May 18, 2010
(CQ) For Democrats, a ‘Convenient’ Inroad in the Small-Business Community
Published in Congressional Quarterly
Democrats have never had the kind of relationship Republicans enjoy with the powerhouses of small business — the 3-million-member U.S. Chamber of Commerce and the 350,000-member National Federation of Independent Business (NFIB).
But the majority party has been working closely with one segment of the politically active small-business community: owners and operators of small stores that are open at all hours to sell snacks, beverages, basic groceries, gasoline and reading material.
The National Association of Convenience Stores (NACS) backed an amendment to the financial services overhaul (S 3217) that would require bank regulators to limit the fees credit card companies and banks can charge merchants for debit card transactions. The Senate adopted the amendment, 64-33, on May 13.
“Historically, small business has felt more comfortable on the other side of the aisle,” said Senate Majority Whip Richard J. Durbin, D-Ill., the amendment’s sponsor. “But we have small business strongly supporting this amendment.”
Democrats also hope to forge an alliance with the convenience store group on a package of small-business tax breaks and incentives that the Senate Finance Committee is expected to mark up as soon as Wednesday. “We hope to work with them on it,” said John Eichberger, vice president of government relations for NACS, which represents 140,000 stores.
In addition to work on the “swipe fees” amendment, NACS worked with Durbin and Sen. Herb Kohl, D-Wis., to win enactment in March of tighter restrictions governing online tobacco sales (PL 111-154).
The convenience store group also sought to find common ground with Democrats on health care — unlike the NFIB, which has joined 20 states in a lawsuit attempting to invalidate this year’s health care overhaul law (PL 111-148, PL 111-152).
Democrats are eager to expand their support in the business community. But the convenience stores have another significant item on their legislative wish list.
Democratic lawmakers and the convenience store group are planning to work together to promote the use of gasoline blended with 15 percent ethanol instead of the usual 10 percent. The EPA is expected to issue a ruling later this year allowing service station owners to sell the 15 percent blend for use in automobiles manufactured since 2001. Federal law currently limits use of the 15 percent blend to flex-fuel vehicles.
Convenience store owners are counting on the new blend to draw customers seeking less-expensive gasoline, while Democratic lawmakers want to encourage use of a more environmentally friendly fuel and help farmers in the Midwest.
The convenience store group wants Congress to require the EPA to alter its rules to allow them to use their current gasoline pumps to dispense the new 15 percent ethanol blend. That would save retailers the cost of buying new pumps that cost up to $15,000 apiece.
“If we can find a safe way to expand the use of ethanol in these pumps, I want to do it,” Durbin said.
