[Congressional Record Volume 153, Number 98 (Monday, June 18, 2007)]
[House]
[Pages H6624-H6627]
From the Congressional Record Online through the Government Publishing Office [www.gpo.gov]
EXPANDING AND IMPROVING ASSISTANCE PROVIDED BY SMALL BUSINESS
DEVELOPMENT CENTERS
Ms. VELAZQUEZ. Mr. Speaker, I move to suspend the rules and pass the
bill (H.R. 2284) 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.
The Clerk read the title of the bill.
[[Page H6625]]
The text of the bill is as follows:
H.R. 2284
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) The rate for American Indians and Alaskan Natives
living below 50 percent the poverty level is 11.2 percent,
nearly double the rate of the general population.
(2) The unemployment rate for American Indians and Alaskan
Natives 16 years and over is 13.6 percent, nearly double the
rate of the general population.
(3) Indian tribe members and Alaska Natives own more than
201,000 businesses and generate more than $26,000,000,000 in
revenues. The construction industry accounted for 16 percent
of these businesses and 22.5 percent of their total receipts.
The next largest was the service industry (13.2 percent and
3.4 percent, respectively). The third largest was the health
care and social assistance industry (12.1 percent and 4.6
percent, respectively).
(4) The Small Business Development Center program is cost
effective. Clients receiving long-term counseling under the
program in 2005 generated additional tax revenues of
$248,000,000, nearly 2.8 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, 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 local Tribal Councils 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. 2. 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:
``(8) 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
on Indian lands of small business startups and expansions
owned by Indian tribe members, Alaska Natives, 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, 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 Administration an
application that is in such form as the Administration 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
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 under paragraph (4)(A) shall not apply.
``(E) Maximum amount of grants.--No applicant may receive
more than $300,000 in grants under this paragraph for one
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 Administration 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
Administration may require a Small Business Development
Center receiving assistance under this paragraph to develop.
``(G) Definitions.--In this section, the following
definitions apply:
``(i) 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).
``(ii) Indian tribe.--The term `Indian tribe' means any
band, nation, or organized group or community of Indians
located in the contiguous United States, and the Metlakatla
Indian Community, whose members are recognized as eligible
for the services provided to Indians by the Secretary of the
Interior because of their status as Indians.
``(iii) Indian tribe member.--The term `Indian tribe
member' means a member of an Indian tribe (other than a
Alaska Native).
``(iv) Alaska native.--The term `Alaska Native' has the
meaning given the term `Native' in section 3(b) of the Alaska
Native Claims Settlement Act (43 U.S.C. 1602(b)).
``(v) Native hawaiian.--The term `Native Hawaiian' means
any individual who is--
``(I) a citizen of the United States; and
``(II) a descendant of the aboriginal people, who prior to
1778, occupied and exercised sovereignty in the area that now
constitutes the State of Hawaii.
``(vi) Tribal organization.--The term `tribal organization'
has the meaning given that term in section 4(l) of the Indian
Self-Determination and Education Assistance Act (25 U.S.C.
450b(l)).
``(H) Authorization of appropriations.--There is authorized
to be appropriated to carry out this paragraph $7,000,000 for
each of fiscal years 2008 through 2010.
``(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 TRIBAL ORGANIZATIONS.
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 organizations.--A Small
Business Development Center receiving a grant under this
section shall request the advice of tribal organization 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 gentlewoman from
New York (Ms. Velazquez) and the gentleman from Tennessee (Mr. David
Davis) each will control 20 minutes.
The Chair recognizes the gentlewoman from New York.
General Leave
Ms. VELAZQUEZ. Mr. Speaker, I ask unanimous consent that all Members
may have 5 legislative days to revise and extend their remarks and
include extraneous material on the bill under consideration.
The SPEAKER pro tempore. Is there objection to the request of the
gentlewoman from New York?
There was no objection.
Ms. VELAZQUEZ. Mr. Speaker, I yield myself as much time as I may
consume.
