H. R. 4531 (117th Congress) — To amend the Small Business Act
Summary
The text of a bill in the 117TH Congress, 1st Session, bill number 4531, introduced in the House of Representatives by Meuser (for himself and Phillips). Section 2 adds an annual report subsection to Section 47 of the Small Business Act. The Director would submit to Congress an annual report that includes the number of 7(a) agents assisting applicants for loans under section 7(a), the number of fraudulent loans made for which an applicant used services of a 7(a) agent, and the purchase rate by the Administrator of such loans. It also lists referral fees paid to 7(a) agents and a description of how the Administrator communicates with 7(a) agents.
Summary drafted by a model from the document's text below and checked by script against that text before publication. It is a navigation aid, not a reading of what the document proves. Where AI is used
Cite this document
“H. R. 4531 (117th Congress) — To amend the Small Business Act.”
Archived at Pandemic Darlings, https://pandemicdarlings.com/source-documents/3887-2021-07-29-committee-passes-seven-bipartisan-bills-att2-2b19c3f02e/
, SHA-256 d5bda03b3b2b5740047326c64fb51a86f9ecfc63aca454c57a9b4156880f3d9e.Full text
G:\M\17\MEUSPA\MEUSPA_011.XML
.....................................................................
(Original Signature of Member)
H. R. ll
117TH CONGRESS
1ST SESSION 4531
To amend the Small Business Act to require a report on 7(a) agents, and
for other purposes.
IN THE HOUSE OF REPRESENTATIVES
Mr. MEUSER (for himself and Mr. PHILLIPS) introduced the following bill;
which was referred to the Committee on lllllllllllllll
A BILL
To amend the Small Business Act to require a report on
7(a) agents, and for other purposes.
1 Be it enacted by the Senate and House of Representa-
2 tives of the United States of America in Congress assembled,
3 SECTION 1. SHORT TITLE.
4 This Act may be cited as the ‘‘7(a) Loan Agent Over-
5 sight Act’’.
6 SEC. 2. REPORT ON 7(a) AGENTS.
7 Section 47 of the Small Business Act (15 U.S.C.
8 657t) is amended by adding at the end the following new
9 subsection:
g:\VHLD\071221\D071221.094.xml (809372|2)
July 12, 2021 (4:41 p.m.)
VerDate Nov 24 2008 16:41 Jul 12, 2021 Jkt 000000 PO 00000 Frm 00001 Fmt 6652 Sfmt 6201 C:\USERS\VKSRINIVASA\APPDATA\ROAMING\SOFTQUAD\XMETAL\11.0\GEN\C\MEUSPA
G:\M\17\MEUSPA\MEUSPA_011.XML
2
1 ‘‘(j) ANNUAL REPORT.—
2 ‘‘(1) IN GENERAL.—The Director shall submit
3 to Congress, in addition to the report required under
4 subsection (h)(2), an annual report including, for
5 the calendar year covered by the report—
6 ‘‘(A) the number of 7(a) agents assisting
7 applicants for loans under section 7(a),
8 disaggregated by 7(a) agents who are attorneys,
9 accountants, consultants, packagers, and lender
10 service providers (as defined by section 103.1 of
11 title 13, Code of Federal Regulations);
12 ‘‘(B) the number of fraudulent loans made
13 for which an applicant used services of a 7(a)
14 agent;
15 ‘‘(C) the purchase rate by the Adminis-
16 trator of loans for which an applicant used
17 services of a 7(a) agent;
18 ‘‘(D) the number and aggregate dollar
19 value of referral fees paid to 7(a) agents,
20 disaggregated by whether the applicant or 7(a)
21 lender paid such fees;
22 ‘‘(E) without identifying individual 7(a)
23 agents by name, a consolidated analysis of the
24 risk created by the individual 7(a) agents re-
25 sponsible for not less than 1 percent of—
g:\VHLD\071221\D071221.094.xml (809372|2)
July 12, 2021 (4:41 p.m.)
VerDate Nov 24 2008 16:41 Jul 12, 2021 Jkt 000000 PO 00000 Frm 00002 Fmt 6652 Sfmt 6201 C:\USERS\VKSRINIVASA\APPDATA\ROAMING\SOFTQUAD\XMETAL\11.0\GEN\C\MEUSPA
G:\M\17\MEUSPA\MEUSPA_011.XML
3
1 ‘‘(i) the dollar value of loans made
2 with the assistance of 7(a) agents; and
3 ‘‘(ii) the number of loans made with
4 the assistance of 7(a) agents;
5 ‘‘(F) an analysis of interest rates on loans
6 for which an applicant or 7(a) lender used serv-
7 ices of an agent; and
8 ‘‘(G) a description of how the Adminis-
9 trator communicates with 7(a) agents.
10 ‘‘(2) DEFINITIONS.—In this subsection:
11 ‘‘(A) 7(A) AGENT.—The term ‘7(a) agent’
12 means a person who provides covered services
13 on behalf of a lender or applicant.
14 ‘‘(B) COVERED SERVICES.—The term ‘cov-
15 ered services’ means—
16 ‘‘(i) assistance with completing an ap-
17 plication for a loan under section 7(a) (in-
18 cluding preparing a business plan, cash
19 flow projections, financial statements, and
20 related documents); or
21 ‘‘(ii) consulting, broker, or referral
22 services with respect to a loan under sec-
23 tion 7(a).’’.
g:\VHLD\071221\D071221.094.xml (809372|2)
July 12, 2021 (4:41 p.m.)
VerDate Nov 24 2008 16:41 Jul 12, 2021 Jkt 000000 PO 00000 Frm 00003 Fmt 6652 Sfmt 6201 C:\USERS\VKSRINIVASA\APPDATA\ROAMING\SOFTQUAD\XMETAL\11.0\GEN\C\MEUSPA
File and source
- File
- 3887_2021-07-29_committee-passes-seven-bipartisan-bills_att2.pdf
- Size
- 54,485 bytes
- SHA-256
- d5bda03b3b2b5740047326c64fb51a86f9ecfc63aca454c57a9b4156880f3d9e
- Original
- No public link identified.