Working Taxpayer Fairness Restoration Act
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Motion to proceed to consideration of measure tabled in Senate by Yea-Nay Vote. 51 - 45. Record Vote Number: 266. (consideration: CR S9094-9095)
July 9, 2003
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Introduced in Senate
June 2, 2003
Sponsor introductory remarks on measure. (CR S7189-7190)
June 2, 2003
Introduced in the Senate. Read the first time. Placed on Senate Legislative Calendar under Read the First Time.
June 2, 2003
Read the second time. Placed on Senate Legislative Calendar under General Orders. Calendar No. 118.
June 3, 2003
Motion to proceed to consideration of measure made in Senate. (consideration: CR S9089-9090)
July 9, 2003
Motion to table the motion to proceed to the measure made in Senate.
July 9, 2003
Motion to proceed to consideration of measure tabled in Senate by Yea-Nay Vote. 51 - 45. Record Vote Number: 266. (consideration: CR S9094-9095)
July 9, 2003
Voting History
1 vote recorded • Roll call available
Floor Debate
19 membersWhat members said about S. 1162 on the floor
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Floor Debate
19 membersWhat members said about S. 1162 on the floor
Madam President, I ask unanimous consent that the reading of the remainder of the amendment be dispensed with. Madam President, the reason I was happy to have the clerk read the first three findings…
Madam President, I ask unanimous consent that the reading of the remainder of the amendment be dispensed with.
Madam President, the reason I was happy to have the clerk read the first three findings in this amendment is that I think these words really speak to what the United States is all about, which is free speech, the ability for people to be told the truth, and the ability of medical professionals not to be gagged from telling the truth.
Most unfortunately, what is happening right now, as a result of this administration's policy known as the Mexico City policy, foreign nongovernmental organizations--in other words, nonprofit organizations--that received USAID family planning funding are restricted in how they can help their patients.
Who are these patients? I will go into this later in detail. But they are the poorest of the poorest women in the world. What has happened, I would say because of politics in this country, is we have a very unfortunate worldwide policy now that says to the private, nonprofit organizations that are helping the poorest of the poor people--mostly women--they cannot use their own money to advocate for changes in the abortion laws of their own country.
So if they believe the abortion laws in their own country are, for example, killing women because they are saying there can be no abortion ever, even to save the life of a woman, they cannot use their own funds to advocate for change. Or if they believe the woman who comes before them has decided, of her own free will and her own conscience and with her own religious guidance and with her own family guidance, that she would like to have a legal abortion, these foreign, nonprofit organizations may not use their own money to help that woman. Not only that--this is, to me, the worst of it all--they may not use their own money to provide full and accurate medical information about what options a woman has.
It is hard for me to understand that in a country as free as ours, in a country as great as ours, we would have a policy which we dare not do in our own country because it would be clearly unconstitutional. A domestic gag rule is clearly unconstitutional. Why would we put such a policy forward and tell these little nonprofit organizations, that are struggling to meet the needs of the poorest of the poor, they would jeopardize their USAID funding if they absolutely do nothing more than even tell a patient what her legal options are, what her safe options are?
This is known as the Mexico City policy because it came out of a conference in Mexico City a very long time ago. This policy ended with President Clinton in 1992, when he said he would absolutely uphold the law that we had before this global gag rule which said you cannot use Federal money in any way to promote abortion--that was the law, and he didn't disturb that--but certainly a group could use its own money.
What happened is for 8 years we did not have this regressive policy that turns the clock back on women's rights, and yet when President Bush came in, it was one of the first things he did, to reinstate this Mexico City policy.
I am very proud that cosponsoring my amendment, which would overturn this policy, are Senator Chafee and Senator Snowe. I am very proud to have them as Republican lead cosponsors. I am also very proud to have Senator Mikulski and Senator Murray as cosponsors. I am very happy to say the ranking member of the committee has told me I may add his name and he will be speaking in behalf of this amendment.
Clearly, we have an opportunity to do the right thing today. We have done it before. We have overturned this before. We have taken a stand before. I hope we will do it again.
Again, I wish to say what we are talking about here because there is always confusion. This has nothing to do with Federal funds. Federal funds may not be used in any way related to abortion. This only has to do with the private funds of these little nonprofits that are trying to help women.
What has been the impact of this gag rule? You may say, Senator Boxer, that is very interesting, but what is really happening on the ground?
Here is what is happening on the ground. With the gag rule in place,
these organizations face two choices: They can either refuse U.S. assistance or they can limit their own services. You know how hard that must be for these struggling organizations in these very poor nations.
Madam President, you have seen the world in your capacity as head of the Red Cross. You know some of these places are struggling. You know very much of it is the women who struggle the most, who are the most poor, who have the most health needs. We are seeing organizations saying: OK, I can't take the money. I can't take USAID funding because I cannot limit my ability to help my patients.
I am going to show you a case later that is very emotional and very disturbing as one example of a group that turned back this funding, and I will tell you why.
Imagine the Hobson's choice they face. Here they are, struggling, yet if they take this money, they can literally not tell their patients the truth. They are literally barred from telling their patients what is the most safe procedure for you, what are your options. They may not tell the patient that.
What is happening on the ground--and we will prove it with cases before you--we say women and families are suffering increased misery and even death. They are suffering this because there are clinics that are shutting down because they cannot take the money, and there are clinics that are being gagged, they cannot tell the truth.
Why is family planning assistance important? This is not just about abortion. These are clinics that help women plan their families. We know family planning increases child survival rates. It improves maternal health. It prevents the spread of HIV/AIDS. We have the President of the United States--and it is wonderful that he has decided to visit Africa. I have to say, while he talks about how much he wants to help HIV/AIDS, and I believe he does, he needs to understand, and perhaps he doesn't get the fact, if these clinics close down, we are going to see the spread of HIV/AIDS, we are going to see the spread of other infectious diseases.
International family planning funding helps save lives. On the one hand, to say I am here in Africa to help and on the other hand to have imposed a gag rule on doctors and nurses and clinicians so they cannot tell poor women the truth about their options or they cannot work to change the regressive laws of their country--for example, to say if a child is raped, if a child is the victim of incest, that child ought to be able to get a safe, legal abortion--these clinics cannot even do this under this global gag rule.
As a result of USAID funding, more than 50 million couples in the developing world use family planning. In the last 30 years, the percentage of couples using family planning has risen fivefold. This is something to celebrate. We know fewer than 10 percent of couples used contraception in the 1960s. We are talking about foreign countries that we helped. Now 50 percent of the couples use contraception. So the word is getting through. But the need for family planning assistance continues because of the growth of population.
Why on Earth are we setting in place a vehicle, this global gag rule, which will deprive people of their health care, will deprive women of knowing what their options are? We don't know exactly how many organizations have refused funding because of this gag rule, and we cannot measure exactly how many abortions would have been prevented by family planning. But we know clearly whenever you cut back in family planning services, you see an increase in abortions. We know 78,000 women throughout the world die each year. I want us to think about what that means. Seventy-eight thousand women throughout the world die each year as a result of unsafe abortions. At least one-fourth of those unsafe abortions in the world are girls age 15 to 19.
When we have a policy that results in clinics shutting down, we have a policy that results in illegal abortions because if they take the money, they can't tell a young girl the truth of what her options are. She may run to a back alley in desperation, and she may well die.
Seventy-eight thousand women throughout the world die each year from unsafe abortions. That is not a pro-life policy. I am sorry. That is an anti-life policy to put women at risk.
Seventy-eight thousand women die each year. That is a horrific statistic. That is happening because women cannot avail themselves of the family planning services they need.
What does our amendment do? What does the Boxer-Chafee-Snowe- Mikulski-Murray-Biden amendment do? First, it says foreign nongovernmental organizations cannot be denied funding based on the medical services they provide with their own funds, including counseling and referral services. Withholding medical information, as I have said before, to patients who need it is an intolerable situation. It would be intolerable in this country. We know, because it was tried in this country 20 years ago. There was absolutely an uproar. Doctors would say, excuse me, are you putting a gag over my mouth? Are you saying I cannot tell my patients what their legal options are? The answer came back: This cannot be sustained in a country that believes in freedom of speech. So what we couldn't do here we are doing there.
We say there shall be no gag rule. That is the first part of our amendment.
The second part says in addition to being able to tell the patients the truth about their options, an organization should be able to lobby in any way it wants as long as it doesn't use USAID funds.
We have a win-win situation in this amendment. Doctors and nurses and folks who work in these nongovernmental organizations and these small nonprofits are going to be able to tell the truth to their patients. Here are your options. Treat their patients like adults. I think it is essential to treat a woman like an adult. This is your predicament. These are the things you can do. You can have a child. You need to think about that. You could keep the child. You can give the child up for adoption. That is an option. You can end this pregnancy, if you end it early without complication. But it is your choice. I think women should be treated as adults.
Then if these organizations see that women are dying from illegal abortions because this country, let us say, outlawed legal abortions, they can lobby for this with their own funds. What we are doing is restoring democracy to the USAID program.
Frankly, I can't believe this regressive policy is even here in the 21st century. It is killing women. This is not something that is preventing abortions. Its impact is that women will seek illegal abortions. It is what happened in this country. Hundreds of women in this country died every year because they could not get access to safe, legal abortions until Roe v. Wade. Then we said to women, this is a legal option. It is your call. It is up to you at the early stages of the pregnancy. It is really a very straightforward and fair law.
What we are saying to women abroad now is if you go to a doctor, you should be able to hear your options. If your organization wants to be able to lobby on your behalf for better laws to protect your life, they ought to be able to do that--not with Federal funds, not with USAID funds, but with your own funds.
The global rule is undemocratic. It is a miserable impediment to poor women. It would be unconstitutional if imposed on our own citizens. It is bad foreign policy. I believe our bipartisan amendment ends it and does it in a very good way--in a way everybody can be proud of.
I want to tell you a story and give an example that occurred in Nepal.
I am so proud to serve on the Foreign Relations Committee at this time. I am the only woman, which is a lonely thing. Madam President, you ought to think about coming on with me. It is a great honor and privilege.
I want to say that our chairman, Chairman Lugar, could not be a more fair chairman, could not be a more hard-working chairman, and could not have more respect on both sides of the aisle. It is an honor to be on that committee in the Senate. It is an honor to be serving with the ranking member, Joe Biden. I think our colleagues are very bipartisan. It is a tough time now in our country for bipartisanship. We really work together on that committee.
At the time we were in the majority, we had a series of hearings on this
global gag rule to see what was happening on the ground.
In 2001, I chaired a subcommittee hearing where we had a small nonprofit, nongovernmental organization from Nepal. They were faced with this global gag rule. They had to make that Hobson's choice: Do they take the money and then give up their right to lobby in behalf of their patients or do they turn back the money? This little organization turned back the money. The reason they did it was not some abstract theory but a specific case. They cited how their organization was able to advocate on behalf of the 13-year-old girl whose name was Min Min.
This is a story I want to share with my colleagues. How can we turn our backs on this child and other children like her? How we can turn our backs on the organizations that are out there is beyond my comprehension to understand.
Min Min was raped by a relative. I want to show you her face. She was 13. Her family forced her to have an illegal abortion after the rape. As a result of illegal abortion, she was arrested and she was taken to a central jail in Nepal. In 2001, Nepal put the victim in jail--not the relative who raped her. Look at this child. The girl's relatives were not punished. But Min Min was sentenced to 20 years in jail, and she was abandoned by her family.
In your life, could you even imagine such a thing? A 13-year-old girl jailed for her life after she was raped. That was her crime.
This particular NGO in Nepal had refused to take USAID money because they wanted to advocate to change the laws in Nepal.
You would think we would be on their side. You would think we would be horrified that 13-year-old girls can go to jail for 20 years because they are the victims of rape by a relative. You would think we would say to this nongovernmental organization: We want to help you. But, no, under this global gag rule put into place by this administration this little girl was left that way, without the help of USAID, without the funding of USAID.
This NGO, which turned back the money, went to bat for her and to change the law. After 2 years in prison, this child--2 years in prison, from age 13 to age 15, when a child should be home with her family, getting the guidance and love of her family--after sitting in jail after 2 years, finally, the laws were changed. Because the NGO, the nongovernmental organization, refused to take the money--because they knew they must work to change laws--they were free to go and do it, and they got the law changed and she was released after 2 years in jail--2 years in jail for being a victim of a sexual assault by a relative.
Now, had this NGO taken the money of USAID, they would not have been able to advocate on behalf of this child. We had the leader of this organization come before the Foreign Relations Committee, and this is what he said: ``How can we turn our back on women who die or are injured daily due to unsafe abortion?'' How can we stop organizations from changing the laws?
The happy ending to this terrible tale is that the NGO worked with the government and last year the law was changed. There will no longer be lifetime jail sentences when these young girls are raped. That is the good news.
Let me give you the really terrible news. This NGO has been forced to close clinics in Nepal because of the loss of their USAID money. Now, can anyone stand up here--and I would ask someone. We have a Senator in the Chamber who I know opposes this and may get up and defend what we are doing. But it is pretty clear, my friends. You can put any fancy language and ideology on it. I am not ideological. I just do not want to kill women. I just do not want to have little girls age 13 sitting in prison because they are raped. I just do not want to tie the hands of organizations to rescue girls such as this, to change the laws of their country that wind up killing women, harming women, and making them sit in jail when they are raped.
If you can explain why that is a good law, that is your choice, and I respect that and all, but I cannot understand how we would, in this 21st century, tie the hands of small nonprofit groups that want to help girls and women such as this.
In Zambia, the Family Life Movement of Zambia, a faith-based, antiabortion organization, has been unable to expand programs because the global gag rule has disqualified Planned Parenthood Association of Zambia, a partner organization. The FLMZ promotes abstinence among young people in Zambia and it does not provide contraceptives but they are in partnership with Planned Parenthood. They are a faith-based antiabortion organization.
I told you, I am not ideological on this point. They are in a partnership with Planned Parenthood. This group that believes in abstinence, they cannot get the funding from USAID. Now, you explain to me how that works.
What this organization does is, if they would come across a young person or young people who are sexually active, they would be referred to this Planned Parenthood group or they could receive information about contraception. But the global gag rule has forced Planned Parenthood of Zambia to close three of its nine rural outreach programs and costs them more than $100,000 worth of contraceptives.
So here you see it. You see on the ground what is happening to organizations that are trying to help the most desperate women and girls.
The Family Planning Association of Kenya, which does not provide abortion, has had to cut its outreach staff in half, close three clinics that served 56,000 clients in traditionally underserved communities, and they have had to raise their fees at their remaining clinics because they would not take the money because they did not want to be gagged.
One of the clinics that closed housed a unique well-baby center that provided comprehensive infant and postpartum care, making it easier for women to receive critical followup care. The baby center is now closed.
What is going on? I think there is a misunderstanding in this administration because they are shutting down well-baby clinics. They are shutting down well-baby clinics. They are shutting down organizations that distribute contraception. They are shutting down organizations that are fighting for laws that will save women's lives.
This is a terrible, terrible regulation. It is terrible for the women. It is terrible for the doctors there. It is terrible for the nurses there. It is terrible for the babies there.
I think it is a terrible message from our country that we are so ideological over here that we will not let nongovernmental organizations that are trying to help women and families do their work because of some dispute over abortion in this country. I have some words about that: Get over that dispute. That dispute will be with us for a long time. We are going to have to resolve it in our way. But why make women in foreign countries pay the price, children in foreign countries pay the price, little girls such as Min Min pay the price because we have an argument over here over whether a woman should have the right to choose?
We are doing things to these organizations we cannot do in this country because it is a violation of the Constitution; it is a violation of freedom of speech. We are going around the world trying to bring democracy to countries.
We have soldiers dying for freedom of speech in Iraq right now--every single day. I have another 14 Californians who are dead since the war ``ended.'' Why are they there? They are fighting for freedom and democracy and freedom of speech for the Iraqi people.
But we have a policy that takes away freedom of speech from folks who want to help people get health care. It is a very bizarre twist in our country's history, and one that, believe me, is not lost on other nations.
Recently, the Health Minister of Kenya has suggested that abortion should be made legal as a way to confront the devastation that unsafe abortion has on the women in that country.
Well, congratulations to the Health Minister of Kenya for understanding something that our Supreme Court figured out a long time ago: that abortion should be legal and women should not be made into criminals, nor should doctors who help them as long as that abortion is performed in the early stages of the pregnancy. That is all that Roe says in this country.
The Health Minister in Kenya is looking at the devastation of illegal abortion. He is looking at the devastation of back-alley abortion, just as our
people looked at that in the 1950s, 1960s, and 1970s and came to the conclusion that we ought to legalize this and keep the Government out of it and let the people decide such an intensely personal, private, difficult, moral, religious issue.
He has come to the conclusion that people know better, not the government, that there should not be a rule that you must be forced in any way on this issue--either to not have an abortion or to have an abortion--and that maybe his people should be trusted. The organizations that have the gag rule in Kenya cannot speak out, when they know what they see and they want to help reduce maternal mortality and morbidity.
I am giving you these examples of various countries because I want my colleagues to understand this is not about ideology. This is about practicality. This is about children like this. This is about women. This is about families. This is about babies. This is about people getting help.
The Family Guidance Association of Ethiopia, the largest reproductive provider in that country, operates 18 clinics, 24 youth service centers, 671 community-based reproductive health care sites, and hundreds of other sites for health care. Still fewer than 20 percent of Ethiopians live within a 2-hour walk of any health provider.
We are talking about countries where people can't jump in a car and drive an hour to get health care. They literally have to walk to their health care. So if even a few of the clinics have to close down because of lack of funding, women are consigned to trouble. They are going to have to go two blocks around the corner, down the street, behind a house and have an illegal abortion and maybe face death or infertility.
A half a million dollars has been turned away by this organization, the Family Guidance Association of Ethiopia, because they will not abide by being gagged. They will not say to their doctors: You can't tell women the truth. They will not say to the nurses: You can't tell women the truth. They will not say to their people: You can't lobby your own government for changes in laws that will help women.
So what has happened? They have had to cut off the supply of contraception. It is a very sad day. Since abortion is illegal in Ethiopia, imagine what is going to happen if people can't have contraception?
You want the world to be perfect. I well remember this discussion when my children were younger. You want your children to listen to you. You want to make sure that every child is a wanted child. You want to make sure that there is abstinence, yes. But it might not happen. And if it doesn't happen that way, the way you want it to happen, to what are we consigning our young people?
In the case of these foreign governments, we are looking at a child in jail, and this one was raped by a family member. What is the policy of our country to be that we are going to tell these young women we are not on their side?
I cannot fathom it. A girl put in jail, served for 2 years because she was raped by a relative, and the nonprofit foreign organization that helped her was punished by America because they wanted to help her, because they wanted to get the laws changed, because they wanted to get her out of jail? What is wrong with us? How can we proudly stand by this gag rule? We should not. We should repeal it today.
As I say, we have bipartisan sponsorship on this bill and we have a chance to overturn it. The President has threatened to veto the bill if we overturn this global gag rule. Can you imagine, the President has said he will veto the bill if we reverse this rule, if we want to help children like Min Min. I want to ask the President: Do you think it is right to put a little girl in prison because she was raped by her family? I am sure he would say: Of course not. It is awful.
Then I would ask him: Do you think it is a good thing for people in that country to come to this little girl's rescue and help her? I am sure he would say: Of course.
My next question would be: Then why are you shutting off the funds to the nonprofit organizations that want to help her cause? He would probably say: Let me get back to you.
Frankly, I don't see how he could answer that without taking a long time to twist it around. This isn't about ideology. This is about real people. This is about the poorest children, the poorest women, the poorest families. This is about imposing a gag rule, which we are not allowed to do in this country because we have a Constitution, on other people. Why? I guess because we can. It is wrong.
It is wrong that the largest family planning organization in Ethiopia--God knows they have enough trouble there; they have droughts and everything else--loses $500,000 because they won't be gagged. And as a result, people cannot get contraception. And as a result, women are going to have to have illegal abortions because abortion is illegal in that country.
We know 78,000 women every year die across the world from illegal abortion. We are the United States of America. We are a good country. We are a kind country. We are a generous country. We are a great country. Why would we do this to the poorest of the poor?
In the case of Ethiopia, 229,000 men and 300,000 women in urban areas are not getting served by this organization because there is some ideological problem that we have here in this country that we should not export elsewhere.
I am coming to the end of my examples. I have one more about Peru. There is a program in Peru that is designed to engage local women from poor communities across the country in identifying the most pressing reproductive health needs. This organization, Manuela Ramos, convenes the discussions and then works with the Ministry of Health to develop specific responses to those needs. In many communities, women identify unsafe abortion as their most pressing problem. The gag rule prohibits this organization from even engaging in discussions about ways to reduce illegal, unsafe abortion.
I am mortified that a decision by this administration is gagging not only the people who receive USAID funds but even the people who go there are not allowed to discuss together how to make life better for the women of Peru, the women of the world.
I am taking a lot of time on this today because I am pleading with my colleagues to stand up and be counted. If it is true that you are not going to vote for this because the President said he will veto the bill, I say: Let's go for it. Maybe he will change his mind. I am happy to sit down and tell him about Min Min, this 13-year-old girl. I am happy to give him the statistics. I will be glad to talk to him about the 78,000 women dying every single year from illegal abortions. I believe I could maybe change his mind.
Maybe he will change his mind--let's give it a chance--if he sees a strong bipartisan vote.
I want to show you a couple of other charts and then I will be finished, until I hear the other side and I will come back to debate.
This is an editorial that appeared in the Washington Post when this global gag rule was put into place. It is headlined ``Divisive on Abortion.''
Making an organization censor its views as a condition of
receiving government money would be unconstitutional on free-
speech grounds in this country; it should have no place in
U.S. foreign policy. Moreover, requiring doctors to withhold
information from patients violates the common conception of
medical ethics. There will be . . . more circulation of the
AIDS virus, more poverty-entrenching high birthrates and more
unwanted pregnancies--meaning more abortions.
I will take a minute to talk about this because this really sums up what I have been saying in a very neat little package.
Making an organization censor its views as a condition of
receiving government money would be unconstitutional on free
speech grounds in this country.
Well, you know that is true. We don't do that. We don't tell every group in this country that receives Federal funds they cannot talk about anything, because this is America, the land of the free and the home of the brave. Free speech is the basis of our country. It is what our soldiers are dying for in Iraq. So we don't tell people in this country that if you get Federal funds, if you get Social Security, you cannot talk about X, Y, or Z. If you get funds through Medicare, you cannot talk about A, B, or C. Try that on the elderly population in this country. You will be out
of office so fast you won't know what hit you. Face it, that is what we are doing here.
They say that kind of condition on receiving money should have no place in U.S. foreign policy. I agree with that. Here we are, a bastion of freedom and democracy and free speech, going around the world telling people about that on the one hand and our soldiers are putting their lives on the line. Yet in this program, we are telling little charitable, nonprofit health care centers they cannot tell their patients the truth. Not only that, if they see a law that is killing their patients, they cannot work to change it. What a shame on our country. They say it should have no place in foreign policy. That is exactly right. That should have no place in foreign policy.
Requiring doctors to withhold information from patients
violates the common conception of medical ethics.
How true is that? When our doctors take the Hippocratic oath, they say they will do no harm, they will do everything to save the life of their patients and give them the best of health care. Imagine going to your doctor and you have a terrible illness and the doctor knows four options for you and he cannot talk about two of them because the Government said he could not. So you hear about two options but not the other two. When you found out that you didn't get the whole story, and something happened to you, your family would be in the courthouse door--and rightly so--saying: How could my doctor not have told my dad that this particular type of surgery would have cured his cancer?
