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tv   Key Capitol Hill Hearings  CSPAN  April 3, 2014 10:00pm-12:01am EDT

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you come with an extensive background in sentencing and incarceration and something he read at the sentencing commission. yes sir go you come with hands-on experience in you see the good the bad and the ugly. we really welcome your insights
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in how we can reduce the prison population without increasing the risk to our communities and also thoughts on how we can look out for the safety of our prison guard population. where they themselves don't feel that they are captive by the prisoners. you bring up a compassionate situation. we welcome your insights. i think evidence shows that if you committed murder you are not likely to commit murder after 65 but if you're a sexual predator you could be out on that playground once again. we welcome your insights on how we can work constructively evidence-based conceptual thinking and your own experience because you bring the experience of a longitude from enforcement to sentencing and inspector
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general. we really appreciate your service but i'm going to ask the staff on both sides of the aisle because this has been raised by other members so this is not a party thing. this is a committee thing, to meet with our staff on how we can implement working with the attorney general of prison reform. we also want to work with you senators shelby and i for you get to get the access to the information that you need. we are going to possibly having vote soon so we could talk with you all day that we are going to thank you for your service. we look forward to these reports as staff works hands-on with you and look forward to bringing about some much-needed reform. if there is no further questions you may submit additional questions. this committee stands in recess to the call of the chair. the next hearing will be on
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thursday at 10:00 in which we will take testimony from secretary pritzker, the secretary of commerce. >> thank you. [inaudible conversations] attorney general eric holder will be back on capitol hill for a second day testifying about the justice department's 2015 brickwell -- budget request. the senate intelligence committee voted today to declassify a rep port on cia interrogation and detention
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policies during the george w. bush administration area that's next on c-span2's. >> we are also seeing long lines of people up to today come to this moment and across afghanistan of people who are awaiting to get a voter card and despite 21 or 22 million voter cards floating around in a country with 11 to 12 million individual voters there are still long lines of men and women in kabul and other cities who want to have access to a voter card which is an indication of the amount of enthusiasm among the population. >> we should not judge the afghan elections by the same standards that we judge our own elections.
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we have had 200 years of democratic evolution. this is a democracy in its infancy. in fact if this election does produce a credible result it will be the first peaceful hand off of power in history. we want to be careful not to rush to judgment ahead of the afghan people. it is their judgment to make whether the ultimate outcome is legitimate and credible. i don't think we want to be second-guessing that issue at every step along the way. >> absence of international observers or what i should really say is a drawdown in the number of international observers that will be present will have a psychological effect on the afghans. it will have an impact on how the international community views it so the reduction in the number is unfortunate. i'm not trying to gloss over that fact but the truth is it's
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not going to make a huge differencdifferenc e. there are enough international observers there to do their job and the real story here is this is an afghan election being undertaken pursuant to afghan institutions and afghan observers are really going to be the first line of defense and ensuring a good election.
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the senate intelligence committee voted 11-3 to declassify more than 6000 page report on cia interrogation and detention policies during the george w. bush administration. following the vote the committee's chairman senator dianne feinstein and the vice chairman senators saxby chambliss spoke about the decision with reporters. [inaudible conversations]
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>> i'm going to make a statement. i'm not going to take questions but we just concluded the vote on the declassification of the executive summary and the findings and conclusions as well as the minority views. i voted in favor of the declassification for this reason. we need to get this behind us. this committee has important work that needs to be done. i was never in favor of this report being done. i think it was a waste of time. we had already had a report done by the armed services committee on this issue and this is a chapter in our past that should have already been closed. however the general public has the right to now know what was done and what is in the report from the standpoint of the executive summary of findings and conclusions and as well as the way the minority feels about it. so i voted cheap declassify that in the general public and make up their minds about whether or not this was done properly and
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whether or not in fact as we point out specifically in the minority report, that there was information gleaned from this program which led not only to the take down of bin laden that to the interaction and disruption of other terrorist plots over a period of years. so with that thank you very much. >> let me just get organized here for a minute. good afternoon. the senate select committee on intelligence has voted to send to the president the summary and findings and conclusions of the report on the interrogation and
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detention of more than 100 detainees. the vote was 11-3. i will not discuss who voted how but members are free to discuss if they want how they voted. the purpose of this review was to uncover the facts behind this secret program and the results i think were shocking. the report exposes brutality that stands in stark contrast to our values as a nation. it chronicles a stained on our history that must never be allowed to happen again. this is not what americans do. the report also points to major problems with the cia's management of this program and its interactions with the white house compound other parts of the executive branch and congress. this is also deeply troubling and shows what oversight of
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intelligence agencies in a democratic nation is so important. the release of the summary and conclusions in the near future shows that this nation admits its errors come to his painful as they may be in seeks to learn from them. it is now abundantly clear that in an effort to prevent further terrorist attacks after 9/11 and bring those responsible to justice the cia did make some serious mistakes and that they honk to us to this day. we are technology and those mistakes and we have a continuing responsibility to make sure that nothing like this ever happens again. the full 6200 page report has been updated and will be held for declassification at a later time. i want to recognize the tireless and dedicated work of the staff who produce this report over the past five years under very
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trying circumstances. they have made an enormous contribution and i also want to thank my colleagues, the senators who have reported -- supported this review from the beginning and have ensured that we reach this point. bank you. i feel this is a step in the process. hopefully the declassification can be done in as little as 30 days. that may be wishful thinking but i hope not. i think it is very important that this summary be released and it has to be declassified first. senator. >> the whole document is declassified, yes. >> you feel the white house or more specifically the cia will drag their feet and actually releasing? >> dana, i would hope not. i think you certainly have experience with this. i'm hopeful that it can be done
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quickly. the white house has clearly said that they will wanted to declassified exactly what we have moved to declassified. senator this executive summary is 481 pages long, right? what is your expectation on being released given what we have seen in the cia ig report. are your expectations high that we will see a lot of this? >> i would hope so. that in itself will indicate i think where we are on this, so i'm very hopeful that the declassification and particularly the reductions will be as few as possible so that we can get on with it. thank you.
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>> is senate finance committee debated the measure to extend expiring tax provisions which are set to expire at the end of 2014. at the end of this markup the bill is approved by the committee and now goes to the full senate. senator ron wyden chairs this committee. >> the finance committee will come to order. the committee meets today to consider the expiring provisions improvement and reform and efficiency act of 2015. we are also going to consider an additional bill making technical corrections and clearing away so-called deadwood in the tax code. finally we are going to consider committee organizational changes.
