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FULL COMMITTEE MARKUP OF DISASTER RELIEF

AND IMPROVED ACCESS TO

CAPITAL LEGISLATION

H.R. 1361, H.R. 1332 AND H.R. 1468

COMMITTEE ON SMALL BUSINESS 

UNITED STATES HOUSE OF 

REPRESENTATIVES

ONE HUNDRED TENTH CONGRESS

FIRST SESSION

MARCH 15, 2007

Serial Number 110-8

Printed for the use of the Committee on Small Business

(

Available via the World Wide Web: http://www.access.gpo.gov/congress/house 

HOUSE COMMITTEE ON SMALL BUSINESS 

NYDIA M. VELA ́ ZQUEZ, New York, Chairwoman 

JUANITA MILLENDER-McDONALD, 

California 

WILLIAM JEFFERSON, Louisiana 

HEATH SHULER, North Carolina 

CHARLIE GONZA ́ LEZ, Texas 

RICK LARSEN, Washington 

RAUL GRIJALVA, Arizona 

MICHAEL MICHAUD, Maine 

MELISSA BEAN, Illinois 

HENRY CUELLAR, Texas 

DAN LIPINSKI, Illinois 

GWEN MOORE, Wisconsin 

JASON ALTMIRE, Pennsylvania 

BRUCE BRALEY, Iowa 

YVETTE CLARKE, New York 

BRAD ELLSWORTH, Indiana 

HANK JOHNSON, Georgia 

JOE SESTAK, Pennsylvania 

STEVE CHABOT, Ohio, Ranking Member 

ROSCOE BARTLETT, Maryland 

SAM GRAVES, Missouri 

TODD AKIN, Missouri 

BILL SHUSTER, Pennsylvania 

MARILYN MUSGRAVE, Colorado 

STEVE KING, Iowa 

JEFF FORTENBERRY, Nebraska 

LYNN WESTMORELAND, Georgia 

LOUIE GOHMERT, Texas 

DEAN HELLER, Nevada 

DAVID DAVIS, Tennessee 

MARY FALLIN, Oklahoma 

VERN BUCHANAN, Florida 

JIM JORDAN, Ohio 

MICHAEL DAY, Majority Staff Director 

ADAM MINEHARDT, Deputy Staff Director 

TIM SLATTERY, Chief Counsel 

KEVIN FITZPATRICK, Minority Staff Director

STANDING SUBCOMMITTEES 

Subcommittee on Finance and Tax 

MELISSA BEAN, Illinois, Chairwoman 

RAUL GRIJALVA, Arizona 

MICHAEL MICHAUD, Maine 

BRAD ELLSWORTH, Indiana 

HANK JOHNSON, Georgia 

JOE SESTAK, Pennsylvania 

DEAN HELLER, Nevada, Ranking 

BILL SHUSTER, Pennsylvania 

STEVE KING, Iowa 

VERN BUCHANAN, Florida 

JIM JORDAN, Ohio

Subcommittee on Contracting and Technology 

BRUCE BRALEY, IOWA, Chairman 

WILLIAM JEFFERSON, Louisiana 

HENRY CUELLAR, Texas 

GWEN MOORE, Wisconsin 

YVETTE CLARKE, New York 

JOE SESTAK, Pennsylvania 

DAVID DAVIS, Tennessee, Ranking 

ROSCOE BARTLETT, Maryland 

SAM GRAVES, Missouri 

TODD AKIN, Missouri 

MARY FALLIN, Oklahoma

(II) 

Subcommittee on Regulations, Health Care and Trade 

CHARLES GONZA ́ LEZ, Texas, Chairman 

WILLIAM JEFFERSON, Louisiana 

RICK LARSEN, Washington 

DAN LIPINSKI, Illinois 

MELISSA BEAN, Illinois 

GWEN MOORE, Wisconsin 

JASON ALTMIRE, Pennsylvania 

JOE SESTAK, Pennsylvania 

LYNN WESTMORELAND, Georgia, Ranking 

BILL SHUSTER, Pennsylvania 

STEVE KING, Iowa 

MARILYN MUSGRAVE, Colorado 

MARY FALLIN, Oklahoma 

VERN BUCHANAN, Florida 

JIM JORDAN, Ohio

Subcommittee on Urban and Rural Entrepreneurship 

HEATH SHULER, North Carolina, Chairman 

RICK LARSEN, Washington 

MICHAEL MICHAUD, Maine 

GWEN MOORE, Wisconsin 

YVETTE CLARKE, New York 

BRAD ELLSWORTH, Indiana 

HANK JOHNSON, Georgia 

JEFF FORTENBERRY, Nebraska, Ranking 

ROSCOE BARTLETT, Maryland 

MARILYN MUSGRAVE, Colorado 

DEAN HELLER, Nevada 

DAVID DAVIS, Tennessee

Subcommittee on Investigations and Oversight 

JASON ALTMIRE, PENNSYLVANIA, Chairman 

JUANITA MILLENDER-McDONALD, 

California 

CHARLIE GONZA ́ LEZ, Texas 

RAUL GRIJALVA, Arizona 

LOUIE GOHMERT, Texas, Ranking 

LYNN WESTMORELAND, Georgia

(III) 

C O N T E N T S 

OPENING STATEMENTS 

Page

Vela ́zquez, Hon. Nydia M. .......................................................................................1,3,5,8

Chabot, Hon. Steve ..................................................................................................2,4,5,10

Jefferson, Hon. William ........................................................................................... 4

Gonza ́lez, Hon. Charlie ........................................................................................... 6

Bean, Hon. Melissa .................................................................................................. 6

Fallin, Hon. Mary .................................................................................................... 8

APPENDIX 

Prepared Statements: 

Vela ́zquez, Hon. Nydia M. ....................................................................................... 30

Chabot, Hon. Steve .................................................................................................. 32

Graves, Hon. Sam .................................................................................................... 34

(V) 

(1)

FULL COMITTEE MARKUP ON 

DISASTER RELIEF AND IMPROVED ACCESS 

TO CAPITAL LEGISLATION 

H.R. 1361, H.R. 1332 AND H.R. 1468

THURSDAY, MARCH 15, 2007

U.S. HOUSE OF REPRESENTATIVES, 

COMMITTEE ON SMALL BUSINESS, 

Washington, DC. 

The Committee met, pursuant to call, at 10:00 a.m., in Room 

2360 Rayburn House Office Building, Hon. Nydia Vela ́zquez 

[Chairwoman of the Committee] presiding. 

Present: Representatives Vela ́zquez, Millender-McDonald, Jefferson, Shuler, Gonza ́lez, Larsen, Grijalva, Michaud, Bean, Cuellar, 

Lipinski, Moore, Altmire, Braley, Clarke, Ellsworth, Johnson, 

Sestak, Chabot, Bartlett, Graves, Akin, Musgrave, Fortenberry, 

Heller, Davis, Fallin, Buchanan and Jordan. 

OPENING STATEMENT OF CHAIRWOMAN VELA ́ ZQUEZ 

Chairwoman VELA ́ ZQUEZ. I call this meeting to order. Today’s 

order of business is the markup of legislation addressing three very 

different but important roles that the Small Business Administration plays: access to capital, disaster assistance, and contracting. 

This Committee has held a number of hearings on these topics, 

heard from small business owners as well as small business advocates. And these three bills address many of the issues brought up 

during those discussions. 

We did not agree on everything, but in the end, the conversations 

that we have had and issues discussed were helpful and productive. 

It is my hope that our Committee continues to work in this manner on our future legislative endeavors. There is no question that 

many small businesses were affected by Hurricane Katrina and 

that the SBA’s disaster response was in question. 

The RECOVER Act of 2007 requires that the SBA have a plan 

in place for such disasters and makes tools available to provide relief in a quicker, more efficient manner. I strongly believe the RECOVER Act of 2007 will help prevent a situation like what occurred after Hurricane Katrina from ever happening again. 

The devastation cost by Hurricane Katrina resulted in many 

small firms losing out on a great deal of revenue. The Disadvantaged Business Disaster Eligibility Act introduced by Mr. Jefferson 

gives more time to entrepreneurs who have been harmed by the 

Gulf Coast hurricanes to participate in federal contracts. 

2

The third bill, the Small Business Lending Improvements Act of 

2007, introduced by Ms. Bean and Mr. Chabot will reduce the financial and regulatory burden placed on small businesses. Most 

importantly, it will make loans more economical while providing 

long-term stability. 

With the adoption of these bills, we began work on bringing the 

Small Business Administration back to its original mission, providing entrepreneurs with competitive tools for today’s marketplace. 

There is no doubt that these programs are valuable for entrepreneurs. And today’s legislation will help ensure SBA will be the 

premier resource for our nation’s 26 million small businesses. 

I would now like to yield to the ranking member, Mr. Chabot, for 

his comments. 

OPENING STATEMENT OF MR. CHABOT 

Mr. CHABOT. Thank you very much, Madam Chairwoman. And 

I want to thank you for holding this important markup today to 

consider a number of bills, among them being an important bipartisan legislation that will improve and strengthen the primary 

lending programs of the Small Business Administration, the 7(a) 

and the 504 programs. 

In regards to this bill, the Small Business Lending Improvements Act of 2007, which is 1332, while many changes are suggested for the 7(a) loan program, I believe one of the most beneficial aspects of the program, its independence from appropriations, 

is also an aspect that deserves fierce protection. Nothing in H.R. 

1332 alters that principle. 

I do have one reservation about Title I of the bill. I am a little 

concerned that the SBA may have technical difficulties in adequately recalculating the fees to lenders and borrowers on a quarterly basis. Even with this reservation, I believe that the approach 

adopted in H.R. 1332 is the best means to have the SBA reduce 

fees to both borrowers and lenders in the 7(a) loan program. 

Title II of the bill provides much needed improvements to 

strengthen the certified development company program, improve 

its mission of community and local economic development, and 

lower the costs of the program through improved returns on liquidations of bad loans. 

H.R. 1332 is an important bill that deserves strong bipartisan 

support when it reaches the House floor. The other two bills, we 

will also have the opportunity to consider the RECOVER Act of 

2007, which is 1361. 

