504 Program Risk Oversight Act
504 Program Risk Oversight Act
Plain Language Summary
# 504 Program Risk Oversight Act Summary **What the Bill Does** This bill requires the Small Business Administration (SBA) to conduct yearly risk assessments of its 504 loan program, which provides long-term loans to small businesses for major purchases like buildings, equipment, and land. The SBA would need to publish annual reports showing what risks were identified and what steps were taken to address them. **Who It Affects** The bill primarily affects the SBA and small business owners who use or could use the 504 loan program. It also impacts Congress and the public, who would gain better visibility into how well the loan program is performing and whether taxpayer money is being used safely. **Current Status** The bill has passed the House of Representatives.
It now moves to the Senate for consideration. If approved there and signed by the President, it would become law.
CRS Official Summary
504 Program Risk Oversight ActThis bill requires the Small Business Administration (SBA) to annually conduct a risk analysis of all loans guaranteed under the 504 loan program.The 504 loan program provides long-term, fixed-rate financing to qualifying small businesses for major fixed assets, such as land, buildings, equipment, and machinery.The SBA must annually report the results of the risk analysis for each preceding fiscal year, including the steps taken by the SBA to mitigate the risks identified in the analysis.
Latest Action
Received in the Senate and Read twice and referred to the Committee on Small Business and Entrepreneurship.