MARQUETTE — U.S. Senator Gary Peters toured Blackrocks Brewery earlier today.
Senator Peters came to the Blackrocks Brewery to support a legislation he is co–sponsoring that would have a large effect on small craft brewers. At this time Michigan has over 150 craft breweries across the state, ranking it the 6th most of any state in the nation.
“This is a great industry for Michigan, like we see here in Marquette,” said Senator Gary Peters, “this is a business that hires people, puts folks to work, it also adds to tourism. It helps consumers, it helps small businesses and that’s a win–win.”
The small BREW Act would cut the excise tax rate per barrel in half from $7 to $3.50, resulting in more money for small–scale craft–breweries to expand.
“Throughout the year it would definitely accumulate to a point where we saved enough to add some crucial pieces of equipment that would allow us to grow,” said Co–Founder and Brewsician Andy Langlois, “as well as, with growth comes hiring more people.”
In order to prevent the tax cut from growing too high, a limit would be placed on the number of gallons that are pro–rated.
“This tax cut only occurs up to 60,000 gallons so the larger brewers are going to be paying their full amount,” added Peters, “so it really helps the start–ups, and the thing about start–ups it’s creating jobs, folks when then are working are paying tax so as they are paying payroll tax and working. If you’re targeting a tax to job creation with a start–up company, that’s where you’re going to be able to get a lot of that revenue back and in the long run will pay for itself.”
The legislation has been introduced to the Senate and is expected to be taken up with the committee in the next few months.