[Congressional Record Volume 147, Number 167 (Wednesday, December 5, 2001)]
[House]
[Pages H8856-H8860]
From the Congressional Record Online through the Government Publishing Office [www.gpo.gov]
NATIVE AMERICAN SMALL BUSINESS DEVELOPMENT ACT
Mr. MANZULLO. Mr. Speaker, I move to suspend the rules and pass the
bill (H.R. 2538) to amend the Small Business Act to expand and approve
the assistance provided by Small Business Development Centers to Indian
tribe members, Native Alaskans, and Native Hawaiians, as amended.
The Clerk read as follows:
H.R. 2538
Be it enacted by the Senate and House of Representatives of
the United States of America in Congress assembled,
SECTION 1. SHORT TITLE.
This Act may be cited as the ``Native American Small
Business Development Act''.
SEC. 2. FINDINGS AND PURPOSES.
(a) Findings.--Congress finds the following:
(1) Approximately 60 percent of Indian tribe members and
Alaska Natives live on or adjacent to Indian lands, which
suffer from an average unemployment rate of 45 percent.
(2) Indian tribe members and Alaska Natives own more than
197,000 businesses and generate more than $34,000,000,000 in
revenues. The service industry accounted for 17 percent of
these businesses (of which 40 percent were engaged in
business and personal services) and 15.1 percent of their
total receipts. The next largest was the construction
industry (13.9 percent and 15.7 percent, respectively). The
third largest was the retail trade industry (7.5 percent and
13.4 percent, respectively).
(3) The number of businesses owned by Indian tribe members
and Alaska Natives grew by 84 percent from 1992 to 1997, and
their gross receipts grew by 179 percent in that period. This
is compared to all businesses which grew by 7 percent, and
their total gross receipts grew by 40 percent, in that
period.
(4) The Small Business Development Center program is cost
effective. Clients receiving long-term counseling under the
program in 1998 generated additional tax revenues of
$468,000,000, roughly 6 times the cost of the program to the
Federal Government.
(5) Using the existing infrastructure of the Small Business
Development Center program, small businesses owned by Indian
tribe members, Alaska Natives, and Native Hawaiians receiving
services under the program will have a higher survival rate
than the average small business not receiving such services.
(6) Business counseling and technical assistance is
critical on Indian lands where similar services are scarce
and expensive.
(7) Increased assistance through counseling under the Small
Business Development Center program has been shown to reduce
the default rate associated with lending programs of the
Small Business Administration.
(b) Purposes.--The purposes of this Act are as follows:
(1) To stimulate economies on Indian lands.
(2) To foster economic development on Indian lands.
(3) To assist in the creation of new small businesses owned
by Indian tribe members,
[[Page H8857]]
Alaska Natives, and Native Hawaiians and expand existing
ones.
(4) To provide management, technical, and research
assistance to small businesses owned by Indian tribe members,
Alaska Natives, and Native Hawaiians.
(5) To seek the advice of the governing bodies of Indian
tribes, corporations organized pursuant to the Alaska Native
Claims Settlement Act and other Alaska Native entities, and
Native Hawaiian organizations on where small business
development assistance is most needed.
(6) To ensure that Indian tribe members, Alaska Natives,
and Native Hawaiians have full access to existing business
counseling and technical assistance available through the
Small Business Development Center program.
SEC. 3. SMALL BUSINESS DEVELOPMENT CENTER ASSISTANCE TO
INDIAN TRIBE MEMBERS, ALASKA NATIVES, AND
NATIVE HAWAIIANS.
(a) In General.--Section 21(a) of the Small Business Act
(15 U.S.C. 648(a)) is amended by adding at the end the
following:
``(7) Additional grant to assist indian tribe members,
alaska natives, and native hawaiians.--
``(A) In general.--Any applicant in an eligible State that
is funded by the Administration as a Small Business
Development Center may apply for an additional grant to be
used solely to provide services described in subsection
(c)(3) to assist with outreach, development, and enhancement
of small business startups and expansions that are owned by
Indian tribe members, Alaska Natives, or Native Hawaiians and
that are located in Alaska or Hawaii, or on Indian lands in
the 48 contiguous States.
