Helping Families Save Their Homes in Bankruptcy Act of 2009
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Read twice and referred to the Committee on the Judiciary. (text of measure as introduced: CR S66)
January 6, 2009
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Introduced in Senate
January 6, 2009
Sponsor introductory remarks on measure. (CR S64-66)
January 6, 2009
Read twice and referred to the Committee on the Judiciary. (text of measure as introduced: CR S66)
January 6, 2009
Floor Debate
20 membersWhat members said about S. 61 on the floor
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Floor Debate
20 membersWhat members said about S. 61 on the floor
Mr. President, I am pleased to join Senators Schumer, Snowe, and Boxer in introducing legislation to prohibit the selling and counterfeiting of tickets to the Presidential inaugural ceremony. The…
Mr. President, I am pleased to join Senators Schumer, Snowe, and Boxer in introducing legislation to prohibit the selling and counterfeiting of tickets to the Presidential inaugural ceremony.
The inauguration of the President of the United States is one of the most important rituals of our democracy, and the chance to witness this solemn event should not be bought and sold similar to tickets to a sporting event.
This is a dignified and critical moment of transition in Government, a moment of which Americans have always been justifiably proud. It is, in fact, the major symbol of the real strength of our democracy--the peaceful transition from one elected President to the next.
Tickets to the official Presidential inaugural ceremony are supposed to be free for the people: for the volunteers who gave up their weekends, walking miles door to door to encourage voters to turn out at the polls on election day, for members of the African-American community to see one of their own take the oath of office for the highest office in the land, for schoolchildren to witness history, and for the American public to watch this affirmation of our Constitution, this peaceful transition from one administration to another.
This is going to be the major civic event of our time. Excitement is at an all time high, and every one of us has received more phone calls for tickets than we could possibly ever meet. People are desperate to become part of it, to touch it, to be around, to feel it, to listen to it, and they are coming from all over the country. We could have more than 1.5 million people descend on the Nation's Capital for this inauguration.
Before I introduced a similar bill at the end of the last Congress, tickets to the Presidential inaugural were being offered for sale on the Internet for $5,000 apiece, with some going as high as $40,000 each. To their credit, some Internet websites voluntarily agreed to refuse to sell these tickets online. I want to thank and commend Craigslist, eBay, and StubHub for leading the way on this issue.
However, it is clear that relying on voluntary industry compliance to prevent the sale of these tickets is simply not enough. Today, some Internet sites are still offering these tickets for sale at prices up to $750 per ticket.
Let me be clear--these are free tickets that have not yet been distributed by congressional and Presidential transition offices. These unscrupulous websites who continue to offer these tickets for sale do not have any tickets to offer for sale.
These tickets are supposed to be free for the people. Once more, these tickets are not yet even available. They will not be distributed to congressional offices until the end of the week before the inauguration. Even then the offices will require in-person pickup, with secure identification. But they will be free and they should stay that way.
We are asking people to pick up their tickets the day before the inauguration in my office. Everyone will submit their name, their address, and their driver's license. They will have to verify they are the actual person who has tickets waiting for them. I believe this kind of procedure deters unscrupulous people from selling these tickets on the Internet. No websites or other ticket outlets have inaugural swearing-in tickets to sell, despite what some of them claim.
Congress has the responsibility of overseeing this historic event. This bill will ensure that these tickets are not sold to the highest bidder, and that the inauguration has all the respect and dignity it deserves.
This legislation is aimed at stopping those who seek to profit by selling these tickets. It would also target those who seek to dupe the public with fraudulent or counterfeit tickets or those who merely promise but can't deliver on tickets that they do not actually have.
Those who violate the law under this legislation would face a class A misdemeanor with a substantial fine, imprisonment of up to 1 year, or both.
The bill also exempts official Presidential Inaugural Committees, and there is good reason for this. Presidential Inaugural Committees are used to organize and fund the public inaugural ceremonies. Donations made in return for inaugural tickets have long been used by both political parts to fund the Presidential inaugural festivities.
Unlike unscrupulous websites and ticket scalpers, there is no ``profit'' made by Presidential Inaugural Committees in giving these tickets to people in return for inaugural donations. This exemption will allow both parties to raise the needed funds to put on Presidential inaugurals in the future.
It is my hope that Congress will pass this legislation quickly, before President-elect Obama's inauguration on January 20th. I think it is very important to establish once and for all that tickets to the inauguration of the next President of the United States are not issues of commerce, but rather free tickets to be given to the people.
So I hope that this week this legislation can pass unanimously on a hotline by this body.
Mr. President, I ask unanimous consent that the text of the bill be printed in the Record.
Mr. President, I rise today to introduce legislation that will limit foreclosures and stabilize home values through Federal loan guarantees and standardized procedures for mortgage workout agreements.
The Systematic Foreclosure Prevention and Mortgage Modification Act would implement the foreclosure prevention plan developed by Federal Deposit Insurance Corporation, FDIC, Chairman Sheila Bair.
There are three key components of this legislation.
Servicers would be incentivized to modify mortgages, receiving $1,000 to help cover the costs of each loan modification; the Federal Government would share up to 50 percent of any loss should the homeowner default after receiving a modification; and participating servicers would be required to systematically review and modify all suitable loans in their portfolios, applying a standard calculation to help expedite loan modifications as cost-effectively as possible.
The FDIC estimates that roughly 2.2 million home loans, worth $444 billion, could be modified under this plan, with 1.5 million foreclosures avoided.
This legislation is projected to cost at least $25 billion; however, no additional spending is necessary.
This effort would be funded solely through the Troubled Assets Relief Program, TARP, to ensure that one of the core objectives of the bill, assistance to homeowners, is achieved.
The foreclosure crisis and declining housing market remain at the epicenter of the economic challenges we face. And, although the Federal Government has taken unprecedented steps to address this problem, they have not been sufficient.
Foreclosures are in the best interest of no one.
Neighborhoods are decimated when homes are repossessed or left vacant, property values decline, local economies suffer, and crime often increases in blighted areas. Lenders must sustain the costs of foreclosure and are left with the burden of reselling properties in a distressed market.
Homeowners are forced to give up on the American dream, and in some cases, tenants are forced out of homes they have been renting.
To date, no TARP funds have been allocated by Treasury to directly address the foreclosure crisis.
This must change, and it must change now.
According to the FDIC, the pace of loan modifications continues to be very slow, with only 4 percent of troubled mortgages being modified to prevent foreclosures each month.
A systematic approach is needed to expedite this process. The FDIC has
implemented such a program successfully at Indy Mac Federal Bank, to reduce mortgage payments as low as 31 percent of monthly income.
Loan modifications are based on interest rate reductions, extended loan terms, and principal forbearance.
Unfortunately, banks that have received TARP funds have not been compelled to implement foreclosure reduction measures, and adequate incentive structures are not in place.
This legislation provides prudent and cost-effective steps to improve assistance for struggling homeowners while also stabilizing the housing market.
Foreclosures have had a devastating impact on our national economy, and the damage in my state has been particularly severe.
California accounts for 1/3 of all foreclosure activity in the United States.
Roughly 800,000 foreclosures will be filed in my state in 2008--a 70 percent increase over 2007, when 481,392 foreclosures were filed in California.
The foreclosure rate in California is the fourth highest in the Nation, with one foreclosure filing for every 218 households.
In fact, 6 of the 10 metropolitan areas with the highest foreclosure rate in the Nation are in California.
This includes: Merced--one out of every 76 homes in foreclosure; Modesto--one out of every 93 homes in foreclosure; Stockton--one out of every 94 homes in foreclosure; Riverside and San Bernardino--one out of every 107 homes in foreclosure; Bakersfield--one out of every 129 homes in foreclosure; and Vallejo and Fairfield--one out of every 133 homes in foreclosure.
And, the situation is only getting worse.
Property values have plummeted across California, making it difficult for many residents with adjustable rate mortgages to refinance into more stable, fixed rate products.
One California community is in a special category of need: the city of Stockton, which has been referred to as ``America's foreclosure capital.''
The foreclosure crisis has devastated this city of more than 260,000 residents.
Home foreclosures impact neighbors and reduce property values.
But, the spillover effect in Stockton has been overwhelming.
Jobs: The downturn in the construction industry has contributed to an unemployment rate of 11.9 percent in San Joaquin County, well above the national average.
Schools: Foreclosures have displaced many students who were forced to change schools or leave the area when their families lost their homes.
The student population of Stockton Unified School District, the biggest in San Joaquin County, was down about 200 students last year.
Student displacement has a direct impact on school budgets, which are linked to student attendance.
Most unfortunately, the emotional impact on children being forced to switch schools in the middle of the year can be tremendous.
Public Services: High foreclosure rates have taken a toll on the city of Stockton's budget.
Stockton now faces a nearly $25 million budget deficit.
City officials have been forced to consider voluntary buyouts for municipal employees and mandatory 10-day furloughs to help close the gap.
Because property values have fallen--due to foreclosures and increased inventory--Stockton also is facing lower tax revenues, which are depended upon to fill the city's $186 million general fund.
This could have a dramatic effect on the city's emergency services; about 75 percent of Stockton's general fund pays for police and fire services.
It is essential that we not forget communities such as Stockton. We cannot sit idly by and watch them fall through the cracks.
This legislation is a much-needed step forward to provide relief to Main Street.
Millions of Americans have lost their homes to foreclosure, and millions more are at risk of losing their homes in the coming months.
Part of this problem was driven by abusive and predatory lending practices.
Part of the problem can be attributed to lax underwriting standards and regulators who were asleep at the wheel.
Part of this problem was due to individuals who made bad choices.
But, this is a problem that now impacts--either directly or indirectly--all hard-working American families.
These are significant challenges we face, and innovative solutions are required.
This bill will serve as a companion to legislation introduced in the House by my colleague from California, Representative Maxine Waters.
I look forward to working with her, and my colleagues on both sides of the aisle, to pass this important legislation as soon as possible.
Mr. President, I ask unanimous consent that the text of the bill be printed in the Record.
Mr. President, I am offering today private relief legislation to provide lawful permanent resident status to Joseph Gabra and his wife, Sharon Kamel, Egyptian nationals currently living with their children in Camarillo, California.
Joseph Gabra and Sharon Kamel entered the United States legally on November 1, 1998, on tourist visas. They immediately filed for political asylum based on religious persecution.
The couple fled Egypt because they had been targeted for their active involvement in the Coptic Christian Church in Egypt. Mr. Gabra was employed from 1990-1998 by the Coptic Catholic Diocese Church in El- Fayoum as an accountant and ``project coordinator'' in the Office of Human and Social Elevation. He was responsible for building community facilities such as religious schools, among other things.
His wife, Sharon Kamel, was employed as the Director for Training in the Human Resources Department of the Coptic Church.
Both Mr. Gabra and Ms. Kamel had paid full-time positions with the Coptic Church.
Unfortunately, they and their families suffered abuse because of their commitment to their church. Mr. Gabra was repeatedly jailed by Egyptian authorities because of his work for the church. In addition, Ms. Kamel's cousin was murdered and her brother's business was fire- bombed.
When Ms. Kamel became pregnant with their first child, the family was warned by a member of the Muslim brotherhood that if they did not raise their child as a Muslim, the child would be kidnapped and taken from them.
Frightened by these threats, the young family sought refuge in the United States. Unfortunately, when
they sought asylum here, Mr. Gabra, who has a speech impediment, had difficulty communicating his fear of persecution to the immigration judge.
The judge denied their petition, telling the family that he did not see why they could not just move to another city in Egypt to avoid the abuse they were suffering. Since the time that they were denied asylum, Ms. Kamel's brother, who lived in the same town and suffered similar abuse, was granted asylum.
I have decided to offer legislation on their behalf because I believe that, without it, this hardworking couple and their four United States citizen children would endure immense and unfair hardship.
First, in the ten years that Mr. Gabra and Ms. Kamel have lived here, they have worked to adjust their status through the appropriate legal channels. They left behind employment in Egypt and came to the United States on a lawful visa. Once here, they immediately notified authorities of their intent to seek asylum here. They have played by the rules and followed our laws.
In addition, during those ten years, the couple has had four U.S. citizen children who do not speak Arabic and are unfamiliar with Egyptian culture. If the family is deported, the children would have to acclimate to a different culture, language and way of life.
Jessica, age 10, is the Gabras' oldest child, and in the Gifted and Talented Education program in Ventura County. Rebecca, age 9, and Rafael, age 8, are old enough to understand that they would be leaving their schools, their teachers, their friends and their home. Veronica, the Gabra's youngest child, is just 3 years old.
More troubling is the very real possibility that if sent to Egypt, these four American children would suffer discrimination and persecution because of their religion, just as the rest of their family reports.
Mr. Gabra and Ms. Kamel have made a positive life for themselves and their family in the United States. Both have earned college degrees in Egypt and once in the United States, Mr. Gabra passed the Certified Public Accountant Examination on August 4, 2003. Since arriving here, Mr. Gabra has consistently worked to support his family.
The positive impact they have made on their community is highlighted by the fact that I received a letter of support on their behalf signed by 160 members of their church and community. From everything I have learned about the family, we can expect that they will continue to contribute to their community in productive ways.
Given these extraordinary and unique facts, I ask my colleagues to support this private relief bill on behalf of Joseph Gabra and Sharon Kamel.
Mr. President, I ask unanimous consent that the text of the bill be printed in the Record.
MR. President, I rise today to introduce legislation that will provide relief to local governments that have suffered losses due to highly-rated investments with failed financial institutions, such as Lehman Brothers and Washington Mutual.
The TARP Assistance for Local Governments Act would require the Treasury Secretary to provide $10 billion in TARP funds to local governments that suffered losses due to investments in failed financial institutions; and limit relief to local governments with investments in failed financial institutions that were highly rated, as determined by the Treasury Secretary.
This legislation is necessary because local governments are in jeopardy of losing up to $10 billion as a result of these investments.
In California 28 cities and counties could lose nearly $300 million.
These investments include basic operational funds which cities and counties rely upon to function.
For many cities and counties that are already struggling with budget shortfalls, the consequences of these losses are severe.
Public safety, education, public health, infrastructure, and transit will be compromised.
Communities large and small are significantly impacted.
These are examples from my State that demonstrate the gravity of this situation.
This list was included in a December 22 letter to Secretary Paulson, and to date, I have not received a response. San Mateo County sustained a loss of $30 million, which will require the county to abandon plans for a new and urgently needed county jail. The current jail will continue to operate in overcrowded conditions, far beyond the rating of the facility. The result will be unsafe working conditions for the corrections personnel and the likelihood that convicted criminals will be released into the community early and in large numbers.
The City of Shafter, a small community of 15,000 in the San Joaquin Valley, sustained a loss of $300,000, or nearly 4 percent of its annual budget. The City will be forced to make across-the-board cuts in all services, including police and fire.
Monterey County is facing a $30 million loss. Amid numerous other cuts, hardest hit will be programs targeting gang activities, including a special task force and the construction of new adult and juvenile corrections facilities to manage these criminals.
The San Mateo County Transportation Authority sustained a loss of more than $25 million, which will mean delays and higher costs for major projects that will reduce emissions and traffic, specifically the electrification of the Caltrain Peninsula Commuter Rail Service. Similarly, cuts in highway and roads projects will put more people on the local roads for longer times at a major cost in compromised air quality.
The City of Culver City has lost $1 million. This will result in a substantial reduction in planned street repairs and higher liability exposure from accidents, greater environmental degradation from storm water drain off, and worsened traffic congestion in a region of the U.S. ranked as one of the worst for traffic.
The Hillsborough City School District lost over $924,000. Projects to create more classrooms for increased enrollment will not take place, increasing class sizes. Combined with other budget cuts from the State, all the District's programs are threatened.
The Vallejo Sanitation and Flood Control District, which provides sanitary sewer and storm water services to the City of Vallejo, population 119,600, and nearby areas of Solano County, sustained losses of $4.5 million in Lehman Brothers investments and $1.46 million in Washington Mutual investments. The result is that aging infrastructure essential to the health of this community will not be replaced. The City of Vallejo recently declared Chapter 9 Municipal bankruptcy.
Sacramento County sustained an increase in costs of $8 million related to an interest rate swap agreement with Lehman. This increase means fewer funds for sheriff's patrol and investigations and probation supervision, resulting in an increased risk to the safety of the community and reductions in social safety net services, at a time of increased community need.
The City of Folsom lost $700,000, which has caused the City to indefinitely postpone staffing and equipping a new fire station.
The San Mateo County Community College District sustained a loss of $25 million in voter-approved bond funds. As a result, the District will be forced to abandon a program to build more classrooms, and, therefore, turn away thousands of potential students, many of them unemployed adults seeking job training.
The economic rescue legislation included a provision to require the Secretary of the Treasury to consider the impact of these losses on local governments when disbursing TARP funds.
But, to date, the Secretary has not exercised his authority to assist local governments with such funds.
The TARP Assistance for Local Governments Act of 2009 will change this, and ensure that communities remain solvent and taxpayers are protected.
Given the urgency of this situation, we can no longer afford to wait.
I hope that my colleagues will join me in supporting this important legislation.
Mr. President, today I am reintroducing a private relief bill on behalf of Guy Privat Tape and his wife Lou Nazie Raymonde Toto. Mr. Tape and Ms. Toto are citizens of the Ivory Coast, but have been living in the San Francisco area of California for approximately 15 years.
The story of Mr. Tape and Ms. Toto is compelling and I believe they merit Congress' special consideration for such an extraordinary form of relief as a private bill.
Mr. Tape and Ms. Toto were previously political activists who were subjected to numerous atrocities in the early 1990s in the Ivory Coast.
After a demonstration in which both were promoting peace, they were jailed and tortured by their own government. Ms. Toto was brutally raped by her captors and in 1997 learned that she had contracted HIV.
Despite the hardships that they suffered, Mr. Tape and Ms. Toto were able to make a better life for themselves in the United States. Mr. Tape arrived in the U.S. in 1993 on a B1/B2 non-immigrant visa. Ms. Toto entered without inspection in 1995 from Spain. Despite being diagnosed with HIV, Ms. Toto was able to give birth to two healthy children, Melody, age 10, and Emmanuel, age 6.
Since arriving in the United States, this family has dedicated themselves to community involvement and a strong work ethic. They pay taxes and own their own home in Hercules, CA. They are active members of Easter Hill United Methodist Church.
Mr. Tape works full-time as a security guard with Universal Protective Services. He also manages a small business, Melody's Carpet Cleaning & Upholstery. He employs four other individuals, all U.S. citizens. Unfortunately, in 2002, Mr. Tape was diagnosed with urologic cancer. While his doctor states that the cancer is currently in remission, he will continue to require life-long surveillance to monitor for reoccurrence of the disease.
In addition to raising her two children, Ms. Toto became a certified Nursing Assistant in 2001 and currently works at Creekside Health Care in San Pablo, CA. She hopes to finish her schooling so that she can become a Registered Nurse. Ms. Toto continues to receive medical treatment for HIV. According to her doctor, without access to adequate health care and laboratory monitoring, she is at risk of developing life threatening illnesses.
Mr. Tape and Ms. Toto applied for asylum when they arrived in the U.S., but after many years of litigation, the claim was ultimately denied by the 9th Circuit Court of Appeals.
Although the regime which subjected Mr. Tape and Ms. Toto to imprisonment and torture is no longer in power, Mr. Tape has been afraid to return to the Ivory Coast due to his prior association with President Gbagbo. Mr. Tape strongly believes that his family will be targeted if they return to the Ivory Coast.
One of the most compelling reasons for permitting the family to remain in the United States is the impact their deportation would have on their two children. For Melody and Emmanuel, the United States is the only country they have ever known. Mr. Tape believes that if the family returns to the Ivory Coast, these two young children will be forced to enter the army.
We are the only hope for this family who seeks to remain in the United States. To send them back to the Ivory Coast, where they will likely face persecution and will not be able to obtain adequate medical treatment for their illnesses would be devastating to them. They are contributing members of their community and have embraced the American dream with their strong work ethic and family values. I have received approximately 50 letters from the church community in support of this family. Representative George Miller has also requested that we assist this family.
I ask my colleagues to support this private bill. Mr. President, I ask unanimous consent that the text of the bill be printed in the Record.
Mr. President, I offer today a private immigration relief bill to provide lawful permanent residence status to Denes and Gyorgyi Fulop, Hungarian nationals who have lived in California for more than 20 years. The Fulops are the parents of six U.S. citizen children.
I first introduced this bill in June, 2000. Today, the Fulops continue to face deportation having exhausted all administrative remedies under our immigration system.
The Fulops' story is a compelling one and one which I believe merits Congress' consideration for humanitarian relief.
The most poignant tragedy to affect this family occurred in May of 2000, when the Fulops' eldest child, Robert ``Bobby'' Fulop, an accomplished 15-year-old teenager, died suddenly of a heart aneurism. Bobby was considered the shining star of his family.
That same year their 6-year-old daughter, Elizabeth, was diagnosed with moderate pulmonary stenosis, a potentially life-threatening heart condition and a frightening situation similar to Bobby's. Not long ago, she successfully underwent heart surgery, but requires medical supervision to ensure her good health.
The Fulops' youngest child, Matthew, was born seven weeks premature. He subsequently underwent several kidney surgeries and is still being closely monitored by physicians.
Compounding these tragedies is the fact that today the Fulops face deportation. They face deportation, in part, because in 1995 the family traveled to Hungary and remained there for more than 90 days.
Under the pre-1996 immigration law, prior to the Illegal Immigration Reform and Immigrant Responsibility Act of 1996, their stay in Hungary would not have been a factor in their immigration case and they would have been eligible for adjustment of status to lawful permanent residents.
Indeed, in 1996, Mr. and Mrs. Fulop applied to the Immigration and Naturalization Service, INS, for permanent resident status. Due to large backlogs, the INS did not interview them until 1998. By the time their applications were considered, the new 1996 immigration law had taken effect.
Given their one-time 90 day trip outside the United States, they were statutorily ineligible for relief pursuant to the cancellation of removal provisions of the Immigration and Nationality Act.
One cannot help but conclude that had the INS acted on the Fulops' application for relief from deportation in a timelier manner, they would have qualified for suspension of deportation under the pre-1996 law, given that they were long-term residents of the United States with U.S. citizen children and many positive factors in their favor.
The irony of this situation is that the Fulops were gone from the United States for nearly five months in 1995 because they traveled to Hungary to help Mr. Fulop's brother build his home. Mr. Fulop's brother is handicapped and they went to help remodel his home.
The Fulops are good and decent people. Mr. Fulop is a masonry contractor and the Owner and President of his own construction company--Sumeg International. He has owned this business for almost 14 years.
The couple is active in their church and community. As Pastor Peter Petrovic of the Apostolic Christian Church of San Diego says in his letter of support, ``[t]he family is an exceptional asset to their community.'' Mrs. Fulop has served as a Sunday school teacher and volunteers regularly at Heritage K-8 Charter School in Escondido. Mrs. Morris, a Heritage K-8 Charter School faculty member says in her letter of support that Mrs. Fulop is ``. . . a valuable asset to our school and community.''
Mr. President, this is a tragic situation. Essentially, as happened to many families under the Illegal Immigration Reform and Immigrant Responsibility Act of 1996, the rules of the game were changed in the middle. When the Fulops applied for relief from deportation they were eligible for suspension of deportation. By the time the INS got around to their application, nearly three years later, they were no longer eligible and in fact suspension of deportation as a form of relief ceased to exist.
The Fulops today have been in the United States since the early 1980s. Most harmful is the effect that their deportation will have on the children, all of whom were born here and who range from five years old to 21 years of age. Their two eldest children are attending college, one studying structural engineering and the other studying to become a dental hygienist.
It is my hope that Congress sees fit to provide an opportunity for this family to remain together in the United States given their many years here, the profound sadness they have already experienced and the harm that would come from their deportation to their six U.S. citizen children.
Mr. President, I ask unanimous consent that the text of the bill be printed in the Record.
Mr. President, I offer today private immigration relief legislation to provide lawful permanent residence status to Esidronio Arreola-Saucedo, Maria Elena Cobian Arreola, Nayely Bibiana Arreola and Cindy Jael Arreola, Mexican nationals living in the Fresno area of California.
Mr. and Mrs. Arreola have lived in the United States for over 20 years. Two of their five children, Nayely, age 23, and Cindy, age 19, also stand to benefit from this legislation. Their other three children, Roberto, age 16, Daniel, age 13, and Saray, age 11, are United States citizens. Today, Mr. and Mrs. Arreola and their two eldest children face deportation.
The story of the Arreola family is compelling and I believe they merit Congress' special consideration for such an extraordinary form of relief as a private bill.
The Arreolas are in this uncertain situation in part because of grievous errors committed by their previous counsel, who has since been disbarred. In fact, the attorney's conduct was so egregious that it compelled an immigration judge to write the Executive Office of Immigration Review seeking his disbarment for the disservice he caused his immigration clients.
Mr. Arreola has lived in the United States since 1986. He was an agricultural migrant worker in the fields of California for several years, and as such would have been eligible for permanent residence through the Seasonal Agricultural Workers, SAW, program, had he known about it.
Mrs. Arreola was living in the United States at the time she became pregnant with her daughter Cindy, but returned to Mexico to give birth so as to avoid any problems with the Immigration and Naturalization Service.
Given the length of time that the Arreolas had, and have been, in the United States it is quite likely that they would have qualified for relief from deportation pursuant to the cancellation of removal provisions of the Immigration and Nationality Act, but for the conduct of their previous attorney.
Perhaps one of the most compelling reasons for permitting the family to remain in the United States is the devastating impact their deportation would have on their children--three of whom are U.S. citizens--and the other two who have lived in the United States since they were toddlers. For these children, this country is the only country they really know.
Nayely, the oldest, recently graduated from Fresno Pacific University with a degree in Business Administration and was recently hired as a substitute teacher in Tulare County. She was the first in her family to graduate from high school and the first to graduate college. She attended Fresno Pacific University, a regionally ranked university, on a full tuition scholarship package and worked part-time in the admissions office.
At her young age, Nayely has demonstrated a strong commitment to the ideals of citizenship in her adopted country. She has worked hard to achieve her full potential both in her academic endeavors and through the service she provides her community. As the Associate Dean of Enrollment Services, Cary Templeton, at Fresno Pacific University states in a letter of support, ``[t]he leaders of Fresno Pacific University saw in Nayely, a young person who will become exemplary of all that is good in the American dream.''
In high school, Nayely was a member of Advancement Via Individual Determination, AVID, a college preparatory program in which students commit to determining their own futures through achieving a college degree. Nayely was also President of the Key Club, a community service organization. She helped mentor freshmen and participates in several other student organizations in her school. Perhaps the greatest hardship to this family, if forced to return to Mexico, will be her lost opportunity to realize her dreams and further contribute to her community and to this country.
It is clear to me that Nayely feels a strong sense of responsibility for her community and country. By all indication, this is the case as well for all of the members of her family.
The Arreolas also have other family who are lawful permanent residents of this country or United States citizens. Mrs. Arreola has three brothers who are U.S. citizens and Mr. Arreola has a sister who is a U.S. citizen. It is also my understanding that they have no immediate family in Mexico.
According to immigration authorities, this family has never had any problems with law enforcement. I am told that they have filed their taxes for every year from 1990 to the present. They have always worked hard to support themselves. As I previously mentioned, Mr. Arreola was previously employed as a farm worker, but now has his own business repairing electronics. His business has been successful enough to enable him to purchase a home for his family.
It seems so clear to me that this family has embraced the American dream and their continued presence in our country would do so much to enhance the values we hold dear. Enactment of the legislation I have reintroduced today will enable the Arreolas to continue to make significant contributions to their community as well as the United States.
I ask my colleagues to support this private bill.
Mr. President, I ask unanimous consent that the text of the bill be printed in the Record.
Mr. President, I offer today private relief legislation to provide lawful permanent residence status to Robert Kuan Liang and his wife, Chun-Mei, Alice, Hsu-Liang, foreign nationals who live in San Bruno, California.
I have decided to reintroduce private relief immigration bills on their behalf because I believe that, without them, this hardworking couple and their three United States citizen children would endure an immense and unfair hardship. Indeed, without this legislation, this family may not remain a family for much longer.
The Liangs are foreign nationals facing deportation on account of their overstay of visitors visas and the failure of their previous attorney to timely file a suspension of deportation application before the immigration laws changed in 1996.
Mr. Liang is a foreign national and refugee from Laos. His wife is a citizen of Taiwan. They entered the United States over 25 years ago as tourists and established residency in San Bruno, California. Because they overstayed the terms of their temporary visas, they now face deportation from the United States.
After living here for so many years, removal from the United States would not come easily or perhaps without tearing this family apart. The Liangs have three children born in this country: Wesley, 17 years old, Bruce, 13 years old, and Eva, 11 years old. Young Wesley suffers from asthma and has a history of social and emotional anxiety.
The immigration judge who presided over the Liangs' case in 1997 concluded that there was no question that the Liang children would be adversely impacted if they were required to leave their relatives and friends behind in California to follow their parents to Taiwan, a country whose language and culture is unfamiliar to them.
I can only imagine how much more they would be adversely impacted now given the passage of 9 more years.
The Liangs have filed annual income tax returns; established a successful business, Fong Yong Restaurant, in the United States; are home owners, and
are financially successful. Since they arrived in the United States, they have pursued and, to a degree, achieved the American Dream.
Mr. and Mrs. Liang's quest to legalize their immigration status began in 1993 when they filed for relief from deportation before an immigration judge.
The Immigration and Naturalization Service, however, did not act on their application until nearly 5 years later, in 1997, after which time the immigration laws had significantly changed.
According to the immigration judge, had the INS acted on their application for relief from deportation in a timely manner, they would have qualified for suspension of deportation, given that they were long-term residents of this country with U.S. citizen children and other positive factors. By the time INS processed their application, however, Congress passed the Illegal Immigration Reform and Immigrant Responsibility Act of 1996, which changed the requirements for relief from removal to the Liangs' disadvantage.
I supported the changes of the 1996 law, but I believe sometimes there are exceptions which merit special consideration. The Liangs are such a couple and family. Perhaps what distinguishes this family from many others is that through hard work and perseverance, Mr. Liang has achieved a significant degree of success in the United States while battling a severe form of Post Traumatic Stress Disorder.
According to his psychologist, this disorder stems from the persecution he, his family and community experienced in his native country of Laos during the Vietnam War.
Throughout his childhood and adolescence, Mr. Liang was exposed to numerous traumatic experiences, including the murder of his mother by the North Vietnamese and frequent episodes of wartime violence. He also routinely witnessed the brutal persecution and deaths of others in his village. In 1975, he was granted refugee status in Taiwan.
The emotional impact of Mr. Liang's experiences in his war-torn native country has been profound and continues to haunt him. His psychologist has also indicated that he suffers from severe clinical depression, which has been exacerbated by the prospect of being deported to Taiwan, where on account of his nationality, he believes he and his family would be treated as second-class citizens.
Moreover, Mr. Liang believes that the pursuit of further mental health treatment in Taiwan would only exacerbate the stigma of being an outsider in a country whose language he does not speak. Given those prospects, he also fears the impact such a stigma would have on the well-being and future of his children.
Given these extraordinary and unique facts, I ask my colleagues to support this private relief bill on behalf of the Liangs. Mr. President, I ask unanimous consent that the text of the bill be printed in the Record.
Mr. President, today I am reintroducing legislation to provide lawful permanent residence status to Jose Buendia Balderas, his wife, Alicia Aranda De Buendia, and their daughter, Ana Laura Buendia Aranda, Mexican nationals who have been living and working in the Fresno area of California for over 20 years.
Jose Buendia is a remarkable individual who epitomizes the American dream. His father worked as an agricultural laborer in the Bracero program over 25 years ago. In 1981, Jose followed his father to the United States--where he worked in the shadows to help provide for his family in Mexico.
Since then, Jose has moved from working as a landscaper to construction, where he is now a valued employee of Bone Construction in Reedley, California. He has been employed by this cement company for the past 8 years. Although he knew nothing about construction when he began working in the field, he was disciplined and persistent in his training and is now a lead foreman.
His employer, Timothy Bone, says Mr. Buendia is a ``reliable, hardworking and conscientious'' employee. In fact, it was Mr. Bone who contacted my office to seek relief for Mr. Buendia.
Alicia Buendia, Jose Buendia's wife, has been working as a seasonal fruit packer for several years. The family has consistently paid all of their taxes. Recently, they paid off their mortgage and today, they are debt free. They have health insurance, savings and retirement accounts, participate in the company profit-sharing company, and support their family here and in Mexico. In short, they are living the American dream.
Their daughter, Ana Laura, is an outstanding student. She earned a 4.0 GPA at Reedley High School and was awarded an academic scholarship to the University of California-Berkeley. Unfortunately, because of her immigration status, she was unable to accept the scholarship and her parents now pay full out-of-state tuition for her to attend the University of California-Irvine. She is now completing her second year there.
Their son, Jose, is a U.S. citizen, and graduated high school with a 3.85 grade point average and honors, and is currently an engineering student at Reedley Junior College. For both Jose and Ana Laura, the United States is the only country they know.
What makes the story of the Buendias so tragic is that they would have been eligible to correct their illegal status but for the unscrupulous practices of their former immigration attorney.
Because Mr. Buendia has been in this country for so long, he qualified for legalization pursuant to the Immigration and Reform Control Act of 1986. Unfortunately, his legalization application was never acted upon because his attorney, Jose Velez, was convicted of fraudulently submitting legalization and Special Agricultural Worker applications.
This criminal conduct tainted all of Mr. Velez's clients. Although Mr. Buendia's application was found not to contain any fraudulent documentation, it was submitted while his lawyer was under investigation. The result was that Mr. Buendia was unable to be interviewed and obtain legal status.
To complicate matters, it took the Immigration and Naturalization Service nearly 7 years to determine that Mr. Buendia's application contained no fraudulent information. In the meantime, the Immigration and Naturalization Service reinterpreted the law and determined that he was no longer eligible for relief because he had left the United States briefly when he married his wife.
Despite these setbacks, the Buendia family has continued to seek legal status. They believed they were successful when an immigration judge granted the family relief based on the hardship their U.S. citizen son would face if his family was deported to Mexico. Unfortunately, the government appealed the judge's decision and had it overturned by the Board of Immigration Appeals.
Despite the problems with adjusting their legal status, this family has forged ahead and continued to play a meaningful role in their community.
They have worked hard. They have invested in their neighborhood. They are active in the PTA and their local church.
I believe the Buendia family should be allowed to continue to live in this country that has become their own. If this legislation is approved, the Buendias will be able to continue to contribute significantly to the United States. It is my hope that Congress passes this private legislation.
Mr. President, I ask unanimous consent that the text of the bill be printed in the Record.
Mr. President, I offer today private relief legislation to provide lawful permanent residence status to Shigeru Yamada, a 24-year-old Japanese national who lives in Chula Vista, California. The House passed a private relief bill on behalf of Mr. Yamada last year, but unfortunately we were unable to move the bill in the Senate before the end of the 110th Congress.
I have decided to re-introduce a private bill on his behalf because I believe that Mr. Yamada represents a model American citizen, for whom removal from this country would represent an unfair hardship. Without this legislation, Mr. Yamada will be forced to return to a country in which he lacks any linguistic, cultural or family ties.
Mr. Yamada legally entered the United States with his mother and two sisters in 1992 at the young age of 10. The family was fleeing from Mr. Yamada's alcoholic father, who had been physically abusive to his mother, the children and even his own parents. Since then, he has had no contact with his father and is unsure if he is even alive. Tragically, Mr. Yamada experienced further hardship when his mother was killed in a car crash in 1995. Orphaned at the age of 13, Mr. Yamada spent time living with his aunt before moving to Chula Vista to live with a close friend of his late mother.
The death of his mother marked more than a personal tragedy for Mr. Yamada; it also served to impede the process for him to legalize his status. At the time of her death, Mr. Yamada's family was living legally in the United States. His mother had acquired a student visa for herself and her children qualified as her dependants. Her death revoked his legal status in the United States.
In addition, Mr. Yamada's mother was engaged to an American citizen at the time of her death. Had she survived, her son would likely have become an American citizen through this marriage.
Mr. Yamada has exhausted all administrative options under our current immigration system. Throughout high school, he contacted attorneys in the hopes of legalizing his status, but his attempts were unsuccessful. Unfortunately, time has run out and, for Mr. Yamada, the only option available to him today is private relief legislation.
For several reasons, it would be tragic for Mr. Yamada to be deported from the United States and forced to return to Japan.
First, since arriving in the United States, Mr. Yamada has lived as a model American. He graduated with honors from Eastlake High School in 2000, where he excelled in both academics and athletics. Academically, he earned a number of awards including being named an ``Outstanding English Student'' his freshman year, an All-American Scholar, and earning the United States National Minority Leadership Award.
His teacher and coach, Mr. John describes him as being ``responsible, hard working, organized, honest, caring and very dependable.'' His role as the vice president of the Associated Student Body his senior year is an indication of Mr. Yamada's high level of leadership, as well as, his popularity and trustworthiness among his peers.
As an athlete, Mr. Yamada was named the ``Most Inspirational Player of the Year'' in junior varsity baseball and football, as well as, varsity football. His football coach, Mr. Jose Mendoza, expressed his admiration by saying that he has ``seen in Shigeru Yamada the responsibility, dedication and loyalty that the average American holds to be virtuous.''
Second, Mr. Yamada has distinguished himself as a local volunteer. As a member of the Eastlake High School Link Crew, he helped freshman find their way around campus, offered tutoring and mentoring services, and set an example of how to be a successful member of the student body. After graduating from high school, he volunteered his time for 4 years as the coach of the Eastlake High School Girl's softball team. The former head coach, who has since retired, Dr. Charles Sorge, describes him as an individual full of ``integrity'' who understands that as a coach it is important to work as a ``team player.''
His level of commitment to the team was further illustrated to Dr. Sorge when he discovered, halfway through the season, that Mr. Yamada's commute to and from practice was 2 hours long each way. It takes an individual with character to volunteer his time to coach and never bring up the issue of how long his commute takes him each day. Dr. Sorge hopes that, once Mr. Yamada legalizes his immigration status, he will be formally hired to continue coaching the team.
Third, sending Mr. Yamada back to Japan would be an immense hardship for him and his family here. Mr. Yamada does not speak Japanese. He is unaware of the nation's current cultural trends.
And, he has no immediate family members that he knows of in Japan. All of his family lives in California. Sending Mr. Yamada back to Japan would serve to split his family apart and separate him from everyone and everything that he knows.
His sister contends that her younger brother would be ``lost'' if he had to return to live in Japan on his own. It is unlikely that he would be able to find any gainful employment in Japan due to his inability to speak or read the language.
As a member of the Chula Vista community, Mr. Yamada has distinguished himself as an honorable individual. His teacher, Mr. Robert Hughes, describes him as being an ``upstanding `All-American' young man''. Until being picked up during a routine check of riders' immigration status on a city bus, he had never been arrested or convicted of any crime. Mr. Yamada is not, and has never been, a burden on
the State. He has never received any Federal or State assistance.
With his hard work and giving attitude, Shigeru Yamada represents the ideal American citizen. Although born in Japan, he is truly American in every other sense.
Given these extraordinary and unique facts, I ask my colleagues to support this private relief bill on behalf of Mr. Yamada. Mr. President, I ask unanimous consent that the text of the bill be printed in the Record.
Mr. President, I rise today to offer legislation to provide lawful permanent residence status to Alfredo Plascencia Lopez and his wife, Maria del Refugio Plascencia, Mexican nationals who live in the San Bruno area of California.
I have decided to offer legislation on their behalf because I believe that, without it, this hardworking couple and their four United States citizen children would endure an immense and unfair hardship. Indeed, without this legislation, this family may not remain a family for much longer.
The Plascencia's have worked for years to adjust their status through the appropriate legal channels, only to have their efforts thwarted by inattentive legal counsel. Repeatedly, the Plascencia's lawyer refused to return their calls or otherwise communicate with them in anyway. He also failed to forward crucial immigration documents, or even notify the Plascencias that he had them. Because of the poor representation they received, Mr. and Mrs. Plascencia only became aware that they had been ordered to leave the country 15 days prior to their deportation.
Although the family was stunned and devastated by this discovery, they acted quickly to secure legitimate counsel and to file the appropriate paperwork to delay their deportation to determine if any other legal action could be taken.
For several reasons, it would be tragic for this family to be removed from the United States.
First, since arriving in the United States in 1988, Mr. and Mrs. Plascencia have proven themselves to be a responsible and civic-minded couple who share our American values of hard work, dedication to family, and devotion to community.
Second, Mr. Plascencia has been gainfully employed at Vince's Shellfish for the over 14 years, where his dedication and willingness to learn have propelled him from part-time work to a managerial position. He now overseas the market's entire packing operation and several employees.
The president of the market, in one of the several dozen letters I have received in support of Mr. Plascencia, referred to him as ``a valuable and respected employee'' who ``handles himself in a very professional manner'' and serves as ``a role model'' to other employees. Others who have written to me praising Mr. Plascencia's job performance have referred to him as ``gifted,'' ``trusted,'' ``honest,'' and ``reliable.''
Third, like her husband, Mrs. Plascencia has distinguished herself as a medical assistant at a Kaiser Permanente hospital in the Bay Area. Not satisfied with working as a maid at a local hotel, Mrs. Plascencia went to school, earned her high school equivalency degree and improved her skills to become a medical assistant.
Those who have written to me in support of Mrs. Plascencia, of which there are several, have described her work as ``responsible,'' ``efficient,'' and ``compassionate.''
In fact, Kaiser Permanente's Director of Internal Medicine, Nurse Rose Carino, wrote to say that Mrs. Plascencia is ``an asset to the community and exemplifies the virtues we Americans extol: hardworking, devoted to her family, trustworthy and loyal, [and] involved in her community. She and her family are a solid example of the type of immigrant that America should welcome wholeheartedly.''
Mrs. Carino went on to write that Mrs. Plascencia is ``an excellent employee and role model for her colleagues. She works in a very demanding unit, Oncology, and is valued and depended on by the physicians she works with.''
Together, Mr. and Mrs. Plascencia have used their professional successes to realize many of the goals dreamed of by all Americans. They saved up and bought a home. They own a car. They have good health care benefits and they each have begun saving for retirement. They want to send their children to college and give them an even better life.
This legislation is important because it would preserve these achievements and ensure that Mr. and Mrs. Plascencia will be able to make substantive contributions to the community in the future.
It is important, also, because of the positive impact it will have on the couple's children, each of whom is a United States citizen and each of whom is well on their way to becoming productive members of the Bay Area community.
Christina, 17, is the Plascencia's oldest child, and an honor student. Erika, 14, and Alfredo, Jr., 12, have worked hard at their studies and received praise and good grades from their teachers. In fact, the principal of Erika's school has recognized her as the ``Most Artistic'' student in her class. Erika's teacher, Mrs. Nascon, remarked on a report card, ``Erika is a bright spot in my classroom.''
The Plascencia's also have two young children: 6-year-old Daisy and 2-year-old Juan-Pablo.
Removing Mr. and Mrs. Plascencia from the United States would be tragic for their children. Children who were born in the United States and who through no fault of their own have been thrust into a situation that has the potential to dramatically alter their lives.
It would be especially tragic for the Plascencia's older children-- Christina, Erika, and Alfredo--to have to leave the United States. They are old enough to understand that they are leaving their schools, their teachers, their friends, and their home. They would leave everything that is familiar to them.
Their parents would find themselves in Mexico without a job and without a house. The children would have to acclimate to a different culture, language, and way of life.
The only other option would be for Mr. and Mrs. Plascencia to leave their children here with relatives. This separation is a choice which no parents should have to make.
Many of the words I have used to describe Mr. and Mrs. Plascencia are not my own. They are the words of the Americans who live and work with the Plascencias day in and day out and who find them to embody the American spirit.
I have sponsored this legislation, and asked my colleagues to support it, because I believe that this is a spirit that we must nurture wherever we can find it. Forcing the Plascencias to leave the United States would extinguish that spirit. I ask my colleagues to support this private bill on behalf of the Plascencia family.
Mr. President, I ask unanimous consent that the text of the bill be printed in the Record.
Mr. President, I am offering today private relief legislation to provide lawful permanent residence status to Claudia Marquez Rico, a Mexican national living in Redwood City, CA.
Born in Jalisco, Mexico, Claudia was brought to the United States by her parents 16 years ago.
Claudia was just 6 years old at the time. She has two younger brothers, Jose and Omar, who came to America with her, and a sister, Maribel, who was born in California and is a U.S. Citizen. America is the only home they know.
Eight years ago that home was visited by tragedy. As Mr. and Mrs. Marquez were driving to work early on the morning of October 4, 2000, they were both killed in a horrible traffic accident when their car collided with a truck on an isolated rural road.
The children went to live with their aunt and uncle, Hortencia and Patricio Alcala. The Alcalas are a generous and loving couple. They are U.S. citizens with two children of their own and took the Marquez children in and did all they could to comfort them in their grief. They supervised their schooling, and made sure they received the counseling they needed, too. The family is active in their parish at Buen Pastor Catholic Church, and Patricio Alcala serves as a youth soccer coach. In 2001, the Alcalas were appointed the legal guardians of the Marquez children.
Sadly, the Marquez family received poor legal representation. At the time of their parents' death, Claudia and Jose were minors, and qualified for special immigrant juvenile status. This category was enacted by Congress to protect children like them from the hardship that would result from deportation under such extraordinary circumstances, when a State court deems them to be dependents due to abuse, abandonment or neglect.
Today, their younger brother Omar is a U.S. Citizen, due to his adjustment as a special immigrant juvenile. Unfortunately, the family's previous lawyer failed to secure this relief for Claudia, and she has now reached the age of majority without having resolved her immigration status.
I should note that their former lawyer, Walter Pineda, is currently answering charges on 29 counts of professional incompetence and 5 counts of moral turpitude for mishandling immigration cases and appears on his way to being disbarred.
I am offering legislation on Claudia's behalf because I believe that, without it, this family would endure an immense and unfair hardship. Indeed, without this legislation, this family will not remain a family for much longer.
Despite the adversity they encountered, Claudia finished school. She supports herself, her 17-year-old sister, Maribel, and her younger brother Omar. Again, both Maribel and Omar are now U.S. Citizens.
