Thomas Reynolds

Mr. REYNOLDS

Mr. REYNOLDS. Mr. Speaker, I had prepared remarks talking about the fact that so many people said we couldn't, absolutely couldn't do a middle class tax break for 2006 on AMT. We absolutely couldn't put that withholding the tax rates for 2 more years on capital gains and on dividends, and some might have even forgotten that expensing for small business section 179 allows an extension of the opportunity to have an additional 2 years of expensing of $100,000 on small business. So when I listened to my colleague from the other side of the aisle put forth the politics of the party of ``no,'' what he failed to say and what we saw on the weekend talk shows, the Democratic Party stands for more taxes and bigger government. He was quick to outline the things he would like to see Federal Government spend, but he didn't tell you it is going to come from a tax increase. There is no comparison. If you cannot support this legislation today to continue middle class tax cuts for the AMT and to help businesses continue the economy that has the strength that we have seen and strength for quarter after quarter after quarter, it was a clear message from the financial markets and Wall Street and businesses across Main Street U.S.A. today, give us continuity of knowing that we have the opportunity of having both dividends and capital gains as part of our planning. More importantly, fit in expenses so we can plan the small businesses that we can write 100 grand off. Maybe the Democratic Party has been out of touch with mainstream businesses across our country because that is a clear message they asked us to get done. Chairman Thomas and the conferees have completed that work. I urge passage of this legislation today because it is going to give a break to middle class America. Mr. Speaker, as the lead sponsor of the House's middle-class AMT relief bill--which has been incorporated into the legislation before us today--I rise in strong support of this conference report. For months now, we've heard our friends on the other side of the aisle tell us that we must choose between extending the lower rates on investments and the need to extend essential middle-class AMT relief. For months, they've said we can't do both. And for months, the party or no has offered no solutions and no fresh ideas--just slash and burn attacks on the Republican majority. But today, Mr. Speaker, our majority is moving and with our positive agenda on behalf of America's hardworking taxpayers. With regard to the AMT, many in this chamber will recall that the House passed my Stealth Tax Relief Act late last year by an overwhelming, bipartisan vote of 414 to 4. That legislation would prevent this stealth tax from sneaking up on millions of unsuspecting middle-class taxpayers by extending the temporary AMT relief for one additional year. I would remind my colleagues that the stealth tax was never intended to hit the middle class. It was originally enacted in 1969 to prevent a small percentage of taxpayers with very high incomes from paying little or no Federal income tax. However, because the AMT was never adjusted for inflation, it is now threatening more and more middle class taxpayers each year as they climb the income ladder. While Congress must certainly continue to work toward a permanent solution on this critical issue, our immediate task is clear. America's middle class deserves to have its temporary AMT relief extended, and I am very pleased that my legislation serves as a centerpiece of today's conference report. I am also pleased that the conference agreement includes an extension of the lower rates for capital gains and dividends. This is an important priority not just for the ever-growing investor class--which includes millions of seniors and other middle-class Americans--but for our economy as a whole. Thanks in large part to these lower rates on investments, tax revenues have been streaming into the Federal Treasury at a record pace. And these lower rates--which are particularly important to the economy of my home state of New York--have helped keep our Nation's economy strong and our domestic job base growing. Mr. Speaker, I commend Chairman Thomas and the other conferees for their efforts to ensure that these critical priorities are addressed, and I urge my colleagues to support this much-needed tax relief with a strong, bipartisan vote.

Mr. REYNOLDS

Mr. REYNOLDS. Mr. Speaker, I look forward to the day when, in our Ethics Committee, the Democrats will give the tools to a bipartisan five-five Ethics Committee to begin reviewing both Democrats and Republicans who need to go before that committee to have resolution of stuff that has been stalled for the entire 2005 year by the Democratic leadership.

