"(f) To the extent deemed necessary by the Administrator to protect and preserve small-business interests, the Administration shall consult and cooperate with other departments and agencies of the Federal Government in the formulation by the Administration of policies affecting small-business concerns. When requested by the Administrator, each department and agency of the Federal Government shall consult and cooperate with the Administration in the formulation by such department or agency of policies affecting small-business concerns, in order to insure that small-business interests will be recognized, protected, and preserved. This subsection shall not require any department or agency to consult or cooperate with the Administration in any case where the head of such department or agency determines that such consultation or cooperation would unduly delay action which must be taken by such department or agency to protect the national interest in an emergency.

"SEC. 10. (a) The President is authorized to consult with representatives of small-business concerns with a view to encouraging the making by such persons with the approval of the President of voluntary agreements and programs to further the objectives of this Act.

"(b) No act or omission to act pursuant to this Act which occurs while this Act is in effect, if requested by the President pursuant to a voluntary agreement or program approved under subsection (a) of this section and found by the President to be in the public interest as contributing to the national defense, shall be construed to be within the prohibitions of the antitrust laws or the Federal Trade Commission Act of the United States. A copy of each such request intended to be within the coverage of this section, and any modification or withdrawal thereof, shall be furnished to the Attorney General and the Chairman of the Federal Trade Commission when made, and it shall be published in the Federal Register unless publication thereof would, in the opinion of the President, endanger the national security.

"(c) The authority granted in subsection (b) of this section shall be delegated only (1) to an official who shall for the purpose of such delegation be required to be appointed by the President by and with the advice and consent of the Senate, (2) upon the condition that such official consult with the Attorney General and the Chairman of the Federal Trade Commission not less than ten days before making any request or finding thereunder, and (3) upon the condition that such official obtain the approval of the Attorney General to any request thereunder before making the request.

"(d) Upon withdrawal of any request or finding hereunder, or upon withdrawal by the Attorney General of his approval of the voluntary agreement or program on which the request or finding is based, the provisions of this section shall not apply to any subsequent act, or omission to act, by reason of such finding or request.

"SEC. 11. The President may transfer to the Administration any functions, powers, and duties of any department or agency which relate primarily to smallbusiness problems. In connection with any such transfer, the President may provide for appropriate transfers of records, property, necessary personnel, and unexpended balances of appropriations and other funds available to the department or agency from which the transfer is made.

"SEC. 12. No loan shall be made or equipment, facilities, or services furnished by the Administration under this Act to any business enterprise unless the owners, partners, or officers of such business enterprise (1) certify to the Administration the names of any attorneys, agents, or other persons engaged by or on behalf of such business enterprise for the purpose of expediting applications made to the Administration for assistance of any sort, and the fees paid or to be paid to any such persons; (2) execute an agreement binding any such business enterprise for a period of two years after any assistance is rendered by the Administration to such business enterprise, to refrain from employing, tendering any office or employment to, or retaining for professional services, any person who, on the date such assistance or any part thereof was rendered, or within one year prior thereto, shall have served as an officer, attorney, agent, or employee of the Administration occupying a position or engaging in activities which the Administration shall have determined involve discretion with respect to the granting of assistance under this Act; and (3) furnish the names of lending institutions to which such business enterprise has applied for loans together with dates, amounts, terms, and proof of refusal.

"SEC. 13. To the fullest extent the Administration deems practicable, it shall make a fair charge for the use of Government-owned property and make and let

contracts on a basis that will result in a recovery of the direct costs incurred by the Administration.

"SEC. 14. To effectuate the purposes of this Act, small-business concerns within the meaning of this Act shall receive any award or contract or any part thereof as to which it is determined by the Administration and the contracting procurement agency (1) to be in the interest of maintaining or mobilizing the Nation's full productive capacity, or (2) to be in the interest of war or national defense programs. Whenever the Administration and the contracting procurement agency fail to agree, the matter shall be submitted for determination to the Secretary or the head of the appropriate department or agency by the Administrator.

