U.S. Small Business Administrator Hector V. Barreto praised action taken to extend reauthorization for one of the SBA’s most important job creation programs, the 504 Loan Program. The House and Senate recently passed the legislation, and President George W. Bush has signed it into law.

The 504 program operates at no cost to the taxpayer, yet in fiscal year 2003 supported nearly $8 billion in project financing, and over the life of the program has created approximately one million jobs.

“Signing this important bill into law is yet another sign of President Bush’s strong commitment to America’s small businesses and to job creation,” said Barreto. “Thousands of small business owners depend on the 504 Loan Program to help them expand their businesses and create good new jobs. These loans go to companies that are leading the way in our economic recovery. They are buying new technology, new office space, and new property. They are creating good jobs across America.”

The 504 Loan Program operates with no appropriated dollars, but does require statutory authority to charge the fees to cover the cost of the program. H.R. 3915 extends the 504 fee authority through May 21, allowing the program to continue operating.

The 504 Loan Program is designed to be a job creator - it exists to help small businesses expand and create full time, permanent jobs in their communities. The 504 program provides long-term, fixed-rate financing to small businesses to acquire real estate, machinery or equipment for expansion or modernization. The loans are delivered through Certified Development Companies, which are private, nonprofit organizations dedicated to helping businesses grow and thrive in their local communities.