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Senate Proceeding on Mar 4th, 2010 :: 3:15:50 to 3:22:45
Total video length: 10 hours 9 minutes Stream Tools: Stream Overview | Edit Time

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Richard Burr

3:15:39 to 3:15:59( Edit History Discussion )

Richard Burr: an amendment that i offered yesterday but chose not to speak on yesterday. i'd like to take about five minutes to share with my colleagu what the content of this bill is. in simple terms it's a sales tax holiday amendment. i think we all agree, there's no partisan difference, that our economy has shut down.

Richard Burr

3:15:50 to 3:22:45( Edit History Discussion )
Speech By: Richard Burr

Richard Burr

3:16:00 to 3:16:21( Edit History Discussion )

Richard Burr: that we're in a period of anemic growth. and that with anemic growth, there's no hope of reinflating employment. we're almost at a point where we need a shock and awe in our economy. something that gives confidence back to consumers and, more importantly, to manufacturers of goods. we've experienced over the last

Richard Burr

3:16:22 to 3:16:42( Edit History Discussion )

Richard Burr: several months a replenishment of inventories of purchases made in the fourth-quarter predominately because of the who will day what we've seen since then is a decline -- or a stagnation of retail saisms once we get past -- sales. once we get past this, we will

Richard Burr

3:16:43 to 3:17:05( Edit History Discussion )

Richard Burr: see a workforce not with the potential of growing it, but potentially with the outlook of possibly shrinking it. i think we're at a point where there's not one silver bullet. i think it takes things like tax credits to employers that help provide an avenue to bring somebody on new. but it requires something to go out the door.

Richard Burr

3:17:06 to 3:17:27( Edit History Discussion )

Richard Burr: so we have neglected, i think, in many ways two areas. one, the access to credit and there are some bright minds in a birtisan way working on that here. but also what do we do to stimulate economic activity? practically every state in the country one time a year at back-to-school time announces that they're going to have a

Richard Burr

3:17:28 to 3:17:50( Edit History Discussion )

Richard Burr: sales tax holiday for the weekend limited to those items that are back-to-school items. forget the week before there were 50% off signs and nobody went to the store and took advantage of the 50% off for backpacks, pencils and paper. all of a sudden the no sales tax sign goes up for two days and

Richard Burr

3:17:51 to 3:18:13( Edit History Discussion )

Richard Burr: it's a mass consumer frenzy to try to buy those products when there's no sales tax. i can't explain why. i can tell you it works. in 2001 when we were in an economic downturn, we did a similar thing. and i think the net result in fact, positive to the turn around.

Richard Burr

3:18:14 to 3:18:36( Edit History Discussion )

Richard Burr: so what does s. 3383389 do -- 3389, it provides a tax holiday for a provided economic boost for consumers and businesses. it which iow states voluntarily to choose to pa participate and suspend sales tax for a 10-day period to encourage sales. the federal government, unlike in 2001, would share with states

Richard Burr

3:18:37 to 3:18:57( Edit History Discussion )

Richard Burr: the economic costs that was incurred in lost tax revenue during the tax suspension. the federal share would be 75% of the taxes lost at the state and local level. this is cost sharing. we're going to ask the states to share it 25% in hopes that the increase in sales will more than

Richard Burr

3:18:58 to 3:19:19( Edit History Discussion )

Richard Burr: make up for the 25% cost that states have incurred in the program. this sales tax holiday would run for 10 days beginning the first friday, 30 days past enactment of the legislation. why is that important? it's important because starting on the first friday we get two

Richard Burr

3:19:20 to 3:19:40( Edit History Discussion )

Richard Burr: weekend cycles in the 10-day sales tax holiday. in my household it really doesn't matter what day of the week it is, we will buy regardless. but there are many americans because of their work schedule, because of their family schedules, the only time they have access to do it. this legislation, i believe, would provide increased consumer confidence.

Richard Burr

3:19:41 to 3:20:04( Edit History Discussion )

Richard Burr: but, more importantly, stimulate economic activity. stimulate economic activity with tax credits for employers that begin to hire back. that's needed by small business in the way of loans and i think al formula thate can turn this economy in the right direction.

Richard Burr

3:20:05 to 3:20:26( Edit History Discussion )

Richard Burr: it may not be a -- a plan to sustain it, but i think what we've got to overcome is the lack of confidence of the american consumer right now. legislation would require the states to notify the secretary of the treasury within 30 days of enactment and let me say for states no later than 45 days

Richard Burr

3:20:27 to 3:20:47( Edit History Discussion )

Richard Burr: after the end of the holiday, the secretary of the treasury would pay the participating states their 75%. actually in the law it would say you've got 45 days to pay back. hopefully clunkers disaster that we had where dealers weren't reimbursed

Richard Burr

3:20:48 to 3:21:10( Edit History Discussion )

Richard Burr: for the money that they had out. again, let me just say tax holidays have a successful track record at state level. and they have provoked strong retail consumer reaction. while there's still somewhat of a

Richard Burr

3:21:11 to 3:21:32( Edit History Discussion )

Richard Burr: that the sales tax holiday favorabl motivation to them to shop. now, what do i have to go on t offer this legislation? i've actually talked to retailers. i've listened to them. i've asked them for what would change this overnight. without exception, they all pointed to one thing, you do a

Richard Burr

3:21:33 to 3:21:53( Edit History Discussion )

Richard Burr: tax holiday and you will drastically change the number of people coming in our stores. you will drastically change how much they purchase. this is not a tool where i'm trying to create purchasing in this country. but i am saying to the american people ife want to turn the

Richard Burr

3:21:54 to 3:22:15( Edit History Discussion )

Richard Burr: economy around and we want to start reinflating employment, it all starts with creating retail activity. we've got an opportunity through this legislation to begin to create the retail activity that puts us on a path to recovery. i hope my colleagues in the next hour or so will consider this piece of legislation. i pay for it with unobligated

Richard Burr

3:22:16 to 3:22:36( Edit History Discussion )

Richard Burr: stimulus money, therefore, i readily expect a point of order on the budget act on this. so t likelihood is we won't vote on this bill, but we'll vote on waiving the budget act. and if we waive the budget act, that would tell you that we would then agree to this lauage and then it would be up to the house to determine

Richard Burr

3:22:37 to 3:22:45( Edit History Discussion )

Richard Burr: whether we've come up with a successful way to stimulate retail activity. i thank my colleagues for their consideration. i yield the floor.

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