15 U.S.C. § 634 — General powers

Page 791 TITLE 15—COMMERCE AND TRADE § 634 AUDIT BY GENERAL ACCOUNTING OFFICE OF SMALL BUSINESS ADMINISTRATION; REPORT TO CONGRESS Pub. L. 93–386, § 13, Aug. 23, 1974, 88 Stat. 750, directed General Accounting Office to conduct a full-scale audit of Small Business Administration, including all field offices and to submit audit to House and Senate not later than six months from Aug. 23, 1974. NONAVAILABILITY OF UNOBLIGATED FUNDS AFTER JUNE 30, 1974 Pub. L. 93–237, § 1, Jan. 2, 1974, 87 Stat. 1023, provided in part that any additional amounts authorized by Pub. L. 93–237 [amending this section, sections 636 and 639 of this title, section 1961 of Title 7, Agriculture, and sec- tion 3142–1 of Title 42, The Public Health and Welfare, and enacting provisions set out as notes under this sec- tion, section 636 of this title, and sections 1961 and 1969 of Title 7] which were not obligated by June 30, 1974, were no longer to be available after that date. ADDITIONAL CAPITAL FOR REVOLVING FUND The following acts appropriated additional capital: 1965—$76,000,000—Pub. L. 89–309, ch. IX, Oct. 31, 1965, 79 Stat. 1151. $84,000,000—Pub. L. 89–309, ch. IX, Oct. 31, 1965, 79 Stat. 1151 [effective only upon enactment into law of authorizing legislation]. $150,000,000—Pub. L. 89–164, title V, Sept. 2, 1965, 79 Stat. 641. $100,000,000—Pub. L. 89–16, title I, ch. IX, Apr. 30, 1965, 79 Stat. 92. 1964—$45,000,000—Pub. L. 88–635, ch. IX, Oct. 7, 1964, 78 Stat. 1032. 1963—$90,000,000—Pub. L. 88–245, title V, Dec. 30, 1963, 77 Stat. 798. 1962—$300,000,000—Pub. L. 87–843, title V, Oct. 18, 1962, 76 Stat. 1102. $40,000,000—Pub. L. 87–545, title I, July 25, 1962, 76 Stat. 213. 1961—$160,000,000—Pub. L. 87–332, Sept. 30, 1961, 75 Stat. 742. $20,000,000—Pub. L. 87–125, title IV, Aug. 3, 1961, 75 Stat. 281. 1960—$50,000,000—Pub. L. 86–451, title III, May 13, 1960, 74 Stat. 102. 1959—$150,000,000—Pub. L. 86–88, title III, July 13, 1959, 73 Stat. 209. 1958—$200,000,000—Pub. L. 85–766, ch. II, Aug. 27, 1958, 72 Stat. 867. $20,000,000—Pub. L. 85–457, June 13, 1958, 72 Stat. 186. 1957—$100,000,000—Pub. L. 85–170, ch. II, Aug. 28, 1957, 71 Stat. 428. $45,000,000—Pub. L. 85–19, ch. I, Apr. 20, 1957, 71 Stat. 16. 1956—$50,000,000—Act June 20, 1956, ch. 415, title III, 70 Stat. 325. BUSINESS LOAN AND INVESTMENT FUND; INCREASE IN FINANCING FUNCTIONS; MONTHLY REPORTS TO CON- GRESS Pub. L. 91–151, title III, Dec. 23, 1969, 83 Stat. 378, pro- vided that: ‘‘The Small Business Administration shall promptly increase the level of its financing functions utilizing the business loan and investment fund estab- lished under section 4(c)(1)(B) of the Small Business Act (15 U.S.C. 633(c)(1)(B)) [subsec. (c)(1)(B) of this sec- tion] by $70,000,000 above the level prevailing at the time of enactment of this Act [Dec. 23, 1969]. The Small Business Administration shall submit to Congress a monthly report of its implementation of this section.’’ TRANSFER OF FUNDS FOR TRADE ADJUSTMENT LOANS Pub. L. 89–409, § 3(b), May 2, 1966, 80 Stat. 133, provided in part that any unexpended balances of appropriations heretofore appropriated for the purposes of such section [former section 637a of this title] were transferred to the business loan and investment fund established by section 4(c)(1) of the Small Business Act [subsec. (c)(1) of this section]. Such transfer of funds as effective July 1, 1966, see section 3(c) of Pub. L. 89–409, set out as Effective Date of 1966 Amendment note under section 636 of this title. Executive Documents TERMINATION OF TRUST TERRITORY OF THE PACIFIC ISLANDS For termination of Trust Territory of the Pacific Is- lands, see note set out preceding section 1681 of Title 48, Territories and Insular Possessions. TRANSFER OF FUNCTIONS Loan Policy Board, provided for in subsec. (d) of this section, abolished and functions, including functions of chairman and other officers, transferred to Adminis- trator of Small Business Administration by sections 11(b) and 13(a) of Reorg. Plan No. 4 of 1965, eff. July 27, 1965, 30 F.R. 9353, 79 Stat. 1321, set out in the Appendix to Title 5, Government Organization and Employees. § 633a. Detailed justification for proposed changes in budget requests Beginning in fiscal year 2013 and each fiscal year thereafter, the budget request for the Small Business Administration shall provide a detailed justification of any proposed changes from the enacted level by individual appropria- tion. The detailed justification shall include at a minimum a description of each credit and non- credit program including amount of funding and costs by appropriation account and fiscal year. For activities funded in multiple appropriations, the budget justification shall specify the amount included in each enacted appropriation, the amount proposed in the budget year and a justification for any proposed changes. (Pub. L. 112–74, div. C, title V, § 532, Dec. 23, 2011, 125 Stat. 923.) Editorial Notes CODIFICATION Section was enacted as part of the Financial Services and General Government Appropriations Act, 2012, and also as part of the Consolidated Appropriations Act, 2012, and not as part of the Small Business Act which comprises this chapter. § 634. General powers (a) Seal; appointment and compensation of per- sonnel; use of other services and facilities The Administration shall have power to adopt, alter, and use a seal, which shall be judicially noticed. The Administrator is authorized, sub- ject to the civil service and classification laws, to select, employ, appoint, and fix the com- pensation of such officers, employees, attorneys, and agents as shall be necessary to carry out the provisions of this chapter; to define their au- thority and duties; and to pay the costs of quali- fication of certain of them as notaries public. The Administration, with the consent of any board, commission, independent establishment, or executive department of the Government, may avail itself on a reimbursable or non- reimbursable basis of the use of information, services, facilities (including any field service thereof), officers, and employees thereof, in car- rying out the provisions of this chapter. Page 792 TITLE 15—COMMERCE AND TRADE § 634 (b) Powers of Administrator In the performance of, and with respect to, the functions, powers, and duties vested in him by this chapter the Administrator may— (1) sue and be sued in any court of record of a State having general jurisdiction, or in any United States district court, and jurisdiction is conferred upon such district court to deter- mine such controversies without regard to the amount in controversy; but no attachment, in- junction, garnishment, or other similar proc- ess, mesne or final, shall be issued against the Administrator or his property; (2) under regulations prescribed by him, as- sign or sell at public or private sale, or other- wise dispose of for cash or credit, in his discre- tion and upon such terms and conditions and for such consideration as the Administrator shall determine to be reasonable, any evidence of debt, contract, claim, personal property, or security assigned to or held by him in connec- tion with the payment of loans granted under this chapter, and to collect or compromise all obligations assigned to or