mr. olivo come in your mind, this health care bill is more likely or less like a for you to go out and hire people at this point? >> well, without a doubt it's created a tremendous amount of uncertainty. and its frozen of the credit markets as far as restaurants go. those are just now starting to loosen up. but as we get closer, the applications become more clear. credit markets are going to freeze up. it's going to be harder to borrow money to build a restaurant. the other thing is as i stated earlier, the only way to pay for this in our business is to cut costs. and we are a lean mean industry now. we don't have a lot of fat. you know, the thing that we can control, our payroll, and to minimize the impact of these penalties so that means cutting jobs. it doesn't mean adding jobs. >> we're getting to the tipping point where risk-reward no longer make sense for someone to go out a small business owner and take a string ago and started business. the other part, maybe i can bring this back to mr.

last we have mr. olivo or ivo? olivo. our final witness is mr. joe olivo.he is the president and co-owner of a burgeoning printing business, perfect printing. mr. olivo co-owns the company along with his wife, mother and two brothers in new jersey. he's grown his business from 10 employees to 45 employees. wish we could do that all over the country. thank you very much for coming, mr. olivo. and so, again, as you know, we'll take all your testimonies as they are written in order and they'll be submitted to the record in their entirety. i would like to ask as we go through, if each of you sum up in a few minutes, i don't have a distinct cutoff time, but five minutes or so, what it is that you want us to know. and i know -- i always say this to a lot of times to witnesses who ha come a long distance and all of a sudden senators have disappeared. i assure you that their staffs are here. i can assure you of that. and i can say this, there is an old saying around here, that senators are a constitutional impediment to the smooth functioning of staff. so our staff

womack and mr. olivois health care bill, is it more or less likely that you will go out and hire people. >> there is a lot of uncertainty. it has frozen credit markets. as we get closer, the implications become more clear. credit markets are pointing freeze up. it will be hard to borrow money to build new restaurants. as i stated earlier, the only way to pay for this and our business is to cut costs. we are a lean, mean industry. we do not have a lot of that. the things -- we do not have a lot of fat. are think that we control ou personnel and health care. >> back to douglas holtz-eakin. with regard to medicare, i live in the state that has the largest medicare expenses. florida and texas have economies that are doing relatively better. the same number of citizens living in that states have twice the medicaid expenses. with the passage of this bill, is it a point to increase or decrease the medicaid costs we are seeing in new york state? >> the states are at great risk. they are obligated under the expans

mr. olivo, could you give me an example of how the affordable care act has already begun to help you become more competitive? >> unfortunately, i cannot give you an example. all i can tell you is that our existing insurance is no longer available, and our insurance premiums have continued to rise at a double-digit percentage for the coming year. >> if they have not already begun, can you give me an example of how you will see them -- how you expect them in the future to cause you to have a more competitive health insurance? >> i do not see how it is going to help us offer a plan that will be more competitive. my concern with the exchange is that they are not true exchanges in the form of competition. they are still heavily-mandated tighten policies, so there is not true competition. we have the third highest insurance rates in the nation. we have had a guaranteed access community-rated plan since 1993. from that point, i have been running the company since 1988, i have seen a direct correlation

mr. joe olivo is ceo of perfect printing in new jersey. it was established in 1979. he was president of the second-generation firm since 1988. it was a originally established as the traditional retail coffee center and he has grown from ten employees to 45 employees. eco owns the company with his wife, mother and two brothers. mr. scott womack is a franchisee and during his time has received numerous sales growth and performance awards and was named midwest franchisee of the year in 1993 and 2005 and regional franchisee of the year in 2008 of the northern region. i want to recognize the ways and means committee. thank you for taking time out of the busy schedule. and the impact on jobs, employers and the economy. each of you will have five minutes to give your testimony. there's a green light and there will be a yellow light which gives you one minute to some up and the red light is to conclude your testimony and with all the people who want to ask questions we will try to stick closely to that schedule. why don't i began with mr. douglas holtz-eakin. you have five m