[Congressional Record Volume 156, Number 129 (Thursday, September 23, 2010)]
[Senate]
[Pages S7389-S7391]
From the Congressional Record Online through the Government Publishing Office [www.gpo.gov]
FAA REAUTHORIZATION AND TAX EXTENDERS
Mr. THUNE. Mr. President, I also want to add my support for the FAA
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reauthorization bill which the Senator from North Dakota talked about.
It is important that we get this done. We have been operating without
an authorization since 2007. We had a bill pass through the Senate by a
vote of 93 to 0 back in March, and this is something that needs to be
done.
So I hope we can get floor time scheduled for this and that we can
get on that bill, get a conference report, and get it through and
enacted because there are a number of important improvements that need
to occur, and that legislation provides for that to happen. It has been
kicking around here for way too long, so I hope we can get to that bill
and quit having to do these month-to-month or--in this case, as it ends
up being--the end-of-the-year extensions, which keeps us from doing
what we need to do, and that is get a long-term reauthorization in
place that provides some certainty and predictability for the users of
aviation in this country.
Mr. BAUCUS. Mr. President, might I ask, through the Chair, that the
Senator yield for a question?
Mr. THUNE. I would be happy to yield to the Senator.
Mr. BAUCUS. I wanted to ask him--because we have to ask questions
around here--isn't it a good idea for us to have more permanence and
not pass so many short-term extensions in Congress, just as a general
principle?
Mr. THUNE. I would say to the Senator, through the Chair, one of the
things I think is hurting business and economic development in this
country is a lack of certainty.
Mr. BAUCUS. Is the Senator aware, if my calculation is correct, that
there are about 130 extenders that we have to extend at the end of
every calendar year--approximately 130? Did the Senator know the number
is that great?
Mr. THUNE. I didn't know the precise number, Mr. President. I will
say to my colleague from Montana if it is not, in fact, 130--and I will
take his word for that--I know it is a lot. There are lots of
provisions in law that need to be extended and lots of communities in
this country that depend on that.
Mr. BAUCUS. One final question: Does the Senator agree it is about
time this Congress does something about that; that we pass fewer
extenders and more laws that are a little more permanent?
Mr. THUNE. I would say, through the Chair, to my colleague, I think
it is important that this Senate act in a way that provides some
certainty and predictability for people in this country who depend upon
public policy coming out of here that has some permanence to it. Right
now, we continue to act on short-term extensions in so many different
areas. So I don't dispute at all the statement of the Senator from
Montana.
Mr. BAUCUS. I thank my good friend from South Dakota for mentioning
that.
Mr. THUNE. If I might continue, Mr. President, let me just say with
regard to the observations of the Senator from Montana that I couldn't
agree more that we need to get these things done, and we need to
provide some long-term certainty for those in this country who rely
upon decisions that come out of the Congress. I know the Senator from
Montana has offered an extenders bill that would provide at least some
near-term relief for many of these provisions of law that expire and
that impact so many across this country.
I would say through the Chair to my colleague from Montana that I
agree with his premise. I think it comes down to how we go about doing
that. The Senator from Montana has offered up a proposal that would
extend many of these expiring tax provisions, but he does it in a way
that raises taxes. I have a proposal I offered earlier in response to
the majority leader's unanimous consent request to move a tax extenders
bill that would substitute my bill for that one because my bill does
all the same things the Senator from Montana wants to accomplish. But
it does it with spending reductions--reducing spending--as opposed to
raising taxes.
There are a number of things my bill would do, one of which is to
extend the $215 million tax break for teachers to purchase books,
supplies, computer equipment, and other materials for the classroom.
It also includes the biodiesel tax credit, which supports our
Nation's budding biodiesel industry. It provides $854 million in tax
relief for these biodiesel manufacturers to invest in our clean energy
future.
The bill reinstates the State and local sales tax deduction, which
provides $1.8 billion in tax relief to residents of States such as
South Dakota who pay State and local sales taxes but are not allowed to
deduct these taxes from their Federal income taxes. It also allows for
the deduction of State and local property taxes, which saves taxpayers
$1.5 billion as well.
