[House Report 119-682]
[From the U.S. Government Publishing Office]
119th Congress } { Report
HOUSE OF REPRESENTATIVES
2d Session } { 119-682
=======================================================================
MAIN STREET COMPETES ACT
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June 3, 2026.--Committed to the Committee of the Whole House on the
State of the Union and ordered to be printed
----------------
Mr. Williams of Texas, from the Committee on Small Business,
submitted the following
R E P O R T
together with
MINORITY VIEWS
[To accompany H.R. 8882]
The Committee on Small Business, to whom was referred the
bill (H.R. 8882) to amend the Small Business Economic Policy
Act of 1980 to examine how the competitiveness of small
businesses is affected by the enforcement of Federal antitrust
laws, and for other purposes, having considered the same,
reports favorably thereon without amendment and recommends that
the bill do pass.
CONTENTS
Page
I. Purpose and Bill Summary........................................2
II. Need for Legislation............................................2
III. Hearings........................................................2
IV. Committee Consideration.........................................2
V. Committee Votes.................................................2
VI. Section-by-Section of H.R. 8882.................................4
VII. Congressional Budget Office Cost Estimate.......................4
VIII. New Budget Authority, Entitlement Authority, and Tax Expenditure4
IX. Oversight Findings & Recommendations............................4
X. Performance Goals and Objectives................................5
XI. Statement of Duplication of Federal Programs....................5
XII. Congressional Earmarks, Limited Tax Benefits, and Limited Tariff
Benefits........................................................5
XIII. Federal Mandates Statement......................................5
XIV. Federal Advisory Committee Statement............................5
XV. Applicability to Legislative Branch.............................5
XVI. Statement of Constitutional Authority...........................5
XVII. Changes in Existing Law Made by the Bill, as Reported...........5
XVIII.Minority Views.................................................10
I. Purpose and Bill Summary
On May 19, 2026, Rep. Hilary Scholten (D-MI) and Rep. Derek
Schmidt (D-KS), introduced H.R. 8882, the Main Street Competes
Act. H.R. 8882 requires regular reporting and analysis of
antitrust enforcement related to small businesses.
II. Need for Legislation
The Main Street Competes Act addresses concerns that small
businesses have limited visibility into how federal antitrust
enforcement affects their ability to compete. While large
mergers and anti-competitive practices can disadvantage small
firms, there is currently no consistent, government-wide
assessment of how enforcement actions by federal antitrust
agencies affect small business competitiveness or how such
agencies respond to small business complaints.
By better understanding how antitrust enforcement affects
small businesses, Congress can make more informed policy
decisions to promote competition, prevent harmful market
consolidation, and ensure small businesses have a fair
opportunity to grow. This bill takes a targeted, data-driven
approach to support Main Street businesses and improve economic
competitiveness.
This legislation directs federal antitrust agencies, the
Federal Trade Commission and the Department of Justice, to
submit data on complaints, investigations, and enforcement
actions involving small businesses to the U.S. Small Business
Administration (SBA) Office of Advocacy (Advocacy). It also
requires Advocacy to compile findings, evaluate trends, and
provide recommendations to Congress on how to improve
competition and address harmful anticompetitive conduct.
III. Hearings
The Committee on Small Business held the following hearings
examining matters related to H.R. 8882:
On February 5, 2025, the Committee held a
hearing titled ``Hope on the Horizon: Prioritizing
Small Business Growth in the 119th Congress''
On January 7, 2026, the Committee held a
hearing titled ``A Voice for Small Business: How the
SBA Office of Advocacy is Cutting Red Tape''
IV. Committee Consideration
The Committee on Small Business met in open session, with a
quorum being present, on May 20, 2026, and ordered H.R. 8882 to
be reported favorably to the House of Representatives by a roll
call vote of 23 ayes to 0 nos.
V. Committee Votes
Clause 3(b) of rule XIII of the Rules of the House of
Representatives requires the Committee to list the recorded
votes on the motion to report legislation and amendments
thereto. The Committee voted to favorably report H.R. 8882 to
the House of Representatives at 4:14 PM.
[GRAPHIC(S) NOT AVAILABLE IN TIFF FORMAT]
VI. Section-by-Section of H.R. 8882
Section 1--Short title
This Act may be cited as the ``Main Street Competes Act.''
Section 2--Congressional declaration of Small Business Economic Policy
This section updates the Small Business Economic Policy Act
of 1980 to emphasize the importance of competitive markets by
strengthening enforcement of federal antitrust laws against
anticompetitive conduct and illegal mergers that harm small
businesses.