"SEC. 15. (a) Whoever makes any statement knowing it to be false, or whoever willfully overvalues any security, for the purpose of obtaining for himself or for ́any applicant any loan, or extension thereof by renewal, deferment of action, or otherwise, the acceptance, release, or substitution of security therefor, or for the purpose of influencing in any way the action of the Administration, or for the purpose of obtaining money, property, or anything of value, under this Act, shall be punished by a fine of not more than $5,000 or by imprisonment for not more than two years, or both.

"(b) Whoever, being connected in any capacity with the Administration, (1) embezzles, abstracts, purloins, or willfully misapplies any moneys, funds, securities, or other things of value, whether belonging to it or pledged or otherwise entrusted to it, or (2) with intent to defraud the Administration or any other body politic or corporate, or any individual, or to deceive any officer, auditor, or examiner of the Administration, makes any false entry in any book, report, or statement of or to the Administration, or, without being duly authorized, draws any order or issues, puts forth, or assigns any note, debenture, bond, or other obligation, or draft, bill of exchange, mortgage, judgment, or decree thereof, or (3) with intent to defraud participates or shares in or receives directly or indirectly any money, profit, property, or benefit through any transaction, loan, commission, contract, or any other act of the Administration, or (4) gives any unauthorized information concerning any future action or plan of the Administration which might affect the value of securities, or, having such knowledge, invests or speculates, directly or indirectly, in the securities or property of any company or corporation receiving loans or other assistance from the Administration, shall be punished by a fine of not more than $10,000 or by imprisonment for not more than five years, or both.

"SEC. 16. The Administration shall not duplicate the work or activity of any other department or agency of the Federal Government and nothing contained in this Act shall be construed to authorize any such duplication unless such work or activity is expressly provided for in this Act.

"SEC. 17. If any provision of this Act, or the application thereof to any person or circumstances, is held invalid, the remainder of this Act, and the application of such provision to other persons or circumstances, shall not be affected thereby. "SEC. 18. There are hereby authorized to be appropriated such sums as may be necessary and appropriate for the carrying out of the provisions and purposes of this Act.

"SEC. 19. All laws and parts of laws inconsistent with this Act are hereby repealed to the extent of such inconsistency."

SEC. 3. The fourth paragraph of section 24 of the Federal Reserve Act is amended (1) by striking out "or the Small Business Administration" and "or of the Small Business Act of 1953,", and (2) by adding at the end thereof the following new sentence: "Loans in which the Small Business Administration cooperates through agreements to participate on an immediate or deferred basis under the Small Business Act shall not be subject to the restrictions or limitations of this section imposed upon loans secured by real estate." Passed the House of Representatives June 25, 1957. Attest:

RALPH R. ROBERTS, Clerk.

[S. 2729, 85th Cong., 1st sess.]

A BILL To authorize the Secretary of the Treasury to extend the maturities of or renew certain loans made by the Reconstruction Finance Corporation in aid of the orderly liquidation of such loans

Be it enacted by the Senate and House of Representatives of the United States of America in Congress assembled, That the Secretary of the Treasury is hereby authorized to further extend the maturity of or renew any loan transferrd to

the Secretary of the Treasury pursuant to Reorganization Plan Numbered 1 of 1957, for additional periods not to exceed fifteen years, if such extension or renewal will aid in the orderly liquidation of such loan.

[S. 2825, 85th Cong., 1st sess.]

A BILL To amend the Small Business Act of 1953 to include within the definition of a small business concern certain agricultural enterprises

Be it enacted by the Senate and House of Representatives of the United States of America in Congress assembled, That section 203 of the Small Business Act of 1953 is amended to read as follows:

“SEC. 203. (a) For the purposes of this title, a small business concern (1) shall be deemed to be one which is independently owned and operated and which is not dominant in its field of operation; and (2) shall include, along with other types of business enterprises, (A) any corporation engaged in the raising for sale of agricultural products (including livestock, poultry, bees, or birds), the processing or canning of such products for sale, or the developing, leasing, or sale of farms, or lands for the production of such products, or (B) any individual, cooperative, partnership, association, or other entity engaged in the sale of such products.

"(b) In addition to the criteria contained in subsection (a), the Administration, in making a detailed definition, may use, among other criteria, the following: Number of employees and dollar volume of business."

