Substitute Bill No. 6767 establishes a Disabled Veterans Revolving Loan Fund within the Small Business Express program, aimed at providing financial assistance to small businesses that are majority-owned by disabled veterans, defined as those with a disability rating of at least thirty percent. The bill allocates $2 million annually from 2026 to 2030 for the fund, which will support eligible businesses that have been operational for at least three years. The loans will range from $10,000 to $500,000, with a maximum repayment rate of 4% over ten years, and can be used for various business-related expenses. The Department of Economic and Community Development will administer the fund, ensuring that no more than 10% of the funds are allocated for administrative costs and prioritizing applicants who demonstrate job creation.

In addition to creating the new fund, the bill modifies existing provisions of the Small Business Express program by repealing and replacing Section 32-7g. This includes the introduction of a revolving loan fund for small businesses and a minority business revolving loan fund, while emphasizing the goal of making the program self-funded by July 1, 2026. The bill also allows collaboration with Connecticut-based banks and Connecticut Innovations, Incorporated for financial assistance through loan guarantees and short-term loans. It mandates annual reporting on the program's effectiveness, including metrics on business assistance, job creation, and default rates, while ensuring that all funds received for the program are credited to the Small Business Express assistance account and that a portion is dedicated to developing capacity for minority business enterprises.

Statutes affected:
Committee Bill: 32-7g, 32-7h
VA Joint Favorable Substitute Change of Reference: 32-7g, 32-7h