My bill reinstates the research and development tax credit, which the
President has supported for 2010. This important tax credit
incentivizes important research and development across the country.
It also provides a number of needed tax credits for businesses to
invest and create jobs, including refundable AMT credits for
corporations, and it provides a generous doc fix. One of the things we
talk about around here is the doc fix. On the doc fix, we continue to
go month to month or quarter to quarter. Now we are good to the end of
November. But at the end of November we are going to be dealing with
this issue again. If we do not, physicians across the country are going
to experience a significant and dramatic pay reduction, which will
impair their ability to serve patients across this country who depend
upon Medicare.
My doc fix provides a 2-percent increase for 2011 and another 2-
percent increase for 2012. The current doc fix, as I said, is set to
expire later this year, on November 30.
The way I do this is I fully offset this by spending cuts, including
medical malpractice reform, a freeze on Federal salaries, reductions in
wasteful, duplicative, and excessive government spending, rescinding
unspent Federal funds including the stimulus, an expansion of the
affordability exception to the individual mandate that was included in
the recently passed health care reform bill and by disposing of unused
and unneeded Federal property.
I also add in my proposal a new deficit reduction trust fund, where
rescinded balances and money saved through this amendment will be
deposited for the purposes of paying down the Federal debt. It does not
include job-killing tax hikes on carried interest income, which would
discourage investment and hurt our Nation's productivity, and does not
include a 70-cent-per-barrel increase, a tax hike on oil, nor does it
double count the revenues from that tax by saying it both offsets the
cost to the bill and also adds money to the Oil Spill Liability Trust
Fund.
I concur entirely with the premise the Senator from Montana was
addressing, that we need to get these things extended. We need to
provide some permanence. But there is a difference in the approach on
how we deal with that. The Senator from Montana proposed one way, I
proposed another. I obviously would love to get a vote on this proposal
because I think what we ought to be focused on right now, rather than
raising taxes at a time when we have a very fragile economy in an
economic downturn and making it more difficult for businesses to create
jobs, that we ought to be looking at what we can do to reduce spending
in our Federal budget and offset the cost of these extenders and pay
for this 2-year extension of the doc fix, which also provides for a
modest increase, not the significant reduction they are going to
experience otherwise. We do this through spending reductions in the
Federal budget. I hope we get an opportunity to vote on this.
I yield my time.
The PRESIDING OFFICER (Mr. Franken). The Senator from Montana.
Mr. BAUCUS. Mr. President, I appreciate the remarks of my good friend
from South Dakota. I hope we can find some reasonable accommodation,
some compromise. There are 100 Senators here. Each has his or her own
view as to what the right solution should be. Without sounding too
trite and corny, we are a democracy, we have to live together. I hope
we could find a way to get these provisions extended in a way with give
and take, back and forth. Clearly, if I bring up a bill and it is my
way, it is not going to pass. With all due respect to my friend from
South Dakota, if he brings up his bill his way, it is not going to
pass. The only way to get something to help the people whom we are here
to represent is to find a
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compromise, working together in accommodation. I know the Senator looks
forward to that. I hope we can achieve that result.
Mr. THUNE. Mr. President, if the Senator will yield, I say in
response to that, that is absolutely true. Around here I think,
traditionally, tax extenders have been something both sides have worked
on. Generally, it tends to be kind of noncontroversial. I think our
side is very open to discussions and would welcome an opportunity to
sit down with the majority and the Senator from Montana and others,
whoever they feel necessary, to work something out. We stand ready and
willing to have that discussion and hopefully to get this thing put
behind us.
The PRESIDING OFFICER. The Senator from Montana.
Mr. BAUCUS. I would add a final point to these remarks; that is, the
approach I take. As chairman of the Finance Committee, I try not to
bring up these extenders bills until they have been worked out. With
sufficient work on both sides, I believe that leaves at least 60 votes
available, and I hope we can achieve a result quickly.
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