,i  #aaf? ,,congress  #b;d ,session  ,h4
 ,r4 #fdjc  ,,9 ,,! ,,h\se ,,(          
,,repres5tatives  ,m>* #bf1 #bjbj,mr4   
,phillips 7= himself1 ,mr4 ,khanna1 ,mr4
 ,ryan1 & ,ms4 ,sewell ( ,alabama7      
introduc$ ! foll[+ bill2 :i* 0 ref]r$ to
 ! ,committee on ,f9ancial ,s]vices  ,a 
,,bill  ,to e/abli% ! ,innovation &     
,/>tups ,equity ,inve/m5t ,program 9 !  
,dep>tm5t ( ! ,treasury1 ?r\gh :i* !    
,secret>y ( ! ,treasury %all allocate   
money to c]ta9 ,/ates to assi/          
high-pot5tial scalable />tups access    
v5ture capital to comm]cialize          
innovations1 create jobs1 & accel]ate   
economic gr[?1 & = o!r purposes4  #a4   
,%ort title ,?is ,act may be cit$ z !   
,new ,bus9ess ,pres]vation ,act4  #b4   
,def9itions ,9 ?is ,act3 7#a7 ,approv$  
,/ate program ,! t]m approv$ ,/ate      
program means a ,/ate program t is      
approv$ by ! ,secret>y 9 accordance ) ! 
/&>ds e/abli%$ "u section #c7;b77#a74   
7#b7 ,cov]$ inve/m5t ,! t]m cov]$       
inve/m5t means an equity inve/m5t 9 a   

/>tup us+ am\nts made available to c>ry 
out ! cov]$ programs4  7#c7 ,cov]$      
programs ,! t]m cov]$ programs means !  
,program & ! program c>ri$ out "u       
section #d4  7#d7 ,equity inve/m5t ,!   
t]m equity inve/m5t-- 7,a7 means an     
inve/m5t = an own]%ip int]e/ 9 an       
entity1 ! f9ancial return ) respect to  
:i* is pr9cipally align$ ) ! f9ancial   
return ( ! plurality ( own]%ip int]e/s 9
 ! entity2 &  7,b7 includes a debt      
in/rum5t t c be conv]t$ to an equity    
own]%ip int]e/ 9 an entity bas$ on      
future ev5ts4  7#e7 ,exit ,! t]m exit1 )
 respect to a />tup 9 :i* !re is a cov]$
 inve/m5t1 means-- 7,a7 ! acquisition ( 
! />tup2  7,b7 aft] an initial public   
(f]+ ) respect to ! />tup1 ! sale ( a   
%>e ( ! />tup t 0 obta9$ ?r\gh ! cov]$  
inve/m5t2 or  7,c7 ! volunt>y pur*ase ( 
own]%ip int]e/s by ! />tup1 inve/ors1 or
 exi/+ %>ehold]s4  7#f7 ,f$]al          
contribution ,! t]m ,f$]al contribution 
means a contribution made-- 7,a7 by a   
p>ticipat+ ,/ate to1 or = ! acc\nt (1 an

 approv$ ,/ate program2 &  7,b7 ) ,f$]al
 funds allocat$ to ! p>ticipat+ ,/ate by
 ! ,secret>y4  7#g7 ,foll[-on inve/m5t  
,! t]m foll[-on inve/m5t means a        
subsequ5t equity inve/m5t 9 a />tup 9   
:i* !re 0 orig9ally a sep>ate & di/9ct  
equity inve/m5t "u-- 7,a7 a program     
c>ri$ out "u ! ,/ate ,small ,bus9ess    
,cr$it ,initiative ,act ( #bjaj 7#ab    
,u4,s4,c4 #egja et seq472 or  7,b7 !    
,program4  7#h7 ,m>ket rate managem5t   
fee & pr(it int]e/ ,! t]m m>ket rate    
managem5t fee & pr(it int]e/ means !    
usual & cu/om>y comp5sation /ructure    
paid to fund manag]s = fund inve/m5t    
managem5t s]vices "u agreem5ts ) private
 sector limit$ p>tn]s4  7#i7 ,p>ticipat+
 ,/ate ,! t]m p>ticipat+ ,/ate means a  
,/ate t p>ticipates 9 ! ,program aft]   
hav+ satisfi$ ! approval crit]ia "u     
section #c7;c74  7#aj7 ,program ,! t]m  
,program means ! ,innovation & ,/>tups  
,equity ,inve/m5t ,program e/abli%$ "u  
section #c7;a74  7#aa7 ,qualify+ area ,!
 t]m qualify+ area means an area ( !    

