Bill text (engrossed House) — H.R. 3807, Restaurant Revitalization Fund / Relief for Restaurants Act (2022-04-07)

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Full text

117TH CONGRESS 
2D SESSION 
H. R. 3807 
AN ACT 
To amend the American Rescue Plan Act of 2021 to increase 
appropriations to the Restaurant Revitalization Fund, 
and for other purposes. 
Be it enacted by the Senate and House of Representa-
1
tives of the United States of America in Congress assembled, 
2

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SECTION 1. SHORT TITLE. 
1
This Act may be cited as the ‘‘Relief for Restaurants 
2
and other Hard Hit Small Businesses Act of 2022’’. 
3
SEC. 2. RESTAURANT REVITALIZATION GRANTS. 
4
(a) APPROPRIATION.—Section 5003(b)(2) of the 
5
American Rescue Plan Act of 2021 (15 U.S.C. 
6
9009c(b)(2)) is amended— 
7
(1) in subparagraph (A)— 
8
(A) by striking ‘‘$28,600,000,000’’ and in-
9
serting ‘‘$70,600,000,000’’; and 
10
(B) by inserting ‘‘, of which not more than 
11
$420,000,000 shall be for administrative ex-
12
penses to carry out this section, and of which 
13
$7,500,000 shall be for the Inspector General 
14
of 
the 
Small 
Business 
Administration, 
15
$7,500,000 for the Department of Justice for 
16
investigative and prosecutorial activities related 
17
to fraud and abuse, and $7,500,000 for Pan-
18
demic Response Accountability Committee, for 
19
audits of grants under this section to inves-
20
tigate fraud and to identify improper payments 
21
and ineligible recipients, and for other nec-
22
essary expenses’’ before the period at the end; 
23
and 
24
(2) in subparagraph (B)(i)(II), by striking 
25
‘‘$23,600,000,000’’ and inserting ‘‘any remaining 
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amounts not used for a purpose authorized under 
1
subparagraph (A) or clause (i) of this subpara-
2
graph’’. 
3
(b) INSUFFICIENT FUNDING.—Section 5003 of the 
4
American Rescue Plan Act of 2021 (15 U.S.C. 9009c) is 
5
amended by adding at the end the following: 
6
‘‘(d) INSUFFICIENT FUNDING.— 
7
‘‘(1) IN GENERAL.—If the Administrator deter-
8
mines that the amounts made available to carry out 
9
this section are insufficient to make grants in the 
10
amount provided in subsection (c)(4) to each eligible 
11
entity that has submitted an application in accord-
12
ance with the program guidelines in effect on the 
13
day before the date of enactment of this subsection, 
14
but has not received an award as of such date, the 
15
Administrator shall make grants with the available 
16
amounts to each such eligible applicant— 
17
‘‘(A) such that the amount of the grant 
18
that each such eligible entity would have other-
19
wise received under this section is reduced by 
20
an equal percentage; 
21
‘‘(B) by establishing a maximum amount 
22
for a grant made under this subsection to en-
23
sure that smaller eligible entities still receive 
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grants in the amounts provided under sub-
1
section (c)(4); or 
2
‘‘(C) by providing full awards in the 
3
amounts provided under subsection (c)(4) below 
4
a certain threshold (as the Administrator may 
5
establish) and reducing grants above that 
6
threshold by an equal percentage. 
7
‘‘(2) RESERVING
FUNDS.—Nothing in para-
8
graph (1) shall prevent the Administrator from— 
9
‘‘(A) reserving funding for applicants that 
10
may be determined to be eligible for a grant 
11
under this section upon reconsideration; or 
12
‘‘(B) making partial awards to eligible en-
13
tities on a preliminary basis until the amount of 
14
funding required to fund grants to all eligible 
15
applicants is established, upon the completion 
16
of the reconsideration process.’’. 
17
(c) REPORTS; RECONSIDERATION; VERIFICATION OF 
18
BUSINESS TYPE.—Section 5003 of the American Rescue 
19
Plan Act of 2021 (15 U.S.C. 9009c), as amended by sub-
20
section (b), is further amended by adding at the end the 
21
following: 
22
‘‘(e) REPORTS.—The Administrator shall— 
23
‘‘(1) on a biweekly basis until the amounts 
24
made available to carry out this section are fully ex-
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pended, publish data that shows, for the period be-
1
ginning on the date on which the Administrator 
2
began making grants under this section and ending 
3
on the date on which the information is published— 
4
‘‘(A) with respect to applications for grants 
5
under this section, the number of those applica-
6
tions— 
7
‘‘(i) that the Administrator has re-
8
ceived; 
9
‘‘(ii) that the Administrator has re-
10
viewed or is in the process of reviewing; 
11
and 
12
‘‘(iii) with respect to which the Ad-
13
ministrator has made a decision; and 
14
‘‘(B) the number and dollar amount of 
15
grants under this section— 
16
‘‘(i) that have been awarded; and 
17
‘‘(ii) that have been disbursed; 
18
‘‘(2) on a weekly basis until the amounts made 
19
available to carry out this section are fully expended, 
20
publish, with respect to the period beginning on the 
21
date of enactment of this subsection and ending on 
22
the date on which the information is published— 
23
‘‘(A) with respect to each eligible entity to 
24
which a grant is made under this section— 
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‘‘(i) the name of the eligible entity, in-
1
cluding the name or names under which 
2
the eligible entity does business if that 
3
name is different from the name of the eli-
4
gible entity; and 
5
‘‘(ii) the address of— 
6
‘‘(I) the eligible entity; and 
7
‘‘(II) the physical location or lo-
8
cations for the eligible entity listed on 
9
the application, if different from the 
10
address of the eligible entity; 
11
‘‘(B) the amount of each grant described 
12
in subparagraph (A); and 
13
‘‘(C) the business category listed in sub-
14
section (a)(4)(A) to which the eligible entity be-
15
longs. 
16
‘‘(f) RECONSIDERATION.— 
17
‘‘(1) EXPLANATION FOR DENIAL.—With respect 
18
to an applicant that applies for a grant under this 
19
section and is denied by the Administrator, the Ad-
20
ministrator shall make available to the applicant a 
21
brief explanation identifying the reason why the Ad-
22
ministrator denied the application of the applicant, 
23
which shall include, where applicable, a citation to 
24
the statutory, regulatory, or guidance provision with 
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which the applicant failed to comply and that was 
1
the basis for the denial. 
2
‘‘(2) PROCESS.—The Administrator shall estab-
3
lish a reconsideration process through which the ap-