[S. 2998, 85th Cong., 2d sess.]

A BILL To expand the opportunities of small businesses to participate in and to derive the benefits from research and development

Be it enacted by the Senate and House of Representatives of the United States of America in Congress assembled, That this Act may be cited as the "Small Business Research and Development Act of 1958.”

SEC. 2. The Small Business Act of 1953, as amended, is amended by inserting after section 212 a new section as follows:

"SEC. 212A. SMALL BUSINESS RESEARCH AND DEVELOPMENT.—

"(a) Research and development are major factors in the growth and progress of industry and the national economy. The expense of carrying on research and development programs is beyond the means of many small-business concerns, and such concerns are handicapped in obtaining the benefits of research and development programs conducted at Government expense. These small-business concerns are thereby placed at a competitive disadvantage. This weakens the competitive free-enterprise system and prevents the orderly development of the national economy. It is the policy of the Congress that assistance be given to small-business concerns to enable them to undertake and to obtain the benefits of research and development in order to maintain and strengthen the competitive free-enterprise system and the national economy.

“(b) It shall be the duty of the Administration, and it is hereby empowered— "(1) to assist small-business concerns to obtain Government contracts for research and development; and

"(2) to assist small-business concerns to obtain the benefits of research and development performed under Government contracts or at Government expense.

"(c) The Administration is authorized to consult and cooperate with all Government agencies and to make studies and recommendations to such agencies. and such agencies are authorized and directed to cooperate with the Administration in order to carry out and to accomplish the purposes of this section.

"(d) (1) The Administrator is authorized to consult with representatives of small-business concerns with a view to assisting and encouraging such firms to undertake joint programs for research and development carried out through such corporate or other mechanism as may be most appropriate for the purpose. "(2) The Administrator may, after consultation with the Attorney General and the Chairman of the Federal Trade Commission, and with the prior written approval of the Attorney General, approve any agreement between small-business firms providing for a joint program of research and development, if the Admin

istrator finds that the joint program proposed will maintain and strengthen the free-enterprise system and the economy of the Nation. The Administrator or the Attorney General may at any time withdraw his approval of the agreement and the joint program of research and development covered thereby, if he finds that the agreement or the joint program carried on under it is no longer in the best interests of the competitive free-enterprise system and the economy of the Nation. A copy of the statement of any such finding and approval intended to be within the coverage of this subsection, and a copy of any modification or withdrawal of approval, shall be published in the Federal Register. The authority conferred by this subsection on the Administrator shall not be delegated by him.

"(3) No act or omission to act pursuant to and with the scope of any joint program for research and development, under an agreement approved by the Administrator under this subsection, shall be construed to be within the prohibitions of the antitrust laws or the Federal Trade Commission Act. Upon publication in the Federal Register of the notice of withdrawal of his approval of the agreement granted under this subsection, either by the Administrator or by the Attorney General, the provisions of this subsection shall not apply to any subsequent act or omission to act by reason of such agreement or approval."

[S. 3319, 85th Cong., 2d sess.]

A BILL To make the provisions of section 3466 of the Revenue Statutes inapplicable to debts due the Small Business Administration

Be it enacted by the Senate and House of Representatives of the United States of America in Congress assembled, That section 205 (b) (2) of the Small Business Act of 1953 is amended by inserting before the semicolon a colon and the following: "Provided, That any debt due the Administration which is outstanding on or after the effective date of this proviso shall not be entitled to the priority available to the United States pursuant to section 3466 of the Revised Statutes (31 U. S. C. 191)".

[S. 3434, 85th Cong., 2d sess.]

A BILL To provide for disaster loans to small business concerns which suffer economic injury due to federally aided highway construction programs

Be it enacted by the Senate and House of Representatives of the United States of America in Congress assembled, That section 207 (b) (1) of the Small Business Act of 1953, as amended, is amended by inserting before the word "floods" the words "condemnation proceedings under federally aided highway construction programs, or because of".

[S. 3453, 85th Cong., 2d sess.]

