Floor Statements

Mr. Chairman, I offer an amendment.

Mr. Chairman, I yield myself as much time as I may consume.

Mr. Chairman, today's small businesses are having a difficult time in accessing affordable capital due to recent changes to the 7(a) program. This amendment will change that by restoring funding to its fiscal year 2004 level.

As you can see from this chart, the cost of the 7(a) program on small business has doubled, translating into an additional $1,500 to $3,000 in upfront costs. And for larger loans, fees are now more than $50,000.

In addition, SBA has proposed even more fees on top of those that were implemented last year, and projections are that these fees will only continue to increase year after year.

Clearly, these actions are having a negative effect. Since the fee increase, the total dollars going into the economy has dropped, small businesses are receiving less capital, and the number of active lenders making a loan has declined by 50 percent. These actions have resulted in a highly unstable program, as you can see from this chart.

History has shown that operating loan programs without a government commitment is a recipe for failure. For proof, look at the SBA venture capital program which has been credited with investing billions of dollars in small businesses. Four years ago, it was taken to a zero subsidy rate. The argument is that it would make the program more stable. Well, today that program is shut down because it simply became too costly. By voting for this amendment, you are ensuring that the 7(a) program does not suffer the same fate.

The offsets for this amendment can come from the IT accounts of the State Department, Justice Department, and SBA. This is a small price to pay for job creation. The 7(a) program is a proven job creator. For every $33,000 in loans, one job is created. With just a minor investment from our government, we can empower this Nation's entrepreneurs to do what they do best, create jobs and build this economy.

This is the same amendment that was offered last year that passed with overwhelming bipartisan support. The only thing that has changed since then is that our Nation's small businesses have now had to endure a year of increased costs, and they have told us that these costs are hurting them. We cannot let this happen again.

Fifteen trade associations, including the National Small Business Association; the Independent Community Bankers of America; the Credit Union National Association; the American Hotel and Lodging Association; and the U.S. Black Chamber of Commerce, representing businesses and lenders from across the country, are supporting this amendment and calling on Congress to restore this funding.

By voting ``yes'' to restore the appropriations to the 7(a) loan program, you are voting to relieve our Nation's 23 million small businesses of these additional costs. This is a vote for continued job creation and economic development, two things, small businesses and our Nation's economy need now more than ever.

Mr. Chairman, I reserve the balance of my time.

Mr. Chairman, I yield myself as much time as I may consume.

Mr. Chairman, when SBA claims that the program is doing record levels I have to say that they said that they would do $16 billion. Today they are $2 billion behind, and they are clearly not going to achieve a record level.

Mr. Chairman, I yield such time as he may consume to the gentleman from Ohio (Mr. LaTourette).

Mr. Chairman, I reserve the balance of my time.

Mr. Chairman, I would like to inquire as to how much time is left on each side.

Mr. Chairman, I yield 2 minutes to the gentlewoman from Illinois (Ms. Bean).

Mr. Chairman, I would like to inquire as to how much time I have left?

Mr. Chairman, I have two additional speakers, and I ask unanimous consent for 2 more additional minutes on each side.

Mr. Chairman, I yield 1 minute to the gentleman from North Carolina (Mr. Price).

(Mr. PRICE of North Carolina asked and was given permission to revise and extend his remarks.)

Mr. Chairman, I yield 1 minute to the gentlewoman from Guam (Ms. Bordallo).

Mr. Chairman, I yield to the gentlewoman from California (Ms. Loretta Sanchez) for a unanimous consent request.

(Ms. LORETTA SANCHEZ of California asked and was given permission to revise and extend her remarks.)

Mr. Chairman, I am ready to close if the gentleman does not have any other speakers.

Mr. Chairman, I yield myself the balance of my time.

Mr. Chairman, this is a vote for helping small businesses. Today the program is more costly, $3,000 more, and half a billion dollars less is going into the economy. We have also seen a 50 percent drop in lenders, which has a particularly negative impact on rural communities. This is not a picture of stability, but the good news is that we can fix this. By voting ``yes'' on the Velazquez amendment, we can return the 7(a) program to a source of affordable capital for our Nation's small business owners.

Almost 20 national groups, from the National Small Business Association and the Hotel and Motel Association to the Independent Community Bankers and the Credit Unions, say that this is a problem, and they want us to fix it.

For the small commitment on the government's part, we can create jobs and create economic growth, two of the most important things we can do right now. That is why I encourage my colleagues to support my amendment, the same amendment that was voted last year overwhelmingly.

Let me just say, Mr. Chairman, that when SBA claims that they are doing record levels, what they do not say is that they are comparing the program's performance to a time last year when it was shut down and operating under a $750,000 cap. When compared to the last quarter before fees were raised, the program actually shows a decline of over $500.