4
plicant may— 
5
‘‘(A) submit to the Administrator addi-
6
tional information the applicant determines to 
7
be relevant to whether the applicant is eligible 
8
for the grant; and 
9
‘‘(B) receive a review of the application 
10
and such additional information submitted 
11
under subparagraph (A). 
12
‘‘(g) VERIFICATION OF BUSINESS TYPE.—If the Ad-
13
ministrator verifies that an applicant for a loan under sec-
14
tion 7(a)(36) of the Small Business Act is not an eligible 
15
business type for a grant under this section using credible 
16
information other than information obtained from the ap-
17
plication of the applicant for such loan during 2020, the 
18
Administrator may reject the application solely on those 
19
grounds.’’. 
20
(d) REQUIREMENT OF CONTINUING OPERATION.— 
21
For any application for a grant under section 5003 of the 
22
American Rescue Plan Act of 2021 (15 U.S.C. 9009c) 
23
that is pending on the date of enactment of this Act or 
24
for which the applicant has received an award notice but 
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the Administrator has not disbursed amounts under the 
1
grant, the Administrator may not disburse amounts under 
2
the grant unless the applicant submits a statement to the 
3
Administrator indicating the applicant is still operating, 
4
or intends to reopen within 6 months after the date of 
5
the statement is submitted, the place of business for which 
6
such applicant is seeking such grant. 
7
(e) OVERSIGHT AND AUDITS.—Section 5003 of the 
8
American Rescue Plan Act of 2021 (15 U.S.C. 9009c), 
9
as amended by subsection (c), is further amended by add-
10
ing at the end the following: 
11
‘‘(h) OVERSIGHT AND AUDITS.— 
12
‘‘(1) IN GENERAL.—The Administrator shall in-
13
stitute an oversight and audit plan with respect to 
14
eligible entities receiving grants under this section, 
15
which shall include— 
16
‘‘(A) documentation requirements that are 
17
consistent with the eligibility and other require-
18
ments under this section, including by requiring 
19
an eligible entity that receives a grant under 
20
this section to retain records that demonstrate 
21
compliance with those requirements; and 
22
‘‘(B) reviews of the use of grants made 
23
under this section by eligible entities. 
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‘‘(2) SUBMISSION OF PLAN.—Not later than 30 
1
days after the date of enactment of this subsection, 
2
the Administrator shall submit to the Committee on 
3
Small Business and Entrepreneurship of the Senate 
4
and the Committee on Small Business of the House 
5
of Representatives the plan required under para-
6
graph (1), which shall describe— 
7
‘‘(A) the policies and procedures of the Ad-
8
ministrator for conducting oversight and audits 
9
of grants made under this section; and 
10
‘‘(B) the metrics that the Administrator 
11
will use to determine which grants made under 
12
this section will be audited under that plan. 
13
‘‘(3) REPORTS.—Not later than 60 days after 
14
the date of enactment of this subsection, and once 
15
every 30 days thereafter until the date that is 180 
16
days after the date on which all amounts made avail-
17
able to carry out this section have been fully ex-
18
pended, and upon request thereafter, the Adminis-
19
trator shall submit to the Committee on Small Busi-
20
ness and Entrepreneurship of the Senate and the 
21
Committee on Small Business of the House of Rep-
22
resentatives a report on the oversight and audit ac-
23
tivities of the Administrator under this subsection, 
24
which shall include— 
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‘‘(A) the total number of grants approved 
1
and disbursed under this section; 
2
‘‘(B) the total amount of each grant re-
3
ceived by each eligible entity; 
4
‘‘(C) the number of active investigations 
5
and audits of grants made under this section; 
6
‘‘(D) the number of completed reviews and 
7
audits of grants made under this section, in-
8
cluding a description of— 
9
‘‘(i) any findings of fraud or other 
10
material noncompliance with the require-
11
ments of this section; and 
12
‘‘(ii) the total amount recouped from 
13
ineligible recipients; and 
14
‘‘(E) a description of any substantial 
15
changes made to the plan required under para-
16
graph (1). 
17
‘‘(4) RETROACTIVE
APPLICATION.—This sub-
18
section shall apply to grants and decisions made 
19
under this section before, on, or after the date of en-
20
actment of this subsection.’’. 
21
SEC. 3. HARD HIT INDUSTRIES AWARD PROGRAM. 
22
(a) DEFINITIONS.—In this section: 
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(1) ADMINISTRATOR.—The term ‘‘Adminis-
1
trator’’ means the Administrator of the Small Busi-
2
ness Administration. 
3
(2) AFFILIATED BUSINESS.—The term ‘‘affili-
4
ated business’’ means a business in which an eligible 
5
entity— 
6
(A) has an equity or right to receive not 
7
less than 50 percent of the profit distributions 
8
of such business; or 
9
(B) has, on or before March 13, 2020, con-
10
tractual authority to control the business. 
11
(3) AWARD.—The term ‘‘award’’ means a fi-
12
nancial assistance payment that an eligible applicant 
13
receives directly from the Small Business Adminis-
14
tration. 
15
(4) COVERED PERIOD.—The term ‘‘covered pe-
16
riod’’ means the period beginning on February 15, 
17
2020, and ending on the later of— 
18
(A) March 31, 2023; or 
19
(B) a date to be determined by the Admin-
20
istrator that is not later than 2 years after the 
21
date of enactment of this section. 
22
(5) ELIGIBLE ENTITY.—The term ‘‘eligible enti-
23
ty’’— 
24
(A) means a small business concern that— 
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(i) employs not more than 200 em-
1
ployees; and 
2
(ii) suffered a pandemic-related rev-
3
enue loss of 40 percent or greater; and 
4
(B) does not include a small business con-
5
cern that— 
6
(i) is a State or local government-op-
7
erated business; 
8
(ii) has received a grant under— 
9
(I) section 324 of the Economic 
10
Aid to Hard Hit Small Businesses, 
11
Nonprofits, and Venues Act (15 
12
U.S.C. 9009a); or 
13
(II) section 5003 of the Amer-
14
ican Rescue Plan Act of 2021 (Public 
15
Law 117–2); 
16
(iii) is a publicly-traded company; 
17
(iv) is an entity that is owned or oper-
18
ated by a private equity fund; or 
19
(v) has a wage violation at the time of 
20
application. 
21
(6) ELIGIBLE SELF-EMPLOYED INDIVIDUAL.— 
22
The term ‘‘eligible self-employed individual’’ has the 
23
meaning given in section 7002(b) of the Families 
24

