Press Releases

U.S. Rep. Adam Smith today voted for H.R. 3996, the Temporary Tax Relief Act of 2007.  The act will prevent 23 million middle class families from paying the Alternative Minimum Tax (AMT) this April.  To pay for this tax cut, the bill corrects a tax inequity by closing loopholes for investment fund managers.

“The bill we passed in the House today will prevent more than 43,000 people in Washington state from paying the Alternative Minimum Tax this April.  And it does so without adding a dime to our deficit – a major break from the previous Congress.  Democrats are dedicated to preventing this tax increase on middle class families and this bill does so in a fiscally responsible way,” Smith said.

The Alternative Minimum Tax was originally enacted to ensure the very wealthy are not able to dodge paying their fair share of taxes.  However, because the income level triggering the AMT on a tax return does not rise as inflation rises, the tax now threatens middle class workers like teachers and firefighters.  The bill offered today provides a temporary fix to prevent more than 23 million families from being inappropriately required to pay an increased tax rate.

To pay for the temporary fix for the AMT, the bill closes a loophole for investment fund managers who receive “carried interest” as a form of income.  Currently, they pay a 15 percent capital gains tax rate on payment for services rather than a 35 percent income tax rate as other corporate professionals do for similar income from similar jobs.  The bill ends this inappropriate tax inequity for very high incomes in order to prevent unfair taxation of middle class families.

The bill also includes a $9 billion extension of the research and development (R&D) tax credit. R&D tax credits provide companies with incentives to invest in new products and ideas that promote our competitiveness in the global marketplace and energize our economy.  These incentives are part of the House Democrats’ Innovation Agenda, which Smith and the New Democrats helped craft.  The bill extends the research credit for one year.

Other helpful provisions in this bill include:

  • Property tax relief for 30 million homeowners
  • Expansion of the child tax credit to cover 12 million children
  • State and local sales tax reduction for 11 million families
  • College tuition deduction expanded for 4.5 million families
  • Classroom expenses deductions for 3.4 million teachers
  • Tax relief under the Earned Income Tax Credit for combat troops
  • The Temporary Tax Relief Act is fully paid for and will not add to the deficit.

U.S. Rep. Adam Smith (D-Wash.) today voted to restore U.S. military readiness and to support our troops and veterans by voting for the conference agreement on H.R. 3222, the Department of Defense Appropriations bill for fiscal year 2008.  The legislation passed the House of Representatives today by a vote of 400 to 15.

“The strain on our military from the continued conflicts in Iraq and Afghanistan has caused the worst readiness crisis since the Vietnam war.  Congress acted today to restore the capabilities of our Armed Services and to support our troops and veterans.  We also included funds for Fort Lewis to support the families stationed here and to improve trauma care in our region,” Smith said.

The conference agreement provides $460.3 billion dollars for the Defense Department and includes several investments to strengthen our military, including:

  • A 3.5 percent pay raise for our troops, larger than President Bush requested;
  • Body armor and armored vehicles for troops in Iraq;
  • Funds for depleted National Guard and Reserve equipment; and
  • Improvements in health care and assistance with red tape for wounded veterans. 

The bill also included funds Smith requested for Ft. Lewis-related programs, including:

  • $2,400,000 to expand the “Heroes at Home” pilot program that offers parent education and family support to young military families at U.S. bases including Ft. Lewis.  The program is implemented by the non-profit Parents as Teachers and works with military families throughout pregnancy until their child turns three.  Research indicates that young military families are most impacted by the stresses of military life and separation.  The program currently serves 78 children at Ft. Lewis.
  • $1,000,000 for Tacoma Trauma Trust (TTT) / Madigan Army Medical Center Trauma Assistance Program.  TTT is a partnership of Madigan Army Medicare Center, the MultiCare Health System, and the Franciscan Health System which administers this critical military-civilian emergency health care partnership. TTT helps deliver critical Level II trauma care to South King, Pierce, Kitsap and Thurston Counties and southwest Washington as well as much-needed trauma training for medical personnel.

Other regional military-related funding requested by Smith and included in the conference report included:

  • $2 million for Seattle Biomedical Research Institute (SBRI) to work with the Army to develop and test a new malaria vaccine.  Malaria is the top infectious disease threat to U.S. military forces deployed overseas.  The Gates Foundation also supports SBRI’s work with the Army, as a new vaccine could prevent malaria infection in developing countries around the world.
  • $1 million for targeted radiation cancer therapy at Madigan Army Hospital and the Puget Sound VA. This funding will be used to provide innovative prostate cancer treatment therapy for military personnel and veterans.  Calypso Medical Technologies, a Seattle biomedical company, will carry out this program using their cutting-edge targeted radiation tumor tracking technology. 
  • $1.6 million for high-tech aircraft inspections.  These funds will facilitate the development of advanced systems to perform more efficient and effective airframe maintenance inspections on the Air Force’s C-5 aircraft.  Quest Integrated, Inc. of Kent, WA, will carry out this program with its Induction Thermography System (ITS) technology.
  • $1.6 million for the Systems Biology Biomarker Molecular Toxicology Initiative – Institute of Systems Biology.  "Biomarkers" are various biological indicators of disease states, exposure to environmental insults such as chemicals and toxins, and/or individual susceptibility to pathogens and chemicals.  The U.S. Army Research Development and Engineering Command (RDECOM) studies biomarkers following very low level exposures to chemical nerve agents.  Institute for Systems Biology’s (ISB) innovative work supports RDECOM’s efforts.

