# 119-s-5633: STEP Improvement Act of 2026

119-s-5633, STEP Improvement Act of 2026, is a 119th Congress bill sponsored by Sen. Shaheen, Jeanne [D-NH] (D-NH); status introduced; PRIA reads it as touching household money (as of 2026-10-17).

- Canonical: https://policyrisk.com/legislation/119-s-5633
- As of: 2026-10-17
- Plain-text twin of the page above; the HTML and this file carry the same facts.

## Facts
- Bill: 119-s-5633
- Congress: 119
- Title: STEP Improvement Act of 2026
- Status: introduced
- Introduced: 2026-09-30
- Sponsor: Sen. Shaheen, Jeanne [D-NH] (D-NH)
- Cosponsors: 0
- Policy area: Commerce
- Touches household money: yes
- Last recorded action: 2026-10-17

## Summary

**Reauthorizes and modernizes the State Trade Expansion Program (STEP).** It would assign governance to the Associate Administrator at the Small Business Administration and update who qualifies, how grants are sized and allocated, and how States report results for fiscal years 2027 through 2031. - States and territories would get guaranteed minimum shares and clearer redistribution rules. States would receive at least 0.75% of total program appropriations while territories and commonwealths would receive at least 0.5%. - Small businesses would see expanded eligibility categories to include economically distressed firms and specific geographic or demographic designations like HUBZones, Promise Zones, Qualified Opportunity Zones, low/moderate‑income areas, rural areas, and women‑owned concerns. Funding for foreign trade missions would be limited to firms that have operated for at least one year. - Grant awards and oversight would shift toward a formula once funding reaches $30 million for two consecutive years, with competitive awards below that threshold. The bill also tightens application timing, requires monthly obligation reports to small business committees, and increases transparency and annual performance reporting across several metrics.

## Provisions PRIA read

- More small businesses count as distressed: benefit, high. If enacted, the bill would define “economically distressed” small businesses to include firms located in low- or moderate-income areas, HUBZones, empowerment zones or enterprise communities, HUD Promise Zones, and Qualified Opportunity Zones. Businesses in those places would count for STEP treatmen…
- Limits on collecting state staff data: benefit, low. If enacted, the Associate Administrator would generally be limited to collecting a State official's name, position, and contact information for STEP purposes. Salary information could only be required if it is part of the State's non-Federal match or paid with grant funds. The SBA could still reque…
- Clearer STEP applications and budget rules: benefit, low. If enacted, the SBA Associate Administrator would publish STEP application rules, award calculations, deadlines, and eligible costs each year. Applications would be concise and include a budget plan. After funds are disbursed, States could revise budgets for allowable uses, but reallocations of 10%…
- STEP funding authorized through 2031: benefit, low. If enacted, the bill would extend STEP's authorization of appropriations to cover fiscal years 2027 through 2031. The change would allow Congress to fund the program in those years but would not itself provide any specific dollar amount.
- Trade-mission support limited for new businesses: cost, high. If enacted, small businesses would need to have operated for at least 1 year to use STEP funds for a foreign trade mission. Newer businesses would not qualify for STEP support for trade missions. This would reduce access to grant-funded trade-mission help for very young firms.
- New formula and minimum grants for STEP: mixed, medium. If enacted, STEP grants would shift to a statutory formula once program funding reaches at least $30 million for two straight years. Each State would generally get at least 0.75% of appropriations and territories 0.5%, with remaining funds split using specified export and program metrics. A single…

## Related bills

- 119-s-3990: PrEP Access and Coverage Act of 2026
- 119-s-2823: FAMILY Act
- 119-s-2231: GLOBE Act of 2025
- 119-s-51: Washington, D.C. Admission Act
- 119-s-5108: Right to IVF Act of 2026
- 119-s-4895: Turn the Tide Act

## Sources
- [119-s-5633 on Congress.gov](https://www.congress.gov/bill/119th-congress/senate-bill/5633)

## Related
- [119-s-3990: PrEP Access and Coverage Act of 2026](https://policyrisk.com/legislation/119-s-3990)
- [119-s-2823: FAMILY Act](https://policyrisk.com/legislation/119-s-2823)
- [119-s-2231: GLOBE Act of 2025](https://policyrisk.com/legislation/119-s-2231)
- [119-s-51: Washington, D.C. Admission Act](https://policyrisk.com/legislation/119-s-51)
- [119-s-5108: Right to IVF Act of 2026](https://policyrisk.com/legislation/119-s-5108)
- [119-s-4895: Turn the Tide Act](https://policyrisk.com/legislation/119-s-4895)
- [All bills in Congress](https://policyrisk.com/legislation)

Source: PRIA, https://policyrisk.com/legislation/119-s-5633 (as of 2026-10-17).