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now we will have opening statements. for the next 13 days, millions of americans are going to be searching for receipts, wading through a blizzard of forms and parking themselves for hours in front of their computers doing their taxes. instead of enjoying spring and the opening days of baseball season, millions of americans are required by their government to do their tax maps twice just to see if they are affected by the alternative minimum tax. and too often often when a neighbor's turn tax prepares for help they fall victim to incompetent or predatory work that opens them up to a grueling audit. complying with the staggering complexity of our tax code is
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now the father of nightmares for americans across the country. the very fact that the committee is marking up the expiring -- now i understand why americans who might watch this proceeding are skeptical about the prospects for real improvement. there have been loads of promises in the past of tax reform. when i joined the finance committee nearly a decade ago i couldn't possibly have imagined chairing congresses 15th time renewing the stop and go tax cuts called extenders. many of these extenders are well-intentioned and ought to be permanent. their stop and go nature obviously contributes to the lack of certainty and predictability that america needs to create more family wage jobs. it doesn't have to be this way. one reason i'm convinced is i
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have spent nine years of sweat equity with colleagues in both parties to construct the senate's first bipartisan federal income tax reform plan in 30 years. centers begich and coats have pitched in as well as former senator gray who sat with me and worked on it nearly every week for two years. once these extenders were settled i look forward to talking the senator hatch and all of our colleagues about their thoughts on tax reform and whether these bipartisan ideas can serve as a basis for comprehensive reform. i know that every member of the finance committee would rather be marking up a broad base plan to grow our entire economy rather than taking this piecemeal approach. now that everybody knows what a tax extender is and that it's possible for democrats and republicans to share some ideas
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on reform i want to be straightforward and one point. this will be the last tax extenders bill the committee takes up as long as i am the chairman. that is why the bill is called the expire ads. it is meant to expire. now with respect to this morning i'm sure some americans paying attention are going to ask if the complexity of the current system makes no sense and it would be smarter to reform conference of way rather than past extenders why is the finance committee working on this today? first having been chairman of the finance committee for exactly 19 working days constituents and colleagues tell us that they don't envision a comprehensive reform bill passing before november so the absence of needed long-term reforms here is what happens if the congress just drops extenders now.
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the tax credit that helps returning veterans find good-paying jobs would expire in four of our veterans would fall into poverty. the biggest federal incentive for scientific research would vanish. that would make it tougher for entrepreneurs across the country in eugene and corvallis and across the nation to turn their ideas into thriving businesses. homeowners fortunate enough to have their mortgages lowered or forgiven could get hit with a huge unexpected tax code. that could be as many as 28,000 people, my home state. without the new mark-ups communities would lose a proven tool to draw investments and good jobs. clean energy would take a blow threatening good american jobs in our ability to compete in technology with countries like china and japan. families paying for college would lose a 4000-dollar
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deduction and 28,000 oregon families each year to help cover the cost of tuition. without fresh comprehensive reform put in place it makes no sense to argue these incentives ought to disappear for good right now. the jobs innovation and research in people's homes are on the line. second passing the bill soon and making it the final extension puts an expiration date on the status quo and it builds a bridge to conference of tax reform and gives her people to years of certainty about their tax bills stretching the debate out over over several moments only leaks are taxpayers in limbo and wasting more time and money trying to plan for what's ahead. third, simply dropping worthwhile tax incentives now doesn't get congress and the closer to conference of tax reform. sacrifices valuable priorities without getting the real job of
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comprehensive reform done. so i would say to colleagues on both sides of the iowa of the ilec is passed this bill today and then put a lens on each of these provisions before deciding's which ones deserve a permanent spot in a 21st century tax code. that task is going to be harder if these incentives disappear now. ambassador of raucous is going to do an extent -- outstanding job in china teamed up with senator hatch and built a strong foundation for comprehensive reform. they held an extensive series of hearings and put out option papers in the majority staff publish several discussion drafts. the draft on energy had a number of good ideas in how to move from stop and go policies to smart integral parts of the tax code chairman campbell will be much missed when he retires at the end of this congress has worked hard in the house and introduced the conference of bill.
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all have offered some fresh innovative ideas and it's a safe bet that when the next comprehensive reform becomes law it is going to draw extensively from their proposals. this spring i'm going to start holding hearings on fixing a broken tax code and building a new system that works in today's global digital economy. on tuesday we are going to have a hearing on how to protect taxpayers from incompetent and fraudulent repairs. now there are other issues like identity theft and taxpayers rights that we will have to examine. senators nelson and harden have put a lot of time and effort into solving these challenges in this committee will need to take a hard look at the issues surrounding multiemployer pension plans in order to protect americans hard-earned benefits. this bill takes a first step and i intend to work with my colleagues to do more. today we have got to belmont
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short-term needs with long-term goals in the bill before us today does that. senator hatch and i agreed to start trimming, to start reconfiguring the overgrown extenders. after president reagan signed the 1986 tax reform act into law there were only 14 provisions they carried expiration states so we have got a lot of heavy lifting to do to fix the tax code. when the committee put this package together we said no to some things and we reform some others. i hope they can all be on the same page today and be sparing with amendments. in closing i would like to thank senator hatch u.s. been so cooperative with me on this and other matters. senator hatch and i have said a number of times this committee has always been run in a bipartisan fashion and i know on our watch we will continue to do that. senator hatch.
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>> thank you mr. chairman and i'm proud of you and the effort you are putting forth. you certainly have open arms and we appreciate it very much. we appreciate all of our colleagues on this committee. this is a great committee. before i give my opening statement that would like to take a moment to express my deepest sorrow for those who lost their lives and injured in yesterday shooting at ft. hood. i think all of our hearts and prayers go out to these folks and what they have been through. it was a senseless tragedy and we will never fully understand why these things happen but i know we all feel very much the same about that. i just hope that those who are badly injured will have a full recovery. mr. chairman thank you for your nice statement. you are one of the true policy wonks of the senate and i mean
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that in the most complimentary form. you have billing -- been willing to work with both sides and your work on tax reform it's been very interesting to me. i'm looking forward to working with you. >> thank you. >> you want to take a moment to express appreciation to you so that you know that we will appreciate working with you. we are going to have to work together and we are going to have to work together on preparing and executing this markup but we have worked together in preparing for it and yes there are things i wish were different but that's the way it is right now. standard legislation is always hard to move. it comes with a lot of moving parts and competing interests. throughout this process we have both worn to the hats. you have worn 1/2 representing the interests of the 13 democratic numbers of the committee and also donned the head of the senior senator from oregon. likewise i have worn one hat as
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i have represented the concerns of all the republicans on the committee and another the senator from utah. they both represent everyone on this community. in a sense we have been brokers of the diverse interests of all the members of this committee. as it often does compromise has led to some outcomes that were not optimal for you or for me. like i said it hasn't been easy. at the outset of this process you and i released a joint mark that released a starting point for tax extenders and attacks extended debate. i was pleased with the mark. we made difficult choices in the process of reaching the agreement but i believe we are moving in the right direction. the last time we marked up a tax incentive package was 2012. the bill you reported that time represent roughly 25% reduction in the number of expiring tax
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provisions. i remember then the chairman didn't think we could do that but we did by reducing the number of extenders we were sick in many acting to eliminate wasteful and really distorted decisions in our complicated tax code. the mark were released earlier this week continued in the same fashion by further reducing the number of extended tax provisions. that is a direction i believe we should be moving. obviously the mark will be amended today is different from the giant mark we released earlier this week in the final product we will be voting on at the end of this markup will likely be different. i expect the committee will report a final tax extenders package today probably with bipartisabipartisa n support. however the substance of that package is going to be determined. that being the case it is difficult right now to say where any of us will come down from a vote on final passage but that shouldn't take away from the deliberative process that are
