Startup Act 2.0 Legislation Will Help Create Jobs

    May 22, 2012
    Shawn Hess
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The government is at least trying to do something about the abysmal job situation in the United States. In December US Senator Mark R. Warner introduced the Startups Act to help facilitate job creation and it received backing from many other member of the House. Today he introduces the Startups Act 2.0 to pick up where the first bill fell short.

Startups 2.0 aims to create an environment ripe for entrepreneurial efforts and innovative business ideas. Targeted at a tax code which will make job creation more likely, the bill would also ease regulatory requirements that make it harder for small business to expand.

Here’s a list of provisions from Startups Act 2.0:

* Creates a new STEM visa so that U.S.-educated foreign students, who graduate with a master’s or Ph.D. in science, technology, engineering or mathematics, can receive a green card and stay in this country where their talent and ideas can fuel growth and create American jobs. It also creates an Entrepreneur’s Visa for legal immigrants so they can remain in the United States, launch businesses and create jobs, and eliminates the per-country caps for employment-based immigrant visas, which hinders U.S. employers from recruiting the top-tier talent they need to grow.

* Makes permanent the exemption of capital gains taxes on the sale of startup stock held for at least five years, so investors can provide financial stability at a critical juncture of firm growth. It also would create a targeted research and development tax credit for young startups less than five years old and with less than $5 million in annual receipts. This R&D credit is designed to allow startups to offset employee taxes, freeing up resources to help these young companies expand and create jobs.

* Uses existing federal R&D funding to better support university initiatives designed to bring cutting-edge R&D to the marketplace more quickly, where it can propel economic growth.
Requires government agencies to conduct a cost-benefit analysis of proposed “major rules” with an economic impact of $100 million or more. This new requirement will help determine the potential impact of proposed regulations on the formation and growth of new businesses.

* And Startup Act 2.0 directs the U.S. Department of Commerce to assess state and local policies that aid in the development of new businesses. Through the publication of reports highlighting these “best practices” from across the country, policymakers will be better equipped to encourage entrepreneurship by adopting the most effective and successful policies.

Senator Mark R. Warner comments on the new Startups Act:

“Startup 2.0 offers smart, commonsense steps to support and encourage America’s innovators and entrepreneurs,”

“Working together, we have crafted a bipartisan proposals that will help us compete and win the global contest for talent. We also propose responsible steps that will help our colleges and universities move taxpayer-funded R&D out of the lab and into the marketplace. Startup 2.0 is the logical ‘next step’ following enactment of the bipartisan JOBS Act earlier this year.”

Senators Jerry Moran, Marco Rubio, and Chris Coons joined Warner in introducing the Startups 2.0 Act. Many of the provisions from the bill are supported by President Obama’s jobs and competitiveness council, who was represented at the event by Steve Case of AOL fame.

Steve Case comments:

“The passage of the JOBS Act demonstrated that despite a tough political climate, Democrats and Republicans can come together around policies that will help entrepreneurs innovate and create jobs,”

“Startup Act 2.0 builds on that momentum and its passage will help solidify America’s position as the world’s most entrepreneurial nation. I am particularly pleased the bill includes a provision that will enable highly-skilled engineers and entrepreneurs to start companies in the United States, as winning the global battle for talent is essential if we are going to keep our entrepreneurial economy moving forward. I commend Senators Moran, Warner, Rubio and Coons for their leadership and their willingness to come together in a bipartisan manner to focus on what unites us: a desire to create jobs, accelerate economic growth, and ensure our nation remains competitive globally.”

To learn more about the Startups Act 2.0 follow the link to Fairfax News and their coverage of the conference where it was unveiled.

  • Dave Francis

    Bring in the top of the cream with the highest credentials and qualifications, but not annual millions of poorly skilled as so called skilled contenders for jobs covertly? Senator Marco Rubio and bypartisan Senators have drafted a bill to bring more STEM workers (science, technology, engineering and mathematics) workers to the U.S. What the politicians and pressure groups have failed to inform, is that there are qualified, U.S. workers out there to fill these jobs. Within the United States Colleges and Universities are graduating many young people in the past week with degrees and no employment offers in sight. It’s time American voters turned up the heat on politicians, specifically where job visas are concerned. When thousands are seeking work, shouldn’t American labor be a priority. It certainly will be given heightened attention under the growing numbers of TEA PARTY leadership, which are taking the reins of power in the Senate and House.