``(B) Eligible states.--For purposes of subparagraph (A),
an eligible State is a State that has a combined population
of Indian tribe members, Alaska Natives, and Native Hawaiians
that comprises at least 1 percent of the State's total
population, as shown by the latest available census.
``(C) Grant applications.--An applicant for a grant under
subparagraph (A) shall submit to the Associate Administrator
an application that is in such form as the Associate
Administrator may require. The application shall include
information regarding the applicant's goals and objectives
for the services to be provided using the grant,
including--
``(i) the capability of the applicant to provide training
and services to a representative number of Indian tribe
members, Alaska Natives, and Native Hawaiians;
``(ii) the location of the Small Business Development
Center site proposed by the applicant;
``(iii) the required amount of grant funding needed by the
applicant to implement the program; and
``(iv) the extent to which the applicant has consulted with
the governing bodies of Indian tribes, corporations organized
pursuant to the Alaska Native Claims Settlement Act and other
Alaska Native entities, and Native Hawaiian organizations, as
appropriate.
``(D) Applicability of grant requirements.--An applicant
for a grant under subparagraph (A) shall comply with all of
the requirements of this section, except that the matching
funds requirements of paragraph (4)(A) shall not apply.
``(E) Maximum amount of grants.--No applicant may receive
more than $300,000 in grants under this paragraph in a fiscal
year.
``(F) Regulations.--After providing notice and an
opportunity for comment and after consulting with the
Association recognized by the Administration pursuant to
paragraph (3)(A) (but not later than 180 days after the date
of enactment of this paragraph), the Administrator shall
issue final regulations to carry out this paragraph,
including regulations that establish--
``(i) standards relating to educational, technical, and
support services to be provided by Small Business Development
Centers receiving assistance under this paragraph; and
``(ii) standards relating to any work plan that the
Associate Administrator may require a Small Business
Development Center receiving assistance under this paragraph
to develop.
``(G) Definitions.--In this paragraph, the following
definitions apply:
``(i) Associate administrator.--The term `Associate
Administrator' means the Associate Administrator for Small
Business Development Centers.
``(ii) Indian lands.--The term `Indian lands' means, in the
48 contiguous States, land that is a `reservation' for the
purposes of section 4 of the Indian Child Welfare Act of 1978
(25 U.S.C. 1903) and land that is an `Indian reservation' for
the purposes of section 151.2 of title 25, Code of Federal
Regulations (as in effect on the date of enactment of this
paragraph).
``(iii) Indian tribe.--The term `Indian tribe' means a
federally recognized Indian tribe.
``(iv) Indian tribe member.--The term `Indian tribe member'
means an individual who is a member of an Indian tribe.
``(v) Alaska Native.--The term `Alaska Native' means an
individual who is--
``(I) a `Native' for the purposes of section 3(b) of the
Alaska Native Claims Settlement Act (43 U.S.C. 1602(b));
``(II) a descendent of an individual who is a `Native' for
the purposes of section 3(b) of the Alaska Native Claims
Settlement Act (43 U.S.C. 1602(b)); or
``(III) a Tsimshian Indian who is an enrolled member of the
Metlakatla Indian Community.
``(vi) Native hawaiian.--The term `Native Hawaiian' means
any individual who is a descendant of the aboriginal people,
who prior to 1778, occupied and exercised sovereignty in the
area that now constitutes the State of Hawaii.
``(H) Authorization of appropriations.--There is authorized
to be appropriated to carry out this paragraph $7,000,000 for
each of fiscal years 2002 through 2004.
``(I) Funding limitations.--
``(i) Nonapplicability of certain limitations.--Funding
under this paragraph shall be in addition to the dollar
program limitations specified in paragraph (4).
``(ii) Limitation on use of funds.--The Administration may
carry out this paragraph only with amounts appropriated in
advance specifically to carry out this paragraph.''.
SEC. 4. STATE CONSULTATION WITH LOCAL TRIBAL COUNCILS.
Section 21(c) of the Small Business Act (15 U.S.C. 648(c))
is amended by adding at the end the following:
``(9) Advice of governing bodies of indian tribes, alaska
native corporations and other entities, and native hawaiian
organizations.--A State receiving grants under this section
shall request the advice of the governing bodies of Indian
tribes, corporations organized pursuant to the Alaska Native
Claims Settlement Act and other Alaska Native entities, and
Native Hawaiian organizations, as appropriate, on how best to
provide assistance to Indian tribe members, Alaska Natives,
and Native Hawaiians and where to locate satellite centers to
provide such assistance.''.
