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

For Immediate Release                                                       CONTACT:  Alex Haurek; Duncan Neasham
February 23, 2009                                                                                                         (202) 226-3636

Velázquez Attends White House Fiscal Responsibility Summit

WASHINGTON –Rep. Nydia M. Velázquez (D-NY), the Chairwoman of the House Committee on Small Business, today attended a White House summit hosted by President Obama regarding fiscal responsibility and the nation’s economy.  The event, which included select Members of Congress, the Administration, and academic leaders, focused on reducing the federal government’s financial obligations in order to strengthen the economy. 

“Today’s summit was the start of a longer national conversation about some of the most critical challenges before us,” Velázquez said.  “Getting our economy back on track for the long term will require renewed attention to our nation’s fiscal situation.  I am pleased that President Obama is demonstrating early his commitment to tackling these issues.”

The summit included discussion of a wide range of topics important to the country’s fiscal health, many of which directly affect small business owners, such as reforming the tax code.  During the summit, Velázquez participated in a breakout session that focused on potential changes to the tax code.

“For too long, small businesses’ priorities have been ignored when we talk about tax policy,” Velázquez said.  “The economic recovery legislation that Congress passed and the President signed into law earlier this month took important and overdue steps toward providing small businesses with badly needed tax relief.  Still, as we consider other changes to the tax code, we need to keep in mind entrepreneurs’ needs.  Ultimately, tax code reforms should provide small firms with fairness and simplicity.”

Rising health care costs and their effect on government spending also received significant discussion.  Velázquez argued that healthcare reform efforts need to address the hurdles small firms face in providing coverage to their employees. 

“If we can make it easier for small firms to offer coverage for employees, we can reduce healthcare costs overall and lessen the amount government spends in this area,” Velázquez said.  “Helping small firms offer coverage will not only reduce the burden on government spending, but also make it easier for entrepreneurs to hire and contribute to the economic recovery.”

The summit also touched on the billion of dollars spent every year through the Department of Defense’s (DoD).  Velázquez said that DoD procurement reform should take into account the ability of small businesses to compete for contracts.

“Contracts with the Defense Department offer an important opportunity to spur innovation and create the next generation of companies,” Velázquez said.  “If we are to reform the Department of Defense’s procurement process, we should provide protections to small firms that compete for federal contracts.”

Velázquez was one of only thirty Members of the U.S. House to attend the summit.  She was invited to attend because of her role as Chairwoman of the House Committee on Small Business. 

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