[Congressional Record Volume 149, Number 51 (Monday, March 31, 2003)]
[House]
[Pages H2500-H2504]
From the Congressional Record Online through the Government Publishing Office [www.gpo.gov]
SMALL BUSINESS DEVELOPMENT CENTER ASSISTANCE TO INDIAN TRIBE MEMBERS,
NATIVE ALASKANS, AND NATIVE HAWAIIANS
Mr. SHUSTER. Mr. Speaker, I move to suspend the rules and pass the
bill (H.R. 1166) to amend the Small Business Act to expand and improve
the assistance provided by Small Business Development Centers to Indian
tribe members, Native Alaskans, and Native Hawaiians.
The Clerk read as follows:
H.R. 1166
Be it enacted by the Senate and House of Representatives of
the United States of America in Congress assembled,
SECTION 1. FINDINGS AND PURPOSES.
(a) Findings.--Congress finds the following:
(1) Approximately 60 percent of Indian tribe members and
Native Alaskans live on or adjacent to Indian lands, which
suffer from an average unemployment rate of 45 percent.
(2) Indian tribe members and Native Alaskans 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 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.
(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.
[[Page H2501]]
(5) Using the existing infrastructure of the Small Business
Development Center program, small businesses owned by Indian
tribe members, Native Alaskans, 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, Native Alaskans, and Native
Hawaiians and expand existing ones.
(4) To provide management, technical, and research
assistance to small businesses owned by Indian tribe members,
Native Alaskans, and Native Hawaiians.
(5) To seek the advice of local Tribal Councils on where
small business development assistance is most needed.
(6) To ensure that Indian tribe members, Native Alaskans,
and Native Hawaiians have full access to existing business
counseling and technical assistance available through the
Small Business Development Center program.
SEC. 2. SMALL BUSINESS DEVELOPMENT CENTER ASSISTANCE TO
INDIAN TRIBE MEMBERS, NATIVE ALASKANS, 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,
native alaskans, 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
on Indian lands of small business startups and expansions
owned by Indian tribe members, Native Alaskans, and Native
Hawaiians.
``(B) Eligible states.--For purposes of subparagraph (A),
an eligible State is a State that has a combined population
of Indian tribe members, Natives Alaskans, 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, Native Alaskans, 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
local Tribal Councils.
``(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' has the
meaning given the term `Indian country' in section 1151 of
title 18, United States Code, the meaning given the term
`Indian reservation' in section 151.2 of title 25, Code of
Federal Regulations (as in effect on the date of enactment of
this paragraph), and the meaning given the term `reservation'
in section 4 of the Indian Child Welfare Act of 1978 (25
U.S.C. 1903).
``(iii) Indian tribe.--The term `Indian tribe' has the
meaning given such term in section 8(a)(13).
``(iv) Indian tribe member.--The term `Indian tribe member'
means a member of an Indian tribe (other than a Native
Alaskan).
``(v) Native alaskan.--The term `Native Alaskan' has the
meaning given the term `Native' in section 3(b) of the Alaska
Native Claims Settlement Act (43 U.S.C. 1602(b)).
``(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 2004 through 2006.
``(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. 3. 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 local tribal counsels.--A State receiving
grants under this section shall request the advice of local
Tribal Councils on how best to provide assistance to Indian
tribe members, Native Alaskans, and Native Hawaiians and
where to locate satellite centers to provide such
assistance.''.
The SPEAKER pro tempore. Pursuant to the rule, the gentleman from
Pennsylvania (Mr. Shuster) and the gentleman from New Mexico (Mr.
Udall) each will control 20 minutes.
The Chair recognizes the gentleman from Pennsylvania (Mr. Shuster).
General Leave
Mr. SHUSTER. 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 this legislation.
The SPEAKER pro tempore. Is there objection to the request of the
gentleman from Pennsylvania?
There was no objection.
Mr. SHUSTER. Mr. Speaker, I yield myself such time as I may consume.
Mr. Speaker, H.R. 1166 is identical to legislation the House passed
unanimously December 5, 2001. Unfortunately, this bill did not pass the
Senate last year. We are here today to try again.