This bill is designed to improve the SBA’s response, one that was 

unacceptable, I think we all agree, in the aftermath of Hurricane 

Katrina to future natural disasters. 

I believe that this bill is well-intentioned and contains some policies that would improve the agency’s response in the future. For 

example, the legislation would improve coordination between the 

SBA and FEMA to reduce the loan processing time for disaster victims. 

However, despite some beneficial aspects of this legislation, I remain troubled by specific provisions related to grants, double compensation to disaster victims, and certain congressional reporting 

3

requirements, that they be on a monthly basis, rather than quarterly. I will be introducing some amendments to address these 

issues during the course of this markup. 

The final bill that we will be marking up is the Disadvantaged 

Business Eligibility Act. H.R. 1468 provides a common sense approach to the time limit problem, many 8(a) program participants 

who were located in Louisiana affected by Hurricane Katrina. 

The displacement associated with that hurricane certainly made 

it difficult for 8(a) program participants to operate their businesses 

and obtain federal government contracts. It seems equitable to extend their participation by 18 months. In addition, to simple fairness, the extension will help in the necessary recovery of the area. 

Finally, I would like to thank Chairwoman Vela ́zquez for incorporating a number of ideas proffered by myself and other Republican members of the Committee into some of the amendments that 

she will offer today. 

Clearly there are disagreements, especially concerning the most 

financially prudent means to respond to natural disasters. Nevertheless, her staff did not let these differences interfere with the 

sharing of ideas and legislative drafts needed to improve legislation. 

And while I expect other legislation to demonstrate principled 

disagreements on issues, I am hopeful that we can continue to have 

a frank and open discussion of legislation among members and between our respective staffs. I want to again commend you for working in a bipartisan manner. 

I yield back.

Chairwoman VELA ́ ZQUEZ. Thank you, Mr. Chabot. 

Do any other members wish to be recognized for the purpose of 

making a statement? 

[No response.] 

STATEMENT OF CHAIRWOMAN VELA ́ ZQUEZ ON H.R. 1468

Chairwoman VELA ́ ZQUEZ. Well, our first order of business is to 

consider H.R. 1468. 

Chairwoman VELA ́ ZQUEZ. That is the Disadvantaged Business 

Disaster Eligibility Act introduced by Representative Jefferson. 

This legislation allows 8(a) participants who have been impacted 

by Hurricane Katrina to have 18 more months in the program. 

This is not a significant amount of time, but it could play a major 

role in assuring that these businesses are able to participate in the 

rebuilding of their home states. 

There are fewer than 225 current and former 8(a) participants in 

the State of Louisiana that could be eligible for this assistance. As 

currently structured, the program is very limited as part of the 

length of time that companies are allowed to participate. In this 

way, it is unlike any other SBA procurement initiative. Others 

allow recertification in increments of three years. 

The 8(a) program is for nine years and nine years only. If a company fails at any point during this time, the individual owners may 

never be accepted into the program again. 

In this respect, the program is unprepared for catastrophic 

events, which not only force owners of participating businesses to 

4

evacuate their location but also to in many cases rebuild their companies from the ground up. That is why Mr. Jefferson’s bill is so 

important. This legislation is a common sense approach to resolve 

a problem that the 8(a) program is not currently structured to deal 

with. 

I close by urging members to support this bill as I intend to. I 

now recognize Mr. Chabot.

STATEMENT OF MR. CHABOT ON H.R. 1468

Mr. CHABOT. Thank you, Madam Chairwoman. I will be very 

brief. 

As I mentioned in my opening statement, I believe that this is 

a good piece of legislation. I think it is equitable to extend participation by 18 months. It seems like simple fairness to do that when 

one is considering the devastation that these people went through. 

And I would commend Mr. Jefferson for offering this legislation, 

would urge my colleagues to support it, and yield back my time. 

Chairwoman VELA ́ ZQUEZ. I recognize the bill’s sponsor, Mr. Jefferson, for a statement.

STATEMENT OF MR. JEFFERSON ON H.R. 1468

Mr. JEFFERSON. Thank you, Madam Chair. And thank you, Mr. 

Chabot. Particularly I appreciate the bipartisan approach to this. 

And there is no point in my adding to the explanations that have 

been made by you and the Chair Lady. 

I will simply say that many of the 8(a) firms back home are hoping to have a real chance at participating in the recovery of the 

area. This permits them an opportunity to be involved in bringing 

back their city and also into recovering the very fundamentals of 

that business. So it is pretty important. 

I thank the Committee for recognizing me. And I just urge the 

committee to adopt the bill. 

Chairwoman VELA ́ ZQUEZ. Thank you. 

Do any other members wish to be recognized on the bill? 

[No response.] 

Chairwoman VELA ́ ZQUEZ. The bill is now open for amendment at 

any time. Are there any amendments? 

[No response.] 

Chairwoman VELA ́ ZQUEZ. Seeing none, I move a Committee vote 

on final passage of H.R. 1468. All of those in favor say ‘‘Aye.’’

[Chorus of ‘‘Ayes.’’] 

Chairwoman VELA ́ ZQUEZ. All those opposed say ‘‘No.’’

[No response.] 

Chairwoman VELA ́ ZQUEZ. The bill is agreed to. I move that the 

bill be reported and the staff be directed to make any technical corrections prior to the filing of the bill. Without objection, so ordered. 

The next piece of legislation that the Committee will consider is 

the Small Business Lending Improvements Act of 2007.

5

STATEMENT OF CHAIRWOMAN VELA ́ ZQUEZ ON H.R. 1332

Chairwoman VELA ́ ZQUEZ. While small businesses are this nation’s economic drivers, accessing the capital they need to start and 

grow their firm is always challenging. SBA loan programs are essential for small businesses. There is no question there needs to be 

a decreasing cost and increasing access to these programs in underserved areas. 

The Small Business Lending Improvements Act of 2007 is a bipartisan effort introduced by Ms. Bean and Mr. Chabot. This bill 

will make loans more economical while providing long-term stability. 

H.R. 1332 will accomplish a number of important public policy 

initiatives. It will allow for veterans to be able to secure funds to 

start or expand their firms should they choose to from F.Y. 2005 

to F.Y. 2006. The number of loans to veterans steadily decline. 

With veterans returning from Iraq and Afghanistan, the need for 

affordable financing is more important than ever. After the commitment they have made to this country, it is important for us to 

show our commitment to their entrepreneur success. 

While enabling small businesses to thrive, H.R. 1332 would also 

positively impact the community. It provides incentives for medical 

professionals to locate to low-income areas. As we heard from one 

of the witnesses in last week’s hearing, Kathleen Roth from the 

American Dental Association in support of this legislation stated 

that those in under-served areas are especially in need of such a 

provision. 

One of the strengths of the Small Business Lending Improvements Act of 2007 is that it touches every aspect of the SBA lending initiatives. By making much needed and long overdue changes, 

it secures ties between local CDCs and the community. It also 

keeps the initiative affordable by enabling CDCs to improve the liquidation process, making fees reasonable. 

An important component of this bill is that it increases the access to capital for socially and economically disadvantaged small 

business owners and establishes a rural lender program to attract 

small lenders back into the program. 

Clearly the legislation under consideration today strengthens the 

SBA access to capital programs, giving small businesses the tools 

they need to be competitive and successful. It ensures SBA programs are the premier lending tool for entrepreneurs. And I strongly urge support of this bill. 

I would now like to yield to the ranking member, Mr. Chabot, 

and sponsor of the bill for his comments.

STATEMENT OF MR. CHABOT ON H.R. 1332

Mr. CHABOT. Thank you, Madam Chairman. I think you have 

summed up what the bill does very well. And we agree with your 

comments. So I won’t repeat them in order to save time here. 

I would note that one of our colleagues, Ms. Fallin from Oklahoma, does have an amendment to offer at the appropriate time. 

Thank you. I yield back. 

Chairwoman VELA ́ ZQUEZ. Mr. Gonza ́lez?

6

STATEMENT OF MR. GONZA ́ LEZ ON H.R. 1332

Mr. GONZA ́LEZ. Yes. I seek recognition at this time, Madam 

Chairwoman, to enter a colloquy with you regarding section 104 of 

the proposed bill. And the question would go, as I understand it—

Chairwoman VELA ́ ZQUEZ. The gentleman from Texas is recognized. 

Mr. GONZA ́LEZ. I’m sorry. Thank you very much, Madam Chair. 

Section 104, medical professionals in designated shortage area 

programs. And, of course, this is about loans to doctors and dentists in these designated areas. And what I wanted to make clear—

and I know this is a pet project of mine, and so I ask my colleagues 

to bear with me. But I wanted to make absolutely clear that the 

purpose of these loans could go again for the purchase and such 

and acquiring and obtaining health information technology because 

I would hate to think that these individuals in the under-served 

areas would be deprived of what no doubt will be one of the most 

necessary tools to health care professionals. 

Chairwoman VELA ́ ZQUEZ. The loans that are provided under this 

section of the bill can be used for the purposes mentioned by the 

gentleman. And I agree about importance of health information 

technology. I will make it clear that in the Committee report language on the bill, it states that these loans can be used for health 

IT. 

Those in under-served areas should have access to the best 

health care available. And it is clear that is the intent of the gentleman from Texas. 

Mr. GONZA ́LEZ. Thank you very much. I yield back.

Chairwoman VELA ́ ZQUEZ. And now I will recognize one of the 

sponsors of the bill, Ms. Bean, for an opening statement or a statement on the bill.

STATEMENT OF MS. BEAN ON H.R. 1332

Ms. BEAN. Thank you, Madam Chair. I want to thank Chairman 

Vela ́zquez and Ranking Member Chabot for scheduling today’s 

markup on the Small Business Lending Improvements Act of 2007, 

which I introduced earlier this month. 

The expedited consideration of this bill as well as the bipartisan 

support that it has received underscores the importance of ensuring access to capital to our small business community. 

