By Senator John Cornyn
Just a few weeks after telling Americans that "the private sector is doing fine," President Barack Obama recently offered another pearl of economic wisdom: "If you've got a business, you didn't build that. Somebody else made that happen."
On the contrary, Mr. President, there are plenty of entrepreneurs whose success came from hard work and personal creativity, including many who live right here in Texas.
I'm referring to folks like Frank Scantlin, whose story exemplifies the American Dream of upward mobility and earned success. As a child, Frank was so poor that at times he could not afford to buy new shoes. Times were so tough that Frank had to quit school in ninth grade to help his mother put food on the table and a roof over their heads.
Despite such hardships, Frank persevered and went on to found Sunbelt Machine Works. Family-owned and operated since 1978, the company, based in Stafford, makes precision-crafted components for a variety of industries. It started with only 2,100 square feet of work space and a staff so small (three employees) that Frank's wife, Mary, occasionally had to drive the trucks, in addition to serving as bookkeeper and secretary. Now, Sunbelt's combined footprint covers almost 60,000 square feet, and it has 90 employees.
Perhaps Obama should ask the Scantlins about the risks and challenges involved in launching a business. Maybe he could also spend some time with John Kallus and the Bayer brothers (Don and Jim), who teamed up to form Austin Glass & Mirror some 28 years ago. The company employs several dozen people, many of whom have been on staff since Day One. "In our business," Don Bayer told me last year, "we have to balance our budgets, plan cash flow and watch our spending. We have to live within our means, and I expect the government to live within their means."
That's a message Obama should take to heart.
He might also be interested in the story of Grady Payne, chief executive of Conner Industries, which produces industrial wood products and is based in Fort Worth. Established in 1981 with a staff of five, Conner Industries now employs more than 400 people in eight states. Much like Don Bayer, Payne fears that misguided government policies are hampering job creation. He recently told Congress that his business could be "legislated out of existence" if Obama's health care law is allowed to stand.
As the president reflects on that warning, he should consider what these proud Texas entrepreneurs have in common: Each identified a need in the marketplace and created products to meet that need. None of them benefited from the sort of crony capitalism that the Obama administration seems to favor. Instead, like so many other American business owners, they succeeded thanks to tireless effort and hard-earned skill. They started with an idea and worked tenaciously to bring it to fruition. Along the way, they built lasting enterprises and created well-paying jobs.
Of course, not every company succeeds, but that is the nature of free markets. Texans understand this. We also understand the proper role of government in fostering entrepreneurship and job creation. It was no surprise when CNBC recently named Texas the best state in the country for business. Our pro-growth agenda of low taxes, limited government and sensible regulation provides all the "stimulus" job creators need.
In between the high-dollar fundraising events he held in Texas this week, I hope Obama took a moment to reflect on the success of companies like Sunbelt Machine Works, Austin Glass & Mirror and Conner Industries. Their achievements didn't come from the paternalistic guidance of Washington bureaucrats, but rather from hard work and ingenuity.