S.Amdt. 4536

SA 4536. Mr. BENNET (for himself and Ms. Landrieu) submitted an
amendment intended to be proposed to amendment SA 4519 proposed by Mr.
Reid (for himself, Mr. Baucus, and Ms. Landrieu) to the bill H.R. 5297,
to create the Small Business Lending Fund Program to direct the
Secretary of the Treasury to make capital investments in eligible
institutions in order to increase the availability of credit for small
businesses, to amend the Internal Revenue Code of 1986 to provide tax
incentives for small business job creation, and for other purposes;
which was ordered to lie on the table; as follows:

On page 41, after line 25, add the following:

SEC. 1137. TARGETED SMALL BUSINESS LENDING PILOT PROGRAM.

(a) In General.--Section 23 of the Small Business Act (15
U.S.C. 650) is amended by adding at the end the following:
``(k) Targeted Small Business Lending Pilot Program.--
``(1) Purpose.--The purpose of the targeted small business
lending pilot program is to increase the lending activity of
small business lending companies to small business concerns
operating in low-income communities.
``(2) Definitions.--In this subsection:
``(A) Low-income community.--The term `low-income
community' means a low-income community within the meaning of
section 45D(e) of the Internal Revenue Code of 1986 (relating
to the new markets tax credit).
``(B) Targeted small business lending company.--The term
`targeted small business lending company' means a business
concern--
``(i) described in section 3(r)(1), without regard to
whether the business concern was authorized to make loans
under section 7(a) before the date on which the Administrator
authorizes the business concern to make the loans under this
subsection;
``(ii) that has a primary mission of serving or providing
investment capital for low-income communities, low-income
persons, or businesses located in low-income communities;
``(iii) that maintains accountability to low-income
communities through participation of representatives of the
communities on a governing or an advisory board to the
business concern;
``(iv) that has a demonstrated ability, directly or through
a controlling entity, to make loans to businesses in low-
income communities; and
``(v) that makes substantially all of the loans made by the
business concern to businesses operating in low-income
communities.
``(3) Establishment.--There is established a targeted small
business lending pilot program, under which the
Administrator--
``(A) shall authorize not more than 12 targeted small
business lending companies to make loans under section 7(a);
and
``(B) may not charge a fee relating to an authorization
under subparagraph (A).
``(4) Safety and soundness requirements.--
``(A) Prohibition on sale of authorization.--A targeted
small business lending company may not sell the authorization
of the targeted small business lending company to make loans
under section 7(a).
``(B) GAO review.--During the 2-year period beginning on
the date of enactment of this subsection, the Comptroller
General of the United States shall--
``(i) review the oversight of targeted small business
lending companies by the Administration; and
``(ii) submit periodic reports to the Committee on Small
Business and Entrepreneurship of the Senate and the Committee
on Small Business of the House of Representatives regarding
the review under clause (i).''.
(b) Technical and Conforming Amendment.--Section 3(r)(1) of
the Small Business Act (15 U.S.C. 632(r)(1)) is amended by
inserting ``, including a targeted small business lending
company authorized under section 23(k)'' before the period at
the end.
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