[Congressional Record Volume 167, Number 170 (Wednesday, September 29, 2021)]
[Senate]
[Pages S6751-S6754]
From the Congressional Record Online through the Government Publishing Office [www.gpo.gov]



             Unanimous Consent Request--Executive Calendar

  Mr. CARDIN. Mr. President, in a few moments, I am going to make a 
unanimous consent request in regard to Dilawar Syed to be the Deputy 
Administrator of the Small Business Administration.
  Let me give you a little bit of background on Mr. Syed's nomination 
and why I am using this unusual process to advance the nomination to 
the floor for floor consideration.
  We all know the tremendous need at the Small Business Administration 
as a result of COVID-19. We worked together, Democrats and Republicans, 
and created many new programs to help small businesses. We created the 
Paycheck Protection Program, both the first--and we modified it--and 
then a second round. We created the Economic Injury Disaster Loan and 
Loan Advance Program and the Targeted Grant Program.
  We provided for the Shuttered Venue Operators Grant Program, we 
established the Restaurant Revitalization Fund, and the list goes on 
and on and on. All this created new programs and responsibilities for 
the Small Business Administration. And we did this together, Democrats 
and Republicans, in order to advance the needs for small businesses 
during COVID-19.
  Over $1 trillion of funds were administered by the Small Business 
Administration as a result of our initiatives. And our constituents had 
tremendous needs. Tens of millions of small businesses have benefited 
from what we did to help them through COVID-19.
  I know that every one of our offices has gotten numerous inquiries 
from small businesses as to how these programs were stood up, whether 
they could qualify, concerns about their applications being filed 
promptly, the

[[Page S6752]]

lack of funds, the need to replenish funds--the list goes on and on and 
on. That put tremendous demand on the Small Business Administration, 
and we were pretty tough on the Small Business Administration to get 
these programs up and running because we knew how desperate it was for 
our small business community.
  Now, the Deputy Administrator's job is to oversee the day-to-day 
operations of the Agency. That is the position we are talking about for 
Mr. Syed--the Deputy Administrator of the Small Business 
Administration.
  Over 5 months ago, the Small Business Committee, under my leadership 
as chair, had a hearing on Mr. Syed's appointment, and we discovered 
during that nomination process that he is extremely well qualified to 
assume these responsibilities. He has spent decades building and 
developing and scaling successful small businesses, as well as his 
advocacy for underserved small businesses.
  The hearing, I thought, went extremely well and that we would have no 
difficulty advancing his nomination to the floor of the U.S. Senate. 
But after his hearing, my Republican colleagues requested information 
from the Small Business Administration about his loans that he took out 
as a small business owner. It was a reasonable request. On June 8, I 
helped arrange to supply that information to the members of the 
committee, and they reviewed his small business loan applications, Mr. 
Syed's small business applications.
  There was one thing that was pretty unusual about that in that even 
though he was qualified to receive forgivable 7(a) loans under the 
Paycheck Protection Program, he decided to repay the loans because he 
said he didn't need the government to pay on a forgivable loan. He took 
exemplary action, and after the review, I believe all my colleagues 
were satisfied that his arrangements with the SBA were exemplary.
  Next, the Republicans decided to move to a different target. They 
accused Mr. Syed of being anti-Israel biased, which was completely, 
completely unfounded.
  The American Jewish Committee wrote our committee to say:

       The unsupported accusations that somehow Jewish businesses 
     or those with ties to Israel may not fare as well under 
     Syed's leadership in the Small Business Administration has no 
     factual grounding. Indeed, he has specifically disavowed 
     support for the boycott, divestment, and sanctions movement, 
     which seeks the dissolution of Israel. . . . AJC rejects the 
     charge.

