US Congress Senate Bill 3483 (Prior Session Legislation)

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Spectrum: Partisan Bill (Democrat 2-0)
Status: Introduced on March 12 2020 - 25% progression, died in committee
Action: 2020-03-12 - Read twice and referred to the Committee on Small Business and Entrepreneurship.
Pending: Senate Small Business And Entrepreneurship Committee
Text: Latest bill text (Introduced) [PDF]

Establishes a scale-up manufacturing investment company (SUMIC) program within the Small Business Administration (SBA) to provide leverage for participating investment funds (PIFs) to support debt and equity investments in qualifying manufacturing projects of specified small and emerging manufacturers. The SBA may provide up to $1 of leverage for every $1 of private capital raised by a PIF, not to exceed a certain amount, and the SBA must charge a leverage fee of between 3% and 5.5% of the face amount of the leverage issued. Each PIF may borrow money and issue debentures and preferred securities. Of the SBA leverage provided to a PIF (1) at least 70% must be issued as debentures, and (2) up to 30% may be issued as preferred securities. Certain banks may invest in any one or more PIFs, or in any entity established to invest solely in PIFs. However, the total amount of such investments may not exceed 5% of the bank's capital and surplus. Each PIF shall be subject to examination by the SBA and shall submit a semiannual, written valuation of its loans and investments. The SBA shall issue policy directives to increase investments by PIFs in small businesses owned and controlled by socially and economically disadvantaged individuals and by women, veterans, or individuals with disabilities. The SBA may establish a SUMIC Credit Council to advise on carrying out the program.

Scale-Up Manufacturing Investment Company Act of 2020

Sen. Cory Booker [D-NJ]

Sen. Kirsten Gillibrand [D-NY]

Date	Chamber	Action
2020-03-12	Senate	Read twice and referred to the Committee on Small Business and Entrepreneurship.

Type	Source
Summary	https://www.congress.gov/bill/116th-congress/senate-bill/3483/all-info
Text	https://www.congress.gov/116/bills/s3483/BILLS-116s3483is.pdf