American Jobs Plan BriefingApril 14, 2021
On Tuesday, April 13th, NSBA joined with the Small Business Roundtable and various other small-business groups to hold a White House Briefing on the American Jobs Plan (AJP).
The briefing was moderated by Dr. Erika Gonzalez, Co-Chair of Small Business for America’s Future. Dr. Gonzalez was joined by Bharat Ramamurti, Deputy Director of the National Economic Council, Zach Butterworth, Director of Private Sector Engagement from the White House, and Joelle Gamble, Special Assistant to the President, National Economic Council from the White House. Isabella Guzman, the Administrator of the U.S. Small Business Administration (SBA) gave opening remarks. The guests discussed President Biden’s new American Jobs Plan and its benefits for America’s small businesses.
In her opening remarks, Administrator Guzman highlighted the importance of small business in the economy and noted that small businesses have a crucial role to play in the creation of the jobs of today and tomorrow. She also underscored how important infrastructure is to small business –– unrepaired roads and bridges can lead to shipping delays and lack of access to the internet can mean lack of access to opportunities. The AJP also aims to give small businesses more opportunities to sell to the U.S. government and empower small businesses to participate in federal research and development (R&D). Finally, Administrator Guzman vowed to lead the SBA to strive to be as entrepreneurial as the small businesses it serves.
Ramamurti and Gamble both reiterated the importance of small business in the economy and the administration’s commitment to helping small businesses thrive. Ramamurti also outlined the administration’s efforts to improve access to PPP for the smallest businesses and extension of the program. Gamble highlighted the program’s community infrastructure plans, such as the small business incubators, and its aim to address longstanding systemic equality issues.
In the Q&A section, Ramamurti, Gamble and Butterworth answered questions regarding specific aspects of the plan as well as its financing. They directed attendees to the Made in America Tax Plan, noting that it aims to pay for the AJP in fifteen years. They also underlined that only businesses filing taxes as C-Corporations will be affected by the tax changes proposed by the plan. Under the Made in America Tax Plan, the U.S. federal corporate income tax rate would be increased from 21 percent to 28 percent. The speakers also explained that an important aspect of the plan is to improve America’s competitiveness on the global arena, as well as to improve small business access to government contracting. Further, deductions for “offshoring” jobs would be denied, and a tax credit would be provided to support “onshoring” jobs. NSBA reported on the proposed pay-for tax provisions here.
Finally, in his closing remarks, Ramamurti noted that the AJP is looking to address some long-standing problems and that inaction is not an option. There is no way to tell yet what exact form the infrastructure plan will take –– whether it will be one large bill, or a series of smaller bills.
NSBA also put together a checklist highlighting the key areas that will likely have the most significant impact on the small-business community.