To the editor:
I wanted to write to thank Sen. Toomey for visiting Spring City Electrical Manufacturing to discuss the issues of importance to our business a few weeks ago. I also wanted to correct some misinformation propagated in recent letters published by this publication.
Sen. Toomey and his office conducted extensive outreach to manufacturers and small businesses to find out what tax policies were the most conducive to helping companies grow and stay competitive. As a heavy manufacturer of lamp posts and other lighting products, we are constantly investing in new equipment to stay ahead of the competition. Last year we were able to expense up to $500,000 in new equipment, lowering our tax bill to invest in our continued success. Unfortunately, that provision, which had been in place since 2010, expired at the end of 2013 and will revert to $25,000 for 2014. The provisions for permanent increases in that amount in the Economic Stimulus Act of 2008 were superseded by other legislation passed during the Obama administration. The uncertainty of basic tax policy coming out of Washington is making it harder for companies like ours to plan.
Sen. Toomey, in conjunction with Democratic Sen. Bob Menendez, teamed up to write bipartisan legislation to make the $500,000 expensing provision permanent, providing certainty. That was but one feature of a much broader bill of common sense reforms to our tax code. The proposal, called the Start-Up Jobs and Innovation Act, has garnered support from a diverse group including the National Association of Manufacturers, the National Federation of Independent Businesses, and the Coalition of Small Business Innovators. Despite the rhetoric to the contrary, this legislation is a big step forward.
My staff and I very much enjoyed meeting with Sen. Toomey. He was a small businessman who started a chain of restaurants with his brothers and helped launch a community bank. He knows how hard it is to sign the front of a paycheck and provide jobs for people. Very few elected officials have this perspective and Sen. Toomey has used it to push policies that help create and sustain jobs.
Spring City Electrical Mfg. Co.