I 

111TH CONGRESS 

1ST SESSION H. R. 4265 

To direct the Administrator of the Small Business Administration to establish 

and carry out a direct lending program for small business concerns, 

and for other purposes. 

IN THE HOUSE OF REPRESENTATIVES 

DECEMBER 10, 2009 

Mr. YARMUTH introduced the following bill; which was referred to the Committee on Small Business, and in addition to the Committee on Financial 

Services, for a period to be subsequently determined by the Speaker, in 

each case for consideration of such provisions as fall within the jurisdiction of the committee concerned 

A BILL 

To direct the Administrator of the Small Business Administration to establish and carry out a direct lending program 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. DIRECT LENDING PROGRAM FOR SMALL BUSI4 NESS CONCERNS. 

5 (a) ESTABLISHMENT.—The Administrator of the 

6 Small Business Administration shall establish and carry 

7 out a loan program (in this section referred to as the ‘‘proVerDate Nov 24 2008 23:10 Dec 11, 2009 Jkt 089200 PO 00000 Frm 00001 Fmt 6652 Sfmt 6201 E:\BILLS\H4265.IH H4265

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1 gram’’) under which the Administrator is authorized to 

2 make loans directly to eligible small business concerns. 

3 (b) LOAN AMOUNT.—Each loan made to an eligible 

4 small business concern under the program shall be in an 

5 amount not exceeding the lesser of— 

6 (1) 10 percent of the annual revenues of such 

7 concern (as determined by the Administrator of the 

8 Small Business Administration); or 

9 (2) $500,000. 

10 (c) LOAN INTEREST RATE.—The interest rate of a 

11 loan made under the program shall be equal to the dis12 count window primary credit interest rate most recently 

13 published in the Federal Reserve Statistical Release on se14 lected interest rates (daily or weekly), and commonly re15 ferred to as the H.15 release (or any successor publica16 tion), in the week preceding the making of such loan. 

17 (d) PAYMENTS ON PRINCIPAL.—A small business 

18 concern may not be required to make payments on the 

19 principal of a loan under the program during the 2-year 

20 period beginning on the date on which such loan is made. 

21 (e) FUNDING.—Of funds made available to the Sec22 retary of the Treasury under title I of the Emergency Eco23 nomic Stabilization Act of 2008 (12 U.S.C. 5211 et seq.) 

24 that remain unobligated, the Secretary of the Treasury 

25 shall make available to the Administrator of the Small 


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1 Business Administration $20,000,000,000 and the Ad2 ministrator of the Small Business Administration shall 

3 carry out the program using such funds. 

4 (f) DEFINITIONS.—In this section, the following defi5 nitions apply: 

6 (1) ELIGIBLE SMALL BUSINESS CONCERN.— 

7 The term ‘‘eligible small business concern’’ means a 

8 small business concern that has been operating as a 

9 small business concern for at least 2 years prior to 

10 the receipt by the Administrator of an application 

11 from such concern for a loan under the program. 

12 (2) SMALL BUSINESS CONCERN.—The term 

13 ‘‘small business concern’’ has the meaning given 

14 such term under section 3(a) of the Small Business 

15 Act (15 U.S.C. 632(a)). 

Æ 


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