The SPEAKER pro tempore. Pursuant to the rule, the gentleman from
Illinois (Mr. Manzullo) and the gentleman from New Mexico (Mr. Udall)
each will control 20 minutes.
The Chair recognizes the gentleman from Illinois (Mr. Manzullo).
General Leave
Mr. MANZULLO. Mr. Speaker, I ask unanimous consent that all Members
may have 5 legislative days within which to revise and extend their
remarks and include extraneous material on H.R. 2538.
The SPEAKER pro tempore. Is there objection to the request of the
gentleman from Illinois?
There was no objection.
Mr. MANZULLO. Mr. Speaker, I yield myself such time as I may consume.
Mr. Speaker, I am pleased to join with my good friend, the gentleman
from New Mexico (Mr. Udall), in offering this bill today.
While many Americans are justifiably anxious about a one-half percent
jump in the unemployment rate, about 60 percent of our Native American
population lives in or adjacent to Indian lands that suffer from an
average unemployment rate of 45 percent. This past summer I had the
opportunity to visit Santa Fe in the heart of the district of the
gentleman from New Mexico (Mr. Udall); and at that time we held a
hearing involving the contracting practices of one of our labs out
there, the Los Alamos lab.
The evidence adduced at the hearing pointed out quite significantly
that the Native American tribes are not getting their share of the
amount of Federal dollars that are being poured into the Los Alamos
facility.
One of the purposes of this bill is to extend the facilities of the
SBCDs, the Small Business Development Centers, of which there are over
1,000 in this country, for the purpose of business counseling and
technical assistance to the Native Americans who may wish to become
involved in the procurement process.
What is good about this bill, Mr. Speaker, is the fact that this is a
self-help program, it involves the outlay of a relatively small amount
of money, it is aimed directly at the Native Americans that really need
the assistance, and it is the type of learning of business techniques
that makes the Native Americans better able to compete to go after
these Federal contracts and in the private sector.
So I join in the support of this bill and would encourage my
colleagues to support H.R. 2538.
Mr. Speaker, I reserve the balance of my time.
Mr. UDALL of New Mexico. Mr. Speaker, I yield myself such time as I
may consume.
First of all, let me thank the majority leader for allowing this
legislation to come before the House for consideration. I also would
like to thank the gentleman from Illinois (Chairman Manzullo) and the
ranking member, the gentlewoman from New York (Ms. Velazquez), for
their work and commitment to expanding small business opportunities for
all Americans.
[[Page H8858]]
H.R. 2538 will establish a 3-year pilot program for providing grants
to Small Business Development Centers for assisting Native American,
Native Alaskan and Native Hawaiian populations with their small
business development needs.
Today we have demonstrated how important small business is to the
health of our economy, but there are still places in this country where
economic prosperity has often failed to reach. These areas deserve our
attention and assistance.
Consider this: nowhere in America has poverty persisted longer than
on or near Native American reservations, which suffer an average
unemployment rate of 45 percent. However, the number of businesses
owned by Indian tribe members and Native Alaskans grew by 84 percent
from 1992 to 1997, and their gross receipts grew by 179 percent in that
period. This is compared to all businesses which grew by 7 percent, and
their total gross receipts grew by 40 percent in that period.
I would like to continue this growth and expansion of small
enterprise through this legislation. My bill ensures that Native
Americans, Native Alaskans and Native Hawaiians seeking to create,
develop and expand small businesses, have full access to the counseling
and technical assistance available through the SBA's SBDC program. The
business development tools offered by SBDCs can assist Native Americans
with the information and opportunity to build sustainable businesses in
their communities.
The Native American Small Business Development Act would permit State
Small Business Development Centers to apply for Federal grants to
establish one or more Native American Small Business Development
Centers. In an effort to ensure the quality and success of the program,
the proposal requires grant applicants to provide the SBA with their
goals and objectives, including their experience in assisting
entrepreneurs with the difficulties in operating a small business.
