The Bill
Small businesses often aren't able to secure reasonable credit to pay for technologies needed to modernize their day-to-day operations. But they may soon have an alternative option. Rep. Sharice Davids, a Democrat who represents Kansas' 3rd Congressional District, voted yes on June 24 on the Small Business Technological Advancement Act. This bill, if passed in the Senate, would expand access to federal small business loans to cover software and cloud computing services, including AI-powered tools.
Under current law, the Small Business Administration's (SBA) 7(a) loan program — the SBA's primary lending tool for small businesses — does not explicitly cover business software or cloud-based services. The bill would change that, allowing small businesses to use those federally backed loans to pay for software that handles payroll, accounting, inventory, sales, human resources, and other core operations. That includes tools that use artificial intelligence.
The bill was introduced on February 4, 2025 by Rep. Mark Alford (R-MO-4). It cleared the House Small Business Committee 23-0 before reaching the full House floor.
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The Vote Breakdown
The final tally: 205 Republicans voted yes, alongside 208 Democrats. Only four Republicans voted against it. Davids voted with the Democratic majority.
Davids is currently serving her fourth term representing the Kansas City-area district, having served in Congress since 2019. She has missed five votes this Congress, but zero since April.
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