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The Helping Small Businesses THRIVE Act establishes a pilot program within the Small Business Administration to help small businesses manage commodity price volatility by purchasing commodity futures and derivatives at cost. Eligible small businesses can enter into agreements to lock in prices for commodities (such as energy or agricultural inputs) or purchase call options to protect against price increases exceeding 10 percent. The SBA will administer the program in consultation with the Commodity Futures Trading Commission and Treasury, provide guidance and outreach to small businesses, and may form a commodity pool to facilitate these transactions.
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