WEDC is “watching very closely” for cuts to federal dollars that could impact Wisconsin programs, including the possible elimination of funding for the Wisconsin Center for Manufacturing & Productivity.
That’s according to Missy Hughes, secretary and CEO of the Wisconsin Economic Development Corp. Speaking during this week’s WEDC Board of Directors meeting, she referenced the “possible change” in funding for the WCMP, the state’s official Manufacturing Extension Partnership program.
Her remarks came after 10 MEP centers in other states were notified in early April that their funding would be cut on the same day they were due to be renewed, raising concerns about federal support for other centers in the national network.
While those centers have since gotten a six-month extension in their funding — through the end of September — advocates including WCMP leadership are making the case to federal lawmakers that funding should be maintained.
“Frankly, you know, I’ll be surprised if that is ultimately eliminated because it does support small and medium-sized manufacturers,” Hughes said during the meeting. “Certainly it seems to be a goal of the administration to return manufacturing to the United States and to strengthen manufacturing.”
Of the 51 MEP centers across the country, about a quarter get their federal funding renewed every quarter, according to WCMP Executive Director and CEO Buckley Brinkman. The next cohort up for renewal is set to do so at the start of July, while Wisconsin’s contract is set to expire at the end of December.
“We’re waiting to see what happens with the cohort that’s supposed to be renewed July 1st,” Brinkman said in an interview yesterday. “We think that’ll be the same sort of situation, and we just think it’s really necessary for all of our friends to make sure they’re talking to their congresspeople about the value of the MEP to the state’s manufacturing ecosystem.”
He said he’s optimistic about advocates’ ability to get the message across, noting the program’s 14-to-1 return on the dollars invested by the federal government. If the funding does end up getting cut, the WCMP would have to become “much leaner” with fewer offerings for companies. And it would be more difficult to reach remote parts of the state, while the services it offers to manufacturers would be more expensive, Brinkman said.
“So that’s the big concern, you know, when you lose that kind of federal support it’s going to force us to be a lot narrower,” he said.
When the funding cut for the 10 MEPs was first announced, U.S. Sen. Tammy Baldwin, D-Madison, joined a letter to Commerce Secretary Howard Lutnick expressing major concerns about the move. She noted Wisconsin’s MEP network has helped create more than $2.5 billion in economic impact and created or retained nearly 4,000 jobs over the past two years.
Also during the WEDC board meeting, Hughes noted the recent funding cut for Wisconsin’s Minority Business Development Agency Business Center, which has been working to support diverse businesses statewide.
“The elimination of that is a real change, we’ve been partners and supported those activities for a number of years, so we’re trying to understand what impact that will have,” she said.
The Trump administration recently sent notice to every MBDA employee that their jobs are being cut, “effectively shuttering an agency that Congress has authorized,” lawmakers including Baldwin wrote to Lutnick. They’re demanding an explanation for the move.
“The Trump Administration owes the small business owners and entrepreneurs of Wisconsin some answers as to why he is ripping away this key resource that helps them create jobs, reach new customers, and grow our economy,” Baldwin said in a statement on the change.
Still, Hughes said she’s “super encouraged” that WEDC hasn’t seen any changes to the Regional Technology and Innovation Hubs program, which includes the Wisconsin Biohealth Tech Hub. She noted the state’s tech hub has been a “real attraction tool” that’s helped the agency connect with businesses in Europe and elsewhere about the opportunities Wisconsin presents.
“I think for the most part we’re seeing that as a bipartisan effort holding steady,” she said.
Watch the video of the board meeting and see figures on the MEP network’s impact in Wisconsin.