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First Coronavirus Response Act (26 U.S.C. 1401 
1
note). 
2
(7) EXCHANGE; ISSUER; SECURITY.—The terms 
3
‘‘exchange’’, ‘‘issuer’’, and ‘‘security’’ have the 
4
meanings given those terms, respectively, in section 
5
3(a) of the Securities Exchange Act of 1934 (15 
6
U.S.C. 78c(a)). 
7
(8) PANDEMIC-RELATED REVENUE LOSS.— 
8
(A) IN GENERAL.—The term ‘‘pandemic- 
9
related revenue loss’’ means, subject to sub-
10
paragraph (B) and with respect to an eligible 
11
entity— 
12
(i) except as provided in clauses (ii) 
13
and (iii), the average annual gross receipts 
14
during 2020 and 2021, as established 
15
using such verification documentation as 
16
the Administrator may require, of the eligi-
17
ble entity subtracted from the gross re-
18
ceipts of the eligible entity in 2019, if such 
19
sum is greater than zero; 
20
(ii) if the eligible entity was not in op-
21
eration for the entirety of 2019— 
22
(I) the difference between— 
23
(aa) the product obtained by 
24
multiplying the average monthly 
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gross receipts of the eligible enti-
1
ty in 2019 by 12; and 
2
(bb) the product obtained by 
3
multiplying the average monthly 
4
gross receipts of the eligible enti-
5
ty in 2020 and 2021 by 12; or 
6
(II) an amount based on a for-
7
mula determined by the Adminis-
8
trator; or 
9
(iii) if the eligible entity began oper-
10
ations during the period beginning on Jan-
11
uary 1, 2020, and ending on the day be-
12
fore the date of enactment of this section, 
13
an amount based on a formula determined 
14
by the Administrator. 
15
(B) REDUCTION.—For purposes of this 
16
paragraph, the pandemic-related revenue losses 
17
for an eligible entity calculated under subpara-
18
graph (A) shall be reduced by the sum of— 
19
(i) any amount received from a cov-
20
ered loan made under paragraph (36) or 
21
(37) of section 7(a) of the Small Business 
22
Act (15 U.S.C. 636(a)) in 2020 or 2021; 
23
(ii) any amount received as a grant 
24
under section 1110 of the Coronavirus Aid, 
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Relief, and Economic Security Act (15 
1
U.S.C. 9009); and 
2
(iii) any amount received as a grant 
3
under section 331 of the Economic Aid to 
4
Hard-Hit Small Businesses, Nonprofits, 
5
and Venues Act (15 U.S.C. 9009b). 
6
(C) PERCENTAGE
DETERMINATION.—For 
7
the purposes of determining the percentage of 
8
pandemic-related revenue loss under this sub-
9
section, the percentage shall be equal to— 
10
(i) in the case of an eligible entity for 
11
which subparagraph (A)(i) applies, the 
12
product obtained by multiplying— 
13
(I) the quotient obtained by di-
14
viding the pandemic-related revenue 
15
losses for such eligible entity by the 
16
gross receipts of the eligible entity in 
17
2019; and 
18
(II) 100; 
19
(ii) in the case of an eligible entity for 
20
which subparagraph (A)(ii)(I) applies, the 
21
product obtained by multiplying— 
22
(I) the quotient obtained by di-
23
viding the pandemic-related revenue 
24
losses for such eligible entity by the 
25

