The Committee on Small Business hearing titled, “American Infrastructure and the Small Business Perspective,” has been postponed. THE HEARING WILL BE RESCHEDULED TO A LATER DATE.Attachments
WASHINGTON – Today, House Small Business Committee Chairman Steve Chabot (R-OH) and Ranking Member Nydia Velazquez (D-NY) recognized Small Business Development Center (SBDC) Day. SBDC’s offer counseling, training and technical assistance in all aspects of business creation and management.
“SBDC’s began in 1976 with only eight participating universities. Today, the program is the largest and most utilized entrepreneurial development program, boasting over 1,000 centers across the country, within the Small Business Administration. This isn’t surprising considering they are a critical resource for small business owners and entrepreneurs. For over 40 years, we have seen the remarkable impact that SBDCs have on not only the small business community, but on the American economy overall, said Chairman Chabot.
“For millions of budding small businesses, SBDCs are there to provide hands-on assistance and mentorship, serving as a ‘one-stop shop’ towards building a successful venture. Today, I am proud to join Chairman Chabot in recognizing the dynamic and vital role that SBDCs play in fostering a thriving small business economy,” said Velazquez.
In Fiscal Year 2017:
The Committee on Small Business Subcommittee on Contracting and Workforce will meet for a hearing titled, “Workforce Development: Advancing Apprenticeships for Small Business.” The hearing is scheduled to begin at 2:00 P.M. on Tuesday, March 20, 2018 in Room 2360 of the Rayburn House Office Building.
Subcommittee Members will continue the Committee’s exploration of strategies to mitigate small business workforce challenges caused by the skills gap. On February 26, 2018 the Committee held a field hearing, “Workforce Development: Closing the Skills Gap,” which focused on career and technical education programs. This hearing will examine apprenticeship initiatives, specifically the Department of Labor Registered Apprenticeship Program, which combines on-the-job learning and related technical instruction.Attachments
WASHINGTON – Today, House Committee on Small Business Chairman Steve Chabot (R-OH) released the following statement in support of Subcommittee Chairman on Contracting and Workforce Steve Knight’s (R-CA) bill, the Accelerated Payments for Small Businesses Act, encouraging federal agencies to make payments to small business prime contractors within 15 days of sending an invoice:
“While the Office of Management and Budget's (OMB) accelerated policy of making sure small businesses get paid by the federal government within 15 days was a critical decision, we now need to ensure it stays in place. That way, small business prime contractors and prime contractors that subcontract with small businesses can continue to do business and not pass on any unnecessary costs to the taxpayer. I’d like to thank Subcommittee Chairman Knight and my colleagues for their work on this vital piece of legislation.”
“Small business contractors rely on a consistent and reliable flow of income in order to keep their operations running smoothly. The Accelerated Pay for Small Business Act will help to ensure these businesses receive their payments in a timely and accountable manner. This consistency will enable businesses to focus on improving their services and expanding production. I want to thank Congressman Espaillat, Chairman Chabot, and Ranking Member Velazquez for their help in introducing this bipartisan legislation,” said Knight.
Chairman Chabot, Ranking Member Velazquez (D-NY) and Rep. Adriano Espaillat (D-NY) are all original co-sponsors of the Accelerated Payments for Small Businesses Act.
Chairman Chabot and Ranking Member Velazquez also sent a letter to OMB Director Mick Mulvaney in December 2017 requesting the agency continue to direct agencies to make accelerated payments -- within a goal of 15 days -- to small business prime contractors and other-than-small prime contractors that subcontract with small businesses, instead of the mandatory 30 days required under the Prompt Payment Act.Read More
WASHINGTON—Today, the Committee on Small Business Subcommittee on Contracting and Workforce heard from a panel of witnesses on apprenticeship initiatives—specifically, the Department of Labor Registered Apprenticeship Program, which combines on-the-job learning and related technical instruction.
“The Small Business Committee has heard many accounts of the skills gap and its detrimental impact on small businesses and the American economy,” said Subcommittee Chairman Steve Knight (R-CA). “To combat this issue, Americans need an arsenal of workforce development strategies that balance the immediate needs of employers, long-term career goals of employees, and the rapid evolution of technology.”
