S.Amdt. 4545

SA 4545. Mrs. BOXER submitted an amendment intended to be proposed to
amendment SA 4519 proposed by Mr. Reid (for himself, Mr. Baucus, and
Ms. Landrieu) to the bill H.R. 5297, to create the Small Business
Lending Fund Program to direct the Secretary of the Treasury to make
capital investments in eligible institutions in order to increase the
availability of credit for small businesses, to amend the Internal
Revenue Code of 1986 to provide tax incentives for small business job
creation, and for other purposes; which was ordered to lie on the
table; as follows:

On page 40, after line 24, add the following:
(c) Working Capital Express Program.--
(1) Program established.--
(A) Working capital express program.--Section 7(a)(31) of
the Small Business Act (15 U.S.C. 636(a)(31)) is amended by
adding at the end the following:
``(G) Working capital express program in response to
economic crisis.--
``(i) Loan guarantees.--The Administrator may guarantee
loans under the Express Loan Program made by lenders
designated in accordance with clause (iii)(I) to small
business concerns that have been in business for not less
than 2 years before the date on which the small business
concern submits an application for a loan under this
subparagraph.
``(ii) Loan terms.--

``(I) Minimum amount.--The Administrator may guarantee a
loan under this subparagraph of not less than $100,000.
``(II) Guarantee rate.--Notwithstanding subparagraph
(A)(iii), the guarantee rate for a loan under this
subparagraph shall be 75 percent.

``(iii) Program safeguards.--

``(I) Eligibility.--The Administrator shall, by rule,
establish criteria for the designation of lenders that are
eligible to make a loan guaranteed under this subparagraph.
``(II) Underwriting standards.--The Administrator shall, by
rule, establish underwriting standards for loans guaranteed
under this subparagraph, to ensure that the Administrator may
guarantee new loans under this subparagraph until 1 year
after the date of enactment of this subparagraph. The
standards established under this subclause shall require the
borrower to submit income tax returns to provide verification
of business income.
``(III) Penalties for fraud.--Notwithstanding section 16, a
lender that knowingly makes a false statement with respect to
the income, assets, or other qualifications of a small
business concern in connection with a loan or application for
a loan guaranteed under this subparagraph shall be fined not
more than $500,000, imprisoned for not more than 5 years, or
both.

``(iv) Authority of participating lenders.--A lender
designated in accordance with clause (iii) shall have the
same authority with respect to the underwriting and
liquidation of a loan guaranteed under this subparagraph as a
lender participating in the Certified Lenders Program under
paragraph (19).
``(v) Total amount of loans.--The Administrator may
guarantee a total of not more than $3,000,000,000 in loans
under this subparagraph.
``(vi) Default rate.--The Administrator shall calculate the
default rate for loans guaranteed under this subparagraph
separately from the default rate for any other loans made or
guaranteed by the Administration.''.
(B) Conforming amendment.--Section 7(a)(25)(B) of the Small
Business Act (15 U.S.C. 636(a)(25)(B)) is amended by
inserting ``, and does not include loans under paragraph
(31)(G)'' after ``by law''.
(C) Implementation.--Not later than 45 days after the date
of enactment of this Act, the Administrator shall begin
guaranteeing loans under section 7(a)(31)(G) of the Small
Business Act, as added by this subsection.
(2) Funding.--
(A) Appropriation.--There is appropriated, out of any money
in the Treasury not otherwise appropriated, for the fiscal
year ending September 30, 2010, $75,000,000, to remain
available until 1 year after the date of enactment of this
Act, for an additional amount for the appropriations account
appropriated under the heading ``business loans program
account'' under the heading ``Small Business Administration''
for the cost of loan guarantees under section 7(a)(31)(G) of
the Small Business Act, as added by this subsection.
(B) Offsets.--There are permanently rescinded from the
appropriations account appropriated under the heading
``federal buildings fund'' under the heading ``real property
activities'' under the heading ``General Services
Administration'', $50,000,000 from Rental of Space and
$25,000,000 from Building Operations, to be derived from
unobligated balances that were provided in previous
appropriations Acts.
(3) Prospective repeal.--
(A) In general.--Effective 1 year after the date of
enactment of this Act, section 7(a) of the Small Business Act
(15 U.S.C. 636(a)) is amended--
(i) in paragraph (25)(B), by striking ``, and does not
include loans under paragraph (31)(G)''; and
(ii) in paragraph (31), by striking subparagraph (G).
(B) Penalties.--Notwithstanding subparagraph (A), subclause
(III) of section 7(a)(31)(G)(iii) of the Small Business Act,
as added by this subsection, shall continue to apply on and
after the date described in subparagraph (A), to loans
guaranteed under section 7(a)(31)(G) of the Small Business
Act.
(C) Savings provision.--A loan guaranteed under section
7(a)(31)(G) of the Small Business Act, as added by this
subsection, before the date described in subparagraph (A)
shall

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remain in full force and effect under the terms, and for the
duration, of the loan.
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