Small Business Development Centers Improvement Act of 2026

[Congressional Bills 119th Congress]
[From the U.S. Government Publishing Office]
[H.R. 9810 Introduced in House (IH)]

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119th CONGRESS
  2d Session
                                H. R. 9810

   To amend the Small Business Act to make improvements to the Small
      Business Development Center Program, and for other purposes.

_______________________________________________________________________

                    IN THE HOUSE OF REPRESENTATIVES

                             July 21, 2026

 Mrs. McIver (for herself and Ms. Velazquez) introduced the following
      bill; which was referred to the Committee on Small Business

_______________________________________________________________________

                                 A BILL

   To amend the Small Business Act to make improvements to the Small
      Business Development Center Program, and for other purposes.

    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 ``Small Business Development Centers
Improvement Act of 2026''.

SEC. 2. USE OF AUTHORIZED ENTREPRENEURIAL DEVELOPMENT PROGRAMS.

    (a) In General.--The Small Business Act (15 U.S.C. 631 et seq.) is
amended--
            (1) by redesignating section 49 as section 50; and
            (2) by inserting after section 48 the following new
        section:

``SEC. 49. USE OF AUTHORIZED ENTREPRENEURIAL DEVELOPMENT PROGRAMS.

    ``(a) Expanded Support for Entrepreneurs.--
            ``(1) In general.--Notwithstanding any other provision of
        law and except as provided in subsection (c), the
        Administrator--
                    ``(A) shall only deliver covered activities through
                a program of the Administration that was established
                before the date of the enactment of this section; and
                    ``(B) may not establish a program after the date of
                the enactment of this section to provide covered
                activities without explicit authority provided by an
                Act of Congress.
            ``(2) Notification.--The Administrator shall notify
        Congress before providing any covered activities described in
        paragraph (1)(A).
    ``(b) Annual Report.--The Administrator shall include in the annual
report required under section 10(a) the following information:
            ``(1) A list of all covered activities undertaken through a
        program of the Administration during the fiscal year preceding
        the date of the report, including--
                    ``(A) a description and operating details for each
                such program and the covered activities conducted under
                each such program;
                    ``(B) operating circulars, manuals, notices of
                awards, notices of funding opportunities, and standard
                operating procedures for each such program and the
                covered activities conducted under each such program;
                    ``(C) a description of the process used to provide
                awards for covered activities conducted under each such
                program;
                    ``(D) the total amount of funding obligated for
                each such program and the covered activities conducted
                under each such program for the fiscal year preceding
                the date of the report; and
                    ``(E) the names and titles of the individuals
                responsible for carrying out each such program.
            ``(2) A list of each recipient of an award under a program
        of the Administration during the fiscal year preceding the date
        of the report that includes the amount of such award.
    ``(c) Exception.--This section does not apply to covered activities
to assist small business concerns owned by an Indian tribe (as such
term is defined in section 8(a)(13)).
    ``(d) Covered Activity Defined.--In this section, the term `covered
activity' means entrepreneurial development services, entrepreneurial
education, or support for the development and maintenance of the
Regional Innovation Clusters Program (or similar business training
services).''.
    (b) Applicability.--Subsection (b) of section 49 of the Small
Business Act, as added by this section, shall apply with respect to the
first annual report required under section 10(a) of such Act (15 U.S.C.
639(a)) after October 1, 2026.

SEC. 3. DATA COLLECTION BY THE SMALL BUSINESS DEVELOPMENT CENTER
              ASSOCIATION, WOMEN'S BUSINESS CENTERS, AND SCORE.

