Richard Neal

Mr. NEAL of Massachusetts

Mr. NEAL of Massachusetts. Madam Speaker, I wish to celebrate the accomplishments of Mr. Leroy R. Clink, Sr. for his 30 years of service. Below is a brief description of his accomplishments. Leroy Clink comes from humble origins, attending a two room schoolhouse in West Granville, MA. After graduating from Westfield High School, he went on to New England College to receive his Bachelors of Science in Civil Engineering. He also obtained a Master of Science in Engineering Management from Western New England College. Mr. Clink was an impressively well-rounded college student. During his time at New England College, Mr. Clink ascended to the presidency of the Sigma Alpha Beta Fraternity, in addition to becoming Chairman of the Inter-Fraternity Council, Mr. Clink displayed his leadership skills in the Student Senate. He was also the First New England college student to be a voting member of the College Admissions Committee. Mr. Clink was able to find time in his busy schedule to become a student guide, dormitory proctor, and a student member of ASCE. Mr. Clink began his professional career in 1978 at Westover Air Reserve Base as a Pavements Engineer. From there he became the Project Engineer in the U.S. Army Corps of Engineers. He served as a Base Civil Engineer at the Westover ARB, where he coordinated construction projects. Mr. Clink has played an imperative role in runway overlays, east ramp improvements, water distribution, and base operations. He also played an active role as a security police officer. In addition, he was involved in control tower, base civil engineering, and Marines site support element. Before his retirement, he was working on the New BRAC projects Armed Forces Reserve Center and the Navy Sea Bee Battalion Facility. On this occasion, I am proud to mark 30 years of Mr. Clink's service and to congratulate him on his well-deserved retirement.

Mr. NEAL of Massachusetts

Mr. NEAL of Massachusetts. Madam Speaker, it is an honor and privilege for me to celebrate the success of Pastor Howard-John Wesley. Pastor Wesley has accomplished a great deal in his 10 years at St. John's Congregational Church. Increasing the membership from 40 to over 3,000 is a very impressive feat. It may be his impressive sermons that continue to bring people from all walks of life to this church. Or perhaps it is his willingness and ability to help people who need his guidance. Either way, he consistently gathers thousands of people every week to celebrate together and follow in Gods path. Pastor Wesley has brought Baptist influences to one of the oldest African American churches in the State, which tended to be very traditional and affluent. This uneasy path certainly came with a great deal of opposition. Nevertheless, he continued to encourage all citizens of the community to join his congregation as he stressed the need to closely follow the teachings of the bible. While thousands gather at St. Johns to hear Pastor Wesley, he has also brought his powerful influence and Gods word into the community. He is on several boards in Springfield and has established several ministries within the church to deal with specific needs in education, youth, and the elderly. He welcomes many students from local colleges who consistently attend his services. He also influenced former residents of the York Street and Ludlow jail systems to become ``Ministers In Training''. These accomplishments truly highlight his desire to give back and help those throughout the community. I would like to close by thanking you for allowing me to speak on this wonderful occasion. I am so grateful to be able to honor this tremendous man, who has given almost 20 years proclaiming Gods word. His service to the church and the community has not gone unnoticed. Although today marks the end of his time here in Springfield, he will continue to touch others through his eloquent sermons and teachings at Alfred Street Baptist Church in Alexandria, VA. Congratulations, good luck, and thank you for all you have done for this community.

