Extensions of Remarks 10923

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Extensions of Remarks 10923 May 12, 1980 EXTENSIONS OF REMARKS 10923 EXTENSIONS OF REMARKS INTERIM FINDINGS Specifically, local educational agencies <2> The degree to which Federal activities which rely upon real property taxes for rev­ constitute a burden on local educational enues to support the operation of their agencies is relatively constant over the HON. BOB WILSON schools continue to derive those revenues years and can be determined based upon OF CALIFORNIA from taxation of residential property and factors within the scope of this review and IN THE HOUSE OF REPRESENTATIVES commercial property; both are major factors evaluation; in the tax base. So long as the Federal Gov­ <3> That budgetary considerations are not Monday, May 12, 1980 ernment owns and uses land as . places of relevant to determining the magnitude of e Mr. BOB WILSON. Mr. Speaker, in residence and places .of em:Pioyment, it burden placed upon local educational agen­ passing the Education Amendments of should carry a responsibility similar to that cies; 1978, the Congress included a provi­ of a private land owner. <4> That budgetary considerations, if they The Commission finds, as of this time, are to be a factor in the amounts paid to sion creating a 10-member commission that the evidence thus far before the Com­ local educational agencies, should bear on to study the· Federal impact aid pro­ mission- determining the· overall levels of appropri­ gram. The commission was charged <1> shows little, if any, dispute respecting ations for the program, and with the responsibility of evaluating the Federal obligation to assist in paying for <5> That, if those levels of appropriations the merits of the currently authorized the local share of the cost of educating chil­ are insufficient to compensate local educa­ program and with reporting to the dren who both reside on, and live with a tional agencies for the bl.lrdens placed upon Congress and the President its recom­ parent employed on, Federal property; and them, the funds appropriated for the pro­ gram should be allocated within .the pro­ mendations for continuation of assist~ <2> shows with respect to the education of ance to school districts affected by children who either live in low-rent public gram on the basis of priorities which take housing or live with a parent employed on into consideration the magnitude of the Federal activity. On August 15, 1979, tYl>es of such burdens. President Carter appointed the com­ Federal property. there is no basis to justify a policy distinction between <1> and <2> at D. SUBJECTS OP' RECOMMENDATIONS mission members. Its interim report this time. was recently filed. I include portions The Plan of Study adopted by this Com· B. STATE AND LOCAL LAWS mission included as means for developing of the report as a part of my remarks recommendations a series of special studies and want to call your attention par­ Witnesses representing the Administra­ designed to focus upon the issues about ticularly to the last section which tion contended that the economic benefits which recommendations would be appropri­ deals with the question of continued resulting from Federal activities are suffi­ ate. The evidence to the Commission thus cient to compensate local educational agen­ far appears to Justify a decision to make rec­ funding: cies for a major part of any burden placed INTERIM FINDINGS ommendations on a number of issues. The upon those agencies by the Federal govern­ Commission finds that recommendations The Commission has, at this time, com­ ment. The Commission is giving this conten­ should be made in the final report regarding pleted only half of its evidence gathering tion substantial consideration, questioning the following issues: task; no final judgments can be made re­ witnesses on economic impact issues, and <1> The kinds of ownership and use of garding recommendations for changing ex­ tentatively finds: land by the Federal government which war­ isting law based on the evidence gathering <1> that if there are net economic benefits rant consideration in an Impact Aid pro­ to date. The Commission, through the hear­ to the affected localities, the revenues from gram, including, but not limited to, Indian -ing process and staff research, has gathered those benefits are primarily in the form of lands, low-rent public housing, post offices, sufficient evidence to formulate general income and sales taxes imposed and used by and leasehold interests; · policies which can be the basis for the devel­ State government and local units of general <2> The criteria, if any, which school dis­ opment of those recommendations. government, rather than by local education­ tricts should satisfy to be eligible for Impact A. VALIDITY OF THE UNDERLYING PREMISES OP' al agencies; Aid; THE PROGRAM <2> that those revenues can only become <3> Whether in-lieu-of-taxes payments At this point• . the evidence makes clear available to local educational agencies from other agencies should be taken into that many of