Sponsors (2)
The bill increases transparency and congressional oversight of SBA AI/ML use and protects human involvement in decisions, but does so at the cost of added administrative burden for the SBA and some risk that disclosures could reveal sensitive procurement or system details.
Taxpayers and Congress gain timely, regular visibility into how the SBA uses AI/ML because the agency must deliver a 90-day initial report, annual reports, and committee briefings; this improves congressional oversight of AI risks and benefits at the SBA.
Small-business owners and SBA clients get clearer oversight and transparency about AI/ML use and its operational impacts because the SBA must report annually on how it uses these tools.
Federal employees and people affected by SBA decisions are more likely to have human involvement preserved, because reports must explain measures to keep humans in important AI-informed decisions.
Small-business owners and SBA clients could see slower or reduced service because preparing detailed AI/ML reports and briefings will increase administrative burden and costs for the SBA, diverting staff time from direct services.
Taxpayers and the SBA may face security or procurement risks because public disclosure requirements could reveal sensitive procurement approaches or system capabilities.
Based on analysis of 2 sections of legislative text.
Requires the SBA to report to Congress (initially within 90 days, then annually) on its AI/ML uses, risks, benefits, human oversight, and tool-selection processes, with post-report briefings.
Official title: To amend the Small Business Act to require the Administrator of the Small Business Administration to report on the use of artificial intelligence and machine learning by the Administration, and for other purposes.
Introduced May 19, 2026 by Brad Finstad · Last progress June 24, 2026
Requires the Small Business Administration (SBA) to report to Congress on its use of artificial intelligence (AI) and machine learning (ML). The SBA must deliver an initial report within 90 days of enactment and annual reports thereafter describing how it uses AI/ML, benefits and risks, and steps to identify, evaluate, and manage those benefits and risks; the Administrator must brief the relevant House and Senate small business committees within 30 days of each report. The law adopts statutory definitions of “artificial intelligence” and “machine learning.”