Renewable Energy and Energy Efficiency Act of 2005

Mr. Speaker, I rise in support of H. Res. 737, which would support the goals and ideals Financial Literacy Month, among them raising public awareness about the importance of financial literacy.

As many of my colleagues are aware, borrowing--particularly on credit--has increased dramatically in recent years, while private savings have fallen. At the end of 2004, Americans carried 657,000,000 bank credit cards, 228,000,000 debit cards, and 550,000,000 retail credit cards--that comes to 6.3 bank credit cards, 2.2 debit cards, and 6.4 retail credit cards per household. The household debt of United States citizens climbed to $11,000,000,000 by the close of the third quarter of 2005. Meanwhile, personal savings as a percentage of personal income have decreased from 7.5 percent in the early 1980s to negative 0.5 percent in 2005, the first year that the rate has been negative since the Great Depression.

My colleagues are familiar with these statistics and the problems that such trends create for our economy, among them our low current accounts balance and our oft-cited trade deficit.

Americans should be familiar with the financial tools and strategies that can reverse these trends--tools and strategies made available by programs like Financial Literacy Month. By working to improve the financial literacy of people from all ages and walks of life, we can

help high school and college students prepare themselves for more responsible adult lives, help parents continue to provide for their children, and help retirees create sustainable plans for their golden years. Greater financial literacy will reduce the number of Americans forced to file for bankruptcy, increase the nation's private savings, and empower more Americans to make informed decisions in an increasingly complex market. Altogether, it will spur growth in our nation's economy.

In New Jersey, our credit unions have come together with the Department of Banking and Insurance for initiatives like the New Jersey Financial Literacy Awareness Network (NJFLAN) to help New Jerseyans better understand and manage their finances. NJFLAN partners with community organizations, schools, corporations, and financial institutions to distribute multilingual educational materials. The New Jersey Credit Union also set up a grant-making foundation to back initiatives to improve financial literacy within our state. These are two examples of positive, practical efforts that can be made at the state and district levels to further the goals and ideals of Financial Literacy Month.

I am proud to cosponsor this resolution and urge my colleagues to pass this resolution today.

Mr. BACA, Mr. Speaker, I rise in recognition of Financial Literacy Month and in full support of H. Res. 737, which I have cosponsored. As a member of the Congressional Financial and Economic Literacy Caucus, I encourage all of my colleagues to use this time to raise awareness about the importance of financial education and to support efforts that prepare Americans with the skills and know-how they need to manage money, credit and debt.

I'd also like to take this time to call attention to an important consumer issue that is affecting millions of Americans all across the nation.

Among the most vital pieces of information that can prepare individuals to make informed financial decisions is a credit report. Understanding one's credit report plays a key role in home-ownership readiness, increasing financial literacy, and monitoring for identity theft and or/fraud.

In recognition of the important role a credit report plays in enhancing financial literacy and combating identity theft, Congress passed legislation that entitles all consumers to one free credit report each year.

However, since the law's passage in 2003 nearly 30 million Latinos within the United States including almost 3 million in Puerto Rico--who have limited English language skills, are being excluded from this new right. They cannot obtain access because the system to order free credit reports--a website and toll-free hotline--is only available in English. As a result, millions are denied this information, which is essential to making informed financial decisions and to guarding against identity theft.

Identity theft is a serious and pervasive crime that affects millions of American families. According to a recent study by the Department of Justice, an estimated 3.6 million U.S. households--or about 3 out of every 100--were victims of identity theft in 2004.

During last month's markup of the Financial Data Protection Act (H.R. 3997) in the House Financial Services Committee, I called on America's leading credit bureaus to implement new procedures and services to help Spanish speakers obtain copies of their free credit report, understand the financial information it contains and learn about ways they can guard against identity theft, detect it or take corrective action if they discover they have been victimized. The right to a free credit report is a right for all consumers. In order for tens of millions of Spanish speakers to gain access, the system for ordering free credit reports must be made available in Spanish.

Last week, members of the Congressional Hispanic Caucus, of which I am First Vice Chair, met with executives from Equifax, Experian and TransUnion to discuss this issue and to ask them to take additional steps to protect Latinos who have limited English language skills. The CHC will continue to monitor this issue to ensure their full compliance with the law. They must be held accountable.

I urge my colleagues to support the adoption of H. Res. 737 and encourage all members to support the ideals and goals of Financial Literacy Month.

Mr. Speaker, I rise in support of House Resolution 737 that the gentlewoman from Illinois, Congresswoman Biggert, and I introduced earlier this year. The legislation supports the ideals and goals of Financial Literacy Month, which falls in April of each year.

