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U.S. Code as of:
01/19/04
Section 656. Women's business center program
(a) Definitions
In this section -
(1) the term "Assistant Administrator" means the Assistant
Administrator of the Office of Women's Business Ownership
established under subsection (g) of this section;
(2) the term "private nonprofit organization" means an entity
that is described in section 501(c) of title 26 and exempt from
taxation under section 501(a) of such title;
(3) the term "small business concern owned and controlled by
women", either startup or existing, includes any small business
concern -
(A) that is not less than 51 percent owned by 1 or more
women; and
(B) the management and daily business operations of which are
controlled by 1 or more women; and
(4) the term "women's business center site" means the location
of -
(A) a women's business center; or
(B) 1 or more women's business centers, established in
conjunction with another women's business center in another
location within a State or region -
(i) that reach a distinct population that would otherwise
not be served;
(ii) whose services are targeted to women; and
(iii) whose scope, function, and activities are similar to
those of the primary women's business center or centers in
conjunction with which it was established.
(b) Authority
The Administration may provide financial assistance to private
nonprofit organizations to conduct 5-year projects for the benefit
of small business concerns owned and controlled by women. The
projects shall provide -
(1) financial assistance, including training and counseling in
how to apply for and secure business credit and investment
capital, preparing and presenting financial statements, and
managing cash flow and other financial operations of a business
concern;
(2) management assistance, including training and counseling in
how to plan, organize, staff, direct, and control each major
activity and function of a small business concern; and
(3) marketing assistance, including training and counseling in
identifying and segmenting domestic and international market
opportunities, preparing and executing marketing plans,
developing pricing strategies, locating contract opportunities,
negotiating contracts, and utilizing varying public relations and
advertising techniques.
(c) Conditions of participation
(1) Non-Federal contributions
As a condition of receiving financial assistance authorized by
this section, the recipient organization shall agree to obtain,
after its application has been approved and notice of award has
been issued, cash contributions from non-Federal sources as
follows:
(A) in the first and second years, 1 non-Federal dollar for
each 2 Federal dollars; and
(B) in the third, fourth, and fifth years, 1 non-Federal
dollar for each Federal dollar.
(2) Form of non-Federal contributions
Not more than one-half of the non-Federal sector matching
assistance may be in the form of in-kind contributions that are
budget line items only, including office equipment and office
space.
(3) Form of Federal contributions
The financial assistance authorized pursuant to this section
may be made by grant, contract, or cooperative agreement and may
contain such provision, as necessary, to provide for payments in
lump sum or installments, and in advance or by way of
reimbursement. The Administration may disburse up to 25 percent
of each year's Federal share awarded to a recipient organization
after notice of the award has been issued and before the
non-Federal sector matching funds are obtained.
(4) Failure to obtain non-Federal funding
If any recipient of assistance fails to obtain the required
non-Federal contribution during any project, it shall not be
eligible thereafter for advance disbursements pursuant to
paragraph (3) during the remainder of that project, or for any
other project for which it is or may be funded by the
Administration, and prior to approving assistance to such
organization for any other projects, the Administration shall
specifically determine whether the Administration believes that
the recipient will be able to obtain the requisite non-Federal
funding and enter a written finding setting forth the reasons for
making such determination.
(d) Contract authority
A women's business center may enter into a contract with a
Federal department or agency to provide specific assistance to
women and other underserved small business concerns. Performance of
such contract should not hinder the women's business centers in
carrying out the terms of the grant received by the women's
business centers from the Administration.
(e) Submission of 5-year plan
Each applicant organization initially shall submit a 5-year plan
to the Administration on proposed fundraising and training
activities, and a recipient organization may receive financial
assistance under this program for a maximum of 5 years per women's
business center site.
(f) Criteria
The Administration shall evaluate and rank applicants in
accordance with predetermined selection criteria that shall be
stated in terms of relative importance. Such criteria and their
relative importance shall be made publicly available and stated in
each solicitation for applications made by the Administration. The
criteria shall include -
(1) the experience of the applicant in conducting programs or
ongoing efforts designed to impart or upgrade the business skills
of women business owners or potential owners;
(2) the present ability of the applicant to commence a project
within a minimum amount of time;
(3) the ability of the applicant to provide training and
services to a representative number of women who are both
socially and economically disadvantaged; and
(4) the location for the women's business center site proposed
by the applicant.
(g) Office of Women's Business Ownership
(1) Establishment
There is established within the Administration an Office of
Women's Business Ownership, which shall be responsible for the
administration of the Administration's programs for the
development of women's business enterprises (as defined in
section 7108 of this title). The Office of Women's Business
Ownership shall be administered by an Assistant Administrator,
who shall be appointed by the Administrator.
(2) Assistant Administrator of the Office of Women's Business
Ownership
(A) Qualification
The position of Assistant Administrator shall be a Senior
Executive Service position under section 3132(a)(2) of title 5.
The Assistant Administrator shall serve as a noncareer
appointee (as defined in section 3132(a)(7) of that title).
