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Small Business Group’s Response to President Obama’s State of the Union

In response to President Barack Obama’s State of the Union address, the nation’s leading organization dedicated to promoting entrepreneurship and protecting small business issued the following response:

“Entrepreneurs are heartened to hear that President Obama wants to make the U.S. the best place on earth to do business. Indeed, across the globe, nations are cutting taxes, simplifying their tax systems and reducing regulations to make it easier to start up and grow a business. Developed and emerging countries alike have quickly adapted to the competitive environment and are reaping rewards in their aggressive efforts to attract capital and business investment. President Obama has awoken to this realization, and mere rhetoric alone will not change the competitive dynamic. Entrepreneurs and investors must now see dramatic changes on the policy front. This means, immediately locking in a pro-growth tax system, restraining the regulatory tide that is sweeping over every sector of our economy and reducing government spending,” said Small Business & Entrepreneurship Council (SBE Council) President & CEO Karen Kerrigan.

SBE Council chief economist Raymond J. Keating added: “While the President’s pro-business rhetoric is encouraging, other specifics in his speech were disappointing. First, his explicit call for a tax increase on upper-income earners showed that he still fails to grasp that such a tax hike on entrepreneurs and investors would be bad for the economy. Second, his call, in effect, for higher taxes on oil companies in order to subsidize other energy sources reveals a desire for politics to overrule markets, with the result being higher costs in the end. And third, he took one step forward on trade, by urging Congress to approve the South Korea trade deal, but two steps back by failing to push ahead now with the Panama and Colombia accords.”

Kerrigan concluded: “We look forward to working with President Obama and Congress in the critical areas of reducing regulation and simplifying the tax system. Leadership and action are desperately needed on these issues if the U.S. is to become more competitive in the global economy. Furthermore, small business owners have substantive ideas for improving the health care overhaul bill that was enacted into law. We only hope the Administration will listen to our solutions this time around.”

SBE Council is a nonpartisan, nonprofit advocacy and research organization dedicated to protecting small business and promoting entrepreneurship.

Small Business Scorecard of the 111th Congress

Most members of Congress claim to support small business owners and entrepreneurs through their work on Capitol Hill. However, when it comes to how U.S. Senators and Representatives actually vote on legislation that impacts the profitability and survivability of small firms, their actions sometimes don’t match up to all the talk.

SBE Council recently released its “Small Business Scorecard for the 111th Congress” to get beyond the “talk” and posturing.

Despite small business opposition, measures that hurt entrepreneurship steadily advanced in the 111th Congress, including: a massive health care bill that increases taxes, compliance burdens and the cost of health coverage; tax hikes with the threat of more to come; new workplace mandates that bring uncertainty and the opportunity for increased legal action against small businesses; initiatives that will drive the cost of energy higher; and excessive spending that will drive the U.S. further into debt while increasing the likelihood that taxes will increase in the future.

SBE Council’s “Small Business Scorecard” shows how U.S. Senators and Representatives voted on legislation that impacts the profitability and survivability of small firms. Each member’s score is used to determine the state’s average score, and the states are then ranked by those scores.

Along with North Carolina, Ohio was ranked 22nd.

The top five states included Wyoming (#1), Oklahoma (#2), Idaho (#3), Nebraska (#4) and Utah (#5). The 5 most anti-small business states were Rhode Island (#50), Vermont (#49), Hawaii (#48), Connecticut (#47) and Massachussetts (#46).

For the 111th Congress, SBE Council scored members of the U.S. Senate on 27 key votes, and members of the U.S. House of Representatives on 22 votes. The following is a list of Ohio’s politicians and their scores.
U.S. Senators
Sherrod Brown (D) 4%
George Voinovich (R) 73%
U.S. House of Representatives
Steve Driehaus (D) 0%
Jean Schmidt (R) 100%
Michael R. Turner (R) 100%
Jim Jordan (R) 100%
Robert E. Latta (R) 100%
Charles A. Wilson (D) 5%
Steve Austria (R) 100%
John A. Boehner (R) 100%
Marcy Kaptur (D) 14%
Dennis J. Kucinich (D) 23%
Marcia L. Fudge (D) 5%
Patrick J. Tiberi (R) 100%
Betty Sutton (D) 0%
Steven C. LaTourette (R) 95%
Mary Jo Kilroy (D) 0%
John A. Boccieri (D) 5%
Tim Ryan (D) 0%
Zachary T. Space (D) 27%
SCORECARD KEY
Champion of the Entrepreneur: 90% – 100%
Advocate of the Entrepreneur: 80% – 89%
Friend of the Entrepreneur: 70% – 79%

To read the entire Small Business Scorecard for the 111th Congress, go to www.sbecouncil.org