Bill Comparison
A comprehensive side-by-side view of all three bills — cost, mechanism, target, guardrails, and key benefits at a glance.
§1Overview Comparison
| Attribute | MISA | Mannie Mac | MERA |
|---|---|---|---|
| Full Name | Manufacturing and Industrial Security Act | Manufacturing Finance Corporation Act | Manufacturing Entrepreneurs Rewards Act |
| IRC / Structure | IRC §38A (Title I — MINA Credit) and §38B (Title II — DO IT NOW Credit) | Government-Sponsored Enterprise | IRC §2010A/§2505A (Track 1) and §1202A (Track 2) |
| 10-Year Cost | $1,394–1,529B (10-year) | $25B appropriation ($12.7B net) | $36–73B (10-year) |
| Mechanism | Two-tier transferable tax credit on domestic value-added (DVA) costs: Title I (MINA) for most manufacturers, Title II (DO IT NOW) stacking for 14 strategic sectors | GSE providing partial federal guarantees on bank-originated manufacturing loans | Dual-track: $250M gift/estate credit (Track 1) + $250M capital gains exclusion (Track 2) |
| Target | Most domestic manufacturers (NAICS 31–33), with enhanced support for 14 strategic sectors | Manufacturers of all sizes, from small shops to scale plants | ~125,000 boomer-owned manufacturing companies employing 2.6 million workers |
| Primary Benefit | Broad manufacturing incentive (5–6%) plus strategic sector super-incentive (8–10%), combined up to 16% of DVA costs | $250–310B in guaranteed lending; $630–780B total investment mobilized | Provide incentives for entrepreneurs and succession to reinvigorate small and medium size businesses |
§2Mechanism Details
| Feature | MISA | Mannie Mac | MERA |
|---|---|---|---|
| Credit / Benefit Type | Two-tier: Title I (MINA) 5–6% + Title II (DO IT NOW) 8–10% = up to 16% combined DVA credit | Partial federal loan guarantees (70–85%) | 100% capital gains exclusion up to $250M |
| DVA Requirement | 20% floor, 80% cap; most NAICS 31–33 (Title I); 14 strategic sectors (Title II) | Qualifying manufacturer (NAICS 31–33) | ≥40% DVA (3-year average) |
| Transferability | Sell to qualified buyers (DVA ≥40%) or Treasury at 85% of face value | Securitization on secondary market | N/A — capital gains exclusion |
| Guardrails | DVA Ratio floor 20%, cap 80%; 3–5 year offshoring recapture; Equity Distribution Surcharge (2–3%) | First-loss bank structure; 4–5% loss rate | No debt >3.5× EBITDA; 7-year recapture period |
| Recapture / Clawback | 3–5 year offshoring recapture; allied reorientation exemption | Bank shares first-loss risk on every loan | Buyer AND seller recapture: early sale, excess leverage (3.5:1), offshoring >30%, employment <50% |
| Holding Period | Annual credit; Title I: 10yr + 7yr phase-out; Title II: 12yr + 10yr phase-out | Loan terms set by banks | 10-year hold (or qualified IPO) |
§3Who Benefits
| Beneficiary | MISA | Mannie Mac | MERA |
|---|---|---|---|
| Large Manufacturers | ✓ Title I credit for all; Title II for strategic sectors | ✓ Loan access | — (targets private succession) |
| Small/Mid Manufacturers | ✓ Credit proportional to DVA; strategic sector bonus | ✓ Primary target ($5M–$500M) | ✓ Primary target (~125K firms) |
| Pre-Profit / Startups | ✓ Sell credits for cash (both titles) | ✓ Loan guarantees | — (requires existing business) |
| Defense Industrial Base | ✓ Broad (Title I) + targeted (Title II) support | ✓ Capital access | ✓ Preserves capability |
| Workers | ✓ Incentivizes domestic labor; strategic sector jobs | ✓ Enables expansion hiring | ✓ Employment guardrails |
| Local Communities | ✓ Keeps production and critical sectors onshore | ✓ Every-district lending via local banks | ✓ Preserves local supply chains |
§4How They Work Together
MISA provides both the broad foundation and strategic targeting
A single bill with two titles: Title I (MINA Credit) delivers a 5–6% DVA credit for most U.S. manufacturers (NAICS 31–33) — the rising tide. Title II (DO IT NOW Credit) stacks an additional 8–10% for 14 strategic sectors facing acute foreign-adversary vulnerabilities, addressing the 30–60% cost disadvantage vs. China. Combined credit ranges from 2.6% to 16% of qualified DVA costs.
Mannie Mac unlocks the capital
Tax credits improve the income statement; Mannie Mac improves the balance sheet. With $25B in federal reserves supporting $250–310B in guaranteed lending (~$630–780B total investment), manufacturers can actually finance the expansion that MISA incentivizes.
MERA reinvigorates the base
With ~125,000 boomer-owned manufacturers approaching succession, MERA provides incentives for entrepreneurs and succession to reinvigorate small and medium size businesses — keeping them onshore, operational, and in the supply chain rather than being stripped by leveraged buyouts or offshored.