Mr. Chairman, I ask for a vote for the Velazquez amendment.

Mr. Chairman, I yield back the balance of my time.

Mr. Chairman, will the gentleman yield?

Mr. Chairman, I would like to correct the record.

Mr. Chairman, yes, it might be true they are doing more loans, but they do not say that they are rationing capital in its loan program. The average loan size for the 7(a) loan program today is $170,000. The average for an African American is only $86,000. The average loan for an Hispanic is $128,000, and this is happening because the restrictions that they have imposed on the 7(a) loan program.

I thank the gentleman for yielding.

Mr. Chairman, will the gentleman yield?

Mr. Chairman, well, the numbers that Mr. Barreto is giving my colleague is when the program was shut down, and he does not say to my colleague that they are doing $2 billion below what they said they would be doing at this time.

Mr. Chairman, will the gentleman yield?

Mr. Chairman, I thank the gentleman for yielding.

If my colleague is for deficit reduction, with this amendment we will reduce the deficit by $32 million. Then, if we pass this amendment, $78 million we leverage, $15 billion in loans, and create half a million jobs at a time when the economy is struggling to replace the jobs that we have lost.

Mr. Chairman, I demand a recorded vote.

Mr. Speaker, I rise in support of the Business Checking Freedom Act of 2005, H.R. 1224. Among other things, H.R. 1224 would repeal the prohibition against banks paying interest on checking accounts and authorize the Federal Reserve to pay interest on reserve balances maintained by depository institutions at Federal Reserve Banks. The bill is almost identical to previous legislation on the subject passed by the House, including H.R. 758, which passed in 2003.

H.R. 1224 contains some long overdue changes. I am particularly pleased that this legislation will permit small businesses to earn interest on their checking account balances. Individuals have been able to receive interest on checking accounts for some time, and small businesses, many of which are individually owned and operated, should have the same ability to receive an equitable return on their checking deposits.

Small businesses face an array of barriers to accessing the capital they need for start-up, operation and expansion. One of these barriers is the Depression-era law that prohibits interest-bearing checking accounts. The law, enacted as part of the Banking Act of 1933, was meant to keep banks solvent during the Great Depression. Almost 70 years later, the law is still in effect, despite evidence that it is no longer valid--or necessary.

In fact, a 1996 joint report issued by the Federal Reserve Board, the Federal Deposit Insurance Corporation, the Office of the Comptroller of the Currency, and the Office of Thrift Supervision stated that the law barring payment on business checking accounts ``no longer serves a public purpose.'' H.R. 1224 effectively repeals this ban and permits small businesses to earn interest on their checking accounts.

Similar to past House bills, H.R. 1224 also includes a section entitled Rules of Construction, which ensure that the existing regulatory treatment of certain services and benefits provided by banks in lieu of interest on escrow accounts maintained to complete the settlement of real estate closing transactions remains as it is today.

Currently, the Federal Reserve's Regulation Q permits banks to offer services and benefits in lieu of interest to depositors. It also specifically provides that the provision or the receipt of such services and benefits does not constitute interest. Using this option, title companies and agents receive bank services, such as free safe deposit and night depository facilities and low-interest loans, in lieu of interest.

This arrangement lowers the cost of maintaining real estate escrows, which in turn lowers the cost of these services to customers of title companies and title agents. H.R. 1224 does not change Regulation Q or any regulatory standard regarding the definition of interest. Rather, it ensures the continued delivery of cost-effective real estate closing services.

H.R. 1224 provides for a long overdue change to federal banking laws that will enable small businesses to gain parity with larger firms that are already able to essentially receive interest on their checking accounts. By doing so, small businesses will be better able to grow and create the new jobs that our country so desperately needs.

I urge my colleagues to support this important legislation.

Mr. Chairman, I rise in strong opposition to this bill, which offers no solution to our Nation's gang violence problem, and in support of the Waters-Scott amendment which strikes the mandatory sentences provisions.

Clearly, in many neighborhoods throughout our country, we have a gang violence problem. Yet dramatically increasing prison terms and failing to fund proven strategies to reduce youth violence is exactly what H.R. 1279 does.

Violence in gangs is a critical problem, persistent among low-income and minority communities. Today we see that 95 percent of the largest cities and 88 percent of the smaller cities are confronted with gang- related crimes. More and more younger kids are joining gangs. But no value of hope is given to these children seeking a way out of the gang activity. We must face this reality, rather than hide from it.

It seems to me that the only solution being offered by this legislation to our juveniles involved in gangs is locking them into a life path where there is no way out. Whatever happened to gang prevention programs, to the funding desperately needed for delinquency and intervention programs?

If we want to deter gang violence and protect our communities, we need to focus on effective and comprehensive solutions to address the root causes of youth violence, not simply punitive actions.

