[Congressional Record Volume 142, Number 136 (Friday, September 27, 1996)]
[House]
[Pages H11466-H11467]
From the Congressional Record Online through the Government Publishing Office [www.gpo.gov]




  PRIVILEGES OF THE HOUSE--RETURNING TO THE SENATE S. 1311, NATIONAL 
        PHYSICAL FITNESS AND SPORTS FOUNDATION ESTABLISHMENT ACT

  Mr. ARCHER. Mr. Speaker, I rise to a question of privileges of the 
House.
  Mr. Speaker, I offer a privileged resolution (H. Res. 545) returning 
to the Senate the bill S. 1311 and I ask for its immediate 
consideration.
  The SPEAKER pro tempore. The Clerk will report the resolution.
  The Clerk read as follows:

                              H. Res. 545

       Resolved, That the bill of the Senate (S. 1311) entitled 
     the ``National Physical Fitness and Sports Foundation 
     Establishment Act'', in the opinion of this House, 
     contravenes the first clause of the seventh section of the 
     first article of the Constitution of the United States and is 
     an infringement of the privileges of this House and that such 
     bill be respectfully returned to the Senate with a message 
     communicating this resolution.

  The SPEAKER pro tempore. The resolution constitutes a question of 
privilege under rule IX.
  Under the rule, the gentleman from Texas [Mr. Archer] and the 
gentleman from Florida [Mr. Gibbons] will each be recognized for 30 
minutes.
  The Chair recognizes the gentleman from Texas [Mr. Archer].
  Mr. ARCHER. Mr. Speaker, I yield myself such time as I may consume.
  (Mr. ARCHER asked and was given permission to revise and extend his 
remarks.)
  Mr. ARCHER. Mr. Speaker, this resolution is necessary to return to 
the Senate the bill S. 1311. S. 1311 contravenes the constitutional 
requirement that revenue measures shall originate in the House of 
Representatives. It would override current tax law and direct a 
particular tax treatment for a certain newly established foundation, 
and therefore contravenes this constitutional requirement.
  Section 2 of S. 1311 would establish the National Physical Fitness 
and Sports Foundation. Subsection (a) provides that the foundation 
shall be a charitable and not-for-profit corporation and shall not be 
an agency or establishment of the United States. In particular, it 
dictates that the foundation shall be established as an organization 
described in section 501(c)(3) of the Internal Revenue Code and that it 
shall be presumed for tax purposes to be a 501(c)(3) organization until 
the Secretary of the Treasury determines that the foundation fails to 
meet the requirements of section 501(c)(3). The final sentence of the 
subsection explicitly waives the requirements of subsection (a) of 
section 508 of the Internal Revenue Code, which generally requires new 
organizations to notify the Secretary that they are applying for 
recognition of section 501(c)(3) status.
  This provision explicitly overrides the Federal income tax rules 
governing recognition of tax-exempt status. The Internal Revenue Code 
has specific rules that govern tax-exempt organizations and that 
specify the application for 501(c)(3) status and the tax treatment of 
entities applying for 501(c)(3) status. S. 1311 supersedes those rules 
in this instance and grants special Federal income tax treatment to the 
newly established National Physical Fitness and Sports Foundation.
  The provision would have a direct effect on tax revenues. The 
proposed change in our tax laws in a ``revenue affecting'' infringement 
on the House's prerogatives, which constitutes a revenue measure in the 
constitutional sense. Therefore, I am asking that the House insist on 
its constitutional prerogatives.
  There are numerous precedents for the action I am requesting. For 
example, on October 7, 1994, the House returned to the Senate S. 2126, 
containing Internal Revenue Code provisions regarding exemption from 
taxation. On July 21, 1994, the House returned to the Senate S. 1030, 
containing a provision exempting certain veteran payments from 
taxation. On June 15, 1989, the House returned to the Senate S. 774, 
conferring tax-exempt status to two corporations. Finally, on September 
25, 1986, the House returned to the Senate S. 638, containing numerous 
provisions relating to the tax treatment of the sale of Conrail.
  I want to emphasize that this action does not constitute a rejection 
of the Senate bill on its merits. Adoption of this privileged 
resolution to return the bill to the Senate should in no way prejudice 
its consideration in a constitutionally acceptable manner.
  The proposed action today is procedural in nature, and is necessary 
to preserve the prerogatives of the House to originate revenue matters. 
It makes it clear to the Senate that the appropriate procedure for 
dealing with revenue measures is for the House to act first on a 
revenue bill, and for the Senate to accept it or amend it as it sees 
fit.
  Mr. Speaker, on a personal note, I'd like to say that this is 
probably the last time that my friend, Sam Gibbons, and I will be 
working together on a legislative matter on the floor of the House of 
Representatives. As our colleagues know, Sam is retiring at the end of 
this Congress.
  In a way, it's only fitting that we are standing here shoulder to 
shoulder defending the constitutional prerogatives of the House of 
Representatives to originate revenue measures.
  Mr. Speaker, this morning the members of the Committee on Ways and 
Means had a breakfast to pay tribute to Sam and to give him a send-off 
with our very, very best wishes for his years of service. I want to say 
to my colleague, Sam, I will personally miss you.
  Mr. Speaker, further on a personal note, the end of the congressional 
session brings with it both joys and sorrows. I take a considerable 
amount of joy in reaching the end of the one of the more grueling 
legislative sessions in my memory--knowing that we are all heading to 
our congressional districts to face our constituents, and compete for 
election based on our record of accomplishments and our differing 
philosophies of government.
  But I take great sorrow knowing that as the year comes to a close, 
the House of Representatives is going to lose one of the most 
outstanding staff members who has ever served in these halls, Phil 
Moseley, the chief of staff of the Ways and Means Committee.
  Phil came to Washington from San Antonio, TX, in 1973 to serve as my 
press secretary. He was a bright and enthusiastic 27-year-old, ready to 
take on the heady world of congressional politics. His intention was to 
stay for a couple of years and then to return to Texas to settle down. 
Fate had a different answer in store for Phil. He fell in love with a 
lovely young woman who also worked in my office, Norah Horrocks, and 
she soon became his bride.
  Fortune smiled on me when Phil and Norah met, because I have been the 
chief beneficiary of their decision to make the Nation's Capital their 
home. Phil served as my administrative assistant from 1978 to 1988. 
When I became the ranking Republican on the House Ways and Means 
Committee, I managed to prevail upon him to take on the new challenge 
of serving as the minority chief of staff.
  When the Republican Party took control of the House in 1994, fortune 
was with me again because Phil was at my