The fact is, we are gagging doctors and health care practitioners in foreign countries from telling patients the truth. Then this editorial says:
There will be . . . more circulation of the AIDS virus,
more poverty-entrenching high birthrates and more unwanted
pregnancies--meaning more abortions.
We have a policy in our country called the global gag rule which I, Senator Chafee, Senator Snowe, Senator Mikulski, Senator Murray, and Senator Biden are trying to overturn. We hope to get a lot of you with us. We are trying to overturn a policy that is causing illegal, unsafe abortions to take place because, clearly, if you tell a nonprofit organization they cannot tell you the truth, you are going to be desperate.
Seventy-eight thousand women a year die. So you are also going to see more circulation of the AIDS virus. Why? Because a lot of these clinics that are closing down--and it is not just about abortion; it is about family planning, contraception, and learning how to protect yourself from the AIDS virus and other sexually transmitted diseases. And there are going to be ``poverty-entrenching high birthrates.''
Why would this be a policy of the United States of America? It is hurting people, not helping them. It is gagging people, not giving them free speech. It is hurting America's reputation in the world. It turns the clock back on progress.
Let me say very clearly as I close my opening statement that the Washington Post said:
Around the world, more than a half-million die from
pregnancy-related causes annually. A real pro-life policy
would focus on reducing that death toll by providing more
contraception and safer abortions.
That is it in a nutshell. It is not like we are dealing in mysteries. We know certain truths. We know that if women have access to good health advice, they will avoid unwanted pregnancies. We know that if they have access to good health advice, they will have healthy babies and they will be healthy. We know all those things. And we know for that to happen, women have to be educated on their options. We know that.
What else do we know? We know that some countries do terrible things. I want to show you again the picture of Min Min, who is 13 years old. She is in prison because a family member raped her. The organization that tried to help her, in order to do that, had to hand back their USAID funding because President Bush said they could not help her. He put the global gag rule in place. He said nobody can help her. That is what it says. If I talked to him one on one, I know he would be shocked at this story, but the fact is that this policy of a global gag rule made it impossible for the organization to help her until they gave back their USAID funding. What a shame on our country--to be associated with such an outcome.
I want to be proud. This is a country I love. I want to be seen as helping, as spreading democracy and freedom of speech and ideas.
So for all those reasons, I hope we will have a good vote that will get rid of this global gag rule. I don't care if there are veto threats. We have to stand up for something here. This is the Senate of the United States of America. This is the year 2003. Little girls such as this should not have to suffer because we have a policy that punishes folks who want to help her.
With that, I yield the floor and I hope we can continue this debate.
Mr. President, if my friend will yield, Senator Reid wants to be here, and I believe Senator Biden. I can get back to the Senator from Indiana in short order with how much time we will need.
I would think that will work, if I can just have a moment to get back to the Senator.
We have spoken with the Senator's staff, and we have made a suggestion. They apparently are working on finding out if it is acceptable. I will, once there is a quorum call in place, explain the details.
I suggest the absence of a quorum.
I move to lay that motion on the table.
The motion to lay on the table was agreed to.
Mr. President, I thank Senator Lugar for his outstanding leadership on this bill and on the issues of foreign affairs. He has done a fabulous job, as has Senator Biden, the ranking member. I also…
Mr. President, I thank Senator Lugar for his outstanding leadership on this bill and on the issues of foreign affairs. He has done a fabulous job, as has Senator Biden, the ranking member.
I also thank Senator Biden for the tremendous eulogy he gave about Strom Thurmond at the funeral in South Carolina last week. The Senator really did us very proud with his representation of this body and his relationship with Strom Thurmond. It was a touching event. His eulogy of Strom Thurmond was beautiful. I heard a number of people comment about it. It was very nice of him to do that. It was very nicely done.
Mr. President, I send an amendment to the desk and ask for its immediate consideration.
Mr. President, I ask unanimous consent that the reading of the amendment be dispensed with.
Mr. President, this is a simple amendment. I wish to spend a little bit of time talking about it, but it is quite straightforward, it is very important, and it is quite timely.
This amendment regards North Korean refugees and their seeking of refugee status in the United States. It is a one-paragraph amendment. Succinctly put, this will allow the United States to accept as refugees North Koreans who are fleeing North Korea and accept them as refugees into the United States. There currently is a legal dispute as to whether they can be accepted as refugees into the United States. The reason is because when you are born on the Korean peninsula, under the South Korea Constitution, they are automatically citizens of South Korea. Under our law, if you go to another country, you can go there and not seek refugee status here.
There are exits of massive proportions taking place out of North Korea today. We do not know how many. Some have guessed it is as low as 30,000 and as high as 300,000 North Koreans currently outside North Korea and in China living off the land. South Korea really cannot be expected to take all of these refugees who are fleeing China.
It would be an important statement, an important gesture of the United States to be willing to accept North Koreans who are fleeing as refugees into the United States. We can talk about how many at a later time. This seeks to clarify the legal dispute right now so they can be accepted.
The reason I say it is important right now is because currently, at a British consulate in China, there are four North Korean refugees seeking refugee status in the United States, and they are being denied that status of coming to the United States.
I think it is very important that they be allowed to come here as a statement of our support for freedom and liberty and against the tyranny of Kim Jong-il and his regime. The story of the North Korean people is one of the saddest tales on Earth, of hunger and fear and desperation. Isolation, indoctrination, torture, and arbitrary executions are the means to keep North Korean leader Kim Jong-il and his circle of cronies in power, and they exercise this authority and abuse that enormously.
Just the other day, the Financial Times reported on the lavish lifestyle of the North Korean tyrannical dictator saying that while Kim kept a private chef flown in from Japan to prepare his meals:
His people were forced to consume . . . tree bark, grass
and insects to stave off starvation.
The wretched situation inside North Korea has forced many North Koreans to take flight to any country that will accept them. The most logical destination is China, given its porous border and proximity with North Korea. Yet China refuses to acknowledge North Korean refugees, instead calling them ``economic migrants,'' thereby denying them protections normally afforded those fleeing political persecution. This is first and foremost a humanitarian concern for the fate of several hundred thousand refugees currently hiding in fear from North Korea in northeast China.
Without forcing China to grant this opening for safe harbor, not only will we be abandoning the North Korean refugees in China but we will be abandoning the 22 million people still inside North Korea. If a window for exodus is created, then the North Korean people will want to escape Kim Jong-il's tyranny. Though it is not yet certain, this exodus will likely expose the fissures in the regime, therefore triggering its implosion.
I rise to offer this amendment to the Foreign Relations Authorization Act, an amendment version of the North Korean refugee bill that I recently introduced along with other Members. Senator Kennedy has been a key sponsor and supporter of this effort, which will allow North Koreans fleeing Kim Jong-il's tyranny to be resettled in the United States.
Under the Constitution of the Republic of Korea, any person born on the Korean peninsula of a Korean father automatically retains the right to citizenship in the Republic of Korea, that is South Korea. That presents a simple problem for Koreans wishing to be resettled here in the United States.
This past weekend, as I noted, while we were enjoying hot dogs, fireworks, and family during the Fourth of July Independence Day, four teenaged North Koreans made their way to the consulate of the United Kingdom in Shanghai, China. These four North Koreans wanting to get away from the Stalinist-style repression sought refuge first with the British consulate, but expressed the desire to be resettled as political refugees in the United States.
According to today's Korea Times, their request to be resettled in America was denied by the U.S. Government, reportedly saying that it is the U.S. position not to ``accept North Korean defectors.''
These are people simply yearning to be free from a Stalinist, repressive regime, one of the worst human rights situations in the world, one of the worst politically oppressive situations in the world. If this is the case, if they are being denied by our Government, then I wonder if the Department of State believes that by doing so it is upholding America's responsibility under international law and fulfilling our moral obligation to give safe harbor to anyone fleeing persecution, and clearly they are.
I find this report to be appalling. It is sad to me to think that of all the United States can do in the world, and do so correctly, it is to be humane and uphold the principles of human dignity.
On June 5 of this year, I chaired a hearing titled ``Life Inside North Korea,'' exposing the brutality of Kim Jong-il's regime. In January, I attended the inauguration of the new South Korean president, President No, in which I asked him, a former human rights lawyer and admirer of Abraham Lincoln, to have compassion for his fellow Koreans across the DMZ and help them in their exodus.
Last December, I traveled to northeast China along the North Korean-
Chinese border to see the situation there, to meet with local Chinese officials and get input from NGOs working with North Korean refugees trapped in China.
Finally, in June of 2002, Senator Kennedy and I held a hearing on North Korean refugees and the resettlement question.
My amendment would ensure that at least there is the opportunity to come to the United States as refugees and it would give hope to those fleeing this repressive regime of North Korea.
There is much we could do to prioritize resettlement of North Korean refugees, but this is the first, easiest, and most noncontroversial step. I want to thank Chairman Lugar and Senator Biden for allowing me to offer this amendment and give this consideration before the committee.
This is a situation that needs to be addressed now. It will be an enormous positive statement to the world and to the Korean refugees if the United States says, yes, we will accept refugees from North Korea. It will be a terrible travesty if we say, no, we will not accept refugees fleeing one of the cruelest, meanest dictators in the world.
About a third of the North Korean people right now live on international food donations, much of which are coming from the United States. It is a regime that is repressive beyond belief. There are books out now--one I have read, ``Eyes of the Tailless Animals''--about how the regime treats the people so horrifically, worse than animals.
We have had pictures of refugees coming out--they drew them. They could not take pictures, but they showed how deplorable the conditions are.
I ask for a strong vote in this body to pass this amendment allowing the possibility of resettlement of North Korean refugees in the United States.
I yield the floor.
Mr. President, I ask unanimous consent that the order for the quorum call be rescinded.
Mr. President, I rise to address the Boxer amendment being considered. I acknowledge the
passion and leadership of the Senator from California. I have always respected her thoughtful arguments. We have had some issues in agreement and some issues in disagreement. This happens to be one we are in disagreement but it does not reduce my acknowledging her skill and abilities and the heart she brings to each and every discussion she puts forward.
This is a straightforward and simple issue, one that everyone can clearly grasp. It is about the use of taxpayer dollars, Federal, U.S. taxpayer dollars to fund abortions overseas; do you agree or disagree with that.
Some say, yes, we should do that; other people say, no, I don't think we should use taxpayer dollars overseas to fund issues such as this. Others say, I don't think we should use taxpayer dollars to fund abortion because of their deeply held feeling they are aborting a child and they disagree fundamentally with that. We have a clear issue before the Senate.
I note the history behind the so-called Mexico City language. On January 22, 2001, when President George Bush was sworn in and put into office as President of the United States, in one of his first acts, he reinstated the Mexico City policy. I say ``reinstated''; this was a policy President Reagan put in place. It was in place during President Reagan's term in office, in place during President Bush I's first term in office, and immediately repealed when President Clinton came into office.
The policy simply states that it prohibits Federal taxpayers from funding foreign organizations that ``perform or actively promote abortion as a method of family planning in other nations.'' That is what the Mexico City language is: ``perform or actively promote abortion as a method of family planning in other nations.''
So the President is saying as part of U.S. policy that we will not fund private organizations, NGOs, that perform or actively promote abortion overseas.
That is the issue. That is the point of the issue. You can color it with a lot of stories, you can color it with a lot of rhetoric, but the issue to decide in this body is, do we want to use taxpayer dollars to fund abortions or promote abortion overseas.
As I note to people, there are primarily two grounds that people disagree. The first ground is as a moral objection. A number of people just disagree with the issue of abortion. It is probably the most difficult social issue today as a society. We debate it regularly. The issue is, is the young child a person or a piece of property.
Others look at this differently. Senator Boxer and I have different views on that particular issue. I think history will clearly point out the side I represent is accurate and true and is the side I hope ultimately all Americans will agree with, that we believe in the fundamental rights of a personhood and of dignity, of each and every individual, no matter how weak or helpless they might be. It is in the great traditions of the Democratic Party to support people in a difficult spot, and it should be that support for the weakest and the most vulnerable which clearly that child in the womb represents. That is No. 1 as an issue.
The second issue, should you use taxpayer dollars, taxpayers from California, from Missouri, from Kansas, from Indiana, wherever they might be, should we be using those to support a policy that funds abortion in Nepal and Africa or that supports organizations in various places around the world that want to either perform abortions or promote the use of abortion in that country and that society? A number of people would say yes, I am willing to use taxpayer funds to go do that. Probably more people in the country, I think if you would poll people in the United States, would say no. No. 1, I think you spend too much overseas the way it is right now. No. 2, I disagree with you either paying for abortions overseas or supporting organizations that are trying to promote abortion overseas. I think that is a bad use of taxpayer dollars.
Those are the fundamental arguments that people bring forth in looking at the Mexico City policy. I think the Mexico City policy is a very commonsense policy that has been put forward by President Reagan, put forward by President Bush, George Bush No. 1, President Bush No. 2 as well. It has been in law since 1984, as an administrative act by the President. It is based in part on the belief that U.S. taxpayers should not be forced to subsidize or support organizations that perform or promote abortions overseas for family planning programs.
I have noted some of the specific arguments why that takes place. I want to take on one of the indirect arguments that a number of people raise. Some people argue incorrectly that Federal tax dollars would not have to be used for the actual abortion but could still be used to support the organization's other activities. This argument fails to properly understand the fungibility of money. Once you give money to a organization, it can use that for a broad range of causes. It can say, Look, we don't use this money for abortions or promoting abortions because we will use it in this sector, sector A of our organization. But in sector B of our organization we do fund abortions and we do promote abortions.
This money can be used to subsidize the overhead operation of the organization, it can be used to subsidize a mailing, and while this portion doesn't support abortion, there is also an additional mailing inserted that does. It can be used in the fungibility of the dollars. That is why we tried to put forward--why President Bush has tried to put forward a clear firewall on this set of funds.
It is not that the United States should not try to do good overseas, because we should and we are. I applaud this President for his efforts in global HIV, on the Millennium Challenge Account, where we are trying to help people in other countries to get out of these debilitating, horrific situations of HIV and its spread, of trying to give them some economic opportunity. The President put those forward. I strongly support those and hope those will clear through the Congress.
But here is one: Why would we take something so controversial, so counter to so many Americans' fundamental beliefs, fundamental thoughts, and say to the American taxpayer: We are going to use your dollars to do this, and, yes, we know you disagree with it on moral grounds and, yes, we know you disagree with it on fiscal grounds, yet we are going to go ahead and do that?
If we are so concerned about the individual overseas, and we should be, why not put the money in something we all agree with that is a terrible problem like global HIV or solving issues dealing with malaria or other diseases that are horrific but that do not get the number of research dollars they should for developing cures for them because they are in countries where people do not have enough resources to be able to buy the pharmaceutical drugs that would cure them? There are so many better ways you could spend this type of money than in something so controversial and so counter to what America stands for.
I think it is important for us to vote against the Boxer amendment.
There is a final reason here. I want to hit this point. There is another one as well. The final reason here is that the President has stated clearly he will veto the bill if this language that funds overseas abortions or the promotion of abortion is included in this bill. If that is in this bill, the administration will veto this bill.
The chairman and the ranking member have worked very hard to put a bill together to do the authorizing on authorization instead of appropriations so we can get a bill through. Rather than having it vetoed, wouldn't it be wise for us to go ahead and get this through?
One of the reasons we were criticized, and I think rightfully so, in the last Congress was that we didn't get anything done. There was a major Energy bill, didn't get it done; a major Medicare bill, didn't get it done. What the chairman and ranking member are trying to do here is pass a major State Department authorization, foreign assistance. We are trying to get it done and we can get it done. We can finish this and we can get it done. Yet you are trying to insert language to kill the whole bill and the whole process. On top of the controversy for using the funds for these purposes, the controversy about the whole moral issue of abortion, you are going to cause the veto of a bill over this issue.
I do not think that is wise legislating on our part. I do not think it is the appropriate way for us to go. I think the
American people would look at that as well and say: You know, this isn't a life-or-death issue on the point of getting this language.
Some would contend it is. If that is the case, let's make a malaria cure a portion. That is a life-and-death issue. But you are going to kill a bill by including such controversial language in it.
I urge my colleagues to reject this attempt to overturn President Bush's clear language, the clear policy that I think represents, really, what the American people want to see us do.
With that, I would like an opportunity--I think there are others who are going to speak on this bill--to possibly be able to rejoin the debate to answer some of the points that might be put forward.
I yield the floor.
Mr. President, I have an amendment that I call up for immediate consideration.
This concerns providing support for democracy in Iran and has been previously filed and been amended.
I worked closely with Senator Lugar, chairman of the Foreign Relations Committee, and Senator Biden, the ranking member. Together we have worked out language that we have all agreed to on an important issue of democracy and promotion of democracy in Iran.
This is a very important issue to the country and to the people of Iran. I am very thankful to the chairman and to the ranking member and their staffs for working together to get this language put together, language that is very strong, quite good, and makes a very positive statement.
I rise to discuss this important issue. It is our policy toward Iran. As the President rightly stated, Iran is a member of the axis of evil. The terrorist atrocities it spreads around the world are equalled by the horrific atrocities committed against its own people.
Today marks the fourth anniversary of the first major Iranian protest against a government that promised reform and utterly failed. I will show a picture to my colleagues of that protest 4 years ago, 1999, July 9--4 years ago today. The students, protesters, were out, thousands protesting the Government of Iran and saying they desired freedom.
This is a scene of that. It is being replayed again today. Protesters are out in Iran, even though the regime is doing everything they can to stop it, having quasi-police groups--really, thugs--going around and beating people with chains. They are putting people in prison. But people continue to protest.
This is a picture of a protest taking place 2 weeks ago, not just in Tehran now but protests are taking place all over the country, as the fire of democracy and liberty continues to burn aggressively among the people of Iran.
These are people who are pro-American, as well, broadly throughout Iran. They support the United States and our stand for freedom and democracy. It is important we stand with them.
The fact we continue to see protests in Iran despite very harsh treatment is showing the world that these protests are growing and will eventually lead to real change inside Iran. It is very appropriate it is today that we are offering this amendment to the State Department authorization bill which declares firmly that America supports real democracy in Iran. What is there now is not democracy.
It is a very basic message. It is extremely important that this body send a message to the Iranian people, and send it today, that we support their struggle for freedom.
This is not just an altruistic gesture of support. Supporting the forces of democracy in Iran is in the direct security interest of America. As I am sure many of you have heard, there are new reports about additional nuclear weapons facilities in Iran--these are based on military complexes and there can now be no misunderstanding of the intent behind this technology. Estimates are that Iran could have nuclear weapons as early as 2005.
Also, Iran has just confirmed that it has successfully tested a midrange missile, the Shahab-3, which is capable of hitting Israel, parts of Saudi Arabia and Iraq, where many of our troops are stationed.
This means that Iran could have nuclear weapons--and the means to deliver them to hit us and our allies.
Clearly, this is a bad situation which is growing worse by the day. So, why, in this context, would we shy away from supporting pro- democracy forces in Iran that want to bring the rule of law, respect for human rights and an end to support for terrorism to their country?
Some have said that if the U.S. supports the protestors, we will be bound to intervene militarily. These people have not paid attention to the unique situation inside Iran or the fact that Iranians don't want U.S. military intervention but, rather, strong moral and political support.
Young people make up nearly 70 percent of the country--and they are taking it back from the mullah minority. The Iranian people are a proud, strong, and independent people. They do not need, nor do they want, an outside military force to come into their land.
They will handle this matter themselves. They have already begun to do so. This does not mean that the military option is off the table. America reserves the right to protect its people and innocent civilians from a nuclear threat or further Iranian-backed terrorists, but this is a defensive option.
To be honest, America hopes that the Iranian people change their regime themselves, and the hesitancy you see within America's foreign policy circles with regard to Iran comes largely because there is such hope for internal change, where there was none in Iraq or Afghanistan.
There is no division in the U.S. Government about the fact that Iran is a threat to its own people and certainly to Americans. The Iranian people and the Iranian regime alike should know that we are united and resolute in our understanding of what Iran is doing. We will not allow Iran to spread its corruption throughout the region.
As President Bush so clearly stated in his State of the Union Address this year:
In Iran, we continue to see a government that represses its
people, pursues weapons of mass destruction, and supports
terror. We also see Iranian citizens risking intimidation and
death as they speak out for liberty and human rights and
democracy. Iranians, like all people, have a right to choose
their own government and determine their own destiny--and the
United States supports their aspirations to live in freedom.
That is what the President, stated in the State of the Union Address of January 28, 2003.
Recently, the President praised the Iranian people who kept up protests for over a week in the face of government sponsored thugs who beat innocent women with chains. The President called these protests ``heroic'' and indeed they are.
Just as it was an important rhetorical step for President Reagan to dub the Soviet Union ``an Evil Empire,'' so too it is important for us to recognize the current regime in Iran for what it is--an illegitimate, ruling elite that stifles the growth of genuine democracy, abuses human rights and exports terrorism.
It is clear by the Iranian regime's treatment of its own people in their attempt to be heard, that Iran is no democracy.
After all, it is the State Department's own report that classifies Iran as the largest state sponsor of terrorism. Do we really believe this is the will of the entire Iranian population? If so, we are saying that all Iranians are terrorists. This is wrong, and America must make it clear that we see the difference between the Iranian regime and the Iranian people--and we are supporting the people.
You can't call a country that screens the candidates a democracy. You can't call a government that tortures and kills its people openly a democracy. You can't call a country that refuses to enforce the laws that the screened, elected officials pass a democracy. All this is currently going on under Iran's so-called reformers.
I want to show how the reformers were elected into office. I will show a chart so my colleagues can easily see how we do get to the government that is currently in place in Iran. Seven years ago President Khatami was elected by the people. But how did he even get on the ballot? I want to show that, and also make some statements about his election.
For people to be running as candidates in Iran today, they have to go through the Council of Guardians. This is six members appointed by the Supreme Leader and six by the judiciary. The Supreme Leader is appointed by the council as well and is appointed for life. Khamenei, Supreme Leader, appointed six and six by the judiciary. Then all the candidates running for President, Assembly of Experts, 86 clerics elected for 8-year terms, and the Parliament, 290 members elected for 4-year terms, all these candidates have to be vetted by this 12-member council, so you can't get on the ballot unless you clear through the 12-member council for any of these three--the Parliament, the Assembly of Experts, or the President. You can't get on the ballot unless you clear through these 12 people, 6 appointed by the Supreme Leader who is appointed by them for life, never stands for election in front of the people, and 6 appointed by the judiciary. This is not a free election.
What about Khatami's election to President? He was elected for 4 years, for a 4-year term initially. This was 7 years ago. In his initial attempt he was elected. He was voted on, overwhelmingly favored by the people as the most reformist-minded candidate that the Council of Guardians would even let on the ballot. Over 60 percent of the people say: This is our guy because he is the most reformist, open- minded of the group, even though he was not. And it turned out that he was exactly what the Council of Guardians wanted: Good face, looks a little friendlier, gives the people a way to voice their thoughts. But he did not reform. He did not bring democracy. He did not bring human rights. He did not bring rights to women within the country. And he kept the country continuing its movement toward terrorism.
Even if you take all the power of these elected officials--so-called elected officials--they don't have the power over foreign policy, over the military, or over the Treasury. That continues to be held by the Supreme Leader and the Council of Guardians. So most of the power isn't even in the people who are so-called elected.
This is not a democracy, and that is why the people continue to protest--because they do not get to pick their own leaders and they want to pick their own leaders.
I want to show you what has taken place inside Iran, as a country, and why there is so much discontent, and why people are saying: Down with the President of Iran. Down with the Council of Guardians. They are so actively willing to protest and risk their own lives, and risk being arrested and beaten.
