II 

111TH CONGRESS 

1ST SESSION S. 1832 

To increase loan limits for small business concerns, provide for low interest 

refinancing for small business concerns, and for other purposes. 

IN THE SENATE OF THE UNITED STATES 

OCTOBER 21, 2009 

Ms. LANDRIEU (for herself, Mr. KERRY, Mrs. SHAHEEN, Mr. CASEY, Mr. 

CARDIN, and Mr. HARKIN) introduced the following bill; which was read 

twice and referred to the Committee on Small Business and Entrepreneurship 

A BILL 

To increase loan limits for small business concerns, provide 

for low interest refinancing for small business concerns, 

and for other purposes. 

1 Be it enacted by the Senate and House of Representa2 tives of the United States of America in Congress assembled, 

3 SECTION 1. SHORT TITLE. 

4 This Act may be cited as the ‘‘Small Business Access 

5 to Capital Act of 2009’’. 

6 SEC. 2. SECTION 7(a) BUSINESS LOANS. 

7 Section 7(a) of the Small Business Act (15 U.S.C. 

8 636(a)) is amended— 

9 (1) in paragraph (2)(A)— 


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1 (A) in clause (i), by striking ‘‘75 percent’’ 

2 and inserting ‘‘90 percent’’; and 

3 (B) in clause (ii), by striking ‘‘85 percent’’ 

4 and inserting ‘‘90 percent’’; and 

5 (2) in paragraph (3)(A), by striking 

6 ‘‘$1,500,000 (or if the gross loan amount would ex7 ceed $2,000,000’’ and inserting ‘‘$4,500,000 (or if 

8 the gross loan amount would exceed $5,000,000’’. 

9 SEC. 3. LOW INTEREST REFINANCING UNDER THE LOCAL 

10 DEVELOPMENT BUSINESS LOAN PROGRAM. 

11 Section 502(7) of the Small Business Investment Act 

12 of 1958 (15 U.S.C. 696(7)) is amended by adding at the 

13 end the following: 

14 ‘‘(C) REFINANCING NOT INVOLVING EX15 PANSIONS.— 

16 ‘‘(i) IN GENERAL.—A project that 

17 does not involve the expansion of a small 

18 business concern may include the refi19 nancing of existing indebtedness if— 

20 ‘‘(I) the amount of the financing 

21 is not more than 80 percent of the 

22 value of the collateral for the financ23 ing; 

24 ‘‘(II) the small business concern 

25 has been in operation for all of the 2- 


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1 year period ending on the date of the 

2 financing; 

3 ‘‘(III) the existing indebtedness 

4 was not incurred during the 2-year 

5 period ending on the date of the fi6 nancing; 

7 ‘‘(IV) the existing indebtedness is 

8 not subject to a guarantee by any 

9 Federal agency; and 

10 ‘‘(V) for a loan for which the Ad11 ministrator determines there will be 

12 an additional cost for making a loan 

13 that includes the refinancing of the 

14 existing indebtedness, the borrower 

15 agrees to pay a fee in an amount 

16 equal to the anticipated additional 

17 cost. 

18 ‘‘(ii) NO JOB CREATION GOALS.—A fi19 nancing may be approved under this sub20 paragraph regardless of whether the 

21 project meets the job creation goals under 

22 subsection (d) or (e) of section 501.’’. 


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1 SEC. 4. MICROLOANS. 

2 (a) MARKETING, MANAGEMENT, AND TECHNICAL

3 ASSISTANCE GRANTS.—Section 7(m)(4) of the Small 

4 Business Act (15 U.S.C. 636(m)(4)) is amended— 

5 (1) in subparagraph (A)— 

6 (A) in the first sentence, by striking ‘‘and 

7 subject to subparagraph (B)’’; and 

8 (B) in the second sentence— 

9 (i) by striking ‘‘each intermediary 

10 meeting the requirements of subparagraph 

11 (B)’’ and inserting ‘‘an intermediary’’; and 

12 (ii) by striking ‘‘25 percent’’ and in13 serting ‘‘50 percent’’; 

14 (2) by striking subparagraph (B); and 

15 (3) by striking subparagraph (C)(iii). 

16 (b) MICROLOAN AMOUNTS.—Section 7(m) of the 

17 Small Business Act (15 U.S.C. 636(m)) is amended— 

18 (1) in paragraph (1)(B)(iii), by striking 

19 ‘‘$35,000’’ and inserting ‘‘$50,000’’; 

20 (2) in paragraph (3)(E), by striking ‘‘$35,000’’ 

21 each place it appears and inserting ‘‘$50,000’’; and 

22 (3) in paragraph (11)(B), by striking 

23 ‘‘$35,000’’ and inserting ‘‘$50,000’’. 