[[Page H11467]]

side as the committee's chief of staff when I took over the reigns of 
the chairmanship. We hit the ground running in November and we haven't 
stopping running yet.
  Within 2 weeks of the election, Phil had already prepared a plan to 
reduce the committee's budget by 39 percent and reduce the size of the 
committee staff by a third. The taxpayers can thank Phil Moseley for 
helping to save them $3.1 million.
  In the first 3 months of 1995, the Ways and Means Committee held more 
hearings receiving testimony from more witnesses than during any 
similar period in history. We reported out many major pieces of 
legislation--among them, welfare reform and the Contract With America 
Tax Relief Act. Phil was a guiding force during the long days and 
nights as the committee did its job. At a time when everyone in 
Congress was working hard and giving 100 percent, Phil gave 150 
percent.
  In his 2 years as the chief of staff of the Ways and Means Committee, 
Phil Moseley has developed a reputation as one of the House's most 
capable, thoughtful, and politically astute staff members. It's a 
reputation that is totally deserved. He is person of great intelligence 
and integrity, and I am sure my Democrat colleagues on the committee 
will agree that Phil has provided fair and an evenhanded service to all 
committee members on both sides of the aisle.
  Phil's departure leaves me with a great sense of personal sorrow, 
because he's one of the best friends I've had in my life. We know each 
other so well that we often know what each other is thinking without 
having no articulate it. He is leaving some mighty big shoes that no 
one will be able to fill. I know that everyone on the Ways and Means 
Committee, both Republicans and Democrats alike, is sorry to lose a 
person of his integrity and ability.
  But as I said, this is also a time of joy. As Phil's close friend, I 
take great joy in knowing that in leaving the House, he will have more 
time to spend with Norah and his daughter, Kendall, and his son, Clay. 
Phil, I will truly miss you. God bless and good fishing, my friend.

