Small Business Groups Document Congressional Failures
Bill Falzett
October 30, 2006
Northern California Chambers of Commerce seem to like this conservative Republican Administration. The director of one of them said as much to me earlier this year. When I asked him what about them was so helpful, his face got red. He had no answer but told me his group was committed to Republican Wally Herger. I asked my question again about how, specifically, Herger had helped small business and farmers. Redder face, still no answer.
I belong to my local chamber and they, too, support Republicans without much of a sense as to how they are helpful to small business and farmers. I know that this administration supports big corporations in a big way. As far as I know there are no significant major corporations in this part of Northern California. As a small business owner, I haven’t seen the help and now I know why. Based on a recent scorecard, our Republican led Congress went zero for 9 on small business legislation this year.
Any Chamber of Commerce should be alarmed by this neglect. In an area such as ours with below average incomes and job numbers, this flagrant disregard of small business assistance is appalling. There should be additional incentives for energy initiatives that would lead to jobs, living wages, education, and people prosperity rather than corporate welfare.
The U. S. Women’s Chamber of Commerce, the American Small Business League, the Latino American Management Association, the National Procurement Council, the Small Business Majority, and Business and Professional Women/USA rated the 109th Congress on their support for small business. Our Northern California Republicans failed to support small-business-friendly measures. Wally Herger, our 2nd Congressional District representative in California put up a goose-egg as did Lungren in the 3rd, Doolittle in CA-4th and Pombo in the 11th. They did not vote for a single measure that small business organizations consider vital to growth and prosperity for small businesses, entrepreneurs, and farmers.
1. An amendment to restore $40 million to the SBA's lending programs was not acted on. Congress has repeatedly cut funding to the hallmark SBA lending programs. This funding would allow businesses such as family farms, micro-entrepreneurs, and those in low-income areas like Herger’s District to have an avenue to get their businesses off the ground.
2. Defeat of a measure to assure that small business owners in the Gulf Coast received timely support. America's small businesses waited months for assistance. Many still are waiting. If our Northern California Valleys suffer a disaster, will we be subjected to the kind of neglect visited on the Gulf Coast’s small business owners?
3. The defeat of a bill amendment to protect small business owners and farmers after future disasters. Our Congressmen were among those who have not learned from 9/11 and Katrina that the SBA needs to be ready to act strongly in the event of terror or tragedy. The SBA's disaster loan program will now have increased interest rates for small businesses, farmers, and homeowners by as much as 50 percent.
4. Defeat of an amendment that will derail the growth of minority hi-tech companies. Minority businesses generate more than 4.5 million jobs and provide approximately $96 billion in annual payroll. A relatively small investment would aid in developing the next generation of high-tech firms.
5. An amendment to open the bidding on government contracts to small businesses failed. This insured that small businesses will not participate in the Federal Marketplace. Contract bundling and no-bid contracts harm competitive bidding and our small business community. Last year alone, nearly $12 billion in contracting that should have gone to small businesses went to large corporations.
6. In 2006, it was revealed that the government missed its small business contracting goal for the sixth consecutive year. Despite the federal marketplace's massive growth over the last decade, small businesses face unnecessary obstacles in bidding for federal contracts. The passage of an amendment to remove obstacles was defeated. It required contracting agencies to apply the same standards in all industries – a move that seems fair. By not adopting this amendment, Congress voted to maintain barriers to accessing the federal marketplace. It is likely that government contracting goals again will not be met for small business.
7. An amendment was passed in the House but was left out of the conference report. As a result, the fees to small and mid-sized businesses to secure SBA Lending Programs 7(a) loans have been increased $1,500 - $3,000. This will hamper capital formation during a period that has already been laden with rising interest rates since loan fees are already high.
8. Passage of a resolution would have signaled Congressional support for a comprehensive agenda for small businesses to break down barriers to federal contracting. The removal of barriers would have provided these firms with access to capital. The resolution was defeated, indicating unwillingness by the House to recognize and foster change to policies that are hindering small business growth.
9. In the 1990s, over forty percent of laid off middle managers tried to start their own ventures. An amendment was proposed to allow them to use their Reemployment Account Funds to defray loan costs. The amendment was rejected, leaving in place one of the largest hurdles for budding entrepreneurs. The end result will be an economy that discourages the spirit of innovation and risk-taking that have proven to be the foundation of economic growth.
The U. S. Women’s Chamber of Commerce, the American Small Business League, the Latino American Management Association, the National Procurement Council, the Small Business Majority, and Business and Professional Women/USA document these “Lost Opportunities to Support U. S. Small Business”. at the U.S. Women’s Chamber of Commerce website at http://www.uswcc.org/html/uswcc-scorecard.aspx. This scorecard records a striking betrayal of small businesses and farmers.
