H.Hrg.119-40

1[House Hearing, 119 Congress]2[From the U.S. Government Publishing Office]34                 250 YEARS OF AMERICAN LEGACY: SMALL5                  BUSINESSES AND THE AMERICAN DREAM6=======================================================================78                                HEARING910                               BEFORE THE1112                      COMMITTEE ON SMALL BUSINESS13                             UNITED STATES14                        HOUSE OF REPRESENTATIVES1516                    ONE HUNDRED NINETEENTH CONGRESS1718                             SECOND SESSION1920                               __________2122                              HEARING HELD23                              JULY 1, 20262425                               __________2627[GRAPHIC NOT AVAILABLE IN TIFF FORMAT]2829            Small Business Committee Document Number 119-04030             Available via the GPO Website: www.govinfo.gov3132                              __________3334                  U.S. GOVERNMENT PUBLISHING OFFICE3564-146                   WASHINGTON : 202636=======================================================================37                   HOUSE COMMITTEE ON SMALL BUSINESS3839                    ROGER WILLIAMS, Texas, Chairman40                        PETE STAUBER, Minnesota41                        DAN MEUSER, Pennsylvania42                         BETH VAN DUYNE, Texas43                           JAKE ELLZEY, Texas44                         MARK ALFORD, Missouri45                        BRAD FINSTAD, Minnesota46                          TONY WIED, Wisconsin47                      ROB BRESNAHAN, Pennsylvania48                          BRIAN JACK, Georgia49             KIMBERLYN KING-HINDS, Northern Marina Islands50                         DEREK SCHMIDT, Kansas51                        JIMMY PATRONIS, Florida52                          CLAY FULLER, Georgia53               NYDIA VELAZQUEZ, New York, Ranking Member54                       MORGAN MCGARVEY, Kentucky55                       HILLARY SCHOLTEN, Michigan56                      LAMONICA MCIVER, New Jersey57                        GIL CISNEROS, California58                       KELLY MORRISON, Minnesota59                        GEORGE LATIMER, New York60                         DEREK TRAN, California61                       LATEEFAH SIMON, California62                       JOHNNY OLSZEWSKI, Maryland63                    MAGGIE GOODLANDER, New Hampshire64                       ANALILIA MEJIA, New Jersey6566                  Sean Dillon, Majority Staff Director67                 Melissa Jung, Minority Staff Director6869                            C O N T E N T S7071                           OPENING STATEMENTS7273                                                                   Page74Hon. Roger Williams..............................................     175Hon. Johnny Olszewski............................................     37677                               WITNESSES7879Mr. Adrian Adornetto, Owner, Adornetto's-Giacomo's, Zanesville,80  OH.............................................................     581Mr. Philip Freeman, Founder and Chief Executive Officer, Murphy's82  Naturals, Inc.-The Loading Dock, LLC, Raleigh, NC..............     783Ms. Anne Shybunko-Moore, Owner and Chief Executive Officer, GSE84  Dynamics, Inc., Hauppauge, NY..................................     985Ms. Veronica Cool, President and Chief Executive Officer, Cool &86  Associates LLC, Baltimore, MD..................................    108788                                APPENDIX8990Prepared Statements:91    Mr. Adrian Adornetto, Owner, Adornetto's-Giacomo's,92      Zanesville, OH.............................................    3293    Mr. Philip Freeman, Founder and Chief Executive Officer,94      Murphy's Naturals, Inc.-The Loading Dock, LLC, Raleigh, NC.    3695    Ms. Anne Shybunko-Moore, Owner and Chief Executive Officer,96      GSE Dynamics, Inc., Hauppauge, NY..........................    4197    Ms. Veronica Cool, President and Chief Executive Officer,98      Cool & Associates LLC, Baltimore, MD.......................    5099Questions and Answers for the Record:100    Questions from Hon. Velazquez and Hon. Olszewski to Mr.101      Freeman and Answers from Mr. Freeman.......................    56102    Questions from Hon. Velazquez and Hon. Olszewski to Ms.103      Shybunko-Moore and Answers from Ms. Shybunko-Moore.........    59104    Questions from Hon. Velazquez and Hon. Olszewski to Ms. Cool105      and Answers from Ms. Cool..................................    61106Additional Material for the Record:107    Defense Credit Union Council (DCUC)..........................    65108    Small Business Majority Letter...............................    67109    SBC Democrat Report One......................................    71110    SBC Democrat Report Two......................................    88111    American Business Immigration Coalition Action (ABIC)........   111112    Democrat Letter to SBA Letter................................   112113    USHBC Letter.................................................   117114    SBC Democrat Letter to Admin.................................   122115    SBC Democrat Letter to SBA...................................   130116    H.R. 8563....................................................   139117118 250 YEARS OF AMERICAN LEGACY: SMALL BUSINESSES AND THE AMERICAN DREAM119120                              ----------121122                        WEDNESDAY, JULY 1, 2026123124                  House of Representatives,125               Committee on Small Business,126                                                    Washington, DC.127    The Committee met, pursuant to call, at 10:04 a.m., in Room1282360, Rayburn House Office Building, Hon. Roger Williams129[chairman of the Committee] presiding.130    Present: Representatives Williams, Meuser, Van Duyne,131Ellzey, Jack, King-Hinds, Schmidt, Patronis, Tran, Olszewski,132and Goodlander.133    Chairman WILLIAMS. Before we get started, I want to134recognize Representative King-Hinds, who is with us, to lead us135in the pledge and the prayer. Would you please stand.136    Ms. KING-HINDS. Heavenly Father, thank you for the137opportunity to gather in service. As we celebrate 250 years of138America's small business, we give thanks and ask for continued139blessings for the innovators, the entrepreneurs, the workers,140and the families behind these small businesses that have worked141really hard to build our communities and strengthen our142country.143    Today, I also ask each and every one of you to lift up144those who are facing hardship, whatever it may be, especially145the people from my district where another typhoon threatens to146hit this Fourth of July while many of us are still recovering147from a super-typhoon 2 months ago.148    God, I also pray that the Members of this Committee be--149their words, their thoughts, and their actions is a reflection150of your goodness, kindness, and mercy so that we can continue151the work of further providing opportunities for small152businesses and future businesses across this great nation for153250 more years.154    In God's name we pray, amen.155    All. I pledge allegiance to the Flag of the United States156of America, and to the Republic for which it stands, one157nation, under God, indivisible, with liberty and justice for158all.159    Chairman WILLIAMS. Good morning everyone. And I now call160the Committee on Small Business to order. Without objection,161the Chair is authorized to declare a recess of the Committee at162any time. I now recognize myself for my opening statement.163    I want to welcome everybody to today's hearing, 250 Years164of American Legacy: Small Businesses and the American Dream.165Happy birthday.166    I want to thank our witnesses for joining us today at this167time, and for sharing their time with us and their experience168and perspectives with this Committee.169    And in just a few days, our nation will celebrate the 250th170anniversary of an American independence. Throughout this year,171this Committee has been welcoming to small business owners from172every corner of the country to share their experiences and173their perspectives. Time and time again, their stories have174reflected the same qualities that have defined America for the175past 250 years: Hard work, innovation, and resilience in the176pursuit of an opportunity.177    As we reflect on our nation's history, it is clear that any178American story would be incomplete without recognizing the role179of the small business entrepreneurs. American history is, in180many ways, a story of a small business, from the earliest181settlements to the modern economy, entrepreneurship has been182woven into the fabric of our nation.183    The men and women who built America were farmers, they were184merchants, craftsmen, innovators, and manufacturers. From185America's earliest days, small businesses created jobs,186introduced new ideas, and helped transform a collection of187colleagues into the most prosperous nation in history.188    The American Revolution itself was shaped by entrepreneurs.189Taverns served as gathering places for discussion,190organization. Printers, including Benjamin Franklin,191distributed ideas that have inspired us for a new nation and192for centuries.193    Small businesses were not merely witnesses to American194history, they were the architects of American history. And just195as a small business helped build America, this country has196provided an environment where small businesses can thrive. Free197markets, access to capital, and strong protections for private198property and intellectual property, have created the most199dynamic economy in the world, and the best place to start a200small business.201    So consider the American innovators who changed the world:202Benjamin Franklin, Thomas Edison, Alexander Graham Bell and the203Wright Brothers, Walter Chrysler, and countless others. Their204achievements transformed industries, strengthened communities,205and improved everyday life for millions and millions around the206world.207    As that spirit of innovation comes today across the208country, millions of small business owners are developing new209technologies and carrying forward the tradition of the American210enterprise. Today's hearing is not only about celebrating the211past, it is also about preserving the American Dream for future212generations. We have some in this room today.213    And several of our witnesses represent businesses that have214endured wars, recessions, technological change, and shifting215markets. Their stories demonstrate that entrepreneurship is not216simply about starting a small business, it is about building a217legacy.218    So as we look forward to America's next 250 years--and I219will be there if you want to come; we will set something up,220okay?