Claudia has no close relatives in Mexico. She has never visited Mexico, and she was so young when she was brought to America that she has no memories of it. How can we expect her to start a new life there now?
It would be a grave injustice to add to this family's misfortune by tearing these siblings apart. This is a close family, and they have come to rely on each other heavily in the absence of their deceased parents. This bill will prevent the added tragedy of another wrenching separation.
Given these extraordinary and unique facts, I ask my colleagues to support this private relief bill on behalf of Claudia Rico.
Mr. President, I ask unanimous consent that the text of the bill be printed in the Record.
Mr. President, I offer today private relief legislation to provide lawful permanent residence status to Jacqueline Coats, a 28-year-old widow currently living in San Francisco.
Mrs. Coats came to the U.S. in 2001 from Kenya on a student visa to study Mass Communications at San Jose State University. Her visa status lapsed in 2003, and the Department of
Homeland Security began deportation proceedings against her.
Mrs. Coats married Marlin Coats on April 17, 2006, after dating for several years. The couple was happily married and planning to start a family when, on May 13, Mr. Coats tragically died in a heroic attempt to save two young boys from drowning.
The couple had been on a Mother's Day outing at Ocean Beach with some of Mr. Coats' nephews when they heard cries for help. Having worked as a lifeguard in the past, Mr. Coats instinctively dove into the water. The two children were saved with the help of a rescue crew, but Mr. Coats, caught in a riptide, died. Mrs. Coats received a medal honoring her husband.
Four days before Mr. Coats' death, the couple prepared and signed an application for a green card at their attorney's office. Unfortunately the petition was not filed until after his death, rendering it invalid. Mrs. Coats currently has a hearing before an immigration judge in San Francisco on August 24, but her attorney has informed my staff that she has no relief available to her and will be ordered deported.
Mrs. Coats, devastated by the loss of her husband, is now caught in a battle for her right to stay in America. At a recent news conference with her lawyer, Thip Ark, she explained of her situation, ``I feel like I have nothing to live for. I have nothing to go home to . . . I've been here four years . . . It would be like starting a new life.''
Ms. Ark explains that Mrs. Coats is extremely close with her late husband's family, with whom she lives in San Leandro, California. Mrs. Coats has said that her husband's large family has become her own. Ramona Burton of San Francisco, one of Marlin Coats' seven brothers and sisters explains, ``She spent her first American Christmas with us, her first American Thanksgiving . . . I can't imagine looking around and not seeing her there. She needs to be there.''
The San Francisco and Bay Area community has rallied strong support for Mrs. Coats. The San Francisco chapters of the NAACP, the San Francisco Board of Supervisors, and the San Francisco Police Department, have all passed resolutions in support of Mrs. Coats' right to remain in the country.
Unfortunately, if this private relief bill is not approved, this young woman, and the Coats family, will face yet another disorienting and heartbreaking tragedy. Mrs. Coats will be deported to Kenya, a country she has not lived in since she was 21. In her time of grieving, she will be forced to leave her home, her job with AC Transit, her new family, and everything she has known for the past 5 years.
I cannot think of a compelling reason why the United States should not allow this young widow to continue the green card process. Had her husband lived, Mrs. Coats would have filed the papers without difficulty. It was because of her husband's selfless and heroic act that Mrs. Coats must now struggle to remain in the country. As one concerned California constituent wrote to me, ``If ever there was a case where common fairness, morality and decency should reign over legal technicalities, this is it. We, as a country, need to reward heroism and good.''
I believe that we can reward the late Mr. Coats for his noble actions by granting his wife citizenship. It is what he intended for her. It can even be argued that a green card for his wife was one of his dying wishes, as the papers were signed just 4 days prior to his death.
For these reasons, I reintroduce this private relief immigration bill and ask my colleagues to support it on behalf of Mrs. Coats.
Mr. President, I ask unanimous consent that the text of the bill be printed in the Record.
Mr. President, today I am reintroducing private immigration relief legislation to provide lawful permanent residence status to Jose Alberto Martinez Moreno and Micaela Lopez Martinez and their daughter, Adilene Martinez--Mexican nationals now living in San Francisco, California.
This family embodies the true American success story and I believe they merit Congress' special consideration for such an extraordinary form of relief as a private bill.
Mr. Martinez came to the United States eighteen years ago from Mexico. He started working as a bus boy in restaurants in San Francisco. In 1990, he began working as a cook at Palio D'Asti, an award winning Italian restaurant in San Francisco.
According to the people who worked with him, he ``never made mistakes, never lost his temper, and never seemed to sweat.''
Over the years, Jose Martinez has worked his way through the ranks. Today, he is the sous chef at Palio, where he is respected by everyone in the restaurant, from dishwashers to cooks, busboys to waiters, bartenders to managers.
Mr. Martinez has unique skills: he is an excellent chef; he is bilingual; he is a leader in the workplace. He is described as ``an exemplary employee'' who is not only ``good at his job, but is also a great boss to his subordinates.''
He and his wife, Micaela, have made a home in San Francisco. Micaela has been working as a housekeeper. They have three daughters, two of whom are United States citizens. Their oldest child Adilene, 20, is undocumented. Adilene recently graduated from the Immaculate Conception Academy and is attending San Francisco City College.
One of the most compelling reasons for allowing the family to remain in the United States is that they are eligible for a green card. Unfortunately, there is such a back log for green cards right now that even though he has a work permit, owns a home in San Francisco, works two jobs, and has been in the United States for twenty years with a clean record, he and his family will be deported.
Mr. Martinez and his family have applied unsuccessfully for legal status several ways:
In May 2002, Mr. and Mrs. Martinez filed for political asylum. Their case was denied and a subsequent application for a Cancellation of Removal was also denied because the immigration court judge could not find ``requisite hardship'' required for this relief.
Ironically, the immigration judge who reviewed their case found that Mr. Martinez's culinary ability was a negative factor--as it indicated that he could find a job in Mexico.
In 2001, his sister, who has legal status, petitioned for Mr. Martinez to get a green card. Unfortunately, because of the current green card backlog, Mr. Martinez has several years to wait before he is eligible for a green card.
Finally, Daniel Scherotter, the executive chef and owner of Palio D'Asti, has petitioned for legal status for Mr. Martinez based on Mr. Martinez's unique skills as a chef. Although Mr. Martinez's work petition was approved by U.S. Citizenship and Immigration Services, there is a backlog on these visas, and Mr. Martinez is on a waiting list for a green card through this channel, as well.
Mr. and Mrs. Martinez have no other administrative options available to them at this point and if deported, they will face a 5 to 10 year ban from returning to the United States. In addition, this bill remains the only means for Adilene to gain legal status.
The Martinez family has become an important and valued part of their community. They are active members of their church, their children's school, and Comite de Padres Unido, a grassroots immigrant organization in California.
They volunteer extensively--advocating for safe new parks in the community for the children, volunteering at their children's school, and working on a voter registration campaign, even though they are unable to vote themselves.
In fact, I have received 46 letters of support from teachers, church members, and members of their community who attest to their honesty, responsibility, and long-standing commitment to their community. Their supporters include San Francisco Mayor Gavin Newsom; former Mayor Willie Brown; President of the San Francisco Board of Supervisors, Aaron Peskin; and the Director of Immigration Policy at the Immigrant Legal Resource Center, Mark Silverman.
This family has truly embraced the American dream. I believe their continued presence in our country would do so much to enhance the values we hold dear. Enactment of the legislation I have reintroduced today will enable the Martinez family to continue to make significant contributions to their community as well as the United States.
I ask my colleagues to support this private bill. Mr. President, I ask unanimous consent that the text of the bill be printed in the Record.
Mr. President, today I am reintroducing a private relief bill on behalf of Ruben Mkoian, his wife, Asmik Karapetian and their son, Arthur Mkoyan. The Mkoian family are Armenian nationals who have been living and working in Fresno, California, for over a decade.
The story of the Mkoian family is compelling and I believe they merit Congress's special consideration for such an extraordinary form of relief as a private bill.
Let me first start with how the Mkoian family arrived in the United States. While in Armenia, Mr. Mkoian worked as a police sergeant in a division dealing with vehicle licensing. As a result of his position, he was offered a bribe to register 20 stolen vehicles.
He refused the bribe and reported the incident to the police chief. He later learned that his co-worker had registered the vehicles at the request of the chief.
After he reported the offense, Mr. Mkoian's supervisor informed him that the department was to undergo an inspection. Mr. Mkoian was instructed to take a vacation during this time period. Mr. Mkoian believed that the inspection was a result of the complaint that he had filed with the higher authorities.
During the inspection, however, Mr. Mkoian worked at a store that he owned rather than taking a vacation. During that time, individuals kept entering his store and attempted to damage it and break merchandise. When he threatened to call the police, he received threatening phone calls telling him to ``shut up'' or else he would ``regret it.'' Mr. Mkoian believed that these threats were related to the illegal vehicle registrations occurring in his department because he had nothing else to be silent about.
Later that same month, three men grabbed his wife and attempted to kidnap his child, Arthur, on the street. Mrs. Mkoian was told that her husband should ``shut up.'' No one suffered any injuries from the incident. In October 1991, a bottle of gasoline was thrown into the Mkoian's residence and their house was burned down. The final incident occurred on April 1, 1992, when four or five men assaulted Mr. Mkoian in his store. He was beaten and hospitalized for 22 days.
Following that experience, Mr. Mkoian left Armenia for Russia, and then came to the United States on a visitor's visa in search of a better life. Two years later he brought his wife Asmik and his then 3- year-old son Arthur to the United States, also on visitor's visas. The family applied for political asylum, but the 9th Circuit Court of Appeals denied their request in January 2008. Thus, the family has no further legal recourse by which to remain in the country other than this bill.
Since arriving in the United States, the family has thrived. Arthur is now 18 years old and the family has expanded to include Arsen, who is a U.S. citizen.
Both Arthur and Arsen are very special children. In high school, Arthur maintained a 4.0 grade point average and was a valedictorian for the class of 2008. I first introduced this bill on his graduation day. Today, Arthur is a freshman at the University of California, Davis.
Arsen is following in his older brother's footsteps. At age 12, he stands out among his peers and is on the honor roll at Tenaya Middle School in Fresno.
In addition to raising two outstanding children, Mr. and Mrs. Mkoian have maintained steady jobs and have devoted time and energy into the community and their church. Mr. Mkoian is working at HB Medical Transportation, as a driver in Fresno.
His wife, Asmik, has two jobs as a medical receptionist with Dr. Kumar in Fresno and as a sales clerk at Gottschalks Department Store. In addition, she has taken classes at Fresno Community College and has completed their Medical Assistant Program.
The family are active members of the St. Paul Armenian Church, and Mr. Mkoian is a member of the PTA of the St. Paul Armenian Saturday School.
There has been an outpouring of support for this family from their church, the schools their children attend, and the community at large.
To date, we have received over 200 letters of support for the family in addition to numerous telephone calls. I also note that I have letters from both Congressman George Radanovich and Jim Costa, requesting that I offer this bill for the Mkoian family.
I truly believe that this case warrants our compassion and our extraordinary consideration.
I ask my colleagues to support this private bill. Mr. President, I ask by unanimous consent that the text of the bill be printed in the Record.
Mr. President, today I am reintroducing a private relief bill on behalf of Jorge Rojas Gutierrez, his wife, Oliva Gonzalez Gonzalez, and their son, Jorge Rojas Gonzalez. The Rojas family members are Mexican nationals living in the San Jose area of California.
The story of the Rojas family is compelling, and I believe they merit Congress' special consideration for such an extraordinary form of relief as a private bill.
Mr. Rojas and his wife Ms. Gonzalez originally came to the United States in 1990 when their son Jorge Rojas, Jr. was just 2 years old. In 1995, they left the country to attend a funeral, and then re-entered on visitors' visas.
The family has since expanded to include a son, Alexis Rojas, now age 16, and a daughter Tania Rojas, now age 14.
Since arriving in the United States, this family has dedicated themselves to community involvement, a strong work ethic and volunteerism. They have been paying taxes since their arrival in 1990. The family has been described by their friends and colleagues as a ``model American family.'' I would like to tell you some more about each member of the Rojas family.
Mr. Rojas is a hard-working individual who has been employed by Valley Crest Landscape Maintenance in San Jose, California, for the past 14 years. Currently, Mr. Rojas works on commercial landscaping projects. He is well-respected by his supervisor and his peers.
In addition to supporting his family, Jorge has volunteered his time and talents to provide modern green landscaping and a recreational jungle gym to Sherman Oaks Community Charter School, where his two youngest children attend school.
Ms. Gonzalez, in addition to raising her three children, has been very active in the local community. She has worked to help other immigrants assimilate to American life by working as a translator and a tutor for immigrant children at Sherman Oaks Community Charter School and the Y.M.C.A. Kids after-school program.
She has also coached soccer teams, and has recently directed a Thanksgiving food drive. Ms. Gonzalez also devotes many hours of her time to the organization People Acting in Community Together, PACT, where she works to prevent crime, gangs and drug dealing in San Jose neighborhoods and schools.
Perhaps one of the most compelling reasons for permitting the family to remain in the United States is the impact their deportation would have on their three children. Two of the children, Alexis and Tania, are U.S. citizens. Jorge Rojas, Jr. has lived in the United States since he was a toddler. For these children, this country is the only country they really know.
Jorge Rojas, Jr., who entered the United States as an infant with his parents, is now 20 and is currently working at Jamba Juice. He graduated from Del Mar High School in 2007 and is currently taking classes at San Jose City College.
Alexis and Tania are students at Sherman Oaks Community Charter School. They are described by their teachers as ``fantastic, wonderful, and gifted'' students. In fact, the principal at Sherman Oaks has described all three of the children as ``honest, hard-working academic honor students'' and have commended all of them for their on-campus leadership.
It seems so clear to me that this family has embraced the American dream, and their continued presence in our country would do so much to enhance the values we hold dear. I have received 30 letters from the community in support of this family. Enactment of the legislation I have reintroduced today will enable the Rojas family to continue to make significant contributions to their community as well as the United States.
Mr. President, I ask my colleagues to support this private bill. I ask unanimous consent that the text of the bill be printed in the Record.
Mr. President, today I am introducing the Credit Card Minimum Payment Notification Act.
This bill would help American consumers by requiring banks to notify credit card holders of the true cost if
they choose to make the minimum payment each month.
Americans today own more credit cards than ever before. The average American has approximately four credit cards. In 2007, 1 in 7 Americans held more than 10 cards.
Unsurprisingly, this increase in credit card ownership has resulted in a dramatic increase in credit card debt.
Over the past 2 decades, Americans' combined credit card debt has nearly tripled--from $238 billion in 1989 to a staggering $971 billion in 2008.
Today, the average American household has approximately $10,678 in credit card debt, up 29 percent from 2000.
Among credit card users, 55 percent carry a balance on their credit card, a 2 percent increase from last year.
Approximately 1 in 6 families with credit cards pays only the minimum due every month.
Young Americans are using credit cards to finance everything from daily expenses to college tuition. Forty-one percent of college students have a credit card, and, of those, only 65 percent pay their bills in full every month.
Over the past year, as economic conditions have worsened, it has become even harder for families to pay off their debt. Whether it is a mortgage, or tuition, or medical expenses, people are finding it harder than ever to meet all of their expenses.
In July of this year, 28 percent of people surveyed reported that their ability to pay off their credit card balances has become more strained.
This increasing debt is contributing to more and more Americans filing for bankruptcy.
Ever since the Bankruptcy Reform Act was enacted in 2005, non- business bankruptcies have been increasing at a rapid pace. The numbers this year already show a staggering hike. Between September 2007 and September 2008, Americans filed over one million non-business bankruptcies, up 30 percent from the previous year.
Many of these personal bankruptcies are people who are turning to credit cards to finance their expenses. Today's filers have even more credit card debt than usual--sometimes because they have been struggling to pay a mortgage and have started using credit cards for daily expenses.
One family, the Forsyths, found themselves in financial trouble after moving to a new State for a better job opportunity. Unable to sell their old house, they rented. But when the renter stopped making payments, the family became overwhelmed with two mortgage payments. Credit cards helped at first--providing payment for food, utilities, and clothes--but the family quickly accumulated $20,000 in debt and was left with no alternative other than bankruptcy.
The benefits offered by credit cards are attractive, but these cards also pose enormous financial risk. Dianne McLeod discovered this in a painful way after back-to-back medical emergencies depleted her finances. Although credit cards initially enabled her to maintain her lifestyle, before long these cards and two mortgages meant that she later found that she was spending more than 40 percent of her monthly income on interest payments, in addition to thousands of dollars annually in fees.
Today, credit cardholders receive no information on the impact of carrying a balance with compounding interest. As a result, too often individuals make only the minimum payment. After a few years, they find that the interest on the debt is almost twice the amount of their original purchases--and they do not know what to do about it.
I first introduced the Credit Card Minimum Payment Notification Act during the debate on the 2005 bankruptcy bill. As I said then, I believe the bill failed to balance responsibility and fairness. Consumers should not be so harshly penalized when they do not have the basic tools and information they need to make informed choices.
The Credit Card Minimum Payment Notification Act would help prevent this problem by requiring credit card companies to add two items to each consumer's monthly credit card statement:
A general notice that would read ``Making only the minimum payment will increase the interest you pay and the time it takes to repay your balance.''
An individualized notice to credit card holders that specifies clearly on their bill how much time it will take to repay their debt and the total amount they will pay if they only make the minimum payments.
For consumers with variable rate cards, the bill would also require companies to provide a toll-free number where cardholders can access credit-counseling services.
The disclosure requirements in the bill would only apply if the consumer has a minimum payment that is less than 10 percent of the debt on the credit card. Otherwise, none of these disclosures would be required on their statement.
Last year, a Gallup--Experian poll found that about 11 percent of credit cardholders consistently make only the minimum payment on their cards each month.
Consider what this could mean for the average household.
For example, the U.S. average credit card debt is $10,678. The average fixed credit card interest rate is approximately 12 percent. If the 2 percent minimum payment is all that is paid on its debt each month, it would take more than 31 years to pay off the bill and the total cost would be $21,052.66--and that's just the minimum assuming that the family didn't ever charge another dime on that bill.
In other words, the family would need to pay $10,374.66 in interest just to repay $10,678 in original debt.
For individuals or families with more than average debt, the pitfalls are even greater. $20,000 of credit card debt at the average 12 percent interest rate will take over 36 years and more than $28,261 to pay off if only the minimum payments are made.
Twelve percent is relatively low, average interest rate. Interest rates around 20 percent are not uncommon on credit cards, and penalty interest rates can reach as high as 32 percent.
A family that has the average debt with a 20 percent interest rate and makes the minimum payments will need a lifetime--over 85 years--and $62,158 to pay off the initial $10,678 bill. That's $51,480 just in interest--an amount that approaches 5 times the original debt.
Credit cards are an important part of everyday life, and they help the economy operate more smoothly by giving consumers and merchants a reliable, convenient way to exchange funds. But the bottom line is that for many consumers, the two percent minimum payment is a financial trap.
The Credit Card Minimum Payment Notification Act is designed to ensure that people are not caught in this trap through lack of information.
Last month, the Federal Reserve Board approved new rules that will improve disclosures, but the rules do not go far enough. Under the rules, starting July 1, 2010, credit card companies will have to warn consumers about the effect of making minimum payments on the length of time it will take to pay off their balances. But the warnings may be only examples and will not show the effect on the amount that consumers pay over time.
Before approving the final rules, the Federal Reserve Board interviewed consumers who typically carried credit card balances. Those consumers found disclosures most helpful when they provided specific information and included warnings about the amount that would have to be paid over time.
The Credit Card Minimum Payment Notification Act would provide the straightforward disclosure that consumers find most helpful and most effective.
This disclosure will ensure that consumers know exactly what it means for them to carry a balance and make minimum payments, so they can make informed decisions on credit card use and repayment.
In addition, the burden on banks will be minimal. Calculations like these are purely formulaic. Credit card companies already complete similar calculations to determine credit risk and when they tell consumers what their required minimum payment is each month.
The harsh effects of the 2005 bankruptcy bill are becoming apparent. During the debate over that bill, I had hoped that Congress would succeed in balancing the need to incentivize consumers to act responsibly with the promise of a fresh start for those who fell impossibly behind. I do not believe that that balance was reached.
I continue to believe that consumers need a meaningful disclosure informing them of the effects of making minimum payments.
Today, as Americans face increasing struggles with debt and expenses, the bill is needed more than ever. I urge my colleagues to support this legislation.
Mr. President, I ask unanimous consent that the text of the bill be printed in the Record.
Mr. President, I am pleased to join Senators Hatch, Bayh, Kerry, Murray, Kyl, and Specter in introducing comprehensive anti-gang legislation--the Gang Abatement and Prevention Act of 2009.
This bill has changed significantly since Senator Hatch and I began introducing gang legislation over 10 years ago. The current version of the bill reflects changes that have been made to comprehensively address the gang problem, including provisions emphasizing prevention and intervention programs, as well as enforcement funding.
This bill recognizes that the root causes of gang violence need to be addressed--identifying successful community programs and then investing significant resources in schools and religious and community organizations to prevent young people from joining gangs in the first place.
The bill constitutes a balanced approach to fighting the gang problem, with authorization for hundreds of millions of dollars to be used for proven gang prevention and intervention programs, as well as strong enforcement provisions.
The rise of criminal street gangs and the effect these gangs are having on our Nation are two of the fundamental issues facing us today. This country is in the midst of an epidemic of gang violence that cuts across every age and every race and plagues our cities, suburbs and rural areas. This violence often involves teens and children as both victims and perpetrators.
Almost every day, gang violence is in the news across the country, with gang-related killings of children and innocent bystanders almost too numerous to count. A person only needs to pick up a newspaper or watch the evening news to see how gang violence is affecting our communities.
A snapshot of gang violence that occurred over a 4-day period in Los Angeles in March 2008 illustrates how insidious gangs have become.
On March 2, 2008, Jamiel Shaw, a 17-year-old high school football star, was shot to death just three doors from his home in Mid-City Los Angeles as he rushed home to make curfew. Two gang members pulled up in a car, asked if Jamiel was a gang member, and then shot him when he didn't answer. Jamiel was not in a gang and was a model student and athlete who was being recruited by Stanford and Rutgers to play collegiate football. His mother, a sergeant in the U.S. Army who was serving her second tour of duty in Iraq, had to return home to Los Angeles to bury her son.
On March 4, 2008, 6-year-old Lavarea Elvy was shot in the head in the Harbor Gateway area of South Los Angeles as she sat in the family car. A gang member and a gang associate of a Hispanic street gang have been charged in this attempted murder.
On March 6, 2008, 13-year-old Anthony Escobar was killed while picking lemons in a neighbor's yard in the Echo Park area of Los Angeles. Anthony was not a gang member, and police believe he was targeted by gang members who came to his neighborhood for no other reason than to kill someone.
Stories like these are not limited to California. They are becoming commonplace across the country. Consider the following incidents of gang violence from across the country:
In February 2008, Julia Steele, an 80-year-old woman from St. Louis, Missouri, was killed when she was caught in the crossfire of gunfire between rival gang members. Julia's 80-year-old friend was also injured when their car slammed into other vehicles after the shooting.
Beginning in May 2008, police in Billings, Montana had to increase neighborhood patrols due to repeated drive-by shootings conducted by gang members.
In July 2008, a 7-year-old boy was wounded while playing kickball near his suburban Roxbury, Massachusetts home. He was shot by an adult gang member from Boston, who police believe had traveled to the suburbs for no other reason than to shoot someone.
In October 2008, Christopher Walker, a 16-year-old high school junior and member of the varsity basketball team, was shot and killed by a gang member near Henry Ford High School, his high school in Detroit, Michigan. According to media reports, Chris' death has sparked much anger in the community over growing gang violence in the area.
Across the country, in rural areas, suburbs, and cities, gang violence is literally holding neighborhoods hostage and Congress needs to do something about it. Our national gang problem is immense and growing, and it is not going away.
On January 18, 2007, FBI Director Mueller acknowledged that gang crime has become ``part of a clear national trend.'' FBI statistics show that there are over 30,000 criminal street gangs operating in the United States, with more than one million gang members.
According to the FBI, gangs have an impact on at least 2,500 communities across the Nation. These criminal street gangs engage in drug trafficking, robbery, extortion, gun trafficking, and murder. They recruit children and teens, destroy neighborhoods, cripple families, and kill innocent people.
In California, the State Attorney General has estimated that there are 171,000 juveniles and adults committed to criminal street gangs and their way of life. That's greater than the population of 28 California counties.
From 1992 to 2003, there were more than 7,500 gang-related homicides reported in California. In 2007, 469 of the 2,258 homicides in California were gang-related.
Los Angeles Police Department Chief Bill Bratton put it bluntly: ``There is nothing more insidious than these gangs. They are worse than the Mafia. Show me a year in New York where the Mafia indiscriminately killed 300 people. You can't.''
It's not just a California problem or an issue limited to big cities. In Chicago, the FBI estimates that there are over 60,000 gang members. A 2008 DOJ Report notes the rapid spread of gangs and violence to suburban areas. FBI Director Mueller recently recognized the national scope of the gang problem when he said: ``Gangs are no longer limited to Los Angeles. Like a cancer, gangs are spreading to communities across America.''
Our cities and States need our help--a long-term commitment to combat gang violence and a Federal helping hand to get our youth out of gangs and keep them from joining gangs in the first place.
Senator Hatch and I have now been introducing comprehensive Federal gang legislation for over a decade. Our gang bills have been modified and refined over the years, most recently in the bill that passed in the Senate in the 110th Congress by unanimous consent.
The bill that we introduce today is a balanced and measured approach to dealing with the gang problem. It has no death penalty provisions, no mandatory minimums, and we have eliminated juvenile justice changes that previously proved to be an impediment to the larger bill's passage.
The bill that we offer today provides a Federal helping hand to fight the gang problem. It provides a comprehensive solution to gang violence, combining enforcement, prevention, and intervention efforts in a collaborative approach that has proven effective in models like Operation Ceasefire.
The bill recognizes that the Federal Government can do more to fight gangs and that more tools must be made available to Federal law enforcement agents and prosecutors to stop the epidemic of gang violence. To this end, the bill establishes new, common sense Federal gang crimes and tougher Federal penalties.
Existing Federal street gang laws are frankly weak, and are almost never used. Currently, a person committing a gang crime might have extra time tacked on to the end of their Federal sentence. That is because Federal law currently focuses on gang violence only as a sentencing enhancement, rather than as a crime unto itself.
The bill that I offer today would make it a separate Federal crime for any criminal street gang member to commit, conspire or attempt to commit violent crimes--including murder, kidnapping, arson, extortion-- in furtherance of the gang.
The penalties for gang members committing such crimes would increase considerably.
For gang-related murder, kidnapping, aggravated sexual abuse or maiming, the penalties would range up to life imprisonment.
For any other serious violent felony, the penalty would range up to 30 years.
For other crimes of violence--defined as the actual or intended use of physical force against the person of another--the penalty could bring up to 20 years in prison.
The bill also creates a new crime for recruiting juveniles and adults into a criminal street gang, with a penalty of up to 10 years, or if the recruiting involved a juvenile or recruiting from prison, up to 20 years.
It also creates new Federal crimes for committing violent crimes in connection with drug trafficking, and increases existing penalties for violent crimes in aid of racketeering.
Finally, the bill also makes a host of other violent crime reforms, including closing a loophole that allows carjackers to avoid convictions, increasing the penalties for those who use guns in violent crimes or transfer guns knowing they will be used in crimes, and limiting bail for violent felons who possess firearms.
But the bill also recognizes that we cannot simply arrest our way out of the gang problem. It also focuses on prevention and intervention strategies to prevent our youth from joining street gangs and to give existing gang members a way out of that lifestyle.
Specifically, the bill would authorize over $1 billion in new funds over the next 5 years to address the gang problem, including: $411.5 million to fund gang prevention and intervention programs, like Operation Ceasefire, a proven gang prevention and intervention program successfully used in communities across the country; $187.5 million to establish High Intensity Interstate Gang Activity Areas--Federal, State, and local law enforcement task forces to combat gangs and implement prevention programs; $100 million to fund the DOJ's Project Safe Neighborhood Program, the Federal Government's primary anti-gang initiative; $50 million for the Project Safe Streets Program, the FBI's primary gang investigation tool; $100 million for more prosecutors, technology, and equipment for gang investigations; $270 million for State witness protection programs in gang cases.
This balanced approach--of prevention and intervention plus common sense enforcement--will send a clear message to gang members: a new day has arrived and the Federal Government will no longer sit on the sidelines while gang violence engulfs the country.
This bill will provide gang members with new opportunities, with schools and social services agencies empowered to make alternatives to gangs a realistic option. But if gang members continue to engage in violence, they will face new and serious Federal consequences.
For more than 10 years now, Senator Hatch and I have been trying to pass Federal anti-gang legislation. There have been times when we have gotten close, including last session when the Senate passed this same bill. Unfortunately, while Congress as a whole has failed to act, violent street gangs have only expanded nationwide and become more empowered and entrenched in other States and communities.
I believe this bill can again pass in the Senate and be enacted into law. The time has arrived for us to finally address this problem, and I believe this bill is well-suited to help solve it.
I urge my colleagues to favorably consider this legislation in the 111th Congress.
Mr. President, I ask unanimous consent that the text of the bill be printed in the Record.
Mr. President, I rise on behalf of myself and Senator Snowe to introduce legislation that will increase transparency, strengthen oversight, and require firms receiving financial lifelines from the Federal Government to practice responsible corporate governance.
Our bill--the Troubled Asset Relief Program Transparency Reporting Act--will achieve four essential objectives, prohibit firms receiving loans from the Federal Reserve or participating in the Troubled Asset Relief Program, TARP, from using this money for lobbying expenditures or political contributions; require that firms receiving government assistance provide detailed, publicly available quarterly reports to Treasury outlining how taxpayer dollars have been used; establish corporate governance standards to ensure that firms receiving Federal assistance do not waste money on unnecessary expenditures; and create penalties of at least $100,000 per violation for firms that fail to meet the corporate governance standards established in the bill.
The need for such legislation has become very apparent in the 3 months since Congress approved the economic rescue plan.
The economic rescue legislation passed in October includes several oversight boards and accountability provisions to ensure that public funds are effectively distributed. But, it does not include any reporting requirements for firms that receive Federal dollars.
This is a significant omission, especially given the amount of Federal money that some firms are receiving.
The Treasury Department has committed to purchasing $250 billion of preferred stock in financial institutions. More than 200 financial institutions have received roughly $188 billion. Of these funds, $125 billion was allocated to nine large national banks.
In addition to injecting capital into banks, American Insurance Group, AIG, has received an additional $40 billion and CitiGroup has received $20 billion of TARP funds.
Last month, GM received more than $10 billion in financing through the recently implemented Automotive Industry Financing Program.
This effectively means that the entirety of the first $350 billion of rescue funds has been spent.
When you add up all of the taxpayer dollars put on the line--from $30 billion
provided to Bear Stearns in March, $200 billion available to Fannie Mae and Freddie Mac, $150 billion to AIG, $700 billion for TARP, plus the direct lending programs at the Federal Reserve--we are talking about well over 1 trillion Federal dollars.
I certainly don't think it is unreasonable for the public to know how their money is being spent, and I am not the only Member of Congress or elected official who feels this way.
In response to questions posed by the Congressional Oversight Panel for Economic Stabilization, the Treasury Department noted that it was committed to rigorous oversight of executive compensation packages. This may be the case, but executive compensation is only the beginning.
While I am pleased that CEOs at some financial institutions that accepted Federal assistance did not accept their annual bonuses last year, we still do not have an official accounting of how Federal funds were used.
Certainly Americans deserve assurances that struggling firms will not use public funds to pay exorbitant salaries or bonuses.
The same can be said for these funds going towards dividend payments, or mergers and acquisitions.
The Government Accountability Office, GAO, has reported that the Treasury Department had no strong accountability or oversight function to ensure that banks were using rescue assistance with the best interests of the public in mind.
It noted that Treasury had little ability to ensure that participating firms complied with laws already limiting executive compensation and conflicts of interest.
An investigation last month by the Associated Press found that many banks that have accepted Federal assistance are not able to say with certainty exactly how they have used the money. Some of these banks would not even discuss the issue.
We cannot be sure that the rescue funds are being used to stabilize the economy if banks are not keeping proper accounting of their use, and those that do will not disclose it.
Shining light on how firms use public dollars not only makes good sense, but it will also act as a deterrent to irresponsible behavior.
On October 16, 2008, the Wall Street Journal reported that AIG, which received billions of dollars in Federal rescue funds, was continuing to lobby State regulators to delay implementation of strengthened licensing standards for mortgage brokers and lenders.
AIG was lobbying against sensible standards created by the SAFE Mortgage Licensing Act. This bill, introduced by Senator Martinez and myself, established basic minimum regulations for the mortgage industry to ensure consumers were adequately protected.
Before this bill, in some States virtually anyone--even those with criminal records--could go out and get a mortgage broker's license.
Left unchecked, and with no regulations to stop them, unscrupulous mortgage brokers and lenders flooded the markets with subprime loans that they knew would never be paid back.
Of course, this has served as one of the catalysts for our current economic predicament.
And now AIG, propped up by billions in Government money after having succumbed to bad investments, was lobbying against the strong enforcement of State laws that might have helped prevent this catastrophe in the first place.
Senator Martinez and I wrote a letter to AIG and, to the company's credit, CEO Edward Liddy immediately suspended the company's lobbying operations.
I find it completely unacceptable that taxpayer dollars intended to stabilize the economy could find their way into the bank accounts of lobbying firms. The legislation which I am reintroducing today will make sure that does not happen.
I do not mean to pick on AIG, but they have also been the poster child for wasteful spending by rescued firms.
In September 2008, just days after receiving an $85 billion Federal lifeline, the management of AIG treated itself to a $444,000 spa weekend at the St. Regis resort in Monarch Beach, California. This included $200,000 for rooms, $150,000 for fine dining and $23,000 in spa charges.
AIG executives spent the last 2 days of September 2008 on a golf outing at Mandalay Bay in Las Vegas at a cost of up to $500,000. They were planning to follow this with a few days at the Ritz Carlton in Half Moon Bay, but cancelled after it hit the news and drew fire from congressional leaders.
As news of these wasteful expenditures was making headlines, AIG received another $37.8 billion in emergency loans from the Federal Government.
Shortly thereafter, the Associated Press reported that--even as AIG was asking Congress for these loans--AIG executives were spending $86,000 on a pheasant hunting expedition in England. During the trip, they stayed at a 17th century manor.
One AIG executive named Sebastian Preil was quoted as saying that: ``The recession will go on until about 2011, but the shooting was great today and we are relaxing fine.''
Once these lapses in judgment came to light, AIG chief executive Edward Liddy informed Congress that he was putting an end to all nonessential expenditures. Yet weeks later, an undercover news crew caught AIG executives at the Hilton Squaw Peak Resort in Phoenix, hosting a seminar for financial planners complete with cocktails and limousines.
One would think that a brush with collapse and total failure might have a sobering effect on some of these firms.
But this penchant for wasteful junkets in the face of complete failure was not unique to AIG.
Following enactment of TARP, news reports have uncovered multiple instances in which rescued firms have been caught making unnecessary and outrageous expenditures, leading many taxpayers to question why these firms are receiving Federal assistance in the first place.
In November, Treasury Secretary Paulson announced that the $700 billion approved by Congress to stabilize financial markets would not be used to purchase illiquid assets but rather to make direct capital injections into financial institutions.
Given this new mission, the need for additional transparency and disclosure is striking.
We have learned that we cannot necessarily count on these firms and their executives to act sensibly and do what is right.
The public needs to know that their tax dollars are being put to good use.
A simple ``trust me'' from the bank executives is not enough.
Americans are struggling, and the pain in my State of California, where unemployment is 8.4 percent, and foreclosure filings exceeded 750,000 last year, is especially acute.
This bill puts in place commonsense solutions to fix some of the deficiencies in the economic stabilization bill.
This legislation is significant and sorely needed.
We must act soon to help restore confidence in this effort and shed light on how public funds are used. We promised the American people transparency and oversight, and this legislation will make good on that promise.
I hope my colleagues will join me to ensure that taxpayer dollars are spent efficiently and responsibly.
Mr. President, I rise to introduce the Data Breach Notification Act.
This is a commonsense bill that is aimed at protecting personal information and preventing identity theft. The bill would require businesses and government agencies to notify individuals when their sensitive personal information has been exposed in a data breach.
As many of you know, I have been urging the Senate to adopt this legislation since 2003, when California first imposed a State notification requirement.
That legislation has helped consumers in my State. Federal data breach law would provide uniformity and protect consumers throughout the country.
With every year that passes, the evidence in support of this legislation has only continued to mount.
The cost of identity theft is enormous--estimated at more than $50 billion per year. Some of the costs fall on businesses and banks, which suffer losses from fraudulent transactions. Some of the costs are also borne by consumers, whose finances and credit ratings are disrupted.
Since the beginning of 2005, over 240 million data records containing individuals' sensitive personal data have been exposed in data breaches.
It seems that not a week goes by without news of another security breach that exposes names, addresses, birth dates, social security numbers, or other personal data.
These breaches have spawned a vast online market in stolen identities. Today, each person whose identity is sold on the internet faces a high risk of becoming a victim of identity theft. Each of them faces the expensive and time-consuming nightmare of trying to restore their finances and credit ratings.
According to a report by the Identity Theft Resource Center, the news media reported more than 620 breaches involving personal information during 2008. That works out to about one data security breach every 14 hours--and those are just the ones that are big enough to be covered in the media.
Recent reports of security breaches involving sensitive personal data point out the extent of the problem.
In December 2008, during a website development project at the Florida Agency for Workforce Innovation, the Social Security numbers of more than a quarter of a million people were accidentally posted online.
In August of last year, an employee working weekends at Countrywide copied customer records from an office computer and then sold the personal information of an estimated 2,000,000 mortgage applicants.
In May of 2007, a breach at the Transportation Security Administration made the names, Social Security numbers, birth dates, payroll information, and bank account information of more than 100,000 former employees vulnerable to theft or sale.
In January of that same year, hackers accessed information held by TJX stores, including more than 45 million credit card numbers and more than 455,000 merchandise records containing customers' drivers license numbers.
In May of 2006, there was a breach at the Department of Veterans Affairs that involved the names, birth dates, and Social Security numbers of every veteran discharged from the military since 1975--more than 28 million veterans--every veteran discharged from the military since 1975.
Another disturbing example took place last year at the State Department when the passport files of Senator Clinton, Senator McCain, and Senator Obama--the three leading presidential contenders at the time--were accessed by contractors working for the Department. Though the Department knew about the breaches right away, several months passed before our colleagues were told about the problem.
Unfortunately, this delay is not surprising--because there is currently nothing to require a Federal agency to tell us when a security breach affects our personal data.
That needs to change. That's what my bill does.
Specifically, this legislation requires the Federal Government and private businesses to notify individuals when there has been a security breach involving their sensitive personal data; ensures that the notice is provided without unreasonable delay; creates very limited exceptions to notification for national security and law enforcement purposes, and when law enforcement certifies that there is there is no significant risk of harm to the individual; establishes penalties against those who do not provide the required notice. The provisions of the bill would be enforced by the Federal and State attorneys general; and pre-empts State laws so that there is a single, nationwide notification requirement.
Data security breaches have real consequences. For one thing, they are bad for business because they lead to a loss of confidence-- especially in online commerce. A 2005 survey for Consumer Reports showed that 25 percent of Internet users stopped shopping online because of fears about identity theft. Of people who still shopped online, 29 percent said that they had cut back on how often they buy products on the Internet.
Data breaches also pose serious harms for consumers. A November 2007 report from the Federal Trade Commission revealed that identity theft victims spent as much as $5,000 of their own money--and as many as 1,200 hours of their time--recovering from the harm to their finances caused by identity theft.
While not all data breaches lead to identity theft, the cost of stolen identities is so enormous that we should be doing everything we can to solve this problem.
The situation requires action. While Congress has been slow to act, the States have not. In the almost 6 years since the California law took effect, 43 States, the District of Columbia, Puerto Rico, and the Virgin Islands have passed similar laws.
A report issued by the Federal Trade Commission in December 2008 noted that these State data breach notification laws have had several indirect benefits; many businesses across the country have strengthened their safeguard practices in order to avoid data breaches.
By forcing companies to consider the potential cost and liability that may ensue if information is compromised in a data breach, these laws have the indirect benefit of motivating companies to reassess their need to collect personally identifiable information in the first place.
The same benefits would flow from Federal legislation. Additionally, the Data Breach Notification Act would improve the law by creating a single, uniform national standard.
A September 2008 report issued by the President's Identity Theft Task Force again emphasized the need for a unified Federal standard to replace the patchwork of varied state laws currently in place. The December 2008 FTC report made the same point.
A Federal bill will simplify the process of compliance and notification for
businesses, while ensuring that all consumers get the information they need as soon as possible when breaches happen.
We have already waited too long. The Judiciary Committee endorsed this bill unanimously during the last Congress. The epidemic of data breaches in our nation continues unabated. This is a common-sense bill that we should take action on now.
I urge the Senate to pass the Data Breach Notification Act to give Americans the information they need to protect themselves from identity theft.
Mr. President, I ask unanimous consent that the text of the bill be printed in the Record.
Mr. President, I rise today to introduce legislation that will help address the threats to public health and safety caused by abandoned hardrock mines.
There are as many as 500,000 abandoned mines strewn across the western states--47,000 alone are found on California's public lands.
The scope of this problem is huge.
In the past two years, eight accidents at abandoned mine sites were reported in California. Throughout the United States, at least 37 deaths occurred between 1999 and 2007 and the potential for more is ominous.
Basic remediation efforts, such as warning signs and fencing, can provide protection.
However, some abandoned mines pose a more serious threat. Environmental impact studies have shown that important watersheds are being polluted by high levels of harmful minerals, such as mercury, lead, arsenic and asbestos. In California alone, seventeen watersheds have been affected.
Yet not enough is being done to clean up these dangerous Gold Rush- era mines.
The bill that I am introducing today is not intended to be a comprehensive hardrock mining bill, but it is an important piece of the reform needed.
The Abandoned Mine Reclamation Act of 2009 will reform the 1872 Mining Law by establishing fees to support abandoned mine clean up; establishing a royalty payment system; and creating an Abandoned Mine Clean up Fund.
Unlike the coal industry, the metal mining industry does not pay to clean up its legacy of abandoned mines, making lack of funding the primary obstacle to abandoned hardrock mine clean up.
This legislation would help fund the clean up of abandoned mines by placing an Abandoned Mine Reclamation fee on all hardrock minerals, using the underground coal industry fee program as a model. Specifically, it would create a 0.3 percent reclamation fee on the gross value of all hardrock mineral mining, including mining on Federal, State, tribal, local and private lands.
The condition of abandoned coal mines has greatly improved since the Surface Mining Control and Reclamation Act of 1977 established a fee to finance restoration of land abandoned or inadequately restored by coal mining companies.
This fund has been able to raise billions of dollars for coal mine reclamation--and I believe that a similar program could be part of the solution to hardrock abandoned mine clean up.
This legislation establishes a royalty fee on Hardrock Mining Claims.
Companies that mine for gold and silver on Federal lands are not currently required to pay any royalties to the Federal Government--even though we are experiencing near record high gold prices.
These companies should be required to pay their fair share.
The Abandoned Mine Reclamation Act establishes an 8 percent royalty on new mining operations located on Federal lands, and a 4 percent royalty for existing operations.
The legislation I am introducing today also creates an Abandoned Mine Fund.
In these times of budget deficits, it's clear that we will not be able to simply appropriate the funds necessary to clean up the hundreds of thousands of abandoned hard rock mines.
So, this legislation will create an abandoned mine clean up fund to ensure that we have a lasting source of funding for this critical clean up effort.
Specifically, the fund will direct the royalties, as well as other payments collected from mining operations, and dedicate them to the clean up of abandoned hardrock mines.
I recognize the important role that mining has played in California's history. The discovery of gold at Sutter Mill near Placerville, California in 1848 was a defining moment for my State and the U.S.
It is fair to say that without mining and the Gold Rush, California and the entire country would be a far different place than it is today.
The history of mining in California, however, is tarnished by the legacy of tens of thousands of abandoned mines. In particular, abandoned mine sites on Federal lands.
A recent report from the Department of the Interior's Inspector General underscores the scope and the urgency of
the abandoned mine problem on public lands--in particular, those managed by the Bureau of Land Management and the National Park Service.
The report concluded that public health and safety have been compromised by mismanagement, funding shortfalls and systematic neglect.
The report found the potential for more deaths and injuries is ominous. A number of abandoned mine sites on public lands present an immediate danger due to open shafts, collapsing mine walls, and rotting structures. Some have deadly gases that accumulate in underground passages. And others leach hazardous chemicals like arsenic, lead and mercury into groundwater.
The Bureau of Land Management's abandoned mines program has been neglected and understaffed. In some cases, staff were told by their supervisors to ignore these problems; and those who did come forward to identify contaminated sites were criticized or outright threatened.
The scope of the problem is less severe at the National Parks Service. But perennial funding shortfalls impede the clean up of known abandoned mines.
At the heart of the problem is a century-old law signed by President Ulysses S. Grant to promote the settlement of publicly-owned lands in the western states.
The 1872 Mining Law created national standards for hardrock mining operations on Federal public lands; however, it has not been substantially updated for 137 years. Under this outdated framework, the hardrock mining industry does not pay royalties for minerals taken from Federal land and is not obligated to share in the cost of clean up for abandoned mines. Since the enactment of this law, hundreds of thousands of mines have been abandoned.
Congress needs to move swiftly to address this issue before more damage and accidents occur.
Though this legislation is a significant step forward for the funding of abandoned mines, I know that there is much more mining reform to be done.
I look forward to working with my colleagues to modernize our Nation's mining laws and accelerate the clean up of dangerous abandoned mines.
Mr. President, I ask unanimous consent that the text of the bill be printed in the Record.
Mr. President, I am pleased to introduce legislation to protect one of Americans' most valuable but vulnerable assets: Social Security numbers.
