15 USC 9561 - Grants to nonprofit organizations that support minority business enterprises

U.S Code last checked for updates: Nov 22, 2024

§ 9561.

Grants to nonprofit organizations that support minority business enterprises

(a)

Definition

In this section, the term “covered entity” means a private nonprofit organization that—

(1)

is described in paragraph (3), (4), (5), or (6) of section 501(c) of title 26 and exempt from tax under section 501(a) of such title; and

(2)

can demonstrate that a primary activity of the organization is to provide services to minority business enterprises, whether through education, making grants or loans, or other similar activities.

(b)

Purpose

(c)

Designation of office

(1)

In general

(2)

Considerations

(d)

Application

(e)

Priority

(f)

Use of funds

(g)

Procedures

The Under Secretary shall establish procedures to—

(1)

discourage and prevent waste, fraud, and abuse by applicants for, and recipients of, grants made under this section; and

(2)

ensure that grants are made under this section to a diverse array of covered entities, which may include—

(A)

covered entities with a national presence;

(B)

community-based covered entities;

(C)

covered entities with annual budgets below $1,000,000; or

(D)

covered entities that principally serve low-income and rural communities.

(h)

Inspector General audit

Not later than 180 days after the date on which the Under Secretary begins making grants under this section, the Inspector General of the Department of Commerce shall—

(1)

conduct an audit of grants made under this section, which shall seek to identify any discrepancies or irregularities with respect to those grants; and

(2)

submit to Congress a report regarding the audit conducted under paragraph (1).

(i)

Updates to Congress

Not later than 90 days after the date on which the Under Secretary makes the designation required under subsection (c), and once every 30 days thereafter, the Under Secretary shall submit to Congress a report that contains—

(1)

the number of grants made under this section during the period covered by the report; and

(2)

with respect to the grants described in paragraph (1)—

(A)

the geographic distribution of those grants by State and county;

(B)

if applicable, demographic information with respect to the minority business enterprises served by the covered entities to which the grants were made; and

(C)

information regarding the industries of the minority business enterprises served by the covered entities to which the grants were made.

(Pub. L. 117–58, div. K, title IV, § 100401, Nov. 15, 2021, 135 Stat. 1461.)

cite as: 15 USC 9561