Mr. Speaker, small businesses are responsible for creating three out
of every four new jobs and account for almost half of all sales in this
country. There is no question the impact they have on economic growth
and the development and revitalization of countless neighbors.
Currently, the Native American population is one of the most
impoverished. Their unemployment rate is nearly double that of the
general population, with almost half of all residents living on a
reservation unemployed.
Providing opportunities for business growth within the Native
American sector will create jobs, generate revenue and ultimately
benefit local economies across the country. The Native American Small
Business Development Act of 2007, introduced by Representative Udall,
works to increase prospects for Native Americans through small business
ownership.
[[Page H6626]]
While many in the Native American population are struggling, there is
strong interest to engage in entrepreneurship. For these communities to
have a growing small business sector, resources must be available
locally and be culturally sensitive.
This legislation has enjoyed bipartisan support in the past and has
passed the House in previous Congresses. It is designed to provide
culturally tailored assistance for entrepreneurial development in some
of the most disadvantaged areas of this country.
{time} 1845
Not only will this bill help combat poverty and unemployment, but it
will bring new services and opportunities to Native American
communities. It is my hope that in the 110th Congress, H.R. 2284 can
finally become law and expand the right to business ownership. I urge
support of this legislation.
Mr. Speaker, I reserve the balance of my time.
Mr. DAVID DAVIS of Tennessee. Mr. Speaker, I yield myself such time
as I may consume.
Mr. Speaker, today I rise in support of the request to suspend the
rules and pass H.R. 2284, a bill to provide additional Small Business
Development Center resources focused on Native Americans, Alaskan
Natives and Native Hawaiians. The bill, the product and dedicated
effort of the author, Congressman Tom Udall, former Small Business
Committee member, was passed without objection by voice vote.
I would like to thank Chairwoman Velazquez for working in a
cooperative and bipartisan manner to bring this matter to the House
floor.
Mr. Speaker, I reserve the balance of my time.
Ms. VELAZQUEZ. Mr. Speaker, I yield such time as he may consume to
the gentleman from New Mexico (Mr. Udall), the sponsor of the
legislation.
(Mr. UDALL of New Mexico asked and was given permission to revise and
extend his remarks.)
Mr. UDALL of New Mexico. Mr. Speaker, before I begin, I would like to
thank the gentlewoman from New York (Ms. Velazquez) and the gentleman
from Ohio (Mr. Chabot) for their work and commitment to expanding small
business opportunities. I am especially grateful for their efforts to
bring this bill to the floor today. I would also like to thank all my
colleagues who supported this bill by joining me as cosponsors.
This important legislation before us today, H.R. 2284, allows Small
Business Development Centers to apply for an additional SBA grant to
provide specified services assisting small business start-ups and
expansions owned by Indian Tribal Members, Alaskan Natives or Native
Hawaiians. My bill ensures those seeking to create, develop and expand
small businesses have full access to the counseling and technical
assistance available through SBDCs. The tools offered by the SBDCs can
assist these entrepreneurs with the information and opportunity to
build sustainable businesses in their communities.
H.R. 2284 also ensures participation of governing bodies of Indian
tribes, Alaskan Native entities and Native Hawaiian organizations by
requiring grant recipients to request their advice on how best to
provide assistance. Our intent is to ensure that these business
development tools are provided in a culturally sensitive way.
Small businesses create 75 percent of all new employment
opportunities and make up 99 percent of all employers. They anchor our
neighborhoods, provide jobs and contribute to the overall economic
development of many communities. 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
fully realized.
I have the great honor of representing 14 Pueblos, the Jicarilla
Apache Nation and a portion of the Navajo Nation. Many of these
communities would greatly benefit by more economic development. It is
clear we can do more to aid Native American entrepreneurs in my
district and throughout the country. I hope to help rectify this
situation with the passage of this legislation.
Mr. DAVID DAVIS of Tennessee. Mr. Speaker, I have no further
speakers, and I yield back the balance of my time.
Ms. VELAZQUEZ. Mr. Speaker, in closing, with unemployment rampant on
Native American reservations, legislation that not only fights poverty
but fosters the development of job creation is critical. I strongly
urge my colleagues to vote for H.R. 2284.
