Phoenix, Ariz.: Thank you for your work to further business initiatives in Congress, particularly the SBA Women's Business Center program. What is the status of the bill to change the program from 2 5-year grants to 3-year renewals, and what issues must the bill address to become law?

Sen. John Kerry: I'm glad you asked this question. Actually, I successfully included a provision as part of the minimum wage bill that passed the Senate in January that included extending the Women's Business Center grant program for 3 year renewals. This provision has now been included in the emergency supplemental appropriations bill which the Senate is scheduled to consider tomorrow.

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Washington, D.C.: Tax incentives would encourage investments in small business. How do you propose we move foward in this initiative?

Sen. John Kerry: I'm introducing legislation today that would increase the exclusion for gain on the sale of small business stock. This legislation should encourage investments in small business. Please check my small business website later today for more details -- http://sbc.senate.gov.

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Highland, Md.: The Arry award of the ITES-2H contract, using a NAICS code for Telecom - even though the contract does not call for telecom services - allowed two large companies to bid and win as small business - GTSI and WorldWide Tech.

What can be done about practices like these that dilberately exclude small businesses?

Sen. John Kerry: The federal government has done an abysmal job of ensuring that small businesses get their fair share of federal contracts. Unfortunately the Federal Procurement Data System has incomplete information making it even more difficult for Congress to properly track whether small businesses are getting small business set-aside awards. I plan to hold an oversight hearing on this issue in the near future to determine what steps we can take legislatively. In the meantime, we need to hold the Administration's feet to the fire on keeping big businesses out of small business contracts.

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Redding, Calif.: Sen. Kerry,

How does you resume put you in a position to know or understand issues faced by small business owners?

Sen. John Kerry: I've been a member of the Committee on Small Business and Entrepreneurship for more than 20 years. In that role I've met with thousands of small business owners about their concerns. More to the point, I was a small business owner. A buddy and I were walking around Faneuil Hall Marketplace in Boston and had a craving for chocolate chip cookies. There were none to be found. The next day I found myself negotiating a lease and taking the steps to open a baked goods shop. Two weeks before we opened I was rushing around trying to find recipes. I sold the business, but it's still there today. So I understand the paperwork, red tape and pressures small business owners face every day.

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Petaluma, Calif.: Are you going to do anything to stop the SBA's proposed 5 year recertification plan for small businesses, that is going to cost small businesses billions throught 2012?

Sen. John Kerry: I have repeatedly said I do not support the SBA's 5-year recertification plan for small businesses. There is a real concern that this will create a loophole for big businesses. Last year, I proposed a one-year recertification which was included in a bipartisan bill. It didn't pass the Senate last year, but we'll be working on it again this year.

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Watertown, Mass.: Senator Kerry,

For many small, high tech businesses, the most important issue this year is the reauthorization of the SBIR program. Speculation abounds, both good and bad, ranging from SBIR is in trouble and may not even get reauthorized, to it is in great shape and will be doubled in size.

Since the scientific capabilities of our foreign competitors are increasing dramatically, and since the SBIR is one of the most successful federally funded research programs ever, and since more than a third of scientist and engineers work in small business, it seems unthinkable that SBIR won’t be reauthorized.

However, what is the likelihood that there could be an increase in the percentage of SBIR funding?

Also, would you briefly describe your goals and plans for the reauthorization of SBIR?

Thank you for your tremendous past and present support of Small Businesses and the SBIR program.

Mike Squillante

Chairman SBTC

Sen. John Kerry: Hi Mike, thanks for the question.

I agree it's a priority to reauthorize the Small Business Innovation Research Program because it provides critical capital for small firms to continue to keep us on the leading competitive edge.

I would like to hear directly from small firms that benefit from this program, so I plan to hold a hearing this summer before we move forward with legislation. The program doesn't expire until September 2008, but I'd like to get something done this year to avoid shutdowns or delays that would hurt small research firms.

I support an increase in the percentage of SBIR funding, but as you know, it's very controversial as the Bush Administration is opposed to it. We'll keep working on it.

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Millbury, Mass.: Will Senate Leadership be attaching the Minimum wage increase & small business tax relief bill to the Iraq finance legislation?

The President already said he would veto the Iraq legislation, but has an open mind when it comes to the Minimum Wage increase, so long as it included relief for U.S. small businesses.

Why not send the Minimum Wage bill to the President as a stand alone piece of legislation?

Sen. John Kerry: The minimum wage increase and tax relief package has been attached to the emergency appropriations bill. If the President does veto it, then we will have an opportunity to send the minimum wage bill to him as a stand alone bill. But I wouldn't be surprised if it's included in future versions of the appropriations bill.

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Vancouver, Wash.: Senator:

As a successful small businessman, from as small business owners perspective, what do you see as the biggest challenges to small businesses?

Sen. John Kerry: Thanks, Vancouver. The skyrocketing cost of health care is the issue I hear about the most from small business owners around the country. Since 2000, health care premiums have gone up 87 percent. That's outrageous and I have made this a top priority to address this year. I have introduced a number of legislative proposals and will work with my colleagues in a bipartisan way to get something done for small businesses.

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Slate: Sen. Kerry, thank you for your time and answering our questions.

Sen. John Kerry: Thank you all. I wish I had more time to answer your questions and appreciate the opportunity to hear from all of you.

All the best, John Kerry

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