February 13, 2023
Main Street Monday – New House Oversight Plans for SBA Capital Access Programs
“As Chairman, I intend to focus this Committee’s attention and resources on conducting rigorous oversight of costly regulatory burdens that are harming small businesses. Members of this Committee will be fierce advocates for free market principles and pro-growth policies. We will work to highlight the American Dream and the many success stories of our small business owners, entrepreneurs, and innovators from all corners of the country,” says Chairman Williams.
During an organizational hearing last week, the House Committee on Small Business discussed its authorization and oversight plan. By March 1st, the Committee must submit an authorization and oversight plan to other House Committees. In the authorization and oversight plan, it states that the House will conduct hearings and investigations into the SBA and other federal agencies that provide capital to entrepreneurs, and this may include the following topics:
• Whether lenders are meeting their goals to lend to small businesses and create jobs
• Risk to the taxpayers of the capital access programs
• Adequacy of SBA oversight of its lending partners to ensure taxpayers are properly protected
• Capabilities of the SBA information technology to manage the loan portfolio
• Determine whether SBA rules, regulations, and guidance result in transparent and reasoned decision-making in capital access programs
• Whether SBA disaster loan programs and its oversight ensures small businesses are able to revive and rebuild communities without placing the federal taxpayer at risk
• Review COVID-19-related relief programs related to small business
• Continued examination of the Small Business Lending Fund and State Small Business Credit Initiative
• Review proposed changes to capital access programs, including lifting the moratorium on licensing new Small Business Lending Companies (SBLCs)
”In performing oversight, the Committee will focus on risky aspects of financial assistance programs including, but not limited to, commercial real estate financing, premier certified lenders, participating security small business investment companies, small business lending companies, express lenders, and loan programs utilizing simplified lending applications,” reads the Authorization and Oversight Plan.