Bill Text: OH HCR58 | 2013-2014 | 130th General Assembly | Introduced

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Bill Title: To urge the President and the Congress of the United

Spectrum: Moderate Partisan Bill (Republican 5-1)

Status: (Introduced - Dead) 2014-06-03 - To Policy and Legislative Oversight [HCR58 Detail]

Download: Ohio-2013-HCR58-Introduced.html

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As Introduced

130th General Assembly Regular Session 2013-2014

H. C. R. No. 58

Representative Sprague 

Cosponsors: Representatives Beck, Derickson, Sheehy, Stebelton, Thompson 

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A CONCURRENT RESOLUTION

To urge the President and the Congress of the United

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States to preserve the tax-exempt status of

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municipal bonds.

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BE IT RESOLVED BY THE HOUSE OF REPRESENTATIVES OF THE STATE OF OHIO
(THE SENATE CONCURRING):

WHEREAS, A fundamental principle of tax-exempt financing is	4
the ability of local governments to issue bonds that are free from	5
federal taxation in order to raise capital to finance	6
infrastructure projects that are vital to our nation, such as	7
road, bridge, hospital, school, and utility system projects; and	8

WHEREAS, The exclusion of interest on state and local	9
obligations from federal gross income is an important financing	10
tool at a time when building and rebuilding infrastructure is	11
required to meet federal mandates, promote community growth, and	12
support economic development programs that are critical to the	13
state and local economies of our nation; and	14

WHEREAS, The federal tax exemption is part of a	15
more-than-century-old system of reciprocal immunity under which	16
owners of municipal bonds are not required to pay state and	17
federal income tax on the interest they receive from municipal	18
bonds; and	19

WHEREAS, The federal tax exemption provides a significant	20
difference between public sector and private sector debt	21
financing; and	22

WHEREAS, The benefits of lower capital costs attributable to	23
tax-exempt financing include reduced property tax rates for	24
taxpayers, greater local investments, or both; and	25

WHEREAS, From time to time the President and the Congress of	26
the United States have proposed legislation to tax or alter the	27
federal exemption of interest earned on municipal bonds; now	28
therefore be it	29

RESOLVED, That we, the members of the 130th General Assembly	30
of the State of Ohio, oppose any effort to eliminate or limit the	31
federal tax exemption on interest earned on municipal bonds, and	32
urge the President, and any future administration, and the	33
Congress of the United States, to retain the current tax-exempt	34
status of municipal bonds; and be it further	35

RESOLVED, That the Clerk of the House of Representatives	36
transmit duly authenticated copies of this resolution to the	37
President of the United States, the Speaker and Clerk of the	38
United States House of Representatives, the President Pro Tempore	39
and Secretary of the United States Senate, each member of the Ohio	40
Congressional delegation, and the news media of Ohio.	41