Small businesses are the backbone of the American economy, creating three out of every four new jobs.  Unfortunately, for many small business owners and their employees the current government regulation system doesn't always take into account the needs of entrepreneurs starting and growing small businesses. 

I am proud to be a member of the House Small Business Committee, the only committee in the House of Representatives dedicated to ensuring the continued growth of American small businesses.  In January 2007, Committee Chairwoman Nydia Velazquez was successful in expanding the committee's jurisdiction to include input on every piece of legislation impacting small business - not simply on oversight of the Small Business Administration (SBA).  That change gives committee members like me greater ability to advocate for Indiana's small businesses.

Easing the Regulatory Burden
For too long, the government set rules and regulations without taking into account the effect they would have on small businesses. Any small business owner can tell you that uniform regulations put them at a disadvantage.  Big corporate firms -- with their teams of lawyers and compliance officers -- have a leg up.  This is not a small problem: 1.25 million workers are employed by small businesses in Indiana, and they deserve to have their voices heard during the rulemaking process. The federal government took an important step forward when it passed the Regulatory Flexibility Act (RegFlex) in 1980.  RegFlex was designed to give small businesses a seat at the table when federal agencies write their regulations.  Unfortunately for Hoosier small businesses, bureaucrats in Washington have exploited loopholes in the original legislation -- ignoring the effects of regulations on small businesses and refusing to adjust them to the needs of these vital employers.

That's why I introduced the Small Business Regulatory Improvement Act, HR 4458, which closes the loopholes in the original RegFlex process.  This bill requires agencies to consider indirect economic impacts of new regulations and examine the cumulative effects of growing regulatory regimes.  HR 4458 also forces agencies to periodically review all their past regulations to see which ones need to be maintained, adjusted, or eliminated altogether.  I was thrilled when the Small Business Committee joined me in giving small businesses a seat at the table by approving this bill unanimously.

Making it Easier to Provide Health Care
Businesses of all sizes face significant challenges in providing for the health of their employees while remaining competitive in a global marketplace.  Skyrocketing health care costs have had an especially devastating impact on the bottom lines of small businesses trying to provide quality benefits to their employees.  Rising costs are leading many small businesses to eliminate health benefits; increasing the number of uninsured middle-class families. In fact, more than half of the 47 million uninsured Americans live in a household headed by a small business owner or employee.

We can begin to address this problem through a bipartisan approach allowing small businesses to buy health insurance at the same rate as larger firms.  While less than half of the smallest businesses can afford to offer health insurance to their employees, almost all companies employing over 200 workers are able to afford coverage for their employees. I support implementing Small Business Health Plans (SBHP) to close this coverage gap. SBHPs would allow groups of small businesses to pool their resources and buy health insurance for their employees with the same buying power of a larger company. This approach would decrease costs and ensure small businesses are able to provide competitive benefits for their employees. Read more about my health care views here

Empowering the Small Business Administration
The Small Business Administration (SBA) is one of our most important tools in supporting America's small businesses.  Through financial and educational programs, the SBA provides entrepreneurs with vital resources that allow established small businesses to grow.  The SBA also works as an advocate for small businesses within the federal bureaucracy, educating other government agencies about the potential impact of their decisions on small businesses and their employees. Unfortunately, the SBA has faced significant funding cuts in recent years. I have supported increasing their budget, and I will continue to work with my colleagues on the Small Business Committee to ensure that the SBA secures the funding necessary to fulfill its mission. Learn more about SBA grants and programs here