Congressional Democrats Release Tech Agenda

(July 20, 2000) House and Senate Democrats, and the Progressive Policy Institute, held an event on Capitol Hill to announce a high tech legislative agenda.

Some of the key items in the agenda include:

• Increase federal spending on research.
• Make permanent the research and development tax credit.
• Expand the Rural Utilities Service to support the deployment of broadband telecommunications infrastructure.
• "Stem the Tide" of spam.

In contrast, several proposals backed by some high tech companies and trade groups are missing from the agenda, including:

• Raising the annual cap on the number of H1B visas.
• Making permanent the moratorium on new or discriminatory taxes on the Internet.
• Protecting intellectual property rights.
• Protecting individuals' privacy online.

Sen. Tom Daschle (D-ND), Sen. Joe Lieberman (D-CT), Rep. Jim Moran (D-VA) and Rep. Ellen Tauscher (D-CA) all spoke. In addition, representatives of the Progressive Policy Institute (PPI) spoke, and released the report titled Tools for Growth: A Legislative Agenda for the New Economy.

Sen. Daschle stated that "The New Economy demands a new framework, a new sort of public policy that encourages entrepreneurial growth and innovation, and expands opportunity for all Americans. That's where our recommendations come in. We have identified four main areas that demand Congress' attention. To grow the New Economy we need to promote research and technological innovation, invest in education, training and skills, grow the net and e-commerce, help all regions and communities prosper in the New Economy."

The report, said Sen. Daschle, "was produced by the Progressive Policy Institute's New Economy Task Force, which I co-chair, along with Gateway Computer's founder and CEO Ted Waite."

Sen. Joe Lieberman (D-CT)

The Democratic Leadership Council, the parent organization of PPI, is chaired by Sen. Lieberman.

He stated that "the report recognizes that the New Economy demands new ideas and models and prescriptions for realizing the boundless potential of America's innovators, entrepreneurs, and workers."

"And, I think it also focuses us on the future, which is to say, that up until this time, I think we in Congress, and folks in the New Economy itself, having tended towards what might be called the instant legislative gratification -- toward, focus, on short term term remedies to specific problems. This report expresses a point of view that I believe we new Democrats hold, which is that broader and longer term is going to be better," said Sen. Lieberman.

He cited as an example of a short term response the bill to increase the annual cap on H1B visas passed at the end of 1998. He called the bill a "valid, very necessary response." However, he continued, "but we all really know that America's economy is not going to survive solely on a diet of H1B visas. We are short changing our children if we don't get at the root of the problem domestically, and revamp our public education and training systems."

Both Congressional Republicans and Democrats have postured themselves to claim to be the most tech friendly. In May, Rep. Denny Hastert (R-IL), Rep. Dick Armey (R-TX), and other House Republican leaders held a similar event to announce their "E-Contract."

"There is a competition between the parties to reach out to the New Economy," said PPI President Will Marshall after the event. "I think the Democrats are winning that competition."

Sen. Lieberman responded to a question from Technology Daily's Drew Clark on differences between Republicans and Democrats. The Senator stated that he is not familiar with the Republican approach. However, he stated that Bush Sr. administration "turned away the first generation of leaders of the New Economy, including those from Silicon Valley, because they had an old industrial, old economy model, of government private sector relationship."

Bob Atkinson, Director of the PPI's New Economy Task Force, added that "the Republican proposals are still really playing out of the old failed supply side book."

Rep. Ellen Tauscher (D-CA)

Rep. Ellen Tauscher (D-CA), who represents the 10th District in the east Bay of San Francisco, also spoke at the event. She described her district as "where Silicon Valley sleeps."

She said that the report "leverages public and private partnerships, and a dynamic investment strategy, to construct a new legislative agenda. First, we must keep the New Economy moving at this break neck pace. And that is why we included an expanded R&D tax credit, and increased government investment in research, as part of our plan."

She also praised the report's proposal to create an office of Chief Information Officer for the U.S. government.

The report is silent on both privacy and intellectual property issues. Rep. Jim Moran (D-VA) addressed privacy in the question and answer session. He stated that "there are a number of issues that have yet to be resolved," including how to handle preemption of state privacy laws.