Mr. Chairman, passing this bill will do nothing to stem the tide of gang violence throughout this country. What this bill will do is worsen our youth's violent behavior by enslaving our youngsters into prison as an answer to one of this Nation's most critical problems, and that is no solution at all. I urge my colleagues to support the Waters-Scott amendment and to oppose the underlying bill.

Mr. Speaker, I thank the gentlewoman from California for yielding.

As we take this week to honor our Nation's small businesses, it is important to notice the everyday challenges that are standing in their way. As the main job creators and stimulators of the economy, there are far too many obstacles that still remain.

Small businesses have received a number of promises over the last 4 years. But as the ranking member on the House Small Business Committee, I can tell you that what entrepreneurs need now is no more rhetoric. What they need is more action. Unfortunately, rhetoric is all that they have gotten up to this point.

One of the most obvious challenges is that a number of small businesses are not able to access health care. Six out of every 10 uninsured families are headed by a small business employee. This is simply unacceptable. Yet Congress has passed no solutions to the health care crisis.

My colleagues on the other side love to talk about how many times this House has passed association health plans. The bottom line is that Republicans control the White House, the Senate, and the House of Representatives. How many more times do we have to pass association health plans to get it done? Stop the rhetoric. What we need is action.

With the skyrocketing prices of gas and energy, small businesses are having an even more difficult time starting and expanding their ventures. Just last week the House passed an energy bill that does not do anything to help this Nation's small businesses. For the small business owner that works in the transportation industry, this bill has done nothing to help reduce the record highs in gas prices we are seeing today.

Compounding entrepreneurs' difficulties even further are regulatory burdens. Too often a small business owner does not have the resources to comply with a number of Federal regulations. Despite the promises made by this administration, small firms have seen little relief. The reality is that this administration holds the record for the single largest increase in paperwork burden in 1 year in our Nation's history. Again, the rhetoric needs to end.

Our Nation's entrepreneurs deserve to see some real action, some real solutions. And as we honor our Nation's entrepreneurs this week for National Small Business Week, all Congress is going to give them is this legislation, the Small Business Bill of Rights. Let me tell you, this Nation's small businesses deserve much more than some rhetoric included in House Resolution 22. And that is all this bill does. They deserve to be assured that Congress will work to address their challenges, that we will go on the record listing the priorities we will work to address for their businesses. Sadly, that is not what House Resolution 22 does.

Yes, the Small Business Bill of Rights contains some lofty rhetoric on taxes, regulations, and capital. But what it fails to do is really recognize the fact that small businesses do not get capital the same way that large businesses do. Small firms cannot head over to Wall Street. Instead, they rely heavily on loan programs. To tell them that loan programs are not important is disingenuous.

House Resolution 22 also says that some contract bundling is okay and that is okay for small businesses to lose out on contracting opportunities. The Small Business Committee has always been on the record protecting small businesses. Every economic analysis and indicator says that contract bundling is bad. Yet, this bill wants to say it is okay.

Most upsetting is that House Resolution 22 mentions absolutely nothing about the needs of minority and women business owners, the fastest growing sectors of our economy. This is despite the fact that the gentleman from Georgia (Mr. Barrow), the gentlewoman from Wisconsin (Ms. Moore), and the gentlewoman from California (Ms. Linda T. Sanchez) all tried to include these provisions in a markup in which the chairman of the committee blocked these amendments from even being offered.

The gentleman from Florida (Mr. Keller) spoke about due process that was provided. What the gentleman does not tell you is that the chairman took the unprecedented step of moving the previous question. I will challenge any chairman to come to the floor and talk about when they moved the previous question to block the minority from offering amendments. They were then rejected again by the Rules Committee.

Despite the overwhelming growth of minority- and women-owned businesses, this Small Business Bill of Rights tells them that their needs are not a top priority, and that is ridiculous.

This is Small Business Week, and all we are giving to our Nation's entrepreneurs, the main job creators, are some promises in House Resolution 22. These promises are not helping to give small businesses more loans. They are not opening up the fair marketplace, and they are certainly are not giving small firms any solutions to the health care crisis. Maybe next time Congress can promise to help small businesses to pay their bills and again follow through with no action.

This rhetoric needs to end. Our Nation's small businesses deserve much more than rhetoric this week. They deserve commitment and action all year long to address their challenges. Clearly, House Resolution 22 will not do that. We should vote down this rule, and we should not be passing promises without action in the House of Representatives.

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

As we are in the middle of recognizing National Small Business Week, most small business owners are going forward with their daily routine; waking up, heading into work, opening up their stores, and figuring out ways to pay their bills, manage their employees, and satisfy their customers.

