The National Federation of Independent Business/California issued the following statement today in response to the budget deal that was reached  by the Governor and Legislature:

“Small businesses breathed a restrained sigh of relief as the Governor and Legislative leaders agreed to a deal that makes difficult decisions to reduce government spending and does not increase the tax burden on California’s job creators,” said John Kabateck, NFIB/California Executive Director.  “New taxes would  have further damaged California’s economy at a time when our state cannot afford it.”

“While the lack of taxes did not dig a deeper economic hole for California, moves to accelerate withholding on the self-employed will take more money of out the pockets of California’s entrepreneurs at a time when they can hardly afford it.“

“Long-term, the Governor’s government reforms will help control spending, something that is desperately needed in a state where expenses continue to exceed revenue.  Any small business who spent more than they earned would have been forced to close their doors for good quite some time ago if they had operated in the same manner.” 

“As legislators prepare to vote on this deal, they must not forget that absent major reforms that stimulate small business job creation and economic growth we will soon be back at the table considering more cuts to vital services.  It is now the job of the Governor and legislature to remove impediments and help small business owners restore our economy and state coffers.” 

NFIB is the nation’s leading small business association, and represents members in Washington, D.C. and all 50 states. Founded in 1943 as a nonprofit, nonpartisan organization, NFIB gives small and independent business owners a voice in shaping the public policy issues that affect their business. NFIB’s mission is to promote and protect the right of our members to own, operate and grow their businesses. More information about NFIB is available online at www.NFIB.com/newsroom