Section 3--Report on the state of small business concerns
This section directs the Department of Justice and Federal
Trade Commission to submit biennial reports to the SBA Office
of Advocacy detailing antitrust enforcement activity related to
small businesses, including complaints, investigations, and
enforcement actions. The SBA Office of Advocacy must then
analyze this data, evaluate impacts across industries, and
provide recommendations through a report to Congress on ways to
promote competition and address harmful anticompetitive
behavior.
VII. Congressional Budget Office Cost Estimate
Pursuant to 3(c)(3) of rule XIII of the Rules of the House
of Representatives, the Committee adopts as its own the cost
estimate prepared by the Director of the Congressional Budget
Office pursuant to section 402 of the Congressional Budget Act
of 1974. At the time this report was filed, the Committee has
requested but not received a cost estimate from the Director of
the Congressional Budget Office.
VIII. New Budget Authority, Entitlement Authority, and Tax Expenditures
Pursuant to clause 3(c)(2) of rule XIII of the Rules of the
House of Representatives and section 308(a)(I) of the
Congressional Budget Act of 1974, the Committee provides the
following opinion and estimate with respect to new budget
authority, entitlement authority, and tax expenditures. While
the Committee has not received an estimate of new budget
authority contained in the cost estimate prepared by the
Director of the Congressional Budget Office pursuant to section
402 of the Congressional Budget Act of 1974, the Committee does
not believe that there will be any new or increased costs
attributable to this legislation.
IX. Oversight Findings & Recommendations
In accordance with clause 3(c)(1) of rule XIII and clause
2(b)(1) of rule X of the Rules of the House of Representatives,
the oversight findings and recommendations of the Committee on
Small Business with respect to the subject matter contained in
H.R. 8882 are incorporated into the descriptive portions of
this report.
X. Performance Goals and Objectives
With respect to the requirements of clause 3(c)(4) of rule
XIII of the Rules of the House of Representatives, the goal of
H.R. 8882 is to require regular reporting and analysis of
antitrust enforcement related to small businesses.
XI. Statement of Duplication of Federal Programs
Pursuant to clause 3(c)(5) of rule XIII of the Rules of the
House of Representatives, no provision of H.R. 8882 is known to
be duplicative of another Federal program, including any
program that was included in a report to Congress pursuant to
section 21 of Public Law 111-139 or the most recent Catalog of
Federal Domestic Assistance.
XII. Congressional Earmarks, Limited Tax Benefits, and Limited Tariff
Benefits
With respect to clause 9 of rule XXI of the Rules of the
House of Representatives, the Committee finds that the bill
does not contain any congressional earmarks, limited tax
benefits, or limited tariff benefits as defined in clause 9(e),
9(f), or 9(g) of rule XXI of the Rules of the House of
Representatives.
XIII. Federal Mandates Statement
The Committee will adopt as its own the estimate of the
Federal mandates prepared by the Director of the Congressional
Budget Office pursuant to section 423 of the Unfunded Mandates
Reform Act.
XIV. Federal Advisory Committee Statement
No advisory committees within the meaning of section 5(b)
of the Federal Advisory Committee Act were created by this
legislation.
XV. Applicability to Legislative Branch
The Committee finds that the legislation does not relate to
the terms and conditions of employment or access to public
services or accommodations within the meaning of section
102(b)(3) of the Congressional Accountability Act.
XVI. Statement of Constitutional Authority
Pursuant to clause 7 of rule XII of the Rules of the House,
the Committee finds that the authority for this legislation in
Art. I, Sec. 8, cl.1 of the Constitution of the United States.
XVII. Changes in Existing Law Made by the Bill, as Reported
In compliance with clause 3(e) of rule XIII of the Rules of
the House of Representatives, changes in existing law made by
the bill, as reported, are shown as follows (existing law
proposed to be omitted is enclosed in black brackets, new
matter is printed in italics, and existing law in which no
change is proposed is shown in roman):
Changes in Existing Law Made by the Bill, as Reported
In compliance with clause 3(e) of rule XIII of the Rules of
the House of Representatives, changes in existing law made by
the bill, as reported, are shown as follows (existing law
proposed to be omitted is enclosed in black brackets, new
matter is printed in italics, and existing law in which no
change is proposed is shown in roman):
SMALL BUSINESS ECONOMIC POLICY ACT OF 1980
* * * * * * *
TITLE III--SMALL BUSINESS ECONOMIC POLICY
* * * * * * *
declaration of small business economic policy
Sec. 302. (a) For the purpose of preserving and promoting a
competitive free enterprise economic system, Congress hereby
declares that it is the continuing policy and responsibility of
the Federal Government to use all practical means and to take
such actions as are necessary, consistent with its needs and
obligations and other essential considerations of national
policy, to implement and coordinate all Federal department,
agency, and instrumentality policies, programs, and activities
in order to: foster the economic interests of small businesses;
insure a competitive economic climate conducive to the
development, growth and expansion of small businesses;
establish incentives to assure that adequate capital and other
resources at competitive prices are available to small
businesses; reduce the concentration of economic resources and
expand competition; [and provide] provide an opportunity for
entrepreneurship, inventiveness, and the creation and growth of
small businesses[.]; and promote competitive markets, consumer
choice, and business ownership through enforcement of Federal
antitrust laws in the case of anticompetitive conduct and
illegal mergers that harms small businesses and the growth of
small businesses.
