LEGISLATIVE UPDATE, NOVEMBER 19, 2012

Congress left town for Thanksgiving recess.

RECENT VOTES

Cybersecurity – Cloture - Vote Rejected (51-47, 2 Not Voting)
In contrast to the brisk movement toward passage of the Sportsmen's Act, cybersecurity legislation once again ran aground in the Senate after a failure to invoke cloture. Despite the entreaties of the bill's sponsors, Homeland Security and Governmental Affairs chairman Joseph I. Lieberman, I-Ct. and ranking member Susan Collins, R-Me., Republicans (as well as five Democrats) refused to end debate on the bill. Concerns in the business community remain a major stumbling block. The Chamber of Commerce and its congressional allies are wary that security standards established by the bill could morph from voluntary to mandatory once they become law. Majority Leader Harry Reid, D-Nev. declared that "cybersecurity is dead for this Congress." The House passed a much less ambitious bill earlier this year that focused on information sharing between the government and private sector entities. President Obama threatened to veto that measure, citing privacy concerns, while endorsing the Senate bill. With the Senate deadlocked, any action in the remainder of the year is likely to come from the White House, which has reportedly drafted an executive order to protect vital computer networks from attack.
Sen. Richard Burr voted NO and Sen. Kay Hagan voted YES.

Sportsmen’s Access to Federal Land – Cloture - Vote Agreed to (84-12, 4 Not Voting)
The Senate moved one step closer last week to passing a bill with a smorgasbord of provisions designed to appeal to outdoor enthusiasts, voting affirmatively on both a motion to proceed (Roll Call 201) and later invoking cloture on the bill. Sponsored by Democrat Jon Tester, D-Mont., the Sportsmen's Act of 2012 would exempt ammunition and fishing equipment from EPA regulation; ease a ban on importation of polar bear trophies from Canada; and allow the issuance of permits for individuals carrying bows and crossbows to cross national park land. The bill would reauthorize a number of wildlife conservation measures, as well as a law to facilitate the sale or exchange of federal land with non-federal landowners whose holdings lie within the boundaries of federal tracts. Budget Committee ranking member Jeff Sessions, R-Ala. raised a point of order last week regarding spending on duck stamps authorized in the bill. The point of order is expected to be overridden, with final passage coming after the Thanksgiving recess. President Obama supports the bill.
Sen. Richard Burr voted YES and Sen. Kay Hagan voted YES.

Russia Trade Relations, Human Rights Oversight – Passage - Vote Passed (365-43, 25 Not Voting)
In its first week of legislative action since the November 6 elections, the House moved on a measure to establish Permanent Normal Trade Relations with the Russian Federation. By an overwhelming and bipartisan majority, the lower chamber endorsed a measure to essentially repeal 1970s-era restrictions on trade with Russia and Moldova that were originally implemented because the Soviet Union and Eastern Bloc nations denied freedom of emigration to their Jewish citizens. The legislation was necessitated by Russia's recent accession to the World Trade Organization, which was finalized in late August. If U.S. trade restrictions are not lifted, American goods could become subject to retaliatory tariffs, closing off a potentially lucrative new market. The Russia trade title includes several requirements for oversight from the U.S. Trade Representative to ensure Russia is living up to its new WTO obligations. Legislators more skeptical of closer ties with Russia fought for the inclusion of human rights provisions in the legislation. These include a sense of Congress statement the U.S. should support democracy and human rights activists in Russia. The teeth of the provisions, however, center on the ordeal of Sergei Magnitsky, a Russian attorney who died under suspicious circumstances while in police custody in 2009. The president will be required to compile a list of names of those responsible for Magnitsky's abuse and death. Those individuals will be denied entry to the U.S. and their assets will be frozen. The White House is officially supportive of the combined measure, though the Magnitsky provisions are already causing headaches with Moscow. The bill now moves to the Senate, where the Finance and Foreign Relations panels have already passed similar measures.
Rep. Walter Jones voted NO and G.K. Butterfield voted YES.