One thing I want to point out, too, these protests that have been taking place in the last couple of weeks, several sons and daughters of parliamentarians have been arrested as protesters. They are saying: Look, this government is not reform minded and we, as children of the parliamentarians, are saying this is not reform. And they have been arrested. They see the fallacy of the system, that it isn't working.
Look at this long-term trajectory pattern that Iran is on since 1978. Since the last government was thrown out, the Shah, and the protests were taking place, in 1979, what has happened to Iran? It was taken over by the ruling Mullahs, the Ayatolla at that time. They took captives of U.S. Embassy personnel for over 400-some days. Look what has taken place. Per capita, GDP is 20 percent lower today than in 1978 in Iran. There is widespread corruption, which was a key contributor of the 1979 revolution. Youth unemployment exceeds 30 percent. There has been a huge population explosion. Fifty percent of the population is under age 20--50 percent of the population.
There are religious legitimacy problems, persistent challenges to the Supreme Leader's religious credentials, and most Grand Ayatollahs do not approve of the Supreme Leader's doctrine on religious matters.
So this is really fomenting a situation. All we are doing with this amendment, which has been agreed to, and has strong language, is saying this is an illegitimate government; that we should and we do support true democracy in Iran and the right of the people to actually choose their leadership in Iran.
I think it is one of the most important things we can do. We need to show clear moral support to the people who are risking their lives today on the streets, across the country of Iran.
I hope we can get this through, that we can express our clear support to the Iranian people. This will be a powerful statement to the people protesting today.
I hope we can agree to this yet this evening.
I thank the chairman for allowing me to bring it up on the floor.
I move to lay that motion on the table.
The motion to lay on the table was agreed to.
Mr. President, I thank the chairman and ranking member very much for allowing us to put this forward. I think it is the very strong and right thing for us to do, and it is the right time.
I yield the floor.
Mr. President, I am pleased to join Chairman Lugar in presenting the Foreign Relations Authorization Act for fiscal year 2004. As the chairman has described, we will soon submit a substitute…
Mr. President, I am pleased to join Chairman Lugar in presenting the Foreign Relations Authorization Act for fiscal year 2004. As the chairman has described, we will soon submit a substitute amendment consisting of the text of three bills: S. 925, the Foreign Relations Authorization Act as reported out of committee in April; S. 1161, the Foreign Assistance Authorization Act, as reported out of committee in late May; and thirdly, a bill authorizing a new program, the Millennium Challenge Account which
was initiated by the Bush administration in March of 2002. This program was authorized by the committee in legislation also reported in May. Since then, further discussions have occurred between myself, Senator Hagel, and the chairman which the chairman has already described. I will return to that subject in a few moments.
All three bills received unanimous support from the Committee on Foreign Relations. The markups of these bills were not at all contentious and, quite frankly, didn't last very long. Their easy passage in committee is a testament to the bipartisan approach the chairman is developing on this legislation and the committee as a whole. The chairman has already summarized the provisions of the substitute amendment. Let me join him in highlighting a few of the key points.
First, the bill provides the President's budget request for the Department of State, and it does more. We increase the authorization for several programs where we believe the budget request is inadequate, such as embassy security, international exchanges, public diplomacy, and in certain foreign aid accounts, including programs devoted to nonproliferation activities. If we are going to send people overseas to advance American interests, we have to protect them. We have to give them the tools to do the job. That is what we attempt to do here.
Second, the bill authorizes establishment of a Middle East television network. In recent years, the Broadcasting Board of Governors has done an incredible job in reviving our radio broadcasting in the region. Radio Sawa now is, if not the most popular, one of the most popular and oft-listened-to programs in the region. I would note parenthetically that as we struggle to make our case known in the Middle East, we have to understand who our target is. You have the vast majority of the people, for example, in Iran under the age of 18. You have the vast majority, 60 percent of the folks in the Arab world, under the age of 18. We have a very young audience, an audience that if we don't begin to get the U.S. message across, in light of what they are being fed now, these young pages sitting here who make the Senate run, they are going to, when they get to be my age, inherit the whirlwind. They will have a gigantic problem.
The television network is a new undertaking that I and others have been pushing for some time. It is a new undertaking for the U.S. Government in broadcasting but one that I believe is clearly worth trying. Most people in the Middle East get their news from television. Three of us, the Presiding Officer, the chairman and I, returned a week or so ago from Baghdad. One of the things we found out was our case has not even been made there. We control the television de facto right now, and we are on, unless something changed in the last week, at least 4 hours a day with the most bland broadcasts. It is not but it seems that it is straight out of the public information department of one of the agencies in the Federal Government. We have to figure out a way to get Iraqis on television 12, 14, 18 hours a day explaining straightforwardly what is going on over there.
The Iraqi people right now are in 123 degree weather. They have no electricity and they are wondering why Uncle Sam, who could defeat their great Satan Saddam Hussein in such a short time, rout his vaunted army and Republican Guard and fedayeen, can't get everything up and running immediately for them.
They think like most folks in that difficult region of the world that there must be some plot. What they don't know is--and we are not broadcasting it--that all our efforts--not all--are being sabotaged, literally blown up, blowing up the grids, blowing up the powerplants. They are blowing up the oil pipelines.
So one of the larger points about the television network is we have to be in the game. We have to be in the game to be able to try to get our points across in a region where we don't get a very fair shake.
Third, the bill authorizes expanded international exchanges with the Muslim world, including high school exchange programs, modeled on a successful effort that has been in place with Russia and the newly independent states for some time now, and it is successful. There are a lot of avenues for reaching out to the Muslim world, and face-to-face exchanges are one of the best ways to be able to have impact on opening people's minds.
In the foreign assistance portion of the bill, let me call attention to two provisions--the Radiological Terrorism Threat Reduction Act and the Global Pathogen Surveillance Act. My friend from Indiana, the chairman, may be quietly smiling at me for taking these two and focusing on them because they are two proposals that I put forward. But I thank him for concluding they had merit and seeing to it they are in the bill.
I developed these bills over the past year to address the threat of possible radiological terrorism and bioterrorism. The bill on radiological terrorism would address the threat posed by radiological dispersion devices, colloquially known as dirty bombs. Most people listening to this do not understand when we talk about dirty bombs. A lot of people think it is a nuclear device, a homemade nuclear device. That is of consequence, but the dirty bomb can cause incredible economic dislocation, although it is not likely to kill a lot of people. It is taking radioactive material and packing it around conventional explosives and blowing it up and ending up making the area in which it is dispersed have a level of radiation that exceeds what is safe in the minds of the EPA and scientists for people to be engaged in. But it is not going to kill a lot of people if one went off, God forbid, in the Mall, which is not far from here. But it is a clear and present danger and a concern.
The Global Pathogen Surveillance Act is the second piece of legislation which authorizes $35 million in assistance for fiscal 2004 for developing nations to improve their efforts to detect, track, and contain disease outbreaks.
As the SARS epidemic has demonstrated, viruses and pathogens do not respect national borders. Without a quick diagnosis of a biological attack or a rapid recognition of suspicious patterns of diseases, and fast transmission of that information, we can see that an epidemic can spread very rapidly by getting people heading out of an airport not knowing they were exposed.
In dealing with dirty bombs and dangerous pathogens, it is in our national interest to help other nations contain these threats before they get to our shores--threats that do not respect national borders. This legislation does that. It helps them set up infrastructures to be able to have their public health systems go out and identify the existence of these pathogens. One of the things we know about SARS--and the criticism of the Chinese is they didn't acknowledge what was happening quickly enough. They didn't put in place quickly enough a national system to contain it. You have to know the problem before you can warn people of its existence. Many of these countries--a vast portion of them--do not have a public health infrastructure to be able to do this. This helps them; it is a small start of $35 million for that effort.
Finally, let me say a few words about the millennium challenge account. The President deserves, in my view, credit for proposing a significant increase in foreign aid, and requiring that such assistance be targeted to selected countries which meet certain performance criteria. I will acknowledge on the floor what both of my colleagues here know. I was skeptical of whether or not the performance criteria were really a way to avoid delivering foreign aid or a way to identify what we know is important. When we give foreign assistance to a country that, for example, is a democracy, as opposed to a dictatorship, we know that aid is more likely to meet its desired end and be used in a way that is efficacious than when we give it to a country that has no standards, so that we can determine how the money is being dispersed. I have become convinced for some time now that--and this is a President who, historically, I am told has been opposed to foreign aid per se, and some of his predecessors share his view--this is actually a way to increase not only our contribution in foreign assistance but also its efficacy. When we spend a dollar, we will get a dollar's worth of benefit--not us, but the people who get it for the expenditure.
We have learned over the last several decades that providing foreign assistance is important. We have learned a lot. One thing we know is that assistance works best in countries that get the basics right, countries that invest in the health and welfare of their people, have a relatively democratic system and an economic system that is open and transparent. That is what this millennium account is about--making sure that more money goes to places that will be able to use it well.
Where the administration has taken the wrong turn, in my view, is with this proposal to establish a new governmental agency to administer this program. Five years ago, under the leadership of our friend and former colleague, Senator Helms, Congress abolished two foreign policy agencies, the Arms Control and Disarmament Agency and the U.S. Information Agency, and merged them into the State Department. The legislation enacted in 1998 also gave the Secretary of State more authority to supervise operations of agencies; in particular, the Agency for International Development, so-called AID. I supported that initiative as did I think both of my colleagues here.
The President's proposal, the Millennium Challenge Account, in my view, is directly contrary to the decision Congress made 5 years ago about how we should organize. It would create a new agency to be located outside the State Department and outside the Agency for International Development. In my view, it would weaken the authority of the Secretary of State to coordinate all foreign assistance. I find it ironic that a Republican President would seek to expand the Government's foreign policy bureaucracy, just a few years after Congress voted to reduce the size of that same bureaucracy.
During the committee markup on this bill, the Presiding Officer, Senator Hagel, and I offered an amendment with the very powerful case he made, which the committee adopted by an 11-8 vote, to prevent the establishment of such an agency. Instead, the Hagel-Biden amendment gave the Secretary of State the authority to coordinate this new program consistent with the 1998 Helms reorganization legislation that passed. The administration responded by threatening a veto if the Hagel-Biden amendment were to survive in conference. I must say I don't find that veto threat very credible. It is easy for me to say, since I am not the chairman. There is a degree of sensitivity that increases when you are the ranking member and it is a President of your own party. I have been there. So I am sure my friend believes that veto threat is much more credible than I think it is. But that is pure conjecture. The reason I am doubtful is the President has yet to veto a bill--I would be shocked if he would veto this whole bill over that one issue. But that is a matter of subjective interpretation.
Subsequent to our markup and this veto threat, the chairman developed a compromise text that meets Senator Hagel and me part of the way. It retained the provision establishing a new agency, but it does do some good, in my view. It gives the Secretary of State greater authority over the agency by having its chief executive officer report to the Secretary of State, just as the AID administrator reports to the Secretary.
That is an improvement, but it still contains a fatal flaw, and that fatal flaw is the new agency, in my view. Moreover, it adds to the confusion by having the head of the agency report to the Secretary of State, but then assigns several of its critical functions to a five- member board on which the Secretary of State is only one of those five members and dispersing this aid through the millennium account.
Reluctantly, I will go along with this compromise proposed by the chairman. I still believe it is a mistake to create a new agency, and if things were to change, and if by the grace of God and the good will of the neighbors my party took over the Senate again, and if I were chairman of this committee, I must put everyone on notice that I will try to eliminate that agency and try to put it back in the State Department because I think it is a mistake. But I want to deal in full disclosure here.
I am going along with it because, quite frankly, the option is not particularly acceptable. The option is not have the agency, not have the money, not have the increased foreign aid, which I think is not a rational option.
If this legislation is enacted, as I said, I reserve my right to fight another day to attempt to reverse the decision. But based on the way things are going, I do not think anybody should get too worried if you think having a separate agency is a good idea.
I have acceded to the desire of the chairman in order, as I said, not to let the bill get bogged down on this organizational issue. I agree Congress should move forward and improve this important initiative, but in the coming months, the President's proposal will be put to the test relatively quickly. In announcing this initiative, the President pledged to increase foreign assistance above and beyond current aid budgets; in other words, not to sacrifice current programs. This is not we take away from here to give to foreign aid. It is to increase foreign aid and maintain our commitment on other programs as well.
I must tell my colleagues, I am starting to doubt the President will be able to deliver on that commitment. The allocations of the foreign operations appropriations account for fiscal year 2004 in the other body, the House, is abysmally low, in my view, just $17.1 billion, a reduction of $1.7 billion below the President's request. The allocations in this body, in the Senate, are better, $18.1 billion, but still three-quarters of a billion dollars below the President's request.
Even the bill before us falls short. It authorizes $1 billion in fiscal year 2004 and increases to the $5 billion level by 2006. But for this fiscal year, it is $300 million below the President's request.
Again, this is not a criticism of the chairman. He made a very valid point. We have not passed an authorization bill in a long time, and we did pass a budget with which I did not agree. I voted against the budget resolution, but the majority of the U.S. Senate voted for it. The chairman's argument is we must stay within that budget to have credibility in order to get the requisite number of votes to do something we have not done in a long time: pass an authorization bill.
The fact is, we are below the President's request because of being constrained by the budget guidelines we passed, and the House is way below it, $1.7 billion. According to press reports, the Vice President of the United States was involved in negotiations with the House leadership over House allocations. If that is true, it does not look to me as if the administration is working very hard to support this millennium challenge account. Again, as the old saying goes, the proof of the pudding will be in the eating. We are going to know very soon, God willing.
It is beyond my comprehension how the Congress will adequately fund the millennium account, keep our commitment to $3 billion a year to HIV/AIDS assistance, and not reduce any current programs. I seriously doubt it can be done, but I sincerely hope I am proven wrong on that score.
The burden, in my view, is on the President and the majority in Congress in both Houses to deliver on the President's promise. Just as the United States will demand accountability for countries that become eligible, the rest of the world is waiting to see if we will fulfill the President's commitment that has been widely circulated at the G-8, widely circulated in every international forum, and I think we will be making a gigantic mistake if we do not meet the President's commitment.
Mr. President, I yield the floor. I thank the chairman, and I believe we are ready to consider amendments. I see Senator Brownback is in the Chamber. It is my understanding Senator Brownback may start, but we are going to, at 2 o'clock, have a vote and then go back to Senator Brownback.
I thank the chairman for his diligence, for his courtesy, and for his leadership in getting us to this point.
Mr. President, I thank my colleague. It was a great honor for me to participate.
Amendment No. 1138 to Amendment No. 1136
Parliamentary inquiry: Is it appropriate to ask unanimous consent that is how we proceed; that is, a voice vote will follow if, in fact, the amendment is not tabled?
That is what I thought. That is why I asked the question. The amendment can be agreed to; is that possible?
At the time? I can't ask that now?
Parliamentary inquiry.
The Senator from Indiana is about to make a motion to table the Boxer amendment. It has been stated verbally that if that tabling motion fails, then we would move to a voice vote to accept the Boxer amendment. Is there any way in which to get a unanimous consent agreement that is how we would proceed?
I thank the Chair. Words make a difference.
I ask unanimous consent that if, in fact, the Boxer amendment is not tabled, the amendment be agreed to.
I thank the Chair and apologize for the clumsy way in which I phrased the question.
I commend Senator Boxer for her leadership on this legislation. I co- sponsored this bill in the last Congress and I am proud to support it again.
The Mexico City policy, also known as the ``global gag rule,'' is bad policy and a bad idea.
Let us be clear what this issue is not about. The issue is not about abortion--although it is often portrayed as
such by the proponents of Mexico City. Rather, the provision is about free speech and democratic values.
Longstanding law--a law authored by former Senator Jesse Helms-- already prohibits the use of U.S. funds to perform or promote abortions.
Let me repeat that. Current law, on the books for nearly three decades and authored by our former colleague Jesse Helms, already bans the use of U.S. taxpayer dollars to perform or promote abortions. Any assertion to the contrary is false.
The ``Mexico City'' policy goes much further: it demands that foreign, nongovernmental organizations which receive U.S. population assistance funds agree that they will stop using their own funds to discuss with their own governments how abortion will be regulated.
No such restrictions would be imposed on U.S.-based organizations, for a simple reason: they would be unconstitutional under the First Amendment.
Nor are such restrictions imposed on foreign governments. If they were, then U.S. assistance to countries such as Israel might be in danger, because the Israeli government uses its own funds to pay for abortions.
In my view, the Mexico City policy is anti-democratic, because it attempts to silence foreign recipients of U.S. funds.
It is the policy of the United States to advance the cause of democracy by promoting the values which we hold dear--such as freedom of speech, freedom of association, and freedom of the press.
The Mexico City policy flies in the face of these fundamental values by attempting to restrict the speech of recipients of U.S. funds.
This is a gag rule, pure and simple. It restricts speech. And for the life of me I cannot understand why anyone--Republican or Democrat-- would support a provision that would violate the First Amendment if applied to U.S.-based organizations.
Of course, foreign citizens and organizations do not have constitutional rights. But just because we can legally apply this restriction does not mean that it is good policy. And I do not believe that it is.
I urge my colleagues to adopt the amendment.
Madam President, I move to reconsider the vote.
Madam President, I share the view of my friend from Indiana. I think of the 20-some amendments out there, 99 percent of them are able to be worked out. Many of them will be accepted with a few small changes. I encourage if not the Senators, the staffs who are authorized to come to the floor and work them out.
Further, it is my understanding, regarding the distinguished Senator from New Jersey, we should proceed on an amendment he may withdraw. However, he is prepared to speak to that amendment. He wants to do that. I promised him I would try to get him up next. I am not asking unanimous consent but I am talking long enough so his staff can hear this and get him back over here. He is ready to go.
Mr. President, I will be happy to accede to that in light of the fact that Senator Brownback is here to go and Senator Lautenberg is not.
I want to make clear what I am saying. We already know there are 20-some amendments out there. I believe we can settle almost all of those amendments by negotiation without long discussions on the floor tonight or tomorrow or any time. I have no illusions, having been here a long time--even longer than the assistant leader--that we are going to get this thing done quickly, nor that we may not have nongermane amendments that may be meritorious and may take a long time. I understand that.
All I am saying is what we do know is this: Let's get it done because most of it is not nearly as controversial as it appears to be. That is the point I am trying to make. Not that I am making any predictions. There are two things I never predict. One is the weather and the second is what the Senate is going to do. So I am not predicting. I am saying we know what we have before us; let's get it done and we can move on tomorrow or the next day or next week or next year to do whatever comes up.
I yield the floor.
Yes. We are prepared to accept the Brownback amendment.
Will the Senator yield for a unanimous consent request?
Mr. President, I ask unanimous consent that I be added as a cosponsor to the amendment.
I am prepared to accept the amendment.
Mr. President, I ask unanimous consent that the order for the quorum call be rescinded. Mr. President, at this point I want to talk to the general subject of the two second-degree amendments offered…
Mr. President, I ask unanimous consent that the order for the quorum call be rescinded.
Mr. President, at this point I want to talk to the general subject of the two second-degree amendments offered by the Senator from California which will be pending for us to vote on later this afternoon. They both have to do with the requirement under the underlying amendment to impose an ethanol requirement for gasoline throughout the country and to not allow States to opt in or opt out of that mandated ethanol requirement.
One of the amendments by the Senator from California is to allow an opt-in, so that States that believe this will help them deal with their problems of ozone and the environment or other environmental pollution can opt into this program and take advantage of it; but for those States that believe it would be harmful to their environment, they would not have to opt in. The other amendment would require findings with respect to whether or not it would help the environment.
I want to comment about that because the State of Arizona is one of the States that would be adversely affected by a requirement to use ethanol. Partly, this is as a result of the fact that the climate in Arizona is very warm, shall we say, particularly in the summertime. Our summer runs essentially from April through October. During that period of time, ethanol does not work well in communities such as Yuma, AZ, and Tucson, AZ, because of the way it interacts with the surrounding hot air, and the product that is produced, the moisture from the tailpipe of the automobile, interacts with the air to in fact produce ozone, which is the very thing we are trying to prevent by the use of oxygenated fuel. As a result, Arizona has used an MTBE substitute oxygenate that doesn't create the same problem ethanol creates in the hot environs of the climates in Yuma or Tucson, AZ.
As you know, MTBE is associated with some environmental damage to aquifers, where MTBE has spilled into them inadvertently and, as a result, MTBE is being phased out.
Arizona receives all of its gasoline from refineries in California. Therefore, decisions California makes pretty well impact on what Arizona has available to it for its vehicle use. This is why, naturally, the points of the Senator from California are exactly the points I make, because they apply to the refineries in her State and the same kinds of climatological requirement that my State of Arizona has with respect to environmental protection.
So let me refer to several points with respect to the ethanol mandate and begin with that point of environmental impact. Ethanol is an extremely volatile fuel. It breaks down very quickly. In fact, it is virtually impossible to transport by pipeline because of this. It has to be transported by truck. Obviously, it is not produced in the West, in States like Arizona. It would have to be trucked in from other places such as the Midwest. This adds to the cost of the fuel, but that is another matter. Ethanol has been used as an additive in gasoline sold in the Phoenix and Tucson areas. But according to the Arizona Department of Environmental Quality, the State agency of the State of Arizona that is responsible for environmental protection in the State of Arizona, this mandate would be very bad for communities, as I said, like Yuma and Tucson, probably causing those areas to violate the 8- hour ozone standard under the Clean Air Act. This would have dramatic effects in Arizona. Those communities would be out of compliance.
There are a whole host of economic negative effects from finding a violation of the ozone standard. How can it be that the use of an oxygenate such as this would create more ozone? Because of the unique climate in Arizona in the summertime where, instead of reducing the amount of ozone particulate, it increases it.
Given the fact that there is no evidence that the use of oxygenates like ethanol would help improve the quality of air in Arizona, it seems to me a finding from the Arizona Department of Environmental Quality that says Arizona communities would likely violate the 8-hour ozone standard by being forced to use ethanol is a very powerful argument for the Governor of the State of Arizona having the option of opting into this program.
Why would the other States force on Arizona a program which our own Department of Environmental Quality says is going to make the air worse, not better--in fact, so much worse it will be in violation of the Clean Air Act? It is not as if the committee and the proponents of the underlying amendment have not understood that the mandate should not apply to all States. In fact, two States are specifically exempted--Hawaii and Alaska--from this mandate.
Why, if it is appropriate to exempt two States, is it not appropriate to at least afford other States the option of submitting themselves to this mandate or not, depending upon whether this mandate would make their air quality worse or better? It seems to me if we are really talking about environmental quality here, rather than a subsidy for the corn industry in the Midwest, then we would be looking at the environmental impact of a mandate of this sort. Since we have already decided that two States should not be required to comply with this mandate, we have already crossed the bridge of saying it is appropriate to exempt some States. Why not allow those States, with their departments of environmental quality having said they would be harmed, the ability to opt out, or the requirement that they opt in, in order for the program to be effective in the State? Why not allow that option for those States? What is so important about this mandate that every single State, except two--and I don't know why these two were exempted--is not at least given the opportunity to exempt itself from the provision?
It seems to me there has to be something else involved here. I suspect it has to do with the desire of the corn producers and the people who transform the corn into an ethanol kind of product to make a buck. But we already provide them a lot of bucks through the subsidy for ethanol that has already been voted on by the Congress, has already been in existence for many years, and which will increase in this bill. I could understand--I would not agree with it--a subsidy to try to produce more of something we think we want to produce. Even though I don't think that is a good idea, I could at least understand the theory that if we want more of something, we are going to have the Government provide a subsidy to produce more of it. I could also understand the alternative, which would be that this is such a good idea that we are going to force people to do it; we are going to mandate it because we in Washington know best, of course, and therefore irrespective of what the environmental quality people in your own State believe, by golly, we know better, so we are going to make them do it.
