Congresswoman Maxine Waters (CA-35) voted today for legislation that will create hundreds of thousands of jobs and help small businesses. In addition to leveraging $300 billion in much-needed lending to small businesses, the legislation offers tax incentives to help America's small businesses grow.
"California's small businesses will continue to be the engine of our economic recovery," said Congresswoman Waters. "Small businesses have created two-thirds of the new jobs in this country over the last 15 years, and this legislation will give them the capital they need to put Californians back to work and drive job creation and innovation. I believe this legislation will have a direct impact on lowering our state's unemployment rate, which has been hovering near 13 percent for far too long."
The Small Business Jobs and Credit Act (H.R. 5297), which Congresswoman Waters cosponsored, will help small businesses expand by making investments in states and small banks that focus on lending to local small businesses. This new $30 billion lending fund -- which includes tough performance-based incentives and safeguards to ensure that funds go to American small businesses -- will spur job creation in California and across the U.S. The bill will also help cultivate American innovation through a new public-private partnership designed to channel early stage investment capital to promising new start-ups.
H.R. 5297 offers tax incentives to spur immediate investments in America's small businesses. These reforms will lower the capital gains taxes on small business investments and increase tax deductions to help entrepreneurs to recover more start-up expenses.
"Almost half of the small businesses seeking loans last year were unable to meet their credit needs. That is unacceptable, and the consequences have been felt across the nation -- including the minority and often-times underserved communities I represent in Los Angeles," said Congresswoman Waters. "By cosponsoring bills like this and by working to shape financial reform legislation that holds Wall Street accountable and protects consumers, I am taking steps to strengthen our economy so people can work, invest and save."
The Small Business Jobs and Credit Act has been endorsed by a variety of organizations, including the National Small Business Association, the Small Business Majority, National Association of Realtors, the Conference of State Bank Supervisors, the American Bankers Association, Biotechnology Industry Organization and the National Bankers Association.