By ideastream's Brian Bull
Congress returns from its August recess today and both of Ohio's Senators are hoping the House will take up the reauthorization of the Export-Import Bank this session. It remains shuttered after Congress decided to let the bank's charter expire at the end of June.
The Export-Import Bank –“Ex-Im” for short – is a federal agency that helps U.S. companies sell their products to foreign markets, by underwriting loans to overseas customers.
Sherrod Brown – ranking member of the Senate Banking committee – says 350 Ohio companies have used Ex-Im since 2008.
“It served our small companies that export very well, it means real jobs, and good paying jobs," says Brown. "Generally manufacturing.”
Jerry Arth agrees. He’s president of Grand Rock Company in Painesville, which makes motor vehicle parts. He says private banking firms and insurers aren’t as accommodating with small companies such as his.
“Plus they do not deal in many of the countries that we are trying to penetrate," adds Arth. "Nigeria is a difficult market. But we’ve identified all the customers, we’ve screened them. Right now today, I have about $2 million worth of orders that we can ship.”
But critics insist that Ex-Im is best left shuttered. Republican Congressman Jim Jordan of Ohio’s Fourth District has dismissed it as a form of corporate welfare that mostly benefits large companies, such as Boeing and GE.
“And this idea where a big corporation can cozy up to big government and get a special deal at the expense of middle class families, is just wrong and it needs to stop.”
Any action required to reauthorize the Export-Import Bank will be up to the House of Representatives. There’s no indication yet when or if that’ll happen.