Not finding a link to any polls, but my answer is a resounding NOOOOO!!!!
"Free-Trade" is a major reason for the US economy's collapse. Only an idiot (or businesses that value profit above healing this country) would want to expand this problem to areas within our borders.
"Free trade" needs to be eliminated, and all legislation aimed at it in the US needs to be rescinded. Then we can start to work on fixing the sorry state of our Republic!!!
Robert,
I did read it. The Free Trade Zones are mostly for tax breaks intended to keep companies here. While it does not always work, at least it's doing something.
"Free Trade", in many cases put us into an unfair competitive advantage with other countries causing many jobs to move overseas to manufacture goods
It strikes me that a foreign trade zone gives American companies a chance to compete on a little more of a level playing field (though not completely) with many of our so-called "free trade" partners.
I would fully support an FTZ in our are EXCEPT for the $5000.00 annual fee paid to the GCEDC supposedly used for "parks and recreation". Its really a stretch that 50K invested in parks and recreation would enhance the business environment.
It has been documented that GCEDC does not know how to handle money - except to provide outrageous salaries and bonuses to itself. They say they want to give incentives to companies to stay in the area through reduced cost, then tack on a 5K annual fee to participate? This sounds like a tax! In addition, I have ZERO doubt that GCEDC would cook the books to show higher costs od administering the program - allowing it to keep more of these fees.
Lets say only 10 companies participate. That's 50 grand/year going into the coffers of an agency known for its smoke and mirrors as far as its productivity and specific accomplishments. That amount would represent about 1.25 jobs per year.
The legislature should do its job and work such a system out. Keep GCEDC money grubbing hands out of it.
What companies are being looked at for these benefits? What do they produce? Would it mean well paying jobs for workers? Or is it a cheap way for more Chinese goods to be sold here?
We need real jobs that pay a living wage, not more tax cuts for companies.
Not sure what you read, but the only things I could find regarding Ron Paul and FTZ was a lot of nutty conspiracy crap from people claiming to be Ron Paul supporters.
I also found a press release on Ron Paul's congressional web site where he supported an FTZ in his own district.
I didn't find any direct statements pro or con from Paul on FTZs.
The foreign trade zone is the equivalent of the free trade zones (except in this case a bit worse- read on...), hence my comment.
The worst part of it will be the effect of allowing foreign operations to have their own sovereign land within the United States. (Do some research on the fine-print in the agreements, and you will see what I am talking about, but you have to get past the smoke-n-mirrors.)
Yes, I said what the agreements say... SOVEREIGN LANDS! There could not be anything worse for America, IMO...
Do your own reading and become informed!
Maybe this will help, the program is to help keep job's in America not send them away. I also saves the company money and speads out the expense of paying duties as you use the product, not paying them all at once, or at all if the finished product is exported back out of the US.
What is a Foreign Trade Zone?
Foreign Trade Zones (FTZs) were created in the United States to provide special customs procedures to U.S. plants engaged in international trade-related activities. Duty-free treatment is accorded items that are processed in FTZs and then reexported, and duty payment is deferred on items until they are brought out of the FTZ for sale in the U.S. market. This helps to offset customs advantages available to overseas producers who compete with domestic industry. The Foreign-Trade Zones (FTZ) Board (composed of representatives from the U.S. Departments of Commerce and Treasury) has its operational staff in the International Trade Administration's Import Administration.
How can companies benefit from using FTZs?
FTZs are considered to be outside of U.S. Customs Territory for the purpose of customs duty payment. Therefore, goods entering FTZs are not subject to customs tariffs until the goods leave the zone and are formally entered into U.S. Customs Territory. Merchandise that is shipped to foreign countries from FTZs is exempt from duty payments. This provision is especially useful to firms that import components in order to manufacture finished products for export.
There is no time limit on goods stored inside a FTZ and certain foreign and domestic merchandise held in FTZs may be exempted from state and local inventory taxes. This allows firms to minimize their costs while their products are waiting to be shipped. In addition, quota restrictions are in some cases waived for items entering an FTZ; however, the restrictions would apply if the items were to enter the U.S. market.
