H.R. 3174
Made in America Manufacturing Finance Act
Official summary
Written by the Congressional Research Service.
Made in America Manufacturing Finance Act
This bill increases the maximum loan amounts available to small manufacturers under the Small Business Administration's 7(a) and 504 loan programs.
In particular, the bill generally doubles the maximum loan amount for small manufacturers under the 7(a) program and the bill increases the maximum loan amount for small manufacturers under the 504 program from $5.5 million to $10 million.
Generally, 7(a) loans provide short- and long-term working capital which can be used for expenses such as operational needs. 504 loans provide financing for major fixed assets such as new facilities.
Text of the bill
This Act may be cited as the Made in America Manufacturing Finance Act.
Section 3 of the Small Business Act (15 U.S.C. 632) is amended by adding at the end the following:
(gg) Small manufacturer. The term small manufacturer means a small business concern—
(1) the primary business of which is classified in sector 31, 32, or 33 of the North American Industrial Classification System; and
(2) all of the production facilities of which are located in the United States.
Section 7(a) of the Small Business Act (15 U.S.C. 636(a)) is amended—
(1) in paragraph (3)—
(A) in subparagraph (A)—
(i) by inserting except as provided in subparagraph (B), before if the total;
(ii) by striking would exceed $3,750,000 and inserting the following:
would exceed—
(i) $3,750,000
(iii) in clause (i), as so designated, by striking , except as provided in subparagraph (B); and inserting ; or; and
(iv) by adding at the end the following:
(ii) in the case of a borrower that is a small manufacturer, $7,500,000 (or if the gross loan amount would exceed $10,000,000);
; and
(B) in subparagraph (B)—
(i) by striking would exceed $4,500,000 and inserting the following:
would exceed—
(i) $4,500,000
(ii) in clause (i), as so designated, by striking section 7(a)(14) for export purposes; and and inserting paragraph (14) for export purposes; or; and
(iii) by adding at the end the following:
(ii) in the case of a borrower that is a small manufacturer, $9,000,000 (or if the gross loan amount would exceed $10,000,000), of which not more than $8,000,000 may be used for working capital, supplies, or financings under paragraph (14) for export purposes; and
; and
(2) in paragraph (14)(B)(i), by striking than $5,000,000. and inserting the following:
than—
(I) except as provided in subclause (II), $5,000,000; or
(II) in the case of a loan made to a small manufacturer, $10,000,000.
Section 502(2)(A)(iii) of the Small Business Investment Act of 1958 (15 U.S.C. 696(2)(A)(iii)) is amended by striking $5,500,000 and inserting $10,000,000.