Prison to Proprietorship for the Formerly Incarcerated Act
- Sponsor
- Rep. McGarvey, Morgan [D-KY-3]
- Committees
- Small Business Committee (primary)
- Last action
- Apr 21, 2026
Bottom line
The bill aims to reduce recidivism and foster economic independence by equipping formerly incarcerated individuals with the skills and support needed to start and grow small businesses.
What it actually does
This bill, titled the "Prison to Proprietorship for the Formerly Incarcerated Act," amends the Small Business Act to establish a program requiring the Service Corps of Retired Executives (SCORE) to provide entrepreneurship counseling and training services nationwide to individuals formerly incarcerated in Federal prisons. The services include mentoring, workshops, and assistance with business planning, identifying capital, and connecting with local resources.
Proponents argue
Supporters argue that providing entrepreneurship training to formerly incarcerated individuals addresses a critical barrier to successful re-entry: employment. By empowering these individuals to create their own businesses, the bill can reduce recidivism, foster economic growth in communities, and leverage the untapped potential of a population often overlooked in traditional employment markets. They highlight the value of SCORE's expertise in delivering practical business guidance.
Opponents contend
Critics might argue that while the intent is laudable, the program could strain SCORE's resources, potentially diverting attention or funding from existing small business support initiatives. Concerns could also be raised about the effectiveness of entrepreneurship as a primary re-entry strategy for all formerly incarcerated individuals, suggesting that more fundamental job placement or vocational training might be more broadly impactful or cost-effective.
The bill is very short and easy to read, allowing ample time for a thorough understanding of its provisions.
Section 2, amending the Small Business Act by inserting new section 49(a)
Mandate for Re-Entry Entrepreneurship Counseling and Training
This provision requires the Small Business Administration (SBA) Administrator, in collaboration with the Bureau of Prisons Director, to ensure that the Service Corps of Retired Executives (SCORE) offers entrepreneurship counseling and training services across the nation to individuals formerly incarcerated in Federal prisons. This establishes the program as a formal requirement under the Small Business Act.
Supporters argue
Supporters argue this mandate leverages an existing, effective volunteer organization (SCORE) to address a critical societal need, providing a structured pathway for economic self-sufficiency for a vulnerable population.
Critics contend
No specific opposition is typically raised against the general concept of providing re-entry support, but some might question the capacity of SCORE to handle a nationwide mandate without additional dedicated funding or resources.
Tradeoffs
The tension lies in balancing the significant need for re-entry support with the potential strain on SCORE's volunteer-based resources and the need for specialized training for mentors working with this specific population.
Section 2, amending the Small Business Act by inserting new section 49(b), (c), (d), and (e)
Detailed Program Goals, Services, and Performance Reporting
This section outlines the specific goals of the program, including providing mentoring, workshops, and tools for business planning, capital identification, and resource connection. It also mandates regular individualized mentoring, assistance with local resources and funding applications, and tailored workshops. Furthermore, it requires SCORE to survey participants for satisfaction and the SBA Administrator to submit annual reports to Congress detailing program performance, demographics of participants, and survey analysis.
The bill specifically mandates the "Service Corps of Retired Executives authorized by section (8)(b)(1)" to provide these services.
Section 2, new section 49(a) of the Small Business Act
Why it matters:This is standard legislative practice to integrate new programs into existing statutory frameworks and leverage established entities.
Case for: Supporters would argue that leveraging SCORE is efficient, cost-effective, and builds upon an existing, successful model for small business mentorship, avoiding the need to create a new bureaucracy.
Case against: Critics might express concern that mandating a volunteer organization for a new, specific, and potentially sensitive population without explicit new funding or resources could overstretch its capacity or require specialized training that volunteers may not readily possess.
Estimated impact: This choice of mechanism significantly influences the program's operational cost and scalability, relying heavily on volunteer capacity.