Mr. NEAL of Massachusetts

Mr. NEAL of Massachusetts. Madam Speaker, I would like to commemorate the First Church of Christ, Congregational, located in Springfield, MA, commonly known as ``Old First Church.'' The congregation first established on the banks of the Connecticut River in 1637, conducted its last service on Sunday, December 31, 2007. Its steeple bells tolled for the last time after the service was concluded and rang out over Court Square and downtown Springfield in its entirety. Its closing should not go unreported. Old First Church was founded by settlers, including William Pynchon, who came to the banks of the Connecticut River from Roxbury, MA, in 1636. The settlers began worshiping in settlers' homes in 1637 with the Reverend George Moon. The First Meeting House was built in 1637, the second in 1677, the third in 1752 (during the ministry of the Reverend Robert Breck), and the fourth, and current, Meeting House was built in 1819. The dedication of the building took place on August 19, 1819. Three thousand people, essentially the entire population of Springfield and the surrounding area were in attendance. Old First Church is the ``mother church'' for 15 ongregations throughout the Connecticut River valley and over 30 churches can trace their roots to Old First Church. Several of the churches were established for reasons of theological difference and sometimes because of differences relative to a particular pastor's style and perspective. Among the active ``daughter'' churches are: First Church of Christ, Congregational, Suffield, CT; Enfield Congregational Church, Enfield, CT; First Congregational Church UCC, West Springfield, MA; Wilbraham United Church, Wilbraham, MA; First Congregational Church, Brimfield, MA; First Congregational Church UCC, Chicopee, MA, First Church in Ludlow UCC, Ludlow, MA; The Thirds Congregational Society; South Congregational Church UCC in Springfield, MA; and First Church in Longmeadow, MA. The members of Old First Church hope that their legacy, which includes a commitment to social justice and to serving the people of Greater Springfield in countless ways, will continue through the members of those ``daughter'' congregations. The current Meeting House was designed and built by Captain Isaac Damon, with a steeple alter the manner of Christopher Wren. Captain Damon originally traveled to Western Massachusetts from Weymouth, MA, to work on the First Church of Christ in Northampton. Subsequently he worked on additional projects in the Northampton area and it was his work in that area that caused the members of Old First Church to seek him out. From its position atop the steeple of Old First Church, the Rooster weathervane (which was first placed on the third Meeting House in 1768 and on the current Meeting House when fully constructed in 1819) has been a witness to Springfield's rich and important New England history including: George Washington passing by on June 30, 1775, to take charge of the defense in Boston; the travel of Henry Knox and his train of artillery on January 26, 1776; the selection of Springfield as the site for the first United States Arsenal; General Burgoyne's army after its defeat in Saratoga, New York in 1777; and the defense of the Springfield Armory from rebel forces lead by Daniel Shays in 1787. In more current times, it has gone on to witness community celebrations and commemorations, demonstrations and festivals. It has remained steady and devoted to the City of Springfield and its citizens, just as the members of the Congregation of Old First Church have for hundreds of years. There are many events and activities of note which have taken place at Old First Church over the centuries, which include the body of President John Quincy Adams laying in state, and the famed Swedish soprano, Jenny Lind, performing at the Church in July 1851. Samuel Chapin, the subject of the St. Gaudans ``the Puritan'' statue, was an early deacon of the Church. Old First Church played a role in the Underground Railroad. In fact, Reverend Osgood brought in leading abolitionists from England to give speeches advocating against slavery. Daniel Webster attended Old First Church on more than one occasion. The church also organized and annually hosted a series of musical presentations called ``Music at First'' which featured individual artists, chambers music, ensembles and choral groups. The New England Academy of Academic Artists was also annually provided with a venue for its Juried Show. Old First Church, until its closing, hosted the largest and longest established Alcoholics Anonymous meeting in Western Massachusetts. Beginning in 1977, Old First Church began to house ``Open Pantry'' the largest food distribution service for the needy in the Greater Springfield area. It also hosted and regularly staffed ``Loaves and Fishes'' providing two meals for the homeless each Saturday and Sunday. In recent years, during the winter months, the Church opened its door to ``The Warming Place'' supplying emergency shelter to the area's homeless. Public Vigils to raise consciousness surrounding the issues of AIDS, domestic violence and other social issues have regularly been held at Old First Church as well as memorial services for the New England Association of Fire Chiefs. The members of the congregation embraced and actively participated in ``Walking United'' a program designed to gather and distribute unused prosthetic devices in the United States to a clinic it established to aid the people of Nicaragua who suffered as a result of land mine and other catastrophic injuries. Despite its conservative New England roots, Old First Church has been among the most socially progressive churches in Massachusetts. It has been a church which has paved the way for other congregations to follow and one that has always provided unconditional resources and support to those in need within and beyond the City of Springfield. At the ``Celebrations of the Life of Old First Church 1637 to 2007'' those in attendance were invited by the Reverend Dr. J. Thomas Gough, the 23rd settled pastor of Old First Church, to come forward and accept ``packets of seed'' while offering this prayer: ``Gracious God, Creator of earth and sky, author of all living things, spirit of hope and grace and promise, be part of us now as your people here at Old First Church prepare to offer themselves as seeds of your love. Bless these packets of seed as symbols of your intention for us that we might venture forth into the world bearing what is necessary to grow in other soil. ``May it be your breath that blows us to other places. May it be your call that leads us to go forth from this place to be your people scattered in the world. May we follow in the paths you set before us and take root where next you plant us. Help us, above all, to flourish in new places and to bring the fruit of Old First Church to ripeness in other communities of faith. Let what we have learned in this place, what has given us life and meaning and purpose, create new and holy spaces wherever we are taken in your name.'' Madam Speaker, it is my hope that Old First Church will continue to remain a historic landmark and preserved, as it is truly one of the most significant buildings in the city. The parish house has potential valuable uses for the city and it would be a tragedy if we did not do everything in our power to preserve this building. The memories made at the church will continue to live on in the hearts and spirits of the members.

