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Small Business Committee Newsletter Printer Friendly Version
Small Business Committee Notes
Friday, November 17, 2006 Printer Friendly Version
Small Business Committee Notes November 17, 2006 -- Issue 109-58 Phil Eskeland, Policy Director, House Committee on Small Business _____________________________ Democrats Take Over U.S. House of Representatives and Senate On Tuesday, November 7, the American people elected 231 Democrats and 197 Republicans (with 7 races still undecided) to serve in the House of Representatives in 110th Congress, giving effective control of the House to Democrats. The new Speaker of the House will be Representative Nancy Pelosi (CA- 8th). However, most analysts believe that the Republican candidate will prevail in 6 of the 7 remaining undecided races. Four valuable Republican Members of the House Small Business Committee lost their re-election bids: Representatives Sue Kelly (NY-19th), Jeb Bradley (NH-1st), Mike Sodrel (IN-9th), and Michael Fitzpatrick (PA-8th). One valued Democrat Member of the House Small Business Committee – Ed Case (HI-2nd) – lost his Senate primary election last September to incumbent Democrat Senator Daniel Akaka and will not return to the 110th Congress. The next Chair of the House Small Business Committee will be Representative Nydia Velázquez (NY-12th) , who has served as the ranking minority Member since 1997. It is unclear at this point in time who will be the next Republican leader of the House Small Business Committee. The current chairman, Representative Donald Manzullo of Illinois, is barred by rules of the House Republican Conference from serving for more than three terms as leader of the Small Business Committee. Returning Republican Members who could make a run for the ranking minority Member position are (in order of seniority): Representatives Roscoe Bartlett (MD-6th), Steve Chabot (OH-1st), Sam Graves (MO-6th), and Todd Akin (MO-2nd). The Republican Steering Committee will meet hopefully sometime in December to announce ranking minority Member committee selections after the Democrats complete their process. Also, enough Democrats were elected to the U.S. Senate during this cycle to turn over control of the Senate to the Democrats. The ratio will be 51 Democrats to 49 Republicans in the 110th Congress (two independent Senators were elected but they will caucus with the Democrats). Two Republican Members of the Senate Small Business & Entrepreneurship Committee – Senators Conrad Burns of Montana and George Allen of Virginia – lost their re-election. Senator John Kerry of Massachusetts will be the next Chairman of the Senate Small Business Committee. Senator Olympia Snowe of Maine will serve as the ranking minority Member. Besides passing a continuing resolution that will keep the federal government open for business until December 8, 2006 (H.J.Res. 100), both the House and Senate Democrats and Republicans spent most of rest of their time this week electing their respective leadership. Of interesting note, Representative Thaddeus McCotter (MI-11th), a valued Member of the House Small Business Committee, was elected today by his fellow colleagues to serve as part of the House Republican leadership as the Chairman of the House Republican Policy Committee. _______________________________ Small Business Procurement Update On Tuesday, November 14, the U.S. Small Business Administration (SBA) announced several measures to help small businesses secure more federal government contracts, a long standing interest of the House Small Business Committee. The centerpiece of SBA’s efforts is a new regulation requiring small businesses to recertify their size status on long-term contracts when a contract option is exercised, when a small business is purchased by or merged with another business or at the end of the first five years of a contract. “This regulation will go a long way toward ensuring that contract awards get in the hands of small business owners, federal agencies get the proper credit toward their small business contracting goals and small business contract awards are fairly and accurately reported,” said SBA Administrator Steven C. Preston. “It is a win-win situation for everyone.” This regulation was developed in coordination with the Office of Management and Budget’s Office of Federal Procurement Policy (OFPP.) “We need accurate data on business size,” said Administrator for the OFPP Paul Denett. “However, small businesses must be given fair opportunity to grow as they perform federal contracts. This rule is intended to strike the right balance between fostering growth and accurate data gathering.” Historically, size status has been determined at the time of the initial offer on the contract and is retained over the life of the contract. However, federal agencies are increasingly using long-term contracts that with the exercise of contract options can extend to 20 years. The new regulation does not require termination of contracts if size status changes, nor does it require changes to contract terms and conditions. SBA, also in cooperation with OFPP, announced on Tuesday a Small Business Procurement Scorecard for 24 federal agencies. The scorecard, which is modeled after the President’s Management Agenda, will help more aggressively track and monitor the status of each agency’s small business goal achievement. “This scorecard is intended to increase transparency and accountability in the small business procurement arena,” said Administrator Preston. “Additionally, it will highlight successes that can be shared between agencies and result in additional ways to engage the small business contracting community.” In late September, OFPP Administrator Denett and SBA Administrator Preston issued a memorandum requiring agencies to review their procurement data and identify any necessary changes to help resolve apparent discrepancies in the Federal Procurement Data System (see SBC Notes 109-57). The SBA also announced that additional procurement personnel will be hired to help identify government contracting opportunities for small businesses and will work with the Administration’s Integrated Acquisition Environment initiative to more effectively cover the federal buying activities. “These actions…underscore the fact that the