ML20210P568
| ML20210P568 | |
| Person / Time | |
|---|---|
| Issue date: | 07/12/1999 |
| From: | Diaz N NRC COMMISSION (OCM) |
| To: | Cyr K NRC OFFICE OF THE GENERAL COUNSEL (OGC) |
| References | |
| COMSECY-99-020, NUDOCS 9908130033 | |
| Download: ML20210P568 (2) | |
Text
y
)
ll
' 4 nerv UNITED !BTATE8' I
t
+
o, NUCLEAR REGULATORY COMMISSION l
J[-
WASHINGTON. D.C. 20056-0001 o
I approve sending the response. Pleas a
see edits.
i o******
Uune 25,1999 j
d OFFICE of THE N11R. Diaz 7/itJ99 GENERAL CoVNSEL COMSECY-99-020 MEMORANDUM TO:
Chairman Jackson Commissioner Dieus REl. EASED TOTHE PDR Commnioner Diaz Commissioner McGaffigan
]
/g Commissioner Merrifield g
g; FROM:
Karen D. Cyr 4A s D.
General Counse
SUBJECT:
NRC RES'PONSE TO REQUEST FOR SUPPORT OF FEDERAL TAX RELIEF FOR WHISTLEBLOWERS The purpose of this memorandum is to seek Commianinn annrnval of _a proposed response to a requer' for written support of legislation which would amend the Intemal Revenue Code (IRC) such tnat it does not serve as a deterrent to whistleblowers.
i i
On April 23,1999, the NRC received a letter from Mr. Shannon Doyle, requesting that the Commission publicly support legislation which would change the tax treatment of amounts received as a result of employment discrimination claims. On May 13,1999, the Office of the
' General Counsel (OGC) sent an interim response to Mr. Doyle, stating that the issue was new
~ to the NRC and under consideration.
Mr. Doyle has informed NRC that, pursuant to a 1989 employment discrimination complaint filed with the Department of Labor under section 211 of the Energy Reorganization Act, as amended, he was awarded amounts for backpay, frontpay and compensatory damages. This award has not yet been paid, as the issue of calculation of the amounts to be awarded is still pending before the Department of Labor. In addition, he was awarded attomeys' fees that are to be paid directly to his law firm by the employer. Mr. Doyle's letter states his concern about the Federal tax treatment of these amounts _under current law, which could result in loss of most or all of the award. He argues mat this treatment could result in a chilling effect on whistleblowe'rs who would otherwise come forward with health and safety concems.
Prior to 1996, the IRC excluded from the income tax personal injury damages for both physical and nonphysical harm. The Small Business Job Protection Act of 1996 ("1996 Act") amended
- C);g w.
CONTACT:
Brooke D. Poole, OGC i
'(301) 415-2490 l0ll-lQ l
f
\\
~
l
~
9908130033 990712 Q
PDR COMMS NRCC c-CORRESPONDENCE..PDR a
4
b
=
1
'g'
/
/-
- //
Mr. Shannon T. Doyle 3762 West Cook Road Dothan, AL36301
Dear Mr. Doyle:
t This is in reference to your letter, dated April 23,1999, seeking NRC support for legislation s,imilar to H.R. 2792, the " Employment Discrimination Award Tax Relief Act," which was x,,
d(j introduced in the 105** Congress. As you know, on May 27,1999, Representative.Pryce introduced H.R.1997, the " Civil Rights Tax Faimess Act of 1999." This proposed legislation, t
while it differs in several respects from H.R. 2792, would have the effect of providing some tax H
relief to claimants who have received amounts as a result of unlawful discriminatic,n claims.
?l
" Unlawful discrimination," as defined in this proposed legislation, includes claims made under t
whistleblower protection provisions such as section 211 of the Energy Reorganization Act, as j
amendmi.
Of The NRC has reviewed the fundamental questions that you have raised. The tax issues 3
addressed in proposed legislation such as H.R. 2792 and H.R.1997 encompass a broad range of unlawful discrimination claims, in areas well beyond the purview of the whistleblower 3
protections of section 211. While not expressing views on these bills, the NRC believes the i
- ji Federal tax laws should not serve as a disincentive to employees who would otherwise come il forward with health and safety concerns. However, the NRC's mandate necessarily gives it a lj
' limitad perspective on these generic tax issues and we are not in a position to endorse particular 4
legislative proposals. M=:"-
r$e NRC Believes that the issues you raise wamw* % is /
it ma-Wdt y the Congress.
'i en.sth
'I h
Thank you for bringing our attention to this matter.
11 Sincerely, r
4
?
F 1
j
+4
.