William F. Smith: “I support H.R. 3574, the Stock Option Accounting Reform Act, which preserves broad-based stock options. It is vital that…”

“I support H.R. 3574, the Stock Option Accounting Reform Act, which preserves broad-based stock options. It is vital that we preserve these incentives to promote stock ownership for millions of workers as we try to fulfill President Bush's goal of creating an ``ownership society.'' In my home state of Texas, numerous high-tech companies offer stock options to attract the best and the brightest employees. Options have become a vital tool used to attract educated and highly-skilled employees to companies both in Texas and elsewhere. Broad-based employee stock option plans give employees at all levels a chance to own a ``piece of the rock.'' This in turn fuels innovation and the entrepreneurial spirit and increases productivity, because employees feel as though they have a vested interest in the success of the company. However, the Financial Accounting Standards Board wants to change the rules in a way that would make it more difficult for companies to continue offering stock options to their rank-and-file employees. Passage of H.R. 3574 is essential in our efforts to create more jobs and growth in the high tech sector of our economy. It would be a huge mistake to discourage companies from offering stock options. Many of our international competitors are increasing the use of stock options to gain competitive advantage. So they are a vital tool to recruit and retain high tech workers in America.”