Berks County News

Congressman Dan Meuser of Pennsylvania, alongside Congresswoman Hillary Scholten of Michigan, has reintroduced the Investing in All of America Act, a bill designed to increase capital access for small businesses in rural and underserved areas. The legislation, known as H.R. 2066, focuses on enhancing financial support for enterprises involved in manufacturing and critical technology sectors.

The initiative aims to bolster Small Business Investment Companies (SBICs), which are public-private partnerships that leverage private sector investments with support from the Small Business Administration (SBA). These companies raise private capital matched by SBA leverage to invest directly in small businesses. Notably, this program operates without taxpayer subsidies.

In recent years, SBIC-backed businesses have created 3 million jobs and supported an additional 10.5 million positions. In the past year alone, SBICs injected over $8 billion into small businesses across the United States, including $412.3 million in Pennsylvania. However, studies show less than 20% of SBIC investments reach low- to middle-income communities. The new act aims to address this imbalance by promoting a more equitable distribution of investment capital.

The bill proposes that investments in rural and low-income areas will not count against an SBIC’s leverage cap, thus providing additional capital for these crucial industries. It also reinstates an inflation adjuster for SBIC leverage caps to maintain alignment with market trends.

Congressman Meuser highlighted his personal experience with growing a business and noted the challenges posed by persistent inflation and rising interest rates for small businesses seeking funding. "By implementing additional bonus leverage within the SBIC Program," he said, "this bill strengthens investment in underserved areas without adding cost or risk to taxpayers."

Small Business Committee Chairman Roger Williams emphasized the importance of providing capital directly to rural and underserved parts of America through this legislation: “I thank Representative Meuser for his work to revitalize small town America.”

Congresswoman Scholten stressed the necessity of ensuring entrepreneurs have fair opportunities: “Expanding access to investment will help create jobs and strengthen West Michigan's economy.”

Brett Palmer from the Small Business Investor Alliance described it as “smart policy” beneficial for small businesses needing growth capital without introducing new federal spending or mandates.