Mr. NEAL of Massachusetts

Mr. NEAL of Massachusetts. Let me commend Mr. Rangel again for his continued leadership on a very important national issue. Mr. Speaker, this morning's New York Times headlines tell part of the story: ``Gas Prices Soar, Posing a Threat to the Family Budget.'' Gas prices have been soaring for the last 2 years. Last evening's newscast led with, ``What's Happened to Gasoline Prices?'' If you live in the Northeast, Mr. Speaker, you know what's happened to low-income and middle-class families during this winter heating season. They are struggling to pay energy costs that have skyrocketed in the middle of a harsh winter. The elderly are particularly vulnerable at a time when they are trying to secure medicine, food and other daily necessities. Circumstances similar to this were evident last week when HHS belatedly released $40 million in emergency contingency funds from the Low Income Home Energy Assistance Program, LIHEAP. By the way, for our Republican friends who might have forgotten, it was Congressman Silvio Conte, a Republican, who helped to inaugurate the LIHEAP program here in Congress that has done so much good for all Americans. We can and should do more so that struggling people don't have to fear the possibility of going to bed in a cold house. In a Nation that has been blessed with so much, we ought to be able to agree on the necessities of food and medicine and shelter, and, yes, to make sure people don't go to bed in a cold house. This bill offers important incentives for renewable and efficient energy programs, as well as energy conservation. We held hearings last year on all of these initiatives. They were met with standing-room-only audiences. People are anxious to explore the advantages of alternative energy resources. This legislation in front of us today helps to invite a debate and a discussion about where we need to go as a Nation. This important legislation calls attention to the opportunity to promote progressive energy and cost savings for the American family. Whether it's clean, renewable energy bonds for municipalities, something I am particularly excited about, and my guess is even those who don't like this bill today on the Republican side, they will encourage their municipalities to take advantage of these opportunities should they arise. It also offers a residential energy-efficient property credit. It offers improved incentives for businesses to deploy wind, solar, geothermal and other promising technologies. I would think if you were a Member of Congress from Texas, you certainly would like the incentives that are offered here on the basis of wind power. This legislation will put us on a path to cleaner, greener and stronger families and a stronger America.

Mr. NEAL of Massachusetts

Mr. NEAL of Massachusetts. Madam Speaker, I want to first congratulate the Speaker and Chairman Rangel and Chairman Frank for negotiating this economic stimulus bill which will provide relief to working families and businesses in these difficult times. The bill provides $100 billion in tax relief to working families, targeting this relief to families that really need it. A family earning between 10 and $20,000 will see their taxes cut by 50 percent. For New England families facing rising energy bills, this is well-timed relief and cash in the hands of those most likely to use it to spur on economic growth. Like others, I believe we can and will do more. But I'm a strong supporter of the legislation that's in front of us and urge its adoption. Some have quibbled with the impact of this stimulus, but I believe this is how the Congress should respond in a troubled economy. Abe Lincoln noted that ``The legitimate object of government is to do for a community of people whatever they need to have done, but cannot do at all in their separate and individual capacities.'' Working families, businesses, homeowners, and investors are hurting. This quick infusion of cash to low- and middle-income families, to small businesses and large businesses where necessary, making capital purchases, will jump-start our economy in a quick and efficient way. Is it perfect? No. Is it possible? Yes. Is there more work to be done? Certainly. We will come to that as well in late winter and early spring. This is good work and the leadership should be commended. Mr. Rangel, Mr. Frank, and Speaker Pelosi all should be acknowledged for the work. I thank our friend from Hartford, Connecticut (Mr. Larson) for giving me time.

