H.R. 4598 – Reading Mode

111th CONGRESS

2d Session

H. R. 4598

IN THE HOUSE OF REPRESENTATIVES

February 4, 2010

Mrs. Dahlkemper (for herself, Ms. Bean, Mr. Pomeroy, Mr. Welch, Mr. Altmire, Ms. Kosmas, Mr. Ryan of Ohio, Mr. Schrader, Mr. Bright, Ms. Schwartz, Mr. Driehaus, Mr. Peters, Ms. Richardson, Mr. Klein of Florida, Ms. Wasserman Schultz, Mr. Grayson, Mr. McMahon, Mr. Donnelly of Indiana, and Mr. Shuster) introduced the following bill; which was referred to the Committee on Small Business

A BILL

To amend the Small Business Act to improve the Express Loan Program, and for other purposes.

Short title

This Act may be cited as the Express Loans Improvements Act of 2010.

Improvement of Express Loan Program

(a)

Guaranty rate

(1)

Temporary increase

(A)

In general

Section 7(a)(31)(A)(iii) of the Small Business Act (15 U.S.C. 636(a)(31)(A)(iii)) is amended by striking 50 percent and inserting 75 percent.

(B)

Effective dates

The amendment under subparagraph (A) shall take effect on the date of enactment of this Act and shall cease to have effect on the date that is 2 years after such date.

(2)

Permanent increase

(A)

In general

The percentage specified in section 7(a)(31)(A)(iii) of the Small Business Act (15 U.S.C. 636(a)(31)(A)(iii)) is amended to read 60 percent.

(B)

Effective date

The amendment under subparagraph (A) shall take effect on the date that is 2 years after the date of enactment of this Act.

(b)

Maximum loan amount

Section 7(a)(31)(D) of the Small Business Act (15 U.S.C. 636(a)(31)(D)) is amended by striking $350,000 and inserting $1,000,000.

(c)

Regulations

Not later than 180 days after the date of enactment of this Act, the Administrator of the Small Business Administration shall issue regulations with respect to the loan eligibility, lender eligibility, and collateral requirements (including lien protection for lenders) of the Express Loan Program under section 7(a)(31) of the Small Business Act (15 U.S.C. 636(a)(31)) that minimize, with respect to the Federal Government, the risk of loss associated with such Program.

(d)

Reports

Not later than one year after the date of enactment of this Act and annually thereafter, the Administrator of the Small Business Administration shall submit to the Committee on Small Business of the House of Representatives and the Committee on Small Business and Entrepreneurship of the Senate a report describing the implementation of the Express Loan Program under section 7(a)(31) of the Small Business Act (15 U.S.C. 636(a)(31)), including actions taken to reduce default rates with respect to such Program.