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product obtained by multiplying the 
1
average monthly gross receipts of the 
2
eligible entity in 2019 by 12; and 
3
(II) 100; and 
4
(iii) in the case of an eligible entity 
5
for which clauses (ii)(II) or (iii) applies, an 
6
amount based on a formula determined by 
7
the Administrator. 
8
(9) PAYROLL COSTS.—The term ‘‘payroll costs’’ 
9
has the meaning given the term in section 
10
7(a)(36)(A) of the Small Business Act (15 U.S.C. 
11
636(a)(36)(A)), except that such term shall not in-
12
clude— 
13
(A) qualified wages, as defined in section 
14
2301(c) of the CARES Act (26 U.S.C. 3111 
15
note), taken into account in determining the 
16
credit allowed under such section 2301; or 
17
(B) premiums taken into account in deter-
18
mining the credit allowed under section 6432 of 
19
the Internal Revenue Code of 1986. 
20
(10) PRIVATE EQUITY FUND.—The term ‘‘pri-
21
vate equity fund’’ has the meaning given the term 
22
in section 225.173(a) of title 12, Code of Federal 
23
Regulations, or any successor regulation. 
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(11) PUBLICLY-TRADED COMPANY.—The term 
1
‘‘publicly-traded company’’ means an entity that is 
2
majority owned or controlled by an entity that is an 
3
issuer, the securities of which are listed on a na-
4
tional securities exchange under section 6 of the Se-
5
curities Exchange Act of 1934 (15 U.S.C. 78f). 
6
(12) SMALL
BUSINESS
CONCERN.—The term 
7
‘‘small business concern’’ has the meaning given 
8
under section 3 of the Small Business Act (15 
9
U.S.C. 632) and includes— 
10
(A) individuals who operate under a sole 
11
proprietorship, as an independent contractor, or 
12
as an eligible self-employed individual; and 
13
(B) small business concerns described in 
14
subparagraphs (B), (C), and (D) of section 
15
31(b)(2) of the Small Business Act (15 U.S.C. 
16
657a(b)(2)). 
17
(13) SMALL BUSINESS ACT DEFINITIONS.—The 
18
terms ‘‘covered mortgage obligation’’, ‘‘covered oper-
19
ations expenditure’’, ‘‘covered rent obligation’’, ‘‘cov-
20
ered supplier cost’’, ‘‘covered utility payment’’, and 
21
‘‘covered worker protection expenditure’’ have the 
22
meanings given, respectively, in section 7A of the 
23
Small Business Act (15 U.S.C. 636m). 
24
(b) AWARDS TO ELIGIBLE ENTITIES.— 
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•HR 3807 EH
(1) IN GENERAL.—From amounts made avail-
1
able under this Act, the Administrator shall estab-
2
lish a program to be known as the ‘‘Hard Hit Indus-
3
tries Award Program’’, under which the Adminis-
4
trator shall make awards to eligible entities that 
5
submit an application under paragraph (2). 
6
(2) APPLICATION.— 
7
(A) CERTIFICATION.—An eligible entity 
8
shall submit to the Administrator an applica-
9
tion for an award under this subsection. In 
10
such application, the eligible entity shall make 
11
a good faith certification that— 
12
(i) the uncertainty of current eco-
13
nomic conditions makes necessary the 
14
award request to support the ongoing oper-
15
ations of the eligible entity; and 
16
(ii) the eligible entity has no pending 
17
application for and has not received a 
18
grant under— 
19
(I) section 324 of the Economic 
20
Aid to Hard-Hit Small Businesses, 
21
Nonprofits, and Venues Act (15 
22
U.S.C. 9009a); or 
23