This bill simply establishes a 3-year pilot program providing grants
to the Small Business Development Centers for assisting Native
Americans, Native Alaskans, and Native Hawaiian populations with their
small business development needs.
Few people realize that 60 percent of our Native American population
lives in or adjacent to Indian lands that suffer from an average
unemployment rate of 45 percent. One-third of Native Americans live
below the poverty level. However, the number of businesses owned by
Native Americans grew by 84 percent between 1998 and 1997, as compared
to all other businesses, which grew at only 7 percent over the same
time period.
It is quite clear that the entrepreneurial spirit of Native American
small business ownership is the key to economic growth and
revitalization of these often forgotten communities. Instead of
creating a new program, H.R. 1166 uses the existing Small Business
Development Center network to develop culturally sensitive
entrepreneurial counseling and technical assistance programs for Native
Americans.
The SBDC network has a track record of success. Small businesses that
use their service have a higher survival rate than the average small
businesses not receiving such assistance. Any SBDC in a State whose
Native American population is at least 1 percent of the State's total
population can apply for a grant from the SBA. Such grants must be used
to provide SBDC program assistance to Native Americans. The maximum
grant size is $300,000 and the authorized level is capped at $7 million
per year.
Already this fiscal year, the Small Business Administration received
a $2 million appropriation to develop Native American entrepreneur
education programs. I join many of my colleagues, including the
chairman of the Committee on Small Business, the gentleman from
Illinois (Mr. Manzullo), who is an original cosponsor of this bill, in
supporting H.R. 1166.
Mr. Speaker, I reserve the balance of my time.
[[Page H2502]]
Mr. UDALL of New Mexico. Mr. Speaker, I yield myself such time as I
may consume.
Mr. Speaker, first of all, I would like to thank the gentleman from
Illinois (Chairman Manzullo), chairman of the Committee on Small
Business, and the ranking member, the gentlewoman from New York (Ms.
Velazquez), for their work and commitment to expanding small business
opportunities for all Americans and for working to bring this bill to
the floor today.
I would also like to thank the staff members of the committee for
their hard work on this legislation and my colleagues who supported
this bill by joining me as cosponsors.
The important legislation before us today, H.R. 1166, allows Small
Business Development Centers to apply for an additional Small Business
Administration grant to provide specified services to assist with
outreach, development, and enhancement on Indian lands of small
business start-ups and expansions that are owned by Indian tribal
members, Alaskan Natives, or Native Hawaiians.
This legislation ensures participation of governing bodies of Indian
tribes, Alaska Native entities, and Native Hawaiian organizations.
Under H.R. 1166, States receiving a Small Business Development Center
program grant are required to request advice from the appropriate
governmental organization on how best to provide assistance to such
members and where to locate satellite centers to provide such
assistance. Our intent is to ensure these business development tools
are provided in a culturally sensitive way.
Mr. Speaker, small businesses create 75 percent of all new employment
opportunities, make up 99 percent of all employers, and provide almost
half of all sales in this country. As many of us have said before and
will say again, small businesses are the fuel for the engine of
economic development. That is why it is so imperative that we take
steps to help ensure that small business development reaches the places
in this country where economic prosperity has yet to be realized.
The current economic situation on Native American lands is very
grave. However, it does hold promise for the future. The average
unemployment rate of these lands is over 10 times the national average.
At the same time, small business creation is at an all-time high.
Native American and Native Alaskan-owned small businesses grew by 84
percent from 1992 to 1997, and their gross receipts grew by 179 percent
in that same time period.
Compare those figures to an overall small business growth rate of 7
percent and to the gross receipt growth of 40 percent, and we can see
why there is reason to be optimistic about the future of small business
development on tribal lands.
It is with these facts in mind and the desire to help Native
American, Native Alaskan, and Native Hawaiian entrepreneurs capitalize
on these positive developments that I introduce 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 the SBDCs can assist Native Americans with the information and
opportunity to build sustainable businesses in their communities.
In an effort to ensure the quality and success of the program, the
proposal requires the SBA to include several items in the grant
application.
