heenan? >> i'd like to give you an answer, yes or no, but really for -- i've been doing this a long time. the devil is in the detail. and, in our view, clearly all tax expenditures are not created equal. you know, to focus on accelerated depreciation, a tax rate will affect both our old business and our new investment. and, you know, so we have -- we're the largest industrial gas company in the u.s. we'll certainly benefit from a rate reduction. but to your specific question on investment decisions, that's a future question. a rate benefit is not going to impact our future decision. and so when i look at something like accelerated depreciation, that is very focused on new investment. new investment will bring growth and jobs. so i think we just have to be very cautious as to which tax expenditure we're using, and we're particularly focused on accelerated depreciation because we think it has a special place in promoting new growth, and we think with that will come jobs. >> but if the right bas

heenan? >> good morning. thank you for inviting me today and i appreciate it. i'd like to start by commending you, chairman, and the rest of the committee, for tackling this important topic of tax reform. we support the efforts and appreciate the time to talk about it here today. i'd like to start to give a little bit of a background about -- maybe not a household name. we sell air. we sell the components air. we can sell to a food and beverage company for a night again in your potato chip bag. the fizz in your soda. big companies, steel kpaenls that yooiz tons and tons of gases so a very diverse customer group. we have about $11 billion in sales worldwide and we're the largest industrial gas producer here in the united states. important, we spend about $2 billion a year on new capital investment. we go through a very rigorous process. we sit at a able to with the seen your leaders on each new project and they tend to be big projects and we discuss capital investment and we compare projects a

kron 4's catherine heenan has more on what is behind the spike and how much higher prices can climb. >> reporter: first stop china. gas rose 12% over the year before. this year it is expected to jump 35%. next iran. because of the tensions over its nuclear plans, they have threaten to shut down the straight. that could cut off 20% of the world's oil supply. [ music playing ] >> reporter: closer to home. the owners of a refinery shut it down. the economic down turn made it too expensive to operate. other refineries closed in philadelphia. and here in california, refineries are undergoing their winter maintenance as the state switches to its summer fuel. here are four facts you may not know, first the oil price information service predicts that gasoline could peak at a national average, $4.25 a gallon by the end of april. that would top the previous record in 2008 and, of course, gas prices are at least a dime higher in the bay area. but we are not the worst off. to find the country-highest prices, hawaii, $4.42 a gallon. american's gas consumption is down to its lowest point in 11 yea

i felt like i was an animal. >> reporter: catherine heenan, kron 4 news. >>> the rain has begun.ere is the golden gate bridge. hebrist rain over the central bay and near the mountains. east bay. up and down the shores. oaklands, hayward, all seeing heavy rain. san francisco, heavier rain, moving into the north bay. overnight, the rain continuing through 2:00 hour, north bay. we mean see it through 4:00 a.m. as well and it will impact your morning commute. 6:00 a.m., rain, delta, long the mountains as well. 8:00 a.m., to the north bay, inland vallies. we will see a lull. but lingering showers will stay with us into the afternoon. a look at totals 10:00 a.m. tomorrow morning, that is when the rain is expected to be done. inch of rain in the north bay. inch in the mountains. san jose and livermore, those places expected to get half an inch of rain. 2:00 p.m., bumping it up a tad, but not too much. overnight hours, we will see winds pick up. let's look here, earlier today they were fine. midnight, picking up to wind gusts to 30-40 miles per hour. 3:00 a.m. tomorrow morning, 40 miles

heenan argues that promoting investment accelerated depreciation is, perhaps, a more powerful tool than lower overall tax rates. you, however, say with respect to targeted tax incentives such as bonus depreciation, there's very little evidence that these policies have spurred any investment. can you comment on that? >> yeah, my statement is based on the, you know, the weight of the evidence and the literature. and basically, there are papers that will show there's a time effect. so firms will shift a purchase of equipment to a period that's earlier, say, by december instead of january. there's also evidence that firms will purchase a different class of asset. but what we can't tell in the literature and what is very difficult to parse out is whether these are, you know, part of it's just timing. part of it's just shifting. and some of it could just be a change in reporting. in other words, when you say a certain class of asset gets a certain benefit, they might just now record different assets differently. we can't tell that in the literature. the research that tries to look at aggregat