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distinguished chair has utilized in putting this together. you deserve a lot of praise for how this has gone so far. as most of you know over the last few years i've been repeatedly to cry the tears and the border here in the senate. i believe it is viable that the senate committees fulfill their responsibilities and especially chairman of financial committee which has someone important issues under jurisdiction. regardless of the final vote tally of believe the finance committee is doing its job with regard to the tax extenders legislation. in addition to regular order in a vibrant committee process i believe we need to restore real debate to the senate. that makes a robust discussion of the issues on boats and married various amendments. as we have seen this week on the floor the senate that type of real debate is in short supply these days. that said i believe we will see a real debate on the finance committee today that we are going to talk a lot about a lot
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of different issues. i suspect the discussion will be spirited at times. we are going to have a number of votes on amendments some of which may be difficult both for individual members. this is a good thing and it's how the senate is supposed to offer. i want to commend you once again mr. chairman for pursuing this process and i want to thank our colleagues on the finance committee republicans and democrats for their participation in the process thus far. >> thank you senator hatch and i know we will work closely together throughouthroughou t the morning and in the days ahead. i would like to now recognize other senators in order of seniority who would like to make opening statements and i would just ask senators to keep their statements to know more than four minutes. senator stabenow. >> thank you mr. chairman. i will keep brief but let me thank you again. it's wonderful seeing you in that chair and thank you for working so hard with everyone on both sides of aisle the aisle to put together what we hope and i
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understand from your words will be the last tax extenders markup we want to do conference of tax reform and this will be a step in doing that. this really is when we look at all these policies is about jobs and economic development and is so important we get get this all the way to the finish line. i want to specifically highlight the mortgage debt relief program and thank you for having this in the bill. this is the top rarity for millions of families as you know who are struggling to stay in their homes despite the improving housing market. we know a lot of people are under water in their mortgages. i know it's certainly true in michigan. they owe tens of thousands of dollars more than what their home is worth now. they're sitting down with their lenders and trying to work out agreements to get up to date but we are in a situation where unbelievably for the first time
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since the housing crisis began if we don't act and if this doesn't get all the way through the congress the irs will tell the same family sitting down right now doing their taxes while they are also trying to find mortgage relief at their bank that they are going to have to pay more taxes as they refinance and count as income debt forgiveness from their lender. it's even more -- when we think about the fact that we have banks that are now required to provide relief to homeowners to write off their costs. on the one hand the bank gets to write up the relief that they are providing to a homeowner but the homeowner right now without the change that we are making wealthy paying more taxes. it makes absolute no since when the one side wall street bank gets it tax break for 2 million middle-class families are left with the big tax bill. i just want to thank you for
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including this mr. chairman and also mentioned very briefly i am very pleased we are able to reach agreement to extend refueling infrastructure for alternative vehicles. i'm hopeful we are going to have an agreement today on the energy-efficient homes and buildings initiatives in renewable energy reduction tax credit and with so many things that are important here in the bill let me thank you for including a bipartisan effort on conservation easements, their research and development tax credit and at new markets tax tax credits so thank you very much mr. chairman. you senator stabenow. senator roberts is next on the other side and i want to recognize him. he has done some awfully good work on some of these provisions. >> thank you mr. chairman. i wants to congratulate you like every other member will be congratulating you.
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the people of wichita kansas are not very much aware but will be aware soon you were born in wichita kansas before moving onto that other state out west and we are very proud of you and i am personally very proud of you and i've been working with you on an awful lot of other matters including the intelligence committee. i have an opening statement which is probably the best statement i could make. >> thank you and i've always appreciated your thoughtfulness. let's go next in order of seniority. our next speaker would be senator cantwell. >> thank you mr. chairman and thank you for holding this hearing and for talking about these important issues for individuals in our state. bipartisan effort today here is to ensure predictability and certainty that will help grow our economy. before i start i would like to say something about the
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communities in arlington washington. these communities have been through a very painful process facing one of the worst disasters our state has seen and i want to thank all my colleagues for their comments and support on this issue. in the future we would like to join our colleagues who are on this committee who have also dealt with natural disasters in the discussion of how natural disasters impact as this is in some of the things we can do to help provide for relief. my neighbor one priority here is to make sure that we are continuing to support economic growth in the united states of america and job creation and many of these provisions which expired in 2013 are important to just that. the majority of these provisions provide incentives for business investment and return to taxpayers which in turn increases local spending and aids our economy. the state and local sales tax seduction is of particular importance to my state and to texas wyoming florida south
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dakota nevada alaska and tennessee and while we would like to make this permanent in the parity with other states i know that my other colleagues senator thune nelson cornyn and enzi agree with me so we will be offering something to make that permanent. i'm glad we at least continuing that deduction since it lapsed in 1986 and we brought it back in 2004. a 24% of americans who claim state and local tax seduction's shouldn't constantly have to question whether they will be able to make that deduction. i am pleased we are moving forward but we have to be even more aggressive on this issue. i also want to comment on the extending tax provisions that are also helping our economy grow the wind production tax credit to low-income housed credit the bio diesel tax credit the veterans work opportunity tax credit are indeed. all of these things are so essential for businesses to have
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two basically leverage further private sector investment. businesses plan ahead so that means they need to certainty to do so. for example investing in low-income communities between 2003 and 2010 cost the federal government five point -- $5.4 billion but generated $45 billion in investment and a leverage of approximately eight to one. to me those are the things we should be doing to help our economy. the veterans work opportunity tax credit another success story giving employers who hire veterans a tax break. it's helped companies in my state hire veterans and help them get a workforce. the bio diesel tax credit lapsed and the last time it lapsed a resulted in a 42% drop in production in 2010.
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leading to a loss of between $879 million in real gdp and job of household income in. to me mr. chairman these are real issues about real investment strategies and nothing could be more important i think right now than a bio diesel market that helps us in our huge competitive nature with getting a new aviation jet fuel. we are very close to having a drop in jet fuel that will help the united states of america continued to be competitive in aviation manufacturing and aviation in general but this is exactly why we need certainty and predictability. i also want to mention a low-income housing tax credit which also has been leveraged and fills a gap. i will have a lot more to say about the solar tax credit what i think is germane to this legislation but i see my time has expired and again thank you for giving this bipartisan tax
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measure and to senator hatch to get this before the senate. >> thank you senator cantwell. senator and c. is next. >> thank you mr. chairman and i appreciate the work you have done on tax reform. i look forward to working with you on that. glad to hear your statement that this will be our last tax etc. package. this up off-again on-again cycle of extenders creates too much uncertainty for businesses. some of them are willing to take a risk and maybe they will get the credit if we extended and others don't do what needs to be done waiting to see if we are going to take action. it's difficult for individuals and businesses and i think we need to gain more ground and get these extenders done permanently. members on both sides of the aisle introduced legislation reforming the tax code. i hope you take a look at the
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bill to reform the united states tax rules written up and also a bill that would allow us to get the dates for reporting so people don't have to keep revising their income tax forms to make it fairer and simpler. i know none of that fits in with this but again i look forward to working on that and particularly working on any transitions that we might need as we do the tax corrections. some of those tax corrections if they are made overnight will bankrupt individuals and companies so we need to make sure we get a smooth transition so it's fair to the individuals as well as the country. >> thank you senator enzi and i am pleased you are already starting to raise the importance of the importance of comprehensive comprehensive reform and we are going to work closely with you. senator nelson. >> mr. chairman at the gift for you. i will insert my comments in the record. >> oh my god. special blessings.
