,,ii ,calendar ,no4 #bhj #aagth ,,congress #b;d ,session ,s4 #beba ,,in ,,the ,,senate ,,of ,,the ,,united ,,states ,july #bh1 #bjba,mr4 ,cardin 7for himself1 ,mr4 ,risch1 and ,mr4 ,coons7 introduced the following bill2 which was read twice and referred to the ,committee on ,small ,business and ,entrepreneurship ,february #ag1 #bjbb,reported by ,mr4 ,cardin1 with an amendment and an amendment to the title,strike out all after the enacting clause and insert the part printed in italic ,a ,,bill ,to require the ,administrator of the ,small ,business ,administration to establish an ,,sbic ,working ,group1 and for other purposes4 #a4 ,short title ,this ,act may be cited as the ,,sbic ,working ,group ,act of #bjba4 #b4 ,,sbic working group 7a7 ,definitions ,in this section-- 7#a7 the terms ,administration and ,administrator mean the ,small ,business ,administration and the ,administrator thereof1 respectively2 7#b7 the term covered ,members means the ,chair and ,ranking ,member of-- 7,a7 the ,committee on ,small ,business and ,entrepreneurship of the ,senate2 and 7,b7 the ,committee on ,small ,business of the ,house of ,representatives2 7#c7 the terms licensee1 small business investment company1 and underlicensed ,state have the meanings given those terms in section #cja of the ,small ,business ,investment ,act of #aieh 7#ae ,u4,s4,c4 #ffb72 7#d7 the term low-income community has the meaning given the term in section #de;,d7e7 of the ,internal ,revenue ,code of #aihf2 7#e7 the term rural area has the meaning given the term by the ,bureau of the ,census2 7#f7 the terms small business concern1 small business concern owned and controlled by veterans1 and small business concern owned and controlled by women have the meanings given those terms in section #c of the ,small ,business ,act 7#ae ,u4,s4,c4 #fcb72 7#g7 the term socially or economically disadvantaged individual means a socially disadvantaged individual or economically disadvantaged individual1 as described in paragraphs 7#e7 and 7#f77;,a71 respectively1 of section #h7;a7 of the ,small ,business ,act 7#ae ,u4,s4,c4 #fcg7;a772 7#h7 the term underfinanced ,state means a ,state that has below median financing1 as determined by the ,administrator2 and 7#i7 the term underserved community means-- 7,a7 a ,h,u,b,zone1 as defined in section #ca7;b7 of the ,small ,business ,act 7#ae ,u4,s4,c4 #feg;a7b772 7,b7 a community that has been designated as an empowerment zone or an enterprise community under section #acia of the ,internal ,revenue ,code of #aihf2 7,c7 a community that has been designated as a promise zone by the ,secretary of ,housing and ,urban ,development2 and 7,d7 a community that has been designated as a qualified opportunity zone under section #adjj,z-#a of the ,internal ,revenue ,code of #aihf4 7b7 ,establishment ,not later than #ij days after the date on which the covered ,members submit to the ,administrator a notification that the covered ,members have made all selections described in subparagraphs 7,a77ii71 7,b77ii71 and 7,d7 of paragraph 7#a7 7and that the individuals so selected have accepted those assignments71 the ,administrator shall establish an ,,sbic ,working ,group 7referred to in this section as the ,working ,group71 which shall-- 7#a7 include-- 7,a7 #d representatives-- 7i7 among general partners of licensees that have a demonstrated record of investing in-- 7,i7 low-income communities2 7,,ii7 communities that have been designated as qualified opportunity zones under section #adjj,z-#a of the ,internal ,revenue ,code of #aihf2 7,,iii7 businesses primarily engaged in research and development2 7,,iv7 manufacturers2 7,v7 businesses primarily owned or controlled by individuals in underserved communities before receiving capital from the licensee2 and 7,,vi7 rural areas2 and 7ii7 of whom-- 7,i7 #a shall be selected by the ,chair of the ,committee on ,small ,business and ,entrepreneurship of the ,senate2 7,,ii7 #a shall be selected by the ,ranking ,member of the ,committee on ,small ,business and ,entrepreneurship of the ,senate2 7,,iii7 #a shall be selected by the ,chair of the ,committee on ,small ,business of the ,house of ,representatives2 and 7,,iv7 #a shall be selected by the ,ranking ,member of the ,committee on ,small ,business of the ,house of ,representatives2 7,b7 #d representatives-- 7i7 from licensees1 of whom #a shall be an owner of a small business investment company or fund manager that is located in-- 7,i7 a low-income community2 7,,ii7 a community that has been designated as a qualified opportunity zone under section #adjj,z-#a of the ,internal ,revenue ,code of #aihf2 7,,iii7 an underserved community2 7,,iv7 a rural area2 or 7,v7 an underfinanced ,state2 and 7ii7 of whom-- 7,i7 #a shall be selected by the ,chair of the ,committee on ,small ,business and ,entrepreneurship of the ,senate2 7,,ii7 #a shall be selected by the ,ranking ,member of the ,committee on ,small ,business and ,entrepreneurship of the ,senate2 7,,iii7 #a shall be selected by the ,chair of the ,committee on ,small ,business of the ,house of ,representatives2 and 7,,iv7 #a shall be selected by the ,ranking ,member of the ,committee on ,small ,business of the ,house of ,representatives2 7,c7 the ,associate ,administrator for the ,office of ,investment and ,innovation of the ,administration1 who shall-- 7i7 serve as the ,chair of the ,working ,group2 and 7ii7 select not more than #d additional representatives from the ,office of ,investment and ,innovation of the ,administration to serve as representatives of the ,working ,group2 and 7,d7 #d representatives from the investment industry or academia1 or who are bank limited partners1 with expertise in developing and monitoring interventions to expand the investment industry1 of whom-- 7i7 #a shall be selected by the ,chair of the ,committee on ,small ,business and ,entrepreneurship of the ,senate2 7ii7 #a shall be selected by the ,ranking ,member of the ,committee on ,small ,business and ,entrepreneurship of the ,senate2 7iii7 #a shall be selected by the ,chair of the ,committee on ,small ,business of the ,house of ,representatives2 and 7iv7 #a shall be selected by the ,ranking ,member of the ,committee on ,small ,business of the ,house of ,representatives2 7#b7 develop recommendations regarding how the ,administrator could increase the number of-- 7,a7 applicants to become small business investment companies1 with a focus on management teams or companies located in-- 7i7 low-income communities2 7ii7 communities that have been designated as qualified opportunity zones under section #adjj,z-#a of the ,internal ,revenue ,code of #aihf2 7iii7 underserved communities2 and 7iv7 rural areas2 and 7,b7 investments made in underfinanced ,states2 7#c7 develop recommendations for incentives for small business investment companies to-- 7,a7 invest and locate in underlicensed ,states and underfinanced ,states2 and 7,b7 invest in small business concerns1 including those owned and controlled by socially or economically disadvantaged individuals1 small business concerns owned and controlled by veterans1 and small business concerns owned and controlled by women2 and 7#d7 develop recommendations for metrics of success1 and benchmarks for success1 with respect to the goals described in this section4 7c7 ,availability of meetings ,the ,working ,group may make the meetings of the ,working ,group open to the public without regard to whether those meetings are held in-person1 virtually1 or by some other means4 7d7 ,report ,not later than #a year after the date on which the ,administrator establishes the ,working ,group under subsection 7b71 the ,working ,group shall submit to the ,committee on ,small ,business and ,entrepreneurship of the ,senate and the ,committee on ,small ,business of the ,house of ,representatives a report that includes-- 7#a7 the recommendations of the ,working ,group2 and 7#b7 a recommended plan and timeline for implementing the recommendations described in paragraph 7#a74 7e7 ,termination ,the ,working ,group shall terminate on the date on which the ,working ,group submits the report required under subsection 7d74 7f7 ,applicability of federal advisory committee act ,the ,federal ,advisory ,committee ,act 7#e ,u4,s4,c4 ,app47 shall not apply with respect to the ,working ,group or the activities of the ,working ,group4 #a4 ,short title ,this ,act may be cited as the ,,sbic ,advisory ,committee ,act of #bjbb4 #b4 ,,sbic ,advisory ,committee 7a7 ,definitions ,in this section-- 7#a7 the terms ,administration and ,administrator mean the ,small ,business ,administration and the ,administrator thereof1 respectively2 7#b7 the term ,advisory ,committee means the ,,sbic ,advisory ,committee established under subsection 7b72 7#c7 the term covered ,members means the ,chair and ,ranking ,member of-- 7,a7 the ,committee on ,small ,business and ,entrepreneurship of the ,senate2 and 7,b7 the ,committee on ,small ,business of the ,house of ,representatives2 7#d7 the terms licensee1 small business investment company1 and underlicensed ,state have the meanings given those terms in section #ajc of the ,small ,business ,investment ,act of #aieh 7#ae ,u4,s4,c4 #ffb72 7#e7 the term low-income community has the meaning given the term in section #de;,d7e7 of the ,internal ,revenue ,code of #aihf2 7#f7 the term rural area has the meaning given the term by the ,bureau of the ,census2 7#g7 the terms small business concern1 small business concern owned and controlled by veterans1 and small business concern owned and controlled by women have the meanings given those terms in section #c of the ,small ,business ,act 7#ae ,u4,s4,c4 #fcb72 7#h7 the term socially or economically disadvantaged individual means a socially disadvantaged individual or economically disadvantaged individual1 as described in paragraphs 7#e7 and 7#f77;,a71 respectively1 of section #h7;a7 of the ,small ,business ,act 7#ae ,u4,s4,c4 #fcg7;a772 7#i7 the term underfinanced ,state means a ,state that has below median financing1 as determined by the ,administrator2 and 7#aj7 the term underserved community means-- 7,a7 a ,h,u,b,zone1 as defined in section #ca7;b7 of the ,small ,business ,act 7#ae ,u4,s4,c4 #feg;a7b772 7,b7 a community that has been designated as an empowerment zone or an enterprise community under section #acia of the ,internal ,revenue ,code of #aihf2 7,c7 a community that has been designated as a promise zone by the ,secretary of ,housing and ,urban ,development2 and 7,d7 a community that has been designated as a qualified opportunity zone under section #adjj,z-#a of the ,internal ,revenue ,code of #aihf4 7b7 ,establishment ,the ,administrator shall establish an ,,sbic ,advisory ,committee to convene outside experts to advise on the small business investment program under title ,,iii of the ,small ,business ,investment ,act of #aieh 7#ae ,u4,s4,c4 #fha et seq474 7c7 ,composition 7#a7 ,membership ,the ,advisory ,committee shall be composed of #af members appointed by the ,administrator as follows3 7,a7 ,the ,associate ,administrator of the ,office of ,investment and ,innovation of the ,small ,business ,administration1 or another designee of the ,administrator as determined by the ,administrator4 7,b7 #g members with competence1 interest1 or knowledge of the small business investment program under title ,,iii of the ,small ,business ,investment ,act of #aieh 7#ae ,u4,s4,c4 #fha et seq471 of whom-- 7i7 not fewer than #c shall have a demonstrated record of expertise in investing in-- 7,i7 low-income communities2 7,,ii7 communities that have been designated as qualified opportunity zones under section #adjj,z-#a of the ,internal ,revenue ,code of #aihf2 7,,iii7 businesses primarily engaged in research and development2 7,,iv7 manufacturers2 7,v7 businesses primarily owned or controlled by individuals in underserved communities before receiving capital from the licensee2 7,,vi7 rural areas2 or 7,,vii7 underfinanced ,states2 and 7ii7 not fewer than #a member shall be a representative from a trade association for the small business investment program under title ,,iii of the ,small ,business ,investment ,act of #aieh 7#ae ,u4,s4,c4 #fha et seq474 7,c7 #h members appointed by the ,administrator as follows3 7i7 #b members shall be selected from among the individuals on the list submitted by the ,chair of the ,committee on ,small ,business and ,entrepreneurship of the ,senate under paragraph 7#b74 7ii7 #b members shall be selected from among the individuals on the list submitted by the ,ranking ,member of the ,committee on ,small ,business and ,entrepreneurship of the ,senate under paragraph 7#b74 