To provide authority for certain debt refinancing with respect to financings approved under title V of the Small Business Investment Act of 1958, and for other purposes.

Allows, for a two-year period, any financing approved under title V of the Small Business Investment Act of 1958 (Small Business Administration [SBA] guaranteed small business loans) to include debt refinancing relating to a conventional loan that is not SBA-guaranteed, if certain conditions are met.

[Congressional Bills 111th Congress]
[From the U.S. Government Publishing Office]
[H.R. 2527 Introduced in House (IH)]

111th CONGRESS
  1st Session
                                H. R. 2527

   To provide authority for certain debt refinancing with respect to 
financings approved under title V of the Small Business Investment Act 
                    of 1958, and for other purposes.


_______________________________________________________________________


                    IN THE HOUSE OF REPRESENTATIVES

                              May 20, 2009

    Ms. Markey of Colorado introduced the following bill; which was 
              referred to the Committee on Small Business

_______________________________________________________________________

                                 A BILL


 
   To provide authority for certain debt refinancing with respect to 
financings approved under title V of the Small Business Investment Act 
                    of 1958, and for other purposes.

    Be it enacted by the Senate and House of Representatives of the 
United States of America in Congress assembled,

SECTION 1. AUTHORITY TO PROVIDE CERTAIN DEBT REFINANCING.

    During the 2 year period beginning on the date of the enactment of 
this Act, any financing approved under title V of the Small Business 
Investment Act of 1958 (15 U.S.C. 695 et seq.) may include debt 
refinancing relating to a conventional loan that is not guaranteed by 
the Small Business Administration, if--
            (1) the proceeds of the indebtedness were used to acquire 
        land, including a building situated thereon, to construct a 
        building thereon, or to purchase equipment;
            (2) the existing indebtedness is collateralized by fixed 
        assets;
            (3) the existing indebtedness was incurred for the benefit 
        of the small business concern;
            (4) the financing under title V of the Small Business 
        Investment Act of 1958 will be used only for refinancing 
        existing indebtedness or costs relating to the project financed 
        under such title;
            (5) the financing under such title will provide a 
        substantial benefit to the borrower when prepayment penalties, 
        financing fees, and other financing costs are accounted for; 
        and
            (6) the financing under section 504 of such title will 
        provide better terms or rate of interest than the existing 
        indebtedness at the time of refinancing.
                                 <all>