Dodd, DeLauro Hold Panel Discussion on Challenges Facing Conn. Small Businesses

CONTACT: Adriana Surfas (DeLauro) 202-225-3661 Bryan DeAngelis (Dodd) 202-224-5372

Milford, CT – Senator Chris Dodd, Chair of the Senate Banking Committee, and Congresswoman Rosa DeLauro, who serves on the Financial Services Appropriations Subcommittee, held a panel discussion on the challenges facing Connecticut's small businesses. Small businesses, which comprise the majority of business in Connecticut, have been deeply impacted by the financial and economic crises. The hearing represented an opportunity for small business owners and those assisting them to provide an assessment of the effectiveness of the federal government's action to date and recommendations as Congress considers further steps to shore up the economy.

Dodd and DeLauro heard from two panels during the discussion. The first panel focused in on the resources available as well as what is needed and included Donna Wertenbach, President and CEO of the Community Economic Development Fund; Dennis Brown, Vice-President of the Business Counseling, Connecticut Community Investment Corporation; and Bernard Sweeny, District Director of the U.S. Small Business Administration,. The second panel focused on the challenges Connecticut's small businesses owners face and was made up of Jonathan Tuminski, President/owner, Measure 4 Measure/Center for Green Building (Bridgeport); Marcia LaReau, owner, Forward Motion (Bloomfield); Kathy Alagno, President, Milford Chamber of Commerce; Armand Cantafio, owner, Northeast Electronics Corporation (Milford); David Rutigliano, owner SBC Restaurant (Milford)

"Small businesses are not only the engines of our economy but they were the businesses that led us out of the last recession. I am working on all fronts to help small businesses weather this economic storm and once again lead our state's economy back to prosperity. We held today's hearing to learn what more needs to be done. The small business owners that joined us today represent the talent and ingenuity that makes Connecticut such a great place to start a company. I plan to take the suggestions we heard back to Washington so that I can work on effective policies that keep these small businesses running and customers coming through the doors," said Dodd.

"With small businesses responsible for more than two-thirds of new job creation – they are the force behind America's great productivity, innovation and growth. – we must put small businesses center stage if we are to succeed in stemming job losses and turning our economy around," said DeLauro. "This moment is about making the strongest investment in our nation possible. That does not just mean immediate relief for those who have fallen out of work – although that is absolutely critical – but also long-term growth throughout our economy. That means providing strong supports and resources to our state's small business sector."

The American Recovery and Reinvestment Act has begun to build the framework for small businesses to survive and grow over the long term. It includes $720 million for Small Business Administration programs including new loan guarantee authorities to make loans more attractive to borrowers and lenders and to free up capital. Additionally, there is $100 million for Community Development Financial Institutions to help spur economic development and low-cost financial services in underserved communities.

Congress continues to work to strengthen the infrastructure to help new businesses get off the ground and keep current ones from going under. The omnibus appropriations bill included, among other things, $110 million for Small Business Development Centers, $12.9 million more than last year, to provide free or low-cost management assistance to small businesses that are customized to local conditions, and $22.5 million for small business microloans to provide loan subsidy and technical assistance to entrepreneurs.

On the path ahead, DeLauro added, "The new administration and new congress have begun to confront these challenges head-on. But these problems did not come about overnight and we are not going to solve them overnight either. We need a fundamentally new direction to get the economy back on track and that must include putting small businesses center stage."