Is The SBA On The Chopping Block? - Page 2 of 2

Is The SBA On The Chopping Block?

the U.S. Commission on Civil Rights published a report requesting that the White House create a task force to determine “whether race-conscious programs are still necessary” and that recommendations be presented “to Congress by March 2007.” The only dissension was from Michael Yaki, one of two Democratic members on the board of seven.

A 2006 report published by The American Enterprise Institute, a public policy research group, suggested that the SBA’s loan programs be eliminated altogether. According to the report, there is “no failure of the private sector to allocate loans efficiently,” and the “SBA’s activities are simply a wasteful, politically motivated subsidy.”

When asked about eliminating the SBA, Alex Conant, a White House spokesman said, “The President has not made any [such] proposal.” However, with two and a half years left in office, a political storm could still be on the horizon.