19 
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(II) section 5003 of the Amer-
1
ican Rescue Plan Act of 2021 (15 
2
U.S.C. 9009c). 
3
(B) VERIFICATION.—The Administrator 
4
shall use tax records or other reliable sources, 
5
such as certified accounting statements, with 
6
respect to an applicant for an award under this 
7
section to determine— 
8
(i) the eligibility of the applicant for 
9
that award; and 
10
(ii) the amount of that award to the 
11
applicant. 
12
(C) ACCEPTANCE OF APPLICATIONS.—Not 
13
later than 120 days after the date of the enact-
14
ment of this Act, the Administrator shall begin 
15
accepting applications for an award under this 
16
subsection. 
17
(D) PRIORITY.— 
18
(i) IN GENERAL.—The Administrator 
19
shall prioritize eligible entities that have 
20
experienced significant pandemic-related 
21
revenue loss to receive an award under this 
22
section as follows: 
23
(I) First priority to eligible enti-
24
ties that experienced a pandemic-re-
25

20 
•HR 3807 EH
lated revenue loss of at least 80 per-
1
cent. 
2
(II) Second priority to eligible 
3
entities that experienced a pandemic- 
4
related revenue loss of at least 60 per-
5
cent. 
6
(ii) SMALLER ENTITIES.—Within each 
7
category of eligible entities described in 
8
subclauses (I) through (III) of clause (i), 
9
the Administrator may prioritize awards to 
10
eligible entities with 50 employees or 
11
fewer. 
12
(iii) ADDITIONAL
PRIORITY.—Within 
13
each category of eligible entities described 
14
in subclauses (I) through (III) of clause 
15
(i), 
the 
Administrator 
may 
prioritize 
16
awards to eligible entities that did not re-
17
ceive a covered loan made under paragraph 
18
(36) or (37) of section 7(a) of the Small 
19
Business Act (15 U.S.C. 636(a)) in 2020 
20
or 2021. 
21
(3) AWARD AMOUNT.— 
22
(A) AGGREGATE MAXIMUM AMOUNT.—The 
23
aggregate maximum amount of awards made to 
24
an eligible entity and any affiliated businesses 
25

21 
•HR 3807 EH
of the eligible entity under this subsection may 
1
not exceed $1,000,000. 
2
(B) 
DETERMINATION
OF
AWARD 
3
AMOUNT.— 
4
(i) IN GENERAL.—Except as provided 
5
in this paragraph, the amount of an award 
6
made to an eligible entity under this sub-
7
section shall be equal to the pandemic-re-
8
lated revenue loss of the eligible entity. 
9
(ii) RETURN
TO
TREASURY.—Any 
10
amount of an award made under this sub-
11
section to an eligible entity described in 
12
clause (ii) or (iii) of subsection (a)(8)(A) 
13
that is greater than the average annual 
14
gross receipts of the eligible entity in 2020 
15
and 2021 shall be returned to the Treas-
16
ury. 
17
(C) INSUFFICIENT
FUNDING.—After se-
18
lecting award recipients in accordance with 
19
paragraph (2)(D) and before disbursing any 
20
awards under this section, if the Administrator 
21
determines that the amounts made available 
22
under this Act for making awards under this 
23
section are insufficient to make awards to each 
24
eligible entity that submits an application under 
25

