1-1                                   AN ACT
 1-2     relating to the designation of a small business advocate to head
 1-3     the Office of Small Business Assistance.
 1-4           BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
 1-5           SECTION 1.  Sections 481.0068(a), (b), and (e), Government
 1-6     Code, are amended to read as follows:
 1-7           (a)  The Office of Small Business Assistance is an office
 1-8     within the department and shall be headed by a small business
 1-9     advocate designated by the governor [director].  To be eligible to
1-10     serve as the small business advocate, a person must have
1-11     demonstrated a strong commitment to and involvement in small
1-12     business efforts.
1-13           (b)  The Office of Small Business Assistance shall:
1-14                 (1)  examine the role of small and historically
1-15     underutilized businesses in the state's economy and the
1-16     contribution of small and historically underutilized businesses in
1-17     generating economic activity, expanding employment opportunities,
1-18     promoting exports, stimulating innovation and entrepreneurship, and
1-19     bringing new and untested products and services to the marketplace;
1-20                 (2)  serve as the principal focal point in the state
1-21     for small and historically underutilized businesses by:
1-22                       (A)  providing to the legislature information on
1-23     the effects of proposed policies or actions;
1-24                       (B)  assisting state agencies in determining the
 2-1     impact proposed rules have on small businesses as required by
 2-2     Section 2006.002; and
 2-3                       (C)  assisting the agencies in reducing the
 2-4     adverse effect that rules have on small businesses, if appropriate;
 2-5                 (3)  evaluate the effectiveness of efforts of state
 2-6     agencies and other entities to assist small and historically
 2-7     underutilized businesses and make appropriate recommendations to
 2-8     the legislature and state agencies to assist the development and
 2-9     strengthening of small and historically underutilized businesses;
2-10                 (4)  identify regulations that inhibit small and
2-11     historically underutilized business development and to the extent
2-12     possible identify conflicting state policy goals;
2-13                 (5)  determine the availability of financial and other
2-14     resources to small and historically underutilized businesses and
2-15     recommend methods for:
2-16                       (A)  increasing the availability of equity
2-17     capital and other forms of financial assistance to small and
2-18     historically underutilized businesses;
2-19                       (B)  generating markets for the goods and
2-20     services of small and historically underutilized businesses;
2-21                       (C)  providing more effective education,
2-22     training, and management and technical assistance to small and
2-23     historically underutilized businesses; and
2-24                       (D)  providing assistance to small and
2-25     historically underutilized businesses in complying with federal,
2-26     state, and local laws;
2-27                 (6)  identify the reasons for small and historically
 3-1     underutilized business successes and failures, ascertain the
 3-2     related factors that are particularly important in this state, and
 3-3     recommend actions for increasing the success rate of small and
 3-4     historically underutilized businesses;
 3-5                 (7)  serve as a focal point for receiving comments and
 3-6     suggestions concerning state government policies and activities
 3-7     that affect small and historically underutilized businesses;
 3-8                 (8)  develop and suggest proposals for changes in state
 3-9     policies and activities that adversely affect small and
3-10     historically underutilized businesses;
3-11                 (9)  provide to state agencies information on the
3-12     effects of proposed policies or actions that affect small and
3-13     historically underutilized businesses;
3-14                 (10)  provide information and assistance relating to
3-15     establishing, operating, or expanding small and historically
3-16     underutilized businesses;
3-17                 (11)  assist small and historically underutilized
3-18     businesses by:
3-19                       (A)  identifying:
3-20                             (i)  sources of financial assistance for
3-21     those businesses; and
3-22                             (ii)  financial barriers to those
3-23     businesses;
3-24                       (B)  working with relevant organizations to
3-25     identify financing programs that aid small businesses in overcoming
3-26     financial barriers;
3-27                       (C)  matching those businesses with sources of
 4-1     financial assistance and credit enhancement; and
 4-2                       (D)  assisting those businesses with the
