[Congressional Bills 117th Congress]
[From the U.S. Government Publishing Office]
[H.R. 2158 Introduced in House (IH)]
<DOC>
117th CONGRESS
1st Session
H. R. 2158
To provide emergency relief assistance under a modified Community
Development Block Grant program for communities facing economic damage
from civil and social crises, and for other purposes.
_______________________________________________________________________
IN THE HOUSE OF REPRESENTATIVES
March 23, 2021
Ms. Omar (for herself, Ms. Norton, Mrs. Hayes, Mr. Jones, Mr. Bowman,
Ms. Jacobs of California, Ms. McCollum, Mr. Garcia of Illinois, Ms.
Schakowsky, Mr. Mfume, Ms. Lee of California, Mrs. Watson Coleman, Mr.
Panetta, Ms. Pressley, Ms. Tlaib, Mr. Hastings, Mr. Johnson of Georgia,
Mr. Carson, Ms. Jayapal, and Mr. Ruppersberger) introduced the
following bill; which was referred to the Committee on Financial
Services
_______________________________________________________________________
A BILL
To provide emergency relief assistance under a modified Community
Development Block Grant program for communities facing economic damage
from civil and social crises, 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 ``Holistic Economic Aid for Low-Income
Neighborhood Growth Act of 2021'' or the ``HEALING Act of 2021''.
SEC. 2. SENSE OF CONGRESS.
It is the sense of the Congress that--
(1) funds made available under the Community Development
Block Grant Program (``CDBG'') should be used principally for
low- and moderate-income neighborhoods and can be used for
community revitalization in areas affected by social and civil
unrest during 2020;
(2) CDBG funding must target historically disinvested
communities of color that have suffered from long-standing
systemic issues of racial injustice and economic inequality;
(3) minority-serving institutions should be prioritized in
receiving and administering economic development grants for
their communities;
(4) economic activities carried out using CDBG funds should
be refocused on the implementation of direct anti-poverty
programming with evidence of effectiveness, such as food
security initiatives and basic income pilots, acquisition and
rehabilitation of affordable housing, improvement to public
facilities, including health centers, provision of public
services, restoration of natural areas and other conservation
efforts, and construction of clean energy infrastructure;
(5) minority-owned businesses should be prioritized in
receiving business development grants to renovate their
properties and create financial opportunities for their
communities; and
(6) CDBG business activities should be refocused on
assisting private, for-profit businesses that pursue job
creation and retention efforts through the employment of low-
and moderate-income persons, adopt environmentally sustainable
practices to offer affordable goods and services to low- and
moderate-income neighborhoods, and provide economic and
technical assistance to other businesses based in low- and
moderate-income areas.
SEC. 3. FUNDING.
(a) Authorization of Appropriations.--There is authorized to be
appropriated to the Secretary of Housing and Urban Development
$11,000,000,000 for fiscal year 2022 for providing assistance under
this Act.
(b) Non-Business Community Development Funding.--Of any amounts
made available pursuant to subsection (a), 77 percent shall be
available for assistance under section 4 for community revitalization
and economic development activities.
(c) Civil Unrest Business Development Funding.--Of any amounts made
available pursuant to subsection (a), 23 percent shall be available for
assistance under section 5 for business recovery and renovation
activities.
(d) Administrative Funding.--Of any amounts available pursuant to
subsection (a), the Secretary of Housing and Urban Development may use
not more than 1 percent for costs of administering the program under
this Act.
(e) Termination of Funds.--Upon the expiration of the 2-year period
beginning upon the date of the enactment of this Act, any programming
and rulemaking associated with the program shall expire.
SEC. 4. NON-BUSINESS GRANTS FOR COMMUNITY REVITALIZATION AND ECONOMIC
DEVELOPMENT.
(a) Grant Authority.--The Secretary shall use amounts made
available to carry out this section to make grants to States, units of
general local government, Indian Tribes, insular areas, and eligible
institutions serving or owned by minorities for use to carry out
eligible non-business activities under subsection (e) in low- and
moderate-income areas.
