Congress Approves CR for 504 Program

Before Congress recesses for the election, they will pass a Continuing Resolution (CR) for all SBA programs and include a record $7.5 billion program level authority for the 504 loan program.

The 504 fee structure was made permanent in the last SBA Reauthorization bill and does not need to be authorized each year. Under a CR with a program level authority of $7.5 billion (FY2006 level) the 504 loan program will be good shape and can continue to meet the growing demand for 504 loans.

NADCO, the 504 industry trade group, worked with Congress this year to introduce three separate 504 industry bills that would help grow the program and provide more opportunities for small business owners to participate in 504 financing. These 504 bills have been rolled into a larger SBA Reauthorization bill in both the House and the Senate.

.