All day today we have been hearing about the numbers of challenges facing small firms, and we will continue to hear about these challenges over and over again. But the sad reality is that small businesses are facing tougher times today, now more than ever. With skyrocketing health care, energy and gas prices, rising interest rates and a $427 billion budget deficit, there are already restrictions facing those entrepreneurs who want to start and expand their business ventures.

And now I want to ask, what is Congress' answer to all this, to all these challenges facing small firms? The answer is: Give small businesses some rights. You should have the right to access health care, the right to be relieved of regulatory burdens, and the right to tax simplification. This is all good when it is said and done, but what is Congress going to do to carry through on those promises? What action is going to be taken to back up the rhetoric?

Supporters of this bill will tell you that opposition to this resolution is opposition to helping small businesses. However, the truth is that if you votes ``yes'' on House Resolution 22, you have voted to do nothing more than offer empty promises to small businesses, empty promises that Congress probably will not keep.

This is because tonight, when this Nation's small business owners go home, probably somewhere around 10 or 11, well after we have been done and gone for the day and after having missed a family dinner and maybe even a Little League game because they believe so much in their business venture, not one of their challenges will be solved because we voted ``yes'' for House Resolution 22. Today's actions will not fix even one of the problems that most small business owners went to work with this morning.

The Small Business Bill of Rights will not provide health care, it will not give entrepreneurs more access to capital, it will not relieve them of regulatory burdens, and it definitely will not help minority- and women-owned firms to grow a successful business. So continue talking about what you want to do for small businesses today, keep talking about what the challenges are, but what I want to know is when my colleagues on the other side of the aisle are going to stop talking and start taking action.

The bottom line here is that voting for House Resolution 22 today will not make a single thing better for this Nation's small businesses. It might make a great press release for some and another opportunity to boast support for entrepreneurs, but, sadly, that is all it will be.

This Small Business Week all that our Nation's entrepreneurs will be getting are more empty promises. By voting for House Resolution 22, you are voting to make more empty promises to small businesses this week. What we need now is for small businesses to see some well-deserved and long-overdue action taken to address their challenges. No more rhetoric. That is the least we can do for this Nation's small businesses this week.

This should be seen for what it truly is, a sham, and it should be voted down.

Mr. Speaker, I reserve the balance of my time.

Mr. Speaker, I yield myself 20 seconds. I would say that a blueprint is important, but at some point we need to start building a house.

Mr. Speaker, I yield 2 minutes to the gentleman from North Carolina (Mr. Price).

(Mr. PRICE of North Carolina asked and was given permission to revise and extend his remarks.)

Mr. Speaker, I yield 2 minutes to the gentleman from Maryland (Mr. Wynn).

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

Mr. Speaker, yes, I agree with the gentleman that we have association health plans, and that is a bipartisan issue that has support; but we have voted in this House four times on that issue. How many more times do we need to vote in the House? The other side controls the White House and the Senate. On the one issue where there is bipartisan support, the other side cannot get the President to call the Senate and get this legislation passed. That is how much the other side of the aisle cares about access to health care for small businesses.

Mr. Speaker, I yield 2 minutes to the gentleman from Arizona (Mr. Grijalva).

Mr. Speaker, I yield 2 minutes to the gentlewoman from Nevada (Ms. Berkley).

Mr. Speaker, I yield 2 minutes to the gentleman from North Carolina (Mr. Watt).

Mr. Speaker, will the gentleman yield?

Mr. Speaker, two things. Only one person, one witness, testified on behalf of the 8(a) program. So she represented 100 percent of minority businesses in this country. Secondly, is it not true that in the list of priorities for NFIB, frivolous lawsuit does not make the top 50, it does not rank?

Mr. Speaker, I yield 2 minutes to the gentlewoman from California (Ms. Linda T. Sanchez).

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

Mr. Speaker, I just would like to say that more than 50 percent of the microloan program loans went to minority entrepreneurs, making it a critical source for funding for new minority-owned firms. That is quite a niche for us. It might not be for the other party.

Mr. Speaker, I yield 2 minutes to the gentlewoman from California (Mrs. Napolitano).

Mr. Speaker, I yield 3 minutes to the gentleman from Georgia (Mr. Barrow).

Mr. Speaker, I would like to inquire of the Chair how much time is remaining on both sides.

Mr. Speaker, I yield 2 minutes to the gentlewoman from Ohio (Mrs. Jones).

(Mrs. JONES of Ohio asked and was given permission to revise and extend her remarks.)

Mr. Speaker, small businesses got only $500. That is nothing compared to the $3,000 that they have to pay in fees through the 7(a) program.

Mr. Speaker, I yield 2 minutes, 15 seconds to the gentlewoman from Wisconsin (Ms. Moore).

(Ms. MOORE of Wisconsin asked and was given permission to revise and extend her remarks.)

Mr. Speaker, I would like to inquire how much time is left.

