Congressman Carter, Ezell Introduce Bipartisan Bill to Support Small and Local Businesses

WASHINGTON, D.C. – Today, Congressman Troy A. Carter, Sr. (D-LA) and Congressman Mike Ezell (R-MS) introduced the bipartisan Capacity Building for Business Districts Pilot Program Act. This legislation will authorize a new competitive grant program through the Economic Development Administration (EDA) for business district organizations, such as Main Street programs and local economic development entities, that provide tailored, on-the-ground assistance to small businesses in both urban and rural communities.

These grants will be used for community-based initiatives that help small businesses identify resources and create jobs. National nonprofits that apply for grants through the program must work with business district organizations, locally based nonprofit or public community, and economic development partners. Local subrecipients will receive a combination of resources and technical assistance, such as strategic planning, market analysis, grant writing, and business development services, to enhance their work.

“Small businesses are the backbone of our economy. This bipartisan legislation will help grow capacity in our business districts and create more equitable economic opportunities in Louisiana,” said Rep. Carter. “It would increase vital resources for many organizations in my district that conduct critical, on-the-ground work to uplift small, local businesses. I’m proud to co-lead this effort again this Congress with Rep. Ezell.”

Small businesses are the backbone of our nation’s economy. A robust economic development framework requires investing in the success of entrepreneurs and the local business districts in which they operate.

“The Capacity Building for Business Districts Pilot Program is a smart investment in the people and organizations that power local economies,” said Rep. Ezell. “By strengthening the operational and technical abilities of business district organizations, we’re laying the foundation for job creation, local wealth building, and an improved quality of life in underserved areas of South Mississippi. Through targeted technical assistance and better access to the U.S. Economic Development Administration’s RNTA grant program, we’re making sure small communities have the tools they need to build stronger, more competitive business districts and achieve lasting economic growth.”

“We applaud the introduction of the Capacity Building for Business Districts Pilot Program and are grateful for Rep. Carter's co-sponsorship of this important legislation and his continued support to Main Street districts and organizations across New Orleans and Louisiana,” said Dasjon S. Jordan, Executive Director, Broad Community Connections (New Orleans).

“Picayune Main Street’s mission is to preserve the historic character and integrity of our community’s downtown commercial and residential district, as well as to enhance the culture and quality of life through active community involvement. While we have seen successes, the additional support enabled through the Capacity Building for Business Districts Pilot Program would equip our organization to take this mission to new heights, facilitating small business growth, job creation, and enhanced quality of place for our community,” said Reba Beebe, Director, Picayune Main Street, Inc.

"Sankofa Community Development Corporation is excited about the Capacity Building for Business Districts Pilot Program to offer opportunities to strengthen economic development initiatives. We initiated the Lower Ninth Ward Main Street project in alliance with a network of organizations, community stakeholders, and local businesses. We look forward to seeing its positive impact on the growth of small businesses and revitalization of our historic commercial corridor,” said Rashida Ferdinand, Founder and Chief Executive Officer, Sankofa Community Development Corporation.

“By strengthening existing place-making efforts and serving as a catalyst for economic growth and development by creating a sense of place and pride for the community, the Downtown Hattiesburg Association is improving the quality of life in Hattiesburg. Added resources for capacity and technical assistance to expand our work will increase our impact. We are grateful for Rep. Ezell's support to make that vision a reality,” said Marlo Dorsey, Board Member, Mississippi Main Street Association and Hattiesburg Downtown Association.

"The Mississippi Main Street Association is thankful for Representative Ezell's leadership of this legislation. As Mississippi’s leading organization for preservation-based community and economic development, we are excited about the potential of this funding to strengthen our network of organizations committed to supporting our downtowns and small businesses,” said Jim Miller, Executive Director, Mississippi Main Street Association.

“As an organization dedicated to promoting, enhancing, and supporting our community’s downtown district, Main Street Pascagoula is incredibly thankful for Representative Mike Ezell’s support of the Capacity Building for Business Districts Pilot Program. We are confident that this Program will prove tremendously impactful for our community and other districts engaged in revitalization efforts, and we look forward to what the future holds,” said Susannah Northrop, Director, Main Street Pascagoula.

"We applaud Representatives Ezell and Carter for introducing the Capacity Building for Business Districts Pilot Program. This program will provide critical resources to locally based, non-profit organizations that support small business ownership and economic revitalization in urban neighborhoods and rural communities across the country,” said Matthew Josephs, Senior Vice President for Policy, Local Initiatives Support Corporation (LISC).

"We believe Main Streets are the backbone of the small business economy. Main Street America is pleased to support the Capacity Building for Business Districts Pilot Program. We thank Representatives Ezell and Carter for recognizing the critical role that business district organizations, such as Main Street programs, play in creating thriving local economies,” said Erin Barnes, President and CEO, Main Street America.

"The Capacity Building for Business Districts Pilot Program represents a powerful opportunity to support local leaders in rural America who are working hard to build vibrant local economies. By enabling the U.S. Economic Development Administration to collaborate with trusted national nonprofits to direct federal resources, we would be taking an important step to drive sustainable economic growth, and revitalize places, like rural communities, that are often overlooked and underfunded,” said Matt Dunne, Founder and Executive Director, Center on Rural Innovation.

“This legislation represents overdue investment in the community development organizations that help so many business districts adapt and thrive. By giving them access to the flexible capital and technical support they need, it strengthens these organizations' ability to serve local entrepreneurs, revitalize neighborhood corridors, and meet the business needs of the communities they know best,” said Frank Woodruff, Executive Director of Community Opportunity Alliance (formerly NACEDA).

“At a time when small businesses are facing tremendous uncertainty, we're pleased to support bipartisan legislation that would create a grant program within the Economic Development Administration to boost business districts in rural and other under-resourced areas. Given that many small businesses throughout America are found clustered together on main streets, they often thrive or falter as a collective. Support programs that recognize this specific need and help address it would go a long way toward giving more small businesses an opportunity to grow and thrive,” said John Arensmeyer, Founder and CEO, Small Business Majority.

Background

Currently, grants under EDA are not used for capacity-building assistance and pass-through funds to local entities. The Capacity Building for Business Districts Pilot Program Act offers an opportunity to expand inclusive access to EDA resources by leveraging the expertise of national nonprofit partners with deep connections to small businesses to provide on-the-ground economic assistance to our nation’s downtowns. This will benefit small businesses and underserved communities by providing them with the expertise necessary to apply for federal grants. These grants will enable communities to fund projects that boost local economies, foster innovation, and strengthen their overall business infrastructure.

Small businesses are often found clustered in our business districts: neighborhood commercial corridors, Main Streets, downtowns, and other dense concentrations of small business development. Small businesses located in business districts are typically those under 20 employees, that are owned locally and hire locally, creating opportunities to build local wealth and sustain a community from the ground up. Research from the Association for Enterprise Opportunity indicates that unemployment would be eliminated if one-third of “microbusinesses” hired just one additional employee. Expanding resources for business district organizations can stimulate increased economic growth for these small businesses and for the community.

Organizational support for this bill includes: Community Opportunity Alliance (formerly NACEDA), Main Street America, Local Initiatives Support Corporation, National Association of Affordable Housing Lenders, National Association of Latino Community Asset Builders, Small Business Majority, Small Business Anti-Displacement Network. Center on Rural Innovation, Small Business Roundtable, Broad Community Connections, Mississippi Main Street Association and Hattiesburg Downtown Association, Sankofa Community Development Corporation, Main Street Pascagoula, Picayune Main Street, Inc., Mississippi Main Street Association, and Local Initiatives Support Corporation (LISC).

Read the full bill here.

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