SBA is committed to creating an environment where small businesses can enter the federal marketplace as equal competitors,” said Administrator Preston. “This environment is created when agencies reduce contract bundling, consider small businesses as part of their overall procurement strategy, and ensure all agency reporting is accurate and reliable.” For further information, please contact Barry Pineles, Chief Counsel. _______________________________ Upcoming Events Tuesday, November 28 6:30PM – oversight full committee field hearing in Rockford, IL on how the Federal Emergency Management Agency (FEMA) declares disasters. For more information, please contact Chris Szymanski, Professional Staff. The House is currently in recess and will resume session on Tuesday, December 5, 2006. It is hoped that Congress will finish remaining action on the outstanding appropriations bills, including the spending bill covering the functions of the SBA, sometime between December 5th and December 15th, the target adjournment date for the 109th Congress. If not, there may be a simple long-term extension of the continuing resolution until the early part of next year. This may well be the last edition of SBC Notes. It has been a pleasure serving you and providing these updates over the past four years. Hopefully, the staff serving the next Republican leader of the Small Business Committee will continue with the tradition of sending weekly e-mail to update you on the activities of the Republican-side of the committee. Happy holidays! _________________________________ Past hearings/mark-ups/roundtables/meetings in 2006 February 1, 2006 – Joint Tax, Finance & Exports (TF&E) and Rural Enterprises, Agriculture & Technology (REA&T) Subcommittee hearing on “Transforming the Tax Code: An Examination of the President’s Tax Reform Panel Recommendations.” February 8, 2006 – Regulatory Reform & Oversight (RR&O) Subcommittee hearing on “The Internet Sales Tax: Headaches Ahead for Small Business?” March 2, 2006 – Workforce Empowerment & Government Programs (WE&GP) Subcommittee hearing on the “Oversight of the Small Business Administration’s Entrepreneurial Development Programs.” March 8, 2006 – TF&E Subcommittee hearing on the “Oversight of the Small Business Administration’s Finance Programs.” March 15, 2006 – REA&T Subcommittee hearing entitled, “The Missouri River and its Spring Rise: Science or Science Fiction?” March 15, 2006 – hearing on the Fiscal Year 2007 Budget and Reauthorization Proposals of the SBA. March 16, 2006 – RR&O Subcommittee hearing entitled, “The State of Small Business Security in a Cyber Economy.” March 30, 2006 – RR&O Subcommittee hearing on the “Procurement Assistance Programs of the SBA.” April 5, 2006 – hearing on “IRS Latest Enforcement: Is the Bulls-Eye on Small Businesses?” April 6, 2006 – RR&O Subcommittee hearing entitled “Can Small Healthcare Groups Feasibly Adopt Electronic Medical Records Technology?” April 26, 2006 – hearing on “Cutting Our Trade Deficit: Can the U.S. Muster Its Diverse Trade Promotion Operations to Make an Impact?” April 27, 2006 – WE&GP Subcommittee hearing on “Healthcare and Small Business: Proposals that will Help Lower Costs and Cover the Uninsured.” May 3, 2006 – REA&T Subcommittee hearing on “The Future of Rural Telecommunications: Is Universal Service Reform Needed?” May 3, 2006 – hearing on “What is the Proper Balance between Investor Protection and Capital Formation for Smaller Public Companies?” May 10, 2006 – hearing on “Bridging the Equity Gap: Examining the Access to Capital for Entrepreneurs Act of 2006.” May 23, 2006 – RR&O Subcommittee hearing on “Data Protection and the Consumer: Who Loses When Your Data Takes a Hike?” May 25, 2006 – REA&T Subcommittee hearing on “Unlocking Charitable Giving.” June 7, 2006 – hearing on “Contracting the Internet: Does ICANN Create a Barrier to Small Business? June 21, 2006 – Joint hearing with the Government Reform Committee on “Northern Lights and Procurement Plights: The Effect of the ANC Program on Federal Procurement and Alaska Native Corporations.” June 27, 2006 – RR&O Subcommittee hearing on “S Corporations: Their History and Challenges.” June 27, 2006 – WE&GP Subcommittee hearing on “Immigrant Employer Verification and Small Business.” June 28, 2006 – TF&E Subcommittee hearing on “The Effects of the High Cost of Natural Gas on Small Businesses and Future Energy Technologies.” July 13, 2006 – RR&O Subcommittee hearing on “An Update on Administration Action to Reduce Unnecessary Regulatory Burdens on America’s Small Manufacturers.” July 20, 2006 – Joint REA&T and TF&E Subcommittee hearing on “Does China Enact Barriers to Fair Trade?” July 25, 2006 – hearing on “Failure to Comply with the Regulatory Flexibility Act: IRS Endangering Small Businesses Yet Again.” August 10, 2006 – WE&GP Subcommittee field hearing in Loveland, CO on “Health Care and Small Business – Real Options for Colorado Businesses.” September 27, 2006 – hearing on “Advancing Security and Commerce at Our Nation’s Ports: The Goals are not Mutually Exclusive.” _____________________________ Small Business Website Check out the Small Business Committee website at http://www.house.gov/smbiz. The site includes regular updates on small business committee news. The site features special projects, press releases, hearings and scheduling information. _______________________________ Phil Eskeland Deputy Chief of Staff & Policy Director House Committee on Small Business Phil.Eskeland@mail.house.gov (202) 225-5821 To contact any staff member listed in the above newsletter, please use the general number for the House Small Business Committee – (202) 225-5821. Please E-mail me if you want to be removed from the mailing list or if you know of others who might be interested in receiving this publication. Mission Statement of the House Committee on Small Business "We promote the success of America’s small businesses by leveling the global economic playing field and reducing domestic burdens that impede their growth. In this spirit, we work to ensure that every branch of the U.S. government understands the critical role America’s small businesses play – both at home and abroad – including the jobs they create and the spirit of entrepreneurship they embody.”
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