,unit$ ,/ates outside ( ! major v5ture  
capital c5t]s1 z det]m9$ 9 ! rule mak+  
conduct$ by ! ,secret>y "u section      
#c7;e74  7#ab7 ,rule2 rule mak+ ,! t]ms 
rule & rule mak+ h ! mean+s giv5 ^? t]ms
 9 section #eea ( title #e1 ,unit$      
,/ates ,code4  7#ac7 ,secret>y ,! t]m   
,secret>y means ! ,secret>y ( !         
,treasury4  7#ad7 ,/>tup ,! t]m />tup   
means a bus9ess entity t-- 7,a7 has be5 
9 exi/5ce = less ?an #aj ye>s2  7,b7 has
 ! int5tion or pot5tial to-- 7i7        
significantly scale ) respect to rev5ue 
& job creation2  7ii7 develop innovative
 products or s]vices2 &  7iii7 deliv]   
high returns on inve/m5t2 &  7,c7 is    
headqu>t]$ 9 a qualify+ area4  7#ae7    
,/ate  7,a7 ,9 g5]al ,! t]m ,/ate       
means-- 7i7 a ,/ate ( ! ,unit$ ,/ates2 &
  7ii7 ! ,di/rict ( ,columbia4  7,b7    
,rule ( con/ruction ,! ,commonweal? (   
,pu]to ,rico1 ! ,unit$ ,/ates ,virg9    
,isl&s1 ,guam1 ,am]ican ,samoa1 & !     
,commonweal? ( ! ,nor!rn ,m>iana ,isl&s 
%all collectively be consid]$ to be #a  

,/ate = ! purposes ( ?is ,act4  7#af7   
,/ate program ,! t]m ,/ate program means
 a program e/abli%$ by a ,/ate to       
provide equity inve/m5t 9 />tups or     
v5ture capital funds t are headqu>t]$ 9 
qualify+ areas1 )\t reg>d to :e!r ^?    
qualify+ areas are locat$ 9 ! ,/ate4    
7#ag7 ,v5ture capital fund ,! t]m v5ture
 capital fund has ! mean+ giv5 ! t]m 9  
section #bge4bjc7l7-#a ( title #ag1     
,code ( ,f$]al ,regulations1 or any     
successor regulation4  #c4 ,,isei       
,program  7a7 ,e/abli%m5t ,!re is       
e/abli%$ 9 ! ,dep>tm5t ( ! ,treasury !  
,innovation & ,/>tups ,equity ,inve/m5t 
,program-- 7#a7 :i* %all be adm9i/]$ by 
! ,secret>y2 &  7#b7 "u :i*-- 7,a7 !    
,secret>y %all1 9 accordance ) !        
provisions ( ?is section1 allocate to   
p>ticipat+ ,/ates-- 7i7 ! am\nt         
appropriat$ "u section #h7;a77#a72 &    
7ii7 any future am\nts appropriat$ to   
c>ry out ! ,program "u ! au?orization   
provid$ "u section #h7;b72  7,b7        
p>ticipat+ ,/ates to :i* funds are      

allocat$ "u subp>agraph 7,a7 %all1 ?r\gh
 approv$ ,/ate programs1 provide equity 
inve/m5t 9 />tups2 &  7,c7 money        
7includ+ securities7 return$ to ,/ates  
aft] exits ) respect to ! inve/m5ts     
describ$ 9 subp>agraph 7,b7 %all be     
re9ve/$ ?r\gh foll[-on inve/m5ts1 z     
fur!r provid$ 9 section #e4  7b7 ,duties
 ( ! ,secret>y ,9 adm9i/]+ ! ,program1 !
 ,secret>y %all-- 7#a7 e/abli% m9imum   
/&>ds = a ,/ate program to be consid]$  
an approv$ ,/ate program2  7#b7 provide 
te*nical assi/ance to ,/ates = design+  
,/ate programs & implem5t+ approv$ ,/ate
 programs2  7#c7 dissem9ate in=mation   
relat+ to be/ practices ) respect to !  
design & implem5tation describ$ 9       
p>agraph 7#b72  7#d7 p]=m any manag]ial 
or adm9i/rative function t is necess>y  
to ma9ta9 ! integrity ( ! ,program2 &   
7#e7 provide ov]sight ( ! ,program1     
includ+ by review+ :e!r ea* approv$     
,/ate program is 9 compliance ) !       
requirem5ts ( ! ,program4  7c7 ,approval
 crit]ia  7#a7 ,p>ticipat+ ,/ates ,a    

