News From the
Committee on Small Business
Nydia M. Velázquez, Chairwoman

For Immediate Release
January 29, 2008     

CONTACT: Press Office,  (202) 225-4038

President Bush’s Final State of the Union Speech Short on Proposals to Help Small Firms Spur the Economy

WASHINGTON, D.C. — President George W. Bush delivered his final State of the Union address last night, and spoke about the bipartisan economic stimulus plan Democrats negotiated on behalf of America’s entrepreneurs and working families.  The $147 billion stimulus package is meant to spur the lagging economy and includes short-term provisions to help small businesses. These include a one-year doubling of the capital expensing limit from $125,000 to $250,000, and an opportunity to write off 50% of depreciation for certain equipment purchases in 2008.   All are steps in the right direction, but the President needed to have spoken about long-term support for the 26 million small firms that are the economic engine of the United States.  He mentioned small businesses only once, and those who tuned into his speech were left wondering if the final 50 weeks of his Administration will be just like his first seven years—full of empty promises.

“The President has missed yet another opportunity to address the long-term concerns of small business owners,” said Chairwoman Nydia M. Velázquez. “In the face of a recession, it is clear that it is Democrats who will do whatever is necessary to help American entrepreneurs.”

Several of the top concerns of small firms were particularly suspect in their absence from the President’s speech.  He failed to adequately broach such items as health care, energy costs and the need for affordable capital.

“Everyone is feeling the credit crunch and rising costs, but entrepreneurs are being hit particularly hard. That harms their ability to grow their businesses, and robs the economy of their full contributions,” said Chairwoman Velázquez. “The President said we should empower people to grow the economy, unfortunately his state of the union address failed to lay out a vision to do that.”

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