[Congressional Record (Bound Edition), Volume 152 (2006), Part 18]
[Senate]
[Pages 23629-23630]
[From the U.S. Government Publishing Office, www.gpo.gov]




        INTERNAL REVENUE SERVICE PRIVATE DEBT COLLECTION PROGRAM

  Mr. BAUCUS. The American Jobs Creation Act of 2004 authorized the IRS 
to hire private debt collection agencies to collect delinquent taxes. 
An IRS pilot program was initiated this year, and the IRS expects to 
expand the program in early 2007.
  It is important that the program be administered by the IRS in a fair 
and responsible manner. Senator Nelson has proposed legislation, 
already unanimously passed by the Senate, which would ensure 10 percent 
of the employees assigned to the IRS contract by the private agencies 
are persons with disabilities. This will not affect the ability of the 
private contractors to collect delinquent taxes, but it will greatly 
affect the ability of persons with disabilities to find gainful 
employment that will promote their independence and well-being.
  I commend Senator Nelson for his commitment to improve the quality of 
life for persons with disabilities. I pledge to work with both of my 
good friends, Senator Nelson and Senator Grassley, in the next session 
of Congress to support his efforts.
  Mr. NELSON of Nebraska. I thank my good friend, Senator Baucus.
  As my colleague knows, this legislation passed the Senate unanimously 
in November 2005 but unfortunately failed to be included in a 
conference report. It will create meaningful employment for persons 
with disabilities and disabled veterans in the field of third-party 
debt collection.
  Especially with the large numbers of returning disabled veterans, 
employment opportunities are urgently needed. Generally, the employment 
opportunities for persons with disabilities are not great--1 in 10 
Americans has a disability and the rate of unemployment is 70 to 80 
percent. These private debt collection jobs are essentially highly paid 
call center jobs with annual incomes averaging $40,000 and often come 
with good health benefits and 401(k) plans.
  This legislation is necessary since in letters and conversations with 
the Department of Treasury and Internal Revenue Service they have 
stated that under existing GSA rules, they cannot set a specific number 
of awards aside for contractors employing significant numbers of 
persons with disabilities. My understanding is the GSA currently allows 
a preference for a business that is owned by a disabled veteran, but it 
does not also allow a preference for a business that employs several 
persons with disabilities. This is an oversight which needs to be 
corrected.
  This legislation is supported by the Disabled American Veterans, the 
American Legion, the American Legion Auxiliary, the American 
Association of People With Disabilities, the Veterans of Foreign Wars, 
and the Paralyzed Veterans of America.
  Mr. BAUCUS. I support Senator Nelson's efforts to create 
opportunities that will employ persons with disabilities and am hopeful 
that these efforts can be in place before the IRS issues the next 
Request for Quotes in March 2007. I look forward to working with my 
colleagues and with the relevant agencies on this important matter.
  Mr. NELSON of Nebraska. I thank my colleague and good friend from 
Montana for his commitment to such an important effort.

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