Small-Business Democrats Join Fight Against GOP Budget
With the House set to debate the budget resolution Thursday, Democrats said the current proposal crushes small businesses.
Democratic members of the Small Business Committee released a report Tuesday that analyzed and criticized the budget’s impact on small businesses.
According to ranking member Nydia Velázquez (D-N.Y.), the proposed budget would “deprive small businesses of valuable loans, technical assistance and business development tools, ultimately preventing them from playing the role in economic revitalization they have in the past.”
“Instead, it places a priority on a massive tax cut, much of which will provide no relief to small firms,” the report states.
It maintains that 75 percent of all new jobs are created by small businesses, yet only 3 percent — or $18 billion — of President Bush’s proposed $726 tax cut is aimed at such businesses.
“If this economy turns around, it will be because of small business,” Velázquez said.
In all, the report details deep cuts to, or the outright elimination of, 24 programs designed to put unemployed citizens back to work, help welfare mothers find jobs, bolster rural communities or rebuild blighted urban areas.
The Republican budget outline makes “deep cuts in economic development programs for rural communities,” Rep. Frank Ballance (D-N.C.) said. “They’re writing off and leaving behind entire communities.”