House Committee Advances King-Hinds’ Northern Mariana Islands Small Business Access Act with Unanimous Vote

Washington, D.C. – The House Small Business Committee today unanimously advanced H.R. 3496, the Northern Mariana Islands Small Business Access Act, legislation introduced by Congresswoman Kimberlyn King-Hinds to give entrepreneurs in the Marianas access to the Small Business Administration’s microloan program for the first time. The bill was reported out of committee on a 27 to 0 vote.

Congresswoman King-Hinds said the bill corrects a long-standing gap in federal small business support.
“Including the Northern Mariana Islands in the SBA microloan program is a simple fix with meaningful benefits for our small business community,” said Congresswoman King-Hinds. “Every other state and territory is already eligible, and our local entrepreneurs deserve the same access to affordable credit that helps Americans start businesses, grow jobs, and strengthen their local economies. I am grateful to Chairman Williams, Ranking Member Velázquez, and Congressman Conaway for their bipartisan support.”

The SBA microloan program provides loans of up to $50,000 at affordable rates for small businesses that may not qualify for traditional financing. Since the program became operational in 1992, it has issued more than 69,000 loans totaling over $900 million and supported more than 250,000 jobs across the country. The Northern Mariana Islands is currently the only state or territory not explicitly included in the statute. H.R. 3496 would add the CNMI to the list of eligible jurisdictions.

During the committee’s markup, Chair Roger Williams (R-TX), Ranking Member Nydia Velázquez (D-NY), and Congressman Herb Conaway (D-NJ), expressed strong support for the legislation.

Congressman Herb Conaway, the bill’s co-lead, said the legislation fills an important need.
“This important legislation would ensure that there is expanded access to the SBA’s microloan program for small businesses in the Northern Mariana Islands.”

Ranking Member Velázquez highlighted the unique challenges facing the Marianas economy.
“The Northern Mariana Islands Small Business Access Act is a straightforward and important bill that expands access to the SBA microloan program to small businesses in the Commonwealth of the Northern Mariana Islands,” said Ranking Member Velázquez. “Small businesses in the Northern Mariana Islands face unique challenges as geographic isolation leads to higher costs of goods and services, and their economy is heavily reliant on tourism which can ebb and flow with economic and natural disasters. Having access to affordable credit gives small businesses the ability to weather uncertainty and prepare for the next opportunity.”

Chairman Williams underscored the value of the program for local entrepreneurs.
“Expanding microloan eligibility will spark entrepreneurship and strengthen the local economy and further assist constituents of our colleague Delegate King-Hinds to access opportunities to grow.”

In addition to Congressman Conaway, H.R. 3496 is also cosponsored by Congressman Gilbert Ray Cisneros (D-CA).

H.R. 3496 now moves to the House floor for further consideration.