Providing for Temporary Extension of Programs Under Small Business Act and Small Business Investment Act of 1958
PROVIDING FOR TEMPORARY EXTENSION OF PROGRAMS UNDER SMALL BUSINESS ACT AND SMALL BUSINESS INVESTMENT ACT OF 1958 -- (House of Representatives - September 13, 2004)
Mrs. CAPITO. Mr. Speaker, I move to suspend the rules and pass the bill (H.R. 5008) to provide an additional temporary extension of programs under the Small Business Act and the Small Business Investment Act of 1958 through September 30, 2004, and for other purposes.
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GENERAL LEAVE
Mrs. CAPITO. Mr. Speaker, I ask unanimous consent that all Members may have 5 legislative days within which to revise and extend their remarks and include extraneous material on H.R. 5008.
The SPEAKER pro tempore. Is there objection to the request of the gentlewoman from West Virginia?
There was no objection.
Mrs. CAPITO. Mr. Speaker, I yield myself such time as I may consume.
Mr. Speaker, this bill extends until September 30 the programs of the Small Business Administration not covered by an appropriation, including the Preferred Surety Bond Program, SBA's Private Sector Cosponsorship Authority, the Small Disadvantaged Business Procurement Assistance Program, the Small Business Development Center Drug-Free Workplace Assistance Grants Program and the Very Small Business Concerns Program.
Last June, the House acted responsibly by passing H.R. 4478 to extend the programs of the SBA, but the other body failed to act. These programs have been in limbo since June 4, and it is important that they are extended while we continue to work on an SBA reauthorization bill.
In addition, H.R. 5008 would help many existing Women's Business Centers keep their doors open. Passage of H.R. 5008 would free up the remaining $4 million already appropriated for the program this year to provide at a minimum approximately $70,000 to each Women's Business Center and sustainability status.
Finally, H.R. 5008 corrects a legal problem regarding how the SBA pays fiscal transfer agents, who provide a vital role in the secondary market. For nearly 10 years, the SBA's fiscal transfer agent has been paid by a float on interest on the pools of securitized 7(a) guaranteed loans. Recently there has been some confusion as to whether or not this practice violates the Anti-Deficiency Act. The SBA has proposed a fix to this problem, and that solution is incorporated in section 3 of H.R. 5008, which essentially codifies the existing practice.
Passage of this legislation is needed in order to prevent the crippling of the SBA's 7(a) loan program, because without the liquidity of a secondary market banks will not make as many 7(a) loans as in the past.
This bipartisan bill has the support of the ranking minority member, the gentlewoman from New York (Ms. Velázquez), and it has the support of the Bush administration. I urge my colleagues to support H.R. 5008.
Mr. Speaker, I reserve the balance of my time.
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Mrs. CAPITO. Mr. Speaker, I yield myself such time as I may consume.
While reauthorization is extremely important, I think it would behoove us at this time to really think about all of the things that have been done and are in the process of being done for small businesses here and across America.
Twenty-five million small business owners will receive tax relief, totaling $75 billion. That is real savings. The rate reductions in the tax benefit plan is more than 90 percent small business. We also have raised the small business expensing limit from $25,000 to $100,000, and I can tell my colleagues in my home State of West Virginia, small businesses are beginning to do and beginning to feel the growth effects of being able to hire another person, being able to buy that extra piece of equipment as a result of the tax incentives.
Regulation, which is another burdensome thing on small business, this administration has slowed the growth of burdensome new rules by 75 percent. Also, small businesses saved $7 billion last year in regulatory costs, and that is significant.
We have worked a lot to try to incent and grow our small businesses, and there is always more, much more, that can be done. But in terms of government procurement, for the first time in many years, the Federal Government exceeded its small business goal by providing a record $65.5 billion in prime contracts to small businesses. That is a significant increase over past years.
So, in conclusion, I would like to say that reauthorization of SBA is exceedingly important to small business, and what we are doing here today in extending the authorization is extremely important. But much has been done and much needs to still continue to be done to help small business, which is the backbone of our American economy.
Mr. Speaker, I reserve the balance of my time.
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Mrs. CAPITO. Mr. Speaker, I reserve the balance of my time.
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Mrs. CAPITO. Mr. Speaker, I continue to reserve the balance of my time.
Ms. VELÁZQUEZ. Mr. Speaker, I yield myself such time as I may consume.
Mr. Speaker, there is no disagreement that we should pass this extension. It is, though, embarrassing that it has come to this. We expect small businesses to meet their taxes, comply with Federal regulations and pay their employees on time. But when it comes to Congress, we are not held accountable for our failure to meet their needs.
At a time when our economy is struggling, at a time when small businesses are struggling, Congress should be holding up its end of the deal. Passing the Small Business Administration Reauthorization Act must be a priority.
Mr. Speaker, I yield back the balance of my time.
Mrs. CAPITO. Mr. Speaker, I yield myself such time as I may consume.
I would like to thank the gentlewoman from New York (Ms. Velázquez) for not only her advocacy for this bill before us today, but for her advocacy for small business. She is one of the staunchest cheerleaders for small businesses across this Nation, and I appreciate her service and her ability to get things done.
I thank our chairman, the gentleman from Illinois (Chairman Manzullo), who is not with us today, to thank him also for his small business advocacy. It is good to know that we have a bipartisan opinion on this bill. I look forward to its passage, and I look forward to all of us working together to see that small business not only grows but thrives under this bill and also under further legislation.
Mr. Speaker, I yield back the balance of my time.