In addition, the applicant must show their ability to provide
training and services to a representative number of Native Americans,
Native Alaskans and Native Hawaiians. Most importantly, applicants must
seek the advice of the local native population on specific needs and
the location of services they will provide.
It is clear we can do more to aid Native American entrepreneurs. Not
enough has been done to assist Native Americans in building their
businesses, which in turn helps benefit their communities.
{time} 1200
I hope to change that with this legislation.
Mr. Speaker, I reserve the balance of my time.
Mr. MANZULLO. Mr. Speaker, I yield myself such time as I may consume.
I want to acknowledge the work of my colleagues on the Committee on
Resources, in particular the gentleman from Utah (Mr. Hansen). They
contributed immensely to this bill in order to make sure that we are
helping as many native Americans as possible, and particularly in
clarifying the language as it applies to Alaska natives. I thank them
for their contribution to this important legislation.
Mr. Speaker, I reserve the balance of my time.
Mr. UDALL of New Mexico. Mr. Speaker, I yield such time as she may
consume to the gentlewoman from New York (Ms. Velazquez), our ranking
member and a very hardworking member on this piece of legislation.
Ms. VELAZQUEZ. Mr. Speaker, I rise in strong support of H.R. 2538,
the Native American Small Business Development Act. This is an
important piece of legislation which we need now more than ever. I
thank the gentleman from New Mexico for his hard work on this issue,
and I congratulate him for bringing it to the floor today.
In the past decade, our economy has created more than 15 million new
jobs and the greatest boom time on record. American small business has
been an integral part of this growth. Small companies and entrepreneurs
employ half our workers, create jobs 75 percent faster than large
firms, and make up nearly half our gross domestic product. They are the
key to our success and will be the key to our economic recovery.
But the prosperity many Americans have enjoyed failed to reach some
places in our country. Certain regions and communities peer over an
ever-widening canyon that separates them from those better off. These
areas deserve our attention and our help to fill that gap.
Nowhere in America is poverty more persistent than on and near Native
American reservations where citizens suffer a staggering average
unemployment rate of 45 percent. Over a third of reservation
inhabitants live below the poverty line.
But one of the bright spots on many reservations during the past
decade has been the growth of small business. From 1992 to 1997, the
number of businesses owned by Native Americans grew by 84 percent.
Their gross receipts also grew during that time by 179 percent. Those
rates dwarf national figures for small business. Clearly, Native
American enterprise is a powerful engine for renewal.
While such spirit is innate, success is learned. We know from
consistent and incontrovertible evidence that technical assistance
helps small companies. Entrepreneurs who learn business skills are
twice as likely to succeed.
The gentleman from New Mexico (Mr. Udall), my good friend,
understands this principle, which is why he introduced his innovative
and valuable legislation. I commend him for his leadership and
stewardship of this bill.
The Native American Small Business Development Act will provide the
technical assistance and aid needed to spur and perpetuate an
extraordinary burst of enterprise. It ensures that those seeking to
develop small businesses will have full access to counseling and
technical assistance provided by the SBA's Small Business Development
Program.
With the economy in a downturn, we need this bill now more than ever,
because enterprise is the engine of recovery. These hardworking
entrepreneurs deserve the best service available to build and grow.
This legislation will ensure they receive that aid which will help
spread and sustain prosperity to every corner of our country.
Mr. Speaker, I urge all of my colleagues to support this legislation.
Mr. UDALL of New Mexico. Mr. Speaker, I yield 3 minutes to the
gentlewoman from the Virgin Islands (Mrs. Christensen).
Mrs. CHRISTENSEN. Mr. Speaker, I thank the gentleman for yielding me
time.
Mr. Speaker, today I join my colleagues in support of H.R. 2538, the
Native American Small Business Development Act. Within the past decade,
America's small businesses have experienced unprecedented growth and
have contributed greatly to our Nation's economic upswing prior to
September 11. Now they will be an important engine for recovery.
As the premier technical assistance providers to America's
entrepreneurs, Small Business Development Centers are responsible, in
large part, for the successes of small businesses.
We know that many of these businesses operate near or at their profit
margin and do not have the additional resources to hire legal or
technical experts. This is where the SBDCs step in to provide free or,
in a few instances, low-cost technical assistance. Research shows that
small businesses that receive this technical assistance are twice as
likely to succeed as those which do not.
