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Lawmakers Ask for Report on Bonds Used for Abortion Facilities

JAN. 18, 2018

Lawmakers Ask for Report on Bonds Used for Abortion Facilities

DATED JAN. 18, 2018
DOCUMENT ATTRIBUTES
  • Authors
    Pittenger, Robert
    Lankford, Sen. James
  • Institutional Authors
    United States Senate
    House of Representatives
  • Subject Area/Tax Topics
  • Jurisdictions
  • Tax Analysts Document Number
    2018-3056
  • Tax Analysts Electronic Citation
    2018 TNT 13-16

January 18, 2018

The Honorable Gene L. Dodaro
Comptroller General of the United States
U.S. Government Accountability Office

Dear Comptroller Dodaro,

State and municipal bonds are meant to finance schools, bridges, roads, and other necessary infrastructure. Some cities and states have offered these tax-exempt bonds to abortion providers in order to build abortion clinics or related facilities. Every time one of these tax-exempt bonds is issued, there is a federal tax liability which is not paid. There have been numerous examples of these instances in the past, including:

  • In 2012, the New York City government development agency (New York City Industrial Development Agency) issued a tax-free $15 million municipal bond for renovation of Planned Parenthood's national headquarters. In 2015, Planned Parenthood of America then sold the facility for $69.6 million, doubling the $34.8 million it paid for the West 33rd Street condo in 2011.

  • In 2007, Sarasota County, Florida floated an $8 million tax-free bond to pay for a Planned Parenthood abortion clinic. The tax-exempt bond provided a federally subsidized low-interest loan to construct the Planned Parenthood Sarasota Health Center, a 22,795-square foot clinic providing abortion services.

  • In 2007, the Illinois Finance Authority approved an $8.05 million tax-free bond for a Planned Parenthood abortion clinic in Aurora, Illinois.

  • The Massachusetts Development Finance Agency, or MassDevelopment, granted a $5 million tax-exempt bond for the Central Massachusetts Health Center in Worcester, a Planned Parenthood clinic offering abortion services and the "morning after pill."

Given the lack of transparency and varied sources, we respectfully request a report on:

  • The instances in which state, municipal, local, and county bonds have been used to finance abortion facilities over the last 20 years;

  • The total federal tax liability that was involved in the issuing of these bonds;

  • The number of states, and which states, have issued these bonds; and

  • The impact of the bond on each abortion provider.

This study will provide necessary transparency to allow Congress to exercise appropriate oversight of the use of state and municipal bonds.

Sincerely,

Robert Pittenger
Member of Congress

James Lankford
United States Senator

DOCUMENT ATTRIBUTES
  • Authors
    Pittenger, Robert
    Lankford, Sen. James
  • Institutional Authors
    United States Senate
    House of Representatives
  • Subject Area/Tax Topics
  • Jurisdictions
  • Tax Analysts Document Number
    2018-3056
  • Tax Analysts Electronic Citation
    2018 TNT 13-16
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