Before I proceed, I want to take this opportunity to thank my good friend and colleague, Congressman Danny Davis, the ranking member on the Government Reform Federal Workforce Subcommittee, and especially Tania Shand of the minority staff for helping expedite committee consideration of our bill.

I also want to thank Congressman Westmoreland for managing time on this bill.

My colleague and friend from Illinois, Congressman Davis, has always been a strong supporter of economic education and financial literacy, and I want to thank him for managing the bill today for our side of the aisle.

Mrs. Biggert and I have also worked closely on financial literacy issues with House Rules Chairman David Dreier over the years. I think all of us owe him and Vince Erse, on his staff, a great deal of gratitude for being one of the first Members of Congress to bring attention to the need to improve financial literacy rates here in the United States.

Every day consumers deal with money, from balancing a checking account to shopping for a mortgage or auto loan, researching ways to pay for a college education, checking credit card statements, saving money for retirement, understanding a credit report, or simply deciding whether to pay cash or charge a purchase. The list goes on and on. But many consumers do not really understand their finances.

In 2004 reports from Jump$tart and the National Counsel on Economic Education, the Schwab Foundation and others indicated that almost 66 percent of high school students failed a basic financial literacy exam. The numbers are not much better for adults. High bankruptcy rates, increased credit card debt, data security breaches, and identity theft make it imperative that all of us take an active role in providing financial and economic education during all stages of one's life.

On February 15, 2005, I co-founded, and currently co-chair, the Congressional Financial and Economic Literacy Caucus with Congresswoman Biggert. The caucus seeks to address these issues head on by increasing public awareness of poor financial literacy rates and will work to improve those rates. The caucus has provided a forum for my colleagues to promote policies that advance financial literacy and economic education.

It is my hope that through the Financial and Economic Literacy Caucus we can continue to further educate Americans about financial and economic topics ranging from the importance of saving, reducing credit card debt, obtaining a free annual credit report, and taking care of your finances to lead you down the path to the American dream of homeownership.

At this point, Mr. Speaker, I will insert into the Record letters in support of this resolution. They include a letter from the Financial Planning Association, the Independent Bankers Association of Texas, the Credit Union National Association, from MasterCard, from the Networks Financial Institute, as well as from the North American Securities Administrators Association. And then it includes a press release from the Independent Community Bankers of America.

North American Securities

Administrators Association, Inc.,

Washington, DC, April 5, 2006.

Hon. Judy Biggert,

House of Representatives,

Washington, DC.

Hon. Ruben Hinojosa,

House of Representatives,

Washington, DC.

Dear Congresswoman Biggert and Congressman Hinojosa: On

behalf of NASAA I thank you for introducing H. Res. 737,

which supports the goals and ideals of Financial Literacy

Month. As the Resolution details, the need for financial

education in the United States has never been greater. With a

majority of Americans investing in our capital markets, there

is a growing obligation to ensure our citizens are equipped

with a basic understanding of the principles of savings and

investing and the ability to recognize and avoid financial

fraud.

State securities regulators have a long tradition of

protecting investors through education, and many have

established an investor education department within their

regulatory agency. Several years ago, recognizing the

importance of financial literacy to the prevention of fraud

and abuse, the NASAA Board of Directors created an Investor

Education Section to develop and support financial literacy

and education programs to be delivered at the state level.

As part of the effort to educate our nation's youth, in

April, state securities division staffs will join in

celebrating ``Financial Literacy Month'' by visiting schools

throughout their state to teach students about personal

finance, the capital markets, investment choices and fraud.

Reaching out to our young citizens is just one component of

the ongoing financial education effort undertaken by state

securities regulators. We are dedicated to improving

financial literacy for our constituents of all ages,

recognizing that financial education has a direct impact on

the economic health of our families, communities, states and

this country overall.

We commend you for your continued efforts to draw attention

to the importance of financial literacy programs. Please

contact Daphne Smith, Tennessee Securities Commissioner and

Chair of NASAA's Investor Education Section, or Deborah House

in NASAA's corporate office if we may be of further

assistance to you. We look forward to continuing our work

with you and your offices on this particular issue.

Sincerely,

Patricia D. Struck,

NASAA President,

Wisconsin Securities Administrator.

Mr. Speaker, I thank the gentleman from Georgia for yielding me the time.

Mr. Speaker, I rise today in support of House Resolution 737 to designate April as Financial Literacy Month. This is the third year that I have introduced this resolution with my colleague from Texas (Mr. Hinojosa) to raise public awareness about the importance of financial education in the United States.

