AI Policy · Bill Analysis

H.R. 8664: a small bill on SBA's own AI. The federal package behind it is bigger.

Indiana has 591,671 small businesses. None of them have to do anything about H.R. 8664. The reason an Indiana CEO should still read this is that the bill sits inside a bigger federal package that already moved through the House.

By Harrison Painter As of May 7, 2026 Updated May 7, 2026 5 min read
  • Federal
  • In Committee

TL;DR

H.R. 8664, introduced May 4, 2026 by Rep. Hillary Scholten (D-MI-3), creates no compliance burden, no penalty, and no funding mandate for any private business. It is an internal accountability bill on the U.S. Small Business Administration itself, directing the SBA Administrator to implement a Government Accountability Office recommendation about consistently reporting the agency's own AI use cases. The bigger story for Indiana operators is the federal package surrounding H.R. 8664: H.R. 5764 and H.R. 5784 already passed the House on January 20, 2026, and Sen. Todd Young (R-IN) is sponsor of S. 3586, the Senate companion to H.R. 5764.

Bill snapshot

Bill
H.R. 8664 (119th Congress)
Title
"To require the Administrator of the Small Business Administration to implement a certain recommendation relating to artificial intelligence adoption, and for other purposes."
Sponsor
Rep. Hillary J. Scholten (D-MI-3)
Cosponsors
None as of May 7, 2026
Status
Referred to the House Committee on Small Business
Last action
Introduced and referred · May 4, 2026
Committee
House Committee on Small Business
Track here
ailawtracker.org/bills/congress-119-hr-8664

What H.R. 8664 does

In one sentence of statutory force, H.R. 8664 directs the SBA Administrator to implement an outstanding recommendation from the U.S. Government Accountability Office.

  • Requires SBA to act on Recommendation 1 of GAO Report GAO-26-107828, "Artificial Intelligence: Uses and Risks for Small Business Contracting and Innovation Research," published in early May 2026.
  • Forces SBA to establish policies and procedures for consistent public reporting of its own AI use-case inventory.
  • Forces SBA to define organizational roles and responsibilities for the inventory-reporting function.
  • Forces SBA to document the implementation of those policies and the key decisions that go with them.

The GAO recommendation was already accepted by SBA. H.R. 8664 is the legislative version of "we agreed in writing; now do it on a clock."

What H.R. 8664 does NOT do

This is the load-bearing section for any Indiana operator reading the headline.

  • Does not regulate small-business use of AI. No business in Indiana has a new compliance obligation if this bill enacts.
  • Does not create a small-business AI training program. That work belongs to two related bills, H.R. 5764 (AI for Main Street Act) and H.R. 5784 (AI-WISE Act), both already passed by the House on January 20, 2026.
  • Does not authorize new SBA spending on small-business AI. No new funding stream attaches to H.R. 8664.
  • Does not penalize SBA for past inventory shortfalls. SBA has been required to publicly disclose its AI use cases since 2020 under the Advancing American AI Act. SBA released its first inventory in March 2026, six years late, citing staff turnover and missing documentation between 2021 and 2023.

Indiana impact: industries

The federal SBA + AI infrastructure that surrounds H.R. 8664 is the part Indiana operators should pay attention to. The infrastructure is already moving.

Indiana has 591,671 small businesses, which represent 99.4 percent of all Indiana businesses. Small business employs 1.2 million Hoosiers, or 43.2 percent of the state's workforce, per the SBA Office of Advocacy 2025 Indiana Small Business Profile. The Indiana SBA District Office in Indianapolis approved 1,425 SBA-backed loans worth $871 million in capital during fiscal year 2024, a 19.6 percent year-over-year increase in dollar volume.

The Indiana SBDC network is the state-level distribution channel for any small-business-facing SBA program. Ten regional offices, hosted at Ivy Tech, Purdue (multiple campuses), Ball State, Indiana State, the University of Southern Indiana, and Greater Lafayette Commerce. In 2024, ISBDC served 6,160 clients and infused $64.9 million in capital. ISBDC is the entity that delivers SBA programs to Hoosier small businesses.

The sectors most exposed to a working federal SBA + AI program are the ones already inside the CICP AI Adoption Hub footprint:

  • Manufacturing
  • Logistics
  • Life Sciences
  • Technology
  • Professional Services

Indiana impact: lawmakers

The Indiana lens on H.R. 8664 is two-stranded.

