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 News From The Hill Feb. / Mar. 2007 

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CBC Calls for Select Committee on Hurricane Katrina

 Congresswoman Carolyn Cheeks Kilpatrick (D-MI), Chairwoman of the Congressional Black Caucus CBC, has sent a letter to House Speaker Nancy Pelosi requesting the appointment of a Select Committee on Hurricane Katrina. Members of the 43-member Caucus believe rebuilding at home must be a priority for the over 200,000 Americans still out of their homes.

“The Bush Administration has turned its back on our fellow Americans, the victims of the greatest disaster on American soil in our generation,” read the letter. “How can we talk about reconstruction abroad when we cannot help our fellow Americans at home?”

The President’s failure to mention Hurricane Katrina in the State of the Union address reinforced the Administration’s failed response, relief, and recovery.

“Members of the Congressional Black Caucus are disappointed that President Bush did not mention, or address, the continuing catastrophic situation in the Gulf Coast, particularly New Orleans...We must act immediately to give the over 300,000 people, including women and children, hope for the future…a Select House Committee on Katrina offers the best hope for development.”

CBC Members met to discuss a plan of action aimed at meeting the needs of those affected by Hurricane Katrina. In addition to forming a Select Committee, the group’s strategy for confronting the continuing crisis includes pursuing debt forgiveness for the City of New Orleans and State of Louisiana, securing funds for transitional housing, providing emergency financial resources to bolster public safety infrastructure, holding hearings on FEMA’s post-Katrina efforts, and introducing  legislation designed to repeal immunity laws for the Corps of Engineers.  

“The CBC wants to ensure that the Administration plans to ‘[extend the] hope and opportunity’ President Bush mentioned in his recent State of the Union  address to the thousands of families that were displaced by Hurricanes Katrina and Rita,” said Congresswoman Kilpatrick. “The American people expect our country to live up to its promise to help all Americans achieve their full potential. We will continue to fight for the families so that today’s obstacles become tomorrow’s opportunities.”

 

Senate Passes Provision to Ease Regulatory Burden on Small Businesses; Key Funding for
Women’s Business Centers

The United States Senate unanimously (99 to 0) passed a bipartisan amendment by Senators Olympia J. Snowe (R-Maine), John Kerry (D-Mass.), Mike Enzi (R-WY), and Mary Landrieu (D-LA) that would greatly reduce the burden of onerous federal regulation on small businesses.  The provision is now a part of the minimum wage legislation (H.R. 2) that is currently being debated by the Senate.

“Overly complex  federal regulations place an unfair burden on American small businesses that are forced to waste time and money to ensure they are in compliance,”  Snowe said.  “Establishing  guidelines and standards for the production of assistance material by federal agencies will allow small businesses to focus their energy where it belongs, on meeting the needs of their customers.  That is exactly what this amendment  accomplishes and I am proud to have worked side-by-side with Senators Kerry, Enzi and Landrieu to get this critical provision through the Senate today.”

“Reducing red tape for small businesses is one of my top priorities. Helping small firms navigate the system  for  complying with regulations is critical to their  success and  continued contribution to our economy. I’m committed to seeing that small businesses have every tool available – from guides to direct compliance assistance and counseling,” said Kerry, Chairman of the Committee on Small Business and Entrepreneurship.

“Cost mandates, such as a minimum wage increase, impose significant financial burdens on our small employers. We must do everything we can to help alleviate this burden and ensure that small businesses remain the well-running engine of our economy. Providing the kind of common-sense compliance assistance called for in Senator Snowe’s amendment is one of the ways that we can assist small businesses in meeting the administrative costs associated with federal regulation,” said Enzi.  “I commend Senator Snowe for her efforts on behalf of small businesses and am proud to be a co-sponsor of this legislation with her.”

“I support Senator Snowe in her efforts to reduce  the burden on  small businesses nationwide,” Sen. Landrieu said. “Louisiana businesses in particular have little time to deal with additional red tape and paperwork, as they recover from Hurricanes Rita and Katrina. This amendment is a commonsense solution that lessens the regulatory burden on our businesses by providing them with some relief from the usual layers of federal red tape.”

This amendment will  facilitate the  compliance of small businesses with federal regulations that directly impact their productivity.  Section 212 of the Small Business Regulatory Enforcement Fairness  Act (SBREFA)  requires that agencies produce small entity compliance guides when the agency is required to prepare a final regulatory flexibility analysis under the Regulatory Flexibility Act. 

