AGP Executive Report

Small Business Sentiment: NFIB says small business optimism fell in May to the lowest level since Oct. 2024 as inflation, fuel costs, and supply chain disruptions keep squeezing margins, with fewer owners planning capital spending. Trade & Security: U.S. Customs and Border Protection highlighted how CTPAT helps trusted small businesses cut inspections and speed border processing while strengthening supply chain security. Fraud Crackdown: DOJ says two contractors and executives will pay $21.3M to resolve False Claims Act allegations tied to federal contracts reserved for service-disabled veteran-owned small businesses. Disaster Relief: SBA announced low-interest disaster loans for drought-hit Mississippi businesses and private nonprofits, with Economic Injury Disaster Loans available for working capital losses. Policy Watch: Rep. Johnny Olszewski introduced a bill to require annual reporting on small business participation in federal contracting programs, aiming to boost transparency around certifications and approvals. Local Business Pressure: Mesa, Arizona’s flight school landing-fee plan is headed to a federal lawsuit as the FAA urges the city to pause. Energy Reliability: A report warns the Eastern power grid could run out of emergency peak capacity by June 2027, raising blackout risk for households and businesses.

Franchise Enforcement: New York AG Letitia James secured a record $3.97M settlement from Xponential Fitness over claims it misled franchise owners about opening timelines, highlighting how small operators can get burned by franchise sales tactics. Payments Pressure: A judge gave preliminary approval to a revised $38B Visa/Mastercard settlement, but retailers say swipe-fee costs are still squeezing margins and won’t fully fix the underlying problem. Fraud Crackdown on Veteran Set-Asides: DOJ says two NY electrical contractors and executives will pay $21.3M to resolve False Claims Act allegations tied to using ineligible pass-through service-disabled veteran-owned small businesses. Cyber Help in Congress: Rep. Lateefah Simon introduced a bill to study and improve federal cybersecurity assistance for small businesses, aiming to identify gaps and boost effectiveness. Small-Business Sentiment: NFIB reported May optimism fell and more owners plan to raise prices, pointing to inflation staying sticky. Local Support & Grants: American Express’ Shop Small® grants put $20,000 into A&A Equipment Repair, while Wisconsin’s SBIR Advance program awarded matching funds to help innovators commercialize. Workforce Pipeline: Meta announced $115M for free training to enter data-center skilled trades, starting in several states.

Small Business Disaster Relief: SBA is offering low-interest drought disaster loans to small businesses and private nonprofits in parts of Oklahoma and Kansas, with Economic Injury Disaster Loans aimed at covering operating costs when drought impacts cash flow. Food Supply Chain Support: USDA launched a Small Processors Action Plan and added $60M for the Meat and Poultry Processing Expansion Program, targeting small and very small plants with faster help and clearer appeals while keeping food-safety standards. Fraud Crackdown: A federal case charges an Orlando man with mortgage and COVID-19 relief fraud, including false income on a mortgage application and overstated payroll for PPP/EIDL. Consumer Payments Pressure: In Cebu, fragmented digital payment systems are adding hidden bookkeeping and reconciliation costs for micro, small and medium businesses. Local Business Growth: Colorado’s SBDC network received $1.81M in federal funding to advise thousands of businesses and help secure capital. Retail Theft Enforcement: Suffolk County expanded a Retail Protection Partnership after charging 18 serial shoplifters tied to $110K+ in losses. Tech/Policy Watch: CFPB is being sued over a fair lending rule change under ECOA, with a July 21 effective date.