24 SEC. 5. MAXIMUM LOAN AMOUNTS UNDER 504 PROGRAM. 

25 Section 502(2)(A) of the Small Business Investment 

26 Act of 1958 (15 U.S.C. 696(2)(A)) is amended— 


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1 (1) in clause (i), by striking ‘‘$1,500,000’’ and 

2 inserting ‘‘$5,000,000’’; 

3 (2) in clause (ii), by striking ‘‘$2,000,000’’ and 

4 inserting ‘‘$5,000,000’’; and 

5 (3) in clause (iii), by striking ‘‘$4,000,000’’ and 

6 inserting ‘‘$5,500,000’’. 

7 SEC. 6. NEW MARKETS VENTURE CAPITAL COMPANY IN8 VESTMENT LIMITATIONS. 

9 Section 355 of the Small Business Investment Act 

10 of 1958 (15 U.S.C. 689d) is amended by adding at the 

11 end the following: 

12 ‘‘(e) INVESTMENT LIMITATIONS.— 

13 ‘‘(1) DEFINITION.—In this subsection, the term 

14 ‘covered New Markets Venture Capital company’ 

15 means a New Markets Venture Capital company— 

16 ‘‘(A) granted final approval by the Admin17 istrator under section 354(e) on or after March 

18 1, 2002; and 

19 ‘‘(B) that has obtained a financing from 

20 the Administrator. 

21 ‘‘(2) LIMITATION.—Except to the extent ap22 proved by the Administrator, a covered New Markets 

23 Venture Capital company may not acquire or issue 

24 commitments for securities under this title for any 


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1 single enterprise in an aggregate amount equal to 

2 more than 10 percent of the sum of— 

3 ‘‘(A) the regulatory capital of the covered 

4 New Markets Venture Capital company; and 

5 ‘‘(B) the total amount of leverage pro6 jected in the participation agreement of the cov7 ered New Markets Venture Capital.’’. 

8 SEC. 7. EXTRAMURAL RESEARCH AND DEVELOPMENT 

9 BUDGET OF THE NATIONAL INSTITUTES OF 

10 HEALTH. 

11 Title VIII of division A of the American Recovery and 

12 Reinvestment Act of 2009 (Public Law 111–5; 123 Stat. 

13 176) is amended in the matter under the heading ‘‘OFFICE

14 OF THE DIRECTOR’’ under the heading ‘‘NATIONAL INSTI15 TUTES OF HEALTH’’ under the heading ‘‘DEPARTMENT 

16 OF HEALTH AND HUMAN SERVICES’’, by inserting 

17 after ‘‘638(n)(1):’’ the following: ‘‘Provided further, That 

18 not later than September 30, 2010, of the amount appro19 priated under this heading, $150,000,000 shall be obli20 gated to be expended with the programs of the National 

21 Institutes of Health described in the previous proviso:’’. 

22 SEC. 8. BUSINESS STABILIZATION PROGRAM. 

23 Section 506(c) of division A of the American Recov24 ery and Reinvestment Act of 2009 (Public Law 111–5; 

25 123 Stat. 157) is amended by striking ‘‘but shall not inVerDate Nov 24 2008 05:38 Oct 22, 2009 Jkt 089200 PO 00000 Frm 00006 Fmt 6652 Sfmt 6201 E:\BILLS\S1832.IS S1832

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1 clude’’ and all that follows through ‘‘enactment of this 

2 Act’’. 

3 SEC. 9. PROSPECTIVE REPEALS. 

4 (a) AMENDMENTS.— 

5 (1) SECTION 7(a) BUSINESS LOANS.—Section 

6 7(a) of the Small Business Act (15 U.S.C. 636(a)) 

7 is amended— 

8 (A) in paragraph (2)(A)— 

9 (i) in clause (i), by striking ‘‘90 per10 cent’’ and inserting ‘‘75 percent’’; and 

11 (ii) in clause (ii), by striking ‘‘90 per12 cent’’ and inserting ‘‘85 percent’’; and 

13 (B) in paragraph (3)(A), by striking 

14 ‘‘$4,500,000’’ and inserting ‘‘$3,750,000’’. 

15 (2) LOW INTEREST REFINANCING UNDER THE

16 LOCAL DEVELOPMENT BUSINESS LOAN PROGRAM.— 

17 Section 502(7) of the Small Business Investment 

18 Act of 1958 (15 U.S.C. 696(7)) is amended by strik19 ing subparagraph (C). 

20 (b) EFFECTIVE DATE.—The amendments made by 

21 this section shall take effect on October 1, 2010. 

Æ 


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