Barreto joins Schwarzenegger team
By Ryan D Brinkhurst
Events Quarterly Magazine
October 9, 8800
Less than thirty days after his departure, the truth about Hector Barreto's tenure as head of the Small Business Administration has come to light. Stories on ABC, CBS, in the New York Times, the L.A. Times, and dozens of other publications have exposed the true picture of the SBA under Barreto.
What Barreto claimed was a "victory for America" and "record-levels" of contracts awarded to small businesses has turned out to be a sham. The real recipients of Federal small business contracts have been identified as a who's who of corporate giants. Contracts to firms such as Boeing, Bechtel, Lockheed, Northrop Grumman, AT&T, Office Depot, Walmart, Rolls Royce, and even Microsoft were reported as small business awards during Barreto's tenure.
American Small Business League president Lloyd Chapman estimates that as opposed to the $79.6 billion in prime contracts Barreto claimed went to small businesses in 2005, the actual number was less than $20 billion. While Barreto was in office, Chapman's organization won a series of federal lawsuits against the SBA that forced the release of damaging information proving Barreto knew about the wholesale diversion of small business contracts to large corporations.
Barreto has now joined a Statewide Leadership Team in California to back Governor Arnold Schwarzenegger in his current re-election campaign. According to the Governor's website, this organization will "take his message of protecting the California dream to every Californian." It's well-known that the Governor would like to increase his support among the Latino community.
Chapman stated, "If Governor Schwarzenegger wants someone on his Leadership Team that has helped to force thousands of small businesses into bankruptcy in order to enrich the coffers of Fortune 500 corporations, then Hector Barreto is an excellent choice."