114TH CONGRESS 

1ST SESSION H. R. 2670 

AN ACT 

To amend the Small Business Act to provide for expanded 

participation in the microloan program, 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, 
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1 SECTION 1. SHORT TITLE. 

2 This Act may be cited as the ‘‘Microloan Moderniza3 tion Act of 2015’’. 

4 SEC. 2. WAIVERS OF 25/75 RULE. 

5 (a) WAIVER AUTHORIZED.—Section 7(m)(4)(E)(i) of 

6 the Small Business Act (15 U.S.C. 636(m)(4)(E)(i)) is 

7 amended by adding at the end the following: ‘‘The Admin8 istrator shall by rule establish a process by which inter9 mediaries may apply for and the Administrator may grant 

10 a waiver from the requirements of this clause.’’. 

11 (b) CONTENTS OF RULE.—In the rule required by 

12 the amendment made by subsection (a), the Administrator 

13 of the Small Business Administration shall require any ap14 plicant for a waiver to— 

15 (1) to specify how such applicant will use the 

16 additional technical assistance; and 

17 (2) provide assurance in a form provided for by 

18 the Administrator in the rule that the intermediary 

19 will have sufficient funds to provide technical assist20 ance to all of the intermediary’s borrowers. 

21 (c) RULEMAKING REQUIREMENTS.—The rule re22 quired by subsection (a) shall be promulgated after notice 

23 and the opportunity for comment of not less than 60 days. 

24 Such regulation shall be codified in the Code of Federal 

25 Regulations and shall incorporate any delegation of the 
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1 Administrator’s authority to approve waivers to any ap2 propriate subsidiary official. 

3 SEC. 3. MICROLOAN INTERMEDIARY LENDING LIMIT IN4 CREASED. 

5 Section 7(m)(3)(C) of the Small Business Act (15 

6 U.S.C. 636(m)(3)(C)) is amended by striking 

7 ‘‘$5,000,000’’ and inserting ‘‘$6,000,000’’. 

8 SEC. 4. EXTENDED REPAYMENT TERMS. 

9 Section 7(m)(6) of the Small Business Act (15 

10 U.S.C. 636(m)(6)) is amended by adding at the end the 

11 following: 

12 ‘‘(F) REPAYMENT TERMS FOR LOANS TO

13 SMALL BUSINESSES.—The Administrator may 

14 not impose limitations on the term for repay15 ment of a loan made by an intermediary to a 

16 small business concern or entrepreneur, except 

17 that— 

18 ‘‘(i) in the case of a loan made by an 

19 intermediary of $10,000 or less, the repay20 ment term shall be not more than 6 years; 

21 and 

22 ‘‘(ii) in the case of a loan greater than 

23 $10,000, the repayment term shall be not 

24 more than 10 years.’’. 
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1 SEC. 5. LINES OF CREDIT AUTHORIZED. 

2 Section 7(m)(6)(A) of the Small Business Act (15 

3 U.S.C. 636(m)(6)(A)) is amended by inserting after 

4 ‘‘short-term’’ insert ‘‘(including lines of credit)’’. 

5 SEC. 6. GAO STUDY OF MICROENTERPRISE PARTICIPATION. 

6 Not later than 120 days after the date of enactment 

7 of this Act, the Comptroller General of the United States 

8 shall complete a study on and report to the Committee 

9 on Small Business of the House of Representatives on the 

10 following: 

11 (1) The operations (including services provided, 

12 structure, size, and area of operation) of a rep13 resentative sample of— 

14 (A) intermediaries that are eligible for par15 ticipation in the microloan program under sec16 tion 7(m) of the Small Business Act and that 

17 do participate; and 

18 (B) intermediaries (including those oper19 ated for profit, operated as nonprofits, and 

20 those affiliated with a United States institution 

21 of higher learning) that are so eligible and that 

22 do not participate. 

23 (2) The reasons why intermediaries described in 

24 paragraph (1)(B) choose not to participate. 
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1 (3) Recommendations on how to encourage in2 creased participation in the microloan program by 

3 intermediaries described in paragraph (1)(B). 

4 (4) Recommendations on how to decrease the 

5 costs associated with participation in the microloan 

6 program for eligible intermediaries. 

7 SEC. 7. OFFICE OF ADVOCACY ECONOMIC STUDY OF MAN8 DATORY SAVINGS REQUIREMENT. 

9 Not later than 120 days after the date of enactment 

10 of this Act, the Chief Counsel for Advocacy of the Small 

11 Business Administration shall submit to the Committee on 

12 Small Business of the House of Representatives a report 

13 on the economic impact of a mandatory savings require14 ment on business concerns eligible to participate in the 

15 microloan program under section 7(m) of the Small Busi16 ness Act, including on the benefits and costs of such a 

17 requirement and recommendations on implementation of 

18 such a requirement. 

Passed the House of Representatives July 13, 2015. 

Attest: 

Clerk. 
114TH CONGRESS 

1ST SESSION H. R. 2670 

AN ACT 

To amend the Small Business Act to provide for exand for other purposes. panded participation in the microloan program,