  They go on to say it is un-American, the charges that have been made, 
and I agree.
  My colleagues had the right to ask questions for the record, and they 
did. Mr. Syed responded to those questions for the record, again 
repeating the fact that he has been against the Boycott, Divestment, 
and Sanctions movement and that he has worked with companies in Israel 
and, in fact, visited Israel in order to promote the relationships.
  Again, we thought, now, at last, we will be able to move Mr. Syed's 
nomination. But now the Republicans found a new reason to block his 
nomination. Committee Republicans announced that they would withhold a 
quorum on the vote because Planned Parenthood affiliates received loans 
under the Paycheck Protection Program.
  As one of the negotiators of the CARES Act--and this was Democrats 
and Republicans again working together; negotiated this with Senator 
Rubio, Senator Collins, and Senator Shaheen. Let me explain to my 
colleagues how nonprofits are treated under the Paycheck Protection 
Program.
  When the SBA considers whether or not a business qualifies as a small 
business, it considers affiliation. Generally, affiliations exist when 
one business controls or has the power to control another or when a 
third party controls or has the power to control both businesses. 
Control may arise with ownership, management, or other relationships or 
interactions between the parties.
  The CARES Act requires that nonprofits eligible for PPP loans abide 
by the same affiliation rules that are applicable to small businesses.
  The fact is that the Planned Parenthood Federation of America does 
not exercise control over its member organizations because it does not 
have common management. Each member organization is its own 
independent, not-for-profit, tax-exempt organization with its own 
independent board of directors that is solely responsible for the 
hiring and retention of its CEO. Planned Parenthood Federation does not 
have the power to remove CEOs or directors of its individual member 
organizations.
  This type of federated structure is common in the nonprofit world and 
is the reason why nonprofits such as the YMCA and Boys and Girls Clubs 
also qualify for PPP loans.
  The SBA must apply its affiliation rules in a uniform way, and it is 
wrong to ask the SBA to do otherwise for political or ideological 
reasons. There is no reason why Planned Parenthood should be singled 
out for receiving PPP loans, which I must remind my colleagues were 
created to help keep Americans in their jobs during the pandemic. That 
is the reason for it. That is why we included nonprofits.
  The partisan, unnecessary, and unconscionable inaction of our 
Republican colleagues shows no concern for the millions of small 
businesses still relying on SBA support to survive COVID-19 and rebuild 
their future and that would benefit greatly by having a confirmed 
Deputy Administrator to work on the day-to-day operations at the SBA.
  One last point, if I might. The Small Business Committee reported out 
Mr. Syed's nomination by a bipartisan vote, but due to a technicality, 
another vote was required, and the Republican members at this time 
decided to block the quorum.
  As a matter of fairness, as a matter of the needs of the small 
business community in our States, as a matter of the integrity of this 
body to have a process that has some degree of respect for the nominees 
who go through the nomination process, I am going to make a UC request 
that the nomination be put on our calendar, like any other reported 
nominee, subject to the action of this body.
  Before I make that unanimous consent request, with Senator Paul's 
indulgence, I know that Senator Padilla would like to make a comment. 
If he would be willing to allow Senator Padilla to speak next, and then 
I will make my unanimous consent request.
  I yield the floor.
  The PRESIDING OFFICER. The Senator from California.
  Mr. PADILLA. Mr. President, I want to join Chairman Cardin in calling 
attention to the unacceptable obstruction by our Republican colleagues 
who are doing nothing other than playing political games with the 
confirmation process.
  Dilawar Syed is an outstanding and highly qualified nominee to serve 
as Deputy Administrator of the Small Business Administration. Mr. Syed 
brings decades of experience as a business leader and entrepreneur in a 
number of fields. He is a dedicated public servant who helped guide 
President Obama's support of Asian-American small business owners in 
the wake of the great recession, and he has served as the founding 
chair of the California Entrepreneurship Task Force.
  He has earned support from business groups and on both sides of the 
aisle. Notably, the U.S. Chamber of Commerce enthusiastically announced 
their support for his nomination, citing his very impressive 
background.
  In June of this year, two of our Republican colleagues joined the 
Democratic members of the Small Business Committee and voted to send 
Mr. Syed's nomination to the full Senate for confirmation. But, today, 
Republicans are refusing to allow the Senate to vote on his nomination. 
In so doing, they are also obstructing the work of the SBA itself--work 
that has never been more critical.
  As the U.S. Chamber of Commerce wrote back in April, ``It is 
essential for SBA's senior leadership team to be in place to deliver on 
the agency's COVID-19 small business emergency relief 
responsibilities.'' Again, critical.
  Mr. Syed is ready to serve with dedication and skill as the SBA 
pursues its mission of supporting economic growth for entrepreneurs and 
working families. He is also ready to make history as the highest 
ranking Muslim official in any Presidential administration, and our 
Nation's hard-working small business owners urgently need his 
leadership.

