H.R.2027 - Returning SBA to Main Street Act of 2025 (119th Congress)
Summary
H.R. 2027, the "Returning SBA to Main Street Act of 2025," mandates the Small Business Administration (SBA) to relocate 30% of its headquarters employees from the Washington metropolitan area to other duty stations. This relocation aims to distribute SBA resources more broadly across the country. The bill also requires a reduction in headquarters office space and increased transparency in budget justification materials submitted to Congress.
The Act defines key terms such as "headquarters employee," "telework," and "Washington metropolitan area" to ensure clarity in implementation. It includes provisions for employees with disabilities who require telework as a reasonable accommodation.
Ultimately, the bill seeks to decentralize the SBA's operations, potentially fostering closer ties with small businesses in different regions and reducing operational costs.
Expected Effects
The primary effect of this bill will be the geographic redistribution of SBA personnel and resources. This could lead to increased responsiveness to the needs of small businesses outside of the Washington D.C. area.
Additionally, the reduction in headquarters office space may result in cost savings for the agency. The bill could also impact the careers and living situations of affected SBA employees.
Finally, the increased reporting requirements will provide Congress with more detailed information about the SBA's workforce distribution and telework policies.
Potential Benefits
- Improved responsiveness to regional small businesses: Relocating employees could lead to better understanding and service of local business needs.
- Potential cost savings: Reducing headquarters office space and adjusting pay based on locality could lower operational expenses.
- Geographic diversity: The bill promotes the consideration of rural markets in determining new duty stations.
- Enhanced transparency: Requiring detailed information in budget justification materials increases accountability.
- Support for in-person customer service: The bill emphasizes ensuring adequate staffing throughout the regions to promote in-person support.
Potential Disadvantages
- Disruption to employees: Relocation can be challenging for employees and their families.
- Potential loss of expertise: Some employees may choose not to relocate, leading to a loss of institutional knowledge.
- Implementation costs: The relocation process itself could incur significant expenses.
- Reduced efficiency: Decentralization could initially lead to communication and coordination challenges.
- Impact on telework: The bill restricts telework options for some employees, potentially affecting work-life balance.
Most Disadvantaged Areas:
Constitutional Alignment
The bill appears to align with the Constitution, particularly Article I, Section 8, which grants Congress the power to make laws necessary and proper for carrying out its enumerated powers, including regulating commerce and providing for the general welfare. The bill's focus on supporting small businesses can be seen as an effort to promote economic activity, which falls under Congress's purview.
There are no apparent violations of individual rights or freedoms protected by the Bill of Rights. The bill does not infringe upon freedom of speech, religion, or assembly, nor does it violate due process or equal protection principles.
However, the bill's impact on federal employees could raise questions about the balance between governmental efficiency and individual employee rights, although these are generally addressed through administrative law and collective bargaining agreements.
Impact Assessment: Things You Care About ⓘ
This action has been evaluated across 19 key areas that matter to you. Scores range from 1 (highly disadvantageous) to 5 (highly beneficial).