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Baldacci
announces success in securing substantial federal funding
to help Maine's economy through the Manufacturing Extension
Partnership
Office of Congressman John Baldacci
October 2002
WASHINGTON, D.C. - U.S. Representative John Baldacci
announced on Friday that a House-Senate Conference Committee
agreed to his request for funds to help Maine's economy
through the federal Manufacturing Extension Partnership
(MEP). Following an appeal from Representative Baldacci,
a committee working on the Department of Defense Appropriations
Conference Report included $6 million for MEP initiatives
in a consortium of five states - including Maine. The
Conference Report was approved by the full House of
Representatives on Thursday.
Baldacci
explained that MEP benefits small and medium-sized manufacturers.
It provides information, advice and technical assistance
from experts across the country. MEP enables companies
in Maine and other states to become more productive,
efficient and competitive.
MEP
has played a meaningful role in Maine. During a twelve
month period from 1999-2000, this cost-effective initiative
led to the creation of more than 600 jobs. It also contributed
to nearly $80 million in extra industrial output; more
than $15 million in additional employee income; and
over $2.4 million in tax revenue. Small manufacturers
using MEP services report increases in competitiveness.
In fact, average productivity increases are four times
greater for companies utilizing MEP services. For example:
WahlcoMetroflex,
Inc. of Lewiston designs and manufactures equipment
and systems for controlling gas flows. It employs
more than 100 people. MEP counseling helped company
owners to improve training and management, expand
their workforce, and bid on new projects that were
previously outside their domain. They credit MEP with
making the business more globally competitive, and
helping it direct $184,750 of its own investment into
becoming even more efficient.
Infinite
Services, Inc. of Scarborough, a consulting firm,
has used MEP to identify potential clients. This has
led to work on more than twenty projects with small
companies, benefiting not only Infinite Services but
also their client companies. Without MEP, Infinite
Services would have been limited in locating smaller
manufacturers because it is often hard to make these
connections, especially in rural areas.
Auburn
Machinery, Inc. of Auburn, Maine manufactures
industrial machinery for the wood products industry
and employs about 20 people. MEP helped company officials
provide onsite demonstration programs to approximately
twenty businesses in order to create new business
opportunities. MEP is also credited in this case with
giving the support needed to receive an SBIR Phase
I award through the United States Department of Agriculture
(USDA) to develop new technology and industry educational
programs.
"I'm
delighted that Manufacturing Extension Partnership funds
have been approved and included in the final Department
of Defense Appropriations Conference Report. These substantial
resources will have a direct, beneficial impact on Maine
businesses. Because of this success in Congress, our
state's economy will be strengthened as small businesses
gain the assistance needed to increase production, expand
sales and increase employment opportunities," Baldacci
commented.
MEP,
which is credited for having created or maintained 25,000
jobs nationwide last year, more than pays for itself.
Independent analysis demonstrates that it actually raises
tax revenue by increasing small business profits and
expanding the workforce. An estimate of the return on
this investment is $4 in federal tax revenue for every
$1 allocated to MEP.
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