[Congressional Record Volume 161, Number 108 (Monday, July 13, 2015)]
[Senate]
[Pages S5010-S5011]
From the Congressional Record Online through the Government Publishing Office [www.gpo.gov]
By Mr. BROWN:
S. 1753. A bill to amend the Internal Revenue Code of 1986 to modify
and permanently extend qualified zone academy bonds, and to treat such
bonds as specified tax credit bonds; to the Committee on Finance.
Mr. BROWN. Mr. President, today I call attention to our Nation's
education infrastructure. America's schools are in desperate need of
repair. A 2014 report by the National Center for Education Statistics
found that the U.S. needs to invest nearly $200 billion in school
facilities just to bring them up to date. This echoed the findings of
the American Society of Civil Engineers, who in 2013 gave American
public school buildings a D-plus rating.
Fortunately, there is a way for Congress to help facilitate these
necessary improvements. The Qualified Zone Academy Bond (QZAB) program
helps schools that serve low-income students pay for building
renovations, facility upgrades, equipment purchases, and other
expensive projects. QZABs provide tax credits to financial institutions
who provide bonds or other debt instruments to qualified schools. These
tax credits decrease interest payments for schools that take on debt to
renovate their facilities.
Since creating QZABs in 1997, Congress has consistently extended the
program, even expanding it for a brief period between 2008 and 2010.
But the program expired at the end of 2014.
It is time Congress enhanced and made permanent this important tax
credit. Today I will introduce the Rebuilding America's Schools Act.
This bill would extend permanently the QZAB program and increase the
allotted funding for the program from $400 million per year to the
levels authorized under the American Recovery and Reinvestment Act--
$1.4 billion. Lastly, it would allow schools to use QZABs to finance
construction of new buildings. Under current law, QZABs can only be
used to finance renovations or upgrades to existing school buildings.
I hope my colleagues will join me in cosponsoring the Rebuilding
America's Schools Act.
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