Finally, the conference report included a continuing resolution to fund the federal government through December 14, including funds for the Department of Veterans Affairs at an increased rate over fiscal year 2007 levels.

U.S. Rep. Adam Smith (D-Wash.) today issued the following statement on the U.S.-Peru Free Trade Agreement (FTA), which passed the House this morning by a vote of 285 to 132.  The agreement will lower trade barriers to U.S. exports to Peru and put worker and environmental protections on equal footing with commercial concerns.

“The Peru FTA represents a new direction on trade away from the excessively partisan trade debates we saw under the previous Congress.  Chairman Rangel and the Ways and Means Committee deserve credit for forcing the Administration to come to the table to hammer out a bipartisan way forward.  The FTA we approved today represents a real, bipartisan step forward in line with the agreement they worked out earlier this year.

“Prior to the policy agreement, progressive issues such as environmental concerns and worker protections were given far less protection in trade agreements than commercial issues like investor and intellectual property rights.  That made it much harder for the U.S. to leverage our economic strength to influence trading partners to make progress in those areas. 

“By putting strong labor and environmental safeguards on equal footing with other issues, we gain real leverage to enforce them.  This is the most progressive trade agreement to ever come before this House, and I am proud to support it.

“The Peru FTA will also help solidify our economic partnership with Latin America and support Peru’s efforts to grow and reduce poverty.  I visited Peru last year and saw the challenges posed by underdevelopment, as well as the potential that economic growth holds for improving people’s lives.  Our current trade preferences for Peru have fueled growth and poverty reduction there, and this FTA will make those preferences permanent.

“This FTA is a big step forward for our trade policy and I am proud to support it.”

Smith spoke on the floor of the House in favor of the U.S.-Peru FTA, and you can view video of his speech at http://www.house.gov/adamsmith.

You can find a photo from Smith’s 2006 trip to Peru at http://www.house.gov/adamsmith/photos/perutrip2006.JPG.  Caption:  U.S. Rep. Adam Smith (D-Wash.) met with Felipe Llona, president of AGAP (Ag. Exporters Association), and workers on Llona’s farm about working conditions during Smith’s 2006 trip to Peru.  Photo credit:  Adam Shub, U.S. State Department.

U.S. Rep. Adam Smith (D-Wash.) today voted to support our veterans and Armed Services by supporting H.R. 3043, a conference report package that included the 2008 Military Construction-VA funding bill.  The legislative package included the single largest increase for veterans’ health care in the history of the Department of Veterans Affairs (VA), as well as key investments in the South Sound. 

The conference report passed the House of Representatives by a vote of 269 to 142.

“Tonight, Congress lived up to its obligations to support our troops and our veterans.  The bill we passed included the biggest single funding increase in the history of the VA to make sure they get the support they deserve.  I was also pleased to have secured funds for local military construction projects that support our National Guard and provide alternative energy options for both the military and the public,” Smith said.

Smith secured funds for the following South Sound military construction projects in the conference package:

$3.3 million for a new Ft. Lewis Alternative Fueling Facility for military and public use.  Alternative fuel available at the facility will include biodiesel, ethanol, and others. 
 
$152,000 for the Tacoma Readiness Center to plan and design the renovation of the Washington National Guard’s Readiness Center in Tacoma.  The century-old Tacoma Armory building needs renovations to ensure it can be used for training and stationing Guard soldiers.
 
The conference report package passed tonight included both the Military Construction-VA funding bill (H.R. 2642) and the Labor, Heath and Human Services and Education bills (H.R. 3043). 

U.S. Rep. Adam Smith (D-Wash.) today supported K-through-12 education, college affordability, health care access and research, and job training by voting for H.R. 3043, a conference report package that included the Labor, Heath and Human Services and Education appropriations bill. Smith helped secure funds for South Sound health care and education projects included in the legislation.

The conference report passed the House of Representatives by a vote of 269 to 142.  President Bush has threatened to veto the measure.

“If our country is to remain competitive in the new economy, we have to make the right investments in job training, health care, medical research, and education.  Tonight the House passed a legislative package that includes these broad priorities, as well as specific essential projects in the South Sound.  The President should sign this legislation when it reaches his desk,” Smith said.

Smith helped secure funds for the following South Sound projects in the conference package:

  • $1,500,000 for the Seattle Cancer Care Alliance for facilities and equipment.
  • $290,000 for Northwest Kidney Centers for facilities and equipment.
  • $200,000 for Northwest Center to provide and expand academic and vocational resources to developmentally delayed or disabled persons in King County.  
  • $200,000 for the South Sound Health Communication Network to help develop a community Health Record Bank. 
  • $200,000 for Thurston-Mason County Medical Society’s Project Access for the uninsured.
  • $150,000 for Clover Park Technical College to create an institute of environmental sustainability in the workforce.
  • $50,000 for Communities in Schools of Tacoma for after school programs.

The conference report package passed tonight included the Military Construction-VA funding bill and the Labor, Heath and Human Services and Education bills.