House Small Business Committee

Protecting Small Businesses from Cyber Attacks: the Cybersecurity Insurance Option

House Small Business Committee News - Wed, 07/26/2017 - 11:00am

The Committee on Small Business will meet for a hearing titled, “Protecting Small Businesses from Cyber Attacks: the Cybersecurity Insurance Option.” The hearing is scheduled to begin at 11:00 A.M. on Wednesday, July 26, 2017 in Room 2360 of the Rayburn House Office Building.

Attachments

1. Hearing Notice
2. Witness List

Witnesses 

Mr. Robert Luft
President
SureFire Innovations
Cincinnati, Ohio

Ms. Erica Davis
Senior Vice President, Head of Specialty Products Errors & Omissions
Zurich Insurance, North America
Washington, DC
*Testifying on behalf of the American Insurance Association

Mr. Eric Cernak
Vice President, Cyber Risk Practice Leader
Munich Re U.S.
Hartford, CT
*Testifying on behalf of the Reinsurance Association America (RAA)

Mr. Daimon Geopfert
National Leader and Principal, Security and Privacy Consulting
Risk Advisory Services
Southfield, MI 



21st Century Medicine: How Telehealth Can Help Rural Communities

House Small Business Committee News - Thu, 07/20/2017 - 10:00am

The Committee on Small Business Subcommittees on Agriculture, Energy, and Trade and Health and Technology will meet for a joint hearing titled, “21st Century Medicine: How Telehealth Can Help Rural Communities.” The hearing is scheduled to begin at 10:00 A.M. on Thursday, July 20, 2017 in Room 2360 of the Rayburn House Office Building.  

The hearing will focus on the current utilization of telehealth services and how expansion of telehealth services could benefit small businesses and rural communities.

Attachments
1. Hearing Notice
2. Witness List

Witnesses
Ms. A. Nicole Clowers
Managing Director
Health Care Team
United States Government Accountability Office
Washington, DC
Testimony
Disclosure

Ms. Barb Johnston
Chief Executive Officer and Co-Founder
HealthLinkNow
Sacramento, CA
Testimony
Disclosure

Mr. Michael Adcock
Administrator
Center for Telehealth
University of Mississippi Medical Center
Jackson, MS
Testimony
Disclosure




No Place Too Far for Telemedicine

House Small Business Committee News - Thu, 07/20/2017 - 12:00am

WASHINGTON – Today, Members of the House Small Business Subcommittees on Agriculture, Energy and Trade and Health and Technology heard from leading pioneers in the telehealth industry. They discussed the current use of telehealth services and how expansion can benefit small businesses and rural communities.

While twenty percent of Americans live in rural areas, only nine percent of physicians practice there,” said Agriculture, Energy, and Trade Subcommittee Chairman Rod Blum (R-IA). “Telehealth may allow rural physicians to expand their patient base and to keep dollars in the community, benefiting other local small businesses such as retail establishments and restaurants, contributing to the sense of ‘community’ that American small towns pride themselves on.”

“If medical treatment is unavailable on the Samoan Islands, patients, including many VA beneficiaries, generally have to fly nearly 3,000 miles to Hawaii to see a specialist,” said Health and Technology Subcommittee Chairwoman Amata Radewagen (R-AS). “One way to alleviate these physician shortages would be to incorporate the use of telehealth and remote patient monitoring into the offices of physicians and other health care professionals.”

A. Nicole Clowers, Managing Director for Health Care with the United States Government Accountability Office said, “For certain individuals, such as those who live in remote areas or who cannot easily travel long distances, access to health care services can be challenging. Telehealth can provide an alternative to health care provided in person at a physician’s office by providing clinical care remotely through two-way video for services such as psychotherapy or the evaluation and management of conditions.”

“To maintain and improve the economic vitality of rural America it is essential that rural people are kept healthy and that rural communities are supported by a full range of medical services, delivered both in person, and increasingly, by telemedicine,” said Barb Johnston, CEO of HealthLinkNow in Sacramento, California. “Telemedicine has demonstrated its effectiveness over the past 50 years and already benefits rural America by encouraging the recruitment and retention of local physicians and other healthcare providers who can be supported by telemedicine providers.”