A Centuries Old Practice
Apprenticeships, a centuries old practice, is experiencing a resurgence in the United States in light of the recent skills gap issue facing the small business workforce. The growing price tag for higher education, coupled with lost revenue caused by the skills gap, has increased demand for apprenticeships from both the workforce and industry.
“It is our hope that apprenticeships will be implemented in other areas across the country, other sectors and that general awareness of apprenticeships will increase with students, parents, educators, and business owners,” said Tammy Simmons, Vice President of Human Resources and Marketing at Machine Specialties, Inc., in Whitsett, NC. “Good collaboration on these programs sets the businesses and students up for success. A winning outcome for business and a winning outcome for the school systems is a tremendous win for the community as a whole.”
“The focus on Apprenticeship is greater today than ever before. From the launch of the American Apprenticeship Initiative in 2016, to the Executive Order issued recently under President Donald J. Trump, Registered Apprenticeship has taken center stage as an effective way for companies to develop a pipeline of talent to meet the critical needs of their workforce,” stated Jeffery Forrest, Vice President of Economic and Workforce Development at the College of the Canyons, in Santa Clarita, CA.
“Apprenticeships are a proven and needed piece of a company’s workforce strategy to combat the skills gap. They help small businesses build a pipeline of skilled workers, grow internal talent, retain employees, reduce recruiting costs and improve productivity,” said Jeannine Kunz, Vice President of Tooling U-SME in Cleveland, Ohio. “Undoubtedly, support of small businesses needs to be at the forefront of our conversations about strong economic and workforce development.”
“There is a robust pool of individuals ready and willing to learn the skills needed by employers. Apprenticeship programs provide employers with an untapped source of skilled individuals, many of which may be passed over in a traditional hiring process,” stated Jeff Mazur, Executive Director of LaunchCode, in St. Louis, MO.Read More
WASHINGTON—Last week, Chairman Steve Chabot (R-OH) and Subcommittee on Economic Growth, Tax, and Capital Access Chairman Dave Brat (R-VA) sent a letter to the Small Business Administration (SBA) Office of Advocacy requesting the office conduct research examining the economic conditions for small business with the rise of occupational licensing.
“At a time where small business owners are particularly having a hard time filling vacant positions, we are concerned that occupational licensing laws could have unintended consequences on small business,” said Chairman Chabot and Subcommittee Chairman Brat. “Small businesses lack the resources of their larger counterparts to navigate licensing barriers, and low an middle income Americans typically cannot afford the high entrance costs and extensive educational requirements that licensing require.”
The Committee on Small Business has held a series of hearings this Congress addressing the issues affecting the small business labor market and how occupational licensing influences small business and entrepreneurship.View full letter here Read More
WASHINGTON – Today, House Committee on Small Business Chairman Steve Chabot (R-OH) released the following statement after the United States Court of Appeals for the Fifth Circuit ruled the Department of Labor’s (DOL) fiduciary rule “unreasonable.” The rule was an Obama-era regulation that would have limited access to affordable retirement savings advice.
“The fiduciary rule was just another example of regulatory overreach during the last Administration. This court decision was a step in the right direction as far to roll back another harmful regulation that affects small business owners, employees, and anyone trying to save and plan for the future.”
WASHINGTON - Yesterday, House Small Business Committee Chairman Steve Chabot (R-OH), Senate Small Business and Entrepreneurship Committee Chairman Jim Risch (R-ID), House Ranking Member Nydia Velázquez (D-NY) and U.S. Senator Jeanne Shaheen (D-NH) applauded the passage of their Small Business 7(a) Lending Oversight Reform Act of 2018 from both the Senate and House small business committees. This bipartisan, bicameral legislation will increase the Small Business Administration’s (SBA) oversight authority over the 7(a) loan program and now goes before both bodies for consideration.
“The 7(a) Loan Program remains one of the SBA’s most significant because it fills an important gap for small business owners in need of capital who may be struggling to get it otherwise. Our legislation will allow the SBA to keep a closer watch on the program to make sure it is running effectively, while also continuing to run at a zero cost to taxpayers. The fact that both the House and Senate, and both sides of the aisle, are supporting this legislation is a testament to how critical it is to help the small business owner succeed and grow,” said Chairman Chabot.