The bill I am introducing today aims to protect individual privacy and prevent identity theft by eliminating the unnecessary use and display of Social Security numbers.
I have been working since the 106th Congress to safeguard Social Security numbers. I believe that the widespread display and use of these numbers poses a significant, and entirely preventable threat to personal privacy.
In 1935, Congress authorized the Social Security Administration to issue Social Security numbers as part of the Social Security program. Since that time, Social Security numbers have become the best-known and easiest way to identify individuals in the United States.
Use of these numbers has expanded well beyond their original purpose. Social Security numbers are now used for everything from credit checks to rental agreements to employment verifications, among other purposes. They can be found in privately held databases and on public records-- including marriage licenses, professional certifications, and countless other public documents--many of which are available on the Internet.
Once accessed, the numbers act like keys--allowing thieves to open credit card and bank accounts and even begin applying for government benefits.
According to the Federal Trade Commission, as many as 10 million Americans have their identities stolen by
such thieves each year--at a combined cost of billions of dollars.
What's worse, victims often do not realize that a theft has occurred until much later, when they learn that their credit has been destroyed by unpaid debt on fraudulently opened accounts.
One thief stole a retired Army captain's military identification card and used his Social Security number, listed on the card, to go on a 6- month, $260,000 shopping spree. By the time the Army captain realized what had happened, the thief had opened more than 60 fraudulent accounts.
A single mother of two went to file her taxes and learned that a fraudulent return had already been filed in her name by someone else--a thief who wanted her refund check.
A former pro-football player received a phone call notifying him that a $1 million home mortgage loan had been approved in his name even though he had never applied for such a loan.
Identity theft is serious. Once an individual's identity is stolen, people are often subjected to countless hours and costs attempting to regain their good name and credit. In 2004, victims spent an average of 300 hours recovering from the crime. The crime disrupts lives and can destroy finances.
It also hurts business. A 2006 online survey by the Business Software Alliance and Harris Interactive found that nearly 30 percent of adults decided to shop online less or not at all during the holiday season because of fears about identity theft.
When people's identities are stolen, they often do not know how the thieves obtained their personal information. Social security numbers and other key identifying data are displayed and used in such a widespread manner that individuals could not successfully restrict access themselves.
Comprehensive limitations on the display of Social Security numbers are critically needed.
The U.S. Government Accountability Office conducted studies of this problem in 2002 and 2007. Both times--in studies entitled ``Social Security numbers Are Widely Used by Government and Could Be Better Protected'' and ``Social Security numbers: Use Is Widespread and Could Be Improved''--the GAO concluded that current protections are insufficient and that serious vulnerabilities remain.
The Protecting the Privacy of Social Security Numbers Act would require government agencies and businesses to do more to protect Americans' Social Security numbers. The bill would stop the sale or display of a person's Social Security number without his or her express consent; prevent Federal, State and local governments from displaying Social Security numbers on public records posted on the Internet; prohibit the printing of Social Security numbers on government checks; prohibit the employing of inmates for tasks that give them access to the Social Security numbers of other individuals; limit the circumstances in which businesses could ask a customer for his or her Social Security number; commission a study by the Attorney General regarding the current uses of Social Security numbers and the impact on privacy and data security; and institute criminal and civil penalties for misuse of Social Security numbers.
This legislation is simple. It is also critical to stopping the growing epidemic of identity theft that has been plaguing America and its citizens.
As the President's Identity Theft Task Force reported last year, ``[i]dentity theft depends on access to . . . data. Reducing the opportunities for thieves to get the data is critical to fighting the crime.''
Every agency to study this problem has agreed that the problem will continue to grow over time and that action is needed.
I urge my colleagues to support the Protecting the Privacy of Social Security Numbers Act. Mr. President, I ask unanimous consent that the text of the bill be printed in the Record.
Today, I am introducing the Lawful Interrogation and Detention Act of 2009--legislation intended to reverse the harmful, dangerous, un-American, and illegal detention and interrogation practices of the past seven years.
As I will describe in detail below, the four provisions in this bill would: Close the Guantanamo Bay detention centers, outlaw CIA's coercive interrogation program, prevent the use of contractor interrogations, and end secret detention at CIA black sites.
These practices have brought shame to our nation, have harmed our ability to fight the war on terror, and, I believe, violate U.S. law and international treaty obligations.
As was made crystal clear on last November 4, we need change and we need a new direction. When it comes to the war on terrorism, we need to disavow ``the Dark Side'' so embraced by the Bush administration. Instead, we need to follow our approach honed through the Cold War: standing by the strength of our values and ideals, building strong partnerships with allies, and mixing soft power with the force of our military might.
This legislation would put us back on the right track and I believe it to be fully consistent with the policies and intentions of President-elect Obama.
It is time to end the failed experiment at Guantanamo Bay. It is time to repudiate torture and secret disappearances. It is time to end the outsourcing of coercive interrogations to outside mercenaries. It is time to return to the norms and values that have driven the United States to greatness since the days of George Washington, but have been tarnished in the past 7 years.
First, this legislation requires the President to close the detention facilities at Guantanamo Bay within 12 months.
The need to close Guantanamo is clear. Along with the abuses at Abu Ghraib, Guantanamo has been decried as American hypocrisy and cruelty throughout the world. They have given aid in recruiting to our enemies, and have been named by Navy General Counsel Alberto Mora as the leading causes of death to U.S. troops in Iraq.
Numerous reports, most recently one completed and approved unanimously by the Senate Armed Services Committee, have documented the abusive methods used at Guantanamo.
Beyond the physical, psychological, and emotional abuse witnessed at Guantanamo, it has been the source of great legal embarrassment. The Supreme Court has struck down the Bush administration's legal reasoning four separate times: in the Rasul, Hamdi, Hamdan, and Boumediene decisions.
It was explicitly created to be a separate and lesser system of justice, to hold people captured on or near the battlefield in Afghanistan indefinitely. It has produced exactly three convictions, including Australian David Hicks who agreed to a plea bargain to get off the island, and Osama bin Ladin's driver, Salim Hamdan, who has already served almost all of his sentence through time already spent at Guantanamo.
The hard part about closing Guantanamo is not deciding to do it--it is figuring out what to do with the remaining detainees.
Under the Lawful Interrogation and Detention Act, the approximately 250 individuals now being held there would be handled in one of five ways:
They could be charged with a crime and tried in the United States in the Federal civilian or military justice systems. These systems have handled terrorists and other dangerous individuals before, and are capable of dealing with classified evidence and other unusual factors.
Individuals could be transferred to an international tribunal to hold hearings, if such a tribunal is created; detainees could be returned to their native countries, or if that is not possible, they could be transferred to a third country.
To date, more than 500 men have been sent from Guantanamo to the custody other countries. Recently, Portugal and other nations have suggested they would be open to taking some of the remaining detainees as a way to help close Guantanamo.
If there are detainees who can't be charged with crimes or transferred to the custody of another country, there is a fourth option. If the Secretary of Defense and the Director of National Intelligence agree that an individual poses no security threat to the United States, the U.S. Government may release him.
This may work, for example, for the Chinese Uighurs remaining at Guantanamo. In fact, a Federal court has already ordered that this group be released into the country, though that ruling has been stayed upon appeal.
Finally, for detainees who cannot be addressed in any of the first four options, the Executive Branch could hold them under the existing authorities provided by the law of armed conflict.
I believe that these options provide sufficient flexibility to handle the 250 or so people now being held at Guantanamo. If the incoming Obama Administration decides that other alternatives are needed, it should come to Congress, explain the specifics of the problem, and we will work toward a joint legislative solution.
The other three provisions in this legislation end parts of the CIA's secret detention and interrogation program.
Some of the details of the program are already publicly known, like the use of waterboarding on three individuals. Other aspects remain secret, such as the other authorized interrogation techniques and how they were used.
There have been public allegations of multiple deaths of detainees in CIA custody. There was one conviction of a CIA contractor in the death of a detainee in Afghanistan, but other details remain classified.
But it is well known that on August 1, 2002, the Justice Department approved coercive interrogation techniques, including waterboarding, for the CIA's use. This despite the fact that the Justice Department has prosecuted the use of waterboarding and the State Department has decried it overseas.
The Administration used warped logic and faulty reasoning to say waterboarding technique was not torture. It is.
Other interrogation techniques used by the CIA have not been acknowledged but are still authorized for use. This has to end.
But we will never turn this sad page in our nation's history until all coercive techniques are banned, and are replaced with a single, clear, uniform standard across the United States Government.
That standard established by this legislation is the interrogation protocols set out in the Army Field Manual. The 19 specified techniques work for the military and operate under the same framework as the time- honored approach of the Federal Bureau of Investigation. If the CIA would abide by its terms, it would work for the CIA as well.
These techniques were at the heart of former FBI Special Agent Jack Cloonan's successful interrogation of those responsible for the 1993 World Trade Center bombing. They were also the tools used by Special Agent George Piro to get Saddam Hussein to provide the evidence that resulted in his death sentence.
We have powerful expert testimony that the Army Field Manual techniques work against terrorist suspects. The Manual's use across the government is supported by scores of retired generals and admirals, by General David Petraeus, and by former secretaries of state and national security advisors in both parties.
Majorities in both houses of Congress passed this provision last year as part of the Fiscal Year 2008 Intelligence Authorization bill, sending a clear message that we do not support coercive interrogations.
Regrettably, the President's veto stopped it from becoming law.
The new President agrees that we need to end coercive interrogations and to comply strictly to the terms of the Convention Against Torture and the Geneva Conventions. I look forward to working with him to end this sad story in the Nation's history.
The third part of this legislation is a ban on contractor interrogators at the CIA. As General Hayden has testified, the CIA hires and keeps on contract people who are not intelligence professionals and whose sole job is to ``break'' detainees and get them to talk.
I firmly believe that outsourcing interrogations, whether coercive or more appropriate ones, to private companies is a way to diminish accountability and to avoid getting the Agency's hands dirty. I also believe that the use of contractors leads to more brutal interrogations than if they were done by government employees.
There are surely areas where paying contractors makes practical and financial sense. Interrogations--a form of collecting intelligence--is not one of them. This has become a major diplomatic issue, a key obstacle in prosecuting people like Abu Zubaydah and Khalid Shaykh Mohammed, and a national black eye. It is not the sort of thing to be done at arm's length.
The fourth and final provision in this legislation requires that the CIA and other intelligence agencies provide notification to the International Committee of the Red Cross--the ICRC--of their detainees. Following notification, the CIA will be required to provide ICRC officials with access to their detainees in the same way that the military does.
Access by the ICRC is a hallmark of international law and is required by the Geneva Conventions. Access to a third party, and the ICRC in particular, was seen by the U.S. in 1947 as a guarantee that American men and women would be protected if they were ever captured overseas.
But ICRC access has been denied at CIA black sites, just like it had been in some military-run facilities in the war on terror. This has, in part, opened the door to the abuses in detainee treatment. Independent access prevents abuses like we witnessed at Abu Ghraib and Guantanamo Bay. It is time that the same protection is in place for the CIA as has been demanded of the Department of Defense.
We remain a nation at war, and credible, actionable intelligence remains a cornerstone of our war effort. But this is a war that will be won by fighting smarter, not by sinking to the depths of our enemies.
Our Nation has paid an enormous price because of these interrogations.
They cast shadow and doubt over our ideals and our system of justice.
Our enemies have used our practices to recruit more extremists.
Our key global partnerships, crucial to winning the war on terror, have been strained.
It will take time to resume our place as the world's beacon of liberty and justice. This bill will put us on that path and start the process. I urge its passage.
Mr. President, I ask unanimous consent that the text of the bill be printed in the Record.
Mr. President, today I introduce the Clinical Social Workers' Recognition Act to correct a continuing problem in the Federal Employees Compensation Act. This bill will also provide clinical social…
Mr. President, today I introduce the Clinical Social Workers' Recognition Act to correct a continuing problem in the Federal Employees Compensation Act. This bill will also provide clinical social workers the recognition they deserve as independent providers of quality mental health care services.
Clinical social workers are authorized to independently diagnose and treat mental illnesses through public and private health insurance plans across the nation. However, Title V of the United States Code, does not permit the use of mental health evaluations conducted by clinical social workers for use as evidence in determining workers' compensation claims brought by Federal employees. The bill I am introducing corrects this problem.
It is a sad irony that Federal employees may select a clinical social worker through their health plans to provide mental health services, but may not go to this same professional for workers' compensation evaluations. The failure to recognize the validity of evaluations provided by clinical social workers unnecessarily limits Federal employees' selection of a provider to conduct the workers' compensation mental health evaluations. Lack of this recognition may well impose an undue burden on federal employees where clinical social workers are the only available providers of mental health care.
Mr. President, I ask unanimous consent that the text of the bill be printed in the Record.
Mr. President, today, I am, again, introducing the United States Military Cancer Institute Research Collaborative Act. This legislation, twice passed by the Senate yet unsuccessful in the House, would formally establish the United States Military Cancer Institute, USMCI, and support the collaborative augmentation of research efforts in cancer epidemiology, prevention and control. Although the USMCI already exists as an informal collaborative effort, this bill will formally establish the institution with a mission of providing for the maintenance of health in the military by enhancing cancer research and treatment, and studying the epidemiological causes of cancer among various ethnic groups. By formally establishing the USMCI, it will be in a better position to unite military research efforts with other cancer research centers.
Cancer prevention, early detection, and treatment are significant issues for the military population, thus the USMCI was organized to coordinate the existing military cancer assets. The USMCI has a comprehensive database of its beneficiary population of 9 million people. The military's nationwide tumor registry, the Automated Central Tumor Registry, has acquired more than 180,000 cases in the last 14 years, and a serum repository of 30 million specimens from military personnel collected sequentially since 1987. This population is predominantly Caucasian, African-American, and Hispanic.
The USMCI currently resides in the Washington, D.C., area, and its components are located at the National Naval Medical Center, the Malcolm Grow Medical Center, the Armed Forces Institute of Pathology, and the Armed Forces Radiobiology Research Institute. There are more than 70 research workers, both active duty and Department of Defense civilian scientists, working in the USMCI.
The Director of the USMCI, Dr. John Potter, intends to expand research activities to military medical centers across the nation. Special emphasis will be placed on the study of genetic and environmental factors in carcinogenesis among the entire population, including Asian, Caucasian, African-American and Hispanic subpopulations.
Mr. President, I ask unanimous consent that the text of the bill be printed in the Record.
Mr. President, today I am reintroducing the Native Hawaiian Medicaid Coverage Act. This legislation would authorize a Federal Medicaid Assistance Percent, FMAP, of 100 percent for the payment of health care costs of Native Hawaiians who receive health care from Federally Qualified Health Centers or the Native Hawaiian Health Care System.
This bill is modeled on the Native Alaskan Health Care Act, which provides for a Federal Medicaid Assistance Percent of 100 percent for payment of health care costs for Native Alaskans by the Indian Health Service, an Indian tribe, or a tribal organization.
Community health centers serve as the ``safety net'' for uninsured and medically underserved Native Hawaiians and other United States citizens, providing comprehensive primary and preventive health services to the entire community. Outpatient services offered to the entire family include comprehensive primary care, preventive health maintenance, and education outreach in the local community. Community health centers, with their multidisciplinary approach, offer cost effective integration of health promotion and wellness with chronic disease management and primary care focused on serving vulnerable populations.
Mr. President, I ask unanimous consent that the text of the bill be printed in the Record.
Mr. President, today I am, again, introducing the Nursing School Clinics Act. This measure builds on our concerted efforts to provide access to quality health care for all Americans by offering grants and incentives for nursing schools to establish primary care clinics in underserved areas where additional medical services are most needed. In addition, this measure provides the opportunity for nursing schools to enhance the scope of student training and education by providing firsthand clinical experience in primary care facilities.
Primary care clinics administered by nursing schools are university of nonprofit primary care centers developed mainly in collaboration with university schools of nursing and the communities they serve. These centers are staffed by faculty and staff who are nurse practitioners and public health nurses. Students supplement patient care while receiving preceptorships provided by college of nursing faculty and primary care physicians, often associated with academic institutions, who serve as collaborators with nurse practitioners. To date, the comprehensive models of care provided by nursing clinics have yielded excellent results, including significantly fewer emergency room visits, fewer hospital inpatient days, and less use of specialists, as compared to conventional primary health care.
The bill reinforces the principle of combining health care delivery in underserved areas with the education of advanced practice nurses. To accomplish these objectives, Title XIX of the Social Security Act would be amended to designate that the services provided in these nursing school clinics are reimbursable under Medicaid. The combination of grants and the provision of Medicaid reimbursement furnishes the financial incentives for clinic operators to establish the clinics.
In order to meet the increasing challenges of bringing cost-effective and quality health care to all Americans, we must consider a wide range of proposals, both large and small. Most importantly, we must approach the issue of health care with creativity and determination, ensuring that all reasonable avenues are pursued. Nurses have always been an integral part of health care delivery. The Nursing School Clinics Act recognizes the central role nurses can perform as care givers to the medically underserved.
Mr. President, I ask unanimous consent that the text of the bill be printed in the Record.
Mr. President, today I am, again, reintroducing the Registered Nurse Safe Staffing Act. For over four decades I have been a committed supporter of nurses and the delivery of safe patient care. While enforceable regulations will help to ensure patient safety, the complexity and variability of today's hospitals require that staffing patters be determined at the hospital and unit level, with the professional input of registered nurses. More than a decade of research demonstrates that nurse staff levels and the skill mix of nursing staff directly affect the clinical outcomes of hospitalized patients. Studies show that when there are more registered nurses, there are lower mortality rates, shorter lengths of stay, reduced costs, and fewer complications.
A study published in the Journal of the American Medical Association found that the risks of patient mortality rose by 7 percent for every additional patient added to the average nurse's workload. In the midst of a nursing shortage and increasing financial pressures, hospitals often find it difficult to maintain adequate staffing.
While nursing research indicates that adequate registered nurse staffing is vital to the health and safety of patients, there is no standardized public reporting mechanism, nor enforcement of adequate staffing plans. The only regulations addressing nursing staff exists vaguely in Medicare Conditions of Participation which states: ``The nursing service must have an adequate number of licensed registered nurses, licensed practice, vocational, nurses, and other personnel to provide nursing care to all patients as needed''.
This bill will require Medicare Participating Hospitals to develop and maintain reliable and valid systems to determine sufficient registered nurse staffing. Given the demands that the healthcare industry faces today, it is our responsibility to ensure that patients have access to adequate nursing care. However, we must ensure that the decisions by which care is provided are made by the clinical experts, the registered nurses caring for these patients. Support of this bill supports our Nation's nurses during a critical shortage, but more importantly, works to ensure the safety of their patients.
Mr. President. I ask unanimous consent that the text of the bill be printed in the Record.
Mr. President, today I am, again, introducing legislation to amend title XVIII of the Social Security Act to correct discrepancies in the reimbursement of clinical social workers covered through Medicare, Part B. These three proposed changes contained in this legislation clarify the current payment process for clinical social workers and establish a reimbursement methodology for the profession that is similar to other health care professionals reimbursed through the Medicare program.
First, this legislation sets payment for clinical social worker services according to a fee schedule established by the Secretary. Second, it explicitly states that services and supplies furnished by a clinical social worker are a covered Medicare expense, just as these services are covered for other mental health professionals in Medicare. Third, the bill allows clinical social workers to be reimbursed for services provided to a client who is hospitalized.
Clinical social workers are valued members of our health care provider network. They are legally regulated in every state of the nation and are recognized as independent providers of mental health care throughout the health care system. It is time to correct the disparate reimbursement treatment of this profession under Medicare.
Mr. President, I ask unanimous consent that the text of the bill be printed in the Record.
Mr. President, today I again introduce legislation to authorize the autonomous functioning of clinical psychologists and clinical social workers within the Medicare comprehensive outpatient rehabilitation facility program.
In my judgment, it is unfortunate that Medicare requires clinical supervision of the services provided by certain health professionals and does not
allow them to function to the full extent of their State practice licenses. Those who need the services of outpatient rehabilitation facilities should have access to a wide range of social and behavioral science expertise. Clinical psychologists and clinical social workers are recognized as independent providers of mental health care services under the Federal Employee Health Benefits Program, the TRICARE Military Health Program of the Uniformed Services, the Medicare (Part B) Program, and numerous private insurance plans. This legislation will ensure that these qualified professionals achieve the same recognition under the Medicare comprehensive outpatient rehabilitation facility program.
Mr. President, I ask unanimous consent that the text of the bill be printed in the Record.
Mr. President, today, I am reintroducing legislation to amend Title VII of the Public Health Service Act to establish a psychology post-doctoral program. Psychologists have made a unique contribution in reaching out to the Nation's medically underserved populations. Expertise in behavioral science is useful in addressing grave concerns such as violence, addiction, mental illness, adolescent and child behavioral disorders, and family disruption. Establishment of a psychology post-doctoral program could be an effective way to find solutions to these issues.
Similar programs supporting additional, specialized training in traditionally underserved settings have been successful in retaining participants to serve the same populations. For example, mental health professionals who have participated in these specialized federally funded programs have tended not only to meet their repayment obligations, but have continued to work in the public sector or with the underserved.
While a doctorate in psychology provides broad-based knowledge and mastery in a wide variety of clinical skills, specialized post-doctoral fellowship programs help to develop particular diagnostic and treatment skills required to respond effectively to underserved populations. For example, what appears to be poor academic motivation in a child recently relocated from Southeast Asia might actually reflect a cultural value of reserve rather than a disinterest in academic learning. Specialized assessment skills enable the clinician to initiate effective treatment.
Domestic violence poses a significant public health problem and is not just a problem for the criminal justice system. Violence against women results in thousands of hospitalizations a year. Rates of child and spouse abuse in rural areas are particularly high, as are the rates of alcohol abuse and depression in adolescents. A post-doctoral fellowship program in the psychology of the rural populations could be of special benefit in addressing these problems.
Given the demonstrated success and effectiveness of specialized training programs, it is incumbent upon us to encourage participation in post-doctoral fellowships that respond to the needs of the Nation's underserved.
Mr. President, I ask unanimous consent that the text of the bill be printed in the Record.
Mr. Presdient, foreign registered ships now carry 97 percent of the imports and exports moving in United States international trade. These foreign vessels are held to lower standards than United States registered ships, and are virtually untaxed. Their costs of operation are, therefore, lower than United States ship operating costs, which explains their 97 percent market share.
Three years ago, in order to help level the playing field for United States-flag ships that compete in international trade, Congress enacted, under the American Jobs Creation Act
of 2004, Public Law 108-357, Subchapter R, a ``tonnage tax'' that is based on the tonnage of a vessel, rather than taxing international income at a 35 percent corporate income tax rate. However, during the House and Senate conference, language was included, which states that a United States vessel cannot use the tonnage tax on international income if that vessel also operates in United States domestic commerce for more than 30 days per year.
This 30-day limitation dramatically limits the availability of the tonnage tax for those United States ships that operate in both domestic and international trade and, accordingly, severely hinders their competitiveness in foreign commerce. It is important to recognize that ships operating in United States domestic trade already have significant cost disadvantages. Specifically, (1) they are built in higher priced United States shipyards; (2) do not receive Maritime Security Payments, even when operated in international trade; and (3) are owned by United States-based American corporations. The inability of these domestic operators to use the tonnage tax for their international service is a further, unnecessary burden on their competitive position in foreign commerce.
When windows of opportunity present themselves in international trade, American tax policy and maritime policy should facilitate the participation of these American-built ships. Instead, the 30-day limit makes them ineligible to use the tonnage tax, and further handicaps American vessels when competing for international cargo. Denying the tonnage tax to coastwise qualified ships further stymies the operation of American built ships in international commerce, and further exacerbates America's 97 percent reliance on foreign ships to carry its international cargo.
These concerns were of sufficient importance that in December 2006 Congress repealed the 30-day limit on domestic trading but only for approximately 50 ships operating in the Great Lakes. These ships primarily operate in domestic trade on the Great Lakes, but also carry cargo between the United States and Canada in international trade (Section 415 of P.L. 109-432, the Tax Relief and Health Care Act of 2006.)
The identifiable universe of remaining ships other than the Great Lakes ships that operate in domestic trade, but that may also operate temporarily in international trade, totals 13 United States flag vessels. These 13 ships normally operate in domestic trades that involve Washington, Oregon, California, Hawaii, Alaska, Florida, Mississippi, and Louisiana. In the interest of providing equity to the United States corporations that own and operate these 13 vessels, my bill would repeal the tonnage tax 30-day limit on domestic operations and enable these vessels to utilize the tonnage tax on their international income--so they receive the same treatment as other United States flag international operators. I stress that, under my bill, these ships will continue to pay the normal 35 percent United States corporate tax rate on their domestic income.
Repeal of the tonnage tax's 30-day limit on domestic operations is a necessary step toward providing tax equity between United States flag and foreign flag vessels. I strongly urge the tax committees of the Congress to give this legislation their expedited consideration and approval.
Mr. President, I ask unanimous consent that the text of the bill be printed in the Record.
Mr. President, today, I, again, introduce the Medicaid Advanced Practice Nurse and Physician Assistants Access Act of 2009. This legislation would change the Federal law to expand fee-for-service Medicaid to include direct payment for services provided by all nurse practitioners, clinical nurse specialists, and physician assistants. It would ensure all nurse practitioners, certified nurse midwives, and physician assistants are recognized as primary care case managers, and require Medicaid panels to include advanced practice nurses on their managed care panels.
Advanced practice nurses are registered nurses who have attained additional expertise in the clinical management of health conditions. Typically, an advanced practice nurse holds a master's degree with didactic and clinical preparation beyond that of the registered nurse. They are employed in clinics, hospitals, and private practices. While there are many titles given to these advanced practice
nurses, such as pediatric nurse practitioners, family nurse practitioners, certified nurse midwives, certified registered nurse anesthetists, and clinical nurse specialists, our current Medicaid law has not kept up with the multiple specialties and titles of these advanced practitioners, nor has it recognized the critical role physician assistants play in the delivery of primary care.
I have been a long-time advocate of advanced practice nurses and their ability to extend health care services to our most rural and underserved communities. They have improved access to health care in Hawaii and throughout the United States by their willingness to practice in what some providers might see as undesirable locations-- extremely rural, frontier, or urban areas. This legislation ensures they are recognized and reimbursed for providing the necessary health care services patients need, and it gives those patients the choice of selecting advanced practice nurses and physician assistants as their primary care providers.
Mr. President, I ask unanimous consent that the text of the bill be printed in the Record.
Mr. President, almost 14 years ago, I stood before you to introduce a bill ``to provide an opportunity for the Pottawatomi Nation in Canada to have the merits of their claims against the United States determined by the United States Court of Federal Claims.''
That bill was introduced as Senate Resolution 223, which referred the Pottawatomi's claim to the Chief Judge of the U.S. Court of Federal Claims and required the Chief Judge to report back to the Senate and provide sufficient findings of fact and conclusions of law to enable the Congress to determine whether the claim of the Pottawatomi Nation in Canada is legal or equitable in nature, and the amount of damages, if any, which may be legally or equitably due from the United States.
Nine years ago, the Chief Judge of the Court of Federal Claims reported back that the Pottawatomi Nation in Canada has a legitimate and credible legal claim. By settlement stipulation, the United States has taken the position that it would be ``fair, just and equitable'' to settle the claims of the Pottawatomi Nation in Canada for the sum of $1,830,000. This settlement amount was reached by the parties after 7 years of extensive, fact-intensive litigation. Independently, the Court of Federal Claims concluded that the settlement amount is ``not a gratuity'' and that the ``settlement was predicated on a credible legal claim.'' Pottawatomi Nation in Canada, et al. v. United States, Cong. Ref. 94-1037X at 28 (Ct. Fed. Cl., September 15, 2000) (Report of Hearing Officer).
The bill I introduce today is to authorize the payment of those funds that the United States has concluded would be ``fair, just and equitable'' to satisfy this legal claim from amounts appropriated under section 1304 of title 31 of the United States Code. If enacted, this bill will finally achieve a measure of justice for a tribal nation that has for far too long been denied.
For the information of our colleagues, this is the historical background that informs the underlying legal claim of the Canadian Pottawatomi.
The members of the Pottawatomi Nation in Canada are one of the descendant groups--successors-in-interest--of the historical Pottawatomi Nation and their claim originates in the latter part of the 18th century. The historical Pottawatomi Nation was aboriginal to the United States. They occupied and possessed a vast expanse in what is now the States of Ohio, Michigan, Indiana, Illinois, and Wisconsin. From 1795 to 1833, the United States annexed most of the traditional land of the Pottawatomi Nation through a series of treaties of cession--many of these cessions were made under extreme duress and the threat of military action. In exchange, the Pottawatomis were repeatedly made promises that the remainder of their lands would be secure and, in addition, that the United States would pay certain annuities to the Pottawatomi.
In 1829, the United States formally adopted a Federal policy of removal--an effort to remove all Indian tribes from their traditional lands east of the Mississippi River to the west. As part of that effort, the government increasingly pressured the Pottawatomis to cede the remainder of their traditional lands--some 5 million acres in and around the city of Chicago and remove themselves west. For years, the Pottawatomis steadfastly refused to cede the remainder of their tribal territory. Then in 1833, the United States, pressed by settlers seeking more land, sent a Treaty Commission to the Pottawatomi with orders to extract a cession of the remaining lands. The Treaty Commissioners spent 2 weeks using extraordinarily coercive tactics--including threats of war--in an attempt to get the Pottawatomis to agree to cede their territory. Finally, those Pottawatomis who were present relented and on September 26, 1933, they ceded their remaining tribal estate through what would be known as the Treaty of Chicago. Seventy-seven members of the Pottawatomi Nation signed the Treaty of Chicago. Members of the ``Wisconsin Band'' were not present and did not assent to the cession.
In exchange for their land, the Treaty of Chicago provided that the United States would give to the Pottawatomis 5 million acres of comparable land in what is now Missouri. The Pottawatomi were familiar with the Missouri land, aware that it was similar to their homeland. But the Senate refused to ratify that negotiated agreement and unilaterally switched the land to 5 million acres in Iowa. The Treaty Commissioners were sent back to acquire Pottawatomi assent to the Iowa land. All but seven of the original 77 signatories refused to accept the change even with promises that if they were dissatisfied ``justice would be done.'' Treaty of Chicago, as amended, Article 4. Nevertheless, the Treaty of Chicago was ratified as amended by the
Senate in 1834. Subsequently, the Pottawatomis sent a delegation to evaluate the land in Iowa. The delegation reported back that the land was ``not fit for snakes to live on.''
While some Pottawatomis removed westward, many of the Pottawatomis-- particularly the Wisconsin Band, whose leaders never agreed to the Treaty--refused to do so. By 1836, the United States began to forcefully remove Pottawatomis who remained in the east--with devastating consequences. As is true with many other American Indian tribes, the forced removal westward came at great human cost. Many of the Pottawatomi were forcefully removed by mercenaries who were paid on a per capita basis government contract. Over one-half of the Indians removed by these means died en route. Those who reached Iowa were almost immediately removed further to inhospitable parts of Kansas against their will and without their consent.
Knowing of these conditions, many of the Pottawatomis including most of those in the Wisconsin Band vigorously resisted forced removal. To avoid Federal troops and mercenaries, much of the Wisconsin Band ultimately found it necessary to flee to Canada. They were often pursued to the border by government troops, government-paid mercenaries or both. Official files of the Canadian and United States governments disclose that many Pottawatomis were forced to leave their homes without their horses or any of their possessions other than the clothes on their backs.
By the late 1830s, the government refused payment of annuities to any Pottawatomi groups that had not removed west. In the 1860s, members of the Wisconsin Band--those still in their traditional territory and those forced to flee to Canada--petitioned Congress for the payment of their treaty annuities promised under the Treaty of Chicago and all other cession treaties. By the Act of June 25, 1864 (13 Stat. 172) the Congress declared that the Wisconsin Band did not forfeit their annuities by not removing and directed that the share of the Pottawatomi Indians who had refused to relocate to the west should be retained for their use in the United States Treasury. (H.R. Rep. No. 470, 64th Cong., p. 5, as quoted on page 3 of memo dated October 7, 1949). Nevertheless, much of the money was never paid to the Wisconsin Band.
In 1903, the Wisconsin Band--most of whom now resided in three areas, the States of Michigan and Wisconsin and the Province of Ontario-- petitioned the Senate once again to pay them their fair portion of annuities as required by the law and treaties. (Sen. Doc. No. 185, 57th Cong., 2d Sess.) By the Act of June 21, 1906 (34 Stat. 380), the Congress directed the Secretary of the Interior to investigate claims made by the Wisconsin Band and establish a roll of the Wisconsin Band Pottawatomis that still remained in the East. In addition, the Congress ordered the Secretary to determine ``the Wisconsin Bands proportionate shares of the annuities, trust funds, and other monies paid to or expended for the tribe to which they belong in which the claimant Indians have not shared, and the amount of such monies retained in the Treasury of the United States to the credit of the claimant Indians as directed the provision of the Act of June 25, 1864.''
In order to carry out the 1906 Act, the Secretary of the Interior directed Dr. W.M. Wooster to conduct an enumeration of Wisconsin Band Pottawatomi in both the United States and Canada. Dr. Wooster documented 2007 Wisconsin Pottawatomis: 457 in Wisconsin and Michigan and 1550 in Canada. He also concluded that the proportionate share of annuities for the Pottawatomis in Wisconsin and Michigan was $477,339 and that the proportionate share of annuities due the Pottawatomi Nation in Canada was $1,517,226. The Congress thereafter enacted a series of appropriation Acts from June 30, 1913 to May 29, 1928 to satisfy most of the monies owed to those Wisconsin Band Pottawatomis residing in the United States. However, the Wisconsin Band Pottawatomis who resided in Canada were never paid their share of the tribal funds.
Since that time, the Pottawatomi Nation in Canada has diligently and continuously sought to enforce their treaty rights, although until this congressional reference, they had never been provided their day in court. In 1910, the United States and Great Britain entered into an agreement for the purpose of dealing with claims between both countries, including claims of Indian tribes within their respective jurisdictions, by creating the Pecuniary Claims Tribunal. From 1910 to 1938, the Pottawatomi Nation in Canada diligently sought to have their claim heard in this international forum. Overlooked for more pressing international matters of the period, including the intervention of World War I, the Pottawatomis then came to the U.S. Congress for redress of their claim.
In 1946, the Congress waived its sovereign immunity and established the Indian Claims Commission for the purpose of granting tribes their long-delayed day in court. The Indian Claims Commission Act, ICCA, granted the Commission jurisdiction over claims such as the type involved here. In 1948, the Wisconsin Band Pottawatomis from both sides of the border--brought suit together in the Indian Claims Commission for recovery of damages. Hannahville Indian Community v. U.S., No. 28 (Ind. Cl. Comm. Filed May 4, 1948). Unfortunately, the Indian Claims Commission dismissed Pottawatomi Nation in Canada's part of the claim ruling that the Commission had no jurisdiction to consider claims of Indians living outside territorial limits of the United States. Hannahville Indian Community v. U.S., 115 Ct. Cl. 823 (1950). The claim of the Wisconsin Band residing in the United States that was filed in the Indian Claims Commission was finally decided in favor of the Wisconsin Band by the U.S. Claims Court in 1983. Hannahville Indian Community v. United States, 4 Ct. Cl. 445 (1983). The Court of Claims concluded that the Wisconsin Band was owed a member's proportionate share of unpaid annuities from 1838 through 1907 due under various treaties, including the Treaty of Chicago and entered judgment for the American Wisconsin Band Pottawatomis for any monies not paid. Still the Pottawatomi Nation in Canada was excluded because of the jurisdictional limits of the ICCA.
Undaunted, the Pottawatomi Nation in Canada came to the Senate and after careful consideration, we finally gave them their long-awaited day in court through the congressional reference process. The court has now reported back to us that their claim is meritorious and that the payment that this bill would make constitutes a ``fair, just and equitable'' resolution to this claim.
The Pottawatomi Nation in Canada has sought justice for over 150 years. They have done all that we asked in order to establish their claim. Now it is time for us to finally live up to the promise our government made so many years ago. It will not correct all the wrongs of the past, but it is a demonstration that this government is willing to admit when it has left unfulfilled an obligation and that the United States is willing to do what we can to see that justice--so long delayed is not now denied.
Finally, I would just note that the claim of the Pottawatomi Nation in Canada is supported through specific resolutions by the National Congress of American Indians, the oldest, largest and most- representative tribal organization here in the United States, the Assembly of First Nations, which includes all recognized tribal entities in Canada, and each and every of the Pottawatomi tribal groups that remain in the United States today.
Mr. President, I ask unanimous consent that the text of the bill be printed in the Record.
Mr. President, today I am reintroducing a bill which is of great importance to a group of patriotic Americans. This legislation is designed to extend space-available travel privileges on military aircraft to those who have been totally disabled in the service of our country.
Currently, retired members of the Armed Services are permitted to travel on a space-available basis on non-scheduled military flights within the continental United States, and on scheduled overseas flights operated by the Military Airlift Command. My bill would provide the same benefits for veterans with 100 percent service-connected disabilities.
We owe these heroic men and women who have given so much to our country a debt of gratitude. Of course, we can never repay them for the sacrifices they have made on behalf of our Nation, but we can surely try to make their lives more pleasant and fulfilling. One way in which we can help is to extend military travel privileges to these distinguished American veterans. I have received numerous letters from all over the country attesting to the importance attached to this issue by veterans. Therefore, I ask that my colleagues show their concern and join me in saying ``thank you'' by supporting this legislation.
Mr. President, I ask unanimous consent that the text of the bill be printed in the Record.
Mr. President, today I am reintroducing legislation to enable those former prisoners of war who have been separated honorably from their respective services and who have been rated as having a 30 percent service-connected disability to have the use of both the military commissary and post exchange privileges. While I realize it is impossible to adequately compensate one who has endured long periods of incarceration at the hands of our Nation's enemies, I do feel this gesture is both meaningful and important to those concerned because it serves as a reminder that our Nation has not forgotten their sacrifices.
Mr. President, I ask unanimous consent that the text of the bill be printed in the Record.
Mr. President, I am reintroducing legislation today that would direct the Secretary of the Army to determine whether certain nationals of the Philippine Islands performed military service on behalf of the United States during World War II.
Our Filipino veterans fought side by side with Americans and sacrificed their lives on behalf of the United States. This legislation would confirm the validity of their claims and further allow qualified individuals the opportunity to apply for military and veterans benefits that, I believe, they are entitled to. As this population becomes older, it is important for our nation to extend its firm commitment to the Filipino veterans and their families who participated in making us the great Nation that we are today.
Mr. President, I ask unanimous consent that the text of the bill be printed in the Record.
Mr. President, I rise to speak in support of the Commission on Wartime Relocation and Internment of Latin Americans of Japanese Descent Act.
The story of U.S. citizens taken from their homes on the west coast and confined in camps is a story that was made known after a fact- finding study by a Commission that Congress authorized in 1980. That study was followed by a formal apology by President Reagan and a bill for reparations. Far less known, and indeed, I myself did not initially know, is the story of Latin Americans of Japanese descent taken from their homes in Latin America, stripped of their passports, brought to the U.S., and interned in American camps.
This is a story about the U.S. government's act of reaching its arm across international borders, into a community that did not pose an immediate threat to our Nation, in order to use them, devoid of passports or any other proof of citizenship, for exchange with Americans with Japan. Between the years 1941 and 1945, our Government, with the help of Latin American officials, arbitrarily arrested persons of Japanese descent from streets, homes, and workplaces. Approximately 2,300 undocumented persons were brought to camp sites in the U.S., where they were held under armed watch, and then held in reserve for prisoner exchange. Those used in an exchange were sent to Japan, a foreign country that many had never set foot on since their ancestors' immigration to Latin America.
Despite their involuntary arrival, Latin American internees of Japanese descent were considered by the Immigration and Naturalization Service as illegal entrants. By the end of the war, some Japanese Latin Americans had been sent to Japan. Those who were not used in a prisoner exchange were cast out into a new and English-speaking country, and subject to deportation proceedings. Some returned to Latin America. Others remained in the U.S., because their country of origin in Latin America refused their re-entry, because they were unable to present a passport.
When I first learned of the wartime experiences of Japanese Latin Americans, it seemed unbelievable, but indeed, it happened. It is a part of our national history, and it is a part of the living histories of the many families whose lives are forever tied to internment camps in our country.
The outline of this story was sketched out in a book published by the Commission on Wartime Relocation and Internment of Civilians formed in 1980. This Commission had set out to learn about Japanese Americans. Towards the close of their investigations, the Commissioners stumbled upon this extraordinary effort by the U.S. government to relocate, intern, and deport Japanese persons formerly living in Latin America. Because this finding surfaced late in its study, the Commission was unable to fully uncover the facts, but found them significant enough to include in its published study, urging a deeper investigation.
I rise today to introduce the Commission on Wartime Relocation and Internment of Latin Americans of Japanese Descent Act, which would establish a fact-finding Commission to extend the study of the 1980 Commission. This Commission's task would be to determine facts surrounding the U.S. government's actions in regards to Japanese Latin Americans subject to a program of relocation, internment, and deportation. I believe that examining this extraordinary program would give finality to, and complete the account of Federal actions to detain and intern civilians of Japanese ancestry.
Mr. President, I ask unanimous consent that the text of the bill be printed in the Record.
Mr. President, in our effort to accommodate many Americans by making Memorial Day the last Monday in May, we have lost sight of the significance of this day to our Nation. My bill would restore Memorial Day to May 30 and authorize our flag to fly at half mast on that day. In addition, this legislation would authorize the President to issue a proclamation
designating Memorial Day and Veterans Day as days for prayer and ceremonies. This legislation would help restore the recognition our veterans deserve for the sacrifices they have made on behalf of our Nation.
Mr. President, I ask unanimous consent that the text of the bill be printed in the Record.
Mr. President, I rise to introduce a bill to reauthorize Title VIII of the Native American Housing Assistance and Self- Determination Act. Senator Akaka joins me in sponsoring this measure. Title VIII provides authority for the appropriation of funds for the construction of low-income housing for native Hawaiians and further provides authority for access to loan guarantees associated with the construction of housing to serve native Hawaiians.
Three studies have documented the acute housing needs of native Hawaiians--which include the highest rates of overcrowding and homelessness in the State of Hawaii. Those same studies indicate that inadequate housing rates for Native Hawaiians are amongst the highest in the Nation.
The reauthorization of Title VIII will support the continuation of efforts to assure that the native people of Hawaii may one day have access to housing opportunities that are comparable to those now enjoyed by other Americans.
Mr. President, I would ask unanimous consent that the text of the bill be printed in the Record.
Mr. President, I rise today, again, to introduce a bill to reauthorize the Native Hawaiian Health Care Improvement Act. Senator Akaka joins me in sponsoring this measure.
The Native Hawaiian Health Care Improvement Act was enacted into law in 1988, and has been reauthorized several times throughout the years.
The Act provides authority for a range of programs and services designed to improve the health care status of the native people of Hawaii.
With the enactment of the Native Hawaiian Health Care Improvement Act and the establishment of native Hawaiian health care systems on most of the islands that make up the State of Hawaii, we have witnessed significant improvements in the health status of native Hawaiians, but as the findings of unmet needs and health disparities set forth in this bill make clear, we still have a long way to go.
For instance, native Hawaiians have the highest cancer mortality rates in the State of Hawaii--rates that are 22 percent higher than the rate for the total State male population and 64 percent higher than the rate for the total State female population. Nationally, native Hawaiians have the third highest mortality rate as a result of breast cancer.
With respect to diabetes, in 2004 native Hawaiians had the highest mortality rate associated with diabetes in the State--a rate which is 119 percent higher than the statewide rate for all racial groups.
When it comes to heart disease, the mortality rate of native Hawaiians associated with heart disease is 86 percent higher than the rate for the entire State and the mortality rate for hypertension is 46 percent higher than that for the entire State.
These statistics on the health status of native Hawaiians are but a small part of the long list of date that makes clear that our objective of assuring that the native people of Hawaii attain some parity of good health comparable to that of the larger U.S. population has not yet been achieved.
Mr. President, I ask unanimous consent that the text of the bill be printed in the Record.
Mr. President, the legislation I have reintroduced will extend to qualified teaching hospital support organizations the existing debt-financed safe harbor rule. Congress enacted that rule to support the public service activities of tax-exempt schools, universities, pension funds, and consortia of such institutions. Our teaching hospitals require similar support.
As a result, for-profit hospitals are moving from older areas to affluent locations where residents can afford to pay for treatment. These private hospitals typically have no mandate for community service. In contrast, nonprofit hospitals must fulfill a community service requirement. They must stretch their resources to provide increased charitable care, update their facilities, and maintain skilled staffing resulting in closures of nonprofit hospitals due to this financial strain.
The problem is particularly severe for teaching hospitals. Non-profit hospitals provide nearly all the postgraduate medical education in the United States. Post-graduate medical instruction is by nature not profitable. Instruction in the treatment of mental disorders and trauma is especially costly.
Despite their financial problem the Nation's nonprofit hospitals strive to deliver a very high level of service. A study in the December 2006 issue of Archives of International Medicine had surveyed hospitals' quality of care in four areas of treatment. It found that nonprofit hospitals consistently outperformed for-profit hospitals. It also found that teaching hospitals had a higher level of performance in treatment and diagnosis. It said that investment in technology and staffing leads to better care. And it recommended that alternative payments and sources of payments be considered to finance these improvements.
The success and financial constraints of nonprofit teaching hospitals is evident in work of the Queen's Health Systems in my State. This 147- year-old organization maintains the largest, private, nonprofit hospital in Hawaii. It serves as the primary clinical teaching facility for the University of Hawaii's medical residency programs in medicine, general surgery, orthopedic surgery, obstetrics-gynecology, pathology, and psychiatry. It conducts educational and training programs for nurses and allied health personnel. It operates the only trauma unit as well as the chief behavioral health program in the State. It maintains clinics throughout Hawaii, health programs for native Hawaiians, and a small hospital on a rural, economically depressed island. Its medical reference library is the largest in the State. Not the least, it annually provides millions of dollars in uncompensated health services. To help pay for these community benefits, the Queen's Health Systems, as other nonprofit teaching hospitals, relies significantly on income from its endowment.