(b) Reservation of Funding.--Of any amounts made available to carry
out this section, the Secretary shall reserve for grants under this
section--
(1) 76 percent for allocation in accordance with subsection
(c)(1);
(2) 18 percent for allocation for minority-owned and
minority-serving entities in accordance with subsection (c)(2);
and
(3) 6 percent for allocation for Indian Tribes and insular
areas in accordance with subsection (c)(3).
(c) Allocations.--
(1) Entitlement communities and nonentitlement areas.--Of
the amount allocated under subsection (b)(1)--
(A) 70 percent shall be allocated for entitlement
communities in accordance with the formula under
section 106(b) of the Housing and Community Development
Act of 1974 (42 U.S.C. 5306(b)); and
(B) 30 percent shall be allocated to States, for
use in nonentitlement areas, in accordance with the
formula under section 106(d)(1) of the Housing and
Community Development Act of 1974 (42 U.S.C.
5306(d)(1)).
(2) Competitive awards to minority-owned entities.--
(A) In general.--The Secretary of Housing and Urban
Development shall allocate the amount allocated under
subsection (b)(3) directly and on a competitive basis
for grants to eligible minority-owned entities and
minority-serving entities.
(B) Competition.--Allocation for non-business
grants under this paragraph shall be made pursuant to a
competition for such grants, as the Secretary shall
provide, that--
(i) takes into account the need for grant
assistance for the area in which, and for the
activities for which the grant amounts will be
used; and
(ii) provides grant amount only to
applicants who will carry out activities
assisted with such grant amounts only in low-
and moderate-income areas.
(C) CDBG special purpose grants.--Of the amount
allocated under subsection (b)(2), not less than 33
percent shall be allocated for grants under this
section for minority-serving entities.
(D) Voucher program.--The Secretary shall take such
actions as may be necessary to ensure that grants under
this paragraph are accessible to newer and smaller
minority-owned entities and ensure that technical
assistance is prioritized and provided to organizations
with little or no grant-writing capacity.
(3) Competitive awards to indian tribes and insular
areas.--
(A) In general.--The Secretary of Housing and Urban
Development shall allocate for grants to Indian Tribes
and insular areas on a competitive basis the amount
allocated under subsection (b)(4).
(B) Requirements.--In making allocations under this
paragraph, the Secretary shall, to the greatest extent
practicable, ensure that each Indian Tribe and each
insular area that satisfies low- to moderate-income
requirements and unmet need criteria, as determined by
the Secretary, receives such an allocation.
(d) Coordination.--The Secretary shall monitor the reporting
requirements and disclosures of allocated expenditures as set forth in
section 6(e), to coordinate with grantees and subgrantees to ensure
there are no overpayments or duplication of benefits.
(e) Eligible Non-Business Activities.--
(1) Primary objectives.--Amounts from a grant under this
section may be used by a grantee or subgrantee only for
activities specified under paragraph (2) that--
(A) principally benefit households having incomes
that do not exceed 50 percent of the median income of
the area in which such households reside;
(B) aid in the prevention or elimination of slums
or blight primarily for severely economically
distressed communities (as such term is defined in
section 610 of the National and Community Service Act
of 199 (42 U.S.C. 12645d)), and historically
disinvested communities, including high-poverty areas
(as such term is defined in section 681.260 of title
20, Code of Federal Regulations) and persistent poverty
counties (as such term is defined in the Department of
Agriculture notice entitled ``Implementation of Certain
Provisions of Consolidated Appropriations Act, 2020
Specific to Persistent Poverty Counties'' [Docket No.
