Office of the Inspector General Department of the Treasury

State Small Business Credit Initiative: Vermont's Use of Federal Funds for Capital Access and Credit Support Programs November 30, 2012 Office of the Inspector General Department of the Treasury

SSBCI is a $1.5 billion Treasury program that provides participating states, territories and eligible municipalities with funding to strengthen Capital Access Programs and other credit support programs that provide financial assistance to small businesses and manufacturers. Capital Access Programs provide portfolio insurance for business loans, with a separate loan loss reserve fund for each participating financial institution. Other credit support programs include collateral support, loan participation, loan guarantee, and venture capital programs. Each participating state is required to designate specific departments, agencies, or political subdivisions to implement the programs. Designated state entities may engage in contractual arrangements for the implementation and administration of its state program with an approved program of another state or with a forprofit or not-for-profit entity supervised by the state.