What is a little hard for me to understand is why we still need the subsidies if we are going to have this mandate. The purpose of the subsidies was to try to encourage this production, but we do not need the subsidies if people are going to be required to use ethanol. It is a mandate. We do not need the incentive or the encouragement anymore.
Clearly, this is about special interest money influence, and I will be that specific because the environmental benefits, especially to an area such as mine, have not been demonstrated. At least the point is made by an agency of my State that it would actually degrade the air quality of some parts of the State--in fact, pull them out of compliance with the Clean Air Act, and yet
the mandate would be imposed at the same time we continue to provide this subsidy. Something is drastically amiss here.
There is an old phrase, ``Follow the money,'' so maybe that is what we should do here. Let's take a look at the money part of this issue.
Currently, refiners use approximately 1.7 billion gallons of ethanol annually, and the underlying provision would increase that to 5 billion gallons annually by the year 2012.
There is no question that gasoline prices would increase, based on data from the Energy Information Administration. It has been estimated that the increase in gas prices caused by this mandate could be between $6.7 billion and $8 billion a year. So that is the price we as a country, as consumers of this product, will be paying simply to enrich the people who produce the product.
Arizonans will, according to this estimate, be paying on average 7.6 cents more per gallon of gas. Is that fair, Mr. President?
I speak very plainly about the subsidies to the ethanol industry. According to the Congressional Research Service--this is an unbiased source--the ethanol and corn industries have received more than $29 billion in subsidies since 1996 and could receive another $26 billion more over the next 5 years.
CBO, another unbiased source, has a different estimate for a different time period. They have estimated, based on a review of S. 791, the basis of the underlying amendment we are debating, $2.3 billion just between the years 2004 and 2008.
We also know there is an impact on the highway trust fund because every gallon of gas containing ethanol--10-percent blend--gets a 5.3- cent subsidy in the form of reduced gas taxes. This amounts to a 53- cent-per-gallon ethanol subsidy to the industry at the expense of the highway trust fund, and the Energy Information Administration has estimated that this will reduce the annual gasoline excise tax collections by an average of $892 million between the years 2006 and 2020.
Again, my State is a donor State already. Arizonans send $1 in taxes to the Federal Government and for highway transportation-related needs receives in return only 90.5 cents. So to the extent total revenues to the fund are reduced, the Arizona highway program will obviously be significantly impacted.
There are a lot of general points that I could discuss. There are disputes between authorities on the subject of whether or not it takes more to produce a gallon of ethanol than the gallon actually contains in terms of Btu content; in other words, do you actually have a net loss in net energy value. There are disputes about that. Some experts say about 29 percent more energy is used to produce a gallon of ethanol than the energy in a gallon of ethanol. The National Corn Growers Association, not exactly an unbiased source, disagrees with that. I do not know where the truth lies. Clearly, it seems to me the science is at best in dispute.
In any event, we would all have to agree that taking into account all costs, not just the energy cost, that clearly it costs a great deal to produce a gallon of ethanol or they would not need the subsidy which Congress has generously provided for its production.
I have already talked about the environmental benefits being questionable. It is not just my own State environmental agency but also a National Research Council report found that oxygenates have little or no impact on ozone formation, and there are a lot of refineries that claim they can actually produce similar environmental gains without the use of oxygenates. In fact, that is what we are going to have to do in Arizona because we cannot use MTBE, and we would hope not to have to use the ethanol, as a result of which we would have to find a different blend and would be committed to doing that.
It seems to me the ethanol industry, which enjoys this 5.2-cent-per- gallon exemption on the ethanol blend, or gasohol, from the 18.4-cents- per-gallon Federal excise tax on motor fuels, with the resulting mandate that the Congress is going to impose for the increase in the number of gallons used, would no longer need to be supported by this subsidy, which, as I said, works out to be 52 to 53 cents per gallon for pure ethanol.
The General Accounting Office estimates the tax exemption has deprived the highway trust fund--a slightly different number than I gave before--of between $7.5 billion and $11 billion over the 22 years it has been in place. This is a very costly subsidy and would be a very costly mandate.
Because the underlying amendment is costly, is not necessary, is contradictory with the subsidies that are already provided, and because the amendment of the Senator from California would simply provide the opportunity for States that would be adversely affected by this mandate to deal with their pollution problems in some other way--remember, they still have to comply with the Clean Air Act; nobody is exempting anybody from the Clean Air Act; they simply have to find a different way to comply--it seems to me it would be appropriate for us to support the amendment of the Senator from California and allow States to tailor their blends to the unique situation in their particular States.
Everybody would still have to meet the Clean Air Act but we could each do so in a way that best suits our individual purposes. For that reason, I hope my colleagues will support the amendment of the Senator from California.
Mr. President, can we have order?
Mr. President, let's make it clear that every State still has to comply with the Clean Air Act. The question is how they each choose to do so. In Arizona, the Department of Environmental Quality, the department of the State that is required to cause the State to be in compliance, says this mandate will actually cause two of our larger communities, Yuma and Tucson, to be in noncompliance with the ozone standard during the summer months. Each State can meet the requirements in the ways they deem best under the amendment of the Senator from California. Let's not mandate a one-size-fits-all--oh, excuse me, except for Alaska and Hawaii--for every State. Give the Governors who are responsible people the ability to decide whether this is the best way for their State to meet the Clean Air Act standards.
Madam President, I suggest the absence of a quorum. Mr. President, I commend the distinguished Senator from Wisconsin for his extraordinary leadership as subcommittee chairman and ranking member over…
Madam President, I suggest the absence of a quorum.
Mr. President, I commend the distinguished Senator from Wisconsin for his extraordinary leadership as subcommittee chairman and ranking member over a number of years and his eloquent and important statement on Africa today.
In a moment, the majority leader will be on the floor, and Members will want to take note that a rollcall vote is likely to occur sometime around 2 p.m. The leader will explain the situation. In the meanwhile, I suggest the absence of a quorum.
Mr. President, in the absence of the Senator from Delaware, I congratulated and commended him earlier on for his work as former chairman of the committee and one who has worked so closely with the chair and with myself on the MCA and so many other issues. I deeply appreciate that. That is the reason we are at this point.
Amendment No. 1139 to Amendment No. 1136
Mr. President, I send a managers' amendment to the desk, and
I ask unanimous consent that it be adopted.
I thank the Chair. Senator Brownback is in the Chamber, and he has amendments to offer. I am hopeful he might be recognized.
Mr. President, I support the amendment of the Senator from Kansas. Some may suggest this legislation is unnecessary, that any legal right to citizenship that North Koreans may have in South Korea would not necessarily bar them from eligibility for refugee or asylum status under the Immigration and Nationality Act.
However, with enactment of this legislation, certainty is provided on this issue. And I believe we must do more. It is important that we continue to press China toward better treatment of North Korean refugees, and I support efforts by the Administration in providing greater emphasis on supporting non-government organizations assisting North Korean refugees.
Mr. President, very shortly we are going to have a rollcall vote. I am hopeful we might take action before that point. So I will make just a brief statement of support for the amendment of the Senator from Kansas. He is a dedicated member of our committee, has traveled to Korea as he mentioned in his statement, as well as other parts of Asia that are relevant to this amendment.
Some suggest the legislation is not necessary, that the legal right to citizenship North Koreans may have in South Korea would not necessarily bar them from eligibility of refugee or asylum status under the Immigration and Nationality Act. However, with enactment of this legislation, certainty is provided on this issue.
I believe we must do more. It is imperative that we continue to press China toward better treatment of North Korean refugees and support efforts by the administration in providing greater emphasis on supporting nongovernmental organizations assisting North Korean refugees.
Both managers of the bill, Senator Biden and I, are prepared to accept the amendment.
Madam President, I ask unanimous consent that the order for the quorum call be rescinded.
Madam President, the distinguished Senator from California, a member of our committee, is prepared to offer an amendment, and we are eager to have that debate.
Mr. President, the distinguished Senator from California has presented her case, as always, with eloquence. Let me ask the distinguished Senator, I understand Senator Brownback may wish to speak on this issue, I want to speak for a short while on the issue, and the Senator from California perhaps wants some time.
What I would like to propose is we plan to vote at 5 o'clock and have 40 minutes more debate evenly divided, 20 minutes to a side. That would be my hope.
Very well. I will proceed, and then if the Senator can inform me, that will be helpful.
Mr. President, when the Mexico City policy, which is our discussion today, was restored by President Bush in 2001 when he came into office, he stated once again the conviction that the U.S. taxpayer funds should not be used to pay for abortions or for the advocacy, for those who actively promote abortions as a means of family planning.
The fact that this President has taken this position, as have other Presidents before him, does not lessen his commitment or our commitment to strong international family planning programs. Indeed, President Bush's fiscal year 2004 budget requests $425 million for population assistance, the same funding level appropriated during fiscal year 2001, President Clinton's final year in office.
President Bush has confirmed his commitment to maintaining these funding levels for population assistance because he knows one of the best ways to prevent abortion is by providing voluntary family planning services. That is a policy of our Government now. It is a policy that our President advocates for the future.
We are all aware of the numerous attempts to reach compromise language that would satisfy all sides on this very important issue but no acceptable accommodation has been found to date. Perhaps in recognition of this state of affairs, the President has advised that any legislation that seeks to override the Mexico City language will be vetoed.
Let me make clear that the restrictions in the Mexico City policy do not prevent organizations from performing abortions if the life of the mother would be in danger if the fetus were carried to term, or abortions following rape or incest. Similarly, health care facilities may treat injuries or illnesses caused by legal or illegal abortions.
I wish to make that point because the distinguished Senator from California has told the story, and it is a tragic one, of a 13-year-old girl. I simply want to clear up the point that the Mexico City policy has not prevented organizations from performing abortions if the life of the mother would be in danger if the fetus were carried to term, or abortions following rape or incest.
The issue comes in whether taxpayer funds of the United States should be utilized by organizations in the internal debates within countries. That clearly is an issue upon which Senators will differ, but it is a different issue than the issue of whether, in fact, funds might have been utilized in this particular tragedy.
There are many foreign nongovernmental organizations through which
USAID can provide and does provide family planning information and services to people in developing countries. The President has decided that assistance for family planning will be provided to those foreign grantees whose family planning programs are consistent with the values and the principles of his administration. And every President since 1984 has exercised his right in that regard.
I wish to make clear, and the Senator from California is correct in this assumption, the administration's statement of policy with regard to legislation that we now are engaged in states with regard to the amendment on Mexico City policy:
The administration would strongly oppose any amendment that
would overturn the administration's family planning policy,
commonly known as the Mexico City policy, and allow U.S.
taxpayer funds to go to international organizations which
perform abortions and engage in abortion advocacy. The
President would veto the bill if it were presented to him
with such a provision.
Mr. President, as manager of this bill, I have to take that statement seriously, as does every Senator. The distinguished Senator from California has indicated perhaps the President might be persuaded to change his mind, and perhaps that is the case. But this President has been very clear and I think the directives with regard to policy on this legislation are very clear in the language I have just read.
I appeal to Senators that there are so many important provisions in this legislation with regard to our national security, the importance of our diplomacy, humanitarian concerns to international organizations, the dues that are paid--a whole host of issues. I think Senators are aware of that. I hope we will not jeopardize all of this progress. I hope we will continue to have honest debate on the Mexico City policy in other fora, and there are opportunities for Senators, simply with bills that are directed to this issue, as opposed to amendments added to legislation in which we have put together the State Department authorization, the foreign assistance authorization, the Millennium Challenge Account, and a number of issues which are very important to the future of our country.
I will oppose the amendment. I ask other Senators to do so for the reasons I have given.
If I may engage in colloquy with the distinguished Senator from California, is there disposition that we may be able to proceed to an agreement on time for a vote?
I yield the floor.
Mr. President, I suggest the absence of a quorum.
Madam President, just for the sake of explanation to Senators of what is about to transpire, I am going to move to table the amendment that has been offered by the distinguished Senator from California. Senators will have a chance to vote. I will call for the yeas and nays, so it will be a recorded vote. In the event that Senator Boxer's amendment is not tabled, then I will move that we adopt the amendment by voice vote.
I thank all Senators for their assistance in this procedure.
I move to table the Boxer amendment and ask for the yeas and nays.
I move to lay that motion on the table.
The motion to lay on the table was agreed to.
Madam President, we have made progress on our bill. There are three amendments that will require some debate--but that will inevitably be accepted--still lined up for this evening.
I encourage--and I am certain the distinguished ranking member would join me--all Members who want to resolve their amendments to please do so this evening. We will be here. We have a good opportunity to work through almost all of the known amendments this evening.
Having said that, the leader has told me there will be no more rollcall votes and authorized me to make that announcement once again, We will proceed on this bill as long as it is productive. We hope Senators will come to the floor, offer their amendments, and have them resolved.
I will assist the Senator by indicating I suggest an order of Senator Brownback offering his amendment, then Senator Lautenberg, and then Senator Allen so the Senators would have some idea of the batting order. Senator Brownback, I understand, is prepared to go with an amendment on Iran that Senator Biden and I have studied. Then we would have Senator Lautenberg immediately following.
I thank the distinguished Senator for mentioning Senator Lautenberg and for obtaining his attention so he will be back and we can proceed.
I am prepared to yield the floor, and I understand Senator Brownback is prepared to offer an amendment.
Amendment No. 1145 to Amendment No. 1136
Mr. President, I thank the distinguished Senator from Kansas for his research, for his leadership on this issue, and for the amendment he has offered.
On our side, we are prepared to accept the amendment.
Let me inquire of the distinguished ranking member of the committee if he is prepared to accept it on the Democratic side.
Thank you very much.
I move to reconsider the vote.
Mr. President, I have listened very carefully to the distinguished Senator from New Jersey. What is the desire of the Senator? Does he desire to proceed to a vote on his amendment?
Mr. President, I appreciate that thought of the Senator. I indicate the amendment still needs to be discussed by some Members who have asked for an opportunity to speak; therefore, I am not prepared to accept it on our side at this point. So I am hopeful the Senator will allow us to lay the amendment aside temporarily for action tomorrow morning when others will be present to speak, and then we
would progress in the normal order to resolution.
I thank the Senator.
Mr. President, I ask unanimous consent that the Lautenberg amendment be temporarily laid aside and that Senator Allen be recognized.
Mr. President, we commend the distinguished Senators who have offered this amendment and worked carefully through the text of it to an amendment that is acceptable to both sides. I indicate my support and we are prepared to accept the amendment. My understanding is that the distinguished Senator from Delaware,
the ranking member, is prepared to accept the amendment.
Mr. President, I ask unanimous consent that the order for the quorum call be rescinded.
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Mr. President, I rise to speak on behalf of the ethanol amendment and to comment upon several of the remarks that were made by my colleagues. One of the items that was mentioned by the junior Senator…
Mr. President, I rise to speak on behalf of the ethanol amendment and to comment upon several of the remarks that were made by my colleagues.
One of the items that was mentioned by the junior Senator from Arizona was the issue of subsidy. I think it is important we clarify the fact that, yes, ethanol has been subsidized over the years, but the Federal ethanol program was established following the OPEC oil embargoes of the 1970s.
I am old enough to remember the long lines in 1973. At that stage of the game, we were only about 34 percent reliant on foreign oil. Of course, we all know today we are 58 percent reliant on foreign oil.
So when the ethanol subsidy came in place and the program was established, we had a dangerous dependence on imported oil. That was one of the reasons they did it. As an alternative to petroleum, ethanol directly displaces imported oil and reduces tailpipe emissions while helping to bolster the domestic economy. Yet today, as I just said, we import more petroleum than ever before with rising crude oil prices and increasing international instability.
Incentives for production and use of domestic ethanol are critical; that is, we can rely upon ethanol. We cannot rely upon imported oil.
I think it is really important for all of us to recognize the fact that we have subsidized the oil industry substantially since the early 1900s. Some may not believe this, but the oil industry started out in the State of Ohio. It was called Standard Oil. Today we continue to subsidize the oil industry. In fact, according to the General Accounting Office, in an October 2000 report, the oil industry has received over $130 billion in tax incentives just in the past 30 years, dwarfing the roughly $11 billion provided for renewable fuels.
Here is an interesting fact: During this time, the U.S. oil production has plummeted while annual U.S. ethanol production has grown by over 2 billion gallons. The point is, when we got into the issue of subsidizing ethanol, we were in very bad shape in terms of our reliance on foreign oil. Since that time, we have made substantial progress.
During the same period of time, if you want to pit one industry over the other, we have seen our dependence on foreign oil grow despite the subsidy we have provided to the oil industry.
There is also the suggestion that the ethanol mandate will largely benefit producers, not farmers. According to
the U.S. Department of Agriculture, ethanol production raises the price of corn by 30 to 50 percent nationwide. This is an average of 5 to 10 cents additional premium in the areas that supply ethanol plants. Both of these numbers apply to all corn, not just corn sold to ethanol plants. Given a billion bushel corn crop, it adds between $3 and $5 billion to farm income every year. There is no question, ethanol is good for our farmers. Additionally, farmers own nearly 40 percent of the ethanol industry, and that is growing. These farmer owners realize value-added benefits from their investments.
A chart was referenced by the Senator from California about the fact we are relying on Archer Daniels Midland for 46 percent of our ethanol. The fact is it is now down to 32 percent. The real growth in producing ethanol is from ethanol plants financed by the agricultural community in the United States.
Finally, every major farm organization supports the fuels agreement, including, but not limited to, the following: American Farm Bureau Federation, the National Farmers Union, National Corn Growers Association, American Corn Growers, National Grain Sorghum Producers and American Soybean Association.
Now, we have some concern about what impact does this industry have on the National Treasury, our general fund. Both the U.S. Department of Agriculture and the Congressional Budget Office have recognized the benefit of the investment in the ethanol program on the overall health of the Nation's economy. Recently, the USDA stated the ethanol program would decrease farm program payments by $3 billion per year. In its analysis of this amendment, CBO stated the provision would reduce direct spending by $2 billion during 2005 to 2013, certainly a partial offset to any subsidy given to the ethanol industry.
Tripling the use of renewable fuels over the next decade will reduce our national trade deficit by $34 billion. Our trade deficit is at an all-time high. A lot of that trade deficit has to do with importing oil. It will increase the U.S. gross domestic product by $156 billion by 2012 and create more than 214,000 new jobs. It will expand household income by an additional $51.7 billion, and it will save taxpayers $2 billion annually in reduced government subsidies due to the creation of new markets for corn.
We see a tremendous economic benefit to this ethanol industry in our country. That is why we are working so hard to have this amendment included in the Energy bill.
In addition to its importance in becoming more self-reliant in terms of imported oil, also in terms of our economy, ethanol helps our environment. This bill provides strong antibacksliding provisions that prohibit refiners from producing gasoline that increases emissions. Once the oxygenate requirements are removed, a Governor can also petition EPA for a waiver of the ethanol requirement based on supporting documentation that the ethanol waiver will increase emissions that contribute to air pollution in an area of the State. This is something that was not mentioned by the junior Senator from Arizona in his presentation. The fact is, if ethanol is such a big environmental problem in the State of Arizona, the Governor of Arizona can petition that they be exempt from the mandate provision. That is included in our amendment.
Last year, the ethanol industry also worked with EPA on the discovery and containment of the emissions from ethanol facilities. Consent decrees have been filed by the Justice Department in record time, and compliance by the ethanol industry has been cited as a model.
The fuels agreement we are asking Members to support will benefit the environment in a number of ways. It reduces tailpipe emission of carbon monoxide, VOCs, and fine particulates, and phases down MTBE over 4 years to address our ground water contamination problem. It provides for one grade of summertime Federal RFG, which is more stringent. It increases the benefits from the Federal RFG program on air toxin reduction. It provides States in the ozone transport region enhanced opportunity to participate in the RFG program. And it includes provisions that require EPA to conduct a study of the effects on public health, air quality, and water resources of increased use of MTBEs. We have tried to cover everything in this amendment.
The amendments to opt out of this program are unnecessary and unwarranted.
The fuels agreement contained in this amendment that passed the Senate last year includes the establishment of a renewable fuel standard and will provide for greater refinery flexibility in the fuels marketplace than the existing Clean Air Act oxygenate requirement. It does not require that a single gallon of renewable fuels be used in any particular State or region; rather, the requirement is on the refiners. The RFS will allow much greater flexibility in the work of oxygenates, which should reduce the chances that localized supply disruption of gasoline or oxygenates will result in retail supply shortages.
The additional flexibility provided by the RFS credit trading provisions will be a lower cost to refiners and, thus, consumers. The credit trading system will ensure that renewable fuels are used when and where most cost effective, which is why we have the credit and trading provisions. In California, we need to emphasize this.
By the way, California is the area where the junior Senator from Arizona says they are going to have to rely upon getting their ethanol blend gasoline. Nearly all the refiners, the people who provide the gasoline to the State of Arizona, have switched from MTBE to ethanol in advance of the State's MTBE phaseout deadline of January 1. The results can only be described as seamless. There have been no ethanol shortages, transportation delays, or logistical problems associated with the increased use of ethanol in the State of California. In fact, according to an April 2003 California Energy Commission report, the transition to ethanol which began in January 2003 ``is progressing without any major problems.''
We need to emphasize that. This is not going to discombobulate delivery of the gasoline in California or New York or other places that people say it will cause a problem. The Energy Commission of California says it is progressing without any major problems. Today, approximately 65 percent of all California gasoline is blended with ethanol. It is estimated that 80 percent of the fuel will contain ethanol by this summer. They are moving ahead. Only 100 million gallons of ethanol were used in the State last year. California refiners will use between 600 and 700 million gallons of ethanol in 2003. There is not any reason to opt out because of the fact that blended gasoline will not be available to these States.
This legislation is the result of a great deal of work and compromise on the part of many Members of the Senate working with a variety of organizations.
I would like to remind my colleagues of the organizations that support this. It is unusual, in terms of the diverse groups represented. It is supported by the American Petroleum Institute. There has been some talk that the oil industry does not support it. The fact is, the American Petroleum Institute is supportive; of course, the Renewable Fuels Association; the Northeast States for Coordinated Air Use Management. Again, there is an area of the country that could be affected by it, and they like the compromise that has been put together.
We are talking about environmental concerns. The American Lung Association is supportive of this ethanol amendment. The U.S. Chamber of Commerce is certainly concerned about the impact this would have on the economy of the United States. The Union of Concerned Scientists, again, a very forthright, outspoken environmental organization that, on many occasions, is very critical of legislation being promoted in the Senate, says: We like this agreement that has been entered into.
The Environmental and Energy Studies Institute; the Governors' Ethanol Coalition; General Motors. Here is one that I think is really important for some of my colleagues who cannot make up their mind with regard to some of the amendments we are going to get to this ethanol amendment, and that is that the Governors of both California and New York support this compromise, and, of course, all the major agricultural organizations in the United States.
I urge my colleagues to support this ethanol amendment and defeat some of
the amendments that they are going to have an opportunity to vote on later on this afternoon.
Mr. President, first, I compliment my colleagues, the chairman and ranking member of the Energy Committee, for doing such an incredible job on an Energy bill that is so needed in this great country.…
Mr. President, first, I compliment my colleagues, the chairman and ranking member of the Energy Committee, for doing such an incredible job on an Energy bill that is so needed in this great country. For the last 25 years, I think we have really begun to see the growth in our Nation and recognized the need for a modernization of our energy policy in this country. I think these Senators have done an excellent job in bringing together a diversity of issues, certainly in recognizing the need for renewable fuels, in looking at how we can work with cleaner burning fuels, the diversity of energy sources and resources that we can use in this great Nation. I applaud them for their hard work and diligence in that.
