

``(E) The number of times that the Administration has failed to approve or reject a liquidation plan in accordance with subparagraph (A)(i), a workout plan in accordance with subparagraph (C)(i), or to approve or deny a request for purchase of indebtedness under subparagraph (B)(i), including specific information regarding the reasons for the Administration's failure and any delays that resulted.''.

(b) Regulations.--

(1) In general.--Not later than 150 days after the date of enactment of this Act, the Administrator shall issue such regulations as may be necessary to carry out section 510 of the Small Business Investment Act of 1958, as added by subsection (a) of this section.

(2) Termination of pilot program.--Beginning on the date which the final regulations are issued under paragraph (1), section 204 of the Small Business Programs Improvement Act of 1996 (15 U.S.C. 695 note) shall cease to have effect.

TITLE IV--CORRECTIONS TO THE SMALL BUSINESS INVESTMENT ACT OF 1958

SEC. 401. SHORT TITLE.

This title may be cited as the ``Small Business Investment Corrections Act of 2000''.

SEC. 402. DEFINITIONS.

(a) Small Business Concern.--Section 103(5)(A)(i) of the Small Business Investment Act of 1958 (15 U.S.C. 662(5)(A)(i)) is amended by inserting ``regardless of the allocation of control during the investment period under any investment agreement between the business concern and the entity making the investment'' before the semicolon at the end.

(b) Long Term.--Section 103 of the Small Business Investment Act of 1958 (15 U.S.C. 662) is amended--

(1) in paragraph (15), by striking ``and'' at the end;

(2) in paragraph (16), by striking the period at the end and inserting ``; and''; and

(3) by adding at the end the following new paragraph:

``(17) the term `long term', when used in connection with equity capital or loan funds invested in any small business concern or smaller enterprise, means any period of time not less than 1 year.''.

SEC. 403. INVESTMENT IN SMALL BUSINESS INVESTMENT COMPANIES.

Section 302(b) of the Small Business Investment Act of 1958

(15 U.S.C. 682(b)) is amended--

(1) by striking ``(b) Notwithstanding'' and inserting the following:

``(b) Financial Institution Investments.--

``(1) Certain banks.--Notwithstanding''; and

(2) by adding at the end the following:

``(2) Certain savings associations.--Notwithstanding any other provision of law, any Federal savings association may invest in any 1 or more small business investment companies, or in any entity established to invest solely in small business investment companies, except that in no event may the total amount of such investments by any such Federal savings association exceed 5 percent of the capital and surplus of the Federal savings association.''.

SEC. 404. SUBSIDY FEES.

(a) Debentures.--Section 303(b) of the Small Business Investment Act of 1958 (15 U.S.C. 683(b)) is amended by striking ``plus an additional charge of 1 percent per annum which shall be paid to and retained by the Administration'' and inserting ``plus, for debentures issued after September 30, 2000, an additional charge, in an amount established annually by the Administration, of not more than 1 percent per year as necessary to reduce to zero the cost (as defined in section 502 of the Federal Credit Reform Act of 1990 (2 U.S.C. 661a)) to the Administration of purchasing and guaranteeing debentures under this Act, which shall be paid to and retained by the Administration''.

(b) Participating Securities.--Section 303(g)(2) of the Small Business Investment Act of 1958 (15 U.S.C. 683(g)(2)) is amended by striking ``plus an additional charge of 1 percent per annum which shall be paid to and retained by the Administration'' and inserting ``plus, for participating securities issued after September 30, 2000, an additional charge, in an amount established annually by the Administration, of not more than 1 percent per year as necessary to reduce to zero the cost (as defined in section 502 of the Federal Credit Reform Act of 1990 (2 U.S.C. 661a)) to the Administration of purchasing and guaranteeing participating securities under this Act, which shall be paid to and retained by the Administration''.

SEC. 405. DISTRIBUTIONS.

Section 303(g)(8) of the Small Business Investment Act of 1958 (15 U.S.C. 683(g)(8)) is amended--

(1) by striking ``subchapter s corporation'' and inserting

``subchapter S corporation'';

(2) by striking ``the end of any calendar quarter based on a quarterly'' and inserting ``any time during any calendar quarter based on an''; and

(3) by striking ``quarterly distributions for a calendar year,'' and inserting ``interim distributions for a calendar year,''.

SEC. 406. CONFORMING AMENDMENT.

