Madam Speaker, I rise in strong support of H.R. 3854, the Small Business Financing and Investment Act.  This legislation will directly support small business jobs in Rhode Island by extending certain small business American Recovery and Reinvestment Act provisions and updating SBA programs to help meet the needs of businesses. 

Small businesses have borne the brunt of this economic crisis.  I continue to hear from many small business owners in Rhode Island that accessing credit remains a significant problem.  Remarkably, small businesses make up 96 percent of all employers in Rhode Island, and their inability to access credit to keep their businesses operating has clearly added to our high unemployment rate of 13 percent. 

It is imperative that our small businesses have access to the tools they need to weather this economic downturn, as well as to keep and create jobs.  H.R. 3854 does this by extending Recovery Act provisions that eliminated fees on SBA loans and guaranteeing these loans at 90 percent.  This gives local banks and credit unions the confidence to lend to small businesses.  This bill also raises the cap level on 7(a) loans from $2 million to $3 million, makes microloans more affordable for budding entrepreneurs, and streamlines the cumbersome loan application process. 

Additionally, the legislation boosts programs that help small manufacturers and improves a renewable energy investment program to encourage small enterprises that are researching alternative and renewable energy solutions.  H.R. 3854 also provides tools for veterans to start their own businesses and also makes permanent the Community Express program, which promotes lending to small businesses owned by women and economically disadvantaged individuals.   

I encourage my colleagues to support H.R. 3854, which will help our small businesses grow, keep people employed and create new jobs.  A few months ago, I had the chance to visit Jamiel’s Shoe World, a small, family-owned business and a Rhode Island institution, which was able to take advantage of a loan guaranteed by the stimulus bill – a loan that enabled them to keep their doors open and keep Rhode Islanders employed.  I look forward to seeing this legislation signed into law so that other small Rhode Island businesses can access the capital they need to flourish.

Thank you, Madam Speaker.