Mr. Speaker, I yield 1\1/2\ minutes to the gentleman from Illinois (Mr. Davis).

(Mr. DAVIS of Illinois asked and was given permission to revise and extend his remarks.)

Mr. Speaker, I yield 1 minute to the gentlewoman from Guam (Ms. Bordallo).

Mr. Speaker, who was the right to close?

Mr. Speaker, I ask unanimous consent for an additional 1\1/2\ minutes for myself.

Mr. Speaker, I yield myself the remaining time.

My colleagues have all heard about the challenges facing small business today during this debate. It has become very clear that House Resolution 22 will do nothing to address these issues, and it is nothing more than pure rhetoric.

This resolution fails terribly in providing strong solutions and action items to help this Nation's small businesses. It also fails terribly in representing the needs of all sectors of the small business community. With all the respect due to the main sponsor of this resolution, 20 small businesses from his district do not represent 20 small businesses in my district, or 20 small businesses in any other Members' district. By voting for House Resolution 22, you are merely casting a blank ballot. This bill of rights is nothing more than empty promises to our Nation's small businesses.

I am going to request a motion to recommit this bill back to the committee. By voting for this motion to recommit, you will be voting to give small businesses the opportunity to truly receive more capital through SBA lending programs and to protect them from free trade agreements. Most importantly, you will be voting to make the needs of women- and minority-owned businesses a true priority. These are critical provisions that need to be addressed.

This resolution does not represent the needs of all our Nation's small businesses. In order to enhance House Resolution 22, I urge you to vote ``yes'' on the motion to recommit this legislation to the committee. And I urge you to vote ``no'' on final passage.

Mr. Speaker, I yield back the balance of my time.

Mr. Speaker, I offer a motion to recommit.

Yes, in its current form.

Mr. Speaker, on that I demand the yeas and nays.

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

We are here today to consider legislation honoring the contributions of the heating, ventilation, air conditioning and refrigeration industries, a large segment of our small business constituency. Although we often fail to think about the relevance to our everyday lives, the impact of these industries and firms can be seen in every household across the Nation. This resolution honors the men and women that strive to improve the lives of Americans by providing quality services on a daily basis.

This industry has helped to drive the economy by creating thousands of good-paying jobs every year. In 2002, heating, air conditioning and refrigeration mechanics and installers held nearly 250,000 jobs, and approximately 15 percent of these workers were classified as self- employed.

The heating and cooling industry has also set the standard for creating innovative, environmentally safe products that help to preserve and strengthen our environment for future generations to enjoy. New technologies are constantly developed to ensure efficient energy use so that we can keep indoor environments safe and comfortable while protecting our outdoor environments. Without the modern conveniences and environmental advances the industry has developed, Americans would not have the means to enjoy the quality of life as we know it today. Clearly, given the unique contributions of the small businesses in this industry, it is only fitting that we find ways to recognize the exceptional work of these service men and women.

In recognizing what they have brought to the table, we must also strive to equip the indoor cooling industries with the resources they need to succeed, including access to capital, reduction of regulatory burden, affordable health care, business development and technical assistance. Entrepreneurs in service industries across the board deserve our full support in ensuring that these programs and initiatives are utilized to their fullest potential.

I would like to take a moment to recognize Tim Slattery and Allyson Ivans of the House Small Business Committee minority staff and Piper Largent of the majority staff for their work on this legislation. I would also like to commend the Air Conditioning Contractors of America. This organization has been instrumental over the years in demonstrating how vital their industry is to communities across the country.

I am pleased to offer my support in designating the week of April 17- 23, 2005, as National Indoor Comfort Week. The heating, ventilation, air conditioning and refrigeration industries are deserving of our attention. I cannot overstate the important role that the small businesses in these industries have played in improving our health, safety and overall quality of life.

Mr. Speaker, I yield back the balance of my time.

Mr. Chairman, I offer an amendment.

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

(Ms. VELAZQUEZ asked and was given permission to revise and extend her remarks.)

Mr. Chairman, Federal contracts for overseas work have increased substantially over the last several years. This rapid increase in government buying is largely the result of the war in Iraq and combating terrorism. Since the spring of 2003, Congress has appropriated close to $200 billion for operations in Iraq and Afghanistan. The supplemental appropriations bill we are considering today provides an additional $81 billion.

Much of this funding will be spent on contracts for overseas work, and most of these contracts will be awarded to large corporations. Unfortunately, while 23 percent of contracting dollars spent domestically must include small businesses, there is no requirement that small companies have access to the bulk of overseas contracts. My amendment would change that by requiring that small businesses have access to international contracts just as they do for domestic work.