“The TelEmergency program has grown to serve more than 20 hospitals and continues to produce outcomes on par with that of our Level 1 trauma center,” said Michael P. Adcock, Executive Director for the Center for Telehealth at the University of Mississippi Medical Center in Jackson, Mississippi. Mississippi officials “extrapolated this data to show the potential savings of over $180 million per year if 20 percent of the diabetics on Mississippi Medicaid participated in this program.” 

You can view full video of today’s hearing HERE and full witness testimony HERE.

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Reversing the Entrepreneurship Decline

House Small Business Committee News - Wed, 07/19/2017 - 2:00pm

The Committee on Small Business will meet for a hearing titled, “Reversing the Entrepreneurship Decline.” The hearing is scheduled to begin at 11:00 A.M. on Wednesday, July 19, 2017 in Room 2360 of the Rayburn House Office Building.

The hearing will provide the Committee with an opportunity to understand the entrepreneurship trends, challenges, and opportunities that exist in the United States. This hearing will also examine how entrepreneurship influences leading economic indicators and potential solutions to promote new and existing small businesses

Attachments

1. Hearing Notice
2. Witness List

Witnesses

Mr. Larry Kudlow
Senior Contributor
CNBC
Fairfield, CT
Testimony 
Disclosure

Gregory Crawford, Ph.D.
President
Miami University
Oxford, Ohio
Testimony 
Disclosure

Ms. Karen Kerrigan
President & CEO
Small Business & Entrepreneurship Council
Vienna, VA
Testimony 
Disclosure

Mr. Joe Schocken
CEO
Broadmark Capital
Seattle, WA 
Testimony 
Disclosure



Key Lawmakers Move to Improve HUBZone Program

House Small Business Committee News - Wed, 07/19/2017 - 12:00am

Washington, DC Bipartisan leadership of the House Small Business Committee today unveiled legislation to improve and reform the Historically Underutilized Business Zone Program (HUBZone), a procurement initiative that provides federal assistance to firms in economically distressed areas.  Created in 1998, the HUBZone helps small companies in these areas to do business with the federal government.  The program is overseen by the Small Business Administration (SBA).

H.R. 3294, the HUBZONE Unification and Business Stability Act (HUBS), was introduced by Ranking Member Velázquez (D-NY), and co-sponsored by Chairman Chabot (R-OH). H.R. 3294 would make important reforms to the HUBZone program, ensuring the initiative functions more efficiently and effectively, creating greater opportunity in areas that face significant economic hurdles. 

“This HUBZone reform packages includes new performance metrics,” said Chairman Chabot. “By collecting data, the SBA and Congress will better be able to determine how well the program is working and what needs to be changed. Also, accelerating the application process will allow small businesses interested in the program to get a quicker response from the SBA, meaning instead of waiting for a response, they can spend their valuable time and resources on growing their businesses.”

“The HUBZone program recognizes the benefits that federal contracts have for local communities that are often struggling to create and retain well-paying jobs,” said Ranking Member Velázquez. “After carefully studying and listening to small businesses on the ground, I’m confident the reforms we are proposing will strengthen the HUBZone initiative and, ultimately, mean greater economic opportunity for those living in economically distressed regions.”

Other reforms this bill would make include:

  • The bill would establish a 5-year cycle for determining the geographic boundaries of HUBZones, creating greater certainty for companies operating in the program.
  • The bill would change the calculations by which certain geographic areas qualify for the program, potentially adding as many as 1,000 rural and non-urban counties, helping more businesses avail themselves of the HUBZone initiative’s benefits. 

These and other changes would be implemented beginning in 2020. 

“Ultimately, we are helping bring greater transparency and stability to the HUBZone program,” noted Velázquez. “When HUBZones operate as intended, it can be a powerful tool for stimulating commerce in parts of the country afflicted by economic hardship and this bill will make important strides toward that goal.  I thank Chairman Chabot for working with me on these proposals.” 

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How Can We Reverse the Entrepreneurship Decline?

House Small Business Committee News - Wed, 07/19/2017 - 12:00am

WASHINGTON – Today, the House Small Business Committee heard from industry experts on the challenges facing entrepreneurs and how the success of our small businesses have a major effect on the strength of our economy.   

“New and small businesses create the majority of our nation’s jobs and spur innovation. However, since the Great Recession, there has been a significant decline in entrepreneurship, which may in part explain the slow economic growth experienced in America today,” said House Small Business Committee Chairman Steve Chabot (R-OH).

