MEMORANDUM TO JEANETTE BROWN, CHAIR OSDBU COUNCIL

 

DATE:             January 18, 2006

 

FROM:            Arthuretta H. Martin, Legislative Working Group

 

SUBJECT:       January Legislative Report

 

 

The following is a summary of proposed legislation before congress affecting small businesses doing business with the Federal Government in the 109th Congress.   Governmental Affairs.  If you or any of the council members are aware of any pending legislation that you would like included in this report, please let me know.


H.R.230
Title: To amend the Small Business Act to direct the Administrator of the Small Business Administration to establish a program to provide regulatory compliance assistance to small business concerns, and for other purposes.
Sponsor: Rep Sweeney, John E. [NY-20] (introduced
1/4/2005)      Cosponsors (4)
Latest Major Action:
7/28/2005 Placed on the Union Calendar, Calendar No. 121.
House Reports: 109-208


SUMMARY AS OF:
7/28/2005--Reported to House, amended.    (There is 1 other summary)

National Small Business Regulatory Assistance Act of 2005 - Amends the Small Business Act to direct the Administrator of the Small Business Administration (SBA) to establish a program to provide regulatory compliance assistance to small businesses through selected Small Business Development Centers (Centers), the Association for Small Business Development Centers (Association), and Federal compliance partnership programs. Requires the Administrator to enter into arrangements with selected Centers to provide: (1) access to regulatory information and resources; (2) training and education activities; (3) confidential counseling to owners and operators of small businesses regarding compliance with Federal and State regulations; (4) technical assistance; (5) referrals to providers of compliance assistance; and (6) access to the Internet and training on Internet use. Requires quarterly reports from each selected Center to the Administrator on assistance provided.

Directs the Administrator to: (1) act as the repository of and clearinghouse for data and information submitted by Centers; (2) report annually to the President and the congressional small business committees on assistance provided; and (3) establish an Internet website that provides access to websites containing industry-specific regulatory compliance information. Directs the Chief Counsel for Advocacy of the SBA to: (1) review the Administrator's list of small business regulations; (2) identify those regulations having a significant impact on small businesses; (3) request the federal review of any such regulations; and (4) publish an annual report of such regulations and their disposition.

Requires the Administrator, giving substantial weight to the Association's recommendations, to select the Centers programs of two States from each of ten groups of States for participation in the program. Authorizes the Administrator to make additional selections after three years, with a preference for programs that have a plan for consulting with Federal and State agencies to ensure that assistance provided under this Act is not duplicated by any other Federal or State program. Sets forth the formula for determining program grant amounts. Provides a minimum grant amount of $200,000. Directs the Comptroller General to evaluate the grant program and report evaluation results to the Administrator and the small business committees. Authorizes appropriations.

Requires the Administrator to promulgate final regulations to carry out this Act, after providing notice and an opportunity for comment and after consulting with the Association.


 


H.R.4234
Title: To provide for the relief, recovery, and expansion of small business concerns affected by Hurricane Katrina through technical assistance, access to capital, and expanded Federal contracting opportunities, and for other purposes.
Sponsor: Rep Velazquez, Nydia M. [NY-12] (introduced 11/4/2005)      Cosponsors (None)
Latest Major Action: 11/4/2005 Referred to House committee. Status: Referred to the House Committee on Small Business.


SUMMARY AS OF:
11/4/2005--Introduced.

Small Business Gulf Coast Revitalization Act of 2005 - Authorizes the Administrator of the Small Business Administration (SBA) to: (1) make grants of up to $100,000 to Hurricane Katrina-affected small businesses (such businesses); (2) refinance existing SBA debts and suspend payments on SBA disaster loans with respect to such businesses; (3) enter into agreements with SBA preferred lenders to participate on a deferred basis in loans made to such businesses; and (4) guarantee non-SBA bank loans made to such businesses.

Directs the Administrator to: (1) select a Gulf Region New Markets Venture Capital Company; and (2) make grants to such businesses under the microenterprise technical assistance and capacity building grant program.

Requires not less than 30 percent of all prime contracts awarded by federal agencies for recovery or reconstruction activities related to Hurricane Katrina to be awarded to small businesses located in Alabama, Mississippi, or Louisiana. Authorizes restricted competition in federal prime contracts and other preferences for such businesses. Provides increased small business access to federal subcontracts for hurricane relief and recovery.

Authorizes small business development centers to send counselors to centers located in Katrina-affected areas.

Authorizes the Administrator to make five-year grants to eligible organizations to establish and operate small business incubator programs in Katrina-affected areas.


