Steve Chabot

Mr. CHABOT

Mr. CHABOT. Madam Speaker, I yield myself such time as I may consume. I would urge my colleagues to suspend the rules and pass H.R. 4252, legislation to extend the authorization for programs under the Small Business Act and the Small Business Investment Act, as well as any program operated by the Small Business Administration for which Congress has already appropriated funds. This extension will last until May 23, 2008. I want to thank the distinguished chairwoman of the Small Business Committee, Ms. Velazquez, for working with me in her usual gracious manner. With the current extension set to expire December 15, which isn't very far away, obviously, the extension is crucial to ensuring programs designed to help our small businesses are able to continue to operate. Working in a bipartisan effort with Chairwoman Velazquez, the committee has reported 14 bills, most of which have been overwhelmingly bipartisan, and all of which have passed the House of Representatives. While we have worked at a rather furious pace in an effort to formally reauthorize SBA programs, the other legislative body has had difficulties coming to the same bipartisan consensus. So without passage of this temporary legislation today, we find ourselves at risk of shortchanging the government contracting and capital programs for small businesses and impeding the management of the SBA. Even with deliberations completed in the House, we operate in a bicameral legislative system. Time is needed for the legislative process in both bodies to function and, if necessary, for the two bodies to meet in conference to iron out any disagreements and to ensure that the SBA and its programs are best promoting the health of America's entrepreneurs who, after all, employ an awful lot of people in this country. The work cannot be expected to be done in a deliberative, thoughtful, and bipartisan manner with the looming deadline of midnight December 15 hanging over our heads. Again, Madam Speaker, I want to thank my friend from New York for her very hard work on this legislation, and I urge all my colleagues to join us in supporting H.R. 4252, this bill. I yield back the balance of my time.

Mr. CHABOT

Mr. CHABOT. Madam Speaker, I have no further speakers, so I yield back the balance of my time.

Mr. CHABOT. Madam Speaker, I yield such time as he may consume to the gentleman from Florida (Mr. Buchanan).

Mr. CHABOT. Madam Speaker, I yield myself such time as I may consume. Today, Madam Speaker, I rise in support of the request to suspend the rules and pass H.R. 4253, the Military Reservist and Veteran Small Business Reauthorization and Opportunity Act of 2007. I would like to thank Chairwoman Velazquez for working in a cooperative and bipartisan manner to bring this bill, which incorporates provisions of a bill authored by Mr. Buchanan, who is a freshman member of the Small Business Committee and who has already shown tremendous initiative and leadership on that committee, to the House floor. While we could never adequately repay the debt we owe to America's fighting men and women for their service and sacrifice, today's bill takes important steps to help our Nation's veterans make a smoother transition to civilian life. While serving in the Armed Forces, service men and women learn and practice technical skills valued in today's civilian workforce, in addition to the leadership and decisionmaking skills that they learn on the battlefield. All of these attributes are critical to success in the business world and are particularly important traits for successful small business owners. Despite the success that veterans have shown in starting and operating small businesses, more must be done to assist our veterans in the startup and operation of their businesses. Outreach must improve to ensure that veterans wishing to start their own businesses will have the training and advice needed to transfer their skills to entrepreneurship without first working for someone else. Title I of H.R. 4253 represents an excellent start in the efforts to expand and ensure that our veterans have the technical support they need to start their own businesses. I want to especially thank the chairwoman for incorporating Mr. Buchanan's interest in expanding the number of Veterans Business Outreach Centers, which will play an increased role in providing assistance to veterans wishing to start small businesses. The technical advice and assistance are not limited to veterans continuing their service in the Reserves. Title II of the bill recognizes Reservists who operate small businesses have their own unique set of operational problems associated with their call-up to duty. They may not know how long their call-up will last and they need assistance in ensuring they have a plan in place to operate their business while they are on active duty. This legislation builds on the existing network of entrepreneurial partners to deliver key technical and operational assistance to Reservists. Another important element of the bill is the recognition of the changing nature of the military with a greater involvement of women. The legislation requires the administrator to expand assistance to women veterans and Reservists. Given the rapid expansion and success of women-owned businesses, it makes sense to ensure that the needs of women Reservists are met when they seek to start and operate small businesses. Our fighting men and women are the best in the world. Let us help them become the best entrepreneurs in the world by enacting this legislation, H.R. 4253. Again, I want to thank Mr. Buchanan for his leadership in this effort, and I also want to thank the gentleman from Pennsylvania, Mr. Altmire, who also has worked very hard in this area as well and is responsible for this bill being here today. Madam Speaker, I reserve the balance of my time.