Mr. Speaker, for too long our Nation's Native American population,
the first Americans, have been, as they have often been referred to as,
the ``forgotten people.'' As a member of the Committee on Resources,
like the gentleman from New Mexico (Mr. Udall), and as a person with
Native American lineage myself, I want to commend the gentleman from
New Mexico for introducing this bill, and I am pleased to support it,
and I look forward to its passage today.
While our country has experienced economic prosperity over the past
decade, the Native American community, including the Alaskan Natives
and Native Hawaiian communities, continue to lag behind. For example,
the average unemployment rate for Native American communities,
particularly on reservations, averages about 45 percent, with one-third
of Native Americans living below the poverty level. With only limited
help, Native American small businesses have grown at a rate of 84
[[Page H8859]]
percent over the past 5 years, but we need to help them more. We need
to help them do better.
Mr. Speaker, H.R. 2538 will provide $7 million to fund a 3-year pilot
program to provide technical assistance to Native American, Native
Alaskan, and Native Hawaiian businesses. This program will give these
businesses better access to the SBDC network, no matter where they are
located. It will help to sustain and, hopefully, boost the growth of
Native American, Native Alaskan and Hawaiian Native businesses which,
in turn, will spur the much-needed economic growth in these
communities.
Once again, I would like to commend the gentleman for championing
this cause and bringing this legislation to the floor, and I urge my
colleagues to support it.
Mr. UDALL of New Mexico. Mr. Speaker, I yield 2 minutes to the
gentleman from Illinois (Mr. Davis).
Mr. DAVIS of Illinois. Mr. Speaker, first of all, let me congratulate
the gentleman from New Mexico (Mr. Udall) on the introduction of this
bill. I also want to commend the chairman and ranking member for the
efficient manner in which they have moved this legislation to the
floor.
Mr. Speaker, I rise in support of H.R. 2538, the Native American
Entrepreneurial Development Act. This legislation would provide $7
million to fund a 3-year program for technical assistance to Native
American businesses.
Mr. Speaker, the reality is that when we provide an opportunity for
Native American businesses to grow and develop, to experience some
sense of technical knowledge, to be able to come into the mainstream,
then we are really doing the work, I think, that we were sent here to
do.
I do not want to be redundant, but I certainly want to commend again
the gentleman from New Mexico for his sensitivity and understanding and
recognition of the needs of the people that he represents. Again, I
commend the chairman, the gentleman from Illinois (Mr. Manzullo), and
the ranking member for the efficiency and the good work of this
Committee on Small Business. With all due respect to other committees,
Mr. Speaker, I think that this is probably one of the most bipartisan,
one of the most efficient committees in Congress, and we all do an
outstanding job on it.
Mr. UDALL of New Mexico. Mr. Speaker, I yield 1 minute to the
gentlewoman from Ohio (Mrs. Jones).
Mrs. JONES of Ohio. Mr. Speaker, I thank the gentleman for his
leadership on this issue, and I thank the chairman for his leadership
on the committee.
I just rise very quickly to say that I had an opportunity to visit
Ship Rock, New Mexico, with President Clinton when we went on the tour
of the Digital Divide. At that time, I had a chance to visit an Indian
reservation, and I had a chance to speak with and discuss with the
people there the issues of small business. I am so happy that the
gentleman has chosen and has had an opportunity to address this issue.
Secondly, I had a chance to visit the Small Business Development
Center in Hawaii where they were doing innovative things on a lot of
little small islands where they were able to put the counselor for the
Small Business Development Center on a computer at one end and the
people on the small islands at the other end to engage in counseling.
So I am so happy that the gentleman has taken the leadership in this
area, and I rise in support of him and congratulate him on the work he
is doing, and the chairman as well.
Mr. UDALL of New Mexico. Mr. Speaker, I yield myself such time as I
may consume.
Mr. Speaker, let me just thank the chairman of the committee, the
gentleman from Illinois (Mr. Manzullo), once again. I want to echo what
has been said earlier, that we have one of the most bipartisan
committees in the Congress, and I know because of all of the chairman's
hard work we have gotten this bill through and gotten this done.