However, the Government Accountability Office (GAO) has reported that several loopholes exist in Section 212, allowing agencies to either poorly fulfill their duties under Section 212, or ignore them altogether.  The amendment will:

 

  •      Clarify the SBREFA requirement that agencies produce small entity compliance guides.

 

  •  Ensure that these compliance guides provide adequate and useful compliance assistance materials to help small businesses meet the compliance obligations imposed by regulations. 

 

  • Require that agencies “designate” the publications prepared under the section as “small entity compliance guides.”

 

  • Clarify that compliance guides should be published simultaneously with, or as soon as possible after, the final rule is published, or no later than the rule’s effective date.

 

  • Clarify the phrase “compliance requirements,” so that small businesses know how to satisfy the requirements                                and know how they have met these requirements.

 

  • Require that agencies annually report to Congress about their compliance with the Act’s requirements.

 

The Senate also unanimously passed an amendment sponsored by Senators Kerry, Snowe, and John Sununu (R-N.H.) to create a grant program for established, successful Women’s Business Centers around the country. The provision is also now part of the minimum wage legislation being considered on the Senate floor.

“I’ve been working for 21 years on the Committee to promote expanded entrepreneurial opportunities for women and secure funding for these centers  which help turn ideas into jobs, start-ups into success,” said Kerry.  “I cannot stress enough the vital role Women’s Business Centers play in cities all around the country, like Boston and Worcester. This amendment ensures we will be providing women-owned small businesses the tools they need to grow and flourish.”

“We cannot afford to ignore, or minimize, the extraordinary  contributions America’s  business women are making to our economy, our culture, and our future.  The achievements of women entrepreneurs are undeniable.  Women-owned firms generate almost $2.5 trillion in revenues.  They employ more than 19 million workers and are the fastest growing segment of today’s economy.  In my home state of Maine alone, more than 63,000 women-owned firms generate an astounding $9 billion in sales,” said Snowe. 

Senator Sununu said: “Women’s Business Centers contribute to the strength and diversity of the small business community.   Centers that have performed at a high level should have the option of applying for additional help to enable their important work to continue.”

The amendment is similar to language that passed out of the Committee on Small Business and Entrepreneurship last summer as part of S. 3778, the comprehensive Small Business Administration reauthorization bill, which is based on the Women’s Business Center Sustainability Pilot Program Kerry created in 1999.

Specifically, the amendment allows established Women’s Business Centers to apply for 3-year grants on an ongoing basis. This permanent stream of federal funding is critical to helping the Centers secure matching private funds. This amendment also prohibits the Centers from sharing information about their clients without their consent, unless the information is required by a court order or to do an audit of the center.  

 

Small Business Committee Reorganized to Provide Entrepreneurs with a Stronger Voice

With the House Small Business Committee’s position to assume a new role in Congress, Chairwoman Nydia M. Velázquez announced a reorganization of the subcommittee structure.  The committee’s goal is to ensure that the needs of small  businesses are being fully examined, and that necessary actions are being taken to address those issues.

“The reorganization of the subcommittee structure will ensure that the committee is best positioned to evaluate the issues small firms face, and to take legislative action to address those needs.  This will help guarantee that the committee can successfully fulfill this new function and give small businesses a greater voice in Congress,” Chairwoman Velázquez said.

In the 110th Congress, the Small Business Committee has been given a greater ability to address a broader scope of issues that impact entrepreneurs, beyond the Committee’s traditional purview of the Small Business Administration (SBA).  This will ensure Congress considers the effects of these initiatives on this nation’s 26 million small businesses.  To accomplish this, the number of subcommittees will increase from four to five, and each will have its own specific focus and jurisdiction over various SBA programs and small business issues. 

The five subcommittees are as follows:  Subcommittee on Finance and Tax, Subcommittee on Contracting and Technology, Subcommittee on Regulations, Healthcare and Trade, Subcommittee on Rural and Urban Entrepreneurship and Subcommittee on Investigations and Oversight.

“As  drivers of  the economy, small businesses deserve nothing less than to have their needs fully examined, and considered, in Congress today,” Chairwoman Velázquez said.

“With the expanded responsibility and new organization, the committee will be able to ensure the needs of this nation’s entrepreneurs are being met so they can move forward as the innovators, and main job creators, of this country.”

 

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