{time} 1545
In addition to the obvious requirements like requiring the
applicant's goals and objectives, we also must see the applicant's
experience in conducting programs on ongoing efforts designed to assist
the business skills of small business owners. Also the capability of
such applicant to provide training and services to a representative
number of Native Americans, Native Alaskans, and Native Hawaiians is
also important to this process.
I have the great honor of representing 14 Pueblos, the Hickory Apache
Nation, and a portion of the Navajo Nation. These communities are in
great need of economic development, and it is clear we can do more to
aid Native American entrepreneurs not only in my district but
throughout the country as well. Not enough has been done to assist
Native Americans in building their businesses. I hope to change this
situation with the passage of this legislation.
Mr. Speaker, I yield 2 minutes to the gentlewoman from Guam (Mr.
Bordallo).
Ms. BORDALLO. Mr. Speaker, I rise today in support of H.R. 1166, a
bill to authorize the administration of grants to local small business
development centers in States with significant populations of Native
Americans, Native Alaskans, and Native Hawaiians. The gentleman from
New Mexico (Mr. Udall) has carefully crafted this important legislation
to address poverty and unemployment amongst those disadvantaged
populations. I commend the gentleman and the House Committee on Small
Business for focusing on the sizable socioeconomic problems faced by
Native Americans.
H.R. 1166 will enable small business development centers to assist
Native Americans with job creation and economic growth. This measure
will help foster self-determination among groups that have been
historically marginalized by the Federal Government. This bill helps
individuals to utilize their own valuable business skills so that their
small business, and in turn their community, may prosper.
I am in such strong support of the aims of H.R. 1166 that I believe
the bill can be strengthened by expanding the eligible grant recipients
to include small business development centers that work with the
indigenous populations of Guam and American Samoa. Chamorros and
Samoans from U.S. territories endure economic adversity similar to that
experienced by Native Americans, Native Alaskans, and Native Hawaiians.
I look forward to working with my colleagues to ensure that either in
conference on this legislation, or on a similar proposal, that we take
action to address the small business development needs of the
indigenous populations of the United States territories.
This bill gives real assistance to Native Americans, and I urge my
colleagues to support its passage and to support economic development
for all indigenous populations throughout the United States.
Mr. UDALL of New Mexico. Mr. Speaker, we thank the gentlewoman for
her service on the Committee on Small Business.
Mr. Speaker, I yield 2 minutes to the gentleman from Hawaii (Mr.
Case) who also serves on the Committee on Small Business and is a
hardworking member on that committee.
(Mr. CASE asked and was given permission to revise and extend his
remarks.)
Mr. CASE. Mr. Speaker, I commend the gentleman from New Mexico (Mr.
Udall) for his work on this legislation and thank him.
I rise in very strong support for this legislation because this bill
perfectly melds two objectives that we want to accomplish here in our
Congress. The first, of course, is to support small business. We all
know and the gentleman has outlined how strong small business can be.
It is the backbone of our economy. It is where much of innovation in
our country comes from, and it is an area where the need for
coordination is great. In my own State of Hawaii almost all of the
businesses are small business-related, and they have the same needs as
throughout the rest of our country to coordinate those efforts. And
this is an area in which the Federal Government's assistance is so well
received because of the return on investment, a return on investment of
roughly six times the amount invested in these small business
development centers, returns to the bottom line in terms of increased
tax revenue and employment.
The second goal, of course, is the goal of improving the lot of our
indigenous peoples, whether they be Native Americans or Native
Hawaiians. I think we all know that the route to improving the lot of
our indigenous people lies through self-sufficiency. And my own belief,
and this legislation makes very clear that the belief of most of us, is
that the way to do that is through encouraging economic activity. So to
the extent that we can encourage that economic activity, we can take
the situation that many of our indigenous people find ourselves in,
especially Native Hawaiians in my home
[[Page H2503]]
State and improve their lot, improve their self-sufficiency, take them
off the rolls, whether they be the health care rolls, the welfare
rolls. This is the way too for us to go. This is money well spent.
Mr. Speaker, I thank and commend the gentleman again for introducing
this legislation and I certainly hope we can pass this expeditiously.
