By Pete Wallstrom

October 02, 2011

Medford (OR) Mail Tribune

http://www.mailtribune.com/apps/pbcs.dll/article?AID=/20111002/OPINION/110020318/-1/OPINION04

I own a small business that has been very successful in this economy. Through the recession and the current economic instabilities it has continued to grow, to make changes to better serve customers and to invest in the future. I do not know all the reasons we have been able to be successful, however there are a few things I do know; regulations and the threat of higher taxes are not hurting my business. What is starting to hurt it is federal and state budget cuts resulting in overworked and underpaid local government employees and no money for infrastructure and education.

Not regulations. Not higher taxes. And I am not alone. A poll done by McClatchy News Service concluded that: "Politicians and business groups often blame excessive regulation and fear of higher taxes for tepid hiring in the economy. However, little evidence of that emerged when McClatchy canvassed a random sample of small business owners across the nation."

Everybody has a story of waste and fraud in the government and silly regulations. It happens. federal and state governments are huge organizations that deal with massive amounts of money and make thousands of decisions daily. There should always be strong oversight. However if the media was watching every move the people in my business made, I guarantee they would find places where we wasted money. I make mistakes; employees make mistakes. We have bought dumb stuff at a dumb price; every business has. It happens. A business, like governments always will make mistakes.

But the fact is that we all depend on federal and state government services to run our businesses. We all use roads and bridges, rely on the ability to hire people with a basic level of education, etc. The list is endless.

My business depends on local Forest Service and BLM agencies to have time to administer permits and work on new projects. Right now that is in jeopardy. Already some regions have stopped taking new projects. This hurts our ability to expand and do new things and hire.

My experience with people in these agencies is overwhelmingly good. They are not federal government boogey men aimed at tying my business up in knots with regulations. They are not lazy, overpaid, federal workers wasting our tax dollars. They are fellow community members, neighbors, and even friends who are trying to do the best they can. And right now they are doing it in a fiscal and political climate that is just crazy. And it is hurting my business.

My business also needs well-educated people to hire. When we needed an office manager, we received close to 100 applications from around the valley. One of the criteria we looked for was solid writing skills. That skill alone narrowed it down to about six applicants "… That is just depressing. Making cuts to public schools, loosing good teachers and making it hard for people to get college loans is not helping the long-term health of my business.

As a growing business we also sometimes need access to small loans for capital, something — yes, I'm going to say it — government does better than banks alone. Business loans are incredibly risky. However small businesses drive our economy. This is a risk worth taking and it is a very good long-term investment for our country, state and community.

During the recession we did not curl into a ball and stop spending money. Of course we tightened our belt, went over our budget, and made sure we were not wasting money. But we also invested, made changes, and got ready for better times, which cost money. Because of that we were ready to grow and have continued to grow. If we had just curled up into a ball and stopped spending at all as some want federal and state governments to do, we would not have made it.

Nobody wants to pay more taxes then they have to and nobody wants the government to waste money. But we should be, we need to be, investing in the future. Raise taxes — raise my taxes. It's time to make smart investments for the future of our country, state and community. It is good government and good business, and it will ultimately help us pay off the federal debt too.

Regulation and the threat of higher taxes are not hurting my business. What is starting to hurt is the erosion of public services and a political discourse that is loud, impractical and completely inflexible.

Pete Wallstrom of Ashland is the owner of Momentum River Expeditions.