On December 17, 2015, while speaking on the Senate floor in support of tax relief measures supporting small business, Senator Collins cited her visit to our facility. We were honored by her visit and are thankful for her voice of support for businesses like ours throughout the state, region, and country. For a transcript of her remarks, read below:
“Back in April, I introduced a bill to extend section 179 expensing, to extend the bonus depreciation provision, and to extend an expired provision that allows restaurants and retailers to depreciate their improvements and equipment over 15 years rather than a very unrealistic 39 years. I’m absolutely delighted that all three of these important provisions have been included in the tax bill that we will vote on tomorrow.
This will make a tremendous difference to small businesses, which create the majority of new jobs in this nation and are so important to communities across America. When I talk to small businesses in Maine, their number one complaint to me is that they never know what the tax code is going to be, and thus they tend to freeze their investment decisions, and therefore their job creation, until that becomes clear. And when it does not become clear until the final month of the year, they essentially lose the opportunity to make investments that otherwise would have occurred at the beginning of the year.
I remember talking to the owner of a precision machining shop in southern Maine who told me that when 179 expensing is in effect he knows that he will buy more equipment and that he will be able to hire more skilled workers. But when there is uncertainty about whether it will be put into effect retroactively, he loses that opportunity because the machinery he makes, that he buys requires a long lead time. Similarly, I have heard from Maine’s wonderful craft beer industry, which makes the best beer in the United States, but also is a very labor and capital intensive industry. Well when these provisions like bonus depreciation and small business expensing are part of the tax code in a permanent way, they can plan their investments, and that helps not only these breweries, it also helps the entire supply chain, including the farmers in Aroostook County that are providing the malted barley and the hops that go into these beers. My point is, that the ramifications of having certainty and ending the unpredictability in our tax code for these three vital small business provisions will help to create many more new jobs for our economy.”