disbursement of the loan, if 
that balance is more than 
$350,000; 
‘‘(BB) as described in 
clause 
(i) 
of 
paragraph 
(2)(G), if the balance of the 
financing outstanding at the 
time of the disbursement of 
the loan is as described in 
that clause; or 
‘‘(CC) as described in 
clause 
(ii) 
of 
paragraph 
(2)(G), if the balance of the 
financing outstanding at the 
time of the disbursement of 
the loan is as described in 
that clause. 
‘‘(ii) COLLATERAL.— 
‘‘(I) IN GENERAL.—A covered in-
stitution may not require collateral 
with respect to a loan guaranteed 
under the program if the amount of 
that loan is less than or equal to 
$50,000. 
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‘‘(II) 
POLICIES
AND
PROCE-
DURES OF COVERED INSTITUTION.— 
In determining the amount of collat-
eral required with respect to a loan 
guaranteed under the program, a cov-
ered institution may use the collateral 
policies and procedures of the covered 
institution with respect to similarly 
sized commercial loans made by the 
covered institution that are not guar-
anteed by the Administrator. 
‘‘(H) INTEREST
RATES.—The maximum 
allowable interest rate prescribed by the Admin-
istration on any financing made on a deferred 
basis pursuant to the program shall not exceed 
the maximum allowable interest rate under sec-
tions 120.213 and 120.214 of title 13, Code of 
Federal Regulations, or any successor regula-
tions. 
‘‘(I) REFINANCING OF COMMUNITY ADVAN-
TAGE
PROGRAM
LOANS.—A loan guaranteed 
under the program or guaranteed under the 
Community Advantage Pilot Program of the 
Administration may be refinanced into another 
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loan under this subsection that is made by a 
lender that does not participate in the program. 
‘‘(J) LOAN
LOSS
RESERVE
REQUIRE-
MENTS.— 
‘‘(i) LOAN
LOSS
RESERVE
ACCOUNT 
FOR COVERED INSTITUTIONS.—A covered 
institution— 
‘‘(I) with not more than 5 years 
of participation in the program shall 
maintain a loan loss reserve account 
with an amount equal to 5 percent of 
the 
outstanding 
amount 
of 
the 
unguaranteed portion of the loan 
portfolio of the covered institution 
under the program; and 
‘‘(II) with more than 5 years of 
participation in the program shall 
maintain a loan loss reserve account 
with an amount equal to the average 
repurchase rate of the covered institu-
tion over the 36-month period pre-
ceding the most recent recalculation 
conducted under clause (iii), except 
that such amount shall not be less 
than 3 percent of the outstanding 
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amount of the unguaranteed portion 
of the loan portfolio of the covered in-
stitution under the program. 
‘‘(ii) ADDITIONAL
LOAN
LOSS
RE-
SERVE AMOUNT FOR SELLING LOANS ON 
THE SECONDARY MARKET.—In addition to 
the amount required in the loan loss re-
serve account under clause (i), a covered 
institution that sells a program loan on the 
secondary market shall be required to 
maintain the following additional amounts 
in the loan loss reserve account: 
‘‘(I) For a covered institution 
with less than 5 years of experience 
selling program loans on the sec-
ondary market, an amount equal to 3 
percent of the guaranteed portion of 
each program loan sold on the sec-
ondary market. 
‘‘(II) For a covered institution 
with more than 5 years of experience 
selling program loans on the sec-
ondary market, an amount equal to 
the average repurchase rate for loans 
sold by the covered institution on the 
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secondary market over the 36-month 
period preceding the most recent re-
calculation conducted under clause 
(iii), except that such amount shall be 
not less than 2 percent of the guaran-
teed portion of each program loan 
sold into the secondary market. 
‘‘(iii) RECALCULATION.—On October 
1 of each year, the Administrator shall re-
calculate the loan loss reserve required 
under clauses (i) and (ii). 
‘‘(K) TRAINING.— 
‘‘(i) IN
GENERAL.—Upon the initial 
entry of a covered institution into the pro-
gram, and on an ongoing basis, the Admin-
istrator shall provide accessible trainings to 
support compliance by the covered institu-
tion with program requirements and to im-
prove communication between the covered 
institution and the Administration. Such 
trainings shall include— 
‘‘(I) guidance with respect to the 
program for following the regulations 
of the Administration; and 
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‘‘(II) guidance for covered insti-
tutions participating in the program 
that is intended to help lenders effec-
tively reach and support small busi-
ness concerns in underserved markets, 
including management and technical 
assistance delivery. 
‘‘(ii) CONTRACT.—The Administrator 
may enter into a contract to provide any 
training described in clause (i) with an or-
ganization— 
‘‘(I) with expertise in lending 
under this subsection; and primarily 
specializing in— 
‘‘(aa) mission-oriented lend-
ing; and 
‘‘(bb) lending to small busi-
ness concerns in underserved 
markets. 
‘‘(iii) OTHER
REQUIREMENTS.—The 
Administrator shall provide any training 
described in clause (i) for the employees 
and contractors of the Administration that 
regularly engage with covered institutions 
or borrowers under the program. 