I want to take the opportunity to thank the staff on both sides and
my staff member, Tony Martinez, who has worked very hard on this.
Members from both parties talked about visiting my district and
learning from those experiences out there, and I think one of the
things they learned is that we can make a real difference for Native
American entrepreneurs with this piece of legislation.
So let me once again just thank the gentleman from Illinois (Mr.
Manzullo) for all of his hard work.
Mr. RANGEL. Mr. Speaker, I rise today in support of the bill H.R.
2538, an important piece of legislation for the Native American small
businesses community.
Now, more than ever, we need to develop and expand the Native
American private sector. Industries employ a growing number of
individuals on reservations. The expansion of small businesses
positively impacts these communities by putting money directly into
their hands and places them directly in control of their destinies.
In addition to creating new small businesses and enlarging existing
ones we must provide management, technical, and research assistance to
Native Americans who seek to create, develop, or expand small
businesses. Only by providing them full access to the necessary
business counseling and technical assistance can we ensure their
success, a success that is so important to the future of those
communities.
With our priority to support the Native American small business
community, we build a stronger economy and provide jobs to tribal
members. This will, in turn, open the doors for the future of the
tribal Nations. Native Americans face various challenges and we have
the obligation to actively pursue methods to improve the Native
American standard of living.
Mr. YOUNG of Alaska. Mr. Speaker, I rise in support of H.R. 2538 as
amended, and wish to clarify how the program authorized in this bill
operates with respect to my Alaska Native constituents.
H.R. 2538 as amended does not differ in substance from the bill as
reported by the Committee on Small Business. Rather, the measure under
consideration today simply recognizes the unique Native American
policies that Congress has implemented in the State of Alaska, and
clarifies how the grant program the bill authorizes will be implemented
in that State.
In the 48 contiguous States, Congress's policy on Native Americans
has focused on recognizing groups of Native Americans as ``federally
recognized tribes'' that are distinct political entities and a majority
of whose members reside on reservations and other land that is owned by
the United States in trust.
However, while Congress has routinely designated groups of Alaska
Natives as ``tribes,'' it has done so for the sole purpose of ensuring
that Alaska Natives are eligible for programs and services that the
United States provides to Native Americans because of their status as
Native Americans.
Congress has not recognized any group of Alaska Natives as a
``federally recognized tribe'' that is a distinct political entity.
Instead, since 1884 Congress has required Alaska Natives to be, at
all locations in Alaska, subject to the same criminal and civil state
laws that non-Native Alaskans are required to observe.
Consistent with that policy, in 1971 when it extinguished Alaska
Native aboriginal title by enacting the Alaska Native Claims Settlement
Act, Congress required Alaska Natives to organize business corporations
under the laws of the state of Alaska and then directed the Secretary
of the Interior to convey the corporations fee title to 44 million
acres of Federal land.
The amendments made to H.R. 2538 as reported by the Committee on
Small Business simply acknowledge that Congress' Alaska Native policy
is quite different from the Native American policy that Congress has
implemented in the 48 contiguous States. It will also ensure that the
intent of H.R. 2538 can be effectively met in Alaska for the benefit of
Alaska Natives.
I would like to thank the gentleman from New Mexico and the chairman
and ranking members of the Small Business Committee, and their staff,
for their assistance in making appropriate changes to the language in
the bill as reported.
These amendments will ensure the programs authorized by H.R. 2538
assist Alaska Natives as intended. I support H.R. 2538 as amended.
Mr. MATHESON. Mr. Speaker, it is with great pleasure that I rise
today to support H.R. 2358, the Native American Entrepreneurial
Development Act. This legislation is a great step forward for the small
businesses owned and operated by Native Americans.
As many of us know, there are over 1,000 Small Business Development
Centers across the United States serving over 600,000 businesses. Over
30 percent of those businesses are minority-owned. Unfortunately, while
small businesses helped in our Nation's economic boom in the 1990s,
Native American communities have lagged behind. Unemployment,
especially on reservations, continues to be a rampant 45 percent. Even
worse, nearly one in three Native Americans live far below the poverty
line.
This legislation focuses on a $7 million pilot program that will
provide technical assistance
[[Page H8860]]
to Native American businesses. Since Native American businesses have
grown at a rate of 84 percent over the last 5 years, H.R. 2358 will
help more Native Americans find success as they launch companies and
access the Small Business Development Center's network.