It is so important in our State. In Arkansas, both as a consumer as well as producer of energy, and certainly in terms of the rural nature of our State, so much of what is in this bill is going to be very productive for what we want to see happening, not only in the State of Arkansas but across this great Nation in new and innovative energy policy.
Unanimous Consent Request--H.R. 1308
Mr. President, I also would like to talk about something that has been on the minds of many of my colleagues as well as others across this great land. After we finished the growth package the week before we took our break, I had many concerns about what we were doing in that growth package and what we were trying to do, what supposedly was our objective in terms of stimulating the economy. I think it is so important to recognize the reasons why we wanted to stimulate our economy in this country. I think that really is to move forward the growth of this great Nation.
I think we need look no further than the American family if we want to understand why we want to stimulate growth in this great Nation to stimulate the economy. That is why I introduced the Working Taxpayer Fairness Restoration Act. I offered this bill on behalf of nearly 12 million children who were left behind when President Bush signed the 2003 tax bill. There were many of us who were very anxious to make sure we had a fairness in that stimulus package and in that tax bill; that there was a balance between fiscal responsibility and tax relief that would be available to all families.
I have introduced the bill with many of my good friends, including Senators Snowe, Warner, Jeffords, Rockefeller, Collins, Reed, Bingaman, Landrieu, Johnson, Harkin, Kennedy, Pryor, Breaux, Edwards, Clinton, Corzine, Durbin, Sarbanes, Kerry, Lieberman, Schumer, Lautenberg, Mikulski, Reid, Graham of Florida, Baucus, Leahy, Nelson of Florida, Nelson of Nebraska, Levin, Carper, Hollings, Biden, Specter, Cantwell, Daschle, Stabenow, Dodd, Conrad, Voinovich, Akaka, Dorgan, Kohl, Chafee, Feinstein, and Boxer.
This bill would restore a provision left on the cutting room floor when the House and Senate leaders finalized the conference report on the tax cut.
Our bill will restore the advanced refundability of the child tax credit. My friend from Maine, Senator Olympia Snowe, and I have worked since 2001 to ensure all working families benefit from the child tax credit. We worked very hard to ensure in the 2001 tax cut that the child tax credit was refundable.
During the Finance Committee deliberations on this year's tax bill, I successfully offered an amendment that would have advanced the refundability of the child tax credit. Regrettably, that provision was dropped in conference.
Really, unless we pass this bill we have introduced soon, families with incomes between $10,500 and $26,625 will not get that $400 check that will be mailed in July as part of the 2003 tax bill. Since nearly half of the taxpayers in Arkansas have an adjusted gross income of less than $20,000, Arkansas families are among the hardest hit by this omission in the new tax law.
Consider this: The base pay for a private in the military, serving in Iraq, is just under $16,000 per year. The average Arkansas firefighter makes between $22,000 and $25,000 a year. Many of those enlisted men and women, who could be given a few days' notice before being shipped off to war, and those firefighters who could get no more than just a few minutes' notice before rushing into a terrorist attack--they all have families, or many of them do. They work hard to support their families and to protect us. Yet they got left out when negotiators shook hands over that final tax bill.
I was not in the room during those negotiations in the dark of night, and I understand very few of my colleagues were. But we are here today. We are all here in the Senate, working today, united, hopefully, in our effort to fight for these working families.
Advancing the refundable portion of the child credit to cover these families will cost only $3.5 billion--just 1 percent of the entire cost of that tax bill. This measure had strong bipartisan support in the Senate, I am proud to say. I was proud to play a leading role to expand the child tax credit in the Senate bill. I am glad to have bipartisan support in my efforts on the bill that we have introduced to restore this provision.
We will pay for this tax relief for working families by shutting down some of the Enron-related tax shelters. This pay-for was included in the Senate version of the 2003 tax bill that has already received the blessing of the majority of the Senate Members. Especially as our Nation contends with a sluggish economy, we should ensure that everyone benefits from the tax cut. After all, buying blue jeans for schoolchildren, washing powder for the laundry, or tires for the car costs just as much for a family making $20,000 a year as it does for a family making $100,000 a year. If we want to get our economy back on track, we need to make sure we are putting money into the pockets of consumers who will spend it.
This is not about partisanship. It is not about who is going to win here or lose here today or in the next coming days. That is certainly evidenced by the cosponsorship of this bill. What this is about is doing what is right for the families who may need a little extra help, families who are working hard, day in and day out, playing by the rules, bringing home a paycheck and trying to raise their children the best way they know how: with good values and good examples.
We should fix this problem--not in the future, not next year, not sometime down the road. We need to fix this and correct this inconsistency immediately. We have an opportunity to do what is right on behalf of the working men and women in this country who are working hard, creating a face for this Nation in the next 20 years.
What is our Nation going to look like in the next 20 years? What are the values of the leaders of tomorrow? These faces and these values are in the children we are raising today. It is not too much for this body, or the coequal body of the House, to say the time is right, to put our money where our mouth is, to give these hard-working families the opportunity to get a little extra--a little extra of the incredible amount they pay into the system, a little bit extra to raise those children the best way they know how.
I started by saying the initiative to stimulate the economy in this country was an initiative, I think, based on what we all wanted to achieve: Not just to stimulate the economy but to strengthen our Nation. And, once again, we have the opportunity, and we need to look no further than the faces of our children and the workers of the American family in order to be able to do that.
Let us make these American families our priority today.
I ask unanimous consent that the Senate proceed to calendar No. 52, H.R. 1308, a bill to amend the Internal Revenue Code of 1986 to end certain abusive tax practices; that the Lincoln substitute amendment, which is at the desk and is a modified version of S. 1162, a bill to amend the Internal Revenue Code of 1986 to accelerate the increase in the refundability of the child tax credit, be considered and agreed to; that the bill H.R. 1308, as amended, be read three times, passed, and the motion to reconsider be laid upon the table, without intervening action or debate, on behalf of working American families.
Mr. President, with all due respect to my colleague, I reserve the right to object.
Yes. I object.
I would like to comment. I think I know what the chairman is doing. I would like to comment that we did provide pay-for in our bill. My concern for what he has offered is that it is going to add another $90 billion or $80 billion to unpaid debt in this country, for which I don't believe there is a pay-for.
I respectfully object.
Mr. President, I thank the chairman and my good friend, who is a diligent worker on behalf of children. I know his concern for the children of this country. I would like to express to him that in the counterproposal that has been offered, it was not my intent to look for an attempt or an excuse to reopen the tax package or to spend an additional hundred billion dollars. I simply felt very compelled--that with a small portion of this bill that could be rectified to make sure these working families in America could get the same benefit from this tax bill that everybody else will on July 1--to think this was an easy opportunity for us to do that. We had a pay-for that was reasonable and something that the rest of the Senate had already agreed to and that Senators probably felt very comfortable with. It was simply an opportunity to express to those families that we certainly believed they were a priority and that we could support them in this effort.
I appreciate the remarks of the Senator very much. I thank the Chair.
I yield the floor.
Mr. President, I want to speak briefly on the renewable fuels standard that is the subject of the Frist-Daschle amendment, and specifically with regard to a report released today by the National Corn…
Mr. President, I want to speak briefly on the renewable fuels standard that is the subject of the Frist-Daschle amendment, and specifically with regard to a report released today by the National Corn Growers which contains yet another round of good news regarding ethanol.
For decades, those of us who care about energy in the United States and care about energy independence, who care about jobs and the creation of jobs, who care about the future and how we are going to have enough energy for this economy to expand throughout the 21st century have looked for alternative sources of energy. The Energy bill we are debating is a great progrowth, projobs Energy bill across the board. It encourages the production of traditional forms of energy, and it should. It encourages the production of oil and natural gas and nuclear energy. I support all of that. I think most of us in this Senate do. But all of us are concerned about the fact that the traditional forms of energy tend to be nonrenewable. There is a point at which we are in danger of running out. We import a lot of oil from foreign countries. About 59 percent of what we use in the United States we import.
We have all wanted and have talked about for decades the possibility of renewable sources of energy, particularly that we can make here. I go around Missouri and I talk with our corn growers and other agricultural producers about what a great day it will be when we can grow our own fuel effectively and when we don't have to worry about running out and being dependent on other countries.
As the Frist-Daschle amendment indicates, that day, if it is not here, is fast approaching. We are close to being able to grow our own fuel. That fuel is ethanol. It is a great day when that means more jobs for America. It will mean a greater measure of energy independence for our country and a greater measure of energy security for our country. It will mean support for and new markets for our family farmers and our agricultural producers. It is a good thing.
I am glad Senator Frist and Senator Daschle have offered this amendment. I am a strong supporter of it. In fact, I am a cosponsor of it. I am proud of the fact that ethanol will be the subject of one of the first genuine bipartisan efforts in this country, and I hope that amendment passes.
The Corn Growers issued a report today designed to rebut some of the concerns that people have expressed. It is kind of ironic that we are now approaching this day when we actually have access to renewable sources of energy and alternative fuels. And some are getting nervous about it. Their report issued today indicates what common sense already tells us.
First of all, blending ethanol with gasoline at a 10-percent level, which is what the renewable fuels standard calls for, will reduce the retail price of conventional gas by 5 percent or 6.6 cents per gallon based on national average 2002 prices. This translates into an annual savings to consumers of $3.3 billion. The report says that. They have studied it for a long time. It really is a matter of common sense because when you increase the supply, the price goes down. The more ethanol we produce, the more we can rely on renewable sources we can grow and the greater the supply of energy.
The report also indicated that using corn and other grains to produce the 5 billion gallons of ethanol required by the renewable fuels standard will have an insignificant impact on consumer food prices.
In other words, the price of corn and other items is not going to go up because we have tremendous productive capacity in this country. As a matter of fact, we are not using the capacity we have. As a matter of fact, the price to consumers is going to go down because as our producers are able to grow corn and turn it into a value-added commodity, a valuable commodity, ethanol, the price of future farm bills is going to go down.
I was impressed very much when I was in Macon, MO, visiting our ethanol plant there. One of the producers who owns that plant pulled me aside and said: Senator Talent, the real good thing about this is when the price of corn goes down, I make more money on the ethanol.
I thought to myself: Yes, that is one of the keys to ethanol. It will help smooth out some of the cycles of commodity prices, the ups and downs of commodity prices worldwide, which will mean that farm bills will become less challenging every 5 years. It will also mean more money for the transportation trust fund once we have adopted the tax changes that the Finance Committee has worked out and which will accompany or follow shortly after this Energy bill.
It is a good thing for America. It is a good thing for our producers. It is a good thing for the creation of jobs.
I am glad this amendment is being offered. I want to address briefly the amendment of the Senator from California. I know it is an amendment offered in good faith. It is an amendment to exempt California from the renewable fuels standard. It is a little hard for me to understand because the standard is not a mandate for the States. It is a mandate for the refineries. They have to have 5 billion gallons of ethanol refined and into circulation by the year 2012. That should not be difficult.
The use of ethanol is growing all over the country, precisely because of the advantages it offers, which I have outlined. Exempting States doesn't make any sense. California is already using ethanol. By this summer, 60 to 70 percent of the gasoline sold in California will be an ethanol blend.
I suspect that maybe States such as California think: we don't produce ethanol here; we don't want to have to import energy from other States. If you do not import energy from other States, and if you do not import ethanol from other States, you are going to have to import something from someplace in order to run the automobiles. I would a whole heck of a lot rather have States in this country importing ethanol, which is good for the environment and jobs in the United States, from other States in the U.S. than the alternative, which is to import gasoline, which is not as good for the environment and which does not mean jobs for our country, from Venezuela or from the Arab States or from some other place in the world. They are taking one of the tremendous virtues of the renewable fuels standard and trying to turn it into a vice.
It will reduce our dependence on foreign countries.
There is really no danger to the United States being dependent on fuel that we produce in the United States. It is a good thing to be dependent on fuel we produce in Missouri or Minnesota or North Dakota or South Dakota or Illinois or any of the number of States that produce ethanol.
I understand the uneasiness. The use of ethanol is growing very fast. Its future is coming on us very fast. Sometimes change is difficult to deal with. I was in a Breaktime convenience store in Columbia, MO, where they are selling ethanol at the pump for the same price they have traditionally sold gasoline. I went to this place, stood out next to the pump, talked to the proprietors, and said: This is the future. It is a good future. It is a national future for the United States. This is a national energy policy. We have one Union, not just 50 different States. We have one national economy, and we ought to have one renewable fuels standard for everybody, and we ought to have confidence in it.
I think this 5-billion-gallon standard will be very easily attained. I think we will be above that. States all over the country and consumers all over the country are using ethanol to their benefit and to the benefit of the Nation as
a whole. This is a pro-jobs, pro-growth Energy bill, and the Frist- Daschle amendment is a very important pro-jobs, pro-growth, pro-energy security and independence part of it.
Let's adopt that amendment. We do not need these weakening amendments. Let's face the future with confidence. One of the reasons we can do that is because the Nation will increasingly rely on fuel that we produce in this country in the 50 States.
I thank the Senate for its attention, Mr. President, and I yield the floor.
I announce that the Senator from Florida (Mr. Graham), the Senator from Massachusetts (Mr. Kerry), the Senator from Connecticut (Mr. Lieberman), and the Senator from Georgia (Mr. Miller) are…
I announce that the Senator from Florida (Mr. Graham), the Senator from Massachusetts (Mr. Kerry), the Senator from Connecticut (Mr. Lieberman), and the Senator from Georgia (Mr. Miller) are necessarily absent.
I further announce that, if present and voting, the Senator from Massachusetts (Mr. Kerry) would vote ``nay''.
Mr. President, I ask unanimous consent that the order for the quorum call be rescinded.
Mr. President, just a few years ago I traveled to Nepal, a country with one of the highest maternal mortality rates in the world, certainly in Asia. More than 500 out of every 100,000 women in Nepal die from pregnancy-related complications compared to 7 out of every 100,000 women in the United States. Again, 500 women in Nepal die from pregnancy-related complications compared to 7 in the United States.
Nepal is not the only place where women are at such high risk. Every minute of every day at least one woman somewhere in the world dies from causes related to pregnancy in childbirth. Every minute of every day a woman dies from causes related to pregnancy. That is 600,000 women every year who die from causes related to pregnancy. I repeat for the third time, 600,000 women every year.
Our country offers hope to women around the world. Our support for international family planning programs spells the difference between life or death for women in developing countries. And family planning efforts prevent unintended pregnancies, save the lives of thousands of women and infants every year. Family planning also helps prevent the spread of sexually transmitted diseases.
Last summer, I traveled to South Africa: Kenya, Nigeria, and Botswana. The subject of AIDS and the terrible damage it has done to the African people became the focus of this trip. We did not want it to be the focus of the trip, but it became the focus of the trip. It overwhelmed everything that we talked about and saw. Africa has been overwhelmed by the AIDS epidemic. More than 20 million Africans have died from AIDS and more than 5,000 continue to die each day from this disease. It is 7 days a week. It does not matter if it is Thanksgiving, Christmas, or whatever holidays they might have. There are no vacations, no holidays. Seven days a week, every week of the year, more than 5,000 Africans die, and that number is going up, not down. They die from this disease we call AIDS.
In seven southern African countries, 20 percent or more of the adult population is infected with the HIV virus. In Botswana--and I would mention about Botswana, it is a democracy. It is a country that is based on the rule of law. It is really a fine country with great leaders. We stayed for a few days in Botswana. The infection rate is about 40 percent; that is, 4 out of every 10 people who live in Botswana are infected with the HIV virus. In other African countries, the HIV infection rates are higher among women than men.
As a result, family planning providers are the best source of HIV prevention information and services. But now, the Mexico City policy threatens our efforts to save the lives of women in Nepal, on the continent of Africa, and all over the world. President Bush reimposed the gag rule because he wants to decrease the number of abortions abroad. That is a worthy goal, but restricting funds to organizations that provide a wide range of safe and effective family planning services can lead only to more, not fewer, abortions.
Cutting funding for family planning diminishes access to the most effective means of reducing abortion. Research shows the only way to reduce the number of abortions is to improve family planning efforts that will decrease the number of unintended pregnancies. Access to contraception reduces the probability of having an abortion by more than 85 percent.
Of course, I do not support the use of a single taxpayer dollar to perform or promote abortions overseas, but that is what the law says. The law has explicitly prohibited such activities for 20 years, from 1973. Instead, I support family planning efforts that reduce both unintended pregnancies and abortions.
The Mexico City policy not only undercuts our country's commitment to women's health, it restricts foreign organizations in a way that would be unconstitutional in the United States. This policy violates a fundamental tenet of our democracy: freedom of speech. That is why my friend from California, the chief sponsor of this amendment, Senator Boxer, calls this a global gag amendment because that is exactly what it is. This policy violates a fundamental tenet of our democracy: freedom of speech.
Exporting a policy that is unconstitutional in the United States is the ultimate act of hypocrisy. Surely, this is not the message we want to send to struggling democracies that look to the United States for inspiration and guidance. My friend, the distinguished Senator from Nevada--from California, Senator Boxer--I wish she were from Nevada. She does a great job for Nevada, along with California and the rest of the country. Senator Boxer's amendment would ensure that U.S. foreign policy is consistent with American values, including free speech and medical ethics.
I support this legislation. I support this amendment and urge my colleagues to support this effort to protect and defend women around the globe.
I suggest the absence of a quorum.
I announce that the Senator from North Carolina (Mr. Edwards), the Senator from Florida (Mr. Graham), the Senator from Massachusetts (Mr. Kerry), and the Senator from Georgia (Mr. Miller) are necessarily absent.
I further announce that, if present and voting, the Senator from Massachusetts (Mr. Kerry) would vote ``nay.''
That was just information; it was not a unanimous consent request.
We have been on this bill for just a few hours. I know, having managed a bill or two in my day, how important it is for the two managers of this bill to get their legislation passed.
Everyone has to stop and pause a little bit. The last time this bill came up we spent 2 weeks on it. We are not going to finish this bill in 3 hours. Everyone should understand that. I know there are 20 amendments and 90 percent of them will be agreed to. There may be other amendments that the two managers are not aware of. It is important we move this long and we are certainly not trying to stall this legislation.
However, I apologize to Senator Lautenberg because I thought we were going to do no more tonight. We have a joint function that Senators are to attend tonight and I told Senator Lautenberg we would not be doing any more tonight. So that is my fault. I did not know the manager would try to do other amendments. We have a lot of amendments that people want to offer but I didn't believe tonight that was going to happen.
I told the two leaders I would work during the night to find out some indication of what we would have tomorrow but in the few minutes since I spoke with the distinguished majority leader there are people who want to offer amendments. The vast majority of those amendments are related to this bill; they are not unrelated. Senator Murray has indicated she wants to offer an amendment on unemployment benefits. We want to make sure she has an opportunity to do that.
I don't want to rain on the parade other than to say this bill is not going to be finished early tomorrow.
Mr. President, I understand this bill is very important. The two managers have both talked to me how important they think it is, and I acknowledge it is important. We will try to help them any way we can to get this bill passed.
The good news is Senator Lautenberg has heard us talking and he is on his way back. That is an amendment that will be disposed of tonight. I look forward to working with the two managers tomorrow to see what we can do to help expedite this legislation.
Mr. President, I rise in support of the amendment offered today by Senator Boxer to repeal the global gag rule. We take up this debate once again during the consideration of the State Department…
Mr. President, I rise in support of the amendment offered today by Senator Boxer to repeal the global gag rule.
We take up this debate once again during the consideration of the State Department authorization, a bill which governs our country's federally sponsored foreign aid programs. Each year, we have to fight for the adoption of this amendment which would bolster these international assistance efforts, and yet each year we find ourselves here again debating this same issue.
There is no question that U.S. population assistance is of critical importance to our international aid efforts. Population assistance is the primary
deliverer of health education, health care, and prenatal care to millions of women in developing countries. But beyond the social and physiological aid that this program brings to these nations, there is a real economic benefit as well. According to USAID, studies in several countries have shown that for every dollar invested in family planning programs, governments save as much as $16 in reduced expenditures in health, education, and social services. This is not only an investment in the health of women, and their children, and their families but for whole nations and their ability to stabilize and grow stronger.
There is also no question that U.S. population assistance efforts in developing countries have been successful, as demonstrated by the fact that the average family size in countries that have received U.S. population assistance has decreased from six children to four. AID assistance has increased the use of contraceptives in developing countries from 10 percent of married couples in the 1970s to 50 to 60 percent today. This not only allows for family planning which helps ensure healthier pregnancies, resulting in healthier babies, but is critical to our efforts to fight infectious diseases like AIDS that are plaguing many Third World countries.
The discussion of contraceptives leads me to a very critical point . . . the issue before us today is not abortion, because current law already prohibits the use of any U.S. funds for abortion-related activities. This is a crucial fact that needs to be on record. Under the Helms amendment of 1973, U.S. funds cannot be used for abortion- related activities and have not been permitted for that purpose for 30 years. I support that law as an important guarantee that our international family planning programs stay apart from domestic debates on the issue of abortion.
At the hear of the issue we are debating today is the so called Mexico City policy because it was at the 1984 U.N. Population Conference in Mexico City that the Reagan administration adopted this policy. Under the Mexico City policy, the Reagan administration witheld international family planning funds from all groups that had the slightest involvement in legal abortion-related services even though they were paid for with their own private funds. This was done despite the fact that similar restrictions were not placed on funding programs run by foreign governments that related to legal abortions. Quite appropriately, this policy is also referred to as the international ``gag rule'' because it prevents organizations from even providing abortion counseling or referral services.
The need for the passage of this amendment is in part about leadership. The United States has traditionally been the leader in international family planning assistance. This has been the case ever since this issue rose to international prominence with the 1974 U.N. Population Conference in Bucharest. At that time, a great number of the world's developing countries perceived family planning as a Western effort to reduce the power and influence of Third World countries. However, in the years since, the need and importance of family planning has been recognized and embraced by most developing nations.
If, as a country, we believe in volunteerism in family planning--and we do--then we should maintain our leadership. Because of our leading role in international family planning, we have unrivaled influence in setting standards for family planning programs. A great number of other donors and recipient countries adopt our models in their own efforts.
According to the Center for Reproductive Law and Policy, the Mexico City policy penalizes 56 countries whose nongovernmental organizations--NGOs--receive family planning assistance funds from the United States. NGOs are prohibited not only from providing abortion- related services but also counseling and referrals regarding abortions.
That is the policy; let's consider the real effect on people. According to the Alan Guttmacher Institute, about 4 in every 10 pregnancies worldwide are unplanned, and 40 percent of unintended pregnancies end in abortion. Knowing this, the net effect of the Mexico City policy on these 56 nations is to limit or eliminate critical family planning work that has a very real impact on the quality of life. Moreover, the absence of family planning increases the instance of the one thing that the advocates of the Mexico City policy are most opposed to--abortion.
The bottom line is, family planning is about health care. Too often, women in developing nations do not have access to the contraceptive or family planning services they need because contraceptives are expensive, supplies are erratic, services are difficult or impossible to obtain, or the quality of care is poor. In a report by the Population Action Institute it was estimated that about 515,000 women die each year in pregnancy and childbirth, or almost one death every minute, and millions more women become ill or disabled. In addition, an estimated 78,000 women die every year from illegal and unsafe abortion and thousands more are injured. How many women die because the access to these services is limited?
Quite simply, the Mexico City policy is bad public policy. That is why year after year we fight for this amendment and some years we win in committee and other years we don't, yet we still fight this important fight. The Mexico City policy not only limits discussion, counseling, and referrals for abortion, but it also limits the ability of organizations, in at least 59 nations, to carry out needed family planning work.