,/ate may become a p>ticipat+ ,/ate if--
 7,a7 ! ,/ate-- 7i7 designates a        
specific dep>tm5t or ag5cy ( ! ,/ate1 or
 an entity support$ by ! ,/ate1 to      
implem5t & adm9i/] a ,/ate program ( !  
,/ate2 or  7ii7 has a contractual       
arrangem5t-- 7,i7 ) a p>ticipat+ ,/ate t
 has an approv$ ,/ate program2 &  7,,ii7
 ?r\gh :i* ! p>ticipat+ ,/ate describ$ 9
 subclause 7,i7 w implem5t & adm9i/] !  
,/ate program ( ! ,/ate2  7,b7 ! ,/ate  
takes all legal actions necess>y to     
enable ! entity t1 "u subp>agraph 7,a71 
w implem5t ! ,/ate program ( ! ,/ate to 
c>ry out t implem5tation2  7,c7 ! ,/ate 
submits to ! ,secret>y an application   
describ$ 9 p>agraph 7#b77;,b7 dur+ a "t 
p]iod to be e/abli%$ by ! ,secret>y2 &  
7,d7 ! ,/ate & ! ,secret>y ent] into an 
allocation agreem5t t-- 7i7 satisfies ! 
requirem5ts ( ?is ,act1 includ+ !       
requirem5t "u section #e7;a77#b77;,a72  
7ii7 provides t ! ,/ate program e/abli%$
 by ! ,/ate w comply ) any /&>ds        
e/abli%$ by ! ,secret>y 9 c>ry+ out ?is 

,act2  7iii7 e/abli%es int]nal control1 
compliance1 & report+ requirem5ts       
e/abli%$ by ! ,secret>y & any o!r t]ms &
 conditions t are necess>y to c>ry out !
 ,program1 includ+ an agreem5t by !     
,/ate to p]mit ! ,secret>y to audit !   
,/ate program e/abli%$ by ! ,/ate2  7iv7
 requires t1 n lat] ?an #ahj days aft] !
 date on :i* ! ,/ate & ! ,secret>y ent] 
into ! agreem5t 7or a lat] date if !    
,secret>y det]m9es t lat] date to be    
appropriate71 ! ,/ate program ( ! ,/ate 
is able to make ! type ( equity         
inve/m5ts contemplat$ by ?is ,act2 &    
7v7 includes an agreem5t by ! ,/ate to  
submit to ! ,secret>y any reports       
requir$ "u ! ,program1 includ+ ^?       
requir$ "u section #g4  7#b7 ,approv$   
,/ate programs  7,a7 ,models ,!         
,secret>y may c]tify a ,/ate program t  
uses ei!r ( ! foll[+ /ructures z an     
approv$ ,/ate program3 7i7 ,a program 9 
:i* a ,/ate-support$ entity or a private
 inve/m5t firm 7ref]r$ to 9 ?is clause z
 ! manag]7 directly inve/s 9 />tups 9   

accordance ) ! foll[+ requirem5ts3 7,i7 
,a ,/ate ag5cy may n s]ve z ! manag] ( !
 program4  7,,ii7 ,any inve/m5t made "u 
! program %all h n less ?an #ej p]c5t ( 
! inve/m5t fund$ us+ nongov]nm5t s\rces4
  7,,iii7 ,a ,/ate-sponsor$ entity or   
nonpr(it organization s]v+ z ! manag] "u
 ! program may *>ge a m>ket rate annual 
managem5t fee4  7,,iv7 ,! ,/ate may all[
 ! manag] "u ! program to receive a     
m>ket-rate pr(it %>e4  7,v7 ,! manag] "u
 ! program %all actively-- 7aa7 educate 
m9ority-own$ & wom5-own$ />tups reg>d+ !
 process ?r\gh :i* ! manag] makes equity
 inve/m5ts2 &  7bb7 pursue equity       
inve/m5ts 9 />tups describ$ 9 item 7aa74
  7ii7 ,a program 9 :i* a ,/ate-support$
 entity or a private inve/m5t firm      
e/abli%es a fund to inve/ 9 o!r inve/m5t
 funds 9 accordance ) ! foll[+          
requirem5ts3 7,i7 ,! fund e/abli%$ "u ! 
program may *>ge a m>ket rate managem5t 
fee paid by ! adm9i/rator ( ! program ) 
program funds & receive a m>ket rate    
managem5t fee & pr(it int]e/4  7,,ii7   

