WASHINGTON - Today, Rep. Lois Capps (D-Calif) announced the introduction of legislation that will help clean energy companies access the capital that they need to grow and hire. Together with Rep. Doris Matsui (D-Calif.) and 15 other original cosponsors, Rep. Capps introduced the Small Business Clean Energy Financing Act (H.R. 6212), which would direct the Small Business Administration (SBA) to create a clean energy loan program within its 7(a) loan program to give the agency more flexibility to use existing funding to award loans to clean energy companies.

“The creation of a new green business loan program within SBA would provide a much needed boost to our economy by increasing access to capital for clean energy technology businesses,” said Capps. “I have seen firsthand how the green businesses on the Central and South Coasts are ready to grow and hire if they just have the resources. The federal government can continue to be an effective partner in jumpstarting the green economy, and this legislation is a great example of how we can help.”

The SBA provided roughly $630 million in 7(a) loans to clean energy companies between 2006 and 2009, although the agency averages $13 billion annually for the 7(a) program. The creation of a clean energy loan program in the 7(a) loan program would make it easier for small clean energy companies to access capital.

The Small Business Clean Energy Financing Act builds on other legislation that Congresswoman Capps supports to assist small businesses, including the Small Business Jobs Act which President Obama signed into law today. This new law provides $12 billion in tax cuts for small businesses, more than doubles the maximum loan size for several existing SBA loan programs, and creates a new $30 billion small business lending fund that will incentivize community banks to increase lending to local small businesses.

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