What We’re Reading: CQ: “Coons finds bipartisan backing for tax cut extenders package”
On Tuesday, previewing tonight’s State of the Union address, Congressional Quarterly featured a front-page story highlighting the prospects of legislation introduced by U.S. Senators Chris Coons (D-Del.) and Marco Rubio (R-Fla.).
Democratic Sen. Chris Coons of Delaware has forged a bipartisan coalition to push for passage of a package of tax cut extensions and other measures meant to spur job creation.
Coons is working with Republican Marco Rubio of Florida to rally support from at least 10 other senators for his proposal, which includes small- business incentives.
In his State of the Union address Tuesday evening, President Obama is expected to tip his hat to some of the provisions included in Coons’ bill. Steve Case, the founder of America Online and a member of Obama’s Council on Jobs and Competitiveness, said Jan. 17 during a White House news conference that the Coons bill reflects some of the panel’s concerns about “access to capital” and gets to the issue of “talent and high-skilled workers.”
The bill (S 1866) would extend full expensing, or bonus depreciation, for business equipment and property investments through 2012. The research and development tax credit would be in place through 2013. The legislation would provide veterans with a tax credit equal to 25 percent of a franchise fee of up to $100,000 for a new venture and give select new public companies an exemption for five years from some reporting requirements under the 2002 law (PL 107-204) that strengthened corporate governance and accounting industry standards. It also would eliminate some limits on visas for skilled foreign workers.
The bill is supported by a bipartisan array of senators, including Charles E. Schumer, D-N.Y.;Roy Blunt, R-Mo.; John Boozman, R-Ark.; Scott P. Brown, R-Mass.; and Mike Lee, R-Utah. Coons also has the backing of Mark Begich, D-Alaska, and Bob Casey, D-Pa.
Schumer, who as conference vice chairman is the third-ranking Democrat, is expected to help promote the bill. A senior Democratic aide said Schumer may try to advance its provisions in other tax legislation such as a proposed extension (HR 3630) of the Social Security payroll tax cut, benefits for the long-term unemployed and Medicare physician reimbursement rates that is the subject of conference committee negotiations.
Blunt said the Coons bill could move on its own. “It might be better as a stand-alone. It only consists of things both parties are for,” Blunt said.
Minority Whip Jon Kyl, R-Ariz., one of the negotiators on the payroll tax cut package, said a number of other tax cut extensions may advance after the payroll tax cut conference is settled. “When we get our business done, then we can talk about doing extraneous business,” Kyl said.
Coons has been working with No Labels, a nonprofit group that encourages centrist compromises on domestic policy issues. “We don’t have enough genuinely bipartisan vehicles,” Coons said.
Ben Nelson, D-Neb., who is retiring at the end of the year, says Coons is among a new generation of centrist leaders in the Democratic Party. “He’s shown a great deal of interest in working across party lines,” said Nelson, adding that Coons gained experience “trying to make things work” when he served as Delaware’s New Castle County executive, a seat once held by Vice President Joseph R. Biden Jr.
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