Small Business Microlending Expansion Act of 2009
| Date | Chamber | What was voted on | Result | Yes–No | |
|---|---|---|---|---|---|
| Nov 7, 2009 | House · vote #876 | On Motion to Suspend the Rules and Pass, as Amended | Passed | 405–23 | See who voted → |
Small Business Microlending Expansion Act of 2009 - (Sec. 2) Amends the Small Business Act with respect to the Small Business Administration (SBA) Microloan program (small-scale loans to start-up, newly established, or growing small businesses for working capital or the acquisition of materials, supplies, or equipment) to direct the SBA Administrator to establish a process under which an intermediary making a Microloan loan provides relevant borrower information to the major credit reporting agencies.
(Sec. 3) Removes the requirement that such loans be short-term only.
(Sec. 4) Increases eligibility for Microloan program participation to include intermediaries with at least one full-time employee with not less than: (1) three years of experience making microloans to startup, newly established, or growing small businesses; or (2) one year of experience providing intensive marketing, management, and technical assistance to borrowers.
(Sec. 5) Increases from: (1) $750,000 to $1 million the loan limit to an intermediary in the first year of participation; and (2) $3.5 million to $7 million the loan limit for the remaining years of participation.
(Sec. 6) Increases from 25% to 35% of grant funds received the maximum amount that may be used by an intermediary to provide information and technical assistance to small business borrowers.
(Sec. 7) Allows intermediaries that receive grants to establish a program that provides technical assistance to young entrepreneurs in establishing or operating a small business, or in securing financing, in the area served by the intermediary.
(Sec. 8) Increases from $7,500 to $10,000 the maximum loan amount to a small business borrower that will qualify for a reduced interest rate from the intermediary.
(Sec. 9) Directs the Administrator to submit annually to the congressional small business committees specified information with respect to the Microloan program, including participating intermediaries and borrowers, and the marketing, management, and technical assistance provided.
(Sec. 10) Authorizes the Administrator to make grants to intermediaries for reducing interest rates charged to Microloan borrowers (interest assistance grants).
(Sec. 11) Authorizes the Administrator to make Microloan technical assistance grants, direct loans, and interest assistance grants for FY2010-FY2011, and authorizes appropriations for such loans and grants.
Received in the Senate and Read twice and referred to the Committee on Small Business and Entrepreneurship.