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1 RANDY HULTGREN liltlt DISTRICT, httt.joi~ 427 CANNON HousE OFFICE Bu uanff ( <teongre55 of tbe mtniteb ~tates T!}ou~e of 11\ep re.~cntatibe~ ~nsf)i ngto n, jbclt June 28, Wr:;o S1A1 E STAEEl, SvnE II GCNEVI\, IL WCST FutSr STREET DIXON, ll ( W EST M AIN GENlSI 0, ll http"//hullgrcn.house.gov Jolm Boehner Speaker of the House The Capitol Washington DC Nancy Pelosi Democratic Leader The Capitol Washington, DC Dear Speaker Boehner and Leader Pelosi: We are writing to express serious concerns regarding proposals to eliminate or cap the deduction on tax-exempt municipal bonds in the Fiscal Year 2014 Budget Proposal. For more than a century, municipal bonds have enjoyed tax-exempt status and have been the primary method by whi ch state governments and local municipalities finance public capital improvements and infrastructure construction. These projects are engines of job creation and economic growth, and it is imperative that their tax-exempt status remain unchanged. Over the last decade, municipal bonds have funded more than $1.9 trillion worth of infrastructure construction. This financing went to the construction of schools, hospitals. ai rports, affordable housing, water and sewer facilities, public power utilities, roads. and public transit. In 2012 alone, more than 6,600 tax-exempt bonds financed more than $179 billion in inftastructure spending. As you have stated before, now is the time to in vest in America. Yet, the President's Fiscal Year 2014 Budget Proposal recently submitted to Congress proposed capping the tax deduction for municipal bonds at 28 percent. Eliminating or capping the current deduction on municipal bonds would severely curtail slate and local governments' ability to invest in themselves. It would increase borrowing costs to public entities and shift costs to local residents through tax or rate increases. Moreover, eliminating or capping the current deduction on municipal bonds would slow the growth of job-creating infrastructure projects. In these tenuous economic times, it would be irresponsible to jeopardize funding for the dedicated citizens who work in these important facilities such as teachers, firefighters, police officers, hospital workers and librarians as well as the construction workers who build them. PRIN I LOON RECYCLI:D l'fiper
2 As the discussion on various budget proposals continues and the national discussion on comprehensive tax reform begins, it is our hope that you will reject proposals to alter the tax-exempt status of municipal bonds. While we agree that we must reduce government spending and our country's unsustainable debt, we should not be eliminating a vital tool for job growth and economic development. Thank you for your time and attention to this important national matter. Sincerely, ~lf~- Michele Bachmann {)2;_ Q tl!;!r Paul Tonko ~~Q. w.j eru:ylf axman l t.(~-8 ~ tffi~~ Alan Lowenthal Jason Chaffetz Lois Frankel '
3 ~ ~~ U:.... Elijah~ ~.. Brad Sherman Brett Guthrie ~~ Howard Coble rxfbr2 CL Dennis Ross Keith Ellison ~e~~?a'j-1 arson
4 (/$fr/!6 Memoer of Congress David Price ~y~ ~~ G~ Mike Coffman ~ViA- Matt Salmon uncan Hunter Brad Schneider Ph~ Dan Benishek e Rogers MemberofC -At Gwen Moore
5 io Sires a-~ttt~~ Ann McLane Kuster ee Hastings. 1/M ~.-t-ri-ck M_u_~ hy------~--~rl Scott Peters Bill Pascrell Member of Congres.. utterfield mber of Congress
6 ~)I~ tchael Gnmm Earl Blumenauer Carol Shea-Porter o1±:j?rflu Cedric Richmond ~ ff//a Eleanor Holmes Norton Memb of Congress ~1/.,kikeHOilda Ami era Rick Larsen '(/{i1b. cj g-~ Linda Sanche () Ck- ~+~-<-~ Chris Stewart ' Cheri Bustos
7 (' ~\~\~pwv' Corrine Brown ~ BettyM~ Ium Steve Stivers ve Loebsack Bt Johnson
8 Ted Deutch JN~ i. c0~m Frederica Wilson -- Donna Edwards ~m er~ Lois Capps ~ egarcia / /IL1/ii~~ - 91:;& ~ Ron Kind
9 Bill Posey Member of Congr s Brownley ber of Congress ~;.j:!_,nv'~~~ Tim Walz Terri Sewell Eric Swalwel ~~R
10 ~c~ Gary Pe \ ~ Rodney Alexander Bob Gibbs Bill Foster Aer~ Colleen Hanabusa c~"'-' vtc~.,. Carolyn Mi Carthy I
11 Ann Kirkpatrick ~~~ Kerry Bentivolio Gerry Connolly T~J?W i t1 ~(! Sik: :- Collin Peterson ob Bishop John Delaney David Valadao Beto O'Rourke Jo Bonner David Cicilline
12 Mike Mcintyre
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