Mr. CHABOT

Mr. CHABOT. Mr. Speaker, I rise in support of H.R. 3791, the Securing Adolescents From Exploitation-Online Act of 2007. The bill's author, the distinguished gentleman from Texas (Mr. Lampson) and I have worked closely on several bills in strengthening our child protection laws. I also want to thank Chairman Conyers and also the gentleman from Virginia (Mr. Forbes) for their leadership in this area as well. And I'm pleased to be the principal cosponsor of this bill with Mr. Lampson, particularly as it provides law enforcement with better information to fight the despicable act of child pornography. We don't have to look any further than our homes and our communities to see that predators are threatening and victimizing our children with just a simple click. The Internet, while providing a world of opportunity to our children, has also contributed to a worldwide expansion of child pornography enabling predators to more easily abuse, exploit and prey on our most precious items, and that's our children. H.R. 3791 builds on the investigative tools already in place under the leadership of the National Center for Missing and Exploited Children. Through the CyberTipline, the center plays a critical role interfacing between Federal, State and foreign law enforcement and the public, providing valuable information in ongoing investigations. H.R. 3791 recognizes that advances in technology have made electronic communication service providers the first line of defense against crimes against children, possessing the real-time information critical to child pornography investigations. By requiring electronic communication service providers to report this information to the CyberTipline as soon as reasonably possible and maintain this information for an investigation, this act, the SAFE Act, is giving Federal, State and foreign law enforcement and prosecutors a fighting chance to put these criminals away, no matter where they are located. And one of the things that I found out in doing investigations into this particular area was the shocking fact that there are only 50 nations, including the United States, where child pornography is illegal. Fifty nations. There are 184 nations around the world where it's perfectly legal to have, possess, to convey child pornography. So that's something that I think we need to have some focus and some attention directed upon, how much of the world, and that stuff gets in here through the Internet. It may be in China, it may be in Pakistan, it may be somewhere else, but it can be on our computers in our living rooms with our children very quickly, so we need to do a much better job on that, too. But I want to again thank Mr. Lampson for his leadership in this area, and I again want to urge my colleagues to support H.R. 3791 today.

Mr. CHABOT

Mr. CHABOT. Mr. Speaker, I'd like to take a moment today to recognize Tim Culbertson and all the members of the Cheviot-Western Hills Chapter of the Military Order of the Purple Heart, Chapter 3620. The primary mission of the Military Order of the Purple Heart is to foster an environment of goodwill and camaraderie among wounded combat veterans, to promote patriotism, and to provide service to all veterans and their families. Tim Culbertson, a Vietnam veteran and Purple Heart recipient himself, has spent decades advocating on behalf of his fellow veterans, and his service with the Military Order of the Purple Heart makes him a great asset to our whole community. In 2000, Mr. Culbertson was instrumental in the establishment of Chapter 3620, and his dedication and patriotism were recognized earlier this year at the annual National Purple Heart Convention, where he was named the top Americanism Officer in the United States, an honor he truly deserves. The sense of spirit, patriotism and generosity exhibited by the members of Chapter 3620 reflect the dedication, enthusiasm and commitment of their Americanism Officer, Tim Culbertson. It gives me great pleasure to recognize Tim for his accomplishments, and I congratulate him on receiving this national award, and I thank him for his contributions to all the veterans of the First District of Ohio.

Mr. CHABOT

Mr. CHABOT. Madam Speaker, everybody knows that the key to America's future is providing an excellent education for our children. As a former schoolteacher myself, it gives me great pleasure to recognize four schools from my congressional district, Ohio's First, which have truly lived up to this commitment. Elm Avenue Primary School, Hilltop Primary School, Our Lady of Visitation, and St. James School in White Oak have recently been named 2007 Blue Ribbon Schools of Excellence. Achieving test results in the top 10 percent of the State is truly an accomplishment. Some, like St. James, have received it in the past. On Monday, I presented them a flag that was flown in their honor over this very building, and the atmosphere was really electric. These kids were filled with enthusiasm and pride for the job they had done, and they are to be commended, as are their teachers, their administrators, the parents, but especially the students. I want to commend all those schools for the excellent work they have done. This is the future of America. And if this is our future, America's future is bright.