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>> and i will thank you and senator hatch for what is so desperately needed in the united states senate which is a bipartisan approach. >> thank you senator nelson. senator isakson. >> thank you very much mr. chairman i will add my congratulations to you and my appreciation for the openness in which you have approached this entire process. i want to especially thank senator hatch for his comments in the days leading up to this markup. it's been enlightening for me and helpful and i appreciate his leadership. i won't take any comment except to say i have received the amendment dealing with real estate investment trust on in this meant by foreign entities. what is some interesting is the real statement investment trust were created by the 1986 tax act and we had intentionally destroyed laws and change the industry for the worse and not the better so your approach in a
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conference of nature will keep us from doing that next time. my last comment is unconvinced that my solution -- microsolutions or heart of the macrosolutions and hopefully we will get the conference of reform. >> next to senator cardin. >> thank you mr. chairman. that would also add my congratulations to you senator hatch for the manner in which this legislation is being considered. it's not just a bipartisan manner which is just doing it but individual provisions to see how we will improve them and make them work better to get a better result for the dollars they have spent and that is reflected in the work the two of you have done. i'm proud to be part of that so thank you very much for your efforts. this bill is critically important to our economy and offers more certainty and creates jobs. many provisions that i think are critically important, let me highlight the transit benefits the green energy initiatives the new market tax credits and senator rockefeller's efforts
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there. the low income housing tax credits. the 9% minimum rate and senator cantwell's work on that this critically important helps all of our communities with conservation easements and senator stabenow is working on that. these are important improvements in extenders that will help create jobs and help people live healthier lives and help our economy. i want to mention three issues very briefly that you incorporated into the revised markup and i thank you very much for that. section 179t which deals with energy efficiencies in our buildings. yesterday introduced legislation along with some of our colleagues to expand that provision to correct some of the interpretations. i thank you for including the improvements on allocations including non-profits. i hope we will be able to do more than that to include partnerships and deal with retrofitting abilities.
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we don't quite have the scores on those issues had for the joint tax and i hope i can work with the chairman and members of this committee to further expand the ability to offer the appropriate incentives to make their buildings more energy efficient. section 181 deals with the theater industry, i want to thank senator isakson and thank senator schumer for his work on that in senator nelson and senator stabenow. we are not only extending that important provision which deals with competition that helps the u.s. preserving create jobs but we are also doing this in a way that expands it to theaters and i appreciate the work that has been done so this could be incorporated into the mark. lastly let me mention the work opportunity tax credit. i particularly want to thank senator portman for his work on this issue to not only take this
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important bill extended but also to include long-term unemployed. long-term unemployed are difficult for employers at times to take risks to employ and using the work opportunity tax credit which has been very successful proven successful program, to help expand opportunity in that direction will help a great deal and i want to thank senator warner for his work on that particular bill. i think that is going to grandma's help us deal with the unemployed should -- unemployment issue and i think the chairman and ranking member for, dating back into the revised market. >> thank you senator cardin. you have been doing thoughtful issues since your days in the house and working with senator portman so we appreciate it. >> i do think this is one way to get folks who are long-term unemployed and unfortunately we are seeing historic levels of long-term unemployment, that's over six months in the recession and recovery. this will help us to get some of
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these folks back to work a weatherwise given the resume gap have a small chance of going back to work based on the data over the last several years so i appreciate the committee working with us on map. i think the chairman and make you member. the process is transparent and i think the senate would work better if there was more legislation completed this way. senator hatch certainly did so with our site and i know you did with your site. the same time i have to say this is not a process we should go through again and i like the fact that the chairman called this the expire act. temporary tax policy is bad economic policy and is bad tax policy and if it's a tax provision worthy we have to make it permanent and if it's not we have to get rid of it and understand their sticker shock associated with make incorporated these permanent because there could be $750 billion over 10 years but that's the same thing as $75,000,000,000.1 year at a time
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for the next 10 years which is what we are doing is the chairman indicated. i too think there are economic costs of the way we are doing this. businesses that i talked to are making their decisions over a 10 or 20 or timeframe and if we tell them gosh our credit is going to be available but may be gone next year they are not going to utilize it. small businesses don't know whether they are going to have a cap of 250 bucks. if they can't depend on these provisions they are not point quite to make as many decisions to create jobs as they should which is the intent of these proposals. it really negates the purpose of what we are doing. i do think this is an opportunity for us to move forward with policies necessary to stay in place but i hope you can move on tax reform as the chairman and ranking member talked about. i'm encouraged that both of them are so interested in that. let's move on to what we ought to be doing. i do think is the chairman said at the outset that the code is too complicated.
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i do think as we approach april 15 is real for our constituents and i do think we have an opportunity here to come up with a policy that will help to get this economy moving. as one of the few things we can do and i think it's almost certain to give the economy a shot in the arm. i would say we must do that with the right data and therefore we do need to have macroeconomic analysis of what tax reform means and some call this dynamic scoring. i do hope mr. chairman and ranking member that we will work together on this but also take into account what the actual economic growth consequences are of tax policy as we do that. i look forward to the process today because i do think it is going to be transparent. we will hear a lot of good debater must continue to focus ourselves on making this the expire act rather than extend act. >> thank you senator portman. thank you for making the point
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about the jobs opportunities with conference of tax reform. in 1986 and two years afterwards or country created 6.2 million new jobs. no one can say everyone of them was due to tax reform but it certainly helped and thank you for highlighting that. senator warner. >> thank you mr. chairman. as the newest member of the committee i guess i'm glad i get to do one tax extender markup under my belt. >> only one. >> only one, a1 to that end let me echo what senator portman said. as i try to dig into all of these provisions is really hard to look at them as one offs without relationship to the balance of what else is in the code so i would add my voice to the others hoping this is a bridge to more total tax reform. i will be very brief. i just want to echo what the other colleagues have said. i agree with senator cardin on the energy efficiency components
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and also the residential building standards. i appreciate that. a small provision that we put them in terms of mine safety which would provide additional credit for advances mine safety training and equipment. i appreciate that. i have go with senator isakson said about for death. we did more of that fdi coming into the real estate sector and senator portman and senator cardin mentioned the work opportunity tax credit in terms of long-term unemployment. as we debate about extension of unemployment benefits the better policy path is how to get folks back to work and this is one small step forward on that. thank you mr. chairman at or at to my first and last extenders marco. >> thank you senator warner. senator grassley. >> obviously i think you and senator hatch were working so
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hard to put this together and i'm glad we are considering a two-year extension of these provisions instead of the usual one year although last time i guess it was two years. i'm hopeful that this will provide a window of opportunity albeit small to taxpayers while allowing us to continue our work towards tax reform. the annual stop and start picture of tax extenders creates uncertainty were taxpayers of all stripes and often results in complications come filing season when tax forms are not ready and refunds delayed. it causes headaches for teachers purchasing school supplies, college students paying for higher education and seniors making sure to pull deductions from their i.r.a.. further creates uncertainty for businesses which harms investment and business growth and consequently not getting more people employed.