Mr. REYNOLDS. Mr. Speaker, I find it such an ironic message that my colleague from Illinois chose about his remarks. As he talks about so many problems in Washington, he failed to mention any on his side of the aisle. We kind of nicknamed that the culture of hypocrisy. It is a hypocrisy of attack the Republicans, slash and burn, no debate, no real issues, just the party of ``no'' from the Democrats on the other side of the aisle. When you look at some of the discussions he talked about, with lobbying reform and others, he must remember that the colloquy between the majority leader and the minority would also show clearly that the majority leader fully intends to bring reform legislation to this body for debate and for final solution. I also think about hypocrisy when I think about some of my colleagues on the other side of the aisle addressing so many things about the majority, except they forgot that our leaders step down when they are indicted, because that is what our party rules say. Our chairman stepped down because that is what our party rules say. And in the 10 years while you have been reflecting, your rules don't say the same. Your leaders can get indicted, or the ranking members can get indicted and you don't have to step down because you haven't even recognized that as a basic element of your own party, let alone your quick criticisms of this institution. I also want to say that while I confess I did not think that BCRA was the solution for campaign finance reform, and voted that way on both the House Administration Committee and on this floor, I accepted it as the law of the land. It was legislation passed by both bodies, signed by the President, affirmed by the Supreme Court. But as I was listening to those who are pro-BCRA, that wanted this law as it sits today, they found a loophole, called 527s. And all the debate on leveling the playing field was get the big money out of politics. Well, four individuals on the Democratic side had over $80 million; four Republicans had over $23 million as they were engaged in obscene, big money, unregulated in campaigns influencing Presidential, congressional, and referendum votes. So when we look at some common sense, I think the American people are going to, quite frankly, think this makes sense. Let us get unregulated big money out of the campaigns by having a level playing field across the system, universal, in the money you give to your political party. As we level the playing field, all we are asking is that rich individuals who want to be in the process have the same rights extended to them that individuals who want to give to the political party, whether it is the Democratic National Committee or its subordinate parties or the Republican National Committee and its subordinate parties, the same amount of money to 527s as they invest in the opportunity to express themselves however they want, with the same reviewed Supreme Court aspect of having a level playing field across the entire system. Anyone who doesn't vote for this that supported BCRA is a hypocrite. Anyone on the other side that doesn't recognize that this is a loophole in the law, and they have a chance to at least level the field under the law we are going to live under, misses the point. I urge that you support this legislation that is before us today.

Mr. REYNOLDS

Mr. REYNOLDS. Madam Speaker, I thank the chairman of the subcommittee, on which I am proud to serve on the Ways and Means Committee, for yielding me time. Madam Speaker, as the lead sponsor of the House Middle Class AMT Relief bill, I rise in opposition to the Democratic motion to instruct offered by my home State colleague, Mr. Rangel. Madam Speaker, the Democratic motion presents a false choice between extending the lower rates on capital gains and dividends and the need to extend middle-class AMT relief. In my view, both of these are important priorities, and we need to address each of them at the earliest possible opportunity. With regard to AMT, many in this Chamber will recall the House passed my stealth tax relief act last year, late in the year, by an overwhelming bipartisan vote of 414-4. That legislation would prevent the alternative minimum tax from sneaking up on millions of unsuspecting middle-class taxpayers by extending the temporary AMT relief for another additional year. Together we sent a strong, unmistakable signal to our colleagues across the Capitol that extending this temporary middle-class AMT relief is a crucial priority that cannot be ignored. Madam Speaker, we passed the AMT relief as a stand-alone measure outside of reconciliation. We did that so we could comply with the budget rules of the other body without raising taxes. At the same time, we recognized that extending the lower rates for capital gains and dividends is important, not just to the ever-growing investor class that now includes millions of seniors and other middle-class Americans, but to our economy as a whole. Thanks in large part to these lower rates on investments, tax revenues have been streaming into the Federal Treasury at a record pace. These lower rates, which are particularly important to the economy of my home State of New York, have helped our Nation in keeping this economy strong and our domestic job base growing. That is why the House tax reconciliation bill included an extension of these lower tax rates on investments. But what does today's motion to instruct do? Yes, it urges relief from the AMT, but it does so by crowding out the other important pro- growth tax policies that have helped keep our economy strong. Even worse, by insisting that we provide AMT relief within the reconciliation process, the Democrat motion would force conferees to raise taxes somewhere else. I would remind my colleagues that AMT was never intended to hit the middle class. Protecting middle-class taxpayers against the stealth tax should not require a tax hike somewhere else as the price of admission. Madam Speaker, I commend Chairman Thomas and the other conferees for their ongoing hard work on both of these important issues. I urge my colleagues to defeat this Democratic motion.