22 
•HR 3807 EH
paragraph (2) in the amount described under 
1
subparagraphs (A) and (B), the Administrator 
2
may make awards with the available amounts 
3
such that the amount of the award that each el-
4
igible entity would have otherwise received 
5
under those subparagraphs and in accordance 
6
with paragraph (2)(D) is reduced by a percent-
7
age, except that the Administrator may estab-
8
lish an aggregate maximum amount for awards 
9
made under this subparagraph and in accord-
10
ance with paragraph (2)(D) to ensure that 
11
smaller eligible entities receive awards in the 
12
amounts provided under those subparagraphs. 
13
(4) USE OF FUNDS.—During the covered pe-
14
riod, an eligible entity that receives an award under 
15
this subsection may use the award for the following 
16
expenses incurred as a direct result of, or during, 
17
the COVID–19 pandemic: 
18
(A) Payroll costs. 
19
(B) Payments to independent contractors, 
20
as reported on Form 1099–MISC, except that 
21
each such payment may not exceed $100,000. 
22
(C) Scheduled payments of interest or 
23
principal on any covered mortgage obligation 
24

23 
•HR 3807 EH
(which may not include any prepayment of 
1
principal on a covered mortgage obligation). 
2
(D) Payments on any covered rent obliga-
3
tion and common area maintenance charges 
4
under a lease agreement. 
5
(E) Covered utility payments. 
6
(F) Maintenance expenses. 
7
(G) Covered worker protection expendi-
8
tures. 
9
(H) Supplies, including protective equip-
10
ment and cleaning materials. 
11
(I) Expenses that were within the scope of 
12
the normal business practice of the eligible enti-
13
ty before the covered period. 
14
(J) Covered supplier costs. 
15
(K) Covered operational expenses. 
16
(L) Paid sick leave. 
17
(M) Capital expenditures (or expenses re-
18
quired under any Federal, State, or local law) 
19
relating to implementing social distancing meas-
20
ures. 
21
(N) Any other essential expenses of the eli-
22
gible entity, as determined by the Adminis-
23
trator. 
24

24 
•HR 3807 EH
(5) RETURNING FUNDS.—If an eligible entity 
1
that receives an award under this section fails to use 
2
all of the award on or before the last day of the cov-
3
ered period or permanently ceases operations on or 
4
before the last day of the covered period, the eligible 
5
entity shall return to the Administrator any funds 
6
that the eligible entity did not use for the allowable 
7
expenses under paragraph (4). 
8
(c) DATA TRANSPARENCY
AND CUSTOMER SERV-
9
ICE.—The Administrator shall— 
10
(1) in carrying out this section, maintain reg-
11
ular communication with applicants and representa-
12
tives of such applicants, including by— 
13
(A) hosting regularly scheduled informa-
14
tion sessions with those persons; and 
15
(B) providing opportunities to those per-
16
sons to submit and receive answers to questions 
17
regarding awards made under this section; 
18
(2) on a weekly basis until the amounts made 
19
available under this section are fully expended, pub-
20
lish data that shows, for the period beginning on the 
21
date of enactment of this Act and ending on the 
22
date on which the information is published— 
23

25 
•HR 3807 EH
(A) with respect to applications for awards 
1
under this section, the number of those applica-
2
tions— 
3
(i) that the Administrator has re-
4
ceived; 
5
(ii) that the Administrator has re-
6
viewed or is in the process of reviewing; 
7
and 
8
(iii) with respect to which the Admin-
9
istrator has made a decision; and 
10
(B) the number and dollar amount of pay-
11
ments awarded and disbursed under this sec-
12
tion; 
13
(3) on a weekly basis until the amounts made 
14
available to carry out this section are fully expended, 
15
publish, for the period beginning on the date of en-
16
actment of this Act and ending on the date on which 
17
the information is published— 
18
(A) the name and location of each eligible 
19
entity to which an award has been made under 
20
this section; and 
21
(B) the amount of such award; 
22
(4) with respect to an applicant that applies for 
23
an award under this section and is denied by the 
24
Administrator— 
25

26 
•HR 3807 EH
(A) make available to the applicant a brief 
1
explanation regarding the denial which shall in-
2
clude, where applicable, a citation to the stat-
3
ute, regulation, or guidance with which the ap-
4
plicant failed to comply and that was the basis 
5
for the denial; and 
6
(B) establish a reconsideration process 
7
through which the applicant may— 
8
(i) submit to the Administrator addi-
9
tional information the applicant determines 
10
to be relevant to whether the applicant is 
11
eligible for the grant; and 
12
(ii) receive a review of the application 
13
and such additional information submitted 
14
under clause (i). 
15
(d) TAX TREATMENT OF AWARDS.— 
16
(1) IN GENERAL.—For the purposes of the In-
17
ternal Revenue Code of 1986— 
18
(A) no award made under this section shall 
19
be included in the gross income of the eligible 
20
entity that receives an award; 
21
(B) no deduction shall be denied, no tax 
22
attribute shall be reduced, and no basis increase 
23
shall be denied, by reason of the exclusion from 
24

