U.S. Senators Jeanne Shaheen (D-NH) and John Kennedy (R-LA) have put forward a significant bipartisan initiative known as the Coordinated Support for Rural Small Businesses Act. This legislation mandates the U.S. Small Business Administration (SBA) to appoint an Assistant Administrator for its Office of Rural Affairs, formalizing a partnership with the U.S. Department of Agriculture (USDA) aimed at enhancing support for rural small enterprises.
Senator Shaheen underscored the critical need for this bill, stating that rural small business owners rely heavily on the resources provided by both the SBA and USDA. The proposed legislation seeks to bolster existing programs and ensure that the unique requirements of rural small businesses receive focused attention. Senator Kennedy reinforced this message, pointing out the significant economic impact small businesses have in Louisiana and the necessity for ongoing investments in rural economies.
The National Rural Lenders Association has commended the bill as a vital step in strengthening the collaboration between the SBA and USDA, thus improving credit access for rural enterprises.
The Coordinated Support for Rural Small Businesses Act encompasses several pivotal directives, including:
– Enhancing outreach to rural lenders and small businesses regarding SBA and USDA programs.
– Establishing working groups to explore synergies between agency loan programs, such as the SBA’s 7(a) and microloan initiatives.
– Identifying opportunities for coordinated resource delivery through lenders and partners like Small Business Development Centers (SBDCs).
– Aligning the SBA’s Small Business Investment Company (SBIC) program with USDA’s Rural Business Investment Company (RBIC) program.
– Sharing best practices among agencies and rural economic development organizations and evaluating access to SBA programs.
– Collaborating on technical assistance related to procurement, exporting, and innovation.
Additionally, the SBA and USDA have formalized their collaborative efforts through a Memorandum of Understanding, focusing on finding solutions to the challenges faced by rural small businesses.
Senator Shaheen has played a key role in securing essential resources for rural communities in New Hampshire, including $6.5 million in funding for rural development and support for various initiatives, such as a biotech entrepreneurial ecosystem and rural home healthcare projects. She has also backed the Northern Border Regional Commission, directing over $4 million towards economic and community development efforts in rural areas.
This bipartisan legislation introduced by Senators Shaheen and Kennedy is poised to deliver substantial support to rural small businesses, utilizing the combined expertise and resources of the SBA and USDA to promote economic growth and resilience in rural communities.