“Universities have an important role to play in the entrepreneurial ecosystem. We can be critical players as the testing ground for the next generation of innovators. This involves not only focusing on what happens in the classroom but also giving students the breadth of knowledge in entrepreneurial thinking and emerging technologies necessary to thrive in any career. That includes opportunities for invaluable real-world experience that will prepare them to create their own business or excel in one,” said Gregory Crawford, Ph.D., President of Miami University in Oxford Ohio.

“Federal agencies are currently undergoing a process where they are reviewing regulations to identify those that can be streamlined, updated or repealed if they are duplicative or outdated. This is a healthy and needed process, and it is very positive to see the SBA’s Office of Advocacy directly engaged through their development of an online platform for small business input, and hosting roundtables across the country to receive their direct input. Clearing regulatory underbrush and streamlining rules is a good for startups and the U.S. business environment,” said Ms. Karen Kerrigan, President and CEO of the Small Business & Entrepreneurship Council in Vienna, VA.

You can view the full video of today’s hearing HERE and read the full witness testimony HERE

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House Passes NDAA with Small Business Reforms

House Small Business Committee News - Fri, 07/14/2017 - 12:00am

WASHINGTON - Today, the House passed H.R. 2810, the FY2018 National Defense Authorization Act (NDAA), which includes small business contracting reforms and entrepreneurial development provisions introduced by the House Small Business Committee.

The NDAA included two House Small Business Committee bills, H.R. 1773, the Clarity for America’s Small Contractors Act of 2017, introduced by Chairman Steve Chabot (R-OH) and H.R. 1774, the Developing the Next Generation of Small Business Act of 2017, introduced by Ranking Member Nydia Velázquez (D-NY).

“Small businesses play a critical role in our nation’s defense, whether creating the latest technology, saving taxpayer dollars by providing less costly contracting, or hiring workers who create parts. I’m proud of the bipartisan work this Committee puts forth for small businesses and would like to thank Ranking Member Nydia Velázquez (D-NY) and all the other Members who introduced provisions that were included in this year’s NDAA,” said House Small Business Committee Chairman Steve Chabot (R-OH).

“The NDAA bill contains a package of bipartisan, small business legislative proposals that will help small firms win their share of federal contracts, strengthen entrepreneurial development programs and assist cutting edge firms as they bring new technologies and products to market. I was pleased to work with Chairman Chabot in getting these measures across the finish line and into the NDAA and will continue pushing for their enactment,” said Ranking Member Nydia M. Velázquez (D-NY).

Versions of the following bills were included in the NDAA:

  • H.R. 1597, the Commercial Market Representatives Clarification Act of 2017, sponsored by Rep. David Brat (R-VA), co-sponsored by Rep. Steve Knight (R-CA) and Rep. Stephanie Murphy (D-FL)
  • H.R. 1640, the Unifying Small Business Terminology Act of 2017, sponsored by Ranking Member Nydia Velázquez (D-NY)
  • H.R. 1693, the Improving Contract Procurement for Small Businesses through More Accurate Reporting Act of 2017, sponsored by Rep. Yvette Clarke (D-NY), co-sponsored by Rep. Brian Fitzpatrick (R-PA)
  • H.R. 1702, the Small Business Development Centers Improvements Act of 2017, sponsored by Rep. Dwight Evans (D-PA), co-sponsored by Rep. Aumua Amata Coleman Radewagen (R-AS) and Rep. Rod Blum (R-IA)
  • H.R. 1680, the Women’s Business Centers Improvements Act of 2017, sponsored by Rep. Steve Knight (R-CA), co-sponsored by Rep. Al Lawson (D-FL)
  • H.R. 1700, the SCORE for Small Business Act of 2017, sponsored by Rep. Alma Adams (D-NC), co-sponsored by Rep. Don Bacon (R-NE)

 

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The Puerto Rico Oversight, Management, and Economic Stability Act: State of Small Business Contracting

House Small Business Committee News - Thu, 07/13/2017 - 10:00am

The Subcommittees on Contracting and Workforce and Economic Growth, Tax, and Capital Access will meet for a joint hearing titled, “The Puerto Rico Oversight, Management, and Economic Stability Act:  State of Small Business Contracting.” The hearing is scheduled to begin at 10:00 A.M. on Thursday, July 13, 2017 in Room 2360 of the Rayburn House Office Building.  

