[Congressional Record Volume 160, Number 70 (Friday, May 9, 2014)]
[Extensions of Remarks]
[Page E728]
From the Congressional Record Online through the Government Publishing Office [www.gpo.gov]




           AMERICAN RESEARCH AND COMPETITIVENESS ACT OF 2014

                                 ______
                                 

                               speech of

                        HON. SHEILA JACKSON LEE

                                of texas

                    in the house of representatives

                         Thursday, May 8, 2014

  Ms. JACKSON LEE. Mr. Speaker, I rise in strong opposition to H.R. 
4438. This bill is the exact opposite of the fiscal conservatism which 
has been preached by the G.O.P.
  H.R. 4438, the American Research and Competitiveness Act, permanently 
extends the research and development tax credit that expired at the end 
of 2013, but modifies the credit to make it simpler to calculate.
  I think we can all agree that on the merits, the R&D Tax Credit is 
one of the most practical, useful, and well-subscribed tax credits. Not 
only do large multinationals and many small research facilities use it; 
but numerous universities, including the University of Houston, the 
University of Texas, Texas Southern University, Texas A&M, and Texas 
Tech, among others, also take advantage of this job-producing credit.
  Yet, the Republicans hypocritically failed to do something which they 
usually love to take credit for--and that is--to PAY for the bill by 
including an offset.
  It provides no offset for the cost, which the nonpartisan 
Congressional Budget Office estimates would reduce revenues by $156 
billion over 10 years. This bill is the first in a series of individual 
tax ``extenders'' that I understand the Republican House leadership 
intends to consider. And make no mistake, this bill, and the others 
likely to follow, blow a hole in the deficit. Though at some point in 
the near future, President Obama will somehow be blamed for this.
  This is a textbook example of Congress picking winners and losers.
  Many of us support the R&D tax credit but there is no excuse for not 
offsetting the cost of the bill, noting that permanently extending the 
R&D credit and five other tax provisions that GOP leaders want to act 
on would add $310 billion to the deficit.
  Two years ago my Republican colleagues managed to hijack the 
legislative process and increase the federal budget deficit by 
insisting on an extension of the Bush Tax Cuts, originally enacted in 
2001 and 2003.
  These tax cuts cost $1 trillion a year to extend and while many are 
critical to individuals and businesses, the fact remains that if we are 
going to have a serious discussion about tax reform and balancing the 
budget, Congress cannot simply ignore the other side of the ledger: 
revenues. In addition, Congress cannot and should not be in the 
business of picking winners and losers.
  Again, it is ``hypocritical'' that our Republican friends won't 
offset the R&D credit but let emergency unemployment insurance for the 
long-term unemployed expire because they claim that we could not find 
an offset that they would support.
  I ask my colleagues to reject this bill and end this partisan 
lawmaking.

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