RBS-20-BUSINESS-0033], published in the Federal
Register on August 21, 2020 (85 Fed. Reg. 51676));
(C) reduce the isolation and inequality of income
groups within communities and geographical areas and
the promotion of an increase in the diversity and
vitality of neighborhoods through the spatial
deconcentration of housing opportunities for persons of
lower income and the revitalization of deteriorating or
deteriorated neighborhoods;
(D) conserve and expand the housing stock in order
to provide a decent home and a suitable living
environment for all persons, but principally those of
low and moderate income, and expand the number of
community land trust, cooperative, municipal, and
public housing units as a ratio of total housing stock;
(E) expand and enhance the quantity and quality of
community services, principally for persons of low and
moderate income, that are evidenced-based and essential
for sound community development and for the development
of viable urban communities;
(F) improve the rational utilization of land and
other natural resources and the better arrangement of
residential, commercial, industrial, recreational, and
other needed activity centers, including parks, green
spaces, and walking trails;
(G) conserve scarce energy resources, improve
energy efficiency, or provide alternative and renewable
energy sources, especially for environmental justice
communities that have harmful environmental quality
issues;
(H) restore and preserve properties of special
value for historic, architectural, or esthetic reasons;
(I) alleviate the physical and economic distress
through the stimulation of private investment and
community revitalization in areas with population
outmigration or a stagnating or declining tax base;
(J) meet an urgent need by addressing economic
conditions that pose a serious and immediate threat to
the health and safety of residents; or
(K) prevent, prepare for, or respond to
coronavirus, based on public health needs, risk of
transmission of coronavirus, number of coronavirus
cases compared to the national average, and economic
and housing market disruptions, and other factors.
(2) Activities.--Activities specified under this subsection
are as follows:
(A) CDBG activities.--Except as provided in
paragraph (3)(C) of this subsection, any activity that
is eligible for assistance under section 105(a) of the
Housing and Community Development Act of 1974 (42
U.S.C. 5305(a)).
(B) CDBG special purpose grants activities.--Any
activity that is eligible for assistance under section
107 of such Act (42 U.S.C. 5307).
(C) Cash relief for affected households.--Direct
income payments by States or units of general local
government to households having incomes that do not
exceed 200 percent of the Federal poverty level,
provided that such payments otherwise comply with
subsection (a) of this section.
(D) Historical archiving.--Activities to conserve
art, construct monuments, and preserve memorials of
contemporary civil rights struggles, such as the George
Floyd Memorial in Minneapolis, Minnesota.
(E) Technical assistance.--Technical assistance and
outreach activities by grantees to expand and diversify
subgrantees funded with amounts provided under this
section.
(F) Innovative activities by minority-owned
activities.--Any activity that--
(i) is proposed by a grantee and approved
by the Secretary; and
(ii) complies with subsection (a) of this
section.
(3) Prohibitions.--Amounts from a grant under this section
may not be used to provide assistance for--
(A) any law enforcement agency or to support or
assist any law enforcement activities;
(B) any discriminatory conduct or programming, as
prohibited by section 109(a) of the Housing and
Community Development Act of 1974 (42 U.S.C. 5309(a));
(C) any business support activity described in
section 105(a)(17) of such Act (42 U.S.C. 5305(a)(17))
or any other activity for business development or
business support; or
(D) any ineligible activity described in section
570.207 of the Secretary's regulations (24 C.F.R.
570.207), but not including income payments authorized
by paragraph (2)(C) of this subsection.
SEC. 5. CIVIL UNREST BUSINESS RECOVERY GRANTS FOR FINANCIAL RECOVERY
AND BUSINESS DEVELOPMENT.
(a) Grant Authority.--The Secretary, in consultation with the
Secretary of the Treasury and the Administrator of the Small Business
Administration, shall carry out a Civil Unrest Business Recovery
Program under this section to make grants to States, units of general
local government, Indian Tribes and insular areas to provide assistance
to eligible for-profit entities through local civil unrest business
recovery funds established for the delivery of business recovery grants
that primarily serve to compensate damages from social and civil unrest
during 2020 and also support business-led economic development.
(b) Reservation of Funding.--Of any amounts made available to carry
out this section, the Secretary shall reserve--
(1) 80 percent for allocation in accordance with subsection
(c)(1);
(2) 12 percent for allocation for States in accordance with
subsection (b)(2); and
(3) 8 percent for allocation for Indian Tribes and insular
areas in accordance with subsection (c)(3).
