[House Hearing, 117 Congress]
[From the U.S. Government Publishing Office]
MARKUP OF: H.R. 6445, ``SMALL BUSINESS
DEVELOPMENT CENTERS IMPROVEMENT ACT
OF 2022'' H.R. 6441, ``WOMEN'S BUSINESS
CENTERS IMPROVEMENT ACT OF 2022'' H.R.
6450, ``SCORE FOR SMALL BUSINESS ACT OF
2022'' H.R. 4877, ``ONE STOP SHOP FOR SMALL
BUSINESS COMPLIANCE ACT OF 2021'' H.R.
6454, ``SMALL BUSINESS ADVOCACY
IMPROVEMENTS ACT OF 2022''
=======================================================================
HEARING
BEFORE THE
COMMITTEE ON SMALL BUSINESS
UNITED STATES
HOUSE OF REPRESENTATIVES
ONE HUNDRED SEVENTEENTH CONGRESS
SECOND SESSION
__________
HEARING HELD
FEBRUARY 3, 2022
__________
[GRAPHICS NOT AVAILABLE IN TIFF FORMAT]
Small Business Committee Document Number 117-044
Available via the GPO Website: www.govinfo.gov
__________
U.S. GOVERNMENT PUBLISHING OFFICE
46-929 WASHINGTON : 2022
-----------------------------------------------------------------------------------
HOUSE COMMITTEE ON SMALL BUSINESS
NYDIA VELAZQUEZ, New York, Chairwoman
JARED GOLDEN, Maine
JASON CROW, Colorado
SHARICE DAVIDS, Kansas
KWEISI MFUME, Maryland
DEAN PHILLIPS, Minnesota
MARIE NEWMAN, Illinois
CAROLYN BOURDEAUX, Georgia
TROY CARTER, Louisiana
JUDY CHU, California
DWIGHT EVANS, Pennsylvania
ANTONIO DELGADO, New York
CHRISSY HOULAHAN, Pennsylvania
ANDY KIM, New Jersey
ANGIE CRAIG, Minnesota
BLAINE LUETKEMEYER, Missouri, Ranking Member
ROGER WILLIAMS, Texas
JIM HAGEDORN, Minnesota
PETE STAUBER, Minnesota
DAN MEUSER, Pennsylvania
CLAUDIA TENNEY, New York
ANDREW GARBARINO, New York
YOUNG KIM, California
BETH VAN DUYNE, Texas
BYRON DONALDS, Florida
MARIA SALAZAR, Florida
SCOTT FITZGERALD, Wisconsin
Melissa Jung, Majority Staff Director
Ellen Harrington, Majority Deputy Staff Director
David Planning, Staff Director
C O N T E N T S
OPENING STATEMENTS
Page
Hon. Sharice Davids.............................................. 1
Hon. Blaine Luetkemeyer.......................................... 3
APPENDIX
Additional Material for the Record:
H.R. 6445, ``Small Business Development Centers Improvement
Act of 2022''.............................................. 18
H.R. 6441, ``Women's Business Centers Improvement Act of
2022''..................................................... 31
H.R. 6450, ``Score for Small Business Act of 2022''.......... 67
H.R. 4877, ``One Stop Shop for Small Business Compliance Act
of 2021''.................................................. 86
H.R. 6454, ``Small Business Advocacy Improvements Act of
2022''..................................................... 88
MARKUP OF: H.R. 6445, ``SMALL BUSINESS
DEVELOPMENT CENTERS IMPROVEMENT ACT OF 2022'' H.R. 6441, ``WOMEN'S
BUSINESS CENTERS IMPROVEMENT ACT OF 2022'' H.R. 6450, ``SCORE FOR SMALL
BUSINESS ACT OF 2022'' H.R. 4877, ``ONE STOP SHOP FOR SMALL BUSINESS
COMPLIANCE ACT OF 2021'' H.R. 6454, ``SMALL BUSINESS
ADVOCACY IMPROVEMENTS ACT OF 2022''
----------
THURSDAY, FEBRUARY 3, 2022
House of Representatives,
Committee on Small Business,
Washington, DC.
The committee met, pursuant to call, at 10:00 a.m., in Room
2360, Rayburn House Office Building and on Zoom. Hon. Sharice
Davids [member of the Committee] presiding.
Present: Representatives Davids, Golden, Crow, Mfume,
Phillips, Newman, Bourdeaux, Carter, Chu, Evans, Delgado,
Houlahan, Andy Kim, Craig, Luetkemeyer, Williams, Hagedorn,
Stauber, Meuser, Tenney, Garbarino, Young Kim, Van Duyne,
Donalds, Salazar, and Fitzgerald.
Ms. DAVIDS. Good morning. With a quorum being present I
call this morning's meeting of the Committee on Small Business
to order.
Without objection, the Chair is authorized to declare a
recess at any time.
First, I want to start off by stating that I have the
pleasure of chairing this hearing in place of Chairwoman
Velazquez who is unable to attend.
I would like to begin by noting some important
requirements. Let me begin by saying that standing House and
Committee rules and practice will continue to apply during
hybrid proceedings. All Members are reminded that they are
expected to adhere to these standing rules including decorum.
House regulations require Members to be visible through a
video connection throughout the proceeding, so please keep your
cameras on. Also, please remember to remain muted until you are
recognized to minimize background noise.
For those Members and staff physically present in the
Committee room today, in accordance with the attending
physician's most recent guidance, all Members and staff who
attend this hybrid markup in person will be required to wear
masks in the hearing room.
As required by House rules, copies of the measures have
been made available to Members and the public at least 24 hours
in advance.
