Nydia Velázquez

Ms. VELAZQUEZ

Ms. VELAZQUEZ. Madam Chair, I urge adoption of this very important amendment, and I yield back the balance of my time.

Ms. VELAZQUEZ. Madam Speaker, while not opposed to the motion, I ask unanimous consent to claim the time in opposition.

Ms. VELAZQUEZ. While I am not opposed to the motion, I do want to make some observations. While the gentleman is interested in studying the problems, we are interested in real solutions, and the bill under consideration does that. This bill provides $44 billion in capital for our small businesses, helping address the number one issue facing small firms right now. This bill will create 1.3 million jobs. Initiatives in this legislation will be specifically targeted to veterans and businesses located in rural communities. This legislation is supported by over 50 business organizations, representing small businesses in the health care, financial services, agriculture and technology industries. What I would like to see the gentleman add to the study is how small businesses have benefited from increased expensing limits for purchasing equipment, extended bonus depreciation, reduced capital gains rates on small business stock, and allowing businesses to carry back 5 years of losses. Let's add that to the study. It is interesting to see how the gentleman would like to study things that haven't happened, like offsetting the reduction in capital available for such concerns resulting from an increase in tax on capital gains. Are we going to study things that haven't happened? Does the gentleman have a crystal ball? Because if he does, I would like for him to tell me who is going to win the World Series. This is a motion that does nothing to provide loans to small businesses or create jobs. But if the gentleman wants to do a study, so be it. I yield back the balance of my time.

Ms. VELAZQUEZ. Madam Speaker, pursuant to the instructions of the House in the motion to recommit, I report the bill, H.R. 3854, back to the House with an amendment.

Ms. VELAZQUEZ. Madam Speaker, on that I demand the yeas and nays.

Ms. VELAZQUEZ

Ms. VELAZQUEZ. Mr. Speaker, I ask unanimous consent that all Members may have 5 legislative days to revise and extend their remarks and include extraneous material on the H.R. 3854.

Ms. VELAZQUEZ

Ms. VELAZQUEZ. Mr. Speaker, I yield myself as much time as I may consume. The legislation before us will extend the Small Business Administration's broad array of critical programs until the end of January. This will allow small businesses to go on using the valuable services of the SBA while the House and the Senate continue our work to comprehensively reauthorize the Small Business Administration. Already this year we have made important progress toward reauthorizing the SBA. In May, the House passed legislation reauthorizing the agency's entrepreneurial development programs. In July, we approved a measure to update the Small Business Innovation Research Initiative. And later this week, the House will consider H.R. 3854, a bill to comprehensively update the SBA's capital access initiatives. Passing the bill before us today will let us complete our work on these measures and conference them with our counterparts in the Senate. The SBA clearly needs to be modernized in order to meet today's challenges. I look forward to sending legislation to the President's desk that will bring all of these various initiatives up to date. In the meantime, this bill offers the appropriate amount of time to continue our work while ensuring the agency can continue serving small businesses. I urge my colleagues to support this legislation. I reserve the balance of my time.

Ms. VELAZQUEZ. Mr. Speaker, I urge a ``yes'' vote on this vote, and I yield back the balance of my time.

Ms. VELAZQUEZ. Mr. Speaker, I ask unanimous consent that all Members may have 5 legislative days to revise and extend their remarks and include extraneous material on the bill under consideration.

Ms. VELAZQUEZ. Mr. Speaker, I move to suspend the rules and pass the bill (S. 1929) to provide for an additional temporary extension of programs under the Small Business Act and the Small Business Investment Act of 1958, as amended.

Ms. VELAZQUEZ. Mr. Speaker, I yield 3 minutes to the gentleman from Oregon (Mr. Wu).

Ms. VELAZQUEZ

Ms. VELAZQUEZ. Mr. Speaker, I yield back the balance of my time.

Ms. VELAZQUEZ. Mr. Speaker, I yield 3 minutes to the gentleman from Oregon (Mr. Wu).