Mr. REYNOLDS

Mr. REYNOLDS. Mr. Speaker, today I rise to recognize an outstanding young man, his supportive teammates, and an inspirational performance on the basketball court. In a matter of just 4 minutes, Jason McElwain and the Greece Athena High School Trojans showed us all the power of dedication, teamwork, and perseverance. Jason has always been a steadfast and energetic contributor to the Greece Athena Varsity Basketball team in his role as team manager. Although never getting a chance to play, Jason placed his heart and soul into helping the team and became an indispensable teammate, day in and day out. Jason also has been challenged everyday by autism, a disability that, while difficult, has not undercut Jason's goals or his involvement with the team. In turn, Jason's teammates, led by Coach Jim Johnson, have embraced him and believed in him. To them, Jason is not an autistic team manager; rather he is simply, emphatically a teammate. And a passionate teammate--Jason never misses practice and is always a helpful supporter at games, dispensing water bottles and advice from the team bench dressed in his trademark shirt and tie. That was until February 15, when Coach Johnson told Jason to suit up in the Trojan uniform for the first time for the last game of the regular season. Jason's dedication, his teammates' support, his coach's trust, all were set to pay off in a most dramatic way. With only 4 minutes remaining in the game, Jason got the call off the bench. He took the floor, and his fellow students went wild. They held up signs. They chanted his nickname, ``J-Mac.'' The cheers and chants would only grow louder as Jason put on a performance that the town of Greece will never forget. In his short but remarkable debut for Greece Athena, Jason made not one, not two, but six 3 pointers, and finished the game with 20 points. As his final shot swished clean through the net with 2 seconds to play, the raucous fans rushed the court. Coach Johnson, along with most, was brought to tears. Jason's teammates hoisted him upon their shoulders. A true hero and the true meaning of teamwork were discovered that night on the hardwood in Greece. And the Trojans weren't finished. Two weeks later, that teamwork propelled the Spartans to the very top, as they won their sectional championship. Jason, back in his shirt and tie, yet never more important a teammate, cheered and assisted from the bench. When the championship trophy was presented, Jason was the first to lift it over his head. Jason's perseverance and his teammates' support serve as a great example to us all. Mr. Speaker, in recognition of their remarkable achievement, I ask that this honorable body join me in honoring Jason McElwain and the Greece Athena High School Basketball Trojans.

Mr. REYNOLDS

Mr. REYNOLDS. Mr. Speaker, today I rise to recognize an outstanding young man, his supportive teammates and an inspirational performance on the basketball court. In a matter of just 4 minutes, Jason McElwain and the Greece Athena High School Trojans showed us all the power of dedication, teamwork and perseverance. Jason also placed his heart and soul into helping the Trojans as team manager, and although never getting a chance to play, became an indispensable teammate. Jason has also been challenged every day by autism, a disability that, while difficult, has not undercut Jason's goal or his support for the team. In turn, Jason's teammates, led by Coach Jim Johnson, have embraced him and believed in him, becoming his greatest friends and supporters. This teamwork and mutual respect was never clearer than on the night of February 15. With only 4 minutes remaining in the final game of the regular season, Jason made his remarkable debut for the Trojans. He went on to make six 3-pointers and finished with 20 points. A true hero and the true meaning of the word teamwork was discovered that night on the hardwood in Greece. And 2 weeks later, that teamwork propelled the Trojans to the very top as they won their sectional championship. Jason's perseverance and his teammates' support serve as a great example to us all. Mr. Speaker, in recognition of their remarkable achievement, I ask this honorable body to join me in honoring Jason McElwain and the Greece Athena High School Basketball Trojans.