Attachments

1. Hearing Notice
2. Witness List

Witnesses

Mr. William Shear
Director
Financial Markets and Community Investment
United States Government Accountability Office
Washington, DC

Mr. Robb N. Wong
Associate Administrator
Office of Government Contracting and Business Development
United States Small Business Administration
Washington, DC 

Chairman Chabot: Tax Reform Critical for Small Businesses

House Small Business Committee News - Thu, 07/13/2017 - 12:00am

WASHINGTON – Today, Chairman Chabot applauded the Ways and Means Committee for holding a hearing to examine how tax reform will help small businesses grow and create new jobs.

“As Chairman of the House Small Business Committee, I regularly hear from small businesses across the country about their constant struggle with trying to comply with our nation’s tax laws. They’re confusing. They’re complicated. And they’re costly,” said Chairman Chabot (R-OH).

The House Small Business Committee has made tax reform a priority, holding several hearings on the matter including how the tax code is a barrier to entrepreneurship, small business owners not being able to participate in cafeteria plans, and ensuring that the IRS effectively protects small businesses from scams.

“Our complicated tax system prevents small businesses from expanding and creating new American jobs. If we want to keep our economy strong, we must put small businesses first by reforming the tax code. Today’s hearing was another great step in the right direction. The Small Business Committee will continue to put this issue front and center,” Chairman Chabot concluded. 

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PROMESA: State of Small Business Contracting

House Small Business Committee News - Thu, 07/13/2017 - 12:00am

WASHINGTON – Today, Members of the House Small Business Subcommittee on Contracting and Workforce and Subcommittee on Economic Growth, Tax, and Capital Access heard from officials from the Government Accountability Office (GAO) and the Small Business Administration (SBA) regarding small business federal contracting provisions in the Puerto Rico Oversight, Management, and Economic Stability Act (PROMESA). Witnesses discussed trends in the SBA’s contracting programs found in a recent GAO report.

“According to SBA’s size standards, ninety-nine percent of all businesses on the island are considered small, but only a limited number of these firms are actually engaged in federal contracting activities,” said Subcommittee Chairman Knight (R-CA). “The island itself is dominated by small businesses and thus presents an excellent case study examining the efficacy of SBA’s federal contracting programs on the small business community.”

“As the Chairman noted, the vast majority of businesses in Puerto Rico are considered small, but not many of these firms actually operate in the federal contracting space,” Subcommittee Chairman Brat (R-VA) said. “Having a strong, healthy, and diversified small business base is critical to Puerto Rico’s economic stability and financial independence.”

William B. Shear, Director of Financial Markets and Community Investment at the GAO said, “Stakeholders GAO interviewed identified several challenges small businesses in Puerto Rico may face in obtaining federal contracting opportunities. Challenges they identified included a lack of knowledge about the federal contracting process; difficulty meeting procurement requirements; and difficulty accessing bonding, financing, and capital.”

“The staff of Office of Government Contracting and Business Development continues to improve the implementation of the SBA’s federal government contracting programs through improved application and certifications processes,” said Robb Wong, Associate Administrator for the Office of Government Contracting and Business Development at the SBA. “SBA provides assistance to firms at all phases of the procurement process. Our District Office in Puerto Rico conducts small business outreach activities throughout the island including training and seminaries to promote participation in the SBA’s small business programs.  ”

You can view full video of today’s hearing HERE and full witness testimony HERE.

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Help or Hindrance? A Review of SBA’s Office of the Chief Information Officer

House Small Business Committee News - Wed, 07/12/2017 - 11:00am

The Committee on Small Business will meet for a hearing titled, “Help or Hindrance? A Review of SBA’s Office of the Chief Information Officer.” The hearing will take place at 11:00 A.M. on Wednesday, July 12, 2017 in Room 2360 of the Rayburn House Office Building.

The Committee will examine the Small Business Administration’s Office of the Chief Information Officer and whether it is operating efficiently and effectively.

Attachments

1. Hearing Notice
2. Witness List

Witness

Ms. Maria Roat
Chief Information Officer
United States Small Business Administration
Washington, DC


Chairman Chabot Applauds E&W Hearing on Expanded Joint Employer Standard

House Small Business Committee News - Wed, 07/12/2017 - 12:00am

WASHINGTON - Today, the Education and the Workforce Committee held a hearing to examine how small businesses have been negatively affected by the National Labor Relations Board’s (NLRB) expanded joint employer standard put into place during the Obama Administration.