(c) Allocations.--
(1) Formula for states and units of general local
government.--Of amount allocated under subsection (b)(1)--
(A) 70 percent shall be allocated for entitlement
communities in accordance with the formula under
section 106(b) of the Housing and Community Development
Act of 1974 (42 U.S.C. 5306(b)); and
(B) 30 percent shall be allocated for States, for
use in nonentitlement areas, in accordance with the
formula under section 106(d)(1) of the Housing and
Community Development Act of 1974 (42 U.S.C.
5306(d)(1)).
(2) Rural bonus formula for states.--The Secretary shall
allocate the amount allocated under subsection (b)(2) to
States, for use in nonentitlement areas having low-income or
minority populations, in accordance with the formula under
section 106(d)(1) of the Housing and Community Development Act
of 1974 (42 U.S.C. 5306(d)(1)).
(3) Competitive awards to indian tribes and insular
areas.--
(A) In general.--The Secretary of Housing and Urban
Development shall allocate to Indian Tribes and insular
areas on a competitive basis the amount allocated under
subsection (b)(3).
(B) Requirements.--In making allocations under
subsection (b)(3), the Secretary of Housing and Urban
Development shall, to the greatest extent practicable,
ensure that each Indian Tribe and each insular area
that satisfies low- to moderate-income requirements and
unmet need criteria, as determined by the Secretary,
receives such an allocation.
(d) State Allocations for Nonentitlement Areas.--
(1) Equitable allocation.--To the greatest extent
practicable, a State shall allocate amounts allocated under
subsection (c)(1)(B) for use in nonentitlement areas of the
State on an equitable basis.
(2) Distribution of amounts.--
(A) Discretion.--Not later than 14 days after the
date on which a State receives amounts for use in an
nonentitlement area pursuant to subsection (c)(1)(B),
the State shall--
(i) distribute the amounts, or a portion
thereof, to units of general local government
or entities designated thereby, that have
established or will establish civil unrest
business recovery funds, for use under
subsection (e)(1); and
(ii) elect to reserve the amounts, or a
portion thereof, for use by the State under
subsection (e) for the benefit of eligible
entities located in the nonentitlement area.
(B) Sense of congress.--It is the sense of Congress
that, in distributing the amounts pursuant to
subparagraph (A) for nonentitlement areas in which a
civil unrest business recovery fund has been
established, a State should, as quickly as practicable,
distribute amounts for use by such fund.
(e) Use of Allocated Amounts.--A State, unit of general local
government, entity designated by a unit of general local government,
Indian Tribe, or insular area that receives an allocation under
subsection (c), whether directly or indirectly, may use amounts from
the allocation only--
(1) to provide funding to a civil unrest business recovery
fund established in accordance with subsection (f);
(2) to provide funding to support organizations that
provide technical assistance to eligible entities;
(3) to cover administrative costs incurred by the State,
unit of general local government, Indian Tribe, or insular area
(or entity designated by the State, unit, tribe, or area), in
establishing and administering a civil unrest business recovery
fund, except that not more than 2 percent of the allocation
under subsection (c) for the State, unit, tribe, or area may be
used for the purpose under this paragraph; or
(4) to carry out technical assistance and outreach
activities to expand and diversify subgrantees funded with
amounts provided under this section.
(f) Civil Unrest Business Recovery Fund.--For purposes of this
section, a civil unrest business recovery fund shall be a fund--
(1) that is established by a State, a unit of general local
government, an Indian Tribe, an insular area, or an entity
designated by a State, unit of general local government, Indian
Tribe, or an insular area;
(2) the proceeds of which are used only to make business
recovery grants under subsection (g) to eligible entities
operating within the area served by the fund in accordance with
the needs of eligible entities and capacity of the program; and
(3) provides resources and services relating to such
business recovery grants for eligible entities in the 10 most
commonly spoken languages in the area in which the fund
operates.
(g) Business Recovery Grants.--
(1) In general.--Amounts from business recovery grant under
this section may be used only--
(A) for business economic development activities
that are eligible for assistance under section
105(a)(17) of the Housing and Community Development Act
of 1974 (42 U.S.C. 5305(a)(17)) or to repair,
rehabilitate, or replace property, real or personal, of
the eligible entity receiving the grant that was
damaged, destroyed, or stolen during the covered period
as a result of social and civil unrest during 2020; or
(B) only if the need for assistance for activities
described in subparagraph (A) in the area served by the
civil unrest business recovery fund has been met, for
activities described in paragraph (4).