Section 310(c)(4) of the Small Business Investment Act of 1958 (15 U.S.C. 687b(c)(4)) is amended by striking ``five years'' and inserting ``1 year''.

TITLE V--REAUTHORIZATION OF SMALL BUSINESS PROGRAMS

SEC. 501. SHORT TITLE.

This title may be cited as the ``Small Business Reauthorization Act of 2000''.

SEC. 502. REAUTHORIZATION OF SMALL BUSINESS PROGRAMS.

Section 20 of the Small Business Act (15 U.S.C. 631 note) is amended by adding at the end the following:

``(g) Fiscal Year 2001.--

``(1) Program levels.--The following program levels are authorized for fiscal year 2001:

``(A) For the programs authorized by this Act, the Administration is authorized to make--

``(i) $45,000,000 in technical assistance grants as provided in section 7(m); and

``(ii) $60,000,000 in direct loans, as provided in 7(m).

``(B) For the programs authorized by this Act, the Administration is authorized to make $19,050,000,000 in deferred participation loans and other financings. Of such sum, the Administration is authorized to make--

``(i) $14,500,000,000 in general business loans as provided in section 7(a);

``(ii) $4,000,000,000 in financings as provided in section 7(a)(13) of this Act and section 504 of the Small Business Investment Act of 1958;

``(iii) $500,000,000 in loans as provided in section 7(a)(21); and

``(iv) $50,000,000 in loans as provided in section 7(m).

``(C) For the programs authorized by title III of the Small Business Investment Act of 1958, the Administration is authorized to make--

``(i) $2,500,000,000 in purchases of participating securities; and

``(ii) $1,500,000,000 in guarantees of debentures.

``(D) For the programs authorized by part B of title IV of the Small Business Investment Act of 1958, the Administration is authorized to enter into guarantees not to exceed

$4,000,000,000 of which not more than 50 percent may be in bonds approved pursuant to section 411(a)(3) of that Act.

``(E) The Administration is authorized to make grants or enter cooperative agreements for a total amount of $5,000,000 for the Service Corps of Retired Executives program authorized by section 8(b)(1).

``(2) Additional authorizations.--

``(A) There are authorized to be appropriated to the Administration for fiscal year 2001 such sums as may be necessary to carry out the provisions of this Act not elsewhere provided for, including administrative expenses and necessary loan capital for disaster loans pursuant to section 7(b), and to carry out title IV of the Small Business Investment Act of 1958, including salaries and expenses of the Administration.

``(B) Notwithstanding any other provision of this paragraph, for fiscal year 2001--

``(i) no funds are authorized to be used as loan capital for the loan program authorized by section 7(a)(21) except by transfer from another Federal department or agency to the Administration, unless the program level authorized for general business loans under paragraph (1)(B)(i) is fully funded; and

``(ii) the Administration may not approve loans on its own behalf or on behalf of any other Federal department or agency, by contract or otherwise, under terms and conditions other than those specifically authorized under this Act or the Small Business Investment Act of 1958, except that it may approve loans under section 7(a)(21) of this Act in gross amounts of not more than $1,250,000.

``(h) Fiscal Year 2002.--

``(1) Program levels.--The following program levels are authorized for fiscal year 2002:

``(A) For the programs authorized by this Act, the Administration is authorized to make--

``(i) $60,000,000 in technical assistance grants as provided in section 7(m); and

``(ii) $80,000,000 in direct loans, as provided in 7(m).

``(B) For the programs authorized by this Act, the Administration is authorized to make $20,050,000,000 in deferred participation loans and other financings. Of such sum, the Administration is authorized to make--

``(i) $15,000,000,000 in general business loans as provided in section 7(a);

``(ii) $4,500,000,000 in financings as provided in section 7(a)(13) of this Act and section 504 of the Small Business Investment Act of 1958;

``(iii) $500,000,000 in loans as provided in section 7(a)(21); and

``(iv) $50,000,000 in loans as provided in section 7(m).

``(C) For the programs authorized by title III of the Small Business Investment Act of 1958, the Administration is authorized to make--

``(i) $3,500,000,000 in purchases of participating securities; and

``(ii) $2,500,000,000 in guarantees of debentures.

``(D) For the programs authorized by part B of title IV of the Small Business Investment Act of 1958, the Administration is authorized to enter into guarantees not to exceed

$5,000,000,000 of which not more than 50 percent may be in bonds approved pursuant to section 411(a)(3) of that Act.

