Vol. 1 No. 14 -- Week of May 22, 2000

PNTR Passes House
Trade Agreement Would Open Chinese Markets to U.S. Products

Legislation to grant Permanent Normal Trade Relations (PNTR) to China passed the House with strong bipartisan support this week. The House voted 237-197 for H.R. 4444, which would open China’s markets to American goods and services. The U.S. market is already open to products from China. The trade agreement would require China to tear down trade barriers and open the door to that country’s 1.3 billion consumers. Without U.S. approval of PNTR, China would still become a member of the World Trade Organization and we would lose out on the largest market in the world while our Asian and European competitors reap the benefits.

New Hampshire already benefits from foreign trade. In 1998, the state exported nearly $2 billion in goods and services to foreign countries. Since 1992, trade related employment in New Hampshire is up 61%, to 26,500 jobs. By passing China PNTR, we can help these businesses prosper and grow by giving them unprecedented access to the world’s largest market.

Although the benefits of U.S. engagement with China are clear to me, I share concerns regarding China’s labor conditions, human rights policy, and other issues. But, if the goal is to promote change in China, this can best be accomplished through a policy of constructive engagement. The rejection of PNTR would severely limit the ability of the United States to exert any positive influence over China’s policies.

Eliminating the Spanish-American War Telephone Tax

The House voted this week, with my support, to eliminate the federal telephone tax paid by every New Hampshire resident with a phone. The federal excise tax on your phone bill was first enacted in 1898 to finance the Spanish-American War. The war ended that same year, but the telephone tax has endured several attempts over the years to phase it out or scale it back.

What was a luxury tax 100 years ago has become a regressive burden on one of the fastest growing sectors of our economy and hits every family in this country with a telephone including a dedicated Internet telephone line. The Phone Tax Repeal Act (H.R. 3916) would repeal the three percent tax, which would encourage growth in the advanced communications sectors and give all Americans a break on their phone bills.

Fair Benefits for Seniors Act
Reduces Taxes on Social Security Helps Provide a Fair COLA for Seniors

I introduced legislation this week to lower taxes on Social Security benefits and help provide a fair Cost of Living Adjustment (COLA) for senior citizens. The Fair Benefits for Seniors Act (H.R. 4551) would repeal the 1993 increase in taxes on Social Security benefits and develop and apply a Consumer Price Index that accurately reflects the cost-of-living for older Americans who receive Social Security benefits.

In 1993, the taxable proportion of Social Security benefits was increased from 50% to 85% for individuals earning more than $34,000 and couples earning $44,000. It was unfair to increase taxes on Social Security and reduce the benefits many senior citizens have been promised. More and more seniors will be affected as the years go by because these income levels weren’t indexed to inflation.

In addition to repealing the 1993 increase in taxes on Social Security benefits, my bill would help provide seniors with accurate COLAs. Currently, cost of living adjustments are based on the Consumer Price Index, which measures the spending habits of the nation. Annual increases in Social Security benefits are not keeping pace with inflation on the goods and services on which recipients spend much of their money. The Fair Benefits for Seniors Act would provide for a new system, subject to the approval of Congress, to accurately reflect the buying habits of consumers age 62 and over.

Cardiac Arrest Survival Act Promotes Life Saving Devices in Federal Buildings

Every year, 250,000 Americans die from sudden cardiac arrest. Up to 30% of cardiac arrest victims could be saved if they had access to immediate medical treatment, including defibrillation. The House voted 415-2 this week for legislation to improve the survival rates of individuals who experience cardiac arrest by requiring the federal government to develop a plan to put automatic external defibrillators in federal buildings.

I cosponsored the Cardiac Arrest Survival Act (H.R. 2498), which would expand the availability of life saving devices that would help countless Americans. The bill would also protect from liability people who voluntarily use defibrillators to help save victims of sudden cardiac arrest. We should promote ‘Good Samaritans’, not discourage people from helping others for fear of being sued.

Publication Note

Congress is in recess next week for Memorial Day. Therefore, there will be no Capitol Link next Friday. Publication will resume the following week.