 4-3     preparation of applications for government loans, loan guarantees,
 4-4     and credit enhancement programs;
 4-5                 (12)  sponsor meetings, to the extent practicable in
 4-6     cooperation with public and private educational institutions, to
 4-7     provide training and disseminate information beneficial to small
 4-8     and historically underutilized businesses;
 4-9                 (13)  assist small and historically underutilized
4-10     businesses in their dealings with federal, state, and local
4-11     governmental agencies and provide information regarding
4-12     governmental requirements affecting small and historically
4-13     underutilized businesses;
4-14                 (14)  perform research, studies, and analyses of
4-15     matters affecting the interests of small and historically
4-16     underutilized businesses;
4-17                 (15)  use available resources within the state, such as
4-18     small business development centers, educational institutions, and
4-19     nonprofit associations, to coordinate the provision of management
4-20     and technical assistance to small and historically underutilized
4-21     businesses in a systematic manner;
4-22                 (16)  publish newsletters, brochures, and other
4-23     documents containing information useful to small and historically
4-24     underutilized businesses;
4-25                 (17)  identify successful small and historically
4-26     underutilized business assistance programs provided by other states
4-27     and determine the feasibility of adapting those programs for
 5-1     implementation in this state;
 5-2                 (18)  establish an outreach program to make the
 5-3     existence of the office known to small and historically
 5-4     underutilized businesses and potential clients throughout the
 5-5     state;
 5-6                 (19)  enlist the cooperation and assistance of public
 5-7     and private agencies, businesses, and other organizations in
 5-8     disseminating information about the programs and services provided
 5-9     by the state that benefit small businesses and how small businesses
5-10     can participate in or make use of those programs and services;
5-11                 (20)  defer to the small business stationary source
5-12     assistance program as defined by Section 382.0365, Health and
5-13     Safety Code, on advocacy and technical assistance related to
5-14     environmental programs that regulate small businesses; [and]
5-15                 (21)  develop a "one-stop" approach for all small
5-16     business needs, including competitive activity with state agencies
5-17     and political subdivisions; and
5-18                 (22)  perform any other functions necessary to carry
5-19     out the purposes of this section.
5-20           (e)  Not later than September 1 of each even-numbered year,
5-21     the department shall submit to the governor, governing board, and
5-22     the legislature a report containing specific information regarding
5-23     each of the functions performed by the Office of Small Business
5-24     Assistance, including recommendations regarding issues that affect
5-25     small businesses of the state.
5-26           SECTION 2.  As soon as possible after the effective date of
5-27     this Act, the governor shall designate a small business advocate as
 6-1     required by Section 481.0068, Government Code, as amended by this
 6-2     Act.
 6-3           SECTION 3.  This Act takes effect September 1, 1999.
 6-4           SECTION 4.  The importance of this legislation and the
 6-5     crowded condition of the calendars in both houses create an
 6-6     emergency and an imperative public necessity that the
 6-7     constitutional rule requiring bills to be read on three several
 6-8     days in each house be suspended, and this rule is hereby suspended.
         _______________________________     _______________________________
             President of the Senate              Speaker of the House
               I certify that H.B. No. 2022 was passed by the House on May
         14, 1999, by a non-record vote; and that the House concurred in
         Senate amendments to H.B. No. 2022 on May 27, 1999, by a non-record
         vote; and that the House adopted H.C.R. No. 313 authorizing certain
         corrections in H.B. No. 2022 on May 29, 1999, by a non-record vote.
                                             _______________________________
                                                 Chief Clerk of the House
               I certify that H.B. No. 2022 was passed by the Senate, with
         amendments, on May 25, 1999, by a viva-voce vote; and that the
         Senate adopted H.C.R. No. 313 authorizing certain corrections in
         H.B. No. 2022 on May 31, 1999, by a viva-voce vote.
                                             _______________________________
                                                 Secretary of the Senate
         APPROVED:  _____________________
                            Date
                    _____________________
                          Governor