(B) Responsibilities and duties
(i) Responsibilities
The responsibilities of the Assistant Administrator shall
be to administer the programs and services of the Office of
Women's Business Ownership established to assist women
entrepreneurs in the areas of -
(I) starting and operating a small business;
(II) development of management and technical skills;
(III) seeking Federal procurement opportunities; and
(IV) increasing the opportunity for access to capital.
(ii) Duties
The Assistant Administrator shall -
(I) administer and manage the Women's Business Center
program;
(II) recommend the annual administrative and program
budgets for the Office of Women's Business Ownership
(including the budget for the Women's Business Center
program);
(III) establish appropriate funding levels therefore;
(IV) review the annual budgets submitted by each
applicant for the Women's Business Center program;
(V) select applicants to participate in the program under
this section;
(VI) implement this section;
(VII) maintain a clearinghouse to provide for the
dissemination and exchange of information between women's
business centers;
(VIII) serve as the vice chairperson of the Interagency
Committee on Women's Business Enterprise;
(IX) serve as liaison for the National Women's Business
Council; and
(X) advise the Administrator on appointments to the
Women's Business Council.
(C) Consultation requirements
In carrying out the responsibilities and duties described in
this paragraph, the Assistant Administrator shall confer with
and seek the advice of the Administration officials in areas
served by the women's business centers.
(h) Program examination
(1) In general
The Administration shall -
(A) develop and implement an annual programmatic and
financial examination of each women's business center
established pursuant to this section, pursuant to which each
such center shall provide to the Administration -
(i) an itemized cost breakdown of actual expenditures for
costs incurred during the preceding year; and
(ii) documentation regarding the amount of matching
assistance from non-Federal sources obtained and expended by
the center during the preceding year in order to meet the
requirements of subsection (c) of this section and, with
respect to any in-kind contributions described in subsection
(c)(2) of this section that were used to satisfy the
requirements of subsection (c) of this section, verification
of the existence and valuation of those contributions; and
(B) analyze the results of each such examination and, based
on that analysis, make a determination regarding the
programmatic and financial viability of each women's business
center.
(2) Conditions for continued funding
In determining whether to award a contract (as a sustainability
grant) under subsection (l) of this section or to renew a
contract (either as a grant or cooperative agreement) under this
section with a women's business center, the Administration -
(A) shall consider the results of the most recent examination
of the center under paragraph (1); and
(B) may withhold such award or renewal, if the Administration
determines that -
(i) the center has failed to provide any information
required to be provided under clause (i) or (ii) of paragraph
(1)(A), or the information provided by the center is
inadequate; or
(ii) the center has failed to provide any information
required to be provided by the center for purposes of the
report of the Administration under subsection (j) of this
section, or the information provided by the center is
inadequate.
(i) Contract authority
The authority of the Administrator to enter into contracts shall
be in effect for each fiscal year only to the extent and in the
amounts as are provided in advance in appropriations Acts. After
the Administrator has entered into a contract, either as a grant or
a cooperative agreement, with any applicant under this section, it
shall not suspend, terminate, or fail to renew or extend any such
contract unless the Administrator provides the applicant with
written notification setting forth the reasons therefore and
affords the applicant an opportunity for a hearing, appeal, or
other administrative proceeding under chapter 5 of title 5.
(j) Management report
(1) In general
The Administration shall prepare and submit to the Committees
on Small Business of the House of Representatives and the Senate
a report on the effectiveness of all projects conducted under
this section.
(2) Contents
Each report submitted under paragraph (1) shall include
information concerning, with respect to each women's business
center established pursuant to this section -
(A) the number of individuals receiving assistance;
(B) the number of startup business concerns formed;
(C) the gross receipts of assisted concerns;
(D) the employment increases or decreases of assisted
concerns;
(E) to the maximum extent practicable, increases or decreases
in profits of assisted concerns; and
(F) the most recent analysis, as required under subsection
(h)(1)(B) of this section, and the subsequent determination
made by the Administration under that subsection.
(k) Authorization of appropriations
(1) In general
There is authorized to be appropriated, to remain available
until the expiration of the pilot program under subsection (l) of
this section -
(A) $12,000,000 for fiscal year 2000;
(B) $12,800,000 for fiscal year 2001;
(C) $13,700,000 for fiscal year 2002; and
(D) $14,500,000 for fiscal year 2003.
(2) Use of amounts
(A) In general
Except as provided in subparagraph (B), amounts made
available under this subsection for fiscal year 1999, and each
fiscal year thereafter, may only be used for grant awards and
may not be used for costs incurred by the Administration in
connection with the management and administration of the
program under this section.
(B) Exceptions
Of the amount made available under this subsection for a
fiscal year, the following amounts shall be available for
selection panel costs, post-award conference costs, and costs
related to monitoring and oversight:
(i) For fiscal year 2000, 2 percent.
(ii) For fiscal year 2001, 1.9 percent.
(iii) For fiscal year 2002, 1.9 percent.
(iv) For fiscal year 2003, 1.6 percent.
(3) Expedited acquisition
Notwithstanding any other provision of law, the Administrator,
acting through the Assistant Administrator, may use such
expedited acquisition methods as the Administrator determines to
be appropriate to carry out this section, except that the
Administrator shall ensure that all small business sources are
provided a reasonable opportunity to submit proposals.