--we must ensure that small businesses remain equipped to221compete, innovate, and grow.222    The success of our nation has always been tied to the223success of entrepreneurs and if America is to remain prosperous224and strong, it will be because future generations continue the225work of building, creating, and taking risk.226    I would like to thank our witnesses again for being here on227the Fourth of July and, again, for being here. I look forward228to the discussion.229    I now yield to our Ranking Member from Maryland, my friend,230Mr. Olszewski, for his opening remarks.231    Mr. OLSZEWSKI. Thank you very much, Mr. Chairman. And good232morning to all. I appreciate you calling this very timely233hearing. Thanks to all of our witnesses for your presence234today.235    I want to just express my excitement about America's 250th.236Mr. Chairman, I look forward to joining you in 250 years more237as well.238    But as we approach this milestone, this 250th anniversary239of our country's founding, as a former American Government240teacher, I am reminded of the first words in the preamble to241our Constitution: We, the people, of the U.S., in order to form242a more perfect union.243    For 250 years, our effort to build that more perfect union244has endured countless trials and tribulations, tragedies and245triumphs. We are blessed to live in the greatest country in the246world, where opportunity and prosperity are available to all.247    America became the greatest country in the world, in part,248because of the ingenuity and grit of our small businesses and249the hundreds of millions of immigrants, our forefathers, who250came ashore to start building their dreams. Immigrants, like251your ancestors and mine, are how we formed that more perfect252union. But today we know our union is also under attack.253    Corporate greed is causing our markets to consolidate,254making it harder for scrappy new startups to enter and remain255in business. Simply put, the deck is stacked against the little256guy. As everything becomes less affordable due to tariffs and257the war, small companies are struggling to pay their bills and258their staff. These are our constituents, and they are being259left behind.260    ICE is swarming our cities, provoking fear in workers,261small business owners and our neighbors. That does not make us262safer. It makes us less strong.263    To that end, Mr. Chairman, I request unanimous consent to264insert this statement of the American Business Immigration265Coalition and Small Business Majority into the record.266    Chairman WILLIAMS. So moved.267    Mr. OLSZEWSKI. Thank you. But there is good news. Our main268street businesses are resilient, and they show up for our269communities in the face of hardship. That is the American way.270That is the spirit of our nation.271    Small businesses are the backbone of our economy, and their272issues aren't Democratic, they are not Republican. They are273American issues. It is why I am proud to have worked with274Chairman Williams and Members across the aisle in this275Committee to pass commonsense legislation to improve small276business assistance across the federal government. But we277cannot celebrate main street one day, and look the other way278when this administration's policies make lives harder.279    So I look forward to a robust discussion about what has280truly driven the success of main street in our nation, and what281hasn't, the impacts of tariffs, healthcare costs, and the282massive unnecessary disruption to our immigrant communities.283    So as we commemorate America's 250th anniversary, let's284honor the generations of entrepreneurs, immigrants, and the285motivated hard workers who helped build this nation. Let's286choose action over inaction and bipartisan solutions over287gridlock.288    I yield back.289    Chairman WILLIAMS. The gentleman yields back. We will now290move to the witness introductions.291    Our first witness is Mr. Adrian Adornetto. Mr. Adornetto is292the owner of Adornetto's and Giacomo's in Zanesville, Ohio. Is293that right? These family-owned businesses have been serving294customers in Ohio for more than 65 years. Mr. Adornetto's295family's American story began when his grandparents emigrated296from Sicily, Italy, and helped build the foundation for297Adornetto's Pizzeria, which his father Jimmy opened in 1958.298Jimmy later founded Giacomo's Bakery in 1994, fulfilling his299passion for artisan bread. Both family businesses continue to300serve fresh scratch-made Italian food and baked goods.301    Mr. Adornetto's purchase of the family business in 2012302continues the tradition of quality Italian food and community303service. Today he is investing the next generation by teaching304his 11-year-old son, who is here, the family business, with the305hope that he will one day become its third generation owner.306    Thank you for being here today very much.307    The next witness is Mr. Philip Freeman. Mr. Freeman is the308founder and CEO of Murphy's Naturals, a North Carolina-based309manufacturer of natural outdoor products, and The Loading Dock,310an innovative cowarehousing space for entrepreneurs.311    Mr. Freeman spent 23 years in packaging sales before312founding Murphy's Naturals in his garage in 2013 when what313began as a search for an effective natural mosquito repellent314has grown into a nationally recognized brand. And as the315businesses expanded, he founded The Loading Dock, a coworking316and warehouse community that has helped hundreds of small317businesses launch and grow by providing affordable flexible318workplace.319    Those mosquitoes, do you have an office in Texas?320    Mr. FREEMAN. We are very popular.321    Chairman WILLIAMS. Okay. Mr. Freeman is part of the U.S.322Chamber of Commerce Small Business Council where he advocates323for policies to strengthen America's small businesses. He324earned a communications degree from Virginia Tech and served 8325years as Deep-Sea Diving Officer in the U.S. Navy. Thank you326for your service, and I look forward to our discussion here.327    Our next witness is Mrs. Anne Shybunko-Moore. Mrs.328Shybunko-Moore is the CEO and owner of GSE Dynamics, a U.S.329defense manufacturer founded by her father, Daniel, in 1971.330GSE Dynamics serves the defense industrial base by supplying331the U.S. Air Force, Navy, Army, and major aerospace332manufacturers. She joined her father's company in 2001 and has333led its expansion into one of the nation's largest federally334certified Women-Owned Small Business. She also serves on the335Manufacturing and America Advisory Committee, where she336provides strategic guidance to the federal government on337strengthening supply chains, including global competitiveness338and supporting America's small business manufacturers.339    Mrs. Shybunko-Moore and her husband, Jamie, have four sons340who may one day carry on the family business as its next341generation of leaders. I look forward to your testimony.342    I now recognize the Ranking Member from Maryland, Mr.343Olszewski, to briefly introduce our last witness appearing344before us today.345    Mr. OLSZEWSKI. Thank you, Mr. Chairman. Happy to welcome346Ms. Veronica Cool, who is the President and CEO of Cool &347Associates, LLC, a bilingual outreach and strategy firm348specializing in marketing and engagement for the Latino349community.350    Before her time as an entrepreneur, Ms. Cool was a banker351with Wells Fargo and Bank of America, respectively. Previously,352Ms. Cool also sat on the Open Society Institute Board and the353Maryland Governor's Workforce Investment Board and has served354as the Chairperson of the Maryland Hispanic Chamber of355Commerce.356    Prior to coming to Congress, as Baltimore County executive,357I had the privilege to partner with Ms. Cool's firm to provide358my constituents with translation services for our town halls.359    Thank you so much for being an outstanding partner in our360language and interpretation work and for helping to level the361playing field for our immigrant entrepreneur communities, both362then and now.363    Ms. Cool holds a bachelor's degree in finance and364international business from Kutztown University of Pennsylvania365and a master's degree in finance from Loyola University in366Maryland. Welcome, Ms. Cool.367    Chairman WILLIAMS. There is a Cool, Texas, in my district.368Yeah. If you run for office there, you will have instant name369ID.370    Before recognizing the witnesses, I would like to remind371them that their oral testimony is restricted to 5 minutes in372length. If you see the light turn red in front of you, it means373your 5 minutes have concluded, and you should wrap up your374testimony. If you continue to go further, you will hear this,375and that means you need to stop. But we will be fine on time.376    I now recognize Mr. Adornetto for his 5-minute opening377remarks.378379 STATEMENTS OF ADRIAN ADORNETTO, OWNER, ADORNETTO'S-GIACOMO'S;380  PHILIP FREEMAN, FOUNDER & CEO, MURPHY'S NATURALS, INC.-THE381   LOADING DOCK, LLC; ANNE SHYBUNKO-MOORE, OWNER & CEO, GSE382  DYNAMICS, INC.; AND VERONICA COOL, PRESIDENT & CEO, COOL &383                        ASSOCIATES LLC.384385                 STATEMENT OF ADRIAN ADORNETTO386387    Mr. ADORNETTO. Chairman Williams, Ranking Member Dr.388Olszewski, and distinguished Members of the Committee, good389morning, and thank you for inviting me to testify today. It is390a privilege to appear before you and share my family's story391and what entrepreneurship has meant to generations of Americans392like mine.393    I am grateful to have my wife, Erika, here with me, along394with two of our four children, Enzo and Giada. The other two,395Gabriella and Jase, are back home in Ohio. They are the reason396this work matters, because everything my family has built has397always been about creating opportunity for the next generation.398    My name is Adrian Adornetto. I am a husband, a father, a399proud American by birth, a Sicilian by heritage, an400entrepreneur by calling, and a product of the American Dream.401My grandparents, Phillip and Catherine Adornetto, came to this402country from Sicily with hope, determination, faith, and an403unwavering belief in the opportunity, and a lot of courage,404might I add.405    My grandmother was only 9 years old, my grandfather was a406teenager when they left everything they knew in search of a407better life in America. They actually later met in America and408married and settled in a small town called Zanesville, Ohio,409where they raised three sons. One became a doctor of optometry,410one built a career in financial management and leadership, and411then my father, James, Jim Adornetto, chose entrepreneurship.412    With the encouragement and sacrifice of his parents and his413two brothers, my father opened Adornetto's Pizzeria in 1958414when he was just 19 years old. He later opened Giacomo's Bread415& More in 1994. I grew up in those restaurants.416    Just the other day, I realized my first boardroom was not417in the corporate office, it was every Sunday morning after418church around the breakfast table, and my grandmother, father,419aunts, uncles, and relatives talked about the previous week's420business, what worked well, what didn't work well, how do we421improve it, what is on tap for next week.422    Growing up, I became--growing up, I dreamed of becoming an423actor, and my family never pressured me into the restaurant424business. But over time, the restaurant business found me, and425I fell in love with the energy, the teamwork, the busy nights,426and the chance to create memorable experiences for guests.427    In 2013, my father and I completed the transition of the428family business. I purchased the operating business, while he429retained the real estate. We wanted it to be a transition430specifically. We were father and son first, business partners431second.432    Those lessons and other lessons also shaped the way I433viewed leadership beyond my own restaurants. As a past board434chair, the Ohio Restaurant Hospitality Alliance, I had the435opportunity to work with and advocate for restaurants and436hospitality businesses across our State.437    That experience reinforced something I already knew from my438own family businesses. Small business leadership matters. It439matters to employees, communities, local suppliers, young440workers, and the future of main street.441    You see, my grandparents sought the American Dream, my442father spent his life building it, and I have been blessed with443the opportunity to continue it. Now my greatest responsibility444is to preserve it for my children and, hopefully, someday for445my grandchildren. No pressure. No pressure, guys.446    But preserving that dream requires more than the family447pride. It requires business environment where small businesses448can survive, reinvest, hire, and pass opportunity on to the449next generation.450    Running a restaurant has never been easy over the years. We451have faced recessions, supply disruptions, inflation, labor452challenges, rising operating costs, but nothing, nothing453compared to COVID, which nearly shut us down permanently.454    We survived because of our employees, our community, and455our ability to adapt. I have spoken a lot about my family.456There is also my employee family. My family's business would457not be where it is today without thousands of Ohioans who have458worked for us over the past 6 decades.459    Many start at entry-level jobs as teenagers, saw an460opportunity in this industry, and offered--that the industry461offered and worked their way to positions of greater462responsibility.463    I am grateful to Members of Congress who recognize small464businesses are still carrying the burden from the pandemic,465inflation, and rising costs. Tax provisions, such as466accelerated depreciation, make a real difference. They allowed467me to reinvest in my business, complete overdue improvements,468renovate locations, and hire local Zanesville, Ohio contractors469to do the work.470    Family businesses do not just pass down recipes, they pass471down values, responsibilities, work ethic, integrity, and the472belief that every generation should leave something better than473it found. Restaurants and small businesses like mine are part474of the American fabric.475    To our patrons, we are gathering places for first dates,476anniversaries, birthdays, sports celebrations, and family477milestones. To our communities, we are employers, training478grounds, and taxpayers, and anchors to the local economy.479    Thank you again for allowing me to share my life or480family's story. It is in many ways