“For over two years, small businesses have been telling us that the Obama-era changes to joint employer standard were bad news, now we have even more proof. The rule has harmed the small business owner’s ability to hire more workers, or even to open a new business in the first place,” said House Small Business Committee Chairman Steve Chabot (R-OH).

The House Committee on Small Business has been active on this issue since it arose in 2015. The Committee held a roundtable in April 2015 and then in March 2016 held a hearing on the issue entitled, “Risky Business: Effects of new Joint Employer Standards for Small Firms” to examine how the expanded rule impacted small businesses. The Committee found that the new standard led many large companies to either assert more control over small businesses they contract with or end business relationships entirely.

“Today’s Education and the Workforce hearing builds on the groundwork our Committee laid over the past two years and it is good to know that House Republican Leadership is continuing to fight unnecessary and burdensome regulations at every turn,” Chairman Chabot added.

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Small Business Committee Pleased with Progress at SBA’s Office of Chief Information Officer

House Small Business Committee News - Wed, 07/12/2017 - 12:00am

WASHINGTON – Today, the House Small Business Committee held a hearing to examine whether the Small Business Administration’s (SBA’s) Office of the Chief Information Officer (OCIO) is running efficiently and effectively.

Over the years, SBA’s Office of the Chief Information Officer has struggled to fulfill its most important functions, including to conduct effective oversight over the agency’s IT investments and IT security. Government watchdogs have issued numerous reports outlining the OCIO’s many failures and flaws. 

“Unfortunately, the Office of the Chief Information Officer has struggled over the past several years.  It has experienced high turnover at the Chief Information Officer position—SBA is on its eighth CIO since 2005,” said House Small Business Committee Chairman Steve Chabot (R-OH).

“Under new leadership, the Committee is pleased to learn how the current CIO, Ms. Roat, is working to improve the Office of the Chief Information Officer and better fulfill SBA’s important mission. From what the Committee has seen and heard so far, Ms. Roat is trying to strengthen the leadership and voice of her office,” added Chairman Chabot.

Maria Roat, Chief Information Officer at the U.S. Small Business Administration said this during the hearing, “It is necessary to pivot OCIO from a reactive, fire-fighting, technical support operation to a more proactive services organization that is innovative and responsive to the business and technology needs of SBA’s mission. After I arrived, the OCIO began moving aggressively to address its network, systems, and applications and overall operational challenges, move its primary data center to the cloud, address security deficiencies and decrease its personnel vacancy rate.”

You can view the full video of today’s hearing HERE and read the full witness testimony HERE.

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Small Business Committee Requests a Briefing about Recent CFPB Rulemaking Actions

House Small Business Committee News - Tue, 07/11/2017 - 12:00am

WASHINGTON – House Small Business Committee Chairman Steve Chabot (R-OH) sent a letter yesterday to the Honorable Richard Cordray, Director of the Consumer Financial Protection Bureau (CFPB), requesting a briefing on the CFPB’s recent rulemaking actions.

“Small business owners frequently raise concerns to the Committee about the challenges of access to capital and how it prohibits job creation and business expansion. As Congress looks for ways to create an environment for small businesses to flourish, the Committee is wary of increased reporting requirements and onerous regulations, which acutely impact small businesses,” said House Small Business Committee Chairman Steve Chabot (R-OH).

In light of concerns that CFPB’s actions may be harming small businesses, the Committee is seeking details about CFPB’s request for information regarding Section 1071 of the Dodd-Frank Act as well as the manner in which CFPB conducted certain Small Business Regulatory Enforcement Fairness Act (SBREFA) panels.

The full text of the letter can be found HERE.

Chairman Chabot Welcomes Rep. Ralph Norman to the Small Business Committee

House Small Business Committee News - Mon, 07/10/2017 - 12:00am

WASHINGTON – Today, House Small Business Committee Chairman Steve Chabot (R-OH) announced that Rep. Ralph Norman (R-SC) has joined the House Small Business Committee.

