Small Business Development Centers Improvement Act of 2026

The Small Business Development Centers Improvement Act of 2026 aims to enhance the Small Business Development Center (SBDC) program by providing increased funding and greater operational flexibility. It authorizes $175,000,000 annually for SBDC formula grants from fiscal years 2026 through 2029 and allows SBDCs to use up to 10 percent of grant funds for marketing their services. Additionally, SBDCs may now collect fees from private partnerships or cosponsorships in which the Small Business Administration (SBA) also participates, and they can expend federal funds before receiving matching funds, provided good faith certifications are submitted. A key provision establishes a Data Collection Working Group , comprising representatives from SBDCs, Women's Business Centers, SCORE, and relevant SBA offices, to determine best methods for data collection and recommend system improvements. The bill also mandates a comprehensive annual report from the Administrator to Congress, detailing SBDC activities, including counseling hours, participant demographics, new businesses started, jobs created or retained, and capital secured. Furthermore, it expands client confidentiality protections to include email addresses and the nature of assistance provided. Significantly, the legislation restricts the SBA from delivering entrepreneurial development services or establishing new programs for such activities without explicit Congressional authority , requiring notification to Congress for existing programs. It also limits the award of new SBDC grants to entities that previously received them or to institutions of higher education. The bill streamlines contract approvals by deeming them approved if the Associate Administrator fails to act within 10 days and requires the Associate Administrator to actively market the SBDC program as a resource for other federal initiatives.