Mr. UDALL of New Mexico. Mr. Speaker, I yield 3 minutes to the
gentleman from North Carolina (Mr. Ballance). He is the ranking member
on the Subcommittee on Rural Enterprises, Agriculture, and Technology.
(Mr. BALLANCE asked and was given permission to revise and extend his
remarks.)
Mr. BALLANCE. Mr. Speaker, I am honored this evening to join with my
colleagues on this important issue.
A careful reading of history reminds us that the first Americans,
whom we now call Native Americans and sometimes we call Indians, those
whose ancestors walked the Trail of Tears, part of which is in my
native State of North Carolina, those who suffered through broken
promises from our government, and even as we stand here today in combat
in Federal court with our Department of Interior over how to account
for funds derived from lands that America allegedly set aside for
Native Americans, we all know how important small businesses are all
over our Nation and in every community, where they make up 75 percent
of new employment and, by some figures, more than 90 percent of all new
employers.
The average unemployment rate of Native Americans, particularly those
on the reservation, languishes today around 45 percent. That is
unacceptable in modern America, when we keep in mind that the national
unemployment rate in February of this year was 5.8 percent. Even more
alarming, one-third of Native Americans currently live below the
poverty line. And so that is why I am honored to stand with my
colleagues in support of this important legislation which I understand
was introduced and went forward last year but did not make it all the
way. We are hopeful that we can pass this legislation in the House of
Representatives and it can become law.
Native American small businesses grew at a rate of 84 percent over
the last 5 years. And we not only have a legal, I think,
responsibility, but we have a moral responsibility to ensure that this
trend continues to ensure that we make efforts to right past wrongs,
and for selfish reasons, to ensure that in our country that every
segment of our community has an opportunity for its young people to
move forward and to enjoy the American dream. I am strongly in support
of this legislation and I urge my colleagues to pass it.
Mr. UDALL of New Mexico. Mr. Speaker, if the gentleman from
Pennsylvania (Mr. Shuster) has no further speakers, I am prepared to
close.
Mr. SHUSTER. Mr. Speaker, we have no further speakers. I reserve my
right to close.
Mr. UDALL of New Mexico. Mr. Speaker, I yield myself such time as I
may consume.
Mr. Speaker, let me thank the gentleman from Pennsylvania (Mr.
Shuster) for his management of this bill and for his hard work here on
the floor today.
Mr. Speaker, I would again like to thank the chairman of the
Committee on Small Business and the ranking member, the gentlewoman
from New York (Ms. Velazquez) for their commitment to passing this
important legislation. I have high hopes for the impact of this
legislation and the impact it will have on small business and economic
development on tribal lands.
As some of my colleagues have mentioned today, the average
unemployment rate of Native American communities, particularly on
reservations, is around 45 percent, while one-third of Native Americans
currently live below the Nation's poverty level. Mr. Speaker, this
situation is unacceptable.
The persistent poverty that is prevalent on tribal lands must come to
an end, and I believe that passing H.R. 1166 is an important step
towards achieving this goal. I urge my colleagues to support this
legislation.
And just one moment before I yield back, let me also thank the
committee staff, my former legislative director, Tony Martinez; my
legislative assistant, Mike Collins; and Michael Day, the minority
staff director of the Committee on Small Business.
Mr. Speaker, I yield back the balance of my time.
Mr. SHUSTER. Mr. Speaker, I yield myself such time as I may consume.
Mr. Speaker, I would close by first commending and congratulating the
gentleman from New Mexico (Mr. Udall) for his hard work on this
legislation and his support for the small business men and women across
America. I also want to take this opportunity to thank the ranking
member, the gentlewoman from New York (Ms. Velazquez) for her support
on H.R. 1166. And I finally want to thank the gentleman from Illinois
(Chairman Manzullo) for his leadership and his passion for defending
the backbone of the American economy and that is small business.
Mr. MANZULLO. Mr. Speaker, I am delighted that we were able to
expeditiously move this legislation on the floor today. This bill is
identical to legislation this House unanimously approved on December 5,
2001. It is unfortunate that the Senate was unable to take this
legislation up on the Senate floor last year but we are here today to
try again.
