118THCONGRESS
1
STSESSION H. R. 449
AN ACT
To amend the Small Business Act to increase transparency,
and for other purposes.
Be it enacted by the Senate and House of Representa-1
tives of the United States of America in Congress assembled, 2 2
•HR 449 EH
SECTION 1. SHORT TITLE. 1
This Act may be cited as the ‘‘Microloan Trans-2
parency and Accountability Act of 2023’’. 3
SEC. 2. PORTFOLIO RISK ANALYSIS OF MICROLOANS. 4
Section 7(m)(10) of the Small Business Act (15 5
U.S.C. 636(m)(10)) is amended— 6
(1) by redesignating subparagraphs (A) through 7
(F) as clauses (i) through (vi), respectively, and ad-8
justing the margins accordingly; 9
(2) by amending clause (iv), as so redesignated, 10
to read as follows: 11
‘‘(vi) the number, amount, and per-12
centage of microloans made by inter-13
mediaries to small business concerns— 14
‘‘(I) that went into default in the 15
previous year; and 16
‘‘(II) that were charged off in the 17
previous year by such inter-18
mediaries;’’; 19
(3) in clause (vi), as so redesignated, by strik-20
ing ‘‘and’’ at the end; 21
(4) by redesignating subparagraph (G) as 22
clause (xviii), and adjusting the margin accordingly; 23
(5) by striking ‘‘On November 1, 1995,’’ and all 24
that follows through ‘‘the following:’’ and inserting 25
the following: 26 3
•HR 449 EH
‘‘(A) IN GENERAL.—Beginning on Feb-1
ruary 1, 2023, and annually thereafter, the Ad-2
ministrator shall submit to the Committee on 3
Small Business and Entrepreneurship of the 4
Senate and the Committee on Small Business 5
of the House of Representatives, and make 6
available to the public on the website of the Ad-7
ministration, a report on the effectiveness of 8
the microloan program during the fiscal year 9
preceding the date of the report. Such report 10
shall include—’’; 11
(6) in subparagraph (A), as so designated, by 12
inserting after clause (vi) the following new clauses: 13
‘‘(vii) the number and type of enforce-14
ment actions taken by the Administrator 15
against noncompliant intermediaries; 16
‘‘(viii) an analysis of compliance by 17
intermediaries with the credit availability 18
requirements of paragraph (3)(E) for loans 19
in an amount greater than $20,000; 20
‘‘(ix) the extent to which microloans 21
are provided to small business concerns in 22
rural areas; 23 4
•HR 449 EH
‘‘(x) the number of underserved bor-1
rowers, as defined by the Administration, 2
participating in the microloan program; 3
‘‘(xi) the average rate of interest for 4
each microloan; 5
‘‘(xii) the average amount of fees 6
charged for each microloan; 7
‘‘(xiii) the average size of each 8
microloan, including— 9
‘‘(I) the number of loans made in 10
an amount greater than $20,000; and 11
‘‘(II) the average size and 12
charge-off rate of such loans; 13
‘‘(xiv) the subsidy cost to the Admin-14
istration; 15
‘‘(xv) the number and percentage of 16
microloans that were made to refinance 17
other loans; 18
‘‘(xvi) the number and percentage of 19
microloans made to new program partici-20
pants and the number and percentage of 21
microloans made to previous program par-22
ticipants; 23 5
•HR 449 EH
‘‘(xvii) the average amount of tech-1
nical assistance grant monies spent on 2
each loan; and’’; and 3
(7) by adding at the end the following: 4
‘‘(B) P
RIVACY.—Each report submitted 5
under subparagraph (A) shall not contain any 6
personally identifiable information of any bor-7
rower.’’. 8
Passed the House of Representatives January 25,
2023.
Attest:
Clerk. 118
TH
CONGRESS
1
ST
S
ESSION
H. R. 449
AN ACT
To amend the Small Business Act to increase
transparency, and for other purposes.