In the past, the Congress has allowed tax-exempt schools, colleges, universities, and pension funds to invest their endowment in real estate so as to better meet their financial needs. Under the tax code these organizations can incur debt for real estate investments without triggering the tax on unrelated business activities.
If the Queen's Health Systems were part of a university, it could borrow without incurring an unrelated business income tax. Not being part of a university, however, a teaching hospital and its support organization run into the tax code's debt financing prohibition. Nonprofit teaching hospitals have the same if not more pressing needs as universities, schools, and pension trusts. The same safe harbor rule should be extended to teaching hospitals.
My bill would allow the support organizations for qualified teaching hospitals to engage in limited borrowing to enhance their endowment income. The proposal for teaching hospitals is actually more restricted than current law for schools, universities and pension trusts. Under safeguards developed by the Joint Committee on Taxation staff, a support organization for a teaching hospital can not buy and develop land on a commercial basis. The proposal is tied directly to the organization endowment. The staff's revenue
estimates show that the provision with its general application will help a number of teaching hospitals.
The U.S. Senate several times has acted favorably on this proposal. The Senate adopted a similar provision in H.R. 1836, the Economic Growth and Tax Relief Act of 2001. The House conferees on that bill, however, objected that the provision was unrelated to the bill's focus on individual tax relief and the conference deleted the provision from the final legislation. Subsequently, the Finance Committee included the provision in H.R. 7, the CARE Act of 2002, and in S. 476, the CARE Act of 2003 which the Senate passed. In a previous Congress' S. 6, the Marriage, Opportunity, Relief, and Empowerment Act of 2005, which the Senate leadership introduced, also included the proposal.
As the Senate Finance Committee's recent hearings show, substantial health needs would go unmet if not for our charitable hospitals. It is time for the Congress to assist the Nation's teaching hospitals in their charitable, educational service.
Mr. President, I ask unanimous consent that the text of the bill by printed in the Record.
Mr. President, I rise today, again, to introduce the Rural Preventive Health Care Training Act, a bill that responds to the dire need of our rural communities for quality health care and disease prevention programs. Almost one fourth of Americans live in rural areas and frequently lack access to adequate physical and mental health care. As many as 21 million of the 3 million people living in underserved rural areas are without access to a primary care provider. Even in areas where providers do exist, there are numerous limits to access, such as geography, distance, lack of transportation, and lack of knowledge about available resources. Due to the diversity of rural populations, language and cultural obstacles are often a factor in the access to medical care.
Compound these problems with limited financial resources, and the result is that many Americans living in rural communities go without vital health care, especially preventive care. Children fail to receive immunizations and routine checkups. Preventable illnesses and injuries occur needlessly, and lead to expensive hospitalizations. Early symptoms of emotional problems and substance abuse go undetected, and often develop into full-blown disorders.
An Institute of Medicine, IOM, report entitled, ``Reducing Risks for Mental Disorders: Frontiers for Preventive Intervention Research,'' highlights the benefits of preventive care for all health problems. The training of health care providers in prevention is crucial in order to meet the demand for care in underserved areas. Currently, rural health care providers lack preventive care training opportunities.
Interdisciplinary preventive training of rural health care providers must be encouraged. Through such training, rural health care providers can build a strong educational foundation from the behavioral, biological, and psychological sciences. Interdisciplinary team prevention training will also facilitate operations at sites with both health and mental health clinics by facilitating routine consultation between groups. Emphasizing the mental health disciplines and their services as part of the health care team will contribute to the overall health of rural communities.
The Rural Preventive Health Care Training Act would implement the risk-reduction model described in the IOM study. This model is based on the identification of risk factors and targets specific interventions for those risk factors. The human suffering caused by poor health is immeasurable, and places a huge financial burden on communities, families, and individuals. By implementing preventive measures to reduce this suffering, the potential psychological and financial savings are enormous.
Mr. President, I ask unanimous consent that the text of the bill be printed in the Record.
Mr. President, I rise, again, today to reintroduce legislation to amend the Public Health Service Act for the establishment of a National Center for Social Work Research. Social workers provide a multitude of health care delivery services throughout America to our children, families, the elderly, and persons suffering from various forms of abuse and neglect. The purpose of this center is to support and disseminate information about the basic and clinical social work research and training, with emphasis on service to underserved and rural populations.
While the Federal Government provides funding for various social work research activities through the National Institutes of Health and other Federal agencies, there presently is no coordination or direction of these critical activities and no overall assessment of needs and opportunities for empirical knowledge development. The establishment of a Center for Social Work Research would result in improved behavioral and mental health care outcomes for our Nation's children, families, the elderly, and others.
In order to meet the increasing challenges of bringing cost- effective, research-based quality health care to all Americans, we must recognize the important contributions of social work researchers to health care delivery and central role that the Center for Social Work can provide in facilitating their work.
Mr. President, I ask unanimous consent that the text of the bill be printed in the Record.
Mr. President, I am pleased to be joined by Senator Ensign in introducing the Abolishing Aviation Barriers Act of 2009. This bill would remove the arbitrary restrictions that prevent Americans from…
Mr. President, I am pleased to be joined by Senator Ensign in introducing the Abolishing Aviation Barriers Act of 2009. This bill would remove the arbitrary restrictions that prevent Americans from having an array of options for non-stop air travel between airports in Western states and LaGuardia International Airport and Ronald Reagan Washington National Airport.
LaGuardia restricts the departure or arrival of non-stop flights to or from airports that are farther then 1,500 miles from LaGuardia. Washington National has a similar restriction for non-stop flights to or from airports 1,250 miles from Washington National. These restrictions are commonly referred to as the ``perimeter rule.'' This bill would abolish these archaic limitations that reduce consumers' options for convenient flights and competitive fares.
The original purpose of the perimeter rule was to promote LaGuardia and Washington National as airports for business travelers flying to and from East Coast and Midwest cities and to promote traffic to other airports by diverting long haul flights to Newark and Kennedy airports in the New York area and the Dulles airport in the Washington area. However, over the years, Congress has granted numerous exceptions to the perimeter rule because the air traveling public is eager for options. Today, exceptions are made for nonstop flights between LaGuardia and Denver and between Washington National and Denver, Las Vegas, Los Angeles, Phoenix, Salt Lake City and Seattle. Rather then continuing to take a piecemeal approach to promoting consumer choice, I urge Congress to take this opportunity once and for all to do away with this outdated rule.
I continue to believe that Americans should have access to air travel at the lowest possible cost and with the most convenience for their schedule. Therefore, I have always advocated for the removal of any artificial barrier that prevents free market competition. In 2004, I co-sponsored legislation to repeal the Wright Amendment which prohibited flights from Dallas' Love Field airport to 43 states. This year, I am proud to once again join with my colleagues to eliminate another unnecessary restraint through the Abolishing Aviation Barriers Act of 2009.
A 1999 study by the Transportation Research Board, the most recent available, stated that perimeter rules ``no longer serve their original purpose and have produced too many adverse side effects, including barriers to competition . . . The rules arbitrarily prevent some airlines from extending their networks to these airports; they discourage competition among the airports in the region and among the airlines that use these airports; and they are subject to chronic attempts by special interest groups to obtain exemptions.'' That same year, the Government Accountability Office, GAO, stated that the
``practical effect'' of the perimeter rule ``has been to limit entry'' of other carriers and found that airfares at LaGuardia and Washington National are approximately 50 percent higher on average than fares at similar airports unconstrained by the perimeter rule. Such an anticompetitive rule should not remain in effect, particularly where its anticompetitive impact has long been recognized.
For this reason, I will continue the struggle to try to remove the perimeter rule and other anti-competitive restrictions that increase consumer costs and decrease convenience for no apparent benefit.
Mr. President, today I introduce the Economic Growth Through Innovation Act of 2009. This bill would make permanent the current research and development tax credit. Otherwise, this tax credit will expire on December 31, 2009.
A permanent credit would provide an incentive to innovate, and remove uncertainty now hanging over businesses as they make research and development investment decisions for 2010 and beyond. The research and development tax credit was first established in 1981 and has been extended and revised repeatedly since then. Failure to make the tax credit permanent has led to reduced investment in research, which has led to fewer jobs being created in the United States. Tax policies have a powerful influence on business investment and hiring decisions, and that is why I have chosen to introduce this bill on the first day of the 111th Congress. Additionally, both President-elect Obama and I were in full agreement during the campaign that making permanent the research and development tax credit is critical to spurring investment in developing technologies.
In the 1980s, the U.S. was a leader among nations for providing the most generous tax treatment of research and development. By 2004, the most recent study, the United States had fallen to 17th, which explains why the U.S. is no longer considered by many to be the world leader in innovation and technology. A permanent, meaningful research and development tax credit will ensure that businesses keep funding research and development, which may lead to numerous new discoveries in the U.S. such as fuel-efficient vehicles, cancer treatment or the development of clean energy.
Studies have shown that on average, companies invest $94 in research and development for every $6 the Federal Government invests in the tax credit. While I understand that some economists have estimated this tax credit may cost many billions of dollars in tax revenue to the Federal government, I believe it is essential to spurring an economic recovery.
Companies of all sizes, in a wide range of industries, have taken advantage of the research and development tax credit during its existence. According to a recent study by Ernst & Young, 17,700 businesses claimed $6.6 billion research and development tax credits on their tax returns in 2005, the most recent year available. Almost a quarter of these businesses were small businesses with $1 million of assets or less, and almost half were businesses with assets of $1-$5 million, which is the lifeblood of the U.S. economy. Firms in the manufacturing, information and services sectors claimed the majority of the credit, and the states with the highest number of companies reporting research and development activity include those States that have been hit the hardest by the depressed economy such as Michigan, Pennsylvania and California.
Congress has endorsed the credit by extending it 13 times since enactment, and several times the credit has been reinstated retroactively. Yet, it has never been made permanent, creating a less certain investment atmosphere. With so many Republicans and Democrats in agreement that this tax credit must be made permanent, including President-elect Obama, I hope this bill will be given swift consideration and signed into law during the first few months of 2009 to increase our nation's ability to innovate, create jobs and improve our sagging economy.
Mr. President, today I am pleased to be joined by Senator Dorgan in introducing the Professional Boxing Amendments Act of 2009. This legislation is virtually identical to a measure reported by the Commerce Committee during the first executive session of the 110th Congress, after being approved unanimously by the Senate in 2005. Simply put, this bill would better protect professional boxing from the fraud, corruption, and ineffective regulation that have plagued the sport for far too many years, and that have devastated physically and financially many of our Nation's professional boxers. I remain committed to moving the Professional Boxing Amendments Act through the Senate and I trust that my colleagues will once again vote favorably on this important legislation.
Since 1996, Congress has made efforts to improve the sport of professional boxing--and for very good reason. With rare exception, professional boxers come from the lowest rung on our economic ladder. Often they are the least educated and most exploited athletes in our nation. The Professional Boxing Safety Act of 1996 and the Muhammad Ali Boxing Reform Act of 2000 established uniform health and safety standards for professional boxers, as well as basic protections for boxers against the sometimes coercive, exploitative, and unethical business practices of promoters, managers, and sanctioning organizations. But further action is needed.
The Professional Boxing Amendments Act would strengthen existing Federal boxing law by improving the basic health and safety standards for professional boxers, establishing a centralized medical registry to be used by local commissions to protect boxers, reducing the arbitrary practices of sanctioning organizations, and enhancing the uniformity and basic standards for professional boxing contracts. Most importantly, this legislation would establish a Federal regulatory entity to oversee professional boxing and set basic uniform standards for certain aspects of the sport.
Current law has improved to some extent the state of professional boxing. However, I remain concerned, as do many others, that the sport remains at risk. In 2003, the Government Accountability Office spent more than six months studying ten of the country's busiest state and tribal boxing commissions. Government auditors found that many State and tribal boxing commissions still do not comply with Federal boxing law, and that there is a troubling lack of enforcement by both Federal and State officials.
Ineffective and inconsistent oversight of professional boxing has contributed to the continuing scandals, controversies, unethical practices, and unnecessary deaths in the sport. These problems have led many in professional boxing to conclude that the only solution is an effective and accountable Federal boxing commission. The Professional Boxing Amendments Act would create such an entity.
Professional boxing remains the only major sport in the United States that does not have a strong, centralized association, league, or other regulatory body to establish and enforce uniform rules and practices. Because a powerful few benefit greatly from the current system of patchwork compliance and enforcement of Federal boxing law, a national self-regulating organization--though preferable to Federal government oversight is not a realistic option.
This bill would establish the United States Boxing Commission ``USBC'' or Commission. The Commission would be responsible for protecting the health, safety, and general interests of professional boxers. The USBC would also be responsible for ensuring uniformity, fairness, and integrity in professional boxing. More specifically, the Commission would administer Federal boxing law and coordinate with other Federal regulatory agencies to ensure that this law is enforced; oversee all professional boxing matches in the United States; and work with the boxing industry and local commissions to improve the safety, integrity, and professionalism of
professional boxing in the United States.
The USBC would also license boxers, promoters, managers, and sanctioning organizations. The Commission would have the authority to revoke such a license for violations of Federal boxing law, to stop unethical or illegal conduct, to protect the health and safety of a boxer, or if the revocation is otherwise in the public interest.
It is important to state clearly and plainly for the record that the purpose of the USBC is not to interfere with the daily operations of State and tribal boxing commissions. Instead, the Commission would work in consultation with local commissions, and it would only exercise its authority when reasonable grounds exist for such intervention. In point of fact, the Professional Boxing Amendments Act states explicitly that it would not prohibit any boxing commission from exercising any of its powers, duties, or functions with respect to the regulation or supervision of professional boxing to the extent not inconsistent with the provisions of Federal boxing law.
Let there be no doubt, however, of the very basic and pressing need in professional boxing for a Federal boxing commission. The establishment of the USBC would address that need. The problems that plague the sport of professional boxing undermine the credibility of the sport in the eyes of the public and--more importantly--compromise the safety of boxers. The Professional Boxing Amendments Act provides an effective approach to curbing these problems.
As this measure continues through the legislative process, I fully expect Congress will ensure that funding offsets are provided to it and every other spending measure as we work to restore fiscal discipline to Washington in a bipartisan manner. I urge my colleagues to support this legislation.
Mr. President, I am pleased to introduce legislation that would repeal section 10(f) of Public Law 93-531, commonly known as the ``Bennett Freeze.'' Passage of this legislation would officially mark the end of roughly 40 years of litigation and land-lock between the Navajo Nation and the Hopi Tribe.
For decades the Navajo and the Hopi have been engrossed in a bitter dispute over land rights in the Black Mesa area just south of Kayenta, Arizona. The conflict extends as far back as 1882 when the boundaries of the Hopi and Navajo reservations were initially defined resulting in a tragic saga of litigation and damaging federal Indian policy. By 1966, relations between the tribes became so strained over development and access to sacred religious sites in the disputed area that the federal government imposed a construction freeze on the disputed reservation land. The freeze prohibited any additional housing development in the Black Mesa area and restricted repairs on existing dwellings. This injunction became known as the ``Bennett Freeze,'' named after former BIA Commissioner Robert Bennett who imposed the ban.
The Bennett Freeze was intended to be a temporary measure to prevent one tribe taking advantage of another until the land dispute could be settled. Unfortunately, the conflict was nowhere near resolution, and the construction freeze ultimately devastated economic development in northern Arizona for years to come. By some accounts, nearly 8,000 people currently living in the Bennett Freeze area reside in conditions that haven't changed in half a century. While the population of the area has increased 65 percent, generations of families have been forced to live together in homes that have been declared unfit for human habitation by the United Nations and non-governmental organizations. Only 3 percent of the families affected by the Bennett Freeze have electricity. Only 10 percent have running water. Almost none have natural gas.
In September 2005, the Navajo and Hopi peoples' desire to live together in mutual respect prevailed when both tribes approved an intergovernmental agreement that resolved all outstanding litigation in the Bennett Freeze area. This landmark agreement also clarifies the boundaries of the Navajo and Hopi reservations in Arizona, and ensures that access to religious sites of both tribes in protected. As such, the Navajo Nation, the Hopi Tribe, and the Department of Interior all support congressional legislation to lift the freeze.
The bill I am introducing today would repeal the Bennett Freeze. The intergovernmental compact approved last year by both tribes, the Department of Interior, and signed by the U.S. District Court for Arizona, marks a new era in Navajo-Hopi relations. Lifting the Bennett Freeze gives us an opportunity to put decades of conflict between the Navajo and Hopi behind us.
Mr. President, I am pleased to be joined by my colleague, Senator Kyl, in reintroducing a bill to designate Fossil Creek as a Wild and Scenic River.
Fossil Creek is a thing of beauty. With its picturesque scenery, lush riparian ecosystem, unique geological features, and deep iridescent blue pools and waterfalls, this tributary to the Wild and Scenic Verde River and Lower Colorado River Watershed stretches 14 miles through east central Arizona. It is home to a wide variety of wildlife, some of which are threatened or endangered species. Over 100 bird species inhabit the Fossil Creek area and use it to migrate between the range lowlands and the Mogollon-Colorado Plateau highlands. Fossil Creek also supports a variety of aquatic species and is one of the few perennial streams in Arizona with multiple native fish.
Fossil Creek was named in the 1800s when early explorers described the fossil-like appearance of creek-side rocks and vegetation coated with calcium carbonate deposits from the creek's water. In the early 1900s, pioneers recognized the potential for hydroelectric power generation in the creek's constant and abundant spring fed base-flow. They claimed the channel's water rights and built a dam system and generating facilities known as the Childs-Irving hydro-project. Over time, the project was acquired by Arizona Public Service, APS, one of the state's largest electric utility providers serving more than a million Arizonans. Because Childs-Irving produced less then half of 1 percent of the total power generated by APS, the decision was made ultimately to decommission the aging dam and restore Fossil Creek to its pre-settlement conditions.
APS has partnered with various environmental groups, federal land managers, and state, tribal and local governments to safely remove the Childs-Irving power generating facilities and restore the riparian ecosystem. In 2005, APS removed the dam system and returned full flows to Fossil Creek. Researchers predict Fossil Creek will soon become a fully regenerated Southwest native fishery providing a most-valuable opportunity to reintroduce at least six threatened and endangered native fish species as well as rebuild the native populations presently living in the creek.
There is a growing need to provide additional protection and adequate staffing and management at Fossil Creek. Recreational visitation to the riverbed is expected to increase dramatically, and by the Forest Service's own admission, they aren't able to manage current levels of visitation or the pressures of increased use. While responsible recreation and other activities at Fossil Creek are to be encouraged, we must also ensure the long-term success of the ongoing restoration efforts. Designation under the Wild and Scenic Rivers Act would help to ensure the appropriate level of protection and resources are devoted to Fossil Creek. Already, Fossil Creek has been found eligible for Wild and Scenic designation by the Forest Service and the proposal has widespread support from surrounding communities. All of the lands potentially affected by a designation are owned and managed by the Forest Service and will not affect private
property owners. I fully expect that as this measure continues through the legislative process, Congress will ensure that funding offsets are provided to it and every other spending measure as we work to restore fiscal discipline to Washington in a bipartisan manner.
Fossil Creek is a unique Arizona treasure, and would benefit greatly from the protection and recognition offered through Wild and Scenic designation.
Mr. President, I am pleased to be joined by my colleagues Senator Thomas, Senator Kyl, and Senator Domenici in introducing a bill to amend the Indian Arts and Crafts Act. This legislation would improve Federal laws that protect the integrity and originality of Native American arts and crafts.
The Indian Arts and Crafts Act prohibits the misrepresentation in marketing of Indian arts and crafts products, and makes it illegal to display or sell works in a manner that falsely suggests it's the product of an individual Indian or Indian Tribe. Unfortunately, the law is written so that only the Federal Bureau of Investigation, FBI, acting on behalf of the Attorney General, can investigate and make arrests in cases of suspected Indian art counterfeiters. The bill we are introducing would amend the law to expand existing Federal investigative authority by authorizing other Federal investigative bodies, such as the BIA Office of Law Enforcement, in addition to the FBI, to investigate cases of misrepresentation of Indian arts and crafts. This bill is similar to provisions included in S. 1255, which passed the Senate last Congress but wasn't acted on by the House, and the Native American Omnibus Technical Corrections Act of 2007, S. 2087.
A major source of tribal and individual Indian income is derived from the sale of handmade Indian arts and crafts. Yet, millions of dollars are diverted each year from these original artists and Indian tribes by those who reproduce and sell counterfeit Indian goods. Few, if any, criminal prosecutions have been brought in Federal court for such violations. It is understandable that enforcing the criminal law under the Indian Arts and Crafts Act is often stalled by the other responsibilities of the FBI including investigating terrorism activity and violent crimes in Indian country. Therefore, expanding the investigative authority to include other Federal agencies is intended to promote the active investigation of alleged misconduct. It is my hope that this much needed change will deter those who choose to violate the law.
Mr. President, I am pleased to be joined by Senator Kyl in reintroducing legislation to authorize a special resources and land management study for lands adjacent to the Walnut Canyon National Monument in Arizona. The study is intended to evaluate a range of management options for public lands adjacent to the monument to ensure adequate protection of the canyon's cultural and natural resources. A similar bill was introduced last Congress and received a hearing in the Senate Energy and Natural Resources Committee's Subcommittee on National Parks. The bill being introduced today reflects suggested changes of that Subcommittee and includes language that met their approval. I am grateful for the input of the members of the Subcommittee and their staff.
For several years, local communities adjacent to the Walnut Canyon National Monument have debated whether the land surrounding the monument would be best protected from future development under management of the U.S. Forest Service or the National Park Service. The Coconino County Board and the Flagstaff City Council have passed resolutions concluding that the preferred method to determine what is best for the land surrounding Walnut Canyon National Monument is by having a Federal study conducted. The recommendations from such a study would help to resolve the question of future management and whether expanding the monument's boundaries could compliment current public and multiple-use needs.
The legislation also would direct the Secretary of the Interior and the Secretary of Agriculture to provide recommendations for management options for maintenance of the public uses and protection of resources of the study area. I fully expect that as this measure continues through the legislative process, Congress will ensure that funding offsets are provided to it and every other spending measure as we work to restore fiscal discipline to Washington in a bi-partisan manner.
This legislation would provide a mechanism for determining the management options for one of Arizona's high uses scenic areas and protect the natural and cultural resources of this incredibly beautiful monument. I urge my colleagues to support its passage.
Mr. President, I am pleased to be joined today by Senator Kyl in introducing the Arizona Trail Feasibility National Scenic Trail Act. This bill would designate the Arizona Trail as a National Scenic Trail.
The Arizona Trail is a beautifully diverse stretch of public lands, mountains, canyons, deserts, forests, historic sites, and communities. The Trail is approximately 807 miles long and begins at the Coronado National Memorial on the U.S.-Mexico border and ends in the Bureau of Land Management's Arizona Strip District on the Utah border near the Grand Canyon. In between these two points, the Trail winds through some of the most rugged, spectacular scenery in the Western United States. The corridor for the Arizona Trail encompasses the wide range of ecological diversity in the state, and incorporates a host of existing trails into one continuous trail. In fact, the Trail route is so topographically diverse that a person can hike from the Sonoran Desert to Alpine forests in one day.
For over a decade, more than 16 Federal, State, and local agencies, as well as community and business organizations, have partnered to create, develop, and manage the Arizona Trail. Through their combined efforts, these agencies and the members of the Arizona Trail Association have completed over 90 percent of the longest contiguous land-based trail in the State of Arizona. Designating the Arizona Trail as a National Scenic Trail would help streamline the management of the high-use trail to ensure that this pristine stretch of diverse land is preserved for future generations to enjoy.
Since 1968, when the National Trails System Act was established, Congress has designated over 20 national trails. Before a trail receives a national designation, a federal study is typically required to assess the feasibility of establishing a trail route. The Arizona Trail doesn't require a feasibility study because it's virtually complete with less than 60 miles left to build and sign. All but 1- percent of the trail resides on public land, and the unfinished segments don't involve private property. The trail meets the criteria to be labeled a National Scenic Trail and already appears on all Arizona state maps. Therefore, the Congress has reason to forego an unnecessary and costly feasibility study and proceed straight to National Scenic Trail designation.
The Arizona Trail is known throughout the State as boon to outdoor enthusiasts. The Arizona State Parks recently released data showing that two-thirds of Arizonans consider themselves trail users. Millions of visitors also use Arizona's trails each year. In one of the fastest- growing states in the United States, the designation of the Arizona Trail as a National Scenic Trail would ensure the preservation of a corridor of open space for hikers, mountain bicyclists, cross country skiers, snowshoers, eco-tourists, equestrians, and joggers.
I urge my colleagues to support the passage of this legislation.
Mr. President, I am proud to again be joining forces with my good friend and colleague from Wisconsin, Senator Feingold, to introduce a comprehensive earmark reform measure. We are also pleased to be joined by Senators McCaskill, Graham, and Coburn as cosponsors in this effort. The measure we are introducing today is designed to eliminate unauthorized earmarks and wasteful spending in appropriations bills and conference reports and help restore fiscal discipline to Washington. Specifically, this bill would allow any member to raise a point of order in an effort to extract objectionable unauthorized provisions. Additionally, it contains a requirement that all appropriations and authorization conference reports be electronically searchable at least 48 hours before full Senate consideration, and a requirement that the recipients of Federal dollars disclose any amounts that they spend on registered lobbyists. These are reasonable, responsible reform measures that deserve consideration by the full Senate.
Our current economic situation and our vital national security concerns require that now, more than ever, we prioritize our Federal spending. But our appropriations bills do not always put our national priorities first. The process is broken and it needs to be fixed. As we enter the second year of a recession, the economy is in shambles. Record numbers of homeowners face foreclosure, our financial markets have nearly collapsed, and the U.S. automobile manufacturers are near ruin. The national unemployment rate stands at 6.7 percent--the highest in 15 years--with over 1.9 million people having lost their jobs last year.
In the last year alone, due to the mortgage crisis, the Government has seized control of Fannie Mae and Freddie Mac. Congress passed a massive $700 billion rescue of the financial markets, and we've debated giving the big-three auto manufacturers tens of billions in taxpayer dollars--just as a ``short-term'' infusion of cash--knowing that they'd be back for more. Additionally, we're getting ready to consider an economic stimulus package which is estimated to cost as much as $850 billion to a trillion dollars. With all of this spending, we can no longer afford to waste even a single dime of taxpayer money.
It is abundantly clear that the time has come for us to eliminate the corrupt, wasteful practice of earmarking. We have made some progress on the issue in the past couple of years, but we have not gone far enough. Legislation we passed in 2007 provided for greater disclosure of earmarks. While that was a good step forward, the bottom line is that we don't simply need more disclosure of earmarks--we need to eliminate them.
As my colleagues are well aware, for years I have been coming to the Senate floor to read list after list of the ridiculous items we've spent money on--hoping enough embarrassment might spur some change. And year after year I would offer amendment after amendment to strip pork barrel projects from spending bills--usually only getting a handful of votes each time.
Finally, I was encouraged in January 2007 when this body passed, by a vote of 96-2, an ethics and lobbying reform package which contained real, meaningful earmark reform. I thought that, at last, we would finally enact some effective reforms. Unfortunately, that victory was short lived. In August 2007, we were presented with a bill containing very watered down earmark provisions. Not only did that bill, S. 1, do far too little to rein in wasteful spending--it completely gutted the earmark reform provisions we passed overwhelmingly the previous January.
Earmarks, Mr. President, are like a cancer. Left unchecked, they have grown out of control--increasing by nearly 400 percent since 1994. And just as cancer destroys tissue and vital organs, the corruption associated with the process of earmarking is destroying what is vital to our strength as a nation--that is the faith and trust of the American people in their elected representatives and in the institutions of their government.
Not long ago, in the House of Representatives, when another member questioned the necessity of one of his earmarked projects, a Congressman raged at the idea of someone challenging what he described as ``my
money, my money.'' Therein lies the problem, Mr. President. Too many Members of Congress view taxpayers, funds as their own. They feel free to spend it as they see fit, with no oversight and, often, no shame. Look at some of the things we've funded over the years: $225,000 for an Historic Wagon Museum in Utah, $1 million for a DNA study of bears in Montana, $200,000 for the Rock and Roll Hall of Fame in Ohio, $220,000 for blueberry research at the University of Maine, $3 million for an animal waste management research facility in Kentucky, $170,000 for blackbird management in Kansas, $196,000 for geese control in New York, $50,000 for feral hog control in Missouri, $90,000 for the National Cowgirl Museum and Hall of Fame in Fort Worth, Texas, $200,000 for an American White Pelican survey, $6 million for sugarcane growers in Hawaii, $13 million for a ewe lamb retention program, $500,000 to study flight attendant fatigue, $200,000 for a deer avoidance system in Pennsylvania and New York, $3 million for the production of a documentary about Alaska, $1 million for a waterless urinal initiative, $500,000 for a Teapot museum in North Carolina, $1.1 million to research the use of Alaskan salmon in baby food, $25 million for a fish hatchery in Montana, $37 million over four years to the Alaska Fisheries Marketing Board to ``promote and develop fishery products and research pertaining to American fisheries.'' So how exactly does this Board spend the money Congress so generously earmarks every year? Well, they spent $500,000 of it to paint a giant salmon on the side of an Alaska Airlines 747--and nicknamed it the ``Salmon Forty Salmon.''
Unfortunately, I could go on and on with examples of wasteful earmarks that have been approved by Congress. And we wonder why our approval rating stands at 20 percent.
The corruption which stems from the practice of earmarking has resulted in current and former Members of both the House and Senate either under investigation, under indictment, or in prison. Let's be clear--it wasn't inadequate lobbyist disclosure requirements which led Duke Cunningham to violate his oath of office and take $2.5 million in bribes in exchange for doling out $70-$80 million of the taxpayer's funds to a defense contractor. It was his ability to freely earmark taxpayer funds without question.
We cannot allow this to continue. Now is the time to put a stop to this corrupt practice. The bill we are introducing today seeks to reform the current system by empowering all Members with a tool to rid appropriations bills of unauthorized funds, pork barrel projects, and legislative policy riders and to provide greater public disclosure of the legislative process.
We, as Members, owe it to the American people to conduct ourselves in a way that reinforces, rather than diminishes, the public's faith and confidence in Congress. An informed citizenry is essential to a thriving democracy. A democratic government operates best in the disinfecting light of the public eye. By seriously addressing the corrupting influence of earmarks, we will allow Members to legislate with the imperative that our Government must be free from corrupting influences, both real and perceived. We must act now to ensure that the erosion we see today in the public's confidence in Congress does not become a collapse of confidence. We can, and we must, end the practice of earmarking.
Again, I thank my friend and colleague from Wisconsin for his strong leadership on this issue, and I encourage the Senate act quickly to approve this measure.
Mr. President, I rise today to introduce the Generics First Act. This legislation requires the Federal Government's Medicare Part D prescription drug program to use generic drugs whenever available,…
Mr. President, I rise today to introduce the Generics First Act. This legislation requires the Federal Government's Medicare Part D prescription drug program to use generic drugs whenever available, unless a brand-name drug is determined to be medically necessary by a physician. Modeled after similar provisions in many state-administered Medicaid programs, this measure would reduce the high costs of the new prescription drug program and keep seniors from reaching the current coverage gap, or ``donut hole,'' by guiding beneficiaries toward cost- saving generic drug alternatives.
We know that the cost of prescription drugs is prohibitive, placing a financial strain on seniors, families, and businesses that are struggling to pay their health care bills. According to the National Bureau of Economic Research, spending on prescription drugs totaled $227.5 billion in 2007. People need help now and we must respond by expanding access to generic drugs. Generics, which on average cost 60 percent less than their brand-name counterparts, are a big part of the solution to health care costs that are spiraling out of control.
Generic drugs that are approved by the FDA must meet the same rigorous standards for safety and effectiveness as brand-name drugs. In addition to being safe and effective, the generic must have the same active ingredient or ingredients, be the same strength, and have the same labeling for the approved uses as the brand-name drug. In other words, generics perform the same medicinal purposes as their respective brand-name product.
We know generic drugs have the potential to save seniors thousands of dollars and curb health spending for the Federal Government, employers, and families. Every year, more blockbuster drugs are coming off patent, setting up the potential for billions of dollars in savings. This legislation is just one part of a larger agenda I'm pushing to remove the obstacles that prevent generics from getting to market, and I urge my colleagues to support this legislation.
Mr. President, I ask unanimous consent that the text of the bill be printed in the Record.
Mr. President, I am introducing the Foreclosure Rescue Fraud Act of 2009 with my colleagues Senators Collins and Lincoln. This legislation, which we introduced last Congress, will make it more difficult for financial predators to take advantage of homeowners in foreclosure.
Foreclosure rescue scams are another consequence of the housing crisis that is plaguing the country. Foreclosure filings have been climbing across the country for the past two years and in Wisconsin, filings have risen 22 percent over the past year. Additionally, the Federal Reserve estimates that 2.5 million Americans will be facing foreclosure in 2009. As default rates and foreclosure filings have steadily increased, so have financial scams which prey on homeowners. The Better Business Bureau listed foreclosure rescue scams as one of the top ten financial scams in 2008.
For most people, their home is their greatest asset. When a homeowner falls behind in their payments, it can cause a great deal of emotional stress on the family. Scam artists prey on owner's desperation and give them a false sense of security, claiming they can help ``save their home.'' The types of scams vary, but the end result is that the homeowner is left in a more desperate situation than before.
The Foreclosure Rescue Fraud Act aims to prevent these cruel abuses by increasing disclosure and creating strict requirements for a person or entity offering foreclosure-rescue services. The legislation prohibits a ``foreclosure consultant'' from collecting any fee or compensation before completing contracted services, and from obtaining power of attorney from a homeowner. It also requires full disclosure of third-party consideration in the property and creates a 3-day right to cancel the foreclosure-rescue contract. Finally, the legislation creates a federal ``floor'' of protection and allows states without rescue-fraud laws to use these provisions as a way to help scam victims. The Foreclosure Rescue Fraud Act will make it easier for states and the Federal Government to combat these schemes and protect people who are already financially distressed from being made worse off.
The past year has exposed the irregularities and inadequacies of our banking regulations. As Congress continues to work on proposals to restore confidence in our financial industry, it is imperative that we put in place new rules and regulations that better protect consumers in order to avoid further economic strain.
Mr. President, I am introducing the Section 202 Supportive Housing for the Elderly Act of 2008 with my colleague Senator Charles Schumer for the purpose of expanding and improving the Department of Housing and Urban Development's Section 202 Supportive Housing for the Elderly Program. Section 202 provides capital grants to nonprofit community organizations for the development of supportive housing and provision of rental assistance exclusively for low-income seniors. This program supplies housing that includes access to supportive services to allow seniors to remain safely in their homes and age in place. Access to supportive services reduces the occurrence of costly nursing home stays and helps save both seniors and the Federal Government money.
There are over 300,000 seniors living in 6,000 Section 202 developments across the country. Unfortunately, the program is far from meeting the growing demand. Approximately 730,000 additional senior housing units will be needed by 2020 in order to address the future housing needs of low-income seniors. There are currently 10 seniors vying for each unit that becomes available, with many seniors waiting years before finding a home. To make matters worse, we are losing older Section 202 properties to developers of high-priced condominiums and apartments. As a result, many seniors currently participating in the program could end up homeless.
Congress needs to act now to address the demand for safe, affordable senior housing. Our legislation would promote the construction of new senior housing facilities as well as preserve and improve upon existing facilities. The legislation would also support the conversion of existing facilities into assisted living facilities that provide a wide variety of additional supportive health and social services. Under current law, these processes are time-consuming and bureaucratic, often requiring waivers and special permission from HUD. Finally, our legislation provides priority consideration for our homeless seniors seeking a place to call their own. With this bill, we hope to reduce current impediments and increase the availability of affordable and supportive housing for our Nations most vulnerable seniors.
I want to thank the American Association of Homes and Services for the Aging as well as the Wisconsin Association of Homes and Services for the Aging for being champions of this legislation and for working with us to develop a comprehensive bill that will help meet the growing need for senior housing in this Nation.
Senior citizens deserve to have housing that will help them maintain their independence. I urge that my colleagues will join Senator Schumer and me in our efforts to ensure that older Americans have a place to call home during their golden years.
Mr. President, I ask unanimous consent that the text of the bill be printed in the Record.
Mr. President, I rise today to introduce legislation essential to restoring competition to the nation's crucial freight railroad sector. Freight railroads are essential to shipping a myriad of vital goods, everything from coal used to generate electricity to grain used for basic foodstuffs. But for decades the freight railroads have been insulated from the normal rules of competition followed by almost all other parts of our economy by an outmoded and unwarranted antitrust exemption. So today I am introducing along with my colleagues, Senators Vitter, Leahy, Feingold, Schumer, Rockefeller, Dorgan and Klobuchar, the Railroad Antitrust Enforcement Act of 2009. This legislation will eliminate the obsolete antitrust exemptions that protect freight railroads from competition. This legislation is identical to the legislation that was reported out of the Judiciary Committee in the last Congress without dissent.
Our legislation will eliminate obsolete antitrust exemptions that protect
freight railroads from competition and result in higher prices to millions of consumers every day. Consolidation in the railroad industry in recent years has resulted in only four Class I railroads providing over 90 percent of the nation's freight rail transportation. The lack of competition was documented in an October 2006 Government Accountability Office report. That report found that shippers in many geographic areas ``may be paying excessive rates due to a lack of competition in these markets.'' These unjustified cost increases cause consumers to suffer higher electricity bills because a utility must pay for the high cost of transporting coal, result in higher prices for goods produced by manufacturers who rely on railroads to transport raw materials, and reduce earnings for American farmers who ship their products by rail and raise food prices paid by consumers.
The ill-effects of this consolidation are exemplified in the case of ``captive shippers''--industries served by only one railroad. Over the past several years, these captive shippers have faced spiking rail rates. They are the victims of the monopolistic practices and price gouging by the single railroad that serves them, price increases which they are forced to pass along into the price of their products, and ultimately, to consumers. And in many cases, the ordinary protections of antitrust law are unavailable to these captive shippers--instead, the railroads are protected by a series of outmoded exemptions from the normal rules of antitrust law to which all other industries must abide. In August 2006, the Attorneys General of 17 states and the District of Columbia sent a letter to Congress citing problems due to a lack of competition and asked that the antitrust exemptions be removed.
These unwarranted antitrust exemptions have put the American consumer at risk, and in Wisconsin, victims of a lack of railroad competition abound. A coalition has formed, consisting of about 40 affected organizations--Badger CURE. From Dairyland Power Cooperative in La Crosse to Wolf River Lumber in New London, companies in my state are feeling the crunch of years of railroad consolidation. To help offset a 93 percent increase in shipping rates in 2006, Dairyland Power Cooperative had to raise electricity rates by 20 percent. The reliability, efficiency, and affordability of freight rail have all declined, and Wisconsin consumers feel the pinch.
Similar stories exist across the country. We held a hearing at the Antitrust Subcommittee in September 2007 which detailed numerous instances of anti-competitive conduct by the dominant freight railroads and at which railroad shippers testified as to the need to repeal the outmoded and unwarranted antitrust exemptions which left them without remedies. Dozens of organizations, unions and trade groups--including the American Public Power Association, the American Chemistry Council, American Corn Growers Associations and many more affected by monopolistic railroad conduct endorsed the Railroad Antitrust Enforcement Act in the last Congress.
The current antitrust exemptions protect a wide range of railroad industry conduct from scrutiny by governmental antitrust enforcers. Railroad mergers and acquisitions are exempt from antitrust law and are reviewed solely by the Surface Transportation Board. Railroads that engage in collective ratemaking are also exempt from antitrust law. Railroads subject to the regulation of the Surface Transportation Board are also exempt from private antitrust lawsuits seeking the termination of anticompetitive practices via injunctive relief. Our bill will eliminate these exemptions.
No good reason exists for them. While railroad legislation in recent decades--including most notably the Staggers Rail Act of 1980-- deregulated much railroad rate setting from the oversight of the Surface Transportation Board, these obsolete antitrust exemptions remained in place, insulating a consolidating industry from obeying the rules of fair competition. And there is no reason to treat railroads any differently from dozens of other regulated industries in our economy that are fully subject to antitrust law--whether the telecommunications sector regulated by the FCC, or the aviation industry regulation by the Department of Transportation, to name just two examples.
Our bill will bring railroad mergers and acquisitions under the purview of the Clayton Act, allowing the Federal government, state attorneys general and private parties to file suit to enjoin anticompetitive mergers and acquisitions. It will restore the review of these mergers to the agencies where they belong--the Justice Department's Antitrust Division and the Federal Trade Commission. It will eliminate the exemption that prevents FTC's scrutiny of railroad common carriers. It will eliminate the antitrust exemption for railroad collective ratemaking. It will allow state attorneys general and other private parties to sue railroads for treble damages and injunctive relief for violations of the antitrust laws, including collusion that leads to excessive and unreasonable rates. This legislation will force railroads to play by the rules of free competition like all other businesses.
In sum, by clearing out this thicket of outmoded antitrust exemptions, railroads will be subject to the same laws as the rest of the economy. Government antitrust enforcers will finally have the tools to prevent anti-competitive transactions and practices by railroads. Likewise, private parties will be able to utilize the antitrust laws to deter anti-competitive conduct and to seek redress for their injuries.
It is time to put an end to the abusive practices of the Nation's freight railroads. On the Antitrust Subcommittee, we have seen that in industry after industry, vigorous application of our Nation's antitrust laws is the best way to eliminate barriers to competition, to end monopolistic behavior, to keep prices low and quality of service high. The railroad industry is no different. All those who rely on railroads to ship their products--whether it is an electric utility for its coal, a farmer to ship grain, or a factory to acquire its raw materials or ship out its finished product--deserve the full application of the antitrust laws to end the anti-competitive abuses all too prevalent in this industry today. I urge my colleagues support the Railroad Antitrust Enforcement Act of 2009.
Mr. President, I ask unanimous consent that the text of the bill be printed in the Record.
Mr. President, I rise today to introduce legislation essential to consumers receiving the best prices on every product from electronics to clothing to groceries. My bill, the Discount Pricing Consumer Protection Act, will restore the nearly century old rule that it is illegal under antitrust law for a manufacturer to set a minimum price below which a retailer cannot sell the manufacturer's product, a practice known as ``resale price maintenance'' or ``vertical price fixing''. In June 2007, overturning a 96-year-old precedent, a narrow 5-4 Supreme Court majority in the Leegin case incorrectly interpreted the Sherman Act to overturn this basic rule of the marketplace which has served consumers well for nearly a century. My bill--identical to legislation I introduced in 2007 (S. 2261 in the 110th Congress)--will correct this misinterpretation of antitrust law and restore the per se ban on vertical price fixing. Our bill has been endorsed by 34 state attorneys general as well as numerous antitrust experts, including former FTC Chairman Pitofsky and current FTC Commissioner Harbour.
The reasons for this legislation are compelling. Allowing manufacturers to set minimum retail prices will threaten the very existence of discounting and discount stores, and lead to higher prices for consumers. For nearly a century the rule against vertical price fixing permitted discounters to sell goods
at the most competitive price. Many credit this rule with the rise of today's low price, discount retail giants--stores like Target, Best Buy, Walmart, and the Internet sites Amazon and EBay, which offer consumers a wide array of highly desired products at discount prices.
From my own personal experience in business I know of the dangers of permitting vertical price fixing. My family started the Kohl's department stores in 1962, and I worked there for many years before we sold the stores in the 1980s. On several occasions, we lost lines of merchandise because we tried to sell at prices lower than what the manufacturer and our rival retailers wanted. For example, when we started Kohl's and were just a small competitor to the established retail giants, we had serious difficulties obtaining the leading brand name jeans. The traditional department stores demanded that the manufacturer not sell to us unless we would agree to maintain a certain minimum price. Because they didn't want to lose the business of their biggest customers, that jeans manufacturer acquiesced in the demands of the department stores--at least until our lawyers told them that they were violating the rule against vertical price fixing.
So I know firsthand the dangers to competition and discounting of permitting the practice of vertical price fixing. But we don't need to rely on my own experience. For nearly 40 years until 1975 when Congress passed the Consumer Goods Pricing Act, Federal law permitted States to enact so-called ``fair trade'' laws legalizing vertical price fixing. Studies Department of Justice conducted in the late 1960s indicated that prices were between 18-27 percent higher in the States that allowed vertical price fixing than the States that had not passed such ``fair trade'' laws, costing consumers at least $ 2.1 billion per year at that time.
Given the tremendous economic growth in the intervening decades, the likely harm to consumers if vertical price fixing were permitted is even grater today. In his dissenting opinion in the Leegin case, Justice Breyer estimated that if only 10 percent of manufacturers engaged in vertical price fixing, the volume of commerce affected today would be $ 300 billion, translating into retail bills that would average $ 750 to $ 1,000 higher for the average family of four every year.
And the experience of the last year and a half since the Leegin decision is beginning to confirm our fears regarding the dangers from permitting vertical price fixing. In December 2008, for example, Sony announced that it would implement a no-discount rule to retailer's selling some of its most in-demand products, including some models of high-end flat screen TVs and digital cameras. On December 4, 2008, the Wall Street Journal reported that a new business has materialized for companies that scour the Internet in search of retailers selling products at a bargain. When such bargain sellers are detected, the manufacturer is alerted so that they can demand the seller end the discounting of its product. The chilling effect on discounting of such tactics is clear--in one example, the Wall Street Journal reported that Circuit City was forced to raise its retail price for an LG flat screen TV by $ 170 to nearly $ 1,600 after its discount price was discovered on the Internet.
Defenders of the Leegin decision argue that today's giant retailers such as Walmart, Best Buy or Target can ``take care of themselves'' and have sufficient market power to fight manufacturer efforts to impose retail prices. Whatever the merits of that argument, I am particularly worried about the effect of this new rule permitting minimum vertical price fixing on the next generation of discount retailers. If new discount retailers can be prevented from selling products at a discount at the behest of an established retailer worried about the competition, we will imperil an essential element of retail competition so beneficial to consumers.