[[Page S6753]]

  My Republican colleagues who are playing these political games to 
obstruct this nomination are also blocking resources needed by their 
own constituents.
  Let's end this, and I urge the Senate to swiftly confirm Mr. Syed.
  The PRESIDING OFFICER. The Senator from Maryland.
  Mr. CARDIN. I ask unanimous consent that the Committee on Small 
Business and Entrepreneurship be discharged from further consideration 
of PN231, the nomination of Dilawar Syed to be Deputy Administrator of 
the Small Business Administration; that at a time to be determined by 
the majority leader, in consultation with the Republican leader, the 
Senate proceed to its consideration; that there be 1 hour for debate on 
the nomination equally divided in the usual form; that upon the use or 
yielding back of time, the Senate vote without intervening action or 
debate; that if confirmed, the motion to reconsider be considered made 
and laid upon the table with no intervening action or debate and the 
President be immediately notified of the Senate's actions.
  The PRESIDING OFFICER. Is there objection?
  The Senator from Kentucky.
  Mr. PAUL. Mr. President, reserving the right to object, this motion 
is an attempt to get around the ruling that the SBA has that Planned 
Parenthood is, indeed, a small business. This would allow illegal 
funding of Planned Parenthood affiliates through the Paycheck 
Protection Program.
  Let's be very clear. Planned Parenthood is not a small business; 
Planned Parenthood is a big business. This is not my allegation; this 
is a ruling from the Small Business Administration. The Small Business 
Administration ruled in May of 2020 that Planned Parenthood was a big 
business, not a small business, and ineligible for the PPP program. The 
program was intended for small businesses. The current ruling from the 
Small Business Administration is, they are ineligible because they are 
a big business.
  This program was intended to support small businesses across the 
country that were forced to lock down during COVID-19. However, the 
Small Business Administration, despite having previously ruled that 
they were ineligible, that they were a big business, has now unlawfully 
approved nearly $100 million in taxpayer funds to Planned Parenthood. 
On June 30 alone, the Small Business Administration approved four new 
loans to Planned Parenthood despite a clear determination by the Small 
Business Administration that these entities are ineligible. So we have 
a great contradiction here. They say they are ineligible. That is the 
existing rule from the Small Business Administration. Yet they are 
still giving them money.
  This nomination is for the position of Deputy Administrator of the 
Small Business Administration, which is responsible for the Agency's 
day-to-day operations and involved in all policy decisions, including 
the PPP program.
  The Biden administration has continued to obstruct congressional 
oversight of the illegal Planned Parenthood loans, and the nominee has 
refused to provide to the committee a commitment that he would take 
action to recover the funds that are being disbursed illegally.
  The Republican members of the Small Business Committee have continued 
to make it clear that we will not allow a vote on this nominee to occur 
until the Small Business Administration takes action to recover the 
illegally disbursed funds to the big business known as Planned 
Parenthood.
  I object.
  The PRESIDING OFFICER (Mr. Padilla).
  Objection is heard.
  The Senator from Maryland.
  Mr. CARDIN. Mr. President, let me just repeat a comment. I know 
Senator Hirono is on the floor, and I want to give her an opportunity 
to speak on this, but let me make this clear.
  The affiliate rules that are used by the Small Business 
Administration are exactly the same for a for-profit or a nonprofit, 
and there are lots of small businesses that have a big name next to 
them that are eligible for the programs under the Small Business 
Administration before COVID-19 and after COVID-19. The affiliation 
rules have been in the SBA for a long time, and I read them into the 
Record earlier in my comments.
  What they cannot do is pick and choose who they like and don't like. 
That is not how you administer a program.
  So, in the nonprofit world, I gave the example of the YMCAs--a pretty 
big name but, the truth of the matter is, they are all independently 
operated, and the national YMCA cannot discharge the CEO of a local 
YMCA. So we judge the qualifications based upon the local activities. 
The same is true for a lot of affiliates on for-profit companies: big 
chains that are independently owned and not controlled. They can 
qualify for these funds.
  I can tell you a lot of organizations that are related in the faith 
community to an umbrella, but they are not controlled, so, therefore, 
the affiliate rules allow them to apply independently for these funds 
as long as they can qualify.
  We knew that developing this program. We didn't want to change the 
affiliate rules because that would have been wrong.
  So what my colleague is requesting is just--would be illegal for the 
administration to say that we are not going to select a particular 
group because we don't particularly agree with what they are doing or 
how they operate. That is not how the rules work. That is not what you 
are allowed to do.
  So I regret that my colleague has raised these objections. I think it 
diminishes our credibility to tell our administrators to administer 
these programs fairly for all constituencies. And to deny Small 
Businesses of America a confirmed Deputy Administrator during these 
extremely challenging times for small businesses does not hurt Mr. 
Syed; it hurts the small business community.
  I thank Mr. Syed for his willingness to serve, and I hope we can find 
a path forward because this debate has nothing to do with his 
qualifications or why he should be confirmed.
  With that, I will yield the floor.
  Ms. HIRONO. Mr. President.
  The PRESIDING OFFICER. The Senator from Hawaii.
  Ms. HIRONO. Mr. President, I rise today in strong support of Dilawar 
Syed's nomination to serve as Deputy Administrator of the Small 
Business Administration.
  I have a letter of support from the Congressional Asian Pacific 
American Caucus that I would ask unanimous consent to have printed into 
the Record.
  There being no objection, the material was ordered to be printed in 
the Record, as follows:

                                               September 14, 2021.
     Hon. Ben Cardin,
     Hon. Rand Paul,
     U.S. Senate, Committee on Small Business & Entrepreneurship, 
         Washington, DC.
       Dear Chair Cardin and Ranking Member Paul: As members of 
     the Congressional Asian Pacific American Caucus (CAPAC), 
     which is comprised of 76 members of Congress, we write to 
     strongly endorse the swift confirmation of Dilawar Syed, who 
     has been nominated to serve as Deputy Administrator of the 
     U.S. Small Business Administration (SBA). He has decades of 
     experience in business, entrepreneurship, and public service, 
     making him extremely well-qualified for this position.
       AAPI small businesses have been especially hard hit during 
     the COVID-19 pandemic. In fact, according to a report by the 
     New York Federal Reserve, the Asian American community not 
     only experienced the largest drop in entrepreneurship during 
     the pandemic, but while other communities of color saw a 
     rebound in entrepreneurship as the pandemic continued, that 
     rebound had yet to happen for AAPIs. Mr. Syed has a long 
     history working with all communities, but has particularly 
     strong ties to the AAPI community, having served as a 
     Commissioner on the White House Commission on AAPIs. At this 
     pivotal moment for AAPI small businesses, having Mr. Syed's 
     background represented at SBA is critical.
       Mr. Syed, an immigrant who has embodied the values of hard 
     work and ingenuity, has built and scaled businesses with 
     major impacts in technology, healthcare, and business 
     services. He has shown incredible prowess as an entrepreneur 
     in business growth and development. For example, as President 
     of Freshworks, a customer service software company, Mr. Syed 
     grew the company from a few dozen customers to thousands of 
     small and medium businesses across the U.S. During his tenure 
     as Commissioner on the White House Commission on AAPIs, Mr. 
     Syed actively worked to connect entrepreneurs in underserved 
     regions to the SBA and Department of Commerce. From serving 
     as the founding chair of the California Entrepreneurship Task 
     Force to spearheading rapid response engagement during the 
     COVID-19

