WASHINGTON – Sen. John Kennedy (R-La.) today joined Sen. John Barrasso (R-Wyo.) and 22 colleagues in a letter to Treasury Secretary Janet Yellen questioning the Biden administration over its proposed $110 billion tax hike on traditional American energy producers.

“We write with grave concern regarding the administration’s continued hostility towards American energy production. Working families and small businesses are facing immense challenges including high energy prices. At the same time, our allies and partners across the globe are asking for reliable American energy resources to escape their dependence on Russian energy and to deal with the energy crisis,” the senators wrote.

“Instead of increasing U.S. energy production, the administration is focused on increasing energy taxes. The administration has once again doubled down on weaponizing the tax code against U.S. energy producers,” they continued.

In its FY 2025 Revenue Proposals “Greenbook,” President Biden’s Treasury Department recommended $5 trillion in new taxes on the American people, including $110 billion in new tax increases on oil, gas and coal production. The Biden administration also proposed eliminating many existing provisions of the IRS code that benefit the American energy sector. 

“When facing a whole-of-government assault, American energy producers cannot continue to make long-term investments, which provide stability and energy security both at home and overseas. These crushing tax proposals, paired with the administration’s heavy-handed regulations and mandates, would threaten American families’ access to affordable and reliable energy, while giving our adversaries the upper-hand in global energy markets,” the senators concluded.

Sens. Mike Crapo (R-Idaho), John Thune (R-S.D.), John Cornyn (R-Texas), James Lankford (R-Okla.), Thom Tillis (R-N.C.), Steve Daines (R-Mont.), Shelley Moore Capito (R-W.Va.), Marsha Blackburn (R-Tenn.), Jim Risch (R-Idaho), Kevin Cramer (R-N.D.), Cindy Hyde-Smith (R-Miss.), Ted Budd (R-N.C.), Eric Schmitt (R-Mo.), Rick Scott (R-Fla.), Katie Britt (R-Ala.), Lisa Murkowski (R-Alaska), Bill Cassidy (R-La.), Dan Sullivan (R-Alaska), Mike Braun (R-Ind.), Tim Scott (R-S.C.), Cynthia Lummis (R-Wyo.) and John Hoeven (R-N.D.) also signed the letter.

The full letter is available here. 

WASHINGTON – Sen. John Kennedy (R-La.) today joined Sen. Tim Scott (R-S.C.) to introduce the Protecting Access to Credit for Small Businesses Act, a bill that would prevent the Biden administration from using the Small Business Administration (SBA) as a direct lender for the 7(a) Loan Program.

“Fraud and inefficiency characterize the Small Business Administration’s history in direct lending. The government shouldn’t crowd out private lenders that are already doing a good job getting funds to the small businesses that need them. I’m proud to partner with Sen. Scott to stop the SBA from replacing private lenders and those in our communities with Washington bureaucrats,” said Kennedy. 

“When acting as a direct lender, the SBA has a consistent history of failure and inefficiency when compared to the private sector. The administration’s proposal is just a vehicle for a big government overreach into nearly all aspects of American life and private institutions. There’s simply no reason to use the federal government to funnel tax dollars that will later be loaned back to small businesses,” said Scott. 

The Protecting Access to Credit for Small Businesses Act would block the SBA from issuing direct 7(a) loans and competing with small lenders.

Background:

• The 7(a) Loan Program provides small businesses with loans of up to $5 million to help job creators grow and maintain their businesses. Today, small business owners work with private lenders in their communities to receive loans through the program.

• In his 2025 budget request, President Biden proposed a small-dollar lending program that would allow the SBA to issue 7(a) program loans directly, forcing small lenders to compete with the federal government.

• Democrats attempted to implement a similar direct lending option for the SBA in 2021. Kennedy, Scott and a dozen other Republicans wrote a letter warning that the federal government has a history of developing botched lending programs. The SBA’s Inspector General, for example, estimated that the government-run Economic Injury Disaster Loan (EIDL) program issued $79 billion in fraudulent loans during the pandemic. Businesses also suffered lengthy delays while waiting for EIDL funding.

• Private lenders have a far better record of efficiently and safely distributing loans to small businesses. Under the Paycheck Protection Program (PPP), private banks distributed $800 billion in loans to nearly 12 million small businesses. Fraud experts identified fewer than 1% of accounts as potentially fraudulent.

