Bipartisan Bill Introduced to Improve Support for Rural Small Businesses

US Senators Jeanne Shaheen (D-NH) and John Kennedy (R-LA) introduced the bipartisan Coordinated Support for Rural Small Businesses Act. This legislation directs the US Small Business Administration (SBA) to appoint an Assistant Director for its Office of Rural Affairs and formalizes ongoing cooperative efforts between the SBA and the US Department of Agriculture (USDA) to improve support for small rural businesses.

Chairman Shaheen emphasized the importance of this bill, noting that rural small business owners depend on both the SBA and USDA for vital resources. This legislation aims to strengthen existing programs and ensure focused attention on the unique needs of small rural businesses. Senator Kennedy echoed this sentiment, highlighting the economic contributions of small businesses in Louisiana and the importance of continued investment in rural America.

Alan Hoskins, Chairman of the National Rural Lenders Association, praised the bill for improving the relationship between the SBA and the USDA and improving access to credit for rural businesses.

The Coordinated Support for Rural Small Businesses Act includes several key guidelines:

Expanding access to rural lenders and small businesses regarding SBA and USDA programs.

Forming working groups to identify synergies between corporate lending programs, such as the SBA's 7(a) and micro-loan programs.

Exploring opportunities to coordinate service delivery through lenders and resource partners such as Small Business Development Centers (SBDCs).

Coordinating the SBA's Small Business Investment Company (SBIC) program with the USDA's Rural Business Investment Company (RBIC) program.

Sharing best practices among rural economic development agencies and groups and exploring collaborative access to SBA programs.

Collaboration in technical support related to purchasing, exporting, and innovation.

The SBA and USDA signed a Memorandum of Understanding to formalize their collaborative efforts, working together to find solutions to the challenges rural small businesses face.

Chairman Shaheen has been instrumental in securing resources for rural communities in New Hampshire. Recently, he received $6.5 million in Congressionally Directed Spending for rural development and additional funding for various projects, including a biotech entrepreneurial ecosystem and a home health care program. Shaheen also supported the Northern Regional Commission (NBRC), which secured more than $4 million in economic, educational, and community development projects in rural areas throughout New Hampshire.

The bipartisan legislation introduced by Shaheen and Kennedy aims to provide stronger support to rural small businesses, using the combined resources and expertise of SBA and USDA to promote economic growth and stability in rural communities.

Photo: Envato