a story of America.481    May God bless our small businesses, the customers who482support them, the employees who work them, the families who483build them, and the United States of America.484    Chairman WILLIAMS. Gentleman yields back.485    I now recognize Mr. Freeman for his 5-minute opening486remarks.487488                  STATEMENT OF PHILIP FREEMAN489490    Mr. FREEMAN. Chairman Williams, Ranking Member Olszewski,491distinguished Members of the Committee, thank you for the492opportunity to testify today.493    My name is Philip Freeman, and I am the founder and CEO of494Murphy's Naturals, a natural products company based in Raleigh,495North Carolina, that manufactures plant-based mosquito496repellents. I am also the founder of The Loading Dock, a497coworking and cowarehousing community serving nearly 1300498members and 450 small businesses.499    I am proud to testify on behalf of the U.S. Chamber of500Commerce and its Small Business Council, of which I am a501Member. As we mark 250 years of American independence, there is502no better time to reflect on the ultimate engine of this503nation's prosperity: American small business.504    My entrepreneurial journey didn't start in the traditional505way, and I didn't have a formal finance background or506education. It started on the Virginia farm where I was raised507and later during my service as a Deep-Sea Diving Officer in the508United States Navy.509    For decades, I filed away business ideas, telling myself510the time wasn't right. But sitting in my garage in Raleigh, I511looked at a simple problem that we had at home. My wife, Pam,512who is here, she is an absolute mosquito magnet, and we both513disliked the chemical repellents that were on the market.514Because I couldn't find an effective natural alternative, I515developed one myself. So garage-born. That is the American516story: Identifying a need, taking a risk, and building517something from nothing.518    What started in our garage has grown into a 120,000-square-519foot manufacturing facility where we make 85 percent of our520products and employ nearly 50 full-time team members.521    But scaling is never a straight line. Early on, I hit a522massive roadblock, which was space. Traditional commercial523leases were rigid, expensive, and completely mismatched for the524bootstrap startup. I signed a multiyear personal guaranteed525lease for a small space, outgrew it in 6 months, and found526myself trapped. There had to be a better way.527    When I finally found a larger facility, I decided to build528a concept to help other entrepreneurs facing those same529hurdles. I leased extra space, and I launched The Loading Dock.530Today, we provide flexible, affordable cowarehousing for531hundreds of startups across three campuses.532    Essentially, we were a startup starting a startup for533startups, and that is a little bit crazy and not well-advised,534but it has worked.535    But that is what small business owners do. We don't just536solve our own problems. We build the infrastructure to help537others solve theirs. But we can't do it alone.538    On behalf of entrepreneurs working around the clock, I want539to highlight three urgent priorities for the Committee.540    First, access to capital and flexible space. The single541greatest barrier for an early-stage company is infrastructure.542Congress can unlock immense growth by expanding access to SBA543lending tools and supporting flexible small business544infrastructure.545    Second, regulatory clarity and innovation. Small businesses546can't afford teams of lawyers. We need clear, accessible547guidance from federal agencies so entrepreneurs have a clear548path to bring forward disruptive beneficial ideas.549    Three, pathways for veterans and second-career founders.550Our most successful founders are often veterans who bring551decades of wisdom. Congress must continue to fund vital552pipelines, like Hiring Our Heroes and The Honor Foundation.553    We provide generous education opportunities for veterans.554Imagine the economic impact if we could provide similar grants555and favorable loans for veterans taking a startup risk.556    Members of the Committee, 250 years ago, our Founders of557this nation bet everything on a radical idea, that free people,558given the opportunity, would build something extraordinary. The559American Dream is not a relic of the past. It is alive in every560garage, spare bedroom, and warehouse bay across your districts.561But it requires tending, it requires policies that lower562barriers, reward responsibility and trust in American563ingenuity.564    I am here because I believe this Committee has the power to565make it easier for the next Philip Freeman to take that leap a566little sooner with the confidence that their country is the567wind at their back.568    Thank you, and I look forward to your questions.569    Chairman WILLIAMS. Gentleman yields back.570    I now recognize Mrs. Shybunko-Moore for her 5-minute571opening remarks.572573                STATEMENT OF ANNE SHYBUNKO-MOORE574575    Mrs. SHYBUNKO-MOORE. Chairman Williams, Ranking Member576Olszewski, and Members of the Committee, my name is Anne577Shybunko-Moore, and I am the owner and CEO of GSE Dynamics. We578are a family-owned defense manufacturer on Long Island, New579York.580    I am honored to be here on behalf of the small businesses581and manufacturers that drive our nation's economy. My company582grew out of the cradle of aviation on Long Island. It was from583Long Island's Roosevelt Field that Charles Lindbergh began his584flight across the Atlantic.585    And it was on Long Island during the Golden Age of Aviation586following The Great War that manufacturers pioneered aircraft,587not for wartime, but for peacetime, opening the skies for588commercial flight.589    And it was a Long Island company named Grumman Aerospace590that transformed carrier-based aircraft during World War II.591Grumman helped give the arsenal of democracy its wings. Later,592Grumman answered the call to make the impossible real, crafting593the Apollo Lunar Module that landed America on the moon.594    Grumman also built something else, my father, Daniel595Shybunko's, career. My father was an engineer when the company596encouraged him to start a small side business in 1971. And 8597years later, he left Grumman to run GSE Dynamics full-time.598    Decades after I walked the factory floor as a child, he599invited me to join the company in 2001. And in 2003, GSE became600a woman-owned small business, and I continued to work beside my601dad until his passing in 2019.602    And today, GSE is a top woman-owned supplier for the U.S.603military, building complex assemblies for the B-52 bomber, the604M1 Abrams tank, naval submarines, and many more. We are the top605woman-owned small business supplier to DLA Aviation and a606critical supplier for the U.S. Navy's periscope mast fairings.607And with over 90 employees, we are among the 93 percent of U.S.608manufacturers classified as small businesses.609    This is my family's story, and this is GSE's story. This is610a true Long Island story. And today, just days from America's611250th anniversary, this is an American story.612    America's small businesses have always been where613innovation takes flight. But as everyone in this room knows,614America's success does not just happen. It must be built, it615must be protected, and it must be strengthened.616    The best investment in manufacturers comes from public617policies that help small businesses like mine invest, grow, and618thrive. First and foremost, that means protecting pro-growth619tax policies like those Congress passed last year in H.R. 1.620Provisions like immediate expensing are helping GSE invest in621the future.622    Already this year, we have purchased a new 5-Axis Machining623Center that will help us build better and faster. We are also624expanding a facility and investing in new research to help keep625GSE on the cutting-edge.626    Secondly, we need reliable access to capital, because long627before a product leaves the factory floor, manufacturers must628invest in expensive equipment and raw materials to build it.629That is why increasing SBA lending limits is so important,630precisely as this Committee did through the Made in America631Manufacturing Finance Act.632    Third, we must address workforce shortages. Manufacturing633offers great careers for highly skilled technicians,634machinists, welders, tradespeople, along with administrative635and professional staff. We must strengthen employer-led636workforce training and encourage more young people to see637manufacturing as a career of purpose and opportunity.638    And finally, we must remember that our national security639depends on a strong Defense Industrial Base. To build more640resilient supply chains, we need a 21st century permitting641system. We need to protect pro-America, pro-manufacturing trade642agreements, like the USMCA, and we need more access to key643inputs, like critical minerals.644    And when I think about America's 250th anniversary, I think645about the chance my father took 50 years ago on a country that646rewards risk-takers. I think about GSE's contribution, not just647to Long Island's story as the cradle of aviation, but to648America's story as the land of opportunity, a place where649manufacturers don't just build products; we build families, and650we build communities, and we build a stronger country.651    Fifty years from now, I hope another family business will652be here telling its story or maybe even my son, James, will be653sharing GSE's next chapter. That will happen through your654courage and your vision to back policies that strengthen655America's industrial base.656    If our leaders work together, America will lead as the best657place in the world to create and make things, and our dreams658will take flight. Thank you very much.659    Chairman WILLIAMS. Thank you. Well said. The gentlelady660yields back.661    I now recognize Ms. Cool for her 5-minute opening remarks.662663                   STATEMENT OF VERONICA COOL664665    Ms. COOL. Chairman Williams, Ranking Member Velazquez,666Congressman Johnny O, thank you very much for having me today.667    Fifteen years ago, I was sitting at my kitchen table668wondering whether filing the paperwork for a tiny government669subcontract was even worth the effort. Today, it is one of the670greatest honors of my life to appear before Congress because671that little opportunity became the foundation of a company that672now helps strengthen communities across our entire country.673That is the American Dream.674    My name is Veronica Cool, and I am the founder, president,675and CEO of Cool & Associates, LLC, a Maryland-based small676business I started in 2011. I was born in Dominican Republic,677and I came to the U.S. believing what millions of immigrants678have believed for generations: That if I worked hard, if I kept679learning, treating people with integrity and I persevered, I680could build a better life. And America gave me that681opportunity.682    When I started my business, I didn't have investors, I683didn't have venture capital or a family business I inherited. I684had 20 years of banking experience, grit, and an idea. That685organizations could better serve people by building trust, not686just translating words. And that little tiny idea became the687basis for my company.688    Today, our team helps government agencies across all689aisles. Hospitals, nonprofits, universities, and businesses690communicate more effectively, engage communities and solve very691complicated issues. But our success, just like my fellow692witnesses here, didn't happen overnight.693    Like every single entrepreneur, we had to work really hard694and earn it. One of our very first government contracts was a695tiny little thing, as I mentioned earlier. And I remember696thinking, it probably wasn't even worth it. The paperwork was697excessive, the compliance reporting was extensive. And for us698being tiny, it actually felt like more work than the work we699were getting paid to do. But, of course, we kept delivering and700working on it.701    That one opportunity became another and then another, and702every project taught us something. Every satisfied client703became a reference. Every single problem, mistake and challenge704made us stronger.705    Recently I had one of those full-circle moments that we all706celebrate and hope for. During a really competitive procurement707bid, I learned that the prime contractor and every708subcontractor in that group had adjusted their schedule around709ours because the agency wanted the Cool team included in the710proposal, not because we were the biggest, not because it was a711large marketing budget, but because over 15 years, we