[Congressional Record Volume 147, Number 166 (Tuesday, December 4, 2001)]
[Extensions of Remarks]
[Pages E2197-E2198]
From the Congressional Record Online through the Government Publishing Office [www.gpo.gov]




      THE INTRODUCTION OF THE NEW YORK RECOVERY FROM TERRORISM ACT

                                 ______
                                 

                         HON. CHARLES B. RANGEL

                              of new york

                    in the house of representatives

                       Tuesday, December 4, 2001

  Mr. RANGEL. Mr. Speaker, today I introduce legislation to provide tax 
incentives for the revitalization of New York City, and in particular, 
Lower Manhattan.
  We all know of the terrible events of September 11, 2001, the awful 
loss of life, the heroism in the face of adversity, and the physical 
devastation. This was an attack not solely on New York, but on America. 
In the weeks following the tragedy, Lower Manhattan has suffered 
greatly and the economy of New York City has been struck hard, it 
really is America that has been struck.
  I cannot begin to say how much New Yorkers are grateful for the 
heartfelt response of their fellow Americans and people from all over 
the world. The prayers, the charity, and the promises of government 
support have all made an enormous difference in the ability of New York 
to begin to respond to and recover from the crisis. As one America we 
have responded to this dastardly attack in Afghanistan; across America; 
and, in New York.
  Through this unity I believe that Congress should provide the tools 
necessary for New York to fully recover from the attacks and assure 
that the vitality of Lower Manhattan be sustained.
  Lower Manhattan in 1624 was the first part of then New Amsterdam 
settled by Europeans. It has always been the heart of New York. It has 
been the entry point for millions of immigrants. Beginning in the 18th 
century and into the 21st century it has been the heart of finance in 
America and today the financial center of the world.
  Unfortunately, the impact of the attack on the World Trade Center has 
altered the character of Lower Manhattan. Many businesses have had to 
temporarily move out of the area. It is unclear if they will return. 
Many businesses depending on the traffic in the area

[[Page E2198]]

are suffering. Many other businesses are contemplating a move out of 
Lower Manhattan.
  The City across the five boroughs has suffered as well. Revenues for 
the city and state governments are down significantly. Public 
institutions such as hospitals are suffering financially. Projects once 
thought possible are now on hold.
  Funds provided through FEMA will help considerably. The 
appropriations Congress will provide in the supplemental bill enacted 
after the attacks will also help. Nevertheless, there are still unmet 
needs and uncertainty that must be resolved.
  That is why I have introduced this legislation to provide tax 
incentives for New York's recovery. I am very pleased that my colleague 
from New York, Mr. Houghton, has introduced H.R. 3373, which also 
provides tax incentives for New York's recovery. I have cosponsored the 
bill. I am introducing this bill because it offers alternatives to H.R. 
3373 and will allow New York Members to support varying means to speed 
the City's recovery. It will also allow Congress to chose the most 
effective and efficient provisions for the recovery.
  The provisions of this bill, are for the most part, included in the 
Stimulus Bill reported by the Senate Finance Committee. Two of the 
provisions would have been amendments to the Finance Committee bill had 
it been considered on the Senate floor.
  The bill proposes the following:
  A 20 percent wage credit to employers for the first $6,000 paid per 
year to employees working in Lower Manhattan from September 11, 2001 to 
December 31, 2004. The credit is also available for wages paid 
employees by companies who were operating in Lower Manhattan on 
September 11, 2001, and have subsequently moved to another part of New 
York City.
  An increase in the state cap for tax exempt private purpose bonds to 
$12.5 billion for projects in New York City. The first $7 billion of 
the increased cap must be used in Lower Manhattan.
  A limited liberalization of the ability of issuers of tax exempt debt 
to advance refund existing debt. New York City, the Port Authority, the 
Metropolitan Transit Authority, the Municipal Water Authority and 
nonprofit hospitals would be able to advance refund bonds that had 
previously been issued to advance refund bonds where the original bonds 
had bee redeemed.
  A special provision to allow taxpayers who lost property in Lower 
Manhattan as a result of the attacks to be able to expense the 
remaining basis in the lost property carried over to replacement 
property as the result of insurance payments where the replacement 
property is located in New York City.
  A one time $5,000 nonrefundable tax credit for residents of Lower 
Manhattan (with no more than $5,000 credit per residence). The credit 
would be phased out for those residents with incomes in excess of 
$150,000.
  I urge my colleagues, both from New York and the remainder of the 
nation to join together and help New York recover.
  The nation will never be the same as it was before September 11. The 
relationship between New York and the rest of the nation will forever 
be altered by the attack on the World Trade Center. We are bound 
together as never before. Together we will rebuild.

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