Mr. REYNOLDS

Mr. REYNOLDS. Mr. Speaker, it is with great pride that I rise today to honor a respected jurist, a dedicated public servant and a trusted friend upon the occasion of his retirement from the New York State Court of Claims. Born in Worcester, Massachusetts, to proud immigrant parents, a long- time resident of Buffalo and Williamsville, New York, Judge Mario J. Rossetti began his public service when he joined the Niagara Frontier Port Authority early in his legal career. Rossetti also served as a confidential lawyer to the Erie County Surrogate's Court through 1981. Judge Rossetti's dedication to public service culminated when he was nominated by Governor Mario Cuomo, and confirmed by the New York State Senate, as a New York State Court of Claims Judge in 1987. The day Judge Rossetti swore the oath of office was one of the proudest days of his life, though he lamented that his deceased father could not witness it. Upon reappointment to the post by Governor George E. Pataki, Judge Rossetti has served as a Court of Claims Judge and Acting Supreme Court Justice since 1987. Mr. Speaker, in the cases that have come before him, Judge Rossetti has dispensed justice with great compassion and firmness of judgment. Judge Rossetti's deep love of the law and his regard for the highest potential of the legal profession deepened his sense of fulfillment while on the Court. Attorneys practicing before Judge Rossetti often remarked that they enjoyed trying cases before him because he let them try their cases as the advocates that they are supposed to be, with the Judge enforcing the rules of the court. Mr. Speaker, Mario Rossetti's involvement in a variety of civic and community organizations have made their mark on the community. Most of those endeavors also bore the unmistakable mark of Helen Rossetti, nee Pacini, Mario's dear wife who passed away in June. Married in Buffalo in 1958, the couple had six children, Michael, Thomas, Ann Marie, Barbara, David and Renee. Mr. Speaker, in recognition of and in gratitude for his service, leadership and patriotism, I ask that this honorable body join me in honoring Judge Mario J. Rossetti upon the occasion of his retirement, and wish him great health and happiness in the days and years ahead.

Mr. REYNOLDS

Mr. REYNOLDS. Mr. Speaker, it is with great pride that I rise today to honor a respected jurist, a dedicated public servant and a trusted friend upon the occasion of her selection as recipient of the Susan B. Anthony Award from the Interclub Council of Western New York. Judge Sharon S. Townsend is most deserving of this award, as she exemplifies the spirit and character of Susan B. Anthony by her record of professionalism, community service and achievements. Judge Townsend was the first woman in the Eighth Judicial District to be appointed Administrative Judge, a position she assumed in January 2003. This fine judge's career is marked by her election to the New York State Supreme Court in November 2003, and she was previously elected to the Family Court in 1992 and re-elected to a second 10-year term in November 2001. Judge Townsend's community service also includes seven years as Justice in the Village of Williamsville. Mr. Speaker, Judge Townsend's involvement in a variety of civic and community organizations have made their mark on the community. She serves on the Board of Trustees and was a model court lead judge for the National Council of Juvenile and Family Court Judges. In 1995, she was appointed a member of the Permanent Judicial Commission on Justice for Children. Since 2003, she has served as a member of Chief Judge Kaye's Adoption Now Task Force, and she served as chair of the Family Court Advisory and Rules Committee for the New York State Office of Court Administration for four years. Her community activities reflect this dedication to Western New York. Her activities, among others, include, YWCA Public Leadership Alumnae Network, Governor's Commission on Child Abuse and Neglect, Bryn-Lyn Community Hospital Advisory Board, Millard Fillmore Suburban Hospital and Gates Circle Operating Boards, Erie Community College North Advisory Board, and served as an adjunct professor at Medaille College. Her efforts have not gone unnoticed. Judge Townsend was recipient of the Erie County Court Appointed Special Advocates Light of Hope Award, the Outstanding Jurist of the Year Award from the Erie County Judges and Police Conference, and the Erie County Bar Association named her Jurist of the Year in 2001. In March 2004, she was recognized as one of the Women Making History in Erie County, and the next year she received from the Women's Bar Association of the State of New York, Western Chapter, the Lady Justice A ward, named in memory of Judge Townsend's mentor, the Honorable M. Dolores Denman. Mr. Speaker, in recognition of and in gratitude for her service, leadership and patriotism, I ask that this honorable body join me in honoring Judge Sharon S. Townsend upon receiving the Susan B. Anthony Award from the Interclub Council of Western New York.

