|
Washington Watch
July 30, 2003
A Busy House and Senate Head
for Recess
Congress has been busy the past two weeks, in a flurry
of activity before heading back to their home
districts for the August recess. Senators and
Representatives will spend most of the month outside
of Washington, D.C., returning at the beginning of
September. Below are some of the legislation and
issues that were introduced, debated and voted on
recently.
Tax inequities for the self-employed:
Do you ever get frustrated with laws and regulations -
especially within the tax code - that always seem to
help big businesses, but hurt yours? Last week
Congress responded to your concerns. The
House Small Business Committee held a meeting to
discuss inequities in the tax code and what can be
done to provide relief directly to small and
micro-businesses.
Several proposals for relief were suggested, but one
needs special attention. The
Self-Employed Health Care Affordability Act, H.R.
1873, would allow the self-employed to deduct their
health insurance premiums before calculating their
self-employment tax. This legislation could save a
sole proprietor 15.3 percent a year on the cost of
their health premiums.
At a time when the price of health insurance premiums
is skyrocketing - increasing an average of 13 percent
last year for the self-employed - this inequality
means the difference between having and not having
health insurance. These added costs are a key reason
why the self-employed and small-business people are
the majority of those without health insurance today.
SBA Reauthorization:
After the
Senate Committee on Small Business and
Entrepreneurship approved reauthorization of the
U.S. Small Business Administration on July 10 (S.
1375), the
House Small Business Committee took up the issue
last week. In more sweeping legislation (H.R.
2802), the House Committee voted to make several
changes to the federal agency, some of which would
help micro-businesses obtain federal procurement
contracts.
Paperwork Reduction:
The
Government Reform Subcommittee on Energy Policy,
Natural Resources and Regulatory Affairs and the
Small Business Subcommittee on Regulatory Reform and
Oversight held a joint hearing on paperwork
reduction for small businesses. The hearing examined
the progress the
Office of Management and Budget - which is tasked
with overseeing federal agencies - was making on
enforcing paperwork relief for small businesses. The
full Government Reform Committee is holding a
follow-up hearing again this week.
Read testimony from the hearing
Contradictory
Reports Released on Government Small Business Efforts
Two contradictory ratings on the federal government's
relationship with small businesses were released last week.
The U.S. Small Business Administration National Ombudsman
issued a report congratulating federal agencies for their
efforts in resolving complaints filed by small
business-owners regarding disputes about excessive
enforcement. However, House Democrats criticized the
Administration for not following through on President Bush's
2002 Small Business Agenda.
National Ombudsman
Michael Barrera's office receives complaints from
small-business owners who experience excessive federal
regulatory enforcement actions, such as repetitive audits or
investigations, excessive fines, penalties, threats,
retaliation or other unfair enforcement action by a federal
agency. In an annual report to Congress, Barrera details how
federal agencies respond to these complaints. That report is
available
here.
On the other hand, Ranking Member of the House Small
Business Committee, Rep. Nydia Velázquez (D-NY), joined her
Democratic committee colleagues in reporting that efforts by
federal agencies and the Bush administration to follow
through with the President's March 2002 small-business
agenda are stalled. The
progress report details a lack of accomplishment on goals such as regulatory
relief, access to federal contracting and health care.
If you have had interactions as a small-business owner with
a federal agency, tell us
your story.
Do any of these issues affect you? Visit the NASE Legislative
Action Center and “Tell Your
Small Business Story.” This will help the NASE understand -
on a personal level - how key legislative issues are affecting
your business and your bottom line.
For more information about any of the articles in
Washington Watch, contact Maureen Petron, NASE public
affairs manager, at (202) 466-2100 or
mpetron@nase.org.
|
|
