Senators Kelly, Vance, Cotton Introduce Bipartisan Bill to Boost Domestic Manufacturing and Strengthen Supply Chains
The ONSHORE Act Will Supercharge Development of Market-Ready Sites for Industrial Investment
Today, Arizona Senator Mark Kelly, Senator JD Vance (R-OH), and Senator Tom Cotton (R-AR) introduced the ONSHORE Act, bipartisan legislation that will help bring critical supply chains back to America by assisting communities of all sizes with the site development needed to attract manufacturing facilities.
The U.S. faces a shortage of shovel-ready sites with the necessary infrastructure and workforce for companies to quickly begin construction on new manufacturing facilities. The ONSHORE Act creates a Critical Supply Chain Site Development Grant Program within the Economic Development Administration, which would assist communities, including small towns and tribal communities, with site development to attract manufactures from critical industries to build new facilities in their area.
“As we work to bring manufacturing supply chains for critical industries from microchips to critical minerals back to America, we have to maximize this opportunity by making sure there are enough sites with the infrastructure and workforce needed for new facilities,” said Senator Kelly. “For a lot of small towns and tribal communities, the biggest barrier to attracting investment is the cost of getting sites ready for development. We’re working to fix that, which will boost manufacturing and create good-paying jobs in every corner of our states and the country.”
“As our nation takes the necessary steps to reshore critical supply chains and spur innovation, everyone in America should reap the rewards,” said Senator Vance. “This bill would deploy capital broadly to ensure the foundations of tomorrow’s industry and growth are laid in underdeveloped regions. If enacted, it will deliver good-paying jobs, build vibrant communities, and strengthen supply chains—in Ohio and around the country.”
“We cannot rely on other countries like China for our essential technologies,” said Senator Cotton. “The technologies of tomorrow should be tested, researched, and made in America. This legislation will help make the necessary investments in our communities to make that possible.”
“IEDC enthusiastically welcomes the introduction of the ONSHORE Act of 2023 and applauds the bipartisan leadership shown by Sen. Kelly and Sen. Vance in spotlighting this critical opportunity to reinvigorate U.S.-based manufacturing while also providing vital resources to help communities be more competitive,” said Nathan Ohle, President & CEO of the International Economic Development Council (IEDC). “The ONSHORE Act will provide communities with essential resources to aid in attracting supply chain manufacturers. Economic developers across the U.S. will welcome this new initiative and IEDC urges the swift passage and implementation of the ONSHORE Act.”
“Site readiness is a critical consideration for international companies planning major investments in the United States. At a time when international companies have unprecedented opportunities to invest, it is great to see Senators Kelly and Vance focused on making the U.S. a more attractive destination for game-changing investments and job creation. GBA commends Senators Kelly and Vance for this forward-looking legislation and urges all Senators to support this measure and other policies that make it easier to invest in America,” said Nancy McLernon, president & CEO of the Global Business Alliance.
“By providing dedicated funding for site development, the Critical Supply Chain Site Development Grant Program under the ONSHORE Act of 2023 holds immense value in revitalizing domestic manufacturing and strengthening national security,” said Chris Camacho, President & CEO of the Greater Phoenix Economic Council. “The availability of shovel-ready sites with the necessary infrastructure and skilled workforce is a crucial factor in attracting companies to invest in Greater Phoenix and bolster U.S. supply chains. This program ensures that strategic mega sites and regionally impactful locations are properly prepared for new industrial investment. With enhanced site-readiness, the United States will be better equipped to compete globally, foster the growth of critical industries, and ensure the production of essential products domestically.”
“We applaud Senator Kelly for leading on this important legislation. This ONSHORE Act will significantly strengthen U.S. competitiveness for new manufacturing opportunities, bringing more jobs and investments to Arizona. We’re grateful for Senator Kelly’s continued partnership in growing and advancing Arizona’s economy,” said Sandra Watson President & CEO, Arizona Commerce Authority.
“Due to its strong business climate and low cost of living, Ohio remains a premier destination for companies considering historic investments that can onshore critical industries while rebuilding our domestic supply chain,” said J.P. Nauseef, JobsOhio president and CEO. “I applaud the introduction of the ONSHORE Act, which will help Ohio and the rest of the United States more fully capitalize on this generational opportunity by expanding the number of sites that are ready to support major development projects.”
Background:
Disinvestment in manufacturing and offshoring of industrial capabilities has left the U.S. vulnerable to supply chain shocks. Strengthening domestic manufacturing capabilities, especially for industries of the future, is critical for economic and national security. As companies rebuild their supply chains, there is a significant opportunity to revive the industrial base of regions throughout the country.
A primary factor affecting where a new manufacturing facility is built is whether a site has the basic infrastructure (like road access or water and power utility hookups) and workforce to enable a company to quickly begin construction on a facility and hire enough qualified talent to begin operations. The U.S. shortage of shovel-ready sites jeopardizes opportunities to boost domestic manufacturing and build resilient supply chains.
The EDA’s Critical Supply Chain Site Development Grant Program would support site and utility readiness, workforce development, distribution, and logistics, to prepare strategic and regionally impactful sites for new industrial investment, including in rural and tribal communities, and regions with high unemployment. This dedicated funding would enable the U.S. to prepare sites where companies can rapidly scale to begin construction of new domestic manufacturing facilities, better positioning the U.S. to compete against adversaries like China.
For full bill text, click here.
