New Hampshire’s manufacturing sector narrowly avoided a setback this year when the state’s Manufacturing Extension Partnership (NH MEP) fought off federal funding cuts and emerged with nearly $925,000 in renewed support for the new fiscal year. Thanks to advocacy from the state’s congressional delegation, the nonprofit secured funds to continue guiding manufacturers through workforce challenges, technological shifts, and global competition.

This is critical as manufacturing employs nearly 70,000 people in NH according to NH Employment Security, making it the third largest private employment sector behind health care and retail. NH MEP leverages an array of public and private resources and services to assist manufacturers. According to a survey in FY 2024, NH MEP’s assistance helped clients generate $5.2 million in increased or retained sales, retain 48 jobs, secure $2.4 million worth of investments, and save $515,000 in costs.  

The restored funding ensures that NH MEP can continue offering services to the state’s 1,700 small and medium-sized manufacturers. “We work with companies of all sizes, but the bulk of our clients are small and medium manufacturers who don’t have the resources to solve technical or operational challenges on their own,” says Tony Fernandez, NH MEP’s executive director. “[Federal] funding allows us to provide services ranging from process improvement to workforce development and specialized business practices, including supply chain integration, innovation, and technology transfer.”

Funding Temporarily Frozen
Founded in 1996, the MEP program is run by the National Institute of Standards and Technology and has centers in every state. It has been federally funded since its founding, but in April funds were frozen without warning, Fernandez says. “Even though Congress had allocated $175 million for MEPs nationwide, the Commerce Department signaled it might redirect that money elsewhere,” he says. 

For the next three months, NH MEP, like other MEP centers across the country, faced the possibility of having to shut down or drastically scale back, triggering a nationwide, bipartisan advocacy effort that ultimately forced the administration to release the funds. Funding was restored, but with new terms and conditions that aren’t guaranteed, Fernandez says. “Its an administrative nightmare. It’s everything across the board including every penny we’re spending of that $925,000,” he says. “They’ve made it so cumbersome, to the point that we had another person who resigned.”

The FY 2026 funding allows local manufacturers to fully participate in the MEP National Network’s Supply Chain Optimization and Intelligence Network. The initiative aims to strengthen local supply chains, particularly for smaller firms that often struggle to compete with larger players, Fernandez says.

NH MEP is part of the larger MEP National Network, which works with over 150,000 manufacturers since 1988, generating nearly $150 billion in sales, creating or retaining more than 1.6 million jobs, and saving firms nearly $31.6 billion, according to the network.

Helping Manufacturers Remain Competitive
Manufacturers across the state access NH MEP’s services to help them with an array of issues. When AeroDynamics in Seabrook, which specializes in metal finishing for the aerospace, military, and defense industries, decided to enter the medical device market, NH MEP helped them obtain the certification they needed. According to Emerson Bilodeau, director of quality and engineering at AeroDynamics, NH MEP was instrumental in helping the company implement a required quality management system. 

“They connected us with Exolytic, whose expertise guided us through the process, identifying gaps, optimizing documentation, and training our team,” Bilodeau says. “NH MEP has been a vital resource in supporting our ongoing continuous improvement efforts, helping us maintain high standards and drive long-term success.”

NH MEP also helped Bensonwood, a design/build firm in Walpole that specializes in manufacturing residential homes and commercial structures. Since 1972, the company has evolved from a timber frame and woodworking shop to creating prefabricated walls, roofs and other structural components at its 110,000-square-foot manufacturing plant in Keene. When the company wanted to increase the sales of its standard products they turned to NH MEP, says Emily Benson, employee success officer. “We were looking for ways to be more efficient in manufacturing and NH MEP helped with training and leadership, lean practices, and the SOP [standard operating procedure] process,” she says. “They really helped us think more like a manufacturing company.”

Despite its small size, NH MEP continues to punch above its weight, says Fernandez. “With just seven staff members, we’re lean, but we’re effective. Our goal is to keep New Hampshire manufacturers thriving and competitive. This restored funding ensures we can continue delivering high-impact solutions to the companies that form the backbone of
our economy.”

Looking ahead, the future remains uncertain. The current funding is only guaranteed through June 2026, and Fernandez warns that similar disruptions could occur again. “We’re a small state and don’t receive matching funds from the state or major manufacturers like MEPs in larger states do,” he notes. 

“If we can’t help our manufacturers attract and retain workers, then the state’s economy is going to feel it,” Fernandez says.