[Congressional Bills 117th Congress]
[From the U.S. Government Publishing Office]
[H.R. 7874 Introduced in House (IH)]

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117th CONGRESS
  2d Session
                                H. R. 7874

  To amend the State Small Business Credit Initiative Act of 2010 to 
 modify allocations under the State Small Business Credit Initiative, 
                        and for other purposes.


_______________________________________________________________________


                    IN THE HOUSE OF REPRESENTATIVES

                              May 24, 2022

   Mr. Phillips (for himself and Mr. Green of Texas) introduced the 
   following bill; which was referred to the Committee on Financial 
                                Services

_______________________________________________________________________

                                 A BILL


 
  To amend the State Small Business Credit Initiative Act of 2010 to 
 modify allocations under the State Small Business Credit Initiative, 
                        and for other purposes.

    Be it enacted by the Senate and House of Representatives of the 
United States of America in Congress assembled,

SECTION 1. SHORT TITLE.

    This Act may be cited as the ``SSBCI Improvement Act''.

SEC. 2. TECHNICAL AMENDMENTS TO THE STATE SMALL BUSINESS CREDIT 
              INITIATIVE ACT OF 2010.

    (a) Exception for Allocated Amounts Less Than or Equal to 
$1,000,000.--
            (1) In general.--Section 3003(c)(1) of the State Small 
        Business Credit Initiative Act of 2010 (12 U.S.C. 5702(c)(1)) 
        is amended--
                    (A) in subparagraph (A)(i), by inserting ``, except 
                as provided in subparagraph (D)'' before the semicolon 
                at the end; and
                    (B) by amending subparagraph (D) to read as 
                follows:
                    ``(D) Exceptions.--The Secretary--
                            ``(i) may, in the Secretary's discretion, 
                        transfer the full amount of the participating 
                        State's allocated amount to the State in a 
                        single transfer if the participating State 
                        applies to the Secretary for approval to use 
                        the full amount of the allocation as collateral 
                        for a qualifying loan or swap funding facility; 
                        and
                            ``(ii) shall transfer the full amount of 
                        the participating State's allocated amount, if 
                        such amount is less than or equal to 
                        $1,000,000, to the State in a single transfer 
                        upon approval under section 3004 and subject to 
                        the requirements of paragraph (7).''.
            (2) Use of transferred funds.--Section 3003(c)(3) of the 
        State Small Business Credit Initiative Act of 2010 (12 U.S.C. 
        5702(c)(3)) is amended--
                    (A) in subparagraph (C)--
                            (i) by inserting ``if the allocated amount 
                        under subsection (b) is greater than 
                        $1,000,000,'' before ``in the case of''; and
                            (ii) by striking ``or'' at the end;
                    (B) in subparagraph (D)--
                            (i) by inserting ``if the allocated amount 
                        under subsection (b) is greater than 
                        $1,000,000,'' before ``in the case of''; and
                            (ii) by striking the period at the end and 
                        inserting ``; or''; and
                    (C) by adding at the end the following new 
                subparagraph:
                    ``(E) if the allocated amount under subsection (b) 
                is less than or equal to $1,000,000, for paying 
                administrative costs incurred by the State in 
                implementing an approved State program in an amount not 
                to exceed 3.6 percent of the allocated amount.''.
            (3) Recoupment.--Section 3003(c) of the State Small 
        Business Credit Initiative Act of 2010 (12 U.S.C. 5702(c)) is 
        amended by adding at the end the following new paragraph:
            ``(7) Recoupment of allocated amounts for certain 
        participating states.--
                    ``(A) In general.--With respect to a participating 
                State for which the Secretary allocated an amount less 
                than or equal to $1,000,000, the Secretary may recoup 
                an amount of such State's allocated amount as follows:
                            ``(i) If, not later than the last day of 
                        the 3-year period beginning on the date of 
                        approval under section 3004, an amount equal to 
                        80 percent of one-third of such allocated 
                        amount has not been certified by the State as 
                        expended, obligated, or transferred, the amount 
                        recouped shall be equal to two-thirds of the 
                        such allocated amount.
                            ``(ii) If, not later than the last day of 
                        the 6-year period beginning on the date of 
                        approval under section 3004, an amount equal to 
                        80 percent of two-thirds of such allocated 
                        amount has not been certified by the State as 
                        expended, obligated, or transferred, such 
                        amount shall be equal to one-third of the such 
                        allocated amount.
                    ``(B) Reallocation.--Any amount recouped under this 
                paragraph may be reallocated by the Secretary to a 
                Tribal government that was not a participating State 
                subject to recoupment under this paragraph. In making 
                such a reallocation, the Secretary shall not take into 
                account the specific allocation for Tribal governments 
                described under subsection (b)(2)(D).''.
            (4) Applicability.--The amendments made by this subsection 
        shall apply with respect to an allocation made to a 
        participating State under the State Small Business Credit 
        Initiative Act of 2010 (12 U.S.C. 5701 et seq.) for fiscal year 
        2022 and each fiscal year thereafter.
    (b) Extension of Certain Periods.--The State Small Business Credit 
Initiative Act of 2010 (12 U.S.C. 5701 et seq.) is amended--
            (1) in section 3004(d)(2), by striking ``12 months'' and 
        inserting ``18 months'';
            (2) in section 3007(d), by striking ``the first March 31'' 
        and all the follows and inserting ``March 31, 2031.''; and
            (3) in section 3009(c), by striking ``7-year'' and 
        inserting ``11-year''.
    (c) Technical Amendment.--The State Small Business Credit 
Initiative Act of 2010 (12 U.S.C. 5701 et seq.) is amended--
            (1) in section 3003(b)(2)--
                    (A) by redesignating subparagraph (D) as 
                subparagraph (E); and
                    (B) by redesignating subparagraph (C) (relating to 
                ``Separate allocation for Tribal governments'') as 
                subparagraph (D); and
            (2) in section 3003(c)(4)(B), by striking ``subsection 
        (b)(2)(C)'' and inserting ``subsection (b)(2)(D)''.
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