``(E) The Administration is authorized to make grants or enter cooperative agreements for a total amount of $6,000,000 for the Service Corps of Retired Executives program authorized by section 8(b)(1).

``(2) Additional authorizations.--

``(A) There are authorized to be appropriated to the Administration for fiscal year 2002 such sums as may be necessary to carry out the provisions of this Act not elsewhere provided for, including administrative expenses and necessary loan capital for disaster loans pursuant to section 7(b), and to carry out title IV of the Small Business Investment Act of 1958, including salaries and expenses of the Administration.

``(B) Notwithstanding any other provision of this paragraph, for fiscal year 2002--

``(i) Fiscal Year 2003.--

``(1) Program levels.--The following program levels are authorized for fiscal year 2003:

``(A) For the programs authorized by this Act, the Administration is authorized to make--

``(i) $70,000,000 in technical assistance grants as provided in section 7(m); and

``(ii) $100,000,000 in direct loans, as provided in 7(m).

``(B) For the programs authorized by this Act, the Administration is authorized to make $21,550,000,000 in deferred participation loans and other financings. Of such sum, the Administration is authorized to make--

``(i) $16,000,000,000 in general business loans as provided in section 7(a);

``(ii) $5,000,000,000 in financings as provided in section 7(a)(13) of this Act and section 504 of the Small Business Investment Act of 1958;

``(iii) $500,000,000 in loans as provided in section 7(a)(21); and

``(iv) $50,000,000 in loans as provided in section 7(m).

``(C) For the programs authorized by title III of the Small Business Investment Act of 1958, the Administration is authorized to make--

``(i) $4,000,000,000 in purchases of participating securities; and

``(ii) $3,000,000,000 in guarantees of debentures.

``(D) For the programs authorized by part B of title IV of the Small Business Investment Act of 1958, the Administration is authorized to enter into guarantees not to exceed

$6,000,000,000 of which not more than 50 percent may be in bonds approved pursuant to section 411(a)(3) of that Act.

``(E) The Administration is authorized to make grants or enter into cooperative agreements for a total amount of

$7,000,000 for the Service Corps of Retired Executives program authorized by section 8(b)(1).

``(2) Additional authorizations.--

``(A) There are authorized to be appropriated to the Administration for fiscal year 2003 such sums as may be necessary to carry out the provisions of this Act not elsewhere provided for, including administrative expenses and necessary loan capital for disaster loans pursuant to section 7(b), and to carry out title IV of the Small Business Investment Act of 1958, including salaries and expenses of the Administration.

``(B) Notwithstanding any other provision of this paragraph, for fiscal year 2003--

SEC. 503. ADDITIONAL REAUTHORIZATIONS.

(a) Small Business Development Centers Program.--Section 21(a)(4)(C)(iii)(III) of the Small Business Act (15 U.S.C. 648(a)(4)(C)(iii)(III)) is amended by striking

``$95,000,000'' and inserting ``$125,000,000''.

(b) Drug-Free Workplace Program.--Section 27 of the Small Business Act (15 U.S.C. 654) is amended--

(1) in the section heading, by striking ``DRUG-FREE WORKPLACE DEMONSTRATION PROGRAM'' and inserting ``PAUL D. COVERDELL DRUG-FREE WORKPLACE PROGRAM''; and

(2) in subsection (g)(1), by striking ``$10,000,000 for fiscal years 1999 and 2000'' and inserting ``$5,000,000 for each of fiscal years 2001 through 2003''.

(15 U.S.C. 657a) is amended by adding at the end the following new subsection:

``(d) Authorization of Appropriations.--There is authorized to be appropriated to carry out the program established by this section $10,000,000 for each of fiscal years 2001 through 2003.''.

(d) Women's Business Enterprise Development Programs.--Section 411 of the Women's Business Ownership Act (Public Law 105-135; 15 U.S.C. 631 note) is amended by striking

``$600,000, for each of fiscal years 1998 through 2000,'' and inserting ``$1,000,000 for each of fiscal years 2001 through 2003,''.

(e) Very Small Business Concerns Program.--Section 304(i) of the Small Business Administration Reauthorization and Amendments Act of 1994 (Public Law 103-403; 15 U.S.C. 644 note) is amended by striking ``September 30, 2000'' and inserting ``September 30, 2003''.

(f) Socially and Economically Disadvantaged Businesses Program.--Section 7102(c) of the Federal Acquisition Streamlining Act of 1994 (Public Law 103-355; 15 U.S.C. 644 note) is amended by striking ``September 30, 2000'' and inserting ``September 30, 2003''.