Small businesses are the cornerstones of our communities
and have been hit hard throughout the pandemic. It is important
that we come together to ensure small businesses across the
country have access to SBA programs that will help them thrive.
SBA offers a robust entrepreneurial ecosystem that offers
free or low-cost counseling and training to small business
owners across the country. Whether it is helping to create a
business plan, navigating the procurement process, marketing a
new product, or identifying trade opportunities, SBA, through
its resource partners, offers a wide range of services and
helps more than a million small business owners every year.
These programs have a proven track record of success in
assisting America's entrepreneurs and small business owners.
Throughout this Congress, we have consistently asked our
witnesses, how can we better assist America's small businesses?
Are SBA's entrepreneurial development programs working
effectively? How can the Committee modernize and expand their
reach? We have heard time and time again that SBA's
entrepreneurial development programs are vital to small
employers and access to them is pivotal to success. Witnesses
also shared that more can be done to expand their reach,
particularly in rural and traditionally underserved areas. This
Committee has taken what we learned to heart and crafted three
bipartisan bills to strengthen the counseling and training
programs at SBA.
In addition to those three bills, we are considering a bill
that would improve access to federal small business compliance
guides and a bill that would ensure American small business
interests are represented on the global stage.
The five bills the Committee is considering today are H.R.
6445, the ``Small Business Development Centers Improvement Act
of 2022,'' introduced by Mr. Golden and cosponsored by Mr.
Hagedorn; H.R. 6441, the ``Women's Business Centers Improvement
Act of 2022,'' introduced by myself and cosponsored by Ms.
Tenney; H.R. 6450, the ``SCORE for Small Business Act of
2022,'' introduced by Mrs. Young Kim and cosponsored by Ms.
Craig; H.R. 4877, the ``One Stop Shop for Small Business
Compliance Act of 2021,'' introduced by Mr. Delgado and
cosponsored by Ms. Van Duyne; and finally, H.R. 6454, the
``Small Business Advocacy Improvements Act of 2022,''
introduced by Ranking Member Luetkemeyer and Mr. Carter.
I am proud to be lending my strong support for these five
bipartisan bills. I want to thank the Ranking Member and his
staff for collaborating on this package. I would also like to
thank all our Members on both sides of the aisle for their
efforts to improve SBA's programs.
I would now like to recognize the Ranking Member, Mr.
Luetkemeyer, for his opening statement.
Mr. LUETKEMEYER. Good morning. Thank you, Madam Chair, for
holding this markup on legislation that I think will continue
to put the nation's job creators first.
Small businesses in every shape and form continue to feel
the devastating effects of strong economic headwinds, from the
highest inflation rate in 40 years to supply chain issues, to
labor shortages that have left the nation with 10.9 million
open jobs, small businesses are facing severe economic
conditions. Too often, storefronts and other main street
businesses have had to reduce hours or change their operations
due to these challenges.
However, small business owners and their employees are some
of the most resilient workers in America. This is apparent
through their innovation and risk taking. These are the
characteristics that drive our economy to new heights. These
are the factors that support our communities and neighbors.
These are the qualities that build our next entrepreneurs.
When small business owners are able to plan with certainty
and make calculated risks, our nation moves forward.
Now, let me tell you, our nation is not short of great
business concepts or ideas that could turn into the next great
American product or service. Unfortunately, all too often the
federal government gets in their way. This is why it was a
victory for small businesses when the vaccine mandate was
halted.
Congress must be aware of these federal policies that
disadvantage the nation's true job creators. Pro-growth
policies work. They put small business owners in charge instead
of the federal government. We know we must create a small
business environment that fosters expansion, prudent risk
taking, and job growth.
At the same time, it is also critical to examine the
federal agency that was created to assist and help the nation's
small businesses, and that is what we are here today to
discuss.
The COVID-19 pandemic has ushered in new awareness of the
Small Business Administration's tools and services. Millions of
small businesses now have a better understanding of the SBA.
Given this heightened attention, the SBA's entrepreneurial
development programs must be right-sized and recalibrated to
meet the needs of today's business workers and owners.
Today's markup will feature three bills that improve the
SBA's Small Business Development Centers program, the SBA's
Women's Business Centers program, and the SBA's SCORE program.
Additionally, the Committee will look to enhance and streamline
information that is published by agencies as it pertains to the
impact of federal regulations on small businesses. Federal
regulations have an outside impact on small businesses, and we
need to take a look at those. We must work to ensure regulatory
red tape is limited and H.R. 4877 is a step in this direction.
Lastly, the Committee will examine my bill to bolster the
SBA's independent Office of Advocacy and its role in reporting
on international economic matters. Having an independent voice
that speaks on behalf of small business is critical to all
trade matters. H.R. 6454 will ensure the SBA's Office of
Advocacy does just that.
Every piece of legislation before us today will work for
and on behalf of the nation's small businesses, entrepreneurs,
startups, and innovators. These are important reforms that need
our attention.
I would like to thank each Member for working with their
colleagues to address and highlight these matters.
Additionally, I would like to thank the Chair for working to
advance these bipartisan bills. It is important to remember,
when small businesses are growing, so is our economy.
Before I conclude, I would like to mention that this
Committee needs to continue to examine the approximately $1
trillion in COVID relief that flowed to small businesses over
the last 2 years. A part of this examination is hearing from
administration officials in charge of these programs.
