Rural Microentrepreneur Assistance Program Act of 2025
Summary
The Rural Microentrepreneur Assistance Program Act of 2025 aims to amend the Consolidated Farm and Rural Development Act. It focuses on extending and enhancing the Rural Microentrepreneur Assistance Program. The bill proposes increasing funding and expanding the program's scope to support rural microentrepreneurs.
Expected Effects
The act would increase the maximum loan amount available to microentrepreneurs from $50,000 to $75,000. It also allows loans to cover 100% of project costs, with a limit of 50% for demolition, construction, or real estate improvements. The program's authorization would be extended through 2030.
Potential Benefits
- Increased access to capital for rural microentrepreneurs.
- Potential for job creation and economic growth in rural areas.
- Greater flexibility in the use of loan funds for project costs.
- Extended program authorization provides long-term stability.
- Supports small businesses and entrepreneurship in underserved communities.
Potential Disadvantages
- Potential for increased government spending and debt.
- Risk of loan defaults and misuse of funds.
- Administrative burden of managing the expanded program.
- Possible unintended consequences on local markets.
- Limited impact if not implemented effectively.
Constitutional Alignment
The bill appears to align with the Constitution's Article I, Section 8, which grants Congress the power to lay and collect taxes, duties, imposts, and excises, to pay the debts and provide for the common defense and general welfare of the United States. The act aims to promote the general welfare by supporting rural economic development. The necessary and proper clause may also apply.
Impact Assessment: Things You Care About ⓘ
This action has been evaluated across 19 key areas that matter to you. Scores range from 1 (highly disadvantageous) to 5 (highly beneficial).