heenan? >> i think our sole focus should be about growth and how do we get growth and jobs. so i think sometimes there is a difference between equal and fair. and we should be focusing on growth. so while i think a lower tax rate certainly for us would put more cash in our pocket to spend on new investments, some of the targeted tax expenditures that are out there may have a bit more leverage than a lower tax rate. so we have to look that very closely. what is right i think is what promotes growth and jobs. and that might not be equal, but it's probably fair for the country overall. >> okay. thank you. i yield back. >> mr. kind is recognized. >> thank you, mr. chairman. i want to thank the panelists for your testimony today. always very illuminating and interesting. let me just raise a couple concerns and get your reaction on a few things. sometimes we're not really comparing apples to apples. i think everyone is in agreement that the goal should be to try to lower the base, simplify, expand

heenan?>> i'd like to give you an answer yes or no, but really, i've been doing this a long time, and the devil is in the detail. and in our view, clearly all the tax expenditures are not created equal. you know, just focus on accelerated depreciation. a tax rate will affect both our old business and our new investment. so we have, we are the largest industrial gas company in the u.s. we will certainly benefit from a rate reduction come to your specific question on an investment decisions, that's a future question. a rate benefit is not going to impact our future decisions. so i look at something like accelerated depreciation, that is very focused on new investment. new investment will bring growth and jobs. so i think we just have to be very cautious as to which tax expenditures we are using, we are particularly focus on accelerated depreciation because we think it has a special place in promoting new growth and we think with that will come jobs. >> that is the right is broadening measures w

catherine heenan has more on what is behind this spike.>catherine: in china a booming economy has put millions of new drivers on the road. last year gas consumption rose 12% ended this year is expected to jump 35%. next, and ron because of the ongoing tensions, ron has planned to shut down the street of hormuz. that would choke of 20 percent of the world's oil supply. closer to home of the owners of a giant refinery in the virgin islands have shut it down. the economic downturn made it too expensive to operate. other refineries have closed in philadelphia. in california, refineries are undergoing an annual winter maintenance. it is predicted that gasoline could peak at an average of $4.25 a gallon by the end of april. that would top a previous record from july of 2008. of course gas prices are traditionally at least a dime higher in the bay area. we are not the worst off. for the highest of the prices he would have to go to hawaii. drivers in mallee are paying $4.42 a gallon. american gas consumption is down to its lowest point in 11 years

>>pam: our team coverage continues with catherine heenan. she has been looking into a long history of this case. >>catherine: mchale like eric's mother and never got over the fact that she almost told her little girl that she could not go to the store, but eventually gave in. it was november 19, 1988, the nine year-old took off with her best friend, both of the road scooters. after they left the score, a trainer watched in horror when a man grabbed mchale from behind in through her screaming into his car. a wanted poster tells part of the story. mchale is fred was able to give police a enough of a description that they came up with this schedule. you the suspect was a white man with dirty blond shoulder length hair. mchale was mother has said if ever alerts existed at the time or better technology, the case might have been solved. through the years investigators have used age progression to suggest what she might look like including this picture showing where she might look like in her 20s. when jaycee lee dugard was founded 2009, she had ne

catherine heenan explains, many said her quit thinking helped save that little girl's life. >> this is never supposed happened. it is a teacher's worst nightmare. >>catherine: it started wednesday with a loud noise. >> it was a really loud sound. the kids are scared. then i saw her start to slump over. i knew that something happened but i could not figure it out. >>catherine: she immediately told the students to leave the class and get help. i lifted up her shirt and his father was a large hole. i could not figure out where a bullet came from. >>catherine: she held the eight year-old and applied pressure on her wound until the medical crews arrived. with her principal, she frantically began looking for the weapon. in the backpack of one of her classmates, there was a gun. i left in the ambulance with her. track felt like i needed to stay with her. >>catherine: she says the reason she sat down for the story is for her other students involved in the tragedy. >> he has a lot of good and i know he did not intend for this to happen. >>catherine: she wants the kids to learn a lesson from thi