Federal Funding for Advisors: Colorado’s SBDC network won $1.81M in SBA-backed federal funding to keep no-cost advising and training running statewide, serving all 64 counties and helping clients secure $75M in capital last year. Disaster Relief: SBA opened low-interest disaster loans for Oregon businesses and nonprofits hit by late-2025 storms and flooding (up to $2M for businesses; homeowners up to $500K). Small-Business Cash Pressure: Bankruptcy filings rose 7% year over year in May, with small business filings up 36%, pointing to higher costs and tighter credit. Cyber Insurance Scrutiny: Insurers are increasing underwriting and claims pressure as rates fall, pushing policyholders to strengthen security controls and manage third-party tech risk. Compliance & Contracts: A guide on “flowdown clauses” highlights how prime contractors must pass federal obligations to subcontractors—mistakes can trigger major liability. Local Cost Crunch: At a Eugene roundtable, small businesses told Sen. Jeff Merkley that ingredient, electricity, insurance, and fuel surcharges are squeezing sales. Energy Costs Watch: Data centers adding on-site gas power could raise bills for homes and small businesses, as projects face grid delays. Hiring Basics: A practical piece covers how to plan and budget for your first employee, from job descriptions to legal requirements. Marketing Risk: Small businesses are warned about using “World Cup” branding in promotions without crossing trademark lines.

Small Business Sales Watch: Fiserv’s Small Business Index shows May sales were flat month over month, with transactions down 0.2% and foot traffic still soft (down 2.4% year over year for the seventh straight month), even as average ticket sizes rose 3.1%—a sign customers are spending more per visit while staying cautious. World Cup Cost Pressure: In New York, Zohran Mamdani pushed FIFA on dynamic pricing and secured 1,000 $50 tickets via a lottery, after high resale prices and an AG investigation highlighted how tournament costs are hitting working fans. AI for SMBs: DocuSign rolled out an AI-powered Intelligent Agreement Management platform (with an assistant called Iris) aimed at speeding up contract reviews and approvals for smaller teams. Disaster Relief for SMBs: SBA opened low-interest drought Economic Injury Disaster Loans across parts of Wyoming, Colorado, Montana, Nebraska, and South Dakota, covering working capital losses tied to drought. Local Growth & Training: Northwest State Community College hosted a free business financing workshop through CEED to Success, targeting veteran-, women-, and minority-owned founders with lender and financing guidance. Food Supply Squeeze: Restaurant owners say wholesale costs are spiking—one operator reported major jumps in key ingredients—raising fears of further menu price hikes after Sysco’s planned Restaurant Depot purchase.

Disaster Relief Deadlines: FEMA and SBA disaster help for Winter Storm Fern victims in Tennessee runs through June 10, with SBA disaster loans also due then. Michigan Storm Aid: Gov. Gretchen Whitmer asked President Trump for a major disaster declaration for April storms and flooding, which would unlock FEMA Individual and Public Assistance for dozens of counties. SBA Disaster Loans Update: For Typhoon Sinlaku in the CNMI, SBA approvals reached $9M as of June 4, with most aid going to homeowners and renters and a new in-person help site added. Small-Business Compliance Help: Arkansas APEX Accelerator is hosting a free workshop on government procurement and SBA certifications (registration online through Wednesday). Fraud Crackdown: DOJ charged four Ohioans tied to $1.4M in alleged COVID-era PPP fraud, and SBA has suspended 27,486 Ohio borrowers tied to suspected $1.1B in fraudulent loans. Accessibility Lawsuits: Disability advocates are pushing back on website ADA lawsuits, arguing they distract from lasting accessibility fixes. Local Business & Housing: Rogers, Arkansas launched a Pattern Zone program with preapproved home designs to speed up building and reduce upfront uncertainty. Media Merger Pressure: Hollywood workers and small business owners joined protests against Paramount Skydance’s $110B Warner Bros. Discovery deal, as states prepare legal challenges. World Cup Spillover: Early data shows Bay Area short-term rental demand is up for World Cup matches, but not as sharply as some boosters expected.

