The Senate yesterday passed a legislative package of small-business tax incentives and measures intended to improve access to capital.

The Small Business Jobs and Credit Act of 2010 creates a $30 billion fund to provide small banks (those with assets under $10 million) access to capital earmarked for small-business lending. Proponents of the bill say this pool of capital, coupled with government guarantees, will ease the credit crunch lenders have held to since the onset of the recession and could eventually leverage up to $300 billion in additional lending. Also included are roughly $12 billion in tax breaks and incentives.

The Senate bill, passed 61-38, overcame Republican opposition when two members -- George Voinovich of Ohio and George LeMieux of Florida -- broke ranks. It heads to the House next week, where an earlier version was approved, then onto the White House for ratification.

Read more: The Street