A variety of activities can be conducted in a zone, including assembling, packaging, destroying, storing, cleaning, exhibiting, re-packing, distributing, sorting, grading, testing, labeling, repairing, combining with foreign or domestic content, or processing. Manufacturing and processing require specific FTZ Board approval, however.
Can Foreign Trade Zones hurt domestic producers?
FTZ activity must not conflict with U.S. trade policy or harm domestic industry or other domestic plants outside of zones. The FTZ Board requires that zone manufacturing activity result in a significant public benefit and a net positive economic effect. In addition, the U.S. Customs Service supervises all zone activity and ensures that all customs and FTZ Board requirements are observed.
Posted by John Stone on March 17, 2011 - 10:53pm
The worst part of it will be the effect of allowing foreign operations to have their own sovereign land within the United States. (Do some research on the fine-print in the agreements, and you will see what I am talking about, but you have to get past the smoke-n-mirrors.)
Yes, I said what the agreements say... SOVEREIGN LANDS! There could not be anything worse for America, IMO...
Do your own reading and become informed!
Just to clarify. Does that mean you are against foreign embassy houses and offices on our shores?
Don't they qualify as "their" own land within the United States?
Bea,
Your right. By long standing international law/treaty, foreign embassy grounds are part of that country. Our embassy buildings in other countries are our sovereign US land. Embassy rights are not always honored, but that is the law.
Still waiting for Mr. Stone to post even one example where a FTZ becomes the sovereign property of a foreign government.
A foreign trade zone (more accurately for this conversation, a subzone) is exempt from import duties. It is not exempt from other laws of the land. It isn't a foreign country. It isn't going to lead to a Chinese takeover, etc.
And as I stated in the original story, when an item leaves the FTZ to be sold in the United States, the duty on the item gets paid at that time.
How is this not sensible? Just one company in Genesee County stands to save at a minimum, $15,000 per month. That's PER MONTH. How many jobs can be created for $15K per month?
Howard,
All would be fine if there was real oversight on the GCEDC and if the company actually does create those jobs of which you speak.
Without oversight, the GCEDC can turn that $5000, per company, into the following year's congratulatory bonus.
The company may save $15,000 a month, but their output would be the same. Why would they need to hire more people to honor the contracts they already have?
Bea, the way capitalism works is when you have more capital, you invest it go grow the business and make even more money.
Typically, some of that savings would go back to the owners and executives, but a good percentage -- in a well run business -- would be reinvested in jobs, equipment and finding new customers. That's how multiplier effects happen.
Howard, I've worked in the world of capitalism for big companies and small ones. You may want to believe that a well run business will invest in jobs but most will invest in robotic machines to do the work. The same person they have supervising the living can just as easy flip a switch and read the sceen.
Howard i don't think i agree that company's invest more to hire new employees if they make a few extra dollars..Company's right now are sitting on billions in cash on there books and aren't hiring...why not change the way they tax goods in this country and that way all could enjoy the benefits of what FTZ are spose to do..Why have to give some one else 5000 dollars to get this benefit..The GCEDC give tax breaks out all the time..Now they want 5000 dollars ..Seems like another layer of crap to work though.....Where did this $15000 a month figure come from...It came from GCEDC..The same people who claimed that if a certain business didn't get a tax break to put in some windows they will have to get rid of 21 jobs..You can not believe any of the numbers that the GCEDC quote..
If the government can do something to save a local business $15,000 a month, I just don't see how that can possibly be wrong.
Sitting around and waiting for some miracle of a change to "change the way goods are taxed" is like sitting around waiting for the Cubs to win a World Series.
This is something that can be done now to help local businesses, businesses that WILL employ more people and reinvest and benefit the economy where we all live and work.
I don't care if the authority making it possible is GCEDC or Santa Claus.
Why the resentment towards a local business getting a break on its expenses?
This proposal is indeed a no-brainer and after all the conversation, not one person has been able to raise any factual/logical objection. People seem to want to tear it apart just to tear it apart.
The objections break down into two camps, anti-GCEDC or anti-business. Neither of those are sustainable arguments in the face of the probable benefits.
