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Bill114th CongressFiled Jun 4, 2015Commerce
H.R. 2670

Microloan Modernization Act of 2015

Bill journey · stage 2 of 5

Under committee review

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What it doesSummary passed house without amendment (Jul 13, 2015)

(This measure has not been amended since it was introduced. The expanded summary of the House reported version is repeated here.)

Microloan Modernization Act of 2015

(Sec. 2) This bill amends the Small Business Act with respect to the rule under the Small Business Administration (SBA) Microloan Program (assisting low-income individuals to start and operate a small business) that permits SBA-designated microloan intermediary lenders to expend up to 25% of the grant funds they receive from the SBA to provide information and technical assistance to small businesses that are their prospective borrowers.

The SBA must establish a process by which these microloan intermediaries may apply for, and the SBA may grant, a waiver of this 25/75 allocation.

This rule shall require any waiver applicant to:

  • specify how it will use the additional technical assistance, and
  • make assurances that the intermediary will have sufficient funds to provide technical assistance to all of the intermediary's borrowers.

(Sec. 3) The total amount of loans outstanding and committed to any particular intermediary (excluding outstanding grants) from the SBA business loan and investment fund is increased from $5 million to $6 million for the remaining years of the intermediary's participation in the program.

(Sec. 4) The SBA may not impose limitations on the repayment term of a loan by an intermediary to a small business or entrepreneur. This repayment term, however, may not exceed:

  • 6 years for a loan of $10,000 or less, or
  • 10 years for a loan greater than $10,000.

(Sec. 5) An eligible intermediary may include lines of credit among the short-term, fixed rate loans it makes to startup, newly established, and growing small businesses from SBA funds made available to the intermediary for working capital and the acquisition of materials, supplies, furniture, fixtures, and equipment.

(Sec. 6) The Government Accountability Office shall:

  • compare the operations of a representative sample of eligible intermediaries that participate in the microloan program and of eligible intermediaries that do not,
  • study the reasons why the latter do not participate,
  • recommend how to encourage increased participation by intermediaries in the microloan program, and
  • recommend how to decrease the associated costs for intermediary participation.

(Sec. 7) The SBA Office of Advocacy shall report to Congress on the economic impact of a mandatory savings requirement on businesses eligible to participate in the microloan program, including on the benefits and costs of such a requirement, and make implementing recommendations.

What just happenedJul 14, 2015

Received in the Senate and Read twice and referred to the Committee on Small Business and Entrepreneurship.

Who’s behind it

Rep. Moulton, Seth [D-MA-6](D-MA)Sponsor
5 cosponsors3 D2 R
Read on Congress.gov
5cosponsors2committees15actions1related bills11subjects
  1. Jul 14, 2015IntroReferral

    Received in the Senate and Read twice and referred to the Committee on Small Business and Entrepreneurship.

    Small Business and Entrepreneurship Committee
  2. Jul 13, 2015FloorH38310

    Motion to reconsider laid on the table Agreed to without objection.

  3. Jul 13, 2015FloorH37300

    On motion to suspend the rules and pass the bill Agreed to by voice vote. (text: CR H5099)

  4. Jul 13, 2015Floor8000

    Passed/agreed to in House: On motion to suspend the rules and pass the bill Agreed to by voice vote.(text: CR H5099)

  5. Jul 13, 2015FloorH8D000

    DEBATE - The House proceeded with forty minutes of debate on H.R. 2670.

  6. Jul 13, 2015FloorH30000

    Considered under suspension of the rules. (consideration: CR H5099-5101)

  7. Jul 13, 2015FloorH30300

    Mr. Chabot moved to suspend the rules and pass the bill.

  8. Jun 25, 2015CalendarsH12410

    Placed on the Union Calendar, Calendar No. 140.

  9. Jun 25, 2015CommitteeH12200

    Reported by the Committee on Small Business. H. Rept. 114-188.

    Small Business Committee
  10. Jun 25, 2015Committee5000

    Reported by the Committee on Small Business. H. Rept. 114-188.

    Small Business Committee
  11. Jun 10, 2015Committee

    Ordered to be Reported by Voice Vote.

    Small Business Committee
  12. Jun 10, 2015Committee

    Committee Consideration and Mark-up Session Held.

    Small Business Committee
  13. Jun 4, 2015IntroReferralH11100

    Referred to the House Committee on Small Business.

    Small Business Committee
  14. Jun 4, 2015IntroReferralIntro-H

    Introduced in House

  15. Jun 4, 2015IntroReferral1000

    Introduced in House

Passed House without amendmentJul 13, 201581

(This measure has not been amended since it was introduced. The expanded summary of the House reported version is repeated here.)

Microloan Modernization Act of 2015

(Sec. 2) This bill amends the Small Business Act with respect to the rule under the Small Business Administration (SBA) Microloan Program (assisting low-income individuals to start and operate a small business) that permits SBA-designated microloan intermediary lenders to expend up to 25% of the grant funds they receive from the SBA to provide information and technical assistance to small businesses that are their prospective borrowers.

The SBA must establish a process by which these microloan intermediaries may apply for, and the SBA may grant, a waiver of this 25/75 allocation.

This rule shall require any waiver applicant to:

  • specify how it will use the additional technical assistance, and
  • make assurances that the intermediary will have sufficient funds to provide technical assistance to all of the intermediary's borrowers.

