Politics in Action: H.R. 3630

STATEMENT OF ADMINISTRATION POLICY

H.R. 3630 – Middle Class Tax Cut Act of 2011

(Rep. Camp, R-Michigan, and 5 others)

The Administration strongly opposes H.R. 3630. With only days left before taxes go up for 160 million hardworking Americans, H.R. 3630 plays politics at the expense of middle-class families. H.R. 3630 breaks the bipartisan agreement on spending cuts that was reached just a few months ago and would inevitably lead to pressure to cut investments in areas like education and clean energy.

Furthermore, H.R. 3630 seeks to put the burden of paying for the bill on working families, while giving a free pass to the wealthiest and to big corporations by protecting their loopholes and subsidies.

Instead of working together to find a balanced approach that will actually pass both Houses of the Congress, H.R. 3630 instead represents a choice to refight old political battles over health care and introduce ideological issues into what should be a simple debate about cutting taxes for the middle class.

This debate should not be about scoring political points. This debate should be about cutting taxes for the middle class.

If the President were presented with H.R. 3630, he would veto the bill.

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Sources:TheHutchinsonNewsOpposingViewsKWCH 12

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Bryson, Sperling to Co-Chair White House Office of Manufacturing Policy

Secretary John Bryson

Obama: "I Am Grateful That Secretary Bryson and Gene Sperling Will Head Up This Office"

WASHINGTON - President Obama today announced that Secretary John Bryson would join National Economic Council Director Gene Sperling as co-chair of the White House Office of Manufacturing Policy.

The Office of Manufacturing Policy is part of the National Economic Council in the White House and works across federal government agencies to coordinate the execution of manufacturing programs and the development of manufacturing policy.

“At this make or break time for the middle class and our economy, we need a strong manufacturing sector that will put Americans back to work making products stamped with three proud words: Made in America,” said President Obama.

“I am grateful that Secretary Bryson and Gene Sperling will head up this office to continue our efforts to revitalize this great American industry and fight for American workers and jobs.”

“John Bryson brings to this role decades of business leadership, a passion for manufacturing, and a strong understanding of its importance for jobs and our nation's economic competitiveness. He will play a key leadership role for the President and his economic team on these critical issues,” said Gene Sperling.

Gene Sperling

Secretary Bryson led Southern California Edison as Chairman and CEO for 18 years, served as Boeing’s longest-serving director, as well as served as an adviser to Coda Automotive.

Bryson’s business experience, combined with the Commerce Department’s strengths, including promoting U.S. exports, advising small manufacturers, developing tomorrow’s cutting edge standards, commercializing federally funded research, and protecting America’s intellectual property, uniquely position Bryson to help lead the Administration’s manufacturing efforts.

“Supporting the manufacturing sector will further our ability to innovate at home and compete around the world while generating more high-wage American jobs,” Secretary Bryson said.

“Since day one, President Obama has been focused on supporting the entire United States manufacturing sector but especially small and medium sized businesses on the cutting edge of advanced manufacturing. We are introducing an ‘all hands on deck’ approach that coordinates all of our assets - public and private, federal, state, and regional.”

The White House Office of Manufacturing Policy will convene cabinet-level meetings to aggressively implement the Administration’s priority manufacturing initiatives.

Consistent with the President’s focus on small and growing businesses, Administrator Karen Mills will lead efforts on access to capital for small and medium manufacturers.

In his first month in office, Secretary Bryson has led trade talks with China to level the playing field for American companies and workers. He is reaching out to CEOs, has met with the Steering Committee of the President’s Advanced Manufacturing Partnership, and has directed the Manufacturing Extension Partnership (MEP) housed within the Department’s National Institute of Standards and Technology (NIST) to expand their efforts to connect competitive, U.S. based suppliers with upper tier domestic and foreign companies, wherever located.

Upon taking office, the President made the tough choice to provide the auto industry temporary support – assistance which has helped the auto industry add back more than 140,000 jobs and positions the United States to lead the world in advanced vehicle manufacturing.

In addition, the Administration has taken steps to reduce costs for manufacturers, expand markets abroad, and invest in infrastructure and innovation to make our manufacturers globally competitive.

Those actions have included passing three free trade agreements that will significantly boost exports as well as support tens of thousands of good-paying American jobs. These agreements also support the President’s National Export Initiative launched in 2010, with the goal of doubling U.S. exports by 2014.

