Increasing Small Business Lending Act

Summary: Increasing Small Business Lending Act - Amends the Small Business Act to suspend, until September 30, 2015, fees under the 7(a) program (SBA-guaranteed loans to small businesses) and the 504 program (financing to small businesses backed by SBA-guaranteed debentures issued by any qualified state or local development company). Authorizes the SBA to guarantee up to 90% of a loan made by a private lender to a small business eligible for a loan guarantee under the Small Business Act or the Small Business Investment Act of 1958. Prohibits such guarantees with respect to small businesses: (1) in which an unlawful alien has an ownership interest, or (2) in violation of immigration laws.

SECTION 1. SHORT TITLE.

    This Act may be cited as the ``Increasing Small Business Lending 
Act''.

SEC. 2. FEE REDUCTIONS.

    (a) Administrative Provisions Small Business Administration.--Until 
September 30, 2015, and to the extent that the cost of such elimination 
or reduction of fees is offset by appropriations, with respect to each 
loan guaranteed under section 7(a) of the Small Business Act (15 U.S.C. 
636(a)) and section 3 of this Act, for which the application is 
approved on or after the date of enactment of this Act, the 
Administrator shall--
            (1) in lieu of the fee otherwise applicable under section 
        7(a)(23)(A) of the Small Business Act (15 U.S.C. 
        636(a)(23)(A)), collect no fee or reduce fees to the maximum 
        extent possible; and
            (2) in lieu of the fee otherwise applicable under section 
        7(a)(18)(A) of the Small Business Act (15 U.S.C. 
        636(a)(18)(A)), collect no fee or reduce fees to the maximum 
        extent possible.
    (b) Temporary Fee Elimination for the 504 Loan Program.--
            (1) In general.--Until September 30, 2015, and to the 
        extent the cost of such elimination in fees is offset by 
        appropriations, with respect to each project or loan guaranteed 
        by the Administrator pursuant to title V of the Small Business 
        Investment Act of 1958 (15 U.S.C. 695 et seq.) for which an 
        application is approved or pending approval on or after the 
        date of enactment of this Act--
                    (A) the Administrator shall, in lieu of the fee 
                otherwise applicable under section 503(d)(2) of the 
                Small Business Investment Act of 1958 (15 U.S.C. 
                697(d)(2)), collect no fee; and
                    (B) a development company shall, in lieu of the 
                processing fee under section 120.971(a)(1) of title 13, 
                Code of Federal Regulations (relating to fees paid by 
                borrowers), or any successor thereto, collect no fee.
            (2) Reimbursement for waived fees.--
                    (A) In general.--To the extent that the cost of 
                such payments is offset by appropriations, the 
                Administrator shall reimburse each development company 
                that does not collect a processing fee pursuant to 
                paragraph (1)(B).
                    (B) Amount.--The payment to a development company 
                under subparagraph (A) shall be in an amount equal to 
                1.5 percent of the net debenture proceeds for which the 
                development company does not collect a processing fee 
                pursuant to paragraph (1)(B).
    (c) Application of Fee Eliminations.--To the extent that amounts 
are made available to the Administrator for the purpose of fee 
eliminations or reductions under subsection (a), the Administrator 
shall--
            (1) first use any amounts provided to eliminate or reduce 
        fees paid by small business borrowers under clauses (i) through 
        (iii) of paragraph (18)(A), to the maximum extent possible;
            (2) then use any amounts provided to eliminate or reduce 
        fees under paragraph (23)(A) paid by small business lenders 
        with assets less than $1,000,000,000 as of the date of 
        enactment; and
            (3) then use any remaining amounts appropriated under this 
        Act to reduce fees paid by small business lenders other than 
        those with assets less than $1,000,000,000.

SEC. 3. ECONOMIC STIMULUS LENDING PROGRAM FOR SMALL BUSINESSES.

    (a) In General.--The Administrator may guarantee up to 90 percent 
of qualifying small business loans made by eligible lenders.
    (b) Definitions.--For purposes of this section:
            (1) The term ``Administrator'' means the Administrator of 
        the Small Business Administration.
            (2) The term ``qualifying small business loan'' means any 
        loan to a small business concern pursuant to section 7(a) of 
        the Small Business Act (15 U.S.C. 636) or title V of the Small 
        Business Investment Act of 1958 (15 U.S.C. 695 and following) 
        except for such loans made under section 7(a)(31).
            (3) The term ``small business concern'' has the same 
        meaning as provided by section 3 of the Small Business Act (15 
        U.S.C. 632).
    (c) Nonapplication of Section to Certain Loans.--
            (1) Aliens unlawfully present in the united states.--A loan 
        guarantee may not be made under this section for a loan made to 
        a concern if an individual who is an alien unlawfully present 
        in the United States--
                    (A) has an ownership interest in that concern; or
                    (B) has an ownership interest in another concern 
                that itself has an ownership interest in that concern.
            (2) Firms in violation of immigration laws.--No loan 
        guarantee may be made under this section for a loan to any 
        entity found, based on a determination by the Secretary of 
        Homeland Security or the Attorney General to have engaged in a 
        pattern or practice of hiring, recruiting or referring for a 
        fee, for employment in the United States persons knowing those 
        persons are or would be aliens unlawfully present in the United 
        States.
    (d) Criminal Background Checks.--Before approval of any loan 
guarantee under this section, the Administrator may verify the 
applicant's criminal background, or lack thereof, through the best 
available means, including, if possible, use of the National Crime 
Information Center computer system at the Federal Bureau of 
Investigation.
    (e) Application of Other Law.--Nothing in this section shall be 
construed to exempt any activity of the Administrator under this 
section from the Federal Credit Reform Act of 1990 (title V of the 
Congressional Budget and Impoundment Control Act of 1974; 2 U.S.C. 661 
and following).
    (f) Small Business Act Provisions.--The provisions of the Small 
Business Act applicable to loan guarantees under section 7 of that Act 
and regulations promulgated thereunder as of the date of the enactment 
of this Act shall apply to loan guarantees under this section except as 
otherwise provided in this section.
    (g) Sunset.--Loan guarantees may not be issued under this section 
later than one year after the date of the enactment of this Act.

SEC. 4. AUTHORIZATION OF APPROPRIATIONS.

    There are authorized to be appropriated such sums as may be 
necessary to carry out this Act.