as catherine heenan reports, anonymous calls that suggestion ridiculous.>catherine: this was the message posted, it says they just want to make you afraid. the post came after the wall street journal reported that the national-security interests he has warned of the president that anonymous could trigger a limited power outage within the next year or two. last year, all lived security issue this warning bulleted about possible threats to industrial control systems. the journal says federal officials believe the hacker group is headed in a more destructive direction. anonymous has stepped up its attacks in the passage of months, crippling the web sites of the web site -- fbi, cia at department of justice and hacking into personal records for the bart police in this city vaucluse. they have never listed a power blackout as a goal. another was pointed out there are people on my support and other vital services that rely on it. there has been no public comment. >>stanley: coming up, full- service gas at a self- service station, would you like it or not. that i

heenan. if we were able to adjust depreciation schedules within the overall tax strategy that would provide the ability, knowing the tax liability would be the same for your company in the longer term, but to do it on a more proportional basis. when there's a great year and the well is full of watt e, the idea of let's go ahead and make this capital investment to be leaned up and red dwi for more difficult times, being able to control costs. you've got the ability to invest in those technologies, knowing that there will be abdown cycle eventually. i'm thinking heavy manufacturing, the energy industry, areas that i saw that were very reluctant to get involved and make these vems. or say maybe if you have a great year, a small $50 million company could invest in $8,000 machine tools and write them off in one year, but know they're going to take that but the idea longer term is those jobs are protected and they become more competitive. where this gets particularly challenging to me is looking at

timothy heenan, at prax air, the largest provider of gases in north and south america. he joined in 2004 from earnst and young specializing in the development and implementation of international tax strategies. thank you all very much for your time and the committee has received each of your written statements and they'll be made part of the formal hearing record. each of you will be recognized for five minutes for your oral remarks, followed by questions. so mr. fritt, we'll begin with you. you're recognized for five minutes. >> good morning. chairman camp, ranking member levin and members of the committee, i very much appreciate this opportunity appear before you today to discuss the importance of tax reform to fedex. we believe reducing the u.s. corporate tax rate significantly to be more in line with the rest of the developed world is essential to overall economic and job growth. and will help our company continue to invest in critical infrastructure to compete and grow. before i tell delve into the details of how we analyze tax reform i'd like to make a couple of p

heenan? >> yeah, you know, i mentioned earlier we spend $2 billion in capital and we look at our projects. and if we miss, it's a big deal. if we spend $200 million in the place, it's a big deal. i commend chairman camp for taking on this difficult task. i would just say this is a big deal. and if we miss on how we do this, we're going to regret it. so i agree that we should move quickly, but i think we have to be cautious in looking at the specific expenditures and the specific way we do this. we don't want to miss on this one as a country. >> mr. neubig, please? >> i guess two points. phasing down the corporate tax rate is what has been done in canada and the united kingdom. i guess if the alternative is not doing a lower corporate tax rate, i think phasing down would be much preferable. in the case of the united kingdom, they have a parliamentary system. and they have announced that they are going to get to a 23% corporate tax rate by 2014-'15. one interaction in terms of the financial acc

catherine heenan is here with all more on what is behind this bike is and how high prices could climb. >>catherine: of hong watchers say they have never seen anything like this because price changes usually inch up by a fraction of over the weekend they jumped a full 55. here's a look at some of the basic reasons for the increasing pain at the pump. the first stop is china. a booming economy has the millions of new drivers on the road. last year gas consumption rose 12% over the year before. this year is expected to jump 35%. a run has threatened to shut down the street of hormuz. that would shut down 20 percent of the world's oil supplies. the four year economic downturn made it too expensive to operate. here in california, refineries are undergoing an annual winter maintenance. >>catherine: drivers and now we are paying $4.42 a gallon. americans gas consumption is down to its lowest point in years. that is fuel-efficient cars and less driving because of the recession. nevertheless americans spent 8.4 percent of income on gas. that percentage has doubled in the last decade. economist

