I
118THCONGRESS
1
STSESSION H. R. 414
To amend the Small Business Act to establish a rural manufacturing
forgivable loan program, and for other purposes.
IN THE HOUSE OF REPRESENTATIVES
JANUARY20, 2023
Mr. F
INSTAD(for himself, Ms. CRAIG, Mr. AMODEI, Mr. JOHNSONof Ohio,
and Mr. C
ARTERof Georgia) introduced the following bill; which was re-
ferred to the Committee on Small Business, and in addition to the Com-
mittee on Appropriations, for a period to be subsequently determined by
the Speaker, in each case for consideration of such provisions as fall with-
in the jurisdiction of the committee concerned
A BILL
To amend the Small Business Act to establish a rural manu-
facturing forgivable loan program, and for other pur-
poses.
Be it enacted by the Senate and House of Representa-1
tives of the United States of America in Congress assembled, 2
SECTION 1. SHORT TITLE. 3
This Act may be cited as the ‘‘Investing in Rural 4
Manufacturing Act’’. 5
SEC. 2. RURAL MANUFACTURING LOANS. 6
(a) I
NGENERAL.—Section 7(a) of the Small Busi-7
ness Act (15 U.S.C. 636(a)) is amended— 8
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(1) in paragraph (2)— 1
(A) in subparagraph (A), by striking ‘‘and 2
(F)’’ and inserting ‘‘(F), and (G)’’; and 3
(B) by adding at the end the following new 4
subparagraph: 5
‘‘(G) P
ARTICIPATION IN RURAL MANUFAC -6
TURING LOANS.—In an agreement to partici-7
pate in a loan on a deferred basis under para-8
graph (38), the participation by the Adminis-9
tration shall be 100 percent.’’; and 10
(2) by adding at the end the following new 11
paragraph: 12
‘‘(38) R
URAL MANUFACTURING LOANS .— 13
‘‘(A) I
N GENERAL.—The Administrator 14
may guarantee a loan made under this para-15
graph to a covered applicant for the purpose of 16
paying any eligible costs associated with the de-17
velopment of a business concern that manufac-18
tures goods essential to critical infrastructure 19
sectors in rural areas. 20
‘‘(B) A
PPLICATION.—A covered applicant 21
shall submit an application for a loan under 22
this paragraph which shall include a com-23
prehensive business plan that includes a goal 24
for the resulting number of jobs to be created 25
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at the site that will be developed or expanded 1
with the proceeds of such loan. 2
‘‘(C) L
OAN FORGIVENESS.—A covered ap-3
plicant shall be eligible for forgiveness of any 4
indebtedness on a loan made under this para-5
graph as follows: 6
‘‘(i) If the covered applicant has met 7
75 percent or more of the job creation 8
goals of the comprehensive business plan 9
described in subparagraph (B) not later 10
than 5 years after the date of origination 11
of the loan. 12
‘‘(ii) If the Administrator makes a de-13
termination that the covered applicant only 14
used loan proceeds for eligible costs, the 15
covered applicant shall receive loan forgive-16
ness in an amount— 17
‘‘(I) less than or equal to an 18
amount that is 50 percent of the total 19
financing amount specified by the cov-20
ered applicant; and 21
‘‘(II) less than or equal to max-22
imum amount allowable under para-23
graph (3)(A). 24
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‘‘(D) IDENTIFICATION OF ADDITIONAL 1
CRITICAL INFRASTRUCTURE SECTORS .— 2
‘‘(i) S
TUDY.—Not later than 180 days 3
after the date of enactment of this para-4
graph, the Administrator shall complete a 5
study to identify any additional sectors to 6
be included in the definition of the term 7
‘critical infrastructure sector’ under this 8
paragraph. 9
‘‘(ii) P
ROVISION OF LOANS PRIOR TO 10
COMPLETION OF STUDY .—The Adminis-11
trator may guarantee a loan made under 12
this paragraph before the completion of the 13
study required under clause (i). 14
‘‘(iii) A
DDITIONAL CRITICAL INFRA -15
STRUCTURE SECTORS .—The Administrator 16
may, at any time, take such actions as are 17
necessary to identify additional sectors to 18
be included in the definition of the term 19
‘critical infrastructure sector’ under this 20
paragraph. 21
‘‘(E) D
EFINITIONS.—In this paragraph: 22
‘‘(i) C
OVERED APPLICANT.—The term 23
‘covered applicant’ means a business 24
that— 25
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‘‘(I) has a site located in rural 1
area industrial park, manufactures 2
goods that are essential to critical in-3
frastructure sectors at such site, and 4
intends to expand such site for pur-5
poses of employing a larger workforce 6
at such site; or 7
‘‘(II) is developing a site located 8
in a rural area industrial park to 9
manufacture goods that are essential 10
to critical infrastructure sectors at 11
such site. 12
‘‘(ii) C
RITICAL INFRASTRUCTURE SEC -13
TOR.—The term ‘critical infrastructure 14
sector’ means— 15
‘‘(I) each of the 16 critical infra-16
structure sectors designated in Presi-17
dential Policy Directive 21, titled 18
‘Critical Infrastructure Security and 19
Resilience’ and published on February 20
12, 2013; 21
‘‘(II) any additional sectors iden-22
tified pursuant to section 9002 of the 23
National Defense Authorization Act 24
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for Fiscal Year 2021 (6 U.S.C. 652a); 1
and 2
‘‘(III) any additional sectors 3
identified by the Administrator pursu-4
ant to subparagraph (D). 5
‘‘(iii) E
LIGIBLE COSTS.—The term ‘el-6
igible costs’ means— 7
‘‘(I) payroll, construction, permit-8
ting, and other capital costs associ-9
ated with— 10
‘‘(aa) the development of a 11
site located in a rural area indus-12
trial park for a business that 13
manufactures goods that are es-14
sential to critical infrastructure 15
sectors at such site; and 16
‘‘(bb) the expansion of such 17
a site for purposes of employing 18
a larger workforce at such site; 19
and 20
‘‘(II) any other costs the Admin-21
istrator determines to be appro-22
priate.’’. 23
(b) A
UTHORIZATION OFAPPROPRIATIONS.—There is 24
authorized to be appropriated to the Administrator of the 25
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Small Business Administration $2,000,000,000, which 1
shall be authorized to remain available until expended, to 2
carry out paragraph (38) of section 7(a) of the Small 3
Business Act (15 U.S.C. 636(a)), as added by subsection 4
(a). 5
(c) R
ESCISSION.—Of the unobligated balances of 6
amounts made available under the heading ‘‘Small Busi-7
ness Administration—Business Loans Program Account, 8
CARES Act’’, for carrying out paragraphs (36) and (37) 9
of section 7(a) of the Small Business Act (15 U.S.C. 10
636(a)), $2,000,000,000 are hereby rescinded. 11
Æ
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