If somebody could bring forward some substance to an objection, perhaps I could be swayed to look at it differently, but so far it hasn't happened.
Companies can import parts assembly them and export the new product that they made and never have to pay any type of state or federal tax on the inventory that they have in this zone at any time..But a company that buys parts in this country and exports the product they make, have to pay tax on the inventory they have..This is fair to who..The company that bought in the USA and helped grow the economy or the one who just brought parts in and shipped them back out..Its not anti GCEDC or anti business its Pro USA...
The formulas for business support should be based on three factors: expansion, employee retention and hiring- period. If you increase your business platform, you get a tax break. If you don't lay off, you get a tax break. If you hire additional employees, you get an even bigger break. All of these factors are quantifiable and contribute to the economy and -most importantly- are equitable for both new and existing business.
Not finding a link to any
Not finding a link to any polls, but my answer is a resounding NOOOOO!!!!
"Free-Trade" is a major reason for the US economy's collapse. Only an idiot (or businesses that value profit above healing this country) would want to expand this problem to areas within our borders.
"Free trade" needs to be eliminated, and all legislation aimed at it in the US needs to be rescinded. Then we can start to work on fixing the sorry state of our Republic!!!
John, did you read the story
John, did you read the story about the proposal?
John, Free Trade Zone is not
John,
Free Trade Zone is not the "Free Trade" you are thinking of.
Hey John in case you missed
Hey John in case you missed it you might want to read this before commenting. http://thebatavian.com/howard-owens/ways-and-means-gets-run-down-benefi…
Robert, I did read it. The
Robert,
I did read it. The Free Trade Zones are mostly for tax breaks intended to keep companies here. While it does not always work, at least it's doing something.
"Free Trade", in many cases put us into an unfair competitive advantage with other countries causing many jobs to move overseas to manufacture goods
It's a foreign trade zone,
It's a foreign trade zone, not a free trade zone.
It strikes me that a foreign trade zone gives American companies a chance to compete on a little more of a level playing field (though not completely) with many of our so-called "free trade" partners.
I voted no. I would fully
I voted no.
I would fully support an FTZ in our are EXCEPT for the $5000.00 annual fee paid to the GCEDC supposedly used for "parks and recreation". Its really a stretch that 50K invested in parks and recreation would enhance the business environment.
It has been documented that GCEDC does not know how to handle money - except to provide outrageous salaries and bonuses to itself. They say they want to give incentives to companies to stay in the area through reduced cost, then tack on a 5K annual fee to participate? This sounds like a tax! In addition, I have ZERO doubt that GCEDC would cook the books to show higher costs od administering the program - allowing it to keep more of these fees.
Lets say only 10 companies participate. That's 50 grand/year going into the coffers of an agency known for its smoke and mirrors as far as its productivity and specific accomplishments. That amount would represent about 1.25 jobs per year.
The legislature should do its job and work such a system out. Keep GCEDC money grubbing hands out of it.
It's not going to parks and
It's not going to parks and recreation, it's going to parks and programs.
Parks as in the Ag-business park and STAMP; programs as in the programs GCEDC does.
In other words, another revenue source for GCEDC.
Whether that would be used to off set the county's contribution to GCEDC is another question ...
What companies are being
What companies are being looked at for these benefits? What do they produce? Would it mean well paying jobs for workers? Or is it a cheap way for more Chinese goods to be sold here?
We need real jobs that pay a living wage, not more tax cuts for companies.
Sorry for sounding
Sorry for sounding pessimistic but I just read Ron Paul's take on the FTZ and although it is WAAAAAAY right, it brings up some interesting points.
Not sure what you read, but
Not sure what you read, but the only things I could find regarding Ron Paul and FTZ was a lot of nutty conspiracy crap from people claiming to be Ron Paul supporters.
I also found a press release on Ron Paul's congressional web site where he supported an FTZ in his own district.
I didn't find any direct statements pro or con from Paul on FTZs.
Do you have any links?
The foreign trade zone is the
The foreign trade zone is the equivalent of the free trade zones (except in this case a bit worse- read on...), hence my comment.