Mr. REYNOLDS

Mr. REYNOLDS. Mr. Speaker, I rise today to honor Mr. William Lepsch on the occasion of his retirement and his dedication to public service. Mr. Lepsch has made a lifetime commitment to his community and Nation. As a young man, he served our Nation in the army during the Vietnam War. He has spent over 30 years as a member of the Attica Fire Department, serving as Chief, Rescue Squad Captain, EMT, and representing the department on various county and regional boards. He has served the residents of the Village of Attica as a Village Trustee for 10 years, most recently as Deputy Mayor. Mr. Lepsch has also been active in his parish church, serving as a parish board member and parish school volunteer accountant. Colleagues, friends, and family alike hail Mr. Lepsch as someone who has exemplified genuine concern and dedication to his family and his neighbors and constituents. It is with a great pride and gratitude that I rise to thank and honor Mr. Lepsch for his many years of commitment and loyalty to the citizens of Attica and Wyoming County.

Mr. REYNOLDS

Mr. REYNOLDS. Mr. Speaker, on Friday, December 16, 2005, I was unavoidably absent during rollcall vote No. 658. Had I been present, I would have voted ``nay'' on rollcall vote No. 658. Amendment No. 18 Offered by Mr. Sullivan

Mr. REYNOLDS

Mr. REYNOLDS. Mr. Speaker, I am honored to rise today to pay tribute to William McGuire, upon his retirement as head of Western New York's Kaleida Health. Mr. Speaker, when Bill McGuire arrived in Buffalo in 2002, morale among Kaleida's staff was at its nadir. The system had lost $125 million in its first 5 years of existence, physicians were fleeing, and the community was in an uproar over a proposal that would have moved its Women and Children's Hospital. Just as doctors worked to heal Kaleida's patients, Bill McGuire's seemingly impossible mission was to heal the health system itself. And heal it he did. As Ted Walsh, Chairman of the Kaleida Board of Directors once remarked, ``Bill McGuire arrived at a critical moment in Kaleida's history and brought the organization from fiscal chaos to financial health and stability.'' In addition to bringing stability to Kaleida Health, under Bill McGuire's leadership, the nationally-renowned Women and Children's Hospital remains open, providing vital health care services to the Western New York community. A graduate of the University of Notre Dame and the University of Michigan, Bill McGuire previously served as President and CEO for Catholic Medical Centers of Brooklyn and Queens. He has held similar positions at a number of hospitals across the United States. Further, Bill McGuire has provided his time and leadership to such organizations as the Greater NY Hospital Association, the Hospital Association of New York State, the Western New York Healthcare Association, the Greater NY Healthcare Association, Buffalo Niagara Partnership, and the Buffalo Niagara Medical Campus. Mr. Speaker, Bill McGuire once noted that ``people working together can make a real difference. They can influence the future, rather than being a victim of it.'' Bill McGuire's leadership, commitment and service has influenced our future, the Western New York community is the better for it.

Mr. REYNOLDS

Mr. REYNOLDS. Mr. Speaker, it is with great pride that I rise today to honor a respected jurist, a dedicated public servant, a valued mentor and a trusted friend upon the occasion of his retirement from the New York State Court of Claims. A native of Hamburg, New York, and a veteran of the United States Army Reserves, Judge Ronald H. Tills began a career in public service that spanned five decades when he joined the Zoning Board of Appeals in 1960. An Assistant Town Attorney and Town Justice, Ron Tills was elected to the New York State Assembly in 1968, where he served his community and his State with distinction, becoming Chairman of the Assembly's Select Committee for Revision of Corporation Law. It was in his capacity as Member of the State Assembly that Judge Ron Tills took a chance on a young college student with little political experience to help run his re-election campaign in 1972. Joining his Assembly staff following that election, my own career in government and public service was launched, and I will be forever grateful for Ron's guidance, counsel and friendship. Judge Tills' service to his community culminated when he was nominated by Governor George E. Pataki, and confirmed by the New York State Senate, to the New York State Court of Claims in July of 1995, where he has served as a Court of Claim Judge and Acting Supreme Court Justice for the past decade. Mr. Speaker, Ron Tills involvement in a variety of civic and community organizations, and the awards and recognitions he has received over the years are too numerous to list. Whether it was the Lions Club, Chamber of Commerce, Hamburg Volunteer Fire Company, or so many others, Ron Tills involved himself as he did in each endeavor throughout his life and career, with passion, leadership, and commitment. One of his great loves is the largest and oldest fraternal organization in the world. As a Mason, Ron Tills has held numerous responsibilities within the Masons and the organizations within it, including Proctor of the Grand Lodge of the State of New York, Potentate of the Ismalia Shrine Temple, Director and President of the Shrine Oasis and Director of the Buffalo Court 22 of Jesters. In addition to the Masons, gardening and travel, Ron Tills' greatest love of all is the former Elizabeth Clarkson. Ron and Betty were married on May 6, 1960, and are parents of Thomas and Suzanne and grandparents of Dale Jr. and Diane Goodridge, and Timothy and Abigail Tills. Mr. Speaker, in recognition of and in gratitude for his service, leadership and patriotism, I ask that this Honorable Body join me in honoring Judge Ronald H. Tills upon the occasion of his retirement, and wish him great health and happiness in the days and years ahead.