S.1411
Title: A bill to direct the Administrator of the Small Business Administration to establish a pilot program to provide regulatory compliance assistance to small business concerns, and for other purposes
Sponsor: Sen Kerry, John F. [MA] (introduced 7/15/2005)      Cosponsors (17)
Latest Major Action: 7/15/2005 Referred to Senate committee. Status: Read twice and referred to the Committee on Small Business and Entrepreneurship.


SUMMARY AS OF:
7/15/2005--Introduced.

National Small Business Regulatory Assistance Act of 2005 - Directs the Administrator of the Small Business Administration (SBA) to establish a pilot program to provide regulatory compliance assistance to small businesses through participating Small Business Development Centers (Centers). Requires the Administrator to enter into arrangements with participating Centers to provide: (1) access to regulatory information and resources; (2) training and education activities; (3) confidential counseling to owners and operators of small businesses regarding compliance with Federal regulations; (4) technical assistance; and (5) partnerships with Federal compliance programs.

Requires the Administrator, giving substantial weight to the recommendations of the majority of the Centers, to select the Center programs of two States from each of ten groups of States for participation in the pilot program. Provides grant limits. Terminates the pilot program four years after disbursement of the first grant.



H.R.4531
Title: To authorize the Administrator of the Small Business Administration to deem certain small business concerns qualified HUBZone small business concerns.
Sponsor: Rep Cramer, Robert E. (Bud), Jr. [AL-5] (introduced 12/14/2005)      Cosponsors (None)
Latest Major Action: 12/14/2005 Referred to House committee. Status: Referred to the House Committee on Small Business.
To authorize the Administrator of the Small Business Administration to deem certain small business concerns qualified HUBZone small business concerns. (Introduced in House)


S.RES.165
Title: A resolution congratulating the Small Business Development Centers of the Small Business Administration on their 25 years of service to America's small business owners and entrepreneurs.
Sponsor: Sen Snowe, Olympia J. [ME] (introduced 6/9/2005)      Cosponsors (11)
Latest Major Action: 6/22/2005 Passed/agreed to in Senate. Status: Resolution agreed to in Senate without amendment and with a preamble by Unanimous Consent.


SUMMARY AS OF:
6/22/2005--Passed Senate, without amendment.    (There is 1 other summary)

(This measure has not been amended since it was introduced. The summary of that version is repeated here.)

Congratulates the Small Business Development Centers of the Small Business Administration on their 25 years of service to America's small business owners and entrepreneurs.

Recognizes the service of such Centers in helping small businesses start, grow, and flourish.

Directs the Secretary of the Senate to transmit an enrolled copy of this resolution to the Association for Small Business Development Centers for appropriate display.



H.R.4474
Title: To enhance the section 8(a) program of the Small Business Act.
Sponsor: Rep Barrow, John [GA-12] (introduced 12/8/2005)      Cosponsors (35)
Latest Major Action: 12/8/2005 Referred to House committee. Status: Referred to the House Committee on Small Business.
Minority-Owned Venture Empowerment Act of 2005 (Introduced in House)

SECTION 1. SHORT TITLE; TABLE OF CONTENTS.

(a) Short Title- This Act may be cited as the `Minority-Owned Venture Empowerment Act of 2005'.

(b) Table of Contents- The table of contents for this Act is as follows:

Sec. 1. Short title; table of contents.

Sec. 2. Findings.

TITLE I--PRE-8(A) PHASE

Sec. 101. Purpose.

Sec. 102. Technical assistance program.

TITLE II--MODIFICATIONS TO 8(A) PROGRAM

Sec. 201. Purpose.

Sec. 202. Administration of section 8(a) program.

TITLE III--POST-8(A) ASSISTANCE

Sec. 1. Purpose.

Sec. 2. Retention of status after completion of 8(a) program.

Sec. 3. Restricted competition for small businesses owned and controlled by socially and economically disadvantaged individuals.

SEC. 2. FINDINGS.

Congress finds the following:

(1) Minority-owned businesses play a vital role in shaping the Nation's economy, having an impact in communities across the country, generating $700,000,000 in revenue, and employing nearly 5,000,000 people.

(2) Businesses owned by minorities have a rapid growth rate, as much as 8.5 percent annually, which is three times higher than the average for United States firms, and minority owned firms represent 15 percent of all United States businesses.

(3) Despite the phenomenal growth of minority entrepreneurship, it lags behind mainstream businesses, facing numerous barriers and obstacles.

