[Congressional Record (Bound Edition), Volume 149 (2003), Part 16]
[Senate]
[Page 21493]
[From the U.S. Government Publishing Office, www.gpo.gov]




THE SMALL BUSINESS ADMINISTRATION 50TH ANNIVERSARY REAUTHORIZATION ACT 
                                OF 2003

  Mr. BOND. Mr. President, I rise today in recognition of S. 1375, the 
Small Business Administration 50th Anniversary Reauthorization Act of 
2003. This bill revitalizes existing SBA programs and brings to life 
new pilot programs, all of which promote the demands and growth of the 
small business community. I commend the Chair, Senator Snowe, for 
passing this bill through the Small Business Committee with unanimous 
support.
  Upon final passage of this bill, we will take a giant step toward 
improving and refining the SBA and its programs. With the new 
provisions that enhance Agency recordkeeping and realign program 
operations under a more appropriate department, it is clear that Agency 
accountability and oversight will be strengthened. In addition, small 
businesses will benefit from improvements in the lending programs, 
greater access to capital, new innovations in the entrepreneurial 
programs, expansion of procurement programs, and improved training and 
assistance provisions.
  According to the SBA's Office of Advocacy, small businesses represent 
more than 99.7 percent of all employers, employ more than half of all 
private sector employees, and generate 60 to 80 percent of net new jobs 
annually. Given these statistics and the difficult financial times we 
face in today's economy, I urge Congress to continue to nurture the 
needs of the small business community. We must show enthusiastic 
support for this bill, which I am confident will provide the SBA with 
greater tools to keep pace with the ever-changing global economy and to 
serve the small business community in a more effective and efficient 
manner. To act otherwise could jeopardize this Nation's much-needed job 
growth and innovation.
  I refer to an important small business program titled the 
Historically Underutilized Business Zone Contracting Program, or as it 
is commonly referred to, the HUBZone Program. This small-business 
program was one of my personal priorities as former chairman of the 
Senate Small Business Committee. It was established in 1997 with the 
intent to create jobs in severely economically distressed communities, 
both rural and urban. In addition, the HUBZone program provides a 
federal contracting preference as an incentive for small businesses to 
locate in these low-income areas. The jobs created by the HUBZone 
Program bring money to those blighted areas and create a demand for 
more goods and services, which leads to the creation of more small 
businesses and increased commerce in the area. Little by little, the 
community's economic base is reborn.
  Today, there are over 8,378 small businesses that are HUBZone 
certified, and the Government has procured approximately $1.7 billion 
in HUBZone contracting this year. The SBA reports that in fiscal year 
2001, each dollar spent on the program yielded a return of $288 in 
contract awards and as a result, the program helped to create 12,782 
jobs in the U.S., approximately 8,974 of which were located in 
distressed areas.
  Based on fiscal year 2001 procurement statistics, HUBZone firms 
increased employment 33 percent to 50 percent as a result of contract 
awards. Nearly 50 percent of HUBZone firms increased capital 
expenditures as a result of receiving contracts in fiscal year 2001. As 
our economy struggles during these difficult times, this vital program 
will continue to bring jobs to our Nation's inner cities, poor rural 
counties, and Indian reservations.
  I urge Congress to support the HUBZone Program in its current form 
along with the new amendments provided in the Senate's version of the 
SBA Reauthorization Act of 2003. Any additional changes not supported 
by the full Senate Committee on Small Business could seriously 
undermine the original intent of the program.
  Thank you for the opportunity to speak today on behalf of the small 
business community. I encourage my colleagues to support Senator Snowe 
and S. 1375, the Small Business Administration 50th Anniversary 
Reauthorization Act of 2003.

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