had712earned the reputation for delivering quality, building trust,713and helping organizations genuinely connect with the714communities they serve.715    I have been fortunate to receive awards throughout my716career, but that one moment meant more to me than any other717plaque or recognition. It told me that our work became trusted718enough to influence outcomes that improve communities and719create opportunity. To me, that is what entrepreneurship is all720about.721    Small businesses do not just create jobs. We solve722problems. We strengthen neighborhoods, and we mentor future723leaders. We create opportunities for others. We build legacy.724That is what my father taught me.725    My team experienced that firsthand during the COVID-19726pandemic. We supported the State of Maryland, Governor Hogan at727that time, by translating and culturally adapting urgent public728health information in a matter of hours so essential workers729and multilingual communities could receive lifesaving730information when they needed it the most. We were proud to do731it even though it required around-the-clock work, significant732personal sacrifice, and tremendous resilience.733    Experiences like that have taught me that one important734lesson. Communication is economic infrastructure. And being in735Baltimore, we know that ports and highways are transportation,736but communication is an integral part of that.737    When people understand how to access healthcare, workforce738opportunities, government services, and small business739resources, they show up, and they participate. When they740participate, businesses grow, communities become stronger, and741our economy benefits.742    And as Congress looks to that next 250 years, I am hoping743for something simple. Please continue to create an environment744where entrepreneurs can do what they do best: Innovate, adapt,745and build.746    Please provide greater predictability, reduce unnecessary747administrative burdens, invest in workforce development and748technology.749    Please ensure that qualified small businesses have the750opportunity to compete.751    The American Dream, I know, did not guarantee success, but752it did promise opportunity. That opportunity changed my life,753and I hope, together, we can ensure remains available for the754future generation of entrepreneurs.755    I thank you for the opportunity and look forward to your756questions.757    Chairman WILLIAMS. The gentlelady yields back. Those were758great opening comments--thank you--for all of you. We will now759move to the Member questions under the 5-minute rule that we760went over with you. I now recognize myself for 5 minutes.761    Mr. Adornetto, successfully been in business for 68 years,762you said, crossing two generations. And according to Pizza763Today, your business is in the top 100 independently owned764pizzerias in the nation.765    My question is, what has enabled you to remain successful766across multiple generations? And as you look to the future,767what lessons do you hope to pass down to the next generation768that is sitting behind you to ensure that you continue for many769years and many more generations to come?770    Mr. ADORNETTO. You know, as I said in my opening statement,771Mr. Chairman--thank you for the question, by the way--just the772work ethic that was passed down to me from my grandparents, my773father has helped us achieve that; our community, our great774workforce that we have had in the past and currently. And775hopefully in the future--reference the future--hopefully have776more workforce development. We need that in hospitality777industry, making sure that people realize that they can make a778career of that. And, obviously, access the capital and779expansion will help out greatly, and continuing to achieve that780award with Pizza Today in the future as well for the next781generations to come.782    Chairman WILLIAMS. Great. Mr. Freeman, to you, you started783your first company, Murphy's Naturals, in search of a natural784bug repellent for your wife. That is a great story in itself.785    After experiencing the firsthand challenges of starting the786scaling back--scaling a business, you then launched your second787business, The Loading Dock, which is a flexible warehouse788space, as you talked about, where you help mentor and guide789other growing entrepreneurs.790    So the question is, can you share how The Loading Dock is791helping other small business owners overcome barriers, grow792their companies, and achieve the American Dream?793    Mr. FREEMAN. Yes, sir. And thank you, Mr. Chairman, for the794question.795    One of the biggest hurdles that I ran into starting off was796I was a solopreneur. I was doing things on my own. I didn't797have much of a base of support to work from, to ask questions798about how you start a new business. It was really figuring it799out myself in that scrappy way.800    There were many hurdles that I had to overcome. Some were,801as I mentioned before, signing a multiyear lease for a802warehouse and having to personally guarantee that when I really803didn't know if my business would thrive or not. I figured there804had to be a better way to do this.805    So what we did was we created a vast amount of warehouse806space, and we divided it into individual units. And that807allowed small business to come in and use as little as a808hundred square feet to support their business, and that is an809incredible thing for them to have that flexibility.810    Now we have units as big as 2400 square feet, but we don't811require a lease, and we don't require a personal guarantee. As812a matter of fact, they don't even have to buy the material813handling equipment that they need to move their goods, to814receive goods, to warehouse goods, and to ship goods. We supply815all of that, and it is shared.816    So by removing some of those hurdles, it made a massive817difference for people to be willing to start something, and I818would never want anyone to regret never starting something819because of those hurdles. Now, we can't remove the hurdles to820entrepreneurialism, but we can lower them. And if we lower them821and we get a few more people to say, yes, I am going to give it822a try, then that matters.823    And then lastly, as far as that is concerned, we have built824a community. When you think about all those different825entrepreneurs working in the same building together, they share826ideas, they commiserate, they speak about the victories, the827challenges, and that is a big deal.828    When you have other people to work with, even though they829are not part of the same company, that is a very, very big deal830and to have that community.831    And that is all around Murphy's Naturals at our main832headquarters. So we derive energy from all of those people, and833several of those people became team members at Murphy's834Naturals as well. So very beneficial.835    Chairman WILLIAMS. Well, thank you for that.836    And in the limited time I have got, Mrs. Shybunko-Moore,837since the founding of our nation, small businesses have played838a vital role in strengthening America's ability to defend839itself.840    Could you speak briefly to the unique role that small841businesses like yours play in supporting America's warfighters842today, and, more broadly, can you talk about what is critical843for our national security that we continue to foster an844environment where small business can start, grow, and thrive?845    Mrs. SHYBUNKO-MOORE. Thank you very much for the question.846It is a big question for something very important that we all847do.848    So to support, obviously, the defense industrial base849brings pride every day, not only to me and my family, but to my850employees, which is the most important thing that I have,851right? My workforce.852    So I think right now, I am going to get to the end of your853question first with the time allotted here. We have to focus on854workforce and make sure that we continue to train the workforce855that can manufacture the parts that we need for our national856security. We need to make sure that we are building our supply857chain, we need to make sure that we are building capacity and858capability in this nation and which right now, I believe it was859referenced, it is diminishing right now with all the different860business dealings that are going on. We absolutely have a861diminishing supply chain in our defense industrial base, which862poses a threat.863    And I also believe we need to do some more branding and864marketing for manufacturing. We have to make sure that people865understand that it is a noble job to be in a manufacturing866company.867    Chairman WILLIAMS. My time is up.868    Mrs. SHYBUNKO-MOORE. I saw that. That is why I went to the869end of your question first. Thank you.870    Chairman WILLIAMS. I now recognize the Ranking Member for 5871minutes of questions.872    Mr. OLSZEWSKI. Thank you very much, Mr. Chairman. It is the873250th anniversary. So, Ms. Cool, I will start with a fun874question.875    Why is America the best place to start a small business?876    Ms. COOL. Oh, my gosh. The United States of America rewards877innovation. When an immigrant can come with the focus and the878determination to build the business from the ground up like me,879that is rewarded. That is absolutely rewarded.880    And being able to create jobs, invest in my neighborhoods,881invest in my communities, you can't do that anywhere else in882the world. So happy birthday.883    Mr. OLSZEWSKI. Happy birthday, America, indeed. And, Ms.884Cool, your story is an inspiration and, I think, speaks to that885promise.886    I know that minority Committee staff released two reports887warning about the ways in which the Trump administration is888draining main street of critical immigrant staff and889entrepreneurs.890    So, Mr. Chairman, I would ask unanimous consent to put891those reports into the record.892    Chairman WILLIAMS. So moved.893    Mr. OLSZEWSKI. Thank you. Ms. Cool, can you speak to how894you see President Trump's mass deportations as hurting your895clients' ability to find and keep workers and make sales?896    Ms. COOL. Well, I can speak from the perspective of seeing897what is happening in my communities and the organizations we898serve.899    When there is uncertainty around immigration, many900employers report greater difficulty recruiting and retaining901workers, and the community declines in participating because902hesitation, they are fearful. So whether we are talking about903healthcare, workforce, we need stability. Trust matters.904    My hope is that we can maintain a legal or a lawful905immigration system that also serves the small businesses so906that our workers can grow and our communities can feel more907stable.908    Mr. OLSZEWSKI. I appreciate that perspective. Mrs.909Shybunko-Moore, someone who has a difficult name, I appreciate910sharing that with you.911    Women-owned small businesses saw 2.3 billion less in912federal contract dollars than in 2024. The WOSB program is913severely underused and the goals are unmet.914    Can you speak to how bolstering this critical program might915help small businesses and the industrial base?916    Mrs. SHYBUNKO-MOORE. Yeah, absolutely, and thank you for917that question, indeed. So I think in general, before you get to918the woman-owned small business specific, though, I think you919have to accept the fact that there are more barriers to entry920into federal contracting as a whole.921    So I would say that across the board, it is hard to get922companies to, again, enter into federal contracting. And then,923as you narrow into the woman-owned small business, you have to924ensure that they are mentored and trained and understand all925the requirements and regulations in order to succeed.926    And when I was on the National Women's Business Council a927few years back, that was really the focus. You can bring them928to the federal contracting world, but you really have to ensure929that they will succeed in it. And I think that is definitely a930focus of mine in terms of making sure that we are mentoring and931training and working together as partners in that federal932contracting world.933    Small business community is very close, and we do tend to934want everyone to rise and succeed. So I think it is imperative935that, again, we continue to look at what the red tape is to get936into federal contracting, that we minimize it--I know the937administrator is working on that--the access, again, to938capital, so that women-owned businesses can succeed and grow.939    And overall, just be able to have a conversation,940communication direct with the government, which I will say in941my years of experience, I am thrilled to see that there is942strong communication right now between the small business943leaders, and specifically, Defense Logistics Agency. I have944never seen the support right now, because I think they945recognize the need and the imperative nature of making sure946that these businesses thrive.947    Mr. OLSZEWSKI. Appreciate that. And then, Mr. Freeman, you948write that several of your product components can't be sourced949in the U.S. and that, quote, ``tariffs will eliminate profits950and put this innovative technology into a loss position.''951    Can you just expand a little bit upon that and, sort of,952the impacts you are seeing? Thanks.953    Mr. FREEMAN. I will be happy to. Thank you. So, yeah,954tariffs are definitely a challenge, especially when you don't955have the time to plan for them. Because oftentimes, we are956pricing products for retail and giving those price points well957in advance.958    And we have had the situation where tariffs have hit us in959a way that we had to absorb a lot of that additional cost. But960we show adaptability. And where it created some challenges for961us, it also created opportunities as well.962    In terms of because we are a manufacturer, people actually963asked us if we could manufacture for them as a U.S.