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the uncertainty it creates for their noble industry has slowed growth in this sector and serves only to hamper the strides made towards a viable self sustainable renewable energy and fuels sector. a strong vibrant renewable energy or is good for jobs and economic growth. it's also vital for american security to foster the growth of home-grown fuels and energy. the recent takeover of crimea by russia is a prime example of why this is so important. we do not want to have our hands tied on energy issues and tying up foreign affairs as many in europe have found themselves to do because of their reliance upon foreign sources of energy in that case from russia. two to both and security reasons i am pleased that the chairman
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included the bio diesel credit in his original mark and has accepted my amendment to extend the wind production tax credit to a modified mark. renewable and alternative energy is not an answer on its own. there are four critical elements to a comprehensive energy policy obviously the use of oil and gas , promoting renewable energy supporting conservation and nuclear energy. obviously the latter is an ambition free resource. i support a real all-of-the-above approach to energy security. the chairman has expressed his determination that this be the last expire to conference of tax reform. we should consider the relative alternative renewable incentives along with all the other energy provisions.
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targeting energy provisions for elimination now makes little sense for those of us who want to reduce tax rates as much as possible. tax reform provides an opportunity to use a realistic baseline that will allow the revenue generated from cutting back the provisions that they use to pay for reductions in individual corporate tax rates. so i look forward to working with the chairman of and the ranking member to an act tax reform and put an end to the headaches and uncertainty created by the exercise we are going through today. right now our focus should be on extending the current expired and expiring provisions to give us room for working toward that goal. >> thank you senator grassley. senator menendez. >> thank you mr. chair and i'm going to join senator nelson and bestowing gifts upon you and hopefully the chairman will remember that as we continue on. just briefly congratulate you again on assuming the chair.
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secondly on bringing us to a bipartisan beginning here in this markup and for pursuing a two-year extension because certain date is one of the elements of unlocking greater economic attentional and while i hope the ultimate certainty is the tax reform that we all seek at least an interim having a two-year provision makes a lot of sense. i look forward to offering one or two amendments including with senator toomey to help small business and have a dialogue with my colleagues on ferc to to set a foundation for what i hope to be a success in the future. >> thank you senator menendez and i know you are doing important work and i look forward to working with you. senator toomey. >> i too want to say in a body that is not considering nearly as much legislation as it ought to on the floor and far too
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committees are not working i commend you for a meaningful substantive open markup. this is exactly what we should be doing and i commend you for that. i think it's unfortunate we are continuing for another two years in this case a very flawed policy of the temporary tax code and i was encouraged by your insistence that this is the last of them. that is very important. i think of the many items in this list of extenders many of them fall into one of two categories. there is a handful that are unambiguously pro-growth and encourage economic activity without discriminating or distorting economic activity and though should be made permanent. then there are a lot better that are frankly giveaways to favored industries and while one can now is point to a job that is created from a subsidy on balance they cost us jobs because they distort economic activity and make our economy less efficient and we have fewer jobs as a result. we'll have a discussion and debate today and i appreciate
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that and i look forward to working with you to have the conference of permanent tax reform that we need. >> thank you senator to me. senator carper. >> let me preface my remarks by saying if thanks to you and senator hatch for practicing what i call the two seats. the secret to a long marriage between two people is to communicate and compromise and the secret to a good democracy is to communicate and compromise and you too are good example for the rest of us. we are grateful for that. when i was a ceo of the dupont company the ceo said part of what to do in terms of providing job creation and preservation for all businesses large and small is certainly predictability and we have heard that again and again from tip democratic's -- democrats and republicans. how are we doing here with
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respect to tax policy well, compared to what? compared to not doing anything at all for a one-year tax extender? we are doing not as well as we need to do a lot to do. i know both of you have led before and we have will have a chance do that for real. a couple of amendments. let me say thanks to my colleagues who joined me and cosponsored amendments that i have offered in the package. thank you for letting me join you in offering you amendments but i particularly want to say thanks for including the extension of the investment tax credits with the commencement of construction language. it's important we will have the success of launch in the wind industry in this country. think we can do better and i have a couple of energy amendments that i want to work on with the chairman and ranking member in the future. the first amendment which i've
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joined the senators brown cardin and menendez my wing man right here on this side of our aisle that extends the investment tax credit to projects in offshore wind that generate the first 3000 megawatts of offshore wind in this country. this is similar to legislation offered in the last congress with her colleague susan collins and provide certainty to an industry that is just beginning to bubble up in this industry. my 2nd amendment by senators cardin and warning fixes language for the 2000 extenders package by stating waste heat is eligible for investment tax credit. a transforming waste and heat to power reduces emissions searched searched -- saves energy in the long run and is a win win. this technology can perceive investment tax credits is an easy fix and i hope we can do it and finally we need to reform the r&d tax credits. senator portman over there as works with this staff and my
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staff and have worked very hard to do that. i think we have a good foundation for this bill but private investment in r&d is the lifeblood of the nation we need more of that. ..
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>> i think senator isakson came to the conclusion doing it bigger makes it easier than the little fix. i think that is true with tax reform i appreciate the work you have put into it. look at our tax code would be hard to intentionally as a nation to create a tax cut that is more unfair unfair, complex, expensive to comply with, and frankly more anticompetitive to our own business interests in america than what we have got. the factory to the extender bill is a prime example. we have a lot of good
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thought that has gone into how to reform the cody and you are one who has put forward that is before a strong proposal and i want to say i look forward to working with you on this legislation that i agree should be the last extender but of their broader and a much more powerful objective to reform the tax code. we have got to do it and get a right if we cannot let that fall in the? with the dynamics of the gridlock we often find ourselves in the united states senate. i agree on the need to do this the and stand ready to work with u.s. remove for word. >> thank you also for conveying that urges a. -- urgency's. >> thank you for holding this very important marco.
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first i am very pleased of the wind production in tax credits it is vitally important to to colorado we have 1400 workers of goshawk war factories we're bringing work for oil offshore to the united states. there rehired 400 workers this year with and other projected to be added by venda of 2014 clearly not just economic growth but for our states. beyond the amendment there are other amendments that are not included using that investment tax credit like solar energy and the other amendment puts the inequity
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in the tax code to disadvantage the zero americans liquefied natural gas i will but the chairman committee members will work with us to address these issues going for. also glad it has a two-year extension although i join you to say it is a good thing if it is the last of the extender packages i am glad you said what you said to provide some degree of certainty while we have comprehensive tax reform that is a huge opportunity for this committee and congress. i was one of the leading technology companies to here with a rich doing with education is interesting. with 75 percent of their last 12 months of revenue was derived from products they did not even sell five years ago. that is how fast it has been
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invented we should have a tax code that reflects 21st century reality that the private sector is engaged instead of a remote historical vision of what the economy ought to look like. if we need to drive jobs overseas as long as that is the case i am afraid mr. chairman we will continue to see family and come fall rather than rises in this country. democrats and republicans working together have a unique opportunity and responsibility to articulate a set of principles that are focused to the future instead the past. i don't think this is a left or right discussion. it will lobby ec for anybody that has read the history.
