[Congressional Record Volume 141, Number 58 (Wednesday, March 29, 1995)]
[House]
[Pages H3968-H3969]
From the Congressional Record Online through the Government Publishing Office [www.gpo.gov]




       KEEP LONG ISLAND SMALL BUSINESS ADMINISTRATION OFFICE OPEN

  The SPEAKER pro tempore. Under a previous order of the House, the 
gentleman from New York [Mr. Forbes] is recognized for 5 minutes.
  Mr. FORBES. Madam Speaker, I rise today on behalf of the hundreds of 
thousands of small businessmen and women and the potential hundreds of 
thousands of small businessmen and women on Long Island. Earlier this 
week the Clinton Administration announced that they were going to 
streamline and consolidate departments at the Small Business 
Administration, something that I on the face of it applaud, and I 
commend the administrator, Phil Lader of the Small Business 
Administration, for his leadership in that endeavor.
  Unfortunately, included in this measure to downsize the agency is the 
closing of a very valuable office, the Small Business Administration's 
Long Island office in Melville. I am most supportive of the efforts to 
consolidate. As a former head of the Small Business Administration in 
New York, we led a pilot program to do just that. I strongly urge, 
however, that the Clinton Administration reconsider closing the Long 
Island office.
  Long Island is in a unique situation. For most of the century, Long 
Island's economy has been dependent on a healthy defense industry. 
However, in recent years, draconian cuts to the defense budget have 
left the Long Island economy reeling, and today we are searching for an 
alternative. Forced to diversify, Long Island now more than ever looks 
to the small business sector as its major source of jobs, revenue, and 
income. Small businesses on Long Island look to the local Small 
Business Administration office for valuable help and counsel. The 
closing of the Long Island office would be devastating to an economy so 
dependent on a viable small business sector.
  Madam Speaker, the administration's plan to close the Long Island 
office would negatively impact, as I have said, over 82,000 small 
businesses in Nassau and Suffolk County. This is an area larger in 
population than some 20 States. While the economy in most of the Nation 
has rebounded of late, the Long Island economy continues to lag. Long 
Island has endured extensive cuts in defense spending and the loss of 
the SBA office on Long Island would be another blow to an economy 
already struggling to right itself.
  For the months ahead, Congress will have some very difficult 
decisions to make about the budget and the future 
 [[Page H3969]] spending by the Federal Government. But instead of 
eliminating an SBA office that is a value-added commodity to the 
taxpayers, that the Small Business Administration generates more in 
local income and is a stimulus to the local economy and is not, I 
repeat, not a drain on Federal taxpayers, it would be wrong-headed to 
go forth and close an office that is a value-added commodity to the 
taxpayer.
  I propose that instead the Small Business Administration consider 
closing down the Office of Advocacy. This Office of Advocacy was 
created in a political climate and for political reasons, and with 
today's budget of $7 million, it is an economy well worth considering. 
The Office of Advocacy is often the source of reports and research that 
many have come to understand to be 7, 8, 9, 10 years old, research that 
is often outdated.
  By retaining the Long Island office of the Small Business 
Administration, we can generally give a hand up to the local people in 
Nassau and Suffolk County. I urge that the Clinton administration 
reconsider the closing of that office.
  Let me just mention one case in point. There are
   many small businesses that have been helped through the guaranteed 
loan program that works with private lenders. One such case is J. 
D'Addario and Company, a family owned small business that produces 
guitar and other instrument strings.

  This company benefited from several loans administered by the Long 
Island office of the Small Business Administration that eventually 
allowed the business to relocate from rented space where they employed 
originally 25, to a new location where they are now employing over 250 
people. They purchased the land and constructed a site that was four 
times the size of the previous location.
  There are literally hundreds and hundreds of success stories as a 
result of the efforts made by the men and women who work for the Small 
Business Administration on Long Island. I know the difficulties 
administrator Phil Lader faces in making the tough decisions, and he is 
right to consolidate duplicating programs. To date his efforts have 
been superb. But again I would ask that the Clinton Administration and 
the Small Business Administration in particular reconsider closing the 
Long Island office, and add that this important resource to the small 
businessmen and women of Long Island be kept open.
  The SPEAKER pro tempore. Under a previous order of the House, the 
gentleman from Oregon [Mr. DeFazio] is recognized for 5 minutes.
  [Mr. DeFAZIO addressed the House. His remarks will appear hereafter 
in the Extensions of Remarks.]


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