Mr. NEAL of Massachusetts

Mr. NEAL of Massachusetts. Madam Speaker, may I inquire how much time remains on both sides.

Mr. NEAL of Massachusetts. Madam Speaker, we're debating theology here today, as opposed to reality. With that, I would like to recognize the gentleman from Michigan, a member of the Ways and Means Committee, Mr. Levin, for 1 minute. (Mr. LEVIN asked and was given permission to revise and extend his remarks.)

Mr. NEAL of Massachusetts. Madam Speaker, I'd like at this time to yield 1 minute to the gentleman from Texas (Mr. Doggett), a member of the Ways and Means Committee.

Mr. NEAL of Massachusetts. I yield myself 1 minute, Madam Speaker. Madam Speaker, my friend, the gentleman from New York, said the Republicans are blamed for this and the Republicans are blamed for that, and the Republicans are blamed for this. Let's make it clear. They ought to be blamed for this. It is the Republicans in the Senate, it's the Republicans in the House, and it's the Republican at the White House that have caused this moment. They want to borrow the money. They talk about finding common ground. The easiest loophole to close that I have been part of in the last 19 years is the one that we've offered on this floor for wealthy hedge fund managers who hide money on the island nations to avoid taxes. We're asking them to pay for a middle-class tax cut for 23 million people. Let me repeat: The Republicans in the House, the Republicans in the Senate, and the Republican at the White House, they have all opposed that measure. That's why we're here today at this moment to get this done. It has been their intransigence and their unyielding position on insisting that this money be borrowed when the minority has had its day in this House of Representatives. That's why we're here, and that ought to be eminently clear to the people that are watching today. Madam Speaker, I reserve the balance of my time.

Mr. NEAL of Massachusetts. Madam Speaker, let me clear up what the gentleman said as the Democrat he quoted previously. They have decided to borrow the money for Iraq, almost all $800 billion of it on the Republican side, $800 billion. Madam Speaker, at this time I yield 1 minute to a leader in the Blue Dog Coalition, a friend, and on this issue in particular I think a voice of great reason, the gentleman from Florida (Mr. Boyd). (Mr. BOYD of Florida asked and was given permission to revise and extend his remarks.)

Mr. NEAL of Massachusetts. Madam Speaker, there isn't an economist in this town who would argue that the reason that the Federal deficit and debt has exploded is because of earmarks. With that, I'd like to introduce the gentleman from Arkansas, a leader in the Blue Dog Coalition and a champion on the AMT issue, the gentleman from Arkansas (Mr. Ross) for 1 minute.

Mr. NEAL of Massachusetts. Madam Speaker, I yield back the balance of my time.

Mr. NEAL of Massachusetts. Madam Speaker, I'm here in reluctant support of this legislation. In this process of governing, you oftentimes reach a difficult intersection. Sometimes you do not have the luxury of either supporting a bill you like or opposing a bill that you don't like. Sometimes you have to support a bill that you do not like simply because it has to be done. And that is the crossroads at which we find ourselves today. We have sent to the Senate what was possibly the easiest of offsets: closing a loophole so that wealthy hedge fund managers cannot hide money in offshore accounts. But the Senate minority joined by the President and a group here in the House of Representatives have rejected on theological grounds any provision that raises revenue. Some 160,000 troops are in Iraq, 26,000 in Afghanistan, and at some point we're going to have to pay for these wars. We are borrowing $2 billion every 7 days to fund the war in Iraq, and that's a bill our children and grandchildren will have to pay. And yet, and yet, we cannot ask the hedge fund managers to stop hiding money in offshore accounts. That's what this debate is about and has been. They are hiding money, scheming to avoid taxes in offshore accounts. I support this bill in front of us today. We need to protect 23 million working families from being hit by higher taxes via the alternative minimum tax. But without fiscal responsibility here, and we've abandoned it when it comes to the alternative minimum tax and closing down an offshore tax haven, we have little choice. Madam Speaker, I urge adoption of the resolution.

Mr. NEAL of Massachusetts. Madam Speaker, I yield myself the balance of my time.

Mr. NEAL of Massachusetts. Madam Speaker, I reserve the balance of my time, and I might inquire at this time as to how the minority intends to proceed.