    (a) In General.--Section 21(a)(3)(A) of the Small Business Act (15
U.S.C. 648(a)(3)(A)) is amended--
            (1) by striking ``as provided in this section and'' and
        inserting ``as provided in this section,''; and
            (2) by inserting before the period at the end the
        following: ``, and (iv) governing data collection activities
        related to applicants receiving grants under this section''.
    (b) Working Group To Improve Data Collection.--
            (1) Establishment.--The Administrator of the Small Business
        Administration shall establish a group to be known as the
        ``Data Collection Working Group'' consisting of--
                    (A) recipients of grants that are women's business
                centers (as described under section 29 of the Small
                Business Act (15 U.S.C. 656)), small business
                development centers (as defined in section 3 of such
                Act (15 U.S.C. 632)), and chapters of the Service Corps
                of Retired Executives (established under section
                8(b)(1)(B) of such Act (15 U.S.C. 637(b)(1)(B)));
                    (B) associations and organizations representing
                such recipients;
                    (C) contractors that handle data systems for
                women's business centers, small business development
                centers, and chapters of the Service Corps of Retired
                Executives; and
                    (D) the Associate Administrators of the Small
                Business Administration for--
                            (i) the Office of Entrepreneurial
                        Development;
                            (ii) the Office of Small Business
                        Development Centers; and
                            (iii) the Office of Women's Business
                        Ownership.
            (2) Responsibilities.--The Data Collection Working Group
        shall--
                    (A) determine the best methods for conducting data
                collection activities for the Small Business
                Development Center Program, women's business centers,
                and chapters of the Service Corps of Retired
                Executives; and
                    (B) develop recommendations to create or revise
                existing systems dedicated to data collection for the
                Small Business Development Center Program, women's
                business centers, and chapters of the Service Corps of
                Retired Executives.
            (3) Report.--Not later than 180 days after the date of the
        enactment of this Act, the Data Collection Working Group shall
        submit to the Committee on Small Business of the House of
        Representatives and the Committee on Small Business and
        Entrepreneurship of the Senate a report containing the findings
        and determinations of the Data Collection Working Group
        pursuant to paragraph (2), including--
                    (A) the recommendations developed under paragraph
                (2)(B); and
                    (B) a proposed plan for the Administrator of the
                Small Business Administration to implement such
                recommendations.

SEC. 4. MARKETING OF SERVICES.

    Section 21 of the Small Business Act (15 U.S.C. 648), as amended by
section 14, is further amended by adding at the end the following:
    ``(q) No Prohibition of Marketing of Services.--An applicant
receiving a grant under this section may use up to 10 percent of grant
amounts to market and advertise the services of such applicant to
individuals and small business concerns.''.

SEC. 5. FEES FROM PRIVATE PARTNERSHIPS.

    Section 21(a)(3) of the Small Business Act (15 U.S.C. 648(a)(3)) is
amended by adding at the end the following:
            ``(D) Fees from private partnerships and cosponsorships.--A
        small business development center that participates in a
        private partnership or cosponsorship, in which the
        Administrator or designee of the Administrator also
        participates, may collect fees or other income related to the
        operation of such private partnership or cosponsorship.''.

SEC. 6. SMALL BUSINESS DEVELOPMENT CENTER ACCREDITATION.

    Subclause (I) of section 21(a)(4)(C)(v) of the Small Business Act
(15 U.S.C. 648(a)(4)(C)(v)(I)) is amended to read as follows:
                                    ``(I) In general.--Of the amounts
                                made available in any fiscal year to
                                carry out this section, not more than
                                $600,000 may be used by the
                                Administration to pay expenses
                                described in subparagraphs (B) through
                                (D) of section 20(a)(1).''.

SEC. 7. CONFIDENTIALITY REQUIREMENTS.

    Section 21(a)(7)(A) of the Small Business Act (15 U.S.C.
648(a)(7)(A)) is amended--
            (1) by striking ``or telephone number'' and inserting ``,
        telephone number, or email address''; and
            (2) by inserting ``, or the nature or content of such
        assistance, to any State, local, or Federal agency, or to any
        third party'' after ``receiving assistance under this
        section''.

SEC. 8. LIMITATION ON AWARD OF GRANTS TO SMALL BUSINESS DEVELOPMENT
              CENTERS.

    (a) In General.--Section 21 of the Small Business Act (15 U.S.C.
648), as amended by this Act, is further amended--
            (1) in subsection (a)(1)--
                    (A) by striking ``any women's business center
                operating pursuant to section 29,'';
                    (B) by striking ``or a women's business center
                operating pursuant to section 29''; and
                    (C) by striking ``and women's business centers
                operating pursuant to section 29''; and
            (2) by adding at the end the following:
    ``(r) Limitation on Award of Grants.--Except for an institution of
higher education (as defined in section 101 of the Higher Education Act
of 1965 (20 U.S.C. 1001)) and notwithstanding any other provision of
law, the Administrator may not award a grant or contract to, or enter
into a cooperative agreement with, an entity under this section unless
that entity--
            ``(1) received a grant or contract from, or entered into a
        cooperative agreement with, the Administrator under this
        section before the date of the enactment of this subsection;
        and
            ``(2) seeks to renew such a grant, contract, or cooperative
        agreement after such date.''.
    (b) Rule of Construction.--The amendments made by this section may
not be construed as prohibiting a women's business center (as described
under section 29 of the Small Business Act) from receiving a subgrant
from an entity receiving a grant under section 21 of the Small Business
Act.

SEC. 9. MANAGEMENT OF PROGRAM ACTIVITIES.