“The unanimous passage of this bill from both committees underscores how important the 7(a) program, and the capital it provides, is to our nation’s small business owners,” said Senator Risch. “This bill will ensure SBA has the tools it needs to oversee this growing program, provide lenders with needed clarity, and make sure entrepreneurs and small business owners have access to funds they would otherwise not be able to obtain."
“When it comes to helping entrepreneurs secure reliable capital, the 7(a) program is a linchpin in the small business economy,” said Ranking Member Nydia M. Velázquez (D-NY). “The reforms contained in this bill will help ensure the program operates even better, helping more small firms obtain affordable credit to grow their operations and create jobs. I’m particularly pleased by the provisions in this bill granting SBA flexibility to raise their lending authority cap to avoid the program temporarily going off line when there’s unexpected loan volume. I especially want to thank Chairman Chabot for his leadership and for working in such a collaborative manner on this bill. I also want to applaud Senators Risch, Shaheen and Cardin for making this process both bipartisan and bicameral.”
“Small businesses are the engine that drives New Hampshire’s economy, and the SBA’s 7(a) loan program plays a critical role in providing those businesses with the resources they need to succeed,” said Shaheen. “I’m pleased by the bipartisan and bicameral support for this bill, and will continue to work across the aisle to push forward legislation that helps Granite State business owners access the capital they need to expand their companies and workforce.”
The Independent Community Bankers of America, which represents nearly 5,700 community banks, praised the Committees’ passage of the 7(a) loan program legislation. In a statement, ICBA President and CEO Camden R. Fine said: “ICBA and the nation’s community bankers thank House and Senate policymakers for promoting a robust and sustainable 7(a) program to help small businesses create jobs and strengthen our economy.”
This bill is additionally supported by the National Association of Government Guaranteed Lenders (NAGGL), the American Bankers Association (ABA), the National Association of Federally-Insured Credit Unions (NAFCU), the U.S. Chamber of Commerce, and the Consumer Bankers Association.
The 7(a) loan program is a Small Business Administration (SBA) program that helps entrepreneurs and small businesses access credit to start and grow their businesses when they are unable to get a conventional loan. The Small Business 7(a) Lending Oversight Reform Act of 2018 preserves this important loan program by:
• Strengthening SBA’s Office of Credit Risk Management by outlining in statute the responsibilities of the office and the requirements of its director;
• Enhancing SBA’s lender oversight review process, including increasing the office’s enforcement options;
• Requiring SBA to detail its oversight budget and perform a full risk analysis of the program on an annual basis;
• Strengthening SBA’s Credit Elsewhere Test by clarifying the factors that must be considered.
The Committee on Small Business will hold a markup of legislation to amend the Small Business Act and the Small Business Investment Act. The markup will be held at 11:00 A.M. on Wednesday, March 14, 2018, in Room 2360 of the Rayburn House Office Building. The items that will be marked up include:
WASHINGTON— Today, the House Committee on Small Business held a markup to amend the Small Business Act and the Small Business Investment Act. All six bills passed through Committee on bipartisan votes.
H.R. 4743, the Small Business 7(a) Lending Oversight Reform Act, introduced by Chairman Steve Chabot (R-OH)
H.R 4743 amends the Small Business Act to strengthen the Office of Credit Risk Management within the Small Business Administration.
“With the popularity and recent growth of the Small Business Administration’s (SBA) 7(a) Loan Program, this bill will ensure the integrity of the program while protecting taxpayer dollars,” said Chairman Chabot.
Passed by voice vote.
H.R. 3170, the Small Business Development Center Cyber Training Act, introduced by Chairman Chabot
H.R. 3170 amends the Small Business Act to provide cyber certification for Small Business Development Center counselors.
“The ability to withstand a cyberattack in today’s highly technological world is imperative for small businesses. H.R. 3170 is a step in the right direction to ensure that small business owners have access to trained cybersecurity professionals in case they are hacked,” said Chairman Chabot.