Federal agencies currently do not include overseas contracts when calculating their small businesses goals. Therefore, there are no means of holding agencies accountable for providing U.S. small companies with access to international work. As a result, only 1 percent of government overseas contracts are awarded to small companies, and barely 500 of the more than 23 million U.S. small businesses are performing work abroad. By requiring that contracts funded by this bill are calculated in the Federal Government's small business goals, we start to instill credibility in the system while ensuring that small firms receive their fair share.

These goals were enacted to ensure small business participation in the Federal marketplace. However, the Federal Government has failed to meet its small business goal in each of the last 5 years. In one year alone, this failure cost U.S. small businesses over $15 billion in lost contracting opportunities.

We have a lot to make up for with our Nation's small business owners. We can start by ensuring that they have access to overseas contracts.

Mr. Chairman, there are 23 million small businesses in the United States. They represent 99 percent of all employers, create three out of four new jobs, and employ more than half of all private sector workers. Historically, when the government has needed to build up for military operations, it has turned to small businesses to fulfill its procurement needs because of their flexibility and quick response time.

I yield to the gentleman from California.

Gracias.

I am sorry. I thought this was English-only here.

Mr. Chairman, I really appreciate the gentleman's support of this amendment. I would say that it does not surprise me that the Department of State would raise a concern because they are the worst offenders when it comes to fulfilling the statutory goals set by Congress regarding contracting practices on behalf of small businesses in our Nation. I would love to see that the gentleman work with me on behalf of small businesses and make sure that in this $81 billion there is small business participation. They can do the work and they can do it more effectively than many of the large corporations that are mismanaging and misappropriating much of the money that has been spent so far.

I thank the gentleman.

Mr. Chairman, I yield back the balance of my time.

Offered By: Ms. Velazquez

Amendment No. 8: At the end of the bill (before the short

title), insert the following:

Mr. Chairman, I offer an amendment.

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

(Ms. VELAZQUEZ asked and was given permission to revise and extend her remarks.)

Mr. Chairman, for many unemployed workers, starting a small company provides opportunities for career growth and financial success. But the lack of access to capital prevents many entrepreneurs from starting their own business. The Small Business Administration's 7(a) loan program is a critical source of capital for small businesses, providing 30 percent of all long-term loans to U.S. entrepreneurs.

Despite the success of the 7(a) loan program, the Bush administration has repeatedly underfunded it, implemented a series of caps, imposed burdensome restrictions, and shut down the entire program. In the latest attack on October 1, the President doubled the fees that small businesses must pay to receive a 7(a) loan.

These new up-front fees are limiting the number of small businesses that can afford 7(a) loans. For a loan of $150,000, an entrepreneur must now pay nearly $3,000 in up-front fees, a significant cost for someone trying to start a company. These higher costs have significantly reduced small business use of the 7(a) program, as loan volume has decreased by $500 million since the new fees were implemented. The impact has been so great that this January the SBA made fewer loans than when the administration shut down the entire program last January.

President Bush was wrong when he increased the burden entrepreneurs face in accessing capital. This amendment acknowledges the shortsightedness of that decision. It affirms that new fees on 7(a) loans are hurting small businesses and demonstrates congressional support for using Federal funding to cover the cost of these fees.

A vote for this amendment is a vote against the Bush administration's policy raising the fees on 7(a) loans. It is a vote for our Nation's up-and-coming small business owners.

I have serious reservations about Personal Reemployment Accounts, as they will place severe limits on the amount of training an unemployed worker can receive. However, if Congress is going to establish Personal Reemployment Accounts, then we should provide entrepreneurs with the opportunity to use these resources to secure the capital needed to start small businesses. Unemployed workers should be allowed to use these funds in their accounts to pay for the cost of the 7(a) loan fees, and that is exactly what my amendment will do.

Given President Bush's commitment to creating an ownership society, I am surprised there are not more provisions in this bill to help unemployed workers own small businesses. The goal here is help reduce high unemployment, create a strong workforce, and boost our economy. This cannot be achieved without

a stronger commitment to our Nation's entrepreneurs. After all, it was laid-off managers launching their own small businesses that turned our economy around during the last recession.

We need a revival of entrepreneurship in this country that will spur more job creation and grow our economy. To do this, we must take advantage of every opportunity to ensure that capital is accessible and affordable for all start-up small business owners, and we must make it clear that President Bush is failing our Nation's entrepreneurs. This amendment is one of those opportunities, and I urge my colleagues to support it.

Mr. Chairman, I reserve the balance of my time.

Mr. Chairman, I yield myself the balance of my time.

On October 1, the Bush administration effectively implemented a tax on U.S. entrepreneurship. By doubling the fees on 7-A loans, the Bush administration has severely limited access to critical source of capital for our Nation's small businesses.

I want to be on record, and I want every Member in this House to be on record about the fact that last July, an amendment to the CJS appropriations that would have protected the 7-A program was approved with strong support. The House was on record then, and we should continue to be on record for the small business community.