held by him and all legal or equitable rights accruing to him in connection with the payment of such loans until such time as such obligations may be re- ferred to the Attorney General for suit or col- lection; (3) deal with, complete, renovate, improve, modernize, insure, or rent, or sell for cash or credit upon such terms and conditions and for such consideration as the Administrator shall determine to be reasonable, any real property conveyed to or otherwise acquired by him in connection with the payment of loans granted under this chapter; (4) pursue to final collection, by way of com- promise or otherwise, all claims against third parties assigned to the Administrator in con- nection with loans made by him. This shall in- clude authority to obtain deficiency judg- ments or otherwise in the case of mortgages assigned to the Administrator. Section 6101 of title 41 shall not be construed to apply to any contract of hazard insurance or to any pur- chase or contract for services or supplies on account of property obtained by the Adminis- trator as a result of loans made under this chapter if the premium therefor or the amount thereof does not exceed $1,000. The power to convey and to execute in the name of the Ad- ministrator deeds of conveyance, deeds of re- lease, assignments and satisfactions of mort- gages, and any other written instrument relat- ing to real property or any interest therein ac- quired by the Administrator pursuant to the provisions of this chapter may be exercised by the Administrator or by any officer or agent appointed by him without the execution of any express delegation of power or power of attor- ney. Nothing in this section shall be construed to prevent the Administrator from delegating such power by order or by power of attorney, in his discretion, to any officer or agent he may appoint; (5) acquire, in any lawful manner, any prop- erty (real, personal, or mixed, tangible or in- tangible), whenever deemed necessary or ap- propriate to the conduct of the activities au- thorized in sections 636(a) and 636(b) of this title; (6) make such rules and regulations as he deems necessary to carry out the authority vested in him by or pursuant to this chapter; (7) in addition to any powers, functions, privileges and immunities otherwise vested in him, take any and all actions (including the procurement of the services of attorneys by contract in any office where an attorney or at- torneys are not or cannot be economically em- ployed full time to render such services) when he determines such actions are necessary or desirable in making, servicing, compromising, modifying, liquidating, or otherwise dealing with or realizing on loans made under the pro- visions of this chapter: Provided, That with re- spect to deferred participation loans, includ- ing loans guaranteed under paragraph (15) or (35) of section 636(a) of this title, the Adminis- trator may, in the discretion of and pursuant to regulations promulgated by the Adminis- trator, authorize participating lending institu- tions to take actions relating to loan servicing on behalf of the Administrator, including de- termining eligibility and creditworthiness and loan monitoring, collection, and liquidation; (8) pay the transportation expenses and per diem in lieu of subsistence expenses, in accord- ance with subchapter I of chapter 57 of title 5, for travel of any person employed by the Ad- ministration to render temporary services not in excess of six months in connection with any disaster referred to in section 636(b) of this title from place of appointment to, and while at, the disaster area and any other temporary posts of duty and return upon completion of the assignment: Provided, That the Adminis- trator may extend the six-month limitation for an additional six months if the Adminis- trator determines the extension is necessary to continue efficient disaster loan making ac- tivities; (9) accept the services and facilities of Fed- eral, State, and local agencies and groups, both public and private, and utilize such gra- tuitous services and facilities as may, from time to time, be necessary, to further the ob- jectives of section 636(b) of this title; (10) upon purchase by the Administration of any deferred participation entered into under section 636 of this title, continue to charge a rate of interest not to exceed that initially charged by the participating institution on the amount so purchased for the remaining term of the indebtedness; (11) make such investigations as he deems necessary to determine whether a recipient of or participant in any assistance under this chapter or any other person has engaged or is about to engage in any acts or practices which constitute or will constitute a violation of any provision of this chapter, or of any rule or reg- ulation under this chapter, or of any order issued under this chapter. The Administration shall permit any person to file with it a state- ment in writing, under oath or otherwise as the Administration shall determine, as to all the facts and circumstances concerning the matter to be investigated. For the purpose of any investigation, the Administration is em- powered to administer oaths and affirmations, subpena witnesses, compel their attendance, Page 793 TITLE 15—COMMERCE AND TRADE § 634 take evidence, and require the production of any books, papers, and documents which are relevant to the inquiry. Such attendance of witnesses and the production of any such records may be required from any place in the United States. In case of contumacy by, or re- fusal to obey a subpena issued to, any person, including a recipient or participant, the Ad- ministration may invoke the aid of any court of the United States within the jurisdiction of which such investigation or proceeding is car- ried on, or where such person resides or carries on business, in requiring the attendance and testimony of witnesses and the production of books, papers, and documents; and such court may issue an order requiring such person to appear before the Administration, there to produce records, if so ordered, or to give testi- mony touching the matter under investiga- tion. Any failure to obey such order of the court may be punished by such court as a con- tempt thereof. All process in any such case may be served in the judicial district whereof such person is an inhabitant or wherever he may be found; (12) impose, retain, and use only those fees which are specifically authorized by law or which are in effect on September 30, 1994, and in the amounts and at the rates in effect on such date, except that the Administrator may, subject to approval in appropriations Acts, im- pose, retain, and utilize, additional fees— (A) not to exceed $100 for each loan serv- icing action (other than a loan assumption) requested after disbursement of the loan, in- cluding any substitution of collateral, re- lease or substitution of a guarantor, re- amortization, or similar action; (B) not to exceed $300 for loan assump- tions; (C) not to exceed 1 percent of the amount of requested financings under title III of the Small Business Investment Act of 1958 [15 U.S.C. 681 et seq.] for which the applicant re- quests a commitment from the Administra- tion for funding during the following year; and (D) to recover the direct, incremental cost involved in the production and dissemina- tion of compilations of information produced by the Administration under the authority of this chapter and the Small Business In- vestment Act of 1958 [15 U.S.C. 661 et seq.]; (13) collect, retain and utilize, subject to ap- proval in appropriations Acts, any amounts collected by fiscal transfer agents and not used by such agent as payment of the cost of loan pooling or debenture servicing oper- ations, except that amounts collected under this paragraph and paragraph (12) shall be uti- lized solely to facilitate the administration of the program that generated the excess amounts; and (14) require any lender authorized to make loans under section 636 of this title to pay ex- amination and review fees, which shall be de- posited in the account for salaries and ex- penses of the Administration, and shall be available for the costs of examinations, re- views, and other lender oversight activities. (c) Procurement of experts and consultants; com- pensation and expenses To such extent as he finds necessary to carry out the provisions of this chapter, the Adminis- trator is authorized to procure the temporary (not in excess of one year) or intermittent serv- ices of experts or consultants or organizations thereof, including stenographic reporting serv- ices, by contract or appointment, and in such cases such services shall be without regard to the civil-service and classification laws and, ex- cept in the case of stenographic reporting serv- ices by organizations, without regard to section 6101 of title 41. Any individual so employed may be compensated at a rate not in excess of the daily equivalent of the highest rate payable under section 5332 of title 5, including travel time, and, while such individual is away from his or her home or regular place of business, he or she may be allowed travel expenses (including per diem in lieu of subsistence) as authorized by section 5703 of title 5. (d) Safety deposit box rentals Section 3324(a) and (b) of title 31 shall not apply to prepayments of rentals made by the Administration on safety deposit boxes used by the Administration for the safeguarding of in- struments held as security for loans or for the safeguarding of other documents. (e) Undertaking or suspension of payment obli- gation; period; extension of maturity; repay- ment agreement; ‘‘required payments’’ de- fined (1) Subject to the requirements and conditions contained in this subsection, upon application by a small business concern which is the recipi- ent of a loan made under this chapter, the Ad- ministration may undertake the small business concern’s obligation to make the required pay- ments under such loan or may suspend such ob- ligation if the loan was a direct loan made by the Administration. While such payments are being made by the Administration pursuant to the undertaking of such obligation or while such obligation is suspended, no such payment with respect to the loan may be required from the small business concern. (2) The Administration may undertake or sus- pend for a period of not to exceed 5 years any small business concern’s obligation under this subsection only if— (A) without such undertaking or suspension of the obligation, the small business concern would, in the sole discretion of the Adminis- tration, become insolvent or remain insolvent; (B) with the undertaking or suspension of the obligation, the small business concern would, in the sole discretion of the Adminis- tration, become or remain a viable small busi- ness entity; and (C) the small business concern executes an agreement in writing satisfactory to the Ad- ministration as provided by paragraph (4). (3) Notwithstanding the provisions of sections 636(a)(4)(C) and 636(i)(1) of this title, the Admin- istration may extend the maturity of any loan on which the Administration undertakes or sus- pends the obligation pursuant to this subsection for a corresponding period of time. Page 794 TITLE 15—COMMERCE AND TRADE § 634 (4)(A) Prior to the undertaking or suspension by the Administration of any small business concern’s obligation under this subsection, the Administration, consistent with the purposes sought to be achieved herein, shall require the small business concern to agree in writing to repay to it the aggregate amount of the pay- ments which were required under the loan dur- ing the period for which such obligation was un- dertaken or suspended, either— (i) by periodic payments not less in amount or less frequently falling due than those which were due under the loan during such period, or (ii) pursuant to a repayment schedule agreed upon by the Administration and the small business concern, or (iii) by a combination of the payments de- scribed in clause (i) and clause (ii). (B) In addition to requiring the small business concern to execute the agreement described in subparagraph (A), the Administration shall, prior to the undertaking or suspension of the ob- ligation, take such action, and require the small business concern to take such action as the Ad- ministration deems appropriate in the cir- cumstances, including the provision of such se- curity as the Administration deems necessary or appropriate to insure that the rights and inter- ests of the lender (Small Business Administra- tion or participant) will be safeguarded ade- quately during and after the period in which such obligation is so undertaken or suspended. (5) The term ‘‘required payments’’ with re- spect to any loan means payments of principal and interest under the loan. (f) Sale of guaranteed portion of loans by lender or subsequent holder; limitations; secondary market (1) The guaranteed portion of any loan made pursuant to this chapter may be sold by the lender, and by any subsequent holder, consistent with regulations on such sales as the Adminis- tration shall establish, subject to the following limitations: (A) prior to the Administration’s approval of the sale, or upon any subsequent resale, of any loan guaranteed by the Administration, if the lender certifies that such loan has been prop- erly closed and that the lender has substan- tially complied with the provisions of the guarantee agreement and the regulations of the Administration, the Administration shall review and approve only materials not pre- viously approved; (B) all fees due the Administration on a guaranteed loan shall have been paid in full prior to any sale; and (C) each loan, except each loan made under section 636(a)(14) of this title, shall have been fully disbursed to the borrower prior to any sale. (2) After a loan is sold in the secondary mar- ket, the lender shall remain obligated under its guarantee agreement with the Administration, and shall continue to service the loan in a man- ner consistent with the terms and conditions of such agreement. (3) The Administration shall develop such pro- cedures as are necessary for the facilitation, ad- ministration, and promotion of secondary mar- ket operations, and for assessing the increase of small business access to capital at reasonable rates and terms as a result of secondary market operations. Beginning on March 31, 1997, the sale of the unguaranteed portion of any loan made under section 636(a) of this