(4) While the purchasing power of the Federal Government is an effective way to expand entrepreneurship, minority business owners continue to have limited opportunities to break into the Federal marketplace, largely due to several factors including a lack of credit, denial of contracts, and unequal treatment by large contractors.

(5) The section 8(a) program of the Small Business Administration acts as an important catalyst for helping minority entrepreneurs overcome these barriers and aiding in their overall growth and development.

(6) From its inception, the program has been responsible for the growth of more than 20,000 companies in every State across the Nation, including the District of Columbia, Puerto Rico and the Virgin Islands, which have received over $100 billion in government contracts and are currently employing more than 200,000 people.

(7) In the nearly 20 years since the last comprehensive modernization of the 8(a) program, the Federal marketplace has changed significantly.

(8) The changes in the buying strategies of Federal agencies have cost minority entrepreneurs billions of dollars in lost contracting opportunities, and last year alone the section 8(a) program suffered a record loss of $2,400,000,000, a drop of one-fifth in the program level leaving a significant number of minority business owners locked out of the Federal marketplace.

(9) The section 8(a) program, which bridges the entrepreneurial divide, is important to minority business development, and to operate at its fullest potential, it must be supported by agency heads, modernized by Congress on a regular basis, and adequately funded.

TITLE I--PRE-8(a) PHASE

SEC. 101. PURPOSE.

The purpose of this title is as follows:

(1) To establish a developmental training initiative to provide small business concerns with the technical assistance necessary to navigate the Federal marketplace.

(2) To ensure that owners of small business concerns are adequately prepared to perform contracts upon entrance into the Federal marketplace.

SEC. 102. TECHNICAL ASSISTANCE PROGRAM.

(a) Establishment- The Administrator of the Small Business Administration shall establish a program to be know as the `Pre-8(a) Program' (in this section referred to as the `Program') to provide technical assistance to small business concerns with respect to the receipt and performance of Federal procurement contracts.

(b) Eligibility-

(1) OWNERSHIP AND NET WORTH- To be eligible to participate in the Program under this section, a small business concern shall--

(A) be owned and controlled by one or more socially and economically disadvantaged individual; and

(B) have a net worth that does not exceed the maximum level specified pursuant to subsection (g).

(2) APPLICATION- To participate in the Program under this section, a small business concern shall submit an application describing the ownership, control, and social and economic disadvantage of the small business concern.

(3) NONAPPLICABILITY OF OTHER FACTORS- In approving a small business concern for participation in the Program, the Administrator shall not consider the following factors:

(A) The length of time for which the small business concern has been in business in its primary industry classification.

(B) The prospects for success of the small business concern in competing in the private sector.

(C) The access to credit and capital of the small business concern.

(D) The technical and managerial experience of the managers of the small business concern.

(E) The operating history of the small business concern.

(F) The demonstrated technical knowledge of the small business concern.

(G) The record of performance on Federal and private sector contracts of the small business concern.

(H) The financial history of the small business concern.

(I) Any outside employment of the owner of the small business concern.

(c) Needs Assessment-

(1) ASSESSMENT REQUIRED- Not less than once every two years, the Administrator shall conduct a needs assessment of each small business concern participating in the Program under this section. Such needs assessment shall include the following:

(A) An assessment of the training and skills of the owner of the small business concern (including business management training, marketing, accounting, bookkeeping, and Federal contracting).

(B) A determination of the likelihood that the small business concern will receive Federal prime contracts in its primary industry or in associated industry areas through technical assistance and development provided through the Program.

(2) TERMINATION OF PARTICIPATION- If the Administrator determines, pursuant to a needs assessment, that a participating small business concern is not making progress toward financial soundness and participation in Federal contracts, the Administrator may terminate the participation of the small business concern in the Program.

(d) Noneligibility for Sole Source or Competitive Contracts- A small business concern participating in the Program shall not be eligible to be awarded a Federal contract awarded using procedures other than competitive procedures or a contract awarded using competitive procedures under section 8(a) of the Small Business Act (15 U.S.C. 637(a)).

(e) Agreement for Facilitation of Training- In order to facilitate the provision of technical assistance under the Program, the Administrator shall enter into an agreement with the Secretary of Defense regarding the use of Procurement Technical Assistance Centers. The Administrator may enter into such other agreements with other providers of technical assistance as the Administrator finds appropriate.

(f) Completion of Program Participation- A small business concern shall have completed the Program if the Administrator determines that it is financially sound and has successfully performed a Federal contract.