,if ! ,/ate has an above av]age p]      
capita v5ture capital m>ket %>e1 ! ,/ate
 %all prioritize allocations by ! fund  
e/abli%$ "u ! program to funds manag$ by
 fir/-"t manag]s1 wom51 & m9orities4    
7,,iii7 ,! allocations made by ! fund   
e/abli%$ "u ! program %all be 9 an am\nt
 t is n m ?an #bj p]c5t ( ! capital     
rais$ by t fund1 except t1 ) respect to 
a recipi5t fund describ$ 9 subclause    
7,,ii71 t am\nt %all be #ej p]c5t4  7,b7
 ,application ,a ,/ate t wi%es to h a   
,/ate program ( ! ,/ate c]tifi$ by !    
,secret>y z an approv$ ,/ate program    
%all submit to ! ,secret>y an           
application t conta9s-- 7i7 a v5ture    
capital supply & accessibility /udy     
li/+1 :i* %all include-- 7,i7 a li/ (   
active1 z ( ! date on :i* ! application 
is submitt$1 v5ture capital funds 9 !   
,/ate ) capital "u managem5t1 segregat$ 
by funds t actively inve/ 9 />tups &    
funds t no long] actively inve/ 9       
/>tups2  7,,ii7 s\rces ( equity         
inve/m5ts 9 />tups2 &  7,,iii7 a summ>y 

( inve/m5t activity 9 ! ,/ate f accr$it$
 inve/ors t are n v5ture capital funds2 
7ii7 = ! #aj-ye> p]iod prec$+ ! date on 
:i* ! ,/ate submits ! application1 a li/
 ( ea* ,/ate-sponsor$ program1 ! int5t (
 :i* is to /imulate equity inve/m5t 9   
/>tups1 includ+ ! policies implem5t$ "u 
ea* su* program & ! report$ results (   
ea* su* program2  7iii7 a li/ ( active1 
z ( ! date on :i* ! application is      
submitt$1 ,/ate p5sion fund inve/m5ts 9 
v5ture capital funds & simil> types (   
inve/m5ts2  7iv7 a f9al report on       
outcomes 9 ! ,/ate "u ea* program       
e/abli%$ "u ! ,/ate ,small ,bus9ess     
,cr$it ,initiative ,act ( #bjaj 7#ab    
,u4,s4,c4 #egja et seq47 7ref]r$ to 9   
?is subp>agraph z ! ,initiative71       
includ+-- 7,i7 ! total am\nt exp5d$ 9   
direct support ( small bus9esses "u !   
,initiative 9 ! ,/ate2  7,,ii7 ! total  
am\nt ( private capital lev]age g5]at$  
by ea* approv$ program "u ! ,initiative 
9 ! ,/ate2  7,,iii7 ! am\nt ( funds made
 available "u ! ,initiative 9 ! ,/ate t 

7 n ultimately exp5d$1 if any2  7,,iv7 !
 am\nt ( capital return$ to ! ,/ate 9 ! 
=m ( inve/m5t returns or loan repaym5ts 
"u ! ,initiative2 &  7,v7 ! actual uses 
( residual funds g5]at$ f ! ,initiative 
9 ! ,/ate2  7v7 a policy reg>d+ !       
resolution ( conflicts ( int]e/ )       
respect to ! ,/ate program1 includ+ a   
comp>ison ) t policy = ! ,dep>tm5t ( !  
,treasury ) respect to ! ,initiative2 & 
7vi7 an id5tification ( :i* model       
describ$ 9 subp>agraph 7,a7 ! ,/ate     
int5ds to use = ! ,/ate program ( !     
,/ate4  7,c7 ,review ( application ,n   
lat] ?an #ij days aft] ! date on :i* !  
,secret>y receives an application       
submitt$ by a ,/ate "u subp>agraph 7,b71
 ! ,secret>y %all approve ! application 
if ! application satisfies all          
applicable requirem5ts4  7#c7 ,duration 
( approval  7,a7 ,9 g5]al ,except z     
provid$ 9 subp>agraph 7,c71 a ,/ate     
program t ! ,secret>y c]tifies z an     
approv$ ,/ate program "u ?is subsection 
%all-- 7i7 rema9 s c]tifi$ = ! #e-ye>   

p]iod beg9n+ on ! date on :i* !         
,secret>y c]tifies ! program2 &  7ii7   
dur+ ! #e-ye> p]iod describ$ 9 clause   
7i71 rema9 eligible to receive          
allocations "u ! ,program1 except z     
o!rwise expressly provid$ 9 ?is section4
  7,b7 ,re-c]tification ,aft] ! end ( ! 
#e-ye> p]iod describ$ 9 subp>agraph     
7,a77i7 ) respect to an approv$ ,/ate   
program1 ! ,secret>y may re-c]tify !    
approv$ ,/ate program aft] obta9+ f !   
applicable p>ticipat+ ,/ate any mat]ials
 t ! ,secret>y may require4  7,c7       
,exception = mat]ial *anges ,if1 dur+ ! 
#e-ye> p]iod describ$ 9 subp>agraph     
7,a77i7 ) respect to an approv$ ,/ate   
program1 !re are mat]ial *anges made to 
! /ructure or adm9i/ration ( ! approv$  
,/ate program1 ! applicable p>ticipat+  
,/ate1 9 ord] to ma9ta9 ! c]tification =
 ! approv$ ,/ate program1 %all submit to
 ! ,secret>y an updat$ application t    
conta9s any mat]ials t ! ,secret>y may  
require4  7d7 ,allocations  7#a7 ,=mula 
7,a7 ,9 g5]al ,subject to subp>agraphs  