title shall not be per- mitted until a final regulation that applies uni- formly to both depository institutions and other lenders is promulgated by the Administration setting forth the terms and conditions under which such sales can be permitted, including maintenance of appropriate reserve require- ments and other safeguards to protect the safety and soundness of the program. (4) Nothing in this subsection or subsection (g) of this section shall be interpreted to impede or extinguish the right of the borrower or the suc- cessor in interest to such borrower to prepay (in whole or in part) any loan made pursuant to sec- tion 636(a) of this title, the guaranteed portion of which may be included in such trust or pool, or to impede or extinguish the rights of any party pursuant to section 636(a)(6)(C) of this title or subsection (e) of this section. (g) Trust certificates; guarantee of timely pay- ments of principal and interest; full faith and credit of United States; collection of fees; subrogation; division of loan guarantees (1) The Administration is authorized to issue trust certificates representing ownership of all or a fractional part of the guaranteed portion of one or more loans which have been guaranteed by the Administration under this chapter, or under section 696 of this title: Provided, That such trust certificates shall be based on and backed by a trust or pool approved by the Ad- ministration and composed solely of the entire guaranteed portion of such loans. (2) The Administration is authorized, upon such terms and conditions as are deemed appro- priate, to guarantee the timely payment of the principal of and interest on trust certificates issued by the Administration or its agent for purposes of this subsection. Such guarantee shall be limited to the extent of principal and interest on the guaranteed portions of loans which compose the trust or pool. In the event that a loan in such trust or pool is prepaid, ei- ther voluntarily or in the event of default, the guarantee of timely payment of principal and interest on the trust certificates shall be re- duced in proportion to the amount of principal and interest such prepaid loan represents in the trust or pool. Interest on prepaid or defaulted loans shall accrue and be guaranteed by the Ad- ministration only through the date of payment on the guarantee. During the term of the trust certificate, it may be called for redemption due to prepayment or default of all loans consti- tuting the pool. (3) The full faith and credit of the United States is pledged to the payment of all amounts which may be required to be paid under any guarantee of such trust certificates issued by the Administration or its agent pursuant to this subsection. (4)(A) The Administration may collect a fee for any loan guarantee sold into the secondary market under subsection (f) in an amount equal Page 795 TITLE 15—COMMERCE AND TRADE § 634 1 See References in Text note below. to not more than 50 percent of the portion of the sale price that exceeds 110 percent of the out- standing principal amount of the portion of the loan guaranteed by the Administration. Any such fee imposed by the Administration shall be collected by the Administration or by the agent which carries out on behalf of the Administra- tion the central registration functions required by subsection (h) of this section and shall be paid to the Administration and used solely to reduce the subsidy on loans guaranteed under section 636(a) of this title: Provided, That such fee shall not be charged to the borrower whose loan is guaranteed: and, Provided further, That nothing herein shall preclude any agent of the Administration from collecting a fee approved by the Administration for the functions de- scribed in subsection (h)(2).1 (B) The Administration is authorized to im- pose and collect, either directly or through a fis- cal and transfer agent, a reasonable penalty on late payments of the fee authorized under sub- paragraph (A) in an amount not to exceed 5 per- cent of such fee per month plus interest. (C) The Administration may contract with an agent to carry out, on behalf of the Administra- tion, the assessment and collection of the an- nual fee established under section 636(a)(23) of this title. The agent may receive, as compensa- tion for services, any interest earned on the fee while in the control of the agent before the time at which the agent is contractually required to remit the fee to the Administration. (5)(A) In the event the Administration pays a claim under a guarantee issued under this sub- section, it shall be subrogated fully to the rights satisfied by such payment. (B) No State or local law, and no Federal law, shall preclude or limit the exercise by the Ad- ministration of its ownership rights in the por- tions of loans constituting the trust or pool against which the trust certificates are issued. (6) If the amount of the guaranteed portion of any loan under section 636(a) of this title is more than $500,000, the Administrator shall, upon request of a pool assembler, divide the loan guarantee into increments of $500,000 and 1 in- crement of any remaining amount less than $500,000, in order to permit the maximum amount of any loan in a pool to be not more than $500,000. Only 1 increment of any loan guar- antee divided under this paragraph may be in- cluded in the same pool. Increments of loan guarantees to different borrowers that are di- vided under this paragraph may be included in the same pool. (h) Central registration of loans and trust certifi- cates; contracts with agent; disclosures by sellers of guaranteed portions of loans; regu- lation of brokers and dealers; electronic reg- istration (1) Upon the adoption of final rules and regula- tions, the Administration shall— (A) provide for a central registration of all loans and trust certificates sold pursuant to subsections (f) and (g) of this section; (B) contract with an agent to carry out on behalf of the Administration the central reg- istration functions of this section and the issuance of trust certificates to facilitate pool- ing. Such agent shall provide a fidelity bond or insurance in such amounts as the Adminis- tration determines to be necessary to fully protect the interest of the Government; (C) prior to any sale, require the seller to disclose to a purchaser of the guaranteed por- tion of a loan guaranteed under this chapter and to the purchaser of a trust certificate issued pursuant to subsection (g), information on the terms, conditions, and yield of such in- strument. As used in this paragraph, if the in- strument being sold is a loan, the term ‘‘sell- er’’ does not include (A) an entity which made the loan or (B) any individual or entity which sells three or fewer guaranteed loans per year; and (D) have the authority to regulate brokers and dealers in guaranteed loans and trust cer- tificates sold pursuant to subsections (f) and (g) of this section. (2) The agent described in paragraph (1)(B) may be compensated through any of the fees as- sessed under this section and any interest earned on any funds collected by the agent while such funds are in the control of the agent and before the time at which the agent is contrac- tually required to transfer such funds to the