-based964company. So there are challenges with it, but there are also965benefits.966    Mr. OLSZEWSKI. Thank you for that. I see my time has967expired. Happy birthday, America.968    Mr. Chairman, I yield back.969    Chairman WILLIAMS. The gentleman yields back.970    I now recognize Mr. Meuser from the great State of971Pennsylvania for 5 minutes.972    Mr. MEUSER. Thank you, Mr. Chairman. Thank you all for973being here very much. We are glad to be with you. It seems like974a very strong and positive discussion we are having, so that is975very important to hear.976    I have spent a lot of time helping grow small businesses to977a large business myself for almost 25 years. And sometimes when978people say, What does it take? I say, Well, find out what you979like, be committed to it, and in 20 years you might have980something.981    So there is a lot of--the environment matters, of course,982small business accounts for 99 percent of--not employment, but983of the businesses, about 60 percent of the employment. So it is984really truly the proverbial, but literal backbone of the United985States economy.986    Taxes, regulations, skills development, workforce, overall987environment that can be created within a State, you know, State988regulations, like in Pennsylvania, matter a lot. We tend to989have--we are very, very overly burdened with regulations in990Pennsylvania. We need to change that. Versus Florida, Georgia,991the Carolinas, Tennessee, Texas, where all the jobs are going992to. You know, consumer demand, I mean, that is a big part of993government, right? Making sure that interest rates are there,994access to capital, of course, all of those regulations.995    But outside of that--well, you know, there is an old996saying, too, just get out of my way, which you probably say on997occasion. But then again, from OSHA, many of the other998regulations and workers' compensation, you know, all these999things are definitely necessary.1000    You know, there is a reason--I just looked this up. You1001know, the EU, in 1995, had a GDP of $8.3 trillion, 800 billion1002more than the United States. We were at 7.6. Today, the EU is1003at 21.2, and we are at $30 trillion. So we are obviously doing1004a lot right as far as growing an economy.1005    So just based upon the conversations and statements you1006have been making--and, Ms. Moore, I am going to start with you,1007if you don't mind. I am from Long Island originally, by the1008way, so I see your business is in Hauppauge. And I grew up1009there, and I remember Grumman extremely well. I think everybody1010worked at Grumman there for a little while.1011    Mrs. SHYBUNKO-MOORE. They did.1012    Mr. MEUSER. But congratulations on your business. If you1013were sitting in my seat, if you were making some of these1014governmental rules and all, what do you think you would need to1015make you grow better over the next 5 years?1016    Mrs. SHYBUNKO-MOORE. Yeah. Thank you. And happy to hear1017that you are from Long Island.1018    I think right now, people need to recognize that, first of1019all, small businesses in manufacturing to me is a center aisle1020issue. Everyone should support small businesses and1021manufacturing.1022    And at the end of the day, no matter what decisions are1023happening here, we still have to work every day, make our1024product and feed, for myself, 90 families, right? At the end of1025the day, that is what I am responsible for.1026    So I am always looking at the decisions that are being done1027and made here, ensuring that, again, in order to grow, access1028to capital is always the key. I would like to buy more1029equipment, I would like to grow my capacity, I would like to1030grow my capability, continue to grow and expand and support the1031U.S. Defense Industrial Base, and then, obviously, create jobs1032that people can be proud of, that people can support their1033families on.1034    So sometimes I have to stop hearing the noise that is1035sometimes out there and focus that I just have to continue1036waking up every morning and making the products that I make and1037meet the goals and production rates that I have.1038    Mr. MEUSER. Products, people, process. All the Ps you got1039to nail. Payment, very important in business.1040    Mrs. SHYBUNKO-MOORE. Yes.1041    Mr. MEUSER. The working family tax cut, which was in the1042big beautiful bill, you mentioned earlier the importance of it,1043199A, the bonus depreciation, the R&D tax cuts----1044    Mrs. SHYBUNKO-MOORE. Yes.1045    Mr. MEUSER.--perhaps the overtime also help your employers.1046    Move on to Ms. Cool, could you maybe answer the same1047question as far as what would you like to see improve from a1048regulatory government tax standpoint for your business to grow1049better over the next 5 years?1050    Ms. COOL. I would say predictability. We need to be able to1051plan. For us to invest, buy equipment, hire people. Same thing1052with my clients. I cannot get commitments on contracts or1053proposals because they themselves are impacted what may happen1054tomorrow.1055    So as we are planning to feed our families, to keep our1056folks employed, to pay for kids' colleges, mortgages, we can't1057afford to go out and make willy-nilly decisions because1058tomorrow the rules have changed.1059    Mr. MEUSER. I agree very much.1060    Ms. COOL. But being able to have predictability is a1061priority.1062    Mr. MEUSER. That is very important. I very much agree.1063    Mr. Adornetto, same question to you.1064    Mr. ADORNETTO. Adornetto. Yes, sir. Thank you for the1065question.1066    Mr. MEUSER. Adornetto, got it.1067    Mr. ADORNETTO. I would say obviously predictability as1068well, access to capital, continue to do--specifically, you have1069done some things with no tax on tips on the federal level, and1070that has helped my industry specifically.1071    Mr. MEUSER. Sure.1072    Mr. ADORNETTO. The employees that----1073    Mr. MEUSER. Pardon me. My time has expired.1074    Mr. Chairman, I yield back.1075    Chairman WILLIAMS. The gentleman yields back.1076    I now recognize Mr. Tran from the great State of California1077for 5 minutes.1078    Mr. TRAN. Thank you, Mr. Chairman. Thank you, Ranking1079Member, for convening today's hearing. Thank you to the1080witnesses for being here.1081    For 250 years, the American Dream has been built by people1082who believed hard work and took a leap of faith to build1083something of their own. Nowhere is that story more powerful1084than in Southern California.1085    There is our small business community in Southern1086California. In Los Angeles and Orange County, I see it every1087day. These are family-owned restaurants, manufacturers,1088contractors, startups, and neighborhood shops. They are run by1089entrepreneurs from every background, including Asian Americans,1090Latinos, and immigrant business owners who have helped power1091our economy and create good-paying jobs. They represent the1092very best of America.1093    This Committee has done real bipartisan work for this1094Congress, moving bill after bill with support from both sides1095of the aisle. At a time when Congress feels more divided than1096ever, this Committee has shown that bipartisan progress is1097still possible.1098    But good bipartisan bills sitting on the Senate floor does1099not help anyone on main street. In fact, there are over 201100bipartisan small business bills that have passed this House and1101are now stalled in the Senate. The Senate Committee on Small1102Business and Entrepreneurship, under the leadership of Senator1103Joni Ernst, has held just a handful of markups this Congress1104all last year and none this year.1105    And while those bipartisan bills stall, small businesses1106across America cannot afford to wait. They are facing raising1107costs, uncertainty, and economic pressures every single day.1108They are dealing with President Trump's trade war, tariffs that1109raises the costs of supplies, inflation, the loss of the1110Affordable Care Act tax credit, and the costs of oil and energy1111skyrocketing due to the President's war of choice in Iran.1112    That is why Senate gridlock is so costly. Every month,1113bipartisan bills sit without Senate consideration is a month1114small business owners go without relief while costs keep1115climbing around them. Main street is asking Congress for help,1116and right now Chairwoman Ernst isn't answering. The Small1117Business Committee has proven bipartisan progress is possible.1118Now the Senate needs to match that urgency and act.1119    Ms. Cool, from your perspective working with small1120businesses, is President Trump's erratic policies making it1121harder for entrepreneurs?1122    Ms. COOL. Speaking from my perspective, the lack of1123predictability certainly impacts me as a small business. So,1124again, anyone we work with, whether it is a client, whether it1125is a partner, whether it is a vendor, without knowing what is1126happening tomorrow, we are hampered.1127    Mr. TRAN. Let me follow up with, what would it mean for1128main street if Senate Republicans sit on these bipartisan bills1129while financial pressure keeps building up?1130    Ms. COOL. You know, again, speaking from my perspective, I1131can tell you that we, as small businesses, need improved1132procurement access, improved access to technical assistance,1133you know, support for new technologies like AI. So when things1134are delayed repeatedly, we cannot make decisions, we cannot1135hire comfortably, we can't invest in future plans.1136    Mr. TRAN. Ms. Cool, the U.S. Citizenship and Immigration1137Services announced it will make temporary visa holders leave1138America to apply for green cards, something that I am actually1139working with the Judiciary Committee to oppose.1140    How will that policy hurt immigrant entrepreneurs and the1141Americans that they employ?1142    Ms. COOL. You know, we mentioned at the very beginning how1143the United States rewards innovation. When we do not know,1144regardless of the status, whether you are able to stay or not,1145whether tomorrow the rug gets pulled from you, that impacts our1146ability to make decisions. I feel like a broken record, so1147apologies for that.1148    But not knowing if a status or a current small business1149will not be able to function tomorrow prevents us from bidding1150on things, prevents us from hiring, from paying our workers. It1151is that simple.1152    Mr. TRAN. Shifting gears a bit. Healthcare costs are still1153a barrier to entrepreneurship for Americans looking to take the1154leap of faith and start a small business.1155    Ms. Cool, how would expanding healthcare through Medicaid1156and the ACA help aspiring entrepreneurs join the business1157community?1158    Ms. COOL. That is actually one of the main reasons people1159do not start small businesses, because they need to have their1160family covered. So when we don't have access to healthcare, we1161are unable to make or take that innovative risk to launch the1162business and grow the business.1163    Mr. TRAN. With the few seconds I have left, Mrs. Shybunko-1164Moore, do you have anything to add to that question?1165    Mrs. SHYBUNKO-MOORE. Again, I echo the predictability. But1166I think also, if you were to look through the lens of a small1167business owner, just please look at all the risks that we are1168trying to mitigate every day. It is healthcare, it is the cost1169of material, it is the cost of salaries, it is the cost of1170living.1171    So please, these are stackable for us. We are dealing with1172this every