The purpose of H.R. 1106 is to create jobs, to spur entrepreneurship,
and to stimulate the economies and foster economic development on
Indian lands. Further, the purpose of the Act is to help in the
creation of new small businesses owned and managed by Indian tribe
members, Native Alaskans, and Native Hawaiians and to help expand such
small businesses that already exist. The Act will provide much needed
management, technical, and research assistance to small businesses
owned by Indian tribe members, Native Alaskans, and Native Hawaiians.
The Act will help insure that Indian tribe members, Native Alaskans,
and Native Hawaiians have full access to existing counseling and
technical assistance provided through the Small Business Development
Center (SBDC) program. In providing entrepreneurial assistance, a State
receiving a grant under the provisions of the Act is required to seek
the advice of local Tribal Councils on where small business development
assistance is needed.
Approximately 60 percent of Indian tribe members and Native Alaskans
live on or in the immediate vicinity of Indian lands and suffer from an
average unemployment rate of 45 percent. Currently, Indian tribe
members and Native Alaskans own more than 197,000 business enterprises
and generate revenues in excess of $34 billion.
The service industry, the largest sector, accounts for 17 percent of
the businesses, and 15.7 percent of the total revenues. The second
largest sector is construction, which accounts for 13.9 percent of the
businesses and 15.7 percent of the total revenues. The third largest
sector, the retail trades, accounts for 7.5 percent of the businesses
and 13.4 percent of the total revenues.
The number of businesses owned by Indian tribe members and Native
Alaskans grew by 84 percent during the period from 1992 to 1997, while
businesses, generally, grew by only seven percent. During the same
period, the gross receipts for Indian tribe members and Native Alaskan
business owners increased by 179 percent, in comparison with the
business community, as a whole, where the gross receipts for the same
period grew only by 40 percent.
In the past, the SBDC program with more than 1,100 offices throughout
the United States has provided cost-effective business counseling and
technical assistance to small businesses. For example, clients
receiving long-term counseling under the program in 1998 generated
additional tax revenues of $468 million, which was approximately six
times the cost of the program to the Federal government.
By using the existing infrastructure of the SBDC program, it is
anticipated that small businesses owned by Indian tribe members, Native
Alaskans, and Native Hawaiians, who receive services under the Act,
will have a higher survival rate than the average small businesses not
receiving such services. Further, increased assistance through SBDC
counseling has in the past been able to reduce defaults under Small
Business Administration (SBA) lending programs.
The business counseling and technical assistance, provided for under
this Act, is critical on Indian land where, without such assistance,
similar services are scarce and expensive. Past and current efforts by
SBDCs to assist Native American populations located on or along
reservation lands have proven difficult. In addition, the lack of
resources makes it difficult to raise an equal amount of matching funds
to specifically assist Native Americans.
H.R. 1166 will establish a three-year pilot project providing grants
to SBDCs for assisting Indian tribe members, Native Alaskans, and
Native Hawaiian populations with their entrepreneurial needs. The
purpose is to stimulate
[[Page H2504]]
the economies on reservation lands through the creation and expansion
of small businesses by ensuring the target population has full access
to important business counseling and technical assistance through the
SBDC program.
Any SBDC in a State, whose Indian tribe members, Native Alaskan, and
Native Hawaiian populations are one percent of the State's total
population, can apply for a grant from the SBA. Such grants must be
used to provide SBDC program assistance to Native Americans. Grants
under the Act are limited to $300,000 and the amount authorized to be
appropriated annually, in each of the fiscal years 2004, 2005, and
2006, is $7 million. No matching funds are required from the States.
Services by SBDCs are to be provided to benefit the target population
on tribal lands and reservations, but an individual center need not be
located on each tribal land location or reservation. If the target
population is in more than one location or reservation within a State,
the center should be situated in a location that optimizes access by
all those serviced by the center. H.R. 1166 does not limit in any way,
the number of centers or subcenters a state program may implement. I
expect the SBA Administrator to balance the need for multiple sites
with the quality of assistance and counseling when awarding grants.
Consultation with the local Tribal Council is required in determining
those locations in most need and where the best access may be attained.