Passed by voice vote.
H.R. 4668, the Small Business Advanced Cybersecurity Enhancements Act, introduced by Chairman Chabot
H.R. 4668 amends the Small Business Act to provide for the establishment of an enhanced cybersecurity assistance and protections for small businesses.
“The federal government should work hand-in-hand with small businesses on cybersecurity matters,” said Chairman Chabot. “This bill aims to increase the defensive measures available for small businesses undergoing or concerned about a cyber attack and to incentivize more information sharing between the private sector and the federal government.”
Passed by voice vote.
H.R. 2655, the Small Business Innovation Protection Act, original cosponsored by Rep. Brian Fitzpatrick (R-PA)
H.R. 2655 amends the Small Business Act to expand intellectual property education and training for small businesses.
“Small businesses rely on intellectual property rights like patents, trademarks, and copyrights to protect their ideas and products. These essential property protections promote entrepreneurship and innovation. Unfortunately, many small business owners lack the knowledge, expertise, and resources to secure their intellectual property both here at home and abroad,” said Congressman Brian Fitzpatrick (R-PA). “The Small Business Innovation Protection Act will help small businesses leverage existing educational programs to protect their intellectual property from domestic and international harm. I’m proud to support this common sense measure.”
Passed by voice vote.
H.R. 5236, the Main Street Employee Ownership Act, as well as H.R. 5178, the Puerto Rico Small Business Contracting Act, both introduced by Ranking Member Nydia Velázquez, also passed the Committee today.
To watch the full committee markup, click here.
The Committee on Small Business will meet for a hearing titled, “Disparities in Access to Capital: What the Federal Government Is Doing to Increase Support For Minority Owned Firms.” The hearing is scheduled to begin at 10:00 A.M. on Monday, March 12, 2018 at the Jacksonville Chamber of Commerce, 3 Independent Dr., Jacksonville, FL.
Small businesses owners, particularly women and minorities, face unique challenges when it comes to getting a loan to help them grow and create new jobs. At a time when minority-owned businesses are growing at a faster pace, they still secure financing at much lower levels than many other businesses. Without adequate access to capital, whether microloans, commercial lending, or investment capital, small minority firms cannot compete for government contracts, grow their business, or create jobs in their local communities. The hearing will focus on the challenges they face with Small Business Administration (SBA) lending programs, traditional bank loans, private investment capital, and other alternative financing.Attachments
WASHINGTON – This week, the National Federation of Independent Business (NFIB) announced that its small business optimism index rose in February to its second-highest reading in the 45-year history of the monthly survey.
According to the report:
For the full NFIB Small Business Optimism Index click here.
“Every day we are seeing the positive effects of the historic tax reform package signed into law in December. Our 30 million small businesses are less worried about taxes and more optimistic about the future of their businesses and hiring potential,” said House Committee on Small Business Chairman Steve Chabot (R-OH).
In December, Chairman Chabot praised the passage of the Tax Cuts and Jobs Acts Conference Report.Read More
WASHINGTON – This week, Chairman Chabot released the following statement after the U.S. Small Business Administration (SBA) Office of Inspector General (OIG) published a report evaluating SBA’s 7(a) loans made to poultry farmers:
“Unfortunately, the report confirms what the Committee already suspected: that there is misuse within the program regarding 7(a) loans made to poultry farmers that began in previous Administrations. OIG found loans made to farmers did not meet the SBA’s regulatory requirements for eligibility. The House Committee on Small Business plans to call the SBA Acting IG, along with SBA officials, to testify before the Committee about OIG’s findings and its recommendations. This report is further justification that more oversight at the SBA is needed to ensure the integrity of the 7(a) Loan Program as well as the necessity of passing H.R. 4743, the Small Business 7(a) Lending Oversight Reform Act.”
