[Congressional Record Volume 144, Number 82 (Monday, June 22, 1998)]
[Senate]
[Page S6831]
From the Congressional Record Online through the Government Publishing Office [www.gpo.gov]




                     PRINTED CIRCUIT INVESTMENT ACT

 Mr. ABRAHAM. Mr. President, I rise to join my colleagues, 
Senator Mack and Senator Grams, in sponsoring the ``Printed Circuit 
Investment Act.'' This legislation will remove a significant barrier to 
technological investment and innovation in this country by updating the 
tax code's treatment of the electronic interconnection industry.
  Mr. President, manufacturers of printed wiring boards and printed 
wiring assemblies currently must depreciate their production equipment 
over a 5 years period. Given the speed with which technological 
advances continue to come in our high-tech industry, 5 years is an 
unreasonable amount of time for depreciation. In effect, the tax code 
is penalizing these companies for keeping up with their competition in 
the global marketplace. This not fair, nor is it in accordance with our 
national interests. In the fast-paced information age in which we live, 
we cannot afford to hobble our high-tech companies with outdated tax 
policies.
  This is why I am pleased to support legislation reducing to 3 years 
the time over which companies in the electronic interconnection 
industry must depreciate their production equipment. Through this 
measure we can encourage greater investment among electronic 
interconnection manufacturers and keep our high-tech industry 
competitive in the global marketplace.
  I urge my colleagues to join in supporting this legislation.

                          ____________________