REGULATORY RUNDOWN | Sept. 15 - 29
- NSBA
- Sep 29
- 4 min read
Updated: Oct 1
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The Regulatory Rundown: September 15-29
Trump signs Proclamation placing restrictions, $100k fee on H-1B program. On September 19, President Trump signed a Proclamation restricting the entry into the U.S. of “certain H-1B aliens as nonimmigrant workers” and requiring a $100,000 payment to accompany or supplement H-1B petitions for new applications. Trump has described the measure as the first step in his Administration's initiative to reform the visa program to "curb abuses and protect American workers."
Introduced in 1990, the H-1B visa program allows U.S. employers to hire skilled foreign workers in fields where qualified American workers are not available (e.g., in technology - "computer-related" occupations accounted for about 65% of H-1B approvals in fiscal year 2023).
As discussed above, under Trump's Proclamation, a $100,000 one-time fee will now apply to new H-1B visa petitions filed after September 21, 2025 (whereas previously, fees were far more modest). U.S. companies will be responsible for payment of the $100,000 fee, which does not apply to current visa holders or renewals.
Going forward, Trump also plans to direct the Department of Labor (DOL) to initiate a rulemaking to raise current wage levels for H-1B workers, though note that a similar effort undertaken during the first Trump Administration was blocked by federal courts for procedural reasons.
Here's where you come in, Reg Rundown readers: The Department of Homeland Security’s U.S. Citizenship and Immigration Services has published a notice of proposed rulemaking entitled "Weighted Selection Process for Registrants and Petitioners Seeking to File Cap-Subject H-1B Petitions" in the Federal Register.
This proposed rule would modify the H-1B visa lottery process for the 65,000 regular slots available (and 20,000 slots available for those with a U.S. master's degree or higher), thus changing the lottery from a random selection process to a weighted selection process favoring workers that are paid more.
The Small Business Administration (SBA) Office of Advocacy is seeking feedback on the numbers of small businesses and industries affected by this rule, the number of petitions filed per entity, and the compliance costs of this rule.
If you have feedback for Advocacy, please contact rgrey@nsbaadvocate.org no later than Thursday, October 16.
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FAR Council releases overhauled regs governing small business procurement. On Friday, September 26, the Federal Acquisition Regulation (FAR) Council released its overhauled version of FAR Part 19, the regulatory framework for small business procurement and acquisition programs, as part of the Trump Administration's "Revolutionary FAR Overhaul" initiative. As the Administration contemplated the overhaul of FAR Part 19, NSBA was engaged in conversations on certain priority issues, two of which are outlined below.
"Rule of Two": The overhauled version of Part 19 retains the Rule of Two for contracts above the micro-purchase threshold (MPT) and simplified acquisition threshold (SAT). For orders, the overhauled Part 19 reaffirms that the Rule of Two does not apply, but authorizes contracting officers to, at their discretion, set aside orders placed under multiple-award contracts (MACs). It also clarifies that a contracting officer's decision to set aside (or not set aside) an order placed under a MAC is an exercise of discretion and not a basis for protest.
Key Takeaway | The preservation of Rule of Two, the foundation for small-business prime contracting, is a win.
Small Business Subcontracting: It appears that the overhauled version of Part 19 generally retains the statutory requirements for small business subcontracting plans that establish goals for small business subcontracting and describe how the contractor plans to achieve those goals. Additionally, the Small Business Subcontracting Plans sections of the overhauled Part 19 appear to retain provisions outlining what it means to be in compliance with subcontracting plans.
A summary of the changes to Part 19 is available here.
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SBA to raise job creation/retention thresholds for 504 Loan Program. In a notification and request for comments published in the Federal Register on September 30, SBA announced that it is raising the job/creation retention thresholds for its 504 Loan Program, which provides long-term financing for major small business projects (e.g., land, buildings, equipment, etc.).
Pursuant to SBA’s changes, starting October 1, businesses will need to create or retain one job for every $95,000 borrowed (up from $90,000). For manufacturers, energy projects, and loans in special areas (i.e., Opportunity Zones, HUBZones, and labor surplus areas), the threshold is now one job per $150,000.
SBA’s change reflects higher costs for wages, materials, and operations. Read the full Federal Register notice here.
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SBA announces $1.1M in support of small manufacturers. On September 23, the Small Business Administration (SBA) announced an award of $1.1 million in grants to three organizations who will provide training and technical assistance to support manufacturers. The grants were awarded under SBA’s Empower to Grow (E2G) Program, which offers eligible small manufacturers free topical courses, hands-on training, and one-on-one consulting.
SBA also announced, as part of its larger Made in America manufacturing initiative, that it would waive most upfront fees for small manufacturers in fiscal year 2026.
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SEC releases report to Congress on changes to capital raising framework. On September 22, the Securities and Exchange Commission (SEC) released its annual Small Business Forum Annual Report to Congress, outlining the top recommendations from participants voted on during this year’s forum.
While the SEC is not mandated to act on the recommendations, it responds to each of them within the report and the recommendations themselves tend to play a role in the development of legislative and regulatory capital formation policies. The report is available here.
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