    Section 21(a)(3) of the Small Business Act (15 U.S.C. 648(a)(3)),
as amended by section 5, is further amended--
            (1) in the matter preceding subparagraph (A), by striking
        ``upon, with full participation of both parties,'' and
        inserting ``upon with the full participation of all parties
        (including the association authorized in subparagraph (A)), and
        carried out'';
            (2) in subparagraph (A), by striking ``and develop'' and
        inserting ``and negotiate the development of''; and
            (3) in subparagraph (C)--
                    (A) by striking ``Whereas'';
                    (B) by inserting ``Program'' after ``Center'';
                    (C) by striking ``National'' and inserting
                ``national''; and
                    (D) by moving such subparagraph 2 ems to the left.

SEC. 10. AUTHORIZATION OF APPROPRIATIONS FOR FORMULA GRANTS RECEIVED BY
              STATES.

    Section 21(a)(4)(C) of the Small Business Act (15 U.S.C.
648(a)(4)(C)) is amended--
            (1) in clause (vii), by striking ``this subparagraph'' and
        all that follows through the period at the end and inserting
        ``this subparagraph $175,000,000 for each of fiscal years 2026
        through 2029.''; and
            (2) in clause (viii)--
                    (A) by striking ``shall reserve not less than
                $1,000,000'' and inserting ``shall reserve not more
                than $2,000,000''; and
                    (B) by striking ``shall not exceed $100,000'' and
                inserting ``shall not exceed $200,000''.

SEC. 11. REQUIREMENTS RELATING TO MATCHING FUNDS.

    Section 21(a)(4)(A) of the Small Business Act (15 U.S.C.
648(a)(4)(A)) is amended by adding at the end the following new
sentence: ``The applicant shall provide to the Administrator good faith
certifications and representations of the availability of matching
funds before the close-out date of such grant, and the applicant may
expend Federal funds before receipt of such matching funds.''.

SEC. 12. CONTRACT PREREQUISITES.

    Section 21(a)(5)(B) of the Small Business Act (15 U.S.C.
648(a)(5)(B)) is amended by adding at the end the following: ``If the
Associate Administrator fails to issue a determination of an approval
for a contract within 10 days after receipt of a request for such
determination, such contract shall be deemed to be approved.''.

SEC. 13. DUTIES OF THE ASSOCIATE ADMINISTRATOR FOR SMALL BUSINESS
              DEVELOPMENT CENTERS.

    Section 21(h)(2) of the Small Business Act (15 U.S.C. 648(h)(2)) is
amended by adding at the end the following new subparagraph:
                    ``(C) Marketing.--The Associate Administrator for
                Small Business Development Centers shall market and
                advertise the Small Business Development Center Program
                and participants in such Program as a resource
                available to any Federal program providing assistance
                to small business concerns.''.

SEC. 14. ANNUAL REPORT ON ENTREPRENEURIAL DEVELOPMENT ACTIVITIES.

    Section 21 of the Small Business Act (15 U.S.C. 648) is amended by
adding at the end the following new subsection:
    ``(p) Small Business Development Centers Annual Report.--Beginning
on the first December 1 after the date of the enactment of this
subsection, the Administrator shall annually submit to the Committee on
Small Business of the House of Representatives and the Committee on
Small Business and Entrepreneurship of the Senate a report on the
entrepreneurial development activities undertaken during the fiscal
year preceding the date of the report through the Small Business
Development Center Program (in this subsection referred to as the
`Program'), including--
            ``(1) the total number of hours of counseling and training
        services provided through the Program;
            ``(2) to the extent practicable, the demographics of
        participants in the Program, which shall include the gender,
        race, and age of each such participant;
            ``(3) the number of participants in the Program who are
        veterans;
            ``(4) the number of new businesses started by participants
        in the Program;
            ``(5) to the extent practicable, the number of jobs created
        or retained with assistance from the Program;
            ``(6) to the extent practicable, the amount of capital
        secured by participants in the Program, including through loans
        and equity investment;
            ``(7) the number of participants in the Program receiving
        financial assistance, including the type and dollar amount,
        under a loan program of the Administration;
            ``(8) an estimate of gross receipts, including (to the
        extent practicable) a description of any change in revenue, of
        small business concerns assisted through the Program;
            ``(9) the number of referrals of individuals counseled or
        trained through the Program to other resources and programs of
        the Administration;
            ``(10) the results of satisfaction surveys of participants
        in the Program, including a summary of any comments received
        from such participants; and
            ``(11) any recommendations by the Administrator or the
        National Small Business Development Center Advisory Board
        (established under subsection (i)) to improve the delivery of
        services by the Program.''.
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