The Secretary may issue guidance to ensure that the need for
assistance for activities described in subparagraph (A) is met
before amounts may be used as provided in paragraph (4).
(2) Low-income areas and hubzones.--Notwithstanding any
other provision in this Act, the Secretary, in consultation
with the Administrator of the Small Business Administration,
shall treat as qualifying for purposes of paragraph (1) as
areas of affected social and civil unrest during 2020 and shall
give priority in allocations under subsection (b) to--
(A) low-income communities;
(B) HUBZones; and
(C) any other area designated by the Small Business
Administration for a disaster loan relating to social
and civil unrest during 2020.
(3) Grant amount.--The amount of a business recovery grant
may not exceed the lesser of $1,000,000 or 100 percent of the
amount required to repair, rehabilitate, or replace property,
real or personal, including related labor cost offsets and
related debt obligations incurred as a result of social or
civil unrest during 2020, of the eligible entity that--
(A) was damaged, destroyed, or stolen during the
covered period as a result of the social and civil
unrest during 2020; and
(B) is not fully compensated for by--
(i) insurance;
(ii) private donation or loan;
(iii) a loan or grant from a State, general
local government, Indian Tribe, or an insular
area;
(iv) a disaster loan from the Small
Business Administration; or
(v) any other means.
(4) Secondary business development uses.--Only to the
extent provided in paragraph (1)(B), a business recovery grant
may be used by a grantee or subgrantee, at the discretion of
the grantee or subgrantee, for business development and
economic support activities allowed under section 105(a)(17) of
the Housing and Community Development Act of 1974 (42 U.S.C.
5305(a)(17)), if such assistance is appropriate to carry out an
economic development project (that shall minimize, to the
extent practicable, displacement of existing businesses and
jobs in neighborhoods) that--
(A) creates or retains jobs for low- and moderate-
income persons;
(B) prevents or eliminates slums and blight;
(C) meet urgent needs;
(D) creates or retains businesses owned by
community residents;
(E) assists businesses that provide goods or
services needed by, and affordable to, low- and
moderate-income residents; or
(F) provides technical assistance to promote any of
the activities under subparagraphs (A) through (E).
(5) Treatment of duplication of benefits.--The Secretary
shall require that in any case in which amounts from a business
recovery grant will be used for real property renovation, the
eligible entity involved shall provide documentation to
demonstrate unmet need and damages as a result of social and
civil unrest during 2020 to the satisfaction of the Secretary,
using data available from the Federal Government or other
publicly available sources, including State property damage
claims and estimates, private insurance policy claims and
estimates, and other cost estimates from local agencies in
residential and commercial areas.
SEC. 6. DEADLINES AND REPORTING.
(a) Competitive Application Deadline.--Not later than 60 days after
the date of the enactment of this Act, the Secretary shall establish
and make publicly available an application form for the competitive
grant process under section 4(c)(2).
(b) HUD Obligation Deadline.--Not later than 180 days after the
date of the enactment of this Act, the Secretary shall begin disbursing
amounts made available to carry out this Act to States, units of
general local governments, Indian Tribes, and insular areas in
accordance with the allocation formulas under sections 4(c) and 5(c).
(c) Local Business Funds Obligation Deadlines.--
(1) States.--Of the amounts that a State elects under
section 5(d)(2)(A)(ii) to reserve for use by the State under
this paragraph--
(A) any amounts that the State provides to a civil
unrest business recovery fund under section 5(e)(1)
shall be obligated by the civil unrest business
recovery fund for expenditure not later than 75 days
after the date on which the State received the amounts
from the Secretary; and
(B) any amounts that the State chooses to provide
to a support organization under section 5(e)(2), or to
use to pay for administrative costs under section
5(e)(3), shall be obligated by the State for
expenditure not later than 75 days after the date on
which the State received the amounts from the
Secretary.
