Panoptic Enterprises' FEDERAL CONTRACTS DISPATCH
DATE: September 14, 2001
SUBJECT: Small Business Administration; Microloan Program
SOURCE: Federal Register . September 14, 2001, Vol. 66, No. 179, page 47877
AGENCIES: Small Business Administration (SBA)
ACTION: Direct Final Rule
SYNOPSIS: In accordance with changes required by Consolidated Appropriations Act of 2001 (Public Law 106-554), SBA is revising its microloan program regulations to increase several of the dollar amounts used to define various aspects of the program.
EDITOR'S NOTE: The SBA's microloan program regulations are in Title 13 of the Code of Federal Regulations (CFR), "Chapter 1, Small Business Administration," "Part 120, Business Loans," as "Subpart G, Microloan Program."
For more on another recent change to SBA's microloan program regulations, see the September 11, 2001, FEDERAL CONTRACTS DISPATCH "Small Business Administration; Microloan Program ."
This rule is being published as a "direct final rule," which SBA reserves for rules it believes are noncontroversial. SBA believes this rule is noncontroversial because it is merely implements provisions of Public Law 106-554 and, therefore, will elicit no significant adverse comment. However, if SBA receives any adverse comments, it will withdraw the rule. consider the comments, then possibly publish a proposed rule in a future edition of the Federal Register .
DATES: This rule will become effective on October 15, 2001, without further notice, unless SBA receives adverse comments by November 14, 2001.
ADDRESSES: Send comments to Jody Raskind, Chief, Office of Microenterprise Development, U.S. Small Business Administration, 409 3rd Street, SW, Washington, DC 20416.
FOR FURTHER INFORMATION CONTACT: Jody Raskind, 202-205-6497.
SUPPLEMENTAL INFORMATION: Under the microloan program, SBA makes direct and guaranteed loans available to intermediaries who use the proceeds to make microloans to eligible borrowers. SBA is also authorized to make grants to intermediaries and other qualified nonprofit entities to be used for marketing, management, and technical assistance.
Section 210 of Public Law 106-554 increased several dollar amounts and thresholds used to define various aspects of the microloan program. The following are the changes being made to the microloan program regulations to implement the statutory changes (unless adverse comments are received):
- In Section 120.701, Definitions, a "microloan" is defined as a loan of not more than $35,000 (formerly $25,000) by an intermediary to a small business. Also, the
definition of "specialized intermediary" is changed to mean an intermediary that maintains a portfolio of microloans averaging $10,000 (up from $7,500) or less.
FOR FURTHER INFORMATION CONTACT: Panoptic Enterprises at 703-451-5953 or by e-mail to Panoptic@FedGovContracts.com .
Copyright 2001 by Panoptic Enterprises. All Rights Reserved.
Category: Payday loans