HR5367-118

Introduced

To amend the Small Business Act to make improvements to the Small Business Development Center Program, and for other purposes.

118th Congress Introduced Sep 8, 2023

Analysis under review: This bill has generated analysis that may be too generic or incomplete. Clause-level evidence remains available below.

Summary

What This Bill Does

The Small Business Development Centers Improvement Act reforms how the SBA delivers entrepreneurial development services. It restricts the SBA from creating new programs without Congressional approval, requires the agency to work through existing SBDC networks, and authorizes $175 million annually through 2027 for formula grants to states.

Who Benefits and How

  • Existing Small Business Development Centers: Protected from competition by limiting SBA's ability to create new programs; authorized to use up to 10% of funds for marketing; allowed to collect fees from private partnerships; receive stronger privacy protections for client information.
  • SBDC association: Gains full participation rights in developing operating guidelines and annual report requirements.
  • New SBDCs (institutions of higher education): Exempt from restriction limiting new grants only to existing grantees.
  • Tribal small businesses: Explicitly exempted from program restrictions.

Who Bears the Burden and How

  • SBA Administrator: Loses authority to create new entrepreneurial development programs without explicit Congressional authorization; must notify Congress before providing services; must submit detailed annual reports on all activities.
  • Women's Business Centers: Removed from direct SBDC grant eligibility (but may receive subgrants from SBDC grantees).
  • New non-university applicants: Cannot receive SBDC grants unless they had existing grants before enactment date.

Key Provisions

  • Prohibits SBA from creating new entrepreneurial development programs without Congressional authorization
  • Authorizes $175 million annually for SBDC formula grants FY2024-2027
  • Allows SBDCs to use up to 10% of funds for marketing and advertising
  • Establishes Data Collection Working Group to improve data systems
  • Expands client confidentiality to cover email addresses and nature of assistance
  • Limits new SBDC grants to existing grantees (except universities)

Evidence Chain:

This summary is generated from the full bill text using AI analysis. Expand "Detailed Analysis" below for identified beneficiaries/burden bearers.

At a Glance

What This Bill Does

Reforms the Small Business Development Center (SBDC) program by restricting SBA's authority to create new entrepreneurial development programs, increasing funding authorization to $175 million annually, expanding marketing abilities, and enhancing privacy protections for SBDC clients.

Key Policy Areas

Small Business, Economic Development, Federal Programs

Primary Purpose

Reforms the Small Business Development Center (SBDC) program by restricting SBA's authority to create new entrepreneurial development programs, increasing funding authorization to $175 million annually, expanding marketing abilities, and enhancing privacy protections for SBDC clients.

Policy Domains

Small Business Economic Development Federal Programs

Small Business Development Center Program Reforms

Identified Gains
Contextual inference, no direct clause citation
  • Existing Small Business Development Centers
  • SBDC association
  • Universities with SBDCs
  • Small business owners receiving SBDC services
  • Tribal businesses
Model: N/A | Version: bill_summary_v2 | Source: ih

Contextual inference, no direct clause citation

Identified Costs
Contextual inference, no direct clause citation
  • SBA Administrator
  • Women's Business Centers
  • New non-university program applicants
Model: N/A | Version: bill_summary_v2 | Source: ih

Contextual inference, no direct clause citation

Legislative Progress

Introduced
Introduced Committee Passed
Sep 8, 2023

Mr. Golden of Maine (for himself and Ms. Velázquez) introduced …

Stakeholder Effects

cui bono?

How this legislation distributes effects. Mention counts reflect frequency, not effect magnitude.

Small Business
16 mentions across 11 clauses
+9 positive -7 negative

Existing SBDC grantees, Existing SBDC network, Existing Small Business Development Centers

Small Business Development Centers faces effects in multiple directions

Positive-direction: Existing SBDC grantees, Existing SBDC network, Existing Small Business Development Centers, SBDC association, Small business owners receiving SBDC services

Negative-direction: New non-university SBDC applicants, SCORE chapters, Womens business centers

Government
7 mentions across 6 clauses
+1 positive -6 negative

Congress, Government agencies seeking client data, SBA Administration

Positive-direction: Congress

Negative-direction: Government agencies seeking client data, SBA Administration, SBA Administrator

State & Local Government
1 mention across 1 clause
+1 positive

State SBDC programs

Tribal Nations
1 mention across 1 clause
+1 positive

Tribal-owned small businesses

Marketing Services
1 mention across 1 clause
+1 positive

Marketing and advertising firms

Education
1 mention across 1 clause
+1 positive

Universities seeking SBDC grants

11/15
sections analyzed
Full impact breakdown

Bill Structure & Actor Mappings

Who is "The Secretary" in each section?

Domains
Small Business Economic Development
Actor Mappings
"the_administrator"
→ Administrator of the Small Business Administration
"the_associate_administrator"
→ Associate Administrator for Small Business Development Centers

Key Definitions

Terms defined in this bill

1 term
"covered activity" §2

Entrepreneurial development services, entrepreneurial education, or support for the development and maintenance of the Regional Innovation Clusters Program (or similar business training services)

We use a combination of our own taxonomy and classification in addition to large language models to assess meaning and potential beneficiaries. High confidence means strong textual evidence. Always verify with the original bill text.

Learn more about our methodology