Legislation (as-yet-unnumbered) to reauthorize a number of Small Business Administration (SBA) programs was approved, 18-0, by the Senate Small Business Committee on March 21. A House version (H.R. 3843) was approved by the House on March 15 (see The Source, 3/17/00, p. 1). Among other programs, the House-approved bill would reauthorize the National Women’s Business Council, the domestic microloan program, and the 7(a) and 504 loan programs.
During its mark-up, the Senate committee approved several amendments to the House-passed measure. By voice vote, the committee passed a manager’s amendment offered by Committee Chair Christopher Bond (R-MO), which included three separate bills. One measure (H.R. 1156) would allow small businesses to participate in the process of developing new regulations likely to impact them. It was approved by the Senate last September.
Another bill (H.R. 1143) would allow the SBA’s Office of Advocacy to operate independently of the SBA in representing small business owners. It was approved by the Senate last November. Yet another measure (H.R. 1111) in the package would establish a National Business Council and authorize funding for a national conference on small business every four years.
In addition to the manager’s amendment, the committee approved, by voice vote, an amendment by Sens. Mary Landrieu (D-LA) and Olympia Snowe (R-ME) to reauthorize the National Women’s Business Council (NWBC) at $1 million each year for FY2001 through 2003.
Established by Congress in 1988, the NWBC is a nonpartisan panel designed to advise Congress, the President, and the Interagency Council on Women’s Business Enterprise. The NWBC is comprised of the leaders of national women’s business organizations and prominent women business owners seeking to support and promote women-owned businesses.
Another amendment offered by Sen. Snowe also was approved by voice vote. It would expand the allowable uses for technical assistance funds for microloan programs. The SBA would be able to use the funds to create a mentoring program for experienced microlending organizations to assist and advise new microlending groups.
The SBA’s domestic microlending program provides loans in amounts less than $25,000 to entrepreneurs—often women—who are unable to qualify for credit from traditional lending institutions.
The committee also approved, by voice vote, an amendment by Sen. Paul Wellstone (D-MN) to detach from H.R. 3843 the reauthorization of the 504 loan program, moving it separately as H.R. 2614. Sen. Wellstone expressed concern that the program’s authorization otherwise will expire before H.R. 3843 is approved by both chambers and sent to the President.
Approved by the House last August, H.R. 2614 contains a provision that would make women-owned businesses eligible for a special category of public policy 504 loans. Already, this additional SBA-guaranteed funding is available for businesses aligned with seven public policy goals: business district revitalization, expansion of exports, expansion of minority business development, rural development, enhanced economic competition, changes necessitated by federal budget cutbacks, and business restructuring from federally-mandated standards to protect the environment or employee health and safety. During the mark-up, Sen. John Kerry (D-MA) highlighted this provision, saying, “I am particularly glad that the bill gives women-owned businesses increased access to special 504 loans.”
