Washington, September 10th -

Friends:

We’ve hearing a lot of rhetoric from Washington lately about the economy and job creation, but very little action.  This week, President Obama announced a new “stimulus” plan for the economy that includes $50 billion in infrastructure spending and an extension of the research and development tax credit for some businesses. Although the White House claims these initiatives could create jobs by early 2011, many believe that these costly proposals are too little effort, too late. 

It’s time to face facts: our economy shed more than 283,000 jobs over the summer and the national unemployment rate continues to creep toward ten percent.  Injecting more taxpayer dollars into our markets in an effort to spur growth is not the right plan, nor is providing a limited tax cut without a reduction in federal spending.

My Republican colleagues and I have put our full support behind a simple, two-point plan introduced by Republican Leader John Boehner (R-OH): freeze all current tax rates for two years and cut government spending to 2008 levels.  Now more than ever, we need to focus on common sense strategies that work for small businesses and families.  Leader Boehner’s proposal is simple, logical, and exactly what we need to encourage lasting economic growth.

I want to hear what you think needs to be done to spur our recovery.  Please take a moment to share your thoughts in our survey. Click here to participate.

News from the Small Business Committee:
(Please send any Member media activity to Alexandra.Haynes@mail.house.gov)

Ranking Member Sam Graves (R-MO) issued a statement supporting the GOP “Freeze and Cut” proposal.  He also released a statement on the August unemployment numbers.

Rep. Glenn Thompson (R-PA) visited TRS Technologies in State College, PA.

Rep. Blaine Luetkemeyer (R-MO) talked about the “Freeze and Cut” proposal on Radio America and released a statement.  Rep. Luetkemeyer also wrote an op-ed about federal spending and another on helping our economy recover.

Rep. Mike Coffman (R-CO) released a statement in support of the GOP “Freeze and Cut” proposal.  He also commented on the August unemployment numbers and hosted a small business tour in the 6th district of Colorado. 


Updates from Washington:
(Please send any Member initiatives related to small business and job creation to Paul.Sass@mail.house.gov)

• President Barack Obama has announced another “stimulus” plan that would spend $50 billion on our nation’s infrastructure.  The spending would be paid for by eliminating tax benefits for certain industries.  President Obama also proposed a permanent extension of the research and development tax credit and an initiative to temporarily expense 100 percent of new investments in equipment through 2011.  Additionally, the President offered to extend the 2001 and 2003 tax cuts for families making less than $250,000 per year.  However, he did not mention any plans to offset this limited tax relief with a reduction in federal spending, nor did he outline a legislative strategy to ensure these proposals are signed into law this year. You can read Republican concerns about the President’s economic proposals here.

• Next week, the Senate is expected to consider H.R. 5297, the Small Business Jobs and Credit Act.  This legislation would create a $30 billion fund to encourage banks to lend to small businesses; however, many unrelated items have been added to the legislation since it passed the House in June.  Republican support for the legislation has been limited due to concerns that this is another taxpayer bailout with no guarantee that the funds will actually go to small businesses.


News and Resources for Small Business Owners:

• Medicare's Office of the Chief Actuary released a report on rising health care costs under the new law. 

• The National Association of Manufacturers published a study entitled, “Labor Day 2010: The Impact of Anti-Labor Policies on Working Men and Women.”  

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