Small Business Territories Support Act

Bill Number

H.R. 8534

Origin Chamber

House

Congress

119th Congress, Session 2

Policy Area

Commerce

Status

Introduced

Latest Action

2026-04-27: Referred to the House Committee on Small Business.

Last Updated

2026-05-20T16:30:01Z

AI-Generated Summary

Purpose

The Small Business Territories Support Act (H.R. 8534) aims to create a dedicated office within the Small Business Administration (SBA) to better support small businesses in U.S. territories by improving access to SBA programs for entrepreneurial development (helping new businesses start and grow), contracting (government contracts), disaster assistance, and capital access (loans and funding).

Key Provisions

• Establishment of Office: Creates the Office of Territorial Affairs in the SBA to build relationships with small businesses in U.S. territories (Puerto Rico, Guam, American Samoa, U.S. Virgin Islands, and Commonwealth of the Northern Mariana Islands).
• Leadership: Appoints an Assistant Administrator who must have expertise in territorial government, socioeconomic conditions, and small business development in territories. This person is a competitive service employee (standard federal hiring process).
• Duties of Assistant Administrator:
• Develop and promote policies for territorial small business needs.
• Act as a liaison between territorial businesses, SBA, resource partners (like small business development centers, women's business centers, SCORE mentors, and veteran centers), lenders, and government agencies.
• Review SBA programs to ensure they meet territorial challenges and provide contracting access.
• Host webinars and outreach events in territories, inviting SBA staff and partners.
• Reporting Requirement: Submit an annual report to House and Senate small business committees within 180 days of enactment and yearly after, covering office activities, businesses assisted (by type and territory), new businesses created, and improvement recommendations.
• Definitions: Clarifies terms like "territories" and "resource partner."

Significant Changes to Existing Law

• Amends the Small Business Act (15 U.S.C. 631 et seq.) by inserting a new Section 49 (redesignating current Section 49 as Section 50).
• Introduces the first SBA office specifically focused on territories, tailoring existing programs rather than creating new ones.

Potential Impacts

• Government Agencies: SBA gains a new office and reporting duties, potentially increasing administrative costs but improving program effectiveness in territories.
• Citizens/Small Businesses: Territorial small businesses get targeted support, better program access, and outreach, which could lead to more funding, contracts, disaster aid, and business growth.
• No direct international relations impact, as it focuses on U.S. territories.

Main Stakeholders Affected

• Small businesses in territories: Primary beneficiaries through tailored assistance.
• SBA and its resource partners: Must collaborate and adapt programs.
• Congressional small business committees: Receive reports for oversight.
• Federal/State agencies and lenders: Involved in liaison and outreach efforts.
• Territorial governments: Indirectly benefit from stronger local economies.

Notable Legal, Constitutional, or Political Implications

• Legal: Formalizes SBA support for territories without altering core programs; uses standard federal hiring ("competitive service").
• Constitutional: Aligns with Congress's authority over territories and commerce clause powers; no apparent conflicts.
• Political: Addresses underserved territorial economies, potentially boosting bipartisan support for small business equity across U.S. jurisdictions.

This summary was generated by AI and may contain inaccuracies. Refer to the official source document for the authoritative text.

Sponsor

Rep. Velázquez, Nydia M. [D-NY-7]

Cosponsors (1)

Del. King-Hinds, Kimberlyn [R-MP-At Large]

Recent Actions

• 2026-04-27: Referred to the House Committee on Small Business.
• 2026-04-27: Introduced in House
• 2026-04-27: Introduced in House

Bill Versions

• Small Business Territories Support Act — issued 2026-04-27 — PDF (6 pages)