[Congressional Record Volume 144, Number 15 (Wednesday, February 25, 1998)]
[Senate]
[Page S1016]
From the Congressional Record Online through the Government Publishing Office [www.gpo.gov]




   SENATE RESOLUTION 180--RELATIVE TO EMPLOYER-PROVIDED EDUCATIONAL 
                          ASSISTANCE PROGRAMS

  Mrs. BOXER submitted the following resolution; which was referred to 
the Committee on Finance:

                              S. Res. 180

         
       Whereas since its inception in 1978, section 127 of the 
     Internal Revenue Code of 1986 has enabled millions of workers 
     to advance their education and improve their job skills 
     without incurring additional taxes or a reduction in take-
     home pay;
       Whereas a well trained and educated workforce is essential 
     to our Nation's economy, competitiveness, and national 
     security;
       Whereas education and retraining will be necessary to 
     maintain and strengthen the competitive position of American 
     industries through the next century;
       Whereas much of our Nation's workforce and many of our 
     Nation's industries are experiencing the pressures of rapid 
     technological change and facing the pressures of global 
     competition;
       Whereas many cutting edge American industries are facing a 
     dearth of qualified United States citizens to fill key 
     positions in important disciplines such as engineering, 
     mathematics, and computer science;
       Whereas the United States Senate is on record supporting a 
     permanent extension of section 127 of such Code for both 
     graduate and undergraduate study; and
       Whereas there is bipartisan support for a permanent 
     extension of section 127 of such Code, as evidenced by the 
     introduction of bills by Senators of both parties: Now, 
     therefore, be it
       Resolved, That it is the sense of the Senate that 
     legislation to permanently extend section 127 of the Internal 
     Revenue Code of 1986 should be brought to the Senate floor as 
     expeditiously as possible in order to help ensure that United 
     States workers will not be discouraged from advancing their 
     education and job skills.

  Mrs. BOXER. Mr. President, I am submitting today a Resolution urging 
the Senate to act quickly on legislation permanently extending the 
employer-provided educational assistance program--Section 127 of the 
Internal Revenue Code. This provision is particularly important to many 
high technology companies in my home state of California who are 
desperately seeking highly skilled employees. Employees to fill key 
positions in disciplines like engineering, mathematics and computer 
science. The employer-provided educational assistance program will help 
in this regard.
  Section 127 of the Code enables employers to contribute up to $5,250 
per year in educational assistance to an employee, without that 
employee having to include such expenditures, made on his behalf, as 
taxable income.
  Since its inception in 1978, this provision has helped countless 
American workers advance their education and/or improve their job 
skills without also having to incur additional taxes; or alternatively, 
receiving a reduction in their take-home pay. I am an original co-
sponsor of a bill--S.127--introduced by Senator Moynihan on January 21, 
1997 which would make Section 127 permanent and would also extend 
Section 127 to include graduate school education. I would note that 
there are several other bills currently pending before the Senate, 
introduced by members of both parties, which would make permanent 
section 127. So Mr. President I would urge the Senate to immediately 
adopt legislation to make permanent Section 127 and to extend that 
Section to include graduate school education.

                          ____________________