Question by Columbian staff writer Kathie Durbin:
As a member of Congress, how would you work with other House members, the Obama administration and Washington state leaders to help small businesses and create jobs in Southwest Washington? Please be specific.
David Castillo, Republican
I believe this government and its policies have been a hindrance to job growth in Southwest Washington and throughout the country. However, there are men and women in both parties who recognize that small businesses are the engine of the American economy. I will work with those members on specific plans for job creation:
1) I will craft legislation to establish “enterprise zones” in distressed counties.
Under my plan, any county in the nation that has an unemployment rate of 8.5% (above the mean for the decade) or higher will automatically be designated an Enterprise Zone. Once a county is designated an Enterprise Zone, they become eligible for the following:
Any new business cited in the county employing 25 or more people has its corporate income tax (or corresponding tax depending upon business designation) waived for four (4) years;
Any new business cited in the county employing 25 or more people has its payroll taxes reduced by 35% for four (4) years;
All employees of the business are exempt from income tax for their first two years of employment;
In-state businesses moving from a non-Enterprise Zone county to an Enterprise Zone county do not qualify for benefits;
Any new business will be eligible for accelerated depreciation schedules on the purchase of new equipment for the first five years;
Any foreign registered business employing 25 people or more, that moves into an Enterprise Zone designated county will receive all of the benefits that new and businesses receive;
Depending upon the type of business, R&D credits, or investment tax credits, will be available for the first four (4) years of business.
The purpose of the Enterprise Zones will be to enable distressed counties to more rapidly achieve economic success. The plan is by no means perfect, but it will be a good first start to attracting new employers and encouraging innovation, ingenuity, and entrepreneurship.
2) I will work with other Western state members of Congress to conduct a comprehensive review of the regulations that inhibit job growth in the West — particularly with regard to those environmental regulations that have decimated our natural resource based industries.
3) I will encourage tax incentives and other incentives to establish and maintain a viable biomass industry in Southwest Washington.
4) I will sponsor legislation that will cut the corporate income tax in half and reduce payroll taxes.
Cheryl Crist, Democrat
Across Southwest Washington, people need safe, well-paying jobs that don’t make people or the planet sick. I’ll work to promote federal investment that will build needed clean energy and transportation infrastructure, provide jobs to people out of work, and spur economic growth. In the long run, we need to fund post-secondary education, including technical training and apprenticeships. We must move beyond reliance on building war machines or dirty energy to provide jobs. Where we have to move away from an industry because it is harmful to environmental and human health, Congress needs to fund worker retraining and compensation for people put out of work.
Denny Heck, Democrat
As a small businessman, I know that 70% of job growth in the past decade has come from small businesses, and they are the key to getting Southwest Washington’s economy moving again.
Let’s be clear – small businesses were slammed when Wall Street banks put our economy on the brink of collapse. And while corporate CEO’s were getting bailouts and bonuses, people were getting laid off here in the 3rd District. We must have strong and comprehensive Wall Street reform so they can never hurt our small businesses on Main Street again.
We can provide targeted tax incentives to spur small business growth, including an investment tax credit for equipment purchases to help restore our local manufacturing and maintain the new hire tax credit to spur job growth.
Congress must provide an understandable, reliable and level playing field to foster small business start-ups and growth. Too often the difficulty in dealing with government at all levels impedes a small business’s opportunity to expand and create more jobs.
A “jobless” economic recovery is no recovery at all, we must get people back to work. I look forward to working with anyone in Congress, the administration and our state willing to make getting people back to work in this country our very top priority.
David W. Hedrick, Republican
I disagree with the premise of this question. It has never been the prerogative, obligation nor expertise of House members, the Obama administration or Washington state leaders to create jobs. The majority of those in government, including the Obama administration and even Obama himself, have little if any experience in the private sector. I find it absurd that a President, who has never spent a day of his privileged life working in the private sector, would arrogantly assume that he has any understanding of the job creation process. Government officials have proven time and time again, that the only thing they can grow is the size of government.
I agree with one of our great founding fathers, Mr. Thomas Paine. Government, in its best state, is but a necessary evil, and in its worse, an intolerable one. When government makes any attempt to “help small businesses” or “create jobs,” the wisdom of Pain’s words becomes transparently clear.
To create jobs in this nation, we must unshackle our citizens and our businesses from the intolerable chains of government control and free private industry, small businesses and entrepreneurs to peruse their own ambitions.
Government’s proper role is not as a creator of progress, but rather a silent witness to the affairs of its citizens and an impartial guardian of the rule of law.
Jaime Herrera, Republican
Southwest Washington suffers one of the worst unemployment rates in the nation. It’s indisputable: people are hurting and we need jobs. There are actions Congress and this administration can take now to stimulate job growth.
First, we have to control federal spending. Right now, the policy of this Congress is to run up a huge amount of new spending and put the debt on the nation’s credit card. That’s the wrong direction. It kills jobs, and over the long haul it threatens the future of the nation. I support a Constitutional Balanced Budget Amendment to force Congress to get serious about curbing its spending.
We can change the tax code so investment and job creation are actually rewarded. We can and should go back and reform health care to actually lower the cost of care because much of the burden of high health care costs is borne by our employers. Common sense solutions like Small Business Health Plans and lawsuit reform to deliver the same care at a lower cost will free up more capital for employers to grow their businesses and hire more people.
The administration must rule out, and I will oppose, any plan to create a federal Value Added Tax. Increasing the costs of our goods and services through taxation is no way to increase our competitiveness in a global marketplace.
Our goal should be to create an atmosphere where small businesses — the number one source of job creation — can succeed. I’m the candidate in this race who is a proven legislative advocate for small business; I was named a 2010 “Guardian of Small Business” by the National Federation of Independent Businesses. Government programs and government spending won’t restore permanent jobs to our region and put us on the road to economic recovery. Recovery lies in the hard work and entrepreneurship of the American people.
Norma Jean Stevens, Independent
I believe that small business is the fuel of our economy. They employ half of the economy’s work force. I would consult with small businesses in Washington State and from across the nation to find out what their needs and concerns are and what can be done to encourage hiring and business growth. Next, I would listen to them and incorporate their needs and concerns into the process of helping the economy to recovery. I would also work to extend the income, capital gains and dividend tax cuts that are set to expire in 2011. I would also work to stop or repeal the cap and trade bill currently in Congress. I believe we should reward instead of punish businesses to help with carbon output and such. New taxes on small business along with the mandates for health care will hurt them. If small business must choose between paying taxes and other mandates or hiring new employees or investing in company growth, they will choose to pay the government obligation, and that hinders economic growth in the country.