House side. No Indiana representative serves on the House Committee on Small Business in the 119th Congress. The chair is Rep. Roger Williams (R-TX). The ranking member is Rep. Nydía Velázquez (D-NY). Rep. Hillary Scholten (D-MI-3), the bill sponsor, is ranking member of the Subcommittee on Innovation, Entrepreneurship, and Workforce Development. H.R. 8664 will move through committee without an Indiana voice in the room.

Senate side. Sen. Todd Young (R-IN) is the strongest Indiana federal voice on the broader SBA + AI conversation. He is co-sponsor with Sen. Maria Cantwell (D-WA) of S. 3586, the Senate companion to the larger H.R. 5764 (AI for Main Street Act). Young's stated position: "Our bill will provide training, guidance, and support to ensure more American small businesses are equipped with the tools needed to compete in today's evolving digital economy." H.R. 8664 has no Senate companion as of May 7, 2026. Rep. Scholten has not released a public statement specific to H.R. 8664.

What to watch

  1. Whether H.R. 8664 sees a markup. Bills in House Small Business that advance typically receive a markup hearing within three to nine months of referral. H.R. 5764 and H.R. 5784 were marked up November 18, 2025 and passed the House January 20, 2026 by 395-14 and voice vote respectively (committee press coverage Jan. 21), an eight-week path from markup to floor.
  2. Whether H.R. 8664 picks up cosponsors. Single-sponsor introductions are common for technical agency-accountability bills awaiting bundling into a broader markup vehicle, so zero cosponsors is not necessarily fatal. Cosponsor accumulation over the next 30 days is one leading signal of independent traction.
  3. Whether H.R. 8664 gets bundled into a follow-on package. Small one-sentence agency-accountability bills with no funding ask are often offered as amendments or rolled into broader markup vehicles. Watch for this in any committee action on related Small Business + AI legislation.
  4. Whether the Senate moves S. 3586. That bill, not H.R. 8664, is the one Indiana operators should track first. If S. 3586 advances or is enacted, the Indiana SBDC network would receive a federal AI training and guidance role.
  5. Whether SBA's March 2025 internal AI pause lifts. SBA paused all internal AI use in March 2025 to review compliance. As of April 2026, the pause remains in place except for seven pilot or pre-pilot projects.

Strategic implications for CEOs

Through the 7 Levels of AI Proficiency lens, the operator response to H.R. 8664 is the same as the response to the broader package: build internal capability before the federal infrastructure arrives, not after.

Level 1-2: foundational AI literacy across the leadership team. The Indiana SBDC will eventually deliver SBA-backed AI training; leaders who can already evaluate the training instead of consume it will get more value per session.

Level 3-4: workflow-level decisions about where AI augments judgment and where it does not. SBDC training is generalist by design; operator-specific application has to come from inside the company.

Level 5-7: organizational AI strategy. If S. 3586 enacts, the SBDC channel becomes a procurement-grade resource. Companies already at Level 5 will treat it as a tool. Companies at Level 1 will treat it as a course. The first group realizes value in months; the second group, in quarters.

If H.R. 8664 enacts, what changes for Hoosier small businesses is nothing in the short term. The bill closes a transparency loop on the SBA itself. The strategic move for an Indiana CEO sits one layer up: build internal proficiency that lets the company use any federal resource that arrives through the SBDC channel, whether through H.R. 5764, S. 3586, or whatever bundles them later this year.

