[Congressional Bills 119th Congress]
[From the U.S. Government Publishing Office]
[S. 2232 Reported in Senate (RS)]
<DOC>
Calendar No. 135
119th CONGRESS
1st Session
S. 2232
To expand the surety bond program under the Small Business Investment
Act of 1958, and for other purposes.
_______________________________________________________________________
IN THE SENATE OF THE UNITED STATES
July 9, 2025
Mr. Markey introduced the following bill; which was read twice and
referred to the Committee on Small Business and Entrepreneurship
July 30, 2025
Reported by Ms. Ernst, with an amendment
[Strike out all after the enacting clause and insert the part printed
in italic]
_______________________________________________________________________
A BILL
To expand the surety bond program under the Small Business Investment
Act of 1958, and for other purposes.
Be it enacted by the Senate and House of Representatives of the
United States of America in Congress assembled,
<DELETED>SECTION 1. SHORT TITLE.</DELETED>
<DELETED> This Act may be cited as the ``Expanding the Surety Bond
Program Act of 2025''.</DELETED>
<DELETED>SEC. 2. EXPANSION OF THE SURETY BOND PROGRAM.</DELETED>
<DELETED> Part B of title IV of the Small Business Investment Act of
1958 (15 U.S.C. 694a et seq.) is amended--</DELETED>
<DELETED> (1) in section 411 (15 U.S.C. 694b)--</DELETED>
<DELETED> (A) in subsection (a)(1)--</DELETED>
<DELETED> (i) in subparagraph (A), by
striking ``$6,500,000'' and inserting
``$20,000,000''; and</DELETED>
<DELETED> (ii) by striking subparagraph (B)
and inserting the following:</DELETED>
<DELETED> ``(B) The Administrator may guarantee a
surety under subparagraph (A) for a total work order or
contract in an amount that does not exceed
$20,000,000.''; and</DELETED>
<DELETED> (B) in subsection (e)--</DELETED>
<DELETED> (i) in paragraph (1), by striking
the comma at the end and inserting a
semicolon;</DELETED>
<DELETED> (ii) in paragraph (2), by striking
``$6,500,000,'' and inserting ``the amount
described in subparagraph (A) or (B) of
subsection (a)(1), as applicable;'';
and</DELETED>
<DELETED> (iii) in paragraph (3), by
striking ``, or'' and inserting ``; or'';
and</DELETED>
<DELETED> (2) in section 412 (15 U.S.C. 694c)--</DELETED>
<DELETED> (A) in subsection (a), in the third
sentence, by striking ``, excluding administrative
expenses,'';</DELETED>
<DELETED> (B) by redesignating subsection (b) as
subsection (c); and</DELETED>
<DELETED> (C) by inserting after subsection (a) the
following:</DELETED>
<DELETED> ``(b) Not more than 5 percent of the amount in the fund
described in subsection (a) on the first day of each fiscal year may be
obligated during that fiscal year to cover costs incurred by the
Administration in connection with the management and administration of
this part, including costs related to information technology and
systems, personnel, outreach activities, and relevant
contracts.''.</DELETED>
SECTION 1. SHORT TITLE.
This Act may be cited as the ``Expanding the Surety Bond Program
Act of 2025''.
SEC. 2. EXPANSION OF THE SURETY BOND PROGRAM.
Part B of title IV of the Small Business Investment Act of 1958 (15
U.S.C. 694a et seq.) is amended--
(1) in section 411 (15 U.S.C. 694b)--
(A) in subsection (a)(1)--
(i) in subparagraph (A)--
(I) by striking ``$6,500,000'' and
inserting ``$18,000,000''; and
(II) by inserting ``, subject to
the exception in subparagraph (B)''
after ``United States Code''; and
(ii) by striking subparagraph (B) and
inserting the following:
``(B) (i) In any fiscal year in which the Administrator submits a
formal request, including budget justification documents submitted by
the Administrator to Congress, for supplemental funds under section
412(d), the amount described in subparagraph (A) shall be reduced by 33
percent.
``(ii) The limit described in clause (i) shall apply until the
first of either--
``(I) 12 months after the date on which the Administrator
submits the formal request described in that clause; or
``(II) 150 days after the date on which--
``(aa) the requested funds are provided, and the
Administrator attests that the fee collection
activities of the Administration are sufficient to
maintain a deficit-neutral revolving fund; or
``(bb) the Administrator notifies Congress that
funds are no longer required and attests that the fee
collection activities of the Administration are
sufficient to maintain a deficit-neutral revolving
fund.