7,b7 & 7,c71 ! am\nt ( an allocation to 
a p>ticipat+ ,/ate "u ! ,program %all be
 calculat$ z foll[s3 7i7 ,) respect to  
an allocation made f ! am\nt appropriat$
 "u section #h7;a77#a71 ! allocation    
%all be calculat$ z foll[s3 7,i7 ,divide
 ! total population ( ! ,/ate by ! total
 population ( ! ,unit$ ,/ates4  7,,ii7  
,multiply ! total am\nt appropriat$ "u  
section #h7;a77#a7 by ! quoti5t obta9$  
"u subclause 7,i7 ) respect to ! ,/ate4 
7ii7 ,) respect to an allocation made f 
any am\nts appropriat$ to c>ry out !    
,program "u ! au?orization provid$ "u   
section #h7;b71 ! allocation %all be    
calculat$ z foll[s3 7,i7 ,divide ! total
 population ( ! ,/ate by ! total        
population ( ! ,unit$ ,/ates4  7,,ii7   
,multiply ! quoti5t obta9$ "u subclause 
7,i7 ) respect to ! ,/ate by ! total    
am\nt made available to c>ry out !      
,program = ! fiscal ye> 9 :i* !         
allocation is made4  7,b7 ,/ates ) a    
high level ( v5ture capital activity    
7i7 ,purpose ,! purpose ( ?is           

subp>agraph is to1 = ! purposes ( !     
calculation "u subp>agraph 7,a7 )       
respect to c]ta9 ,/ates1 exclude areas )
 high levels ( v5ture capital activity f
 ! populations ( ^? ,/ates4  7ii7       
,calculation ,subject to any rules issu$
 "u clause 7iii71 ) respect to !        
calculation "u subp>agraph 7,a7 = !     
,/ates ( ,cali=nia1 ,massa*usetts1 &    
,new ,york1 ! total populations ( ^?    
,/ates %all be adju/$ z foll[s3 7,i7 ,) 
respect to ,cali=nia1 ! populations ( ! 
foll[+ c\nties %all be subtract$ f !    
total population ( t ,/ate3 7aa7 ,m>9   
,c\nty4  7bb7 ,sonoma ,c\nty4  7cc7     
,napa ,c\nty4  7dd7 ,contra ,co/a       
,c\nty4  7ee7 ,santa ,cl>a ,c\nty4  7ff7
 ,san ,mateo ,c\nty4  7gg7 ,san         
,francisco ,c\nty4  7hh7 ,los ,angeles  
,c\nty4  7ii7 ,orange ,c\nty4  7jj7     
,v5tura ,c\nty4  7,,ii7 ,) respect to   
,massa*usetts1 ! populations ( ! foll[+ 
c\nties %all be subtract$ f ! total     
population ( t ,/ate3 7aa7 ,essex       
,c\nty4  7bb7 ,middlesex ,c\nty4  7cc7  

,suffolk ,c\nty4  7dd7 ,norfolk ,c\nty4 
7,,iii7 ,) respect to ,new ,york1 !     
populations ( ! foll[+ c\nties %all be  
subtract$ f ! total population ( t      
,/ate3 7aa7 ,k+s ,c\nty4  7bb7 ,que5s   
,c\nty4  7cc7 ,new ,york ,c\nty4  7dd7  
,bronx ,c\nty4  7ee7 ,ri*mond ,c\nty4   
7iii7 ,rule mak+ ,z ! ,secret>y det]m9es
 to be appropriate1 ! ,secret>y may     
issue rules to am5d ! li/ ( c\nties "u  
subclause 7,i71 7,,ii71 or 7,,iii7 (    
clause 7ii7 9 ord] to fulfill ! purpose 
describ$ 9 clause 7i74  7,c7 ,m9imum    
allocation ,! allocation to a p>ticipat+
 ,/ate "u ! ,program %all be 9 an am\nt 
t is n less ?an-- 7i7 ) respect to an   
allocation made f ! am\nt appropriat$ "u
 section #h7;a77#a71 #a p]c5t ( t am\nt2
 &  7ii7 ) respect to an allocation made
 f am\nts appropriat$ 9 a fiscal ye> to 
c>ry out ! ,program "u ! au?orization   
provid$ "u section #h7;b71 #a p]c5t ( ! 
total am\nt made available to c>ry out !
 ,program = t fiscal ye>4  7#b7 ,deliv]y
  7,a7 ,9 g5]al ,subject to ! o!r       