Unfortunately, Secretary Yellen, who is required by law to
testify before this Committee, and thus far, she has refused to
do so. She continues to turn her back on small businesses. This
cannot be allowed to continue. She is also required by this
same law to report to this Committee two times this coming
year. Will she finally show up? Will she finally do her
statutory duty? Who knows? The bottom line is that she needs to
finally submit to the law, discontinue her blatant disregard
for the law and this Committee.
With that, Madam Chair, I look forward to today's markup
and I yield back.
Ms. DAVIDS. Thank you very much. The gentleman yields back.
Before we get into the individual bills, are there any
Members present who seek recognition for the purpose of making
an opening statement?
Seeing none, we will move to consideration of H.R. 6445,
the ``Small Business Development Centers Improvement Act of
2022,'' introduced by Representative Golden and cosponsored by
Representative Hagedorn. This bill would modernize and improve
the Small Business Development Centers program.
I would now like to recognize the gentleman from Maine, Mr.
Golden, the sponsor of the bill for an opening statement.
H.R. 6445
Mr. GOLDEN. Thank you, Madam Chair.
Small business development centers (SBDCs) are SBA's
largest resource partner. In Maine, the state's lead SBDC runs
11 outreach locations in my district. Maine's SBDCs have an
annual impact that includes advising 2,956 small businesses.
The impact that SBDC services have on local business owners
should not be underestimated. I have heard from numerous
business owners about the great value they found in SBDC
services. Some of them have said things to myself in meetings
or to SBDC staff in the district or to my team back home in
Maine--things like the following:
``Risking everything we had to pursue dreams of starting
our own business was terrifying but access to our local SBDC
program and advisors gave us tools we needed to persevere over
the many hurdles confronting small business startups.''
``We cannot stress enough how invaluable we have found
their services to be.''
Another success story is a veteran-owned Frenchman Bay
Oyster Company. The owner, Graham, who I know well, told my
staff that his relationship with the Maine SBDC is
irreplaceable. He worked with an SBDC advisor on a business
plan and a successful grant application that is helping him to
grow his business.
As impressive as these stories and statistics are, they
represent only a fraction of Maine's 33,500 small businesses.
My bipartisan bill, the ``Small Business Development Centers
Improvement Act of 2022,'' H.R. 6445, will help more small
businesses access these services in two ways.
First, by clarifying that centers are allowed to market
their services, it will address the common feedback I hear that
Maine small businesses do not know about the valuable resources
that SBDCs provide. Greater awareness of the services available
through these programs will allow more small businesses to
receive entrepreneurial assistance without imposing any more
financial burdens on SBDCs, the SBA, or the taxpayer.
Second, it will increase SBDC's capacity and impact by
raising their funding authorization by $40 million annually.
Along with other provisions in the bill, these changes will
help small businesses across the country reach their full
potential.
I would like to thank Mr. Hagedorn, the Chairwoman, the
Ranking Member, and their staff for their bipartisan work in
support of this important program and I yield back.
Ms. DAVIDS. Thank you. The gentleman yields back.
I would now like to recognize the gentleman from Minnesota,
Mr. Hagedorn, for an opening statement.
Mr. Hagedorn, you are muted currently.
Mr. HAGEDORN. How about that? Is that better?
Ms. DAVIDS. Sounds good.
Mr. HAGEDORN. Okay. Madam Chair, thank you for the
opportunity. I appreciate it very much and it is good to be
with everyone on this really bipartisan day in small business
and that is the way we should be doing our business. I am
pleased that things are going along that way today. I want to
thank my colleague, Representative Golden, Chairman Golden for
his bipartisan work, and those on the Committee that want to
help us move along with our small business development centers.
This is an important bill that we have been working on for a
little while and let's just face it, over the last 40 years
America's small business development centers have served as a
pillar for both emerging entrepreneurs and long-time small
business owners alike. I have spoken with many people in my
district who have really gotten their start or gotten a lot of
help early on in order to get their businesses going through
the small business development centers. Some of them are very
lucrative businesses today so this is a program that is working
and reauthorizing, it makes a lot of sense.
The services our SBDCs are able to offer have become
increasingly critical to help ensure our main street business
partners can survive through the COVID pandemic. Hopefully, we
are turning the corner there, but it has been a long road here
the last couple of years, no doubt about that. This legislation
would reauthorize the SBDC program at $175 million through
fiscal year 2025 to further modernize and strengthen the SBDC
network. Specifically, H.R. 6445 would increase much-needed
oversight by requiring SBA to provide Congress with an annual
report on program effectiveness while also enabling increased
awareness of the services of the SBDC programs it has to offer.
That is all by eliminating the prohibition on marketing for
SBDCs, some that are probably long overdue.
The feedback my office has received from small business
owners often revolved around these businesses not having been
aware of the SBDC services available to them. I guess there
just was not enough marketing out there. We needed to make sure
people knew what was going on. This bill is going to help in
that regard. I am pleased that we are going to address these
concerns through this legislation.
Minnesota's 1st District is home to two SBDC locations, the
South Central Regional SBDC located at Rochester Community
College and Technical College, and then, of course, the
Southeast Regional SBDC located at Minnesota State University
in Mankato. They have multiple satellite locations across
Minnesota, especially southern Minnesota. Our SBDCs have been a
lifeline to our small business owners and in some of the most
hopeless and uncertain times they have helped get them through.
It is important that the Committee act in bipartisan fashion to
ensure these services continue to assist our small businesses
in their long-term economic growth.
I humbly ask that my colleagues support H.R. 6445 and I
yield back. Thank you.
Ms. DAVIDS. Thank you, Mr. Hagedorn. It is good to see you.
The gentleman yields back.
Are there any other Members who wish to be recognized for a
statement on H.R. 6445?