TITLE VI--MISCELLANEOUS PROVISIONS

SEC. 601. LOAN APPLICATION PROCESSING.

(a) Study.--The Administrator of the Small Business Administration shall conduct a study to determine the average time that the Administration requires to process an application for each type of loan or loan guarantee made under the Small Business Act (15 U.S.C. 631 et seq.).

(b) Transmittal.--Not later than 1 year after the date of the enactment of this title, the Administrator shall transmit to Congress the results of the study conducted under subsection (a).

SEC. 602. APPLICATION OF OWNERSHIP REQUIREMENTS.

Section 2 of the Small Business Act (15 U.S.C. 631) is amended by adding at the end the following new subsection:

``(k) Application of Ownership Requirements.--Each ownership requirement established under this Act or the Small Business Investment Act of 1958 (15 U.S.C. 661 et seq.) shall be applied without regard to any possible future ownership interest of a spouse arising from the application of any State community property law established for the purpose of determining marital interest.''.

SEC. 603. ELIGIBILITY FOR HUBZONE PROGRAM.

Section 3(p)(5) of the Small Business Act (15 U.S.C. 632(p)(5)) is amended by adding at the end the following new subparagraph:

``(E) Extension of eligibility.--If a geographic area that qualified as a HUBZone under this subsection ceases to qualify as a result of a change in official government data or boundary designations, each small business concern certified as HUBZone small business concern in connection with such geographic area shall remain certified as such for a period of 1 year after the effective date of the change in HUBZone status, if the small business concern continues to meet each of the other qualifications applicable to a HUBZone small business concern.''.

SEC. 604. SUBCONTRACTING PREFERENCE FOR VETERANS.

Section 8(d) of the Small Business Act (15 U.S.C. 637(d)) is amended--

(1) in paragraph (1), by inserting ``small business concerns owned and controlled by veterans,'' after ``small business concerns,'' the first place that term appears in each of the first and second sentences;

(2) in paragraph (3)--

(A) in subparagraph (A), by inserting ``small business concerns owned and controlled by service-disabled veterans,'' after ``small business concerns owned and controlled by veterans,'' in each of the first and second sentences; and

(B) in subparagraph (F), by inserting ``small business concern owned and controlled by service-disabled veterans,'' after ``small business concern owned and controlled by veterans,''; and

(3) in each of paragraphs (4)(D), (4)(E), (6)(A), (6)(C),

(6)(F), and (10)(B), by inserting ``small business concern owned and controlled by service-disabled veterans,'' after

``small business concerns owned and controlled by veterans,''. SEC. 605. SMALL BUSINESS DEVELOPMENT CENTER PROGRAM FUNDING.

(a) Authorization.--

(1) In general.--Section 20(a)(1) of the Small Business Act

(15 U.S.C. 631 note) is amended by striking ``For fiscal year 1985'' and all that follows through ``expended.'' and inserting the following: ``For fiscal year 2000 and each fiscal year thereafter, there are authorized to be appropriated such sums as may be necessary and appropriate, to remain available until expended, and to be available solely--

``(A) to carry out the Small Business Development Center Program under section 21, but not to exceed the annual funding level, as specified in section 21(a);

``(B) to pay the expenses of the National Small Business Development Center Advisory Board, as provided in section 21(i);

``(C) to pay the expenses of the information sharing system, as provided in section 21(c)(8);

``(D) to pay the expenses of the association referred to in section 21(a)(3)(A) for conducting the certification program, as provided in section 21(k)(2); and

``(E) to pay the expenses of the Administration, including salaries of examiners, for conducting examinations as part of the certification program conducted by the association referred to in section 21(a)(3)(A).''.

(2) Technical amendment.--Section 20(a) of the Small Business Act (15 U.S.C. 631 note) is further amended by moving paragraphs (3) and (4), including subparagraphs (A) and (B) of paragraph (4), 2 ems to the left.

(b) Funding Formula.--Section 21(a)(4)(C) of the Small Business Act (15 U.S.C. 648(a)(4)(C)) is amended to read as follows:

``(C) Funding formula.--

``(i) In general.--Subject to clause (iii), the amount of a formula grant received by a State under this subparagraph shall be equal to an amount determined in accordance with the following formula:

``(I) The annual amount made available under section 20(a) for the Small Business Development Center Program, less any reductions made for expenses authorized by clause (v) of this subparagraph, shall be divided on a pro rata basis, based on the percentage of the population of each State, as compared to the population of the United States.