(Sec. 3) The total amount of loans outstanding and committed to any particular intermediary (excluding outstanding grants) from the SBA business loan and investment fund is increased from $5 million to $6 million for the remaining years of the intermediary's participation in the program.

(Sec. 4) The SBA may not impose limitations on the repayment term of a loan by an intermediary to a small business or entrepreneur. This repayment term, however, may not exceed:

  • 6 years for a loan of $10,000 or less, or
  • 10 years for a loan greater than $10,000.

(Sec. 5) An eligible intermediary may include lines of credit among the short-term, fixed rate loans it makes to startup, newly established, and growing small businesses from SBA funds made available to the intermediary for working capital and the acquisition of materials, supplies, furniture, fixtures, and equipment.

(Sec. 6) The Government Accountability Office shall:

  • compare the operations of a representative sample of eligible intermediaries that participate in the microloan program and of eligible intermediaries that do not,
  • study the reasons why the latter do not participate,
  • recommend how to encourage increased participation by intermediaries in the microloan program, and
  • recommend how to decrease the associated costs for intermediary participation.

(Sec. 7) The SBA Office of Advocacy shall report to Congress on the economic impact of a mandatory savings requirement on businesses eligible to participate in the microloan program, including on the benefits and costs of such a requirement, and make implementing recommendations.

Reported to House without amendmentJun 25, 201579

(This measure has not been amended since it was introduced. The summary has been expanded because action occurred on the measure.)

Microloan Modernization Act of 2015

(Sec. 2) This bill amends the Small Business Act with respect to the rule under the Small Business Administration (SBA) Microloan Program (assisting low-income individuals to start and operate a small business) that permits SBA-designated microloan intermediary lenders to expend up to 25% of the grant funds they receive from the SBA to provide information and technical assistance to small businesses that are their prospective borrowers.

The SBA must establish a process by which these microloan intermediaries may apply for, and the SBA may grant, a waiver of this 25/75 allocation.

This rule shall require any waiver applicant to:

  • specify how it will use the additional technical assistance, and
  • make assurances that the intermediary will have sufficient funds to provide technical assistance to all of the intermediary's borrowers.

(Sec. 3) The total amount of loans outstanding and committed to any particular intermediary (excluding outstanding grants) from the SBA business loan and investment fund is increased from $5 million to $6 million for the remaining years of the intermediary's participation in the program.

(Sec. 4) The SBA may not impose limitations on the repayment term of a loan by an intermediary to a small business or entrepreneur. This repayment term, however, may not exceed:

  • 6 years for a loan of $10,000 or less, or
  • 10 years for a loan greater than $10,000.

(Sec. 5) An eligible intermediary may include lines of credit among the short-term, fixed rate loans it makes to startup, newly established, and growing small businesses from SBA funds made available to the intermediary for working capital and the acquisition of materials, supplies, furniture, fixtures, and equipment.

(Sec. 6) The Government Accountability Office shall:

  • compare the operations of a representative sample of eligible intermediaries that participate in the microloan program and of eligible intermediaries that do not,
  • study the reasons why the latter do not participate,
  • recommend how to encourage increased participation by intermediaries in the microloan program, and
  • recommend how to decrease the associated costs for intermediary participation.

(Sec. 7) The SBA Office of Advocacy shall report to Congress on the economic impact of a mandatory savings requirement on businesses eligible to participate in the microloan program, including on the benefits and costs of such a requirement, and make implementing recommendations.

Introduced in HouseJun 4, 2015

Microloan Modernization Act of 2015

This bill amends the Small Business Act with respect to the rule under the Small Business Administration (SBA) Microloan Program (assisting low-income individuals to start and operate a small business) that permits SBA-designated microloan intermediary lenders to expend up to 25% of the grant funds they receive from the SBA to provide information and technical assistance to small business concerns that are their prospective borrowers.

The SBA must establish a process by which these microloan intermediaries may apply for, and the SBA may grant, a waiver of this 25/75 allocation.

This rule shall require any waiver applicant to:

  • specify how it will use the additional technical assistance, and
  • make assurances that the intermediary will have sufficient funds to provide technical assistance to all of the intermediary's borrowers.

The total amount of loans outstanding and committed to any particular intermediary (excluding outstanding grants) from the SBA business loan and investment fund is increased from $5 million to $6 million for the remaining years of the intermediary's participation in the program.

The SBA may not impose limitations on the repayment term of a loan by an intermediary to a small business concern or entrepreneur. This repayment term, however, may not exceed:

  • 6 years for a loan of $10,000 or less, or
  • 10 years for a loan greater than $10,000.

An eligible intermediary may include lines of credit among the short-term, fixed rate loans it makes to startup, newly established, and growing small business concerns from SBA funds made available to the intermediary for working capital and the acquisition of materials, supplies, furniture, fixtures, and equipment.

The Government Accountability Office shall:

  • compare the operations of a representative sample of eligible intermediaries that participate in the microloan program and of eligible intermediaries that do not,
  • study the reasons why the latter do not participate,
  • recommend how to encourage increased participation by intermediaries in the microloan program, and
  • recommend how to decrease the associated costs for intermediary participation.

The SBA Office of Advocacy shall report to Congress on the economic impact of a mandatory savings requirement on business concerns eligible to participate in the microloan program, including on the benefits and costs of such a requirement, and make implementing recommendations.

Microloan Modernization Act of 2015 — Informed