SMALL BUSINESS

If you are a small business owner, you may want to view Senator Levin’s Small Business Resource Guide. This resource guide to useful small business websites is intended to assist small business owners in finding resources that could help in establishing and running successful enterprises.

Senator Levin has always been a strong advocate for the interests of Michigan small businesses. As a senior member of the Senate Small Business and Entrepreneurship Committee, he understands that small business is the heart of America’s economic strength and job creation.

Small business is vital to Michigan and an important source of new jobs in our state. Ninety-eight percent of Michigan businesses are small businesses employing nearly two million individuals. In fact, small businesses employ over 50 percent of Michigan’s non-farm private sector employees.

Senator Levin has supported tax legislation that is favorable to small businesses. He supported a provision that would have tripled the amount of investments that small businesses can immediately write-off, and he introduced an amendment that would have increased that amount by an additional $7,500. Senator Levin also supported a provision that would have provided small businesses with a 50 percent tax credit to help them maintain health coverage for their workers.

Small businesses rely on the Small Business Administration's guaranteed loan programs to obtain the credit they need to start or expand their business. There has been tremendous growth in both the SBA 7(a) and the 504 Guaranteed Loan Programs, and Senator Levin has fought to ensure that these programs receive adequate funding to cover growing demand.

The Senate Small Business and Entrepreneurship Committee passed a three-year reauthorization bill that over time increases SBA's lending programs to meet the growing demand. Senator Levin authored a provision included in the bill establishing a Small Business Intermediary Lending Pilot Program to address the needs of expanding small businesses.

This pilot lending program is aimed at businesses that need loans larger than those available under the SBA Microloan Program, but for a variety of reasons � including lack of sufficient or conventional collateral � are unable to secure through conventional lenders the credit they need at the terms they need. Senator Levin's proposal helps start-up and expanding small businesses create jobs, including jobs for low-income individuals. Unfortunately, the House did not act on that bill and it died at the end of the 109th Congress.

Senator Levin authored a provision included in the National Defense Authorization Act for Fiscal Year 2006 to ensure that all small businesses damaged by low water levels on the Great Lakes have access to low-interest loans through the Small Business Administration. A Michigan State University report concluded that the estimated impact of below average water levels on Michigan’s marinas alone was $11.1 million in a single year.

Senator Levin helped secure $13 million in funding for the Trade Adjustment Assistance (TAA) for Firms program in the fiscal year 2006 Commerce, Justice, Science appropriations bill. The TAA for Firms program assists hundreds of mostly small and medium-sized manufacturing and agricultural companies that experience loss of jobs and sales because of foreign imports. Qualifying companies receive technical assistance in areas such as marketing, financing, production, product development, distribution, management information systems and exporting. Since 1999, the program has helped to create of retain over 48,039 jobs in communities and increased sales at participating companies by $6.2 billion. The TAA for Firms program serving the Great Lakes region is located at the University of Michigan.

Senator Levin also helped secure funding for the Department of Commerce Advanced Technology Program (ATP) at $140 million in the Senate-passed bill and save it from being zeroed out in fiscal year 2006. Despite the $140 million Senate level, the final bill contained only $80 million for the ATP because both the President and the House of Representatives proposed to eliminated all funding for the ATP in fiscal year 2006.

During consideration of the Senate budget resolution, the Senate adopted a Levin amendment urging the Senate Committee on Appropriations to make efforts to fund the Advanced Technology Program, which supports industry-led research and development of cutting-edge technologies with broad commercial potential and societal benefits. Also, during Senate consideration of the Commerce, Justice, Science appropriations bill, Senator Levin worked in the Senate to defeat an amendment to make massive cuts to the ATP. The Advanced Technology Program promotes the development of new, innovative products that are made and developed in the United States, helping American companies compete against their foreign competitors and contribute to the growth of the U.S. economy.

Senator Levin helped secure a funding level of $106 million to fund the national Manufacturing Extension Program (MEP) network. The MEP program co-funds a nationwide system of manufacturing support centers to assist small and mid-sized manufacturers modernize in order to compete in a demanding marketplace by providing technical assistance and helping small firms boost productivity, streamline operations, integrate new technologies and lower costs. MEP projects have resulted in $1.9 billion of cost savings, $8.7 billion of sales and more than 104,000 manufacturing jobs. As manufacturers face increasing pressure from the global economy, improved efficiency and competitiveness are essential if we expect to retain jobs here in the United States. MEP is one of the few federal programs that provide tangible assistance to American manufacturers to help them retain and create jobs.

Senator Levin also authored a provision in the Senate-passed energy bill that would provide relief to small businesses and farmers hurt by the rising costs of heating fuel by offering low interest disaster assistance loans from the Small Business Administration and the Department of Agriculture. Senator Levin’s provision would have allowed small businesses to use the loans to convert to alternative energy sources, reducing their dependence on non-renewable fuels and lessening their vulnerability to future price spikes. Unfortunately, the provision was dropped in conference and not included in the final energy bill.