Mr. REYNOLDS

Mr. REYNOLDS. Mr. Speaker, I thank the gentleman from Michigan for yielding me this time. Mr. Speaker, I rise today in strong support of H.R. 4297, the Tax Relief Extension Reconciliation Act of 2005, and in opposition to the Democrat substitute. Mr. Speaker, the Ways and Means bill before us today addresses a number of important priorities that are broadly supported by Members on both sides of the aisle. These include tax savings for higher education expenses, small business tax relief, tax incentives for research and development by U.S. companies that create good jobs. The bill also includes an extension of the lower rates for capital gains and dividends, an important priority for the ever-growing investor class that will keep our economy strong and our domestic job base growing. Mr. Speaker, as a lead sponsor of the Stealth Tax Relief Act of 2005, the legislation designed to prevent massive increases in the alternative minimum tax, or AMT, from sneaking up on millions of unsuspecting taxpayers next year, I want to take just a moment to comment on the Democrat substitute. Just 24 hours ago, the House passed my bill by an overwhelming bipartisan vote of 414-4. Together we sent a strong, unmistakable signal to our colleagues across the Capitol that extending the temporary AMT relief that is scheduled to expire in just a matter of weeks is an important priority that must be addressed. But what does today's Democratic substitute do? Yes, it provides relief from AMT. To pay for it, the Democratic substitute increases taxes on families and on small businesses that create so many jobs in our community. Mr. Speaker, just yesterday all but four Members of the Democratic Party supported AMT relief in the House for our hardworking middle class without increasing taxes. But today, just 24 hours later, our friends on the other side of the aisle are back singing a familiar tax- raising tune, one that always leaves families with less money in their wallets on April 15, and small businesses with less money on their balance sheets. The Democratic substitute should be defeated. Mr. Speaker, earlier in this debate, a colleague on the other side of the aisle claimed that the Republican majority has done little to fight the AMT since winning the House in 1994. To the contrary. Our Republican majority has repeatedly provided temporary AMT relief since we took control, an effort which we continued yesterday with the passage of the Stealth Tax Relief Act. I would further remind my friends on the other side of the aisle that in 1999 the Republican Congress sent a bill to the President's desk that would have repealed the AMT entirely. Unfortunately, no Democrats in the House supported that bill, and President Clinton vetoed it. Finally, I would remind Members that in 1993, as an era of the Democratic control was coming to an end, one of the last things that our friends on the other side of the aisle did was to provide a retroactive increase for the AMT without indexing the exemption levels. Mr. Speaker, I urge passage of our bill and defeat of the Democratic substitute.

Mr. REYNOLDS

Mr. REYNOLDS. Mr. Speaker, I yield 30 seconds to the gentlewoman from New York (Mrs. Kelly), who is a senior member of the Financial Services Committee, and no one has spent more time in battling this terrible stealth tax than Sue Kelly. (Mrs. KELLY asked and was given permission to revise and extend her remarks.)

Mr. REYNOLDS. Mr. Speaker, I yield 1\1/2\ minutes to the gentleman from California (Mr. Herger), senior member of the Ways and Means Committee.