(b) Congress further declares that the Federal Government is
committed to a policy of utilizing all reasonable means,
consistent with the overall economic policy goals of the Nation
and the preservation of the competitive free enterprise system
of the Nation, to establish private sector incentives that will
help assure that adequate capital at competitive prices is
available to small businesses. To fulfill this policy,
departments, agencies, and instrumentalities of the Federal
Government shall use all reasonable means to coordinate,
create, and sustain policies and programs which promote
investment in small businesses, including those investments
which expand employment opportunities and which foster the
effective and efficient use of human and natural resources in
the economy of the Nation.
[state of small business
[Sec. 303. (a) The president shall transmit to the congress
not later than January 20 of each year a report on small
business and competition which shall--
[(1) examine the current role of small business in
the economy on an industry-by-industry basis;
[(2) present current and historical data on
production, employment, investment, population, job
creation and retention, annual business failures,
annual business startups, andother economic variables
for small business in the economy as awhole and for
small business in each sector of the economy, with, to
the extent practicable, specific statistics divided as
tourban, suburban, and rural areas;
[(3) identify economic trends which will or may
affect the small business sector and the state of
competition;
[(4) examine the effects on small business and
competition of policies, programs, and activities,
including, but not limited to the Internal Revenue
Code, the Employee Retirement Income Security Act, the
Securities Act of 1933, and the Securities Exchange Act
of 1934, and regulations promulgated thereunder;
identify problems generated by such policies, programs,
and activities; and recommend legislative and
administrative solutions to such problems; and
[(5) recommend a program for carrying out the policy
declared in section 302 of this Act, together with such
recommendations for legislation as he may deem
necessary or desirable.
[(b) The President also shall transmit simultaneously as an
appendix to such annual report, a report, by agency and
department, on the to total dollar value of all Federal
contracts exceeding $10,000 in amount and the dollar amount
(including the subcontracts thereunder in excess of $10,000)
awarded to small, minority-owned, female-owned, and veteran-
ownedbusinesses.
[(c) The President may transmit from time to time to the
Congress Supplementary reports supplementary to the Report on
Small Business and Competition, each of which shall include
such supplementary or revised, recommendations as he may deem
necessary or desirable to achieve the policy declared in
section 302 of this Act.
[(d) The Report on Small Business and Competition and all
supplementary reports transmitted under subsections (b) and (c)
of this section shall, when transmitted to Congress, be
referred to the Senate Select Committee on Small Business and
the Committee on Small Business of the House of
Representatives.
[(e) The information and data required to be reported
pursuant tosubsection (a) shall separately detail those
portions of such information and data that are relevant to--
[(1) small business concerns owned and controlled by
socially and economically disadvantaged individuals, by
gender, as defined pursuant to section 8(d) of the
Small Business Act;
[(2) small business concerns owned and controlled
bywomen; and
[(3) qualified HUBZone small business concern (as
definedin section 3(p) of the Small Business Act).
[(3) small business concerns owned and controlled
byveterans, as defined in section 3(q) of the Small
Business Act(15 U.S.C. 632(q)), and small business
concerns owned andcontrolled by service-disabled
veterans, as defined in such section 3(q).]
SEC. 303. REPORT ON THE STATE OF SMALL BUSINESS CONCERNS.