Over 60% of exports are manufactured goods, and exports support over one quarter of all U.S. manufacturing jobs. The initiative is on track to reach that goal, and has already helped U.S. businesses expand exports 17 percent in 2010 and 16 percent so far this year.

The President has also called on Congress to help revitalize American manufacturing, including continuing to push for an expanded, simplified, and permanent research and development tax credit which would provide the certainty and predictability manufacturers need to invest in innovation.

In addition, the President’s American Jobs Act would extend the 100 percent capital purchase expensing provision signed into law in December 2010 and make an immediate $50 billion investment for highway, highway safety, transit, passenger rail, and aviation activities.

Since the bottom of the recession in 2009, manufacturing production has grown 14 percent while real goods exports have grown 29 percent. Over this same period, U.S. manufacturing has added over 300,000 jobs, the first time the sector has experienced sustained job growth in over a decade, but more must be done to revitalize American manufacturing.

John Bryson photo source:

http://www.commerce.gov/sites/default/files/images/2011/october/dsc_8071.jpg

Author: United States Department of Commerce
Permission: Public Domain

Gene Sperling photo source:

Flickr: Gene Sperling (National Economic Council)

Author: Financial Times
Permission: Creative Commons Attribution 2.0 Generic

Relief Through Reduction of MTA Payroll Tax

Cuomo Signs Legislation to Cut Taxes for More Than 700,000 Small Businesses and the Self-Employed

Governor Andrew Cuomo has signed a new law that will reduce the MTA payroll tax, providing relief for more than 290,000 small businesses and more than 410,000 self-employed New Yorkers.

The tax reduction is part of the Governor's comprehensive plan, passed by the legislature last week, to create jobs and cut taxes for middle class New Yorkers, and revitalize the state's economy.

"Small businesses are New York's growth engine and this tax reduction will help create jobs and get our state's economy back on track without jeopardizing funding for the MTA," Governor Cuomo said.

"I thank the leadership as well as the members of the legislature for their dedication in seeing the MTA tax reduced and working to get our economy moving again."

On December 7, the state legislature passed the Governor's Middle Class Tax Cut and Job Creation legislation that reduces the MTA payroll tax on small businesses while maintaining the necessary funding for the MTA from other sources.

The tax will be eliminated for 289,000 small businesses, defined as those having an annual payroll between $10,000 and $1.25 million, in the MTA region. Additionally, more than 6,000 businesses with payrolls between $1.25 and $1.75 million will see their payroll tax cut by either one third or two-thirds.

The MTA payroll tax cut will also benefit approximately 414,000 self-employed taxpayers. All elementary and secondary schools, public or private, are exempt from the payroll tax under the new law. The new law has no impact on MTA funding as the state will compensate the MTA for all revenue lost by the tax cut.

"The MTA payroll tax has been an enormous burden on businesses and today we are lifting that burden. More than 290,000 small businesses will now have a greater opportunity to invest in their businesses and invest in creating new jobs. I want to thank the members of the Senate Republican Conference, especially Senator Lee Zeldin, for keeping up the pressure to repeal this job-killing tax; and I thank Governor Cuomo for his leadership and for signing this measure into law," said Senate Majority Leader Dean G. Skelos.

Senator Lee Zeldin noted, "I want to thank Governor Cuomo and my legislative colleagues for their partnership to help begin repealing the job-killing MTA Payroll Tax. The MTA Payroll Tax has been damaging our economy and restricting the growth of quality jobs in New York. Repealing this tax for all small businesses and schools, and reducing the rate for others, spurs real economic development, and helps put New York State on the path towards prosperity."

"Reducing the MTA payroll tax is a major win for commuters, small businesses and other taxpayers here in Nassau County. I thank Governor Cuomo for his leadership in protecting the taxpayers and creating jobs across New York State. By working together and putting politics aside, he has shown that government can work for all of the people," concluded Deputy Speaker Earlene Hooper.

A table with the location of small businesses that stand to benefit from the tax reduction, and the percentage their payroll taxes will be cut, is below:

MTA Payroll Tax Cut
	Elimination	Reduction by 67%	Reduction by 33%
New York City	171,516	2,169	1,613
Dutchess	5,320	60	36
Nassau	37,267	374	301
Orange	6,440	82	62
Putnam	2,167	19	15
Rockland	6,895	78	55
Suffolk	34,702	363	327
Westchester	25,027	318	194
Total	289,334	3,463	2,603

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