day, as you are voting on one issue at a time.1173    Mr. TRAN. Thank you so much. And with that, I yield back.1174    Chairman WILLIAMS. The gentleman yields back.1175    I now recognize Ms. King-Hinds from the great Northern1176Mariana Islands for 5 minutes.1177    Ms. KING-HINDS. Thank you, Mr. Chairman.1178    As we celebrate America's 250th anniversary, one of the1179greatest lessons that we can learn from small businesses is1180resilience. I have heard you tell your stories about having to1181endure the pandemic, have to endure changing regulations, lack1182of clarity and just the changing business dynamics, right?1183    And so folks back home, small business back home right now1184have barely recovered from a super-typhoon that hit us 2 months1185ago. And as I head back home tomorrow, I have got to board up1186because another typhoon is on the way, right?1187    And, you know, the one beautiful thing that we saw after1188this last typhoon was, you know, these businesses, they lost1189inventory, you know, they lost their roofs, they lost1190equipment, but they quickly came back the next day. They1191cleaned, you know, they started rebuilding, and people just1192started helping one another.1193    And the one thing that I have realized, having been a1194Member for 18 months, is that, you know, whether you are from1195the Marianas or from the United States, the continental United1196States, right, our communities are built by the same values,1197which is faith, you know, family, hard work, and the belief1198that tomorrow can be better than today.1199    And I feel that my responsibility as a Member of Congress1200is to ensure that you are given every opportunity in terms of,1201you know, just some of the policies that are out there to1202thrive so that this country can continue on, you know, this1203great American path.1204    So I want to yield the remainder of my time to you, and I1205will start with Mr. Adornetto to just--you know, if there is1206one policy that you can change, you know, what would it be? And1207I want everybody to have equal time, so--I have about 2:50.1208Please share.1209    Mr. ADORNETTO. In my industry, credit card swipe fees. They1210are approaching more in my profit and loss than what I pay for1211benefits for my employees.1212    Mr. FREEMAN. For my industry at Murphy's Naturals, we fall1213under the U.S. EPA, and it would be really helpful from an1214innovative standpoint if we were able to have ways, have people1215who could advocate for us for bringing forward new and1216inventive ways of using natural products that don't necessarily1217conform to the strict guidelines that are in place now, where1218we could actually add new ingredients. Because the list has1219been the same for a very long time on active and inerts.1220    So to have the ability to introduce new ingredients,1221natural ingredients, would be a huge help.1222    Ms. KING-HINDS. Okay.1223    Mrs. SHYBUNKO-MOORE. Thank you very much for the time.1224Again, in my industry, I am going to say the word1225predictability again and ensuring that demand signals are clear1226for the defense industry, making sure that we are able to buy,1227again, the raw material that we need to get.1228    So we need to talk much more about funding and how we can1229manage cash better in the small business so that we can grow1230and buy new equipment and grow capability, which I have1231mentioned.1232    But the other that I will say with these few seconds left1233is that I think we have to remember we are celebrating 2501234years, and we are all now thinking, what does this next long1235game look like, the next 250 years? And I am hoping and praying1236every day, not only in my short life and perspective that I can1237pass on my company to my family, but also that we just continue1238to focus again on this long game of small businesses and1239manufacturing.1240    I believe, Chairman, you mentioned the architects, right?1241Well, I am curious what drawings we are drawing right now for1242the next 250 years of what U.S. manufacturing looks like, and I1243do hope that we are, again, looking at the long game, the1244decisions that are going to impact us for these next 250 years.1245Thank you.1246    Ms. COOL. So echoing a lot of what my fellow witnesses have1247mentioned, from me is--needs to be language access. It is not1248just symbolic to put something in a foreign language so we can1249access it. The world is global. Our community is global,1250regardless of what anyone is thinking. And when we don't1251provide access in simple language, we are missing a swath of1252the population.1253    That is our workforce. That is our future doctors, the1254future architects. These are the people that are driving the1255next 250 years. When issues are complex and not easily1256digestible, we are excluding folks.1257    Along with language access, one of the main things that can1258be done is technical assistance, especially around new1259technologies like AI. It is not going anywhere. So do we have1260access to resources where small businesses can be supported and1261learning and implementing those tools so that we are able,1262then, to function and continue to be competitive?1263    Ms. KING-HINDS. I am out of time. I yield back.1264    Thank you.1265    Chairman WILLIAMS. The gentlelady yields back.1266    I now recognize Ms. Goodlander from the great State of New1267Hampshire for 5 minutes.1268    Ms. GOODLANDER. Thank you, Mr. Chairman.1269    And thank you to our witnesses for being here today and for1270sharing your American small-business stories. It is exactly the1271right spirit for this week, for this moment, because we have1272gathered in the 250th year of the greatest experiment in self-1273government that the world has ever known.1274    Two hundred and fifty years ago this week, the Second1275Continental Congress--and Congress doesn't get a lot of great1276reviews these days, but we did do one very good thing 250 years1277ago, and that was in creating a five-person subcommittee to1278draft a declaration.1279    The effort was led by a 33-year-old Virginian, Thomas1280Jefferson. He spent 17 days in a rented room in Philadelphia.1281And what he produced, what that congressional subcommittee1282produced was probably the best thing Congress has ever1283produced, and it was probably the most consequential document1284in the history of human freedom.1285    ``We hold these truths to be self-evident''--1286straightforward, not bureaucratic, just a clear statement that1287every human being is created equal and entitled to rights, to1288life, liberty, and the pursuit of happiness.1289    I had a chance a few weeks ago to spend some time with1290three extraordinary small businesses in my State of New1291Hampshire. Our motto as a State is ``Live Free or Die.'' And we1292have family farmers who have been operating their farms for 2501293years. Their ancestors fought in the Revolution, and they are1294continuing to fight to keep these small businesses afloat.1295    One of the things I talked about with these three1296incredible small businesses was, how have you stayed in1297business for 250 years? And, really, I think the answer to how1298small businesses, how America stays forever young is a constant1299reinvention.1300    And, Ms. Cool, you said it so well, that reinvention is the1301small-business superpower. It is constantly inventing to solve1302problems and to seize opportunities. And you have all done that1303in your own small businesses.1304    But the throughline, to me, in this hearing has been the1305absolute urgency in giving you the predictability and the1306clarity that you need to continue to stay forever young and to1307fuel our economy.1308    We know that kleptocracy, that arbitrary and capricious1309decision-making is the enemy of predictability and clarity.1310Kleptocracy is bad for small business. Lawless and1311unconstitutional taxation is bad for small businesses. In fact,1312they were the sources of the Revolution.1313    And so, as I have listened to small businesses across the1314State of New Hampshire, we come back again and again to the1315unconstitutional, to the corrupt and extremely costly tariffs1316that President Trump unilaterally imposed on every small1317business in this country.1318    We challenge those tariffs in court. We were successful in1319the Supreme Court. We are pressing for reimbursement for every1320unconstitutional dollar that was taxed by this President.1321    Mr. Freeman, you spoke about the impact of tariffs on your1322small business. Have you sought to be reimbursed for these1323unconstitutional taxes?1324    Mr. FREEMAN. Certainly, as a small business, every bit of1325cash that we can have, that we can deploy is critical. So, yes,1326I mean, we have submitted for refunds of tariffs, and----1327    Ms. GOODLANDER. And have you received those refunds?1328    Mr. FREEMAN. No, but we just received an update, actually,1329yesterday that we will be receiving a credit, and actually1330coming through one of our vendors who actually imported--they1331were the importer of record--and they let us know about a1332credit that we would be receiving.1333    And we just recently were able to go through the process of1334getting on the portal and submitting for those that we had1335purchased directly from overseas suppliers.1336    Ms. GOODLANDER. Well, the amount of time and effort and1337cost that has been put on every small business in this country1338to recoup taxes that never should have been imposed in the1339first place is outrageous.1340    We are working around the clock to press this1341administration to issue these reimbursements way more quickly1342and with way less red tape and hassle. You shouldn't have to1343have an army of lawyers to be able to get back what is owed to1344you and never should have been taken from you in the first1345place.1346    So I thank you all for being here today.1347    And, with that, I yield back, Mr. Chairman.1348    Chairman WILLIAMS. The gentlelady yields back.1349    I now recognize Mr. Patronis and one of the great1350entrepreneur restaurateurs in Florida, from that great State,1351for 5 minutes.1352    Mr. PATRONIS. I got so each excited about Adrian being1353here, I am telling you. So thank you, Mr. Chairman. This is a1354cool slate of folks you invited up, no offense to anybody else.1355    But I am going to nerd out a little bit. My family has been1356in the same family restaurant business for 70 years. My uncle1357and dad started it back in 1958, and now my kids are working1358there, so three generations. It is tough; it is tough working1359with family.1360    And, yeah, you are singing to the choir when you speak1361``interchange fees'' and ``card swipe fees.'' Not everybody1362here understands what that means, but everybody here that has a1363credit card--every single one of you use a credit card when you1364go out to eat. But did you know that, at Adrian's restaurant,1365every time you swipe that card, it costs him anywhere from 4 to13665 percent out of his pocket so you can get your miles, so you1367can get your rebates, you know? It is great when you use that1368Costco card and you get 3 percent back, but you probably didn't1369realize Adrian is the one paying for it. And so, yeah, the1370credit card swipe fees is something.1371    And we are in a society now--back when I was in the State1372legislature, I even advocated for a bill that said businesses1373had to take cash, because I still feel like there is an1374importance to having legal tender that is not, you know, some1375credit-card-managed, you know, type of doing business.1376    But it is what it is. We are in a society now where credit1377cards make up 75 percent of your business--or more, you know,1378yeah.1379    But that is--look, it is--but thank God, you know, it is1380intoxicating, the restaurant business. Where else do you get to1381see somebody celebrate an engagement or an anniversary or a1382birthday? And they can go eat at anybody's restaurant in the1383whole entire town, but he decided to come to yours, you know?1384And so it is exciting to see.1385    I will ask some questions.1386    I am assuming, as long as your business has been around, is1387your dad still around?1388    Mr. ADORNETTO. No, sir. My dad passed away in 2023.1389    Mr. PATRONIS. Yeah. I lost my dad in 2020. So my dad and1390uncle were partners. They shared a desk, you know? They worked1391shifts.1392    My brothers--I was there for 30 years, and then my brothers1393now still--I am the baby--we still--to kind of get along from1394keeping at each other's throats, they still clock in and clock1395out. If you want a paycheck, you are in the building taking1396care of the customer. If you are not there taking care of the1397customer, then no sense in being paid. So now, since I am in1398Congress, I don't get paid.1399    So, when you worked through that transition----1400    Mr. ADORNETTO. Uh-huh.1401    Mr. PATRONIS.