March 7, 2008

LANSING - Governor Jennifer M. Granholm, along with 20 other governors, today urged U.S. congressional leaders to fully fund the Manufacturing Extension Partnership (MEP) in the 2009 fiscal year.  MEP provides businesses across the country with services and access to public and private resources that enhance growth, improve productivity, and expand capacity.

Despite the benefits MEP provides to businesses and communities in every state across the country, President Bush's budget proposal included only $4 million for MEP, an $85 million cut from last year that would effectively terminate the program.

"The proposed cut to MEP in the president's 2009 budget is another example of the Bush Administration's refusal to advance policies that support American manufacturing and American workers," said Granholm.  "Michigan needs a partner in Washington who will enforce unfair trade policies, provide assistance to workers whose jobs have been lost due to globalization, and who will support effective partnerships like the MEP."

In a letter to congressional appropriations leaders, the bipartisan group of governors urged that MEP be funded at $122 million this year, a $33 million increase from the current funding level.    

"Manufacturing continues to be the backbone of America's economy, yet recovery in this industry is lagging behind other sectors of the economy," the governors wrote.  "At this critical time, U.S. manufacturing needs our help more than ever.  As a successful partnership between the federal government, states, and small manufacturers, all stakeholders recognize that the MEP is important to business in our states and is a necessary component to national innovation and economic growth."

The Manufacturing Extension Partnership has proven highly effective in creating and retaining jobs, increasing investment and sales, and realizing cost savings for companies in Michigan.  

- In the 2007 fiscal year, MEP clients in Michigan reported more than $100 million in sales, $18 million in cost savings, 956 jobs created or retained, and $30.5 million in investments made.

- Over the past eight years, MEP clients in Michigan have reported more than $1 billion in sales, $91 million in cost savings, 9,971 jobs created or retained, and more than $922 million in investments made.

# # #