Ad- ministration or to the holders of the trust cer- tificates, as appropriate. (3) Nothing in this subsection shall prohibit the utilization of a book-entry or other elec- tronic form of registration for trust certificates. The Administration may, with the consent of the Secretary of the Treasury, use the book- entry system of the Federal Reserve System. (i) Office of Hearings and Appeals (1) Establishment (A) Office There is established in the Administration an Office of Hearings and Appeals— (i) to impartially decide matters relating to program decisions of the Adminis- trator— (I) for which Congress requires a hear- ing on the record; or (II) that the Administrator designates for hearing by regulation; and (ii) which shall contain the office of the Administration that handles requests sub- mitted pursuant to sections 552 of title 5 (commonly referred to as the ‘‘Freedom of Information Act’’) and maintains records pursuant to section 552a of title 5 (com- monly referred to as the ‘‘Privacy Act of 1974’’). (B) Jurisdiction (i) In general Except as provided in clause (ii), the Of- fice of Hearings and Appeals shall hear ap- peals of agency actions under or pursuant to this chapter, the Small Business Invest- ment Act of 1958 (15 U.S.C. 661 et seq.), and title 13 of the Code of Federal Regulations, and shall hear such other matters as the Administrator may determine appropriate. Page 796 TITLE 15—COMMERCE AND TRADE § 634 (ii) Exception The Office of Hearings and Appeals shall not adjudicate disputes that require a hearing on the record, except disputes per- taining to the small business programs de- scribed in this chapter. (C) Associate Administrator The head of the Office of Hearings and Ap- peals shall be the Chief Hearing Officer ap- pointed under section 633(b)(1) of this title, who shall be responsible to the Adminis- trator. (2) Chief Hearing Officer duties (A) In general The Chief Hearing Officer shall— (i) be a career appointee in the Senior Executive Service and an attorney li- censed by a State, commonwealth, terri- tory or possession of the United States, or the District of Columbia; and (ii) be responsible for the operation and management of the Office of Hearings and Appeals. (B) Alternative dispute resolution The Chief Hearing Officer may assign a matter for mediation or other means of al- ternative dispute resolution. (3) Hearing officers (A) In general The Office of Hearings and Appeals shall appoint Hearing Officers to carry out the du- ties described in paragraph (1)(A)(i). (B) Conditions of employment A Hearing Officer appointed under this paragraph— (i) shall serve in the excepted service as an employee of the Administration under section 2103 of title 5 and under the super- vision of the Chief Hearing Officer; (ii) shall be classified at a position to which section 5376 of title 5 applies; and (iii) shall be compensated at a rate not exceeding the maximum rate payable under such section. (C) Authority; powers Notwithstanding section 556(b) of title 5— (i) a Hearing Officer may hear cases aris- ing under section 554 of such title; (ii) a Hearing Officer shall have the pow- ers described in section 556(c) of such title; and (iii) the relevant provisions of sub- chapter II of chapter 5 of such title (except for section 556(b) of such title) shall apply to such Hearing Officer. (D) Treatment of current personnel An individual serving as a Judge in the Of- fice of Hearings and Appeals (as that posi- tion and office are designated in section 134.101 of title 13, Code of Federal Regula- tions) on the effective date of this sub- section shall be considered as qualified to be, and redesignated as, a Hearing Officer. (4) Determinations regarding status of con- cerns (A) In general Not later than 2 days after the date on which a final determination that a business concern does not meet the requirements of the status such concern claims to hold is made, such concern or the Administrator, as applicable, shall update the status of such concern in the System for Award Manage- ment (or any successor system). (B) Administrator updates If such concern fails to update the status of such concern as described in subparagraph (A), not later than 2 days after such failure the Administrator shall make such update. (C) Notification A concern required to make an update de- scribed under subparagraph (A) shall notify a contracting officer for each contract with respect to which such concern has an offer or bid pending of the determination made under subparagraph (A), if the concern finds, in good faith, that such determination af- fects the eligibility of the concern to per- form such a contract. (5) Hearing Officer defined In this subsection, the term ‘‘Hearing Offi- cer’’ means an individual appointed or redesig- nated under this subsection who is an attorney licensed by a State, commonwealth, territory or possession of the United States, or the Dis- trict of Columbia. (Pub. L. 85–536, § 2[5], July 18, 1958, 72 Stat. 385; Pub. L. 87–305, § 4, Sept. 26, 1961, 75 Stat. 666; Pub. L. 87–367, title I, § 103(3), Oct. 4, 1961, 75 Stat. 787; Pub. L. 92–310, title II, § 224(a), June 6, 1972, 86 Stat. 206; Pub. L. 93–386, §§ 3(1), 10, Aug. 23, 1974, 88 Stat. 745, 749; Pub. L. 94–305, title II, § 208, June 4, 1976, 90 Stat. 671; Pub. L. 95–89, title III, § 303, Aug. 4, 1977, 91 Stat. 558; Pub. L. 95–510, § 103, Oct. 24, 1978, 92 Stat. 1781; Pub. L. 96–302, title I, § 114, July 2, 1980, 94 Stat. 838; Pub. L. 98–352, § 2, July 10, 1984, 98 Stat. 329; Pub. L. 100–590, title I, § 113, Nov. 3, 1988, 102 Stat. 2997; Pub. L. 102–140, title VI, § 609(a), Oct. 28, 1991, 105 Stat. 825; Pub. L. 102–564, title III, § 307(d), Oct. 28, 1992, 106 Stat. 4264; Pub. L. 103–81, § 3(a), Aug. 13, 1993, 107 Stat. 780; Pub. L. 103–282, § 2, July 22, 1994, 108 Stat. 1422; Pub. L. 103–403, title VI, § 602, Oct. 22, 1994, 108 Stat. 4202; Pub. L. 104–36, § 4(b), Oct. 12, 1995, 109 Stat. 297; Pub. L. 104–208, div. D, title I, § 103(e), title II, §§ 205(a), 208(i)(1), Sept. 30, 1996, 110 Stat. 3009–727, 3009–738, 3009–747; Pub. L. 106–554, § 1(a)(9) [title II, § 209], Dec. 21, 2000, 114 Stat. 2763, 2763A–683; Pub. L. 108–306, § 3, Sept. 24, 2004, 118 Stat. 1131; Pub. L. 108–447, div. K, title I, § 131, Dec. 8, 2004, 118 Stat. 3452; Pub. L. 111–240, title I, § 1117, Sept. 27, 2010, 124 Stat. 2509; Pub. L. 114–92, div. A, title VIII, § 869(a)(1), Nov. 25, 2015, 129 Stat. 936; Pub. L. 114–328, div. A, title XVIII, § 1833(a), Dec. 23, 2016, 130 Stat. 2661; Pub. L. 115–232, div. A, title VIII, § 862(b)(2), Aug. 13, 2018, 132 Stat. 1898; Pub. L. 117–81, div. A, title VIII, § 863, Dec. 27, 2021, 135 Stat. 1852.) Editorial Notes REFERENCES IN TEXT The Small Business Investment Act of 1958, referred to in subsecs. (b)(12)(C), (D) and (i)(1)(B)(i), is Pub. L. 85–699, Aug. 21, 1958, 72 Stat. 689, which is classified principally to chapter 14B (§ 661 et seq.) of this title. Title III of the Act is classified generally to subchapter Page 797 TITLE 15—COMMERCE AND TRADE § 634 III (§ 681 et seq.) of chapter 14B of this title. For com- plete classification of this Act to the Code, see Short Title note set out under section 661 of this title and Ta- bles. Subsection (h)(2) of this section, referred to in subsec. (g)(4)(A), was