The worst part of it will be the effect of allowing foreign operations to have their own sovereign land within the United States. (Do some research on the fine-print in the agreements, and you will see what I am talking about, but you have to get past the smoke-n-mirrors.)
Yes, I said what the agreements say... SOVEREIGN LANDS! There could not be anything worse for America, IMO...
Do your own reading and become informed!
John, by all means, please
John, by all means, please post a link to one of the agreements you are referring to.
If more good paying jobs are
If more good paying jobs are bad for America, I'd hate to know what you think is good for America.
Maybe this will help, the
Maybe this will help, the program is to help keep job's in America not send them away. I also saves the company money and speads out the expense of paying duties as you use the product, not paying them all at once, or at all if the finished product is exported back out of the US.
What is a Foreign Trade Zone?
Foreign Trade Zones (FTZs) were created in the United States to provide special customs procedures to U.S. plants engaged in international trade-related activities. Duty-free treatment is accorded items that are processed in FTZs and then reexported, and duty payment is deferred on items until they are brought out of the FTZ for sale in the U.S. market. This helps to offset customs advantages available to overseas producers who compete with domestic industry. The Foreign-Trade Zones (FTZ) Board (composed of representatives from the U.S. Departments of Commerce and Treasury) has its operational staff in the International Trade Administration's Import Administration.
How can companies benefit from using FTZs?
FTZs are considered to be outside of U.S. Customs Territory for the purpose of customs duty payment. Therefore, goods entering FTZs are not subject to customs tariffs until the goods leave the zone and are formally entered into U.S. Customs Territory. Merchandise that is shipped to foreign countries from FTZs is exempt from duty payments. This provision is especially useful to firms that import components in order to manufacture finished products for export.
There is no time limit on goods stored inside a FTZ and certain foreign and domestic merchandise held in FTZs may be exempted from state and local inventory taxes. This allows firms to minimize their costs while their products are waiting to be shipped. In addition, quota restrictions are in some cases waived for items entering an FTZ; however, the restrictions would apply if the items were to enter the U.S. market.
A variety of activities can be conducted in a zone, including assembling, packaging, destroying, storing, cleaning, exhibiting, re-packing, distributing, sorting, grading, testing, labeling, repairing, combining with foreign or domestic content, or processing. Manufacturing and processing require specific FTZ Board approval, however.
Can Foreign Trade Zones hurt domestic producers?
FTZ activity must not conflict with U.S. trade policy or harm domestic industry or other domestic plants outside of zones. The FTZ Board requires that zone manufacturing activity result in a significant public benefit and a net positive economic effect. In addition, the U.S. Customs Service supervises all zone activity and ensures that all customs and FTZ Board requirements are observed.
Howard, upon further
Howard, upon further investigation, it does appear that the article I read was not written by Ron Paul, but presented as though he had written it.
Another article says that items manufactured in the FTZ will not be sold in the US. If they are, then they will be subject to tariffs and fees.
I'd still like some answers. If it means good paying jobs and merchandise that is NOT a drain on our economy, I will gladly change my mind.
Posted by John Stone on March
Posted by John Stone on March 17, 2011 - 10:53pm
The worst part of it will be the effect of allowing foreign operations to have their own sovereign land within the United States. (Do some research on the fine-print in the agreements, and you will see what I am talking about, but you have to get past the smoke-n-mirrors.)
Yes, I said what the agreements say... SOVEREIGN LANDS! There could not be anything worse for America, IMO...
Do your own reading and become informed!
Just to clarify. Does that mean you are against foreign embassy houses and offices on our shores?
Don't they qualify as "their" own land within the United States?
Bea, Your right. By long
Bea,
Your right. By long standing international law/treaty, foreign embassy grounds are part of that country. Our embassy buildings in other countries are our sovereign US land. Embassy rights are not always honored, but that is the law.
Still waiting for Mr. Stone to post even one example where a FTZ becomes the sovereign property of a foreign government.
Mr. Stone, paging Mr. Stone.
Mr. Stone, paging Mr. Stone. Are you there?