SBA is responsible for designing the grant application, which should
provide essential information, but should not be burdensome to
applicants. At a minimum, the application should contain information
concerning the applicant's (1) goals and objectives, (2) prior
experience in providing entrepreneurial and technical assistance to
small businesses, (3) the ability to provide training and services to
Indian tribe members, Native Alaskans, and Native Hawaiians, and (4)
the extent of consultation with local Tribal Councils. In addition, the
applicant should identify the location of a proposed center, and the
amount of funding required.
Within 180 days after the enactment of H.R. 1166, the SBA
Administrator is required to issue final regulations, after a notice
and comment period, that implement the requirements of the Act. Such
regulations shall include standards for the educational, technical, and
support services to be provided and for a work plan for providing
assistance to the targeted community.
The Act's predecessor, H.R. 2538, was subject to a hearing and a
committee mark-up in the 107th Congress. The Congressional Budget
Office (CBO) estimated that implementing the bill would cost $20
million over the next four years and contains no intergovernmental or
private sector mandates. H.R. 2538 also unanimously passed the House on
December 5, 2001 but unfortunately saw no action on the Senate floor,
even though a companion bill was discussed and marked-up in the Senate
Small Business and Entrepreneurship Committee. That's why I am pleased
to join again with my good friend from New Mexico, in cosponsoring H.R.
1166 in this Congress and seeing it pass the House yet once again.
Hopefully, the other body will look more kindly upon the legislation
this year.
Mrs. CHRISTENSEN. Mr. Speaker, I rise today in support of H.R. 1166,
a bill to enhance the capacity of Small Business Development Centers
(SBDCs) to provide assistance to Native American tribal members, Alaska
Natives and Native Hawaiians. I would like to commend my colleague and
friend, Representative Tom Udall, for his work on, once again, bringing
this important legislation to the floor.
SBDCs are the premier technical assistance providers to America's
entrepreneurs. Many small businesses often operate near or at their
profit margin and do not have additional resources to hire legal or
technical experts. Research shows that small businesses that receive
technical assistance are twice as likely to succeed in the marketplace
than those that do not. In addition to providing technical assistance
to the general small business community, SBDCs should also target that
segment of our population with special and unique needs.
The Native American population is one such population. The United
States government has an endless commitment to addressing the economic
and health disparities of Native Americans. Although we have passed
other legislation such as the Indian Reorganization Act of 1934 and the
Indian Self-Determination Act of 1975, which both encourage self-
sufficiency in an attempt to amend the effects of relocation, not
enough has been done to ensure success of economic development within
this community. That is why I support this bill. The ``Native American
Small Business Development Act'' (NASBD) will allow Native Americans to
strengthen and expand their small business infrastructure. This would
also provide more stable employment and move closer to ending the
desperate and disparate conditions on reservations. More importantly,
this bill will allow Native American entrepreneurs to better utilize
the current SBDC network.
The Native American population represents a disadvantaged and
underserved segment of our nation. One-third of Native Americans
currently live below the nation's poverty level and suffer from the
highest rate in health disparities. Despite these difficulties, Native
American small businesses grew at a rate of 84 percent over the last
five years. But with technical assistance specifically geared toward
meeting the unique needs of this population, we can create a more
prosperous economic community in the Native American population, Alaska
Natives and Native Hawaiians.
This legislation passed the House of Representatives in the previous
Congress with strong bipartisan support but failed to reach the Senate
floor last year. I remain in support of this legislation and committed
to seeing its complete passage.
Mr. SHUSTER. Mr. Speaker, I yield back the balance of my time.
The SPEAKER pro tempore (Mr. Petri). The question is on the motion
offered by the gentleman from Pennsylvania (Mr. Shuster) that the House
suspend the rules and pass the bill, H.R. 1166.
The question was taken.
The SPEAKER pro tempore. In the opinion of the Chair, two-thirds of
those present have voted in the affirmative.
Mr. SHUSTER. Mr. Speaker, on that I demand the yeas and nays.
The yeas and nays were ordered.
The SPEAKER pro tempore. Pursuant to clause 8 of rule XX and the
Chair's prior announcement, further proceedings on this motion will be
postponed.
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