The state of financial literacy among our citizens may not garner much in the way of headlines, but it is an issue that should command our attention. It is a problem that is serious and urgent but is one that could be solved through education, and that is why I urge my colleagues to support this resolution.

In 2003 I worked with my colleagues and again Mr. Hinojosa to establish within the Fair and Accurate Credit Transaction Act, or the FACTA, the Financial Literacy and Education Commission. We tasked the commission with establishing a Web site, a toll-free hotline, and a national financial literacy strategy. I am happy to say that the commission immediately launched www.mymoney.gov and 1-888-MYMONEY, and just yesterday it unveiled the national strategy report.

It is called ``Taking Ownership of the Future: The National Strategy for Financial Literacy.'' And it highlights best practices and outlines outreach and education goals for the public and private sectors. I would urge my colleagues to go to mymoney.gov and take a look at the report. It is a great roadmap for how Americans can improve their understanding of issues such as credit management, savings, and homeownership. It is my hope that this national strategy can serve as a focal point for the hundreds of groups out there who are stepping up to the plate on financial literacy. There are so many issues and so many groups of individuals who need help and want to help.

Since my colleague Mr. Hinojosa and I founded the Financial and Economic Literacy Caucus, which now has 68 Members of Congress, literally hundreds, if not a thousand, not-for-profit groups and private sector organizations have called us to offer their help or tell us about their financial literacy programs.

And I would like to take a moment to insert into the Congressional Record letters of support for these resolutions from four such organizations.

Networks Financial Institute

at Indiana State University,

Terre Haute, IN, April 4, 2006.

Hon. Judy Biggert,

House of Representatives, Co-Founder and Co-Chair, Financial

and Economic Literacy Caucus, Washington, DC.

Hon. Ruben Hinojosa,

House of Representatives, Co-Founder and Co-Chair, Financial

and Economic Literacy Caucus, Washington, DC.

Dear Representatives Biggert and Hinojosa: We are writing

to express our support for H. Res. 737, ``Supporting the

goals and ideals of Financial Literacy Month.'' The

resolution is an important step in raising awareness among

individuals, policymakers, and institutions about the need

for a more competent, financially literate country.

A lack of basic money-management skills is widespread among

Americans. Over a quarter of our population have not received

adequate financial literacy education in order to manage

household finances. Personal bankruptcies increased 19% in

2002 over 2001, and increased by over 10% in 2003 with young

adults between 20 and 24 representing the fastest growing

segment of bankruptcy filings. In 2004, America's teenagers

scored a failing grade in basic financial literacy knowledge,

and more people filed for bankruptcy than graduated from

college. Now more than ever, there is a critical need for

research-based financial literacy educational programs to

reach individuals at all age and socioeconomic levels,

particularly in the early years. Our nation's educational

systems are an effective conduit through the use of quality

programming with a common set of educational standards, pre-

and post-education assessment tools, effective training

programs for educators, and materials which appropriately

serve various segments of adult and child populations. The

goal of these efforts is to develop an adult population of

consumers that have adequate skills and confidence for making

day-to-day financial decisions, and planning for their

financial futures.

Thank you again for introducing H. Res. 737. Your continued

leadership and commitment to financial literacy is essential

to raise awareness of the need to implement a national

strategy, and improve the money, credit, and debt management

skills of all individuals.

Sincerely,

Liz Coit,

Executive Director.

Mr. Speaker, later this week the House will vote on energy legislation that concerns every man and woman in America. This energy bill presents a terrific opportunity to reduce our Nation's continued dependence on petroleum by promoting clean and renewable energy sources. But instead of encouraging the use of renewable energy, this Neanderthal legislation promotes the interest of corporations through tax breaks that encourage air pollution, water contamination, and the general destruction of our environment.

This energy legislation will harm more than our environment. American's continued reliance on fossil fuels is the single largest factor that contributes to our national insecurity. That is because we obtain most of our fossil fuels from the Middle East, a region where democracy is about as common as desert oases. By spending billions of dollars annually on foreign fuels, the United States supports autocratic regimes in countries like Saudi Arabia, Libya, and Venezuela.

The citizens of oil-rich countries run by despots rarely, if ever, receive even a dime from these oil sales. More often than not, these riches line the pockets of fat-cat leaders and their cronies, instead of paying for projects that would help improve the lives of all the people in the country.

This drastic gap in wealth between the upper and lower classes, in turn breeds hostility and despair among the local populace. This hostility, combined with the militant form of Islam that is encouraged by the fat-cat leaders, creates the conditions in which terrorism runs rampant.

