Engineering Inc. - January/February 2004 - (Page 15)
President Bush speaks about energy at the Central Aluminum Company in
Obetz, Ohio, on October 30, 2003. C H A R L E S DHARAPAK/AP WIDE WORLD
PHOTOS Infrastructure Funding ing method for income-tax pur- lion
financial blow with corpo- When you get down p o s e s . For many firms,
the rate tax rate cuts. There is one legislative area in to specifics,
there were method has distinct advantages There are bills in Congress to w
h i c h partisan differences prosperous years [for o v e r the accrual
method of do that. But some conservative o f t e n evaporate funding for
business] under accounting, which involves pay- Republicans are defiant
about the federal road, transit, water Democrats. During ing taxes on
income as soon as W TO's threat, and have ques- a n d environmental
projects the Johnson years, it's earned. t i o n e d the need for moving
that provide engineering com- money was put into Rep. Jim Nussle R-Iowa
has quickly on the tax-break repeal. p a n i e s with substantial work.
community action i n t r o d u c e d a bill that would If they are
successful in blocking W h e t h e r Democrat or a programs that stimu-
ensure engineering firms could a House vote on the repeal as R e p u b l i
c a n , bringing home lated construction and c o n t i n u e to use the
cash- some congressional insiders sus- m o n e y for roads and other
government contract- a c c o u n t i n g method. The bill, pect they may
try to do this b r e a d - a n d - b u t t e r projects ing. And before H
. R . 2814, has yet to have a c o u l d provoke $4 billion in always has
been a priority for George H.W. Bush, hearing before the House Ways WTO
sanctions on U.S. exports. l a w m a k e r s , an important way the
largest tax cut in and Means Committee. For a sector that's lost 2.5 t o
show voters that they are history was under On one important tax issue,
million jobs over the past few working on constituent inter- President
Kennedy. however, it is the Republicans in years, that could be
disastrous, ests while in Washington. JOHN ZOGBY, Congress who could run
con- says Chris Bertell, a lobbyist for A s a result, Democrats and ZOGBY
INTERNATIONAL trary to business interests. The t h e Coalition for
U.S.-Based Republicans on the Senate and engineering industry wants to E m
p l o y m e n t , a group of House transportation commit- ensure that when
Congress soon e x p o r t i n g companies. The tees often put their
political dif- repeals tax incentives for U.S. group is pushing
legislation that f e r e n c e s aside to ensure that e x p o r t e r s w
h i c h the World would lower the corporate tax each member gets the local
road Tr a d e Organization WTO r a t e from 35 percent to 31.5 and transit
project funding he or c l a i m s are illegal lawmakers p e r c e n t to
compensate for she needs. cushion the estimated $50 bil- repealing the tax
incentives. There has been remarkable J a n u a r y l February 2004
ENGINEERING INC. 1 5
Table of Contents for the Digital Edition of Engineering Inc. - January/February 2004
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