                              {time}  1430

  The taxpayers can thank Phil Moseley for helping to save them $3.1 
million in that first year.
  In the first 3 months of 1995, the Committee on Ways and Means held 
more hearings, receiving testimony from more witnesses, than during any 
similar period in history. We reported out many major pieces of 
legislation, among them welfare reform and the Contract With America 
Tax Relief Act.
  Phil was a guiding force during those long days and nights as the 
committee did its job. At a time when everyone in the Congress was 
giving 100 percent, Phil Moseley was giving 150 percent.
  In his 2 years as chief of staff of the Committee on Ways and Means, 
he developed a reputation as one of the House's most capable, 
thoughtful, and politically astute staff members. It is a reputation 
that is totally deserved. He is a person of great intelligence and 
integrity, and I am sure my Democrat colleagues on the committee will 
agree that Phil has provided fair and evenhanded service to all 
committee members on both sides of the aisle.
  His departure leaves me with a great sense of personal loss. He is 
one of the best friends that I have ever had, and we know each other so 
well that, more often than not, we can know what the other is thinking 
and articulate it without even conversation between ourselves. He is 
leaving some mighty big shoes to be filled.
  I know that everyone on the Committee on Ways and Means, both 
Republicans and Democrats alike, is sorry to lose a person of such 
integrity and ability. But, as I said, it is also a time of joy. As 
Phil's close friend, I take great joy in knowing that in leaving the 
House, he will have more time to spend with Nora and with his children, 
Kendall and Clay.
  Phil, I will truly miss you. God bless you, and good fishing.
  Mr. Speaker, I reserve the balance of my time.
  Mr. GIBBONS. Mr. Speaker, I yield myself such time as I may consume.
  First, I want to thank the gentleman from Texas [Mr. Archer] for the 
kind words that he had to say about me. I appreciate them.
  Second, I want to say that Phil Moseley deserves and has earned all 
the credit that Mr. Archer has paid to him. I have known him not as 
well and not as long, but I have observed his operation, and he is a 
very fine individual and has done a fine job for all of us Americans.
  Third, I want to say that the motion that Mr. Archer has made 
deserves to be supported here in the House of Representatives because 
the Constitution, very wisely, placed in the House of Representatives 
the exclusive right, let me repeat that, the exclusive right to 
originate tax legislation.
  Now, this is not a bad bill that this tax legislation is connected 
with, and if we blue-slip it back to the Senate, and if they give a 
hoot about it over there, they will strip out the obnoxious part of the 
legislation and send it back to us, and then the private corporation 
that they are setting up can follow the same procedure that every other 
American corporation can follow by filing with the appropriate people 
in the United States the necessary forms to be declared tax exempt. Or 
they can come back to the House of Representatives next year and, if 
they deserve it, then we will grant them that tax exemption.
  But the tax exemption they get in this bill should not be originated 
in the Senate. It never has been. It is something we have always had to 
fight in the 218 year history of this Republic.
  Every year since I have been here, always on the closing days and in 
the closing hours of this Congress, the Senate zaps over one of these 
little zingers hoping we will swallow them. We never have. We never 
should. We should defend the rights of the American public by sending 
this back to the Senate to take out the objectionable, unconstitutional 
part.
  Mr. Speaker, I urge an ``aye'' vote on the chairman's motion.
  Mr. Speaker, I yield back the balance of my time.
  Mr. ARCHER. Mr. Speaker, I yield myself such time as I may consume 
simply to say, in reiteration of what the gentleman from Florida has 
said, let this be the last time in this session that this House needs 
to spend the time doing what we are doing at this moment. Let this be a 
signal to the Senate that we will assert over and over again our 
constitutional prerogatives.
  Mr. Speaker, I yield back the balance of my time and I move the 
previous question on the resolution.
  The previous question was ordered.
  The resolution was agreed to.
  A motion to reconsider was laid on the table.

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