Baucus collects info on Montana manufacturers to discuss how best to structure the federal tax bill so it doesn’t hamper business growth. (What do you think?)

Sen. Max Baucus, D-Mont., met with Bozeman manufacturers Tuesday to discuss how best to structure the federal tax bill so it doesn’t hamper business growth.

By KAYLEY MENDENHALL, Chronicle Staff Writer

"We’re getting information about how to write this tax bill to help Montana manufacturers," Baucus said. "Our overall goal is to help create circumstances to get more high-paying jobs," in Montana.

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Contact Sen. Baucus to let him know your concerns. If you’ll add your comments to this article (below), others can share your thoughts and we’ll make sure he get’s them.- Russ

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The legislation that Baucus said "has to be written," is in response to a World Trade Organization decision that a U.S. tax law did not comply with international regulations.

The law — with the cumbersome name of the Foreign Sales Corporation Repeal and Extraterritorial Income Exclusion Act of 2000 — allowed U.S. companies to exclude their export income from taxes.

But a decision by the WTO means the act has to be abandoned and Congress is back at the drawing board looking for ways to put American exporting companies on an equal playing field with the European Union.

Most Bozeman-based manufacturers don’t do much exporting.

But Baucus said since the Senate Finance Committee will start working on a new bill in September, he would like to craft it to help Montana manufacturing companies.

"So pipe up," the senator said. "Life’s short. Take advantage of this afternoon."

Businessowners and executives heeded his advice and brought up concerns about everything from Internet spam to U.S. companies moving manufacturing overseas.

"We have 2.25 million less manufacturing jobs in the United States than we had two years ago," said Steve Holland, of the Montana Manufacturing Extension Center.

Most of Montana’s manufacturing companies are small, Holland said, with 75 percent of them employing fewer than 10 people.

And there is no one in Washington, D.C., specifically looking out for the interests of small manufacturers, said George Keremedjiev, a Bozeman-based manufacturing consultant.

"We need full-time representation in the Commerce Department," he said. "That is the best solution for these problems we have as small companies."

Baucus listened and suggested those present start an e-mail group to discuss their concerns with him. He also said about a dozen of his finance employees are traveling the state collecting similar information from other manufacturers.

"We applaud your efforts to strengthen manufacturing," said Dick Freeman, chief financial officer for ILX Lightwave. "Thank you very much for coming and for trying to help us."

http://bozemandailychronicle.com/articles/2003/08/07/news/baucusbzbigs.txt