Press Releases
February 5, 2008
Conrad Fights to Boost Ailing Economy
Senator's Amendment Would Create New Jobs and Address Housing Crisis
Washington – Senator Kent Conrad today renewed his call for a temporary but targeted economic stimulus package in an effort to boost the nation’s ailing economy. Specifically, Senator Conrad urged his Senate colleagues to support his amendment to create new jobs, aid America’s homebuilders and help everyday families weather the current economic downturn.
“Our economy is in serious trouble. A clear indicator of our nation’s economic slide can be seen in America’s housing industry,” Senator Conrad said. “Homebuilders aren’t just in a recession. They are in a depression. And builders have been the backbone of job creation in this country. An ailing industry will mean fewer jobs.”
New home building has fallen dramatically. Last month, the Commerce Department reported that new home construction plummeted 24.8 percent from 2006. It was the second biggest annual decline on record. The housing slump is rippling through the rest of the nation’s economy and is a likely indicator of a national recession.
The Finance Committee’s economic stimulus package included a provision authored by Senator Conrad to specifically aid industries like the homebuilders, by allowing them use operating losses they have in 2006, 2007 and 2008 to claim a refund of taxes paid in any of the previous five years.
The Finance Committee package also addresses the housing crisis by including $10 billion in mortgage revenue bonds that can be used by states to refinance subprime mortgages.
“My provision is targeted right at the industry that is the hardest hit," Senator Conrad said. “As long as the stimulus measures are timely, temporary, and well-targeted, we can boost the economy without worsening our nation’s deficit or undermining our commitment to fiscal discipline.”
Senator Conrad is the Chairman of the Senate Budget Committee. He is also a senior member of the Senate Finance Committee, which has jurisdiction over U.S. tax policy.