I belong to my local chamber and they, too, support Republicans without much of a sense as to how they are helpful to small business and farmers. I know that this administration supports big corporations in a big way. As far as I know there are no significant major corporations in this part of Northern California. As a small business owner, I haven’t seen the help and now I know why. Based on a recent scorecard, our Republican led Congress went zero for 9 on small business legislation this year.
Any Chamber of Commerce should be alarmed by this neglect. In an area such as ours with below average incomes and job numbers, this flagrant disregard of small business assistance is appalling. There should be additional incentives for energy initiatives that would lead to jobs, living wages, education, and people prosperity rather than corporate welfare.
The U. S. Women’s Chamber of Commerce, the American Small Business League, the Latino American Management Association, the National Procurement Council, the Small Business Majority, and Business and Professional Women/USA rated the 109th Congress on their support for small business. Our Northern California Republicans failed to support small-business-friendly measures. Wally Herger, our 2nd Congressional District representative in California put up a goose-egg as did Lungren in the 3rd, Doolittle in CA-4th and Pombo in the 11th. They did not vote for a single measure that small business organizations consider vital to growth and prosperity for small businesses, entrepreneurs, and farmers.
1. An amendment to restore $40 million to the SBA's lending programs was not acted on. Congress has repeatedly cut funding to the hallmark SBA lending programs. This funding would allow businesses such as family farms, micro-entrepreneurs, and those in low-income areas like Herger’s District to have an avenue to get their businesses off the ground.
2. Defeat of a measure to assure that small business owners in the Gulf Coast received timely support. America's small businesses waited months for assistance. Many still are waiting. If our Northern California Valleys suffer a disaster, will we be subjected to the kind of neglect visited on the Gulf Coast’s small business owners?
3. The defeat of a bill amendment to protect small business owners and farmers after future disasters. Our Congressmen were among those who have not learned from 9/11 and Katrina that the SBA needs to be ready to act strongly in the event of terror or tragedy. The SBA's disaster loan program will now have increased interest rates for small businesses, farmers, and homeowners by as much as 50 percent.
4. Defeat of an amendment that will derail the growth of minority hi-tech companies. Minority businesses generate more than 4.5 million jobs and provide approximately $96 billion in annual payroll. A relatively small investment would aid in developing the next generation of high-tech firms.
5. An amendment to open the bidding on government contracts to small businesses failed. This insured that small businesses will not participate in the Federal Marketplace. Contract bundling and no-bid contracts harm competitive bidding and our small business community. Last year alone, nearly $12 billion in contracting that should have gone to small businesses went to large corporations.
6. In 2006, it was revealed that the government missed its small business contracting goal for the sixth consecutive year. Despite the federal marketplace's massive growth over the last decade, small businesses face unnecessary obstacles in bidding for federal contracts. The passage of an amendment to remove obstacles was defeated. It required contracting agencies to apply the same standards in all industries – a move that seems fair. By not adopting this amendment, Congress voted to maintain barriers to accessing the federal marketplace. It is likely that government contracting goals again will not be met for small business.
7. An amendment was passed in the House but was left out of the conference report. As a result, the fees to small and mid-sized businesses to secure SBA Lending Programs 7(a) loans have been increased $1,500 - $3,000. This will hamper capital formation during a period that has already been laden with rising interest rates since loan fees are already high.
8. Passage of a resolution would have signaled Congressional support for a comprehensive agenda for small businesses to break down barriers to federal contracting. The removal of barriers would have provided these firms with access to capital. The resolution was defeated, indicating unwillingness by the House to recognize and foster change to policies that are hindering small business growth.
9. In the 1990s, over forty percent of laid off middle managers tried to start their own ventures. An amendment was proposed to allow them to use their Reemployment Account Funds to defray loan costs. The amendment was rejected, leaving in place one of the largest hurdles for budding entrepreneurs. The end result will be an economy that discourages the spirit of innovation and risk-taking that have proven to be the foundation of economic growth.
The U. S. Women’s Chamber of Commerce, the American Small Business League, the Latino American Management Association, the National Procurement Council, the Small Business Majority, and Business and Professional Women/USA document these “Lost Opportunities to Support U. S. Small Business”. at the U.S. Women’s Chamber of Commerce website at http://www.uswcc.org/html/uswcc-scorecard.aspx. This scorecard records a striking betrayal of small businesses and farmers.
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