House Budget Cuts Take Aim at Small Business

John Arensmeyer

John Arensmeyer

The $61 million in budget cuts passed by the House of Representatives in February would have some unfortunate consequences for the future of small businesses if enacted.

The legislation would block funding for implementation of healthcare reform—a blow to small businesses trying to get relief from the high cost of insurance. In especially shortsighted moves, it would strip funding from the EPA and the Department of Energy.

While we agree federal deficits are a major concern that need a long-term solution, the House’s cuts in areas such as job-training programs, loan guarantees for renewable-energy programs and scientific research are taking away the seed corn for the future of this country.

Removing the EPA’s funding and therefore its ability to enforce the Clean Air Act will stifle the job creation and innovation that are direct products of the law. It also would set back efforts to transition to clean energy—a sector of our economy that promises to create jobs and business for millions of entrepreneurs. Cutting programs that have a stimulative effect on the economy is not what we should be doing in a recession.

Budget decisions need to go beyond punching numbers into an equation to come up with a set dollar figure. They need to take into account what this country needs to grow, and most imporantly what will put America back to work.

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