We must remember that family planning is about--just that--planning one's family. By spacing births at least 2 years apart, family planning can prevent an average of one in four infant deaths in developing countries. Family planning provides access to needed contraceptives and gives women worldwide the ability to properly space out their pregnancies so that they can have healthier babies, which will lead to healthier children and healthier nations.
Mr. President, I urge my colleagues to support the amendment before us and ensure that international organizations are no longer forced to limit or eliminate critical family planning work that has a very real impact on the quality of life of women and families worldwide.
Mr. President, I call up amendment No. 1144. Mr. President, I ask unanimous consent that reading of the amendment be dispensed with. Mr. President, I rise on behalf of my colleagues, Senator…
Mr. President, I call up amendment No. 1144.
Mr. President, I ask unanimous consent that reading of the amendment be dispensed with.
Mr. President, I rise on behalf of my colleagues, Senator Alexander of Tennessee and Senator Graham of South Carolina, to offer amendment No. 1144, which will provide direct assistance to developing countries to combat piracy of U.S. copyrighted works, materials, and intellectual property.
Specifically, our amendment authorizes $5 million for the State Department to provide equipment and training to foreign law enforcement officials--judges and prosecutors--as well as assistance in complying with that foreign country's obligations under the appropriate international copyright and intellectual property treaties.
The United States is the world's largest creator, producer, and exporter of copyrighted materials. Unfortunately, this vital, important sector of our country's economy is at great risk due to widespread global piracy. This piracy and theft is more specifically defined as the unauthorized reproduction, distribution, and sale of U.S.-made movies, music, software, video games, and other creative works.
The widespread piracy of U.S. copyrighted works and intellectual property threatens U.S. jobs. It threatens our businesses, creativity, and our economic prosperity.
In 2001, the U.S. recording industry alone lost $4.2 billion to the piracy of compact discs worldwide. The U.S. motion picture industry lost $3 billion to videocassette piracy, and the U.S. video game entertainment industry lost $1.9 billion due to piracy in just 14 countries.
In 2000, hard-goods piracy cost the U.S. business software industry $11.8 billion.
A recent study was commissioned by the Business Software Alliance, and it concluded that the largest trade barrier facing the U.S. software industry is worldwide software piracy. An estimated 37 percent--37 percent--of all software loaded onto computers globally in 2000 was illegal--37 percent illegal.
Most importantly, this report by the Business Software Alliance found that by lowering the software piracy rates by just 10 percent around the world, the IT industry would contribute an additional $400 billion in economic growth worldwide.
This is a very serious problem that needs to be addressed here at home and internationally. Unfortunately, though, developing and economically depressed countries have significant problems enforcing intellectual property protection laws due primarily to a lack of law enforcement training and expertise.
Under the requirements of the World Trade Organization's Agreement on Trade Related Aspects of Intellectual Property Rights, all WTO countries must have a legal frame in place to effectively protect intellectual property and copyrighted works. Therefore, in order to be compliant, a nation must not only have adequate civil and criminal laws regarding copyright protection, but it also must effectively enforce those laws.
Our amendment would provide assistance and resources to adequately train and enforce intellectual property laws in developing countries. This amendment will significantly aid efforts to protect American copyright holders all around the world. Our amendment does not increase the overall authorization level in this bill but, rather, constitutes a small portion--less than 2 percent of the entire budget--for educational and cultural exchange programs.
This amendment has broad support from both the content and technology industries. For example, the Recording Industry Association of America, the Motion Picture Association of America, the EMI Music Group, and the Walt Disney Company all support this amendment. Additionally, the Business Software Alliance, Apple Computers, AutoDesk, Cisco Systems, Entrust, Hewlett-Packard, IBM, Intel, Intuit, Adobe, Network Associates, Symantec, and Microsoft all support the Allen-Alexander- Graham amendment.
Mr. President, I ask unanimous consent that letters from these groups be printed in the Record at the conclusion of my remarks.
Thank you, Mr. President.
I yield.
It would be my great honor and pleasure to add Senator Biden of Delaware as a cosponsor.
Mr. President, I thank my colleagues, in particular Senator Alexander and Senator Lindsey Graham, as well as Senator Biden, for their hard work. I know the Senator who is presiding over the Senate right now cannot respond, but I very much appreciate Senator Alexander's understanding, hard work, and support for this amendment. And I urge the rest of my colleagues to vote in favor of this important provision.
Finally, I express my gratitude to our chairman of the Foreign Relations Committee, Senator Lugar, as well as the ranking member, Senator Biden, for their support, for their assistance in working through this amendment, and, hopefully, having it included as part of this important bill.
With that, Mr. President, I yield the floor.
Exhibit 1
Recording Industry Association
of America,
Washington, DC, July 9, 2003.
Senator George Allen,
Senate Russell Office Building,
Washington, DC.
Dear Senator Allen: The Recording Industry Association of
America (``RIAA'') would like to express its strong support
for the Allen/Alexander amendment to the State Department
Authorization bill being considered by the Senate. The
amendment would authorize $10 million to the State Department
for purposes of working with law enforcement officials in
nations around the world to increase enforcement of
intellectual property laws.
One of the greatest challenges facing the music industry,
and other domestic industries that produce intellectual
property, is international physical piracy. In recent years,
the U.S. recording industry has lost nearly $5 billion in
revenues as a result of physical piracy around the world.
Although the RIAA and its sister international organization,
IFPI, continue to work cooperatively with diplomatic and law
enforcement entities throughout the world in an effort to
address this growing problem, the Allen/Alexander amendment
would significantly aid our efforts to protect American
intellectual property abroad.
We appreciate the leadership of Senators Allen and
Alexander and strongly support their amendment to the State
Department Authorization bill.
Mitch Glazier,
Senior Vice President Government Relations.
Mr.President, I send an amendment to the desk. Mr. President, I ask unanimous consent that reading of the amendment be dispensed with. Mr. President, I rise to offer an amendment which we are calling…
Mr.President, I send an amendment to the desk.
Mr. President, I ask unanimous consent that reading of the amendment be dispensed with.
Mr. President, I rise to offer an amendment which we are calling Justice for the United States Marines. The amendment would make sure that the families of the 241 U.S. marines who were killed by terrorists in 1983 have equal access to assistance from the Federal crime victims fund.
In 1996, I authored a law that enabled terrorism victims' families to receive assistance to file suit against foreign sponsors of terror. This enabled families to receive judgments for those countries that aided terrorists in killing their children.
My amendment makes two small changes in the current Victims of Crime Act that would allow these families the same rights as other terror victims. Right now, technicalities in the current law would deny these rights to Marine families who lost family members in the tragic barracks bombing in Beirut, Lebanon, in 1983.
My amendment is simple. First, it changes the date of eligibility in the current law to terrorist acts that occurred ``on or after October 23, 1983''--the day of the vicious attack on the U.S. Marine barracks in Beirut.
Second, my amendment clarifies an ambiguity in the original law about the type of cases that are eligible for Federal funds.
On October 23, 1983, a suicide bomber affiliated with Hezbollah detonated a truck full of explosives at a U.S. Marine barracks located at the Beirut International Airport. Shortly after this took place, I was there and saw what remained of the building. It was almost totally destroyed. Two-hundred and forty-one U.S. marines were killed that night, and more than 100 were wounded the same day. They were part of a contingent of 1,800 marines who had been sent to Lebanon as a part of a multinational force to help separate warring Lebanese factions.
The loss to those families of these victims was enormous. These marines were killed by terrorists as they slept in their barracks. Terrorists are cowards. The marines didn't even have a chance to fight back.
But now the families of these marines are able to fight back against the sponsors of this terrorist act through our judicial system. On May 30, 2003, the United States District Court for the District of Columbia found Iran liable for the Beirut Marine Corps barracks bombing. The court found that Iran sponsored this terrorist act by Hezbollah, and was, therefore, accountable to these families.
This trial now proceeds to the damages phase. The court wants to use over a dozen ``special masters'' to hear the damage claims of the participating victims' families. Each special master will hear approximately 15 cases.
The court has requested the use of the crime victims fund in order to pay for the cost of employing these special masters. Terror victims are generally permitted to make use of this fund but a technicality in the law is preventing these families from utilizing this resource.
The technicality is that the law now says the crime victims fund can be used to assist victims of terrorist acts occurring on or before December 21, 1988. The problem is that the Marine barracks was bombed on October 23, 1983--approximately 5 years earlier. We need to change the date so the U.S. Marine families can see justice done.
In finding Iran liable for this horrible terrorist act in Beirut, the judge said the following, which I want to read to the Senate. He said:
No order from this Court will restore any of the 241 lives
that were stolen on October 23, 1983. Nor is this Court able
to heal the pain that has become a permanent part of the
lives of their mothers and fathers, their spouses and
siblings, and their sons and daughters. But the Court can
take steps that will punish the men who carried out this
unspeakable attack, and in so doing, try to achieve some
small measure of justice for its survivors, and for the
family members of the 241 Americans who never came home.
I would also like to share with my colleagues the poignant words of one victim's family member after the court's recent ruling. Captain Vincent Smith, from Camp Lejeune's 24th Marine Amphibious Unit, was one of the service members killed in the bombing.
After the court's ruling, Captain Smith's sister said:
I think the whole family feels that the ruling gives us a
sense of justice after all of these years. Finally, someone
has been named a guilty party . . . It's a huge sense of
justice to say that the government of Iran is guilty.
My amendment will allow the cases of these U.S. Marine families to move forward so they can hold the sponsors of this terrorist act accountable.
Since September 11, 2001, this Congress has worked hard to provide justice to the families and communities affected by terrorist acts. It is critical that we also devote attention to the losses incurred by many American families in earlier terrorist incidents.
I urge my colleagues to vote for this amendment in order to extend justice to the families of the 241 Marines killed in the Beirut bombing.
We need to teach sponsors of terror that they will be held accountable. A vote for my amendment will help further this lesson by bringing the perpetrators of this 1983 terrorist act to justice.
I yield the floor.
I would like to see the amendment accepted. I would like to have a vote on this amendment, unless, of course, the amendment is acceptable to both sides.
Frankly, I think it is a good amendment. It does justice in some measure to the memory of those who were killed. They were there as a peacekeeping force--1,800 of them. A quarter of the force was killed in that single incident. The crime victims fund is a fund that is there to assist--not to provide damage awards to the people but to help them discover the evidence that is necessary. The fund has a few hundred million dollars which would assist these 15 special masters by providing them per diem so they can travel and get the details from these families, as they must do in order to have a sensible trial for damages.
I have no objection.
Madam President, I ask unanimous consent the order for the quorum call be rescinded. Madam President, I ask unanimous consent I be allowed to speak for not more than 10 minutes on the pending…
Madam President, I ask unanimous consent the order for the quorum call be rescinded.
Madam President, I ask unanimous consent I be allowed to speak for not more than 10 minutes on the pending legislation, to be followed by the distinguished Senator from Wisconsin for 20 minutes.
Madam President, I thank my friend and colleague from Wisconsin.
I rise this afternoon to support the legislation that the chairman of the Senate Foreign Relations Committee has brought to the Senate floor today. I also wish to acknowledge his strong leadership, along with that of the distinguished ranking minority member, Senator Biden. They have done a particularly effective job at a historic time in the history of this country and the world. This country, the world, and this body will continue to look to their leadership as we go forward into the next challenging year.
I also rise this afternoon to support the Lugar-Hagel compromise regarding
authorization for expanded development assistance through President Bush's initiative to establish the Millennium Challenge Account--MCA, as the distinguished Chairman mentioned, as part of the substitute to the Foreign Relations Authorization bill which is now before the Senate.
America faces no greater challenge in the world today than assisting global development and helping eliminate poverty. The security and prosperity of America and our allies cannot be disconnected from stability in the developing world. There are approximately 6.3 billion people in the world and roughly half of them live on less than $2 per day. An estimated 2.4 billion of them are 19 years old or younger.
The next generation hangs in the balance. Global threats and connections to terrorism, weapons of mass destruction, poverty, despair, oppression and infectious disease are not always apparent, but this combination of threats presents complex challenges for America and her allies. Global economic development is a shared interest and must be a shared responsibility.
The Millennium Challenge Account represents a significant new direction in economic development. Linking American development assistance to good governance, democracy, human rights, transparency, and rule of law, will help support the transition to more stable and democratic political systems in the developing world.
The Lugar-Hagel compromise on Millennium Challenge assistance addresses the concerns of myself, Senator Biden, and some of my colleagues on the Senate Foreign Relations Committee regarding the organization and management of the Millennium Challenge Corporation, the new agency that will be established to administer this program.
There was unanimous support in the committee for the goals of the President's program--the innovative evaluations and indicators that will be used to assess a country's eligibility for assistance, and the need for more funding for economic development. But I shared the concern of Senator Biden and other colleagues that this initiative should complement and expand, not constrain or complicate, the authority of the Secretary of State to manage foreign assistance.
This is a particularly critical time in the history of our Country and the world.
Given the many challenges we face in the world, the secretary's role as America's chief diplomat must not be undercut or compromised. The Lugar-Hagel compromise places the management of the MCA directly under the authority of the Secretary of Sate, who chairs the board of the corporation.
We have the potential to bring a new dynamic to American government interagency cooperation and coordination on economic development on a large scale. The board of the Millennium Challenge Corporation, chaired by the Secretary of State, would also include the Secretary of the Treasury, the USAID Administrator, and the U.S. Trade Representative, as well as the CEO of the corporation, who will report directly to the Secretary of State. This type of coordination, if managed properly, will bring new energy and creativity to our development programs.
America remains the world's indispensable leader in working with others to help promote global stability and prosperity and help eradicate poverty and disease. We need to do more. We will do more. And we need to do it better, smarter and wiser in meeting the challenges of global poverty.
That means our programs and the management of those programs must be more efficient and accountable. Establishing the Millennium Challenge Account is clearly in the interest of the United States. Millennium challenge assistance can play a creative and important role in helping shape a new approach to development policy.
Global development is not a zero-sum game.
As economies stabilize and grow, the citizens of those countries prosper, as well as citizens from all countries. Trade-based growth is the most effective approach to long-term economic stability and prosperity. America's development policies should reflect these economic development fundamentals.
America's credibility will much depend on our ability to continue to assist the developing world. Our power and influence is not defined solely by our military might. President Bush's Global AIDS initiative, his trip to Africa, and the MCA proposal all reflect dynamic and new commitments to security and development.
September 11, 2001 reminded Americans that we face a dangerous world with complex connections and enormous responsibilities for U.S. leadership. The world is inter-connected. Global development, prosperity and stability are directly connected to America's future.
I urge my colleagues to join Senator Lugar, myself, and others in supporting this compromise management approach to the Millennium Challenge Assistance program.
As the chairman of the Senate Foreign Relations Committee indicated, this approach, this amendment, this compromise, is also being supported by the White House and the State Department.
I thank the Chair. I yield the floor.
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Mr. President, I ask unanimous consent that the order for the quorum call be rescinded. Mr. President, I know we will be voting at 4:30 on the Feinstein amendments. Both amendments attempt to provide…
Mr. President, I ask unanimous consent that the order for the quorum call be rescinded.
Mr. President, I know we will be voting at 4:30 on the Feinstein amendments. Both amendments attempt to provide waivers to the States from the renewable fuels standard. There are several points to be made. I made some of them this morning. But in case my colleagues have not had the opportunity to evaluate the amendments or consider the concerns raised by many of us with regard to the amendments, I thought it would be appropriate for me to say a couple of words again now.
First of all, with regard to ethanol utilization, the State of California is currently using ethanol in 65 percent of all the fuel it is marketing within the State. That is expected to go up to 80 percent this summer. The Department of Energy in California has said there has been absolutely no difficulty in the integration of ethanol from a transportation point of view, a storage point of view, an environmental point of view, or a cost point of view.
So that would be first. Why have a waiver when there is no problem? The problem does not exist. In fact, studies have shown--that I pointed out this morning, one by the Department of Energy Information, one by the Department of Energy in California--that have said there is absolutely no connection between increases in the price paid for gasoline and the use of ethanol. So from a cost point of view in particular, there certainly isn't any need for a waiver.
Secondly, and perhaps far more importantly, this legislation provides that there is no mandate on the States. There isn't one requirement within the bill that says a State must use ethanol as part of its requirement under the law. That does not exist. The requirement is on refiners, not on the States. And the refiners are given wide latitude to make their decisions based on where it is appropriately marketable and not on any predesign with regard to the market itself.
We are not dictating to any oil company that that 65 percent now being used in California be used as a result of a legal requirement. That does not exist. We are simply saying: Look, we will let the oil companies and the refiners make up their own minds. And
with the credit trading system, the job is made all the easier.
I would also say that if worse comes to worst, we have said: Look, if all else fails, there is absolutely no reason why a State cannot apply for a waiver under the new law. Senator Feinstein and others have suggested, well, they have applied for waivers in the past and have been turned down. I hasten again to add for those who may be confused by this, she is talking about the current law. In part, what we are doing now is amending the law, removing the oxygenate requirement, phasing out methyl tertiary butyl ether, MTBE, and providing an opportunity for States to get out from under requirements of the old law while at the same time coming up with a way with which our country can reduce its dependence on foreign sources, can find ways with which to clean up the air, and can do as much as possible to find markets for agricultural products within our own States and country. That is, in essence, what this bill provides.
So I simply say, Mr. President, as well intended as the Senator from California is, there is absolutely no reason why this waiver is necessary. They have one in the bill. They have the credit trading system in the bill. There isn't any requirement for a State to mandate the use of ethanol in this bill.
And, finally, it is working as we have predicted it would, certainly in those States where the markets have been allowed to work. California, as I said, now expects 80 percent of their fuel to incorporate ethanol through the summer. So it is yet another one of these constant myths that has to be destroyed and dealt with as we consider the many allegations about what it is we are trying to do.
Very simply, we are saying to the country, to the refiners, to petroleum marketers in particular: We are going to give you as much flexibility as you could possibly hope to have. And that is exactly what this legislation does.
Having said that, I yield the floor and suggest the absence of a quorum.
Mr. President, this amendment is based on a misconception. The misconception is that somehow there is a mandate to begin with. There is no mandate for the States under this bill.
There is a requirement that refiners find a way to reach the goals that we set out in the legislation overall, both in energy as well as the ethanol itself, but there is no requirement that States meet some standard with regard to utilization of ethanol. And there is also an option for the States to opt out if they find the circumstances described by the distinguished Senator from Arizona would ever come about. States have the right to opt out, even though there is no particular mandate to opt into the program to begin with. This is a refiners obligation, not a State obligation.
Mr. President, I ask unanimous consent that the order for the quorum call be rescinded. Mr. President, I rise in support of the antipiracy amendment that the Senator from Virginia just discussed and…
Mr. President, I ask unanimous consent that the order for the quorum call be rescinded.
Mr. President, I rise in support of the antipiracy amendment that the Senator from Virginia just discussed and of which I am proud to be a cosponsor.
I am delighted that Senator Biden from Delaware, Senator Graham from South Carolina, and other Members of the Senate are either cosponsors or interested in this amendment.
The Senator from Virginia has explained, very clearly, why this is important, why it is important to authorize the State Department to establish an antipiracy program that will help foreign governments establish and protect intellectual property rights. It authorizes $5 million for the program, which is an important amount, a good start, but a relatively small amount in the overall bill.
The antipiracy program, as the Senator from Virginia explained, would help protect American intellectual property abroad by, first, providing equipment and training for foreign law enforcement of intellectual property rights; second, train judges and prosecutors; and, third, assist foreign governments in complying with obligations under appropriate international copyright and intellectual property treaties and agreements.
We all know the importance of this. We have come to take it for granted in our country. We are a country of inventors, of artists, of entrepreneurs, of creators. So much of our wealth and our uniqueness comes from that. The Senator from Virginia knows that because of the technological progress in his State, as there is in mine. We know it in Tennessee especially because of our musicians.
We know the importance of protecting physical property in America. The owner has bought it or built it, and it belongs to them. Intellectual property should be treated no differently. Whether it is a song or a computer program, a patent or a piece of art, someone has created it, and it should belong to him or to her until he or she chooses to sell it or to give it to someone else.
Nashville is the home of country music. Memphis is the home of the blues. A lot of our Tennessee music started in Bristol which spreads itself across the States of Virginia and Tennessee. We have strong feelings about this in our part of the world.
The music business is suffering because of mass piracy of intellectual property. In the past 4 years, unit shipments of recorded music have fallen by 26 percent. In terms of sales, revenues are down 14 percent, from $14.6 billion in 1999 to $12.6 billion last year. The music industry worldwide has gone from a $39 billion industry in 2000 down to $32 billion in 2002, which is a decline of 18 percent. Much of this decline is due to music piracy, most of which occurs on the Internet. Computer users illegally download more than 2.6 billion copyrighted files, mostly songs, every month. At any given moment, approximately 4 to 5 million users are on line offering an estimated 800 million files for copy.
According to a November 2002 survey by Peter D. Hart Research, by a 2-to-1 margin most consumers who say they are downloading more music report that they are purchasing less. Much of this problem is domestic. We need to acknowledge that. But some of it also comes from abroad. About 25 percent of the total files available on unauthorized Internet services are hosted outside the United States.
In my State of Tennessee, this theft of intellectual property hurts a key sector of our economy. Nashville is home to more than 29 different major and independent record labels and 52 recording studios. It has one of the Nation's largest concentrations of song writers, performers, and music publishers. An estimated 20,000 Nashvillians work in music tourism, broadcasting, and related fields. The city is home to more than 1,500 entertainment companies. Musicians unions have more than 5,500 members in Music City.
I think the Presiding Officer can understand, especially because of his leadership on this issue, why protecting their intellectual property rights means more than just helping one artist earn money off a hit record. It means protecting thousands of jobs and maintaining an industry that brings joy to millions of fans in this country and around the world.
I urge my colleagues to support the amendment which authorizes a small but important amount of money to protect intellectual property rights around the world.
I thank the Senator from Virginia for his leadership and yield the floor.
Mr. President, I rise today to introduce the American Indian Reservation Transportation Improvement Program Act. I am pleased to be joined, as I have been each time that I have introduced legislation…
Mr. President, I rise today to introduce the American Indian Reservation Transportation Improvement Program Act. I am pleased to be joined, as I have been each time that I have introduced legislation dealing with the Indian Reservation Roads program, by my good friends, Senators Inouye and Campbell. I am confident that we will replicate the success we have had in our previous endeavors to improve this important program.
In 1982, when I served on the Senate Environment and Public Works Committee, several members of the Navajo Nation Tribal Council Committee on Transportation approached me with an interesting proposition. These Navajo Councilmen believed that the time had come for Indian tribes to participate directly in our National Highway Trust Fund programs.
I agreed with these gentlemen, the Senate agreed with me, and the Congress and President Reagan approved Indian tribal participation in the U.S. Department of Transportation highway construction program for the first time in our Nation's history.
By the mid-1980's, Indian Reservation Roads, IRR, funding was at about $100 million per year nationwide. By the late 1980's, however, IRR funding fell to about $80 million per year. In ISTEA, for the early 1990's, we were able to raise this critical highway construction funding to about $190 million per year.
Then, in TEA-21, The Transportation Equity Act for the 21st Century, we succeeded in bringing annual IRR funding up to $275 million for fiscal years 1999 through 2003.
As we seek to promote economic opportunities on our Nation's tribal reservations, I believe it is imperative that we once again increase this vital infrastructure funding. I am aware that the National Congress of American Indians, NCAI, is recommending a large jump to $500 million per year for the construction program; $100 million for an Indian transit program; $50 million for Indian bridges; $70 million, plus $26 million in Interior funding, for road maintenance; and several other additions for a total of $907 million in DOT funds in FY2004. By the year FY2009, the NCAI recommendations would exceed $1.4 billion annually.