redesignated subsec. (h)(1)(B) by Pub. L. 104–208, div. D, title II, § 205(a)(1), (2), Sept. 30, 1996, 110 Stat. 3009–738. The effective date of this subsection, referred to in subsec. (i)(3)(D), probably means the date of enactment of Pub. L. 114–92, which added subsec. (i) and which was approved Nov. 25, 2015. CODIFICATION In subsec. (b)(4), ‘‘Section 6101 of title 41’’ substituted for ‘‘Section 3709 of the Revised Statutes, as amended (41 U.S.C., sec. 5)’’ on authority of Pub. L. 111–350, § 6(c), Jan. 4, 2011, 124 Stat. 3854, which Act enacted Title 41, Public Contracts. In subsec. (b)(8), ‘‘subchapter I of chapter 57 of title 5’’ substituted for ‘‘the Travel Expense Act of 1949’’ on authority of Pub. L. 89–554, § 7(b), Sept. 6, 1966, 80 Stat. 631, the first section of which enacted Title 5, Govern- ment Organization and Employees. In subsec. (c), ‘‘section 6101 of title 41’’ substituted for ‘‘section 3709 of the Revised Statutes, as amended (41 U.S.C., sec. 5)’’ on authority of Pub. L. 111–350, § 6(c), Jan. 4, 2011, 124 Stat. 3854, which Act enacted Title 41, Public Contracts. In subsec. (d), ‘‘Section 3324(a) and (b) of title 31’’ sub- stituted for ‘‘Section 3648 of the Revised Statutes (31 U.S.C. 529)’’ on authority of Pub. L. 97–258, § 4(b), Sept. 13, 1982, 96 Stat. 1067, the first section of which enacted Title 31, Money and Finance. PRIOR PROVISIONS Prior similar provisions were contained in section 205 of act July 30, 1953, ch. 282, title II, 67 Stat. 234, as amended by act Aug. 9, 1955, ch. 628, § 4, 69 Stat. 547, which was classified to this section. See Codification note set out under section 631 of this title. AMENDMENTS 2021—Subsec. (i)(4), (5). Pub. L. 117–81 added par. (4) and redesignated former par. (4) as (5). 2018—Subsec. (b)(7). Pub. L. 115–232 inserted ‘‘, including loans guaranteed under paragraph (15) or (35) of section 636(a) of this title’’ after ‘‘deferred par- ticipation loans’’. 2016—Subsec. (i)(1)(B). Pub. L. 114–328 amended sub- par. (B) generally. Prior to amendment, text read as follows: ‘‘The Office of Hearings and Appeals shall only hear appeals of matters as described in this chapter, the Small Business Investment Act of 1958 (15 U.S.C. 661 et seq.), and title 13 of the Code of Federal Regula- tions.’’ 2015—Subsec. (i). Pub. L. 114–92 added subsec. (i). 2010—Subsec. (g)(6). Pub. L. 111–240 added par. (6). 2004—Subsec. (b)(14). Pub. L. 108–447 added par. (14). Subsec. (g)(4)(C). Pub. L. 108–306, § 3(1), added subpar. (C). Subsec. (h)(2), (3). Pub. L. 108–306, § 3(2), added par. (2) and redesignated former par. (2) as (3). 2000—Subsec. (f)(1)(C). Pub. L. 106–554 amended sub- par. (C) generally. Prior to amendment, subpar. (C) read as follows: ‘‘each loan shall have been fully dis- bursed to the borrower prior to any sale.’’ 1996—Subsec. (b)(7). Pub. L. 104–208, § 208(i)(1), sub- stituted ‘‘: Provided, That with respect to deferred par- ticipation loans, the Administrator may, in the discre- tion of and pursuant to regulations promulgated by the Administrator, authorize participating lending institu- tions to take actions relating to loan servicing on be- half of the Administrator, including determining eligi- bility and creditworthiness and loan monitoring, col- lection, and liquidation’’ for ‘‘: Provided, That nothing herein shall be construed as authorizing the Adminis- trator to contract or otherwise delegate his responsi- bility for loan servicing to other than Administration personnel, but with respect to deferred participation loans he may authorize participating lending institu- tions, in his discretion pursuant to regulations promul- gated by him, to take such actions on his behalf, in- cluding, but not limited to the determination of eligi- bility and creditworthiness, and loan monitoring, col- lection and liquidation’’. Subsec. (f)(3). Pub. L. 104–208, § 103(e), inserted at end ‘‘Beginning on March 31, 1997, the sale of the unguaranteed portion of any loan made under section 636(a) of this title shall not be permitted until a final regulation that applies uniformly to both depository institutions and other lenders is promulgated by the Administration setting forth the terms and conditions under which such sales can be permitted, including maintenance of appropriate reserve requirements and other safeguards to protect the safety and soundness of the program.’’ Subsec. (h). Pub. L. 104–208, § 205(a), designated exist- ing provisions as par. (1), redesignated former pars. (1) to (4) as subpars. (A) to (D), respectively, of par. (1), in subpar. (A) substituted ‘‘(A) provide for a central reg- istration of all loans and trust certificates sold pursu- ant to subsections (f) and (g) of this section;’’ for ‘‘(A) provide for a central registration of all loans and trust certificates sold pursuant to subsections (f) and (g) of this section. Such central registration shall include, with respect to each sale, an identification of each lender who has sold the loan; the interest rate paid by the borrower to the lender; the lender’s servicing fee; whether the loan is for a fixed rate or variable rate; an identification of each purchaser of the loan or trust certificate; the price paid by the purchaser for the loan or trust certificate; the interest rate paid on the loan or trust certificate; the fees of an agent for carrying out the functions described in paragraph (2) below; and such other information as the Administration deems appropriate;’’, and added par. (2). 1995—Subsec. (g)(4)(A). Pub. L. 104–36 substituted first sentence for former first sentence which read as fol- lows: ‘‘The Administration may collect the following fees for loan guarantees sold into the secondary market pursuant to the provisions of subsection (f) of this sec- tion: an amount equal to (A) not more than 4⁄10 of one percent per year of the outstanding principal amount of the portion of such loan guaranteed by the Administra- tion, and (B) not more than 50 percent of the portion of the sale price which is in excess of 110 percent of the outstanding principal amount of the portion of such loan guaranteed by the Administration.’’, and sub- stituted ‘‘such fee’’ for ‘‘such fees’’ in two places in sec- ond sentence. 1994—Subsec. (b)(8). Pub. L. 103–282 inserted ‘‘: Provided, That the Administrator may extend the six-month limitation for an additional six months if the Administrator determines the extension is nec- essary to continue efficient disaster loan making ac- tivities’’ before semicolon at end. Subsec. (b)(12), (13). Pub. L. 103–403 added pars. (12) and (13). 1993—Subsec. (g)(4). Pub. L. 103–81 added par. (4) and struck out former par. (4) which read as follows: ‘‘The Administration shall not collect any fee for any guar- antee under this subsection: Provided, That nothing herein shall preclude any agent of the Administration from collecting a fee approved by the Administration for the functions described in subsection (h)(2) of this section.’’ 1992—Subsec. (f)(4). Pub. L. 102–564 substituted ‘‘sec- tion 636(a)(6)(C) of this title or subsection (e) of this section’’ for ‘‘subsection (e) of this section or section 636(a)(6) or 636(a)(8) of this title’’. 1991—Subsec. (g)(1). Pub. L. 102–140 substituted ‘‘or under section 696 of this title’’ for ‘‘except separate trust certificates shall be issued for loans approved under section 636(a)(13) of this title’’. 