S. 3884: Small Business ICE Disruption Fund Act

This bill, known as the Small Business ICE Disruption Fund Act, aims to establish a fund to assist small businesses that experience financial losses due to federal immigration enforcement actions. It will provide grants to eligible small businesses that can demonstrate that their revenue was significantly affected—by at least 25%—as a result of such actions. The key components of the bill include:

Definitions

• Administrator: Refers to the Administrator of the Small Business Administration (SBA).
• Eligible Entity: A small business located in a region where a federal immigration enforcement action occurred within the last year, experiencing an immigration enforcement-related revenue loss of at least 25%. Notably, this excludes businesses with more than 15 locations or publicly traded companies.
• Fund: The established fund will be called the Small Business ICE Disruption Fund.
• Immigration Enforcement-Related Revenue Loss: This is defined as the difference between the gross receipts of the business during a period affected by immigration enforcement and a comparable period without such disruptions.
• Small Business Concern: Defined according to the Small Business Act.

Establishment of the Fund

A fund known as the Small Business ICE Disruption Fund is established with an initial appropriation of $200 million for the fiscal year 2026. This fund will remain available until the allocated amount is fully expended.

Use of Funds

• The Administrator is authorized to use the fund to award grants to eligible entities that provide proper certification regarding their losses due to immigration enforcement actions.
• Grants will be awarded on a first-come, first-served basis, as applications are processed by the Administrator.

Application Process

• Eligible entities must submit an application and make a good faith certification that their revenue losses resulted from immigration enforcement actions and that they have not received compensation from other sources.
• The Administrator will implement measures to prevent fraud in the application process, which may include:
• Requiring a business identifier (like an Employee Identification Number or Social Security Number).
• Verifying past income through tax returns.
• Cross-checking information against government databases to ensure the applicants are legitimate and have no history of fraud.

Grant Amounts

• The total grant amount an eligible entity can receive, including any affiliates, cannot exceed $1 million.
• The maximum grant per physical location of the eligible entity is limited to $500,000.
• The actual grant amount awarded will correspond directly to the verified immigration enforcement-related revenue loss incurred by the eligible entity.

Impact on Publicly Traded Companies

None found