While I am sympathetic to the need for such large increases, I am keenly aware of competing needs around the country for medical research, economic stimulus, and for our national defense, to name just a few. Therefore, I am compelled to recommend increases for the IRR program that are more likely to win acceptance among my colleagues.
For highway construction, I am recommending an immediate increase of $55 million in the first year to a new total of $330 million. My bill would then increase the amount for construction by $30 million each year so that the program receives $480 million in the final year of the authorization. For the Indian bridge program, I am recommending $15 million per year, an increase of $6 million annually. And for State roads that serve as key bus routes for Indian children, primarily on our Nation's largest Indian reservation--the Navajo Nation--I am recommending increasing this vital funding from $1.5 million per year to $3 million in fiscal years 2004 and 2005, to $4 million in fiscal years 2006 and 2007, and $5 million for fiscal years 2008 and 2009.
My final recommendation is to create a rural transit program for Indian Reservations. Because the Federal Highway Administration and the Federal Transit Administration each have their areas of expertise that can make such a program a success, my legislation will require the two agencies to work together for the benefit of the tribes who participate in this program. My suggestion is to fund this program at $20 million.
In closing, I want to thank the Navajo Nation Transportation Committee and the tribal transportation department for keeping me informed of their progress and continuing needs. I believe my bill will be a positive answer to their requests. In addition, the Pueblo Indians and Apache Indians of New Mexico have continuing development needs, including new and improved roads to reach their many attractions for tourists and other visitors.
I ask my colleagues to join me in increasing the Indian Reservation Roads program funds in our Federal Highways Programs to the degree I have requested in this bill. I thank my colleagues and urge their support for these increases as we reauthorize TEA-21 for six more years.
I ask unanimous consent the text of this bill be printed in the Record.
Mr. President, reserving the right to object, I ask unanimous consent that the request be modified so that all after the enacting clause of H.R. 1308 be stricken, and the text of the Grassley…
Mr. President, reserving the right to object, I ask unanimous consent that the request be modified so that all after the enacting clause of H.R. 1308 be stricken, and the text of the Grassley amendment regarding the child tax credit be inserted in lieu thereof; provided further that the bill then be read a third time and passed and the motion to reconsider laid upon the table.
I object.
Mr. President, I would like to state what the Grassley proposal is.
It would make permanent the increase in the child tax credit. The bill signed by the President last week increases the credit from $600 to $1,000 for the next 2 years. The Grassley amendment would make the increase permanent.
Second, it would eliminate the marriage penalty built into the current child tax credit. The Grassley amendment increases the income phaseout for married couples filing jointly to twist the limit for single individuals filing alone. The Lincoln amendment fails to address this inequity in the current formulation of the child tax credit.
Third, the amendment would create a uniform definition of a ``child.'' This language is identical to the legislation introduced by Senators Grassley and Baucus. This change reduces from five to one the number of definitions of a ``child'' in the Tax Code, which will simplify part of the code that will directly affect working families.
I might say to my good friend that I think she understands. I have the greatest respect for her. And, obviously, she makes a case today not only for herself but for many Senators and for many who voted with her in the days preceding as this legislation worked its way through here and through the conference in the House.
It is the responsibility of the Senator from New Mexico to respond in behalf of the majority, and I have done so. In doing so, I have offered a counterproposal. Obviously, it is significantly different than the one the distinguished Senator from Arkansas offered; nonetheless, a very significant proposal. I thank her for her generosity.
I yield the floor.
Mr. President, it is my understanding that a vote will occur at 4:30; that there are 10 minutes prior thereto for debate on the first amendment equally divided into 5 minutes each for those proponents and opponents of that amendment. Is that correct?
Parliamentary inquiry: What is the title of the first amendment?
Mr. President, I trust the Senator from California will be here if she desires to debate it.
I yield the floor and suggest the absence of a quorum.
Mr. President, I am prepared to vote. Do I have to yield back time?
I yield back any time I have in opposition.
I move to lay that motion on the table.
The motion to lay on the table was agreed to.
Amendment No. 844
Can we have order, Mr. President? I understand the Senator from California has 2 minutes. Is that correct?
Mr. President, can we have order?
Mr. President, might I say, if you are for an ethanol program for the Nation, then you can't vote for this amendment.
If this amendment passes, there is no American ethanol program as we have been speaking of it in terms of reducing the American dependence on foreign oil. It becomes something different and not an American program to accomplish that purpose.
I yield the remainder of my time.
I am happy to yield.
I certainly concur. The alliance should be an inclusive but well-defined group of companies active in the research, development and implementation of solid-state lighting technologies in the United States. The DOE should select the alliance as quickly as possible, so as not to delay the program's implementation.
Mr. President, again I completely agree with the Senator. I would also add that the intellectual property in section 914 is patterned after the Department of Energy's Solid State Energy Conversion Alliance, or SECA. Under the SECA model, research and development qualifies for the ``exceptional circumstances'' provision of the Bayh-Dole Act. Inventors still retain rights to their intellectual property. Those alliance participants who are active in solid-state lighting research and development will receive the first option to negotiate non-exclusive licenses and royalty payments to use the invention.
I fully agree. The Senator serves as our ranking member and was instrumental in the adoption of this provision by our committee. I think we both expect that quick action by the Department of Energy will stimulate the private sector.
Mr. President, I ask unanimous consent that the order for the quorum call be rescinded. Mr. President, I ask my colleagues to support the second-degree amendment I offered this morning to the pending…
Mr. President, I ask unanimous consent that the order for the quorum call be rescinded.
Mr. President, I ask my colleagues to support the second-degree amendment I offered this morning to the pending first- degree ethanol mandate that would provide authority to the Administrator of the EPA to waive the ethanol mandate if a State or a region does not need it to meet the requirements of the Clean Air Act.
In the pending first-degree ethanol mandate, there is waiver language, and that waiver language allows the Administrator of the EPA to waive the ethanol mandate if it would severely harm the economy or environment of a State, a region, or the United States.
I believe the EPA Administrator should also have the ability to waive the mandate if a State can show that it can meet the Clean Air Act standards without having to use ethanol. I think that is very important because all the refiners in my State tell me that if we allow them flexibility, they can, through the reformulated model of our gasoline, for the most part, meet Clean Air Act standards without this mandate. They may have to use some ethanol--and they are using ethanol now because there is a 2-percent oxygenate requirement--they may have to use some ethanol at certain times of the year in certain areas of the State, but they do not need to use the amount of ethanol that this legislation forces them--forces them, Mr. President--to use to meet the Clean Air Act standards.
This mandate forces California to use over 2.5 billion gallons of ethanol over 8 years that the State does not need.
On this chart, the red shows the forced use of ethanol. The blue shows the ethanol we would use in certain markets during certain seasons to meet Clean Air Act standards. As one can see, there is a huge differential between the red and the blue areas.
We use this amount shown in blue and do not use the rest of the ethanol which is shown in red which we have to pay for anyway. That is a wealth transfer, if you will. In the outer years, it most certainly is going to mean an increased price of gasoline at the pump for consumers.
All this amendment does is add to the waiver provision one other possibility for waiver, and that is, if a State can show that it does not need to use all of this extra ethanol to the EPA, the EPA can then waive the mandate. What could make better sense? Why would anyone oppose this as a matter of public policy? Why would any public policy force use and force costs on a consumer and transfer wealth to another area of the country when it is not necessary to do so? That is the crux of my argument. We do not need to use it. This chart clearly shows it.
If we look at another chart, we will see that we are forced to transport a lot of ethanol to get it out to California; that the big production of ethanol is in the Midwest in what is called PADD II. Mr. President, 2.27 billion gallons of ethanol are made in this area. The entire West makes maybe 10 million gallons of ethanol. Therefore, all of this has to be moved not by fuel line but by barge, by truck, by boat, by some other way, and increases costs. That is the reason for the waiver. If we can show that we can meet Clean Air Act standards, EPA can give those States a waiver.
I thank the Chair. I gather my time is up. I yield the floor.
I ask for the yeas and nays, Mr. President.
Mr. President, I will just use a minute and then cede some of the remaining minute to the Senator from Arizona, if I might.
Mr. President, this amendment would allow a Governor of a State to opt into the ethanol program. Both Alaska and Hawaii have been able to become exempted from the ethanol mandate. The question this presents for many of us is this: If a Governor of a State believes the program is cost effective, believes it is going to clean up their environment, believes it is all of the things the ethanol proponents say it is, then surely that Governor will opt in.
But if a Governor of a State, depending upon geographical location, infrastructure for delivery, or science about the product, might decide not to opt into the program, that Governor would have that opportunity. This amendment is cosponsored by Senators Nickles, McCain, Kyl, Gregg, Wyden, Leahy, Schumer, Reed, Sununu, Kennedy, and Clinton.
I thank them for their support and yield the remainder of my time to the Senator from Arizona.
Mr. President, I ask for the yeas and nays.
Mr. President, I rise today to support Senator Boxer's amendment to the State Department authorization bill to eliminate the so-called global gag rule to lift the restrictions for U.S. assistance to…
Mr. President, I rise today to support Senator Boxer's amendment to the State Department authorization bill to eliminate the so-called global gag rule to lift the restrictions for U.S. assistance to international family planning providers included in this legislation.
There have been few issues in recent years that have been more debated. I have come to the floor on several occasions in years past to express my deep concern for the global gag rule. Year after year, we have come to the floor to try to overturn the rule.
Under the leadership of both Democratic and Republican Presidents, and under Congresses controlled by Democrats and Republicans alike, the United States has established a long and distinguished record of world leadership in the area of international family planning and reproductive health issues.
But the global gag rule places very limiting restrictions on U.S. assistance to international family planning organizations. Overseas family planning providers would be barred from using their own money to even provide information to patients about the availability of a legal abortion if these providers receive any funding or even access to contraceptives from the U.S. Government.
International family planning providers are being faced with a very difficult choice; either give up desperately needed U.S. funding or edit the information about reproductive health that providers share with the women they are trying to help. Either choice will hurt some of the poorest women in the world.
Family planning providers don't just lose funds under the global gag rule. They also lose donated contraceptives. The United States is the most important donor of contraceptives to the developing world, providing about 37 percent of all donations at a value of $45 to $55 million annually.
I was disappointed that one of President Bush's first major policy actions, on his first business day in office, January 22, 2001, was to reinstate the global gag rule.
I think it is important to point out that Senator Boxer's amendment does not change any laws about abortion. In fact, this amendment only allows for funding to organizations that provide services that are legal in their own country and also legal in the United States.
Beginning with the reinstatement of the gag policy in January 2001, several organizations working in the developing world that have lost access to much needed funding or contraceptives, including the International Planned Parenthood Federation, IPPF. IPPF is made up of more than 150 agencies working in 180 countries and is the largest provider of reproductive health services in the world.
Between 2001 and 2003, this organization has lost more than $8 million in U.S. Government funds--mostly for contraceptive supplies.
Some country-specific examples to demonstrate the impact of the global gag rue include: Ethiopia where the Family Planning Association lost $56,000 in contraceptive supplies; Zambia were the Planned Parenthood Association lost $137,092 in contraceptive supplies; Cote d'Ivoire where the Family Planning Association lost $186,000 in contraceptive supplies which eliminated contraceptive services from nearly 50 percent of their 92 distribution points; Congo where the Family Planning Association lost $17,000 in U.S. assistance and, as a result, they had to eliminate programs that served 15,739 clients; and Kenya where the Family Planning Association had received an average of $580,000 per year to fund its clinics. Three urban clinics serving 56,000 poor and underserved clients closed.
The amount of funding lost may not sound like much to you. But in the developing world, every dollar, literally, counts.
And every woman deprived of access to education or contraceptive supplies risk an unwanted pregnancy.
Access to contraceptives is not only about family planning. It is about reproductive health. And it is also about protecting people from
Mr. President, I rise today to introduce legislation to resolve the unfortunate boundary line disputes in Southwest Missouri that have resulted from conflicting Federal Government land surveys…
Mr. President, I rise today to introduce legislation to resolve the unfortunate boundary line disputes in Southwest Missouri that have resulted from conflicting Federal Government land surveys performed by the U.S. Army Corps of Engineers and the United States Forest Service, USFS, respectively. The land involving these disputed property lines is located in the vicinity of the Cassville District of the Mark Twain National Forest in Barry and Stone Counties adjacent to Table Rock Lake.
During the 1970's, the U.S. Army Corps of Engineers, through various private land surveyors, surveyed this area around Table Rock Lake. In its surveys, the Corps found that most of the original ``corner monuments'' or boundary lines laid out by the U.S. General Land Office, GLO, in its original land surveys performed in the 1840's were either lost, stolen or had eroded over the years. Because of this, Corps surveyors used existing de-facto land markers in the vicinity of the original GLO monuments as the basis for its new survey. Prior to the Corps surveys, these defacto monuments were recognized by local surveyors as legitimate boundary markers and were used in survey after survey over the decades.
For almost 30 years, private landowners in Barry and Stone Counties bought and sold their land based on the surveys performed by the Corps in the 1970's. However, several years ago, the USFS performed new land surveys using surveying technology that had only recently become available. As a result of these new surveys, the USFS now claims that the boundary lines in its surveys conflict with the boundary lines established in the previous corps surveys. In addition to this, the USFS has announced that the Corps surveys are incorrect and that property lines all over this area are in the wrong place.
Because of these new revelations, many private property owners in the vicinity of the Mark Twain National Forest, who bought and paid for their land in good faith based on a previous Federal Government survey, are now being told that they have encroached on USFS land.
USFS has begun telling these private landowners that their land now belongs to the Federal Government, and that they will have to reimburse the USFS for the Federal land that the landowners now occupy. Naturally, these actions have produced chaos, confusion and anger among landowners in these two counties.
Needless to say, it is inherently unfair and absolutely devoid of any common sense to expect private landowners to compensate the Federal Government for land that they have already purchased simply because the government has changed its collective mind about where Federal property begins and ends.
Over the past 18 months, I have repeatedly asked the USFS and the Army Corps of Engineers to work together to find a solution that would resolve this problem. Unfortunately, after 18 month of debate and disagreement, the Corps of Engineers and the USFS have been unable to agree on a resolution of this problem. In the meantime, the lives of many of these Missouri residents continue to be disrupted.
Therefore, I have concluded that Federal legislation represents the only feasible solution to this boundary problem. This legislation authorize the Secretary of the Agriculture to convey, without consideration, title to land in which there is a boundary conflict, with adjoining federal land, to private landowners, who can demonstrate a claim of ownership because they relied on a subsequent land survey approved by the Federal Government.
M. President, I am proud to introduce today the Working Taxpayer Fairness Restoration Act. I offer this bill on behalf of the nearly 12 million children who were left behind when President Bush…
M. President, I am proud to introduce today the Working Taxpayer Fairness Restoration Act. I offer this bill on behalf of the nearly 12 million children who were left behind when President Bush signed the 2003 tax bill.
The bill that I am introducing, with many of my good friends, including Senators Snowe, Warner and Jeffords, will restore a provision left on the cutting-room floor when House and Senate leaders finalized the conference report on the tax cut. Our bill will restore the advanced refundability of the child tax credit.
My friend from Maine and I have worked since 2001 to ensure that all working families benefit from the child tax credit. We worked to ensure in the 2001 tax cut that the child tax credit was refundable. During Finance Committee deliberations on this year's tax bill, I successfully offered an amendment that would have advanced the refundability of the child tax credit. Regrettably, that provision was dropped in conference.
Unless we pass the bill that I am introducing today, families with incomes between $10,500 and $26,625 will not get the $400 checks that will be mailed in July as part of the 2003 tax bill. Since nearly half the taxpayers in Arkansas have adjusted gross incomes less than $20,000, Arkansas families are among the hardest hit by this omission in the new tax law.
Consider this: The base pay for a private in the military is just under $16,000 per year. The average Arkansas firefighter makes between $22,000 and $25,000 a year. Many of those enlisted men, who could be given a few days' notice before being shipped off to war, and those firefighters, who could get no more than a few minutes' notice before rushing into a terrorist attack, have families. They work hard to support their families and to protect us. Yet they got left out when negotiators shook hands over the final tax bill.
I wasn't in the room during those negotiations in the dark of night, and I understand that very few of my colleagues were. But we are here today, united in our effort to fight for these working families.
Advancing the refundable portion of the child credit to cover these families will cost only $3.5 billion--just 1 percent of the entire cost of the tax cut. This measure had strong bipartisan support in the Senate, and I was proud to play a leading role to expand the children tax credit in the Senate bill. I'm glad to have bipartisan support in my effort today to restore this provision.
We will pay for this tax relief for working families by shutting down some Enron-related tax shelters. This pay-for was included in the Senate version of the 2003 tax bill, so it has already received the blessing of a majority of the Senate.
Especially as our nation contends with a sluggish economy, we should ensure that everyone benefits from the tax cut. After all, buying blue jeans for schoolchildren, washing powder for the laundry or tires for the car costs just as much for a family making $20,000 a year as it does for a family making $100,000. If we want to get our economy back on track, we need to make sure that we're putting money into the pockets of consumers who will spend it.
This isn't about partisanship--as is evidenced by the cosponsors of this bill--it is about doing what's right for
families who may need a little extra help. We should fix this problem immediately. Let's make these families a priority now.
M. President, I am proud to introduce today the Working Taxpayer Fairness Restoration Act. I offer this bill on behalf of the nearly 12 million children who were left behind when President Bush…
M. President, I am proud to introduce today the Working Taxpayer Fairness Restoration Act. I offer this bill on behalf of the nearly 12 million children who were left behind when President Bush signed the 2003 tax bill.
The bill that I am introducing, with many of my good friends, including Senators Snowe, Warner and Jeffords, will restore a provision left on the cutting-room floor when House and Senate leaders finalized the conference report on the tax cut. Our bill will restore the advanced refundability of the child tax credit.
My friend from Maine and I have worked since 2001 to ensure that all working families benefit from the child tax credit. We worked to ensure in the 2001 tax cut that the child tax credit was refundable. During Finance Committee deliberations on this year's tax bill, I successfully offered an amendment that would have advanced the refundability of the child tax credit. Regrettably, that provision was dropped in conference.
Unless we pass the bill that I am introducing today, families with incomes between $10,500 and $26,625 will not get the $400 checks that will be mailed in July as part of the 2003 tax bill. Since nearly half the taxpayers in Arkansas have adjusted gross incomes less than $20,000, Arkansas families are among the hardest hit by this omission in the new tax law.
Consider this: The base pay for a private in the military is just under $16,000 per year. The average Arkansas firefighter makes between $22,000 and $25,000 a year. Many of those enlisted men, who could be given a few days' notice before being shipped off to war, and those firefighters, who could get no more than a few minutes' notice before rushing into a terrorist attack, have families. They work hard to support their families and to protect us. Yet they got left out when negotiators shook hands over the final tax bill.
I wasn't in the room during those negotiations in the dark of night, and I understand that very few of my colleagues were. But we are here today, united in our effort to fight for these working families.
Advancing the refundable portion of the child credit to cover these families will cost only $3.5 billion--just 1 percent of the entire cost of the tax cut. This measure had strong bipartisan support in the Senate, and I was proud to play a leading role to expand the children tax credit in the Senate bill. I'm glad to have bipartisan support in my effort today to restore this provision.
We will pay for this tax relief for working families by shutting down some Enron-related tax shelters. This pay-for was included in the Senate version of the 2003 tax bill, so it has already received the blessing of a majority of the Senate.
Especially as our nation contends with a sluggish economy, we should ensure that everyone benefits from the tax cut. After all, buying blue jeans for schoolchildren, washing powder for the laundry or tires for the car costs just as much for a family making $20,000 a year as it does for a family making $100,000. If we want to get our economy back on track, we need to make sure that we're putting money into the pockets of consumers who will spend it.
This isn't about partisanship--as is evidenced by the cosponsors of this bill--it is about doing what's right for
families who may need a little extra help. We should fix this problem immediately. Let's make these families a priority now.
Mr. President, let me speak very briefly and indicate my strong support for the Senator from Arkansas and her effort. I think clearly we need to address this major failing of the previously passed…
Mr. President, let me speak very briefly and indicate my strong support for the Senator from Arkansas and her effort.
I think clearly we need to address this major failing of the previously passed tax bill, and we need to do so in a way that is fiscally responsible. That is exactly what the Senator from Arkansas has proposed--to find a way to pay for the refundability of the child tax credit. That is what she proposed earlier in the bill. That is what the Senate agreed to earlier in the bill. That is clearly what we ought to do at this point. I regret that we were not able to do that this afternoon. But I hope the opportunity to do so will recur at some point in the near future and we can, once again, do what we believe should be done to try to bring more equity to that tax package which was passed and signed by the President.
Mr. President, will the manager of the legislation yield for a question?
Section 914 of this legislation directs the Secretary of Energy to establish a research and development program on solid- state lighting. I worked on this provision with the Senator from New Mexico, the chairman of the Energy and Natural Resources Committee, and I thought it would be useful to have his agreement that this program should not be a traditional grant, contract or cooperative agreement effort. The Department of Energy, DOE, should administer this program in partnership with an alliance of solid-state lighting industry partners who will act to guide and evaluate the research.
If the Senator would yield for a further question, I would like to know whether he also agrees that our intention is that academia, national laboratories and other research organizations should perform most of the fundamental research, while commercial entities, especially alliance companies, should perform most of the development and demonstration work. The selection of DOE laboratories should be based on demonstrated technical accomplishments
in the field of solid-state lighting, particularly inorganic and organic light-emitting diodes.
I thank the Senator and would ask one final question. I think he would agree that solid-state lighting is in its research infancy. While it holds a promise to make white light illumination 10 times more efficient than today's light bulb, it is imperative that the DOE implement this program quickly, and transfer the pre-competitive research to industry, so that our country can retain its leadership position in lighting--a field that Thomas Edison started.
I thank the Senator for yielding.
Amendment No. 845 to Amendment No. 539
(Purpose: To amend the Internal Revenue Code of 1986 to accelerate the increase in the refundability of the child tax credit, and for other
purposes)
Madam President, on behalf of Senator Schumer and Senator Lincoln, I send an amendment to the desk and ask for its immediate consideration.
Madam President, I ask unanimous consent that the reading of the amendment be dispensed with.
Madam President, first, I compliment the distinguished chair of the Foreign Relations Committee for his work on this omnibus piece of legislation. I intend to support it. I admire the work that has…
Madam President, first, I compliment the distinguished chair of the Foreign Relations Committee for his work on this omnibus piece of legislation. I intend to support it. I admire the work that has been done. I notice Senator Hagel is in the Chamber, and Senator Feingold. They and Senator Biden have really done yeoman work bringing us to this point. The MCC, foreign aid legislation, in addition to the State Department authorization bill, represents a tremendous amount of work and effort to get us to this point. I look forward to the debate.
Having said that, however, I must rise to express my frustration on an unrelated matter. I want to call to the attention of my colleagues the fact that it has now been a month since the Senate passed bipartisan legislation, 94 to 2, to rectify a problem that we all agreed should be fixed. I am referring to the 12 million children, and over 6 million families, that were excluded from legislation we recently passed and signed into law providing tax relief to American families.
Shortly after the exclusion was noted, the President admonished the Senate and the House to solve this problem as quickly as we can because we were bumping up against a deadline.
I recall all the speeches on the Senate floor. Republicans and Democrats came to the floor and said: Yes, we have to change this. Yes, we have to recognize that by July 25th all of this must be done. Yes, when all of these checks go out and relief is provided to everybody else, we should not be leaving out these 12 million children or these 6 million families. Let's resolve it. Let's do it. We said unequivocally that we were going to resolve this by the 25th of July.