A foreign trade zone (more
A foreign trade zone (more accurately for this conversation, a subzone) is exempt from import duties. It is not exempt from other laws of the land. It isn't a foreign country. It isn't going to lead to a Chinese takeover, etc.
And as I stated in the original story, when an item leaves the FTZ to be sold in the United States, the duty on the item gets paid at that time.
How is this not sensible? Just one company in Genesee County stands to save at a minimum, $15,000 per month. That's PER MONTH. How many jobs can be created for $15K per month?
Howard, All would be fine if
Howard,
All would be fine if there was real oversight on the GCEDC and if the company actually does create those jobs of which you speak.
Without oversight, the GCEDC can turn that $5000, per company, into the following year's congratulatory bonus.
The company may save $15,000 a month, but their output would be the same. Why would they need to hire more people to honor the contracts they already have?
Bea, the way capitalism works
Bea, the way capitalism works is when you have more capital, you invest it go grow the business and make even more money.
Typically, some of that savings would go back to the owners and executives, but a good percentage -- in a well run business -- would be reinvested in jobs, equipment and finding new customers. That's how multiplier effects happen.
Howard, I've worked in the
Howard, I've worked in the world of capitalism for big companies and small ones. You may want to believe that a well run business will invest in jobs but most will invest in robotic machines to do the work. The same person they have supervising the living can just as easy flip a switch and read the sceen.
Howard i don't think i agree
Howard i don't think i agree that company's invest more to hire new employees if they make a few extra dollars..Company's right now are sitting on billions in cash on there books and aren't hiring...why not change the way they tax goods in this country and that way all could enjoy the benefits of what FTZ are spose to do..Why have to give some one else 5000 dollars to get this benefit..The GCEDC give tax breaks out all the time..Now they want 5000 dollars ..Seems like another layer of crap to work though.....Where did this $15000 a month figure come from...It came from GCEDC..The same people who claimed that if a certain business didn't get a tax break to put in some windows they will have to get rid of 21 jobs..You can not believe any of the numbers that the GCEDC quote..
I'll apologize now for being
I'll apologize now for being pro local business.
If the government can do something to save a local business $15,000 a month, I just don't see how that can possibly be wrong.
Sitting around and waiting for some miracle of a change to "change the way goods are taxed" is like sitting around waiting for the Cubs to win a World Series.
This is something that can be done now to help local businesses, businesses that WILL employ more people and reinvest and benefit the economy where we all live and work.
I don't care if the authority making it possible is GCEDC or Santa Claus.
Why the resentment towards a local business getting a break on its expenses?
This proposal is indeed a no-brainer and after all the conversation, not one person has been able to raise any factual/logical objection. People seem to want to tear it apart just to tear it apart.
The objections break down into two camps, anti-GCEDC or anti-business. Neither of those are sustainable arguments in the face of the probable benefits.
If somebody could bring forward some substance to an objection, perhaps I could be swayed to look at it differently, but so far it hasn't happened.
Companies can import parts
Companies can import parts assembly them and export the new product that they made and never have to pay any type of state or federal tax on the inventory that they have in this zone at any time..But a company that buys parts in this country and exports the product they make, have to pay tax on the inventory they have..This is fair to who..The company that bought in the USA and helped grow the economy or the one who just brought parts in and shipped them back out..Its not anti GCEDC or anti business its Pro USA...
Mark, they have to pay the
Mark, they have to pay the taxes on the items going out.
And in case you didn't read the story, the local company that is asking for this can't buy its parts in the US. No US based company makes the parts.
Let's face it, our trade system is broken. This won't fix it, but it helps equalize the playing field for some local companies.
Maybe that undisclosed
Maybe that undisclosed company who will save a dubious $15,000 a month should consider relocating:
http://wnymedia.net/marcodien/2011/03/seneca-nation-offers-land-to-veri…
The formulas for business
The formulas for business support should be based on three factors: expansion, employee retention and hiring- period. If you increase your business platform, you get a tax break. If you don't lay off, you get a tax break. If you hire additional employees, you get an even bigger break. All of these factors are quantifiable and contribute to the economy and -most importantly- are equitable for both new and existing business.