If the United States were to become fully energy independent, we would essentially pull the plug on the supply of money that flows to the Middle East much like oil through a pipeline. Therefore, the most effective measure we can take to address global terrorism

is to curb our dependence on foreign fuel. Unfortunately, this sham of an energy bill that we will vote on this week would do the very opposite, making Americans more beholden than ever to the whims and desires of big oil companies.

Sadly, 150,000 United States troops are currently embroiled in a war in Iraq that certainly is intended to ensure that the U.S. has access to Middle East oil.

President Bush and the Republican leaders in Congress claim they want democracy to take hold in Iraq. But if a democratic Iraq really is wanted, then we need to do two things right here at home.

First, we must craft a viable national energy policy that encourages the development and use of renewable sources of energy. Second, we must remove our troops from harm's way by withdrawing United States military forces from Iraq, giving Iraqis and Iraqi oil back to the people of Iraq.

I have introduced legislation to accomplish this: H.R. 737, the Renewable Energy and Energy Efficiency Act of 2005. It establishes a comprehensive energy strategy that will stimulate demand for more efficient energy processes and unlock the vast potential of renewable energy sources.

I have also introduced H. Con. Res. 35 with the support of 31 of my House colleagues. This legislation calls on President Bush to begin immediate withdrawal of U.S. troops from Iraq. If Iraq is as stable and secure as the Bush administration claims, then why does a third of our standing military remain there still fighting the Iraqi insurgency? Why do the men and women in our military continue to face gunfire and car bombs halfway around the world? For what cause have more than 1,500 American solders and tens of thousands of Iraqi civilians died, with another 12,000-plus American soldiers gravely wounded physically and mentally?

Mr. Speaker, our Nation's energy and foreign policies are interconnected. You cannot address one without addressing the other. That is why the energy legislation that will come before the House this week is so terribly wrong for America.

In promoting this misguided energy bill, the Republicans in Congress ensure the continuation of the deep disparities of wealth in the Middle East. These misguided policies will encourage future acts of terrorism which will encourage future warfare. Instead of relying on foreign oil for our energy needs, let us address the source of the problem by employing our Nation's innovative expertise by promoting the advancement of clean, renewable sources of energy. This will keep our air and water pure; but just as important, it will help purify our Nation's foreign policy.

Mr. Speaker, I thank my friend for yielding, and congratulate him and his colleagues on the Government Reform and Oversight Committee for their hard work on this important issue.

As I look around the Chamber, Mr. Speaker, I, of course, want to say that this Illinois nexus here between Davis and Biggert is obviously a great one and very committed to the issue of financial literacy, and my good friend from Texas, Ruben Hinojosa, has done so much to further this cause.

I want to say that I remember it was probably a decade ago that Mr. Pomeroy and I stood here beginning to focus attention on this issue. I want to again say how much I appreciate the fact that Mrs. Biggert and Mr. Hinojosa have led the charge here. I believe that this resolution is very deserving of our support. I see my friend Eddie Bernice Johnson here as well, so I suspect she is supportive of this, and Mr. Sherman and others.

I do believe if we look at where we are as a Nation today, it is amazing what the 21st century has wrought. We are all so supportive of these dramatic changes that have been made, improving the quality of life and the standard of living for people. But one of the things we point to is the fact we see this emerging investor class; 56.7 million American families are today members of the investor class.

What has all of this technological change brought about? Well, one thing is the explosion of the access to all kinds of different financial products and services out there. Many of them are offered to young people who, unfortunately, don't really have much of a grasp or understanding of financial responsibility and financial literacy.

That is why what we are doing here today is the right thing. In fact, I am very pleased to see that the Commission on Financial Literacy that has been put into place just yesterday made the decision to move ahead with positive methods of education advancing this cause.

If we are going to see the number of investors in the United States of America grow, and as we want to continue to see the standard of living increase for so many people, with that obviously comes responsibility. As people take on responsibility, the best way for them to do it is if they have the kind of literacy that is necessary in dealing with this explosion of financial products and services that are out there.

So, I simply want to say congratulations. Here we are, trying to encourage education in science, technology, engineering and math, the STEM Program we were talking about just last week, and as well we are proceeding with the work on our very important higher education bill, and key to that is our quest to ensure that people understand these different financial products that are there.

Mr. Speaker, I congratulate my colleagues who have been so involved in this, and I hope very much that we will be able to have strong support for this measure. I hope we have unanimous passage of it. We will be able to at that point see a greater understanding and an enhancement of these toll-free numbers that are out there and all the other educational tools that my friend Mrs. Biggert talked about.

With that, I encourage strong support for the resolution.