Senate Leader Calls for
Elimination of Death Tax
Sen. Connie Mack (R-FL)
is proposing a new tax cut plan that includes, among
other cuts, elimination of the death tax over a 5-year
period beginning in 2002. His bill (no bill number yet)
also calls for a cut in capital gains rates and is
expected to cost roughly $635 billion over 10 years –
well within the 10-year tax cut of $788 billion
authorized by the FY 2000 budget resolution approved by
Congress on April 15. AGC is working closely with all
supporters of death tax demolition.
AGC Leads Industry Coalition
Opposed to New OSHA Recordkeeping Regulation:
AGC of America is spearheading an effort to blunt a
dangerous new OSHA regulation that threatens the
construction industry and the safety and health of all
workers. Since 1994, AGC has been monitoring the
progress of the proposed rule for Reporting and
Recording of Occupational Injuries and Illnesses. AGC
fears that this new rule would be issued without
important input from America’s small businesses. This
week, our coalition sent a letter to OSHA Secretary
Charles Jeffress demanding that OSHA reopen the record
on this rule so that additional, necessary information
may be included, and that the rule be evaluated under
the Small Business Regulatory Enforcement and Fairness
Act (SBREFA). Such a review would reveal the serious
harmful effects of this new proposal and generate
support for an alternative.
Water Resources Development
Act Gains Momentum: The House and Senate have
passed the Water Resources Development Act of 1999
(WRDA). The bills authorize programs, projects and
policies of the Army Corps of Engineers. WRDA 1999
includes over $2 billion in funds for water projects.
The House and Senate must now reconcile the differences
between the two bills. After the WRDA 1999 bill is
enacted, congressional staff will immediately begin
working on a WRDA 2000.
HELP Committee Endorses SAFE
Act; Brownback Amendment Protects Construction
Interests: The Senate Committee on Health,
Education, Labor and Pensions (HELP) approved "The
Safety Advancement for Employees Act" (S. 385) and
reported the bill to the full Senate. This OSHA reform
bill, introduced by Senator Mike Enzi (R-WY) and
supported by the AGC of America, would authorize the
creation of a third-party safety audit and consultation
program. Independent outside inspectors could visit
workplaces, specify necessary changes and then certify
compliance with OSHA regulations. Businesses that comply
would be granted a one-year OSHA fine exemption. This
new approach to safety has been widely endorsed by
industry leaders and safety and health
experts.
Senator Sam Brownback (R-KS)
successfully offered an AGC amendment to permit safety
professionals who have at least ten years of experience
to qualify as independent safety auditors. This
amendment will help ensure that experience or education
could qualify safety auditors.
Report Shows Over Three
Hundred Counties Failing Under New Ozone
Standard: The report indicates that that 315
counties (and possibly 100 more) will fail the new
8-hour ozone test when it goes into effect next year.
The report, issued by the Clean Air Task Force and the
Clean Air Network (both of which are fronts for national
environmental groups), says that under EPA’s new
standards construction improvements in these counties
could be in jeopardy.
GAO Issues Report on
"Sprawl": GAO issued the first in a series of
reports examining the influence of federal regulations
on "sprawl." The report does not conclude that federal
actions either encourage or discourage "sprawl." Most
importantly, the report emphasizes that state and local
policies have a greater impact on land-use decisions.
Vice President Gore focused his "Livability Agenda" on
federal money and federal involvement in local land-use
decisions.
S Corporation ESOP Tax
Opposed by a Majority of Ways and Means Committee
Members: 21 Members of the House Ways and Means
Committee signed a letter stating opposition to
President Clinton’s proposed tax on S Corporation
Employee Stock Ownership Plans (ESOPS). The letter was
sent last week to Chairman of the tax-writing Committee
Bill Archer and Ranking Minority Member Charlie Rangel.
President Clinton’s FY2000 budget proposal would
reinstate the unrelated business income tax (UBIT) on S
Corporation income allocable to employee stock ownership
plans (ESOPS). The Taxpayer Relief Act of 1997 repealed
this UBIT rule because Congress believed it unfairly
taxed S Corporations twice – once, when the income was
earned and, again, when the income was distributed. The
Administration believes the repeal has led to excessive
tax deferral and avoidance. AGC strongly opposes the
President’s proposal.
Back
to Current Issue and Index | 1998
Issues | 1997
Issues |