[Congressional Record Volume 149, Number 2 (Wednesday, January 8, 2003)]
[Extensions of Remarks]
[Page E53]
From the Congressional Record Online through the Government Publishing Office [www.gpo.gov]




           INTRODUCING THE SMALL BUSINESS DROUGHT RELIEF ACT

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                         HON. ALCEE L. HASTINGS

                               of florida

                    in the house of representatives

                       Wednesday, January 8, 2003

  Mr. HASTINGS of Florida. Mr. Speaker, I rise today to reintroduce the 
Small Business Drought Relief Act. The bill provides small businesses 
that depend upon water supply as a means of income with the opportunity 
to qualify and apply for disaster assistance from the Small Business 
Administration when drought affects their ability to earn income. This 
is the second Congress that I have introduced this much needed 
legislation, and the need for its immediate passage is greater today 
than ever.
  As the clear majority of Members can attest to, the past two years 
have been two of the driest years in the history of the United States. 
The National Oceanic and Atmospheric Agency recently noted that 2002 
was the second warmest year on record for the globe. In the western 
parts of United States, record low waterfalls were a plenty. On 
multiple occasions, more than half of the country was in moderate to 
extreme drought. Then, when Congress adjourned late last year, 
thousands of farmers and small businesses fell victim to partisan 
politics and were left without emergency assistance from the 2002 
drought.
  Under current law, small businesses whose income depreciates as a 
result of diminishing water supply are unable to even apply for SBA 
loans. Often these businesses are family-owned and family-run 
recreational or commercial fishing firms. The majority of them are 
dependent upon water resources, whether lakes, streams, or rivers, for 
the ability to operate their businesses. When water levels drop to 
unbearable points, aside from the obvious water supply issues, boats 
are unable to make it into lakes and rivers, commercial fishing ceases 
to exist, and businesses often lay off workers and close their doors 
for good.
  I became more acutely interested in drought relief the summer of 2001 
when Florida found itself in the most prolonged drought it had seen in 
nearly 20 years. The water level in Lake Okeechobee, our country's 2nd 
largest fresh water lake, and located in my District, had decreased by 
nearly 25 percent. Not only did the water shortage in the lake cause 
problems for agriculture and water management, but it also destroyed 
the economic well being of small businesses around the Lake who depend 
on it for income. Realize this too, the clear majority of these 
businesses are owned by minorities or families who struggle every day 
just to get by.
  As I began to try and help the towns and businesses surrounding the 
Lake in locating temporary assistance, even if it was only low interest 
loans, I found that unless a firm was involved in agriculture, 
assistance is virtually impossible. When it is possible, the 
bureaucratic red tape applicants must cut through is so discouraging 
that they don't even try.
  The issue at hand, Mr. Speaker, is that droughts are major natural 
disasters. The Stafford Act says it is, as well as the U.S. Departments 
of Agriculture, Commerce, and Defense also say it is. Congress said it 
as recently as 1998. But for some reason, the Small Business Act does 
not include drought in its definition of disaster. Frankly, this 
oversight is a disaster of its own.
  Today, Mr. Speaker, I am reintroducing a bill which will reconcile 
the oversight made by our body's predecessors and ensure that 
businesses who suffer from drought will live to see another day. I urge 
my colleagues to support this bill, and I urge the leadership to bring 
it swiftly to the floor for a vote.

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