article: SECTION 1. SHORT TITLE. This Act may be cited as the ``Small Business Health Insurance Options Act of 2007''. SEC. 2. HEALTH INSURANCE OPTIONS INFORMATION FOR SMALL BUSINESS CONCERNS. (a) Definitions.--In this section, the following definitions shall apply: (1) Administration.--The term ``Administration'' means the Small Business Administration. (2) Administrator.--The term ``Administrator'' means the Administrator of the Administration. (3) Association.--The term ``association'' means an association established under section 21(a)(3)(A) of the Small Business Act (15 U.S.C. 648(a)(3)(A)) representing a majority of small business development centers. (4) Participating small business development center.--The term ``participating small business development center'' means a small business development center described in section 21 of the Small Business Act (15 U.S.C. 648) that-- (A) is accredited under section 21(k)(2) of the Small Business Act (15 U.S.C. 648(k)(2)); and (B) receives a grant under the pilot program. (5) Pilot program.--The term ``pilot program'' means the small business health insurance information pilot program established under this section. (6) Small business concern.--The term ``small business concern'' has the meaning given that term in section 3 of the Small Business Act (15 U.S.C. 632). (7) State.--The term ``State'' means each of the several States of the United States, the District of Columbia, the Commonwealth of Puerto Rico, the Virgin Islands, American Samoa, and Guam. (b) Small Business Health Insurance Information Pilot Program.--The Administrator shall establish a pilot program to make grants to small business development centers to provide neutral and objective information and educational materials regarding health insurance options, including coverage options within the small group market, to small business concerns. (c) Applications.-- (1) Posting of information.--Not later than 90 days after the date of enactment of this Act, the Administrator shall post on the website of the Administration and publish in the Federal Register a guidance document describing-- (A) the requirements of an application for a grant under the pilot program; and (B) the types of informational and educational materials regarding health insurance options to be created under the pilot program, including by referencing materials and resources developed by the National Association of Insurance Commissioners, the Kaiser Family Foundation, and the Healthcare Leadership Council. (2) Submission.--A small business development center desiring a grant under the pilot program shall submit an application at such time, in such manner, and accompanied by such information as the Administrator may reasonably require. (d) Selection of Participating Small Business Development Centers.-- (1) In general.--The Administrator shall select not more than 20 small business development centers to receive a grant under the pilot program. (2) Selection of programs.--In selecting small business development centers under paragraph (1), the Administrator may not select-- (A) more than 2 programs from each of the groups of States described in paragraph (3); and (B) more than 1 program in any State. (3) Groupings.--The groups of States described in this paragraph are the following: (A) Group 1.--Group 1 shall consist of Maine, Massachusetts, New Hampshire, Connecticut, Vermont, and Rhode Island. (B) Group 2.--Group 2 shall consist of New York, New Jersey, Puerto Rico, and the Virgin Islands. (C) Group 3.--Group 3 shall consist of Pennsylvania, Maryland, West Virginia, Virginia, the District of Columbia, and Delaware. (D) Group 4.--Group 4 shall consist of Georgia, Alabama, North Carolina, South Carolina, Mississippi, Florida, Kentucky, and Tennessee. (E) Group 5.--Group 5 shall consist of Illinois, Ohio, Michigan, Indiana, Wisconsin, and Minnesota. (F) Group 6.--Group 6 shall consist of Texas, New Mexico, Arkansas, Oklahoma, and Louisiana. (G) Group 7.--Group 7 shall consist of Missouri, Iowa, Nebraska, and Kansas. (H) Group 8.--Group 8 shall consist of Colorado, Wyoming, North Dakota, South Dakota, Montana, and Utah. (I) Group 9.--Group 9 shall consist of California, Guam, American Samoa, Hawaii, Nevada, and Arizona. (J) Group 10.--Group 10 shall consist of Washington, Alaska, Idaho, and Oregon. (4) Deadline for selection.--The Administrator shall make selections under this subsection not later than 6 months after the later of the date on which the information described in subsection (c)(1) is posted on the website of the Administration and the date on which the information described in subsection (c)(1) is published in the Federal Register. (e) Use of Funds.-- (1) In general.--A participating small business development center shall use funds provided under the pilot program to-- (A) create and distribute informational materials; and (B) conduct training and educational activities. (2) Content of materials.-- (A) In general.--In creating materials under the pilot program, a participating small business development center shall evaluate and incorporate relevant portions of existing informational materials regarding health insurance options, including materials and resources developed by the National Association of Insurance Commissioners, the Kaiser Family Foundation, and the Healthcare Leadership Council. (B) Health insurance options.--In incorporating information regarding health insurance options under subparagraph (A), a participating small business development center shall provide neutral and objective information regarding health insurance options in the geographic area served by the participating small business development center, including traditional employer sponsored health insurance for the group insurance market, such as the health insurance options defined in section 2791 of the Public Health Services Act (42 U.S.C. 300gg-91) or section 125 of the Internal Revenue Code of 1986, and Federal and State health insurance programs. (f) Grant Amounts.--Each participating small business development center program shall receive a grant in an amount equal to-- (1) not less than $150,000 per fiscal year; and (2) not more than $300,000 per fiscal year. (g) Matching Requirement.--Subparagraphs (A) and (B) of section 21(a)(4) of the Small Business Act (15 U.S.C. 648(a)(4)) shall apply to assistance made available under the pilot program. (h) Reports.--Each participating small business development center shall transmit to the Committee on Small Business and Entrepreneurship of the Senate and the Committee on Small Business of the House of Representatives, a quarterly report that includes-- (1) a summary of the information and educational materials regarding health insurance options provided by the participating small business development center under the pilot program; and (2) the number of small business concerns assisted under the pilot program. (i) Authorization of Appropriations.-- (1) In general.--There are authorized to be appropriated to carry out this section-- (A) $5,000,000 for the first fiscal year beginning after the date of enactment of this Act; and (B) $5,000,000 for each of the 3 fiscal years following the fiscal year described in subparagraph (A). (2) Limitation on use of other funds.--The Administrator may carry out the pilot program only with amounts appropriated in advance specifically to carry out this section.
summary: Small Business Health Insurance Options Act of 2007 - Directs the Administrator of the Small Business Administration (SBA) to: (1) establish a four-year pilot program to provide information and educational materials regarding health insurance options, including coverage options within the small group market, to small businesses; and (2) select up to 20 small business development centers (SBDCs) to receive grants under the pilot program. Requires: (1) a specified geographical distribution with respect to grant recipients; and (2) grant funds to be used to create and distribute informational materials and conduct training and educational activities.