I would now like to recognize the Ranking Member.
Mr. LUETKEMEYER. I would like to thank the gentleman from
Maine, Mr. Golden, and the gentleman from Minnesota, Mr.
Hagedorn, for working on this legislation in the 117th
Congress. This Congress, the Committee has heard from small
business development centers (SBDCs) and small businesses who
have benefitted from SBDC's services. Specifically, in March of
last year, the Subcommittee on Underserved, Agricultural, and
Rural Business Development heard from the Minnesota SBDC state
director on the important work SBDCs conduct for small
businesses. Small business development centers provide valuable
resources to entrepreneurs and throughout the pandemic have
supported countless small businesses in accessing SBA's COVID-
19 relief programs. This important legislation will allow SBDCs
to market their services and expand their network. This
legislation also ensures SBDC's client information is protected
and that cooperation, communication, and collaboration between
the SBA and SBDC networks is improved.
I urge my colleagues to support H.R. 6445 to modernize the
SBDC program and ensure that SBDCs can continue their important
services for small businesses.
With that, Madam Chair, I yield back the balance of my
time.
Ms. DAVIDS. Thank you. The gentleman yields back.
I would now like to recognize myself briefly.
The Small Business Development Centers program is SBA's
largest resource partner, delivering vital management and
technical assistance through a network of 62 lead centers and
nearly 1,000 subcenters throughout the country.
Since the pandemic began, SBDCs have been inundated with a
record number of requests for their services. In 2020, SBDCs
provided counseling and training to almost 500,000 unique
entrepreneurs and small business owners and helped clients
start more than 17,000 small businesses and obtain $8.4 billion
in financing, a 70 percent increase from financing obtained in
2019.
First and foremost, this bill would reauthorize the program
for 4 years and increase the authorization level to $175
million for each fiscal year. To increase awareness of SBA's
resource partners, the bill would expand the SBDC programs
marketing and advertising authority. Finally, this bill, like
the other entrepreneurial development bills we are considering
today, would require an annual report to ensure that programs
are working effectively and aligned with congressional intent.
Launching a business is not for the faint of heart.
Strengthening the SBDC network will enable SBDCs to continue to
provide in-depth business training for aspiring entrepreneurs
and small business owners, which in turn will spur local
economic development.
I want to thank Representative Golden and Representative
Hagedorn for their bipartisan work on this bill and I urge a
yes vote.
If there is no further discussion, the Committee will move
on to consideration of H.R. 6445.
The clerk will report the bill.
The CLERK. H.R. 6445, the Small Business Development
Centers----
Ms. DAVIDS. Without objection, H.R. 6445 is considered as
read and open for amendment at any point.
Does anyone seek recognition to offer an amendment?
Seeing none, the question is now on H.R. 6445.
All in favor, say aye.
All those opposed, say no.
In the opinion of the Chair, the ayes have it and H.R. 6445
is agreed to.
The question now occurs on reporting H.R. 6445 favorably to
the House.
All those in favor, say aye.
All those opposed, say no.
In the opinion of the Chair, the ayes have it. H.R. 6445 is
reported to the House.
Without objection, Committee staff is authorized to correct
punctuation and make other necessary technical corrections and
conforming changes.
Without objection, Members have 2 business days to file
additional, supplemental, dissenting, and minority views.
Our second bill today is H.R. 6441, the ``Women's Business
Centers Improvement Act of 2022,'' introduced by myself and
cosponsored by Congresswoman Tenney. H.R. 6441 would modernize
and strengthen the Women's Business Centers program.
I would now like to recognize the gentlewoman from New
York, Ms. Tenney, for an opening statement.
Ms. Tenney, I believe you are muted.
One more try. There we go.
Ms. TENNEY. How about now?
Ms. DAVIDS. There we go.
H.R. 6441
Ms. TENNEY. All right, good. Thanks.
As a long-time small business owner in upstate New York, I
am in support of H.R. 6441, the Women's Business Centers
Improvement Act legislation that I am honored to lead with
Representative Davids, who has also spent some time in upstate
New York and also attended Cornell University Law School, as
did my dad many, many years ago.
Throughout our country, women-owned businesses employ 9.4
million workers and contribute $1.2 trillion to our national
economy. They play an important part in our communities and
provide female entrepreneurs an invaluable opportunity to build
wealth and care for their families.
Over the past 30 years, the Women's Business Center program
has helped these entrepreneurs access greater resources and
find opportunities to grow and build their businesses. Across
the country there are now 150 locations providing a full range
of counseling and technical services to 150,000 business owners
annually.
In the fiscal year 2020 alone, the Small Business
Administration revealed there were almost 70,000 jobs supported
by the Women's Business Centers. These jobs represented
communities from urban to rural to minority to chronically
unserved.
To build on this success and expand the reach of these
centers into communities like the one I represent in upstate
New York, I joined with Congresswoman Davids to introduce the
bipartisan Women's Business Centers Improvement Act. This
legislation will increase funding available to this proven
service while enacting commonsense taxpayer protections, and
oversight provisions to safeguard these public resources and
ensure the program efficiently serves the American people.
Finally, this bill will double the cap on grants offered by
the program, allowing it to better support entrepreneurs while
also reducing some of the administrative and compliance costs.
These changes will ensure that the Women's Business Centers can
meet the modern demands and needs of small businesses for years
to come.
Thank you all for your support. I urge you all to join with
me and Congresswoman Davids to support our nation's small
businesswomen and entrepreneurs and vote yes on H.R. 6441.
I yield back.
Ms. DAVIDS. Thank you. The gentlewoman yields back.