Coming from a business background, I have a special appreciation for the need for entrepreneurs and small business owners to 

have access to affordable capital. That is why I have long been active in my support of measures to improve and expand SBA loan 

programs which offer low interest, long-term loans to business owners that many times wouldn’t qualify for assistance elsewhere. This 

bill is no exception. 

H.R. 1332 makes much needed changes to SBA’s lending initiatives and, most importantly, helps preserve the original intent of 

these programs to help make available affordable sources of financing. This is of particular importance as the cost of capital through 

these programs has risen rapidly over the last few years. This bill 

7

helps to reverse this trend and create long-term stability in the 

program in a fiscally sound way. 

In addition, H.R. 1332 addresses the need for lending in our 

rural communities by restoring the low doc program and by 

strengthening the 504 initiative, which is integral in stimulating 

economic development in communities throughout the nation. Together these initiatives will bring small lenders back into SBA’s 

lending programs and can spur economic development in areas that 

need it the most. 

Again, I commend this Committee under the leadership of Chairwoman Vela ́zquez for recognizing the importance of this legislation. 

Small businesses are the backbone of our economy driving domestic 

job growth. And their success as well as the success of our economy 

is dependent upon their ability to grow and expand. This legislation helps provide them with the fundamental tools to do just that. 

I urge your support of the bill. Thank you. And I yield back my 

time.

Chairwoman VELA ́ ZQUEZ. Do any other members wish to be recognized? 

[No response.] 

Chairwoman VELA ́ ZQUEZ. The Committee will now take up the 

manager’s amendment, which makes a series of technical changes. 

Chairwoman VELA ́ ZQUEZ. Section 103 will be amended to provide 

the SBA with additional flexibility that it needs to ensure that the 

community express program can achieve its mission of improving 

access to capital for socially and economically disadvantaged small 

business owners. 

Other changes were suggested by the minority and will revise 

Title II of the bill to ensure that the appropriate terminology is 

used in referring to the certified development, economic development, loan program. 

I urge adoption of the manager’s amendment. And I yield to the 

ranking member for his comments. 

Mr. CHABOT. Thank you, Madam Chair. We agree with the manager’s amendment. We appreciate your incorporating some of our 

suggestions in that and yield back the balance of my time. 

Chairwoman VELA ́ ZQUEZ. Thank you. Do any other members 

wish to be recognized? 

[No response.] 

Chairwoman VELA ́ ZQUEZ. If no further members wish to be recognized, we will move to the adoption of the manager’s amendment. 

All of those in favor say ‘‘Aye.’’

[Chorus of ‘‘Ayes.’’] 

Chairwoman VELA ́ ZQUEZ. All opposed say ‘‘Nay.’’

[No response.] 

Chairwoman VELA ́ ZQUEZ. The manager’s amendment is agreed. I 

ask unanimous consent that the text that is amended by the manager’s amendment be considered as the original text for the purposes of amendments. The bill will be open for amendment at any 

time. 

Are there any amendments? 

Mr. CHABOT. Madam Chairman? 

Chairwoman VELA ́ ZQUEZ. Yes? 

8

Mr. CHABOT. I believe Ms. Fallin has an amendment on our side. 

Chairwoman VELA ́ ZQUEZ. Ms. Fallin, you will be recognized. And 

I ask the Clerk to distribute the amendment.

STATEMENT OF MS. FALLIN ON H.R. 1332

Ms. FALLIN. Thank you, Madam Chairman, Chairman Vela ́zquez. 

I appreciate the time today. And thank you, Ranking Member 

Chabot for the opportunity to speak. 

I have an amendment on the floor that I would like to offer and 

then immediately withdraw. And it’s amendment H.R. 1332 that 

addresses the issue of certain franchises who, by all intents and 

purposes, are small businesses but not being allowed to receive the 

7(a) loans to do their affiliation with larger franchisers. 

The intention of the amendment of H.R. 1332 was to modify the 

SBA’s affiliation standard to allow a business that if it is affiliated 

with another business and, therefore, determined to be something 

other than small, to still be eligible for a loan if it had no financial 

recourse to its affiliates for repayment of any of its debt. 

And I understand, Ms. Chairman, that there are technical issues 

that need to be addressed. And I would appreciate the Chairwoman 

continuing to work with me and my staff in order to ensure the legislation comes to the House floor and contains language that would 

address this problem. 

Chairwoman VELA ́ ZQUEZ. I thank the gentle lady for withdrawing the amendment and also raising this important issue. I 

agree this is an issue that we need to address. And I will make a 

commitment that I will work with you and your staff on this matter before the bill is considered on the floor. 

Ms. FALLIN. Thank you, Ms. Chairman.

Chairwoman VELA ́ ZQUEZ. Any other amendments? 

[No response.] 

Chairwoman VELA ́ ZQUEZ. Seeing no further amendments, I move 

that the Committee vote on final passage of H.R. 1332. All of those 

in favor say ‘‘Aye.’’

[Chorus of ‘‘Ayes.’’] 

Chairwoman VELA ́ ZQUEZ. All those opposed say ‘‘No.’’

[No response.] 

Chairwoman VELA ́ ZQUEZ. The bill is agreed to. I move that the 

bill be reported as amended and the staff be directed to make any 

technical corrections prior to the filing of the bill.

STATEMENT OF CHAIRWOMAN VELA ́ ZQUEZ ON H.R. 1361

Our next order of business is to consider H.R. 1361, the RECOVER Act. 

Chairwoman VELA ́ ZQUEZ. The 2005 Gulf Coast hurricanes exposed numerous problems with the SBA ability to provide timely 

and effective assistance to small businesses devastated by a major 

disaster. In many instances, these problems could have been avoided through improved planning. 

Experts from small business and disaster readiness organizations, including James Lee Witt, the former Director of FEMA, has 

9

testified before this Committee that comprehensive disaster planning will enable SBA to provide timely assistance after a variety 

of different kinds of incidents. Many of the problems that SBA borrowers experience began with root causes, like failures to plan 

ahead for additional staff and space needs. 

The RECOVER Act provides for thorough disaster planning and 

directs the SBA to ensure that they are prepared for a wide range 

of disasters. 

This legislation also adds to the tools SBA can use to help small 

businesses who are facing difficult circumstances after a disaster. 

For many economically viable small businesses along the Gulf 

Coast, SBA loans and state-run programs were not the right solution. This legislation creates a grant program that will allow the 

SBA to help those businesses that could be successful contributors 

to their community’s recovery barring any need of an infusion of resources to get started again. 

This new grant program is carefully targeted and will enable 

small firms to grow stronger, hiring more employees, and giving 

back to their neighborhoods. Both Congressman Richard Baker and 

the National Black Chamber of Commerce made it clear in their 

testimony that this program has brought and gives support because 

it is vital to the recovery of the Gulf Coast. 

I recognize that there is a cost associated with the grant program 

proposed in this legislation. That cost has been carefully considered. And we took steps to ensure that it was as minimal as possible while still providing the assistance the Gulf region needs. 

The grant program is at the discretion of the SBA. If the agency—and I just want to make this clear. If the administrator and 

the agency decide that grants are not needed, then it does not have 

to provide those grants. 

In addition, the grant program is only for the major 2005 hurricanes. It does not create a permanent program going forward. 

Finally, based on specific criteria in the bill, only a small subset 

of those businesses affected by Hurricane Katrina, Rita, and Wilma 

will be able to actually receive a grant. 

This bill also creates a one-time program to resolve the problem 

with SBA coordination with state grants programs, specifically the 

road home grants. Again, this provision just applies to the major 

2005 hurricanes and does not create a permanent authority. 

The bill permits the administrator to exclude these forms of assistance, which in most cases are not duplicative when considering 

the total damages victims are contending with. The changes allow 

states and the federal government to work together to get as much 

assistance as needed to capitalize rebuilding to business owners as 

quickly as possible This measure, while limited, will remove an obstacle that has caused frustration and confusion. 

In response to concerns raised by borrowers who found themselves lost in the long processing system, the RECOVER Act creates a private lending program to supplement SBA’s lending in 

times of heightened demand. In addition, this bill also creates a 

short-term bridge loan to speed small loans to businesses and help 

them return to work faster. 

I urge my colleagues to consider the problems that small businesses have asked us to address and to support this important legVerDate 0ct 09 2002 17:16 Jan 22, 2008 Jkt 033615 PO 00000 Frm 00015 Fmt 6633 Sfmt 6633 G:\CLERK SB\HEARINGS\TRANSCRIPTS\33805.TXT LEANN
10

islation. It is essential that we take steps now to modernize and 

reform the SBA disaster program before the next Katrina hits. 

I now yield to Mr. Chabot.

STATEMENT OF MR. CHABOT ON H.R. 1332

Mr. CHABOT. Thank you very much, Madam Chairwoman. I will 

be brief. 

As I mentioned in my opening statement, I do believe that this 

bill is well-intentioned and contains some policies that would improve the agency’s response in the future; for example, requiring 

better coordination between FEMA and the Small Business Administration. We would be very supportive of that. And reducing the 

loan processing time for disaster victims I think also is very commendable. 

However, there are a number of aspects which we will be addressing in three amendments relative to the grants and also the 

double compensation to disaster victims and the congressional reporting requirements requiring that to be monthly reports back to 

Congress at a time when a disaster could be ongoing. And we are 

afraid that might slow our process down. 

So, for those reasons, we will be offering a few amendments at 

the appropriate time. And I yield back. Thank you. 

Chairwoman VELA ́ ZQUEZ. Thank you. 

Are there any other members who wish to be recognized? Yes, 

Mr. Akin? 

Mr. AKIN. Thank you, Madam Chair. I wanted to thank you for 

working with us and our staff on essentially what was a bill that 

we introduced the last year or two, which I believe you’ve got in 

your manager’s amendment, which is coming up. I just wanted to 

thank you for the bipartisan way that you worked with us. 

Chairwoman VELA ́ ZQUEZ. That’s correct. 

Mr. AKIN. And that is a provision which allows if somebody is in 

the Reserve and they may be a key player in a small business and, 

all of a sudden, they get a call that they are going to go East about 

8,000 miles, this is a way that we can try to give a little bit of protection in a loan that they can take to help cover their company 

in their absence. 

