Deficit Reduction Commission to Vote on Plan Tomorrow

On December 1, the co-chairs of the National Commission on Fiscal Responsibility and Reform (otherwise known as the deficit reduction commission) released the commission’s final report. While the Commission met the deadline for a final report as spelled out in President Obama’s Executive Order that established the Commission, the co-chairs decided to delay a vote on the plan until tomorrow to give undecided commissioners more time to review the document. Fourteen of the 18 Commissioners must support the recommendations for the report to be approved and sent to Congress. Included in the report is an AGC-supported recommendation to gradually increase the federal gas tax by 15 cents between 2013 and 2015 with the revenue going to the Highway Trust Fund. The report recommends that Congress limit spending from the trust fund to the level of dedicated revenues collected from the previous year. The report also recommends that Congress adopt significant reforms to control federal highway spending. Specifically, Congress should limit trust fund spending to the most pressing infrastructure needs rather than forcing states to fund low-priority projects. In addition, the report also recommends an end to the practice of appropriations and authorization earmarks. Among the tax reform proposals, the plan calls for the elimination of general business credits and other tax expenditures but also lowers overall tax rates for individual and corporations.  The full report can be accessed here. AGC is working to garner support for the report from at least 14 commissioners. Currently nine commissioners have pledged their support for the plan, while three oppose it.  Serving on the panel are a dozen sitting lawmakers from both parties, and several are still undecided as to how they will vote. They are: Representatives Dave Camp (R-Mich.); John Spratt (D-S.C.); Xavier Becerra (D-Calif.) and Senators Max Baucus (D-Mont.) and Richard Durbin (D-Ill.). AGC and our construction and transportation allies have issued press statements and contacted Commission members in support of the proposal. AGC Chapters have been asked to do the same. A showing of support from the grass roots will be helpful in this effort. AGC has a letter on the Legislative Action Center for your use in contacting your Congressional delegation. For more information, contact Sean O’Neill at (202) 547-8892 or oneills@agc.org.