In overturning the per se ban on vertical price fixing, the Supreme Court in Leegin announced this practice should instead be evaluated under what is known as the ``rule of reason.'' Under the rule of reason, a business practice is illegal only if it imposes an ``unreasonable'' restraint on competition. The burden is on the party challenging the practice to prove in court that the anti-competitive effects of the practice outweigh its justifications. In the words of the Supreme Court, the party challenging the practice must establish the restraint's ``history, nature and effect.'' Whether the businesses involved possess market power ``is a further, significant consideration'' under the rule of reason.
In short, establishing that any specific example of vertical price fixing violates the rule of reason is an onerous and difficult burden for a plaintiff in an antitrust case. Parties complaining about vertical price fixing are likely to be small discount stores with limited resources to engage in lengthy and complicated antitrust litigation. These plaintiffs are unlikely to possess the facts necessary to make the extensive showing necessary to prove a case under the ``rule of reason.'' In the words of FTC Commissioner Pamela Jones Harbour, applying the rule of reason to vertical price fixing ``is a virtual euphemism for per se legality.''
In July 2007, our Antitrust Subcommittee conducted an extensive hearing into the Leegin decision and the likely effects of abolishing the ban on vertical price fixing. Both former FTC Chairman Robert Pitofsky and current FTC Commissioner Harbour strongly endorsed restoring the ban on vertical price fixing. Marcy Syms, CEO of the Syms discount clothing stores, did so as well, citing the likely dangers to the ability of discounters such as Syms to survive after abolition of the rule against vertical price fixing. Ms. Syms also stated that ``it would be very unlikely for her to bring an antitrust suit'' challenging vertical price fixing under the rule of reason because her company ``would not have the resources, knowledge or a strong enough position in the marketplace to make such action prudent.'' Our examination of this issue has produced compelling evidence for the continued necessity of a ban on vertical price fixing to protect discounting and low prices for consumers.
The Discount Pricing Consumer Protection Act will accomplish this goal. My legislation is quite simple and direct. It would simply add one sentence to Section 1 of the Sherman Act--the basic provision addressing combinations in restraint of trade--a statement that any agreement with a retailer, wholesaler or distributor setting a price below which a product or service cannot be sold violates the law. No balancing or protracted legal proceedings will be necessary. Should a manufacturer enter into such an agreement it will unquestionably violate antitrust law. The uncertainty and legal impediments to antitrust enforcement of vertical price fixing will be replaced by simple and clear legal rule--a legal rule that will promote low prices and discount competition to the benefit of consumers every day.
In the last few decades, millions of consumers have benefited from an explosion of retail competition from new large discounters in virtually every product, from clothing to electronics to groceries, in both ``big box'' stores and on the Internet. Our legislation will correct the Supreme Court's abrupt change to antitrust law, and will ensure that today's vibrant competitive retail marketplace and the savings gained by American consumers from discounting will not be jeopardized by the abolition of the ban on vertical price fixing. I urge my colleagues to support this bill.
Mr. President, I ask unanimous consent that the text of the bill be printed in the Record.
Mr. President, today I rise to introduce the Weekend Voting Act. This legislation will change the day for Congressional and Presidential elections from the first Tuesday in November to the first weekend in November. This legislation is nearly identical to legislation that I first proposed in 1997.
We have recently completed the most serious business of our democracy--a Presidential election in which millions and millions of citizens demonstrated an enormous amount of enthusiasm. We all want every eligible voter to participate and cast a vote. But recent experience has shown us that unneeded obstacles are placed preventing citizens from exercising their franchise. The debacle of defective ballots and voting methods in Florida in the 2000 election galvanized Congress into passing major election reform legislation. The Help America Vote Act, which was enacted into law in 2002, was an important step forward in establishing minimum standards for States in the administration of Federal elections and in providing funds to replace outdated voting systems and improve election administration. However, there is much that still needs to be done.
With more and more voters seeking to cast their ballots on Election Day, we need to build on the movement which already exists to make it easier for Americans to cast their ballots by providing alternatives to voting on just one election day. Twenty-eight States, including my own State of Wisconsin, now permit any registered voter to vote by absentee ballot. These states constitute nearly half of the voting age citizens of the United States. Thirty-one States permit in-person early voting at election offices or at other satellite locations. The State of Oregon now conducts statewide elections completely by mail. These innovations are critical if we are to conduct fair elections for it has become unreasonable to expect that a Nation of 300 million people can line up at the same time and cast their ballots at the same time. If we continue to try to do so, we will encounter even more reports of broken machines and long lines in the rain and registration errors that create barriers to voting.
That is why I have been a long-time advocate of moving our Federal election day from the first Tuesday after the first Monday in November to the first weekend in November. Holding our Federal elections on a weekend will create more opportunities for voters to cast their ballots and will help end the gridlock at the polling places which threaten to undermine our elections.
Under this bill, polls would be open nationwide for a uniform period of time from 10 a.m. Saturday eastern time to 6 p.m. Sunday eastern time. Polls in all time zones would in the 48 contiguous states also open and close at this time. Election officials would be permitted to close polls during the overnight hours if they determine it would be inefficient to keep them open. Because the polls would be open on both Saturday and Sunday, they also would not interfere with religious observances.
Keeping polls open the same hours across the continental United States, also addresses the challenge of keeping results on one side of the country, or even a state, from influencing voting in places where polls are still open. Moving elections to the weekend will expand the pool of buildings available for polling stations and people available to work at the polls, addressing the critical shortage of poll workers.
Most important, weekend voting has the potential to increase voter turnout by giving all voters ample opportunity to get to the polls without creating a national holiday. There is already evidence that holding elections on a non-working day can increase voter turnout. In one survey of 44 democracies, 29 held elections on holidays or weekends and in all these cases voter turnout surpassed our country's voter participation rates.
In 2001, the National Commission on Federal Election Reform recommended that we move our Federal election day to a national holiday, in particular Veterans Day. As expected, the proposal was not well received among veterans and I do not endorse such a move, but I share the Commission's goal of moving election day to a non-working day.
Since the mid 19th century, election day has been on the first Tuesday of November. Ironically, this date was selected because it was convenient for voters. Tuesdays were traditionally court day, and land owning voters were often coming to town anyway.
Just as the original selection of our national voting day was done for voter convenience, we must adapt to the changes in our society to make voting easier for the regular family. We have outgrown our Tuesday voting day tradition, a tradition better left behind to a bygone horse and buggy era. In today's America, 60 percent of all households have two working adults. Since most polls in the United States are open only 12 hours on a Tuesday, generally from 7 a.m. to 7 or 8 p.m., voters often have only one or two hours to vote. As we've seen in recent elections, long lines in many polling places have kept some voters waiting much longer than one or two hours. If voters have children, and are dropping them off at day care, or if they have a long work commute, there is just not enough time in a workday to vote.
With long lines and chaotic polling places becoming the unacceptable norm in many communities, we have an obligation to reform how our Nation votes. If we are to grant all Americans an equal opportunity to participate in the electoral process, and to elect our representatives in this great democracy, then we must be willing to reexamine all aspects of voting in America. Changing our election day to a weekend may seem like a change of great magnitude. Given the stakes--the integrity of future elections and full participation by as many Americans as possible--I hope my colleagues will recognize it as a commonsense proposal whose time has come.
Mr. President, I ask unanimous consent that the text of the bill be printed in the Record.
Mr. President, yesterday the administration's own Department of Health and Human Services health analysis warned Americans about the impact of this bill. According to the official scorekeepers at…
Mr. President, yesterday the administration's own Department of Health and Human Services health analysis warned Americans about the impact of this bill. According to the official scorekeepers at CMS, the Centers for Medicare and Medicaid Services, the Reid health care bill will actually not only increase our national health care costs by $234 billion over the next 10 years but will also reduce access and cut benefits for our seniors. This nonbiased report simply proves what we have been saying all along: You cannot reform a $2.4 trillion health care system simply by spending another $2.5 trillion of hard-earned taxpayer money. Despite all the rhetoric from the other side about this historic legislation, the only thing this bill accomplishes, after imposing $\1/2\ trillion in new taxes and $\1/ 2\ trillion in Medicare cuts, is to simply bend our Nation's health care cost curve up.
As a longtime supporter of the Medicare Advantage Program, I offered an amendment on the Senate floor to strip nearly $120 billion in cuts to the Medicare Advantage Program that provides comprehensive health benefits, including vision, dental, and reduced cost-sharing, to almost 11 million seniors.
Unfortunately, despite statements from the Congressional Budget Office that these cuts would result in reduced cuts for seniors enrolled in Medicare Advantage, Democrats in the Senate voted to keep the cuts in the package to finance more Federal spending--$500 billion in cuts in Medicare. Whom are they kidding? Medicare has $38 trillion in unfunded liabilities.
This report is another reminder of why it was a mistake to not adopt my amendment. The CMS Actuary found that the cuts to the Medicare Advantage Program in the Reid bill would not only result in ``less generous benefit packages'' for our seniors but, more important, it would decrease enrollment in Medicare Advantage plans by 33 percent.
Clearly, health care spending continues to grow too fast. This year will mark the largest ever 1-year jump in the health care share of our GDP. This jump is a full percentage point to 17.6 percent. You can think of this as a horse race between costs and resources to cover those costs. The sad reality is that costs win year after year.
Growing health care costs translate directly into higher coverage costs. Since the last decade, the cost of health coverage has increased by 120 percent, three times the growth of inflation and four times the growth of wages. Rising costs is the primary driver behind why we continue to see a rising number of uninsured in our country
and why increasing numbers of businesses find it hard to compete in a global market.
Without addressing this central problem, we cannot have a real and sustainable health care reform bill. So what does this $2.5 trillion tax-and-spend bill do to address health care costs? Absolutely nothing. According to the Congressional Budget Office, the premiums for Americans who buy insurance on their own will actually increase by 10 to 13 percent, while premiums for small and large groups will largely remain unchanged and continue to rise between 5 to 6 percent a year.
Furthermore, according to the CMS report, the new fees on prescription drugs, medical devices, such as wheelchairs and hearing aids, and health care plans will not only increase overall health care prices but also health insurance premiums for millions of Americans.
Let me make this point as clearly as I can. This bill does not address the underlying problem of slowing down the growth of health care costs. It simply spends hundreds of billions of dollars in new subsidies to buy out the cost of these increases for families making up to $80,000 a year. Instead of fixing the real problems, this bill simply tries to spend its way out of the problems. Does that sound new to you? This administration seems to think that just throwing money at things is going to help.
We have been hearing a lot recently about how Democrats are throwing the government-run plan out of their bill to quickly jam this bill through the Senate before Christmas. The American people need to be careful about believing this propaganda. The Democratic solution to the government plan is a Ponzi scheme that would embarrass even Bernie Madoff himself.
I have to be fair here. I have to rely on news reports to discuss these provisions. You heard me right--news reports. Why is that? Because no one knows what is actually in the bill they have sent to the CBO. Not even my friends on the Democratic side, by and large, know. The Reid bill was put together by very few Democrats with the White House in the back rooms of the Capitol. Nobody really knew what they were doing until they came out with it.
Once we all saw it, we all realized what a mess that is. They found themselves in trouble, so they have gone and done another bill and submitted it to CBO, and hardly anybody on the floor knows exactly what the features are in that bill. No one knows actually what is in the bill. And despite the continuous claims of transparency our friends on the other side are always talking about, the real bill continues to change on a daily basis behind the closed doors of the majority leader's office.
I am really glad to know that it is not just the Republicans who are in the dark about what is actually in this bill. Democratic Members of Congress in this body are also in the same boat. It is really unbelievable. We are being asked to move forward on legislation that will reform one-sixth of the American economy and impact every American life and business without knowing what is actually in the bill. We have to rely on news reports. I have never seen anything like this in my 33 years of Senate service.
One proposal that has come to the floor in recent days is the idea of expanding Medicare to include coverage for Americans 55 and over. Currently, we all know Medicare is for Americans 65 and over. It is a bankrupt program. It is well intentioned, it does a lot of good, but it is bankrupt. It is a program that can barely pay for the benefits of the 40 million seniors in it today. Medicare is on a path to fiscal meltdown, with Part A facing bankruptcy by 2017. I don't think anybody denies that. It underpays doctors by 20 percent and hospitals by 30 percent compared to the private sector, forcing an increasing number of providers to simply stop seeing our Nation's seniors.
According to the June 2008 MedPAC report, 9 out of 10 Medicare beneficiaries have to get additional benefits beyond their Medicare coverage.
What is Washington's solution to address this problem and crisis? Take up to $500 billion out of this bankrupt program and at the same time push millions of Americans into it. Does that sound logical to you?
The CMS report states in clear terms that the Medicare cuts in this bill could jeopardize our seniors' access to care. The cuts would result in nearly 20 percent of all Part A providers, such as hospitals and nursing homes, operating in the red within the next 10 years as a result of these cuts. Twenty percent--that is a pretty big number.
It should come as no surprise that this proposal faces strong opposition from a wide variety of provider groups, from doctors and hospitals that are already under tremendous financial pressure due to underpayments from Medicare.
Keep in mind, the AMA here in Washington has backed this monstrosity. Now some people think that AMA represents all the doctors. It does not. The average doctor out there is incensed about this. Adding more lives to this insolvent Medicare Program will only further limit their ability to see all Medicare patients, not just the new ones.
Even more troubling is the impact of this expansion on the premiums of our Medicare seniors from this ill-conceived policy. This expansion would encourage an influx of sick Americans in private coverage into Medicare, which will simply raise premiums for seniors already enrolled in Medicare. So seniors, expect your cost of Medicare to go up.
So why are Democrats pushing this idea? Congressman Anthony Weiner said it best. I think he was very honest; very upfront. He said this:
Extending this successful program to those between 55 and
64, a plan I proposed in July, would be the largest expansion
of Medicare in 44 years and would perhaps get us on the path
to a single-payer model.
Well, the Democratic endgame on health care reform is crystal clear: Make as many Americans as possible dependent on the Federal Government programs. Democrats believe by making millions of Americans dependent on big government programs, on the backs of their grandchildren's future, they are taking a huge leap toward creating a permanent majority for themselves. Why, it would be a natural constituency for them.
Well, let me tell you this--America is built on the spirit of self- reliance, not government handouts. Poll after poll, especially the CNN poll, has said 61 percent of Americans are now opposed to the bill, and study after study is warning us this is the wrong solution for our Nation. This unknown bill, which continues to change by the day behind closed doors, is a direct violation of the President's own pledge to only support a reform that would reduce costs, protect benefits, and not raise taxes.
I sincerely hope the Democrats will step away from their arrogance of power and listen to the will of the American people. It is not too late for us to push the reset button and work on health care reform in a truly bipartisan manner. We are eager and willing, as we have been all year, to work on a responsible solution that every American can be proud of. There are all kinds of things we could agree on, that Republicans would work hand in glove with Democrats to solve, if they were willing to do it.
But keep in mind the HELP Committee bill was totally Democratic. Not one Republican was asked to help write it. The House bill, totally Democratic. Not one Republican was asked to help write it. I admit my friend, the Senator from Montana, Max Baucus, worked hard to try to get a bipartisan bill. But in the end, he did not have enough flexibility to reach a deal. All of a sudden, he finds his bill being put together--between the House bill and the HELP Committee bill--behind closed doors, with very few people involved--all Democrats and the White House and probably two or three or four or five from the Senate but no more than that.
Throughout this debate, I have heard a lot of rhetoric from the other side of the aisle how Republicans are opposed to this $2.5 trillion tax-and-spend bill because, as the Democrats incorrectly suggest, we want the status quo. Oh, give me a break. We all know this is completely false. We on this side of the aisle have asked the Democrats over and over again to step back and write a new bill with us. But they are so consumed with their arrogance of power that they simply want to push what they have always wanted; that is, more government and more government controls over all our lives. America is a
free nation, the greatest Nation in the history of mankind. What makes us great is not our reliance on the Federal Government but our individual resolve and strength. Americans want the Federal Government to help them, not support them.
Well, let me tell you the other side of this. In a recent Gallup Poll, Independents around this country opposed this bill 53 to 37. These are Independents. So it would be wise for my Democratic friends to realize America is not behind them; not behind this bill. It is time for them to listen to what the majority of Americans want and that is not this bill.
I cannot tell you the kind of opposition I have seen in my State to this bill. It is almost unprecedented. I read it in the letters, hear it in the calls. At airports and grocery store aisles and on the streets people stop me and say: Don't let that thing pass.
Absolute power corrupts, and that is what we are seeing in Washington today. Democrats control the White House, the House, they have a filibuster-proof Senate and they have used this absolute power to rubberstamp this administration's big-government agenda and have tripled our deficit within 1 year--1 year. We will run deficits of at least $1 trillion a year for the foreseeable future, while our national debt will triple. We are literally mortgaging the future of this country to foreign countries as we speak. Enough is enough. Let us step back and start over on a plan we can all be proud of and all work on.
We hear a lot about how the Republicans are simply standing for big and evil insurance companies and how the Democrats are the defenders of American families. Well, these days, nowhere is this Democratic hypocrisy more clear than the individual, mandated policy that is part of this tax-and-spend legislation.
Let's be very clear about who would benefit the most from this provision, which would, for the first time in our Nation's history, give the Federal Government the power to force Americans to either buy health insurance or face a tax penalty enforced by our friends at the Internal Revenue Service. There are only two clear winners under this policy, and it is not the American families. First, it is the Federal Government, that will now use this authority as a blank checkbook to increase the penalty in the future as a new revenue stream for its out- of-control spending habits; and, second, are the insurance companies, that will now reap the benefits of having Americans being forced to buy coverage at the decree of the Federal Government.
Right now, States are responsible for determining policies that best meet their unique demographic needs and challenges. Massachusetts, for example, has decided to implement an individual mandate, while Utah has decided not to. Under this bill, we are explicitly taking away this State flexibility and authority to give the Federal Government the authority to make this one-size-fits-all decision for all 50 States and every American. This is an unprecedented grab of State power by Washington--a fundamental threat to the very Federalist vision our Founding Fathers used more than 200 years ago to create the greatest Nation in the history of the world, in the history of mankind.
I am gravely concerned about the precedent this policy will set for us as a nation going forward. If the Federal Government can force us to buy health insurance, what else can it force us to do? The possibilities are endless, just like my concerns, which I share with millions of Americans, on Washington's growing role in our private lives and personal decisions. Think about it. Washington has become an unwanted houseguest in our homes and lives who will not leave. If it does not start listening to the families, it will get kicked out, sooner rather than later. Think about it.
A couple of our friends have even said: Well, it is similar to car insurance. The States require you to buy insurance for your car, and it is in the best interest of the community that you do so. Well, the reason they do is because you want to drive. It is an activity you want to participate in, and so they get away with it. Here, if they have an individual mandate, they are forcing you to buy policies that are defined by Washington. If you don't, you are going to be penalized.
This has never happened before in our lives. If they can get away with this, I have to tell you, they can get away with anything. The liberties of all Americans are going to be affected by it. This is not an activity. This is not something we choose to do necessarily. If we choose to do it on our own, that is great. But to have the government come in and say you have to buy this policy--for the first time in history--you have to do this, even though you don't want to buy it, is unprecedented.
Well, let me say, I think it is fair to see I am not very enthused about the health care ideas of our colleagues. But I do wish to end on a positive note. There are some good things we can all do, some of which are in the bill. It is not totally bad. It is only about 90 percent bad, but there is at least 10 percent we could build on; that we could work together on.
I am not just saying that. Look, I have been around here a long time. I can name all kinds of bills I have worked on with some of the most liberal people in the whole Congress to pass. Hatch-Waxman is a perfect illustration. That created the modern generic drug industry. Henry Waxman is as liberal as it gets but he was willing to face up to these realities with me, and we did Hatch-Waxman. I call it Waxman-Hatch when I am around him.
I might add the orphan drug bill. We found there were only maybe two or three orphan drugs being developed. These are drugs to benefit population groups of less than 200,000. Well, it is clear the drug companies can't afford to do it for 200,000 people because it costs upward of $1 billion. Biological drugs cost even more than that, and they are not truly drugs. But the fact is, they cost even more than that. We came up with some very small incentives--but they were incentives with prestige--and some tax breaks and all of a sudden it was about a $14 million or $15 million bill, as I recall, in the early 1980s, when I was chairman of the Labor and Human Resources Committee. Today, we have well over 300 orphan drugs being developed, many of which have been developed, and from some of them blockbuster drugs have evolved.
Let's take the CHIP bill. That was the Hatch-Kennedy bill. Ted Kennedy, very liberal. He would have preferred to have the Federal Government do it all--just like our colleagues do today with this enormous number of 60 votes on their side--but he was willing to work with me. I went to him and said: Look, I had two families from Provo, UT, come to visit me--husbands and wives. In each family's case, both the husband and the wife work. Neither family's combined joint income is over $20,000 a year. At that time, it was too much to have their kids qualify for Medicaid and too little for them to be able to buy health insurance. I said: The only kids left out of the health care equation are children of the working poor. Teddy, we have to do something about that. He saw it, and he said yes.
He wasn't happy with the bill, in the end, because it was exactly what I told him it would be. It would basically be block-grants to states, where the States would handle it in accordance with their own demographics. It has worked amazingly well, until now. They are shoving more and more people into CHIP, other than the children of the working poor whom we originally decided to help.
Well, I could go on and on and on, on so many pieces of legislation, but I will just mention those few. I am very concerned because I actually believe that if we get what they are talking about on the other side, it will not only bankrupt the country, it will make more and more people dependent upon the Federal Government. Like I say, a natural constituency for the Democratic Party, but it is a matter of great concern to me.
Are our colleagues bad people? No. They simply believe the Federal Government can do it better. There are some things the Federal Government can do better, such as defending our national security interests, which is what the Constitution expects the Federal Government to do.
But even there, under this administration, we are not doing as well as we should. Although I commend the President for deciding to send the people to
Afghanistan and for standing on these issues. Once he saw the intelligence and the other information, it infused reality into his decision-making process. I give him credit. I am one who believes he deserves great credit for the decision he made. But even in that decision, he had to be very careful how he characterized when we are going to leave. He did leave it flexible. In that alone, he deserves a lot of credit because he knows there may not be enough time to do all we have to do to create the well-trained police and security forces that are necessary to keep Afghanistan free and to keep the world from allowing the Taliban and al-Qaida to obtain nuclear weapons.
Well, that is another subject for another day. I wish to end by saying I don't believe anybody on the other side is an evil person or a person who doesn't believe they are acting in the best interest of the country, but I do not see how--I do not see how they can continue to push what they are trying to push, I think to the detriment of this country.
I yield the floor.
On the CHIP bill I can't remember what the exact number was but I think it was between 70 or 80 votes. It was a bipartisan bill. In fact, on the Finance Committee when I brought it up only two Senators voted against it. It was like 19 to 2.
Every Republican except two, and every Democrat voted for it.
That was unanimous. If I recall correctly, I think it was done through a unanimous consent.
Yes.
They were all bipartisan. That is what gets me, because people know--people such as myself, such as the senior Senator from Kansas--we are willing to work on it with them. We know we can't get everything we want. Our colleagues have different viewpoints than we do. But tell me that I am wrong--I know you can't--that the HELP Committee bill was done solely between a few people at the White House and the Kennedy staff, and basically a few Democrats. That was it. No Republicans.
The House bill, I wish to ask the Senator, does he know of any Republican who was asked to participate in helping to develop that monstrosity they call the House bill?
After they came up with it, but how about the Reid bill? Does the Senator know if any Republicans were involved, able to participate in that bill, after the discussion between the White House and Senator Reid and a few Democrats?
None were involved. After they get it they say we want to work with you. After they get it done in the ways that I don't think any Republican can support, then they will say, yes, we would like it to be bipartisan. Has the Senator seen any acceptance of amendments here on the floor?
That is right. One thing I appreciated very much about Senator Kennedy, as liberal as he was--he was the leading liberal lion in the Senate, in the whole Congress, in my opinion--he knew unless we could get together in a bipartisan way we could not get the job done. This involves one-sixth of the American economy; one-sixth. We are being told take it or leave it. That is what I call an arrogance of power.
I don't want to be mean to my colleagues, I think many of them are very sincere, but it is an arrogance of power to not deal with the other side and to not even talk to us about it until after you have done what you want to do. I have to say, this is the worst I have seen it in the whole 33 years I have been in the Senate.
It is a western tie. I thought I would wear it out of loudness today.
I believe we could craft a bill that would get almost 100 votes. I think we would at least get between 70 and 80 votes and probably more if we worked together to do it. I don't think there is any question we could do that.
Look, we all want prevention, we want maintenance, we all want to cover as many people as we possibly can, we all want to correct some of the deficiencies that are in these bills, we all want to take care of people with preexisting illnesses. I could go on and on. Those are things we could build upon in ways that would work.
This bill is not going to work very well. But we could build upon that, bipartisan-wise, and build a complete bill We Republicans would not get everything we want. But I think there are Democrats who believe we ought to use the principles of federalism, have 50 State laboratories out there, let them work on their own problems in accordance with their own demographics. I know Kansas is not New Jersey. Neither is Utah. And New Jersey is not Kansas or Utah, to pick three States. You can do that with any three States. But we know one thing, if we follow the principles of federalism--that is what we did in CHIP, and CHIP worked well by anybody's measure--if we follow the principles of federalism we would be able to look and pick and choose from the various States what works and what does not.
You would have the usually big Democratic States that probably wouldn't function no matter what you do. But even they would benefit. Even they would benefit from looking at the other States and saying will that work in our State. Frankly, that is what made this country great.
There are friends on the other side who do not agree with me on that but there are friends over there who do agree with me on that, as you can see, getting 70 or 80 votes on the CHIP bill. There were other bills we put through by unanimous consent, because people recognized they were well intentioned, well written, had bipartisan support and nobody wanted to vote against them.
That is right. When Senator Kennedy and I did the CHIP bill, as an illustration, we had to go up and down this country giving speeches everywhere, building constituencies, working very hard together. It is no secret, in the end it was not everything he wanted. It wasn't everything I wanted either. He wanted the Federal Government in control of it. I wanted the States to be in control of it. But in the end I happen to know, as one of the dearest friends of Senator Kennedy, with all the differences we had--and we had plenty, we fought each other most of the time, but in the end he was as proud of that bill as any bill he passed or he worked on--even though it was put together in a way that brought a great number of Republicans on board.
Frankly, that can be done here. I have no doubt it could be done here. I look at the distinguished Senator in the chair. He is one of the brightest guys in the Senate. He has a lot of experience in this area. I personally believe the people such as the Senator from Rhode Island, the Senator from Kansas, myself--if we got together we could do things that our respective States would be proud of and would be pleased to work on--even though there would be some give and take, and that is what we need to do.
Look, I point out one more time, the HELP bill is totally Democratic, not one Republican, until they brought the bill to the committee. The House bill--totally Democratic, not one Republican was even asked to give input. And this bill, not one Republican. In fact, not many Democrats.
I made the point here a few minutes ago, most of the Democrats do not know what is in the bill that was submitted to the Congressional Budget Office. You heard the very competent minority--majority whip, the Senator from Illinois, say he did not know what was in the bill either. When the minority--excuse me, the majority; I have that in my mind, I think. If the majority whip didn't know, how in the world are we Republicans going to know? And how in the world are the rest of the Democrats going to know? These are things that worry me and bother me.
I believe they believed with President Obama's aura, with his strength in politics, with all of us wanting to help him and with their distinctive 60-person majority, that they could put over whatever they wanted to. This was their opportunity to go to a single-payer system-- or at least to move the whole system much farther toward a single-payer system than it even is today.
These things bother me a great deal. Frankly, I hope we can get our colleagues to sit down and work with us. I think both sides would have to give. Both sides would have to get together. But at least one-sixth of the American economy would be treated with respect rather than one side saying take it or leave it.
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Mr. President, the vote we had earlier this morning, moving forward onto the omnibus spending bill that is before us, is a stunning statement that we are not listening to the American people; that we…
Mr. President, the vote we had earlier this morning, moving forward onto the omnibus spending bill that is before us, is a stunning statement that we are not listening to the American people; that we are unaware or indifferent to the level of spending that is occurring in this country, which is unlike anything that has occurred before. Many have complained that President Bush overspent, and on some occasions he did. One expert told me recently that they have compared President Bush's misdemeanors to felony murder when you look at the seriousness of the spending levels that we are now undertaking in the baseline budgets of the various Federal agencies.
This is different from the stimulus package that is already out there--to spend $800 billion in stimulus funding that has been poured into this economy--on top of the baseline budget spending items. So not only do we have this unprecedented stimulus package from earlier this year--the largest single spending bill in the history of the American Republic--but we are now moving forward with baseline budget items that have increases that are stunning, unjustified, irresponsible, and put us on a pathway to double domestic spending in far less than 10 years. This is unthinkable.
I have to go back to the core threat we are facing, as more and more experts and economists are reminding us of it. This is based on the Congressional Budget Office study; it is based on the budget presented by the President of the United States over 10 years. Earlier this year, he presented us a budget. And what did it show? It showed our total American debt in 2008 was $5.8 trillion. That is a tremendous amount of money. That is what the total debt from the founding of the American Republic was--$5.8 trillion. They project that by 2013 that debt will increase to $11.8 trillion--doubling in 5 years--and increasing to $17.3 trillion in the year 10 of the President's budget--tripling the national debt.
They say: Well, we have an economic recession. Well, we have had recessions before. We have a recession more often than every decade. We had thought that, hopefully, we could maybe figure a way to avoid them, but we haven't done that yet. I guess blame can go around to a lot of different people. But I would say this does not project another recession in the 10 years we are tripling the debt.
As I have said, we are on an unprecedented course of spending that has never been seen in our country before. The only thing like it was during World War II and we were in a life-and-death struggle, fighting wars on both the Pacific and Atlantic, and Africa--around the world. Virtually every able-bodied person was either in the military or building ships and airplanes and weaponry to send to our soldiers. The whole country was mobilized.
We never did this to our deficit then, and we did it in a way that commenced a pay-down of those debts after it was over. What I wanted to emphasize was--many of my colleagues have heard it stated, people seem to all admit it--we are on an unsustainable path. This is not a sustainable spending schedule. Then how do we get off of it? When do we get off of it, if it is unsustainable?
Is it by producing a bill that we just voted on that increases spending at 12 percent, a rate of spending that would double those six discretionary spending bills' accounts in 5, 6, or 7 years? It would double it. Is that the way to get spending under control? I don't think so.
Remember, I am not counting in this 12-percent increase the stimulus package that was passed. I would also note, under the budget the President submitted, the deficits in the outyears are not going down. There is no projection in those 10 years that we would have a recession, but there is also no projection that the deficits would be falling. In fact, the deficit, in 1 year, in 2019, would be over $1 trillion. So these are stunning numbers.
The highest deficit we have ever had was at $450 billion. The year before this year--we just concluded in September 30 of this year--$1.4 trillion. Next year it will be $1.5 trillion. There should be some dip, we hope, for a few years, and then it is going back up on an unsustainable path. It is just stunning. We cannot do this. That is one of the big things that is occurring in the streets of America with our tea parties and others. People are saying: Congress, what is the matter with you? Don't you understand you are mortgaging our children's future; you are
devaluing the dollar; you are placing our economy at risk, as virtually every expert economist you talk to says, including Mr. Bernanke--not very aggressively, in my view, but he said that recently. This is a bad path.
What does that mean when you have a big debt? The debt goes up. How do you get the money? Where does the money come from? You have to borrow it. We put on the market Treasury bills and notes, and we ask people to loan us the money so we can spend, spend, spend more than we take in, year after year.
Some say it is the entitlements that are causing this, and entitlements are growing. That is our Social Security and our Medicare. One reason those are growing is, frankly--it is a very serious reason-- we have more seniors and they are living longer. They have been going up 6 or 7 percent a year. We are troubled by that. But the truth is, Social Security and Medicare have been in surplus.
What has happened to the surplus? It has been spent on discretionary spending. We are spending the Social Security surplus and Medicare surplus--but it is going caput. Medicare is fading fast, and by 2017 the trust fund will be exhausted. So we are not going to have a surplus to spend. So you borrow the money; this is what you do.
In 2009, we paid interest on the money that people loaned us--much of it from China and oil-rich States, many of which are not friendly to us. We are paying them huge amounts of interest--$170 billion. How much is that? That is a lot of money. My State of Alabama is about an average size State. We are a frugal State. We don't have huge government. We have some pretty good economic growth as a result of that. But we have a $2 billion annual general fund budget--$2 billion. We paid $170 billion, the United States of America, in interest alone in 2009.
Look what CBO says, our objective Budget Office. It is under the control, really, of the Democratic majority, but they take pride in giving us numbers that are valid and reliable. I think they do that for the most part.
Look at this. They say by 2019, the interest we will be paying on the debt will not be $170 billion but $799 billion because we cannot stop spending. It is just unthinkable.
People say we have to do better. This is unsustainable. We need to do something.
When? We just voted this morning for a bill. I don't have a chart on that, but I will just read the numbers to you. It increases spending on 6 of the 13 appropriations bills. We try to pass them individually, 13 appropriations bills that fund the Federal Government. When we get to the end, it is easier sometimes for the leadership just to cobble all six of them together in a big package and put it out there and say vote up or down. That is what we have done. That is not a good policy. We need to do better than that. We really need 2-year budgeting, and then we would have time to bring up these bills one by one and give them the scrutiny they deserve. But if we look at the overall spending in these 6 bills, 6 of the 13 that have been put together in a package, it shows that the percentage of growth in spending on the baseline level is 12 percent.
That is a stunning figure, when you think about it. What is the inflation rate today? Zero. We do not have inflation. The last number was .2 percent deflation over the past year. The average family is containing their spending. Ask the average city mayor. Aren't they trying to contain spending and be more efficient and be leaner and more effective? What about our State governments? The same thing. They are facing real problems, and they are trying to contain the growth of spending and we increase it by 12 percent.
What kind of increase did the average working American get in their salary? Probably zero and lucky to hold it. If they had been getting overtime, they are probably not getting overtime today. Maybe in the family two people were working, maybe now only one is working.
What about the State Department and foreign operations, what kind of increase did they get? A 33-percent increase in spending, most of which I assume will be spent around the world somewhere.
What about Transportation and HUD? I have a chart on that. I just have the last 2 years since our colleagues have been in the majority. Last year it was a 12.3-percent increase--a stunning increase. Look at this year, 2010--23-percent increase on HUD, Housing and Urban Development, and Transportation; 23 percent on top of 12. This is the kind of spending that would double the HUD budget in 3 to 4 years. The foreign operations, I just mentioned, at the rate of increase we have, it would double in 2 to 3 years. The whole budget would double in 2 to 3 years.
Let's talk about Transportation/HUD. Did they get any money out of the stimulus package? You are counting that in here, aren't you, Senator Sessions, the money that Transportation/HUD got out of it?
No, I am not. This is baseline spending. What did they get? The total Transportation/HUD budget--I hope my colleagues will think about these numbers--is $68 billion this year. Remember, I just noted interest in 2019 would be $800 billion. That gives some perspective on the level of spending we have. But, again, that is just the baseline spending, and it does not count the $62 billion of spending that came out of the stimulus package, according to this chart. Remember, only a small percentage of the stimulus package went to highways. They said it was for bridges and infrastructure and highways, and I think about 4 percent of the overall amount went to highways. Now they are claiming we don't have enough money for highways and they talk about another stimulus bill of another couple of hundred billion dollars--just another $100 billion, $200 billion.
Remember, $100 billion--the entire Transportation-HUD expenditure this year is $68 billion.
I don't think this is any kind of exaggeration. I am not an alarmist, but I am alarmed because I am telling the truth about these numbers.
What have we done on previous spending bills that have come through the Senate? Two other bills have already come through the Senate and had stunning increases in them. Look at this. This is Interior and the Environment expenditures--Department of the Interior and the Environment--EPA, basically. Look at that: 16.6 percent increase in 1 year. It had a tight budget last year, but it had a 16-percent increase this year. The EPA, the Environmental Protection Agency, which now is claiming the ability to regulate CO2, they got a 33-percent increase in spending. EPA got a 33-percent increase in spending. We have never seen those kinds of numbers before.
Look at these expenditure growth items over the last number of years. When President Bush was in, everybody said he was a spendthrift, that President Bush put us in debt.
Democrats say: We are not doing anything. This is a President Bush-- it is all his fault. He was a big spender.
I criticized him some for overspending. A lot of Republicans have. But look at his averages for those Interior and Environment appropriations.
It averaged 1 percent from 2001 to 2009, so he was holding the line. He had some 5-percent years, 5.6, but some negative years too. So the average was a modest 1 percent. Remember, 16 percent growth in spending at a time when inflation is zero.
Another example of that--let's take the Agriculture bill. I believe in agriculture. I have tried to support most of these bills. I have worried sometimes that we were spending too much on agriculture. But I can't vote for this. We have already moved this legislation through the Senate, the Agriculture appropriations discretionary spending. Here we had in 2004 a minus 1 percent, zero in 2005, zero in 2006, a 6-percent jump in 2007, 1.1 percent in 2008, now 15 and 14.5 percent increases. How can we say we are responsible when we are doing that? We were having deficits through these years.
We have never seen deficits averaging $1 trillion a year, which is basically what is going to occur under President Obama's budget. I wish it weren't so. I wish I didn't have to make this speech, because these deficits are dangerous to the American economy.
These numbers remain here are stunning numbers. The only one that got a modest increase was for the men and women in uniform of the Defense Department. But State and Foreign Ops,
32.8-33 percent; Interior, 16.6; Commerce-Justice-Science, 12.3 percent; T-HUD, 23 percent; Agriculture, 14 percent; Defense, 4.1. That should tell us something about maybe where the priorities are around here. It is troubling to me.
What do the American people think about this? I have heard a lot of my colleagues say: We have a recession and we have this war that is going on. We just have to spend more. The American people understand that. It is all right. We just want to do this, and let's do it.
Look at this poll that came out recently. Actually, it was November, last month, a CNN poll. The question was, Which of the following comes close to your view of the budget deficit: The government should run a deficit, if necessary, when the country is in a recession and at war or the government should balance the budget even when the country is in a recession and is at war. Sixty-seven percent say balance the budget. First, they know this isn't World War II. We have a very expensive war. We need to make sure our men and women are well funded. But it is not the driving factor in the deficits we are having today. Only 30 percent said, run a deficit. Four percent had no opinion. Sixty-seven percent said we ought to have a balanced budget, even in a time of war and recession.
There are other problems. There are ramifications that arise from this kind of reckless spending. It has been a catch line for a number of our colleagues who support this health care bill that it would reduce the deficit. Past history with entitlements has shown that is not so. Estimates don't prove to be accurate, No. 1. No. 2, there are gimmicks in this health care bill that hide its true cost. I will mention one of them for the moment.
One of the big ones is that we don't pay the doctors. The doctors are projected, after this next year and for 9 years under this budget scheme, to take a 23-percent cut in their payments for the work they do for Medicare--a 23-percent cut. Many doctors already are leaving Medicare and Medicaid because they are not paid enough. They are paid substantially less by the U.S. Government for Medicare and Medicaid than private insurance companies pay them for the work they do.
That was part of the plan to fix Medicare, to fix permanently the payments for our physicians. When the numbers didn't add up--and if you paid the physicians what you are supposed to pay them, it would cost $250 billion over 10 years--they attempted to take the doctor fix payment and put it in a separate bill, every penny of it going to the debt, saying: Our health care bill is deficit neutral. The health care bill is deficit neutral. I am voting for a bill that is not going to impact the debt.
Well, when you move a $250 billion hole out of your bill and put it over here, that is one way to hide what you are doing. If you count that, we have a $120 billion deficit in the bill by the scoring of our own colleagues. They just took that out because the numbers wouldn't add up if it were in. It is wrong. It is the kind of gimmicks and manipulation the American people are getting tired of. Some people are going to pay at the ballot box for continuing this kind of thing.
Let me give some examples of how even the estimates of these bills fundamentally turn out to be wrong. In 1967, the estimate for how much Medicare would cost in 1990 was $12 billion. They projected how much Medicare would cost in 1990. What was the actual cost in 1990? It was $98 billion, not $12 billion. That means the estimates were off by a factor of 8. In 1987, Congress estimated that Medicaid payments to hospitals would cost $1 billion in 1992. That was just 5 years out. The 5-year projection was Medicaid payments to hospitals would be $1 billion. What was the actual cost? It was $17 billion, meaning the estimate was off by a factor of 17 in only 5 years.
This kind of recklessness jeopardizes our economy. I don't think this spending is helping our economy because I think what is occurring is that people who invest in the future, hundreds of millions, maybe billions of dollars in big factories, are worried about our recklessness. They are worried about future economic stability. They are not as willing to invest because we are not acting responsibly.
Stanford University economist Michael Boskin stated in a recent editorial in the Wall Street Journal:
The explosion of spending, deficits and debt foreshadows
even higher prospective taxes on work, saving, investment and
employment. That not only will damage our economic future but
is harming jobs and growth now.
There is too much truth in that.
Brian Riedl at the Heritage Foundation, on October 6, in the Washington Times, did an op-ed that said that estimates on the size of the deficits I have just given are likely to be wildly optimistic. When I said the debt triples from $5.8 to $17.3 trillion, I am not including health care in those numbers. It hasn't passed. That is not current law. They didn't count that in the numbers when they were scoring it. He notes that the President assumed that spending would only increase at the rate of inflation for 9 years after 2010, after he included an 8-percent increase for spending in 2010.
The President's deficit estimates also assume interest rates lower than those in the 1980s or 1990s. Once all the factors in Mr. Riedl's analysis are added up, he projects a total deficit for the next 10 years to be $13 trillion--an unsustainable level for sure and well above what CBO has scored. He is projecting higher interest rates on the debt because so much money would be borrowed worldwide. How do you induce people to loan you money? You have to offer them higher interest rates to get them to loan you money. They will not be loaning money at the low interest rates we have today because of this economic slowdown. Interest rates are going up. CBO acknowledges that in their score. The Heritage scholar said it is going to go up higher than CBO had scored.
An October 14 New York Times article said that the reason we are not pressing China to appreciate its currency, to stop devaluing its currency against ours is because we rely on them to purchase our debt.
Dong Tao, an economist at Credit Suisse, said:
Obama's interest is not to push China to appreciate its
currency, but to get them to pay the bills.
In other words, to get them to keep buying our Treasury bills so we can keep borrowing money.
Small manufacturers all over the country, including Alabama, have suffered from China's undervalued currency. They not only have a wage advantage over us to a significant degree, they also don't have the environmental laws we have. They also devalue their currency--all of which makes them more able to undercut American companies' manufacturing and adversely compete against them. I am constantly hearing about it from my State. I know others are hearing the same thing.
However, China and other countries may not be able to keep financing our debt in the future. Professor Allan Meltzer, a well-known scholar on the Federal Reserve and monetary policy, noted in a column in the Wall Street Journal that our current and projected deficits are too large relative to current and prospective world savings to rely on other countries being able to finance them for the next 10 years. We just can't expect to be able to have that much wealth out there in terms of our own citizens saving money to buy the Treasury bills and debt of the United States. Other countries are not going to have it either.
In a Budget Committee hearing on budget reform, November 10, former Comptroller of the Currency and GAO David Walker testified that by 2040--time flies faster than we like to admit--we will have to double taxes to keep current with our commitments. This is the former Comptroller General of the United States, the head of the GAO, the Government Accountability Office. He knows these numbers, and he has been very concerned about our reckless spending for quite a number of years. He is basically committing himself to trying to get this country on a sound financial track. Mr. Walker stated that in 12 years, interest will be the single biggest line item in the budget, even assuming interest rates don't change from today's low rates. But interest rates are going to go up, at least some. He also said that debt and deficits are the public's largest concern by 20 points in the opinion polls.
That is what I am hearing from my constituents. They want some leadership up here. They want us to say: We would like to be able to provide more
for this, that, and the other. But we simply have to get our house in order. And in the long run, if we hold the line now, we can get this house back into order. I believe we can. But we cannot on the path we are today. In a Financial Times editorial in May of this year, Mr. Walker warned that the United States is in danger of losing its triple- A financial credit rating. Well, is that possible that the United States of America would not have the highest credit rating in the world? Mr. Walker said it is possible. He made that comment in May of this year.
Of course, if you do not have the highest credit rating, you have to pay higher interest rates to get people to buy your debt, to loan you money. So if you want to loan two people money, and one is rock solid, you might loan it to them for 4 percent. But if another person is risky, you may want 5, 6, 7, 8, 9 percent from them.
So Moody's rates people to see how reliable they are in paying their debt back with dollars worth the same as you loan them. Mr. Walker warned that our reckless spending was putting us on a path where we would no longer have our triple-a credit rating.
Well, sure enough, in a report just this week, the big rating service, Moody's, stated that the U.S. is in danger of losing its triple-A credit rating. Pierre Cailleteau, chief international economist at Moody's, stated that unlike several years ago, ``now the question of a potential downgrade of the U.S. is not inconceivable.''
Well, that would make the interest payment of $799 billion for 1 year, in 2019, be low. If we get downgraded, that interest payment is going to go up.
So under the most pessimistic scenario put forward by Moody's, the United States would lose its top rating in 2013.
This is a great country. We have such dynamic people and economy. They are willing to work. They are willing to compete. They are willing to save and all. But we need some leadership, and we need some leadership from Congress. We are oblivious to what the American people are telling us, and we are oblivious to the massive debt increases we are putting on the American people.
Therefore, this bill that cloture was invoked on today, should not pass because having a 12-percent increase in spending, which would double that whole bill's financial spending in--what?--5, 6, or 7 years, is unthinkable at this point in time, and I am against it. I hate to be against it. I see a lot of things in there I like. But I do not believe the Republic is going to sink into the ocean if we would have a 1- or 2-percent increase in spending for these six bills. I do not believe everything is going to collapse if we were to have a little frugality around here--give up some of our pork spending, give up some of our special projects and focus on what is the national interest for a change, and try to contain the surging growth of spending.
I do not know when it is going to occur. Everybody says we have to stop. So when? I say now. I say, let's send this bill back. Let's do not pass this bill. Let's send it back to the conferees and the appropriators and say: Come back with a bill that is more responsible. Then we will pass it. We are not going to not pass legislation to fund these things. Don't let anybody say that.