Sens. Jim Risch (R-Idaho), Kevin Cramer (R-N.D.), Chuck Grassley (R-Iowa), Steve Daines (R-Mont.), James Lankford (R-Okla.), Joni Ernst (R-Iowa), John Cornyn (R-Texas), Ted Budd (R-N.C.), Tom Cotton (R-Ark.), Rick Scott (R-Fla.) and Mike Braun (R-Ind.) also cosponsored the legislation.

Full text of the Protecting Access to Credit for Small Businesses Act is available here.

WASHINGTON – Sen. John Kennedy (R-La.) joined Sen. John Barrasso (R-Wyo.) in urging the Biden administration’s Department of Labor (DOL) to withdraw its proposed rule to discourage small businesses and non-union shops from taking part in the National Apprenticeship System.

“The new regulation the Biden administration is putting in place effectively attacks good jobs that use apprenticeship programs to train Americans for a variety of careers. By punishing non-union job creators, the Department of Labor is also making it harder for Louisiana job seekers to build a career on their own terms,” said Kennedy.

The Biden administration’s rule would discourage small businesses and other employers from participating in the apprenticeship program by mandating unrealistic union requirements.

“Businesses and other sponsors of apprenticeship programs already face financial and administrative burdens. The proposed rule further discourages employer participation. The DOL is imposing burdensome requirements, hindering flexibility, limiting non-union worker training, and forcing employers to comply with a grave agenda,” the senators wrote. 

“The proposed rule requires all apprenticeship programs to provide a minimum of 2,000 hours of on-the-job training and 144 hours of classroom training. Employers understand the qualifications and skills a prospective employee needs to be successful. The one-size-fits-all Washington mandate does not take into consideration the various dynamics of apprenticeship programs across localities and industries. The burdensome requirement will also be particularly difficult for small businesses to fulfill as they may lack the flexibility and resources necessary,” they continued. 

“In addition, the Administration is attempting to limit non-union apprenticeships. . . . This rule creates conditions where union membership is all but compulsory and undermines workers’ rights to choose union membership. This is especially pertinent in rural areas where a majority of apprenticeship programs are sponsored by small businesses with no union affiliation or where unionized workforces do not meet their unique needs. According to the Bureau of Labor and Statistics, union membership rate in the private-sector for 2023 was 6 percent throughout the United States,” the senators concluded. 

Sens. Cynthia Lummis (R-Wyo.), Cindy Hyde-Smith (R-Miss.), Roger Wicker (R-Miss.), Shelley Moore Capito (R-W.Va.), Jim Risch (R-Idaho), Mike Crapo (R-Idaho), Ted Budd (R-N.C.), Marsha Blackburn (R-Tenn.), Kevin Cramer (R-N.D.), Mike Lee (R-Utah), John Hoeven (R-N.D.), Tim Scott (R-S.C.), Ted Cruz (R-Texas), Bill Hagerty (R-Tenn.), Steve Daines (R-Mont.), Mike Rounds (R-S.D.), James Lankford (R-Okla.), Mike Braun (R-Ind.), John Thune (R-S.D.) and Todd Young (R-Ind.) also signed the letter. 

The full letter is available here.

MADISONVILLE, La. – Sen. John Kennedy (R-La.) joined Sen. Cindy Hyde-Smith (R-Miss.) and colleagues in claiming victory for U.S. catfish producers after the Biden administration’s Commerce Department reversed its plan to make it easier for the Socialist Republic of Vietnam to flood U.S. catfish markets.

“Louisiana is one of the top catfish producing states in the country, and our farmers deserve a level playing field in the seafood market. I am glad to see the Biden administration walk back its plan to give foreign products the upper hand over American catfish,” said Kennedy.

On March 14, the administration published a notice in the Federal Register that it would not follow through with its preliminary decision to reduce the antidumping duties from $2.39/kg to $0.14/kg for all producers that the Socialist Republic of Vietnam controls.

“The Commerce Department actually heeded our warnings and the rescission of this review is a clear victory for the U.S. catfish industry, which is so important to Mississippi and other rural states. It’s also a victory for American consumers, who will not be put at risk from tainted imported catfish,” said Hyde-Smith.

On Jan. 17, the senators urged the Biden administration’s Commerce Department to reverse its preliminary decision. Sens. Roger Wicker (R-Miss.), John Boozman (R-Ark.), Tom Cotton (R-Ark.), Bill Cassidy (R-La.), Tommy Tuberville (R-Ala.) and Katie Britt (R-Ala.) also signed the letter.