Investing in All of America Act of 2025
This bill modifies the limit on the amount of financing available to a Small Business Investment Company (SBIC) from the Small Business Administration (SBA). It also expands the definition of private capital with respect to SBICs.
Specifically, the bill reduces the maximum outstanding financing available to an SBIC from 300% to 200% of the SBIC's private capital. The bill increases from $350 million to $450 million the maximum financing available to two or more commonly controlled SBICs that make quarterly or semiannual interest payments.
The bill also expands the amounts that may be excluded from the calculation of the financing limit to include the amounts an SBIC invests in (1) rural areas, (2) certain technology categories, or (3) small manufacturers. The bill revises the cap on such excluded amounts to the lesser of $125 million or the aggregate of 50% of the private capital of the SBIC.
Additionally, the bill expands what is considered the private capital of an SBIC to include funds obtained from the business revenue of additional government-sponsored corporations and funds invested by the trust or endowment of a college or university.
[Congressional Bills 119th Congress]
[From the U.S. Government Publishing Office]
[H.R. 2066 Introduced in House (IH)]
<DOC>
119th CONGRESS
1st Session
H. R. 2066
To amend the Small Business Investment Act of 1958 to exclude from the
limit on leverage certain amounts invested in smaller enterprises
located in rural or low-income areas and small businesses in critical
technology areas, and for other purposes.
_______________________________________________________________________
IN THE HOUSE OF REPRESENTATIVES
March 11, 2025
Mr. Meuser (for himself and Ms. Scholten) introduced the following
bill; which was referred to the Committee on Small Business
_______________________________________________________________________
A BILL
To amend the Small Business Investment Act of 1958 to exclude from the
limit on leverage certain amounts invested in smaller enterprises
located in rural or low-income areas and small businesses in critical
technology areas, 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 ``Investing in All of America Act of
2025''.
SEC. 2. SMALL BUSINESS INVESTMENT COMPANY MAXIMUM LEVERAGE EXCLUSION.
(a) Definitions.--Section 103(9) of the Small Business Investment
Act of 1958 (15 U.S.C. 662(9)) is amended--
(1) in subparagraph (A)(ii), by striking ``and'' at the
end;
(2) in subparagraph (B)(iii)--
(A) in subclause (I), by striking ``established
prior to October 1, 1987'';
(B) in subclause (II)--
(i) by striking ``or'' and inserting ``,'';
and
(ii) by inserting ``, or a foundation,
endowment, or trust of a college or
university'' after ``pension plan''; and
(C) in subclause (III), by striking the semicolon
at the end and inserting ``; and''; and
(3) by adding at the end the following new subparagraph:
``(C) does not include any funds obtained directly
or indirectly from any Federal, State or local
government or any government agency or instrumentality,
except for funds described in subclauses (I) through
(III) of subparagraph (B)(iii), for the purpose of
approval by the Administrator of any request for
leverage.''.
(b) Maximum Leverage Exclusion.--Section 303(b)(2) of the Small
Business Investment Act of 1958 (15 U.S.C. 683(b)(2)) is amended--
(1) in subparagraph (A)(i), by striking ``300'' and
inserting ``200'';
(2) in subparagraph (C)--
(A) in the heading--
(i) by inserting ``or rural'' after ``low-
income''; and
(ii) by inserting ``, critical technology
areas, or small manufacturers'' after
``geographic areas'';
(B) in clause (i)--
(i) by striking ``(i) In calculating'' and
inserting the following:
``(i) In general.--Except as provided in
clause (iii), in calculating'';
(ii) by inserting ``or companies'' after
``of a company'';
(iii) by striking ``subparagraph (A)'' and
inserting ``subparagraphs (A) and (B)'';
(iv) by striking ``equity''; and
(v) by striking ``the company in a smaller
enterprise'' and all that follows and inserting
the following: ``the company or companies in--
``(I) a small business concern
located in a low-income geographic area
(as defined in section 351 of this
title) or in a rural area (as defined
in section 343(a)(13) of the
Agricultural Act of 1961 (7 U.S.C.
1991(a)(13)));
``(II) a small business concern
operating primarily in a covered
technology category (as defined in
section 149(e) of title 10, United
States Code); or
``(III) a small manufacturer (as
defined in section 501(e)(6) of this
Act).''; and
(C) by amending clause (ii) to read as follows:
``(ii) Limitation.--While maintaining the
limitation of subparagraph (A)(i) and
consistent with a leverage determination ratio
issued pursuant to section 301(c), the
aggregate amount excluded for a company or
companies under clause (i) from the calculation
of the outstanding leverage such company or
companies for the purposes of subparagraphs (A)
and (B) may not exceed the lesser of 50 percent
of the private capital of such company or
companies or $125,000,000''; and
(D) by amending clause (iii) to read as follows:
``(iii) Prospective applicability.--An
investment by a licensee is eligible for
exclusion from the calculation of outstanding
leverage under clause (i) only if such
investment is made by such licensee after the
date of enactment of this clause.''; and
(3) by adding at the end the following new subparagraphs:
``(E) Annual adjustment.--Except as provided in
subparagraph (F), the Administrator shall adjust the
dollar amounts described in subparagraphs (A) and (B)--
``(i) on the date of the enactment of this
subparagraph, by a percentage equal to the
percentage (if any) by which the Consumer Price
Index (all items; United States city average),
as published by the Bureau of Labor Statistics,
increased during the period--
``(I) beginning on December 18,
2015, and ending on the date of the
enactment of this subparagraph, with
respect to a dollar amount under
subparagraph (B); and
``(II) beginning on June 21, 2018,
and ending on the date of the enactment
of this subparagraph, with respect to a
dollar amount under subparagraph (A);
and
``(ii) on the date that is one year after
the date of the enactment of this subparagraph,
and annually thereafter, by a percentage equal
to the percentage (if any) by which the
Consumer Price Index (all items; United States
city average), as published by the Bureau of
Labor Statistics, increased during the one-year
period preceding the date of the adjustment
under this clause.
``(F) Exclusion.--Subparagraph (E) shall not apply
with respect to a small business investment company
authorized to issue accrual debentures (as defined in
section 107.50 of title 13, Code of Federal
Regulations).''.
<all>
Introduced in House
Introduced in House
Referred to the House Committee on Small Business.
Committee Consideration and Mark-up Session Held
Ordered to be Reported (Amended) by the Yeas and Nays: 23 - 0.
Reported (Amended) by the Committee on Small Business. H. Rept. 119-227.
Reported (Amended) by the Committee on Small Business. H. Rept. 119-227.
Placed on the Union Calendar, Calendar No. 185.
Mr. Williams (TX) moved to suspend the rules and pass the bill, as amended.
Considered under suspension of the rules. (consideration: CR H4918-4919)
DEBATE - The House proceeded with forty minutes of debate on H.R. 2066.
Passed/agreed to in House: On motion to suspend the rules and pass the bill, as amended Agreed to by voice vote. (text: CR H4918)
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On motion to suspend the rules and pass the bill, as amended Agreed to by voice vote. (text: CR H4918)
Motion to reconsider laid on the table Agreed to without objection.
Received in the Senate and Read twice and referred to the Committee on Small Business and Entrepreneurship.