Government Contracting Help: Arkansas APEX Accelerator is hosting a free workshop in Hot Springs on navigating government procurement and SBA certifications, with SBA and procurement counselors on hand to walk owners through finding opportunities and preparing to bid. Local Housing Speed-Ups: Rogers, Arkansas launched its Pattern Zone program with preapproved building plans (15+ designs) to cut upfront cost and uncertainty for builders and help address housing shortages. Cannabis Compliance Watch: Minnesota’s Office of Cannabis Management held a Duluth listening session on the 2026 Cannabis Omnibus Bill, including upcoming federal limits that could affect small operators and medical patients. Fraud Crackdown Hits Main Street: DOJ charged four Ohioans over alleged PPP fraud tied to $1.4 million, and SBA says it’s continuing to suspend thousands of suspected pandemic-era loan borrowers. Small Business Spotlight: PNC and the Fort Wayne TinCaps named Copper Spoon and Three Rivers Electric as 2026 “Going to Bat for Small Business” winners, each getting a major marketing package. Disaster Relief: SBA opened low-interest drought EIDL loans for Georgia small businesses and private nonprofits, with coverage across 151 counties. Media Merger Pressure: Entertainment workers and small business owners joined protests against Paramount’s $110B Warner Bros. Discovery takeover, as states prepare legal challenges.

SBA Disaster Relief: The SBA opened low-interest Economic Injury Disaster Loans for Georgia drought losses starting Dec. 15, 2025, covering 151 counties and eligible small businesses and private nonprofits. Agency Overhaul: The SBA also announced an agency-wide reorganization aimed at cutting duplication and improving service and accountability for small businesses and disaster survivors. Small-Business Spotlight: PNC and the Fort Wayne TinCaps named 2026 “Going To Bat For Small Business” winners Copper Spoon and Three Rivers Electric, each receiving a major marketing package. Local Growth & Recognition: Española, N.M. cleaner Performance Maintenance Inc. (PMI) earned SBA New Mexico Small Business Person of the Year honors, with expansion plans including a new distribution center. Fraud Crackdown: A White House task force led by VP J.D. Vance says it has paused Medicare payments tied to fraud and referred $22 billion in suspected fraudulent small business loans back for collection. Cost of Money Debate: A new analysis argues Caribbean lending remains expensive, potentially slowing growth, while pointing to credit unions as a lower-rate alternative. Trade Adaptation: A FedEx Small Business Trade Index says many U.S. small firms are boosting inventory, diversifying suppliers, and considering nearshoring to handle global disruptions.

SBA Overhaul: The U.S. Small Business Administration announced an agency-wide reorganization aimed at cutting duplication and improving service for small businesses and disaster survivors. Defense & SMBs: The House Armed Services Committee advanced the FY2027 National Defense Authorization Act, with a focus on revitalizing the defense industrial base and supporting small businesses. Disaster Relief Push: Michigan Gov. Gretchen Whitmer asked President Trump for a major disaster declaration for April flooding and tornado damage, which would unlock federal aid for families, businesses, and local governments. Disaster Loans for Drought: SBA opened low-interest Economic Injury Disaster Loans for drought-impacted small businesses and private nonprofits in parts of North Carolina. Stormwater Fees Fight: A Pennsylvania Supreme Court ruling upheld a challenge to stormwater charges, raising uncertainty for municipalities and property owners, including businesses facing higher impervious-area fees. Local Business Pressure: A May jobs report showed overall hiring strength, but accounting and related services shed jobs—while small-business hiring gains remain uneven. Regulatory Clash: Florida dive operators are pushing back on a proposed federal shark-feeding ban, arguing it targets small, conservation-focused businesses. Banking Shift Watch: Standard Chartered projects hundreds of billions could move from community banks into stablecoins by 2028, a potential headwind for local deposit-based lenders.