But the question is, What kind of increases can we justify? I am worried about it. The American people are worried about it. Soon Congress needs to get worried about it. If not, we are going to have some new people in Congress, and some new people are going to fix it because it can be fixed if we show determination.
I thank the Chair and yield the floor.
Madam President, I understand that maybe I will have my speech interrupted by a unanimous consent request from the leadership, so if that happens, I ask that my remarks be continuous throughout the…
Madam President, I understand that maybe I will have my speech interrupted by a unanimous consent request from the leadership, so if that happens, I ask that my remarks be continuous throughout the Record.
There has been a lot of talk over the past few days about Senator Reid's so-called compromise. Although he said he has broad agreement, I have yet to see any specific details. In fact, it sounds as though Members of his very own caucus, the Democratic caucus, aren't aware of these details either.
I find it quite hard to understand how there can be ``broad agreement'' on something when they don't know what is in it. Of course, I hope we will see details very soon. An issue such as health care reform affecting 306 million Americans and restructuring one-sixth of our economy is something that should not be done in secret. And when the so-called compromises come out, I would expect we would have the same 72 hours on the Internet for the public and the 99 Members of this body other than the leader to review them in the totally transparent way we have always been promised, and as this 2,074-page bill has been transparent, as well as all of the amendments. Because this is one of the biggest and most important pieces of legislation I have worked on in all of my years in the Congress. So I hope Senator Reid is not planning to keep the details of his compromise under wraps and then ask us to vote on it. This piece of legislation is going to touch the lives of every single American, from the cradle to the grave, so we owe it to our constituents to make sure we have sufficient time to study any changes to the underlying bill. We all need to remember that it is their money, the taxpayers' money, that is being spent on this bill, not ours.
As I have said, so far, Senator Reid is keeping this ``broad agreement'' under wraps. So today I can only talk about what I have heard from my colleagues or read in the newspaper, and who knows whether what the newspaper or our colleagues are surmising what this compromise might be actually is.
I have heard the majority leader is planning to expand the already unsustainable Medicare Program. The idea has been met with, of course, strong opposition, as we would expect from hospitals, doctors, and other health care providers, particularly from rural America, because expanding Medicare to people ages 55 to 64 and paying Medicare rates is going to make it even more difficult for our hospitals to survive because the Federal Government only reimburses 80 percent of costs.
Today, with people over 65, with the government not paying more than 80 percent, it can be offset by private sector charges by the hospitals to a greater amount to make it up. But if you load another tens of millions of people on Medicare--and it is just about broke anyway--you can see that this deficit of our hospitals is going to be greater and it is going to be even more difficult to make up because there will be fewer private-paying people to make up the deficit.
I said the hospital, doctors, and health care providers are bringing strong opposition to this idea of expanding the Medicare Program because they fear that the largest expansion of Medicaid in history and an expansion of Medicare to people age 55 to 64 will drive providers out of business. And then what, of course, does that do for our seniors? It makes it even harder for low-income Americans under Medicaid and seniors under Medicare to have access to care. What are the promises of the Federal Government in Medicare worth if you don't have doctors to provide the services to the seniors when they get sick?
I have already spoken over the last few days about why I agree with these providers and why I oppose that part of Senator Reid's so-called compromise. Of course, now we have the administration's own Chief Actuary confirming that the Medicare cuts already in this bill--in other words, the 2,074-page bill, without even considering the so- called Reid compromise, which we don't know what it is--the Chief Actuary confirmed that the Medicare cuts already in the bill are so severe that providers might, even now, end their participation in the program, even before you add on all the people who are 55 to 64. If the compromise expands Medicare even further, then this is going to make this problem even worse.
I also find it curious that some would even consider this a compromise. For instance, Speaker Pelosi could not convince House Democrats to support a government-run plan paying Medicare rates, but that is exactly what Senator Reid's compromise is proposing, I have been told. That doesn't sound like much of a compromise to me.
In fact, let me quote another Congressman, Anthony Weiner of New York, who doesn't see it as a compromise either. In fact, he sees it as a big step toward their ultimate goal of a single-payer health plan where government is going to run everything. And you will have one choice: the government plan. You won't have choices the way we have in America today.
Congressman Weiner said this:
This exchange would perhaps get us on the path to a single-
payer model.
I don't see this as a compromise to a government-run plan. In fact, in some ways, it is worse because this could harm seniors' access to care starting not down the road but on day one.
I don't want to spend too much time today talking about Medicare expansion. I think I have made my feelings on this idea pretty clear. Instead, I would like to focus on another aspect of the supposed new Reid compromise we are hearing about.
This is what we are hearing about--that the newest Reid proposal would have the Office of Personnel Management operate a national health insurance plan. This may sound pretty harmless at first glance, especially since Senator Reid has refused to release any details, but there are some very big problems with a proposal like having the Office of Personnel Management take over.
Around here, we use the term ``OPM'' for the Office of Personnel Management. It is the office in charge of the Federal Government's 2 million-person workforce. One could consider OPM as the human resource agency or department for all of the Federal Government, dealing with everything from salaries to the operation of the Federal Employees Health Benefits Program, which I think is the reason Senator Reid thinks this agency would be well equipped to run the largest insurance company in the country.
Unfortunately, a former Director of OPM disagrees. He was asked about giving new responsibilities to the Office of Personnel Management. This former Director, Linda Springer, said this:
I flatout think that OPM doesn't have the capacity to do
this type of role.
Federal employees have also expressed concern. People in this body-- particularly the other party--ought to be listening to the National Treasury Employees Union or the National Active and Retired Federal Employees Association. They have come out in opposition to this proposal of OPM running a national health insurance company.
In a Washington Post story highlighting union opposition, the author writes that unions raise these concerns:
. . . legitimate concerns about expanding the size and
scope of OPM beyond its capacity.
So there are already concerns from a former Director and more than 5 million Federal workers and retirees and dependents that OPM is not equipped to handle this new responsibility. That alone should make any Member pause before signing on to this so-called broad agreement.
I also think it is important that Members are aware of some of the challenges the Office of Personnel Management faces with its current responsibility, without loading it down with a lot more, because being the human resources department for the Federal Government is, obviously, no easy task. In fact, I would imagine it is a pretty thankless job that entails a lot of long hours.
Please don't misconstrue my comments as an attack on OPM, its Director, or any of its employees. They do the best job they can under difficult circumstances. But they are going to have real problems if Senator Reid's compromise does include a government-run insurance plan operated by OPM. If he is going to come out of nowhere with a new proposal to hastily hand the American health insurance system over to this government agency, I think it is important for the American people to know what they are getting into.
We need to be asking some hard questions. Is this expansion of the Federal Government necessary? We are about to vote to raise the debt ceiling by $1.8 trillion because the national credit card has maxed out. Some Members of the Senate seem intent upon increasing the size of the Federal Government even more.
There is a second question beyond the generic one of, can you afford to expand the Federal Government role and expenditures. It is, should the OPM, a government agency, be handed the key to the largest health insurance plan in the entire country? I don't know that the current OPM Director--and I would imagine he is a very nice person, and since I don't know him, I don't want him to take offense to what I say. But I think it is fair to point out that his position, just prior to taking over at OPM, was running the National Zoo. Does this really mean we should put him in charge of the national health insurance plan?
The Office of Personnel Management has been consistently criticized for being out of date and being inefficient on everything from processing national security projects to administering Federal benefits. We have all heard about the massive backlog in people waiting for Social Security disability benefits. Some 833,000 Americans are currently on a waiting list to see if they qualify for government disability benefits, and some Members blame OPM for this backlog.
I am going to put a chart up here from a person whom I trust in the House of Representatives, Representative Earl Pomeroy. I think he does very excellent work. He heard about this backlog. He made some comments about OPM. Congressman Pomeroy is a Democrat from North Dakota and a member of the very powerful House Ways and Means Committee. He said:
The Office of Personnel Management is fiddling around,
years go by before they can even get around to all the things
they have to get around to. . . .
This seems to reinforce what the government unions and the former Director have expressed about OPM's ability to handle this new responsibility.
I want to continue to quote Congressman Pomeroy:
People are being hurt, some of the most vulnerable people
in this country are being hurt every day because of
bureaucratic bungling at OPM. . . .
Senator Reid hasn't provided enough details, but Congressman Pomeroy's comments certainly raise concerns.
Undermining the availability of disability benefits is bad enough, but do my colleagues want to also be responsible for setting up an unworkable system that leaves hundreds of thousands of Americans on the waiting list for their health care benefits?
Government agencies, whether it is the Office of Personnel Management or some other agency, do not have an impeccable track record. As President Reagan often said, the nine most terrifying words in the English language are ``I'm from the government and I'm here to help.'' Think of a health care system with the responsiveness of Hurricane Katrina or think of the efficiency of the Internal Revenue Service or the customer service at the department of motor vehicles. That doesn't sound like a recipe for real health reform to me.
The OPM has also taken considerable criticism for its handling of retiree benefits. The agency's own 2008 financial report stated:
[The Office of Personnel Management] had increased
difficulty keeping up with retirement claims and had a
decrease in the number of customers satisfied with their
services.
That is coming directly from the agency, saying how it is coming up short responding to the needs of the American people, and particularly government employees, and that is before we are talking about adding a new government health insurance program to the responsibilities of OPM.
The Hill newspaper wrote this last week:
Watchdogs maintain the program is riddled with
inefficiencies that ultimately cost both the agency and the
Federal Government money.
So I think there are legitimate concerns about whether this Federal agency is even equipped to take on the additional responsibilities of a whole new government countrywide program that is obviously a massive undertaking.
I also wonder why this proposal is even necessary. The bill already sets up government-run exchanges that would offer a choice of competing for-profit or not-for-profit plans. My colleagues on the other side of the aisle have compared this system to the Federal Employees Health Benefits Program. This bill already has provisions that encourage national health plans. This leads me to ask the question: Why does this bill need another layer of bureaucracy to create a national plan run by a government agency?
Some have suggested this is just another backdoor attempt to end up with a government-run plan. Another detail that has been reported supports this claim. We have been told that if not enough not-for- profit plans agree to contract with the Office of Personnel Management or if they do not meet certain affordability standards, the Office of Personnel Management will have the authority to establish its own government-run plan.
With some of the other provisions that are in this bill, this trigger approach seems to be rigged. There are at least two reasons why this is the case. First, the bill undermines any ability to avoid the first government plan trigger to make health coverage more affordable. The bill puts in place a bunch of new regulatory reforms, a bunch of fees, and a lot of taxes that will drive up premiums, making it impossible for health plans to meet new affordability requirements.
Again, you are going to say you question this Senator's judgment saying that. Do not take my word for it. The nonpartisan Congressional Budget Office, a group of professionals who do not care about politics, predicts premiums will be 10 to 13 percent more expensive as a result of this bill.
Then, of course, we have the second government plan trigger which gives the Office of Personnel Management the authority to create a government-run plan if not enough not-for-profit national plans contract with OPM.
Senator Reid failed to mention in announcing his broad agreement that there is not one national plan in existence today, for-profit or not- for-profit--not one national plan--that is offered in all 50 States. It does not exist.
Once again, it sounds to me like this so-called trigger is being rigged to shoot. I can only assume this backdoor attempt to shoehorn in a government-run plan at the last minute happens to be an act of desperation. Senator Reid and his colleagues have seen the facts. You have heard them from our distinguished Republican leader. According
to a CNN poll from December 2 and 3, 61 percent of Americans oppose this 2,074-page bill. At a time when the Democratic leadership is pushing a $1.8 trillion increase in the debt limit, we learn from the White House's own Actuary that this $2.5 trillion bill, this 2,074-page bill bends the cost curve up by increasing health care spending. If you go back to day one of this year, when we first started talking about health care reform, one of the overriding goals was to bend that cost curve down. After 11 months of activity, we have a bill with that cost curve going up--not one of the major goals we set out to do 11 months ago.
This bill is also under pressure from opposition by the National Federation of Independent Business, speaking for the small businesses of America, the ones that do 70 percent of the net hiring. It is also opposed by the National Association of Manufacturers, the Chamber of Commerce, the National Retail Federation, and almost every other business group across the country.
Because of this last-minute, desperate attempt to appease the far left, this rumored new compromise now is being opposed by hospitals, doctors, and other health care providers. These people were on board through most of these 11 months promising their support, and now they see it going in the wrong direction.
With all those factors, I do not see how anyone, let alone 60 Senators, can vote for this bill, this last-minute, desperate attempt to expand Medicare and hand over private health insurance systems over to a Federal agency, the Office of Personnel Management. This step, if it materializes, has made a bad bill even worse.
I have another part of the bill to which I wish to speak. We have this 2,074-page bill before us, and I wish to refer to just a few words on page 2,034, way at the tail end of the bill, in section 9012 of the Reid bill. It only takes up eight lines, but it could have a major impact on millions of retirees and even on the entire U.S. economy.
Listen to this. The AFL-CIO, the Americans Benefits Council, and the Business Roundtable have all joined in opposition to this provision, section 9012. How often do we have the AFL-CIO, the American Benefits Council, and the Business Roundtable--that roundtable is the big corporations in America--joining in opposition to anything? But they are in opposition to section 9012 of the bill.
This would prohibit businesses from fully deducting a subsidy they receive to maintain retiree drug coverage. The Medicare Modernization Act of 2003 created this subsidy to encourage businesses to keep offering retiree drug coverage once the Part D benefit was established because back in 2003, our goal in passing the prescription drug bill for seniors was not to disturb people who already had drug coverage and they liked what they had and they wanted to keep it. We did not want these big corporations dumping these people off into something with which they were unfamiliar. So we helped to encourage companies and save the taxpayers money. I will refer to those specific dollar figures in a minute.
In Federal tax policy, it is very unusual to provide a deduction for a business expense, such as retiree health costs, if that expense is subsidized by a Federal program. But in this case, the conferees decided to provide this unusual tax treatment for compelling health policy purposes, some to which I have already referred.
If people are satisfied with what they have, we should not pass a bill pushing people out of a plan they like. But it was also to save taxpayers' dollars because the rationale was, it was cheaper to pay a $600 subsidy than to have these people forced out of their corporate plan and then to have the taxpayers pay an average of $1,100 that it will cost if the retiree joined the Part D government plan.
You know what. After 6 years, so far it has worked. Millions of seniors have been able to keep their retiree coverage as a result of this subsidy, and the Part D Program continues to come in under budget and also to receive high marks from our senior citizens.
But the provision tucked away in this 2,074-page bill on page 2034 could change all that and, in fact, have severe consequences and, let me say, unintended consequences not just on those retirees but for the entire U.S. economy.
In an effort to pay for this massive expansion of a government-run health plan, the Reid bill proposes to eliminate the tax deductibility of this provision. This could cause employers all across the country to drop retiree coverage. This will not only break the President's promise by preventing millions of seniors from keeping what they have--remember that promise during the campaign--it will also cause the costs of the Part D Program to go up.
In addition, accounting rules for retiree benefits require that the businesses that do keep offering plans, offering these benefits, will have to report the total revised cost on the day the bill becomes law.
We have an op-ed written in the Wall Street Journal about this point. This could cause businesses to post billions of dollars in losses and significantly impact an already struggling economy.
Is this something we want to do when we still have 10-percent unemployment? I think the majority ought to give second thought to that.
A letter sent on December 11 from the chief financial officers of some of the largest employers in the country stated:
The impact of the proposed Medicare Part D changes would be
felt throughout the overall U.S. economy as corporate
entities and investors would be forced to react.
Another letter signed by the AFL-CIO stated this provision would ``unnecessarily destabilize employer-sponsored benefits for millions of retirees.''
Once again, how often do we get these large corporations and the AFL- CIO singing off the same song sheet?
This simple provision tucked away on page 2034 is just one more in a long list of policies that could have serious unintended consequences for American businesses and retirees.
At this point, it appears the majority is so determined to get a bill at any cost that they will put in place bad policies and promises to somehow clean up the mess later on. That is not the way to write legislation. That is not what the American people were hoping for when they were told Congress was going to fix the health care system. This provision is just one more reason we need to scrap this product and go back to the drawing board.
In finishing, I will say what I have probably said two or three times before. We are trying to fix the health care system, health care reform. The word ``reform'' implies all of that. If you were having a coffee klatch in rural New York or rural Iowa this very morning and one of us Senators dropped in on it and they started asking us about a bill because they were already talking about health care reform and any one of us told them it would increase taxes, it would increase health insurance premiums, that it would not do anything about decreasing inflation of health care--in other words, costs are going to go up yet--and we are going to take $464 billion out of Medicare, a program that is already in distress, to set up a whole new government program, you know what. Every one of those people around the table would say: That doesn't sound like health care reform to me. Let's not denigrate the word ``reform.''
I ask unanimous consent to have printed in the Record a letter from the AFL-CIO.
I yield the floor.
Mr. Presdient, as we begin the 111th Congress, we will try, once again, to enact comprehensive immigration reforms that have eluded us in the past several years. With an administration that…
Mr. Presdient, as we begin the 111th Congress, we will try, once again, to enact comprehensive immigration reforms that have eluded us in the past several years. With an administration that understands the critical necessity of meaningful reform and that understands the policy failures of the last 8 years, I am hopeful that the new Congress can finally enact legislation consistent with our history as a nation of immigrants.
The majority leader has included immigration reform as among the legislative priorities for the new Congress. I look forward to working with him, Senator Kennedy, Senator McCain, and others interested in working toward the goal of immigration reform.
In 2006 and 2007, Congress attempted to pass practical and effective reforms to our immigration system. In 2006, the Senate did its part and passed legislation, only to be thwarted by those in the House of Representatives who opposed dealing with the issue in a meaningful way. In 2007, the House passed legislation only to have it blocked in the Senate by Republican Members opposed to effective reform.
If our immigration policies are to be effective and play a role in restoring America's image around the world, we must reject the failed policies of the last 8 years. We cannot continue to deny asylum seekers because they have been forced at the point of a gun to provide assistance to those engaged in terrorist acts. We cannot continue to label as terrorist organizations those who have stood by the United States in armed conflict. We must not tolerate the tragic and needless death of a person in our custody for lack of basic medical care. We must ensure that children are not needlessly separated from their parents and that family unity is respected.
We must move beyond the current policy that is focused on detaining and deporting those undocumented workers who have been abused and exploited by American employers but does nothing to change an environment that remains ripe for these abuses. We must protect the rights and opportunities of American workers and, at the same time, ensure that our Nation's farmers and employers have the help they need. We should improve the opportunities and make more efficient the processes for those who seek to come to America with the goal of becoming new Americans, whether to invest in our communities and create jobs, to be reunited with loved ones, or to seek freedom and opportunity and a better life. We must also live up to the goal of family reunification in our immigration policy and join at least 19 other nations that provide immigration equality to same-sex partners of different nationalities. And I believe we would be wise to reconsider the effectiveness and cost of a wall along our southern border, which has adversely affected the fragile environment and vibrant cross-border culture of an entire region. Such a wall stands as a symbol of fear and intolerance. This is not what America is about and we can do better.
Those who oppose a realistic solution to address the estimated millions of people currently living and working in the United States without proper documentation have offered no alternative solution other than harsh penalties and more enforcement. The policies of the last 8 years, which have served only to appease the most extreme ideologues, must be replaced with sensible solutions. I am confident that our country and our economy will be far more secure when those who are currently living in the shadows of our society are recognized and provided the means to become lawful residents, if not a path to citizenship.
As President-elect Obama's administration considers immigration issues, I look forward to working closely with them and with the Senate's leadership to find the best solutions. President-elect Obama's nominees to lead the Department of Homeland Security and the Department of Labor understand very well the importance of sensible border policies and the importance of workers' rights. The American people look to all of us to forge a consensus for immigration reform that rejects the extreme ideology that has attended this issue and prevented real progress.
Mr. Presdient, I am pleased to join with Senator Cornyn once again to introduce the Public Corruption Prosecution Improvements Act of 2009, a bill that will strengthen and clarify key aspects of Federal criminal law and provide new tools to help investigators and prosecutors attack public corruption nationwide.
The start of a new Congress presents a unique opportunity to restore the faith of the American people in their government. That is why I sought to offer an early version of this bill as my first amendment two years ago when that new Congress began. Regrettably, a Republican objection to it prevented its adoption at that time.
As we have seen in recent months, public corruption can erode the trust the American people have in those who are given the privilege of public service. Too often, though, loopholes in existing laws have meant that corrupt conduct can go unchecked.
Make no mistake: The stain of corruption has spread to all levels of government. This is a problem that victimizes every American by chipping away at the foundations of our democracy. Rooting out the kinds of public corruption that have resulted in convictions of members of both the Senate and the House, and many others, requires us to give prosecutors the tools and resources they need to investigate and prosecute criminal public corruption offenses. This bill will do exactly that.
The bill Senator Cornyn and I introduce today will provide investigators and prosecutors more time and, even more crucially, more resources to pursue public corruption cases. It also amends several key statutes to broaden their application in corruption contexts and to prevent corrupt public officials and their accomplices from evading or defeating prosecution based on existing legal ambiguities.
The bill provides significant and much-needed additional funding for public corruption enforcement. Since September 11, 2001, Federal Bureau of Investigation, FBI, resources have been shifted away from the pursuit of white collar crime to counterterrorism. Director Mueller has said that public corruption is among the FBI's top investigative priorities, but a September 2005 report by the Department of Justice Inspector General found that, from 2000 to 2004, there was an overall reduction in public corruption matters handled by the FBI. More recently, a study by the research group Transactional Records Access Clearinghouse found that the prosecution of all kinds of white collar crimes is down 27 percent since 2000, and official corruption cases have dropped in the same period by 14 percent. The Wall Street Journal reported in 2007 that the investigation of an elected Federal official stalled for six months because the investigating U.S. Attorney's Office could not afford to replace the prosecutor who had previously handled the case. We must reverse this trend and make sure that law enforcement has the tools and the resources it needs to confront these serious and corrosive crimes.
Efforts to combat terrorism and public corruption are not mutually exclusive. A bribed customs official who allows a terrorist to smuggle contraband into our country, or a corrupt consular officer who illegally supplies U.S. entry visas to would-be terrorists can cause grave harm to our national security.
The bill also extends the statute of limitations from 5 to 6 years for the most serious public corruption offenses. Public corruption cases are among the most difficult and time-consuming cases to investigate. Bank fraud, arson and passport fraud, among other offenses, all have 10-year statutes of limitations. Public corruption offenses cut to the heart of our democracy. This modest increase to the statute of limitations is a reasonable step to help our corruption investigators and prosecutors do their jobs.
This bill goes further by amending several key statutes to broaden their application in corruption and fraud contexts and to eliminate legal ambiguities that can hinder prosecution of serious corruption. The bill includes a fix to the gratuities statute that makes clear that public officials may not accept anything of value, other than what is permitted by existing rules and regulations, given to them because of their official position. This important provision contains appropriate safeguards to ensure that only corrupt conduct is prosecuted, but it puts teeth behind the ethical reforms the Senate adopted under the leadership of Senator Obama.
The bill also appropriately clarifies the definition of what it means for a public official to perform an ``official act'' for the purposes of the bribery statute and closes several other gaps in current law. The bill adds two corruption-related crimes as predicates for the Federal wiretap and racketeering statutes, lowers the transactional amount required for Federal prosecution of bribery involving federally- funded State programs, and expands the venue for perjury and obstruction of justice prosecutions.
Finally, the bill raises the statutory maximum penalties for several laws dealing with official misconduct, including theft of Government property and bribery. These increases reflect the serious and corrosive nature of these crimes, and would harmonize the punishment for these crimes with other similar statutes.
If we are serious about addressing the kinds of egregious misconduct that we have witnessed over the past several years in high-profile public corruption cases, Congress should enact meaningful legislation to give investigators and prosecutors the tools and resources they need to enforce our laws. Passing ethics and lobbying reform in the last Congress was a step in the right direction. Now we should finish the job by strengthening the criminal law to enable federal investigators and prosecutors to bring those who undermine the public trust to justice. I am disappointed that Republican objections prevented the full Senate from passing this critical bill early in the last Congress. I hope that this year all Senators will support this bipartisan bill and take firm action to stamp out intolerable corruption.
Mr. President, I ask unanimous consent that the text of the bill be printed in the Record.
Mr. President, I am pleased today to introduce the Rural Law Enforcement Assistance Act of 2009, a bill designed to help rural communities deal with growing crime problems that threaten to become significantly worse as a result of the devastating economic crisis we face.
Congress and the new administration are beginning this session focused on passing a stimulus bill that will provide hundreds of billions of dollars to restart our economy, create jobs, and reverse the economic downturn inherited from the Bush administration. The Bush administration has already provided hundreds of billions of dollars to rescue the financial industry, and President Bush released billions more for assistance to the auto industry. Despite our legislative efforts to protect jobs and the economy as a whole, little has been done to help the millions of people in rural America, who have been hit as hard as anyone by the devastating effects of this recession.
We must help rural communities stay safe during this economic downturn. Rural areas, which lack the crime prevention and law enforcement resources often available in larger communities, have a particular need for assistance to combat the worsening drug and crime problems that threaten the well-being of our small cities and towns and, most particularly, our young people. The Rural Law Enforcement Assistance Act of 2009 will provide just this kind of help.
This bill will reauthorize a rural law enforcement assistance program first passed by Congress in the early 1990s. Like so many valuable programs that help local law enforcement and crime prevention, funding for this program was allowed to lapse under the Bush administration, despite its effectiveness in contributing to the record drop in crime in the late 1990s.
The program would authorize $75 million a year over the next 5 years in new Byrne grant funds for State and local law enforcement, specifically for rural States and rural areas within larger States. This support would be used to hire police officers, purchase necessary police equipment, and to promote the use of task forces and collaborative efforts with Federal law enforcement. Just as important, these funds would also be used for prevention and treatment programs in rural communities; programs that are necessary to combat crime and are too often the first programs cut in an economic downturn. This bill also authorizes $2 million a year over 5 years for specialized training for rural law enforcement officers, since training is another area often cut in hard times. This bill will immediately help cash-strapped rural communities with the law enforcement assistance they desperately need.
In December, the Senate Judiciary Committee traveled to St. Albans, Vermont, to hear from the people of that resilient community about the growing problem of drug-related crime in rural America, and about the innovative steps they are taking to combat that scourge. The introduction of this bill is a step forward to apply the lessons learned in that hearing and in previous crime hearings in Vermont and elsewhere.
Crime is not just a big city issue. As we heard in St. Albans last month, and at a hearing in Rutland, Vermont, earlier last year, the drugs and violence so long seen largely in urban areas now plague even our most rural and remote communities, as well. As the world grows smaller with better transportation and faster communication, so do our shared problems. Rural communities also face the added burden of fighting these crime problems without the sophisticated task forces and specialized squads so common in big cities and metropolitan areas. In fact, too many rural communities, whether in Vermont or other rural States, don't have the money for a local police force at all, and rely almost exclusively on the state police or other state-wide agencies for even basic police services. In this environment, we must do more to provide assistance to those rural communities most at risk and hardest hit by the economic crisis.
Unfortunately, for the last 8 years, throughout the country, State and local law enforcement agencies have been stretched thin as they shoulder both traditional crime-fighting duties and new homeland security demands. They have faced continuous cuts in Federal funding during the Bush years, and time and time again, our State and local law enforcement officers have been unable to fill vacancies and get the equipment they need.
This trend is unacceptable, and that is why we must restore funding for rural law enforcement that proved so successful in 1990s, when crime fell to record lows in rural and urban areas alike.
As a former prosecutor, I have always advocated vigorous enforcement and punishment of those who commit serious crimes. But I also know that punishment alone will not solve the problems of drugs and violence in our rural communities. Police chiefs from Vermont and across the country have told me that we cannot arrest our way out of this problem.
Combating drug use and crime requires all the tools at our disposal, including enforcement, prevention, and treatment. The best way to prevent crime is often to provide young people with opportunities and constructive things to do, so they stay away from drugs and crime altogether. If young people do get involved with drugs, treatment in many cases can work to help them to turn their lives around. Good prevention and treatment programs have been shown again and again to reduce crime, but regrettably, the Bush administration has consistently sought to reduce funding for these important programs. It is time to move in a new direction.
I will work with the new administration to advance legislation that will give State and local law enforcement the support it needs, that will help our cities and towns to implement the kinds of innovative and proven community-based solutions needed to reduce crime. The legislation I introduce today is a beginning, addressing the urgent and unmet need to support our rural law enforcement as they struggle to combat drugs and crime.
It is a first step for us to help our small cities and towns weather the worsening conditions of these difficult times and begin to move in a better direction. I hope Senators on both sides of the aisle will join me in supporting this important legislation.
Mr. President, I ask unanimous consent that the text of the bill be printed in the Record.
Mr. President, I am proud to cosponsor the District of Columbia House Voting Rights Act of 2009 to end the unfair treatment of District of Columbia residents and give them voting representation in the House of Representatives. For over 200 hundred years, the residents of the District of Columbia have been denied a voting Member representing their views in Congress. That is wrong, and I hope the Senate will consider this important issue early this year to remedy the disenfranchisement that residents of our Nation's capital have endured.
When the Senate considered this legislation last Congress the Republican minority chose to filibuster the bill. While a majority favored it, we fell short of the 60 votes needed to end the filibuster and pass it. Earlier that year, however, the House of Representatives worked in a bipartisan manner to pass a version of a voting rights bill for the District of Columbia led by Congresswoman Eleanor Holmes Norton. As a young lawyer, she worked for civil rights and voting rights around the country. It is a cruel irony that upon her return to the District of Columbia, and her election to the House of Representatives, she does not yet have the right to vote on behalf of the people of the District of Columbia who elected her. She is a strong voice in Congress, but the citizens living in the Nation's capital deserve a vote, as well.
The bill introduced today would give the District of Columbia delegate a vote in the House. It would give Utah a fourth seat in the House as well. Last Congress, the Judiciary Committee held hearings on a similar measure and we heard compelling testimony from constitutional experts. They testified that this legislation is constitutional, and highlighted the fact that Congress's greater power to confer statehood on the District certainly contains the lesser one, the power to grant District residents voting rights in the House of Representatives. Congress has repeatedly treated the District of Columbia as a ``State'' for various purposes. Congresswoman Eleanor Holmes Norton testified that although ``the District is not a State,'' the ``Congress has not had the slightest difficulty in treating the District as a State, with its laws, its treaties, and for constitutional purposes.'' Examples of these actions include a revision of the Judiciary Act of 1789 that broadened Article III diversity jurisdiction to include citizens of the District even though the Constitution only provides that Federal courts may hear cases ``between citizens of different States.'' Congress has also treated the District as a ``State'' for purposes of congressional power to regulate commerce ``among the several States.'' The Sixteenth Amendment grants Congress the power to directly tax incomes ``without apportionment among the several States,'' but has been interpreted also to apply to residents of the District. In fact, the District of Columbia pays the second highest Federal taxes per capita without any say in how those dollars are spent.
I believe that this legislation is within Congress's powers as provided in the Constitution. I agree with Congressman John Lewis, Congresswoman Norton and numerous other civil rights leaders and constitutional scholars that we should extend the basic right of voting representation to the hundreds of thousands of Americans residing in the District of Columbia. These Americans pay Federal taxes, defend our country in the military and serve on Federal juries.
This is an historic measure that holds great significance within the civil rights community and for the residents of the District of Columbia. I urge Senators to do what is right and to support this bill when it comes to the floor for full Senate consideration.
Over 50 years ago, the Senate overrode filibusters to pass the Civil Rights Acts of 1957 and 1964 and the Voting Rights Act of 1965. Congressman Lewis, a courageous leader during those transformational struggles decades ago, gave moving testimony before the Senate Judiciary Committee last Congress in which he reminded us that ``we in Congress must do all we can to inspire a new generation to fulfill the mission of equal justice.'' The Senate should continue to fight for the fundamental rights of all Americans and stand united in serving this noble purpose. No person's right to vote should be abridged, suppressed or denied in the United States of America. Let us move forward together and provide full voting rights for the citizens in our Nation's capital.
Before my colleague leaves the floor, I wish to ask him a question or two if he wouldn't mind. He has been involved in most of the major health issues that have passed this body in the last 15 years.…
Before my colleague leaves the floor, I wish to ask him a question or two if he wouldn't mind. He has been involved in most of the major health issues that have passed this body in the last 15 years. What was the vote margin in the Senate on some of those bills, on the Hatch-Kennedy, Hatch-Waxman bills? How many votes, roughly? I am not asking you to pull that up from memory, and it may not be fair to do. As I recall, a number of people on both sides of the aisle ended up supporting those bills.
In the Finance Committee?
And Hatch-Waxman? It is longer back.
I believe you did a major health care bill with Senator Dodd from Connecticut.
Do you recall the split?
If I could respond to my colleague, I do not know of any. I don't know of any who were even asked. I know of some who were told you can join this bill, or asked that--OK, can you join our bill but you don't have any input.
None. I know of none.
I haven't seen any at all, and particularly when we tried to work in a bipartisan fashion to add Hyde language into the bill that was defeated, not accepted.
My point is something I have seen the Senator say in a quote, that a good health care bill should have 70 votes because it is major legislation that affects everybody in the United States. It has huge costs associated with it. So it is not something you do on a single- party basis, it is something you work extensively on over a long period of time.
I ask my colleague again, over how many years he worked with Senator Kennedy on getting the Hatch-Kennedy bill, or Waxman--my guess is those are lengthy pieces of negotiations that take a period of time to get something that has bipartisan support.
If I could ask one more question before my colleague leaves--and also a comment that I like the Senator's tie, nice bright colors on a Saturday session.
What does the Senator think of getting--how many total votes could you get for a bipartisan health care bill along the lines of which a number of people on our side have discussed, where you expand access, you try to bend the cost curve down, you try to get more access to low-income individuals? Does the Senator think he could craft a bipartisan bill that could get well over 60 votes on health care reform?
I said I would only ask the Senator one more question, but I have one more. My question is you didn't do those bills on the fly where you were amending them, saying
OK, we can't quite find 60, let's go back to a closed room and let's rebuild the bill. You built them over a long period of time. You did a good job of working the problems out together, and then you built it as it went along. You didn't say OK, let's do it on the fly, let's change this, let's change that. You build a solid piece of legislation and move it forward, not changing it at the 11th hour as we are seeing take place now.
I thank my colleague from Utah for that explanation and also for the years of service he has given, and particularly a lot of focus on health care issues. I haven't always agreed with my colleague from Utah. I have always found him, though, very sound in his thinking, very knowledgeable in his ways, in knowing how you do this, and particularly when you are talking about health care these are bipartisan issues in and of themselves and they need to be in this body.
He also talked about the principles of federalism, which I think we have deviated from in what we see from this bill. I wish to read from the Constitution, article I, section 8. That is the piece I wish to focus on here for a minute about the constitutional question involved in this health care bill. Article I, section 8 reads simply this way, that the Congress shall have--and then it lists a series of enumerated powers: power to ``regulate Commerce with foreign Nations, and among the several States, and with the Indian tribes.''
That is our ability to regulate commerce, with the foreign nations, among the several States, and with the Indian tribes. There are a number of people raising the question about whether you can constitutionally require everybody in the United States, by virtue of their citizenship or status in the United States, to have health insurance. I think it is highly questionable.
It appears to me from several legal scholars that this is unconstitutional for us to do. It is a major plank in the health care legislation that has been brought forward by the Democratic majority and I do not believe it is going to stand constitutional challenge. I want to develop that for my colleagues here today.
The Congressional Budget Office said this about the constitutional question here. They said forcing individuals to buy insurance would be `` . . . an unprecedented form of federal action.'' Those are big words in a time when we are seeing a lot of what I think are unprecedented Federal actions. Then going on to say, ``The Government has never required people to buy any good or service as a condition of lawful residence in the United States.''
You would be requiring, as a condition for lawful residence in the United States, the purchasing of a good or a service--in this case health insurance. As laudable as some people may look at that or say that is, that would be what is being required. The Congressional Budget Office does not know of any time where a person in the United States has been required to buy any good or service as a condition simply of lawful residence in the United States. I think it raises significant constitutional questions.
You have to remember, as everybody does, but I think we have to remind ourselves because too often we act as if we don't remember that the Federal Government is a constitutional government of limited powers.
From James Madison in the Federalist Papers, quoted often but it bears repeating because it is a foundational issue:
[I]n the first place it is to be remembered that the
general government is not to be charged with the whole power
of making and administering laws. Its jurisdiction is limited
to certain enumerated objects.
Which is what I just read from in article I, section 8.
Chief Justice John Marshall, in the famous Marbury v. Madison case, stated:
The powers of the legislature are defined and limited; and
that those limits may not be mistaken or forgotten, the
Constitution is written.
We can't violate that. The Federal Government is limited to enumerated powers granted by the Constitution. The Founding Fathers who drafted and ratified the Constitution were unwavering in their desire to restrict the powers of States and limit the powers of Congress. To achieve their goal they created a system that splits State and Federal authority so that one government, Federal or State, does not maintain too much power over the liberty of the American people. Therefore, the Framers created a system with a legislature of limited and enumerated powers, the Congress, to enact laws which shall be necessary and proper for the execution of powers. One of those is the commerce clause I just read which grants Congress the authority to regulate commerce with foreign nations, among the several States, interstate commerce, and with Indian tribes.
Many have used the commerce clause to justify the implementation of this unconstitutional mandate. Those individuals often cite the case of Wicker v. Filburn, a 1942 case. The U.S. Supreme Court decision found that a law prohibiting a commercial farmer growing an additional acre of wheat to feed chickens beyond the limits imposed on wheat production mandated by the Federal Government was constitutional and fell under the enumerated powers granted by the commerce clause. Filburn was ordered to destroy his crops and pay a fine to the government for being too productive.
The Supreme Court, interpreting the Constitution's commerce clause, decided that Filburn's wheat growing activities reduced the amount of wheat he would buy for chicken feed on the open market and affected interstate commerce and, thus, could be regulated by the Federal Government. However, that Supreme Court decision, agree with it or not, still does not expand the
powers of this body under the commerce clause to impose a monetary fine or penalty upon a citizen who fails to purchase or enter into a private contract for health insurance. That doesn't expand our authority under the commerce clause. It doesn't change the commerce clause. For us to require somebody to do something simply as a status of citizenship, the Congressional Research Service says:
Despite the breadth of powers exercised under the Commerce
Clause, it is unclear whether the clause would provide a
solid constitutional foundation for legislation containing a
requirement to have health insurance. Whether such a
requirement would be constitutional under the Commerce Clause
is perhaps the most challenging question posed by such a
proposal, as it is a novel issue whether Congress may use
this clause to require an individual to purchase a good or a
service.
To think that the Federal Government can compel any individual to purchase a commodity because that individual is alive and breathing is unconstitutional and is at least a novel issue that this $2.5 trillion proposal is built around. Should we be doing this major change in health care, $2.5 trillion in spending, \1/2\ trillion in reduction in Medicare, \1/2\ trillion raising in taxes off of a novel constitutional question involved in the inherent piece of it, that being the requirement for everybody to have health insurance? I think not. Along with all the other problems with it, I think it has an enormous constitutional question right in the middle of it. And what if you pull that out and the Supreme Court says, ultimately, you can't require that. Then you have done $2.5 trillion, $\1/2\ trillion in Medicare cuts, $\1/2\ trillion in tax increases, and your core piece is pulled out; it is unconstitutional. Then the whole house of cards falls apart.
Another popular argument for forcing citizens to purchase health insurance under penalty of law is that States require people to buy car insurance. This argument is not only constitutionally flawed but also an underwhelming argument that in many respects hardly deserves comment and adds little to the debate. It is recognized that States maintain inherent police powers to regulate behavior and enforce order within their borders to promote public welfare, security, health, and safety. This is a fundamental difference between the power of States and the enumerated powers of the national government, such as commerce between States and Indian tribes. This is a much broader granting of jurisdiction to the States.
State vehicle insurance laws are exactly that, laws implemented by States, and are generally derived from State constitutions and not the Federal Constitution under which this body operates. Furthermore, these laws require an individual who voluntarily participates in the use of an automobile to insure that vehicle. It is not a right of citizenship as a Kansan that you have to buy auto insurance. But if you want to operate a car on our roads, you have to have auto insurance. It isn't a requirement of citizenship.
We are requiring this as an article of citizenship. You have to have health insurance, a novel and enormously expansive role of the Federal Government.
The Federal mandate for the purchase of health insurance forces individuals to purchase a commodity not because they choose to participate in an economic or commercial activity such as what one would think would be covered under the commerce clause but forces an individual to purchase a product simply because that person exists. This mandate is an abuse of the power granted to this Congress by the Constitution.
Last night I spent some time developing another thought that I think is an important one for us to consider. It is one this body has spent some time over the last decade dealing with; that is, the removal of the marriage penalty from our Tax Code, which we haven't gotten very far in doing, but getting the marriage penalty out, the thought being that marriage is a good institution. It is a fabulous institution for the formation of family. It is something that has an enormous role in our culture and society and should be rewarded and should not be taxed.
The fundamental principle exists, if you want less of something, tax it; if you want more of something, subsidize it. In the Democratic health care bill there are marriage penalties on both low-income and upper income individuals that will reduce the incidence of marriage in this society, under the principle that if you are going to tax something, you will get less of it.
This bill has marriage penalty taxes in it. I want to go through a series of these, starting with the high cost plan tax, the Cadillac insurance plan. Married couples under this bill are hit hardest by the high cost plans tax. The number of single and married tax filers is equal, but married taxpayers pay more than twice as much as singles as a percent of new tax revenue in this bill.
So if you are married filing jointly, you will pay 62 percent--single filers, 25 percent--in this bill. Is that something we want to do? Do we want to say, if you are married, you will pay more of the tax? Most people would say: We want to encourage marriage and the formation of family around marriage. We should have these at least equal or maybe do a higher tax on the other end. But most would say let's have these be equal.
Instead, in this we have a huge increase in the amount of money married filers will have to pay as compared to taxes paid by single filers. Consequently, you encourage people to say: Let's not get married because we don't want to pay the increase in taxes.
The high cost plans tax, the Cadillac plans tax, will hit married couples' households far more severely than single filers. Even though the number of married filers and single filers is roughly equal, the high cost plans tax will impact the total tax bill of married couples much more severely: 25 percent of the revenue will be from single filers, 62 percent of the bill will go to married filers. One thing is certain, 62 percent of married couples' households don't make more than $250,000. So not only is this unfair to married households, it is a direct contradiction of the President's promise that you wouldn't pay more taxes if you were making below $250,000. In this case you do under the Cadillac insurance plan proposal or piece in this proposal.
I want to look at another chart on this subject. If we wanted to talk about factors that impact an individual's decision to enter the workforce or to invest in a business, an important factor is the marginal tax rate they will face on the next dollar they earn. Basically, it is a question of whether it is worth the effort and risk to work. What is my marginal tax? If I work longer and make another $100, how much do I get to keep? The marginal tax rate.
This is an especially important factor for low-income households, people who don't have much marginal income to work off of. They need every dollar they can get. So if you are going to tax their marginal rate, they are looking at this saying: I don't want to get in that category. I need to hold back from getting in that category.
We have tried to help the less economically fortunate with various types of support programs: TANF, food stamps, the earned-income tax credit, the additional child tax credit, to name a few. Low-income families already face high marginal tax rates as a result of the phaseout of their benefits and tax rates that mean the loss of benefits they get under TANF, food stamps, the earned-income tax credit, housing assistance, the welfare package we put together for low-income individuals. Low-income families already face high marginal tax rates as a result of the phaseout of their benefits. These phaseouts already impose significant barriers to marriage.
In other words, whenever you get a combined income of a low-income couple, you lose more benefits. Consequently, people don't get married because they look and say: I will lose my health benefits if I get married. I will lose my medical benefits, my housing benefits. I may lose food stamps. I will not get married.
Yet you look at the chances for children in that situation to get out of poverty, their best chance is to have a stable mom and dad and a stable marriage environment, providing for the comfort and support of those children. Our incentives are disincentives toward marriage in this way, and they are built even more significantly into this health care bill.
As an example, let's take two individuals at 150 percent of the poverty level. After the new subsidies proposed
in this legislation are taken into account, these two individuals would pay $1,478 for their health insurance. But if they get married, their bill will increase to $2,308, a marriage penalty of $830, if you are at the 150 percent of poverty level or below. If you are at 150 percent of poverty or below, you don't have marginal income to mess around with. You need everything you have just to provide the basics. So if you are looking at this increase in the marriage penalty of $830, you are saying: We can't afford to get married.
Is that the signal we want to send from the Federal Government? No. Everybody in this body would say that.
Let's take a pair of individuals earning 250 percent of the poverty level. One has no children; the other has two children. Unmarried they will, after subsidies, pay $5,865 for their health coverage. If they decide to marry, they will face a penalty of $2,050.
Let's turn to the new Medicare tax that will go into effect in 2013. The tax will apply to wage and salary income as well as certain business income for individuals. The tax will apply to income of that type for above $200,000 for individuals and $250,000 for joint filers.
The penalty is obvious on its face. Let's take an example. Two unmarried individuals earn $200,000 each, and their total Medicare taxes would be $11,600. But if they get married, the penalty is $750. Or take two individuals, one making $150,000 and the other $200,000. Single, their Medicare taxes total $10,150; if they get married, they will pay an additional $500. This is on top of the marriage penalties that two earners face under current law. The marriage penalty is there. I don't think it is as significant as for the low-income individuals, but it is here as well.
My point is, why on Earth would that even be built into the base of the bill, particularly on the low-income couples? Why on Earth would you build in a marriage penalty on people who can't afford it? If combined income is over $250,000, you can afford another $500. I am willing to agree with that. But not this couple that is making at 150 percent of poverty or 250 percent of poverty, one with two kids. They can't afford that. Why on Earth would you build it into this? This is ridiculous that it be placed in the proposal. It makes no sense.
Creating and expanding on the penalties for marriage makes zero sense. Families are a critical determinant of the well-being of our society. Family structure also has a significant impact on economic well-being, on education, and the effect on the social fabric of this Nation is positive.
It is a fundamental law of economics that when you tax something, you get less of it. Why would we tax marriage, particularly for low-income individuals, when it is the best chance for those children involved with this couple to have a stable environment, if they will form a solid marriage unit? And we are going to tax it and discourage it. That is wrong. That is wrong as a policy matter.
