Crain's New York Business News

 

October 07, 2004

Rail link amendment nixed by House Republicans

by Wendy Blake

 

House Republicans yesterday blocked a Senate amendment that would have funneled $2 billion in unused federal tax credits toward a rail link connecting John F. Kennedy International Airport and lower Manhattan.

The move was a blow to Gov. George Pataki and the Bloomberg administration, which spearheaded the initiative to redirect the credits, created to help downtown businesses as part of the post-Sept. 11, $20 billion federal aid package. Insiders blast President George W. Bush, who publicly supported the measure about a month before the GOP convention, for “not lifting a finger” to win House support, and say the rejection is an “embarrassment” to the New York officials. A spokeswoman for Gov. George Pataki, however, says the state is hopeful that the amendment will make it through Congress as part of other legislation.

 

In a conference committee, House Ways and Means Committee Chairman Bill Thomas, a Republican from California, objected to including the amendment as part of a big corporate tax cut bill, according to reports. His office could not be reached for comment.