Here we are, well into the second week of July, just a matter of a couple of weeks to go before the 25th is here, and yet there is no action. We keep promising. We keep hearing the promises made by others. The fact is, nothing has been done.
I think it is important for us, once again, to light a fire, to reignite it, to state again our determination to see that this is going to be done, to see that these people are not left out, to ensure that we address this issue as we all promised we would do just a month ago.
While I want to get on with this bill and while I want to be as supportive as I can to assure that the very distinguished chair of the Foreign Relations Committee can move this legislation along, I simply believe it is time for us, once again, to restate our determination to solve this problem. We do not need any time. We can have the vote just as we had it before and complete our work on it. But I do think it has to be done prior to the time we get into the real, legitimate debate and discussion about the many worthy aspects of the bill the distinguished chair has laid down.
So, Madam President, at this time I move to proceed to S. 1162, the child tax credit bill, in order for us to accomplish that task first.
Bill Text
Latest available legislative text
[Congressional Bills 108th Congress]
[From the U.S. Government Publishing Office]
[S. 1162 Placed on Calendar Senate (PCS)]
Calendar No. 118
108th CONGRESS
1st Session
S. 1162
To amend the Internal Revenue Code of 1986 to accelerate the increase
in the refundability of the child tax credit, and for other purposes.
_______________________________________________________________________
IN THE SENATE OF THE UNITED STATES
June 2, 2003
Mrs. Lincoln (for herself, Ms. Snowe, Mr. Warner, Mr. Rockefeller, Ms.
Collins, Mr. Reed, Mr. Jeffords, Mr. Bingaman, Ms. Landrieu, Mr.
Johnson, Mr. Harkin, Mr. Kennedy, Mr. Pryor, Mrs. Clinton, Mr. Corzine,
Mr. Durbin, Mr. Breaux, Mr. Edwards, Mr. Lieberman, Mr. Reid, Mr.
Schumer, Mr. Lautenberg, Mr. Kerry, Mr. Graham of Florida, Mr. Baucus,
Mr. Sarbanes, Ms. Mikulski, Mrs. Murray, Mr. Leahy, Mr. Nelson of
Nebraska, Mr. Nelson of Florida, Mr. Levin, Mr. Carper, Mr. Hollings,
Mr. Biden, Mr. Specter, Ms. Cantwell, Mr. Daschle, Ms. Stabenow, Mr.
Dodd, Mr. Conrad, Mr. Voinovich, Mr. Akaka, Mr. Dorgan, Mr. Chafee, Mr.
Kohl, Mrs. Feinstein, Mrs. Boxer, and Mr. Bayh) introduced the
following bill; which was read the first time
June 3, 2003
Read the second time and placed on the calendar
_______________________________________________________________________
A BILL
To amend the Internal Revenue Code of 1986 to accelerate the increase
in the refundability of the child tax credit, and for other purposes.
Be it enacted by the Senate and House of Representatives of the
United States of America in Congress assembled,
SECTION 1. SHORT TITLE.
This Act may be cited as the ``Working Taxpayer Fairness
Restoration Act''.
TITLE I--ACCELERATION OF INCREASE IN REFUNDABILITY OF THE CHILD TAX
CREDIT
SEC. 101. ACCELERATION OF INCREASE IN REFUNDABILITY OF THE CHILD TAX
CREDIT.
(a) In General.--Section 24(d)(1)(B)(i) of the Internal Revenue
Code of 1986 (relating to portion of credit refundable) is amended by
striking ``(10 percent in the case of taxable years beginning before
January 1, 2005)''.
(b) Effective Date.--The amendment made by this section shall apply
to taxable years beginning after December 31, 2002.
TITLE II--REVENUE PROVISIONS
Subtitle A--Enron-Related Tax Shelter Provisions
SEC. 201. LIMITATION ON TRANSFER OR IMPORTATION OF BUILT-IN LOSSES.
(a) In General.--Section 362 of the Internal Revenue Code of 1986
(relating to basis to corporations) is amended by adding at the end the
following new subsection:
``(e) Limitations on Built-In Losses.--
``(1) Limitation on importation of built-in losses.--
``(A) In general.--If in any transaction described
in subsection (a) or (b) there would (but for this
subsection) be an importation of a net built-in loss,
the basis of each property described in subparagraph
(B) which is acquired in such transaction shall
(notwithstanding subsections (a) and (b)) be its fair
market value immediately after such transaction.
``(B) Property described.--For purposes of
subparagraph (A), property is described in this
subparagraph if--
``(i) gain or loss with respect to such
property is not subject to tax under this
subtitle in the hands of the transferor
immediately before the transfer, and
``(ii) gain or loss with respect to such
property is subject to such tax in the hands of
the transferee immediately after such transfer.
In any case in which the transferor is a partnership,
the preceding sentence shall be applied by treating
each partner in such partnership as holding such
partner's proportionate share of the property of such
partnership.
``(C) Importation of net built-in loss.--For
purposes of subparagraph (A), there is an importation
of a net built-in loss in a transaction if the
transferee's aggregate adjusted bases of property
described in subparagraph (B) which is transferred in
such transaction would (but for this paragraph) exceed
the fair market value of such property immediately
after such transaction.
``(2) Limitation on transfer of built-in losses in section
351 transactions.--
``(A) In general.--If--
``(i) property is transferred by a
transferor in any transaction which is
described in subsection (a) and which is not
described in paragraph (1) of this subsection,
and
``(ii) the transferee's aggregate adjusted
bases of such property so transferred would
(but for this paragraph) exceed the fair market
value of such property immediately after such
transaction,
then, notwithstanding subsection (a), the transferee's
aggregate adjusted bases of the property so transferred
shall not exceed the fair market value of such property
immediately after such transaction.
``(B) Allocation of basis reduction.--The aggregate
reduction in basis by reason of subparagraph (A) shall
be allocated among the property so transferred in
proportion to their respective built-in losses
immediately before the transaction.
``(C) Exception for transfers within affiliated
group.--Subparagraph (A) shall not apply to any
transaction if the transferor owns stock in the
transferee meeting the requirements of section
1504(a)(2). In the case of property to which
subparagraph (A) does not apply by reason of the
preceding sentence, the transferor's basis in the stock
received for such property shall not exceed its fair
market value immediately after the transfer.''.
(b) Comparable Treatment Where Liquidation.--Paragraph (1) of
section 334(b) of the Internal Revenue Code of 1986 (relating to
liquidation of subsidiary) is amended to read as follows:
``(1) In general.--If property is received by a corporate
distributee in a distribution in a complete liquidation to
which section 332 applies (or in a transfer described in
section 337(b)(1)), the basis of such property in the hands of such
distributee shall be the same as it would be in the hands of the
transferor; except that the basis of such property in the hands of such
distributee shall be the fair market value of the property at the time
of the distribution--
``(A) in any case in which gain or loss is
recognized by the liquidating corporation with respect
to such property, or
``(B) in any case in which the liquidating
corporation is a foreign corporation, the corporate
distributee is a domestic corporation, and the
corporate distributee's aggregate adjusted bases of
property described in section 362(e)(1)(B) which is
distributed in such liquidation would (but for this
subparagraph) exceed the fair market value of such
property immediately after such liquidation.''.
(c) Effective Date.--The amendments made by this section shall
apply to transactions after February 13, 2003.
SEC. 202. NO REDUCTION OF BASIS UNDER SECTION 734 IN STOCK HELD BY
PARTNERSHIP IN CORPORATE PARTNER.
(a) In General.--Section 755 of the Internal Revenue Code of 1986
is amended by adding at the end the following new subsection:
``(c) No Allocation of Basis Decrease to Stock of Corporate
Partner.--In making an allocation under subsection (a) of any decrease
in the adjusted basis of partnership property under section 734(b)--
``(1) no allocation may be made to stock in a corporation
(or any person which is related (within the meaning of section
267(b) or 707(b)(1)) to such corporation) which is a partner in
the partnership, and
``(2) any amount not allocable to stock by reason of
paragraph (1) shall be allocated under subsection (a) to other
partnership property.
Gain shall be recognized to the partnership to the extent that the
amount required to be allocated under paragraph (2) to other
partnership property exceeds the aggregate adjusted basis of such other
property immediately before the allocation required by paragraph
(2).''.
(b) Effective Date.--The amendment made by this section shall apply
to distributions after February 13, 2003.
SEC. 203. REPEAL OF SPECIAL RULES FOR FASITS.
(a) In General.--Part V of subchapter M of chapter 1 of the
Internal Revenue Code of 1986 (relating to financial asset
securitization investment trusts) is hereby repealed.
(b) Conforming Amendments.--
(1) Paragraph (6) of section 56(g) of the Internal Revenue
Code of 1986 is amended by striking ``REMIC, or FASIT'' and
inserting ``or REMIC''.
(2) Clause (ii) of section 382(l)(4)(B) of such Code is
amended by striking ``a REMIC to which part IV of subchapter M
applies, or a FASIT to which part V of subchapter M applies,''
and inserting ``or a REMIC to which part IV of subchapter M
applies,''.
(3) Paragraph (1) of section 582(c) of such Code is amended
by striking ``, and any regular interest in a FASIT,''.
(4) Subparagraph (E) of section 856(c)(5) of such Code is
amended by striking the last sentence.
(5) Paragraph (5) of section 860G(a) of such Code is
amended by adding ``and'' at the end of subparagraph (B), by
striking ``, and'' at the end of subparagraph (C) and inserting
a period, and by striking subparagraph (D).
(6) Subparagraph (C) of section 1202(e)(4) of such Code is
amended by striking ``REMIC, or FASIT'' and inserting ``or
REMIC''.
(7) Subparagraph (C) of section 7701(a)(19) of such Code is
amended by adding ``and'' at the end of clause (ix), by
striking ``, and'' at the end of clause (x) and inserting a
period, and by striking clause (xi).
(8) The table of parts for subchapter M of chapter 1 of
such Code is amended by striking the item relating to part V.
(c) Effective Date.--
(1) In general.--Except as provided in paragraph (2), the
amendments made by this section shall take effect on February
14, 2003.
(2) Exception for existing fasits.--The amendments made by
this section shall not apply to any FASIT in existence on the
date of the enactment of this Act to the extent that regular
interests issued by the FASIT before such date continue to
remain outstanding in accordance with the original terms of
issuance of such interests.
SEC. 204. EXPANDED DISALLOWANCE OF DEDUCTION FOR INTEREST ON
CONVERTIBLE DEBT.
(a) In General.--Paragraph (2) of section 163(l) of the Internal
Revenue Code of 1986 is amended by striking ``or a related party'' and
inserting ``or equity held by the issuer (or any related party) in any
other person''.
(b) Exception for Certain Instruments Issued By Dealers In
Securities.--Section 163(l) of the Internal Revenue Code of 1986 is
amended by redesignating paragraphs (4) and (5) as paragraphs (5) and
(6) and by inserting after paragraph (3) the following new paragraph:
``(4) Exception for certain instruments issued by dealers
in securities.--For purposes of this subsection, the term
`disqualified debt instrument' does not include indebtedness
issued by a dealer in securities (or a related party) which is
payable in, or by reference to, equity (other than equity of
the issuer or a related party) held by such dealer in its
capacity as a dealer in securities. For purposes of this
paragraph, the term `dealer in securities' has the meaning
given such term by section 475.''.
(c) Conforming Amendment.--Paragraph (3) of section 163(l) of the
Internal Revenue Code of 1986 is amended by striking ``or a related
party'' in the material preceding subparagraph (A) and inserting ``or
any other person''.
(d) Effective Date.--The amendments made by this section shall
apply to debt instruments issued after February 13, 2003.
SEC. 205. EXPANDED AUTHORITY TO DISALLOW TAX BENEFITS UNDER SECTION
269.
(a) In General.--Subsection (a) of section 269 of the Internal
Revenue Code of 1986 (relating to acquisitions made to evade or avoid
income tax) is amended to read as follows:
``(a) In General.--If--
``(1)(A) any person acquires stock in a corporation, or
``(B) any corporation acquires, directly or indirectly,
property of another corporation and the basis of such property,
in the hands of the acquiring corporation, is determined by
reference to the basis in the hands of the transferor
corporation, and
``(2) the principal purpose for which such acquisition was
made is evasion or avoidance of Federal income tax by securing
the benefit of a deduction, credit, or other allowance,
then the Secretary may disallow such deduction, credit, or other
allowance.''.
(b) Effective Date.--The amendment made by this section shall apply
to stock and property acquired after February 13, 2003.
SEC. 206. MODIFICATIONS OF CERTAIN RULES RELATING TO CONTROLLED FOREIGN
CORPORATIONS.
(a) Limitation on Exception From PFIC Rules for United States
Shareholders of Controlled Foreign Corporations.--Paragraph (2) of
section 1297(e) of the Internal Revenue Code of 1986 (relating to
passive investment company) is amended by adding at the end the
following flush sentence:
``Such term shall not include any period if there is only a
remote likelihood of an inclusion in gross income under section
951(a)(1)(A)(i) of subpart F income of such corporation for
such period.''.
(b) Effective Date.--The amendment made by this section shall apply
to taxable years on controlled foreign corporation beginning after
February 13, 2003, and to taxable years of United States shareholder in
which or with which such taxable years of controlled foreign
corporations end.
SEC. 207. CONTROLLED ENTITIES INELIGIBLE FOR REIT STATUS.
(a) In General.--Subsection (a) of section 856 of the Internal
Revenue Code of 1986 (relating to definition of real estate investment
trust) is amended by striking ``and'' at the end of paragraph (6), by
redesignating paragraph (7) as paragraph (8), and by inserting after
paragraph (6) the following new paragraph:
``(7) which is not a controlled entity (as defined in
subsection (l)); and''.
(b) Controlled Entity.--Section 856 of the Internal Revenue Code of
1986 is amended by adding at the end the following new subsection:
``(l) Controlled Entity.--
``(1) In general.--For purposes of subsection (a)(7), an
entity is a controlled entity if, at any time during the
taxable year, one person (other than a qualified entity)--
``(A) in the case of a corporation, owns stock--
``(i) possessing at least 50 percent of the
total voting power of the stock of such
corporation, or
``(ii) having a value equal to at least 50
percent of the total value of the stock of such
corporation, or
``(B) in the case of a trust, owns beneficial
interests in the trust which would meet the
requirements of subparagraph (A) if such interests were
stock.
``(2) Qualified entity.--For purposes of paragraph (1), the
term `qualified entity' means--
``(A) any real estate investment trust, and
``(B) any partnership in which one real estate
investment trust owns at least 50 percent of the
capital and profits interests in the partnership.
``(3) Attribution rules.--For purposes of this paragraphs
(1) and (2)--
``(A) In general.--Rules similar to the rules of
subsections (d)(5) and (h)(3) shall apply; except that
section 318(a)(3)(C) shall not be applied under such
rules to treat stock owned by a qualified entity as
being owned by a person which is not a qualified
entity.
``(B) Stapled entities.--A group of entities which
are stapled entities (as defined in section 269B(c)(2))
shall be treated as one person.
``(4) Exception for certain new reits.--
``(A) In general.--The term `controlled entity'
shall not include an incubator REIT.
``(B) Incubator reit.--A corporation shall be
treated as an incubator REIT for any taxable year
during the eligibility period if it meets all the
following requirements for such year:
``(i) The corporation elects to be treated
as an incubator REIT.
``(ii) The corporation has only voting
common stock outstanding.
``(iii) Not more than 50 percent of the
corporation's real estate assets consist of
mortgages.
``(iv) From not later than the beginning of
the last half of the second taxable year, at
least 10 percent of the corporation's capital
is provided by lenders or equity investors who
are unrelated to the corporation's largest
shareholder.
``(v) The corporation annually increases
the value of its real estate assets by at least
10 percent.
``(vi) The directors of the corporation
adopt a resolution setting forth an intent to
engage in a going public transaction.
No election may be made with respect to any REIT if an
election under this subsection was in effect for any
predecessor of such REIT.
``(C) Eligibility period.--
``(i) In general.--The eligibility period
(for which an incubator REIT election can be
made) begins with the REIT's second taxable
year and ends at the close of the REIT's third
taxable year, except that the REIT may, subject
to clauses (ii), (iii), and (iv), elect to
extend such period for an additional 2 taxable
years.
``(ii) Going public transaction.--A REIT
may not elect to extend the eligibility period
under clause (i) unless it enters into an
agreement with the Secretary that if it does
not engage in a going public transaction by the
end of the extended eligibility period, it
shall pay Federal income taxes for the 2 years
of the extended eligibility period as if it had
not made an incubator REIT election and had
ceased to qualify as a REIT for those 2 taxable
years.
``(iii) Returns, interest, and notice.--
``(I) Returns.--In the event the
corporation ceases to be treated as a
REIT by operation of clause (ii), the
corporation shall file any appropriate
amended returns reflecting the change
in status within 3 months of the close
of the extended eligibility period.
``(II) Interest.--Interest shall be
payable on any tax imposed by reason of
clause (ii) for any taxable year but,
unless there was a finding under
subparagraph (D), no substantial
underpayment penalties shall be
imposed.
``(III) Notice.--The corporation
shall, at the same time it files its
returns under subclause (I), notify its
shareholders and any other persons
whose tax position is, or may
reasonably be expected to be, affected
by the change in status so they also
may file any appropriate amended
returns to conform their tax treatment
consistent with the corporation's loss
of REIT status.
``(IV) Regulations.--The Secretary
shall provide appropriate regulations
setting forth transferee liability and
other provisions to ensure collection
of tax and the proper administration of
this provision.
``(iv) Clauses (ii) and (iii) shall not
apply if the corporation allows its incubator
REIT status to lapse at the end of the initial
2-year eligibility period without engaging in a
going public transaction if the corporation is
not a controlled entity as of the beginning of
its fourth taxable year. In such a case, the
corporation's directors may still be liable for
the penalties described in subparagraph (D)
during the eligibility period.
``(D) Special penalties.--If the Secretary
determines that an incubator REIT election was filed
for a principal purpose other than as part of a
reasonable plan to undertake a going public
transaction, an excise tax of $20,000 shall be imposed
on each of the corporation's directors for each taxable
year for which an election was in effect.
``(E) Going public transaction.--For purposes of
this paragraph, a going public transaction means--
``(i) a public offering of shares of the
stock of the incubator REIT;
``(ii) a transaction, or series of
transactions, that results in the stock of the
incubator REIT being regularly traded on an
established securities market and that results
in at least 50 percent of such stock being held
by shareholders who are unrelated to persons
who held such stock before it began to be so
regularly traded; or
``(iii) any transaction resulting in
ownership of the REIT by 200 or more persons
(excluding the largest single shareholder) who
in the aggregate own at least 50 percent of the
stock of the REIT.
For the purposes of this subparagraph, the rules of
paragraph (3) shall apply in determining the ownership
of stock.
``(F) Definitions.--The term `established
securities market' shall have the meaning set forth in
the regulations under section 897.''.
(c) Conforming Amendment.--Paragraph (2) of section 856(h) of the
Internal Revenue Code of 1986 is amended by striking ``and (6)'' each
place it appears and inserting ``, (6), and (7)''.
(d) Effective Date.--
(1) In general.--The amendments made by this section shall
apply to taxable years ending after May 8, 2003.
(2) Exception for existing controlled entities.--The
amendments made by this section shall not apply to any entity
which is a controlled entity (as defined in section 856(l) of
the Internal Revenue Code of 1986, as added by this section) as
of May 8, 2003, which is a real estate investment trust for the
taxable year which includes such date, and which has
significant business assets or activities as of such date. For
purposes of the preceding sentence, an entity shall be treated
as such a controlled entity on May 8, 2003, if it becomes such
an entity after such date in a transaction--
(A) made pursuant to a written agreement which was
binding on such date and at all times thereafter, or
(B) described on or before such date in a filing
with the Securities and Exchange Commission required
solely by reason of the transaction.
Subtitle B--Extension of Internal Revenue Service User Fees
SEC. 211. EXTENSION OF INTERNAL REVENUE SERVICE USER FEES.
(a) In General.--Chapter 77 of the Internal Revenue Code of 1986
(relating to miscellaneous provisions) is amended by adding at the end
the following new section:
``SEC. 7528. INTERNAL REVENUE SERVICE USER FEES.
``(a) General Rule.--The Secretary shall establish a program
requiring the payment of user fees for--
``(1) requests to the Internal Revenue Service for ruling
letters, opinion letters, and determination letters, and
``(2) other similar requests.
``(b) Program Criteria.--
``(1) In general.--The fees charged under the program
required by subsection (a)--
``(A) shall vary according to categories (or
subcategories) established by the Secretary,
``(B) shall be determined after taking into account
the average time for (and difficulty of) complying with
requests in each category (and subcategory), and
``(C) shall be payable in advance.
``(2) Exemptions, etc.--
``(A) In general.--The Secretary shall provide for
such exemptions (and reduced fees) under such program
as the Secretary determines to be appropriate.
``(B) Exemption for certain requests regarding
pension plans.--The Secretary shall not require payment
of user fees under such program for requests for
determination letters with respect to the qualified
status of a pension benefit plan maintained solely by 1
or more eligible employers or any trust which is part
of the plan. The preceding sentence shall not apply to
any request--
``(i) made after the later of--
``(I) the fifth plan year the
pension benefit plan is in existence,
or
``(II) the end of any remedial
amendment period with respect to the
plan beginning within the first 5 plan
years, or
``(ii) made by the sponsor of any prototype
or similar plan which the sponsor intends to
market to participating employers.
``(C) Definitions and special rules.--For purposes
of subparagraph (B)--
``(i) Pension benefit plan.--The term
`pension benefit plan' means a pension, profit-
sharing, stock bonus, annuity, or employee
stock ownership plan.
``(ii) Eligible employer.--The term
`eligible employer' means an eligible employer
(as defined in section 408(p)(2)(C)(i)(I))
which has at least 1 employee who is not a
highly compensated employee (as defined in
section 414(q)) and is participating in the
plan. The determination of whether an employer
is an eligible employer under subparagraph (B)
shall be made as of the date of the request
described in such subparagraph.
``(iii) Determination of average fees
charged.--For purposes of any determination of
average fees charged, any request to which
subparagraph (B) applies shall not be taken
into account.
``(3) Average fee requirement.--The average fee charged
under the program required by subsection (a) shall not be less
than the amount determined under the following table:
Average
``Category Fee
Employee plan ruling and opinion.............. $250
Exempt organization ruling.................... $350
Employee plan determination................... $300
Exempt organization determination............. $275
Chief counsel ruling.......................... $200.
``(c) Termination.--No fee shall be imposed under this section with
respect to requests made after September 30, 2013.''.
(b) Conforming Amendments.--
(1) The table of sections for chapter 77 of the Internal
Revenue Code of 1986 is amended by adding at the end the
following new item:
``Sec. 7528. Internal Revenue Service
user fees.''.
(2) Section 10511 of the Revenue Act of 1987 is repealed.
(3) Section 620 of the Economic Growth and Tax Relief
Reconciliation Act of 2001 is repealed.
(c) Limitations.--Notwithstanding any other provision of law, any
fees collected pursuant to section 7528 of the Internal Revenue Code of
1986, as added by subsection (a), shall not be expended by the Internal
Revenue Service unless provided by an appropriations Act.
(d) Effective Date.--The amendments made by this section shall
apply to requests made after the date of the enactment of this Act.
Calendar No. 118
108th CONGRESS
1st Session
S. 1162
_______________________________________________________________________
A BILL
To amend the Internal Revenue Code of 1986 to accelerate the increase
in the refundability of the child tax credit, and for other purposes.
_______________________________________________________________________
June 3, 2003
Read the second time and placed on the calendar