the problems Public Law 874 through substantial changes ·in State laws consideration in determining the amount of was originally enacted to address still exist which would affect fiscal independence of Impact Aid payments; today. The Federal Government still owns those agencies; <4) Compensation for the increased costs vast areas of land and uses that land as <3> that Federal policy should be neutral caused by sudden and substantial enroll­ places of residence for children in attend­ with respect to the relationship between the ments resulting from Federal activities; ance in public schools and as places of em­ States and their subdivisions and with re­ <5> Whether the present provisions for in­ ployment for their parents. School districts spect to fiscal independence of local educa­ cluding children of CUban Refugees should still rely on property tax revenues to sup­ tional agencies; and be expanded to include Indochinese refu­ port their operations. Federal ownership <4> that the policy in favor of treating the gees and children of undocumented aliens; and use of land thus continue to deprive Federal Government, to the extent prac­ · <6> Whether local educational agencies local educational agencies of substantial ticed, as a private owner is sound and should should be compensated for the costs they amounts of revenues and to place children be continued. incur in ·complying with Federal laws and in their schools without adequate compen­ C. SCOPE OF THE STUDY regulations; sation for the cost. <7> The method of calculating the While some school districts today rely less The evidence before the Commission amounts to which local educational agencies heavily on local real property taxation and which would support major reductions in are entitled; while there has been some increase in the the Impact Aid Program is based on a con­ <8> The obligation of the Federal Govern­ percentage of funds for public education tention that the Federal Govermilent must ment with respect to the education of feder­ that come from State sources, these reduce expenditures generally and that ally-connected children; changes in the pattern of financing public among Federal priorities Impact Aid is of <9> State treatment of Impact Aid pay­ schools that have occurred since 1950 are less importance than other items in the ments in their programs of payments to not great enough to justify discontinuing Federal budget. This contention does not local educational agencies including equal­ the Impact Aid Program in the foreseeable speak to the merits of the program ori its ization plans; future. They are significant enough, howev­ own terms but to the program's relative <10> The treatment of-federally operated er, to merit adjustments in the program merits when measured against other merito­ schools for military dependents; and with respect to the method by which the rious Federal activities. The Commission finds: <11> Priorities in allocating funds when amounts of payments are computed. These appropriations are insufficient to satisfy all adjustments are more in line with determin­ <1> That budgetary considerations are po­ entitlements. ing a more accurate estimation of actual litical questions which change from year to burden than with making any major year, based on many factors beyond the E. CONTINUATION OF THE PROGRAM changes in the underlying policies of the scope of this review and evaluation of the Subsequent to the establishment of this program, however. Impact Aid Program; Commission, the Administration submitted e This 0 bullet0 symbol identifies statements or insertions which are not spoken by the Member on the floor~ 10924 EXTENSIONS OF REMARKS May 12, 1981 to the Congress a budget request_ which NY> • • • would allow a faster write-off of ful effects. Such an action. he says, coul< would, were it adopted by the Congress, property used in a ranch or farm busines& lead to a "political breakdown" il) the result in a substantial reduction in the level and would simplify the depreciation rules; Ind.lam subcontinent and it would have of appropriations for the Impact Aid Pro­ and caused India to pull out of its nuclear coop gram for fiscal year 1981 ·from those of WHEREAS, NCA favors less complex de­ eration pact with Washington. thus depriv fiscal year 1980 and preceding lfsc&l years. precia._tjon provisions which allow a faster ing the U.S. of any influence over futurt This request has been a major subject of write-off of .business property; Indian nuclear developments. concern in much of the evidence submitted BE IT RF.BOLVED, That the NCA sup­ during the Commission's bearings. · ports lecislation which would allow a In fact, nothing· could be more destabiliz Thia situation beean with the -first wit­ .shorter 4epreciation period for property ing to the region than a decision to suppll nesses at the Commission's· first hearing used in'a ranch or f&Tm business and which uranium to India without safeguards after the Administration's representatives would sinu:Jlify the depreciatiQD rules.
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