Small Business Emergency Capital Assistance Act of 2009 - Directs the Administrator of the Small Business Administration (SBA) to carry out a program under which the Administrator may make loans directly to small businesses determined to: (1) be economically healthy; (2) have good credit; and (3) be unable to obtain a loan on reasonable terms from a non-federal source. Limits loan amounts to $1.5 million, with a maximum repayment term of 25 years.
Requires: (1) the Administrator to report annually to the congressional small business committees concerning loans made under the program; and (2) the Comptroller General to evaluate the program's effectiveness and report evaluation results to such committees.
[Congressional Bills 111th Congress]
[From the U.S. Government Publishing Office]
[H.R. 4295 Introduced in House (IH)]
111th CONGRESS
1st Session
H. R. 4295
To direct the Administrator of the Small Business Administration to
establish and carry out a program to provide loans directly to small
business concerns, and for other purposes.
_______________________________________________________________________
IN THE HOUSE OF REPRESENTATIVES
December 11, 2009
Mr. Courtney introduced the following bill; which was referred to the
Committee on Small Business
_______________________________________________________________________
A BILL
To direct the Administrator of the Small Business Administration to
establish and carry out a program to provide loans directly to small
business concerns, 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. SHORT TITLE.
This Act may be cited as the ``Small Business Emergency Capital
Assistance Act of 2009''.
SEC. 2. SMALL BUSINESS DIRECT LENDING PROGRAM.
(a) Establishment.--The Administrator of the Small Business
Administration shall establish and carry out a program under which the
Administrator is authorized to make loans directly to eligible small
business concerns (in this section referred to as the ``program'').
(b) Administration.--Except as otherwise provided under this
section and to the extent practicable, the Administrator of the Small
Business Administration shall carry out the program--
(1) using the administrative resources of the Small
Business Administration; and
(2) in a manner similar to the loan program under section
7(a) of the Small Business Act (15 U.S.C. 636(a)).
(c) Use of Loan Funds.--Amounts from a loan made under the program
may be used by a small business concern for the operation or expansion
of such concern or for any other purpose allowed under section 7(a) of
the Small Business Act (15 U.S.C. 636(a)).
(d) Loan Amount.--The maximum amount of a loan made under the
program shall be $1,500,000.
(e) Loan Term.--The maximum term for repayment of a loan made under
the program shall be 25 years.
(f) Loan Interest Rate.--The interest rate with respect to a loan
made under the program shall be the sum of--
(1) 4.75 percent; and
(2) the prime rate (as determined by the Administrator of
the Small Business Administration).
(g) Accountability.--
(1) SBA reports.--Not later than 30 days after the date of
enactment of this Act and every month thereafter, the
Administrator of the Small Business Administration shall submit
to the Committee on Small Business of the House of
Representatives and the Committee on Small Business and
Entrepreneurship of the Senate a report describing--
(A) the number of loans made under the program;
(B) the amounts of loans made under the program;
(C) the uses of loans made under the program;
(D) repayment progress with respect to loans made
under the program;
(E) the default rate with respect to loans made
under the program; and
(F) other relevant information with respect to the
program.
(2) GAO reports.--
(A) Review.--The Comptroller General of the United
States shall conduct a review of the program to
evaluate the effectiveness of the program and identify
any waste or abuse relating to the program.
(B) Reports.--Not later than 90 days after the date
of enactment of this Act and quarterly thereafter, the
Comptroller General shall submit to the Committee on
Small Business of the House of Representatives and the
Committee on Small Business and Entrepreneurship of the
Senate a report describing the results of the review
conducted under subparagraph (A).
(h) Definitions.--In this section, the following definitions apply:
(1) Eligible small business concern.--The term ``eligible
small business concern'' means a small business concern that
the Administrator of the Small Business Administration
determines--
(A) is economically healthy;
(B) has good credit; and
(C) is unable to obtain a loan on reasonable terms
from a non-Federal source (which may be demonstrated
with respect to a small business concern by evidence
that a lender discontinued a line of credit of such
concern notwithstanding the good credit of such
concern).
(2) Small business concern.--The term ``small business
concern'' has the meaning given such term under section 3(a) of
the Small Business Act (15 U.S.C. 632(a)).
(i) Authorization of Appropriations.--There is authorized to be
appropriated to the Administrator of the Small Business Administration
$10,000,000,000 to carry out the program, including the hiring of
necessary personnel.
(j) Termination.--The program shall terminate on the date that is 2
years after the date of enactment of this Act.
<all>
Introduced in House
Introduced in House
Referred to the House Committee on Small Business.
Referred to the Subcommittee on Finance and Tax.
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