Are there any other Members who wish to be recognized for a
statement on H.R. 6441?
Ms. NEWMAN. I do.
Ms. DAVIDS. I would now like to recognize the gentlewoman
from Illinois, Ms. Newman, for a statement.
Ms. NEWMAN. Well, thank you, Madam Chair. I move to strike
the last word and speak in support of H.R. 6441, the Women's
Business Centers bill.
Ms. DAVIDS. The gentlewoman is recognized for 5 minutes.
Ms. NEWMAN. Thank you.
I rise in strong support of H.R. 6441. As a former small
businessowner, I know that when our small businesses are
strong, our country is strong.
Small business has been hit very hard by the pandemic and
women entrepreneurs have particularly struggled as we all know
and are still attempting to recover. This legislation comes at
a very critical time. It will provide women entrepreneurs with
the resources they need for their businesses to thrive.
Furthermore, it allows women business centers to expand
services in counseling, training, and technical assistance.
Supporting this bill means supporting a more diverse small
business landscape and investing in the next generation of
women entrepreneurs.
Thank you, Madam, and I yield back.
Ms. DAVIDS. Thank you. The gentlewoman yields back.
Are there any other Members who wish to be recognized?
I would now like to recognize the Ranking Member.
Mr. LUETKEMEYER. Thank you, Madam Chair, and Ms. Tenney,
for your leadership on this bill. Women's Business Centers
(WBCs) support over 150,000 women entrepreneurs each year
through training, mentoring, business development, and
financing opportunities. Unfortunately, on May 4, 2021, the
SBA's Office of Inspector General released a report that found
SBA did not provide effective oversight over the WBC program.
To that end, H.R. 6441 will bring increased oversight to the
WBC program and long overdue modernizations. This legislation
improves collaboration with SBA's Office of Women's Business
Ownership, requires the SBA to develop policies and procedures
to reduce the possibility of awarding grants to a WBC that will
not remain in compliance with the program, and requires an
annual report to Congress to measure the effectiveness of the
WBC program.
I urge my colleagues to support H.R. 6441, and with that,
Madam Chair, I yield back.
Ms. DAVIDS. Thank you. The gentleman yields back.
I would now like to recognize myself.
The Women's Business Centers program is emblematic of a
good government program that was created to bridge opportunity
gaps and promote equity. Since its inception, the WBC program
has sought to reach more female entrepreneurs, particularly
those who are socially and economically disadvantaged. To that
end, many Women's Business Centers provide multilingual
services, evening and weekend hours, and childcare for mothers
in training sessions. In 2020 alone, the WBC program increased
its outreach by 22 percent and counseled and trained more than
82,000 entrepreneurs. In addition, they helped start and
sustain more than 30,000 small businesses. This is a solid
record of success.
The bill we are considering today will enhance the WBC
program and ensure women entrepreneurs all across the country
have increased access to the vital counseling and training
services. I have seen it in action in the Kansas City WBC and
it is why I introduced and strongly supported this bipartisan
legislation. It would raise the cap on grants from $150,000 to
$300,000 and establish an accreditation program that would
raise the standards of excellence for counseling and training,
ensuring funds are being spent wisely to help those growing
entrepreneurs.
Raising the grant caps will allow WBCs to expand their
reach and resources. The Kansas City WBC currently serves the
entire state of Kansas and Kansas City, Missouri. They served
over 800 clients last year. How many more could they have
reached with increased funding?
Last week, I held a roundtable with women small business
owners in the Kansas 3rd District who have benefitted from the
support and guidance of the Kansas City WBC. I heard firsthand
from a diverse group of entrepreneurs spanning retail, IT, and
consulting industries about how critical this program was to
their success. They cited the flexible hours tailored to their
needs and the supportive community as standpoint parts of their
experience with the WBC. Expanding the reach and capacity of
our WBCs will provide real-world benefits to female
entrepreneurs across the country. I am proud to have introduced
this important legislation alongside Ms. Tenney and I urge a
yes vote.
If there is no further discussion, the Committee will move
on to consideration of H.R. 6441.
The clerk will report the bill.
The CLERK. H.R. 6441, the Women's Business----
Ms. DAVIDS. Without objection, H.R. 6441 is considered as
read and open for amendment at any point.
Does anyone seek recognition to offer an amendment?
Seeing none, the question is now on H.R. 6441.
All in favor, say aye.
All opposed, say no.
In the opinion of the Chair, the ayes have it and H.R. 6441
is agreed to.
The question now occurs on reporting H.R. 6441 favorably to
the House.
All those in favor, say aye.
All those opposed, say no.
In the opinion of the Chair, the ayes have it and H.R. 6441
is reported to the House.
Without objection, Committee staff is authorized to correct
punctuation and make other necessary technical corrections and
conforming changes.
Without objection, Members have 2 business days to file
additional, supplemental, dissenting, and minority views.
The next bill under consideration is H.R. 6450, the ``SCORE
for Small Business Act of 2022,'' introduced by Representative
Young Kim and cosponsored by Representative Craig. The bill
would reauthorize the SCORE program for 2 years, maintaining
vital oversight mechanisms and ensuring taxpayer dollars are
spent wisely.
I would now like to recognize the gentlewoman from
California, Mrs. Young Kim, the sponsor of the bill, for an
opening statement.
H.R. 6450
Mrs. YOUNG KIM. Thank you, Madam Chair Davids. I would also
like to thank our Ranking Member Luetkemeyer for holding this
very important markup and for working in a very bipartisan
manner to consider vital pieces of legislation for our small
businesses and entrepreneurs.
