Today Congresswoman Allyson Schwartz (D-PA) joined U.S. Representatives Chris Van Hollen (D-MD), John Garamendi (D-CA), Betty McCollum (D-MN), Jared Polis (D-CO), and C.A. Dutch Ruppersberger (D-MD) in reintroducing the Innovative Technologies Investment Incentive Act. This legislation will create jobs, accelerate economic growth, and make targeted investments that keep America on the cutting edge of innovation.
"Small businesses are the largest job creators in the country. The Innovative Technologies Investment Incentive Act will give our entrepreneurs and innovators the tools and resources they need to continue to grow, hire and compete. Developing America's small businesses is critical to our economic recovery and this bill will help ensure our nation's leadership in the global marketplace," said Congresswoman Schwartz.
"As our economy continues to recover, the Innovative Technologies Investment Incentive Act will provide an important boost to America's most innovative small companies at a time when that boost is needed most," said Congressman Van Hollen. "Putting Americans back to work is our number one priority. This pro-growth initiative -- modeled after the highly successful Maryland Biotechnology Investment Incentive Tax Credit and similar legislation in other states -- will leverage private capital to create good-paying jobs, reward innovation, and lay the foundation for our future prosperity."
"High tech businesses are the shining stars of our economy. Northern California's technology clusters, including the City of Davis, have seen these businesses' remarkable ability to generate economic growth and jobs," said Congressman Garamendi. "However, there is a "valley of death,' a slew of barriers that prevent an idea from becoming a profitable product, and foremost among these is stable financing. The Innovative Technologies Investment Incentive Act helps small businesses overcome these challenges and turbocharge America's job creation machine."
"Colorado's growing clean energy industry is an essential part of our economy and incentivizing investment is a great way to spur further innovation and job creation," said Congressman Polis. "I am proud to work with my colleagues to replicate this successful program so that innovative companies across the country can benefit from the same incentives that have proven effective in Maryland."
"In Maryland, the growing life sciences sector -- which includes many small biotechnology firms - has generated one third of all job gains over the past decade and this bill will enable them to expand and hire even more," Congressman Ruppersberger said. "It's exactly the type of common sense jobs bill that lawmakers should be focused on right now."
The Innovative Technologies Investment Incentive Act will:
ACCELERATE INNOVATION by providing a 25 percent tax credit for qualified equity investments in eligible high technology and biotechnology small business concerns.
INVEST IN QUALITY by directing credit-qualified investments only to those small businesses that have met the federal government's rigorous requirements for receiving Small Business Innovation Research (SBIR) grant awards.
CONTROL COSTS by establishing a per company cap for the Innovative Technology Investment Credit at one half the value of the receiving company's SBIR award and an initial program cap of $500 million.
REWARD LONG-TERM INVESTMENT by requiring a holding period of at least three years for qualified investments.