Ms. VELAZQUEZ. Mr. Speaker, I yield myself such time as I may consume. The legislation before us will ensure that a number of Small Business Administration programs can continue operating through the end of October. The House and the Senate have been working diligently on a comprehensive reauthorization of the SBA's programs. However, as we approach the deadline for when these programs will otherwise expire, this bill is necessary to keep the agency's programs running. Some minor changes to the programs, which were contained in the extension that the House passed last week, are not in this measure. Although the Senate chose not to address these matters at this time, there is widespread support for these measures. I am hopeful that we can revisit those changes soon in future legislation. In coming weeks the Small Business Committee will continue working with our Senate counterparts to modernize the SBA's programs, some of which have not been updated in 10 years. While we continue our work, this bill will allow the SBA's programs to continue operating and serving entrepreneurs. I urge my colleagues to vote ``yes.'' Mr. Speaker, I reserve the balance of my time.

Ms. VELAZQUEZ. Mr. Speaker, I ask unanimous consent that all Members have 5 legislative days to revise and extend their remarks and include extraneous material on the bill under consideration.

Ms. VELAZQUEZ. Mr. Speaker, I move to suspend the rules and concur in the Senate amendment to the bill (H.R. 3614) to provide for an additional temporary extension of programs under the Small Business Act and the Small Business Investment Act of 1958, and for other purposes.

Ms. VELAZQUEZ

Ms. VELAZQUEZ. Mr. Speaker, I yield back the balance of my time.

Ms. VELAZQUEZ. Mr. Speaker, I move to suspend the rules and pass the bill (H.R. 3614) to provide for an additional temporary extension of programs under the Small Business Act and the Small Business Investment Act of 1958, and for other purposes.

Ms. VELAZQUEZ. Mr. Speaker, I ask unanimous consent that all Members have 5 legislative days to revise and extend their remarks and include extraneous material on the bill under consideration.

Ms. VELAZQUEZ. Mr. Speaker, I yield myself such time as I may consume. The legislation before us will keep a number of vital programs at the Small Business Administration functioning. This will give us time to complete our work with the Senate and fully reauthorize these measures, which are critical for our Nation's entrepreneurs. All of us recognize the importance of small businesses to our recovery. Since January, this Congress has taken several steps to help small firms. Entrepreneurs will see $30 billion in new contracting opportunities from the Recovery Act. The Recovery Act is expected to yield $21 billion in new lending and investment for small firms. Since the Recovery Act passed, the SBA has approved $7.3 billion in recovery loans and supported almost $10 billion in small business lending. This extension will not only keep important programs at the SBA running; it will also make some important changes to improve access to capital for small firms. The America's Recovery Capital program in the Recovery Act provides short-term capital for businesses. To date, the ARC loan program has helped 1,600 firms stay afloat with interest-free loans. Currently, ARC loans cannot be used to pay down existing government- guaranteed debts. By letting businesses use ARC loans for that purpose, this bill will open the program to even more firms, regardless of their previous financing decisions. This will open up $360 million in lending capital to help stressed small businesses that have 7(a) loans. Through the ARC program, these firms will receive nearly $6,000 per month, allowing them to redirect their cash flow into sustaining their operations. The American Bankers Association and the Independent Community Bankers of America strongly support this provision. As SBA implements this change, it should also revisit other areas where it can improve the program. A top priority for small businesses is always reducing their paperwork burden. Mr. Speaker, this is the paperwork required to apply for an ARC loan, and it doesn't even include the documentation that a borrower must submit as part of their application. Clearly, applying for these loans is complex. The SBA should streamline its application and approval processes. Businesses that apply for these loans do so because they need a lifeline, now. The SBA should make the process fast and simple. Another challenge at the agency is the projected default rates for the program, which directly affects the availability of capital. Unfortunately, the SBA assumed that businesses receiving ARC loans will default more than businesses impacted by Hurricane Katrina. That calculation doesn't make sense, and it has limited the loans' availability. By developing a subsidy model that better reflects reality, the SBA could ensure more funding goes to businesses instead of being held in reserve to cover defaults that probably won't happen. Going forward, we need to ensure that the recovery reaches everybody, especially low-income communities. Obviously, these areas have been hit the hardest by the recession, but they also hold the highest potential for economic growth. An important program for accomplishing that goal is the New Market Venture Capital program. This program targets capital to the smallest businesses in economically depressed areas. However, until now the program limited the amount of capital an entrepreneur can obtain through New Market companies. This bill simplifies the limits so that more capital will flow to disadvantaged businesses. Helping these businesses promotes hope and opportunity in low-income areas and further fosters economic recovery. Right now access to capital remains the biggest challenge facing small firms. Making this minor adjustments to the ARC program and the New Market initiative will improve access to capital for small businesses when they need it most. In coming weeks, the committee will continue working to update the SBA's programs. In the meantime, this legislation extends these initiatives and makes two critical changes to help small businesses. I urge my colleagues to vote ``yes.'' Mr. Speaker, I reserve the balance of my time.