(2) Entitlement communities.--Of the amounts that an
entitlement community receives from the Secretary under section
5(c)(1)(A)--
(A) any amounts that the entitlement community
provides to a civil unrest business recovery fund under
section 5(e)(1) shall be obligated by the civil unrest
business recovery fund for expenditure not later than
75 days after the date on which the entitlement
community received the amounts; and
(B) any amounts that the entitlement community
chooses to provide to a support organization under
section 5(e)(2), or to use to pay for administrative
costs under section 5(e)(3), shall be obligated by the
entitlement community for expenditure not later than 75
days after the date on which the entitlement community
received the amounts.
(3) Nonentitlement communities.--Of the amounts that a unit
of general local government, or an entity designated thereby,
located in a nonentitlement area receives from a State under
section 5(d)(2)(A)(i)--
(A) any amounts that the unit of general local
government entity provides to a civil unrest business
recovery fund under section 5(e)(1) shall be obligated
by the civil unrest business recovery fund for
expenditure not later than 60 days after the date on
which the unit of general local government or entity
received the amounts; and
(B) any amounts that the unit of general local
government or entity community chooses to provide to a
support organization under section 5(e)(2), or to use
to pay for administrative costs under section 5(e)(3),
shall be obligated by the unit of general local
government or entity for expenditure not later than 60
days after the date on which the unit of general local
government or entity received the amounts.
(4) Recovery of unobligated funds.--If a State, entitlement
community, other unit of general local government, entity
designated by a unit of general local government, or civil
unrest business recovery fund fails to obligate amounts by the
applicable deadline under paragraph (1), (2), or (3), the
Secretary shall recover the portion of such amounts that remain
unobligated as of such deadline.
(5) Collaboration.--It is the sense of the Congress that--
(A) an entitlement community that receives amount
allocated under section 5(c)(1) should collaborate with
the applicable local entity responsible for economic
development and small business development in
establishing and administering a civil unrest business
recovery fund; and
(B) States, units of general local government
(including units of general local government located
within and outside of nonentitlement areas), Indian
Tribes, and insular areas that receive amounts under
section 5(c)(2) and are located in the same region
should collaborate in establishing and administering
civil unrest business recovery funds.
(d) Information Gathering.--When providing assistance to an
eligible entity with amounts received from an allocation made under
section 4 or 5, the entity providing the assistance shall--
(1) inquire--
(A) in the case of an eligible entity that is a
business entity or a nonprofit organization, whether
the entity is a minority-owned entity or a women-owned
entity; and
(B) in the case of an eligible entity who is an
individual, whether the individual is a minority or a
woman;
(2) collect, in the case of an eligible entity that is a
business entity or a nonprofit organization, demographic
information, including race and ethnicity, gender, disability
status, housing status, family composition, and income level,
regarding the households being served by economic development
activities and other activities funded with amounts made
available pursuant to this Act; and
(3) maintain a record of the responses to each inquiry
conducted under paragraph (1), which the entity shall promptly
submit to the applicable State, unit of general local
government, Indian Tribe, or insular area.
(e) Reporting.--
(1) In general.--Not later than 30 days after the date on
which a State, unit of general local government, Indian Tribe,
or insular area initially receives an allocation made under
section 4 or 5, and not later than 14 days after the date on
which that State, unit of general local government, Indian
Tribe, or insular area completes the full expenditure of
amounts from such allocation, such State, unit of general local
government, Indian Tribe, or insular area shall submit to the
Secretary a report that includes information setting forth--
(A) the number of recipients of assistance made
available from the allocation, disaggregated by race
and ethnicity, gender, and income and assets;
(B) the total amount, and type, of assistance made
available from the allocation;
(C) to the extent applicable, with respect to each
recipient described in subparagraph (A), information
regarding the industry of the recipient, the amount of
assistance received by the recipient, the annual sales
of the recipient, and the number of employees of the
recipient;
(D) to the extent available from the information
collected under subsection (d), demographic information
of the households receiving direct anti-poverty
programming, such as cash assistance, disaggregated by
race and ethnicity, gender, disability status, housing
status, family composition, and income level as a
percentage of the Federal poverty level;
(E) the zip code of each recipient described in
subparagraph (A); and
(F) any other information that the Secretary, in
the sole discretion of the Secretary, determines to be
necessary to carry out this Act.