This amendment sends a message that Congress is not willing to accept the recent policy decisions of the Bush administration to further burden U.S. entrepreneurs. They are our job creators. They drive our economy and they deserve our support.

Our goal is to fully repeal the freeze on the 7-A loans. While this amendment will not change the fee structure, it will help entrepreneurs afford this vital source of capital. So I therefore urge my colleagues to support this amendment.

Mr. Chairman, I object.

Mr. Chairman, I demand a recorded vote.

Mr. Speaker, I rise today on the floor of the U.S. House of Representatives to recognize the achievements of a remarkable individual, Shirley Rodriguez Remeneski. Shirley has been an inspiration and an energetic force in our community, working tirelessly over the past few decades to better the lives of New Yorkers.

Throughout the years, Shirley has acted as a passionate advocate for not only the people of New York, but also for the Hispanic community at large. She successfully worked her way through the local government getting her first taste of public policy advocacy in the Social Services Unit in the Bronx Borough President's Office, then moving on to work as the Executive Director of NYS Governor's Office for Hispanic Affairs, and then to her most recent appointment in 2002 as the Senior Vice President of the Empire State Development's Economic Revitalization Division. There is no doubt that Shirley has touched a significant number of lives along the way. In 1989 Shirley helped to lead relief efforts for the victims and survivors of Hurricane Hugo in Puerto Rico. Time and time again, she has selflessly given her talent and devotion to improve and enhance the quality of life for others.

The list of Shirley's accomplishments for our community is plentiful, and has led to her recognition as a champion for both the city's underserved populations and the Hispanic business community. She has received honors for her work by the Puerto Rican Bar Association, Verizon, the United Bronx Organization, Governor Pataki, the Girl Scouts, El Diario, the New York State Department of Correctional Services, the Hispanic Society of the New York/New Jersey Port Authority and Hispanic Magazine--and the list goes on.

This woman is a true leader, public servant, visionary, defender, mother and friend. Shirley--and the work she has done--is far more than one expects from the average citizen. Therefore, Mr. Speaker, I rise today to honor the career and achievements of Shirley Rodriguez Remeneski and join with my colleagues in the House of Representatives in applauding her outstanding dedication to the residents of New York City and the Hispanic community throughout the years. We are all truly better off because of her devotion and commitment to us and our city.

Mr. Speaker, today, I would like to pay tribute to a remarkable woman from my Congressional District, and wish her the best as she begins a new chapter of her life. Sister Mary Burns has spent more than a decade honoring the lives of Maura Clarke and Ita Ford, Maryknoll Sisters who were killed in 1980 while working to assist the poor in El Salvador. I am pleased to take this opportunity to honor her and her own work on behalf of economically disadvantaged women.

In 1993, Sister Mary Burns founded the Maura Clarke-Ita Ford Center (MCIF) in one of New York City's most impoverished communities, the Bushwick neighborhood in Brooklyn. The center provides education and training to low-income, mainly Hispanic, women. Under the leadership of Sister Mary Burns, MCIF has thrived--providing personal development, education and economic independence, and empowering women to break the cycle of poverty.

Like many Irish women who grew up in South Boston, Sister Mary Burns is strong and resilient, a person with deep faith and a wicked sense of humor. She is generous of heart and giving to her core. And her work on behalf on disadvantaged women is as impassioned as it is pioneering.

Bushwick was devastated during the riots of the late 1970s, and severe poverty and unemployment continues to plague the neighborhood. MCIF offers residents literacy classes, GED instruction, and job training. Recognizing the desperate need for entry level jobs in the Bushwick area, MCIF initiated an innovative program to create a small clothing factory in the neighborhood to offer low income women employment earning a livable wage, day care services, and the opportunity to attain business development and leadership skills.

MCIF also has a kitchen incubator to help new entrepreneurs develop the skills and experience necessary to launch successful small businesses in the food industry. Similarly, the center is home to a bakery program where local women put their skills to work baking cookies. Sales from these cookies, which on their own are well worth a trip to Bushwick, are used to support the program and compensate the bakers for their hard work--providing a path to economic independence.

These programs serve as an important model on how to strengthen communities one person and one family at a time. And its through the dedication and drive of Sister Mary Burns that the women who enter the doors of MCIF leave believing in themselves, envisioning promising futures, and chartering successful lives for their families.

I am honored to have worked with Sister Mary Burns over the years in advancing the mission of MCIF. Under her guidance, the center has become a critical resource for some, a sanctuary for others, and a source of inspiration for all who witness its extraordinary work. I, along with so many residents of the community, will miss her dearly. But her principles of loving acceptance, unwavering encouragement, and enduring faith are now firmly embedded in the spirit of the community-- and families from Bushwick will benefit from her work for generations to come. It is in this light Mr. Speaker, that I ask my House colleagues to join me in honoring the remarkable contributions of Sister Mary Burns and wishing her the best of luck in her future endeavors.