--did you have siblings also in the business1402with you?1403    Mr. ADORNETTO. I did not. I did not. I was an only child.1404    We, actually, Congressman, share the same starting year--14051950, I think I heard you say----1406    Mr. PATRONIS. Yeah.1407    Mr. ADORNETTO.--and that is when my father started his.1408    No, I am an only child, so the barrier wasn't that I didn't1409want it and worked for it to have the opportunity to talk to my1410father. My father wanted me to take it over. For us, being a1411small business, it was just the access of, how do we do this?1412The legalities.1413    Mr. PATRONIS. Yeah.1414    Mr. ADORNETTO. Watching for what tax implications we could1415trip into; talking to accountants.1416    And they were all great people and professionals that1417helped us out through it, but we spent a lot of time. And it1418got to one point where--I believe we were 6 months in--I said,1419``Hey, listen. The founder wants to do it. He has a buyer; it1420happens to be his son. Let's figure out these legalities and1421the tax implications and let's get this done.'' We just dragged1422out money and bills and further and further.1423    So it was a good situation. I do know a lot of family1424businesses, maybe some on this panel, that have different1425family members, whether it is aunts, uncles, siblings, that1426could be quite contentious. And that is unfortunate, because1427that is how some businesses lose----1428    Mr. PATRONIS. Sure.1429    Mr. ADORNETTO.--and fall apart and families split apart.1430So----1431    Mr. PATRONIS. And then those are the struggles we are going1432through right now. Now I have--it was just four boys working1433for my dad, and my uncle had no kids, but now all my nieces are1434in it. And so my mom went from having four boys to seven1435granddaughters. So now the business is overrun with women1436running it now--which is great. They do a great job.1437    Mr. ADORNETTO. Uh-huh.1438    Mr. PATRONIS. But it is--it is still--as much as I would1439love to work with my family every day, some days I would love1440to, you know, vote them off the island because of the1441challenges you run into.1442    We----1443    Mr. ADORNETTO. My kids are right there. I don't want them1444to vote me off the island.1445    Mr. PATRONIS. It is okay. You don't have stock yet. But1446maybe if he takes advantage of the tax law, he will start1447gifting you the maximum amount every single year early on.1448    But it is--it is just an honor to see, still, people1449wanting to be in the restaurant business. What you have, you1450could not start it today. And, you know, God bless your dad for1451doing what he did.1452    Mr. ADORNETTO. Thank you.1453    Mr. PATRONIS. I yield, Mr. Chairman.1454    Chairman WILLIAMS. The gentleman yields back.1455    I now recognize Mr. Schmidt from the great State of Kansas1456for 5 minutes.1457    Mr. SCHMIDT. Thank you, Mr. Chairman.1458    And I appreciate the witnesses being here. It has been a1459pleasant discussion to listen to, with folks, sort of,1460analytically discussing information. It doesn't always happen1461around this place. I was in a hearing yesterday in a different1462committee where I was, embarrassingly, between two folks1463shouting at each other, and I carefully read my notes while1464trying to look impartial.1465    I had just a handful of questions.1466    I was thinking about that famous line that President Reagan1467used, ``The nine most terrifying words in the English language1468are, 'I'm from the government, and I'm here to help,''' and1469thinking about what I would characterize as part of the1470intellectual tension that I have heard discussed here. On the1471one hand, we need certainty, we need government policy that is1472predictable, we need to not be whipsawed all the time. I1473understand that. And, on the other hand, sort of, the spirit of14741776. There are times when you just have to make bold change1475and you are worried a little less about the short-term1476uncertainty and a little more about the long-term trends and,1477kind of, where you are headed. And those have been in tension1478throughout our history.1479    So a couple of questions along that line.1480    Regulatory reform, generally--I always love the, sort of,1481top-line back-and-forth debates that you hear about, are1482regulations good or bad? And the answer is, they are both. They1483often have good purpose, and many of them we need. And, on the1484other hand, it is possible to have too much of a good thing,1485and you impose compliance costs that are unnecessary and create1486other harm, right? And so it is a balance.1487    I have pointed out before that, the year I was born, in14881968, the Code of Federal Regulations--which, of course, is the1489compiled list of all of the law made by bureaucrats, made by1490folks with authority we have delegated to them in Congress--was1491about 50,000 pages. Today, it is about 200,000 pages. It has1492quadrupled in my lifetime.1493    And I guess I would just invite--we will just go down the1494line, in the time I have--I would invite you to comment on1495regulatory compliance costs, and are there areas we should be1496looking, from your vantage point, where perhaps we have gone1497overboard and we could scale it a back a bit, free up some--1498some freedom of motion on your part?1499    Mr. Adornetto?1500    Mr. ADORNETTO. You know, the first one that comes to my1501mind is the Affordable Care Act. As a small business, I was1502stretching around everywhere trying to find, how does this1503work? What can I do? What is my resource? I even called the 1-1504800 number at the time, going back to 2013-2014. Still get1505confused by it. I have talked to insurance agents that I try to1506deal with, and they are confused by it.1507    Recently, we retired a brand that was 51 years old that we1508didn't mention in my testimony. As a result of that, I went1509from a large employer, if you can believe it or not, three1510restaurants, in rural Ohio, open in the evening--so a large1511employer to a small employer.1512    Mr. SCHMIDT. Uh-huh.1513    Mr. ADORNETTO. Just that change alone was about $3,500 a1514month, for virtually the same healthcare that we had prior,1515because of status.1516    And so that is where I have some ongoing issues with trying1517to figure out the regulations on that and make sure that I am1518staying compliant, make sure I am doing the right paperwork--1519because I do all of our own payroll and things like that in-1520house--and just make sure we are not getting ourselves in1521trouble.1522    Mr. SCHMIDT. Thank you very much.1523    Mr. Freeman?1524    Mr. FREEMAN. Thank you for the question and opportunity to1525speak to it.1526    I mentioned EPA regulatory earlier. Another thing that is a1527challenge there--and, definitely, the EPA, you know, serves its1528purposes, but there are challenges for small businesses, too,1529when you have red tape that you have to work through.1530    Each individual State, many of them--I would say about 371531to 38 of them--have their own regulatory bodies, but sometimes1532they are in conflict with one another, and we have to hire1533consultants. Those consultants are very expensive.1534    It would be nice if there were greater coordination between1535the U.S. EPA and the State bodies to streamline that so we1536didn't have the conflicting regulations between them.1537    But that would be something that would be incredibly1538beneficial to us, to have one guiding policy for repellant1539products.1540    Mr. SCHMIDT. Thank you very much.1541    Time is tight, but Mrs. Shybunko-Moore?1542    Mrs. SHYBUNKO-MOORE. Sure.1543    So, in my business, Federal Acquisition Requirements are1544everything. And so my issue right now is: Obviously, we are1545advancing technology in the sector, manufacturing sector, but1546the federal regulations flow-down with cybersecurity right now1547are incredibly burdensome.1548    I don't think the flow-down of the supply chain on small1549businesses was necessarily assessed in terms of how it impacts1550operations every day, and I think we need to look at how we are1551flowing down the cybersecurity requirements with CUI and other1552issues.1553    Mr. SCHMIDT. Thank you.1554    Ms. Cool, I have 2 seconds, if you want to speak fast.1555    Ms. COOL. Super-fast. Procurement.1556    Chairman WILLIAMS. If you wouldn't mind saying it one more1557time?1558    Ms. COOL. Procurement. Simplifying procurement.1559    Mr. SCHMIDT. Thank you, Mr. Chairman.1560    Thank the witnesses.1561    Chairman WILLIAMS. The gentleman yields back.1562    Now we recognize Mr. Jack from the great State of Georgia.1563And it appears all the ``little Jacks'' are here.1564    Mr. JACK. I wish that were the case, but, Mr. Chairman, I1565am delighted to be joined today by my former high school1566basketball coach. And you, as the coach of our congressional1567baseball team, I thought he could hopefully share some1568embarrassing stories about me to you.1569    But I want to acknowledge Coach Michael Wylder and his1570wife, Kathy, and their entire family for coming.1571    Thank you.1572    And they are here to celebrate America's 250th birthday, as1573are we all this weekend.1574    And to celebrate, last year, the President of the United1575States enacted H.R. 1, the Working Families Tax Cuts. And I1576would like to start my line of questioning hearing from the1577small-business owners before us as to how helpful H.R. 1 was1578and continues to be to your business.1579    So, if we could start with Mr. Adornetto, I would welcome1580your comments and feedback.1581    Mr. ADORNETTO. Forgive me. I am not well-versed on that.1582Can you explain what those tax cuts----1583    Mr. JACK. The One Big Beautiful Bill Act.1584    Mr. ADORNETTO. Thank you.1585    Mr. JACK. Yes.1586    Mr. ADORNETTO. Of course, I mentioned in my opening1587testimony, but I will reiterate: the accelerated depreciation,1588where I can buy equipment, American-made equipment--True out of1589St. Louis, Missouri; Manitowoc ice machines out of Manitowoc,1590Wisconsin. They were great help to us in accelerating doing1591remodels and facelifts to our restaurants.1592    Mr. JACK. Wonderful. Thank you.1593    Mr. Freeman?1594    Mr. FREEMAN. Yes, sir. Definitely, when you take1595passthrough organizations, making those tax cuts permanent so1596that we are more in line with the C-corp type corporations,1597that is a big deal for us as well, to make those tax cuts1598permanent.1599    Mr. JACK. And if I can ask you as well, Mr. Freeman, what1600more could Congress be doing to make life easier and more1601affordable for small business?1602    Mr. FREEMAN. In a little bit different vein, access to1603capital. That is the biggest thing and has been the biggest1604challenge and hurdle for us, is having access to capital1605sufficient for the growth that we have in front of us and the1606opportunity.1607    Mr. JACK. I should ask Mr. Adornetto.1608    Mr. ADORNETTO. I would actually have to agree. Again, going1609through a restaurant remodel, that was one of the hardest1610challenges, was to access capital and to get hands on money to1611reinvest in an industry that sometimes banks don't want to open1612their pocketbooks for.1613    Mr. JACK. One of the issues I care deeply about is1614deregulation, and would welcome thoughts from both of you1615gentlemen on deregulatory efforts, what you would like to see1616accomplished across that as we have a few more months left in1617this Congress.1618    Mr. ADORNETTO. I welcome deregulation. There are some1619things with--some regulatory things with healthcare that I1620would probably be more concerned with more than anything else.1621    Mr. JACK. Sure.1622    Mr. Freeman?1623    Mr. FREEMAN. From a regulatory perspective, I understand1624regulation. I would say, when it goes too far and it is a1625hindrance to business and the progress of business, anything1626that can be done to help reduce the friction for small business1627would be incredibly helpful.1628    Mr. JACK. Mrs. Shybunko-Moore?1629    Mrs. SHYBUNKO-MOORE. I would say, any tax policy that1630promotes growth is obviously critical--so the immediate1631expensing in regards to capital investments that I am making,1632the R&D tax that was done.1633    Anything that puts more cash into my operations, where I1634can then reinvest and, again, be innovative and be that1635entrepreneur that we are, is critical.1636    Mr. JACK. Well, Mr. Chairman, I want to highlight just a1637few of the things that I have heard from