NGA Calls for New Speaker to Move Transportation, Online Sales Tax Bills

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WASHINGTON – The National Governors Association is calling on newly elected House Speaker Paul Ryan to move transportation and online sales tax legislation.

The group pushed for passage of this legislation in a congratulatory letter to Rep. Ryan, R-Wis., on Thursday just after he was elected Speaker with 236 votes. Most of the other votes were for House Democratic Leader Nancy Pelosi, D-Calif.

The letter was signed by NGA chair and Utah Gov. Gary Herbert and NGA vice chair and Virginia Gov. Terry McAuliffe.

"Several bills pending before Congress … would promote a strong state-federal relationship," the group said, "They include reauthorization of the Elementary and Secondary Education Act; long-term reauthorizations of our transportation programs to repair, maintain and build the infrastructure we need for the 21st century; and measures to level the playing field for all businesses by allowing states to collect sales taxes from remote businesses selling into our states."

The House Transportation and Infrastructure Committee approved a six-year surface transportation reauthorization bill on Oct. 22, but the full House has yet to vote on the measure. The House and Senate have passed an extension of the current transportation funding law until Nov. 20. The House is expected to approve the multiyear bill and then conference with a multiyear bill the Senate has passed by then.

On the online sales tax front, Rep. Jason Chaffetz, R-Utah, introduced a bipartisan bill earlier this year called the Remote Transactions Parity Act that would allow states to compel out-of-state online retailers to collect their sales taxes.

NGA has developed principles "to ensure the proper balance between state and federal action and promote a strong and cooperative state-federal relationship," the group said. These include that federal action should be limited to national situations and not unnecessarily preempt state action, as well as that Congress should avoid imposing unfunded mandates or shifting federal costs to states, the letter stated.

NGA leaders will be in Washington in January and would be interested in meeting with Ryan then "to discuss how to best establish a regular process whereby states and Congress work together to coordinate efforts and cultivate solutions," the group said.

In becoming Speaker, Ryan is giving up his position as chairman of the House Ways and Means Committee, which has jurisdiction over taxes. The Republican chairman of the Senate's tax-writing committee, Orrin Hatch of Utah, congratulated Ryan and said he looks forward to working with him.

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