This bill provides targeted, funded grants to small businesses demonstrably harmed by federal immigration enforcement with clear verification and fraud protections, but strict thresholds, caps, administrative/documentation burdens, privacy concerns, and taxpayer costs mean many affected firms may still be excluded or disadvantaged.
Small business owners in areas affected by federal immigration enforcement can receive direct grants equal to documented revenue losses (for applicants meeting the eligibility threshold), giving affected businesses cash relief tied to actual harm.
The bill provides $200 million in dedicated funding available until expended, ensuring money is available to compensate eligible businesses without an immediate annual expiration.
The statute clarifies how revenue loss is measured and requires verification combined with fraud checks (EIN/SSN, tax-return and database cross-checks), which reduces uncertainty for applicants and lowers the risk of improper payments.
Businesses that experience substantial revenue declines but less than the 25% eligibility threshold are excluded and receive no relief despite being harmed by enforcement disruptions.
Multi-location small businesses that exceed the 15-location cutoff can be barred from assistance even if individual locations suffered severe local losses, leaving locally harmed businesses without aid.
Documentary verification and tax-return/database checks create administrative burdens for very small firms with limited accounting capacity and may delay payouts when quick relief is needed.
Based on analysis of 3 sections of legislative text.
Creates a $200M SBA fund to award grants equal to verified revenue losses for small businesses harmed by federal immigration enforcement, capped at $1M per entity and $500k per location.
Introduced February 12, 2026 by Edward John Markey · Last progress February 12, 2026
Creates a $200 million SBA-administered fund to pay grants that reimburse small businesses for verified revenue losses caused by a federal immigration enforcement action in the prior year. Eligible small businesses must show at least a 25% drop in gross receipts tied to the enforcement action; grants equal the verified loss but are capped at $1,000,000 per entity and $500,000 per physical location and cannot duplicate other compensation. The SBA will accept applications and award grants in receipt order after fraud checks and verification (including tax-return checks and government database cross-checks). The appropriation is for FY2026 and the funds are available until expended.