constituents in my1638district--specifically, what we accomplished 1 year ago this1639Saturday.1640    We prevented the largest tax increase in American history1641by making President Trump's tax cuts permanent, saving the1642average American family from a $1,700 tax increase.1643    We delivered the largest tax cut in American history for1644working and middle-class Americans, including an estimated 15-1645percent tax cut for Americans earning between $30,000 and1646$80,000 annually.1647    We preserved the double standard deduction for more than 901648percent of taxpayers, strengthened the Child Tax Credit, and1649eliminated taxes on tips, taxes on overtime, so hardworking1650Americans can keep more of what they earn.1651    I also want to note, specifically in my home State of1652Georgia, since H.R. 1 became law, manufacturers have announced1653billions of dollars in new investments, not just across the1654country but also in my State, including new steel mills,1655pharmaceutical facilities, battery plants, and advanced1656manufacturing projects.1657    In my home State of Georgia specifically, companies have1658announced a $223-million rare-earth magnet manufacturing1659facility and a $400-million poultry processing plant, which1660means a lot to our farmers, means a lot to the ag community in1661Georgia. So, for those actions and stories that I have heard1662from my district, I am very grateful.1663    I wish you all well this weekend. I hope you are able to1664enjoy the festivities.1665    And, Mr. Chairman, I applaud you for hosting this committee1666hearing. I hope, 250 years from now, people are looking back to1667our transcript and enjoying the conversation we had as our1668country celebrates its 500th-year anniversary 250 years from1669Saturday.1670    I yield back.1671    Chairman WILLIAMS. Three of us have already committed to be1672here 250 years from now.1673    The gentleman yields back.1674    And, now, before we close, I have another question, as does1675the Ranking Member have a question.1676    So let me say this. Each of you is part of a1677multigenerational business or has got the potential to have one1678and pass one down to generations. And my business back in1679Texas, we now--I am second generation, third generation is1680running it, and fourth generation is coming down on Saturday.1681So we are pretty excited about that.1682    And I was glad to see the federal income tax exemption go1683from $15 million per person to $30 million per couple under the1684Working Families Tax Cuts.1685    So what does that--you know, we talk about, always, we are1686saving the family farm, we are doing this and that. But it is1687not the family farm we are saving, it is all businesses, by1688being able to pass this down without having to pay taxes.1689    So what does this change mean to you, and how does it1690impact your business, to pass your business on to the next1691generation? Maybe each one of you can answer that.1692    Mr. ADORNETTO. Very grateful for the change. It is greatly1693impactful. It will help in our situation.1694    Hopefully, Mr. Chairman, I will be living many more years1695to come, but I hope that that stays that level or possibly1696increases and other vehicles to help out in passing a family1697business down to the next generation.1698    Chairman WILLIAMS. Yeah.1699    Mr. FREEMAN. Yes, sir. As the founder of our companies, one1700thing that would be meaningful for us is the ability to tweak1701what has been put into place.1702    For us, if you are a C corp, there is the founder discount,1703which is significant when there is any sort of transaction for1704the company. But we were established originally as an S corp,1705so not eligible for that reason.1706    So, if it could be expanded to S corps that later became C1707corps--which we did--that would be very meaningful for our1708particular situation.1709    Chairman WILLIAMS. Thank you.1710    Mrs. SHYBUNKO-MOORE. I think, in my industry, the1711unpredictability is the only thing that is predictable. So any1712decisions that are made that can, again, provide stability is1713critical for me.1714    Anything that we can do to invest and reinvest not only in1715my company but in regional manufacturing and national1716manufacturing is just something that I am incredibly passionate1717about.1718    And so I want to make sure that when you are making1719decisions, that they are based on entrepreneurship and1720innovation and risk mitigation and how do we create the best1721manufacturing companies in this next generation and, more1722importantly, how do we stay relevant with the pace at which1723technology is moving.1724    Make sure that we are looking at steps that can be made so1725that, again, we can continue to pass on our companies and keep1726them private. Right? That is important to me, personally, that1727my sons are able to maintain private ownership and that it1728maintains a manufacturing company, not a financial company. I1729think that is something we have to focus on.1730    Chairman WILLIAMS. Okay.1731    Ms. Cool?1732    Ms. COOL. Yeah. For me, it is similar.1733    You know, we haven't been able to explore all the benefits.1734I mean, definitely have to engage my accountant and my lawyer1735on that. And, similarly, we are an S corp, so there is1736definitely opportunity--or additional cost--for me to figure1737out how to do this.1738    And I will echo what my fellow witnesses have mentioned.1739When major legislation like this is passed and we aren't1740looking at small businesses and seeking their input in advance,1741we have to catch up.1742    So, as long as we are investing the energy to ensure we1743have the resources to hire, to invest over the long haul, to1744think about the next generation, my own children, 22 and 24,1745how they can come into the business--all these pieces take time1746to plan.1747    Chairman WILLIAMS. All right.1748    I yield back, to the Ranking Member.1749    Mr. OLSZEWSKI. And I thank the Chairman for an opportunity1750to go a little deeper.1751    Thank you all again for your time.1752    I have a quick observation and then a quick question, I1753hope.1754    One is, it seems clear: Access to capital--huge issue. Yes?1755    Yes.1756    Yes.1757    Yes.1758    I have heard it over and over again from this panel, and I1759couldn't agree more--which is why I am concerned about a change1760that the SBA made back in February of 2026 around lending1761policies that would bar all small businesses with any amount of1762ownership by non-citizens lawfully in the U.S. from1763participating in the flagship 7(a) and 504 CDC lending1764programs. That change was subsequently extended to the surety1765bond and microloan programs.1766    And so my concern is, as we are talking about access to1767capital, we are affirmatively taking away access to capital1768through some of these changes.1769    And so, since I didn't have time before, I just wanted to1770add to the record again and ask unanimous consent to put a1771letter of concern that Members from the Committee have shared,1772Mr. Chairman.1773    Chairman WILLIAMS. So moved.1774    Mr. OLSZEWSKI. Thank you.1775    And I just would reiterate that I hope that we can do1776something on that issue. I think it is a very specific,1777tangible way that we can make access to capital available for1778more people, and would welcome you all in that work.1779    My question is really around housing, about, sort of, the1780cost of housing generally.1781    Mrs. Shybunko-Moore, I know that you spoke specifically1782about the Long Island press--if others want to weigh in as1783well--but just, sort of, talking about--can you talk briefly1784about, sort of, the impact you are seeing for employees as the1785cost of housing for starter homes is now over a million dollars1786in many places--people are turning 40 before they can buy their1787first home--and just what you are seeing on that landscape.1788    Mrs. SHYBUNKO-MOORE. Sure. And Long Island certainly is1789facing a lot of housing issues. So I will say that I have been1790working with local legislation on whether there can be an1791employee-employer effort to where we can somehow assist with1792their downpayment. I think that is something that had been done1793years ago in Long Island. I would love to see that in our1794region and then broadly as well, because I think they do need1795assistance, and I think that owning a home is an American dream1796that everyone should have before they are 50.1797    So, you know, it is something--and when I am looking at,1798obviously, the operations of my company, I am concerned about1799all the costs that my employees are trying to carry and,1800obviously, trying to maintain my workforce. It is hard to1801attract people to Long Island, it is hard to attract people to1802New York, because of the cost of living.1803    So I think we need to be creative in the way that we can1804somehow work with families and government and private1805businesses to figure out if we can find a solution with all1806those parties involved.1807    Mr. OLSZEWSKI. Yeah. I appreciate that.1808    I saw a lot of head-shaking, so, in the interest of time, I1809will take that as agreement.1810    I would love to have this Committee continue to engage with1811you and others about, to the extent it is in our purview,1812finding those kinds of opportunities to do partnerships with1813business to make homeownership more real.1814    I will just note as I conclude: Very proud of the ways in1815which this Congress passed an overwhelmingly bipartisan housing1816package. Probably the only major item of significance that I1817have seen be that kind of bipartisan approach that1818overwhelmingly addresses cost of living and some of those1819issues without some of the back-and-forth or the concerns that1820we have had.1821    There are some provisions, for example, in the1822reconciliation package that I actually supported, like the no1823tax on tips, like the no tax on Social Security, like the1824depreciation. There are other elements I think are problematic1825for Americans and for small business.1826    But this was legislation that was overwhelmingly1827bipartisan, will have the impact of lowering costs. I think it1828is the model for our way forward. It is why I really appreciate1829the partnership I have had with the Chairman in passing out1830some bipartisan legislation from this Committee. I echo1831Representative Tran's sentiments. We hope to see the Senate1832move on them.1833    It is not a ``big yawn,'' as the President said. I think it1834is important, it is impactful. And I hope that we can keep1835working with all of you to keep making progress on that1836legislation.1837    And, again, I thank you for the time, and I yield back.1838    Chairman WILLIAMS. The gentleman yields back.1839    I have three of my fellow Congressmen here.1840    Do you all have about a 1-minute question real quick?1841    Mr. PATRONIS. I think all I want to plug, Mr. Chairman, is1842a very special opportunity for our guests here, just because1843the American 250 display is going to be in the Rayburn Room,1844especially for the little guys. That is at 1:30 to 3:30.1845    We are going to have James Madison's copy of ``The1846Federalist,'' we are going to have the second printing of the1847Declaration of Independence, and we will have an original1848letter from Thomas Jefferson celebrating the 50th anniversary1849of our country.1850    So anybody in the room could stop--the Rayburn Room is1851right across from the House Chamber.1852    Chairman WILLIAMS. Congressman Schmidt?1853    Mr. SCHMIDT. Thank you, Mr. Chairman. Just appreciate the1854witnesses.1855    Chairman WILLIAMS. Congressman Jack?1856    Mr. JACK. I echo Mr. Schmidt. Thank you.1857    I yield back.1858    Chairman WILLIAMS. All right.1859    I would like to thank our witnesses for their testimony and1860for appearing before us today.1861    It has been a great hearing. And we always like to say1862that--you see a lot of hearings on TV. Some go different1863directions. This Committee here, we really do work hard to be1864bipartisan, and it shows, what we get out of here. And I1865appreciate all the Members.1866    And, without objection, Members have 5 legislative days to1867submit additional materials and written questions for the1868witnesses to the Chair, which will be forwarded to the1869witnesses.1870    I ask the witnesses to please do that promptly.1871    And if there is no further business, without objection, the1872Committee is adjourned. Thank you.1873    [Whereupon, at 11:36 a.m., the Committee was adjourned.]18741875                            A P P E N D I X18761877[GRAPHICS NOT AVAILABLE IN TIFF FORMAT]18781879                                 [all]