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but it is worth trying and we may manage to surprise ourselves. think you for holding the hearing and i look forward to the discussion today. >> i want to associate myself with the view expressed with you and drinking never hatch that short term extensions should not be the way to conduct tax policy. what we consider today about necessary does not give certainty to plan our help the economy to grow. queeney comprehensive tax reform so i do give my support to express the sense that comprehensive tax reform should convince next congress and resolve the issue of tax extenders by
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broadening the tax base in to consult with the chairman of the committee that the baseline is used during reform. it puts the committee on record for the position not only is it necessary and urgent but to use it as an opportunity to get rid of tax extenders' entirely if something is good tax policy been if it encourages economic growth then let's make it permanent if it doesn't allow it to expire. i want to say i am pleased the bill extends to years the deduction of state and local taxes to make this permit to put non income-tax states like cars on a level playing field. this is the right policy that we continue to pursue. i am pleased with of wind
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production in tax credits and i have an amendment that speaks to how we move forward on that issue but i appreciate your leadership mr. chairman and the ranking member to work together to make today's pop markup possible. >> i want to commend the work you have done especially the way you have taken the time to meet with members not just prepare the market but go through a number of priorities. one broadbased going to is the question of uncertainty rise is all the time the matter what party or what state. often people say they may have a policy concern that generates uncertainty but the biggest is about to us
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and what will happen in here in the congress that has driven as much uncertainty as anything. with the individual uncertainties were concerned that business is have especially small businesses i hear from them on a regular basis and i want to commend the work done. section 179 expensing making sure that was addressed in the market is important so they can plan better and invest with capital assets second bonus depreciation% -- 50% so when they are planning so the cost of a new asset can it be deducted and they are appreciative of
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that. working on a provision that allows restaurants and retail establishments for many years they have a longer depreciation schedule that should make sense and we brought it down to 15 but now has a longer schedule that is a very important provision for retail establishments. just a quick list of priorities from i state of pennsylvania but also for the nation as well senator to be and i have worked on this it is outside the scope and we will address that with that medical device tax is outside the scope but those of us that support it that believes the limits secretion there is a great debate about that but we're
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looking forward to working with you to address that issue. number three it makes perfect sense for states like pennsylvania that have water ways that move the user fee increase trust fund that i know we will work on overtime because i know they are not inside the scope one is the adoption tax credit you made it permanent but also refundable. then finally senator brown will talk about these issues but the child tax credit in the earned income tax credit in terms of poverty reducers and benefits i am not sure there is anything better that we can do.
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>> we will have a discussion about a number of those this morning. >> you are off to a great start i want to thank breaking member how much who was also off to a great start to recognize the importance of tax relief working so diligently when confident we will see at the end of the process i always felt we should not wait till the end of the year to approve the tax package is a freeze is the economy in place i went to the floor in december to get the package moving senator hatch actually came down to the floor as i was speaking in said if you want to move the package lets work together in a bipartisan way in a committee. that is why we have done
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with the chairman's leadership period and your leadership and ranking member. [laughter] i am thinking past. not future. [laughter] but that is why we have the product now. we have been able to work together and look forward to many opportunities in the future of the transportation reauthorization disaster relief important to this committee for are just want to take a moment to thank you for a few items included in the chairman's mark as people though the commuter tax benefit is critical for people love new york 130 people don't own a car and to us meighen's -- mass-transit is as important as cars you get a greater tax and vintage this
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restores the quality with the new market tax credit particularly in our older cities the shore via rail tax credits with maintenance and renovation of the short-lived rail system manufacturing companies depend on the short line to get their product to the market a and admiring a rollover that so many retirees count on some of these provisions in the entire package warrant our support business and retirees will pay the price if we don't get them extended by a bipartisan package to hope to get this over the finish line.
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>> also thank-you to highlight that bipartisanship we see today and the first amendment colleagues that is the issue were roberts amendment it is important to promote innovation but a few things first. >> apologize for being late. all of us came to the senate to do is the next like what we're doing today. i was just downtown speaking to the defying contribution investment association about what kinds of the news made the to do when this committee in the banking committee throughout the tax code on finding ways to make sure that people can build wealth. i appreciate this provision
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for this legislation to extend the pension protection act as we pursue this issue. as americans were hit with higher taxes and the tax relief act expired when someone is involved in a short sale of some one benefits from a principal production to stay in their homes because of the expiration of the tax breaks they are hit with several thousand dollar tax bell we gave them that tax relief in the past it is important we do this we have heard stories of individuals in their states that backed away from the short sale or run into more serious problems that is an important provision. also workers set to lose
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their jobs and benefits with the health care tax credit to expand at the end of last year to have those tens of thousands of retirees there are delphi workers new york, michigan even those that are eligible for the trade adjustment assistance language to make sure they get that tax credit 70 percent of the health care cost to offer an amendment to for two years that is fiscally responsible to a permanent solution. the last issue with states like mine and throughout the country we see what happens to that community and laid-off teachers will support more desperate circumstances ears --
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circumstances the manufacturing community tax credit build the new market tax credit most have supported what new markets have done for development and large portions of their state with the community tax credit can make a big difference and the last point i hope in this committee we can work on expansion it does exactly what we have wanted to do for 20 years president reagan called it the best anti-poverty measure and we'd be to extend that to the childless low income workers it gives great incentive to work to help communities toward low-income communities get earned income tax credit into people's pockets that they spend that in those communities that could make a difference particularly in
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conjunction with the manufacturing tax credit and all the other things we're trying to do. think you very much for the opportunities. >> now we will turn to the extender bell the reform efficiency act of 2014 i released the bill earlier this week with senator hatch and after that we will consider amendments then vote on whether to report that its fate core vote is not present we will vote when we have a quorum. the chairman's mark of the expiring provisions along with my modification it is so modified and team to inc. the joint committee from taxation has graciously
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agreed to have a brief description to the modifications please explain the modification. >>. >> first we have the explanation of the underlying mark then why it entails the modifications and i will go through that then the revenue table that shows the revenue of the chairman's mark as modified the chair of its modification has four provisions the 79 provisions and has a present to value it housing tax credit the second provision would increase the value of the credit to employers from the
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armed services to one henderson to and could remove dirt -- remove the limitation. also provide modification to the work opportunity tax credit to extend eligibility to long-term unemployed individuals and the last modification is to make some technical changes to reduce the private business contribution test. the chairman's modification makes 11 editions to a the market and the first is it extends for two years to make modifications by way of changing and updating energy standards with the energy property it would extend the electricity production
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credit and the depreciation recovery period for two years the and the extent the increase limitation kerry for provision applicable it allows the enhanced deduction for energy efficient commercial building property and it expands eligibility for persons to design such property and tribal government told. it extends to your section
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181 with production expenses and makes the modification and to expand those rules with live stage productions the prior law relating to dividend interest and royalties paid up from foreign entities. and it provides the senate should undertake comprehensive tax reform with the next congress. the modification provides the three additions to a the market has the effect to raise net revenues of the continuous levy authority granted to the federal government to levy up to 100% of payments to certain medicare providers with unpaid liabilities. it extends the current law
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due diligence requirements to have similar requirements for the child tax credit and lasted provides the exclusion for certain payments made under the energy policy act of 2005 for non corporate taxpayers. the hope that was quick and clear. >> a land speed record. >> now here to answer questions in the administration official is here as well. as the acting assistant secretary we welcome you do any senators have any questions regarding the modification to pose at this time? >> hearing none known senators can offer amendments.
