[Congressional Record (Bound Edition), Volume 145 (1999), Part 3]
[House]
[Pages 4521-4522]
[From the U.S. Government Publishing Office, www.gpo.gov]




                     PROMOTING LIVABLE COMMUNITIES

  The SPEAKER pro tempore (Ms. Biggert). Under a previous order of the 
House, the gentleman from Oregon (Mr. Blumenauer) is recognized for 5 
minutes.
  Mr. BLUMENAUER. Madam Speaker, one of the benefits of a livable 
community is that it provides a setting that

[[Page 4522]]

high technology industries can flourish. Indeed, it works both ways. 
While a livable community attracts high technology, high technology can 
in fact provide the support for a more livable community, support via a 
more educated workforce, support in terms of having the financial 
resources that that community can pay for growth and development, 
support by having a workforce that is intensely sensitive to the 
requirements of livable communities.
  This has had a tremendous impact on our national economy. It is 
common knowledge to most Members of this body that high technology has 
been the fastest growing area of our national economic growth, over 4 
million jobs, and it approaches almost $1 trillion in terms of our 
gross national product. In my State of Oregon, the effects have been 
even more profound. We are known, for example, for agriculture and wood 
products. Yet technology-based industries in the State of Oregon now 
provide twice the economic impact as agriculture and forest products 
combined. It provides an average wage that is almost twice the State 
average. There is every indication as far as the future is concerned 
that the impact nationally and in the State of Oregon in the years 
ahead is going to be even more profound. Yet the question is, how do we 
take maximum advantage of this growing economic and sociological 
phenomenon.
  It would seem to me that it is important for the Federal Government 
to have in place a series of policies that promote the full 
implementation of this opportunity. There has been significant indirect 
Federal support through the research and development tax credit that 
has helped invest in the future as far as these industries are 
concerned. Again, just taking the impact on a small State like Oregon 
where 8 percent of the total revenue is tied up in research and 
development, well over $1.3 billion.
  But it is time for us in the Federal Government to get real about 
what our policy is towards stability in the high-tech industry. We have 
had in place for years a temporary investment tax credit that we 
approve a year at a time. We are going to extend the investment tax 
credit, once again due to expire. I hope that this year is the last 
time we go through this charade of the 1-year extension. We know that 
it is critical for the future of the high-tech industry. We know that 
it is a benefit that is well-placed, that pays dividends far in excess 
of the amount of benefit that is granted. Indeed, there is every 
indication that, according to one estimate, over $41 billion of new 
investment would be unleashed by making the investment tax credit 
permanent. Nobody in the private sector, however, is going to make the 
long-term investments based on our good intentions. Even though we know 
we are going to extend it, even though they are certain we probably 
will extend it, it simply is not prudent for people to put millions of 
dollars, tens of millions of dollars or more on the line based on our 
good intention. We have seen train wrecks on the floor of this Chamber 
before.
  I hope that Members on both sides of the aisle will come together 
quickly to make clear that we are going to make this a permanent 
extension. Livable communities, I have suggested time and again on the 
floor of this Chamber, require not so much rules and regulations as 
they require the Federal Government to be a constructive partner with 
State and local governments, with private citizens and business to help 
promote livable communities. The stability that would come from a 
permanent extension of the investment tax credit would be a very 
tangible expression of that stable Federal partnership, and I hope we 
are about that business soon in this congressional session.

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