House Appropriations Committee’s Proposed SBA Cuts Would Harm Small Businesses at a Time When Investment is Critical

“The U.S. House Committee on Appropriations' proposal to fund the Small Business Administration (SBA) at significantly less in FY25 than in FY24 is irresponsible, and sends the message that our government isn’t prepared to fully support the entrepreneurs and the businesses that make up 99.9% of our nation’s employers. These needless reductions in funding for entrepreneurial assistance programs would undermine small business growth at a time when continued investment in the SBA is needed to ensure that the recent, historic small business boom – representing over 17 million new business applications filed – is supported at a sustainable rate. 

What’s more, the House proposals to prohibit SBA from funding the Community Navigator Pilot Program established under the American Rescue Plan, and blocking SBA from supporting climate change initiatives, are short-sighted, politically motivated jabs that sacrifice small businesses as collateral damage in a partisan fight.

We know that budgets are sometimes trimmed for political rather than practical reasons, but it’s unacceptable to harm small businesses as part of an electoral strategy. The SBA’s reach, impact, and influence expanded quickly with the onset of the COVID-19 pandemic almost four years ago, and while many businesses have since recovered, the demand for SBA services remains high. That’s why we hope to see lawmakers stand up for critical small business support programs before these proposed cuts go any further in the legislative process.”