``(iii) After the expiration of the period described in clause
(ii), the limit described in clause (i) shall revert to the amount
designated in subparagraph (A).''; and
(B) in subsection (e)--
(i) in paragraph (1), by striking the comma
at the end and inserting a semicolon;
(ii) in paragraph (2), by striking
``$6,500,000,'' and inserting ``the amount
described in subparagraph (A) or (B)(i) of
subsection (a)(1), as applicable;''; and
(iii) in paragraph (3), by striking ``,
or'' and inserting ``; or'';
(2) in section 412 (15 U.S.C. 694c)--
(A) in subsection (a), in the third sentence, by
striking ``, excluding administrative expenses,'';
(B) by redesignating subsection (b) as subsection
(c);
(C) by inserting after subsection (a) the
following:
``(b) Not more than 2 percent of the amount in the fund described
in subsection (a) on the first day of each fiscal year may be obligated
during that fiscal year to cover costs incurred by the Administration
in connection with the management and administration of this part,
including costs related to information technology and systems, outreach
activities, and relevant contracts.''; and
(D) by adding at the end the following:
``(d) If the Administrator notifies any committee of the Senate or
the House of Representatives that supplemental funding is necessary to
carry out the Surety Bond Program authorized under section 411(a)(3),
the Administrator shall, on the same date, notify in writing the
Committee on Small Business and Entrepreneurship of the Senate and the
Committee on Small Business of the House of Representatives regarding
the need for the supplemental funds.''; and
(3) by adding at the end the following:
``SEC. 413. REPORT.
``(a) Small Business Administration.--Not later than 90 days after
the first day of each fiscal year, the Administrator shall submit to
the Committee on Small Business and Entrepreneurship of the Senate and
the Committee on Small Business of the House of Representatives a
report covering the period of the previous fiscal year describing the
status and activities carried out under this part and the financial
health of the revolving fund created under section 412(a), which shall
include--
``(1) with respect to guarantees under this part--
``(A) the total dollar value in the aggregate among
all sureties;
``(B) the total dollar value issued by sureties
participating in the Prior Approval Program;
``(C) the total dollar value issued by sureties
participating in the Preferred Surety Bond Guarantee
Program authorized under section 411(a)(3);
``(D) the average bond size; and
``(E) the number of issued bonds that exceed the
limits established under subparagraphs (A) and (B) of
section 411(a)(1);
``(2) with respect to claims paid--
``(A) the total dollar value of claims paid in the
aggregate;
``(B) the total dollar value of claims originating
from bonds issued by sureties participating in the
Prior Approval Program and the number of such claims;
and
``(C) the total dollar value of claims originating
from bonds issued by sureties participating in the
Preferred Surety Bond Guarantee Program authorized
under section 411(a)(3) and the number of such claims.
``(3) information on the solvency of the revolving fund,
including--
``(A) the revolving fund balance at the end of the
reporting period;
``(B) net cash flow;
``(C) administrative expenses incurred; and
``(D) the revolving fund balance at the end of the
reporting period, adjusted for administrative expenses
under subparagraph (C);
``(4) the number of sureties participating in the Prior
Approval Program;
``(5) the number of sureties participating in the Preferred
Surety Bond Guarantee Program authorized under section
411(a)(3); and
``(6) information on administrative expenses, including--
``(A) a description of administrative expenses
claimed from the revolving fund under section 412(b) as
of the end of the reporting period; and
``(B) the total cost of administrative expenses
claimed.
``(b) Government Accountability Office.--Not later than 270 days
after the date of enactment of the Expanding the Surety Bond Program
Act of 2025, the Comptroller General of the United States shall submit
to the Committee on Small Business and Entrepreneurship of the Senate
and the Committee on Small Business of the House of Representatives a
report on the current processes of the Small Business Administration
for approving applicants to the Surety Bond Program, including
recommendations for improving program efficiency and simplifying
paperwork requirements.''.
Calendar No. 135
119th CONGRESS
1st Session
S. 2232
_______________________________________________________________________
A BILL
To expand the surety bond program under the Small Business Investment
Act of 1958, and for other purposes.
_______________________________________________________________________
July 30, 2025
Reported with an amendment