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B-85909 1 (1978-02-24)

handle is hein.gao/gaobachkf0001 and id is 1 raw text is: COMPTROLLER GENERAL OF THE UNITED STATES WASHINGTON, D.C. 20548 B-85909 CED8-99 FEB 2 4 1978 The Honorable Gaylord Nelson Chairman, Select Committee on Small Business United States Senate Dear Mr. Chairman: Following are our comments on S. 2296, 95th Congress, the proposed Minority Business and Economic Development Act. The bill would establish within the Small Business Administration a Bureau of Minority Business and Economic Development and authorize transfer to the Bureau responsi- bility for coordinating and administering Federal activi- ties affecting the development of minority small business concerns. Over the last several years we have reviewed and issued reports on programs and activities of the Depart- ment of Commerce's Office of Minority Business Enterprise (OMBE) and the Small Business Administration which impact on minority enterprise development. Recently, in a Novem- ber 10, 1977, report to the Congress (copy enclosed), we expressed the opinion that minority and prospective minority businesses had received marginal benefits from the OMBE's management assistance program. This resulted because firms with whom the OMBE contracted to provide the assistance were not familiar with their clients' in- depth needs, had no plans for providing assistance, and did not keep track of their clients' progress after ini- tial assistance was provided. Our report contained sev- eral recommendations for improving OMBE's program of management assistance to minority businesses. We endorse the idea of Congress enacting legislation which would consolidate in a single agency responsibility for coordinating or administering minority business devel- opment activities and provide the agency with legislative p.> 7 .-,, .7, 1901

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