Stephanie N. Murphy (Democrat – Florida) introduced H.R. 2056 to amend the Small Business Act with respect to the Small Business Administration (SBA) Microloan Program that assists low-income individuals to own and operate a small business.
The bill was introduced on April 6, 2017 and was sent to the House Small Business Committee. The bill was brought to the floor of the House on July 24, 2017 and passed by voice vote. The bill was sent to the Senate on July 24, 2017.
The bill increases the amount of loans outstanding from 5 million to 6 million and committed to any particular intermediary from the SBA business loan and investment fund for the remaining years of the intermediary’s participation in the Microloan Program.
The bill allows SBA-designated microloan intermediary lenders to expend up to 50% of the grant funds they receive from the SBA for marketing, management, and technical assistance to provide info and tech assistance to their prospective borrowers.
The bill also requires the SBA to compare eligible intermediary lenders that participate in the microloan program versus those who do not, and study the reasons why certain intermediaries do not participate. The SBA will also be required to recommend how to encourage increased participation by intermediaries and decrease associated costs for participation.
The Government Accountability Office will be required to evaluate SBA oversight of the microloan program (including oversight of the intermediaries) and the specific processes the SBA uses to ensure program compliance and overall microloan program performance.
Nydia Velazquez (Democrat – New York)
Seth Moulton (Democrat – Massachusetts)
Don Bacon (Republican – Nebraska)
Yvette Clark (Democrat – New York)
Gregory Meeks (Democrat – New York)
Ron Kind (Democrat – Wisconsin)
Andy Harris (Republican – Maryland)
Jennifer Gonzales-Colon (Republican – Puerto Rico)
Derek Kilmer (Democrat – Washington)
Darren Soto (Democrat – Florida)
Mark Takano (Democrat – California)
S. 526 – Microloan Modernization Act of 2017 (introduced in Senate on March 2, 2017 but has not been brought to the floor for a vote).