provisions ( ?is p>agraph1 ! ,secret>y  
%all-- 7i7 apportion ! am\nt allocat$ to
 a p>ticipat+ ,/ate "u ?is subsection   
into ?irds2  7ii7 transf] ! fir/ #a_/c  
describ$ 9 clause 7i7 to a p>ticipat+   
,/ate n lat] ?an #cj days aft] ! date on
 :i* ! ,secret>y approves ! ,/ate       
program ( ! ,/ate2 &  7iii7 transf] ea* 
successive #a_/c describ$ 9 clause 7i7  
to a p>ticipat+ ,/ate :5 ! ,/ate has    
c]tifi$ to ! ,secret>y t ! ,/ate has    
exp5d$1 transf]r$1 or obligat$ #hj p]c5t
 ( ! mo/ rec5tly allocat$ #a_/c = ,f$]al
 contributions4  7,b7 ,use ( am\nts ,ea*
 am\nt allocat$ to a p>ticipat+ ,/ate "u
 ?is subsection %all rema9 available to 
! ,/ate-- 7i7 = mak+ ,f$]al             
contributions2 &  7ii7 9 ! case ( ea*   
#a_/c transf]r$ "u subp>agraph 7,a71 =  
pay+ adm9i/rative co/s incurr$ by !     
,/ate 9 implem5t+ an approv$ ,/ate      
program ( ! ,/ate 9 an am\nt t is n m   
?an #e p]c5t ( t #a_/c am\nt4  7,c7     
,)hold+ ,! ,secret>y may )hold a #a_/c  
transf] "u subp>agraph 7,a7 p5d+ !      

results ( a f9ancial audit by !         
,secret>y ( ! applicable approv$ ,/ate  
program4  7,d7 ,exception ,! ,secret>y  
may1 9 ! discretion ( ! ,secret>y1      
transf] ! full am\nt allocat$ to a      
p>ticipat+ ,/ate "u ?is subsection 9 a  
s+le transf] if ! ,/ate submits to !    
,secret>y an application t demon/rates !
 ne$ = su* a me?od ( transf]4  7#c7     
,rema9+ funds ,if1 aft] allocat+ funds  
to p>ticipat+ ,/ates "u ?is subsection1 
!re are am\nts rema9+ f ! am\nts made   
available to c>ry out ! ,program 7)\t   
reg>d to :e!r ^? am\nts 7 made available
 "u section #h7;a77#a7 or pursuant to ! 
au?orization provid$ "u section #h7;b771
 ! ,secret>y %all allocate ! rema9+     
am\nts 9 accordance ) p>agraphs 7#a7 &  
7#b74  7e7 ,rules ,n lat] ?an #ij days  
aft] ! date ( enactm5t ( ?is ,act1 !    
,secret>y %all initiate a rule mak+ to  
issue rules reg>d+ ! adm9i/ration ( !   
,program1 :i* %all include ! e/abli%m5t 
( ! m9imum /&>ds describ$ 9 subsection  
7b77#a74  #d4 ,foll[-on inve/m5ts  7a7  

,9 g5]al ,! ,secret>y %all allocate !   
am\nt appropriat$ "u section #h7;a77#b71
 & any future am\nts appropriat$ to c>ry
 out ?is section "u ! au?orization      
provid$ "u section #h7;b71 to approv$   
,/ate programs to facilitate foll[-on   
inve/m5ts4  7b7 ,process ,to c>ry out ! 
allocations "u ?is section1 ! ,secret>y 
%all manage a competitive process1      
facilitat$ by an exp]t consultant f !   
private sector1 to aw>d fund+ to approv$
 ,/ate programs to provide foll[-on     
inve/m5ts4  7c7 ,am\nt ,a foll[-on      
inve/m5t "u subsection 7b7 %all be 9 an 
am\nt t is n less ?an #e1jjj1jjj & n m  
?an #ej1jjj1jjj4  7d7 ,fees ,) respect  
to ! exp]t consultant describ$ 9        
subsection 7b7-- 7#a7 ! ,secret>y may   
pay managem5t fees to ! consultant 9 an 
am\nt t is n m ?an #j4e p]c5t ( !       
co-inve/m5t funds manag$ by ! consultant
 ov] ! t]m ( ! program "u ?is section2 &
  7#b7 ! consultant may receive n m ?an 
#aj p]c5t ( ! pr(it int]e/ e>n$ by !    
,/ates p>ticipat+ 9 ! program "u ?is    