And I think that is important, particularly with the people that 

are on Reserve that are deployed now. And I thank you for working 

with us on that.

Chairwoman VELA ́ ZQUEZ. Thank you. 

Any other member who wishes to be recognized? 

[No response.] 

Chairwoman VELA ́ ZQUEZ. The Committee will now take up the 

manager’s amendment, which makes a series of changes that will 

achieve three goals. 

Chairwoman VELA ́ ZQUEZ. First, these changes will strengthen 

the underlying bill and will make disaster assistance more readily 

available to veterans. 

Second, these changes will help ensure that taxpayers’ dollars 

are used responsibly in assisting the most severely affected victims 

of the 2005 hurricanes. 

11

Finally, this manager’s amendment continues our efforts to 

achieve bipartisan cooperation and has been shared with and includes provisions from the minority. 

Section 101 will be amended to require that the comprehensive 

disaster response plan be developed and maintained by an individual with substantial knowledge in the field of disaster readiness 

and emergency response. This amendment will assure that the 

SBA’s disaster plan is developed with the knowledge and expertise 

that a skilled disaster planner can provide. 

Improving the SBA disaster program will require enhanced agency organization at the highest levels but should not result in increased bureaucracy. For these reasons, section 106 will be amended to clarify that the newly established director of disaster planning and the director of disaster lending should not directly result 

in an increase in the number of agency full-time employees. 

To ensure that the grant assistance only goes to the most needy 

small businesses and is only used to spur redevelopment in communities that have experienced a failure of market forces, section 

210 will be limited to businesses located in the communities that 

were most severely affected by Hurricanes Katrina, Rita, or Wilma. 

Additionally, section 211, which addresses the duplication of benefits by state grants programs, will be narrowed to only include disaster victims affected by Hurricanes Katrina, Rita, or Wilma. 

To make the disaster program more responsive to the needs of 

businesses affected by military deployments, a new provision will 

be added extending to one year the period during which a small 

business may apply for an economic injury loan as the result of an 

essential employee being deployed for military services. This provision will also enable these businesses to file a preliminary application so that the disaster assistance can be expedited when the employee is actually deployed. 

Taken together, these amendments make H.R. 1361 a more balanced and effective piece of legislation for ensuring that the SBA 

has the tools it needs to carry out its disaster assistance mission. 

I urge adoptions of the manager’s amendment. And I yield to the 

ranking member for his statement. 

Mr. CHABOT. Thank you, Madam Chairwoman. Once again, I will 

be brief. 

Because it narrows the scope of the applicability of the bill, we 

would be supportive of this. In addition to that, it includes a very 

welcome amendment by the gentleman from Missouri, Mr. Akin, 

which we think is a very good amendment. And so, for those reasons and others, we would welcome the manager’s amendment and 

support it. 

Chairwoman VELA ́ ZQUEZ. Thank you. Do any other members 

wish to be recognized? 

[No response.] 

Chairwoman VELA ́ ZQUEZ. If no further members wish to be recognized, we will move to the adoption of the manager’s amendment. 

All in favor say ‘‘Aye.’’

[Chorus of ‘‘Ayes.’’] 

Chairwoman VELA ́ ZQUEZ. All opposed say ‘‘Nay.’’

[No response.] 

12

Chairwoman VELA ́ ZQUEZ. The manager’s amendment is agreed 

to. 

I ask unanimous consent that the text as amended by the manager’s amendment be considered as the original text for the purposes of amendments. The bill will be open for amendment at any 

time. 

Are there any amendments? 

Mr. CHABOT. Madam Chair? 

Chairwoman VELA ́ ZQUEZ. Yes? Mr. Chabot, you will be recognized.

Mr. CHABOT. Thank you, Madam Chair. I have three amendments at the desk. I would like to start with amendment number 

15.[The amendment offered by Mr. Chabot follows:] 

Chairwoman VELA ́ ZQUEZ. The Clerk will report the amendment. 

The CLERK. An amendment is offered by Mr. Chabot of Ohio to 

strike section 210—

Chairwoman VELA ́ ZQUEZ. I ask unanimous consent to dispense 

the reading. Without objection, so ordered. 

Mr. CHABOT. Thank you, Madam Chairman. Move to strike the 

last word. 

Chairwoman VELA ́ ZQUEZ. The gentleman is recognized for five 

minutes. 

Mr. CHABOT. Thank you. 

Madam Chair, I offer an amendment to strike section 210 of H.R. 

1361, the bill that we are considering at this time. The grants are 

offered to those businesses that otherwise are not eligible for an 

SBA loan. 

In essence, this would authorize the administrator to give grants 

to businesses that the administrator determined would not have 

sufficient resources and prospects to repay a loan. I cannot in good 

conscience support that type of government spending. 

We also have heard that large sums of grant money have not 

been distributed to victims of Hurricane Katrina. And I think the 

Congress should figure that out before launching yet another program to offer grants. 

And, finally, history demonstrates that Congress passes special 

legislation to reply to disasters. And if grants are needed, they 

should be considered at that time, not in legislation designed to improve the overall capacity of the SBA to respond to all disasters. 

And, for those reasons, I would offer this amendment, urge my 

colleagues to support it, and yield back the balance of my time. 

Chairwoman VELA ́ ZQUEZ. Thank you. 

Let me just say, Mr. Chabot, what this grant does is that it gives 

the administrator a choice. He could decide whether or not to provide grants. It is a choice. It is not a mandate. And while I appreciate your concern for this issue, this amendment will eliminate an 

important tool for helping otherwise viable businesses rebuilt in 

the most devastated communities. These businesses need financial 

assistance that the disaster loan program cannot provide. 

This Committee is well-aware of the damage caused by the 2005 

hurricanes. Entire communities were destroyed. In many places, no 

homes, no businesses, no public institutions were left standing. In 

these circumstances, ordinary market forces cannot spur redevelopVerDate 0ct 09 2002 17:16 Jan 22, 2008 Jkt 033615 PO 00000 Frm 00018 Fmt 6633 Sfmt 6633 G:\CLERK SB\HEARINGS\TRANSCRIPTS\33805.TXT LEANN
13

ment. In these circumstances, there are no market forces because 

there are no businesses and there are no people. 

This Committee has heard victims and experts testify that the 

SBA’s current disaster loan program is inadequate to help victims 

in these circumstances. In this community, no small business 

owner is willing to risk what little they have for a loan to rebuild 

in a community where there are no homes for their customers, no 

school for their children, and no place to buy supplies for their 

businesses. 

Under these circumstances, the disaster assistance program cannot pursue a one size fits all approach. The SBA must have tools 

that are more responsive to victims’ needs. 

H.R. 1361 will provide the SBA with authority to administer a 

limited grant program to help the most severely affected small 

businesses damaged by Katrina. To ensure that the grant assistance only goes to the neediest small businesses and is only used 

to spur redevelopment in communities where market forces have 

failed, this legislation has been limited to very narrow circumstances. So this program has been narrowly tailored to ensure 

that the taxpayers’ dollars are spent in a responsible manner while 

providing vital support to the small businesses. 

So I urge members to oppose this amendment. Yes, Mr. 

Gonza ́lez, you are recognized. 

Mr. GONZA ́LEZ. Thank you, Madam Chair. 

I would oppose the amendment by Mr. Chabot. Let me explain 

why. Any of us who were present during the impassioned testimony by our colleague Representative Baker I think would understand that the relief that we are attempting to provide a specific 

area, victims of specific hurricanes is really extraordinary in many 

ways. 

Mr. Baker even pointed out himself that for the first time in his 

life, politically and otherwise, he realized there had to be extraordinary measures, both from the government and the private sector, 

to address the enormity of the problem and the challenge. Otherwise the rebuilding of New Orleans and the rest of the affected 

areas is not going to occur. 

So I appreciate Mr. Chabot’s good faith objection, philosophically 

and otherwise, to this particular provision. But I would ask that all 

of us would keep an open mind and be more flexible when it comes 

to specific circumstances that require extraordinary remedies. And 

if you want to classify this as extraordinary, that’s fine. But I think 

you are going to see this replicated in other pieces of legislation. 

And either we are truly dedicated to the proposition that we can 

address the aftermath of these hurricanes or we shouldn’t be introducing the legislation and giving false hope to the many people 

who are affected. 

And, with that, I would yield back? 

Chairwoman VELA ́ ZQUEZ. Any other member who seeks recognition? And I would ask to be very brief because I would like to take 

a vote before we go. 

Mr. JEFFERSON. Madam Chair? 

Chairwoman VELA ́ ZQUEZ. Mr. Buchanan? 

Mr. BUCHANAN. Yes. I would only like to support Mr. Chabot on 

this because in Florida, we have been hit by eight hurricanes in a 

14

period of two years, completely devastated a lot of our areas, like 

an area I represent. Charlie hit there. We still have tarps on building. Unless the federal assistance can be evenly handed, what right 

do we have to choose between winners and losers? 

And I just want to be careful about that because I think our governor of state has been prepared. In dealing with these disasters, 

I think Jeb Bush has done a great job, but we still have a lot of 

folks who need help down in those areas. In a lot of these areas, 

people are still waiting on assistance in Florida. So I want to duly 

note that. 

Mr. JEFFERSON. Madam Chair? 

Chairwoman VELA ́ ZQUEZ. Yes, Mr. Jefferson? 

Mr. JEFFERSON. If I might say briefly, the New Orleans experience was extraordinary. We lost 80 percent of our city under water. 

Twenty thousand businesses were lost. They lost records. Most of 

the small business people now who would attempt to go back are 

basically pioneers because the customers aren’t there. 

They are ineligible for loans in many cases because they can’t 

make the argument that you usually make pro forma when you 

gauge how many customers are going to be there to buy your product. It is impossible to do it. 

The SBA representative testified here that usually they approve 

60 percent of the loans that are made for after disasters. In this 

case, 38 percent were approved because of those reasons, some of 

which I have just mentioned. 