[[Page S6754]]

     pandemic with the state's most vulnerable small businesses to 
     increase awareness of critical programs like the SBA's 
     Paycheck Protection Program, Mr. Syed has consistently helped 
     empower and uplift our nation's small businesses.
       Mr. Syed's nomination has the support of more than 150 
     civic, government, higher education and business leaders and 
     organizations, including endorsements from the U.S. Chamber 
     of Commerce, U.S. Black Chambers, National Asian/Pacific 
     Islander American Chamber of Commerce & Entrepreneurship, 
     Small Business Roundtable, Anti-Defamation League, American 
     Jewish Congress, and many others. Upon confirmation, Mr. Syed 
     would become the highest-ranking Muslim American in the Biden 
     administration to date, as well as one of the highest-ranking 
     AAPIs.
       However, we are disappointed to see the treatment Mr. Syed 
     has received from those on the Committee that have held up 
     his confirmation vote, based on false accusations, anti-
     Muslim sentiment, and efforts to hamstring Committee business 
     unless specific conditions on unrelated matters are met. 
     Since June 16, the Committee has made three different 
     attempts to consider Mr. Syed's nomination, but each time 
     certain members have challenged the proceedings or blocked 
     them from moving forward. On two separate occasions, these 
     members even boycotted the proceedings--denying Mr. Syed fair 
     consideration. Targeting nominees like Mr. Syed for their 
     faith, ethnicity, or place of birth, furthers the perpetual 
     foreigner stereotype to which AAPIs are constantly subjected. 
     We stand firmly against the use of these typecasting 
     misconceptions. These tactics have been rejected by leading 
     civil rights and faith-based organizations and have no place 
     in our government or our nation. There is no question that 
     Mr. Syed is uniquely well suited and highly qualified for 
     this role, and small business owners and entrepreneurs across 
     the country deserve this standard of leadership at SBA. 
     Continuing to block his nomination is a disservice to these 
     business owners and entrepreneurs.
       The Deputy Administrator role has traditionally been 
     focused on managing execution of SBA's programmatic mission 
     and day-to-day operations, which includes bringing 
     desperately needed relief to struggling small businesses and 
     entrepreneurs across the nation. This position has been left 
     vacant for over three years and continuing to do so prevents 
     the agency from having a fully staffed senior leadership team 
     at a time when the SBA's importance in our nation's economic 
     recovery is at an all-time high.
       Mr. Syed's impressive background both in public service and 
     the private sector in business and entrepreneurship along 
     with his leadership in the AAPI community will undoubtedly be 
     assets in his role as SBA's Deputy Administrator. We are 
     confident that Dilawar Syed is the perfect fit for this role 
     and we urge the Committee to promptly move forward with his 
     confirmation.
           Sincerely,
       Judy Chu, Member of Congress, CAPAC Chair; Grace Meng, 
     Member of Congress, CAPAC First Vice-Chair; Kaiali`i Kahele, 
     Member of Congress, CAPAC Freshman Representative; Mazie K. 
     Hirono, U.S. Senator; Mark Takano, Member of Congress, CAPAC 
     Second Vice-Chair; Ami Bera, M.D., Member of Congress; Tammy 
     Duckworth, U.S. Senator; Ted W. Lieu, Member of Congress, 
     CAPAC Whip; Al Green, Member of Congress; Pramila Jayapal, 
     Member of Congress; Jan Schakowsky, Member of Congress; Ro 
     Khanna, Member of Congress; Dina Titus, Member of Congress; 
     Barbara Lee, Member of Congress; Norma Torres, Member of 
     Congress.

  Ms. HIRONO. In the midst of the pandemic, what is normally a very 
bipartisan small business committee, Republicans are blocking Mr. 
Syed's nomination. This is particularly egregious behavior by 
Republicans on the committee because Mr. Syed is exceptionally 
qualified to hold this position and is widely supported by business 
groups and communities across the country.
  In fact, let me read a paragraph from the Congressional Asian Pacific 
American Caucus letter that I just mentioned.
  I am reading from the letter:

       Mr. Syed's nomination has the support of more than 150 
     civic, government, higher education and business leaders and 
     organizations, including endorsements from the U.S. Chamber 
     of Commerce, U.S. Black Chambers, National Asian/Pacific 
     Islander American Chamber of Commerce & Entrepreneurship, 
     Small Business Roundtable, Anti-Defamation League, American 
     Jewish Congress, and many others. Upon confirmation, Mr. Syed 
     would become the highest ranking Muslim American in the Biden 
     administration to date, as well as one of the highest ranking 
     AAPIs.

