PETALUMA, Calif., Feb. 11, 2015 /PRNewswire/-- President Obama's 2016 Budget Proposal includes the resurrection of a plan President Ronald Reagan attempted to use to permanently close the SmallBusiness Administration (SBA) and end all federal programs designed toassist middle class small businesses.

President Reagan made it clear he wanted to permanentlyclose the Small Business Administration and end all federal programs thathad been established by the Small Business Act to help small businesses. Hisplan to close the SBA was to combine it with the Department of Commerce.

In 2011, Fox News reported on a bill written by North Carolina Senator Richard Burr that would permanently close theSBA and bring and end to all federal programs to assist small businesses. Like Ronald Reagan, combining the SBA with theDepartment of Commerce was Senator Burr's plan to close the SBA.

President Obama's plan to close the SBA is identical to Reaganand Burr's proposal, which is to close the agency by combining it with the Department of Commerce.

Critics of the Obama plan to close the SBA point the fact theSBA is the only federal agency created to help middle class small businesses.SBA supporters point out U.S. Census Bureau data that indicate over 98% of all U.S.firms have less than 100 employees. That data also indicates small businessesare responsible for over 90% of the net new jobs in America, over 50% of theprivate sector work force, over 50% of the Gross Domestic Product and over 90%of all U.S. exporters.

American Small Business League (ASBL) President Lloyd Chapmanfirst predicted President Obama would try and close the SBA by combining itwith the Department of Commerce in November of2008. Since then, Chapman has done national televisionand radiointerviews predicting President Obama would try and close the SBA to cover-upfraud and abuse at the agency that allowed Fortune 500 firms to receivebillions of dollars in federal small business contracts.

ABC, CBS, NBC, CNN, Fox News, CNBC, MSNBC and RTTV haveall produced segments on fraud in federal small business programs.

"President Obama claims he wants to close the SBA tostreamline government. You can't streamline the federal government by closingthe smallest agency in Washington.How about the trillions that are unaccounted for at the Pentagon, maybe heshould start there. The real reason he wants to close the SBA is to obscure therampant fraud that federal investigators and investigative journalist haveuncovered in every SBA program during his administration," said Chapman.

The President's 2016 budget plan now goes to Congress.

The End ofan Era: Obama's plan to close the Small Business Administration VIDEO

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