[Congressional Record (Bound Edition), Volume 152 (2006), Part 18]
[House]
[Pages 23428-23429]
[From the U.S. Government Publishing Office, www.gpo.gov]




      FALLEN FIREFIGHTERS ASSISTANCE TAX CLARIFICATION ACT OF 2006

  Mr. THOMAS. Mr. Speaker, I ask unanimous consent that the Committee 
on Ways and Means be discharged from further consideration of the bill 
(H.R. 6429) to treat payments by charitable organizations with respect 
to certain firefighters as exempt payments, and ask for its immediate 
consideration in the House.
  The Clerk read the title of the bill.
  The SPEAKER pro tempore. Is there objection to the request of the 
gentleman from California?
  There was no objection.
  The Clerk read the bill, as follows:

                               H.R. 6429

       Be it enacted by the Senate and House of Representatives of 
     the United States of America in Congress assembled,

     SECTION 1. SHORT TITLE.

       This Act may be cited as the ``Fallen Firefighters 
     Assistance Tax Clarification Act of 2006''.

     SEC. 2. PAYMENTS BY CHARITABLE ORGANIZATIONS WITH RESPECT TO 
                   CERTAIN FIREFIGHTERS TREATED AS EXEMPT 
                   PAYMENTS.

       (a) In General.--For purposes of the Internal Revenue Code 
     of 1986, payments made on behalf of any firefighter who died 
     as the result of the October 2006 Esperanza Incident fire in 
     southern California to any family member of such firefighter 
     by an organization described in paragraph (1) or (2) of 
     section 509(a) of such Code shall be treated as related to 
     the purpose or function constituting the basis for such 
     organization's exemption under section 501 of such Code if 
     such payments are made in good faith using a reasonable and 
     objective formula which is consistently applied.
       (b) Application.--Subsection (a) shall apply only to 
     payments made on or after October 26, 2006, and before June 
     1, 2007.

  Mr. LEWIS of California. Mr. Speaker, the communities in our Southern 
California mountains, and the community of Federal firefighters, 
suffered a terrible tragedy a little more than a month ago when five 
Federal firefighters were killed protecting our homes and families. Our 
constituents have promised to provide for the survivors of Engine 
Captain Mark Loutzenhiser, Fire Engine Operator Jess McLean, Assistant 
Fire Engine Operator Jason McKay, Firefighter Daniel Hoover-Najera, and 
Firefighter Pablo Cerda. With the help of the Riverside County Board of 
Supervisors and a local United Way chapter, nearly $1 million has been 
raised. But we need to ensure that our tax regulations do not block the 
distribution of this money to the deserving families. My colleague and 
friend Representative Mary Bono has introduced a very simple bill, 
which would give permission to the United Way to organize the fund's 
dispersal. It is a narrow bill that creates a one-time income tax 
exemption for those firefighter families receiving money from the fund. 
It also allows donations to the fund to be deductible. Mr. Speaker, it 
is my hope that the members of this body will help us help these 
families, who have suffered a

[[Page 23429]]

terrible loss in the name of public service and protecting our 
communities from wildfires.
  Mrs. BONO. Mr. Speaker, after five United States Forest Service fire 
fighters were killed in the line of duty battling the Esperanza fire to 
protect life and property, a fund was set up to help care for the 
families of these brave men.
  Thousands of citizens from across the country donated to this worthy 
cause. The response was so overwhelming that soon, the County of 
Riverside found itself with approximately $1 million to distribute to 
their survivors. The County turned to the Central County United Way in 
Hemet, CA to help manage these donations.
  Local officials were surprised to learn soon thereafter that tax-
exempt charitable organizations are not allowed to raise money for a 
group as small and specific as the families of these five American 
heros.
  My colleagues, Chairman Jerry Lewis and Congressman Ken Calvert, and 
I, along with Senators Barbara Boxer and Dianne Feinstein, are trying 
to remedy this situation.
  The pain these families have suffered through should not be worsened 
due to their inability to receive funds that Americans so generously 
donated. Nor should the United Way jeopardize its tax exempt status to 
help distribute these donations.
  Sometimes, our rules and regulations just don't make sense and they 
prevent charity and kind heartedness from being furthered. While no 
amount of money will ease the suffering of the families of these fallen 
firefighters, Congress can take an important step to help get them the 
donations they deserve.
  I want to thank Chairman Bill Thomas, Majority Leader John Boehner 
and Ranking Member Charles Rangel for helping to make this bill 
possible. Your kindness and thoughtfulness will not be forgotten.
  I urge the passage of this critical piece of legislation.
  The bill was ordered to be engrossed and read a third time, was read 
the third time, and passed, and a motion to reconsider was laid on the 
table.

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