MEMORANDUM TO THE ROBERT FAITHFUL, CHAIR OSDBU COUNCIL

 

DATE:             January 27, 2005

 

FROM:            Arthuretta H. Martin, Legislative Working Group

 

SUBJECT:       January Legislative Report

 

 

The following is a summary of proposed legislation before congress affecting small businesses doing business with the Federal Government in the 109th Congress.  

S.2384
Title: A bill to amend the Small Business Act to permit business concerns that are owned by venture capital operating companies or pension plans to participate in the Small Business Innovation Research Program.
Sponsor: Sen Bond, Christopher S. [MO] (introduced 5/5/2004)      Cosponsors (3)
Related Bills: H.R.4149
Latest Major Action: 5/5/2004 Referred to Senate committee. Status: Read twice and referred to the Committee on Small Business and Entrepreneurship.

 

SUMMARY AS OF:
5/5/2004--Introduced.

 

Amends the Small Business Act to state that a business shall not be prevented from participating in the Small Business Innovation Research Program (a program under which a portion of Federal agencies' research and development efforts is reserved for award to small businesses) solely because the business is owned in part by: (1) a venture capital operating company managed and controlled by one or more U.S. citizens or permanent resident aliens; or (2) an employee benefit or pension plan.

 

S.2267
Title: A bill to amend section 29(k) of the Small Business Act to establish funding priorities for women's business centers.
Sponsor: Sen Snowe, Olympia J. [ME] (introduced 3/31/2004)      Cosponsors (14)
Related Bills: H.R.4376, S.2266
Latest Major Action: 4/30/2004 Referred to House committee. Status: Referred to the House Committee on Small Business.

 

SUMMARY AS OF:
4/29/2004--Passed Senate, amended.    (There is 1 other summary)

 

Women's Sustainability Recovery Act of 2004 - Amends the Small Business Act with respect to the women's business centers program to provide Small Business Administration funding priorities for FY 2004 for nonprofit organizations conducting projects for the benefit of small businesses owned and controlled by women. Increases from 30 to 48 the percentage of appropriated women's business center funds to be used during FY 2004 for pilot project sustainability grants. Terminates the provisions of this Act on October 1, 2004.

 

S.2193
Title: A bill to improve small business loan programs, and for other purposes.
Sponsor: Sen Snowe, Olympia J. [ME] (introduced 3/10/2004)      Cosponsors (20)
Latest Major Action: 3/10/2004 Referred to Senate committee. Status: Read twice and referred to the Committee on Small Business and Entrepreneurship.

 

SUMMARY AS OF:
3/10/2004--Introduced.

 

Small Business Loan Revitalization Act - Amends the Small Business Act (the Act) to provide requirements for the making of a Small Business Administration (SBA) guaranteed loan to a small business within 120 days after a commercial loan is obtained by that small business. Makes such small business ineligible for the SBA loan unless the commercial loan does not exceed $2 million.

 

Allows the commercial loan to be: (1) made by the lender providing the guaranteed financing or by a different lender; (2) secured by a senior lien; and (3) made by a lender in the Preferred Lenders Program. Requires a fee to be paid by the lender to the SBA if the commercial loan has a senior credit position to that of the guaranteed loan.

 

Prohibits a small business from receiving combination financing (an SBA-guaranteed loan and a commercial loan) in an amount greater than $4 million.  Makes current SBA-guaranteed loan fees inapplicable to loans approved from the day after enactment of this Act until September 30, 2004. Applies a loan fee with respect to loans approved during the period beginning on: (1) October 1, 2002, and ending on the date of enactment of this Act of 0.25 percent of the outstanding balance of the deferred participation share of the loan; and (2) the first day after the enactment of this Act and ending on September 30, 2004, of 0.35 percent of such outstanding balance.

 

Directs the SBA to reconsider, before considering any other application, any application submitted on or after December 23, 2003, and before January 8, 2004, for an SBA loan guarantee that was rejected based on the loan amount requested if the applicant is otherwise eligible for financial assistance under the Act. Requires any small business that received SBA export working capital financing before January 1, 2004, and requests a financing renewal to have their request approved regardless of the size of such financing, if the small business is otherwise eligible for such financing.  Directs the SBA, ten days after the enactment of this Act, to allow general small business start-up loans up to the maximum amount permitted under the Act.