Cole Condemns Last Minute Tax Hikes in Farm Bill

Press Release

WASHINGTON – Today Congressman Tom Cole (OK-04) voted against H.R. 2419 - more commonly known as the Farm Bill. Citing a last minute tax provision intended to offset spending requests, Cole and others pointed out that such a tax hike could potentially drive foreign investors and American jobs out of the country.

"Oklahoma's farmers deserve genuine assistance, not partisan bills filled with tax hikes and secret agendas," Congressman Cole said. "Many Oklahomans are employed by the very companies that could be hit with this massive tax increase - companies that have brought jobs into communities across our state. Jeopardizing these jobs in order to pay for excessive, non-farm related spending is an unacceptable policy."

Many Oklahoma residents are employed at one of more than a dozen major corporate subsidiaries in the state. These foreign investors have "insourced" jobs, providing over 31,700 new opportunities to Oklahomans. Those working in the manufacturing sector could be hurt substantially since manufacturing companies employ 35% of the total number of the workforce put at risk by these tax hikes.

"Nancy Pelosi and her allies have chosen to pay for their pet projects by punishing international companies who have provided Americans with over 5 million jobs. This might have a significant impact on companies invested in Oklahoma such as BP, Nestle, HSBC, Siemens, and Michelin. Trade and tax policy should facilitate job growth for Americans, not give companies a reason to avoid investing in the U.S. or force them to move off-shore. Holding American farmers hostage in order to force a tax increase on companies creating jobs in America is an unnecessary and false choice. And it should not be the solution to the Democrat's Farm Bill budget problem."

Cole cited the Michelin plant in Ardmore, Oklahoma as a possible victim of the proposed Democratic tax hike. "That plant is the largest single site employer in Southern Oklahoma," Cole stated. "I will not endanger the jobs at that facility so Washington Democrats can spend more money. Without a full legislative hearing we cannot know exactly how this bill will impact Oklahoma businesses and workers. That is not a risk I am willing to take."

Americans for Tax Reform, the National Association of Manufacturers and the U.S. Chamber of Commerce are among the increasing number of well-respected outside groups that have voiced opposition to the Democrats' Farm Bill tax increase. Additionally, this legislation calls for a tax increases that have never been considered by the Ways and Means Committee during any hearings, markups or bipartisan debate. Unfortunately, the bill passed the House today by 231 to 191.

Nevertheless, Cole predicted that the Democrat Farm Bill would not become law. "As long as it contains taxes on American jobs, this bill is unlikely to pass the Senate and, if it does, will almost certainly be vetoed," Cole said. "It's time for the Democrats to stop holding American farmers hostage to their tax and spend policies and work with Republicans to pass a Farm Bill that can become law."