SBA Loan Programs Out of Business in Shutdown
YOUNGSTOWN, Ohio -- The battle lines remained sharply drawn as the minutes ticked down to the midnight shutdown of the U.S. government. And among the political casualties are initiatives directly affecting business such as loan programs offered by the Small Business Administration.
All Democratic members of the U.S. House of Representatives from Ohio and Pennsylvania voted against the Republican spending bill that would have delayed the implementation of much of the Affordable Care Act for one year. Among the Pennsylvania delegation, only one member crossed party lines, Republican Rep. Charlie Dent, who represents the Philadelphia suburbs.
In the U.S. Senate, Ohio Sens. Sherrod Brown, a Democrat, and Rob Portman, a Republican, followed their party’s line; so did Sens. Robert Casey, a Democrat, and Pat Toomey, a Republican, who represent Pennsylvania.
U.S. Rep. Tim Ryan released a statement Monday evening as legislation that would fund the government, but not Obamacare, moved back and forth from the House to the Senate, where it was rejected. Among the “countless ways this unnecessary government shutdown” will affect the American people, Ryan noted, is that “businesses will not be able to receive loans from the Small Business Administration.”
Only two of SBA's loan functions will continue in operation: the disaster loan program and the inspector general. Shutting down will be all other aspects of the SBA’s work, including loan and entrepreneur assistance programs implemented in partnership with local economic development agencies.
What follows is a list compiled by Bloomberg Businessweek.com:
- 7(a) Loan Guarantees
- 504 Certified Development Loans
- Microloan
- Surety Bond Guarantees
- Procurement Assistance Program
- Small Business Procurement Set-Aside
- 8(a) Business Development
- 7(i) Technical Assistance HUBZone
- Women-Owned Small Business Federal Contracting
- Service-Disabled Veteran-Owned Small Business Procurement
- Small Business Development Centers (SBDC)
- Women’s Business Centers (WBC)
- SCORE
- Veteran’s Business Development
- Small Business Investment Companies (SBIC)
- Small Business Innovation Research (SBIR)
- Small Business Technology Transfer Program
- International Trade
- Federal and State Technology Partnership (FAST) Program
- PRIME Program
- Regional Investment Clusters
- Native American Outreach
- BusinessUSA
- Ombudsman Program
- Secondary Market Guarantee
- Emerging Leaders
- Program Management and Administration
According to published reports, 800,000 federal workers will not work or be paid during the shutdown; about one million will remain on the job but not be paid until Congress authorizes funding.
Copyright 2013 The Business Journal, Youngstown, Ohio.
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