There is a number of other problems I have had with this overall bill. This piece of it absolutely makes no sense to me, why we would do something like this. I urge my colleagues to vote against this bill, to take these sorts of things out, to take them out of the base law. Unfortunately, in the United States today, this is kind of repeating what already takes place in food stamps, what takes place in health benefits for low-income individuals right now. They cannot afford to get married or they lose their benefits. It is ridiculous. We ought to give people bonuses for getting married, not penalties for getting married. Now we are going to add to it by putting it in this health insurance bill. It is wrong and it is bad policy.
Mr. President, I yield the floor.
Mr. President, it is my great hope that Congress will move this year to see that the successful, bipartisan State Children's Health Insurance Program, SCHIP, is allowed the opportunity to fulfill its…
Mr. President, it is my great hope that Congress will move this year to see that the successful, bipartisan State Children's Health Insurance Program, SCHIP, is allowed the opportunity to fulfill its promise to the low-income children of this country. For over 11 years it has provided, along with Medicaid, the type of meaningful and affordable health insurance coverage that each and every American child deserves. Yet there is much work to be done to improve this program, and the reauthorization of SCHIP gives us the opportunity to expand these successful programs to many of the nine million uninsured children in the country today, starting with the 6 million that are already eligible for public programs but not yet enrolled.
While expanding coverage to the uninsured is our top priority, it is equally important to ensure that the types of benefits offered to our Nation's children are quality services that are available when needed. Unfortunately, when it comes to mental health coverage, that is too often not the case today. Therefore, I am introducing today, along with Senator Snowe, the Children's Mental Health Parity Act which provides for equal coverage of mental health care for all children enrolled in the State Children's Health Insurance Plan, SCHIP. This was passed as part of the SCHIP reauthorization last year, but unfortunately the bill was vetoed by President Bush.
I am encouraged by the passage of the Paul Wellstone and Pete Domenici Mental Health Parity and Addiction Equity Act in October 2008. It is now time to extend the same parity in mental health coverage to our children that we give to adults. Mental illness is a critical problem for the young people in this country today. The numbers are startling. Mental disorders affect about one in five American children and up to 9 percent of kids experience serious emotional disturbances that severely impact their functioning. Low-income children, those the SCHIP program is designed to cover, have the highest rates of mental health problems.
Yet the sad reality is that an estimated \2/3\ of all young people struggling with mental health disorders do not receive the care they need. We are failing our children when we do not provide appropriate treatment of mental health disorders. The consequences of this failure could not be more severe. Without early and effective intervention, affected children are less likely to do well in school and more likely to have compromised employment and earnings opportunities. Moreover, untreated mental illness may increase a child's risk of coming into contact with the juvenile justice system. Finally, children with mental disorders are at a much higher risk for suicide.
Unfortunately, many states' SCHIP programs are not providing the type of mental health care coverage that our most vulnerable children deserve. Many States impose discriminatory limits on mental health care coverage that do not apply to medical and surgical care. These can include caps on coverage of inpatient days and outpatient visits, as well as cost and testing restrictions that impair the ability of our physicians to make the best judgments for our kids.
The Children's Mental Health Parity Act would prohibit discriminatory limits on mental health care in SCHIP plans by directing that any financial requirements or treatment limitations that apply to mental health or substance abuse services must be no more restrictive than the financial requirements or treatment limits that apply to other medical services. This bill would also eliminate a harmful provision in current law that authorizes states to lower the amount of mental health coverage they provide to children to just 75 percent of the coverage provided in other health care plans used by states.
Many of the leading advocacy groups have endorsed the Children's Mental Health Parity Act, including Mental Health America, the American Academy of Child & Adolescent Psychiatry, the Bazelon Center for Mental Health Law, Fight Crime: Invest in Kids, The National Association for Children's Behavioral Health, the National Association of Psychiatric Health Systems, and the National Council for Community Behavioral Health care.
America's kids who are covered through SCHIP should be guaranteed that the mental health benefits they receive are just as comprehensive as those for medical and surgical care. It is no less important to care for our kids' mental health, and this unfair and unwise disparity should no longer be acceptable. As we debate many important features of the SCHIP program during reauthorization, I look forward to working with colleagues on both sides of the aisle to see that this important, bipartisan measure receives the support that it deserves.
Mr. President, our economy is in the midst of the worst economic downturn since since the Great Depression. We all realize that small businesses are the backbone of our economy. During these difficult times, many small businesses are having trouble accessing credit which leads to a decline in job creation and innovation.
Many of our most successful corporations started as small businesses, including AOL, Apple Computer, Compac Computer, Datastream, Evergreen Solar, Intel Corporations, and Sun Microsystems. As you can see from this partial list, many of these companies played an integral role in making the Internet a reality.
Today, Senator Snowe and I are introducing the Invest in Small Business Act of 2009 to encourage private investment in small businesses by making changes to the existing partial exclusion for gain from certain small business stock.
Investing in small businesses is essential to turning around the economy. Not only will investment in small business spur job creation. it will lead to new technological breakthroughs. We are at an integral juncture in developing technology to address global climate change. I believe that small business will repeat the role it played at the vanguard of the computer revolution--by leading the Nation in developing the technologies to substantially reduce carbon emissions. Small businesses already are at the forefront of these industries, and we need to do everything we can to encourage investment in small businesses.
Back in 1993, I worked with Senator Bumpers to enact legislation to provide a 50 percent exclusion for gain for individuals from the sale of certain small business stock that is held for 5 years. This provision would provide a 50 percent exclusion for gain for individuals from the sale of certain small business stock that is held for 5 years. Since the enactment of this provision, the capital gains rate has been lowered twice without any changes to the exclusion. Due to the lower capital rates, this provision no longer provides a strong incentive for investment in small businesses.
The Invest in Small Business Act of 2009 makes several changes to the existing provision. This legislation increases the exclusion amount from 50 percent to 100 percent and decreases the holding period from 5 to 4 years. This bill would allow corporations to benefit from the provision as long as they own less than 25 percent of the small business corporation stock.
Currently, the exclusion is treated as a preference item for calculating the alternative minimum tax, AMT. The Invest in Small Business Act of 2009 would repeal the exclusion as an AMT preference item.
The Invest in Small Business Act of 2009 will provide an effective tax rate of 0 percent for the gain from the sale of certain small businesses. This lower capital gains rate will encourage investment in small businesses. In addition, the changes made by the Invest in Small Business Act of 2009 will make more taxpayers eligible for this provision.
I urge my colleagues to support the Invest in Small Business Act of 2009 which strengthens an existing tax incentive to provide an appropriate incentive to encourage innovation and entrepreneurship.
Mr. President, my home State of Massachusetts is setting an example for the rest of the country by taking bold steps to provide quality health coverage for everyone. Now it is time for Washington to do the same by bringing meaningful, affordable healthcare to the uninsured, in Massachusetts and across America.
In Massachusetts the cost of health care is a major obstacle to the overall goal of universal coverage. The problem of the uninsured can't be solved unless the issue of skyrocketing health costs to families and businesses is also tackled. And fully reforming the healthcare system requires that the Federal Government begin shouldering some of the burden to help alleviate costs.
Healthcare costs are highly concentrated in this country. The very few who suffer from catastrophic illness or injury drive costs up for everyone. One percent of patients account for 25 percent of healthcare costs, and 20 percent of patients account for 80 percent of costs. To make healthcare more affordable, we must find a better way to share the immense burden of insuring the chronically ill and seriously injured.
Part of the reason that businesses and health plans today fail to cover their workers is an aversion to risk. Patients who are catastrophically ill or injured often face the tragic combination of failing health and financial peril. But there's a way to combat these costs.
Congress should make employers and healthcare plans an offer they can't refuse. It's called ``reinsurance.'' Reinsurance provides a backstop for the high costs of healthcare. The Federal Government will reimburse a percentage of the highest cost cases if employers agree to offer comprehensive health insurance benefits to all full time employees, including preventative care and health promotion benefits that are proven to make care affordable. This will result in lower costs and lower premiums for both employers and employees. If the Federal Government can help small and large businesses bear the burden of cost in the most expensive cases, we'll dramatically improve the access to health care for everyone.
That is why I am introducing the Healthy Businesses, Healthy Workers Reinsurance Act, to make the federal government a partner in helping businesses with the heavy financial burden of those catastrophic cases. Specifically, this legislation is designed to assist those catastrophic cases that cost more than $50,000 in a single year. Healthy Businesses, Healthy Workers will protect business owners from skyrocketing premiums, and provide more working families affordable, quality healthcare. With reinsurance, health insurance premiums for all of us will go down, by up to approximately 10 percent under this plan. This plan does have a cost associated with it, but the benefits will outweigh the costs. We spend hundreds of billions of dollars each year on inefficient and wasteful health expenditures. We need to make sure that these funds are being spent wisely to ensure that we can lower health care costs and improve coverage.
I believe that we must act now to address the health care crisis in America, taking steps that create real change and address both access to care and the cost of care. There is a growing bipartisan consensus that the Federal Government has a responsibility to help the catastrophically ill. As we take the next steps toward alleviating our nation's health care crisis, a commonsense partnership between employers, families, and the government to share the costs of the sickest among us will lay the groundwork for achieving our ultimate goal: meaningful health care coverage for every single American. I ask all my colleagues to support this legislation.
Mr. President, today Senator Snowe and I are introduce legislation to exempt private activity bond interest from the alternative minimum tax, AMT. My colleague from Massachusetts, Representative Richard Neal has introduced similar legislation. Under current law, interest paid on private activity bonds is subject to the alternative minimum tax. This results in the bonds not being very marketable in these difficult economic times.
Making private activity bonds no longer subject to the AMT would help with the issuance of bonds. This legislation would assist in needed relief to State and local governments across the Nation. It would provide more buyers to the market, resulting in interest savings for issuers, and ultimately taxpayers.
Subjecting private activity bond interest to the AMT could cost an issuer 25 to 30 more basis points when issuing an AMT bond compared to a non-AMT bond. However, the recent freezing of the municipal credit market has led the difference to rise as much as 100 basis points. This results in increased costs for various infrastructure projects including airports, docks and other transportation-related facilities; water, sewer and other utility facilities; and solid and hazardous waste disposal facilities.
Last Congress, I worked on a provision to exempt the interest from private activity housing bonds from the AMT and this provision was included in the Housing and Economic Recovery Act of 2008. The legislation Senator Snowe and I are introducing builds on this provision by exempting interest from all private activity bonds from the AMT.
I believe this legislation will help spur the economy and create jobs. This legislation will provide better funding options for essential infrastructure projects and create jobs across the country. I look forward to working with my colleagues on this important legislation.
Mr. President, today I am introducing the College Opportunity Tax Credit Act of 2009. This legislation creates a new tax credit that
will put the cost of higher education in reach for American families.
According to a recent College Board report tuition is rising at both public and private institutions. On average, the tuition at a private college this year is $25,143, up 5.9 percent from last year, and the tuition at a public college $6,585, up 6.4 percent from last year.
Unfortunately, neither student aid funds nor family incomes are keeping pace with increasing tuition and fees. In my travels around Massachusetts, I frequently hear from parents concerned they will not be able to pay for their children's college. These parents know that earning a college education will result in greater earnings for their children and they desperately want to ensure their kids have the greatest opportunities possible.
In 1997, the Congress implemented two new tax credits to make college affordable--the HOPE and the Lifetime Learning credits. These tax credits have put college in reach for families, but I believe we can do more.
The HOPE and Lifetime Learning credits are not refundable, and therefore a family of four must have an income over $30,000 in order to receive the maximum credit. Almost half of families with college students fail to receive the full credit because their income is too low. In order to receive the full benefit of the Lifetime Learning credit, a student has to spend $10,000 a year on tuition and fees. This is more than $3,000 the average annual public 4-year college tuition more than three times the average annual tuition of a 2-year community college. About 56 percent of college students attend schools with tuition and fees under $9,000.
In 2004, I proposed a refundable tax credit to help pay for the cost of 4 years of college. Currently the HOPE credit applies only to the first 2 years of college. The College Opportunity Tax Credit Act of 2009 helps students and parents afford all four years of college. It also builds on the proposal I made in 2004 by incorporating some of the suggestions made by experts at a Finance Committee hearing held during the 109th Congress. My legislation creates a new credit, the College Opportunity Tax Credit, COTC, that replaces the existing HOPE credit and Lifetime Learning credit and ultimately makes these benefits more generous.
The COTC has two components. The first provides a refundable tax credit for a student enrolled in a degree program at least on a half- time basis. It would provide a 100 percent tax credit for the first $2,000 of eligible expenses and a 50 percent tax credit for the next $4,000 of expenses. The maximum credit would be $4,000 each year per student. The second provides a nonrefundable tax credit for part-time students, graduate students, and other students that do not qualify for the refundable tax credit. It provides a 40 percent credit for the first $1,000 of eligible expenses and a 20 percent credit for the next $3,000 of expenses.
Both of these credits can be used for expenses associated with tuition and fees. The same income limits that apply to the HOPE credit and the Lifetime Learning credit apply to the COTC. These amounts are indexed for inflation, as are the eligible amounts of expenses. This legislation is only for taxable years beginning in 2009 and 2010 in order to make colleges affordable during these difficult financial times. It will also give the Congress additional time to work on a permanent solution to help with the rising cost of a college education.
The College Opportunity Tax Credit Act of 2009 simplifies the existing credits that make higher education more affordable and will enable more students to be eligible for tax relief. I understand that many of my colleagues are interested in making college more affordable. I look forward to working with my colleagues to make a refundable tax credit for college education a reality this Congress.
Mr. President, today Senator Ensign and I are reintroducing the MOBILE Cell Phone Act of 2009, Modernize Our Bookkeeping in the Law for Employee's Cell Phone Act of 2009. Last Congress, 60 Senators cosponsored this legislation which would update the tax treatment of cell phones and mobile communication devices.
During the past 20 years, the use of cell phone and mobile communication devices has skyrocketed. Cell phones are no longer viewed as an executive perk or a luxury item. They no longer resemble suitcases or are hardwired to the floor of an automobile. Cell phone and mobile communication devices are now part of daily business practices at all levels.
In 1989, Congress passed a law which added cell phones to the definition of listed property under section 280F(d)(4) of the Internal Revenue Code of 1986. Treating cell phones as listed property requires substantial documentation in order for cell phones to benefit from accelerated depreciation and not be treated as taxable income to the employee. This documentation is required to substantiate that the cell phone is used for business purposes more than 50 percent of the time. Generally, listed property is property that inherently lends itself to personal use, such as automobiles.
Back in 1989, cell phone technology was an expensive technology worthy of detailed log sheets. At that time, it was difficult to envision cell phones that could be placed in a pocket or handbag. Congress was skeptical about the daily business use of cell phones.
Technological advances have revolutionized the cell phone and mobile communication device industries. Twenty years ago, no one could have imagined the role BlackBerries play in our day-to-day communications. Cell phones and mobile communication devices are now widespread throughout all types of businesses. Employers provide their employees with these devices to enable them to remain connected 24 hours a day, 7 days a week. The cost of the devices has been reduced and most providers offer unlimited airtime for one monthly rate.
Recently, the Internal Revenue Service reminded field examiners of the substantiation rules for cell phones as listed property. The current rule requires employers to maintain expensive and detailed logs, and employers caught without cell phone logs could face tax penalties.
The MOBILE Cell Phone Act of 2009 updates the tax treatment of cell phones and mobile communication devices by repealing the requirement that employers maintain detailed logs. The tax code should keep pace with technological advances. There is no longer a reason that cell phones and mobile communication devices should be treated differently than office phones or computers. Last, Congress 60 Senators cosponsored this legislation. I urge my colleagues to support this commonsense change.
Mr. President, I rise this afternoon to speak about health care and the bill that is on the Senate floor that we have been debating now for a number of days, the Patient Protection and Affordable…
Mr. President, I rise this afternoon to speak about health care and the bill that is on the Senate floor that we have been debating now for a number of days, the Patient Protection and Affordable Care Act. I want to provide, first, a brief overview, but in particular to focus on provisions that relate to our children and then get into some detail about those provisions and the important programs that are contained within those parts of the bill.
First of all, as we all know from the debate, what this side of the aisle has been trying to do is not just to pass legislation, but to do it in a way that meets the goals we set forth many months ago and, as well, what President Obama indicated much earlier this year in terms of some basic goals.
I will just cite a few of those: To make sure when we are enacting legislation that we do not add to the deficit; that we at least break even, so to speak. But the good news is, on the scoring done by the Congressional Budget Office, the Patient Protection and Affordable Care Act will actually lower--lower--the deficit over 10 years by some $130 billion, and then lower it even further over the course of the next 10 years, by one estimate, over $600 billion. So that is good news about deficit reduction as it relates to this bill. Even if we broke even, it would be significant.
Also, we are obviously trying to cover tens of millions of Americans who do not have coverage. The foundation of the bill on that issue is that some 94 percent of the American people will be covered, adding some 30 million to 31 million in terms of coverage. That is also a goal. I think we are going to be able to meet that.
Then there are a whole series of things we have talked and talked about for years and have never done. We talk about how we have to enhance health care quality. We have not done much about it, and we are going to be able to make changes in this bill to do that.
Certainly prevention. Everyone knows--the studies on this are, in a word, irrefutable--that prevention is not only good for a patient and good for his or her own family, and good for the economy long term because you are going to have a healthier worker, but it is also a giant cost saver, sometimes in a way that you cannot quantify or even often get credit for from the Congressional Budget Office.
I have no doubt--and I think I join a lot of other people who know a lot more about prevention than I do--that this will be a huge cost saver in addition to being something that leads to better health outcomes. So in terms of quality and prevention and deficit reduction and coverage, it is a very strong bill.
It is also a strong bill in terms of dealing with what we can call, in two words, consumer protections. That does not even begin to describe what this bill will do in terms of helping at least one category of Americans. We saw a study a couple months ago that indicated over a several-year period of time--if my recollection serves me, 3 years--millions of Americans--not thousands or tens of thousands, but millions of Americans--have been denied coverage because of a preexisting condition. That is because we have allowed insurance companies to do it year after year, and in some cases a lot longer than that.
Well, we do not need to just talk about it and decry it and condemn it, we need to make it illegal. But we also have to make sure we do not just pass legislation--a lot of which has to be implemented down the road--and then say to those with preexisting conditions: We have changed the law, but you have to wait several years.
One of the immediate benefits under the Patient Protection and Affordable Care Act relates to those Americans who have preexisting conditions. The act will provide $5 billion in immediate Federal support for a new program to provide affordable coverage to uninsured Americans with preexisting conditions. Coverage under the program will continue until the new exchanges are operational. That is good news for millions of Americans who have been denied coverage.
I cannot tell you--I think every Senator in this Chamber on both sides of the aisle, Democrat, Republican, Independent--has received letters from Americans, horrific, tragic stories, in many instances, where they have been denied coverage, sometimes leading to death, sometimes leading to, even if it is not death, the worst of health care outcomes. So that high-risk pool, as it is called, for those with preexisting conditions will mean immediate benefit under the bill.
I will mention a couple of other things that will happen immediately, and then I will move to the provisions on children. We hear a lot about business on this floor and arguments about who is stronger or who is more of an advocate for small business especially. But what we do not say enough is, this
act, the Patient Protection and Affordable Care Act, will offer tax credits to small businesses to make employee coverage more affordable, and those tax credits will go up to 50 percent of premiums, which will be available to firms that choose to offer coverage.
That is another not just good reform--good for the small businesses, good for the employee, and really good for our economy short term and long term--but it is one of those immediate benefits.
I will cite one more, and then I will move on.
This Congress, a couple years ago, passed Medicare Part D, as it is known, adding prescription drug coverage. One of the adverse impacts from that legislation is, an older citizen gets the benefit of that and is able to benefit from the prescription drug coverage, but then they fall into the so-called doughnut hole. That is a very innocent-sounding phrase, ``doughnut hole.'' It does not sound that bad. It is a nightmare for someone.
Basically, what it means is that an older citizen has to carry the whole freight for a long time and pay a lot of money at a certain period of time when they fall within that category.
The Patient Protection and Affordable Care Act will reduce the size of the so-called doughnut hole by raising the ceiling on the initial coverage period by $500 in 2010. That is another immediate benefit of the enactment of this bill.
The act will also guarantee 50-percent price discounts on brand-name drugs and biologics purchased by low-income and middle-income beneficiaries up to the coverage cap. That is another immediate benefit.
These are benefits in terms of small business, in terms of covering those with preexisting conditions immediately, as well as helping older citizens deal with and manage the difficult doughnut hole problem so many of them have been suffering from.
Let me do a quick summary. I will start with this chart. As shown on this chart, this is just a summary of some of the challenges of where we are now and what happens if we do nothing. It says: Status Quo is Unacceptable and Unsustainable. That is an understatement.
The first bullet point on there: Every week, 44,230 people are losing their health insurance coverage. So every week that goes by, every day that goes by, we have Americans losing their coverage--bad for the individual and their family, and it is real bad for our economy.
The second bullet point: Between January 2008 and December 2010-- roughly you are looking there at a 3-year type period--178,520 individuals in Pennsylvania are projected to lose their health care coverage. There is no way to adequately describe the adverse impact that projection and that data point has on the people of Pennsylvania. You cannot have a growing economy if people are losing their health coverage. The numbers are spiraling out of control, not only in Pennsylvania but across the country. You cannot sustain any economy that way long term.
The third and final bullet point: Without reform, family coverage will cost $26,679 in 2016--just 7 years from now--consuming 51.7 percent of projected Pennsylvania family median income. The cite is the New American Foundation.
That same number for the country--in other words, the percentage of median family income going to pay for health care--for health care, something so fundamental and basic in our society--it is 51.7 percent in Pennsylvania in 2016. The good news for the rest of the country is that the national average is only--only--a little more than 45 percent.
I have not met a person in Pennsylvania or anywhere else in this country, but I know I have not met a person in Pennsylvania who says: Do you know what. Don't worry about it. Don't worry about passing any health care reform bill. Don't worry about getting it done because in 2016--I am living in Pennsylvania--I can come up with 51.7 percent of my income for health care. Don't worry about it. I can handle it.
We know no one can afford that. Even a family of tremendous means might have trouble affording more than half their income--half their income--to pay for health care.
What if the projection is wrong? What if it is off by 10 percentage points? That is 40 percent. What if it is wrong even more? What if it is only 30 percent? I do not know of a family who can afford that.
So we have a lot of reasons to get this right and to pass the bill. That projection is one of the most horrific.
Now I will move to the chart on children.
I will give just a quick summary of what the bill does for children, and then we will walk through the Children's Health Insurance Program.
A couple of basic points: pediatric benefit package; that comes with this legislation, including oral and vision coverage for children. Many health plans do not provide that kind of coverage. It is one of those unwritten stories--or if it has been written, it has not been written about enough--where children lose out, sometimes even in a good health care plan for their parents. So it is not good enough to say, well, we have some coverage here and kids will be just OK. Children, as the advocates remind us all the time--these are not my words--are not small adults. They have different health care needs, and they have different health care problems and challenges.
Pediatric benefits, as part of the benefit package, is a dramatic change and a very important change.
This bill will not only require coverage for basic pediatric services under all health plans but also oral and vision needs, which improve a child's ability to learn and perform in school. So we can't talk about getting better test scores in school and doing all kinds of things that are in our education system if a child is not given the basic health care a child needs, not the health care an adult needs.
The second point under what the bill would do is more pediatric providers. We have to have strategies in place to recruit and incentivize and train more pediatricians. You can't just say you want more coverage for kids and throw more money at it; you need to have the workforce to do it. The Patient Protection and Affordable Care Act will expand the workforce, including pediatricians, pediatric nurse practitioners, specialists in pediatrics, and pediatric oral health professionals to give kids what they should have in this country of ours where we know what works. We know exactly what works when it comes to children's health insurance.
Then, providing greater quality, improving the quality of coverage for children. The preventive health care we are going to provide for children is dramatic.
Finally, let me make a point about children overall. We hear a lot of discussion about where health care--what part of the country benefits the most and who will benefit the most. Well, under this legislation, there is not an American, I believe, who will not be positively impacted one way or another, sometimes directly. But one message came out loudly and clearly during the debate on children's health insurance going back a number of years in the Senate. Often, most people think of children under the benefit of the Children's Health Insurance Program as living in urban areas maybe or in a big city because that is where poverty is highest and, therefore, lower and middle-income families benefit from Medicaid or children's health insurance. That is largely true, for sure. But what came through to me in that debate many years ago--several years ago now--is something I never knew before, which is that one-third of rural children in America are the beneficiaries of either Medicaid or the Children's Health Insurance Program. Not many people heard that until a couple years ago. So this isn't about one specific demographic--or geographic, I should say--location where children are and who need these benefits, where there is Medicaid or the Children's Health Insurance Program. We know this is a problem for rural children, for urban children, for children who live in small towns, and even in suburban communities that are perceived to be a little more secure economically.
When I have been talking about what we have to do for children, I often point to a line from the Scriptures, a very simple line, but I think it holds us accountable in this debate as it relates to children. There is a line in the Scriptures that says, ``A faithful friend is a sturdy shelter.'' The question we
have to ask when we are debating how we are going to help our children in this legislation is: Will we be a faithful friend to children? It is actually a pretty simple question, with profound, almost incalculable implications. Are we going to be that sturdy shelter for children, children who don't have a voice, who don't have economic power, who don't have a lobbyist showing up on Capitol Hill every day saying: Take care of this child or help this group of children. So the question for the Senate, one of many questions we have to answer by the end of this debate is: Will we be a sturdy shelter for children? Will we be a faithful friend to children?
Let me conclude with a couple remarks about the Children's Health Insurance Program, in particular. My colleagues can see up here, in Pennsylvania--this is typical of a number of States but not every State--through Pennsylvania's Children's Health Insurance Program benefits, children are guaranteed to receive comprehensive insurance coverage, including the following:
Every child should have this. I don't care who they are or where they live or what their economic status is, they should have immunizations. They should have routine checkups, prescription drugs, dental care, maternity care for their mothers, mental health benefits, up to 90 days' hospitalization per year, durable medical equipment, substance abuse treatment, partial hospitalization for mental health services, and, finally, rehabilitation therapies and home health care. That whole menu of benefits for children is not some theory or some hope, in a sense; this is what the Children's Health Insurance Program means to America's children, their parents, their family, and, I would argue, this is about economic development in the long run.
This is about developing a high-skilled workforce. If a child has these benefits in place, they can make it in life, with a couple other breaks and some other incentives. But if they don't have this list and they don't have the best possible health care, they are going to be in a lot of trouble. All of us will be in trouble because our economy will never be as strong as it can be and must be unless we do that.
Let me go to the next chart, which is a subset of that. This chart depicts what is in children's health insurance now: Well-child visits. I have talked about that a lot. It is not a real glitzy subject for people to debate but a critically important part of what children's health insurance means and the benefits mean, a well-child visit. In the course of 1 year, under the Children's Health Insurance Program-- under the program we put in place and Congress enacted almost 15 years ago and then we reauthorized it just this year and President Obama signed the legislation--it means, instead of 7 million kids covered-- that is a great amount and that is great, but in a couple years, we are going to be able to expand that to 14 million children. I wish to make sure--and I am sure this view is shared across the aisle as well--that every child should have six of those well-child visits in a year. It is a key time for a parent and physician to communicate. Doctors recommend six visits in the first year. They get a complete physical examination, including height, weight, and other developmental milestones are measured. Hearing and vision are checked. We have all had the experience where a child doesn't get those kinds of basic checks and they have a hearing problem because it wasn't detected early or a vision problem. One of my four daughters had a vision problem. It wasn't caught at an early enough stage and we had some real difficulties making sure she had the right care.
Important topics discussed, including normal development. What does that mean? A doctor should be able to talk to a parent about that, and the program covers that. Nutrition, sleep, safety, infectious diseases, and then general preventive care. Why should there even be a debate about whether children get this? The good news is, we have a program that does that and the good news is also that we have just expanded that program.
Here is where the challenge comes in. In the midst of health care reform, the House of Representatives did a lot of good things in their bill. One thing they did not do well is make sure the Children's Health Insurance Program is as strong as it needs to be and must be, and that is the reason why I received the following letter. I will not read the whole letter, but this letter came from Barbara Ellis. She is in Broomall, PA. I spoke to her a couple days ago about her letter. I will not read all of it, but I think it describes pretty aptly what we are talking about.
Barbara and her husband Ben live in Delaware County, PA, in Broomall. She says:
We are a one income family with two sons, ages 6 and 8. Due
to the high price of health insurance my children are
currently covered under the free Pennsylvania Children's
Health Insurance Program.
That is the good news. But here is the part where she is worried:
We qualify for free Children's Health Insurance coverage in
Pennsylvania, but my husband's income is greater than 150
percent of the Federal poverty level which means our children
won't qualify for the coverage under the House's proposed
plan.
Then she says--probably the most important part of this whole letter: ``This has us terrified.''
So it would any parent who does not have the peace of mind to know, when they fall asleep at night, they don't have to worry about whether their children have health insurance. But if we don't do the right thing, she will have that sense of terror. She says this as she concludes the letter:
It would help us tremendously if you could support keeping
the Children's Health Insurance provisions intact which
would, in turn, support families like ours.
That is what I have done by way of an amendment to our bill to make sure we strengthen what the House did and strengthen even our own bill. Our children's health insurance amendment, which I will not go through today, strengthens and safeguards the program through 2019 and beyond to address any changes health care reform may bring.
We will talk more about it, but this is key to be able to make sure we have not just a set of benefits for children that are directly tied to their care and will help them for decades afterward and help our economy and give their families peace of mind but also that in the process of making sure we keep these kinds of benefits, we keep the program strong, not just until 2013 but at least all the way to 2019. I think we can do that. I think we can do that in the midst of this debate and get it right and give families and especially children that kind of protection.
In a word, what we have to make sure we do is to ensure that the Senate and the Congress and this administration do everything they can to prove and to demonstrate that we are a faithful friend to children, that we will always be their sturdy shelter.
I yield the floor.
Madam President, I rise to speak on the pending bill before us, one of the great porkbarrel, earmark-filled pieces of legislation I have seen come before this body. I would like to quote from ABC…
Madam President, I rise to speak on the pending bill before us, one of the great porkbarrel, earmark-filled pieces of legislation I have seen come before this body.
I would like to quote from ABC News, by Jonathan Karl and Devin Dwyer, ``Tis the Season of `Pork': Congress Gifts $4 Billion in Earmarks.''
Just weeks before returning to their districts for
Christmas, Congress is poised to give the gift of pork--
roughly $4 billion of it.
More than 5,000 earmarks were included in the $447 billion
omnibus spending bill passed yesterday by the House, funding
``pet projects'' of key members of Congress from both parties
and all regions of the country. The Senate will vote on the
bill this weekend. . . .
Independent analyses of the bill reveal a whopping 12
percent increase in government spending for 2010 while the
inflation rate in the country remains near zero.
Really, isn't that remarkable? A 12-percent increase in spending when people are out of jobs, out of their homes. They cannot afford, basically, what they need to sustain their lives, and we have increased spending by 12 percent and 4,500 earmarks, about $4 billion of it.
``This Congress has not shown that they are at all serious
about the budget deficit in any way,'' said Brian Riedl of
the Heritage Foundation. ``The spending spree is continuing
even as the deficit escalates to $2 trillion.''
The earmarks are all explicitly listed in the bill--right
next to the members of Congress who inserted them: $800,000
for jazz at New York's Lincoln Center, for Rep. Jerold
Nadler, D-N.Y., and Sen. Tom Harkin, D-Iowa. Harkin, and Rep.
Leonard Boswell, D-Iowa, got $750,000 for exhibits at the
World Food Prize Hall in Iowa. Hawaii Democratic senators Dan
Inouye and Daniel Akaka helped get $3.4 million for a rural
bus program in Hawaii.
``The country needs to be tightening its belt, just like
the rest of America,'' said Steve Ellis of Taxpayers for
Common Sense.
Republicans have criticized the spending package, but many
Democrats say it funds key priorities.
Two of the biggest earmarks are from Republican senators
Thad Cochran and Roger Wicker of Mississippi at a cost of $8
million for improvements to four rural State airports. One
airport serves fewer than 100 passengers a day and another--
the Mid-Delta Regional Airport--sees even less.
By the way, I have seen the pork extended to both of those airports over the years.
The new funds would come on top of $4.4 million the
airports just received from the stimulus package.
I am not making this up.
``We obviously have huge aviation and transportation needs
in this country and stuffing millions of dollars in small,
little-used airports in Mississippi is not a wise use of
funds,'' said Ellis.
President Obama had promised to curb the inclusion of
earmarks in government spending bills but he has yet to issue
the threat of a veto.
My friends, do not wait for the threat of a veto.
In March, Obama signed a $410 billion spending package that
contained nearly 8,000 pet projects.
``I am signing an imperfect omnibus bill because it's
necessary for the ongoing functions of government,'' Obama
said at the time. ``But I also view this as a departure point
for more far-reaching change.''
What has changed? What has changed? Nothing. Nothing has changed.
Senate majority leader Harry Reid said about the last omnibus: We have a lot of issues we need to get to after we fund the government-- something we should have done last year but could not because of the difficulty we had working with President Bush.
Difficulty working with President Bush? Whom did the majority leader have trouble working with this time?
Again, I repeat, a 1,350-page Omnibus appropriations conference report, 6 bills, spends $450 billion, 4,752 earmarks totaling $3.7 billion, and a full 409 pages of this conference report are dedicated to listing congressional pork-barrel spending. Spending on domestic programs in this bill is increased 14 percent over the last fiscal year, while spending on military construction and care for veterans has increased by only 5 percent.
Let's look at a little bit of it. Transportation, Housing and Urban Development contains 1,400 earmarks totaling over $1 billion. Commerce- Justice-Science contains 1,511 earmarks totaling $715 million. The list goes on and on. Here we are with a deficit of $1.4 trillion, a debt of $12 trillion, unemployment at 10 percent, nearly 900,000 families lost their homes in 2008, yet there is every indication that the aggregate numbers for 2009 will be worse. With all this, we continue to spend and spend and spend. Every time we pass an appropriations bill with increased spending and load it up with earmarks, we are robbing future generations of Americans of the ability to obtain the American dream. Forty-three cents out of every dollar spent in this bill is borrowed from our children and our grandchildren and, unfortunately, generations after theirs. This is the greatest act of generational theft committed in the history of this country.
Let me go through a few of these, if I might, and remind people of the context this is in. In my home State of Arizona, 48 percent of the homes are ``underwater,'' meaning they are worth less than the mortgage payments people have to pay. We have small businesspeople losing credit everywhere. Instead of trying to fix their problems and helping them out, it is business as usual in the Senate of the United States of America and the Congress.
For example: $200,000 for the Washington National Opera, Washington, DC, for set design, installation and performing arts at libraries and schools; $13.9 million on fisheries in Hawaii--there is always Hawaii-- nine projects throughout the islands ranging from funding bigeye tuna quotas, marine education and training, and coral research; $2.7 million--one of my favorites--to support surgical operations in outer space at the University of Nebraska. As I have said many times--the common theme--you will always have a location designated for these projects. That is why some of them may be worthwhile, but we will never know because they don't compete them. They earmark them for the particular place they want to help. Unfortunately, that shuts out other people. There may be other places besides the University of Nebraska that can support surgical operations in outer space. I suggest we get Dr. Spock and Bones out there to help at the university. I don't know if they live in Omaha or not. I am sure to them and all the others on ``Star Trek,'' surgical operations in outer space may be one of their priorities. It certainly isn't a priority of the citizens of my State.
One of the great cultural events that took place in the 20th century was the Woodstock Festival. In order to do a lot more research on that great cultural moment, we are going to spend $30,000 for the Woodstock Film Festival Youth Initiative; $200,000 to renovate and construct the Laredo Little Theater in Texas--people from all over America are flocking to the Laredo Little Theater, and they want to invest $200,000 of their tax dollars into the Laredo Little Theater. The money would be used to replace worn auditorium seating and soundproofing materials. Anybody got a little theater that warrants soundproofing? Maybe they should apply to the Senator from Texas.
Continuing: $665,000--I am not making this one up--for the Cedars- Sinai Medical Center in Los Angeles for equipment and supplies for the Institute for Irritable Bowel Syndrome Research. I have a lot of comments on that issue, but I think I will pass so as not to violate the rules of the Senate. There is $500,000 for the Botanical Research Institute of Texas in Fort Worth. I am sure the Botanical Research Institute in Fort Worth is a good one. I would like to see other botanical research institutes able to compete. There is $600,000 for water storage tower construction in Ada, OK, population 16,008; $200,000 for a visitor center in Bastrop, TX, the population is 5,340; $292,200 for elimination of slum and blight in Scranton, PA--that may have been put in by the cast of the office--$229,000 for elimination of slum and blight in Scranton; $200,000 for design and construction of the Garapan Public Market in the Northern Mariana Islands; $500,000 for development of a community center--$\1/2\ million--in Custer County, ID, population 4,343; $100,000 for the Cleveland Municipal School District--they just picked one and gave them $100,000--$800,000 for jazz at the Lincoln Center; $300,000 for music programs at Carnegie Hall; $400,000 for Orchestra Iowa Music Education, Cedar Rapids, IA, to support a music education program; $2.5 million for the Fayette County Schools in Lexington, KY, for a foreign language program; $100,000 to the Cleveland Municipal School District in Cleveland, OH, to improve math and language skills through music education; $700,000 for the National Marine Fisheries Service for the project Shrimp Industry Fishing Effort Research Continuation; $1.6 million to build a tram between the Huntsville Botanical Garden and the
Marshall Flight Center in Alabama--how many places need $1.6 million to build a tram, it will probably go out to the statue of Vulcan--$250,000 for the Monroe County Fiscal Court for the Monroe County Farmers Market in Kentucky; $750,000 for the design and fabrication of exhibits to be placed in the World Food Prize Hall of Laureates in Iowa; $500,000 to support creation of a center to honor the contribution of Senator Culver, an Iowa State Senator, at Simpson College; $400,000 to recruit and train closed captioners and court reporters at the AIB College of Business in Iowa; $250,000 for renovating the Murphy Theatre Community Center in Ohio.
There is a lot more, and I will go through them briefly. The point is, you will notice several things. One, the preponderance of these pork-barrel and earmark projects is allocated to members of the Appropriations Committee, which is fundamentally unfair. Second, you will find these are designated to a certain place, to make sure none of that money is spent somewhere else where the need may be greater. Third, it breeds corruption. It is a gateway drug. What we are talking about is a gateway drug. It is especially egregious now.
Continuing: $300,000 to monitor and research herring in Maine; $200,000 to study Maine lobsters; $250,000 for a Father's Day rally parade in Philadelphia. I scoff and make fun of a lot of these but $250,000 for a Father's Day rally parade in Philadelphia. There is $100,000 for the Kentler International Drawing Space, an art education program in Brooklyn. Here is a deprived area, $75,000 for art projects in Hollywood Los Angeles Park; $100,000 for a performing arts training program at the New Freedom Theater in Philadelphia; $100,000 to teach tennis at the New York junior tennis league in Woodside, NY; $2.8 million to study the health effects of space radiation on humans at the Loma Linda University, Loma Linda, CA; $200,000 for the Aquatic Adventures Science Education Foundation in San Diego; $100,000 to archive newspaper and digital media at the Mississippi Gulf Coast Community College in Perkinston, MS; $3.9 million on researching weaving and knitting at Clemson University, Raleigh, NC, Philadelphia University, UC Davis in Davis, CA; $90,000 for a commercial kitchen business incubator at the El Pajaro Community Development Corporation in Watsonville, CA; $500,000 to study vapor mercury in the atmosphere at Florida State; $1 million to examine sea scallops fisheries at the Massachusetts Marine Fisheries in Bedford; $300,000 for seal and stellar sea lion biological research; $300,000 for Bering Sea crab management; $500,000 to upgrade the Baldwin County Courthouse security in Fairhope, AL; $900,000 for the operational costs and capital supporting the Alien Species Action Plan cargo inspection facility in Maui; $2 million to streetscape the city of Tuscaloosa, AL; $100,000 for an engineering feasibility study of a bike connector in Hiran, OH; $400,000 for a pedestrian overpass in Des Moines; $300,000 for a bike path in Cuellar, TX; $900,000 for a river freight development study in Missouri; $800,000 for a scenic trail in Monterey Bay, CA, another deprived area; $750,000 for the Philadelphia Museum of Art Transportation Improvement Program, Brady, PA; $500,000 for park-and- ride lots at Broward County, Meek, FL; $487,000 to restore walkways in Newport Cliff, RI, another low-income area; $974,000 for Regional East- West and Bikeway in Albuquerque.
The list goes on and on and on, up to nearly $4 billion. The problem is, among other problems, in the last campaign, the President campaigned for change, change you can believe in. There is no change here. It is worse. It is worse because of the conditions Americans find themselves in--out of their homes, out of jobs, high unemployment, tough economic conditions. It is business as usual, spending money like a drunken sailor, and the bar is still open.
I tell my colleagues, again, what I keep saying over and over: There is a peaceful revolution going on. They are sick and tired of the way we do business in Washington. They don't think their tax dollars should be spent on these pork-barrel earmarked projects. They are mad about it. We are not getting the message. We are not hearing them. We are not responding to the problems and the enormous challenges the American people have. We are continuing this kind of obscene process, which not only is wrong on its face but breeds corruption in Washington.
I ask unanimous consent that the AP story ``Senate Set to Advance $1.1 trillion Spending Bill'' be printed in the Record, as well as the ABC News story and the FOX News story ``Watchdogs Cry Foul Over Thousands of Earmarks in Spending Bills.''
Madam President, I am sorry to be repetitive. I know my colleague is waiting, so I will end with this: This is wrong. We all know it is wrong. The American people know it is wrong. People who vote for this kind of porkbarrel spending are going to be punished by the voters, and we are going to end this obscene process, and we are going to end it soon, as early as the next election.
Madam President, I yield the floor.
I wish to say to my colleague, first of all, as is well known, side-by-sides have been one side of the aisle and the other side of the aisle. If the Lautenberg amendment were in order on the Dorgan amendment as a side-by-side, that would obviously be a change from what we have been doing.
Basically, what my amendment does is make some perfecting changes to the underlying Dorgan amendment. It has some sense-of-the-Senate provisions and several other provisions which I think would help make it more effective. I have to be very honest with my friend from Illinois, it doesn't undermine the Dorgan amendment. I think it supplements the Dorgan amendment, just as the Bennet amendment to Medicare costs supplemented the position we had that Medicare benefits wouldn't be cut.
So side-by-side amendments aren't necessarily in contrast with each other; sometimes they perfect, and I think my amendment makes it a better amendment--makes the Dorgan amendment a better proposal.
Yes, plus some perfecting language, as far as the Senate is concerned, about other procedures that would expedite the Dorgan amendment as well.
No, obviously not, because I don't agree with the Lautenberg language in my amendment, as you know. But what we are trying to do is, obviously, make the Dorgan amendment better, just as other amendments that are side-by-sides have tried to make amendments better. They do not necessarily cancel them out but make them better.
Yes, a proud cosponsor.
I guess what I am not sure--if I understand my friend, I am offering an amendment as a side-by-side in order to, in my view, improve the Dorgan amendment; again, in all candor, not to undermine but to make it better.
And I withdraw, with great reluctance and great anger, my amendment, because I think the Lautenberg amendment would be in violation of what we have agreed to.
Could I be clear with the Senator from Illinois that what this means is we would move forward with the side-by-side Dorgan and Lautenberg--we would agree to that--and then we would also expect agreement on following amendments so that we could lock those in for debate and votes?
Mr. President, I appreciate the good Senator from Pennsylvania and his discussion and his clear and constant focus on children and children's health. I wish to commend him for his good work and for…
Mr. President, I appreciate the good Senator from Pennsylvania and his discussion and his clear and constant focus on children and children's health. I wish to commend him for his good work and for always reminding us of the importance of our children in so many aspects of our policies. So I thank him for that.
I, too, rise this afternoon to talk about the debate on health care and the debate we seem to have ongoing with the numbers. Whether it is numbers that are coming out from the Congressional Budget Office, the CBO, or from our States or from other noteworthy entities, there is a great deal of back and forth as to whose numbers are right, whose numbers are wrong.
There has been a great deal of discussion in the past day or so about the numbers we have received and the analysis we received from the Office of the Actuary, from CMS, the Centers for Medicare and Medicaid Services. The Chief Actuary is Mr. Richard Foster. A good deal of discussion has been had as to these numbers, and the question that needs to be asked is: Why would the numbers from the CMS Actuary be any more significant than, say, what we have seen coming out of the Congressional Budget Office?
The Chief Actuary of CMS is kind of the independent arbiter, if you will. They look at both the private and public health care expenditures. The Chief Actuary provides actuarial details that I think we recognize can be critically important for certainly my State and
for any of our States' economists to develop individual State estimates of the financial impacts, the effects of the health care reform proposal.
As important as discussion on the broader scale is, the people back in my State want to know: Well, what does it mean for us in Alaska? What does it mean for increased access? What does it mean for us in terms of our premiums? Are they going up? Are they going down? How do we as a State that is very unique in its markets--geographically dislocated, smaller population--how does this health care reform proposal impact us? So the numbers and the assessment we have received from the Office of the Actuary are very important.
I have mentioned we all want to know what this Democratic health care proposal will mean to us as individuals in terms of the increase to premiums, the impact on the long-term sustainability of Medicare, whether it is going to restrict access to care in a State such as Alaska or throughout rural America. And ultimately, will this $2.5 trillion bill bend this cost curve down on health care expenses that are pricing so many Americans out of the market on health insurance.
I think it is so important that we be focused on the cost side and on the spending side. That is a bipartisan thing. We haven't done a lot that is bipartisan of late, but it is clear we all want to know we are doing all we can effectively to reduce those costs.
I will note a letter that came from six colleagues on the Democratic side. This was sent when the Finance Committee bill was being considered. A letter went out to Chairman Baucus that provided that:
There are many wide-ranging options to address the broad
and complicated issues of runaway health care costs, and we
pledge our support to you in making the necessary and tough
decisions.
