Summary of HR 4495: SBA Fraud Enforcement Extension Act

Purpose and Intent

The SBA Fraud Enforcement Extension Act (HR 4495) aims to enhance the enforcement of fraud laws related to specific pandemic relief programs administered by the Small Business Administration (SBA). The bill seeks to extend the statute of limitations for prosecuting fraud associated with the Shuttered Venue Operators Grant (SVOG) and the Restaurant Revitalization Fund (RRF) programs from five years to ten years. This extension is intended to ensure that individuals who commit fraud against these programs can be held accountable.

Key Provisions

• Extension of Statute of Limitations: The bill increases the statute of limitations for fraud cases related to the SVOG and RRF programs from five years to ten years.
• Criminal and Civil Enforcement: It specifies the statutes applicable for criminal prosecution and civil enforcement against individuals who fraudulently obtained funds through these programs.

Background and Need for Legislation

The need for HR 4495 arises from the significant financial assistance provided through the SVOG and RRF programs during the COVID-19 pandemic:
- The SVOG program allocated over $16 billion in grants to support shuttered venues, including theaters and museums, allowing eligible applicants to receive grants up to $10 million.
- The RRF program provided $28.6 billion to restaurants and similar businesses, with funding available up to $10 million per business for revenue loss.

While the statute of limitations for other pandemic relief programs, such as the Paycheck Protection Program (PPP) and Economic Injury Disaster Loan (EIDL) program, was extended in previous legislation, the SVOG and RRF programs were not. This bill addresses that gap, facilitating the prosecution of fraudulent activities that may have occurred in these programs.

Impact

• Affected Parties: The bill primarily impacts individuals and entities that received funding from the SVOG and RRF programs. It aims to deter fraudulent claims and ensure that those who exploit these programs face legal consequences.
• Enforcement Agencies: The extension of the statute of limitations will empower law enforcement and regulatory agencies to investigate and prosecute fraud cases more effectively.

Legislative Timeline

• Introduced: July 17, 2025
• Committee Consideration: The Committee on Small Business held a markup session on July 22, 2025, where the bill was reported favorably with a unanimous vote of 23-0.
• Reported: The bill was reported by the Committee on Small Business on August 15, 2025, and placed on the Union Calendar.

Conclusion

HR 4495 represents a critical step in strengthening the oversight and enforcement of fraud prevention measures within pandemic relief programs. By extending the statute of limitations, the legislation aims to protect taxpayer funds and ensure accountability for fraudulent activities associated with the SVOG and RRF programs.