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May 31, 2017

Trump budget would cut federal MEP funds

MassMEP works with companies like FLEXcon on employee development.

The Worcester-based Massachusetts Manufacturing Extension Partnership and other MEP centers across the country will lose their federal funding if President Donald Trump’s budget proposal is approved as is.

The draft budget proposes cutting the $124 million set aside to fund MEP centers, which provide consulting and educational services to small and midsize manufacturers. This would allow MEP centers to transition away from federal funding, which was the original intent, according to the budget.

However, MassMEP feels confident it will be able to continue operations. The national MEP program is an economic driver for manufacturing across the country, said Kathie Mahoney, MassMEP’s marketing and administration director.

“We have strong support of our clients and Congress to continue operations,” Mahoney wrote in an email.

Since mid-2012, MassMEP’s clients have saved $57 million in costs, spent $289 million on new investments, and increased and retained sales of $840 million, according to agency data. The center has helped generate $209 million in state and local tax and $407 million in federal tax.

Federal money makes up about half of MEP budgets nationwide, according to Trump’s budget. The MEP system has 51 offices -- one in each state and Puerto Rico -- with more than 2,000 field agents working to support manufacturers, according to MassMEP.

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