H.R.3597 - Protecting Circuit Boards and Substrates Act (119th Congress)
Summary
H.R.3597, the Protecting Circuit Boards and Substrates Act, aims to incentivize domestic production of printed circuit boards (PCBs) and integrated circuit substrates. It introduces a tax credit for the purchase or acquisition of PCBs and integrated circuit substrates manufactured in the United States. The bill also establishes a financial assistance program to support investment in facilities and equipment for PCB manufacturing and R&D.
Expected Effects
The Act is likely to stimulate the US economy by encouraging domestic manufacturing of PCBs and related components. This could lead to increased job creation and reduced reliance on foreign suppliers. The tax credits and financial assistance programs are designed to make domestic production more competitive.
Potential Benefits
- Increased domestic production of printed circuit boards and integrated circuit substrates.
- Job creation in manufacturing and R&D sectors.
- Reduced reliance on foreign suppliers, enhancing national security.
- Support for small businesses, minority-owned businesses, women-owned businesses, and veteran-owned businesses in the PCB industry.
- Workforce training programs to develop skilled labor for the industry.
Potential Disadvantages
- Potential for increased government spending and budget deficits due to tax credits and financial assistance.
- Risk of inefficient allocation of resources if the financial assistance program is not managed effectively.
- Possible delays and clawbacks if projects do not meet target dates.
- The clawback provisions could discourage innovation if companies fear losing funding for engaging in joint research with foreign entities.
- The program's success depends on the availability of appropriations, which may fluctuate.
Most Disadvantaged Areas:
Constitutional Alignment
The bill aligns with the Constitution's goal of promoting the general welfare (Preamble). Congress has the power to lay and collect taxes, duties, imposts and excises, to pay the debts and provide for the common defense and general welfare of the United States (Article I, Section 8, Clause 1). The Act's provisions for tax credits and financial assistance fall under this power. The emphasis on national security also aligns with the Constitution's provision for a common defense.
Impact Assessment: Things You Care About ⓘ
This action has been evaluated across 19 key areas that matter to you. Scores range from 1 (highly disadvantageous) to 5 (highly beneficial).