Where to track

Sources

  1. Congress.gov. "H.R. 8664 - 119th Congress (2025-2026)." Bill page. congress.gov/bill/119th-congress/house-bill/8664
  2. govinfo.gov. "BILLSTATUS XML for H.R. 8664." govinfo.gov BILLSTATUS-119hr8664
  3. AI Law Tracker. "H.R. 8664 bill page." ailawtracker.org/bills/congress-119-hr-8664
  4. U.S. Government Accountability Office. "Artificial Intelligence: Uses and Risks for Small Business Contracting and Innovation Research." Report GAO-26-107828, May 2026. gao.gov/products/gao-26-107828
  5. ExecutiveGov. "GAO: SBA Should Establish AI Use Case Disclosure Practices." May 5, 2026. executivegov.com GAO SBA AI report
  6. PYMNTS. "House Passes Bills Requiring SBA to Help Small Businesses Adopt AI." January 21, 2026. pymnts.com House passes SBA AI bills
  7. FedScoop. "House passes two AI-focused small business bills." January 2026. fedscoop.com House SBA AI bills
  8. Sen. Todd Young. "Young, Cantwell Introduce Bill to Help Small Businesses Succeed in Digital Economy." Press release, January 7, 2026. young.senate.gov S. 3586 release
  9. Wikipedia. "Hillary Scholten." Biography and committee assignments. en.wikipedia.org/wiki/Hillary_Scholten
  10. U.S. Small Business Administration. "Indiana District Office." sba.gov/district/indiana
  11. Building Indiana Business. "Small Business Strong: Hoosiers Taking Advantage of SBA Loan Programs." May 5, 2025. buildingindiana.com Indiana SBA FY2024 lending
  12. Indiana Small Business Development Center. "About the ISBDC Network." isbdc.org/about
  13. SBA Office of Advocacy. "2025 Indiana Small Business Profile." advocacy.sba.gov 2025 Indiana profile
  14. Central Indiana Corporate Partnership. "AI Adoption Hub." cicpindiana.com/ai
  15. GovTrack. "Statistics and Historical Comparison." govtrack.us/congress/bills/statistics
  16. House Clerk. "House Committee on Small Business membership." clerk.house.gov/committees/SM00

Frequently asked questions

Does H.R. 8664 create new compliance requirements for Indiana small businesses?

No. H.R. 8664 directs the U.S. Small Business Administration to implement an internal accountability recommendation about how the agency reports its own AI use cases. It places no compliance obligation, no penalty, and no funding mandate on private businesses in Indiana or any other state.

Which Indiana lawmakers are positioned on this bill?

No Indiana representative serves on the House Committee on Small Business in the 119th Congress, where H.R. 8664 was referred. On the Senate side, Sen. Todd Young (R-IN) is co-sponsor with Sen. Maria Cantwell (D-WA) of S. 3586, the Senate companion to the larger H.R. 5764 (AI for Main Street Act). H.R. 8664 itself has no Senate companion as of May 7, 2026.

What is the Indiana SBA District Office?

The Indiana SBA District Office is based in Indianapolis at 5726 Professional Cir., Suite 100, and covers all 92 Indiana counties. The director is Stacey Poynter. In fiscal year 2024, the office approved 1,425 SBA-backed loans totaling $871 million in capital to Indiana small businesses, a 19.6 percent year-over-year increase in dollar volume.

What is the Indiana SBDC network?

The Indiana Small Business Development Center (ISBDC) network is the state-level distribution channel for SBA programs. It has ten regional offices hosted at Ivy Tech, Purdue (multiple campuses), Ball State, Indiana State, the University of Southern Indiana, and Greater Lafayette Commerce. In 2024, ISBDC served 6,160 clients and infused $64.9 million in capital. Any small-business-facing SBA AI program reaches Hoosier businesses through this channel.

How does H.R. 8664 relate to H.R. 5764 and S. 3586?

H.R. 8664 is the smaller sibling. H.R. 5764 (AI for Main Street Act) and H.R. 5784 (AI-WISE Act) both passed the House on January 20, 2026 and direct the SBA to actively help small businesses adopt AI. S. 3586 is the Senate companion to H.R. 5764, sponsored by Sen. Todd Young (R-IN) and Sen. Maria Cantwell (D-WA). H.R. 8664 closes an internal SBA reporting loop. The other three create the small-business-facing program.

When will H.R. 8664 see committee action?

Unscheduled as of May 7, 2026. Bills referred to House Small Business that advance typically receive a markup hearing within three to nine months. The two larger sibling bills (H.R. 5764 and H.R. 5784) were marked up November 18, 2025 and passed the House January 20, 2026 (with committee press coverage following on January 21), an eight-week path. H.R. 8664 has zero cosponsors at introduction, common for technical agency-accountability bills awaiting bundling into a broader markup vehicle.

Harrison Painter
Harrison Painter
AI Business Strategist. Founder, LaunchReady.ai and AI Law Tracker.

Harrison helps Indiana leaders build AI systems that cut cost and grow revenue. Founder of LaunchReady.ai and the 7 Levels of AI Proficiency framework. Author of You Have Already Been Replaced by AI and The White-Collar Factory is Closing.

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