Bush’s proposed SBA budget requests $28B in financing

The budget would authorize $28 billion in financing, according to an SBA news release. That comprises $17.5 billion for the SBA’s 7(a) Guaranteed Loan program, $7.5 billion for its Certified Development Company, or 504, loan program, and $3 billion for venture capital support under its Small Business Investment company program.

In addition, more than $1 billion in loans would be available through the SBA’s disaster assistance program.

The budget sets SBA’s overall spending for the year at $814 million, a 5 percent increase over fiscal 2006 appropriations, and a 12 percent boost in the SBA’s core operating budget. The spending allotment breaks down into $464 million in new budget authority, $329 million in carryover funds for disaster loans and $21 million in reimbursable revenues.

Also in the proposed budget is more than $87 million for the SBA’s Small Business Development Centers, about $12 million for grants to Women’s Business Centers and nearly $5 million for Score.

Bush’s requests could result in lower fees on 7(a) and 504 loans, along with more procurement center representatives to help small businesses compete for federal contracts, according to the release. The budget also calls for the continuation of the SBA’s Microloan program on a zero-subsidy basis, which would allow the agency to expand its support to microlenders without seeking more funding for the program.[[In-content Ad]]