DeLauro Introduces New Manufacturing Legislation
New Haven, CT –Congresswoman Rosa L. DeLauro (CT-3) visited Orange Research, Inc. in Milford today to discuss the importance of the manufacturing industry and to introduce her new bill, the Manufacturing Reinvestment Account Act of 2010.
A critical part of our nation's economy, nearly14 million Americans are employed directly in the manufacturing industry, with another eight million jobs are created by it. But in the last six years, the economic downturn has taken a toll on this industry, with more than three million jobs lost—almost 17 percent of all the manufacturing in this country. To help these businesses survive and thrive, new solutions are needed.
The Manufacturing Reinvestment Account Act of 2010 would provide these businesses with the opportunities and policies they need to thrive. This new bill would let manufacturing businesses to establish a manufacturing reinvestment account (MRA), comparable to an individual retirement account (IRA), at local community banks to be used for equipment and facilities, job training, and workforce development. Businesses would then make annual contributions into these accounts, up to $250,000 over a period of five years. These funds could then be used for the purchase of equipment and facilities, job training, and workforce development. If a business was to meet the $250,000 limit of investment each year, and their account bears a five percent interest rate, they would have an after-tax balance of approximately $1.2 million after five years.
Orange Research has manufactured a wide range of specialized pressure gauges, switches, and flow instruments used by factories, oil refineries, and energy plants for nearly 50 years. The company is recognized as an industry leader in these fields, known for the quality and durability of their instruments, and is a prime example of an innovative and successful manufacturer. Orange Research is the type of manufacturer that would benefit greatly from the Manufacturing Reinvestment Account Act of 2010, by enabling them to leverage their capital, expanding and improving their business.
Congresswoman DeLauro was joined by Paul Hoffman, CEO of Orange Research and President of the New Haven Manufacturers Association, Hugh McCann, President, Identification Products Corp. of Bridgeport, and Jeffrey Paz, Vice President of Commercial Banking, and James Macdonald, Senior Vice President & Region Manager, both of People's United Bank. They toured the facility and discussed the benefits the new legislation will have on businesses in Connecticut and across the country.
"Work is the engine of the American dream, and it keeps us moving forward. We must do all we can to support businesses like Orange Research, whose hard work and innovation have helped them to thrive, despite the current economic climate. If we want our nation to remain successful and competitive in the global marketplace, we must return to an outlook in America that prizes and supports domestic manufacturing. I believe that we need to move away from being a workforce that simply buys things and go back to being a workforce that builds things right here in America," said Congresswoman DeLauro. "The Manufacturing Reinvestment Account Act of 2010 would enable businesses like this to get a bigger return on their dollar, free up more capital, develop their business and help to jumpstart our economy."