Bill
HR 8416
The bill would expand SBA programs to offer re-entry entrepreneurship counseling and training for formerly incarcerated individuals to start or grow small businesses.
Title: To amend the Small Business Act to provide re-entry entrepreneurship counseling and training services for formerly incarcerated individuals, and for other purposes
Status: Introduced in the House and referred to the House Committee on Small Business (April 21, 2026)
Sponsors:
- Co-sponsor: Tim Burchett
- Co-sponsor: Morgan McGarvey
Purpose and intent
- This bill aims to expand the reach of the Small Business Administration (SBA) framework to support formerly incarcerated individuals by providing targeted re-entry entrepreneurship counseling and training services.
- The underlying goal is to facilitate successful business start-up and self-employment as a pathway to reintegration into the workforce and reduce recidivism, while promoting small business creation and economic opportunity.
Key provisions and changes (highlights)
- Re-entry entrepreneurship counseling: The bill would authorize or require SBA-related programs to offer counseling specifically designed for individuals re-entering society after incarceration. Counseling topics are expected to cover business idea evaluation, feasibility analysis, business planning, and resource navigation.
- Entrepreneurship training services: The legislation would mandate access to structured training programs for formerly incarcerated entrepreneurs. Training may include business plan development, financial literacy, marketing, legal and regulatory compliance, and scaling strategies.
- Alignment with Small Business Act: Provisions are designed to be consistent with or add to the existing Small Business Act authorities, potentially leveraging SBA resources such as counseling (e.g., SCORE, Small Business Development Centers), training programs, and financing guidance.
- Eligibility and targeting: While specific criteria are not detailed in the description provided, the bill would likely define eligibility to focus on individuals with incarceration history who are pursuing entrepreneurship as a pathway to economic advancement.
- Coordination and implementation: The bill would involve coordination among federal small business programs and may require agencies to develop curricula, partnerships with re-entry organizations, and monitoring mechanisms to assess outcomes.
Who would be affected
- Primary beneficiaries: Formerly incarcerated individuals seeking to start or grow small businesses, particularly those who would benefit from counseling and training tailored to re-entry challenges.
- Service providers: SBA-supported network entities such as Small Business Development Centers (SBDCs), SCORE volunteers, and other entrepreneurship education and counseling partners may be engaged to deliver re-entry-focused services.
- Stakeholders in workforce and criminal justice reform: Agencies and organizations involved in re-entry support and economic empowerment for justice-involved populations may see enhanced collaboration and funding priorities.
Procedural and timeline aspects
- Current action: Referral to the House Committee on Small Business as of April 21, 2026.
- Next steps: Committee consideration, potential markup, and floor action. If approved by the committee, the bill would proceed to the full House for debate and a vote, with potential amendments along the way. If enacted, implementation would follow standard SBA program rollout timelines, including development of curricula, partnerships, and outreach to eligible individuals.
Notes on scope and impact
- Economic impact: By facilitating entrepreneurship among formerly incarcerated individuals, the bill seeks to stimulate small business creation, job generation, and economic inclusion.
- Social impact: Focus on successful reintegration and reduced recidivism through meaningful work and financial independence.
- Financial impact: Specific funding amounts or authorization levels are not provided in the summary; the bill would likely authorize or direct funding to re-entry entrepreneurship programs within existing SBA authorities.
Disclaimer
- This summary reflects the information publicly available about HR 8416 as introduced. If the bill undergoes amendments, the provisions and scope may change. For precise language, consult the bill text and subsequent committee reports.
Compiled from official sources — confirm details with the bill’s official record.
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