it was donated in the memory of james and heenan yet and a thin. now it is 800 lbs. lighter due to metal thieves. this has been hit now wants, but twice. the some--the first time someone tried to get these bronze flowers but eight ac transit worker saw in it was repaired. now here are the other remaining to that the city put away. each weighs 200 lbs.. you see this piece of concrete? this was a whole for the com port of the u.s.s. maine. it was stolen one year ago with the city put the word out it was recovered and now it is in storage. now, the city is asking for your help again. they need to find the two missing and replaceable pieces fell open history. and here's your chance to behave nicely to help find the pieces before the end up in some meddling recycling yard. it is bad and people will resort to stealing historical pieces just to make it quick buck. >>reporter: for drivers tired of being stuck in traffic soon you will be able to buy your way into the bay area's new express lane. kimberlee sakamoto is back and she shows where the new lanes are rolling out. >>k

now team coverage continues with catherine heenan.king into a long history of this case. >>catherine: this was always a very sad chilling case clear yet is makayla garrett is a little girl that left home and went to ride scooters with her friend and never came home a. recruit her mother never got on the fact that she almost told her little girl that she could not go to the store a couple blocks away from their pay would hone and--there they were home and what he eventually gave in when the nine you obey her. he took off with her friend and after they left the store, retrieve know what when a man grabbed her from behind and crew her friend makayla is green ink in his car. a friend look into the death of a description that the payment would this get. but the suspect is described as a white man aged 18 to early 20s with a dirty blond shoulder like there. where her mother sent an amber alert and said, they needed a better technology your in a soul the case might have been solved. through the years investigators use aid progression to sugg

he is current on how to record prosecutors say he molesting boys over a 15 year period of the heenan has pled not guilty and if they the accusations are extremely difficult. >> mccaw i have worked with the thousands of young, but over the years and all of a sudden because of revocations from perceptions and that have dried and increase it of me, of the hot now i cannot tell a car dog on my desk, and all and sudden and these people have turned on me prosecutors of us the judge to require some. >>reporter: prosecute 7 as/sandusky's citizen to be run prior to today is at his home which does the border in playgrounds until they say his neighbors to our concern for the safety of neighborhood kids. what they say a visit with his plans if it is that a witness what clear yet how a man convicted of stalking the singer madonna is not bad because the law after escaping one after he escaped from a southern california mental hospital clinton and for feeling of for a second early '90s was arrested for selling the fans at madonna's home and his rental live if she did not marry him and it fit he had

>> and heenan is not >>gary: the actual white, you and your husband taught through rooms?is the opportunity was nearly shapeless and talk with him. >> that is the call for code should and trent. resources of >>gary: from your now i shall give me the same dinger--scene enter, leaving office? conventional same genus. harrumphed room for >>gary: number and enter sealed, the average dozens of hamas even his heavy 5 million out of the $8 million? him but is when you hear the he has four, or five deep in the nine any income coming their way in this court has blocked all. work record hours >> that is within my position needs to make sure of they are looking lullabies clayton not made a mess in the tape that is is the preferred >>gary: and he was so successful, and i am trying to be real have a right now. but he is a fight the full- year--more but he is the father of images some of the cafeteria--he is a father's did you do some of these guys. so that you grope for a mother and father of computers and what did not have anybody in the cabins and a new intelligence to run through th

we get the latest from catherine heenan. >> deal understand you have the right to remain silent room? >> des sir, yes i do >>reporter: we heard but did not see the suspect. or when this is a picture as a lane of live at the courthouse., and today police of the record complete emergency calls. when the first four victims were shot in the cafeteria where there will wait for a bus for a nearby vocational school. michael this young man died on monday, and two others for declared dead earlier today. high pressure aquarist nicholas was shot but his life was not considered to be in danger after shooting the fourth police say that he ran out of the cafeteria and into the hall and was pursued by a coach. midway to the exit he shot his bid and filed it dumpsters she was a senior, she was not seriously hurt and release from the hospital today. and prosecutors say that he abandon his gun before fleeing the school. by that time the school principal on the phone and police trooper. >>reporter: keep he gave himself up a few blocks away today he told the judge then he confessed to the shootings event