SBA Administrator details reforms and funding for small businesses during National Small Business Week

The U.S. Senate Committee on Appropriations convened on May 21, 2025, for a subcommittee hearing to review the President’s Fiscal Year 2026 Budget Request for the Small Business Administration (SBA). The meeting focused on the agency's strategic direction, budgetary allocations, and initiatives aimed at bolstering small businesses across the nation.

The hearing began with the SBA Administrator outlining the agency's renewed commitment to its core mission of supporting small businesses. The Administrator emphasized a strategy to streamline services, eliminate waste, and ensure that taxpayer dollars yield measurable results. Key reforms include consolidating operations, reallocating resources to field offices, and focusing on proven solutions such as the capital access program and a nationwide network of small business development centers.

The Administrator highlighted the belief that small businesses are vital to the economy, describing them as the "engine" driving growth. Under the current administration, significant economic improvements were noted, including a reduction in core inflation and the creation of over half a million new jobs. The SBA has reportedly undergone a comprehensive overhaul to enhance its efficiency and effectiveness, with a focus on cutting red tape and restoring accountability.

A critical point of discussion was the financial integrity of the SBA's loan programs. The Administrator reported that previous mismanagement had led to substantial losses, but new measures have been implemented to restore oversight and ensure loans are directed to eligible businesses. This includes reinstating lender fees and establishing stricter verification protocols to prevent fraud.

The hearing also addressed the SBA's "Made in America Manufacturing Initiative," which aims to support domestic manufacturing by increasing loan limits for small manufacturers from $5 million to $10 million. This initiative is part of a broader effort to strengthen American industry and create jobs.

The Administrator reported a significant increase in SBA loan approvals, with an 80% rise compared to the previous administration. Loans to the smallest businesses have nearly doubled, and the share of federal contracts awarded to small businesses has increased from 18% to 23%.

In conclusion, the hearing underscored the SBA's commitment to fostering a pro-small business environment, with a focus on accountability, efficiency, and support for American industry. The Administrator expressed optimism about the agency's direction and its role in facilitating economic growth and opportunity for small businesses across the country. The committee members acknowledged the importance of these initiatives and expressed support for the proposed budget and reforms.