Summary of HR 2931: Save SBA from Sanctuary Cities Act of 2025

Bill Overview

• Bill Number: HR 2931
• Title: Save SBA from Sanctuary Cities Act of 2025
• Introduced: April 17, 2025
• Status: Received in the Senate, read twice, and referred to the Committee on Small Business and Entrepreneurship.
• Primary Sponsor: Rep. Brad Finstad (with cosponsor Rep. Nick LaLota)

Purpose and Intent

The Save SBA from Sanctuary Cities Act of 2025 aims to mandate the relocation of certain offices of the Small Business Administration (SBA) that are currently situated in designated "sanctuary jurisdictions." The bill seeks to ensure that federal resources and services provided by the SBA are not accessible in areas that have policies restricting cooperation with federal immigration enforcement.

Key Provisions

1. Relocation Requirement:

   • The SBA Administrator is required to relocate any "covered office" located in a sanctuary jurisdiction.
   • A covered office includes regional, district, or local offices of the SBA, excluding the headquarters.

2. Determination of Sanctuary Jurisdictions:

   • The Administrator must publicly determine if an office is located in a sanctuary jurisdiction before initiating relocation.

3. Relocation Process:

   • Offices must be relocated to areas that are not classified as sanctuary jurisdictions.
   • If the state of the current office is not a sanctuary jurisdiction, the new location must also be within that state.

4. Timeline for Relocation:

   • The relocation must occur within 120 days of the public determination.
   • If the relocation is not completed within this timeframe, the office must cease operations until it is relocated.

5. Consequences for Noncompliance:

   • The head of any office failing to relocate on time must submit a written explanation for the delay.
   • If the explanation is deemed insufficient, the head of the office may be removed from their position.

6. Prohibition on New Offices:

   • The SBA is prohibited from establishing any new offices in sanctuary jurisdictions.

7. Definition of Sanctuary Jurisdiction:

   • A sanctuary jurisdiction is defined as any state or local government that limits cooperation with federal immigration enforcement, particularly regarding the sharing of information about individuals' immigration status.

Impact

• Affected Entities: The bill primarily impacts the Small Business Administration and its regional offices, as well as the communities where these offices are located.
• Operational Changes: Offices in sanctuary jurisdictions will need to be relocated, potentially affecting service delivery to small businesses in those areas.
• Federal Oversight: The bill increases federal oversight of SBA operations in relation to immigration policies at the state and local levels.

Legislative Timeline

• April 17, 2025: Bill introduced and referred to the House Committee on Small Business.
• May 21, 2025: Reported (Amended) by the Committee on Small Business (H. Rept. 119-110).
• June 5, 2025: Passed in the House by a vote of 211-199.
• June 9, 2025: Received in the Senate and referred to the Committee on Small Business and Entrepreneurship.

This summary provides an overview of HR 2931, detailing its purpose, key provisions, and potential impacts on the Small Business Administration and the jurisdictions affected by the bill.