Sec. 100501. Funding for Community Advantage Loan Program
693 words·~3 min read·
/bill/117/hr/5376/eh/section-100501·A research copy — for the controlling text, always check the official state or federal source. Not legal advice.
In addition to amounts otherwise available, there is appropriated to the Small Business Administration for fiscal year 2022, out of any money in the Treasury not otherwise appropriated, to remain available until September 30, 2031— $224,800,000 for carrying out paragraph
(38)of section 7(a) of the Small Business Act ( 15 U.S.C. 636(a) ), as added by subsection (b); $4,000,000 for the Administrator of the Small Business Administration to develop a training course and provide free or low-cost training to covered institutions making loans under the program established under such paragraph (38); and $47,100,000 for administrative expenses related to carrying out such paragraph (38), including issuing interim final rules. Section 7(a) of the Small Business Act ( 15 U.S.C. 636(a) ) is amended by adding at the end the following: In this paragraph— the term covered institution means— a development company, as defined in section 103 of the Small Business Investment Act of 1958, participating in the loan program established under title V of such Act; a non-Federally regulated entity certified as a community development financial institution under the Community Development Banking and Financial Institutions Act of 1994; an intermediary, as defined in subsection (m)(11), that is a nonprofit organization and is participating in the microloan program under subsection (m); and an eligible intermediary, as defined in subsection (l)(1), participating in the small business intermediary lending pilot program established under subsection (l)(2); the term new business means a small business concern that has been in business for not more than 2 years on the date on which a loan is made to the small business concern under the program; the term program means the Community Advantage Loan Program established under subparagraph (B); the term small business concern in an underserved market means a small business concern— that is located in— a low- to moderate-income community; a HUBZone, as that term is defined in section 31(b); a rural area; or any area for which a disaster declaration or determination described in subparagraph (B), (C), or
(E)of subsection (b)(2) has been made that has not terminated more than 2 years (or later, as determined by the Administrator) before the date on which a loan is made to such concern under such subsection, or in any area for which a major disaster described in subsection (b)(2)(A) has been declared, that period shall be 5 years; that is a new business; owned and controlled by veterans; owned and controlled by an individual who has completed a term of imprisonment; owned and controlled by an individual with a disability, as that term is defined in section 3 of the Americans with Disabilities Act of 1990; owned and controlled by a member of an Indian tribe individually identified (including parenthetically) in the most recent list published pursuant to section 104 of the Federally Recognized Indian Tribe List Act of 1994; or otherwise identified by the Administrator. There is established a Community Advantage Loan Program under which the Administration may guarantee loans made by covered institutions under this subsection, with an emphasis on loans made to small business concerns in an underserved market. Not less than 60 percent of loans made by a covered institution under the program shall consist of loans made to small business concerns in an underserved market. Except as provided in clause (ii), the maximum loan amount for a loan guaranteed under the program is $250,000. Upon request by a covered institution, the Administrator may guarantee a loan under the program that is more than $250,000 and not more than $350,000. As soon as practicable and not later than 14 business days after receiving a request under item (aa), the Administration shall— review the request; and provide a decision regarding the request to the covered institution making the loan. The maximum loan amount for a loan guaranteed under the program that is made to a small business concern located in an area affected by a major disaster described in subsection (b)(2)(A) is $350,000. The maximum interest rate for a loan guaranteed under the program shall not exceed the maximum interest rate, as determined by the Administration, applicable to other loans guaranteed under this subsection. .
Connectionstraces to 1
Traces to 1 document
U.S. Code
Citation graph
cites case law
Sec. 100501
Funding for Community Advantage Loan Program
Cites 1Cited by 0 across 0 sources