Manufacturing revival in works; Brown touts legislation that will enable program to offer low-interest loans for product expansion

BYLINE: Rick Armon, Beacon Journal staff writer

Pointing to labor statistics that show Ohio has lost more than 185,000 manufacturing jobs since 2001, U.S. Sen. Sherrod Brown of Ohio pushed Thursday to expand a federal program that helps small manufacturing firms.

Brown, a Democrat, said he will introduce legislation this week authorizing the Manufacturing Extension Partnership (MEP) program to offer low-interest loans for companies to create new products.

He and a bipartisan coalition also will push to restore and boost funding for the program, which provides training and other technical assistance to manufacturing firms. The Bush administration has proposed cutting funding by $58.3 million, but the coalition wants the budget to be about $113 million for next year, he said.

``The federal government has no real manufacturing policy and needs to act sooner than later to bolster its manufacturing base,'' Brown said.

The Akron region had 100,907 manufacturing jobs last year, down from 127,167 in 2001, according to a report from Brown's office. The region is defined as Medina, Portage, Stark, Summit and Wayne counties.

The area also received a blow this month when Techtronic Industries Inc. announced it plans to shutter most of Hoover Co.'s vacuum operations in North Canton and put about 800 employees out of work.

The MEP program has created or retained more than 7,000 manufacturing jobs in Ohio in the last five years, Brown said.

``It's clear that the program has mattered,'' he said. ``It's been a lifeline to our manufacturing sector.''

The low-interest loan legislation is modeled after a pilot program in Cuyahoga County. The Manufacturing Advocacy and Growth Network (MAGNET), one of the MEP programs in the state, administers a low-interest loan program for the county.

Entrepreneurs and companies are eligible for up to $115,000 through a competitive application process. If they receive funding, they are required to manufacture the product in Cuyahoga County for at least seven years.

It entices people to come into the county and create jobs, said Bill Barnes, MAGNET vice president for productivity and innovation.

For example, Imalux Corp. of Cleveland has used county loans to help develop a medical imaging device that can detect cancer in early stages.

``The loan helps a great deal and encourages investors here to put money into Ohio,'' said Dr. Paul Amazeen, executive vice president and chief technology officer. ``It partially meets a crying need here in Ohio.''

Rick Armon can be reached at 330-996-3569 or rarmon@thebeaconjournal.com.