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‘‘(L) COMMUNITY ADVANTAGE OUTREACH 
AND EDUCATION.—The Administrator— 
‘‘(i) shall develop and implement a 
plan— 
‘‘(I) to promote the program to 
prospective covered institutions; and 
‘‘(II) to conduct outreach and 
educate prospective covered institu-
tions about the program; and 
‘‘(ii) may enter into contracts with 1 
or more nonprofit organizations experi-
enced in working with and training mis-
sion-driven lenders (that are not Commu-
nity Advantage Network Partners) to pro-
vide the promotion, outreach, and edu-
cation described in clause (i). 
‘‘(M) COMMUNITY ADVANTAGE NETWORK 
PARTNER PARTICIPATION.— 
‘‘(i) IN GENERAL.—A covered institu-
tion that uses a Community Advantage 
Network Partner shall abide by policies 
and procedures of the Administration con-
cerning the use of Referral Agent fees per-
mitted by the Administration and disclo-
sure of those fees. 
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‘‘(ii) PAYMENT
OF
FEES.—Notwith-
standing any other provision of law, all 
fees described in clause (i) shall be paid by 
the covered institution to the Community 
Advantage Network Partner upon dis-
bursement of the applicable program loan. 
‘‘(N) DELEGATED AUTHORITY.—A covered 
institution is not eligible to receive delegated 
authority from the Administration under the 
program until the covered institution has satis-
fied the following applicable requirements: 
‘‘(i) For a covered institution actively 
participating in the Community Advantage 
Pilot Program of the Administration, as of 
the day before the date of enactment of 
this paragraph— 
‘‘(I) the covered institution has 
approved and fully disbursed not 
fewer than 10 loans under that Pilot 
Program; and 
‘‘(II) the Administrator has eval-
uated the ability of the covered insti-
tution to fulfill program requirements. 
‘‘(ii) For any covered institution not 
described in clause (i)— 
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‘‘(I) the covered institution has 
approved and fully disbursed not 
fewer than 20 loans under the pro-
gram; and 
‘‘(II) the Administrator has eval-
uated the ability of the covered insti-
tution to fulfill program requirements. 
‘‘(O) REPORTING.— 
‘‘(i) WEEKLY REPORTS.— 
‘‘(I) IN GENERAL.—The Admin-
istrator shall report on the website of 
the Administration, as part of the 
weekly reports on lending approvals 
under this subsection— 
‘‘(aa) on and after the date 
of enactment of this paragraph, 
the number and dollar amount of 
loans guaranteed under the Com-
munity Advantage Pilot Program 
of the Administration; and 
‘‘(bb) on and after the date 
on which the Administrator be-
gins to approve loans under the 
program, the number and dollar 
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amount 
of 
loans 
guaranteed 
under the program. 
‘‘(II) SEPARATE ACCOUNTING.— 
The number and dollar amount of 
loans reported in a weekly report 
under subclause (I) for loans guaran-
teed under the Community Advantage 
Pilot Program of the Administration 
and under the program shall include a 
breakdown by the demographic infor-
mation of the owners of the small 
business concerns, by whether the 
small business concern is a new busi-
ness or an existing business, and by 
whether the small business concern is 
located in an urban area or rural 
area, further disaggregated by— 
‘‘(aa) loans less than or 
equal to $50,000; 
‘‘(bb) loans greater than 
$50,000 and less than or equal 
to $150,000; 
‘‘(cc) loans greater than 
$150,000 and less than or equal 
to $250,000; 
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‘‘(dd) loans greater than 
$250,000 and less than or equal 
to $350,000; and 
‘‘(ee) loans greater than 
$350,000 and less than or equal 
to $750,000. 
‘‘(ii) ANNUAL REPORTS.— 
‘‘(I) IN GENERAL.—For each fis-
cal year in which the program is in ef-
fect, the Administration shall submit 
to the Committee on Small Business 
and Entrepreneurship of the Senate 
and the Committee on Small Business 
of the House of Representatives, and 
make publicly available on the inter-
net, information about loans provided 
under the program and under the 
Community Advantage Pilot Program 
of the Administration. 
‘‘(II) CONTENTS.—Each report 
submitted and made publicly available 
under subclause (I) shall include— 
‘‘(aa) the number and dollar 
amounts of loans provided to 
small business concerns under 
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the program, including a break-
down by— 
‘‘(AA) the demographic 
information of the owners of 
the small business concern; 
‘‘(BB) 
whether 
the 
small business concern is lo-
cated in an urban area or 
rural area; and 
‘‘(CC) 
whether 
the 
small business concern is an 
existing business or a new 
business, as provided in the 
weekly reports on lending 
approvals under this sub-
section; 
‘‘(bb) the proportion of loans 
described in item (aa) compared 
to— 
‘‘(AA) other loans made 
under this subsection of any 
amount; 
‘‘(BB) 
other 
loans 
made under this subsection 
of similar amounts; 
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