  Republicans have continued to block this nomination for months. 
Earlier this summer, they disputed the results of a meeting the 
committee had to advance the nomination. Since then, they have refused 
to show up for three other meetings, including one we held last week, 
denying the necessary quorum for a vote to be taken.
  The reasons for blocking Mr. Syed's nomination have changed over 
time. First, they were concerned about SBA loans his company received 
during the pandemic, even though these loans were lawful and fully 
repaid before he was nominated. Then they insinuated he was somehow 
anti-Jewish and anti-Israel--note the groups that I read that have 
supported him--despite his widespread support in these communities. And 
now, they are concerned about lawful SBA loans to Planned Parenthood 
Health Centers, something that Mr. Syed certainly had no control over.
  Throughout the last several months, Mr. Syed has repeatedly made 
himself available to address any concerns my colleagues might have 
about his background or qualifications, things that clearly matter in 
his ability to do the job.
  It boggles the mind that Republicans are blocking someone who is the 
very picture of the American dream: an entrepreneur, a job creator who 
was born in Pakistan and educated in America, who understands firsthand 
the challenges businesses have faced during this pandemic. Mr. Syed 
would be an asset to SBA and the businesses they serve, our own 
constituents.
  Every day that Republicans continue their obstruction, they are doing 
a disservice to these businesses who can least afford this uncertainty 
and turmoil in this moment.
  Mr. Syed deserves fair consideration.
  Republican efforts to block not just this nomination but so many 
others for the simple reason that they want to slow the process so that 
this administration can have people in place who can actually do the 
job to help the American people--enough is enough.
  I just say to the Republicans: You know, put your votes where your 
mouths are. You say you support small businesses; you say you support 
this, that, and the other thing; and yet you will not let this 
administration get on with their job to do what is necessary to help 
small businesses, to help our communities, in the midst of an ongoing 
pandemic. It boggles the mind. I say: Act like the Senators you are, 
who were sent here to do your job, and let's get on with this 
nomination.
  I yield the floor.
  Mr. CARDIN. Mr. President.
  The PRESIDING OFFICER. The Senator from Maryland.
  Mr. CARDIN. Let me thank Senator Hirono for her comments, and I also 
thank Senator Padilla for his comments.
  I have never gone through something like this before, where the 
Republicans are breaking a quorum after they have already voted a 
nominee for reasons unrelated to the nominee. It makes no sense, and 
the reasons that they are using makes no sense at all, since they are 
asking the SBA to violate the law.
  We are going to continue. As chair of the committee, I am going to 
continue to look at every conceivable way that we can get Mr. Syed 
confirmed. I think he is an extraordinary person who will serve our 
Nation with great distinction, and I know our small business community 
needs a confirmed Deputy Administrator.
  You know, what surprises me is that our Republican colleagues talk 
about their support for small businesses, and I said we worked on COVID 
together to create these programs. President Trump never filled the 
position of Deputy Administrator so this position has been vacant for a 
long time.
  We need this position. The small business community needs this 
position. So it is my hope that we will find a path forward as quickly 
as possible to get this nomination confirmed. I am confident that we 
will get a strong bipartisan vote for Mr. Syed's nomination and 
confirmation. Republicans tell me they think he is well qualified.
  So let's stop using these parliamentary procedures to obstruct. Let's 
get on with the business of the Senate.
  I would suggest the absence of a quorum.
  The PRESIDING OFFICER. The clerk will call the roll.
  The legislative clerk proceeded to call the roll.
  Mr. THUNE. Mr. President, I ask unanimous consent that the order for 
the quorum call be rescinded.
  The PRESIDING OFFICER. Without objection, it is so ordered.