Mr. REYNOLDS. Mr. Speaker, I move to suspend the rules and pass the bill (H.R. 4096) to amend the Internal Revenue Code of 1986 to extend to 2006 the alternative minimum tax relief available in 2005 and to index such relief for inflation.

Mr. REYNOLDS. Mr. Speaker, I ask unanimous consent that all Members may have 5 legislative days within which to revise and extend their remarks and include extraneous material on the subject of the bill under consideration.

Mr. REYNOLDS. Mr. Speaker, I yield myself such time as I may consume. Mr. Speaker, it has been called the ``stealth tax,'' a ``ticking time bomb for the middle class,'' and even the ``Darth Vader of the Tax Code.'' It is the individual alternative minimum tax, the AMT, and it has middle class America squarely in its sights. Today, as we consider the Stealth Tax Relief Act of 2005 on the floor of the House, this body has a chance to stand with America's middle class by preventing an enormous, unnecessary tax increase from sneaking up on millions of unsuspecting taxpayers next year. As many of my colleagues know, the AMT was originally enacted in 1969 to prevent a small percentage of taxpayers with very high incomes from paying little or no Federal income tax. However, because this stealth tax was never adjusted for inflation, it is now sneaking up on more and more middle class taxpayers each year as they climb the income ladder. Let me repeat: The AMT was never intended to hit the middle class, but now it is threatening millions of our middle class constituents. That threat is what prompted the President's Tax Reform Commission to recommit repealing the AMT entirely when it issued its report last month. And, certainly, any serious discussion of long-term tax reform and simplification must include a long, hard look at the AMT. Mr. Speaker, but middle-class taxpayers cannot afford to wait for the enactment of a permanent AMT relief. As many in this Chamber will recall, the temporary AMT relief that Congress has repeatedly enacted over the last several years is, once again, set to expire at the end of this month, only weeks away. Unless Congress extends this AMT relief, the stealth tax will claim many more middle-class victims. For perspective, here are some numbers so our viewers at home can follow along with the charts. According to the Joint Committee on Taxation, if Congress fails to act, the number of middle class AMT victims will rise from 3.6 million in 2005 to over 19 million in 2006. In other words, if we fail to act, some 15.4 million more taxpayers will get hit with this stealth tax next year. And according to the U.S. Treasury Department, these taxpayers will pay $2,736 more in taxes just because of individual AMT. The numbers from my home State of New York tell a similar story. According to the Manhattan Institute For Policy Research if we do nothing, the number of AMT taxpayers in New York will balloon from 379,000 in 2005 to 1.6 million in 2006. That is unacceptable for the middle-class taxpayers I represent in western New York. It is unacceptable for taxpayers nationwide. Mr. Speaker, the bill before us today will simply extend for 1 additional year the individual AMT relief that we most recently enacted just a year ago. Specifically, this legislation will ensure that the higher AMT exemptions amounts to $58,000 for joint filers and surviving spouses, and $40,250 for singles, that are applicable to tax year 2005, are extended to 2006 as well. This legislation also includes a modest inflation adjustment, which will ensure that the value of this much- needed tax relief is not eaten away by inflation. If Congress fails to act on this legislation, these exemption amounts are scheduled to revert back to the 2000 levels next year, 45,000 for joint filers and 33,750 for singles, resulting in a massive tax increase on the middle class. I would note that the other body recently voted to provide a very similar AMT relief as part of its Tax Relief Act of 2005. I would hope that with a strong bipartisan vote here today, we will be able to work out with our colleagues on the other side of the Capitol to keep the stealth tax from being a middle-class nightmare. Announcement by the Speaker Pro Tempore

