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Senate Proceeding 06-07-06 on Jun 7th, 2006 :: 3:01:16 to 3:18:26
Total video length: 7 hours 58 minutes Stream Tools: Stream Overview | Edit Time

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Lamar Alexander

3:01:02 to 3:01:21( Edit History Discussion )

Lamar Alexander: of south dakota. and the story's told, mr. president, that before they could get back to the store, after they put those signs up on what used to be, on highway 16 in south dakota, there were already

Lamar Alexander

3:01:21 to 3:02:01( Edit History Discussion )

Lamar Alexander: customers streaming into the store to get some of this free ice water.~ the first signs sprung up on highway 16, it turned out to be the key to their success, and today wall drug advertisements

Lamar Alexander

3:02:09 to 3:02:49( Edit History Discussion )

Lamar Alexander: are still ayou will along the highways of south dakota, still advertising free ice water along with their other more modern draws. but their signs can also be seen all over the world, often with the mileage

Lamar Alexander

3:02:50 to 3:03:30( Edit History Discussion )

Lamar Alexander: dutifully added. in fact, my office in the senate russell building is only 1,565 miles from wall drug. and this didn't happen overnight n.1951, ted and dorothy sun bill housted joined the business working

Lamar Alexander

3:03:30 to 3:04:04( Edit History Discussion )

Lamar Alexander: to create the family attraction that wall drug is today. the second-generation housted increased the advertising. in 1981, bill's oldest son rick became the first member of the third generation to join the business.

Lamar Alexander

3:04:04 to 3:04:33( Edit History Discussion )

Lamar Alexander: later joined by his brother ted, the third-generation owners continue to run the family business based upon the same western hospitality embodied by their grandparents. the high reputation, wall drug represents

Lamar Alexander

3:04:33 to 3:05:05( Edit History Discussion )

Lamar Alexander: america's strong entrepreneurial spirit built on percent veerngs passed down through three generations of the housted family. why do i use this illustration and tell the wall drugstore? because

Lamar Alexander

3:05:05 to 3:05:45( Edit History Discussion )

Lamar Alexander: it would be a shame, mr. president, to see family operations such as wall drug close up or be sold off because of an untimely death in the family that. is just what might happen to this business and

Lamar Alexander

3:05:48 to 3:06:25( Edit History Discussion )

Lamar Alexander: those -- and two other south dakota stores which i will share with you. the effect of these -- of the death tax is very real on these family-owned operations, these family-owned businesses. in central

Lamar Alexander

3:06:25 to 3:07:05( Edit History Discussion )

Lamar Alexander: south dakota sits a 3,000-acre family farm. i would describe it as a medium-sized farming operation in south dakota. not too big, not too small. unfortunately, a death has occurred in the family.

Lamar Alexander

3:07:07 to 3:07:32( Edit History Discussion )

Lamar Alexander: as a result, $750,000 will likely be paid in taxes. now, this is a huge amount of money for a farm operation in my state where land values can make an operation look a lot more valuable on paper than

Lamar Alexander

3:07:32 to 3:08:10( Edit History Discussion )

Lamar Alexander: they are in reality. in other words, farmers like this can often be described as land rich and cash poor. all their value is in their land. when a massive death tax bill comes due, the only option often

Lamar Alexander

3:08:10 to 3:08:45( Edit History Discussion )

Lamar Alexander: is to sell the land to pay this unjust tax. thus, a family legacy comes to an end. there's another operation in my state of south dakota, a 10 10,000-acre operation in the north central part of

Lamar Alexander

3:08:45 to 3:09:25( Edit History Discussion )

Lamar Alexander: my state. and like so many farms and ranches in south dakota, the parents, who have run the place for decades, are now advance not guilty years. in fact, in this particular family, the mother has

Lamar Alexander

3:09:34 to 3:10:11( Edit History Discussion )

Lamar Alexander: passed ai watch. the father is getting on in age. and their kids would like to continue on in the business. but the tax on the farm would likely be $1.5 million. that just might make it impossible