Chairwoman VELA ́ ZQUEZ. But, Mr.—

Mr. JEFFERSON. So I will just leave it here, Madam Chair, and 

urge the Committee to reject the amendment. 

Chairwoman VELA ́ ZQUEZ. If we are doing a grant program for 

Iraq business people, we can do it for the people of the Gulf Coast. 

Mr. Bartlett? 

Mr. BARTLETT. Thank you. Thank you, Madam Chair. I would 

like to yield my time to Mr. Chabot. 

Mr. CHABOT. Thank you. Thanks for yielding. I will be very brief. 

I just want to reiterate that what we are talking about, it has 

already been recognized that these are businesses that, in all likelihood, won’t be able to repay the loans. And when you are giving 

tax dollars out in something like this, I just think we have to be 

very prudent in our responsibility and how we handle those tax 

dollars. And I don’t think that is particularly prudent. 

The other thing is that also we know we have had testimony 

here that a lot of the money that is available out there hasn’t even 

been given out. And it is not really a matter of just throwing more 

money at the problem here. It is a matter of getting to the bottom 

of why the money hasn’t been distributed that has already been allocated for this. 

So I just think that this particular thing is unhelpful. And so I 

would ask for a vote on the amendment. 

Chairwoman VELA ́ ZQUEZ. The question is on the amendment offered by Mr. Chabot. All of those in favor say ‘‘Aye.’’

[Chorus of ‘‘Ayes.’’] 

Chairwoman VELA ́ ZQUEZ. All opposed say ‘‘No.’’

[Chorus of ‘‘Noes.’’] 

15

Chairwoman VELA ́ ZQUEZ. In the opinion of the Chair, the noes 

have it. 

Mr. CHABOT. Ask for a recorded vote. 

Chairwoman VELA ́ ZQUEZ. Yes, a recorded vote is requested. The 

Clerk shall call the roll. 

The CLERK. Ms. Vela ́zquez. 

Chairwoman VELA ́ ZQUEZ. No. 

The CLERK. Ms. Vela ́zquez votes no. Ms. Millender-McDonald. 

Ms. MILLENDER-MCDONALD. No. 

The CLERK. Ms. Millender-McDonald votes no. Mr. Jefferson. 

Mr. JEFFERSON. No. 

The CLERK. Mr. Jefferson votes no. Mr. Shuler. 

Mr. SHULER. No. 

The CLERK. Mr. Shuler votes no. Mr. Gonza ́lez. 

Mr. GONZA ́LEZ. No. 

The CLERK. Mr. Gonza ́lez votes no. Mr. Larsen. 

Mr. LARSEN. No. 

The CLERK. Mr. Larsen votes no. Mr. Grijalva. 

Mr. GRIJALVA. No. 

The CLERK. Mr. Grijalva votes no. Mr. Michaud. 

Mr. MICHAUD. No. 

The CLERK. Mr. Michaud votes no. Ms. Bean. 

[No response.] 

The CLERK. Mr. Cuellar. 

Mr. CUELLAR. No. 

The CLERK. Mr. Cuellar votes no. Mr. Lipinski. 

Mr. LIPINSKI. No. 

The CLERK. Mr. Lipinski votes no. Ms. Moore. 

[No response.] 

The CLERK. Mr. Altmire. 

Mr. ALTMIRE. No. 

The CLERK. Mr. Altmire votes no. Mr. Braley. 

Mr. BRALEY. No. 

The CLERK. Mr. Braley votes no. Ms. Clarke. 

Ms. CLARKE. No. 

The CLERK. Ms. Clarke votes no. Mr. Ellsworth. 

Mr. ELLSWORTH. No. 

The CLERK. Mr. Ellsworth votes no. Mr. Johnson. 

Mr. JOHNSON. No. 

The CLERK. Mr. Johnson votes no. Mr. Sestak. 

Mr. SESTAK. No. 

The CLERK. Mr. Sestak votes no. Ms. Moore. 

Ms. MOORE. No. 

The CLERK. Ms. Moore votes no. Mr. Chabot. 

Mr. CHABOT. Aye. 

The CLERK. Mr. Chabot votes yes. Mr. Bartlett. 

Mr. BARTLETT. Yes. 

The CLERK. Mr. Bartlett votes yes. Mr. Graves. 

Mr. GRAVES. Yes. 

The CLERK. Mr. Graves votes yes. Mr. Akin. 

Mr. AKIN. Yes. 

The CLERK. Mr. Akin votes yes. Mr. Shuster. 

[No response.] 

The CLERK. Ms. Musgrave. 

16

Ms. MUSGRAVE. Yes. 

The CLERK. Ms. Musgrave votes yes. Mr. King. 

[No response.] 

The CLERK. Mr. Fortenberry. 

Mr. FORTENBERRY. Yes. 

The CLERK. Mr. Fortenberry votes yes. Mr. Westmoreland. 

[No response.] 

The CLERK. Mr. Gohmert. 

[No response.] 

The CLERK. Mr. Heller. 

[No response.] 

The CLERK. Mr. David Davis. 

Mr. DAVIS. Yes. 

The CLERK. Mr. Davis votes yes. Ms. Fallin. 

Ms. FALLIN. Yes. 

The CLERK. Ms. Fallin votes yes. Mr. Buchanan. 

Mr. BUCHANAN. Yes. 

The CLERK. Mr. Buchanan votes yes. Mr. Jordan. 

Mr. JORDAN. Yes. 

The CLERK. Mr. Jordan votes yes. 

Chairwoman VELA ́ ZQUEZ. The Clerk will report the vote. 

The CLERK. Madam Chair, there are 10 yes votes and 17 no 

votes. 

Chairwoman VELA ́ ZQUEZ.The amendment is not agreed to. And 

we will take a recess and go to the House and vote and then come 

back here. Thank you. 

[Brief recess.] 

Chairwoman VELA ́ ZQUEZ. This hearing will come back to order. 

I recognize Mr. Chabot for the purpose of offering his amendment. 

Mr. CHABOT. Thank you, Madam Chair. I would move to have an 

amendment at the desk, number 16. 

Chairwoman VELA ́ ZQUEZ. The Clerk will report the amendment. 

The CLERK. An amendment is offered by Mr. Chabot of Ohio to 

strike section 211 of H.R.—

Chairwoman VELA ́ ZQUEZ. I ask unanimous consent to dispense 

with the reading. 

Mr. CHABOT. I move to strike the last word. 

Chairwoman VELA ́ ZQUEZ. The gentleman is recognized for five 

minutes. 

Mr. CHABOT. Thank you, Madam Chair. And again I’ll be brief. 

I certainly empathize with those who suffered as a result of Hurricane Katrina. I know that we all do. We heard many stories in 

committee about the devastation that was reaped there. However, 

those who suffered should not be compensated twice. 

And, as I understand H.R. 1361, it prohibits the SBA from counting grants as a duplication of benefits. Under the bill, an applicant 

for an SBA disaster loan also could receive a grant from some other 

source. Both would have been offered as compensation for damages. 

And a strong possibility exists that the individual would have received compensation, once in a grant and once in a low-cost loan 

twice for the same injury. We certainly don’t allow that in our 

courts. And I think in good conscience, we shouldn’t here. And, 

therefore, I can’t support it. 

17

And so I offer this amendment on that one narrow issue. And I 

yield back. 

Chairwoman VELA ́ ZQUEZ. Thank you. Let me just say again this 

grant is optional. It gives the authority to the administrator. And 

he will decide whether or not to issue waivers. 

Let me talk about the road home grant. This was developed primarily for housing assistance. We shouldn’t penalize a small business owner for needing assistance for both their home and businesses. 

So if a person in Louisiana lost his home, he cannot access any 

grant to rebuild his home because he also lost his business. And 

so he will have to make a choice whether he goes for a small business loan for his business or a road grant to rebuild his home. 

Well, if he doesn’t have a business, why does he want to rebuild 

his home if he can pay or sustain his business to help him? 

The adoption of this amendment will put a small business owner 

in the predicament of having to choose between repairing their 

home and repairing their business. And this is not a situation that 

we should put them in. 

Let me remind you that Mr. Baker came here. And he testified. 

And he made it clear that there was not duplication of benefits for 

victims who receive no assistance in the first place. 

So I will urge my colleagues to vote no on this amendment. And 

any members who will seek recognition? Mr. Jefferson? 

Mr. JEFFERSON. Thank you, Madam Chair Lady. I want to subscribe to your remarks and to say that it is even more complicated 

than that in some respects because people back home now—remember, we lost 220,000 houses back home. 

For small business people, when they go into business, the home 

is usually the collateral for the loan. And most of them now have 

to pay their mortgage in addition to seeking new sources of support 

to get back in the house and back in the business. 

So assume you are a person who had a business and a loan on 

it, your house collateralized it, and your home flooded. What you 

do now is your home mortgage still stays there. You don’t get away 

from that. You still must pay that. 

So you go to the SBA. And you don’t qualify for as much as you 

as need to build back your house because you still have this outstanding requirement to pay your home mortgage. So you always 

fall short on the SBA. So there is very little chance of a duplication 

occurring here because you aren’t going to usually make it to that 

point. 

And so the way the bill is tailored I think, as the Chair Lady has 

said, there is a lot of discretion with the secretary. There is a very 

limited opportunity here for any such problem spoken of here. And 

on the up side, for the most part, this is going to be extraordinarily 

helpful to the recovery. 

And I appreciate this conclusion in the bill. And I will join the 

Chair Lady in objecting to this amendment’s adoption. 

Chairwoman VELA ́ ZQUEZ. Does any other member seek recognition on this amendment? Mr. Akin? 

Mr. AKIN. Madam Chair, would it be all right to inquire of the 

maker of the amendment? I am just curious. Is this theoretically 

somebody could get a state grant, somebody could get a federal 

18

grant, and it could be both grants for the same thing? Is that correct? 

Chairwoman VELA ́ ZQUEZ. No. The state grant, in this case the 

road grant, will be for rebuilding their homes. And the business 

grant will be to help rebuild their businesses. 

Mr. Chabot? 

