I 
118TH CONGRESS 
1ST SESSION H. R. 1651 
To amend the Small Business Act to establish requirements for 7(a) agents, 
and for other purposes. 
IN THE HOUSE OF REPRESENTATIVES 
MARCH 17, 2023 
Mr. PHILLIPS (for himself and Mr. MEUSER) introduced the following bill; 
which was referred to the Committee on Small Business 
A BILL 
To amend the Small Business Act to establish requirements 
for 7(a) agents, and for other purposes. 
Be it enacted by the Senate and House of Representa-
tives of the United States of America in Congress assembled, 
SECTION 1. SHORT TITLE. 
This Act may be cited as the ‘‘Small Business 7(a) 
Loan Agent Transparency Act’’. 
SEC. 2. REQUIREMENTS FOR 7(a) AGENTS. 
(a) OFFICE
OF CREDIT RISK MANAGEMENT DU-
TIES.—Section 47(b) of the Small Business Act (15 
U.S.C. 657t(b)) is amended— 
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(1) in paragraph (2), by striking ‘‘and’’ at the 
end; 
(2) in paragraph (3), by striking the period and 
inserting a semicolon; and 
(3) by adding at the end the following new 
paragraph: 
‘‘(4) any 7(a) agent.’’. 
(b) ENFORCEMENT AUTHORITY.— 
(1) OFFICE OF CREDIT RISK MANAGEMENT.— 
Section 47(e) of the Small Business Act (15 U.S.C. 
657t(e)) is amended by inserting ‘‘or 7(a) agent’’ 
after ‘‘7(a) lender’’ each place such term appears. 
(2) LENDER OVERSIGHT COMMITTEE.—Section 
48(c)(2) of the Small Business Act (15 U.S.C. 
657u(c)(2)) is amended by striking ‘‘and any Lend-
ing Partner or Intermediary participant’’ and insert-
ing ‘‘, any 7(a) agent (as defined in section 47), or 
any Lending Partner or Intermediary participant’’. 
(c) REGISTRATION SYSTEM.—Section 47 of the Small 
Business Act (15 U.S.C. 657t) is amended by adding at 
the end the following new subsections: 
‘‘(j) REGISTRATION SYSTEM FOR 7(a) AGENTS.— 
‘‘(1) IN GENERAL.—The Director shall establish 
a registration system for 7(a) agents that assigns a 
unique identifier to each 7(a) agent and collects data 
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necessary for the Director to submit the report re-
quired under paragraph (4). 
‘‘(2) REQUIREMENTS.—A 7(a) agent shall— 
‘‘(A) register in the system established 
under paragraph (1) before providing covered 
services to a lender or applicant; and 
‘‘(B) effective 1 year after the date of the 
enactment of this subsection, submit an annual 
fee for such registration to the Director. 
‘‘(3) DATABASE.—The Director shall establish 
and maintain an electronic database of the types of 
covered services provided by each 7(a) agent. 
‘‘(k) DEFINITIONS.—In this section: 
‘‘(1) 7(a) 
AGENT.—The term ‘7(a) agent’ 
means a person who provides covered services on be-
half of a lender or applicant. 
‘‘(2) COVERED SERVICES.—The term ‘covered 
services’ means— 
‘‘(A) assistance with completing an appli-
cation for a loan under section 7(a) (including 
preparing a business plan, cash flow projec-
tions, financial statements, and related docu-
ments); or 
‘‘(B) consulting, broker, or referral services 
with respect to a loan under section 7(a).’’. 
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(d) EFFECTIVE DATE.—This Act and the amend-
ments made by this Act shall take effect 6 months after 
the date of the enactment of this Act. 
Æ 
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