(g) Net Worth Requirements-

(1) ESTABLISHMENT OF MAXIMUM LEVELS- Not later than 180 days, the Administrator shall establish, for each industry classification, a maximum level of net worth for a small business entering the Program. In establishing such maximum levels, the Administrator shall take into consideration the capital needs of each industry.

(2) TREATMENT OF REAL ESTATE- In determining the net worth of a small business concern for purposes of this subsection, the Administrator shall not include the value of any real estate owned by the owner of the small business concern.

(3) TRANSITIONAL RULE- Until the Administrator establishes maximum net worth levels pursuant to paragraph (1), the maximum net worth of a small business eligible to enter the Program shall not exceed $750,000.

TITLE II--MODIFICATIONS TO 8(a) PROGRAM

SEC. 201. PURPOSE.

The purpose of this title is as follows:

(1) to ensure that the section 8(a) program of the Small Business Act continues as an effective developmental business tool that aids in the further growth of minority entrepreneurs.

(2) To enhance the section 8(a) program to accurately reflect the dynamics of the modern procurement system so as to better equip minority small businesses to obtain contracts.

SEC. 202. ADMINISTRATION OF SECTION 8(A) PROGRAM.

(a) Modifications to 8(a) Program- Notwithstanding any provision of the Small Business Act (15 U.S.C. 631 et seq.), the Administrator shall administer the program under section 8(a) of such Act with the following modifications:

(1) PROGRAM PARTICIPATION REQUIREMENT-

(A) REQUIREMENT- No small business concern shall be eligible to participate in the program under section 8(a) of the Small Business Act (15 U.S.C. 637(a)) before completing the Program established under section 2

(B) WAIVER OF PARTICIPATION REQUIREMENT- The requirement under subparagraph (A) may be waived if the Administrator determines that a small business concern is financially sound and has successfully completed a Federal contract.

(2) LIMITATION ON AGGREGATE VALUE OF CONTRACTS- The aggregate value of the contracts a participant in the program under such section may enter into shall not exceed $100,000,000.

(3) ECONOMIC DISADVANTAGE-

(A) DEADLINE FOR DETERMINATION OF MAXIMUM LEVELS OF NET WORTH- Not later than 180 days after the date of the enactment of this Act, the Administrator shall establish, for each industry classification, a maximum level of net worth for an economically disadvantaged individual. In establishing such maximum levels, the Administrator shall take into consideration the capital needs of each industry.

(B) DETERMINATION FOR TERM OF PROGRAM- For the purpose of this section, an individual who has been determined by the Administrator to be economically disadvantaged at the time of program entry shall be deemed to be economically disadvantaged for the term of the program.

(C) PERSONAL NET WORTH- In determining personal net worth for the purpose of program entry, the Administrator shall exclude from such determination the following:

(i) The value of any investment of a disadvantaged owner have in the small business concern, except that such value shall be taken into account under this paragraph when comparing such concerns to other concerns in the same business area that are owned by other than socially disadvantaged persons.

(ii) The equity of a disadvantaged owner in a primary personal residence.

(D) MAXIMUM NET WORTH- The Administrator shall not establish a maximum net worth that prohibits program entry of less than $750,000.

(b) Modifications to Developmental Phase-

(1) ELIGIBILITY FOR RESTRICTED COMPETITION CONTRACTS- A small business concern participating in the developmental phase of such program, shall be eligible to enter into a contract awarded using procedures other than competitive procedures that--

(A) is assigned an industrial classification code for manufacturing and is valued at not more than $10,000,000; or

(B) is assigned an industrial classification code other than a code for manufacturing and is valued at not more than $6,000,0000.

(2) DURATION OF PHASE- A small business concern participating in such program shall complete the developmental phase of the program in six years.

(c) Modifications to Transitional Phase-

(1) REDUCTION OF SOLE SOURCE CONTRACTS- In each year of the transitional phase, a small business concern participating in such program shall--

(A) reduce by 25 percent the aggregate value of the contracts it performs that are awarded using procedures other than competitive procedures; and

(B) increase the aggregate value of the contracts (awarded under this section or otherwise) it performs that are awarded using competitive procedures.

(2) ELIGIBILITY FOR RESTRICTED COMPETITION CONTRACTS- A small business concern participating in the transitional phase of such program, shall be eligible to enter into a contract awarded using procedures other than competitive procedures that--

(A) is assigned an industrial classification code for manufacturing and is valued at not more than $10,000,000; or

(B) is assigned an industrial classification code other than a code for manufacturing and is valued at not more than $6,000,0000.