Mr. REYNOLDS. Mr. Speaker, I yield myself such time as I may consume. I stand looking across the way at the ranking member, and not only is he the senior member on the Committee on Ways and Means, but also the senior Member of Congress from my State. I listen carefully when he speaks. He does not want to see the AMT tax come onto the middle class. He does not really like the process. He is not really sure whether tax cuts are a good idea or not, but hopes that Members will support the legislation. When we look at some of my brief experience here on both the Rules Committee and now on Ways and Means, I just want to remind the gentleman that as I introduced this legislation with cosponsors, I am pleased to know that we are actually taking up this legislation ahead of the other tax legislation that has been before the Ways and Means Committee on this floor which I hope will be tomorrow or the next day, and I also look back to see that this extension, which has been done in previous years, is not a new issue for Members in the House. Everyone is familiar with the problem. It is essentially the same bill that passed overwhelmingly on May 5, 2004, with a vote of 333-89, unanimous on our side of the aisle, and 109 voted for it on the Democratic side of the aisle, and 89 against. I hoped there was not huge controversy with having the AMT legislation before us, and made sure there was ample time for debate on the floor by both sides of the aisle before we consider passage of the AMT. The one thing I have learned in my time here, I cannot predict what the other body will do, but I hope they will do the right thing, and that would be to pass this legislation so the stealth tax does not become a middle-class tax, adding more people to the burden of having to pay this. Mr. Speaker, I yield 3 minutes to the gentleman from Pennsylvania (Mr. English) who is a distinguished member of the Committee on Ways and Means.

Mr. REYNOLDS. Mr. Speaker, I yield myself such time as I may consume. Mr. Speaker, this bill that we have before us today will simply extend for one additional year the individual AMT relief that we most recently enacted just a year ago. Specifically, this legislation will ensure that higher AMT exemptions, now, hear these figures: they are not millionaires. They are not even people making over $100,000 a year. These are exemption amounts, $58,000 for joint filers and surviving spouses and $40,250 for singles that are applicable to the tax year 2005 and extended now to 2006 if we have the good fortune of passing it here today. When I look at the aspect of this legislation, it is simply a stealth tax, raiding and invading middle-class America. This will have an opportunity to thwart that so that some 16.5 million Americans do not find themselves having to pay the stealth tax. Mr. Speaker, I yield 2\1/2\ minutes to the gentleman from Florida (Mr. Foley), who is also a distinguished member of the Committee on Ways and Means.

Mr. REYNOLDS. Mr. Speaker, I certainly respect the gentleman from Massachusetts (Mr. Neal) and his contribution to both the Ways and Means Committee and this important legislation for a final fix, which I advocated that we do a final fix. Unfortunately, as I stand here today, with only weeks away, I have legislation to extend into next year the opportunity of having the AMT not move into taking almost 20 million Americans of middle-class tax. And I also will be interested in listening to the views of my colleague, Mr. Neal, on the floor of the Ways and Means Committee, and other aspects on his thoughts of the Mack-Breaux solution, if that is in fact a solution that he supports or would recommend to our body to look at in the future.

Mr. REYNOLDS. I yield to the gentleman from Massachusetts.

Mr. REYNOLDS. I believe that solution that you had also contained tax increases that Members felt that they did not want to incur at this time. Mr. Speaker, I yield 2 minutes to the gentleman from Colorado (Mr. Beauprez), another distinguished member of the Ways and Means Committee.

Mr. REYNOLDS. Mr. Speaker, I yield 1 minute to the distinguished gentleman from Florida (Mr. Shaw), a member of the Committee on Ways and Means.

Mr. REYNOLDS

Mr. REYNOLDS. Mr. Speaker, I thank the gentleman from Ohio for yielding me this time and allowing me to speak on this legislation. I think that first we should salute the hard work of Chairman Oxley and Ranking Member Frank, as well as the hard work of Subcommittee Chairman Richard Baker, who just so eloquently explained why this legislation is so important not only to New York in the aftermath of 9/11 but to every city in the country that finds themselves in the plight of terrorism and the reinsurance markets. This is an opportunity for us to continue where the free market will not be able to indemnify building owners as we look at this across the country. I think that the authors of this legislation, as the House passes this later today, give us a real opportunity to move forward with a 2-year opportunity to help the marketplace, the building owners who are affected by the need for coverage of this exposure, while also recognizing that the free marketplace is not able to absorb this without the governmental mechanism that has been outlined as the intent of the bill. So I wholeheartedly support it. It is something that will affect the buildings and the marketplace throughout the country, and certainly my State is one where it is vitally needed in order to have coverage for the markets.