LEGISLATION

The Fiscal Cliff: We've all been hearing about the "Fiscal Cliff", which refers to the combined effect a number of policies would have on our economy beginning in January 2013. These policies include the expiration of tax cuts, tax increases, spending cuts and deficit reductions. According to the Congressional Budget Office, lower deficits and debt over time improve long-term economic growth, but there's an increased risk of recession if the deficit is reduced suddenly. There are many pending policies that have been referred to as part of the "Fiscal Cliff", and POPVOX is highlighting a few that have been introduced in the past two years. Check it out on POPVOX: http://www.popvox.com/blog/2012/fiscal-cliff/

Expiring Bush-era Tax Cuts from 2001 and 2003:

• The Middle Class Tax Cut Act (S 3412): to provide tax relief to middle-class families. (Passed the Senate; pending before the House.) - https://www.popvox.com/bills/us/112/s3412
• The Tax Hike Prevention Act (S 3413): to temporarily extend tax relief provisions enacted in 2001 and 2003, to provide for temporary alternative minimum tax relief, to extend increased expensing limitations, and to provide instructions for tax reform. - https://www.popvox.com/bills/us/112/s3413
• The Job Protection and Recession Prevention Act (HR 8): to extend certain tax relief provisions enacted in 2001 and 2003, and to provide for expedited consideration of a bill providing for comprehensive tax reform. (Passed the House; pending before the Senate.) - https://www.popvox.com/bills/us/112/hr8

Alternative Minimum Tax (AMT) Not Adjusted to Inflation

• The Permanent AMT Relief Act (HR 3747): to amend the tax code to increase the alternative minimum tax exemption amount and index such amount for inflation. - https://www.popvox.com/bills/us/112/hr3747
• The Permanent Tax Relief Act (S 3420): to permanently extend the 2001 and 2003 tax cuts, to provide for permanent alternative minimum tax relief, and to repeal the estate and generation-skipping transfer taxes. - https://www.popvox.com/bills/us/112/s3420
• The Family and Business Tax Cut Certainty Act (S 3521): to amend the tax code to extend certain expiring provisions. - https://www.popvox.com/bills/us/112/s3521

2% Social Security Payroll Tax Cut Expiration--Expected to be introduced soon. Would extend a payroll tax holiday for 160 million Americans.

Sequestration: automatic, across-the-board cuts to federal spending to take effect on January 2, 2013 -- if Congress does not act on further deficit reduction. The Sequestration requires $109 billion annually in federal spending cuts, resulting in a 9.4% reduction in defense discretionary funding and an 8.2% reduction in nondefense discretionary funding. - https://www.popvox.com/bills/us/112/x41

Expiration of Emergency Unemployment Benefits--Unemployment insurance benefits expected to expire for two million people on Dec. 29. No bill introduced yet.

Medicare Payments to Doctors Reduced

• The Medicare Physician Payment Innovation Act (HR 5707): to reform Medicare payment for physicians’ services by eliminating the sustainable growth rate system and providing incentives for the adoption of innovative payment and delivery models to improve quality and efficiency. - https://www.popvox.com/bills/us/112/hr5707
• The Access to Physicians in Medicare Act (S 3337): to provide for the elimination of the Medicare sustainable growth rate (SGR) formula to ensure access to physicians’ services for Medicare beneficiaries. - https://www.popvox.com/bills/us/112/s3337

Affordable Care Act Takes Effect

• Provider tax repeal (HR 1370): to repeal the annual fee on health insurance providers enacted by the Patient Protection and Affordable Care Act. - https://www.popvox.com/bills/us/112/hr1370
• The Jobs and Premium Protection Act (S 1880): to repeal the health care law’s job-killing health insurance tax. - https://www.popvox.com/bills/us/112/s1880
• The Medical Device Access and Innovation Protection Act (S 17): to repeal the job-killing tax on medical devices to ensure continued access to life-saving medical devices for patients and maintain the standing of United States as the world leader in medical device innovation. - https://www.popvox.com/bills/us/112/s17