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we will go back and forth but i thought it was particularly important to start today with a bipartisan amendment schiller roberts because it goes to the heart of the question of innovation in our country and let us recognize senator schubert and roberts. he may not be here but offered the amendment. >> we would like to offer -- offer a commitment number would regarding the package to the tax credit. first the one to thank my colleagues for joining me have a good bipartisan group of sponsors of the republican side in addition to myself on the democratic side also to the original bill introduced by three
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members of this committee senators in the and roberts in itself but kunz was the originator of the idea and deserves a lot of credit for getting this done. everyone on the committee knows there are few tax credits more important to our economy and more specifically moving the economy forward in research and development tax credit. but there is a problem with that credit italy benefits countries that are low income tax that means only profitable firms can benefit to the fault many small start-ups where so much innovation is occurring as a missed opportunity because a little incentive goes a long way. we know the small start-ups so with minor modifications the r&d credit can provide a boost to help the startup
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make the leap between big thoughts and new jobs that is what we're offering this amendment with firms with no income tax bill to apply the credit to the payroll tax liability the new innovation credit of $250,000 it is the small incentive from the government but a huge incentive for the high tech start at. on top of that those getting their feet under them is taxed at the individual level are not left behind either they may be barely profitable but they cannot claim the credit so senator roberts brought the additional provision to the table to ensure the credit can be claimed by this group of taxpayers. glading greasy these proposals as complementary and when taken together they
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provide meaningful opportunity for firms to get off the ground from their infancy to their adolescence with income-tax liability but not be in a position to claim the credit. let me conclude by thinking my colleagues as the great bipartisan group of sponsors as collateral as the members of this committee for helping us bring this much needed package closer to reality. i strongly urge the support of the amendment to the great state of kansas senator roberts. >> in the interest of time i did not make an opening statement but i do have one i neglected to ask permission to insert.
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>> without objection. >> as usual senator schumer has described this bill in detail it is pretty simple to make sure more employees get more equipment and more exported. they've replicate provisions that pass the house and senate on a bipartisan basis and will remove one of the biggest barriers for small and medium businesses to offset r&d cost and remove the bar provided in section 38 c to reduce taxes that is it. it is real simple a powerful change for small business. so i ask for your support.
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and i certainly want to thank senator cantwell and senator and sees the mckinny colleagues want to be recognized? >> senator warner. >> senator schumer was giving credit for those that were involved also senator rubio ray did three versions of this. and what senator toomey is said about pro-growth literally 85 percent is start up businesses and i was an entrepreneur longer than i was a politician this will do a great deal to help start up businesses and i urge the adoption of the amendment. >> any further debate?
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>> i want to thank senator roberts for coming up with the inclusion of the amt there we have had problems with. albee you're doing is to extend for big business and it all works the same way. >> if we tried to devise the ideal way to get out of the gate that is what this does it cover like to go to the boat all in favor of the share roberts amendment signify by saying ye. the aye have it. now let's go to the next amendment cynic i don't
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think these will take a long time but i have been pushing up the expiring provisions this is to get the tax return due date supply-demand modernized with individuals across the states are required to provide reports to get their taxes done but the dates are all different we did them over a period of time there would be less revisions for people's taxes so i know it is not a traditional extender so i will withdraw the amendment. >> would you like to continue?
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>> with two straight the mortgage debt relief provision we have been doing this for quite a while to be a temporary provision when we put it in with homeowners that are experiencing hardships from the bubble to be free from the added burden from underwater mortgages but those were supposed to be temporary. and we have been adding to the national debt by continuing to do this. most of the homes in that category have been taken care. but we have changed the economics to buy houses did we shouldn't do that or encourage people to buy more than what they can afford solid like homeowners to return to the process of normal economic conditions to get the fiscal house in order so the chairman in
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drinking never i hope they will work with the. >> my understanding is my colleague is not seeking a vote on this at this time? >> that's true. >> that might be fine for the state of wyoming but coming from the state where there are a lot of mortgages under water there is a different perspective. >> i would join with senator nelson we're talking about people who were not making decisions now but who were caught up in what was happening with the mortgage crisis still trying to work their way out. 28% of the homes are under water michigan 18% george 18% wyoming is only 6 percent for utah 8%. ohio 19. i would urge just remember
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we potentially have the unfair situation if we don't extend the help right now the banks that are offering those get to write this off on their taxes but homeowners get a tax bill if we don't extend to this protection for them. it makes no sense for the 2 billion of voters to get a tax bill with the other side of the equation gets the tax write-off of. >> i share many of the concerns that you had expressed of the 28,000 holders of my state face huge unexpected tax bill spee best buy want to join with the comments talking about a high percentage under water in ohio i talk to people with short sales
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it is already problematic enough with the delay of financing and we have fixed that in many cases from discussions with banks but we don't want to discourage local real-estate industry when they stopped in their tracks because of that potential tax bill we grow economies by manufacturing and real estate and weapons in the real-estate market but at some point we take this away but it is still slowing housing growth since the committee. >> graciously agreed asking to hold the amendment number three tusis senators soon
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and i would offer amendment number four to modify section 48 of the tax code if we incentivized with the most abundant affordable energy which jews call so to take care of the tax advantages that others have i do realize it is not traditional so i will withdraw the amendment and not require a vote. >> thank you. let's go to the cantwell proposal. >> is number three sponsored by myself and my colleagues.