Mr. CHABOT. My understanding is that yes, that is possible. Now, 

before it gets to the floor, we can get more clarification on that. But 

it is my understanding that is possible. 

Mr. AKIN. So this is to prevent double dipping, is what you are 

trying to do? 

Mr. CHABOT. That’s correct, yes. Again, if any of these things 

come up, we can always get clarification prior to the floor. But that 

is the reason for offering the amendment, that we’re trying to be 

as prudent as possible with limited tax dollars and to avoid double 

dipping, which isn’t fair to the taxpayer. 

Mr. AKIN. If somebody had a home, would they have flood insurance on that? So would insurance have covered that or was that 

couldn’t you get flood insurance down there? 

Mr. CHABOT. Would the gentleman yield? 

Mr. AKIN. Yes. 

Mr. CHABOT. Well, certainly it is possible. Many people had. A 

lot of people didn’t have flood insurance either. And you couldn’t 

double dip in that circumstance. But under this, perhaps you could. 

Mr. AKIN. Thank you. Thank you, Madam Chair. 

Chairwoman VELA ́ ZQUEZ. Any other member who seeks recognition on this amendment? 

[No response.] 

Chairwoman VELA ́ ZQUEZ. Well, the question is on the amendment offered by Mr. Chabot. All of those in favor say ‘‘Aye.’’

[Chorus of ‘‘Ayes.’’] 

Chairwoman VELA ́ ZQUEZ. All opposed say ‘‘No.’’

[Chorus of ‘‘Noes.’’] 

Chairwoman VELA ́ ZQUEZ. In the opinion of the Chair, the noes 

have it. 

Mr. CHABOT. Madam Chair, ask for a recorded vote. 

Chairwoman VELA ́ ZQUEZ. The Clerk shall call the roll. 

The CLERK. Ms. Vela ́zquez. 

Chairwoman VELA ́ ZQUEZ. No. 

The CLERK. Ms. Vela ́zquez votes no. Ms. Millender-McDonald. 

Ms. MILLENDER-MCDONALD. No. 

The CLERK. Ms. Millender-McDonald votes no. Mr. Jefferson. Mr. 

Jefferson. 

Mr. JEFFERSON. No. 

The CLERK. Mr. Jefferson votes no. Mr. Shuler. 

[No response.] 

The CLERK. Mr. Gonza ́lez. 

Mr. GONZA ́LEZ. No. 

The CLERK. Mr. Gonza ́lez votes no. Mr. Larsen. 

[No response.] 

The CLERK. Mr. Grijalva. 

Mr. GRIJALVA. No. 

The CLERK. Mr. Grijalva votes no. Mr. Michaud. 

Mr. MICHAUD. No. 

19

The CLERK. Mr. Michaud votes no. Ms. Bean. 

Ms. BEAN.. No. 

The CLERK. Ms. Bean votes no. Mr. Cuellar. 

Mr. CUELLAR. No. 

The CLERK. Mr. Cuellar votes no. Mr. Lipinski. 

[No response.] 

The CLERK. Ms. Moore. 

[No response.] 

The CLERK. Mr. Altmire. 

[No response.] 

The CLERK. Mr. Braley. 

Mr. BRALEY. No. 

The CLERK. Mr. Braley votes no. Ms. Clarke. 

Ms. CLARKE. No. 

The CLERK. Ms. Clarke votes no. Mr. Ellsworth. 

Mr. ELLSWORTH. No. 

The CLERK. Mr. Ellsworth votes no. Mr. Johnson. 

[No response.] 

The CLERK. Mr. Sestak. 

[No response.] 

The CLERK. Mr. Shuler. 

Mr. SHULER. No. 

[No response.] 

The CLERK. Mr. Shuler votes no. Ms. Moore. 

Ms. MOORE. A question, please. Sorry. 

[Laughter.] 

Ms. MOORE. No. 

The CLERK. Ms. Moore votes no. Mr. Chabot. 

Mr. CHABOT. Aye. 

The CLERK. Mr. Chabot votes yes. Mr. Bartlett. 

Mr. BARTLETT. Yes. 

The CLERK. Mr. Bartlett votes yes. Mr. Graves. 

[No response.] 

The CLERK. Mr. Akin. 

Mr. AKIN. Aye. 

The CLERK. Mr. Akin votes yes. Mr. Shuster. 

[No response.] 

The CLERK. Ms. Musgrave. 

Ms. MUSGRAVE. Yes. 

The CLERK. Ms. Musgrave votes yes. Mr. King. 

[No response.] 

The CLERK. Mr. Fortenberry. 

Mr. FORTENBERRY. Yes. 

The CLERK. Mr. Fortenberry votes yes. Mr. Westmoreland. 

[No response.] 

The CLERK. Mr. Gohmert. 

[No response.] 

The CLERK. Mr. Heller. 

Mr. HELLER.. Yes. 

The CLERK. Mr. Heller votes yes. Mr. David Davis. 

Mr. DAVIS. Yes. 

The CLERK. Mr. Davis votes yes. Ms. Fallin. 

[No response.] 

The CLERK. Mr. Buchanan. 

20

[No response.] 

The CLERK. Mr. Jordan. 

[No response.] 

The CLERK. Mr. Larsen. 

Mr. LARSEN. No. 

The CLERK. Mr. Larsen votes no. 

Chairwoman VELA ́ ZQUEZ. The Clerk will report the vote. 

The CLERK. Madam Chair, there are 14 no and 7 yes. 

Chairwoman VELA ́ ZQUEZ. The amendment is not agreed to. 

Mr. CHABOT. Madam Chair? 

Chairwoman VELA ́ ZQUEZ. Yes, Mr. Chabot? 

Mr. CHABOT. Thank you. I have one additional amendment at the 

desk, amendment 17.[The amendment offered by Mr. Chabot follows:] 

Chairwoman VELA ́ ZQUEZ. The Clerk will report the amendment. 

The CLERK. Mr. Chabot from Ohio has offered an amendment to 

on page 26 of H.R. 1361 to stroke—

Chairwoman VELA ́ ZQUEZ. I ask unanimous consent that the 

amendment be considered as read. 

Mr. CHABOT. Thank you, Madam Chair. Move to strike the last 

word. 

Chairwoman VELA ́ ZQUEZ. The gentleman is recognized for five 

minutes. 

Mr. CHABOT. Thank you again. And I will try to be brief. 

I certainly understand the need for Congress to be informed of 

how Executive Branch agencies are carrying out their statutory 

mandates. That requires these agencies to report to Congress to report to us. 

Given the recent history of the SBA, it certainly makes sense to 

have the agency report annually to Congress on its disaster response. However, the bill also requires the administrator to report 

monthly during an incident of national significance. 

Given this Committee’s complaint that the SBA’s disaster response, it seems somewhat illogical to divert resources, even small 

amounts, from the pressing disasters, those that rise to the level 

of an incident of national significance. I just think it doesn’t make 

sense to require a monthly type of report at a time when their full 

resources ought to be devoted to addressing the disaster and helping those who really need the help. 

So, for that reason, I would urge passage of this amendment and 

yield back the balance of my time. 

Chairwoman VELA ́ ZQUEZ. I will oppose this amendment. And, 

Mr. Chabot, I understand your concern about the burden that it 

might impose, but let me be clear. This amendment has no burden 

on SBA. These are reports that they produce in a daily basis. 

After Katrina, this Committee under the previous administrator, 

we held so many hearings. Hector Barreto came before this Committee and told us that everything was fine, that nothing was creating any problems in terms of the disaster relief that they were 

providing to the victims of Katrina. 

And report after report, paper after paper in this country, victims 

spoke about the inefficiency coming out of SBA. In hearings after 

hearings, Katrina, the SBA told this Committee that everything 

was fine. 

21

Let me just say what this means is oversight. And the problems 

that we saw during Katrina and the lack and inadequate response 

that came out of SBA was a result of the lack of oversight coming 

out of this Committee. And that is not going to happen anymore. 

So this agency in its oversight, especially during major disaster, 

the American public and the American people, they need to know 

that the federal government will do everything they can to provide 

the assistance that we promise to them and that we committed to 

provide. 

Mr. CHABOT. Would the gentle lady yield? 

Chairwoman VELA ́ ZQUEZ. Sure. 

Mr. CHABOT. Okay. I thank the gentle lady for yielding. And, 

again, I will be very brief. 

I would just note that, even though it is a written report that the 

administrator has to put together, I think the time and effort that 

goes into that and the time of people underneath the administrator 

to do that does take some considerable period of time. And so I 

think that monthly is just too often. 

Chairwoman VELA ́ ZQUEZ. I respectfully disagree with the gentleman. You know quite well that the DCMNS generates this data 

on a daily basis, that if they have a disaster plan in place, there 

has to be communication between the administrator and the director of the disaster relief effort, that this communication and information that they share is all we are asking them to provide to us. 

So this provision has no cost. This provision doesn’t impose any 

burden upon the work that the SBA and the administrator have to 

provide. 

If any other member wishes to seek recognition? Yes? 

Mr. ELLSWORTH. Madam Chair? 

Chairwoman VELA ́ ZQUEZ. Mr. Ellsworth? 

Mr. ELLSWORTH. As someone who has been through a natural 

disaster not nearly the size of Katrina, but certainly in our community it was devastating, this was something that required a report 

in the days when we were talking about food, medicine, and shelter, I could agree. 

But in this world of mass media, they are asking us questions 

immediately and for reports and expect us to know that. So I don’t 

think a 30-day report is too much to ask when we are asked the 

questions when we go back home. 

So I would not support this amendment. 

Chairwoman VELA ́ ZQUEZ. Any other member wish to be recognized? 

[No response.] 

Chairwoman VELA ́ ZQUEZ. The question is on the amendment offered by Mr. Chabot. All of those in favor say ‘‘Aye.’’

[Chorus of ‘‘Ayes.’’] 

Chairwoman VELA ́ ZQUEZ. All those opposed say ‘‘No.’’

[Chorus of ‘‘Noes.’’] 

Chairwoman VELA ́ ZQUEZ. In the opinion of the Chair, the noes 

have it. The amendment is not agreed to. 