(2) Public availability.--As soon as is practicable after
receiving each report submitted under paragraph (1), the
Secretary shall make the information contained in the report,
including all of the information described in subparagraph (A)
through (F) of such paragraph, publicly available.
(f) Final Report.--Not later than September 30, 2023, the Secretary
shall submit to the Congress a report analyzing and assessing the
program carried out under this Act, which shall identify any advantages
and disadvantages of the program, include comments and assessments from
localities and communities assisted, and include any recommendations
for legislative changes to improve more equitable outcomes under the
program, such as additional technical assistance, planning
requirements, and administrative support.
(g) Evaluation.--Of amounts available under section 3(d), the
Secretary may use such amounts as may be necessary to evaluate the
effectiveness of activities funded through grants under section 4,
using a methodology that--
(1) includes a random assignment whenever feasible, or
other research methods that allow for the strongest possible
casual inferences when random assignment is not feasible; and
(2) generates evidence on impact of specific projects, or
groups with identical (or nearly identical) service components
and protocols.
(h) Rules and Guidance.--The Secretary, in consultation with the
Secretary of the Treasury and the Administrator of the Small Business
Administration, shall issue any rules and guidance that are necessary
to carry out this Act, including by establishing appropriate compliance
and reporting requirements, in addition to the reporting requirements
under subsection (e).
SEC. 7. DEFINITIONS.
In this section:
(1) Covered period.--The term ``covered period'' means the
period beginning on May 1, 2020, and ending at the end of
December 31, 2020.
(2) Eligible entity.--The term ``eligible entity'' means--
(A) a privately held business entity that--
(i) employs not more than 50 full-time or
full-time equivalent employees;
(ii)(I) is physically based and located in,
or provides services to, a low-income community
or a HUBZone; or
(II) has incurred damage to real or
personal property of the business entity during
a covered period as a result of social and
civil unrest; and
(iii) has average annual receipts (as
determined in accordance with section 121.104
of title 13, Code of Federal Regulations, or
any successor regulation) of not more than
$2,000,000;
(B) an individual who operates under a sole
proprietorship, an individual who operates as an
independent contractor, or any eligible self-employed
individual, if such an individual has incurred damage
to real or personal property of their business concern
during a covered period as a result of social and civil
unrest;
(C) a community- or worker-owned cooperative that--
(i) meets the requirements of an eligible
cooperative under section 105 of the National
Consumer Cooperative Bank Act (12 U.S.C. 3015);
(ii) employs not more than 250 full-time or
full-time equivalent employees; and
(iii) is based in, or provides services to,
a low-income community;
(D) an eligible nonprofit organization that--
(i) employs not more than 250 full-time or
full-time equivalent employees;
(ii) has $10,000,000 or less in assets; and
(iii) is based in, or provides services to,
a low-income community; or
(E) any non-profit entity that is a minority-owned
or minority-serving entity.
(3) Eligible self-employed individual.--The term ``eligible
self-employed individual'' has the meaning given such term in
section 7002(b) of the Families First Coronavirus Response Act
(Public Law 116-127).
(4) Entitlement community.--The term ``entitlement
community'' means a metropolitan city or urban county, as such
terms are defined in section 102 of the Housing and Community
Development Act of 1974 (42 U.S.C. 5302).
(5) Environmental justice community.--The term
``environmental justice community'' means a community with
significant representation of communities of color, low-income
communities, or Tribal and indigenous communities, that
experiences, or is at risk of experiencing, higher or more
adverse human health or environmental effects, identified
through the Environmental Justice Screen of the Environmental
Protection Agency or an equivalent mapping and screening tool.