(d) Effective Date for Modifications to the 8(a) Program-

(1) IN GENERAL- This Act shall apply with respect to small business concerns that apply to the program under section 8(a) of the Small Business Act after the date of the enactment of this Act.

(2) TRANSITIONAL RULE- A small business concern participating in the program under section 8(a) of the Small Business Act (15 U.S.C. 637(a)) may participate for not more than ten years.

TITLE III--POST-8(a) ASSISTANCE

SEC. 1. PURPOSE.

The purpose of this title is as follows:

(1) To provide a restricted contracting competition program limited to small business concerns that have successfully graduated from the section 8(a) program and certified small disadvantaged businesses.

(2) To enable 8(a) program graduates to utilize the expertise they have developed during the program.

(3) To increase minority business representation in the Federal marketplace.

SEC. 2. RETENTION OF STATUS AFTER COMPLETION OF 8(A) PROGRAM.

A small business concern that successfully completes the program under section 8(a) of the Small Business Act (15 U.S.C. 637(a)) shall be considered a small disadvantaged business for purposes of Government contracting unless the ownership or control of the small business concern changes.

SEC. 3. RESTRICTED COMPETITION FOR SMALL BUSINESSES OWNED AND CONTROLLED BY SOCIALLY AND ECONOMICALLY DISADVANTAGED INDIVIDUALS.

(a) Authority to Restrict Competition- Section 8 of the Small Business Act (15 U.S.C. 637(a)) is amended by adding at the end the following new subsection:

`(o) Restricted Competition for Small Businesses Owned and Controlled by Socially and Economically Disadvantaged Individuals-

`(1) AUTHORITY TO RESTRICT COMPETITION- In accordance with this subsection, a contracting officer may restrict competition for any contract for the procurement of goods or services by the Federal Government to small business concerns owned and controlled by socially and economically disadvantaged individuals, if--

`(A) each of the concerns is not less than 51 percent owned by one or more socially and economically disadvantaged individuals (and such ownership is determined without regard to any community property law);

`(B) the contracting officer has a reasonable expectation that two or more small business concerns owned and controlled by socially and economically disadvantaged individuals will submit offers for the contract;

`(C) the contract is for the procurement of goods or services with respect to an industry identified by the Secretary of Commerce as underrepresented by small business concerns owned and controlled by socially and economically disadvantaged individuals;

`(D) the anticipated award price of the contract (including options) does not exceed--

`(i) $10,000,000, in the case of a contract assigned an industrial classification code for manufacturing; or

`(ii) $6,000,000, in the case of all other contracts;

`(E) in the estimation of the contracting officer, the contract award can be made at a fair and reasonable price; and

`(F) each of the concerns--

`(i) is certified by a Federal agency, a State government, or a national certifying entity approved by the Administrator, as a small business concern owned and controlled by socially and economically disadvantaged individuals; or

`(ii) certifies to the contracting officer that it is a small business concern owned and controlled by socially and economically disadvantaged individuals and provides adequate documentation, in accordance with standards established by the Administration, to support such certification.

`(2) ENFORCEMENT; PENALTIES-

`(A) VERIFICATION OF ELIGIBILITY- In carrying out this subsection, the Administrator shall establish procedures relating to--

`(i) the filing, investigation, and disposition by the Administration of any challenge to the eligibility of a small business concern to receive assistance under this subsection (including a challenge, filed by an interested party, relating to the veracity of a certification made or information provided to the Administration by a small business concern under paragraph (1)(F)); and

`(ii) verification by the Administrator of the accuracy of any certification made or information provided to the Administration by a small business concern under paragraph (1)(F).

`(B) EXAMINATIONS- The procedures established under subparagraph (A) may provide for program examinations (including random program examinations) by the Administrator of any small business concern making a certification or providing information to the Administrator under paragraph (1)(F).

`(C) PENALTIES- In addition to the penalties described in section 16(d), any small business concern that is determined by the Administrator to have misrepresented the status of that concern as a small business concern owned and controlled by socially and economically disadvantaged individuals for purposes of this subsection, shall be subject to--

`(i) section 1001 of title 18, United States Code; and

`(ii) sections 3729 through 3733 of title 31, United States Code.

`(3) PROVISION OF DATA- Upon the request of the Administrator, the head of any Federal department or agency shall promptly provide to the Administrator such information as the Administrator determines to be necessary to carry out this subsection.

`(4) DEFINITIONS- In this subsection, the following definitions apply:

`(A) CONTRACTING OFFICER- The term `contracting officer' has the meaning given such term in section 27(f)(5) of the Office of Federal Procurement Policy Act (41 U.S.C. 423(f)(5)).

