A bill to provide for an additional temporary extension of programs under the Small Business Act and the Small Business Investment Act of 1958, and for other purposes.

Mr. Speaker, I rise in strong support of S. 3253, which extends the Small Business Act.

I support this legislation because it is crucial that the Small Businesses Administration programs that have helped launch and sustain so many small businesses are allowed to continue.

Small businesses employ just over half of all private sector employees, with a payroll of about $175 billion, and create many of the new jobs we need. More than half of all Americans work at or own a small business. Small businesses have been responsible for the majority of new jobs created in this country. Anyone who talks about getting our economy on track and does not talk about what we need to do for small business is missing a huge piece of the puzzle.

In my district, the 37th Congressional District of California, there are approximately 16,300 small businesses.

But in the global economy of the 21st century, small businesses, very much like the banks and the auto industry, need sound fiscal options to remain competitive, especially in difficult economic times for them and their customers.

This is where the Small Business Administration can help.

The SBA exists to aid and protect the interests of small business concerns, to preserve free competitive enterprise and to maintain and strengthen the overall economy of our nation.

The SBA was established in 1953 by the federal government to aid, counsel, assist and protect the interests of small business concerns, to preserve free competitive enterprise and to maintain and strengthen the overall economy of our nation.

The SBA's Office of Business Development assists firms owned and controlled by economically and socially disadvantaged individuals enter the economic mainstream by providing firm-specific analyses, counseling, management training, professional consulting and monitoring services, and access to business development opportunities under section 8(a) of the Small Business Act.

Much like the loan guarantee program, the Section 8(a) program is well intended. But one of its problems is that too often program participants are ``graduated'' before they are sufficiently prepared to compete for contracts with large and established companies in the private sector.

This has resulted in a large number of former 8(a) companies failing to remain in business shortly after leaving the development program.

I have introduced legislation that can build upon the loan guarantee program extended by H.R. 493 and which would eliminate the problem of ``graduating'' Section 8(a) program participants before they are sufficiently prepared to compete for contracts with large and established companies in the private sector.

My legislation, H.R. 4897, the ``Not Too Small to Succeed in Business Act,'' reforms and modernizes the Section 8(a) program to help more small and disadvantaged business enterprises (DBE) remain in business and hire more workers by doing the following:

1. Amending the Small Business Act to increase the net worth limits (to $750,000) used by SBA in determining whether an applicant satisfies the ``economically disadvantaged'' requirement for admission to the program and increases to $2.25 million the net worth required for early graduation from the program.

2. Extending the Section 8(a) program period to 11 years, from the current 9 years.

3. Granting a one-time 2-year reinstatement in the Section 8(a) program for companies who were graduated from the program at the expiration of the 9-year term.

Mr. Speaker, extending the programs under the SBA Act, including the Loan Guarantee Program and amending the Section 8(a) Small and Disadvantaged Business Enterprise Program are a necessary part of strengthening our ability to help small businesses succeed and provide jobs for our people. I urge all members to join me in voting for S. 3253.

Mr. Speaker, I rise in strong support of S. 3253, ``A bill to provide for an additional temporary extension of programs under the Small Business Act and the Small Business Investment Act of 1958, and for other purposes.''

Let me begin by thanking my colleague Sen. Mary Landrieu of Louisiana for introducing this piece of legislation into the House of Representatives as it is important that we

work together with small businesses across the country towards the recovery of our national economy.

Small businesses have long been the bedrock of our Nation's economy and many would agree that they still are. Even with the advent of modern-day multi-national corporations, most of our day-to-day purchases take place at ``mom and pop'' small businesses.

Moreover, 99 percent of all independent companies and businesses in the U.S. are considered small businesses.

According to the U.S. Small Business Administration, these small businesses account for 52 percent of all U.S. workers. These small businesses also provide a continuing source of vitality for the American economy. Small businesses in the U.S. produced three-fourths of the economy's new jobs between 1990 and 1995, and represent an entry point into the economy for new groups. Women, for instance, participate heavily in small businesses.

The number of female-owned businesses climbed by 89 percent, to an estimated 8.1 million, between 1987 and 1997, and women-owned sole proprietorships were expected to reach 35 percent of all such ventures by the year 2000. Small firms also tend to hire a greater number of older workers and people who prefer to work part-time.

One strength that small businesses are known for is their ability to respond quickly to changing economic conditions. They often know their customers personally and are especially suited to meet local needs. There are tons of stories of startup companies catching national attention and growing into large corporations. Just a few examples of these types of startup businesses making big include the computer software company Microsoft; the package delivery service Federal Express; sports clothing manufacturer Nike; the computer networking firm America OnLine; and ice cream maker Ben & Jerry's.

Through the passage of S. 3253 we will be temporarily extending programs under the Small Business Act and the Small Business Investment Act of 1958 through the end of July 2010. With the passage of this bill we will be helping small businesses and communities across the Nation. We will also be helping to drive our economy upward and will be helping businesses across the Nation.

We must always ensure that we place a high level of priority on small businesses. It is also important that we work towards ensuring that small businesses receive all the tools and resources necessary for their continued growth and development.

I would like to again thank my colleague Sen. Mary Landrieu for introducing S. 3253. I ask my colleagues for their support of this legislation as well as their continued support for small businesses across the Nation.

Mr. Speaker, I strongly support S. 3253 and the rule.

Mr. Speaker, I move to suspend the rules and pass the bill (S. 3253) to provide for an additional temporary extension of programs under the Small Business Act and the Small Business Investment Act of 1958, and for other purposes.

Mr. Speaker, I ask unanimous consent that all Members have 5 legislative days to revise and extend their remarks and include extraneous material on the bill under consideration.

Mr. Speaker, I yield myself such time as I may consume.

Mr. Speaker, our economy is showing significant signs of improvement: consumer spending is climbing, manufacturers are adding jobs, and retail sales rose substantially for the first 3 months of this year. All of these are positive signs; however, if our recovery is going to produce the jobs that the American people need and deserve, small businesses will be central to the equation.

In every previous recession, small firms have served as job-creating catalysts. Not only do small firms add jobs faster than big companies, but many dislocated workers launch their own ventures during economic downturns. Those enterprises in turn often grow and create employment opportunities for the American people. For entrepreneurs to play this role, they need the right tools. The legislation before us will extend the Small Business Administration programs that help new ventures form and existing businesses grow.

Since the start of this Congress, the House has passed 16 bills to strengthen SBA initiatives. This included legislation to modernize the SBA's capital access programs so that small businesses can weather the credit crunch. However, before the SBA programs are fully updated, they must be extended. This bill ensures these initiatives keep operating. We cannot afford any of the SBA services to lapse just as our recovery is getting off the ground.

I urge my colleagues to vote ``yes'' and reserve the balance of my time.

I yield back the balance of my time.

Madam President, I ask unanimous consent that the Senate proceed to the immediate consideration of S. 3253, introduced earlier today.

I ask unanimous consent the bill be read three times and passed, the motion to reconsider be laid upon the table, with no intervening action or debate, and any statements be printed in the Record as if read.