SBA Operations: The Small Business Administration announced an agency-wide reorganization aimed at cutting duplication and improving service for small businesses and disaster survivors. Disaster Relief Deadlines: SBA opened or reminded applicants about low-interest disaster loans in multiple states and tribal areas, including drought relief in parts of Virginia/Mississippi-area coverage and Texas storm/tornado loans with a July 6 deadline. Fraud Crackdown: Law enforcement moved against alleged pandemic-relief fraud, with six people arraigned in a scheme tied to PPP/EIDL applications. Local Business Pressure: A proposed data center next to Nashville Zoo is drawing major pushback from the zoo and community over noise, water use, and animal impacts. Small-Business Hiring Reality: New jobs data showed strong May hiring overall, but financial activities jobs fell—highlighting uneven conditions for SMBs. Regulatory Burden Fight: Sen. Rick Scott introduced a bill to give small businesses a more direct way to challenge federal red tape. Online Selling Costs: Amazon sellers say fee hikes are squeezing margins and pushing some to other platforms. Cash-Flow Tools: Fifth Third rolled out a new small-business banking experience focused on faster payments and easier access to capital. Tech + Talent Gap: Research highlights that small businesses feel skills shortages even as hiring confidence stays relatively high.

SBA & Fraud Crackdown: The DOJ and Ohio officials announced charges against nine defendants tied to more than $42M in fraud, plus an Ohio data-sharing push and an FBI “Most Wanted Fraudsters” list—another reminder that pandemic-era relief scams are still getting prosecuted. SBA Relief Updates: SBA also suspended 27,486 Ohio borrowers tied to about $1.1B in suspected fraudulent PPP/EIDL activity, while Pennsylvania businesses and nonprofits in disaster-declared counties can apply for low-interest EIDLs after a freeze. Local Business Pressure: Roxy’s Pub in West Palm Beach avoided a June auction after a last-minute settlement, but it still faces a separate foreclosure fight. Small-Business Growth Funding: SBA’s Freedom 250 Patriot Pitch Competition is offering up to $1M in growth funding for entrepreneurs. Tech for SMBs: First Orion expanded its INFORM branded calling with a self-service customer portal aimed at faster onboarding and centralized management. Cost-of-Doing-Business: New Hampshire passed changes that raise the threshold for its Business Enterprise Tax, cutting filing burdens for thousands of small employers.

SBA Funding Push: Alabama Gov. Kay Ivey is urging small businesses to apply for the SBA’s Freedom 250 Patriot Pitch Competition, which awards up to $1M total (top prize $400,000) for qualifying, U.S.-based small firms with at least three years in operation and $100,000+ in annual gross revenue. Banking Relief for Disaster Victims: Wells Fargo is extending mortgage forbearance for Los Angeles homeowners displaced by the 2025 wildfires, adding up to 12 months (total relief up to 27 months) after a Trump-backed effort. Local Business Stress Test: Louisville bakery/coffee shop Please & Thank You LLC filed for Chapter 11, saying it will keep all locations open while restructuring about $4M in liabilities against $300K+ in assets. Payments Modernization: Bank of America plans real-time cross-border payments for corporate clients via Swift messaging or its CashPro app, aiming to launch in the next quarter. Fraud Crackdown: Ohio became the first state to share corporate registration records with the DOJ’s new National Fraud Detection Center as federal fraud charges expand. Cyber/IT Risk: A Connecticut IT consultant pleaded guilty after secretly installing remote access software that disrupted a funeral services business’s network and enabled theft. Food Supply Support: USDA rolled out a Small Processors Action Plan to reduce burdens and support small meat and poultry plants.

Disaster Loans: The SBA is offering low-interest Economic Injury Disaster Loans to Virginia and North Carolina businesses and private nonprofits hit by drought, with working-capital help for fixed debts and payroll; Deadline Watch: Michigan and Indiana tornado victims have a June 29 cutoff to apply for SBA disaster loans; Capital for Food Supply Chains: The SBA says it approved 19 loans totaling $30M+ in one month through its enhanced 90% Grocery Guarantee, aiming to expand financing for production, processing, distribution, and storage; Local Business Growth: Coeur d’Alene, Idaho ranked 14th for small business success, citing a 90.2% survival rate and strong downtown support; Workforce & Compliance: Indiana’s Hand Up LLC launched as a licensed continuing education sponsor for real estate agents, with an initial curriculum pending approval; Cost Pressure on Main Street: Rising tomato prices are squeezing small food businesses, with tariffs and shipping costs cited as drivers; Policy & Payments: Colorado Gov. Jared Polis vetoed a swipe-fee bill that would have limited credit card charges on sales taxes, a move opposed by industry groups.