Mr. CHABOT

Mr. CHABOT. Mr. Speaker, I yield myself such time as I may consume. Today, Mr. Speaker, I rise in support of the request to suspend the rules and pass H.R. 3866, the SBA Programs Act of 2007. I would like to thank Chairwoman Velazquez for working in a cooperative and bipartisan manner to bring this bill to the House floor today. The bill we are considering today is a highly technical bill, but one of the Small Business Committee's legislative obligations. The financing programs in the Small Business Act and the Small Business Investment Act of 1958 rely on lending by the private sector. Lenders are protected by guarantees issued by the SBA, promising repayment if the small business borrower fails. Congress must impose limits on the authority of the SBA to issue such guarantees. H.R. 3866 establishes limits that will enable the program to operate even if there is unexpected demand. Given the current credit crunch, it is certainly possible that the SBA will have a spike in demand. The limits adopted in this bill will ensure that, unlike in some prior years, the program will not be the subject of operational restrictions. I want to point out that supporting these limits will have no budgetary impact. The SBA's guaranteed loan, certified development company, and debenture small business investment company programs also operate at zero subsidy. That means the programs require no appropriation, and losses are covered by fees charged to lenders and borrowers. Maintaining this zero subsidy still enables Congress to provide for significant expansion of the authorization in order to meet demand, while protecting taxpayers. The microloan programs, which helps entrepreneurs in many low-income areas and is a valuable job creation tool for a modest investment by the government, also receives an increase in lending authority. Given the value of the program, I believe that the modest increase more than pays for itself in providing jobs and developing the entrepreneurial culture that continues to maintain the economic viability of this Nation. In addition, the committee must provide authorization levels for the Small Business Development Center program. The allocation of funds to various centers is based in part on a comparison of funds appropriated to funds authorized. Without an authorization level, the funding formula cannot work. It also is important to point out that the authorization level for the SBDCs is increased by around 3\1/2\ percent. This increase takes into account inflation and the administration's request that the centers provide even more counseling. The other major entrepreneurial outreach program of the SBA, the Women's Business Center program, receives an increase of around 17 percent. Now, while this may at first seem like a lot, the authorization in this bill represents the first time in nearly 8 years that the Women's Business Center authorization levels have been set thus representing an adjustment in align with inflation. Similarly, the PRIME program, which provides additional technical assistance to microloan borrowers, has not received an authorization level since 1999. The authorization of $20 million in this bill represents an increase of $625,000 per year, or just enough, again, to keep up with inflation. I want to point out that the SBA requested a budget increase to cover inflation including the rapid rise in the cost of energy. It is only fair to authorize a similar modest increase for SBA's entrepreneurial outreach in education programs. Other authorizations in this bill also represent either level funding, such as the SCORE program and the drug-free workplace program or represent very modest increases from prior authorization levels such as the $400,000 increase in funding for BusinessLINC, a valuable program that helps small businesses find contracts to supply large businesses with goods and services. Two programs received significant boosts in authorization levels, the Office of Veterans Affairs and the HUBZone programs. In time of war, it is important that we provide assistance to our veterans. That includes ensuring that they have the tools necessary to integrate into civilian life through entrepreneurship. On a percentage basis, the authorization increase for the program is significant, but the dollar value is a modest $2 million. Given the sacrifices our veterans have made, this represents only a modest down payment on the debt we owe to them, our veterans. As for the HUBZone program, the increase arises from the efforts of the committee to ensure that only firms eligible for participation in the program receive Federal Government contracts. This requires additional onsite verification and thus represents the committee's view to the appropriators to significantly increase funding in that area. Again, I would like to thank Chairwoman Velazquez. Although there are significant philosophical differences between Members, I think the past year has demonstrated what can happen when this body tries to work through those differences without acrimony or questioning of the motives of the other side. Much can be accomplished for the American public, and that is what the people elected us to do. So I want to, again, commend the chairwoman for her willingness to work in a bipartisan manner not only in this bill but many bills that we have dealt with in the past. Mr. Speaker, I reserve the balance of my time.

Mr. CHABOT. Mr. Speaker, I am prepared to close. I have no other speakers.

Mr. CHABOT. Mr. Speaker, I yield back my time.

