U.S. Rep. Randy Hultgren (R-IL) recently introduced a bipartisan bill to update the 30-year-old rules of manufacturing bonds to help manufacturers expand, modernize equipment and hire new workers, the congressman's office announced.
The American Manufacturing Bonds Act (MAMBA) of 2017, HR 1115, is cosponsored by Reps. Richard Neal (D-MA) and Jim Renacci (R-OH).
“Illinois’ manufacturers are ready for the challenge of increasing engagement in our global and technology-based economy," Hultgren said. "Unfortunately, decades-old policies governing a key tool that manufacturers use to expand operations no longer address today’s challenges, needlessly impeding growth and job creation in the Illinois manufacturing sector. MAMBA is a bipartisan bill that sensibly reforms these outdated rules without raising taxes."
The bill expands the definition of manufacturing facilities to allow more companies to use qualified small issue manufacturing bonds, or industrial development bonds. If the bill passes, companies that manufacture or produce software, patents and intellectual properties will have access to these manufacturing bonds. The bill will also remove restrictions that add a layer of complexity to financing and increase the bond size limitation to $30 million.
More than 27,000 Illinoisans -- approximately 10 percent of the state's workers -- are employed in manufacturing, which accounts for 12.4 percent of the state's gross domestic product.
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