“As a real estate developer, former state lawmaker, and lifelong South Carolinian, Ralph will be an invaluable asset to the Small Business Committee as we continue to fight for America’s 29 million small businesses,” said Chairman Chabot. “His pro-small business record is strong and his real-world experience will be an asset. We look forward to his expertise on the committee.”

After being named to the Committee, Norman said, “I’m excited to be named to the Small Business Committee in Congress. I’ve run a small business for over 40 years and I understand the best way to help small businesses is to create an environment for them to flourish - cutting taxes and burdensome government regulations. I look forward to using my experience in the private sector to serve on this Committee and fight for small businesses.” 

Rep. Ralph Norman represents South Carolina’s 5th Congressional District and was appointed to the Small Business Committee on June 27, 2017. He will serve on the Subcommittee on Contracting and the Workforce and the Subcommittee on Investigations, Oversight, and Regulations. 

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A Review of SBA’s 504/CDC Loan Program

House Small Business Committee News - Thu, 06/29/2017 - 10:00am



The Committee on Small Business Subcommittee on Economic Growth, Tax, and Capital Access will meet for a hearing titled, “A Review of SBA’s 504/CDC Loan Program.” The hearing is scheduled to begin at 10:00 A.M. on Thursday, June 29, 2017 in Room 2360 of the Rayburn
House Office Building.


Witnesses 

Mr. Wayne Williams
Senior Vice President
Business Finance Group
Fairfax, VA
Testimony
Disclosure

Ms. Barbara A. Vohryzek
President and CEO
National Association of Development Companies (NADCO)
Washington, DC
Testimony
Disclosure

Mr. Sherwood Robbins
Managing Director
Seedcopa
Exton, PA 
Testimony
Disclosure

Small Business Legislation Included in NDAA Bill

House Small Business Committee News - Thu, 06/29/2017 - 12:00am

WASHINGTON – Today, the House Armed Services Committee passed H.R. 2810, the FYI18 National Defense Authorization Act (NDAA), which includes small business contracting reforms and entrepreneurial development provisions introduced by the House Small Business Committee. 

The two House Small Business Committee bills in the NDAA included are H.R. 1773, the Clarity for America’s Small Contractors Act of 2017, introduced by Chairman Steve Chabot (R-OH) and H.R. 1774, the Developing the Next Generation of Small Business Act of 2017, introduced by Ranking Member Nydia Velazquez (D-NY).

“I am proud that many of the bipartisan bills the House Small Business Committee has worked on were included in the bill.  I thank Chairman Thornberry for his hard work putting together this year’s National Defense Authorization Act and for recognizing the vital role small business reforms play in our nation’s security.  These provisions will ensure small businesses have a greater opportunity to compete for federal contracts, and bring entrepreneurial development programs up-to-date to better equip our small federal contractors,” said Chairman Chabot.

Versions of the following bills were included in HASC’s final NDAA bill:

  • H.R. 1597, the Commercial Market Representatives Clarification Act of 2017, sponsored by Rep. David Brat (R-VA), co-sponsored by Rep. Steve Knight (R-CA) and Rep. Stephanie Murphy (D-FL)
  • H.R. 1640, the Unifying Small Business Terminology Act of 2017, sponsored by Ranking Member Nydia Velazquez (D-NY)
  • H.R. 1693, the Improving Contract Procurement for Small Businesses through More Accurate Reporting Act of 2017, sponsored by Rep. Yvette Clarke (D-NY), co-sponsored by Rep. Brian Fitzpatrick (R-PA)
  • H.R. 1702, the Small Business Development Centers Improvements Act of 2017, sponsored by Rep. Dwight Evans (D-PA), co-sponsored by Rep. Aumua Amata Coleman Radewagen (R-AS) and Rep. Rod Blum (R-IA)
  • H.R. 1680, the Women’s Business Centers Improvements Act of 2017, sponsored by Rep. Steve Knight (R-CA), co-sponsored by Rep. Al Lawson (D-FL)
  • H.R. 1700, the SCORE for Small Business Act of 2017, sponsored by Rep. Alma Adams (D-NC), co-sponsored by Rep. Don Bacon (R-NE)

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The 411 on the 504: One of SBA’s Zero Taxpayer-Funded Loan Program

House Small Business Committee News - Thu, 06/29/2017 - 12:00am

WASHINGTON – Today, members of the House Small Business Subcommittee on Economic Growth, Taxes, and Capital Access heard from key players in the 504/CDC Loan Program.