Consumer & Credit Watch: Bank of America CEO Brian Moynihan says consumer spending is still holding up, with boomers and seniors spending faster, and strong credit flows from small- and medium-sized businesses. State Tax Pressure on SMBs: Pennsylvania lawmakers advanced a bill to extend the state’s 5% gross receipts tax to digital ad services, a move supporters call “modernization” but critics warn could raise costs for small businesses and consumers. Disaster Loans Deadlines: The SBA reminded Mississippi businesses and nonprofits hit by Winter Storm Fern that June 10 is the deadline for physical-damage loans. Fraud Enforcement: A former NYPD detective was sentenced for a Paycheck Protection Program fraud scheme targeting SBA funds. Trade & Tariffs: The U.S. proposed new tariffs tied to forced-labor concerns and is also seeking public input on a U.S.-China “Board of Trade” mechanism that could affect what goods small firms can source or sell. Local Growth & Capital Access: A West Virginia expo connected business owners with SBA and lender resources, while a community college in Ohio hosted a free financing workshop for underserved founders. Small-Business Hiring Signal: ADP reported private payrolls grew by 122,000 in May, with small businesses adding the most jobs. Tech Payments Risk: PayPal froze and closed some Kenyan accounts, leaving freelancers and small businesses facing verification hurdles and fund holds. Franchise Expansion: Fork to Fit Kitchen signed its first multi-unit development deal for four San Antonio locations.

Energy Costs: Georgia’s gas tax suspension ends Tuesday night, and small operators like food trucks say they’re already bracing for higher fuel costs as prices rise. Electric Bills: A new take links soaring summer power bills to supply not keeping up with demand from data centers, manufacturing, and electrification. Disaster Relief Deadlines: SBA disaster loan applications are time-sensitive in multiple places, including Tennessee storm damage (deadline June 10) and other recent SBA expansions for drought and tornado-impacted counties. Small-Business Financing Help: Northwest State Community College is hosting a free workshop to help underserved founders understand financing and readiness. Trade & Tariffs: USTR opened public comment on a U.S.-China Board of Trade and possible tariff changes on non-sensitive goods, with comments due July 10—watch this for downstream effects on manufacturers and importers. Local Business Impact: After Super Typhoon Sinlaku, small shops in the Northern Marianas report higher shipping costs and staffing/inventory pressure. Business Basics: A guide breaks down key responsibilities for sole proprietors, from recordkeeping and Schedule C taxes to personal liability and licenses.

Trade & Tariffs: The U.S. Trade Representative says Brazil’s social media misinformation rules and its “Pix” digital payments push justify a 25% tariff, a move already drawing criticism that it won’t help U.S. jobs or small businesses. Energy Upgrades: Alexandria, Virginia’s Switch Together program offers up to a 15% discount on heat pump installs, creating near-term demand for local HVAC contractors as federal incentives shift to state and city programs. SBA Financing Boost: Starting July 4, eligible borrowers can combine SBA 7(a) and 504 loans for up to $10 million total, expanding capital options for small businesses. Disaster Relief: SBA issued a disaster declaration for Brantley County, Georgia, clearing the way for low-interest disaster loans for wildfire victims, including up to $2M for businesses. Payments Pressure: Illinois’ credit card swipe fee law was delayed to July 1, 2027 after a court stay, keeping interchange-fee costs on the books for retailers and other small merchants. Procurement Fraud: Two government contractors agreed to pay $3.6M over alleged false claims tied to service-disabled veteran-owned small business set-aside contracts. Local Business Spotlight: U.S. Rep. Sean Casten visited Chicago’s 95th Street corridor during National Small Business Week, hearing firsthand about credit card swipe fees and other operating costs. Manufacturing Support: SBA’s Manufacturing in America E2G Grant Initiative will fund training and technical assistance for small manufacturers, with proposals due June 15.