(6) Federal poverty level.--The term ``Federal poverty
level'' has the meaning given the term ``poverty line'' in
section 673 of the Omnibus Budget Reconciliation Act of 1981
(42 U.S.C. 9902).
(7) Full-time equivalent employees.--
(A) In general.--The term ``full-time equivalent
employees'' means a number of employees equal to the
number determined by dividing--
(i) the total number of hours of service
for which wages were paid by the employer to
employees during the taxable year; by
(ii) 2080.
(B) Rounding.--The number determined under
subparagraph (A) shall be rounded to the next lowest
whole number if not otherwise a whole number.
(C) Excess hours not counted.--If an employee works
in excess of 2,080 hours of service during any taxable
year, such excess shall not be taken into account under
subparagraph (A).
(D) Hours of service.--The Secretary of Housing and
Urban Development, in consultation with the Secretary
of Labor, shall prescribe such regulations, rules, and
guidance as may be necessary to determine the hours of
service of an employee for purposes of this paragraph,
including rules for the application of this paragraph
to employees who are not compensated on an hourly
basis.
(8) High-poverty area.--The term ``high-poverty area''
means any census tract having a poverty rate of 20 percent or
higher, as measured by recent 5-year data series available from
the American Community Survey, as of the date of the enactment
of this Act.
(9) HUBZone.--The term ``HUBZone'' has the meaning given
the term ``historically underutilized business zone'' in
section 31 of the Small Business Act (15 U.S.C. 657a).
(10) Indian tribe.--The term ``Indian Tribe'' has the
meaning given such term in section 102 of the Housing and
Community Development Act of 1974 (42 U.S.C. 5302).
(11) Insular area.--The term ``insular area'' has the
meaning given such term in section 5204 of the Omnibus Insular
Areas Act of 1992 (42 U.S.C. 5204).
(12) Low-income community.--The term ``low-income
community'' has the meaning given such term in section 45D(e)
of the Internal Revenue Code of 1986 (26 U.S.C. 45D(e)).
(13) Minority.--The term ``minority'' has the meaning given
such term in section 1204(c)(3) of the Financial Institutions
Reform, Recovery, and Enforcement Act of 1989 (12 U.S.C. 1811
note).
(14) Minority-owned entity.--The term ``minority-owned
entity'' means an entity--
(A) more than 50 percent of the ownership or
control of which is held by not less than 1 minority;
and
(B) more than 50 percent of the net profit or loss
of which accrues to not less than 1 minority.
(15) Minority-serving entity.--The term ``minority-serving
entity'' means an institution of higher education whose
minority student enrollment is at least 50 percent. Such term
includes Asian American and Native American Pacific Islander-
serving institutions, as such term is defined in section 371(c)
of the Higher Education Act of 1965 (20 U.S.C. 1067q(c)).
(16) Nonentitlement area; state; unit of general local
government.--The terms ``nonentitlement area'', ``State'', and
``unit of general local government'' have the meanings given
such terms in section 102 of the Housing and Community
Development Act of 1974 (42 U.S.C. 5302).
(17) Nonprofit organization.--The term ``nonprofit
organization'' means an organization that--
(A) is exempt from taxation pursuant to section
501(c)(3) of the Internal Revenue Code of 1986 (26
U.S.C. 501(c)(3)): and
(B) is--
(i) a community development organization or
a community development corporation;
(ii) a community development financial
institution;
(iii) a community housing organization;
(iv) a church or religious organization;
(v) a public charitable organization; or
(vi) a private foundation.
(18) Persistent poverty county.--The term ``persistent
poverty county'' means any county that has had 20 percent or
more of its population living in poverty over the past 30
years, as measured by the most recent decennial censuses and
the most recent Small Area Income and Poverty Estimates of the
Bureau of the Census, as of the date of the enactment of this
Act.
(19) Secretary.--The term ``Secretary'' means the Secretary
of Housing and Urban Development.
(20) Women-owned entity.--The term ``women-owned entity''
means an entity--
(A) more than 50 percent of the ownership or
control of which is held by not less than 1 woman; and
(B) more than 50 percent of the net profit or loss
of which accrues to not less than 1 woman.
<all>