1988—Subsec. (g)(1). Pub. L. 100–590 substituted ‘‘ex- cept separate trust certificates shall be issued for loans approved’’ for ‘‘except those’’. 1984—Subsecs. (f) to (h). Pub. L. 98–352 added subsecs. (f) to (h). Page 798 TITLE 15—COMMERCE AND TRADE § 634 1980—Subsec. (b)(7). Pub. L. 96–302 prohibited an in- terpretation that authorized the Administrator to con- tract or otherwise delegate his responsibility for loan servicing to other than Administration personnel, but sanctioned, with respect to deferred participation loans, authority for participating lending institutions to take action on behalf of the Administrator deter- mining eligibility and creditworthiness, loan moni- toring, collection, and liquidation, etc. 1978—Subsec. (c). Pub. L. 95–510 substituted ‘‘Any in- dividual so employed may be compensated at a rate not in excess of the daily equivalent of the highest rate payable under section 5332 of Title 5, including travel time, and, while such individual is away from his or her home or regular place of business, he or she may be al- lowed travel expenses (including per diem in lieu of subsistence) as authorized by section 5703 of Title 5’’ for ‘‘Any individual so employed may be compensated at a rate not in excess of $50 per diem, and, while such indi- vidual is away from his home or regular place of busi- ness, he may be allowed transportation and not to ex- ceed $15 per diem in lieu of subsistence and other ex- penses’’. 1977—Subsec. (e). Pub. L. 95–89 added subsec. (e). 1976—Subsec. (e). Pub. L. 94–305 struck out subsec. (e) which provided for the appointment, by the Adminis- trator, of the Chief Counsel for Advocacy who would serve as a focal point for complaints and suggestions, counsel small businessmen, develop proposals for change, represent interest of small businesses before federal agencies and enlist the cooperation of public and private agencies. See sections 634a to 634g of this title. 1974—Subsec. (b)(10), (11). Pub. L. 93–386, § 3(1), added pars. (10) and (11). Subsec. (e). Pub. L. 93–386, § 10, added subsec. (e). 1972—Subsec. (a). Pub. L. 92–310 struck out provisions which authorized the Administrator to provide bonds for officers, employees, attorneys, and agents. 1961—Subsec. (a). Pub. L. 87–367 struck out authoriza- tion for fifteen additional positions in grades 16, 17, and 18 of the General Schedule of the Classification Act of 1949. Subsec. (d). Pub. L. 87–305 added subsec. (d). Statutory Notes and Related Subsidiaries EFFECTIVE DATE OF 1996 AMENDMENT Amendment by sections 103 and 205 of Pub. L. 104–208 effective Oct. 1, 1996, see section 3 of Pub. L. 104–208, set out as a note under section 633 of this title. Pub. L. 104–208, div. D, title II, § 208(j), Sept. 30, 1996, 110 Stat. 3009–747, provided that: ‘‘This section [amend- ing this section, sections 80a–18, 662, 681 to 683, 687, 687b, 687d, 687k to 687m, and 697f of this title, and section 1431 of Title 12, Banks and Banking, repealing sections 687i and 687j of this title, enacting provisions set out as notes under sections 681 and 683 of this title, and amending provisions set out as a note under section 631 of this title] and the amendments made by this section shall become effective on the date of enactment of this Act [Sept. 30, 1996].’’ EFFECTIVE DATE OF 1995 AMENDMENT Pub. L. 104–36, § 8, Oct. 12, 1995, 109 Stat. 297, provided that: ‘‘(a) IN GENERAL.—Except as provided in subsection (b), the amendments made by this Act [see Short Title of 1995 Amendment note set out under section 631 of this title] do not apply with respect to any loan made or guaranteed under the Small Business Act [15 U.S.C. 631 et seq.] or the Small Business Investment Act of 1958 [15 U.S.C. 661 et seq.] before the date of enactment of this Act [Oct. 12, 1995]. ‘‘(b) EXCEPTIONS.—The amendments made by this Act apply to a loan made or guaranteed under the Small Business Act or the Small Business Investment Act of 1958 before the date of enactment of this Act [Oct. 12, 1995], if the loan is refinanced, extended, restructured, or renewed on or after the date of enactment of this Act.’’ EFFECTIVE DATE OF 1993 AMENDMENT Pub. L. 103–81, § 3(b), Aug. 13, 1993, 107 Stat. 781, pro- vided that: ‘‘Any new fees imposed by the Administra- tion pursuant to the authority conferred by subsection (a) [amending this section] shall be applicable only to loans initially sold in the secondary market pursuant to the provisions of section 5(f) of the Small Business Act [subsec. (f) of this section] after August 31, 1993.’’ Pub. L. 103–81, § 7, Aug. 13, 1993, 107 Stat. 782, which provided that sections 3 and 5 of Pub. L. 103–81, amend- ing this section and section 636 of this title and enact- ing provisions set out as notes under this section and section 636 of this title, were repealed on Sept. 30, 1996, was repealed by Pub. L. 104–208, div. D, title I, § 109(a), Sept. 30, 1996, 110 Stat. 3009–733, effective Sept. 29, 1996. EFFECTIVE DATE OF 1980 AMENDMENT Amendment by Pub. L. 96–302 effective Oct. 1, 1980, see section 507 of Pub. L. 96–302, set out as a note under section 631 of this title. EFFECTIVE DATE OF 1978 AMENDMENT Pub. L. 95–510, § 105, Oct. 24, 1978, 92 Stat. 1782, pro- vided that: ‘‘This Act [amending this section and sec- tions 636 and 637 of this title and repealing sections 5031, 5032, and 5083 of Title 42, The Public Health and Welfare] shall be effective October 1, 1979.’’ REGULATIONS Pub. L. 98–352, § 3, July 10, 1984, 98 Stat. 331, provided that: ‘‘(a) Within ninety days after the date of enactment of this Act [July 10, 1984], the Small Business Adminis- tration shall develop and promulgate final rules and regulations to implement the central registration pro- visions provided for in section 5(h)(1) of the Small Busi- ness Act [15 U.S.C. 634(h)(1)], and shall contract with an agent for an initial period of not to exceed two years to carry out the functions provided for in section 5(h)(2) of such Act. ‘‘(b) Within nine months after the date of enactment of this Act [July 10, 1984], the Small Business Adminis- tration shall consult with representatives of appro- priate Federal and State agencies and officials, the se- curities industry, financial institutions and lenders, and small business persons, and shall develop and pro- mulgate final rules and regulations to implement this Act [amending sections 633, 634, and 639 of this title and enacting provisions set out as notes under sections 631 and 634 of this title] other than as provided for in sub- section (a). ‘‘(c) The Small Business Administration shall not im- plement any of the provisions under section 5(g) of the Small Business Act, as amended [15 U.S.C. 634(g)], until final rules and regulations become effective.’’ AUTHORITY FOR THE OFFICE OF HEARINGS AND APPEALS TO DECIDE APPEALS RELATING TO QUALIFIED HUBZONE SMALL BUSINESS CONCERNS Pub. L. 117–81, div. A, title VIII, § 864, Dec. 27, 2021, 135 Stat. 1852, provided that: ‘‘Not later than 1 year after the date of the enactment of this Act [Dec. 27, 2021], the Administrator of the Small Business Administration shall issue a rule authorizing the Office of Hearings and Appeals of the Administration to decide all appeals from formal protest determinations in connection with the status of a concern as a qualified HUBZone small business concern (as such term is defined in section 31(b) of the Small Business Act (15 U.S.C. 657a(b))[)].’’ ASSET SALES Pub. L. 105–135, title V, § 505, Dec. 2, 1997, 111 Stat. 2624, provided that: ‘‘In connection with the Adminis- tration’s implementation of a program to sell to the private sector loans and other assets held by the Ad- Page 799 TITLE 15—COMMERCE AND TRADE § 634b ministration, the Administration shall provide to the Committees a copy of the draft and final plans describ- ing the sale and the anticipated benefits resulting from such sale.’’ PREFERRED LENDER STANDARD REVIEW PROGRAM Pub. L. 104–208, div. D, title I, § 103(h), Sept. 30, 1996, 110 Stat. 3009–728, provided that: ‘‘Not later than 90 days after the date of enactment of this Act [Sept. 30, 1996], the Administrator shall commence a standard re- view program for the Preferred Lender Program estab- lished by section 5(b)(7) of the Small Business Act (15 U.S.C. 634(b)(7)), which shall include annual or more frequent assessments of the participation of the lender in the program, including defaults, loans, and recov- eries of loans made by that lender under the authority of this section. The Administrator shall require such standard review for each new entrant to the Preferred Lender Program.’’ STUDY AND REPORT REGARDING 1993 AMENDMENTS TO IMPOSE SECONDARY MARKET FEES AND TO REDUCE LOAN GUARANTEE PERCENTAGES Pub. L. 103–81, § 6, Aug. 13, 1993, 107 Stat. 782, provided that: ‘‘The Administration shall study, monitor and evaluate the impact of the amendments made by sec- tions 3 and 5 of this Act [amending this section and sec- tion 636 of this title] on the ability of small business concerns and small business concerns owned and con- trolled by minorities and women, to obtain financing and the impact of such sections on the effectiveness, vi- ability and growth of the secondary market authorized by section 5(f) of the Small Business Act [subsec. (f) of this section]. Not later than 16 months after the date of enactment [Aug. 13, 1993], and annually thereafter, the Administration shall submit to the Committees on Small Business of the Senate and the House of Rep- resentatives [Committee on Small Business of Senate now Committee on Small Business and Entrepreneur- ship of Senate] a report containing the Administra- tion’s findings and recommendations on such impact, specifically including changes in the interest rates on financings provided to small business concerns and small business concerns owned and controlled by mi- norities and women, through the use of the secondary market. The Administration shall segregate such find- ings and recommendations in the study according to the ethnic and gender components in these categories. Solely for the purposes of the study authorized herein, the term ‘small business concerns owned and controlled by minorities’, includes businesses owned and con- trolled by individuals belonging to one of the des- ignated groups listed in section 8(d)(3)(C) of the Small Business Act [15 U.S.C. 637(d)(3)(C)].’’ REFERENCES IN OTHER LAWS TO GS–16, 17, OR 18 PAY RATES References in laws to the rates of pay for GS–16, 17, or 18, or to maximum rates of pay under the General Schedule, to be considered references to rates payable under specified sections of Title 5, Government Organi- zation and Employees, see section 529 [title I, § 101(c)(1)] of Pub. L. 101–509, set out in a note under section 5376 of Title 5. VIABILITY OF SECONDARY MARKETS Pub. L. 102–366, title II, § 226, Sept. 4, 1992, 106 Stat. 1001, provided that: ‘‘The Administrator of the Small Business Administration is authorized and directed to take such actions in the awarding of contracts as is deemed necessary to assure the continued long-term vi- ability of the secondary markets in loans, debentures or other securities guaranteed by the Administration.’’ SMALL BUSINESS LOAN SECONDARY MARKET STUDY Pub. L. 102–366, title III, § 311, Sept. 4, 1992, 106 Stat. 1005, directed Secretary of the Treasury, Director of Congressional Budget Office, and Chairman of Securi- ties and Exchange Commission, in consultation with Administrator of Small Business Administration, to conduct a study of potential benefits of, and legal, reg- ulatory, and market-based barriers to, developing a secondary market for loans to small businesses, speci- fied considerations to be included in the study, and re- quired that, not later than 1 year after Sept. 4, 1992, a report be submitted to Congress on results of the study, including recommendations for legislation to facilitate development of a secondary market for loans to small businesses. APPROPRIATIONS NOT AUTHORIZED Pub. L. 98–352, § 6, July 10, 1984, 98 Stat. 332, provided that: ‘‘This Act [amending this section and sections 633 and 639 of this title and enacting provisions set out as notes under this section and section 631 of this title] does not authorize the appropriation of any funds.’’ SMALL BUSINESS PROTECTION Pub. L. 90–104, title III, §§ 301–303, Oct. 11, 1967, 81 Stat. 272, authorized Administrator of Small Business Ad- ministration to conduct a special study of impact on small business concerns of robbery, burglary, shop- lifting, vandalism, and other criminal activities, and report to President and to Congress results of study, in- cluding such recommendations he deemed appropriate for administrative and legislative action, within one year after Oct. 11, 1967. § 634a. Office of Advocacy within Small Business Administration; Chief Counsel for Advocacy There is established within the Small Business Administration an Office of Advocacy. The man- agement of the Office shall be vested in a Chief Counsel for Advocacy who shall be appointed from civilian life by the President, by and with the advice and consent of the Senate. (Pub. L. 94–305, title II, § 201, June 4, 1976, 90 Stat. 668.) Editorial Notes CODIFICATION Section was not enacted as part of the Small Busi- ness Act which comprises this chapter. § 634b. Primary functions of Office of Advocacy The primary functions of the Office of Advo- cacy shall be to— (1) examine the role of small business in the American economy and the contribution which small business can make in improving competition, encouraging economic and social mobility for all citizens, restraining inflation, spurring production, expanding employment opportunities, increasing productivity, pro- moting exports, stimulating innovation and entrepreneurship, and providing an avenue through which new and untested products and services can be brought to the marketplace; (2) assess the effectiveness of existing Fed- eral subsidy and assistance programs for small business and the desirability of reducing the emphasis on such existing programs and in- creasing the emphasis on general assistance programs designed to benefit all small busi- nesses; (3) measure the direct costs and other effects of government regulation on small businesses; and make legislative and nonlegislative pro- posals for eliminating excessive or unneces- sary regulations of small businesses; (4) determine the impact of the tax structure on small businesses and make legislative and