HR6037-118

2. Emergency Micro-enterprise Recovery Grant Pilot Program Not later than 60 days after the date of the enactment of this section, the Administrator of the Small Business Administration shall establish the Emergency Micro-enterprise Recovery Grant Pilot Program to award grants to eligible entities during the covered period. To receive a grant under this section, an eligible entity shall submit an application to the Administrator at such time and in such manner as the Administrator may reasonably require that contains a self-certification to verify that the entity which is applying is an eligible entity. The Administrator shall consider an application for a grant under this section in the order in which the application is received. The amount of a grant provided to an eligible entity under this section may not exceed $20,000. An eligible entity receiving a grant under this section shall use the amounts provided under this section to— address any allowable purpose for a loan made under section 7(b)(2) of the Small Business Act (15 U.S.C. 636(b)(2)); maintain payroll; purchase materials or equipment; make rent or mortgage payments; or pay for obligations that cannot be met due to revenue losses. The authority to award grants under this section shall terminate on December 31, 2024. Not later than 2 years after the date of the enactment of this Act, the Administrator shall submit to the Committee on Small Business of the House of Representatives and the Committee on Small Business and Entrepreneurship of the Senate a report evaluating the impact of the program. For purposes of the Internal Revenue Code of 1986— any grant made under this section shall not be included in the gross income of the person that receives such grant; and no deduction shall be denied, no tax attribute shall be reduced, and no basis increase shall be denied, by reason of the exclusion from gross income provided under paragraph (1) of this subsection. There is authorized to be appropriated to the Administrator $30,000,000 to carry out this section. In this section: The term Administrator means the Administrator of the Small Business Administration. The term covered period means the period beginning on August 1, 2023, and ending on December 31, 2024. The term eligible entity means an entity operating on or after August 8, 2023, on the island of Maui that— is a private nonprofit organization; or experienced revenue loss between August 8, 2023, and December 31, 2023, and is— a small agricultural cooperative (as defined in section 3(j) of the Small Business Act (15 U.S.C. 632(j))); a business with not more than 25 employees; any individual who operates under a sole proprietorship or as an independent contractor; or any corporation all of the stock of which is owned by an employee stock ownership plan (as defined in section 4975(e)(7) of the Internal Revenue Code of 1986) with not more than 100 employees. The term program means the Emergency Micro-enterprise Recovery Grant Pilot Program.