Main Street Parity Act
H.R. 5763, titled the Main Street Parity Act, would amend the Small Business Investment Act of 1958 to modify how loans for plant acquisition, construction, conversion, or expansion are evaluated. Specifically, it would narrow the criteria listed in Section 502(3)(C) by removing two of the existing sub-criteria (clauses (ii) and (iii)), leave the first criterion (clause (i)) but add an “or” at its end, and renumber the remaining criterion (iv) as (ii). It also includes a conforming change to Section 502(3)(B)(ii) so that it references only clause (i) of subparagraph (C). The bill is introduced in the 119th Congress as a measure sponsored by Mr. Williams of Texas and Ms. Simon (introduced October 14, 2025) and referred to the Committee on Small Business. In short, the bill changes which conditions SBICs (Small Business Investment Companies) use when providing loans for plant-related projects, effectively narrowing the set of qualifying criteria and adjusting cross-references throughout the statute. The intended policy aim suggested by the title is to create “parity” for Main Street small businesses, though the text as written reduces the number of criteria used to judge eligibility.
Key Points
- 1Section 502(3)(C) of the Small Business Investment Act is amended by removing clauses (ii) and (iii), keeping clause (i) but ending it with “or,” and renumbering the remaining subparagraph so that the former clause (iv) becomes the new clause (ii).
- 2Section 502(3)(B)(ii) is amended to refer only to clause (i) of subparagraph (C) rather than to multiple clauses (i), (ii), or (iii).
- 3The effect is to narrow the criteria used to determine eligibility for loans for plant acquisition, construction, conversion, or expansion under the SBIC framework.
- 4The bill’s short title is the “Main Street Parity Act.”
- 5The bill is introduced in the House (introduced Oct 14, 2025) by Mr. Williams (TX) and Ms. Simon and referred to the Committee on Small Business.