Jack Reed To Kelly Loeffler: How Are Helping Small Businesses Get Through This Current Period Of Change?

Forbes Breaking News

During Wednesday’s Senate Appropriations Committee hearing, Sen. Jack Reed (D-RI) questioned SBA Administrator Kelly Loeffler.

Transcript

00:00Thank you very much, Mr. Chairman, and thank you, Administrator.

00:04Earlier this month, you indicated that President Trump's tariffs will bring a period of change

00:10for small business, and I think that is right.

00:15Many, as I indicated in my opening statement, are very, very concerned about the cost of

00:21these tariffs.

00:23More than that, the National Federation of Independent Businesses in their monthly business

00:28indexes saw that small business confidence levels have dropped every month since President

00:33Trump took office, which indicates that small business people are not exactly feeling yet

00:42or even expecting many of the things you described.

00:47What are you doing right now to help businesses get through this period of change?

00:53Ranking Member Reed, thank you for your question.

00:58President Trump believes in the American worker and American industry.

01:00We have to have that back in this country, and the SBA is going to support him in those

01:04efforts completely because what we have seen across this country is a hollowing out of our

01:10productive capacity that didn't just cost us 7,000 factories.

01:14It cost us 5 million jobs in small towns where I grew up, where our union training center in

01:19a town of 600 closed.

01:21It was one of the last major employers.

01:23So, and that's as manufacturing jobs have left.

01:26We can never let that happen again, and we can never let it happen again that small businesses

01:31rely on the Chinese Communist Party for their productive supply.

01:35We can do better.

01:36That's why the SBA is looking to increase on-shoring through our lending programs, but also yesterday

01:41announced our Make On-Shoring Great Again portal that connects small businesses with 1 million

01:47suppliers across this country.

01:49As I've traveled from East Coast to West Coast, I have seen the incredible productive capacity

01:55and capabilities of our hardworking men and women in our factories across this country.

02:00And while the media narrative likes to say we can't make things in this country, I'm seeing

02:04it done in real time.

02:05And I'm seeing investment in these factories.

02:08I'm seeing a skilled workforce being created.

02:10I'm seeing jobs and economic opportunities.

02:12Just on the factory floor last week, I met a young man.

02:15He's 21 years old.

02:17He had been at the CNC, a machine operator, for two years.

02:21He just got married and bought a house.

02:23He has no student loan debt.

02:24He has a great future ahead of him as a skilled technician.

02:28And this is the new color boom that President Trump is going to bring to this country where

02:32we can make things in this country again, where we can export again.

02:36Well, we will have open export markets for small businesses who have 400 pages stacked

02:42against them in the U.S. Trade Reps report against our small businesses that no one has

02:47fought back on.

02:48And so I'm excited to see what's happening across this country.

02:51It's a manufacturing renaissance, and I'm grateful to President Trump.

02:55Well, thank you.

02:57It's going to take many years to reassure a significant number of businesses.

03:02And frankly, many small businesses will not be able to last that long unless SBA actively

03:09engages with them, helps them.

03:12And I hope you're appreciative of that point.

03:16And one of the major reasons we've had a diminution of our manufacturing was the NAFTA agreement,

03:22the CAFTA agreement, and the USMCA.

03:25And I opposed all those agreements.

03:28But it was both Republican and Democrats that passed them.

03:32We have to make up for that right now.

03:34And SBA has to be in the lead.

03:37You indicated that Doge is working with you, and you also indicated it's nonpartisan.

03:41Elon Musk is nonpartisan.

03:43Is that your conclusion?

03:44I'm really proud of the work we've done with our Doge team.

03:47No, no.

03:48I'm going to ask a specific question, Director.

03:49I know you've learned the filibuster in the United States Senate, and you've demonstrated

03:52it in here quite well.

03:53But is Elon Musk nonpartisan?

03:55Look, our Doge team is a group of young men who are supporting our efforts.

04:04And I call the shots at the SBA.

04:07I'm the one calling the shots at the SBA.

04:10And I appreciate the support I've gotten in terms of some of the quantitative work that

04:14I wanted done in analyzing the financial and operational metrics.

04:19And I have made all those decisions.

04:21And they're based on the business skills I learned over three decades.

04:26Does Doge have access to data of American small businesses?

04:32I can only speak to my team.

04:34My team are members of the Small Business Administration.

04:37And they comply with all the laws that apply to all small business employees.

04:42So they're not Doge people?

04:44They've been active?

04:45They are members of the Small Business Administration.

04:47They are hired members of the Small Business Administration?

04:49Correct.

04:50They're employees of the SBA.

04:51SBA.

04:52Temporary employees or?

04:55They're active and current employees.

04:59Have Doge reimbursed the SBA for any support they received from you?

05:06Senator, Chairman, Ranking Member, could you please clarify your question?

05:12Yeah.

05:13Doge goes in.

05:17They do quite a bit of work and encounter costs.

05:22Do they turn to you and ask to be reimbursed?

05:25Or what is the salaries typically of these young men?

05:28They are employees of the SBA.

05:33I can come back to you with regard to any compensation details as an employee, but I'd be happy to do

05:40that.

05:41I would appreciate that.

05:42Thank you, Nathan Trader, and I look forward to the second round.

Category

Transcript

Recommended