Mr. Speaker, I rise today on the floor of the U.S. House of Representatives to offer my congratulations to the Sunnyside Community Services Center on its 30th anniversary.

The residents of New York's 12th Congressional District have been enriched by this institution's outstanding example of community cooperation, which provides valuable social, recreational, and educational services to the seniors and families of Western Queens. Thanks to the exemplary board, staff, and volunteer base of the Sunnyside Community Services Center, this once small organization that started in a church basement has blossomed, and has grown to provide an array of integrated activities and programs to over 12,000 residents, annually.

The center offers these services to ensure that members have the opportunity to fully participate in all aspects of community life, while maintaining their independence and healthy lifestyle. This institution has also become a local economic engine, employing 90 percent of its staff from within the Queens community. The staff runs caregiver programs for frail elderly and homebound seniors, after school programs and camps for elementary and middle-school children, and a variety of educational, social, and recreational activities for active adults.

Over the past 30 years, Sunnyside Community Services Center has expanded its services even further to help meet the challenges faced by emerging immigrant and youth populations that reside in the area today. Their work has reached a significant number of residents of all backgrounds and ages and has allowed them to enjoy an enhanced and comfortable lifestyle.

Therefore, Mr. Speaker, I rise today to honor the 30th anniversary of the Sunnyside Community Services Center, and join with my colleagues in the House of Representatives to recognize the organization's outstanding service and dedication in addressing the needs of the Western Queens community.

Mr. Speaker, I rise today on the floor of the U.S. House of Representatives to recognize the 11th anniversary of the Brooklyn Chinese American Association's Eighth Avenue Senior Center.

The Eighth Avenue Senior Center is part of the Brooklyn Chinese- American Association (BCA), which has been serving the growing Asian- American population in the Sunset Park, Borough Park, and Bay Ridge communities of Brooklyn for the past 17 years, as a human services and community development organization.

Today, the BCA's Eighth Avenue Senior Center touches the lives of over 3,000 elderly residents in the area, and offers services to over 250 seniors on a daily basis. The center provides older Asian-Americans with a variety

of enriching educational programs and recreational activities.

Over the past 11 years, the Eighth Avenue Senior Center has integrated a variety of services integral to this elderly population, which it otherwise would not have had access to. This includes providing meals, bilingual information, English and citizenship classes, health services, and housing assistance.

This center also plays an important role in coordinating town hall meetings, assisting senior members in meeting their housing needs, and educating the community on the importance of exercising their voting rights. Because of these services, the Eighth Avenue Senior Center creates a sense of community and enhancement for the elderly population living in Brooklyn.

Therefore, Mr. Speaker, I rise today to honor the 11th anniversary of the Eighth Avenue Senior Center, and join with my colleagues in the House of Representatives to recognize their outstanding service to the elderly Asian-American population in Brooklyn.

Mr. Speaker, there are many reasons to oppose this bill: It is a diversion from the urgent issues facing our Nation; that today's vote is a cheap election-year tactic of the Republican leadership to rally its right-wing base; and that we should respect States rights on the principles of federalism, which Republicans continue to ignore to suit their political purpose.

Mr. Speaker, each of these concerns is a compelling reason to oppose this measure, but I want to make this perfectly clear: This bill should be defeated because it is wrong, it is discriminatory, and it is unAmerican.

Mr. Speaker, how can we export democracy across the globe when we are abandoning its fundamental principles here at home? Writing discrimination into our Constitution will do nothing to protect marriage, but it will taint this sacred document and sacrifice State rights based on certain ideological beliefs, and I urge my colleagues to defeat this mean-spirited, misguided bill.

Mr. Speaker, I rise today on the floor of the U.S. House of Representatives to recognize the 50th anniversary of the Bernard Baruch Houses Tenant Association located in the Lower East Side of Manhattan.

As the largest New York City Housing Authority (NYCHA) development in Manhattan--Bernard Baruch Houses provides homes for over 2,000 residents in our city. They also offer amenities that serve nearly 200 senior citizens and disabled residents.

The Bernard Baruch Houses Tenant Association is a well-known presence in our community, and continues its work to strengthen ties with its residents on a daily basis. This association truly exemplifies neighborhood cooperation, enhancing the opportunity for each and every New Yorker to live in a safe, affordable home.

The Bernard Baruch Houses has been instrumental in providing families throughout New York City with reliable and responsible services. Their buildings have served our city's families, elderly and disabled for the past 50 years.

Therefore, Mr. Speaker, I rise today to honor Bernard Baruch Houses Tenant Association on their 50th anniversary, and join with my colleagues in the House of Representatives to recognize their service within the New York City community.