A BILL To authorize assistance under the Small Business Act of 1953 to small-business concerns adversely affected by programs under the Soil Bank Act

Be it enacted by the Senate and House of Representatives of the United States of America in Congress assembled, That section 207 (b) (1) of the Small Business Act of 1953 is amended by inserting “(A)” immediately after "to be necessary or appropriate", and by inserting before the first colon a comma and the following: "and (B) to any small-business concern if the Administration determines that the small-business concern has suffered a substantial economic injury as a result of programs administered by the Secretary of Agriculture under the provisions of the Soil Bank Act".

SEC. 2. Section 204 (b) of the Small Business Act of 1953 is amended

(1) by striking out "$455,000,000" wherever it appears and inserting in lieu thereof "$505,000,000"; and

(2) by striking out "$125,000,000" and inserting in lieu thereof "$175,000,000".

[S. 3664, 85th Cong., 2d sess.]

A BILL To provide assistance to small-business concerns to facilitate adjustments made necessary by the foreign trade policy of the United States, and for other purposes

Be it enacted by the Senate and House of Representatives of the United States of America in Congress assembled, That (a) section 207 of the Small Business Act of 1953 is amended by adding at the end thereof a new subsection as follows: "(c) (1) The Administration also may make such loans (either directly or in cooperation with banks or other lending institutions through agreements to participate on an immediate or deferred basis) as it may determine to be necessary or appropriate to enable individual small-business concerns which have been adversely affected by the foreign trade policies of the United States to adjust to changed economic conditions through plant construction, conversion, or expansion (including the acquisition of land), the acquisition of new equipment, facilities, machinery, supplies, or materials, or the liquidation thereof, or as may otherwise be required to meet such changed conditions.

"(2) For purposes of this subsection, a small-business concern shall be considered to have been adversely affected by the foreign trade policies of the United States if the Administrator finds that

"(A) it is a member of an industry concerning which the United States Tariff Commission, in a proceeding under section 7 of the Trade Agreements Extension Act of 1951 (the so-called 'escape clause'), has made a recommendation for action by the President to prevent or remedy injury to such industry;

"(B) the President has failed to take such action within the time specified in subsection (c) of such section 7; and

"(C) such small-business concern has actually suffered serious economic injury from increased imports of a product upon which the concession has been granted under a foreign trade agreement.

"(3) No loan under this subsection (including renewals and extensions thereof) shall be made for a period or periods exceeding twenty years, or bear interest, on the Administration's share of the loan, at a rate in excess of 3 per centum per annum.

"(4) A certificate of eligibility shall be issued by the Administrator, upon request, to any small-business concern which meets the requirements of paragraph (2) of this subsection."

(b) Section 204 (b) of such Act is amended

(1) by striking out "$455,000,000" wherever it appears and inserting in lieu thereof "$555,000,000";

(2) by inserting ", and (c)" before the period at the end of the fourth sentence; and

(3) by inserting immediately before the last sentence a new sentence as follows: "Not to exceed an aggregate of $100,000,000 shall be outstanding at any one time for the purposes enumerated in section 207 (c)."

SEC. 2. Section 217 (b) of the Small Business Act of 1953 is amended by inserting immediately after the phrase "to the national defense" the phrase "or to the well-being of small business in an industry which has been adversely affected by the foreign trade policies of the United States".

SEC. 3. The Secretary of Commerce, acting through the Office of Area Development, shall provide technical assistance and advice, upon the request of any small-business concern to which a certificate of eligibility has been issued under section 207 (c) (4) of the Small Business Act of 1953, to aid such concern to adjust, through plant conversion, relocation, or otherwise, to changed economic conditions resulting from the foreign trade policies of the United States.

SEC. 4. (a) Section 167 of the Internal Revenue Code of 1954 (relating to the deduction for depreciation) is amended by redesignating subsection (h) as (i), and by inserting after subsection (g) the following new subsection:

"(h) SMALL-BUSINESS CONCERNS INJURED BY UNITED STATES FOREIGN TRADE POLICY.

"(1) SPECIAL RULE.-In the case of property described in paragraph (4) used in a trade or business by a small-business concern which, within the meaning of paragraph (2), has been adversely affected by the foreign trade policies of the United States, the reasonable allowance under subsection (a) shall, at the election of the taxpayer, be—

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