section f ! proce$s ( successful        
foll[-on inve/m5ts4  7e7 ,rules ,n lat] 
?an #ahj days aft] ! date ( enactm5t (  
?is ,act1 ! ,secret>y %all issue rules--
 7#a7 to det]m9e ! eligibility ( ,/ates 
t wi% to p>ticipate 9 ! program e/abli%$
 "u ?is section1 :i* %all include !     
exclusion "u section                    
#c7;d77#a77;,b77ii72  7#b7 to provide ! 
mann] 9 :i* ,/ates may make ! foll[-on  
inve/m5ts describ$ 9 ?is section2  7#c7 
t %all p]mit multiple ,/ates to "w      
toge!r to inve/ 9 />tups2 &  7#d7 to    
det]m9e an appropriate "t to make !     
allocations requir$ "u ?is section )    
respect to foll[-on inve/m5ts 9 />tups =
 :i* ! orig9al equity inve/m5ts 7 made  
"u ! ,program4  #e4 ,exits & repaym5t   
7a7 ,exits  7#a7 ,9 g5]al ,if a ,/ate to
 :i* an allocation is made "u a cov]$   
program receives funds f an exit )      
respect to a cov]$ inve/m5t1 ! ,/ate    
%all use ^? funds to fur!r inve/ 9      
/>tups 9 ! mann] contemplat$ by !       
applicable cov]$ program4  7#b7         

,en=cem5t ,! ,secret>y %all-- 7,a7      
require t ea* allocation agreem5t       
describ$ 9 section #c7;c77#a77;,d7      
include ! requirem5t "u p>agraph 7#a72 &
  7,b7 9 any audit conduct$ ( ! ,/ate by
 ! ,secret>y "u a cov]$ program1 confirm
 t !re is compliance ) respect to !     
requirem5t "u p>agraph 7#a74  7b7       
,failure ,to re9ve/ ,if a ,/ate to :i*  
an allocation is made "u a cov]$ program
 receives funds f an exit ) respect to a
 cov]$ inve/m5t & fails to comply ) any 
requirem5t "u ?is ,act1 t ,/ate %all    
repay to ! ,secret>y ! am\nt ( t        
allocation1 includ+ any realiz$ ga9s4   
#f4 ,exp$it$ contract+ ,= ! purposes (  
c>ry+ out ?is ,act1 dur+ ! #a-ye> p]iod 
beg9n+ on ! date ( enactm5t ( ?is ,act1 
! ,secret>y may ent] into contracts )\t 
reg>d to any o!r provision ( law reg>d+ 
public contracts4  #g4 ,report+  7a7    
,qu>t]ly reports f ,/ates to ! ,secret>y
  7#a7 ,9 g5]al ,n lat] ?an #cj days    
aft] ! fir/ day ( ea* cal5d> qu>t] t    
beg9s aft] ! date on :i* ! ,secret>y    

issues f9al rules 9 ! rule mak+ initiat$
 "u section #c7;e71 ea* p>ticipat+ ,/ate
 t has receiv$ an allocation "u !       
,program & ea* ,/ate to :i* fund+ is    
aw>d$ "u section #d7;b7 %all submit to !
 ,secret>y a report reg>d+ ! use1 dur+ !
 qu>t] prec$+ ! qu>t] 9 :i* ! ,/ate     
submits ! report1 ( funds receiv$ "u !  
applicable cov]$ program4  7#b7 ,cont5ts
 ,9 ea* report t a ,/ate is requir$ to  
submit "u p>agraph 7#a71 ! ,/ate %all1 )
 respect to ! qu>t] cov]$ by ! report-- 
7,a7 indicate ! total am\nt ( funds dur+
 ! qu>t] t ! ,/ate receiv$ "u ! cov]$   
programs & exp5d$2 &  7,b7 conta9 a     
c]tification by ! ,/ate t-- 7i7 all ( ! 
in=mation conta9$ 9 ! report is         
accurate2  7ii7 funds allocat$ to !     
,/ate "u ! cov]$ programs cont9ue to be 
available & legally committ$ to an      
approv$ ,/ate program ( ! ,/ate1 except 
= funds already exp5d$ by ! ,/ate 9     
c>ry+ out ! approv$ ,/ate program2 &    
7iii7 ! ,/ate is c>ry+ out ! approv$    
,/ate program ( ! ,/ate 9 accordance )  

