Co-sponsors legislation to offer more government contracts to small companies
HOUGHTON -- The Small Business Jobs Act operates on the theory that local companies are the country's best hope for creating new jobs.
Senator Debbie Stabenow helped pass the new law in September, and she shared more of its benefits with business leaders in the Copper Country on Friday.
Stabenow said there’s been a mostly positive response to the new bill. However, some local companies thought it might be a step in the right direction, but certainly not a cure-all for the problems they're facing locally and nationally.
Biochemists at the Nitrate Elimination Company in Lake Linden are working to develop high-tech products that are both environmentally safe and easy to use.
Considering the tough economy, the small company hasn't had to struggle to secure loans, but it is looking forward to new tax cuts available under the Small Business Jobs Act.
"We just bought new manufacturing equipment this year, and we might be able to write it off as a tax credit which will help us," says NECI Vice President Ellen Campbell. "We’re also working with biofuels, and there might be other programs to help promote that here."
The deductions are just one of benefits Stabenow discussed during the meeting. She also explained how the law will help small companies sell their products overseas.
"I wanted to talk about what I’ve been doing to bring in new technologies and help expand manufacturing," says Stabenow. "In the end, the way we have a middle class is if we make things, grow things, and add value to it."
Still, some owners aren't convinced the bill will benefit their business.
Endres Machining Innovations is a SmartZone start-up that works more in research and intellectual property than actual manufacturing.
"We do need some help, not a handout, but you talk about a level playing field," says Bill Endres. "The capital gains tax potential change...I’ve been in this for five years, and now I see my tax rates probably going to go up by 33 percent.”
For those that do qualify, the new law offers about $12 billion in tax cuts.
Senator Stabenow also cosponsored legislation that would offer more government contracts to small businesses, and it's expected that just a one percent increase could create more than 100,000 new jobs.
TV Station Profiles & Public Inspection Files forWLUC