If there is any other member who wishes to be recognized for the 

purpose of any amendment? Mr. Michaud? 

22

Mr. MICHAUD. Thank you very much, Madam Chair. I have an 

amendment at the desk numbered—[The amendment offered by 

Mr. Michaud follows:] 

Chairwoman VELA ́ ZQUEZ. The Clerk will report the amendment. 

The CLERK. An amendment is offered by Mr. Michaud of Maine 

at the end of Title II to add the following, section 216, ‘‘Economic 

Injury’’—

Chairwoman VELA ́ ZQUEZ. We ask unanimous consent that the 

amendment be considered as read. Without objection, so ordered. 

The gentleman is recognized for five minutes to discuss his amendment. 

Mr. MICHAUD. Thank you, Madam Chair. 

The RECOVER Act is a great bill that makes a lot of needed 

changes to the SBA disaster planning and assistance program. I 

want to thank you and Mr. Chabot for having this markup today. 

As you know, the SBA makes economic injury disaster loans to 

small businesses that have been adversely affected by specific disaster events. Last year SBA was newly authorized to provide these 

loans in cases of drought. My amendment simply adds the lack of 

snowfall as a category eligible for economic injury disaster loan assistance. 

Small community and businesses in the State of Maine, in the 

north part of the state, and other states depend on winter tourism 

traffic and other weekend outdoor activities. The lack of snowfall 

can severely threaten their well-being. And, unfortunately, these 

businesses cannot qualify currently under SBA authority for 

drought assistance since lack of snowfall doesn’t meet the criteria 

of drought assistance. 

My amendment simply offers equal treatment for small businesses affected by the lack of snowfall that are currently falling 

through the cracks. I hope the Committee will accept the amendment. 

I yield back, Madam Chair. 

Chairwoman VELA ́ ZQUEZ. Does anyone else seek to be recognized 

on this amendment? 

Mr. CHABOT. Madam Chair? 

Chairwoman VELA ́ ZQUEZ. Mr. Chabot? 

Mr. CHABOT. Thank you, Madam Chair. I move opposition of this 

particular amendment. 

Chairwoman VELA ́ ZQUEZ. The gentleman is recognized for five 

minutes. 

Mr. CHABOT. Thank you. 

The concept behind this amendment is to address the problem of 

lack of snowfall in areas that rely on providing winter sports recreation. There are a number of problems with this amendment in my 

view. 

First, how does one measure the lack of snowfall, especially in 

ski areas that can make snow? 

Second, a lack of snowfall in areas actually affects all businesses, 

including those that sell winter sports equipment, even if they are 

not located in the area hit by a lack of snowfall. Should those businesses be eligible? And if not, why should only businesses located 

in an area with lack of snowfall be subject to the disaster declaration? 

23

Thirdly, how does one determine the scope of the area? What 

happens if some facilities can make snow and others cannot? 

Should the federal government declare a disaster area because of 

lack of investment, for example? Does this mean that recreational 

areas without snow-making equipment can apply for a disaster 

mitigation loan to purchase such equipment? 

Fourth, would a place that people who winter to avoid harsh 

snow conditions be able to apply for a disaster loan because people 

did not travel to avoid snow because of the lack of snow in other 

areas? In other words, would parts of Florida be able to claim a 

natural disaster for the lack of snow in the Northeast because it 

cut down on the number of individuals vacationing in Florida to 

avoid winter weather? 

Obviously you could go on and on with this. So I just think there 

is too much mischief possible in this particular amendment and 

would strongly urge my colleagues to oppose it and yield back the 

balance of my time. 

Chairwoman VELA ́ ZQUEZ. Thank you. 

Well, what I see here is another instance of language within the 

Small Business Act being too restrictive for many small businesses 

in need of assistance. And it will be important that we look at 

areas of improvement within the act as we continue our work on 

the reauthorization of the Small Business Administration statute. 

So given that fact, I just would ask the members of the Committee to support this amendment. 

Yes, Mr. Fortenberry? 

Mr. FORTENBERRY. Madam Chairwoman, I actually intended to 

support the underlying bill. However, if this amendment passes, I 

will not because throwing open the door this wide with limited ability to define or these definitions being so broad in their scope and 

with, actually, a limited ability to have a clear definition here, it 

would be just as easy for me to put in a lack of rainfall as an 

amendment to this one. 

And then suddenly the narrow scope of this bill, which I think 

has some very good provisions that I intend to support, in spite of 

some concerns brought up by the ranking member, this would in 

my view undermine the very purposes, again, of the narrow tailoring of the larger bill. 

I yield back. 

Chairwoman VELA ́ ZQUEZ. Does anyone else seek recognition on 

this amendment? Mr. Michaud? 

Mr. MICHAUD. Yes. Thank you. Just to address the concerns that 

were raised, there is a process that you have to go to through, the 

government would have to go through, as far as declaring a natural 

disaster. And the process is already in the statute. And this would 

follow through for that same process. 

So I don’t envision it to open up a wide door. This definitely has 

affected a lot of small businesses in Maine because of the lack of 

snow. And I would encourage my members to support it because 

there is a process already in place to declare a natural disaster. 

And I just want to include snowfall in that. 

Thank you. 

Chairwoman VELA ́ ZQUEZ. Any other member who wishes to be 

recognized? 

24

[No response.] 

Chairwoman VELA ́ ZQUEZ. The question is on the amendment offered by Mr. Michaud. All of those in favor say ‘‘Aye.’’

[Chorus of ‘‘Ayes.’’] 

Chairwoman VELA ́ ZQUEZ. All those opposed say ‘‘No.’’

[Chorus of ‘‘Noes.’’] 

Chairwoman VELA ́ ZQUEZ. In the opinion of the Chair, the ayes 

have it. 

Mr. MICHAUD. Madam Chair? 

Chairwoman VELA ́ ZQUEZ. Yes? 

Mr. MICHAUD. Ask for a recorded vote on it. 

Chairwoman VELA ́ ZQUEZ. A recorded vote is requested. The Clerk 

will call the vote. 

The CLERK. Ms. Vela ́zquez. 

Chairwoman VELA ́ ZQUEZ. Aye. 

The CLERK. Chairwoman Vela ́zquez votes yes. Ms. MillenderMcDonald. 

Ms. MILLENDER-MCDONALD. Aye. 

The CLERK. Ms. Millender-McDonald votes yes. Mr. Jefferson. 

Mr. JEFFERSON. Aye. 

The CLERK. Mr. Jefferson votes yes. Mr. Shuler. 

Mr. SHULER. No. 

The CLERK. Mr. Shuler votes no. Mr. Gonza ́lez. 

Mr. GONZA ́LEZ. Aye. 

The CLERK. Mr. Gonza ́lez votes yes. Mr. Larsen. 

Mr. LARSEN. Yes. 

The CLERK. Mr. Larsen votes yes. Mr. Grijalva. 

[No response.] 

The CLERK. Mr. Michaud. 

Mr. MICHAUD. Yes. 

The CLERK. Mr. Michaud votes yes. Ms. Bean. 

Ms. BEAN. Aye. 

The CLERK. Ms. Bean votes yes. Mr. Cuellar. 

Mr. CUELLAR. Aye. 

The CLERK. Mr. Cuellar votes yes. Mr. Lipinski. 

Mr. LIPINSKI. Aye. 

The CLERK. Mr. Lipinski votes yes. Ms. Moore. 

Ms. MOORE. Aye. 

The CLERK. Ms. Moore votes yes. Mr. Altmire. 

[No response.] 

The CLERK. Mr. Braley. 

Mr. BRALEY. Aye. 

The CLERK. Mr. Braley votes yes. Ms. Clarke. 

Ms. CLARKE. Aye. 

The CLERK. Ms. Clarke votes yes. Mr. Ellsworth. 

Mr. ELLSWORTH. Yes. 

The CLERK. Mr. Ellsworth votes yes. Mr. Johnson. 

Mr. JOHNSON. Aye. 

The CLERK. Mr. Johnson votes yes. Mr. Sestak. 

Mr. SESTAK. No. 

The CLERK. Mr. Sestak votes no. Mr. Chabot. 

Mr. CHABOT. No. 

The CLERK. Mr. Chabot votes no. Mr. Bartlett. 

Mr. BARTLETT. No. 

25

The CLERK. Mr. Bartlett votes no. Mr. Graves. 

[No response.] 

The CLERK. Mr. Akin. 

Mr. AKIN. No. 

The CLERK. Mr. Akin votes no. Mr. Shuster. 

[No response.] 

The CLERK. Ms. Musgrave. 

Ms. MUSGRAVE. No. 

The CLERK. Ms. Musgrave votes no. Mr. King. 

[No response.] 

The CLERK. Mr. Fortenberry. 

Mr. FORTENBERRY. No. 

The CLERK. Mr. Fortenberry votes no. Mr. Westmoreland. 

[No response.] 

The CLERK. Mr. Gohmert. 

[No response.] 

The CLERK. Mr. Heller. 

Mr. HELLER. No. 

The CLERK. Mr. Heller votes no. Mr. David Davis. 

Mr. DAVIS. No. 

The CLERK. Mr. Davis votes no. Ms. Fallin. 

[No response.] 

The CLERK. Mr. Buchanan. 

Mr. BUCHANAN. No. 

The CLERK. Mr. Buchanan votes no. Mr. Jordan. 

Mr. JORDAN. No. 

The CLERK. Mr. Jordan votes no. 

Chairwoman VELA ́ ZQUEZ. Any other member who wish to cast 

their vote or change their vote? 

[No response.] 

Chairwoman VELA ́ ZQUEZ. The Clerk will report the vote. 

The CLERK. Madam Chair, there are 14 yes votes, 11 no votes. 

Chairwoman VELA ́ ZQUEZ. The amendment is agreed to. 

Mr. CHABOT. We are getting closer. 

Chairwoman VELA ́ ZQUEZ. Yes. Are there any other members who 

wish to be recognized for the purpose of offering amendments? 

Mr. BRALEY. Yes. 