To read the SBA’s OIG report click here.Read More
WASHINGTON – Today, Chairman Chabot (R-OH) released the following statement after the House passed H.R. 1917, the Blocking Regulatory Interference from Closing Kilns (BRICK) Act:
“As Chairman of the Committee on Small Business, I continue to hear from small business owners all across America that compliance with regulations is one of the greatest challenges they face. The regulation at issue in the BRICK Act is one such regulation that is estimated to cost the industry $100 million to comply. I support this bill because it would provide crucial relief to America’s brick, clay, and tile industries, the majority of which are small businesses. We should always remember that small businesses create about 7 out of every 10 new jobs in America. The last time a regulation like this was finalized, a federal court vacated the rule, but by then most brick makers had already undertaken expensive compliance measures that could not be reversed. The BRICK Act ensures that small business owners do not have to worry about spending millions of dollars to comply with a regulation that may well be thrown out of court again.”Read More
The Committee on Small Business will meet for a hearing titled, “Regulatory Reform and Rollback: The Effects on Small Businesses.” The hearing will take place at 11:00 A.M. on Wednesday, March 7, 2018 in Room 2360 of the Rayburn House Office Building.
Complying with federal regulations continues to be one of the biggest challenges for America’s small businesses. In an effort to reduce the continuing burden, both Congress and President Trump have taken steps to reduce the regulatory burden on small businesses by rolling back and revising existing regulations. The President has also taken steps to reform the regulatory process and require federal agencies to review their existing regulations and identify candidates for removal or revision. This hearing will examine the effects of Congress and the President’s regulatory reform and rollback efforts on small businesses and explore ways to continue to provide regulatory relief.Attachments
The Committee on Small Business Subcommittees on Health and Technology and Agriculture, Energy, and Trade will meet for a joint hearing titled, “Disconnected: Rural Broadband and the Business Case for Small Carriers.” The hearing is scheduled to begin at 10:00 A.M. on Tuesday, March 6, 2018 in Room 2360 of the Rayburn House Office Building.
This hearing will examine the disparities between large, nationwide carriers and small, rural carriers that contribute to the urban and rural digital divide. Rural communities depend on small carriers to provide internet and telecommunications service where nationwide providers may choose not to deploy broadband, or provide minimal service. Deploying broadband in these high-cost areas requires significant investment in capital, time, and resources. The cost of investment, coupled with challenges unique to small, rural carriers in offsetting costs creates barriers to competition and sustainability for small and rural carriers in the mobile wireless marketplace. This hearing will focus on challenges inherent in the current regulatory and operational schemes that limit the ability of small carriers to deploy broadband in rural America.Documents
The Committee on Small Business hearing titled, “How Red Tape Affects Community Banks and Credit Unions: A GAO Report,” originally scheduled for 11:00 A.M. on Wednesday, February 28, 2018, is rescheduled for 2:00 P.M. on Tuesday, February 27, 2018 in Room 2360 of the Rayburn House Office Building.
The hearing will examine a report by the United States Government Accountability Office (GAO) that assessed how regulations impact community banks and credit unions. The GAO report identifies a number of financial regulations that are burdensome for small financial institutions. Additionally, the report outlines the tools and methods that financial regulators have at their disposal to reduce burdens on small financial institutions. The hearing will provide Members of the Committee with the opportunity to explore the regulations that are impacting the institutions that are instrumental in delivering capital to the nation’s small businesses.Attachments
The Committee on Small Business Subcommittee on Economic Growth, Tax, and Capital Access will meet for a hearing titled, “Occupational Hazards: How Excessive Licensing Hurts Small Business.” The hearing is scheduled to begin at 10:00 A.M. on Tuesday, February 27, 2018 in Room 2360 of the Rayburn House Office Building.
This hearing will examine how easing occupational licensing barriers could reduce workforce gaps and regulatory costs for small businesses.Attachments
The Committee on Small Business will meet for a hearing titled, “Workforce Development: Closing the Skills Gap.” The hearing is scheduled to begin at 11:30 A.M. on Monday, February 26, 2018 in Boilermakers Local Lodge No. 13 at 2300 New Falls Road, Newportville, PA.
The Committee will examine ways in which federal programs help or hinder workforce development initiatives aimed at supporting small businesses. The hearing will explore methods in which programs can close the skills gap while also connecting a new generation of workers with rewarding jobs in industries that lack qualified applicants.Attachments