7iii7 #b members shall be selected from among the individuals on the list submitted by the ,chair of the ,committee on ,small ,business of the ,house of ,representatives under paragraph 7#b74 7iv7 #b members shall be selected from among the individuals on the list submitted by the ,ranking ,member of the ,committee on ,small ,business of the ,house of ,representatives under paragraph 7#b74 7#b7 ,recommendations ,not later than #cj days after the date of enactment of this ,act1 each of the covered ,members shall provide to the ,administrator a list of #c candidates for membership on the ,advisory ,committee1 who shall be individuals who hold a high-ranking position or senior leadership role1 and have no conflict of interest in the small business investment program under title ,,iii of the ,small ,business ,investment ,act of #aieh 7#ae ,u4,s4,c4 #fha et seq471 in-- 7,a7 a relevant industry trade association2 7,b7 the investment industry with expertise in pensions1 endowments1 and other non-banking institutions2 7,c7 academia with expertise in the investment industry2 or 7,d7 a nonprofit institution1 including one that serves any of the communities1 entities1 or areas described in subclauses 7,i7 through 7,,vii7 of paragraph 7#a77;,b77i74 7#c7 ,chairperson ,the ,chairperson of the ,advisory ,committee shall be the member of the ,advisory ,committee appointed under paragraph 7#a77;,a74 7#d7 ,period of appointment ,members of the ,advisory ,committee shall be appointed for the life of the ,advisory ,committee4 7#e7 ,vacancies ,any vacancy in the ,advisory ,committee shall be filled in the same manner as the original appointment4 7d7 ,deadline for appointment ,not later than #fj days after the date on which the covered ,members provide the lists to the ,administrator under subsection 7c77#b71 the ,administrator shall-- 7#a7 appoint the members of the ,advisory ,committee2 and 7#b7 submit to ,congress a list of the members so appointed4 7e7 ,duties ,the ,advisory ,committee shall provide advice and recommendations to the ,administrator-- 7#a7 concerning policy and program development and other matters of significance concerning activities under the ,small ,business ,act 7#ae ,u4,s4,c4 #fca et seq47 and the ,small ,business ,investment ,act of #aieh 7#ae ,u4,s4,c4 #ffa et seq471 including how the ,administrator may increase the number of applicants to become small business investment companies1 with a focus on management teams or companies investing in or located in-- 7,a7 low-income communities2 7,b7 underserved communities2 7,c7 rural areas2 or 7,d7 underfinanced ,states2 7#b7 concerning incentives for small business investment companies to-- 7,a7 invest and locate in underlicensed ,states and underfinanced ,states2 and 7,b7 invest in small business concerns1 including those owned and controlled by socially or economically disadvantaged individuals1 small business concerns owned and controlled by veterans1 and small business concerns owned and controlled by women2 and 7#c7 concerning metrics of success1 and benchmarks for success1 with respect to the goals described in this section4 7f7 ,report ,not later than #ah months after the date on which the ,administrator establishes the ,advisory ,committee under subsection 7b71 the ,advisory ,committee shall submit to the ,administrator1 the ,committee on ,small ,business and ,entrepreneurship of the ,senate1 and the ,committee on ,small ,business of the ,house of ,representatives a report that includes-- 7#a7 the recommendations of the ,advisory ,committee2 and 7#b7 a discussion of the impact of ,state1 local1 and financial institution investment in small business investment companies on small business concerns in rural areas1 low-income communities1 underserved communities1 and underfinanced ,states4 7g7 ,termination ,the ,advisory ,committee shall terminate on the date on which the ,advisory ,committee submits the report required under subsection 7f74 ,amend the title so as to read3 ,a bill to require the ,administrator of the ,small ,business ,administration to establish an ,,sbic ,advisory ,committee1 and for other purposes44 ,february #ag1 #bjbb,reported with an amendment and an amendment to the title