``(II) If the pro rata amount calculated under subclause

(I) for any State is less than the minimum funding level under clause (iii), the Administration shall determine the aggregate amount necessary to achieve that minimum funding level for each such State.

``(III) The aggregate amount calculated under subclause

(II) shall be deducted from the amount calculated under subclause (I) for States eligible to receive more than the minimum funding level. The deductions shall be made on a pro rata basis, based on the population of each such State, as compared to the total population of all such States.

``(IV) The aggregate amount deducted under subclause (III) shall be added to the grants of those States that are not eligible to receive more than the minimum funding level in order to achieve the minimum funding level for each such State, except that the eligible amount of a grant to any State shall not be reduced to an amount below the minimum funding level.

``(ii) Grant determination.--The amount of a grant that a State is eligible to apply for under this subparagraph shall be the amount determined under clause (i), subject to any modifications required under clause (iii), and shall be based on the amount available for the fiscal year in which performance of the grant commences, but not including amounts distributed in accordance with clause (iv). The amount of a grant received by a State under any provision of this subparagraph shall not exceed the amount of matching funds from sources other than the Federal Government, as required under subparagraph (A).

``(iii) Minimum funding level.--The amount of the minimum funding level for each State shall be determined for each fiscal year based on the amount made available for that fiscal year to carry out this section, as follows:

``(I) If the amount made available is not less than

$81,500,000 and not more than $90,000,000, the minimum funding level shall be $500,000.

``(II) If the amount made available is less than

$81,500,000, the minimum funding level shall be the remainder of $500,000 minus a percentage of $500,000 equal to the percentage amount by which the amount made available is less than $81,500,000.

``(III) If the amount made available is more than

$90,000,000, the minimum funding level shall be the sum of

$500,000 plus a percentage of $500,000 equal to the percentage amount by which the amount made available exceeds

$90,000,000.

``(iv) Distributions.--Subject to clause (iii), if any State does not apply for, or use, its full funding eligibility for a fiscal year, the Administration shall distribute the remaining funds as follows:

``(I) If the grant to any State is less than the amount received by that State in fiscal year 2000, the Administration shall distribute such remaining funds, on a pro rata basis, based on the percentage of shortage of each such State, as compared to the total amount of such remaining funds available, to the extent necessary in order to increase the amount of the grant to the amount received by that State in 2000, or until such funds are exhausted, whichever first occurs.

``(II) If any funds remain after the application of subclause (I), the remaining amount may be distributed as supplemental grants to any State, as the Administration determines, in its discretion, to be appropriate, after consultation with the association referred to in subsection

(a)(3)(A).

``(v) Use of amounts.--

``(I) In general.--Of the amounts made available in any fiscal year to carry out this section--

``(aa) not more than $500,000 may be used by the Administration to pay expenses enumerated in subparagraphs

(B) through (D) of section 20(a)(1); and

``(bb) not more than $500,000 may be used by the Administration to pay the examination expenses enumerated in section 20(a)(1)(E).

``(II) Limitation.--No funds described in subclause (I) may be used for examination expenses under section 20(a)(1)(E) if the usage would reduce the amount of grants made available under clause (i)(I) to less than $85,000,000 (after excluding any amounts provided in appropriations Acts for specific institutions or for purposes other than the general small business development center program) or would further reduce the amount of such grants below such amount.

``(vi) Exclusions.--Grants provided to a State by the Administration or another Federal agency to carry out subsection (c)(3)(G) or (a)(6) or supplemental grants set forth in clause (iv)(II) of this subparagraph, shall not be included in the calculation of maximum funding for a State under clause (ii) of this subparagraph.

``(vii) Authorization of appropriations.--There is authorized to be appropriated to carry out this subparagraph

$125,000,000 for each of fiscal years 2001, 2002, and 2003.

``(viii) State defined.--In this subparagraph, the term

`State' means each of the several States, the District of Columbia, the Commonwealth of Puerto Rico, the Virgin Islands, Guam, American Samoa, the Commonwealth of the Northern Mariana Islands, and any other commonwealth, territory, or possession of the United States.''.

SEC. 606. SURETY BONDS.

(a) Contract Amounts.--Section 411 of the Small Business Investment Act of 1958 (15 U.S.C. 694b) is amended--

(1) in subsection (a)(1), by striking ``$1,250,000'' and inserting ``$2,000,000''; and

(2) in subsection (e)(2), by striking ``$1,250,000'' and inserting ``$2,000,000''.