(4) Reservation of funds for sustainability pilot program
(A) In general
Subject to subparagraph (B), of the total amount made
available under this subsection for a fiscal year, the
following amounts shall be reserved for sustainability grants
under subsection (l) of this section:
(i) For fiscal year 2000, 17 percent.
(ii) For fiscal year 2001, 18.8 percent.
(iii) For fiscal year 2002, 30.2 percent.
(iv) For fiscal year 2003, 30.2 percent.
(B) Use of unawarded funds for sustainability pilot program
grants
If the amount reserved under subparagraph (A) for any fiscal
year is not fully awarded to private nonprofit organizations
described in subsection (l)(1)(B) of this section, the
Administration is authorized to use the unawarded amount to
fund additional women's business center sites or to increase
funding of existing women's business center sites under
subsection (b) of this section.
(l) Sustainability pilot program
(1) In general
There is established a 4-year pilot program under which the
Administration is authorized to award grants (referred to in this
section as "sustainability grants") on a competitive basis for an
additional 5-year project under this section to any private
nonprofit organization (or a division thereof) -
(A) that has received financial assistance under this section
pursuant to a grant, contract, or cooperative agreement; and
(B) that -
(i) is in the final year of a 5-year project; or
(ii) has completed a project financed under this section
(or any predecessor to this section) and continues to provide
assistance to women entrepreneurs.
(2) Conditions for participation
In order to receive a sustainability grant, an organization
described in paragraph (1) shall submit to the Administration an
application, which shall include -
(A) a certification that the applicant -
(i) is a private nonprofit organization;
(ii) employs a full-time executive director or program
manager to manage the center; and
(iii) as a condition of receiving a sustainability grant,
agrees -
(I) to a site visit as part of the final selection
process and to an annual programmatic and financial
examination; and
(II) to the maximum extent practicable, to remedy any
problems identified pursuant to that site visit or
examination;
(B) information demonstrating that the applicant has the
ability and resources to meet the needs of the market to be
served by the women's business center site for which a
sustainability grant is sought, including the ability to
fundraise;
(C) information relating to assistance provided by the
women's business center site for which a sustainability grant
is sought in the area in which the site is located, including -
(i) the number of individuals assisted;
(ii) the number of hours of counseling, training, and
workshops provided; and
(iii) the number of startup business concerns formed;
(D) information demonstrating the effective experience of the
applicant in -
(i) conducting financial, management, and marketing
assistance programs, as described in paragraphs (1), (2), and
(3) of subsection (b) of this section, designed to impart or
upgrade the business skills of women business owners or
potential owners;
(ii) providing training and services to a representative
number of women who are both socially and economically
disadvantaged;
(iii) using resource partners of the Administration and
other entities, such as universities;
(iv) complying with the cooperative agreement of the
applicant; and
(v) the prudent management of finances and staffing,
including the manner in which the performance of the
applicant compared to the business plan of the applicant and
the manner in which grant funds awarded under subsection (b)
of this section were used by the applicant; and
(E) a 5-year plan that projects the ability of the women's
business center site for which a sustainability grant is sought
-
(i) to serve women business owners or potential owners in
the future by improving fundraising and training activities;
and
(ii) to provide training and services to a representative
number of women who are both socially and economically
disadvantaged.
(3) Review of applications
(A) In general
The Administration shall -
(i) review each application submitted under paragraph (2)
based on the information provided in subparagraphs (D) and
(E) of that paragraph, and the criteria set forth in
subsection (f) of this section;
(ii) as part of the final selection process, conduct a site
visit at each women's business center for which a
sustainability grant is sought; and
(iii) approve or disapprove applications for sustainability
grants simultaneously with applications for grants under
subsection (b) of this section.
(B) Data collection
Consistent with the annual report to Congress under
subsection (j) of this section, each women's business center
site that is awarded a sustainability grant shall, to the
maximum extent practicable, collect information relating to -
(i) the number of individuals assisted;
(ii) the number of hours of counseling and training
provided and workshops conducted;
(iii) the number of startup business concerns formed;
(iv) any available gross receipts of assisted concerns; and
(v) the number of jobs created, maintained, or lost at
assisted concerns.
(C) Record retention
The Administration shall maintain a copy of each application
submitted under this subsection for not less than 10 years.
(4) Non-Federal contribution
(A) In general
Notwithstanding any other provision of this section, as a
condition of receiving a sustainability grant, an organization
described in paragraph (1) shall agree to obtain, after its
application has been approved under paragraph (3) and notice of
award has been issued, cash and in-kind contributions from
non-Federal sources for each year of additional program
participation in an amount equal to 1 non-Federal dollar for
each Federal dollar.
(B) Form of non-Federal contributions
Not more than 50 percent of the non-Federal assistance
obtained for purposes of subparagraph (A) may be in the form of
in-kind contributions that are budget line items only,
including office equipment and office space.
(5) Timing of requests for proposals
In carrying out this subsection, the Administration shall issue
requests for proposals for women's business centers applying for
the pilot program under this subsection simultaneously with
requests for proposals for grants under subsection (b) of this
section.
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