Chairwoman VELA ́ ZQUEZ. Mr. Braley? 

Mr. BRALEY. Yes. Madam Chair, I have an amendment at the 

desk. 

Chairwoman VELA ́ ZQUEZ. The Clerk will report the amendment. 

The CLERK. There is an amendment offered by Mr. Braley of 

Iowa. At the end of Title II, add the following in section 216, ‘‘Economic injury disaster’’—

Chairwoman VELA ́ ZQUEZ. I ask unanimous consent that the 

amendment be considered as read. Mr. Braley, you will be recognized for five minutes. 

Mr. BRALEY. Thank you. 

Madam Chairwoman, Ranking Member Chabot, I am here today 

as a voice for 350,000 Iowans who lost power during the recent ice 

storm to offer an amendment to H.R. 1361, the RECOVER Act, 

which would revise the language within the Small Business Act to 

clarify the definition of the term ‘‘disaster’’ to include blizzards and 

ice storms. 

26

Just a couple of weeks ago, Iowa was hit with a massive ice 

storm, one of the worst in its history, which caused extensive damage throughout the state and left hundreds without power. 

Weather in Iowa can be unpredictable and dangerous. And this 

was no exception. I was personally affected by this ice storm when 

a 40-foot ice-coated branch struck my home in Waterloo. With the 

help of my neighbors and our chain saws, I was able to cope with 

some personal property damage and inconvenience. But my situation paled in comparison to the constituents I met while visiting 

storm emergency shelters in Iowa’s First Congressional District. 

These Iowans were there because they had been displaced from 

their homes as a result of their ice storm, including many from 

their businesses. Currently the SBA has to wait for the President 

to declare something a disaster area before giving disaster loans to 

small businesses. 

There are well-known exceptions. These include severe situations, such as floods, hurricanes, tornadoes, earthquakes, fires, explosions, volcanoes, windstorms, landslides or mud slides, tidal 

waves, commercial fishery failures, fishery resource disasters, riots, 

civil disorders, etcetera. 

This language in my amendment gives the SBA the authority to 

make disaster loans in certain situations, even if the President has 

not authorized the area as a disaster area. Unfortunately, the 

terms ‘‘ice storm’’ and ‘‘blizzard’’ do not appear on this list of exceptions. 

The amendment I propose today would include these terms in 

the definition of a disaster, strongly benefiting small business owners who are trying to get back on their feet following an ice storm 

or blizzard. 

I urge my colleagues to recognize that some disasters, which profoundly impact small businesses occur in the winter and ask them 

to support this amendment. And I yield the balance of my time. 

Chairwoman VELA ́ ZQUEZ. Thank you. 

I will support this amendment. I think that it is important. Winter storm had a dramatic impact on Iowa’s economy. At the peak 

of losses, 250,000 customers were without power, 60 counties were 

declared disaster areas. 

Currently SBA is able to make disaster loans. When the President has declared a disaster area or in certain other specific situations, including everything from floods to commercial fishery failures, extending this language to include ice storms and blizzards 

fits within existing rationale. 

So I will ask my colleagues to support this amendment. And I 

will recognize Mr. Chabot. 

Mr. CHABOT. Thank you, Madam Chairwoman. And I move to 

strike the last word. 

Chairwoman VELA ́ ZQUEZ. The gentleman is recognized for five 

minutes. 

Mr. CHABOT. Thank you. I won’t take that time. I commend Mr. 

Braley for offering an amendment. I think it is a good one. Ice 

storms can and in many areas do as much damage, if not more, 

than other events classified as natural disasters. It seems to make 

sense that the definition of a disaster be expanded to include ice 

storms. 

27

It is important to note that an ice storm represents a very measurable event. One knows when it starts. One knows when it ends. 

And one can ascertain the damage from, for example, lost fruit in 

the case of Florida or California, damage to goods that lose refrigeration, et cetera, from the loss of electricity. Blizzards are somewhat harder to define to be getting around. 

And it may be somewhat more difficult to assess the damage associated with blizzards, but I still believe this is a very good 

amendment and would urge my colleagues to support it and yield 

back the balance of my time. 

Chairwoman VELA ́ ZQUEZ. Any other member who seeks recognition on this amendment, Mr. Braley’s amendment? 

[No response.] 

Chairwoman VELA ́ ZQUEZ. The question is on the amendment offered by Mr. Braley. All of those in favor say ‘‘Aye.’’

[Chorus of ‘‘Ayes.’’] 

Chairwoman VELA ́ ZQUEZ. All those opposed say ‘‘No.’’

[Chorus of ‘‘Noes.’’] 

Chairwoman VELA ́ ZQUEZ. In the opinion of the Chair, the ayes 

have it. 

Any other amendments or comments? Mr. Fortenberry? 

Mr. FORTENBERRY. Thank you, Madam Chair. 

Again I just want to say I was prepared to support the underlying legislation, but given the fourth amendment that was considered, it’s too broad. I think it undermines the purpose of why we 

are meeting today in this more narrow tailored bill. 

I do appreciate all of the content, much of the content, of this 

bill. And regarding the comments of the ranking member, I supported his amendments as well but do note that his concerns are 

mitigated by the fact that the administrator can waive the provisions. It is up to his discretion, rather. 

But, with that said, again, this last amendment regarding snowfall is far too broad. It is inconsistent in my view with the underlying legislation. And I cannot support it. 

Thank you. 

Chairwoman VELA ́ ZQUEZ. Any other member who wishes to be 

recognized? 

[No response.] 

Chairwoman VELA ́ ZQUEZ. Seeing no further amendments, I move 

that the Committee vote on final passage of H.R. 1361. All of those 

in favor say ‘‘Aye.’’

[Chorus of ‘‘Ayes.’’] 

Chairwoman VELA ́ ZQUEZ. All those opposed say ‘‘No.’’

[Chorus of ‘‘Noes.’’] 

Chairwoman VELA ́ ZQUEZ. In the opinion of the Chair, the ayes 

have it. 

Mr. BRALEY. Madam Chair, I ask—

Chairwoman VELA ́ ZQUEZ. A recorded vote is requested. The Clerk 

shall call the roll. 

The CLERK. Ms. Vela ́zquez. 

Chairwoman VELA ́ ZQUEZ. Aye. 

The CLERK. Chairwoman Vela ́zquez votes yes. Ms. MillenderMcDonald. 

Ms. MILLENDER-MCDONALD. Aye. 

28

The CLERK. Ms. Millender-McDonald votes yes. Mr. Jefferson. 

Mr. JEFFERSON. Aye. 

The CLERK. Mr. Jefferson votes yes. Mr. Shuler. 

Mr. SHULER. Aye. 

The CLERK. Mr. Shuler votes yes. Mr. Gonza ́lez. 

Mr. GONZA ́LEZ. Aye. 

The CLERK. Mr. Gonza ́lez votes yes. Mr. Larsen. 

Mr. LARSEN. Aye. 

The CLERK. Mr. Larsen votes yes. Mr. Grijalva. 

[No response.] 

The CLERK. Mr. Michaud. 

Mr. MICHAUD. Aye. 

The CLERK. Mr. Michaud votes yes. Ms. Bean. 

Ms. BEAN. Aye. 

The CLERK. Ms. Bean votes yes. Mr. Cuellar. 

Mr. CUELLAR. Aye. 

The CLERK. Mr. Cuellar votes yes. Mr. Lipinski. 

Mr. LIPINSKI. Aye. 

The CLERK. Mr. Lipinski votes yes. Ms. Moore. 

Ms. MOORE. Aye. 

The CLERK. Ms. Moore votes yes. Mr. Altmire. 

Mr. ALTMIRE. Aye. 

The CLERK. Mr. Altmire votes yes. Mr. Braley. 

Mr. BRALEY. Aye. 

The CLERK. Mr. Braley votes yes. Ms. Clarke. 

Ms. CLARKE. Aye. 

The CLERK. Ms. Clarke votes yes. Mr. Ellsworth. 

Mr. ELLSWORTH. Yes. 

The CLERK. Mr. Ellsworth votes yes. Mr. Johnson. 

Mr. JOHNSON. Aye. 

The CLERK. Mr. Johnson votes yes. Mr. Sestak. 

Mr. SESTAK. Yes. 

The CLERK. Mr. Sestak votes yes. Mr. Chabot. 

Mr. CHABOT. No. 

The CLERK. Mr. Chabot votes no. Mr. Bartlett. 

Mr. BARTLETT. No. 

The CLERK. Mr. Bartlett votes no. Mr. Graves. 

Mr. GRAVES. No. 

The CLERK. Mr. Graves votes no. Mr. Akin. 

Mr. AKIN. No. 

The CLERK. Mr. Akin votes no. Mr. Shuster. 

[No response.] 

The CLERK. Ms. Musgrave. 

Ms. MUSGRAVE. No. 

The CLERK. Ms. Musgrave votes no. Mr. King. 

[No response.] 

The CLERK. Mr. Fortenberry. 

Mr. FORTENBERRY. No. 

The CLERK. Mr. Fortenberry votes no. Mr. Westmoreland. 

[No response.] 

The CLERK. Mr. Gohmert. 

[No response.] 

The CLERK. Mr. Heller. 

Mr. HELLER. No. 

29

The CLERK. Mr. Heller votes no. Mr. David Davis. 

Mr. DAVIS. No. 

The CLERK. Mr. Davis votes no. Ms. Fallin. 

[No response.] 

The CLERK. Mr. Buchanan. 

[No response.] 

The CLERK. Mr. Jordan. 

Mr. JORDAN. No. 

The CLERK. Mr. Jordan votes no. 

Chairwoman VELA ́ ZQUEZ. Any other member who wish to cast 

their vote or change their vote? 

[No response.] 

The CLERK. Madam Chair, the vote is 17 yes votes, 9 no votes. 

Chairwoman VELA ́ ZQUEZ. The bill is agreed to. I move that the 

bill be reported as amended and the staff be directed to make any 

technical corrections prior to the filing of the bill. The markup adjourns. 

[Whereupon, at 11:39 a.m., the foregoing matter was concluded.]

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