Thune Comments on Senate-Passed Economic Recovery Package

Press Release

Thune Comments on Senate-Passed Economic Recovery Package

--Measure Includes Important Wind Production Tax Credit Extension--

Senator John Thune made the following comments tonight after the Senate passed (74 -25) the Economic Recovery Package:

"It would have been easy to do the `politically popular' thing and vote against this bill, but for me it would not have been the responsible thing to do. I'm sure those who voted against this package have their reasons, but the sober facts are that without intervention, our credit markets will freeze, our economy will grind to a halt, and the impact will be severe and felt by every South Dakotan.

"To be clear, this legislation is not intended to bail out Wall Street, but rather insulate main streets across South Dakota and the country. I am frustrated that the government is being forced into this position, but the authority this bill provides is temporary. It also ensures strong oversight and strong taxpayer protections and it prevents Wall Street executives from walking away from their failed companies with golden parachutes.

"This is not money we are just throwing away, we are investing this money in assets that will later be sold, which means the government potentially stands to make a good portion, if not all of it back in the long run, while calming the uncertain financial waters we are now battling.

"Over the past week, I have heard from all sectors of South Dakota's economy urging me to support a financial stabilization bill. I have received phone calls, email and statements from the South Dakota Chamber of Commerce, the South Dakota Association of Healthcare Organizations, AARP, Otter Tail Power Company, Basin Electric, NorthWestern Energy, the South Dakota Homebuilders, South Dakota Corn Growers Association, South Dakota Farm Bureau, the South Dakota Bankers Association, the Independent Community Bankers of South Dakota, the South Dakota Investment Council, South Dakota Soybean Association, and many other organizations who voiced their support for this legislation because of their concern about the impact on their members and the South Dakota economy."

WIND PRODUCTION TAX CREDIT:

The Economic Recovery Package also included the widely supported tax extenders package, which passed the Senate last Monday by a 93-2 vote -- with several provisions that are critically important for South Dakota.

The tax extenders package includes a much needed extension of the production tax credit for wind energy through 2009.

"This is vital step to ensure sustained development of wind energy production in South Dakota and across the nation," said Thune. "I could not in good conscience vote against something that is so good for South Dakota and the future of renewable energy in this country. The bipartisan tax package enjoys the support of over 750 groups."

The tax package also includes a provision creating $800 million in new Clean Renewable Energy Bonds (CREBs) to finance new renewable energy development facilities which include wind farms and bio-refineries. It also includes incentives specifically targeted at increasing cellulosic ethanol production and extends the $1 per gallon biodiesel tax credit through 2009, as well as tax credits for teachers and the ability for South Dakotans to deduct sales taxes from their Federal Income Taxes, funding for various school districts across the state and a one year fix to ensure that the Alternative Minimum Tax doesn't impact over 24 million middle class families across the country.

BREAK IN TRANSCRIPT

Source