Title 15 — Commerce and TradeRelease 119-73not60

§697c Restrictions on Development Company Assistance

Title 15 › Chapter 14B— SMALL BUSINESS INVESTMENT PROGRAM › Subchapter V— LOANS TO STATE AND LOCAL DEVELOPMENT COMPANIES › § 697c

Last updated Apr 3, 2026|Official source

Summary

Starting May 1, 1991, development companies must not accept money from anyone, including federal agencies, if the money comes with rules that limit what kinds of small businesses they can help or that put requirements on the people who get help in any way. Before that date, federal departments and agencies may not attach such limits when they give funds to a development company. One exception: if a federal agency provides all of the money that the development company will give to a small business, the agency may set conditions that apply only to that specific money.

Full Legal Text

Title 15, §697c

Commerce and Trade — Source: USLM XML via OLRC

Notwithstanding Any Other Provision of Law: (1) on or after May 1, 1991, no development company may accept funding from any source, including but not limited to any department or agency of the United States Government, if such funding includes any conditions, priorities or restrictions upon the types of small businesses to which they may provide financial assistance under this subchapter or if it includes any conditions or imposes any requirements, directly or indirectly, upon any recipient of assistance under this subchapter; and (2) before such date, no department or agency of the United States Government which provides funding to any development company shall impose any condition, priority or restriction upon the type of small business which receives financing under this subchapter nor shall it include any condition or impose any requirement, directly or indirectly, upon any recipient of assistance under this subchapter: Provided, That the foregoing shall not affect any such conditions, priorities or restrictions if the department or agency also provides all of the financial assistance to be delivered by the development company to the small business and such conditions, priorities or restrictions are limited solely to the financial assistance so provided.

Reference

Citations & Metadata

Citation

15 U.S.C. § 697c

Title 15 — Commerce and Trade

Last Updated

Apr 3, 2026

Release point: 119-73not60