27 
•HR 3807 EH
gross income provided by subparagraph (A); 
1
and 
2
(C) in the case of a partnership or S cor-
3
poration that receives an award under this sec-
4
tion— 
5
(i) any amount excluded from income 
6
by reason of subparagraph (A) shall be 
7
treated as tax exempt for purposes of sec-
8
tions 705 and 1366 of such Code; and 
9
(ii) the Secretary of the Treasury (or 
10
the Secretary’s delegate) shall prescribe 
11
rules for determining a partner’s distribu-
12
tive share of any amount described in 
13
clause (i) for purposes of section 705 of 
14
such Code. 
15
(2) APPLICABILITY.—Paragraph (1) shall apply 
16
to taxable years ending after the date of enactment 
17
of this Act. 
18
(e) SYSTEM FOR AWARD MANAGEMENT.—The Ad-
19
ministrator may not require any eligible entity that applies 
20
for an award under this section to use the System for 
21
Award Management (or any successor system) with re-
22
spect to that award. 
23
(f) APPLICATION PROCESSING.—The Director of the 
24
Office of Management and Budget may, on an emergency 
25

28 
•HR 3807 EH
basis and in order to expedite the processing and approval 
1
of applications for awards under this section, waive the 
2
requirements of part 200 of title 2, Code of Federal Regu-
3
lations (or any successor regulations) with respect to an 
4
award made under this section, if— 
5
(1) the Director finds that such a waiver will 
6
prevent eligible entities from failing or suffering 
7
undue hardship; and 
8
(2) each eligible entity that receives an award 
9
under this section is still required to submit to the 
10
Administrator ongoing reports regarding the use by 
11
the eligible entity of the award amounts. 
12
(g) OVERSIGHT AND AUDITS.— 
13
(1) IN GENERAL.—In cooperation with the Di-
14
rector of the Office of Management and Budget, the 
15
Administrator shall establish an oversight and audit 
16
plan with respect to eligible entities receiving awards 
17
under this section, which shall include— 
18
(A) documentation requirements that are 
19
consistent with the eligibility and other require-
20
ments under this section, including a require-
21
ment that an eligible entity that receives an 
22
award under this section retains records that 
23
demonstrate compliance with the requirements 
24
of this section; and 
25

29 
•HR 3807 EH
(B) reviews of the use, by eligible entities, 
1
of awards made under this section to ensure 
2
compliance with the requirements of this sec-
3
tion, which shall include— 
4
(i) a review and audit by the Adminis-
5
trator of awards made under this section; 
6
and 
7
(ii) in the case of fraud or other mate-
8
rial noncompliance with respect to an 
9
award made under this section— 
10
(I) a requirement that the appli-
11
cable eligible entity repay to the Ad-
12
ministrator 
the 
amount 
of 
the 
13
misspent funds; or 
14
(II) legal action by the Adminis-
15
trator to collect the misspent funds. 
16
(2) SUBMISSION OF PLAN.—Not later than 30 
17
days after the date of the enactment of this Act, the 
18
Administrator shall submit to the Committee on 
19
Small Business and Entrepreneurship of the Senate 
20
and the Committee on Small Business of the House 
21
of Representatives the plan required under para-
22
graph (1), which shall describe— 
23

30 
•HR 3807 EH
(A) the policies and procedures of the Ad-
1
ministrator for conducting oversight and audits 
2
of awards made under this section; and 
3
(B) the metrics that the Administrator will 
4
use to determine which awards made under this 
5
section will be audited under that plan. 
6
(3) REPORTS.—Not later than 60 days after 
7
the date of the enactment of this Act, once every 30 
8
days thereafter until the date that is 180 days after 
9
the date on which all amounts made available to 
10
carry out this section have been fully expended, and 
11
upon request thereafter, the Administrator shall sub-
12
mit to the Committee on Small Business and Entre-
13
preneurship of the Senate and the Committee on 
14
Small Business of the House of Representatives a 
15
report on the oversight and audit activities of the 
16
Administrator under this subsection, which shall in-
17
clude— 
18
(A) the total number of awards approved 
19
and disbursed under this section; 
20
(B) the total amount of each award re-
21
ceived by each eligible entity; 
22
(C) the number of active investigations and 
23
audits of awards made under this section; 
24