Mr. CHABOT

Mr. CHABOT. Mr. Speaker, I object to the vote on the ground that a quorum is not present and make the point of order that a quorum is not present.

Mr. CHABOT. I thank the gentlewoman for yielding. It is our view that veterans would not be in any way adversely affected if this motion to commit were to pass because they are already covered by the sole source area in the bill. So we just have an honest disagreement on this. We believe there is no way that veterans would be adversely affected if this motion to recommit would be passed.

Mr. CHABOT. Would the gentlewoman yield?

Mr. CHABOT. Mr. Speaker, I yield myself such time as I may consume. Mr. Bartlett from Maryland was previously going to offer the motion to recommit. He's not here; so I am going to offer it in his place, and I will be very brief. This motion to recommit is really very simple. It reinstates the requirement that requires the government to set aside for competition contracts for small businesses located in HUBZones. As already noted, there is no reason to punish HUBZone firms by eliminating a mandatory competition requirement. This motion will ensure that HUBZone firms will be able to carry out their purpose to redevelop low-income areas. I also would just like to reiterate something that I said earlier when we were dealing with the overall bill in general, and that is that I want to again compliment the gentlelady from New York, Chairwoman Velazquez, for reaching out to the minority, as she has in the past, in trying to work together. There were just philosophical differences which could not be overcome on this bill. But the committee has worked very well together in a bipartisan manner, and I want to thank her for that cooperation. It is my intention to continue to work together on bills in the future because we have supported most of the bills that come out of the Small Business Committee, and I think that's good for small business in this country because that's something that we do have in common, and that is, that we believe to our core that future job growth in this country is dependent upon the vitality of small businesses. And small businesses in this country have a lot of things that they have to deal with: high health insurance rates for their employees, energy costs that have been going through the roof, a tax structure which is, at this point, unclear as to where it's going to be in the future. That's why many of us on this side of the aisle believe to our core that we need to make those tax cuts that were passed back in 2001 and in 2003 permanent. We ought to allow small businesses to know what their taxes are going to be like next year and the year after and the year after so that they can depend upon that tax structure to grow their business and to make investments so that they can create jobs. Because ultimately, that's what it's all about, to keep the economy thriving so that we can create more and more jobs for people in this country. And keeping taxes low is probably the best thing that we can do to allow the small business community in this country to grow and prosper. So again, I want to thank the members of the committee, the staff, and the gentlewoman for her cooperation and reiterate that, although a good-faith effort was made, we do support this motion to recommit and we do oppose and would urge my colleagues to oppose the overall bill. Mr. Speaker, I yield back the balance of my time.

Mr. CHABOT. Yes, I am, in its current form.

Mr. CHABOT. Mr. Speaker, I offer a motion to recommit.

Mr. CHABOT. I thank the gentlewoman for yielding. I strongly support the gentlewoman from New York's amendment. I think it certainly improves the bill. It's just clear, I think, many, many Members on both sides of the aisle want to make clear that we don't think that taxpayer dollars ought to be going for illegal immigrants. And companies that are knowingly hiring people who are here illegally should not be able to benefit from any Federal dollars. And I think the gentlewoman by offering this amendment has improved the bill, and I want to thank her for offering this.

Mr. CHABOT. I thank the gentlelady for yielding, and I thank the gentleman for offering his amendment. He has been willing to, I think, stand up and make courageous stands on occasion. I think he is to be commended for that. Relative to this particular amendment, as I stated in my opening statement, I have some concerns of the bill in general because of the segmenting of various groups and sometimes pitting one against another and being competitive with each other, and so I can't say that I honestly would be in favor of a number of additional groups again further segmenting this. But this just calls for a study and doesn't implement any particular groups or propose any additional new groups. So, for that reason, I would not oppose the amendment, and I want to thank him for his thoughtful consideration of this.

Mr. CHABOT. I was just going to say, that is the way this committee works, right, Madam Chair?

Mr. CHABOT. Mr. Chairman, her amendment makes some needed technical changes to the bill. Nevertheless, as I pointed out in my statement previously, we believe that this proposed solution to the failure of the SBA to implement the women's procurement is, in our view, overinclusive and should be further revised as the legislative process moves forward, but we do not oppose the amendment. Mr. Chairman, I yield back my time.

