SBA to cut off taxpayer benefits for illegal immigrants and remove offices from sanctuary cities
- The Small Business Administration (SBA) announced new policies to restrict taxpayer benefits for illegal immigrants and remove offices from sanctuary cities.
- The agency will require loan applicants to verify citizenship and ensure businesses are not owned by illegal aliens.
- Six regional SBA offices in sanctuary cities will be relocated to places that better serve small businesses and comply with federal immigration law.
- The announcement comes after intense questioning of four Democratic mayors regarding their sanctuary city policies and spending on services for illegal immigrants.
- Republican lawmakers, led by Rep. Anna Paulina Luna (R-FL), criticized the mayors and threatened to refer them for criminal investigation under federal law prohibiting harboring illegal immigrants.
The Small Business Administration (SBA) has announced a series of reforms that will ensure illegal immigrants do not receive taxpayer benefits and remove its offices from sanctuary cities.
In a press release on March 6, SBA Administrator Kelly Loeffler said that the agency will “put American citizens first by ending taxpayer benefits for illegal aliens” to enforce the executive order of President Donald Trump prohibiting “taxpayer subsidization of open borders.” (Related: Trump administration to launch registry for illegal immigrants: Fines and arrests for noncompliance.)
Loeffler said that in the coming days, the SBA will implement a new policy requiring loan applicants to include citizenship verification. This provision will ensure that only legal citizens access SBA programs. Additionally, lenders will be required to confirm that businesses are not owned by illegal aliens, either wholly or in part, to comply with the executive order.
Six regional offices located in sanctuary cities will also be relocated. These offices include locations in Atlanta, Boston, Chicago, Denver, New York City and Seattle. The agency says that the new locations will be less costly, more accessible and in areas that “better serve the small business community and that comply with federal immigration law.”
“Over the last four years, the record invasion of illegal aliens has jeopardized both the lives of American citizens and the livelihoods of American small business owners, who have each become victims of Joe Biden’s migrant crime spree. Under President Trump, the SBA is committed to putting American citizens first again – starting by ensuring that zero taxpayer dollars go to fund illegal aliens.
“Today, I am pleased to announce that this agency will cut off access to loans for illegal aliens and relocate our regional offices out of sanctuary cities that reward criminal behavior. We will return our focus to empowering legal, eligible business owners across the United States – in partnership with the municipalities who share this Administration’s commitment to secure borders and safe communities,” Loeffler said.
Democratic mayors face intense questioning from Republican lawmakers
The announcement follows closely after four Democrat mayors faced intense questioning from Republican lawmakers on Capitol Hill regarding their sanctuary city policies.
On March 5, the House Oversight Committee convened a high-stakes hearing and called the mayors of four prominent sanctuary cities to testify on their policies regarding illegal immigration and the financial burden on taxpayers. New York City Mayor Eric Adams, Denver Mayor Mike Johnston, Chicago Mayor Brandon Johnson and Boston Mayor Michelle Wu appeared before lawmakers and faced intense scrutiny over their handling of illegal immigration.
During the hearing, Rep. Virginia Foxx (R-NC) pressed the mayors on their spending over the past four years to support illegal immigrants, revealing staggering figures that have sparked fierce criticism from House Republicans.
Johnson disclosed that the city had spent $574.5 million on services for illegal immigrants over the past four years, while Johnston reported expenditures of $79.0 million. In New York City, Adams revealed that they allocated a whopping $6.9 billion. However, Boston Mayor Michelle Wu was unable to provide a figure and admitted that the city does not track the costs associated with supporting illegal immigrants.
The revelations led to an intense exchange between the mayors and House Republicans, with Rep. Anna Paulina Luna (R-FL) taking a particularly aggressive stance. Luna cited 8 U.S. Code § 1324, a federal law that prohibits harboring, aiding or abetting illegal immigrants, arguing that the mayors had engaged in criminal misconduct by implementing policies that shield illegal migrants from federal immigration enforcement.
“I do not think you guys are bad people, but I do think you are ideologically misled. Which is why, unfortunately, based on your responses, I’m going to be criminally referring you all to the Department of Justice for investigation As soon as I leave here, these will be going over to [Attorney General] Pam Bondi,” Luna said. She really referred the mayors that same day.
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Sources include:
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