Reinvigorating Lending for the Future Act

Floor Speech

Date: Oct. 1, 2020
Location: Washington, DC


Mr. PETERSON. Mr. Speaker, I rise today in support of the Senate companion to my bill, S. 4075 the Reinvigorating Lending for the Future Act of 2020. The U.S. Economic Development Administration and its Revolving Loan Fund program provide desperately needed loans to small businesses and local community organizations across the United States.

This funding is often a lifeline to rural communities overlooked by traditional financing. However, under current burdensome regulations, EDA RLF grantees must report on these funds ``in perpetuity''--even on loans made and paid back decades ago. I have heard from the Minnesota Association of Development Organizations, 8 of the 10 organizations serve my district, that this requirement takes away valuable time from the work at hand which is providing access to capital and supporting businesses.

Now more than ever, as many Americans are struggling to stay afloat during the COVID-19 pandemic, the RLF Act is a vital sign of support to our small businesses back home. My bill would remove this unnecessary requirement and allow local communities the freedom they need to recover their economies. This bipartisan legislation requires no additional funding, and creates more flexibility for regional economic development. The RLF Act returns decision making to the local units of government, eliminates unnecessary reporting and is just good common sense. I urge my colleagues to support this important bill.