U.S. Small Business Administration Administrator Kelly Loeffler kicked off the 2026 Spring NAGGL Conference in Orlando, Fla. this past April, outlining a strategic focus on program integrity, operational modernization, and sustainable growth. She praised her leadership team for their talent and dedication to improvement.
Key takeaways from the conference include:
- Prudent lending practices will be priority over volume. SBA is reinforcing the need for strong governance, risk management, and underwriting discipline, particularly as the agency works to mitigate approximately $2.2 billion in potential cumulative losses across its portfolio from the ‘Do What You Do’ standards and fee reductions, coupled with soft economic conditions. The session “What’s New in 7(a) Eligibility, Underwriting (and More)” focused on new SBA Procedural Notices issued post-SOP 50 10 8 with technical updates.
- Modernization of SBA systems and processes is underway. Initiatives include phasing out E-Tran with a new comprehensive AI-integrated life-of-loan platform that eliminates PDFs and improves turnaround times, reduces customer service delays, and creates a more responsive experience for lenders. This was further emphasized by Hartley Caldwell, SBA’s chief information officer, in his session “SBA Technology Update.” Caldwell indicated if the SBA can accomplish its modernization plan goals, it will likely lead to a more efficient and effective program for all stakeholders. In one example Hartley shared, collaboration between SBA and the Internal Revenue Service to obtain income data necessary to detect fraud would be a progressive breakthrough in the industry.
- Eliminating fraud is critical. Increased emphasis is being placed on technology-enabled oversight following an unprecedented scale of fraud that occurred during pandemic-era lending. A session titled “SBA Program and Lender Monitoring Update” was delivered by Eddie Ledford, deputy director of the SBA’s Office of Credit Risk Management, who outlined the Loan and Lender Monitoring System portal enhancement to better serve lenders. That process incorporates AI to be more efficient in oversight, including goals to identify patterns that may indicate weak controls or fraud. Ledford also focused on recent attention to oversight of activity being outsourced to agents. A session was dedicated to “Agent and Fee Requirements for 7(a) Lenders and Agents” as this is an area of misuse of the program with high-risk lending activities and excessive fees charged by agents to applicants and/or lenders. It was a good reinforcement that WBD’s business model and practices comply with SBA’s requirements.
- Providing support to manufacturers continues to be a priority while maintaining zero-subsidy mandate goals. Many initiatives are underway at various phases, such as the Manufacturer’s Access to Revolving Credit (MARC) program and increased lending limits. A session was dedicated to “Providing Practical Working Capital Solutions to Your Customers” that included an overview of all the working capital solutions available to small businesses, including details on when to utilize the MARC program.
- Renewed emphasis on lender collaboration. SBA is actively seeking feedback to address operational pain points and improve program delivery. This was reinforced with a dedicated session “Help Shape SBA Policy: Share Feedback with OFA” where SBA leaders asked open-ended questions to encourage policy ideas, insight on barriers borrowers face, and practical solutions to expand lending opportunities.
Pictured above, from left to right, are Wenda Roycraft, WBD;
Jim Ebben, BMO Bank and WBD committee member; and
Bridget Condon, CIBM Bank and WBD committee member.
