[Congressional Record Volume 164, Number 103 (Wednesday, June 20, 2018)]
[Senate]
[Pages S4276-S4277]
From the Congressional Record Online through the Government Publishing Office [www.gpo.gov]
TAX REFORM
Mr. RISCH. Mr. President, as you may know, I voted in favor of the
Tax Cuts and Jobs Act that became law last year. Every day we are
learning more about the positive impact this law is having on the
economy and about average Americans having more money in their
paychecks. While it is important to appreciate the effects that the tax
law had on individuals, we should not forget that small businesses have
benefited from the law as well. As chairman of the Senate Committee on
Small Business and Entrepreneurship, I supported the legislation
because I believed it would allow small business owners to invest in
their businesses, increase overall economic growth, and reduce taxes
for the millions of small businesses who employ the majority of
Americans in every part of the country. I also saw the potential that
the legislation would have, not just to give an economic boost to small
businesses in my home State of Idaho, but to spark renewed confidence
from small businesses across the country. A couple of weeks ago, I
began this series of speeches to bring attention to small businesses
that have benefited from this law.
While there are many stories about small businesses benefitting from
tax reform, I rise today to talk about Dempsey Wood Products in
Orangeburg, SC. Dempsey Wood Products offers a wide variety of high-
quality pine and hardwood products to its customers. The company serves
many different industries with kiln-dried lumber for the housing
industry, pallet stock for pallet manufacturers, debarked chips for the
paper industry,
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mulch for landscapers, and sawdust for alternative fuel use. The
company employs about 80 to 100 workers and has an extensive sawmill
and dry kiln operation. Ronny Dempsey started the company in 1988 and
has spent all of his life around the lumber industry. His father,
Charles Parker Dempsey, worked in various sawmills over the course of
his career and eventually was the coowner of a sawmill that he later
sold. Today Parker Dempsey, a third-generation sawmill operator, has
taken over as president, though his father, Ronny, is still by his side
as vice president of the company.
This family-owned small business has already benefitted greatly from
the tax law that was passed last year. They have announced plans to
upgrade their sawmill, purchase a new dry kiln, and invest in a new
planer mill over the next 5 years. They expect the capital expenditure
to total $7 million and estimate that they could add a second shift in
the near future, thereby creating new jobs in the Orangeburg community.
These investments were viable for the company due to the accelerated
depreciation provisions contained in the Tax Cuts and Jobs Act. This
section of the law allows companies to deduct the value of any new
equipment purchased in a single year, instead of over several years.
Tax reform has had a material impact on small businesses like Dempsey
Wood Products and their employees. Overall, the new law has increased
small businesses' confidence, employee bonuses and wages, while
lowering taxes and spurring new capital investment.
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