Mr. President, I rise today to introduce legislation to reauthorize the Manufacturing Extension Partnership program. I want to thank my cosponsors, Senators Snowe and Lieberman for their support of…
Mr. President, I rise today to introduce legislation to reauthorize the Manufacturing Extension Partnership program. I want to thank my cosponsors, Senators Snowe and Lieberman for their support of this legislation and for their long-time support of this program.
For the last few years, there have been too many jobs lost, and the manufacturing sector has been particularly
hard-hit. My home State of Wisconsin has been particularly hard hit--in the last 10 years we have lost 168,000 manufacturing jobs, nearly a 30 percent drop in the manufacturing workforce.
Despite these struggles, our Nation remains the world's largest manufacturing economy, and still employs a sizable percentage of our workforce. We must continue to do better, and work harder for our manufacturers. To put it simply, a strong manufacturing sector means a strong economy. Retaining and creating manufacturing jobs grows our prosperity.
That is why the MEP remains a good investment for our country. The MEP is the only public-private program dedicated to providing technical support and services to small and medium-sized manufacturers, helping them provide quality jobs for American workers. The MEP is a nationwide network of proven resources that enables manufacturers to compete globally, supports greater supply chain integration, and provides access to information, training, and technologies that improve efficiency, productivity, and profitability.
MEP's results are undeniable. In fiscal year 2009 alone, based on services provided in 2008, MEP projects with small and medium-sized manufacturers created or retained 52,948 jobs nationwide, generated more than $9.1 billion in sales, and provided cost savings of more than $1.4 billion.
In my home State of Wisconsin, the results are just as impressive. Wisconsin is home to two MEP Centers, and in the last year, Wisconsin companies that worked with the two centers were able to save or create more than 1,200 jobs, generate $118.6 million in sales, make $54 million in new investments, and generate $19.3 million in cost savings.
Our small- and medium-sized manufacturers face different challenges than larger companies, especially in this tough economy. The improvements that come to a business from working with an MEP Center can mean the difference between profitability and growth or shutting their doors. It is vital that we support our manufacturers, and so it is equally vital that we continue strong support for MEP.
The bill I have introduced today reauthorizes the MEP program for 5 years, through fiscal year 2015, and authorizes $825 million for the base program over those 5 years. This increase is in line with what President Obama called for in his budget and is a reasonable amount of growth at a time when we must scrutinize all Federal investments.
The bill also includes Senator Snowe's legislation to change the cost-share percentage for MEP Centers to fully-access Federal funding. At a time of tight State budgets, and at a time when manufacturers have less funding to pay for MEP services, MEP Centers are finding it harder and harder to meet the current 2/3 cost-share requirement. The time they must take to meet this requirement takes away from their time with manufacturers. The bill changes the cost share to 50/50--in line with most other programs at the Commerce Department--and calls for a study to determine if this level is reasonable for the long-term.
As I mentioned, state funding is one key component of a MEP Center's budget, and one area where funding has been constrained as of late. In response, this legislation authorizes a $5 million State incentive program. We should encourage State participation to grow this program, and make it a true partnership between the State, Federal Government and private sector.
Finally, the bill creates a separate funding authorization for the Competitive Grant Program created in the 2007 America COMPETES Bill. This will ensure that funding for the base MEP program goes to the existing MEP centers and allows Congress and the Commerce Department to separately fund new, innovative services for our manufacturers.
Mr. President, I ask unanimous consent that the text of the bill be printed in the Record.