`(B) SMALL BUSINESS CONCERN OWNED AND CONTROLLED BY SOCIALLY AND ECONOMICALLY DISADVANTAGED INDIVIDUALS- The term `small business concern owned and controlled by socially and economically disadvantaged individuals' has the meaning given such term under subsection (d)(3)(C).'.

(b) Effective Date- The amendments made by this section shall apply with respect to a contracts announced after the date of the enactment of this Act.


S.1807
Title: A bill to provide assistance for small businesses damaged by Hurricane Katrina or Hurricane Rita, and for other purposes.
Sponsor: Sen Snowe, Olympia J. [ME] (introduced 9/30/2005)      Cosponsors (8)
Latest Major Action: 9/30/2005 Referred to Senate committee. Status: Read twice and referred to the Committee on Small Business and Entrepreneurship.


SUMMARY AS OF:
9/30/2005--Introduced.

Small Business Hurricane Relief and Reconstruction Act of 2005 - Amends the Small Business Act to authorize the Administrator of the Small Business Administration (SBA) to make loans of up to $10 million aggregate to a nonprofit organization located or operating in a disaster area (as designated by the President as a result of Hurricane Katrina or Rita) or providing services to persons who have evacuated from a disaster area. Defers disaster loan payments to the later of one year after the date of enactment of this Act or one year from the date of issuance of the loan (but allows the Administrator to extend such deferral until two years after either date). Authorizes the refinancing of any loan or business debt related to such disasters that was outstanding on August 24, 2005.

Authorizes the Administrator to make loans to small businesses or cooperatives that demonstrate a direct adverse economic impact caused by either Hurricane Katrina or Rita.

Authorizes the Administrator to make loans to small businesses that have or are likely to suffer substantial economic injury on or after August 24, 2005, as the result of a significant increase in the price of heating oil, natural gas, propane, or kerosene. Amends the Consolidated Farm and Rural Development Act to authorize such loans for farms that are also a small business and that suffer substantial economic injury after such date as the result of a significant increase in energy or input costs.

Authorizes the Administrator to: (1) make supplemental emergency loans to small businesses located anywhere in the United States that are directly adversely affected by Hurricane Katrina or Rita; and (2) guarantee timely payment on any debentures issued by small business development companies after Hurricane Katrina or Rita.

Increases authorized funding for small business loan programs. Authorizes appropriations to the Secretary of Commerce for grants to state government agencies in Louisiana, Alabama, Mississippi, Texas, and Florida, for relief from damages caused by Hurricane Katrina or Rita.

Authorizes appropriations to the SBA for specified small business development and counseling activities.

Directs or authorizes the Administrator, with respect to small businesses affected by Hurricane Katrina or Rita, to: (1) establish a contracting outreach and technical assistance program; (2) provide performance bonding; and (3) increase the goal of participation in federal prime contracts and subcontracts.

H.R.3586
Title: To amend the Internal Revenue Code of 1986 to provide for Small Business Protection Accounts, and for other purposes.
Sponsor: Rep Porter, Jon C. [NV-3] (introduced 7/28/2005)      Cosponsors (4)
Latest Major Action: 7/28/2005 Referred to House committee. Status: Referred to the Committee on Ways and Means, and in addition to the Committee on Small Business, for a period to be subsequently determined by the Speaker, in each case for consideration of such provisions as fall within the jurisdiction of the committee concerned.


SUMMARY AS OF:
7/28/2005--Introduced.

Small Business Protection Act of 2005 - Amends the Internal Revenue Code to allow certain small business owners a tax deduction for cash contributions to a Small Business Protection Account. Limits the amount of such deduction to 50 percent of a taxpayer's net profits.

Directs the Small Business Administration, through the Small Business Development Center Program, to assist small businesses in establishing and operating Small Business Protection Accounts.

H.R.4427
Title: To direct the Secretary of Homeland Security to establish a database of small businesses for purposes of consultation by Federal agencies prior to awarding contracts relating to declared emergencies.
Sponsor: Rep Thompson, Bennie G. [MS-2] (introduced 11/18/2005)      Cosponsors (11)
Latest Major Action: 11/18/2005 Referred to House committee. Status: Referred to the Committee on Transportation and Infrastructure, and in addition to the Committee on Government Reform, for a period to be subsequently determined by the Speaker, in each case for consideration of such provisions as fall within the jurisdiction of the committee concerned.