(b) Extension of Certain Authority.--Section 207 of the Small Business Administration Reauthorization and Amendment Act of 1988 (15 U.S.C. 694b note) is amended by striking

``2000'' and inserting ``2003''.

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

The Chair recognizes the gentlewoman from New York (Mrs. Kelly).

Mrs. KELLY. Mr. Speaker, I yield myself such time as I may consume.

Mr. Speaker, the resolution before us combines the reauthorization of the Small Business Innovation and Research Program with overall Small Business Administration authorizations and technical amendments passed by the House earlier this Congress.

The purpose of this is quite simple, to provide a vehicle for the reauthorization of the Small Business Administration and its programs before the fiscal year ends on September 30.

Mr. Speaker, this is a noncontroversial piece of legislation. Its components are bills that already passed this House by overwhelming margins. We are simply acting now to fulfill our responsibility to keep the Small Business Administration and its programs authorized for the next 3 years.

Mr. Speaker, let me briefly describe to my colleagues the provisions in the bill before us. The base legislation for this bill is reauthorization of the Small Business Innovation and Research Program. Established in 1982, SBIR serves as a vehicle for helping small business, the most dynamic and innovative segment of our economy, gain access to millions of dollars of Federal research and development funds.

The SBIR program operates at every Federal agency with an extramural research budget of more than $100 million and offers funding to small businesses in three phases. Phase one is initial research and development; phase two, continuing research for the most promising projects; and, phase three, final assistance moving new technologies to the Federal procurement marketplace and the private sector. The result has been an unqualified success.

Small businesses given access to these Federal dollars have created exciting new technologies, created new jobs along with them, and helped expand their business and the economy. The bill before us expresses the sense of Congress regarding the overwhelming success of the SBIR program and reauthorizes the SBIR program for 8 years.

H.R. 2392 also includes the Committee on Science in reporting requirements for the SBIR program, clarifies the funding requirements for third-phase participation in the SBIR program, and the rights in technical data granted to SBIR awardees.

H.R. 2392 will also add new provisions to the program requiring agencies participating in SBIR to include the program in their annual performance plans, creating a database to compile information on the projects funded through the SBIR program, and technical corrections to improve the data collection currently required by the program.

Finally, the bill contains a program added by the Senate to establish technical assistance programs at the State level to assist small businesses in working with the SBIR program.

Mr. Speaker these are all simple, common sense improvements to a successful program with strong congressional support. The additions to this bill concerning SBA reauthorization are also simple and common sense. The first and most important is the language from H.R. 3843, the 3-year reauthorization for the Small Business Administration and its programs.

This is a straight, numbers-only reauthorization. There are no modifications to the programs, no new programs, just the authorization levels for the next 3 years and extensions of existing programs. We passed this very measure in March of this year by a vote of 410 to 11.

In addition to the reauthorization language of H.R. 3843, the amendment to H.R. 2392 will include the language from H.R. 2614, H.R. 2615, and H.R. 3845.

These bills will respectively make technical corrections to the section 504 loan program, the 7(a) loan program, and the Small Business Investment Company program. All three of these bills passed the House under suspension in the beginning of this year and were supported overwhelmingly by my colleagues. These technical corrections are matters that will improve the function of the programs and assist the SBA in continuing to provide financial support to the small business community.

Mr. Speaker, I believe this legislation represents a good package for small business. It is simple, straightforward, and uncomplicated. In essence, it represents good government. The resolution contains what we need to do in order to fulfill our responsibility to the small business community, and I urge its passage.

Mr. Speaker, I reserve the balance of my time.

Ms. VELAZQUEZ. Mr. Speaker, I yield myself such time as I may consume.

Mr. Speaker, I rise in strong support of H.R. 2392, which includes the Small Business Reauthorization Act of 2000. The passage of this bipartisan legislation will reconfirm this Nation's commitment to the present and future of our economic foundation: America's small businesses.

As many in this Chamber are well aware, we are currently experiencing the greatest period of economic growth in our history. But I will go one step farther. I say the best of America is still to come.

Mr. Speaker, as we stand here today to pass this critical legislation, we have taken one more giant step forward toward ensuring our small businesses remain the engine of our Nation's economic prosperity.

America's small companies and entrepreneurs are providing 51 percent of the gross domestic product, contributing 47 percent of all sales, while at the same time leading the Nation to all-time highs in job creation and business growth.

