Looking Ahead: Obama Administration to Help Small Businesses

Wednesday,  President Obama announced measures to help small businesses attain more credit through the  government's Troubled Asset Relief Program,  also known as TARP.

He will make his announcement at a to-be-announced small business in  Maryland.

White House officials tell Fox that the President's proposal will increase the caps for existing Small Business Administration loans.   The hope is that  banks will lend more money to small businesses thus spurring greater economic growth.

Republicans are already on the offensive in advance of the announcement arguing that the administration is, "simply repacking the same SBA and TARP programs," says Brad Dayspring, Press Secretary for the Republican Whip, Congressman Eric Cantor (VA).

But Democrats are already forging ahead with similar proposals in the House.  The House Small Business Committee Wednesday approved a bill that supports $44biillion in small business lending.  Committee Chairwoman, Rep. Nydia M. Velázquez (D-NY) hopes the legislation advances through the House and Senate, but cautions that the any new proposals stay focused on the goal of increasing capital for small businesses rather than rehash previous ideas.  “In working to increase access to capital it is important to pursue policies that will open doors for and enhance the opportunities of small firms, "Velazquez in a statement," duplicating existing programs or instilling initiatives that only benefit the lenders does nothing to help grow our economy."

TARP expires in December, though the White House could extend it for another 10 months.