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today we are here to talk about important tax provisions to create investment in our economy with predictability so it is absolutely essential to figure out market friendly cost-effective ways to distributed energy and solar projects to require significant time to have workers to become operational. to get there the private sector needs certainty to unleash the innovation piercy a lot of innovation and in 2007 a global investment talked with hundred million dollars with a solar in beating fellow way. they continue to be with market efficiencies wavy to focus on new ideas of
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cutting edge technology to establish leadership of the create energy technology we need to continue to innovate. to show china advanced with the worldbeater to attract $65 million in to see a decline of 37 percent with a clean energy investment. 41 develop door transitioned countries for renewable technologies and they are opportunities for u.s. products not just the united states with this older generation here with a lower cost of energy but the west
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if it helps to remain competitive we must invest more not withdraw investment that is why i worked with my colleagues on a policy to move forward redrafted and amendment that is germane to the bill today to help us with new construction in several states that would increase the generation of 700,000 new homes at 270,000 megawatts of to a rate one dash generations of rethink this is an important issue to consider. >> thank you. i will be brief there has spent in amendment number one in bipartisan bill senator howler is my co-sponsor and to allow
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developers to qualify for section 48 provided they have met construction of their projects before expiration is the requirement makes it difficult to complete projects that to construct for all the reasons that senator cantwell has said it is vital to the competitiveness building the american energy future that this amendment is not germane but i ask you to work with us as we bring these pieces together hopefully included in our work civic both the view are
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the most forceful advocates of solar power in public life and i will work very closely with both of you with greed energy is in our chromosome i feel very strongly we turn this around as part of comprehensive tax reform to get as close to parity for all energy sources as possible because we cannot have the effective energy policy in this country. others have subsidies reduced fait que to both of you but this is not the last word of the subject. >> i thank the chairman for a these comments. >> we will look for another
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the holder. >> to other colleagues want to be recognized of this issue? >> but say i am interested in what you we're doing. we will keep working together. >> the amendment is withdrawn and senator isakson was speaking as i understand of the mortgage issue as part of the proposal that is the case i'd like to recognize the senator from georgia. >> i will combine both. >> with the pledge to work very closely let's go to a the melendez and senator
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enzi discussion. >> but the call up that amendment number four. we'll understand the limitations of today's markups so a few of us would like to speak of the merits with an eye to get this done some time this year the me also ask you this consent for the co-sponsors. >> this amendment foundation has 39 co-sponsors 21 of 24 members of the committee how powerful we believe the change that we seek to a block economic potential. our amendment would implement to encourage
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equity investment of real-estate. get well jump-start the modernization project and the ripple effect of this is the door of this. there is no significant job creation proposal that i know one of even the president listed there before as the item has the opportunity to create jobs and what they called for at the time which are why really take? there is broad agreement as corrected drafted discourages foreign investment and agreements
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this is a legislative opportunity we should take action on. i don't know why to look at various times with the irs to termination that is a big part of the challenge but in the interim the strong bipartisan support has the nervous about the potential and we have a lot of commercial real estate whose pride in saying is coming to. the tremendous opportunity in the private sector way. to further solidify the commercial market. with that i am pleased to yield to my colleague senator enzi my co-sponsor.
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>> i would just say there is $2 trillion of commercial real-estate loans about two richer know they're under water and require more equity to be financed so failure to act will hurt communities all over the country i think we can agree this is the last thing the economy needs to take a passive loss against her and income over $3,000 per year it thank the most every commercial developer of a positive to a negative that created the real-estate investment trust to sell shares to raise equity and reduce the debt. it was because of 25 for 30
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years ago but japan went belly up this would be a great increase and diffusion as it has shrugged tremendously to refinance at the to a trillion dollars of loans to attract good equity into the real-estate market with a minority participation it would be important for this expansion >> i just want to echo this is an important amendment to help jobs to grow the economy most previous recessions this is only 15 part of the reason is they're not building enough for not doing enough on highways or roads and bridges because of the constraints for a growth.
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it can affect genetically as we work to refine this over the years over the objections and it affects the upstate new york as well. i hope we can get this done. >> ababa like to be added as a co-sponsor if i could a and i appreciate the amendment. the unemployment rate remains almost twice that as the overall unemployment rate than this is the situation that is going somewhere else a lot of it is sovereign will fund not only way to get foreign investment but a part of the economy that is still struggling. >> i also want to think
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senator biden does for his leadership with all this support we could work something out of the four. >> just to give him the last word i am strongly interested in this issue because it is the economic world supplier the construction jobs that ripple all the way to the community so you have my pledge to keep working with you. colleagues please no this is a painful trial because a number of you have perry could ideas that i like solar energy but we said -- there would be rules to the germane nature. >> i want to compliment the senators who are sponsoring a and cosponsoring it could be more investment with improvements or infrastructure to that
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extent they all work to do that. i commend them all for their hard work and let's see what we can do. >> senator biden does -- senator menendez this is one of those opportunities with bipartisan support with the economic driver that creates jobs to beat the fiscal concerns in the future as relates to the commercial work gauge market supply will withdraw the amendment and the former to the opportunity the next proposal is senator staff and now and then senator bennett, senator nelson senator roberts, senator brown and senator senator toomey. >> but first talking about
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the amendment number tear i offered with senator brown and roberts i want to make sure we underline the language with the at&t credit's through you mr. chairman just to make clear we did the living which that the limits we plates that is the annual limit it is not a combined to limit. is that correct? >>. >> this is the amendment that would modify a the provision in terms of investment it is a powerful incentive for business
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investment to invest as we have tough economic times to benefit from bonus depreciation to have the minimum tax credits to access capital web we grow the economy it would lift the cap so in any one year be able to have more immediate investments. i will indicate this as a bipartisan amendment with senator brown and roberts and myself rather than ask for a vote to know i would like to have your commitment to work together to make sure those businesses that cannot fully benefit have credits sitting there cantor
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and those around to invest in the economy and jobs? day miguel appreciate you not offering that today. >> one other item that is of the list that i know is not germane under the rules but if it was on the list that what we have offered based on a bipartisan legislation to clarify that the general welfare benefits provided by tribal governments are not considered taxable income by the irs. and to be provided things like education and health services and housing. in recent years the
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principal and consistently has relates to tribal governments and with the guidance from 2012 what we want to do with codify the guidance into the of law. i am hopeful as we move forward in the process of the floor that we could clarify the guidance and hopefully make it clear the important work being done is not taxed select you to have made a strong case of this. we will follow-up. >> mr. chairman, i thank you. i would call up amendment number one in the effort to highlight for need for
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parity in the tax code. liquefied natural gas completes directly with diesel fuel for heavy-duty trucks. the federal excise tax on both diesel is set at 24.$0.3 per gallon but yet ellen she has a lower energy content per actual and diesel fuel. the excise tax with lng is 170 percent that of diesel during the time when we have over 100 years' supply of natural gas with wells that have to close they cannot get rid of it fast enough to want to discourage my amendment is simple to
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ensure parity of the tax treatment of lng the bill we have introduced that is the basis of this amendment would tax lng of the energy content in accordance with that diesel kaolin. furthermore it modifies the fuel tax credit and it saves to lead million-dollar is. it may be more suited for the highway trust fund. given that i have your support to break up the highway trust fund the chairman and breaking members' commitment to to work with those who want to try to achieve this parity i would be willing to withdraw
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this until the context of the perfect piece of legislation but i do that with all hope and my colleagues recognized the lack of equity and parity in the tax code this is a wise move to make to move more and more vehicles away from the soul -- diesel. >> this seems like a no-brainer. takes 1.7 gallons for 1 gallon of diesel but we approach the same amount per gallon. this is something we can fix with the excise tax it is a positive ted million dollars
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but when we debate the highway trust fund to just a few months so for others to accomplish this. >> you are all being too logical for federal policy i am interested to work with both of you. >> i will be brief. thank you for the leadership he offered today based on legislation and it is true the reason i got interested is natural gas has been a critical part of colorado's economy. . .
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whether it's solar or wind or natural gas been refined petroleum from the middle east or other places. this would help us along those lines so i look forward to working with my colleagues especially senator burr and the chairmen and ranking member to get into the highway trust fund in a discussion to see whether we can fix this inequity and give a shot in the arm to american produced fuel in this case lng. >> senator burr thank you and i plan to work very closely with u.n. senator bennett on the highway trust fund bill which of course is also coming up very quickly. you and i

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