Lawmaker favors extension of tax credits

Congressman Sam Graves declined to take a position Friday on what one business roundtable questioner referred to as “the ‘R’ word.”

“If I could predict a recession or depression or a strong economy,” the lawmaker said, “I certainly wouldn’t be doing what I’m doing now.”

But the Northwest Missouri representative conceded the economy — with stagnant job creation, slipping manufacturing numbers and a subprime interest crisis — has enjoyed better health.

As the Tarkio Republican returns to Washington next week for the second session of the 110th Congress, he said he believes a vigorous debate awaits on what economic steps to take.

Mr. Graves opposes one approach regarding private commerce. “We don’t want to tax them out of business,” he said.

His comments came during a stop at AgriLabs, a St. Joseph company that distributes and markets animal health products. After touring the 54,000-square-foot warehouse facility on Missouri Route K, the congressman talked to employees of the company, which has 29 workers at that facility.

He used the visit to discuss the Small Business Investment Expansion Act, a measure the lawmaker stewarded through the U.S. House and that holds advantages for biotech businesses.

For one thing, the bill allows research-intensive businesses, such as animal pharmaceutical firms, to acquire venture capital without sacrificing eligibility for Small Business Administration programs.

In the pending congressional discussions, Mr. Graves said he would push for an extension of business tax credits passed in 2001 and 2003. They allowed for expansion of manufacturing and more investment in equipment, he said, and the provisions are set to expire.

With those measures creating a “pro-business climate” and a new push to cut back on exorbitant regulations that hinder commerce, job growth is possible in the private sector, the congressman noted.

“Government doesn’t create jobs,” Mr. Graves said. “Businesses create jobs.”

For the full story: http://www.sjnp.net/news/2008/jan/12/graves-offers-economic-ideas/