Congressional Overseers Eye Cuts in SBA Budget The new Republican majority on the House Small Business Committee has identified a hit list of programs that may be cut or killed to save money. “In particular, the Committee will assess whether reorganization and reassignment of employees to more critical functions at the SBA, such as procurement center representatives, will provide a more effective agency at assisting small businesses generate growth,” the committee said in a report adopted by voice vote on Jan. 26. SBA’s procurement center representatives, who are tasked with encouraging small business set-asides, have dwindled to just a few dozen, from more than 100 in past decades. Many large contracting shops have no on-site procurement center representative, and each PCR is typically are responsible for several contracting activities. They do most of their work electronically. The committee, under new chairman Sam Graves of Missouri, said it will also investigate the effectiveness of SBA’s government contracting programs; allegations of fraud in those programs; and the effectiveness of policies aimed at limiting contract bundling. The committee listed a dozen programs or offices that may be targeted for budget reductions or elimination: •Small Business Lending Fund (operated by the Treasury Department) •State Small Business Credit Initiative (operated by Treasury) •SBA’s Patriot Express Loan Program •SBA’s Express Loan Program •Drug-Free Workplace Program •SBA Office of Policy •SBA Regional Administrators •Office of Advocacy Regional Advocates •SBA district office deputy directors •SBA Office of International Trade •SBA Office of Native American Affairs The committee said some of those programs may be ineffective or duplicative. “The committee will focus particularly on streamlining and reorganizing of the agency’s operations to provide maximum assistance to small business owners,” the report stated. “Offices that primarily provide assistance or advice to headquarters staff that do not promote the interests of small businesses or protect the federal government as guarantor of loans will be recommended for cuts or elimination.” Leaders of the Senate Small Business Committee are also looking for budget-cutting ideas. In a letter to SBA Administrator Karen Mills, committee Chair Mary Landrieu, D-LA, and the ranking Republican, Olympia Snowe of Maine, asked for “recommendations for programs within the SBA that you believe could be eliminated or substantially reduced without undermining the SBA’s ability to serve the needs of small business owners.” The Senate committee plans a hearing this month on the issue.