Mr. NEAL of Massachusetts. Madam Speaker, I yield 2 minutes to the distinguished chairman of the Ways and Means Committee, who has been a leader on this issue from day one, and his leadership on AMT, I think, has brought about a reformed opinion here on how it ought to be handled, the gentleman from New York (Mr. Rangel).

Mr. NEAL of Massachusetts. Madam Speaker, I would like to at this time yield 1 minute to the gentlewoman from South Dakota, a leader in the Blue Dog Coalition (Ms. Herseth Sandlin).

Mr. NEAL of Massachusetts. Madam Speaker, with that, I'd like to yield 1 minute to the gentlelady from Pennsylvania (Ms. Schwartz), a valued member of the Ways and Means Committee.

Mr. NEAL of Massachusetts. Madam Speaker, at this time, I yield 1 minute to my classmate, my friend and a champion of the taxpayer, a member of the Ways and Means Committee, Mr. Tanner from Tennessee.

Mr. NEAL of Massachusetts

Mr. NEAL of Massachusetts. Madam Speaker, I rise today to introduce legislation addressing the taxation of prepaid derivative contracts. The appropriate tax treatment of financial products is ever evolving, just as the market for these products is. Occasionally, Congress or the Treasury must step in and clarify how these new offerings should be treated under the tax code. And my bill today will do that. Recently, a new product called Exchange Traded Notes, has caught the attention of regulators and investors. The main benefit of these notes is their tax treatment. Issuers have advised buyers that these interests receive almost unlimited tax deferral on any gain earned. And, they advise that even when the gain is recognized at the point that the note is sold or redeemed, it is taxed as long-term capital gain and not ordinary income. These notes can run as long as 30 years and track an exchange rate, index, or commodity. So, with almost unlimited tax deferral, it seems that many other investments would pale in comparison. Already, many investors have caught on. These exchange-traded notes have garnered $4 billion of investment in a very short period of time. Some argue that this tax treatment is justified, as holders of these notes have some credit risk. If the issuer goes under, the holder may not get paid. But this favorable tax treatment has not gone without notice. In a Tax Notes magazine article aptly titled, ``Too Good To Be True?'' one practitioner called this tax treatment, ``The Wild West of the tax law.'' And one columnist in the Washington Post likened this new tax sheltering opportunity as opening ``Pandora's Tax Box.'' It is important to note that this favorable tax treatment is premised on the opinion of one law firm. More recently, Treasury has stepped in to clarify that Exchange Traded Notes tied to foreign currencies are debt and do generate taxable income to investors. In a companion notice, Treasury asked for comments on whether holders of other prepaid forward contracts should be required to accrue income during the term of the contract. It is possible that Treasury will produce guidance providing appropriate clarity in this market, but in the interim, I believe legislative action is warranted. The legislation that I am filing today provides rules for the tax treatment of prepaid derivative contracts, which includes Exchange Traded Notes. Holders of such instruments will be required to include as interest income each year an amount determined by reference to a short-term interest rate. The basis in such contract would be adjusted by any income inclusion so that at disposition, any gain or loss would be properly accounted for just as it would be with any other investment receiving annual payments. In past Congresses, I have pursued legislation to curb vehicles providing unlimited tax deferral to investors, such as swap funds. I believe it is important that our tax laws reach instances where interest is earned or gain recognized, especially where the products are complex or lack transparency. The legislation that I am filing today takes another step in that direction. But I welcome constructive comments from practitioners on both sides of this issue. Above all, if we amend the tax code, we want to get it right the first time. I look forward to discussing this complex issue with my colleagues in the New Year and seeking their support for this bill.

Mr. NEAL of Massachusetts

Mr. NEAL of Massachusetts. Mr. Speaker, I insist on my point of order.

Mr. NEAL of Massachusetts. Mr. Speaker, I move to table the motion to appeal.

Mr. NEAL of Massachusetts. I would like to call upon at this time the majority leader of the House of Representatives, my friend, Mr. Hoyer, to close the debate on our side.

Mr. NEAL of Massachusetts. Mr. Speaker, I would ask unanimous consent that all Members have 5 days in which to revise and extend their remarks.

Mr. NEAL of Massachusetts. Mr. Speaker, might I inquire as to how much time remains on each side?