(a) Specified Entity Report.--Not later than 180 days after
the end of the fiscal year in which the Main Street Competes
Act is enacted, and every two fiscal years thereafter, the head
of each specified entity shall submit to the Chief Counsel for
Advocacy of the Office of Advocacy of the Small Business
Administration a report including--
(1) an analysis of how enforcement by the specified
entity of Federal antitrust laws promoted competition
during the preceding fiscal year by deterring and
remedying anticompetitive conduct, including illegal
mergers, that harms small businesses and the growth of
small businesses;
(2) the number of complaints of alleged antitrust
violations filed by self-identified small businesses
with the specified entity during such fiscal year,
disaggregated by type of offense and the specific
Federal antitrust laws allegedly violated;
(3) the number of inquiries, investigations, and
enforcement actions undertaken by the specified entity
in response to complaints filed by small businesses
with the specified entity during such fiscal year; and
(4) the number of inquiries, investigations, and
enforcement actions undertaken by the specified entity
during such fiscal year pursuant to an alleged
antitrust violation, opened for a reason other than a
complaint filed by a small business as described in
paragraph (3), to deter and remedy anticompetitive
conduct that harms small businesses and the growth of
small businesses.
(b) Office of Advocacy Report.--Not later than 180 days after
receipt of the report required by subsection (a), the Chief
Counsel for Advocacy shall submit to the Committee on Small
Business of the House of Representatives and the Committee on
Small Business and Entrepreneurship of Senate a report that
includes--
(1) a summary of the report submitted under
subsection (a);
(2) an analysis of the data in such report,
disaggregated by industry category;
(3) an evaluation of the issues identified in such
report relating to--
(A) anticompetitive conduct, including
illegal mergers, that harmed small businesses
and the growth of small businesses; and
(B) administrative actions that promoted
competition and growth of small businesses;
(4) as appropriate, recommendations for
administrative actions that could--
(A) promote competition;
(B) deter anticompetitive conduct, including
illegal mergers, that harmed small business and
the growth of small businesses; and
(C) remedy such anticompetitive conduct; and
(5) as appropriate, recommendations for legislative
actions that could--
(A) promote competition;
(B) deter anticompetitive conduct, including
illegal mergers, that harmed small business and
the growth of small businesses; and
(C) remedy such anticompetitive conduct.
SEC. 304. DEFINITIONS.
In this title:
(1) Antitrust violation.--The term ``antitrust
violation'' means any violation of Federal antitrust
laws.
(2) Federal antitrust laws.--The term ``Federal
antitrust laws'' has the meaning given the term
``antitrust laws'' in subsection (a) of the first
section of the Clayton Act (15 U.S.C. 12(a)), except
that such term shall also include section 5 of the
Federal Trade Commission Act (15 U.S.C. 45) to the
extent that such section 5 applies to unfair methods of
competition.
(3) Small business.--The term ``small business'' has
the meaning given the term ``small business concern''
under section 3 of the Small Business Act (15 U.S.C.
632).
(4) Specified entity.--The term ``specified entity''
means--
(A) the Department of Justice; and
(B) the Federal Trade Commission.
XVIII. MINORITY VIEWS
A competitive business environment is the lifeblood of a
thriving free-enterprise economy, spurring innovation, driving
productivity, and fostering consumer choice at fair prices.
America's Main Street businesses are a critical component of
our economy, and their success hinges upon a competitive
marketplace. Unfortunately, the competitive landscape that
small firms rely on has been eroded for decades, as large
companies have absorbed significant market share across many
industries. One study found that 75 percent of industries have
seen increasing concentration since the mid-1990s and the
average firm is roughly three times larger than 20 years ago.
Federal antitrust laws are crucial tools protecting the
competitive environment for small businesses. They exist to
prevent monopolies or collusion that can harm competition or
stifle innovation, create barriers to market entry, and harm
consumers and workers through inflated prices or suppressed
wages. Regrettably, their limited use in recent decades has
contributed to the ongoing concentration of industries. As a
result, corporations with outsized market power have exploited
their dominant positions, using predatory pricing, price
discrimination, self-dealing, and exclusionary conduct to
squeeze smaller competitors. Not only has this jeopardized the
survival of many small businesses, but it has also stifled the
entrepreneurial spirit.
The SBA's Office of Advocacy has a broad mandate to
advocate for small businesses within the federal government.
Its primary functions include the requirement to ``recommend
specific measures for creating an environment in which all
businesses will have the opportunity to compete effectively and
expand to their full potential.'' Given its mandate, it is
uniquely positioned to work with antitrust enforcement bodies
like the Federal Trade Commission (FTC) and the Department of
Justice (DOJ). While these agencies have the power to enforce
these laws, they may not have the direct input from small
businesses necessary to make important decisions on enforcement
action. By fostering collaboration between these enforcement
agencies and the Office of Advocacy, Congress can ensure the
input of small businesses are considered and reaffirm the
Office of Advocacy's commitment to being the voice for small
businesses within the Federal government.
Nydia M. Velazquez,
Ranking Member.
[all]