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Public Statements

Stabenow: Senate Passes Bipartisan Legislation to Create Michigan Jobs

Press Release

Location: Washington, DC

Stabenow: Senate Passes Bipartisan Legislation to Create Michigan Jobs

U.S. Senator Debbie Stabenow today announced Senate passage of the bipartisan Hiring Incentives to Restore Employment Act ( HIRE Act ) by a vote of 70-28. The HIRE Act will cut taxes for small businesses that hire new employees and invest in their businesses. It will also extend transportation programs to rebuild our nation's infrastructure and allow state and local governments to finance more infrastructure projects. The HIRE Act is the first of many jobs bills that are part of the Senate Jobs Agenda.

"The HIRE Act is the first of many jobs initiatives that will put Michigan back to work during this difficult time," said Stabenow. "This legislation provides tax cuts to small businesses that hire new employees and make new investments to grow their businesses. It will also expand critical transportation and infrastructure programs that will create jobs while at the same time improve our roads and schools."

The HIRE Act :

Creates new tax cuts for small businesses to hire new workers

* The HIRE Act includes a new payroll tax exemption to employers that begin hiring unemployed workers today. This provision will provide businesses with an exemption from Social Security payroll taxes they owe for every worker hired in 2010 who has been unemployed for at least 60 days.

Provides tax cuts for small businesses that make new investments

* The HIRE Act will enhance the write-off that small businesses can take for purchases of certain equipment, which will help small business entrepreneurs make the investments they need to grow and hire more workers. The HIRE Act would extend a provision in the American Recovery and Reinvestment Act that allows small businesses to immediately deduct up to $250,000 of qualifying investments.

Extends important transportation programs

* The HIRE Act will provide an extension of the nation's surface transportation programs through December 31, 2010. This extension will provide states and local governments with the certainty they need to make decisions on capital-intensive projects and allow for billions more to be invested in infrastructure throughout the United States. It includes a transfer of approximately $20 billion from the General Treasury and places it into the Highway Trust Fund, which is estimated to run short of funds in June.

Expands the Build America Bonds program

* The HIRE Act will expand upon the Build America Bond model, which allows state and local governments to borrow at lower costs in order to pursue necessary capital projects. These projects include work on public buildings, courthouses, schools, roads, and transportation infrastructure, creating good-paying jobs. From April 2009 to January 2010, issuers in MI issued $1.3 billion in Build America Bonds.

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