POLITICO

By Katherine Hapgood

Sens. Todd Young (R-Ind.) and Amy Klobuchar (D-Minn.) introduced two pieces of legislation that would expand and modernize the Small Business Administration’s 504 loans, one of the agency’s more popular lending programs.

The 504 Credit Risk Management Improvement Act of 2025, led by Young and co-sponsored by Klobuchar aims to increase and streamline oversight of the 504 loan program, which provides long-term, fixed-rate financing for major fixed assets like existing buildings and land.

The 504 Modernization and Small Manufacturer Enhancement Act, led by Klobuchar and co-sponsored by Young, intends to update the loan guarantee program and enhance small manufacturers’ ability to access affordable capital.

“Our bills will strengthen the SBA’s 504 loan program, which provides access to affordable capital and continues to generate tens of millions in expansion financing in Indiana,” Young said.

Efforts to “expand eligibility and increase access to capital” would “ensure that more small businesses, including small manufacturers, can access and benefit from this loan program,” Klobuchar said.

Similar bills were previously introduced in 2023 and advanced through the Senate Small Business Committee.