SUMMARY AS OF:
11/18/2005--Introduced.

Amends the Homeland Security Act of 2002 to direct the Secretary of Homeland Security, acting through the Director of the Federal Emergency Management Agency (FEMA), to establish a database of small business concerns which must be consulted by federal agencies before awarding a federal contract for a disaster-related activity.

S.137
Title: A bill to modify the contract consolidation requirements in the Small Business Act, and for other purposes.
Sponsor: Sen Kerry, John F. [MA] (introduced 1/24/2005)      Cosponsors (None)
Latest Major Action: 1/24/2005 Referred to Senate committee. Status: Read twice and referred to the Committee on Small Business and Entrepreneurship.


SUMMARY AS OF:
1/24/2005--Introduced.

Small Business Federal Contractor Safeguard Act of 2005 - Amends the Small Business Act to prohibit an official of a military department, Defense Agency, or the Department of Defense Field Activity, or the head of any other Federal agency from executing an acquisition strategy that includes a consolidation of contract requirements with a total value above specified amounts unless the senior procurement executive first: (1) conducts market research; (2) identifies any alternative contracting approaches that would involve less consolidation; and (3) determines that the consolidation is necessary and justified. Defines "consolidation of defense requirements" as the use of a solicitation to obtain offers for a single contract to satisfy two or more requirements for goods or services that have previously been provided under separate contracts for a smaller cost or are capable of being so provided.

Requires each procurement employee to communicate to their subordinates the importance of achieving small business goals and include the success of such an employee in small business utilization as an annual performance evaluation factor.

Requires small business subcontracting plans to include a certification that the offeror or bidder will acquire articles or services from small businesses in the amount used in preparing the bid or proposal.

Requires the Small Business Administration (SBA) to share subcontracting compliance review data with Federal contracting officers and to update a national centralized Government-wide database with such information.

Requires annual reports from the Associate Administrator of Business Development to the small business committees on the effectiveness of the BusinessLINC program.

H.R.3988
Title: To provide for priority in Federal contracting for businesses in areas adversely affected by Hurricane Katrina and Hurricane Rita and treatment of small business concerns adversely affected by Hurricane Katrina and Hurricane Rita as HUBZone small business concerns, and for other purposes.
Sponsor: Rep Jindal, Bobby [LA-1] (introduced 10/6/2005)      Cosponsors (4)
Latest Major Action: 10/6/2005 Referred to House committee. Status: Referred to the Committee on Government Reform, and in addition to the Committee on Small Business, for a period to be subsequently determined by the Speaker, in each case for consideration of such provisions as fall within the jurisdiction of the committee concerned.


SUMMARY AS OF:
10/6/2005--Introduced.

Gulf Coast Small Business Recovery Act - Requires, for any contract for the procurement of goods or services related to any damage caused as a result of Hurricane Katrina or Rita, or any reconstruction related to such damage, a federal agency to give priority to a business that as of August 28, 2005, had a significant presence in a Gulf hurricane disaster-affected area. Requires an agency to award not less than 30 percent of amounts expended for prime contracts, and not less than 40 percent of amounts expended for subcontracts, on procurements to small businesses that, as of such date, had such a presence. Requires an agency to provide the maximum practicable opportunity for small business participation in all such contracts and subcontracts.

Requires a Gulf hurricane disaster-affected small business to be treated as if it were located in a HUBZone (heavily underutilized business zone) for purposes of favorable loan status under the Small Business Act.

Prohibits, until two years after the enactment of this Act, any federal government facility from being permanently relocated from a location in a Gulf hurricane disaster-affected area to a location outside that area.


H.R.4565
Title: To amend the Small Business Investment Act of 1958 to establish the Angel Investment Program.
Sponsor: Rep Velazquez, Nydia M. [NY-12] (introduced 12/15/2005)      Cosponsors (11)
Latest Major Action: 12/15/2005 Referred to House committee. Status: Referred to the Committee on Small Business, and in addition to the Committee on Ways and Means, for a period to be subsequently determined by the Speaker, in each case for consideration of such provisions as fall within the jurisdiction of the committee concerned.
Angels Nurture Growing Entrepreneurs into Long-term Successes (ANGELS) Act (Introduced in House)

109th CONGRESS

1st Session

H. R. 4565

To amend the Small Business Investment Act of 1958 to establish the Angel Investment Program.

