The Conference of State Manufacturers Associations (COSMA), currently chaired by NJBIA President and CEO Michele Siekerka, is urging the U.S. Department of Commerce to continue support for the Hollings Manufacturing Extension Partnership program, which was defunded by the Trump administration earlier this month.
In a letter to U.S. Department of Commerce Howard Lutnick, the group recommended that funding continue for the MEP centers – a public-private partnership network that provides small and medium-sized manufacturers with tools, training, and expertise to improve processes, increase capacity and bolster their workforce – while also undergoing a targeted restructuring plan that would further benefit U.S. manufacturers.
“A restructured and refocused MEP network will help American manufacturers improve their productivity and competitiveness,” the letter said.
“If we are going to realize the full potential of reshoring American manufacturing jobs, it will take resources that are laser-focused on and managed by those closest to the manufacturers in each state.
“This is an immense opportunity to help thousands of small and medium manufacturers grow American jobs,” the letter said.
Since their inception, MEPs have worked with more than 154,000 manufacturers to help create or retain more than 1.6 million jobs, according to National Institute of Standards & Technology (NIST) figures.
In Fiscal Year 2024, the MEP National Network helped to create or retain more than 109,000 jobs.
In a recent op-ed in ROI-NJ, New Jersey Manufacturing Extension Program CEO Peter Connolly explained that since 2019 his organization has helped in:
- 20,278 jobs created or retained
- A massive $1.42 billion in wage impact
- $130.03 in economic impact for every $1 invested
- More than $515.6 million in new sales supported, $1.46 billion in retained sales, and $125.9 million in cost savings to small-medium manufacturers
Earlier this month, the U.S. Department of Commerce stopped funding 10 MEP programs as part of the Trump administration’s plan to reduce federal spending.
The NIST division, which manages the MEP network, notified affected centers last week that their contracts would not be renewed after ending in late March.
In a positive development that occurred this week, the Department issued a reprieve to the 10 affected centers and confirmed those impacted MEPs will see renewed funding through the end of the fiscal year amid “further review and ongoing evaluation.”
“While this reprieve is a lifeline for those affected MEP centers, it is not a guarantee as it relates to future funding for all of the MEP network,” Siekerka said. “That is why we must remain vigilant in our efforts as outlined in the letter.”
The network also offered new guiding principles under the restructuring which included federal performance-based funding based on manufacturing establishment counts by state and preference for MEP centers that are contracted to or with state manufacturing or similar trade associations.
NJBIA was one of 35 organizations which signed the letter. The association maintains a very strong partnership that Siekerka said “greatly benefits our New Jersey manufacturers.”
The full letter can be found here.