?is ,act & rules issu$ "u ?is ,act4  7b7
 ,annual reports f ,/ates to ! ,secret>y
 ,n lat] ?an ,m>* #ca ( ea* ye> 9 :i* ! 
cov]$ programs are 9 effect1 ea*        
p>ticipat+ ,/ate t has receiv$ an       
allocation "u ! ,program & ea* ,/ate to 
:i* fund+ is aw>d$ "u section #d7;b7    
%all submit to ! ,secret>y an annual    
report ) respect to ! ye> prec$+ ! ye> 9
 :i* ! report is submitt$1 :i* %all     
include1 = ! ye> cov]$ by ! report--    
7#a7 ! numb] ( />tups support$ by an    
inve/m5t made ?r\gh an approv$ ,/ate    
program ( ! ,/ate2  7#b7 ! total numb] (
 inve/m5ts made ?r\gh an approv$ ,/ate  
program ( ! ,/ate2  7#c7 ! am\nt (      
private capital lev]age = ea* cov]$     
inve/m5t made ?r\gh an approv$ ,/ate    
program ( ! ,/ate & collectively by !   
,/ate "u ! cov]$ programs & ! s\rce (   
any private capital mat*2  7#d7 a       
breakd[n ( inve/m5ts made ?r\gh an      
approv$ ,/ate program ( ! ,/ate by1 )   
respect to ! />tups 9 :i* ! inve/m5ts 7 
made1 indu/ry type1 inve/m5t size1 age (

 entity1 annual sales1 geographic       
location 7:i* %all be indicat$ by zip   
code71 & numb] ( employees2 &  7#e7 any 
o!r in=mation t ! ,secret>y1 9 ! sole   
discretion ( ! ,secret>y1 may require to
 c>ry out ! purposes ( ! cov]$ programs4
  7c7 ,annual reports f ! ,secret>y to  
,congress  7#a7 ,report+ requirem5t     
7,a7 ,9 g5]al ,! ,secret>y %all submit  
to ! ,committee on ,bank+1 ,h\s+1 &     
,urban ,affairs ( ! ,s5ate & !          
,committee on ,f9ancial ,s]vices ( !    
,h\se ( ,repres5tatives an annual report
 t summ>izes in=mation report$ to !     
,secret>y by ,/ates t details1 = ! ye>  
cov]$ by ! report1 outcomes f inve/m5ts 
made pursuant to funds allocat$ "u !    
cov]$ programs4  7,b7 ,l5g? ( requirem5t
 ,! ,secret>y %all submit ! annual      
report requir$ "u subp>agraph 7,a7 until
 ! lat] (-- 7i7 ! ye> t is #ab ye>s aft]
 ! date ( enactm5t ( ?is ,act2 or  7ii7 
! ye> 9 :i* no inve/m5t is made ?r\gh   
ei!r ( ! cov]$ programs4  7#b7 ,res]ve (
 am\nts ,( am\nts appropriat$ to c>ry   

out ! cov]$ programs "u section         
#h7;a77#a71 & am\nts t may be           
appropriat$ "u ! au?orization provid$ "u
 section #h7;b71 ! ,secret>y may res]ve 
a p]c5tage ( ! am\nts 9 ord] to c>ry out
 p>agraph 7#a74  #h4 ,appropriations2   
deposits  7a7 ,direct appropriation ,!re
 are appropriat$1 out ( monies 9 !      
,treasury n o!rwise appropriat$1        
#b1jjj1jjj1jjj z foll[s3 7#a7           
#a1ejj1jjj1jjj to c>ry out ! ,program1  
includ+ any adm9i/rative co/s incurr$ 9 
c>ry+ out ! ,program4  7#b7 #ejj1jjj1jjj
 to c>ry out ! foll[-on inve/m5ts       
program e/abli%$ "u section #d1 includ+ 
any adm9i/rative co/s incurr$ 9 c>ry+   
out t program4  7b7 ,au?orization (     
future appropriations ,9 addition to !  
appropriation "u subsection 7a71 !re is 
au?oriz$ to be appropriat$ to !         
,secret>y su* sums z may be necess>y to 
c>ry out ?is ,act4  7c7 ,deposits ,9    
addition to ! am\nt appropriat$ "u      
subsection 7a71 & any am\nts t may be   
appropriat$ "u ! au?orization provid$ "u

 subsection 7b71 ! ,secret>y may1 9     
accordance ) ! requirem5ts ( ?is ,act1  
exp5d any funds repaid to ! ,secret>y "u
 section #e7;b74  7d7 ,availability (   
funds  7#a7 ,9 g5]al ,! am\nt           
appropriat$ "u subsection 7a71 & any    
am\nts t may be appropriat$ "u !        
au?orization provid$ "u subsection 7b71 
%all rema9 available1 )\t fiscal ye>    
limitation1 until exp5d$4  7#b7         
,availability ( c]ta9 deposits ,any     
am\nts repaid to ! ,secret>y z describ$ 
9 subsection 7c7 %all rema9 available1  
)\t fiscal ye> limitation1 until exp5d$4