Lamar Alexander

3:10:11 to 3:10:43( Edit History Discussion )

Lamar Alexander: for the kids to stay on and keep that family farm alive. now, i find it very disturbing that our federal tax code could influence a family's ability to keep their farm from being broken up and sold

Lamar Alexander

3:10:43 to 3:11:15( Edit History Discussion )

Lamar Alexander: off. these are examples, mr. president, of real family farms that are facing the effects of the death tax. and this is just not an exercise in the theoretical. real farms and ranches, real small

Lamar Alexander

3:11:15 to 3:11:40( Edit History Discussion )

Lamar Alexander: businesses are watching how the senate is going to act on this important issue. our action or inaction here this week will affect real businesses in each of our home states. mr. president, in my home state and

Lamar Alexander

3:11:40 to 3:12:14( Edit History Discussion )

Lamar Alexander: other rural states, we are seeing the next generation leave for schooling and too often not coming back. we need to be putting in place incentives for our young people to keep rural america alive

Lamar Alexander

3:12:14 to 3:12:46( Edit History Discussion )

Lamar Alexander: and strong. the death tax is an incentive for exactly the opposite effect. it can help push young people away from carrying on the family business in rural places. mr. president, i hope the the

Lamar Alexander

3:12:46 to 3:13:26( Edit History Discussion )

Lamar Alexander: senate will do the right thing and bring a permanent end to the unfair death tax and i would like to offer one final thought on an argument we're hearing from the other side of the aisle. i've

Lamar Alexander

3:13:30 to 3:14:02( Edit History Discussion )

Lamar Alexander: heard it said that repealing the death tax will add up -- or add up to $1 trillion to the deficit. now, we heard, mr. president, a similar argument made when it came to reducing the tax rate on

Lamar Alexander

3:14:02 to 3:14:29( Edit History Discussion )

Lamar Alexander: capital gains. the other side was wrong then and they will be wrong again this time. analysts have churned out figures up in the trillion-dollar range resident taking into consideration the nature -- are not taking

Lamar Alexander

3:14:29 to 3:15:01( Edit History Discussion )

Lamar Alexander: into consideration the nature of the death tax and its larger impact on the economy. with the death tax permanently killed, family business owners would then reroute tens of thousands of dollars from lawyers

Lamar Alexander

3:15:01 to 3:15:30( Edit History Discussion )

Lamar Alexander: and accountants hired to avoid being hit by the death tax back into their business. there this capital would be used to hire another employee or add value to their operation. in fact, mr. president,

Lamar Alexander

3:15:30 to 3:16:05( Edit History Discussion )

Lamar Alexander: repealing the death tax would remove the asterisk on the american promise of passing your hard-earned business or nest egg to your children or grandchildren. the death tax in its current form has

Lamar Alexander

3:16:05 to 3:16:39( Edit History Discussion )

Lamar Alexander: a chilling effect on the creation of new family businesses that would be created if assets could be passed down to the next generation. how many next-generation beneficiaries would have invested in a

Lamar Alexander

3:16:39 to 3:17:11( Edit History Discussion )

Lamar Alexander: new business if only they had had sufficient capital to do so? how often has the death tax prevented this and how many potential jobs were not created as a result? the changes in economic behavior if

Lamar Alexander

3:17:11 to 3:17:50( Edit History Discussion )

Lamar Alexander: the death tax was no longer a factor to consider is hard to determine but the dividend in capital gains rate reductions serve as a good indicator. those rate reductions have paid for themselves many times

Lamar Alexander

3:17:50 to 3:18:20( Edit History Discussion )

Lamar Alexander: over in increased government revenue. last month's budget report from the treasury department has tax receipts up by $130 billion -- $137 billion, up 11.2% for the first seven months of fiscal year

Lamar Alexander

3:18:20 to 3:18:56( Edit History Discussion )

Lamar Alexander: 2006. the year before, if you look at 2004-2005, there was a $274 billion increase in federal revenues or 14.6% more federal revenues in fiscal -- than in fiscal -- or i should say for fiscal year 2005

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