Because as we all know, if small business has been the engine of America's prosperity, then the Small Business Administration with its loan and technical assistance programs has been the fuel feeding this powerful engine.

The legislation before us today also provides record levels of funding for many of the SBA programs that have helped launch millions of businesses throughout America.

To help provide those opportunities, SBA has built several loan and technical assistance programs aimed at helping entrepreneurs establishing their businesses and provide a solid foundation for the future. Through programs such as the 7(a), SBIR, the 504 and Microloans, this bill is providing hundreds of billions in dollars for new and existing businesses. Because as any business owner knows, access to capital is access to opportunity.

While providing capital is crucial to business success, we are also preparing businesses to plant the seeds for long-term success through technical assistance loans. The revised funding formula in this legislation will allow America's network of Small Business Development Centers to assist small companies and entrepreneurs with expert advice on developing strong business and accounting plans. This assistance will prove to be the deciding factor in future business success.

And speaking of the future, this legislation also recognizes the changing face of the world marketplace. From new business technologies to the expansion of e-commerce, we are looking to bridge the frontiers of this brave new world. To help meet these new challenges, the Small Business Innovation Research Program will give small businesses an unrivaled opportunity to produce cutting-edge research and development products for the wider marketplace. And whether that marketplace is in the private sector or in the Federal Government, small businesses will always have a place at the table.

By working together on this bill, we have also provided critical funding for the National Women's Business Council, ensured valuable minority development tools like the 8(a) program are secure for the next generation of minority business owners and entrepreneurs, and reiterated our continued support for the success of the HUBZone program.

However, in the end, this reauthorization program focuses on one thing: the ability of small businesses to concur the new frontier of the 21st century new economy with all the new opportunities the future will surely bring to our business owners and entrepreneurs. Because we do not need to read the Wall Street Journal to know that the business world has changed dramatically over the last decade. With the passage of this bill, we are helping to guarantee that our small businesses will be fully capable of conquering the challenges of tomorrow.

Mr. Speaker, I yield back the balance of my time.

Mrs. KELLY. Mr. Speaker, I yield myself such time as I may consume.

Mr. Speaker, in closing, I would like to thank the gentlewoman from New York (Ms. Velazquez), my colleague and fellow New Yorker, the ranking member of the committee, for her assistance. This is an excellent and much-needed piece of legislation, and we appreciate her assistance and the assistance of her staff.

This legislation is an important effort to finish the business of Congress and reauthorize programs vital to the small business community. The staff has worked hard on this. I urge my colleagues to support the resolution.

Mr. HALL of Texas. Mr. Speaker, I am pleased that we finally have an opportunity to consider the reauthorization of the Small Business Innovation Research [SBIR] program. It is a shame that we have waited until the very week the program is scheduled to expire to bring a compromise text here for our consideration. This is a program that has done a great deal of good over the past 18 years. There are numerous companies, both large and small, in my State of Texas and throughout the Nation, that got their first big breaks through this program. There are many more emerging high technology companies around the country that need a helping hand today. They have the ideas that will lead to tomorrow's prosperity, and we need to give them the chance to get started.

A lot of hard work went into developing the SBIR portion of H.R. 2392. We carefully debated our ideas over the last year and a half in Committees, on the House and Senate floors, and in negotiations between House and Senate. We have come up with a revitalized program that builds on the SBIR program's historic strengths while attempting to address a number of recommendations for improvement. We have a good work product--one that should lead to even more successful small businesses over the next 8 years.

There is just one cloud on the horizon. Despite time being short, other small business provisions have been added to the bill. While in principle, there is nothing wrong with considering related bills together, the more complicated a bill is, the more chance we have to slip up. I therefore urge my colleagues, who are in negotiations with the Senate Small Business Committee, to do all in their power to work out the final details. We need to make every effort to submit this important legislation to the President promptly enough that the SBIR program and the small businesses that are depending on it are not disrupted.

Mr. UDALL of Colorado. Mr. Speaker, I rise in support of H.R. 2392, the Small Business Innovation Research [SBIR] Program Reauthorization, and urge its adoption.

Mr. Speaker, Colorado is home to many cutting-edge small businesses. As creative as these companies are, they often struggle to come up with the funds necessary to refine their ideas, turn them into products, and to take those products to the commercial marketplace. Along the Front Range of Colorado we have experienced tremendous growth in high-tech businesses during the last decade. I feel that the tremendous high-tech growth we have enjoyed can be directly traced to the hundreds of SBIR recipients working in our region.