IN THE HOUSE OF REPRESENTATIVES

December 15, 2005

Ms. VELAZQUEZ (for herself, Mr. BARROW, Ms. BEAN, Ms. BORDALLO, Mr. CASE, Mrs. CHRISTENSEN, Mr. DAVIS of Illinois, Mr. GRIJALVA, Mr. MICHAUD, Ms. MILLENDER-MCDONALD, Ms. MOORE of Wisconsin, and Ms. LINDA T. SANCHEZ of California) introduced the following bill; which was referred to the Committee on Small Business, and in addition to the Committee on Ways and Means, for a period to be subsequently determined by the Speaker, in each case for consideration of such provisions as fall within the jurisdiction of the committee concerned


A BILL

To amend the Small Business Investment Act of 1958 to establish the Angel Investment Program.

Be it enacted by the Senate and House of Representatives of the United States of America in Congress assembled,

SECTION 1. SHORT TITLE.

This Act may be cited as the `Angels Nurture Growing Entrepreneurs into Long-term Successes (ANGELS) Act'.

SEC. 2. ESTABLISHMENT OF ANGEL INVESTMENT PROGRAM.

(a) Establishment- Title III of the Small Business Investment Act of 1958 (15 U.S.C. 681 et seq.) is amended by adding at the end the following new part:

`PART C--ANGEL INVESTMENT PROGRAM

`SEC. 380. OFFICE OF ANGEL INVESTMENT.

`(a) Establishment- There is established, in the Investment Division of the Small Business Administration, the Office of Angel Investment.

`(b) Director- The head of the Office of Angel Investment is the Director of Angel Investment.

`(c) Duties- Subject to the direction of the Secretary, the Director shall perform the following functions:

`(1) Provide support for the development of angel investment opportunities for small business concerns.

`(2) Administer the Angel Finance Program under section 381 of this Act.

`(3) Administer the Federal Angel Network under section 382 of this Act.

`(4) Administer the grant program for the development of angel groups under section 383 of this Act.

`(5) Perform such other duties consistent with this section as the Administrator shall prescribe.

`SEC. 381. ANGEL FINANCE PROGRAM.

`(a) In General- The Director of Angel Investment shall establish and carry out a program, to be known as the Angel Finance Program, to provide financing to approved angel groups.

`(b) Eligibility- To be eligible to receive financing under this section, an angel group shall--

`(1) have demonstrated experience making investments in local or regional small business concerns;

`(2) have established protocols and a due diligence process for determining its investment strategy;

`(3) have an established code of ethics; and

`(4) submit an application to the Director of Angel Investment at such time and containing such information and assurances as the Director may require.

`(c) Use of Funds- An angel group that receives financing under this section shall use the amounts received to make investments in small business concerns--

`(1) that have been in existence for less than 5 years as of the date on which the investment is made;

`(2) that have fewer than 75 employees as of the date on which the investment is made; and

`(3) more than 50 percent of the employees of which perform substantially all of their services in the United States as of the date on which the investment is made.

`(d) Limitation on Amount- No angel group receiving financing under this section shall receive more than $2,000,000.

`(e) Priority in Providing Financing- In providing financing under this section, the Director shall give priority to angel groups that invest in small business concerns owned and controlled by veterans, small business concerns owned and controlled by women, and socially and economically disadvantaged small business concerns.

`(f) Geographic Distribution of Financing- In providing financing under this section, the Director shall, to the extent practicable, provide financing to angel groups that are located in a variety of geographic areas.

`(g) Matching Requirement- As a condition of receiving financing under this section, the Director shall require that for each small business concern in which the angel group receiving such financing invests, the angel group shall invest an amount that is equal to or greater than the amount of financing received under this section from a source other than the Federal Government that is equal to the amount of the financing provided under this section that the angel group invests in that small business concern.

`(h) Repayment of Financing- As a condition of receiving financing under this section, the Director shall require an angel group to repay the Director for any investment on which the angel group makes a profit an amount equal to the percentage of the profit that is equal to the percentage of the total amount invested by the angel group that consisted of financing received under this section.

`(i) Angel Investment Fund-

`(1) ESTABLISHMENT- There is in the Treasury a fund to be known as the Angel Investment Fund.

`(2) DEPOSIT OF CERTAIN AMOUNTS- Amounts collected under subsection (h) shall be deposited in the fund.

`(3) USE OF DEPOSITS- Deposits in the fund shall be available for the purpose of providing financing under this section in the amounts specified in annual appropriation laws without regard to fiscal year limitations.

`(j) Definitions- In this section:

`(1) The term `small business concern owned and controlled by veterans' has the meaning given that term under section 3(q)(3) of the Small Business Act (15 U.S.C. 632(q)(3)).