Ms. BORDALLO. Mr. Speaker, I rise today in support of H.R. 2284, 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. I commend the
gentleman from New Mexico (Mr. Udall) for introducing this important
legislation to address poverty and unemployment amongst these
disadvantaged and underserved communities. I also thank my colleague
from New York (Ms. Velazquez), Chairwoman of the Committee on Small
Business, and the members of the Committee on Small Business for their
continued leadership toward helping strengthen our country's small
businesses and in addressing the socioeconomic challenges faced by our
indigenous communities.
H.R. 2284 will enable small business development centers to assist
Native American communities in the areas of job creation and economic
growth. This bill helps individuals to utilize their own valuable
business skills so that their small businesses, and in turn their
community, may prosper.
This is a strong bill. But I believe that it can strengthened by
expanding the eligible grant recipients to include small business
development centers that work with the indigenous populations of the
territories, particularly in Guam, the Commonwealth of the Northern
Mariana Islands, and American Samoa. Pacific Islanders from the
territories endure economic adversity similar to that experienced by
Native Americans, Alaska Natives, 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 peoples
of the U.S. territories.
This bill, if enacted, would provide for valuable federal assistance
for Native Americans, and I urge my colleagues to support its passage
and to support economic development for all indigenous communities
throughout the United States.
Ms. HIRONO. Mr. Speaker, I rise in support of H.R. 2284, which will
amend the Small Business Act to improve the assistance provided by
Small Business Development Centers to Indian tribe members, Alaska
Natives and Native Hawaiians.
This bill will provide management, technical and research assistance
to small businesses owned by Indian tribe members, Alaska Natives and
Native Hawaiians and ensure them full access to existing business
counseling and technical assistance available through the Small
Business Development Center program.
Mr. Speaker, in a recent report by the distinguished Visiting Senior
Fellow at the East-West Center and Emeritus Professor at the University
Hawaii, Dr. Seiji Naya, the poverty rate for Native Hawaiians was 15
percent in 2005 while the state average was 9.8 percent. Native
Hawaiians accounted for 27 percent of the total State population in
poverty. The per capita income for Native Hawaiians was only 67 percent
of the state average. In terms of per capita income, 32 percent of
Native Hawaiians earned less than $10,000 in 2005 compared to only 18
percent for Non-Native Hawaiians.
Native Hawaiians are committed to changing these statistics through
innovative educational and entrepreneurial programs. One of the most
promising government programs that will enable them to do this is the
Small Business Act, particularly Section 8(a) which has given Native
Americans an opportunity to participate in the economy of this country
by providing a fair chance to obtain federal contracts. As a result,
hundreds of Native American, Alaska Native and Native Hawaiian
entrepreneurs have been given the opportunity to demonstrate their
business capabilities, while providing valuable services and products
to the government and the private sector.
The Native Hawaiian organizations that have taken advantage of the
8(a) program have provided hundreds of new well-paying jobs for Native
Hawaiians and Non-Native Hawaiians alike. Many Native Hawaiians have
received training in new marketable skills. The profits from these
enterprises have been plowed back into the Native Hawaiian communities
to provide essential social, health and cultural benefits traditionally
funded by government or not at all.
H.R. 2284 will provide the necessary assistance to help make sure
that these worthy programs continue to grow and expand as much as
possible by providing needed assistance and business expertise. I urge
unanimous approval of this measure.
Ms. VELAZQUEZ. Mr. Speaker, I yield back the balance of my time, and
encourage adoption of the resolution.
[[Page H6627]]
The SPEAKER pro tempore. The question is on the motion offered by the
gentlewoman from New York (Ms. Velazquez) that the House suspend the
rules and pass the bill, H.R. 2284.
The question was taken.
The SPEAKER pro tempore. In the opinion of the Chair, two-thirds
being in the affirmative, the ayes have it.
Mr. GOHMERT. 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 question will
be postponed.
____________________