The Small Business Innovation Research Program has filed a real need for these companies over the years. Although the main purpose of the program remains meeting the Federal Government's research and development needs, small businesses have turned SBIR-inspired research into commercial products that have improved our economy and scientific advances that have helped to improve the health of people everywhere.

Mr. Speaker, the SBIR program simply seeks to level the playing field for small businesses. Small businesses might not have the colossal R and D departments that some larger businesses have, but they do have the colossal ideas. SBIR makes sure those ideas are looked at and funded.

In addition to SBIR, this bill reauthorizes funding for the Small Business Administration [SBA]. The SBA reauthorization contains funding for primary lending programs, such as the 7(a), 504 and microloan programs. It also includes provisions to authorize and fund disaster loan surety bond guarantees, Small Business Development Centers

(SBDCs), the Historically Underutilized Business Zone [HUBZone] program, the National Women's Business Council, the Service Corps of Retired Executives [SCORE] program, and the Drug Free Workplace program. These important programs have played a large role in creating and maintaining this country's unprecedented economic growth.

I urge my colleagues to vote yes on extending these important programs.

Mr. WAMP. Mr. Speaker, I am pleased to rise today in support of H.R. 2392, the Small Business Innovation Research Program Reauthorization Act of 2000. H.R. 2392 would reauthorize and expand the successful Small Business Innovation Research (SBIR) and Small Business Technology Transfer (STTR) Programs. The SBIR and STTR program provides over a billion dollars annually in grants and contracts for research and development.

Since the establishment of the SBIR program in 1982, many small, innovative companies have helped change the way we live. While producing everything from medicines and computer applications to toothbrushes and the guardrails on our highways these companies have developed products for the Departments of Defense, Energy, Health and Human Services and National Science Foundation and NASA. Other agencies that participate include the Departments of Transportation, Education, Agriculture, Commerce and the Environmental Protection Agency.

With the reauthorization of the SBIR program, we encourage other agencies to fully use the SBIR and STTR concepts. In the Third District of Tennessee, SBIR is a very important program. The Oak Ridge National Laboratory monitors and works with these SBIR and STTR companies and I congratulate these hard-working federal employees on getting these products out of the lab and into the marketplace. Twenty-five companies have been funded in my home district and nearly one thousand people have been put to work developing these innovative technologies.

The Tennessee Tibbetts Awards honor excellence in technical achievement. The SBA has awarded 4 of the 6 of these awards to small businesses in my home district. These companies include: iPIX, Cryomagnetics, Inc., Atom Sciences, and Accurate Automation Corporation.

One of these companies, iPIX, formerly known as Telerobotics International, went public last year. They took camera technology from robots and are now applying this to everything from real estate to 360 degree views of the Super Bowl.

Another company, Accurate Automation, has developed a technology for reducing drag on aircraft. This technology will revolutionize future commercial and military aircraft as well as space transportation.

This year's Tibbetts Award winner from Tennessee is Cryomagnetics, Inc. The company is developing a super-conducting magnet that will enable biotechnological researchers to achieve higher resolution measurements.

The General Accounting Office has done extensive studies on the SBIR and STTR programs over the years. Their many reports have found this to be one of the best programs in the country's technology portfolio. Many of these companies are now practically household names like Optiva, Qualcomm and Symantec. All of these companies started out as SBIR technologies.

This reauthorization will have the National Academy of Science examine how the SBIR gets these American-made technologies out of our laboratories and the commercial market place. The National Academy of Science will be looking at an excellent tool for keeping America's edge on the forefront of the emerging global marketplace.

Mr. Speaker, I urge adoption of H.R. 2392.

Mrs. KELLY. Mr. Speaker, I yield back the balance of my time.

The SPEAKER pro tempore. The question is on the motion offered by the gentlewoman from New York (Mrs. Kelly) that the House suspend the rules and agree to the resolution, H. Res. 590.

The question was taken; and (two-thirds having voted in favor thereof) the rules were suspended and the resolution was agreed to.

A motion to reconsider was laid on the table.

____________________

SOURCE: Congressional Record Vol. 146, No. 115

Sept. 25, 2000 sees Congressional Record publish “SMALL BUSINESS INNOVATION RESEARCH PROGRAM REAUTHORIZATION ACT OF 2000”

More Stories

Trending

Recent Featured Stories

News Archives