“Although we are working feverishly to roll back red tape, small businesses face an uncertain lending environment that is compounded due to their reliance on traditional bank borrowing to raise capital. One program to bridge the funding gap that too often acts as a roadblock for small businesses is the SBA’s 504/CDC Loan Program,” said Subcommittee Chairman Dave Brat (R-VA). “As we work to assist small businesses, it is important to hear from those who have on the ground experience with the program.”  

A Review of SBA’s 504/CDC Loan Program
Witness Testimony

“Under the program, a financial institution partners with a CDC, a specialized SBA-certified nonprofit corporation, to finance small businesses looking to expand,said Natasha Merz, Vice President of Commercial Lending at the Langley Federal Credit Union, Newport News, VA.The program helps financial institutions attract and serve small business borrowers that need financing for plant and major-equipment acquisition that may not meet conventional underwriting criteria.”

My role as a loan officer was to meet with borrowers and referral sources to educate them about the 504 loan program and to generate loans. Borrowers in turn would share with me their plans and dreams for growing their businesses and making a difference in their communities,” said Wayne Williams, Senior Vice President of the Business Finance Group Inc., Fairfax, VA. “And for me has become one of the best things about CDCs and 504 lending – the feeling that our lending can and does make a tangible difference in our communities.”

The fact that 504 requires no subsidy from the taxpayers is a point of pride, and we hope to work to ensure the loan portfolio continues to operate that way each year,” said Barbara Vohryzek, the President and CEO of the National Association of Development Companies. “Since 1991, 504 loans have created or sustained 2.1 million jobs through 128,000 loans, delivering $70 billion in financing to Main Street. The Otterbox was a 504 borrower…Chobani yogurt is a 504 product…and if you’re into music, SXSW is a 504 product.”

Sherwood Robbins, Managing Director of Seedcopa, a CDC in Exton, Pennsylvania said, “The true impact of 504 lending goes beyond the number of jobs created at a borrower site to include the inferred job creation that occurs throughout the surrounding community and the overall increase in consumer confidence that generates and maintains consumer spending across the economy.”

You can view the full video of today’s hearing HERE and read the full witness testimony HERE.

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Chairman Chabot Statement on WOTUS Rule

House Small Business Committee News - Wed, 06/28/2017 - 12:00am

WASHINGTON – House Small Business Committee Chairman Steve Chabot (R-OH) released the following statement after the Trump Administration withdrew the Waters of the United States (WOTUS) rule this week:

“I applaud President Trump’s decision to repeal the WOTUS rule, which has been devastating to entrepreneurs and small businesses across the country. Washington should not have control over all our country’s waterways – especially when they directly affect the livelihood of so many farmers and entrepreneurs. Anytime we can get rid of another unnecessary regulation it is a win for small businesses and our economy overall.”

The House Small Business Committee has held several hearings and sent multiple letters to the Administration over the years about the WOTUS Rule. 

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SBC Holds Roundtable to Discuss How to Help Veteran-Owned Small Businesses

House Small Business Committee News - Wed, 06/28/2017 - 12:00am

WASHINGTON –  Today, House Small Business Committee Chairman Steve Chabot (R-OH) led a roundtable discussion with government contracting experts, service-disabled veteran-owned small business owners, and stakeholder groups to discuss how to help veteran-owned small businesses with government contracting issues.

Specifically, the discussion focused on how to help service-disabled veteran-owned small businesses and veteran owned small business contractors succeed following the Kingdomware United States Supreme Court decision on June 16, 2016. In Kingdomware Technologies, Inc. v. United States, the Supreme Court ruled that the U.S. Department of Veterans Affairs (VA) will be required to put veterans first in all of its procurement actions, upholding the “rule of two.”

“Many of my fellow Committee members, some of whom are veterans themselves, are committed to making sure the law is upheld and the VA is truly putting veterans first,” said House Chairman Steve Chabot (R-OH).

“Even though our legislative options are limited, our work continues. We will carry on our fight for all small businesses and their hard working employees to ensure that opportunities for veterans are plentiful and fair.”

Participating in the roundtable were representatives from VET Force; PilieroMazza Advisory Services; Goldschmitt and Associates; MCB Lighting & Electrical; Strategy and Management Services; and PDS Consulting. 

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