    California is sinking fast under the mushrooming impact of illegal immigration, as more these people pour into this state. How can other states that are hurting badly as Michigan, even believe this brainless argument from Mike Bloomberg Mayor of New York is suggesting import more immigrants, whilst the whole country is overrun with cheap labor, with the majority is soaking the welfare programs? In Michigan uncompensated costs for Illegal Aliens (2009) reported by The Federation of American Immigration Reform (FAIR) identifies at least $928,677,050. This should be a genuine concern throughout every state, excluding states controlled by Democrats with Liberal backing. In the opposite measure thousands of property owners are leaving the Golden State, now tarnished by a gross overload of foreign invaders. Many states are unable to comply with the strain of court ordered unfunded mandates, when taxpayers are hardly able to feed their offspring,

    The Federal government enforce court order unfunded mandates that they take out of your taxes for people who are illegal, but do not reimburse any of the 50 states?

    Arizona was one of the states that have drawn the line in the sand, when all they want to do is protect the legal population. But are forced by law to educate, treat illegal alien families for the common cold to dialysis for free. Do we personally have to feed, house and medicate every person who knocks on America’s door, when we can hardly feed our own? In Sacramento, California has been indulging these people with welfare programs, in the midst of Obama’s government giving out food stamps? The Sanctuary state is under a terrible strain. In just Los Angeles Supervisor Michael D. Antonovich website published that illegal immigration costs were $550 million for public safety and nearly $500 million for healthcare, a total cost to County taxpayers that exceeds $1.6 billion dollars a year and that doesn’t include the billions more in education for their children.


    These billions are being spent to subsidize the lives of families who sneak their children into America, as these people are aware that the majority Democratic states will support them. Governor Jerry Brown, a ‘Tax and Spend’ liberal is once again pleading for more tax revenue, to pay for everything including the largest population of illegal aliens in the country. California should put an end to the states incessant need for more money to balance their $16 Billion dollar deficit. California the embodiment of Sanctuary States is withering under the constant bombardment of foreigners with their palms outstretched and with so much on the line for people; they have nothing really to lose by fraudulently voting in the upcoming elections. Democrats don’t care and even stealthily approving of this illegal act.


    California’s legislative body, Nevada of all states should be required to use E-Verify? Not voluntary but all mandated? The Legal Workforce Act will usher in a new period of restrictive practices of business owners, using labor with stolen Social Security numbers and other ID. It should be the business of ICE to enforce E-Verify, so American jobs go to U.S. workers who have that legal right. Businesses that don’t play by rules, should be heavily fined, assets seized and in some severe cases, go to jail? Those who haven’t heard of the ‘Birthright citizenship Act’ should tell their elected officials from blocking this law from reaching the house chambers. The ‘Birthright citizenship Act’ laws when enacted stop around 400.000 illegal alien mothers gaining citizenship for their smuggled fetus into the United States. That citizenship for a baby will only be apparent, when one of either parent is a U.S. citizen?

    Brown stated huge cuts can be anticipated in schools through K-12, when the schools are crammed with the children of illegal aliens, then so be it; you cannot get blood from a stone anymore? No more taxes, no more money to encourage any longer illegal immigrants. It is simply rewarding the parents’ in law-breaking and just encourages more to cross borders of fly in by international flight. The federal government has failed to secure the U.S. borders and it’s become too costly to provide schooling, hospital care, low cost housing and other public services to non-citizens. So far only Arizona has had the backbone to fight back, with Alabama, Georgia, South Carolina, and Utah closing the ranks. No more taxes for Jerry Brown’s state government specifically for illegal alien support. Join a local TEA PARTY and throw out all the politicians that are giving our country away.

  • http://www.solutioneur.com Andrew West

    It’s amazing that people continue to think creating businesses means creating jobs. Demand creates jobs, nothing else. You can create demand by solving a problem with an economically viable solution. A business can then be built around that and the demand creates jobs.

    Sooner or later somebody has to say it “Americans have become fat and lazy – literally and in terms of what we’re willing to take on. We could lead the World and restore our economy, if we focused on solving problems. Regarding job-creation, it will never come from government programs and it never has.

    As a nation we have lazily become very incremental about everything, including innovation. Small steps are all we’re willing to even consider. SOLVE problems with economically-viable solutions and the resulting “demand” will create jobs.

    My work is here: http://www.Solutioneur.com/.

    Solve something. THAT will make a difference.