Ms. VELAZQUEZ. Mr. Speaker, I reserve the balance of my time.

Ms. VELAZQUEZ. Mr. Speaker, on that I demand the yeas and nays.

Ms. VELAZQUEZ. Mr. Speaker, I yield myself the balance of my time. Mr. Speaker, if our economy is going to recover, then America's entrepreneurs will need to lead the way. Many of the SBA's programs, which will help small businesses with specialized training or access to capital, need to be updated. That is why the House has passed bills to update the SBA's various programs and why they were approved with bipartisan support. However, while we continue working with our Senate colleagues to finish these bills, we also need to give the SBA the authority to continue functioning. The legislation before us will extend the SBA programs until the end of October. This provides the appropriate amount of time to continue our legislative work while keeping key services at the SBA up and running. Equally important, this bill makes two small, yet significant, changes to the ARC loan program and the New Markets Venture Capital program. These changes will further help small businesses access capital when they need it most. This is a good bill for small businesses. I urge my colleagues to vote ``yes.''

Ms. VELAZQUEZ

Ms. VELAZQUEZ. Mr. Speaker, I yield myself as much time as I may consume. I rise in support of this bill which will help entrepreneurs grow their businesses through the expanded use of cutting-edge technology. This bill is a bipartisan product introduced by Representative Thompson from Pennsylvania and promises to go a long way in helping small firms flourish. Entrepreneurship is the tested tool for powering economies. So it should come as no surprise that entrepreneurial development, or ED, programs, have a track record for sparking growth. In fact, every $1 put into these initiatives puts another $2.87 into the Treasury. You cannot argue with that kind of return, especially at a time when our economy is fighting to recover. While small business growth is important to any community, it is especially vital in struggling rural regions and urban areas. When recession hits, these areas fall the hardest. That is why this bill is so important. Through the use of cutting-edge technology, it delivers entrepreneurial development training to Americans everywhere. In doing so, it encourages business growth in places where it might not otherwise take root. This is critical because entrepreneurship is more than a means of employment. It is a path to economic independence. Technology is often referred to as the great equalizer. It is an avenue through which all businesses, large and small, can attract new customers and reach untapped markets. It is also an effective means for delivering information and sharing data. The Educating Entrepreneurs through Today's Technology Act builds on those two capabilities. With the click of a mouse, an aspiring entrepreneur in Appalachia can participate in a training program broadcast out of San Francisco. Resources such as satellite seminars and online information sessions make it easy for entrepreneurs everywhere to access information on a broad range of topics. Starting and running a small business can be challenging. In the current environment, even seasoned entrepreneurs are struggling to adapt. Proper training in areas like credit management, financial literacy and Federal small business programs are more important than ever. Whether we are talking about fledgling entrepreneurs or those with years of experience, everyone can benefit from this kind of information. There is no question that our economy looks different today than it did the last time SBA's ED programs were updated. In terms of technology alone, we have grown by leaps and bounds. This bill reflects that change. It makes sure small firms can use modern technology to the best of their advantage. With these services, startups will be able to build a solid business foundation. Meanwhile, established firms will be able to retool and improve their existing operations. As we continue to work our way towards recovery, small businesses will be on the front lines. It only makes sense to give them all the tools they need to succeed because with the technology of today they can help build prosperity for tomorrow. Mr. Thompson's bill gives them the resources to do so. Mr. Speaker, I reserve the balance of my time.

Ms. VELAZQUEZ

Ms. VELAZQUEZ. Mr. Speaker, I move to suspend the rules and pass the bill (H.R. 1803) to amend the Small Business Act to establish a Veterans Business Center program, and for other purposes, as amended.