And thank you to my colleague, Representative Angie Craig,
from Minnesota, for your partnership to introduce H.R. 6450,
the ``SCORE for Small Business Act of 2022.''
H.R. 6450 provides an authorization of $13.5 million for
the SCORE program for fiscal years 2022 and 2023. The
authorization will allow SCORE to expand counseling and
training through online webinars, electronic mentoring
platforms, and online toolkits to better serve small businesses
and entrepreneurs. Additionally, the legislation would
implement oversight mechanisms to better protect taxpayers'
dollars by requiring the SBA to conduct a financial review of
the program every 2 years and improving protections for our
whistleblowers.
The SCORE for Small Business Act would also expand services
and promote diversity by requiring SCORE to develop and
implement plans to better serve clients in rural areas and
underserved communities. Since 1964, SCORE has served more than
11 million small business owners and entrepreneurs to
establish, expand, or serve a small business. According to
SCORE, since the COVID-19 pandemic began in early 2020, SCORE
has seen a 30 percent increase in demand for their mentoring
and educational services. Despite the challenges, 89 percent of
SCORE clients stayed in business throughout 2020. This is an
amazing accomplishment that we should look to preserve by
reauthorizing the program. Ninety-six percent of workers
employed in California's 39th district are employed by small
businesses. Thanks to the volunteers and mentors in the SCORE
program, countless small businesses in my district have been
able to weather the COVID-19 pandemic and keep their businesses
running.
I urge my colleagues to support H.R. 6450 and allow SCORE
to keep providing valuable information and resources for small
businesses across the country.
Thank you, and I yield back my time.
Ms. DAVIDS. Thank you. The gentlewoman yields back.
Are there any other Members who wish to be recognized for a
statement on H.R. 6450?
I would now like to recognize the gentlewoman from
Minnesota, Ms. Craig, for an opening statement.
Ms. CRAIG. Well, thank you so much, Chairwoman, for
yielding and for convening this really strong bipartisan
markup. Thank you, too, Congressman Young Kim for your
leadership on this important bill.
I am so proud to cosponsor H.R. 6450, the SCORE for Small
Business Act bipartisan legislation that will ensure the SCORE
program can provide the support and assistance America's small
businesses deserve.
Small businesses are the economic engine that drive our
country and I am so proud to represent the small businesses
which make up 93 percent of employers in Minnesota's 2nd
Congressional District. The real-world experienced mentorship
that the SCORE program provides has launched more than 45,000
businesses in 2020 alone with a return on investment of over
$67 for every $1 in federal appropriations. Back home in my
district, SCORE South Metro has been hard at work mentoring
more than 100 Minnesotans who need help opening a new business
or learning how to get their idea off the ground.
SCORE can be an incredible resource for entrepreneurs all
across the country but there is no doubt that there is room for
improvement, especially when it comes to their service of rural
and underserved communities as noted by a recent Inspector
General report. Those improvements are exactly what our
legislation seeks to provide. I know small businesses in my
district and in rural communities across the country will
benefit from the programmatic improvements this bill makes.
I thank the Chairwoman for advancing the bill today and
urge my colleagues to support this legislation.
With that, thank you. I yield back.
Ms. DAVIDS. Thank you. The gentlewoman yields back.
Are there any other Members who wish to be recognized for a
statement on H.R. 6450?
I would now like to recognize the Ranking Member, Mr.
Luetkemeyer.
Mr. LUETKEMEYER. Thank you, Madam Chair. I thank Mrs. Young
Kim and Ms. Craig for your fine work on this legislation.
Congresswoman Kim, I know, is a great advocate for small
businesses and their resource partners and I appreciate her
work on this legislation to reauthorize the SCORE program and
add new program safeguard data standards and reporting
requirements.
SCORE is the largest network of free volunteer small
business mentors and provides entrepreneurs with training in
starting a business, succession planning and management,
finance and marketing tools. I am confident that the provisions
in this bill will support small businesses, improve the SBA's
and Congress's oversight of the SCORE program, and ensure the
integrity of the SCORE association is restored and maintained.
I urge my colleagues to support H.R. 6450. With that, Madam
Chair, I yield back.
Ms. DAVIDS. Thank you. The gentleman yields back.
I would now like to recognize myself briefly.
SBA's SCORE program is the nation's largest network of
volunteer business mentors. Since 1964, they have provided
education and mentorship to over 11 million entrepreneurs. With
250 chapters and 10,000 volunteers nationwide, SCORE is well-
positioned to provide virtual and face-to-face counseling to
entrepreneurs throughout the country.
As we know the SCORE program has experienced some oversight
challenges in the past. This bill reflects the immense work the
new leadership at SCORE has done to resolve outstanding
recommendations of the Office of Inspector General. This bill
reflects the Committee's oversight efforts and ensures the
steps SCORE has taken to restore integrity, accounting, and
performance standards are carried into the future.
Today's bill is a culmination of bipartisan work to
strengthen the SCORE program and ensure its efficient operation
on behalf of America's small business community.
Thank you to both Mrs. Young Kim and Ms. Angie Craig for
your bipartisan commitment to modernize and improve the SCORE
program. I urge a yes vote.
If there is no further discussion, the Committee will move
on to consideration of H.R. 6450.
The clerk will report the title.
The CLERK. H.R. 6450, the SCORE for Small Business----
Ms. DAVIDS. Without objection, H.R. 6450 is considered as
read and open for amendment at any point.
Does anyone seek recognition to offer an amendment?
Seeing none, the question is now on H.R. 6450.
All in favor, say aye.
All those opposed, say no.