Mr. CHABOT. Mr. Chairman, we have already stated our concerns about the bill in particular, but I would again emphasize the fact that the chairwoman did reach out, and her staff did as well. But philosophically, this was a bridge too far. We want to thank them again for working in a cooperative manner. This is a committee that under the Chair's direction has worked very much with the minority, and we want to thank them and hope that we can continue to work together on bills in the future. Mr. Chairman, I yield back the balance of my time.

Mr. CHABOT. Mr. Chairman, I reserve the balance of my time.

Mr. CHABOT. Mr. Chairman, we have no further speakers, and I continue to reserve the balance of my time.

Mr. CHABOT. Mr. Chairman, I yield myself such time as I may consume. Mr. Chairman, I rise in opposition to H.R. 3867, the Small Business Contracting Program Improvements Act. I strongly support the provisions in the bill that help those Americans, veterans of our Armed Forces, who have provided the great sacrifices to defend our freedom and our way of life. However, there are other provisions that are sufficiently problematic that makes it impossible for me to support the overall bill. In 1997, Congress established the Historically Underutilized Business Zone, or HUBZone program. The program is designed to assist areas of low income and high unemployment by providing incentives for government contractors to relocate in these areas and expand their operations. By making it easier for small businesses located in HUBZones to win Federal contracts, Congress expected more government contractors to relocate in these areas and provide an important component to their revitalization. As anyone who has traveled through many urban and rural districts realizes, they have a large number of HUBZones. Unfortunately, H.R. 3867 could make it more difficult for HUBZone firms to win government contracts and thereby detract from the ability of this program to help revitalize urban and rural areas that need greater economic development. Mr. Chairman, while I concur with the Chair of the committee that we need to ensure that only firms eligible for the HUBZone program participate, it is unnecessary to take punitive action against HUBZone firms as a result of a few bad actors. I am sure that if we scrutinize each of the procurement programs, we could find a few bad actors in each. That justifies taking appropriate legal action against the bad actors. It does not, in our view, necessitate punishing the firms that complied with the letter and spirit of the law. It also is important to note that a number of the issues raised in this legislation are being addressed by the administrator of the SBA. I certainly understand the frustration that Members of Congress have when the executive branch does not implement legislation in a timely manner. Nevertheless, one aspect of this bill involves a program that has not been implemented for 7 years. While that normally would suggest further legislative action, the administrator, we believe, is doing everything possible at this point to issue rules, a process that can take time. In addition, the program is the subject of a lawsuit in which the plaintiffs have not sought any subsequent court action for nearly 2 years since the Federal Court ruled that the SBA violated the Administrative Procedure Act and failed to implement the program. Mr. Chairman, I also would point out that the bill as reported out of committee, in our opinion, would only complicate the implementation of the procurement program. While I understand that the chairwoman will be offering an amendment to correct that problem, it does so by classifying 92 percent of the industries in the United States as historically underrepresented by women businesses and Federal procurement. While I concur that women are historically underrepresented in the Federal procurement arena, the amendment paints, we believe, with a broad, over-inclusive brush, and may include numerous industries in which businesses are not underrepresented by women entrepreneurs. I also need to point out that the bill would classify individuals as economically disadvantaged if they have assets exclusive of their primary residence and their business up to $550,000. So over a half million dollars. According to research by our staff, roughly half the Members of Congress, half the Members of this body would qualify as economically disadvantaged under that standard. I find it very difficult to believe that the average American would consider a Member of Congress to be economically disadvantaged. These are only some of our concerns about the bill that we have before us here today. While some of these concerns are technical in nature, my primary dispute with the bill is that it continues, unfortunately, to segment the small business government contracting arena. The result is that, in our opinion, rather than growing opportunities for all small businesses, it pits all of these deserving groups against one another. That, in our view, undermines their ability to speak as a united front in debates over Federal procurement policy that would promote all of their interests. Despite my disagreement with the chairwoman, I do not doubt her sincere desire to improve the SBA contracting programs. The Chair and her staff, particularly Michael Day and Adam Minehardt, should be commended for their efforts in trying to find a solution that I, in good conscience, could have supported. However, the philosophical gap was simply too large to span. Therefore, I cannot support this legislation. I would urge my colleagues to vote ``no.'' Mr. Chairman, I reserve the balance of my time.

Mr. CHABOT. Mr. Speaker, I demand a recorded vote.