I appreciate the work and leadership of my colleagues on this
legislation. As we work together, I believe that we will find more
positive solutions that will help Native Americans throughout the
United States become more successful. I ask my colleagues to support
H.R. 2358, the Native American Entrepreneurial Development Act, and
give Native American businesses the opportunity to access capitol, hire
strong, skilled workers, and successfully negotiate Federal, State, and
local laws and regulations.
Mr. KILDEE. Mr. Speaker, as co-chairman of the Congressional Native
American Caucus, I rise in strong support of H.R. 2538, a bill that
amends the Small Business Act to expand and improve the assistance
provided by the Small Business Development Centers (SBDC) for Native
American tribal members. Alaska Natives and Native Hawaiians. I want to
thank my good friend from New Mexico, Congressman Tom Udall, for
introducing this bill. I am proud to be an original cosponsor.
Mr. Speaker, the bill establishes a 3-year pilot project that allows
any SBDC in a State, whose Native American tribal members, Alaska
Native, or Native Hawaiian populations are 1 percent of the State's
total population, to apply for grants from the Small Business
Administration. The grants will help the SBDCs to assist the small
business owners with their entrepreneurial needs.
The purpose of this bill is to create jobs and to foster economic
development on tribal lands. It is my hope that by using the existing
structure of the Small Business Administration's SBDC program, small
businesses on tribal land will have a better chance for success. Due to
limited resources, the SBDC program has had a difficult time providing
counseling and technical assistance to small business owners on tribal
land. This bill will provide SBDC the adequate resources it needs to
reach out to small business owners in Indian country.
Mr. Speaker, I ask my colleagues to support this measure.
Mrs. MINK of Hawaii. Mr. Speaker, I rise today in support of H.R.
2538, the Native American Small Business Development Act.
Native people throughout our country continues to struggle because
they lack the basic economic infrastructure to support businesses.
Consequently, the poverty rate for native people remains at an
unacceptable level. According to the Census Bureau, the poverty rate
for American Indians and Alaska Natives averaged 25.9 percent from 1998
through 2000.
In Hawaii, census data indicates that Native Hawaiians continue to be
clustered in the state's poorest areas. According to the State of
Hawaii's Office of Hawaiian Affairs, Native Hawaiians significantly lag
behind the state's averages for family income and high school
graduation rates. The unemployment rate for Native Hawaiians living in
Hawaii during 2000 was 7.2 percent, well above the state average of 4.3
percent.
Despite these sobering statistics, native people continue to show a
strong entrepreneurial spirit. These businesses are gateways allowing
individuals to find their way out of poverty.
H.R. 2538 creates a 3-year pilot program to support this
entrepreneurial spirit by providing grants to Small Business
Development Centers that assist the small business needs of native
people.
Under this bill, Small Business Development Centers can obtain
$300,000 grants to assist with outreach, development, and enhancement
of small businesses owned by Indian tribe members, Native Alaskans, and
Native Hawaiians. The bill will target the grants to businesses located
on or near native lands, which will create new job opportunities for
native people living in these areas.
The bill require states to consult with local native groups to
determine the best way to provide assistance and where to locate
satellite business centers. The cooperative nature of the relationship
between the Small Business Development Centers and native people will
help ensure the success of the program.
I urge my colleagues to vote for H.R. 2538 and help provide small
business opportunities to Native Americans throughout America.
Mr. UDALL of New Mexico. Mr. Speaker, I yield back the balance of my
time.
Mr. MANZULLO. Mr. Speaker, I yield back the balance of my time.
The SPEAKER pro tempore (Mr. Shimkus). The question is on the motion
offered by the gentleman from Illinois (Mr. Manzullo) that the House
suspend the rules and pass the bill, H.R. 2538, as amended.
The question was taken; and (two-thirds having voted in favor
thereof) the rules were suspended and the bill, as amended, was passed.
The title of the bill was amended so as to read: ``A bill to amend
the Small Business Act to expand and improve the assistance provided by
Small Business Development Centers to Indian tribe members, Alaska
Natives, and Native Hawaiians.''.
A motion to reconsider was laid on the table.
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