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The truth about Debbie Stabenow and the 1099 provision

As she prepares for a tough reelection battle, the U.S. Senate’s most liberal member Debbie Stabenow (D-MI) is aggressively touting a recently-passed amendment to repeal her own job-killing IRS 1099 paperwork requirement from her own costly, unpopular health care overhaul. It’s remarkable that Stabenow asserts that she “authored the repeal of this onerous new paperwork requirement,” because not only did she specifically oppose such a repeal in the past, what she actually did is copy an amendment previously introduced by Republican Senator Mike Johanns (R-NE), who had already secured the necessary 60 votes to move it forward.

Notably, Stabenow claims in a Detroit News op-ed today that “[c]reating an environment where small businesses can flourish is a top priority for me,” and attempts to align herself with pro-business groups such as the U.S. Chamber of Commerce and National Association of Manufacturers. But these are the very same job-creators she blatantly ignored as she helped her Washington party bosses ram the bill into law on a straight party line. As you can see in the background information below, small business owners in Michigan and across the country have repeatedly voiced their opposition to the 1099 provision and to the health care bill overall – saying they were “deeply concerned that the healthcare law costs too much and further jeopardizes the economic recovery of our nation’s job creators” and that the law’s “new taxes, new mandates and new government programs… will stifle the ability to hire, grow and invest—key components that are necessary to move America’s economy forward in a robust and meaningful way.”

Looking at Senator Stabenow’s transparent political posturing as she looks toward an uphill reelection bid, please consider the following statement and background information from the National Republican Senatorial Committee (NRSC):

“It’s amazing that Senator Stabenow will go to such lengths to try and boost her own reelection chances, but refused to stick up for her state’s job-creators when it mattered most. Despite her continued attempts to reinvent herself, in reality Stabenow specifically supported this job-killing IRS paperwork requirement, both on its own and as part of the Democrats’ costly, unpopular health care overhaul. Only in February of this year, with the 2012 election looming, did Stabenow decide to take another Senator’s repeal amendment that was ready to pass, put her own name on it, and travel her home state taking credit for something she was once totally against. The facts are clear: Debbie Stabenow is the most liberal Senator in Washington, and it’s doubtful that Michigan voters will share her enthusiasm for this sort of transparent political posturing as she continues to seek their votes over the next 20 months.” – Chris Bond, NRSC Press Secretary

As the Senate recesses and she returns to Michigan, we also hope you’ll consider asking Senator Stabenow – why didn’t she listen to what Michigan small business owners were saying last year before she provided the 60th vote to ram the 1099 provision and other harmful small business provisions into law?

And how does she explain her repeated flip-flopping on this issue over the last year? See a brief timeline below…

BACKGROUND…

Senator Stabenow was against Senator Johanns’ 1099 repeal in September:

· Stabenow (D-MI), Nay

Motion to Invoke Cloture on the Johanns Amdt. No. 4596, as modified, to H.R. 5297; To repeal the expansion of information reporting requirements for payments of $600 or more to corporations, and for other purposes. (Senate roll-call vote, 09/14/10) 

Before she was for it in November: 

· Stabenow (D-MI), Yea

Motion to Suspend Rule XXII Re: Johanns Amdt. No. 4702; To repeal the expansion of information reporting requirements for payments of $600 or more to corporations, and for other purposes. (Senate roll-call vote, 11/29/10)

Before she opposed it, again, in December:

· Senator Barrasso, R-Wyo.: “Mr. President, I ask unanimous consent that the Senate proceed to … a fully offset repeal of section 9006 of the Patient Protection and Affordable Care Act, the Small Business 1099 paperwork mandate …”

Senator Stabenow, D-Mich.: “Mr. President, reserving the right to object, let me indicate, as someone who has voted in fact to repeal this particular provision … I object.” (Remarks on Senate floor, 12/01/10) 

Before claiming it her own in February:

· “… Sen. Debbie Stabenow (D-Mich.) proposed 1099 repeal language that is nearly identical to the Johanns language.” (Pete Kasperowicz, “Senate moves closer to deal repealing 1099 provision in healthcare law,” The Hill, 02/01/11)

ADDITIONAL BACKGROUND… 

NATIONAL FEDERATION OF INDEPENDENT BUSINESS: “Our Small Business Owners Remain Deeply Concerned That The Healthcare Law Costs Too Much And Further Jeopardizes The Economic Recovery Of Our Nation’s Job Creators. If new taxes, new mandates and new government programs in PPACA remain intact the law will stifle the ability to hire, grow and invest—key components that are necessary to move America’s economy forward in a robust and meaningful way. Simply put, Congress must repeal PPACA immediately.” (NFIB, Letter To Members Of Congress, 1/18/11)

U.S. CHAMBER OF COMMERCE: “Last Year, While Strongly Advocating Health Care Reform, The Chamber Was A Leader In The Fight Against This Particular Bill — And Thus We Support Legislation In The House To Repeal It … We see the upcoming House vote as an opportunity for everyone to take a fresh look at health care reform, and to replace unworkable approaches with more effective measures that will lower costs, expand access, and improve quality.” (“U.S. Chamber Backs Health Repeal,” Politico, 1/11/11)

NATIONAL ASSOCIATION OF MANUFACTURERS: “Manufacturers Remain Adamantly Opposed To The New Laws’ Employer Mandates, Industry-Specific Fees, Medicare Hospital Insurance Tax Increases, Reporting Requirements, Excise Taxes And Limits On Flexible Spending Accounts – All Of Which Place More Burdens On America’s Job Creators. Congress needs a clean slate to consider health care reform that will lower costs and improve the quality of care. Repealing these laws is an important first step to lifting the burden they pose on manufacturing companies and their employees.”(NAM, Press Release, 1/18/11)

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