NRF urges approval of economic legislation

WASHINGTON The National Retail Federation urged the House to approve economic stimulus legislation scheduled for a vote today, and also cautioned lawmakers against adding new provisions that could delay enactment of the measure.

The House is scheduled to vote today on H.R. 5140, the Recovery Rebates and Economic Stimulus for the American People Act of 2008, sponsored by Speaker Nancy Pelosi, D-Calif., and Minority Leader John Boehner, R-Ohio. The measure would implement the agreement reached last week between Pelosi, Boehner and Treasury Secretary Henry Paulson calling for a system of tax rebate checks of up to $600 per individual and $1,200 per married couple, plus $300 per child for families with children. The rebates are subject to income limits, and the legislation also includes tax relief for businesses that make investments intended to create jobs.

“This legislation is simple, targeted economic stimulus that will quickly put money into consumers’ pockets where it can boost economic growth by creating demand throughout all sectors of the economy,” NRF senior vp for government relations Steve Pfister said in a letter to members of the House. “Given the financial stress that consumers will be under in the coming year, stimulus legislation is essential to the health of our nation’s economy and to the jobs that rely upon the strength of that economy.” 

The NRF board of directors earlier this month passed a resolution urging Bush and congressional leaders to adopt economic stimulus legislation after the nation’s slowing economy resulted in the smallest holiday sales growth in five years. NRF is forecasting 3.5% growth for 2008, but the forecast is contingent on Congress and the Federal Reserve taking action to boost the economy.