Ranking Member Markey Slams Trump Administration’s Proposed Rule Undermining Underserved Small Business Contractors

RM Markey: "The SBA's proposed rule grossly diminishes the history of systemic racial and ethnic discrimination in the United States."

(Washington, June 12) - Ranking Member Edward J. Markey (D-Mass.) today slammed the Trump Small Business Administration's proposed rule that dramatically changes the 8(a) Business Development Program and undermines the program's mission to provide training, assistance, and federal contracting opportunities for businesses that have faced historic discrimination in the United States.

The 8(a) Business Development Program plays an important role in helping to ensure that small contractors have opportunities to work with the federal government - the largest buyer of goods and services in the world. However, the 8(a) program has come under attack as Trump and MAGA Republicans have unfairly targeted these small businesses, a majority of which are minority-owned. These businesses consistently deliver for the federal government through constant innovation, support their local economies, and create jobs in their communities. Since Trump returned to office in January 2025, only 65 new 8(a) firms have been approved by the SBA, compared to more than 2,000 under the Biden administration.

"After choosing to start a reckless and expensive war with Iran and to impose illegal tariff taxes on American families and small businesses-leading to sky-high gas, electricity, and grocery costs-the Trump administration has decided to continue demonizing minority and underserved communities instead of solving the affordability crisis facing Main Street.

"The SBA's proposed rule grossly diminishes the history of systemic racial and ethnic discrimination in the United States. Congress created the 8(a) Business Development Program nearly half a century ago to provide entrepreneurs who have faced historic and present-day discrimination with opportunities to partner with the federal government and support to help grow their businesses.

"To be clear, the 8(a) program has always been open to anyone that can prove they've experienced prejudice or cultural bias, including in education, employment, and entrepreneurship. Now, the SBA proposes to define discrimination based on its political whims and allow applicants to self-certify their eligibility. Instead of fighting to right historic wrongs and enable more job creators to grow and thrive, this administration is once again choosing to distort reality to perpetuate its hateful-and harmful-agenda.

"We will do everything in our power to fight back against the Trump administration's campaign to make America hate again, and we will do everything to fight for every small business to have the resources and support it needs to succeed."

Ranking Member Markey is fighting to protect federal programs that address historic discrimination against small business owners from minority and underserved communities. He continues to advocate for a small business agenda that ensures economic opportunity for all.

• This week, Ranking Markey released a new report highlighting Trump's drastic reduction in federal contracting dollars awarded to American small businesses, including minority-owned small businesses.
• In February, Ranking Member Markey, alongside Senators Mazie Hirono (D-Hawaii) and Cory Booker (D-NJ), and Representative Ayanna Pressley (MA-7), introduced the Strengthening Place-based Access, Resources, and Knowledge (SPARK) Act to spur entrepreneurship and increase access to capital and resources for underserved entrepreneurs nationwide. Ranking Member Markey previously held a field hearing in Roxbury, Massachusetts, to discuss how government and the private sector can come together to make entrepreneurship more accessible for underserved communities.
• Earlier in February, Ranking Member Markey secured funding with the Appropriations Committee for Small Business Development Centers, Women's Business Centers, SCORE Chapters, and Veterans Business Outreach Centers and provisions to rein in the Administration's attempts to eliminate programs that support women, veterans, and underserved entrepreneurs.
• In January, Ranking Member Markey sent a letter to the Consumer Financial Protection Bureau to oppose rule changes that would gut protections against discriminatory lending practices that harm small businesses.
• In December 2025, Ranking Member Markey sent a letter to SBA Administrator Kelly Loeffler expressing significant concerns with the SBA's overly burdensome request and unclear guidance for extensive financial documentation over the holidays, as a part of their sweeping attempts to dismantle the 8(a) Business Development Program.
• In July and December 2025, Ranking Member Markey sent letters to the SBA Administrator demanding answers about the Trump administration's efforts to limit economic opportunity for American entrepreneurs, including immigrants.
• In May 2025, Ranking Member Markey sent a letter to the SBA Administrator rejecting President Trump's FY 2026 budget proposal and calling on SBA to immediately release funding for the entrepreneurial development programs, which include programs like the Women's Business Centers and the Veteran's Business Development Centers that support underserved small business owners.
• In April 2025, Ranking Member Markey introduced the New Start Act of 2025 to establish a five-year pilot program providing grants to support entrepreneurial development training for currently or formerly incarcerated individuals.
• In February 2025, Ranking Member Markey sent letters to the SBA Administrator and Government Accountability Office (GAO) condemning President Trump's war on diversity, equity, inclusion, and accessibility (DEIA) policies and asking how the SBA intends to implement Trump's anti-DEIA executive orders.

Permalink: https://www.sbc.senate.gov/public/index.cfm/2026/6/ranking-member-markey-slams-trump-administration-s-proposed-rule-undermining-underserved-small-business-contractors