In the opinion of the Chair, the ayes have it and H.R. 6450
is agreed to.
The question now occurs on reporting H.R. 6450 favorably to
the House.
All those in favor, say aye.
All those opposed, say no.
In the opinion of the Chair, the ayes have it and H.R. 6450
is reported to the House.
Without objection, Committee staff is authorized to correct
punctuation and make other necessary technical corrections and
conforming changes.
Without objection, Members have 2 business days to file
additional, supplemental, dissenting, and minority views.
We will now consider H.R. 4877, the ``One Stop Shop for
Small Business Compliance Act of 2021,'' introduced by
Congressman Delgado and cosponsored by Congresswoman Van Duyne.
H.R. 4877 would require the Office of the National
Ombudsman to create and maintain a centralized website with
hyperlinks to small business compliance guides and related
points of contact for each federal agency. Doing so makes it
easier for small businesses to comply with federal regulations.
I would now like to recognize the gentleman from New York,
Mr. Delgado, the sponsor of the bill, for an opening statement.
H.R. 4877
Mr. DELGADO. Thank you, Chairwoman, and Ranking Member. I
appreciate the opportunity to speak in support of my bipartisan
bill, the One Stop Shop for Small Business Compliance Act.
I introduced this legislation with my colleague,
Congresswoman Van Duyne, who is also a Member of this
Committee. I want to thank her for her partnership on this
bill.
Since 2002, Congress has required federal agencies to
publish small business compliance guides to assist small
business owners in navigating onerous federal regulations. For
the past 2 decades, these guides have been housed in various
places across different agencies websites and it can get very,
very difficult for small business owners to find and utilize
them. Our legislation, the One Stop Shop for Small Business
Compliance Act would require the Small Business Administration
to create a centralized website that houses all of these
compliance guides, in turn, creating a one stop shop for small
business owners. Our bill would also require the SBA website to
list contact information for the appropriate agency staff to
provide regulatory assistance to small businesses.
By making these guides and agency contact information more
accessible, we can help small business owners, many of whom
often lack the resources to hire staff to focus on compliance
issues. While the small business owners continue to navigate
the effects of the COVID-19 pandemic on their business, they
should not also have to navigate a maze of government websites
just to find the very resources meant to help them in the first
place. Our bill helps to cut the red tape, lowers the cost of
complying with regulations and makes life simpler for our small
business owners. I know for the 27,000 small business owners,
including self-employed in my district, it will make a big
difference.
With that in mind, I want to thank the Chairwoman for
including our bill in the markup today, and I urge the
Committee to join me in supporting this commonsense, bipartisan
legislation.
I yield back the balance of my time.
Ms. DAVIDS. Thank you. The gentleman yields back.
I would now like to recognize the gentlewoman from Texas,
Ms. Van Duyne, for an opening statement.
Ms. VAN DUYNE. Thank you very much, Madam Chair, who, by
the way, until today, even though we shared an entire season in
softball, I never knew that you were a fellow Cornellian
either--so on this very small panel we have got three of us
including Congressman Meuser.
Ms. DAVIDS. Go Big Red.
Ms. VAN DUYNE. It is a small world.
I want to thank you and Ranking Member Luetkemeyer for
holding this markup and including this critical bill for
reducing red tape for small business owners.
I want to thank my colleague, the gentleman from New York,
Mr. Delgado, for his leadership on this bill, the One Stop Shop
for Small Business Compliance Act.
One of the significant challenges for our smallest
employers is dealing with an overzealous, regulatory state
while they work to grow their businesses. Not only are some of
these regulations complicated but the process of simply
locating what regulations they need to be following can be
overtime and very consuming. This bill would solve this problem
by creating one centralized website for small business owners
to access resources and compliance guides for certain federal
regulations. Our entrepreneurs must spend more time on their
business and less time sifting through federal regulations,
especially during this challenging environment for all small
businesses.
I am proud to partner with Representative Delgado on this
bill and look forward to continued work together. I urge my
colleagues to offer their support, and I yield back.
Ms. DAVIDS. Thank you. The gentlewoman yields back.
I would now like to recognize the Ranking Member.
Mr. LUETKEMEYER. Thank you, Madam Chair. Thank you to my
colleagues, Mr. Delgado from New York and Ms. Van Duyne from
Texas for leading this effort.
Federal agencies are required to publish small business
compliance guides for certain regulations. These guides are
housed on different agency websites, making it difficult for
small businesses to find and utilize. The bipartisan
legislation we have before us today will create a one stop shop
that will make it easier for small businesses to comply with
federal regulations and to be brief, I support this commonsense
bill and urge my colleagues to do the same.
With that, Madam Chair, I yield back.
Ms. DAVIDS. Thank you. The gentleman yields back.
I would now like to recognize myself briefly.
In 1996, Congress established the Office of the National
Ombudsman to serve as a powerful voice for small businesses
within the federal government. This little-known office within
SBA works to reduce unfair regulatory burdens on small
businesses and assist them in complying with new regulations.
This bill would require the Office of the National Ombudsman to
create and maintain a public website that includes hyperlinks
to compliance guides required by Section 212 of the Small
Business Regulatory Enforcement Fairness Act. These guides are
valuable tools for small firms, helping them to come into
compliance with the rules promulgated by federal agencies and
could save them a significant amount of time and effort.
I want to thank Congressman Delgado and Congresswoman Van
Duyne for their work on this bill and I urge a yes vote.
If there is no further discussion, the Committee will move
on to consideration of H.R. 4877.
The clerk will report the bill.
