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Factbox: Items on Senate Democrats' 'jobs agenda'
WASHINGTON |
WASHINGTON (Reuters) - U.S. Senate Democratic leaders unveiled a long-awaited "jobs agenda" on Thursday but said they would solicit Republican support before determining which elements they would bring up for a vote next week.
Specific details also remain up in the air pending talks with Republicans.
Following are the approaches that Democrats included on their "jobs agenda," which they hope will bring down the nation's 10 percent unemployment rate before the November congressional elections:
* TAX CREDITS FOR SMALL BUSINESSES
President Barack Obama has proposed a payroll-tax credit of up to $5,000 for every net new employee hired in 2010.
In the Senate, Democrat Chuck Schumer and Republican Orrin Hatch would allow businesses to avoid paying Social Security taxes on some new hires for the remainder of 2010.
It is unclear which approach will be included in the Senate bill. Both could run into resistance from liberal Democrats who question their effectiveness.
Separately, Senate Majority Leader Harry Reid has suggested extending a tax deduction in last year's $787 billion stimulus package that allows small businesses to write off the cost of major purchases.
* OTHER HELP FOR SMALL BUSINESSES
Senate Democrats also would boost several lending programs administered by the U.S. Small Business Administration and help them promote their products overseas.
They also want to set up a new lending pool for community banks to extend loans to small businesses. Obama has proposed allocating $30 billion from the unpopular Wall Street bailout fund for this purpose.
* ROAD CONSTRUCTION
The Senate could shore up the dwindling Highway Trust Fund, which provides state and local governments about $40 billion per year for road and transit upgrades.
Democratic Senator Barbara Boxer said last week the Senate might provide enough money to ensure that the fund can operate through the end of the calendar year.
Separately, the Senate could also provide more money to upgrade sewer systems, airports, school buildings and other infrastructure. The House included $48.3 billion for these efforts in the jobs bill it passed in December.
* BUILD AMERICA BONDS
The package could expand a taxable bond program that helps state and local government pay for big projects.
Created as part of last year's stimulus package, "Build America Bonds" give issuers a federal rebate equal to 35 percent of interest costs, making them very popular with issuers. The program expires at the end of this year, and Obama has proposed making it permanent and expanding it at a lower subsidy rate of 28 percent.
* SAFETY-NET SPENDING
Congress temporarily extended unemployment benefits and other safety-net programs that have helped people weather the worst economic downturn since the Great Depression of the 1930s. These programs, which also include food stamps and COBRA health-insurance subsidies for the jobless, will expire at the end of February and will likely have to be renewed again.
* "CASH FOR CAULKERS"
Senate Democrats would provide incentives to weatherize homes and factories, creating construction-industry jobs and boosting energy efficiency.
* PUBLIC-SECTOR JOBS
Senate Democrats would provide money to state and local governments to help them avoid layoffs of teachers, police and other public employees. They would also provide money for worker retraining and summer-jobs programs for young people.
The House of Representatives approved $26.7 billion for these measures in its jobs bill.
(Reporting by Andy Sullivan; Editing by Alan Elsner)
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