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U.S. Senate Votes for E-Fairness

Senators Klobuchar & Franken Lead on Marketplace Fairness Act

In what has been called a test vote on the federal Marketplace Fairness Act (S. 336), the U.S. Senate produced a powerful statement for e-fairness on Friday when it added the Act to a federal budget proposal that ultimately passed around 5:00 a.m. Saturday morning.

The Marketplace Fairness Act Amendment was adopted with bipartisan support on a 75 to 25 vote.  The vote margin indicates enough support for the bill that legislative champions will begin to seek an avenue for its passage. Since the U.S. Senate and House have different approaches to the 2014 federal budget, the Marketplace Fairness Act as amended to the budget proposal does not have a chance to work through the federal budget process.

"The vote clearly shows it is time for the Marketplace Fairness Act to move forward in the U.S. Senate, and also work its way through the U.S. House of Representatives," said MnRA president Bruce Nustad in reaction to the vote Friday. "Retailers in Minnesota thank Senators Amy Klobuchar and Al Franken for their leadership and yes votes on this important retail fairness issue. The hard work of both Senators is reflected in the overwhelming support demonstrated in the U.S. Senate."

Both Senator Klobuchar and Senator Franken are among a group of 28 co-sponsors of the Marketplace Fairness Act. 

Retailers across the country as well as business trade associations, including the Minnesota Retailers Association (MnRA), applauded the action of the U.S. Senate on the Marketplace Fairness Act amendment.  A simple tweet from the Retail Industry Leaders Association said it all as the vote threshold for passing the amendment was hit during the roll call vote: "WooHoo #efairness".

In a speech a day before the vote, Senator Klobuchar named several MnRA members on the floor of the U.S. Senate including Creative Kidstuff, the Uff-Da Shop, Target, Best Buy, and Thrifty White Pharmacy, saying, "Businesses in Minnesota can't compete if they don't have a level playing field to compete on. The Marketplace Fairness Act would help get rid of the loopholes in our tax code that hurt brick-and-mortar businesses and cost our state money."

Senator Franken also addressed fellow Senators that same day: "In Minnesota, the retail industry includes nearly half a million workers - about one in five jobs in the state. And those retailers need to compete on price - and on service - every single day. But the current sales tax system makes it impossible for them to compete. Requiring online retailers to collect the sales tax at the time of purchase - just like main-street retailers do - is just common sense. It's more fair. It will be better for state budgets."

MnRA supports efforts to move the Marketplace Fairness Act forward.

About the Author

Bruce Nustad

Bruce Nustad is president of the Minnesota Retailers Association.

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