The CLERK. H.R. 4877, the One Stop----
Ms. DAVIDS. Without objection, H.R. 4877 is considered as
read and open for amendment at any point.
Does anyone seek recognition to offer an amendment?
Seeing none, the question is now on H.R. 4877.
All in favor, say aye.
All opposed, say no.
In the opinion of the Chair, the ayes have it and H.R. 4877
is agreed to.
The question now occurs on reporting H.R. 4877 favorably to
the House.
All those in favor, say aye.
All those opposed, say no.
In the opinion of the Chair, the ayes have it and H.R. 4877
is reported to the House.
Without objection, Committee staff is authorized to correct
punctuation and make other necessary technical corrections and
conforming changes.
Without objection, Members have 2 business days to file
additional, supplemental, dissenting, and minority views.
We will now take up the final bill on the agenda, H.R.
6454, the ``Small Business Advocacy Improvements Act of 2022,''
introduced by Ranking Member Luetkemeyer and cosponsored by
Congressman Carter. H.R. 6454 clarifies that SBA's Office of
Advocacy has the authority to examine international data, and
represent small business interests in international
discussions, particularly in trade negotiations.
I would now like to recognize the gentleman from Missouri,
Ranking Member Luetkemeyer, the sponsor of the bill, for an
opening statement.
H.R. 6454
Mr. LUETKEMEYER. Thank you, Madam Chair. I appreciate your
willingness to bring this up this morning, and I appreciate my
cosponsor, Representative Carter.
SBA's Office of Advocacy is a critically important group
that operates independently and solely on behalf of the
nation's small businesses. While it produces research and
statistics on the state of small business and our economy as a
whole at the national, state, and congressional level, it also
monitors federal agency compliance with regulatory matters. My
bill, H.R. 6454, the ``Small Business Advocacy Improvements Act
of 2022,'' expands the office's authority to be an independent
voice for America's small businesses on international economic
matters, including those dealing with trade which is so vitally
important to our economy and to our small businesses today.
Enhancing the Office of Advocacy's mission when it comes to
trade matters will only serve to assist America's job creators.
I would like to thank the Chair again for bringing this
bill up to vote and again thank my colleague, Mr. Carter, from
Louisiana for joining me to ensure that the country's small
businesses are represented and informed on all matters both
domestically and internationally. It is my hope this Congress
can finally advance this legislation as it has received
bipartisan support in the past.
Madam Chair, with that, it is an important bill that I urge
all my colleagues to support. I also yield back. Thank you.
Ms. DAVIDS. Thank you. The gentleman yields back.
I would now like to recognize the gentleman from Louisiana,
Mr. Carter, for an opening statement.
Mr. CARTER. Madam Chair, thank you very much for this
opportunity. Ranking Member Luetkemeyer, it is an honor to co-
lead this bill with you. I am proud to advance this bipartisan
bill that makes clear that the SBA Office of Advocacy has the
authority to examine international economic data and represent
small businesses'--interests in international discussions,
particularly in trade negotiations.
Small businesses are the backbone of our American economy,
and we need to lift them up at every possible opportunity.
Louisiana's 2nd district is an international one. We have some
of the most important ports in the country and our businesses
connect with others across the world every day. Today's small
businesses are more global than ever before, selling their
products and buying goods from countries around the world.
Opening up new markets overseas helps our businesses here at
home. When the U.S. makes decisions on trade and other
international economic issues, the concerns of small businesses
must be considered. This will ensure that all small business
owners have someone in the federal government fighting for the
nation's small businesses at home and abroad. I am honored to
be a part of advancing this legislation.
I would like to thank our Chair for leading this markup and
certainly thank my dear friend and the Ranking Member, Mr.
Luetkemeyer, for his incredible leadership on this issue. I
urge a favorable passage. I yield back.
Ms. DAVIDS. Thank you. The gentleman yields back.
Are there any other Members who wish to be recognized for a
statement on H.R. 6454?
I would now like to recognize myself briefly.
As the independent voice for small entities within the
federal government, SBA's Office of Advocacy advances the views
of our nation's 30 million small firms before Congress, the
White House, federal agencies, federal courts and state
policymakers. Since 2012, the Office of Advocacy has
participated in international regulatory cooperation and
international trade initiatives that impact small businesses.
Their ability to conduct this outreach is vital to ensuring
small businesses receive due consideration during international
negotiations. That is why I support this bill to authorize the
Office of Advocacy to represent American small business
interests before foreign governments and international
entities.
Thank you, Ranking Member Luetkemeyer and Representative
Carter for your work on this legislation. I urge a yes vote.
If there is no further discussion, the Committee will move
on to consideration of H.R. 6454.
The clerk will report the bill.
The CLERK. H.R. 6454, the Small Business----
Ms. DAVIDS. Without objection, H.R. 6454 is considered as
read and open for amendment at any point.
Does anyone seek recognition to offer an amendment?
Seeing none, the question is now on H.R. 6454.
All in favor, say aye.
All opposed, say no.
In the opinion of the Chair, the ayes have it and H.R. 6454
is agreed to.
The question now occurs on reporting H.R. 6454 favorably to
the House.
All those in favor, say aye.
All those opposed, say no.
In the opinion of the Chair, the ayes have it and H.R. 6454
is reported to the House.
Without objection, Committee staff is authorized to correct
punctuation and make other necessary technical corrections and
conforming changes.
Without objection, Members have 2 business days to file
additional, supplemental, dissenting, and minority views.
I want to thank all the Members for their participation
today. If there is no further business to come before the
Committee, without objection, this meeting is adjourned.
[Whereupon, at 10:50 a.m., the committee was adjourned.]
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