Committee Approves Velázquez Small Business Bills

Statement

The House Committee on Small Business today approved two pieces of legislation aimed at helping entrepreneurs to succeed. The measures would strengthen and reform federal Entrepreneurial Development (ED) programs, which target training and technical counseling to business owners and prospective entrepreneurs. A second bill would reform the Small Business Innovation Reform (SBIR) and Small Business Technology Transfer (STTR) programs, which bring R&D funding to small businesses. Rep. Nydia M. Velázquez (D-NY), the Ranking Democrat on the Committee helped formulate both bills and said the measures would create jobs and spur economic growth.

"Small businesses are the engine of our economy and the programs we reformed today provide them important assistance," Velázquez noted. "By ensuring these initiatives are operating at full speed, we can foster entrepreneurship and bolster job creation."

Velázquez is the author of H.R. 207, the "Developing the Next Generation of Small Businesses Act." The measure would reform ED programs run by the Small Business Administration (SBA) such as Small Business Development Centers, Women's Business Centers and SCORE (formerly the Service Corps of Retired Executives). Among other changes, the bill would implement uniform accountability standards for local service providers, so entrepreneurs everywhere would receive the same quality of counseling and training. Last year, the SBA resource partners that administer ED training provided over 600,000 individuals with 1 million hours of training.

"Entrepreneurial Development initiatives can help new businesses launch and existing ventures grow," Velázquez noted. "By investing in and improving these programs, we are strengthening our broader economy."

A second bill marked up today, H.R. 4783, would reauthorize the Small Business Innovation Research (SBIR) and Small Business Technology Transfer (STTR) programs. The SBIR and STTR programs provide R&D funding in the form of competitive grants to small businesses that develop products and technologies for government use. The legislation approved today increases the amount of funding federal agencies must dedicate to the SBIR and STTR initiatives. The bill, which Velázquez co-authored, with the Chairman of the Committee, would reauthorize the program for five years, providing needed stability for program participants.

In addition to co-authoring H.R. 4783, Velázquez offered two amendments aimed at improving the SBIR and STTR programs, both of which were approved by the Committee. Her proposals would expand outreach to minority and other underserved small businesses to engage them in the SBIR/STTR initiatives and help businesses commercialize their products.

"SBIR and STTR can help integrate small businesses into government's research needs, resulting in product and technology innovation," Velázquez added. "When new products are created, we strengthen our nation's technological edge, while creating good jobs for the future."

The legislation passed the Committee today on a nonpartisan, voice vote. It must now be considered by the full U.S. House of Representatives.

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