House Small Business Leadership Addresses NASBP Fly-in Attendees

larry-and-chabot.jpgSen_Van-Hollen_MD_delegatio.jpghouse_small_bus_panel_with_larry.jpgNASBP Fly-in attendees were given the rare opportunity to hear from the leaders of the U.S. House Committee on Small Business, which includes Chairman Steve Chabot (R-OH-1st), Ranking Member Nydia Velázquez (D-NY-7th), Chairman of the Subcommittee on Contracting and Workforce, Steve Knight (R-CA-25th), and Ranking Member on the Subcommittee on Contracting and Workforce Stephanie Murphy (D-FL-7th). Each member provided brief opening remarks that emphasized the bipartisan manner in which the committee functions with its sole purpose of providing and expanding opportunities for U.S. small businesses.

Specific legislative examples were shared, showcasing the committee’s sound policy decisions in the federal procurement arena, such as H.R. 4743, the Small Business 7(a) Lending Oversight Reform Act, legislation which had previously passed the House and was approved by the Senate Small Business Committee, on the eve of NASBP’s Fly-in. H.R. 4743 was introduced by Chairman Chabot and Ranking Member Velázquez, along with their colleagues who serve on the Senate Small Business Committee with the intent of increasing the U.S. Small Business Administration’s (SBA) oversight authority over the 7(a) Loan Program. According to Chairman Chabot, the legislation will help small business owners acquire the capital needed to start and grow their companies. Ranking Member Velázquez added that, for small businesses that have difficulty securing credit elsewhere,the 7(a) program is a lifeline. This bill will enact reforms needed to increase transparency and ensure that the 7(a) program fulfills its mission, to help small firms access capital and to create new jobs.

Cornyn_Cowan_Tucker.jpgEach of the four panelists was asked a series of questions by the moderator, NASBP’s Director of Government Bob-with-Senator.jpgRelations, Larry LeClair. One question, in particular, sparked a discussion concerning the current impediments (for example, worker shortage and regulations) that hamper small business growth. The responses ranged from providing greater opportunities for young people to enter the construction trades, expanding opportunities for immigrants, and capitalizing on the recent tax cuts and regulatory reforms relating to construction permitting, which will provide additional opportunities for small businesses. LeClair thanked the Ranking Member for her commitment on behalf of small business contractors. Recognizing the importance of payment protection for subcontractors, last session, Velázquez also introduced legislation, H.R. 4486, which Chairman Chabot co-sponsored, to remove inflationary adjustments on surety bonds for federal construction projects. Without removing the Miller Act from automatic inflationary adjustments, subcontractor’s payment remedies are contracted, while the government’s risk increases. Currently, the Ranking Member’s legislation is included in the 2019 House National Defense Authorization Act (NDAA).

NASBP Fly-in Records Record Number of Visits In-person With Members of Congress  
The remainder of the day included NASBP Fly-in attendees meeting with their Congressional delegation, which totaled nearly 70 congressional offices and resulted in a record number of in-person visits with a member of Congress. In past years, frequently, only the staff person of the member of Congress is available to meet with NASBP members. Attendees raised major issues while ensuring that Hill offices understood the role the federal Miller Act plays in protecting project owners, subcontractors, and suppliers in the event the prime contractor fails to perform. In addition to raising the Miller Act protections, attendees made offices aware of the Velázquez/Chabot language included in the House NDAA to exempt the Miller Act from threshold increases for inflation and raise the inclusion of bonds on public-private partnership (P3) agreements, especially when federal loans and or grant funds are offered to states and localities for infrastructure development. While P3s are a different delivery method to procure construction, surety bonds should be included in the same fashion as other public works projects.

Finally, if time permitted, attendees asked House offices to support H.R. 2101, legislation introduced by Representative Mark Amodei (R-NV 2nd), which would repeal the Federal Election Commission’s (FEC) rule that requires trade associations to obtain written prior approval/authorization before they may directly solicit their members for a PAC contribution. H.R. 2101 was referred to the House Administration Committee. Specifically, Fly-in attendees asked their House members who serve on the Administration or Appropriations Committees to consider co-sponsoring H.R. 2101. The goal is to include H.R. 2101 in the FY 2019 Financial Services and General Government spending bill. NASBP continues to work with the Prior Approval Reform Coalition and has participated in its lobby day to garner additional support for the Amodei bill. 

          Meeting and Staying In Touch with Your Member of Congress is Worth the Effort
Since 2010, John Bustard has been meeting nearly every year with his member of Congress, Mazie Hirono, to discuss surety issues. Bustard is shown below with U.S. Representative Hirono, in March 2010 on the steps of the U.S. Capitol (picture on left) and in the Senate Committee Member chamber anteroom in June 2018 (picture on right). Through Bustard's meetings with Senator Hirono, he was able to convince her to support several NASBP federal legislative initiatives, some of which were passed into law. 

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