Tax Reform
Floor Speech
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Mr. RISCH. Mr. President, as you may know, I was a strong supporter of the Tax Cuts and Jobs Act that passed this body and was signed into law last year. With every passing day, we are hearing more about the positive effects this law is having on the economy as a whole and about companies, both large and small, making investments in their employees and in their businesses. In identifying the positive impacts that the law has had on the overall economy and for individual taxpayers, it is sometimes forgotten that small businesses have also benefited from the law. As chairman of the Senate Committee on Small Business and Entrepreneurship, I supported the tax law because I believed it would reduce taxes for the small businesses that employ millions of workers all across America, while allowing small business owners to invest in new equipment and increase economic growth. A few weeks ago, I began this series of speeches to bring attention to small businesses that have benefited from this law.
While many news reports have focused on the impact that the new tax law has had on individuals and large corporations, I rise today to discuss how Quake Manufacturing, a small business in Fort Wayne, IN, has benefited from tax reform. Quake Manufacturing produces high- quality machined parts for its customers. The company uses high-tech computer numerical control, CNC, machines to manufacture several types of metal and plastic fixtures, gauges, prototype parts, and mass- produced parts. Quake Manufacturing employs 12 workers, has an 8,000- square-foot facility, four CNC machining centers, and six lathes. Hermann Quake started the company in 1990 and has watched as the company has expanded into the automotive and consumer goods sectors. In 1999, Hermann retired, and his son Paul took over day-to-day operations of the family business.
Because of the tax law that was passed last year, this family-owned small business has already been able to invest more in its employees. After the Tax Cuts and Jobs Act was signed into law, demand for manufactured parts increased and business quickly picked up for the company. Due to this renewed economic confidence, Paul was able to give all of his employees a one-time $1,000 bonus and a gym membership and increase employee benefits by adding long-term disability, short-term disability, and dental insurance to their health plans. These investments in his employees will help him to attract and maintain qualified workers, which is important in an industry that prides itself on attention to detail. Tax reform has had a tangible impact on small businesses like Quake Manufacturing and their employees. Overall, the new law has increased small businesses' confidence, allowed businesses to increase employee bonuses and benefits, while also lowering taxes and spurring new capital investment.
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