WASHINGTON– Congresswoman Nydia M. Velázquez (D-NY), Ranking Member of the House Small Business Committee, has sent a letter to SBA Administrator Kelly Loeffler raising serious concerns over the agency’s decision to grant expedited access to sensitive SBA systems for operatives tied to the Department of Government Efficiency (DOGE).
According to the letter, senior SBA officials authorized broad system access for DOGE staff without going through standard screening or security clearance procedures.
“These reports present a troubling account of SBA’s disregard for basic controls on sensitive data as it expedited access for DOGE operatives,” Velázquez wrote. “The speed with which SBA granted access makes clear that it failed to protect personal information by bypassing the standard screening and security clearance processes required of government employees who handle sensitive information.”
Velázquez pointed to contradictions between Administrator Loeffler’s recent testimony and internal communications showing that DOGE staff were given access to systems containing private data, including Social Security numbers and other personal information of SBA employees, loan recipients, and disaster assistance applicants.
“Given these discrepancies between your testimony before the Senate and House Small Business Committees, and the reporting by Wired, I have serious concerns about the omission of critical information to Congress,” Velázquez continued.
She also raised questions about whether individuals given access were properly vetted. One DOGE operative, had previously been fired from a private-sector role after being suspected of leaking internal information.
The letter demands responses to more than 30 specific questions the Committee has asked in previous letters, including who authorized the access, whether any data was viewed or altered, and whether any laws such as the Privacy Act or FISMA were violated. It requests a full response by August 22.
“The SBA’s lack of a satisfactory response is obstructing the Committee’s investigation and raises serious concerns regarding the SBA’s efforts to comply with legitimate oversight requests,” Velázquez wrote.