31 
•HR 3807 EH
(D) the number of completed reviews and 
1
audits of awards made under this section, in-
2
cluding a description of any findings of fraud or 
3
other material noncompliance with the require-
4
ments of this section; and 
5
(E) a description of any substantial 
6
changes made to the plan required under para-
7
graph (1). 
8
(h) RULES.—Not later than 90 days after the date 
9
of the enactment of this Act, the Administrator shall issue 
10
rules to carry out this section, without regard to the notice 
11
requirements under section 553(b) of title 5, United 
12
States Code. 
13
(i) AUTHORIZATION OF APPROPRIATIONS.—In addi-
14
tion to amounts otherwise available, there is appropriated 
15
for fiscal year 2022, out of any money in the Treasury 
16
not otherwise appropriated, $13,000,000,000, for the 
17
Hard Hit Industries Award Program established under 
18
this section, to remain available until expended, of which 
19
not more than $380,000,000 shall be for administrative 
20
expenses to carry out this section, of which— 
21
(1) $2,500,000 shall be for the Inspector Gen-
22
eral of the Small Business Administration to prevent 
23
waste, fraud, and abuse with respect to funding 
24

32 
•HR 3807 EH
made available for the Hard Hit Industries Award 
1
Program; 
2
(2) $2,500,000 shall be for the Department of 
3
Justice for investigative and prosecutorial activities 
4
related to fraud and abuse, with respect to funding 
5
made available for the Hard Hit Industries Award 
6
Program; and 
7
(3) $2,500,000 shall be for shall be for the 
8
Pandemic Response Accountability Committee with 
9
respect to funding made available for the Hard Hit 
10
Industries Award Program. 
11
SEC. 4. FUNDING FOR THE RESTAURANT REVITALIZATION 
12
FUND 
AND 
THE 
HARD 
HIT 
INDUSTRIES 
13
AWARD PROGRAM. 
14
(a) IN GENERAL.—Any unobligated covered funds 
15
are hereby transferred to the Administrator of the Small 
16
Business Administration for purposes of carrying out sec-
17
tion 5003 of the American Rescue Plan Act of 2021 (15 
18
U.S.C. 9009c) and the Hard Hit Industries Award Pro-
19
gram established under section 3 of this Act. 
20
(b) COVERED FUNDS DEFINED.—In this section, the 
21
term ‘‘covered funds’’— 
22
(1) means any and all funds recovered, seized, 
23
reclaimed, or otherwise returned to the Federal Gov-
24
ernment received pursuant to— 
25

33 
•HR 3807 EH
(A) paragraph (36) or (37) of section 7(a) 
1
of the Small Business Act (15 U.S.C. 636(a)); 
2
(B) section 7(b)(2) of the Small Business 
3
Act (15 U.S.C. 636(b)), with respect to a loan 
4
made under such section in response to 
5
COVID–19 during the covered period (as de-
6
fined in section 1110(a) of the CARES Act (15 
7
U.S.C. 9009(a))); 
8
(C) section 1110(e) of the CARES Act (15 
9
U.S.C. 9009(e)); 
10
(D) section 331 of the Economic Aid to 
11
Hard-Hit Small Businesses, Nonprofits, and 
12
Venues Act (15 U.S.C. 9009b); 
13
(E) section 324 of the Economic Aid to 
14
Hard-Hit Small Businesses, Nonprofits, and 
15
Venues Act (15 U.S.C. 9009a); 
16
(F) section 5003 of the American Rescue 
17
Plan Act of 2021 (15 U.S.C. 9009c); 
18
(G) section 3 of this Act; 
19
(2) includes any funds that as of December 31, 
20
2022, are unexpended under section 5003 of the 
21
American Rescue Plan Act of 2021 (15 U.S.C. 
22
9009c); and 
23
(3) does not include funds paid by person to the 
24
Federal Government for the purposes of tax obliga-
25

34 
•HR 3807 EH
tions, servicing of loans, or standard payment of 
1
fees. 
2
SEC. 5. GRANTS FOR SHUTTERED VENUE OPERATORS. 
3
Section 324(d) of the Economic Aid to Hard-Hit 
4
Small Businesses, Nonprofits, and Venues Act (15 U.S.C. 
5
9009a(d)) is amended by striking paragraph (1) and in-
6
serting the following: 
7
‘‘(1) TIMING.— 
8
‘‘(A) EXPENSES INCURRED.—Amounts re-
9
ceived under a grant under this section may be 
10
used for costs incurred during the period begin-
11
ning on March 1, 2020, and ending on March 
12
11, 2023 (or a later date, as determined by the 
13
Administrator). 
14
‘‘(B) EXPENDITURE.—An eligible person 
15
or entity shall return to the Administrator any 
16
amounts received under a grant under this sec-
17
tion that are not expended on or before April 
18
15, 2023 (or a later date, as determined by the 
19
Administrator), with respect to costs incurred 
20

35 
•HR 3807 EH
during the period described in subparagraph 
1
(A).’’. 
2
Passed the House of Representatives April 7, 2022. 
Attest: 
Clerk. 

117TH CONGRESS 
2D SESSION 
H. R. 3807 
AN ACT 
To amend the American Rescue Plan Act of 2021 
to increase appropriations to the Restaurant Re-
vitalization Fund, and for other purposes.

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