[Congressional Bills 111th Congress]
[From the U.S. Government Publishing Office]
[H.R. 4265 Introduced in House (IH)]

111th CONGRESS
  1st Session
                                H. R. 4265

  To direct the Administrator of the Small Business Administration to 
  establish and carry out a direct lending program for small business 
                   concerns, and for other purposes.


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                    IN THE HOUSE OF REPRESENTATIVES

                           December 10, 2009

 Mr. Yarmuth introduced the following bill; which was referred to the 
   Committee on Small Business, and in addition to the Committee on 
 Financial Services, for a period to be subsequently determined by the 
  Speaker, in each case for consideration of such provisions as fall 
           within the jurisdiction of the committee concerned

_______________________________________________________________________

                                 A BILL


 
  To direct the Administrator of the Small Business Administration to 
  establish and carry out a direct lending program for small business 
                   concerns, 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. DIRECT LENDING PROGRAM FOR SMALL BUSINESS CONCERNS.

    (a) Establishment.--The Administrator of the Small Business 
Administration shall establish and carry out a loan program (in this 
section referred to as the ``program'') under which the Administrator 
is authorized to make loans directly to eligible small business 
concerns.
    (b) Loan Amount.--Each loan made to an eligible small business 
concern under the program shall be in an amount not exceeding the 
lesser of--
            (1) 10 percent of the annual revenues of such concern (as 
        determined by the Administrator of the Small Business 
        Administration); or
            (2) $500,000.
    (c) Loan Interest Rate.--The interest rate of a loan made under the 
program shall be equal to the discount window primary credit interest 
rate most recently published in the Federal Reserve Statistical Release 
on selected interest rates (daily or weekly), and commonly referred to 
as the H.15 release (or any successor publication), in the week 
preceding the making of such loan.
    (d) Payments on Principal.--A small business concern may not be 
required to make payments on the principal of a loan under the program 
during the 2-year period beginning on the date on which such loan is 
made.
    (e) Funding.--Of funds made available to the Secretary of the 
Treasury under title I of the Emergency Economic Stabilization Act of 
2008 (12 U.S.C. 5211 et seq.) that remain unobligated, the Secretary of 
the Treasury shall make available to the Administrator of the Small 
Business Administration $20,000,000,000 and the Administrator of the 
Small Business Administration shall carry out the program using such 
funds.
    (f) Definitions.--In this section, the following definitions apply:
            (1) Eligible small business concern.--The term ``eligible 
        small business concern'' means a small business concern that 
        has been operating as a small business concern for at least 2 
        years prior to the receipt by the Administrator of an 
        application from such concern for a loan under the program.
            (2) Small business concern.--The term ``small business 
        concern'' has the meaning given such term under section 3(a) of 
        the Small Business Act (15 U.S.C. 632(a)).
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