``This is our No. 1 priority,'' the letter states. ``If we pass health care reform without addressing the issue of health care spending, we have failed.''
I couldn't agree more with my Democratic colleagues who signed that letter. We will have failed if we have not addressed the issue of cost, the issue of spending.
Again, this takes me back to the report from CMS, the Actuary's report. I want to highlight some of the very important points that were raised by the Chief Actuary.
First, the Reid bill reduces payment updates to health care providers, which are unlikely to be sustainable on a permanent basis. If you go through the report, on page 9 is a statement that:
As a result, providers could find it difficult to remain
profitable, and absent legislative intervention might end
their participation in the Medicare Program. The Reid bill is
especially likely to result in providers who are unwilling to
treat Medicare or Medicaid patients.
On page 18, the statement is:
Providers might tend to accept more patients who have
private insurance and fewer Medicare and Medicaid patients,
exacerbating existing access problems for the latter group.
Either outcome, or a combination of both, should be
considered plausible and even probable.
I can tell you for a fact this is not just some maybe or if, in fact, these things happen; this is happening.
I received a call 1 week ago from a practitioner in Alaska, in Anchorage, a family care practitioner. I was told that this practitioner, who has been practicing for many years in the family care practice--that the decision had been made to opt out of Medicare. In the e-mail we received and the followup conversation that was had with this practitioner, it was specifically cited that it is due to what is--I am reading from the e-mail we received--``due to what is in the Reid bill, as it will collapse my practice.''
This is incredibly important to us not only in a State such as Alaska, where we are in a crisis situation when it comes to providers who are willing to take new Medicare individuals. Right now, in our State's largest city, we have 13 providers who will take new Medicare individuals--13. Well, if this individual whom we have communicated with a week ago is making the decision to opt out of Medicare because of the low reimbursement rates, because of what is seen developing here on the floor of the Senate, and the impact that will have on that family care practice--talk about not being able to sustain things--it is not acceptable.
When I read the language in the Actuary report that says that providers might tend to accept more patients or might find it more difficult to remain profitable and might end their participation in the Medicare Program--to me, I am saying it is not ``might,'' it is happening, it is now, and it is impacting Alaskans' access to care in my State.
This is something we should all be concerned about. It is not just this one practitioner. We have heard this has caused a great deal of anxiety within Alaska, primarily because that is where I am checking in with folks. But the anxiety about their ability to sustain a practice, again, with Medicare reimbursement rates as low as they are--in our State, we don't have a medical school, so it is not as if we are growing more practitioners to come in. It is very costly to have a practice in Alaska. We have a lot of strikes against us.
We have to figure out a way we can continue to receive care from these fine professionals. But right now, from a policy perspective, it seems as if we are doing everything possible to drive them out.
I am talking a lot about the situation in Alaska, but don't think for a minute that it is isolated to my State. The statement that is made by the Actuary is devastating news for States that are also facing problems of access, in terms of finding a general care doctor to see them, such as Oregon, Nevada, Colorado, and New Mexico.
There was a GAO report--granted, this is a 2006 GAO report, but it did an assessment of what is happening in locations across the country, and those areas where access is compromised. You look at the statistics coming out of GAO, and their wording is:
This suggests the distinct possibility of a deepening
problem in many of our Western States.
So it is not just in a few isolated communities. We have States that are looking at this and calling the crisis for what it is. What we are doing in this health care bill currently before us is we are using Medicare as kind of this guinea pig, if you will, cutting from the Medicare--from the health program, even though we all recognize Medicare is slated to go broke by 2017--and using the Medicare money to expand Medicaid and, if the Medicare reports are true, expanding Medicare as well. So the end result is to harm Medicare patients as we expand Medicaid.
Alaska is a little bit unique. We are one of two States where Medicaid is actually a better payer, or better in terms of the reimbursements, than Medicare. But even still, the economists we have at the University of Alaska's Institute for Social and Economic Research have said that Medicare patients will lose access and, as they have suggested, kind of go to the back of the bus, if we expand Medicare.
I want to use their language specifically. This is from the analyst at ISER. He has stated that:
We can continue to be concerned that the newly enrolled
through the Medicaid expansion and the new exchange will
create a big surge in demand that could easily create a
traffic jam in the health care system and send the Medicare
beneficiaries to the back of the line in Alaska due to
Medicare's low reimbursement rate. Expanding Medicaid is bad
for Alaska.
The Chief Actuary at CMS is saying Medicare and Medicaid patients will both face limited access to care under this bill. While in Alaska Medicaid patients may fare better, what is happening is at the cost, or expense, if you will, of Medicare patients. So you are robbing Peter to pay Paul.
Keep in mind that, as we look at the CMS letter--the Chief Actuary's letter--it doesn't even address the Democratic leader's desire to bring to the floor the provision that would expand Medicare to those 10 years younger than the current threshold age for Medicare. So what we are seeing within this analysis is probably just the floor in terms of what the impact will be if we allow for this expanded Medicare provision, this buy-in, if you will.
Again, my State's seniors are absolutely suffering on Medicare, with virtually no primary doctors who will see them in our State's largest city. Now we have experts saying Medicare's patient access to care is going to suffer.
We simply cannot expand broken health care systems. We have to fix the systems. You don't expand a broken thing and hope it will fix itself.
Yesterday, in our State's largest newspaper, the headline at the bottom of the fold was:
``Health Bills May Hurt Some Alaskans,'' consultant says.
And it says:
Older residents could have more trouble seeing doctors.
If you don't think that sends chills up and down the seniors in my State, knowing that the difficulty they are facing now could be made worse--a point that I think is important to add to the conversation here. You might think, well, Alaska, you don't typically have a lot of seniors, you are a younger population. We are that, but it should be noted that we are, per capita, the State with the fastest growing senior population in the Nation. We have a situation where, as we have our baby boomers aging in, the numbers are increasing dramatically, as far as those who will require the care. The number of patients who are 65 and older at the health care facilities, Anchorage Neighborhood Health Center, has jumped on the order of 50 percent within a few years. The neighborhood health center saw twice as many Medicare patients in 2007 as in 2001.
The report also found that older Alaskans have been visiting the emergency room in growing numbers. What we are seeing is an expansion of those who will be our Medicare consumers. In 2008, there were 49,455 Alaskans 65 and older; but by 2015, 5 years from now, the number is expected to increase 50 percent. By 2020, 10 years from now, the number is projected to increase to over 86,000 individuals in Anchorage. Yet, we have fewer and fewer primary care doctors who are willing to accept these Medicare patients.
The proposal out there is that we are going to cut $\1/2\ trillion from Medicare to pay for a new government entitlement. That doesn't add up.
Back to the Actuary's report. It goes on to state that:
We estimate that total national health expenditures under
this bill would increase by an estimated total of $234
billion during calendar years 2010 to 2019.
We know that bending down the cost curve, which has been so essential to the health care reform bill, according to our own government's expert, is not going to be achieved in the Democratic leader's health care proposal.
Contrary to what Senator Baucus said last week, that Senator McConnell's statement that this bill raises costs was ``a false statement,'' this bill does, in fact, raise health care expenditures, and all you need to do is go to the Actuary's statement to determine that.
The Actuary's report goes on to provide:
The new fees for drugs, devices, and insurance plans in the
Reid bill will increase prices and health insurance premium
costs for consumer. This will increase national health
expenditures by approximately $11 billion per year.
We know this bill is going to raise money on the backs of patient consumers. This is going to happen in my State. It is going to happen in every other State. And it is going to be done by taxing the industries that provide us with the prescription drugs, the medical devices, such as tongue depressors, medical thermometers, blood sugar meters, x-ray machines, and the like.
Whether or not you agree on taxing these industries, what the CMS Actuary is telling us is that these additional taxes are going to be passed on to the patient consumer to the tune of $11 billion every year. Again, the American people should know that their costs on drugs, thermometers, diabetes test strips, labs, and x rays are all going to go up because new penalties imposed by the Federal Government will be passed on to the patients.
I appreciate the work Mr. Foster, the Chief Actuary, has done in getting us this report. I wrote him a letter on Monday asking if we could get the report so the folks in our respective States could look through it and better assess and understand. They want to know that they are relying on a good, sound assessment. But I will tell you, after reviewing the Actuary's report, I do not know how anyone could come to a different conclusion other than that these proposals, these bills, do not look good for my State, they do not look good for the medically underserved areas of the country, such as urban areas with limited access to care because of their high Medicaid populations or for rural America where general-care doctors just simply are not taking Medicare patients.
This is just a bad bill. It is a bad bill. It hurts our seniors, it does not bend down the cost curve, it spends $2.5 trillion, and it raises health care costs. We have to figure out a path forward that is reform that does not increase the cost to our constituents around this country, that truly does make a difference when it comes to the delivery of health care costs in this Nation, and that really does provide for expanded access.
I have said numerous times that just by giving an individual a card that says: OK, now you are part of a health care plan but you don't have access to a provider, we really haven't done what we have promised to do to help you receive good health care.
There is a great deal that is floating out there in terms of ``he said, she said'' type of conversation on the numbers. It is incumbent on us in the Senate to give thorough vetting, thorough assessment. We have to rely on the experts. We hope we rely on those experts who have been able to look at the proposals fairly and evenly and give their best assessment. I have a great deal of confidence in our independent entity in the State of Alaska, the Institute for Social Economic Research at the University of Alaska. I appreciate what they have done to provide more focus on what this national proposal will do to access to care in my State and costs that will be borne by my constituents.
I think the more time we spend understanding what we have in front of us, the more we realize this is a bad deal for America.
Mr. President, I yield the floor.
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Mr. President, let me congratulate my colleague from Oklahoma on 50 years of marriage. Your wife must be a saint. Mr. President, H.R. 3288 is a consolidated appropriations bill which contains almost…
Mr. President, let me congratulate my colleague from Oklahoma on 50 years of marriage. Your wife must be a saint.
Mr. President, H.R. 3288 is a consolidated appropriations bill which contains almost all of the remaining spending bills for the fiscal year 2010. This is a process we had not anticipated. We had hoped we could take each bill individually and consider them on the floor and bring them to conclusion. Unfortunately, we ran out of time.
We had over 90 different efforts made to stop debate on the Senate floor on a variety of measures. It took us literally 4 weeks to extend unemployment benefits. This is something usually done routinely on a bipartisan basis, but unfortunately, because of delays and threats of filibusters, it took us 4 weeks to finally come to a vote to extend unemployment benefits in the midst of the worst recession the United States has experienced in over 75 years. It is unthinkable, at a time people were sending us e-mails and letters saying: I can't believe the Senate won't provide a helping hand. It isn't as if the bill itself was controversial. When it finally came to a vote, it passed 97 to nothing. There was no controversy associated with it. The controversy was manufactured on the floor of the Senate to delay consideration of such a very basic bill for 4 weeks.
Those 4 weeks could have been spent calling up these appropriations bills so we could have had what was needed--a healthy, open debate on the bills. Instead, we were forced to wait until toward the end of the session and consolidate the unpassed bills in one measure and bring it to the floor of the Senate today.
I will tell Members of the Senate who wonder if these bills have been carefully reviewed that each and every one of them passed overwhelmingly from the Appropriations Committee. There was one dissenting vote on two or three of these measures, but by and large they passed unanimously. There was little controversy in the Appropriations Committee from either side of the aisle.
The Senate Appropriations Committee, on which I am honored to serve, had been working spring and summer to pass all 12 appropriations bills. Chairman Danny Inouye is not only a great America hero, he is a great American chairman. As the Senate Appropriations Committee chairman, this man has taken up a responsibility which few would shoulder and has done it with an extraordinary amount of talent and dedication. At his side has been Senator Thad Cochran, Republican of Mississippi, who works just as hard to try to make sure what we produce is a great credit to this institution and meets the needs of this great country.
There is one bill remaining after these six pass. It may be one of the most important--the Defense appropriations bill. It was passed by the committee in September and represents the only remaining bill left for us to pass this year, which we certainly want to do before we adjourn at the end of this period before Christmas.
These bills were reported out of committee with overwhelming bipartisan votes. Nine of the 12 were reported unanimously. However, when we moved these bills to the floor, we ran into these obstacles. At one point when we were considering, for example, the question of extending unemployment benefits to millions of Americans who have lost their jobs, exhausted their savings, lost their health insurance, and stand to lose their homes, there was an argument made by one Senator on the other side of the aisle that he didn't want us to call this bill until he had a chance to offer another amendment--another amendment on the ACORN organization. We have had a series of these amendments. We have flogged this group mercilessly for month after weary month. Yet they were going to hold up unemployment benefits for this Senator to have one more chance, one more swing at this organization. That, to me, is not responsible. The responsible thing to do is to recognize all of these families who were counting on us.
Time was lost that could have been used not only to provide unemployment benefits in a more expeditious manner but also to consider these appropriations bills. Appropriations bills in the past, and not too distant past, used to take 1 or 2 days before the Senate. Members would come to the floor, amendments would be offered, debated, end of story. We would have a final vote, and we would move on. Now even routine bills with no controversy take weeks because of amendments to be offered which, frankly, have little or no relevance to the nature of the bill before us.
We brought up the Commerce-Justice-Science appropriations bill on October 6. We didn't finish that bill until November 5. This is a critically important one, one for which most Members would gladly endorse its mission.
These appropriations bills have taken longer because, unfortunately, the minority will not agree to reasonable time limits to consider amendments and finish debate. Instead, we find ourselves consistently sidetracked.
So here we are. We have 21 days before the end of the calendar year, and we need to finish the business of the Congress. To do so, we engaged Republican Members of the Appropriations Committee and worked on reasonable compromises on the differing bills in the House and Senate. I am troubled that some of the very Republican Members of the Senate Appropriations Committee--not all of them; three of them stood up and voted to move this process forward--some of the very Members of the Senate Appropriations Committee who have sat through the subcommittee hearings, the full committee deliberations, have made valuable contributions to the bills themselves, now want to stop the process. It makes no sense. If we are going to do this in an orderly fashion, we should do it in a bipartisan fashion. I hope that is what will happen today.
This package of appropriations bills is a result of a truly bicameral and bipartisan effort. It represents the priorities of our Nation. It invests in students, veterans, and law enforcement, just to name a few. It makes college education more affordable for students by increasing Pell grants to $5,500 a year. Is there a better time for us to do that, to say to children and families that don't have a lot of money: Now is the time to hone your skills, to create new talents in a more challenging economy. Go to school. If you will go to school, we will help you. This package of bills increases the amount of money available for the children in those families. I hope Members on both sides of the aisle will support it.
The conference report also helps local governments fight crime and put more police on our streets. Take a look at the budgets of cities and towns, of counties, of States, and you will realize they are in a death struggle to provide basic services. We have increased grants for local law enforcement by $480 million over last year. Many of the critics of our efforts say: You are spending more money. Yes, we are spending more money to keep cops on the street, to keep neighborhoods safe so that families feel secure. I think it is money well spent. Money spent to help our first responders, firefighters, and policemen is a critical investment. This bill makes that investment. That grant program was cut by almost $2 billion by the previous administration. We are trying to restore that money so we can put more people on the street protecting our citizens. This conference report sets the right priorities by helping States and local police departments fight crime. We also include $298 million for the COPS Program to put more cops on the beat. This funding will help hire and retain approximately 1,400 police officers. The COPS Program has helped train nearly 500,000 law enforcement personnel.
The conference report also helps veterans. It is not enough to give speeches on the floor about how much we love our men and women in uniform and honor our veterans. It is not enough to wear a lapel pin and participate in parades and then come to the floor and vote against the bills that provide the money for the Veterans' Administration.
What we provide here is increased funding to the Veterans Affairs Department of $5.3 billion over last year's level. Those who come and criticize the level of spending in this package of bills are criticizing the additional investment to help our veterans when we need to more than ever. Returning from Iraq and Afghanistan with post- traumatic stress disorder, traumatic brain injuries, amputations, these men and women need our help. This package of bills provides that help. We will provide increased access to quality care for all of our veterans. The conference report increases discretionary spending at the VA by more than $5 billion to help them care for 6.1 million veterans they expect to see in 2010.
If I understood the unanimous consent order, we were equally dividing time between now and 9:30. I ask how much time I have remaining on the majority side.
I reserve the remainder of my time.
Recognition of the Minority Leader
Mr. President, I want to make a point of pulling out the calendar here and reading the membership on the Senate Appropriations Committee. I thought for sure there were Republicans serving on that committee, and it turns out there are 12 of them. They serve on the committee. They are on the subcommittees. They sat on the full committee deliberations, and they include the Republican minority leader.
Of the six appropriations bills which have come before us today for a vote, they were voted out of the Appropriations Committee by overwhelming votes. In fact, three of the bills were unanimous, meaning that at least the minority leader was counted as voting for the bills which the Senator from Arizona has just criticized, and three of them had a 29-to-1 vote, so I will not suppose what the minority leader's vote was.
But to come before us today and argue that the majority is cramming these votes and bills down the throats of Members without giving them opportunity is to ignore what came before it: the fact that there were subcommittee hearings, the fact that there was a vote in the Appropriations Committee on each of the bills, and they passed overwhelmingly.
So at least at an early stage, an important stage in this process, 11 or 12 Republican Senators signed on and approved the bills. To argue that we are bringing something before the Senate, pushing it through quickly without deliberation, on a partisan basis, does not stand up.
And to listen to the Senator from Arizona, I would tell you, bluntly, the increases in spending in this bill--some of them I hope the Senator from Arizona would not characterize as unwise. I know he feels as I do about veterans in this country. There is a substantial increase in money for veterans for their care. We want to do that. I will be honest with you, we need to pay the real cost of war, and that includes the commitment we have made to men and women who serve our country.
The same thing, I am sure, is true when it comes to law enforcement. I am sure the Senator from Arizona feels as I do.
I urge my colleagues--when this comes for a vote in a few moments--to support the cloture motion. Let's move this forward. Thank you.
Mr. President, reserving the right to object, I ask unanimous consent to engage in a colloquy with the minority leader. Perhaps there will be a better understanding of his unanimous consent request before I make my final decision.
I wish to ask, as I understand it now, when it comes to-- and let's set aside Crapo-Baucus and assume there is commonality in that. As I understand it now, the Dorgan amendment, which would allow for the importation of pharmaceuticals and drugs into the United States, has been offered on our side as well as a Lautenberg amendment, which has some history in the Senate. It was previously offered by Senator Cochran of Mississippi and establishes a standard for certification of safety of the drugs coming in.
Could the Senator from Kentucky describe to me what the new McCain amendment No. 3200 does?
I ask unanimous consent to expand the colloquy to include Senator McCain.
Does the amendment of the Senator from Arizona, No. 3200, include the existing language of the Dorgan amendment?
Is the Senator from Arizona prepared to offer the Lautenberg language in his amendment?
Is the Senator from Arizona a cosponsor of the Dorgan amendment?
Would the Senator from Arizona consider offering whatever is different in 3200 as a separate amendment to the Dorgan amendment?
Well, Mr. President, I have an obligation to not only my leader but obviously to Senator Lautenberg, who is being dealt out of the picture here with this unanimous consent request, and he has been offering an amendment which is well known and has been offered previously by Senator Cochran of Mississippi, a Republican. At this point, if Senator Lautenberg is offering--I think at this point I am constrained to object based on this new McCain amendment, and we will discuss it with Senate leadership as to whether we can find a path through this.
This is the third day we have been struggling with this. It appears there is a lot of credence put in the belief that we have to have exactly the same number of Republican and Democratic amendments, and I understand that from the minority point of view.
Let me suggest this. I will formally object to the original unanimous consent request, and I will then take what I consider to be a good-faith offer from your side as to the next two amendments to the majority leader. We will review the amendments, and I hope even today we will be back to Senators and suggest whether that is a path out of this.
May I ask whether the two amendments the minority leader mentioned, which would be Thune and Hutchison, and the other amendment, Snowe, we would be allowed to have side-by-sides to those?
If you would be kind enough----
If you are kind enough to give us time to review that proposal, we will be sure to get back to you.
I promise we will get back in a timely fashion.
I object to the initial unanimous consent request.
Madam President, we are now considering a bill that represents a dramatic expansion in government spending, as the Senator from Arizona has so eloquently stated. This Omnibus appropriations bill…
Madam President, we are now considering a bill that represents a dramatic expansion in government spending, as the Senator from Arizona has so eloquently stated. This Omnibus appropriations bill represents a 12-percent increase over last year--a fiscal year that ended with the largest deficit in American history of $1.4 trillion.
I do not know of any other area in the economy where people are spending 12 percent over what they spent last year. Certainly no family budget in America, no business in America is spending 12 percent more this year than they did last year--while we see 10 percent of our people unemployed.
Millions of families across the country and small businesses are, in fact, tightening their budgets. But the budgets of these Federal agencies and of the Federal Government itself keep expanding. There is a 33-percent increase in spending for foreign operations, a 23-percent increase in Transportation, Housing, and Urban Development.
One of the worst things this spending is doing is creating tremendous uncertainty, both here at home and in other places such as China which are buying our debt, about whether we are ever going to get serious about our fiscal responsibility.
The President asked last week why job creators were not stepping up and creating jobs. Well, the fact is, people are watching what we are doing in Congress, and they do not know what the rules will be 6 months from now or a year from now or whether Congress will ever recover from this binge it has been on when it comes to spending.
But it is clear we cannot spend--we cannot spend--our way out of this recession. Job creators are scared. They are scared, and they are sitting on the sidelines because all of the spending, all of the tax increases, all of the government takeovers coming out of Washington, DC, these days leave them with the sense that they do not know what the rules are going to be. And why in the world would you want to create a job, expand your business, or make an investment when the very premise upon which you did so would change because of all the chaos in Washington?
The facts of our debt crisis are not in dispute. The total public debt stands at about $12 trillion. We have, in 2009, a $1.4 trillion fiscal deficit. In other words, we have spent more than $1.4 trillion than the Treasury brought in in fiscal year 2009. Then we are accumulating debt even faster during this year than we did last year.
According to the Treasury Department, the deficit for the first 2 months--2 months--of the new fiscal year was almost $300 billion--$300 billion for 2 months--a total larger than the full-year deficits in 2002, 2006, or 2007. So in 2 months, the deficit was worse than it was for the entire years of 2002, 2006, and 2007.
Our deficits will average nearly $1 trillion every year for the next decade--$1 trillion every year for the next decade--according to the administration. This ought to be a shot across our bow.
Moody's Investors Service said its debt rating on U.S. Treasury securities may ``test the Triple-A boundaries.'' The translation of that is they are beginning to doubt whether at some point the U.S. Government will be able to pay its bills or will default on those bills at some point hopefully not any time soon. But this is the sort of pressure we are putting not only on our ability to create jobs but on our future and particularly on our children's future, if we cause Moody's Investors Service and others to rate U.S. Treasury securities less than a Triple-A rating.
Well, we know soon our colleagues on the other side of the aisle are going to ask Congress to vote to lift the debt ceiling. In other words, this is like the credit limit on your credit card. Once Congress is bumped up against that $12 trillion debt ceiling, Congress is going to have a vote on whether to ask the American people and people buying our debt whether we can increase the limit of our credit card because we have maxed it out.
Media reports indicate that the majority intends to slip this provision into a bill on funding our troops in Afghanistan because, frankly, they are embarrassed to have a stand-alone vote on raising the debt ceiling, especially because they know there are many of us on both sides of the aisle who will insist on some measure to effect some discipline on this spending binge as a condition to voting on the debt ceiling. But whatever the vehicle the majority leader decides upon, they cannot hide the fact that we are borrowing money so fast that we will have to raise the debt ceiling another 15 percent.
Conveniently, this increase will get the government through the next midterm elections, it is reported according to some experts. Not a coincidence. No one, particularly those in control of the Congress, wants to have another vote on lifting the debt ceiling or asking the American people to raise the credit card limit before the next election because they know the American people are increasingly angry and frightened by the spending binge they see here, and particularly the accumulating debt.
That is not even getting to the financial crisis that entitlement programs are facing, such as Medicare and Social Security. We know Medicare's unfunded liabilities are roughly $38 trillion. I realize that number is so big that there are perhaps none of us who can fully comprehend how much money that is--but $38 trillion in unfunded liabilities for Medicare alone. Yet the proposed Medicare ``compromise'' among 10 Democrats would roughly double the burden of Medicare and not fix it but actually make things worse.
Well, I want to mention one other item of fiscal irresponsibility I have witnessed. I think we need to cancel one of the credit cards that has been used by the administration--not just this administration but the past administration--and Congress for purposes Congress never intended when it authorized this program, the Troubled Asset Relief Program or TARP.
I know the Senator from South Dakota is on the Senate floor. He has been one of the leaders in this effort
because he believes, I think, as I do, that we cannot amend it, so we need to end it. We need to cut out this revolving credit account that is being used for inappropriate purposes known as TARP, the Troubled Asset Relief Program.
Let's go back and look at why TARP was authorized by Congress in October of 2008. It is important to remember what the situation was at that time. Treasury Secretary Henry Paulson and Federal Reserve Chairman Ben Bernanke had many conversations with legislators on both ends of the Capitol on both sides of the aisle, and they said in their public testimony--on September 23, Secretary Paulson said that Congress must act ``in order to avoid a continuing series of financial institution failures and frozen credit markets that threaten . . . the very health of our economy.''
In private, their diagnosis was even more dire. We were told ``that we're literally maybe days away from a complete [financial] meltdown of our financial system'' in the United States unless Congress acts to authorize the Troubled Asset Relief Program.
Many of us, including myself, voted for TARP because we were told by the smartest people on the planet that unless we did this, our economy would suffer an economic meltdown. But I must tell you, I am extremely disappointed that the very nature of the program was changed after Congress authorized it. For example, we were told by Secretary Paulson and others that the money would be used for one purpose, and one purpose only; that is, to purchase toxic assets.
Well, there is a saying that says: ``Fool me once, shame on you. Fool me twice, shame on me.'' And we were fooled into believing that the TARP would be used to purchase these toxic assets and get them off the books as a way of protecting pensions, savings, and investments of hard-working American taxpayers.
Unfortunately, the very people who promised us and told us what purpose the TARP would be used for misled us because two administrations now--the previous administration and this administration--have used TARP as if it were a big government slush fund. They ignored the clear language of the TARP legislation, and they have repeatedly defied the will of Congress.
Let me briefly mention how the TARP funds have been used in a way that Congress never authorized and never intended.
Only weeks after TARP was enacted, the Bush administration abandoned this stated goal of purchasing toxic assets. Instead, the administration funneled billions of dollars directly into some of the Nation's largest financial institutions, making huge purchases of stock and warrants of some of the Nation's largest financial institutions.
The Federal Government, in other words, began acquiring ownership, stakes in banks, financial institutions, and, yes, even car manufacturers, with the full support of the Obama administration. In fact, the Obama administration has even gone so far as to use TARP to set executive pay at several companies. During the reorganization of General Motors, the Obama administration has used that leverage to benefit its union allies over the rights of secured bondholders who had loaned their money to these companies. I have been a vocal opponent of this misuse of TARP by both administrations.
In December 2008, I joined my colleagues in voting against the government bailout of the auto industry, a vote ignored by both the previous administration and the current administration.
Earlier this year, I supported a TARP disapproval resolution that would have stopped the program dead in its tracks because of this misrepresentation of the purpose for which these funds would be used. I have also supported several initiatives that would have increased TARP transparency and congressional oversight.
Then, in September, I joined many of our colleagues in sending a letter to Secretary Tim Geithner, at Treasury, asking him not to extend his TARP authority beyond the end of this year, as the law allows him to do. This would have eliminated the need for the government to borrow more money through this program. But, unfortunately, Secretary Geithner notified Congress that he has extended TARP authority until next October.
Now we read that the administration is proposing using repaid TARP funds; that is, money that was loaned to these large financial institutions that is now being repaid--that Treasury anticipates using this for a second stimulus plan. Well, I guess that is because they think the first stimulus plan worked so well.
You will recall, the stated objective was to hold unemployment below 8 percent. Well, it has gone above 10 percent and, frankly, I think we need to learn from our mistakes as well as things we have done right. It would be a mistake to put more money, particularly TARP money, into a new stimulus plan and have it work so ineffectively, as the first stimulus plan did.
Repaid TARP dollars cannot pay for anything. TARP is like a credit card. Every dollar spent is a borrowed dollar, adding up additional deficits, additional debt. Using TARP on new spending would break the promise the President made when he voted for TARP in this very Chamber. At that time, then-Senator Obama said:
[I]f American taxpayers are financing this solution, then
they have to be treated like investors. They should get every
penny of their tax dollars back once the economy recovers.
That was then-Senator Obama, now President of the United States.
I would just conclude by saying, Congress should help the President keep his promises, even when it seems he has changed his mind now, by suggesting that we extend TARP and use TARP on a purpose that Congress has never authorized and never intended.
It seems like the bad ideas never end when it comes to spending and debt out of Washington, DC, these days. In addition to all of these other problems I have mentioned, I have not talked about this health care bill, which would exacerbate and make much worse the deficits and debt situation, and not make it better--all the time while not bending the cost curve down but making things worse, raising premiums, raising taxes, cutting Medicare.
We need to end TARP because, frankly, it is being misused in ways that Congress has never authorized and never intended and, indeed, over the very objections of Congress. We need to learn from our mistakes. Frankly, the stimulus spending, which I voted against because I thought it was based on an academic theory which had not been proven, which was that Congress knew better than the American people how to get the economy working again--by direct spending, by spending borrowed money, the $1.1 trillion in the stimulus plan--we need to end these free- spending ways and show some fiscal responsibility. The best way we could do that, in my opinion, would be to end this program which has been the subject of so much abuse and misuse.
I ask unanimous consent that the following letter, dated January 15, 2009, from then-Director-Designate of the National Economic Council, Lawrence H. Summers, be printed in the Record.
Mr. President, I rise today to discuss the conference report before us, which contains six of the seven remaining appropriations bills. Division D of the conference report contains the Financial…
Mr. President, I rise today to discuss the conference report before us, which contains six of the seven remaining appropriations bills. Division D of the conference report contains the Financial Services and General Government appropriations bill. As ranking member of the subcommittee responsible for writing this division, I want to thank Senator Durbin for his leadership and collegiality throughout the past year. Since joining this subcommittee, I have seen Senator Durbin demonstrate the kind of bipartisan cooperation that is the hallmark of the Appropriations Committee. He and I worked in a collaborative fashion to produce a bipartisan bill.
The Financial Services and General Government Subcommittee has jurisdiction over a diverse group of agencies, many of which have a profound impact on the financial stability of our economy and on the lives of most Americans. This appropriations bill is a key part of efforts to restore the stability of, and the public confidence in, America's financial institutions. It makes needed investments to strengthen the Securities and Exchange Commission's ability to enforce rules governing our financial markets and to detect and prosecute fraudulent schemes. It also increases the Federal Trade Commission's capacity to protect consumers from scams and anticompetitive behavior.
Senator Durbin and I share many of the same concerns about the ability of our financial regulatory institutions to protect small investors and market participants. For years, the SEC's funding and staffing levels had declined, even as its oversight responsibilities rapidly increased. As a result, staffing shortages and an environment of lax oversight and enforcement at the SEC contributed to our current financial crisis. Funding shortfalls have hampered the ability of this agency to fulfill its mission of protecting the public through enforcement of securities laws.
We have included a 16-percent increase in funding for the SEC that will help the agency better fulfill its mission by giving it the resources to increase staffing levels and to make information technology upgrades.
The conference report also provides important increases above the President's budget request for the Consumer Product Safety Commission and the Federal Trade Commission. The CPSC protects American consumers from defective and unsafe products, while the FTC protects consumers from unscrupulous marketing scams.
The bill also provides ample funding for the Small Business Administration. Our economic strength and future are tied to the strength of small businesses. The conference report funds important SBA programs like Women's Business Centers, Veterans' Programs, Native American Outreach, and HUBZones above the President's budget request. As a former regional administrator of the SBA, I am particularly supportive of the increase of $16 million over the President's request for the Small Business Development Center Program. Each year, the SBDC network of over 900 service centers provides management and technical assistance to an estimated 1.2 million small business owners and aspiring entrepreneurs.
The conference agreement includes an important provision that protects the due process rights of auto dealers. The auto dealers are essential to the success of the auto manufacturers because the dealers facilitate distribution, sales, and servicing of hundreds of millions of vehicles annually. It is in the best interest of the public to have a competitive and viable automobile distribution network throughout the country, including in urban, suburban,
and rural areas. It is also in the interest of the local economies, the national economy, and our economic recovery to preserve jobs at successful small businesses.
Senator Durbin and I share similar views about the funding priorities for most of the agencies within this bill. One of the few areas where he and I disagree is the DC school voucher program. We both respect one another's different positions on this issue, but I am disappointed that this bill effectively ends this successful program.
The DC Opportunity Scholarship Program has provided additional educational options for some of the District's most at-risk, low-income children who had previously attended some of the lowest-performing schools in the country.
Sadly, DC's public schools continue to underperform despite a per- pupil expenditure rate that is the third highest in the Nation. Experts have carefully studied the DC Opportunity Scholarship Program and concluded that the educational success of the program's participants in reading has outpaced those in DC public schools.
Of the $75.4 million for DC public schools in this bill, $42.2 million is to improve the District's public schools, $20 million is to support DC public charter schools, and $13.2 million is for Opportunity Scholarships. Unfortunately, the conference report contains language that would only allow currently enrolled students to remain in the program. No new students would be permitted, despite the fact that the $7,500 per student cost for scholarship children is less than one-half the $15,511 per student cost for DC public schools.
In May, Senator Lieberman and I held a hearing in the Homeland Security and Governmental Affairs Committee during which we heard compelling success stories of current and former participants in the program. Their testimony helped to highlight the real world implications of discontinuing the program. The fear about this program ending was poignantly stated by a little girl wearing a T-shirt asking: ``What About Me?''
By all accounts, students are succeeding and thriving in their scholarship schools, and their parents are overwhelmingly satisfied with the education that their children are receiving. So I do not see the wisdom of blocking new students from participating in this successful program.
I am disappointed that the full Senate never had an opportunity to take up, debate, and amend the Financial Services and General Government appropriations bill when it was reported out of committee.
This is unfortunate, especially since Senator Durbin and I worked hard to write a bipartisan bill which had overwhelming support in the committee. The Senate has had time to consider all 12 Appropriations bills. Chairman Inouye and Vice Chairman Cochran both worked hard to complete and report all 12 bills out of committee by September. For the record, the Financial Services bill was reported out of committee on July 9.
Next year we must return to regular order so that all Senators can have an opportunity to debate these important bills.
I thank the Financial Services and General Government Subcommittee staff: Marianne Upton, Diana Hamilton, Melissa Petersen, and Richard Burkard with the majority; and Mary Dietrich and Rachel Jones with the minority.
Turning to Division A of the conference report, I would like to speak in support of a provision I authored. This provision will increase safety, save energy, and decrease vehicle emissions by creating a 1- year pilot project to allow trucks weighing up to 100,000 pounds to travel on Maine's interstates. This provision also requires an analysis by the U.S. Department of Transportation and the State of Maine of provision's impact on safety, road and bridge durability, energy use, and commerce.
By way of background, let me explain why this pilot project is needed. Under current law, trucks weighing 100,000 pounds are allowed to travel on the portion of Interstate 95 designated as the Maine Turnpike, which runs from Maine's border with New Hampshire to Augusta, our capital city. At Augusta, the Turnpike designation ends, but I-95 proceeds another 200 miles north to Houlton. At Augusta, however, heavy trucks must exit the modern four-lane, limited-access highway and are forced onto smaller, two-lane secondary roads that pass through cities, towns, and villages. The same problem occurs for Maine's other Interstates like I-295 out of Portland and I-395 in the Bangor-Brewer area.
Diverting trucks onto these secondary roads raises critical safety concerns. In fact, there have been several accidents, some of which have tragically resulted in death, which have occurred after these large trucks were diverted onto secondary roads and through smaller communities. For example, In May 2007, a 17-year-old high school student from Hampden, ME, lost her life when her car was struck by a heavy truck on Route 9. The truck driver could not see the car turning onto that two-lane road as he rounded a corner. Interstate 95 runs less than three-quarters of a mile away, but Federal law prevented the truck from using that modern, divided highway, a highway that was designed to provide ample views of the road ahead.
A year earlier, Lena Gray, an 80-year-old resident of Bangor, was struck and killed by a tractor-trailer as she was crossing a downtown street. Again, that accident would not have occurred had that truck been allowed to use I-95, which runs directly through Bangor.
While improving safety is the key objective, a uniform truck weight limit of 100,000 pounds on Maine's interstate highways also would reduce highway miles, as well as the travel time necessary to transport freight through Maine, resulting in economic and environmental benefits. Moreover, Maine's extensive network of local roads would be better preserved without the wear and tear of heavy truck traffic.
Interstate 95 north of Augusta, ME, where trucks are currently limited at 80,000 pounds, was originally designed and built for military freight movements to Loring Air Force Base at weights much heavier than 100,000 pounds. Raising the truck weight limit would keep heavy trucks on the interstates, which are designed to carry more weight than the rural State roads.
Current Maine law requires that vehicles carrying up to 100,000 pounds on state roads be six-axle combination vehicles. Current Federal law requires that vehicles carrying 80,000 pounds be five-axle. Contrary to erroneous assumptions, six-axle 100,000 pound vehicles are not longer, wider or taller than the five-axle 80,000 pound vehicles. The six-axle 100,000 pound vehicles, which include an additional set of brakes, allow for greater weight distribution thereby not increasing road wear and tear. Further, stopping distances and safety are in no way diminished, and preliminary data from studies conducted by the Maine State Police support this statement. That is why Maine's Commissioner of Public Safety, the Maine State Troopers Association, and the Maine Association of Police all support this pilot project.
A higher weight limit in Maine will not only preserve our rapidly deteriorating roads, but will provide economic relief to an already struggling trucking industry. Trucks weighing up to 100,000 pounds are permitted on interstate highways in New Hampshire, Massachusetts, and New York as well as the Canadian Provinces of New Brunswick and Quebec. Maine truck drivers and the businesses they serve are at a competitive disadvantage.
Last year, I met with Kurt Babineau, a small business owner and second generation logger and trucker from Maine. Like so many of our truckers, Kurt has been struggling with the increasing costs of running his operation. All of the pulpwood his business produces is transported to Verso Paper in Jay, ME, a 165-mile roundtrip. This would be a considerably shorter trip if his trucks were permitted at 100,000 pounds to remain on Interstate 95. Instead, his trucks must travel a less direct route through cities and towns. Kurt estimated that permitting his trucks to travel on all of Interstate 95 would save him 118 gallons of fuel each week. At last year's diesel cost of approximately $4.50 a gallon, and including savings from his drivers spending less time on the trip, he could have saved more than $700 a week, and more than $33,000 and 5,600 gallons of fuel annually. These savings would not only be beneficial to
Kurt's bottom line, but also to his employees, his customers, and to our nation as we look for ways to decrease the overall fuel consumption.
An increase of the Federal truck weight limit in Maine is widely supported by public officials throughout Maine, including the Governor, the Maine Association of Police, and the Maine Department of Public Safety, which includes the State Bureau of Highway Safety, the Maine State Police, and the Bureau of Emergency Communications. The Maine Legislature also has expressed its support for the change having passed resolutions over the past several years calling on Congress to raise the Federal truck weight limit to 100,000 pounds in Maine. I look forward to passage of this important provision, which has been long awaited in my State.
Cloture Motion
Mr. President, I rise today to reintroduce a bill I offered last December that will provide much-needed relief to struggling families across America. The Unemployment Benefit Tax Suspension Act of…
Mr. President, I rise today to reintroduce a bill I offered last December that will provide much-needed relief to struggling families across America. The Unemployment Benefit Tax Suspension Act of 2009 is a critical piece of legislation, which should be considered as part of any stimulus package, that would suspend the collection of Federal income tax on unemployment benefits for 2008 and 2009. This bill would ensure that as individuals sit down in the next couple months to complete their 2008 tax bills, they will not have to worry about paying taxes on the unemployment benefits they received last year or can get refunds of taxes withheld. It also means that the unemployed would not be concerned with taxes on benefits paid this year. I thank Senators Lincoln and Bunning for joining me to introduce this legislation.
In light of the calamitous labor market, Congress must act to ensure that workers who lose their jobs do not also lose their livelihoods. In December, the Labor Department released sobering statistics that demonstrated the gravity of the situation we face. In November, the economy shed 533,000 jobs, the largest monthly job loss since December 1974. Our unemployment rate now stands at a perilous 6.7 percent, a 15- year high. We have lost 1.9 million jobs since the beginning of our present recession in December 2007--including two-thirds of those jobs in the last 3 months alone--and the number of unemployed stands at a whopping 10.3 million.
Suspending the Federal income tax on unemployment benefits is a simple way to assist our Nation's unemployed workers and families. In fact, the CBO has estimated that in 2005, of the 8.1 million recipients of unemployment compensation benefits, 7.5 million had incomes of under $100,000. As such, most of the benefits of suspending this tax are likely to go to lower- and middle-income families, those struggling harder than ever just to make ends meet.
During these challenging times, taxes on unemployment compensation represents a burden that unemployed members of our society simply cannot afford. Working families are already suffering, with the high cost of groceries, an unstable energy market, and the outrageous pricetag for health care. My bill offers a means to help stimulate the economy by making unemployed workers' benefits stretch farther. While it is certainly not a solution to the problem, it is a step in the right direction.
President-elect Obama has voiced his support for this general idea, calling it ``a way of giving more relief to families,'' and I believe that is the ultimate goal we must pursue in these trying times. I look forward to seeing this bill is passed in a timely manner, so that the impact can be immediate.
Mr. President, I ask unanimous consent that the text of the bill be printed in the Record.
Mr. President, today I rise to introduce legislation to offer expanded relief to retirees who are forced to take so-called required minimum distributions from their retirement accounts. After a year in which the Dow Jones Industrial Average fell a staggering 34 percent, Congress rightly suspended required minimum distribution rules for 2009 as part of the Worker, Retiree, and Employer Recovery Act of 2008. Unfortunately, Congress did not act to suspend the rules for 2008 or 2010 as I had previously proposed. Consequently, we now find ourselves in a situation in which 1 year of relief is insufficient to enable retirees to recoup their losses, and I am, therefore, introducing the Retirement Account Distribution Improvement Act of 2009 to allow amounts required to have been distributed in 2008 to be re- contributed and to waive the rules for 2010. I would like to thank Senator Lincoln for cosponsoring this legislation.
Under current law, individuals who have reached age 70.5 generally must begin to withdraw funds from their IRAs or defined contribution retirement plans, including 401(k), 403(b), 457, and TSP plans. The withdrawals must begin by April 1 of the year after which an individual attains age 70.5. Failure to take a required minimum distribution may result in a 50 percent excise tax on the difference between what must be withdrawn and the amount actually distributed.
In times that equities markets are rising and retirement account balances are growing, required minimum distribution rules are sensible. Indeed, they ensure the Government gains revenue after years of tax- deferred growth. Unfortunately, we are now witnessing unprecedented losses in equities markets that have caused many individuals to suffer steep losses in their retirement account balances. Notably, the American Association of Retired Persons has said that retirement accounts have lost as much as $2.3 trillion between September 30, 2007, and October 16, 2008. Forcing individuals to prematurely liquidate accounts and pay income taxes on the proceeds, as is required under current law, instead of allowing them to wait until the market recovers and continue to defer tax, simply adds insult to injury. Moreover, mandating withdrawals may cause stock prices to fall, hurting other investors.
It is for these reasons that I am today introducing legislation to allow individuals who were forced to withdraw funds in 2008 to re- contribute that money into their accounts by July 1, 2009. Any amounts erroneously distributed in early 2009 could also be re-contributed by July 1, 2009. Finally, my bill would also waive minimum required distributions for 2010.
Although Congress took a solid first step by suspending minimum required distributions for 2009, we must do more. With many predicting a multi-year recession, Congress must adopt a longer-term approach to helping individuals protect their retirement assets and weather the current economic storm. Individuals may require several years to recoup losses they have sustained, and by enabling them to keep assets in their retirement accounts until 2011, this bill offers them that opportunity. At that point, Congress can reevaluate whether the waiver of current-law rules should be further extended.
I urge all Senators to consider the benefits this legislation will provide to millions of retirees all across the United States, and I look forward to working with my colleagues to enact it in a timely manner.
Mr. President, I ask unanimous consent that the text of the bill be printed in the Record.
Mr. President, I rise today to reintroduce legislation that would provide State and local development finance authorities with greater flexibility in promoting economic growth that meets the changing realities of an ever more global economy. Specifically, my bill would expand the definition of ``manufacturing'' as it pertains to the small-issue Industrial Development Bond, IDB, program to include the creation of ``intangible'' property. I am pleased to be joined by Senators Kerry, Brown, and Lincoln in reintroducing this critical legislation to promote economic development, and I strongly believe it would be a critical additional to any stimulus legislation.
Our Nation's capacity to innovate is a key reason why our economy remains the envy of the world, even during these difficult economic times. Knowledge-based businesses have been at the forefront of this innovation that has bolstered the economy over the long-term. For example, science parks have helped lead the technological revolution and have created more than 300,000 high-paying science and technology jobs, along with another 450,000 indirect jobs for a total of 750,000 jobs in North America.
It is clear that the promotion of knowledge-based industries can be a key economic tool for States and localities. This is especially true for States that have seen a loss in traditional manufacturing. In my home State of Maine, we lost 28 percent of our total manufacturing employment over the last decade. I believe that it is critical that we provide States and localities with a wider range of options in promoting economic development, particularly as our economy lost over 2 million jobs in 2008. My legislation will do just that by expanding the availability of small-issue IDBs to new economy industries, such as software and biotechnology, that have proven their ability to provide high-paying jobs.
These IDBs allow State and local development finance authorities, like the Finance Authority of Maine, to issue tax-exempt bonds for the purpose of raising capital to provide low-cost financing of manufacturing facilities. These bonds, therefore, provide local authorities with an invaluable tool to attract new employers and assist existing ones to grow. The result is a win-win situation for local communities providing them with much needed jobs. Consequently, it only makes sense to ensure that these finance authorities have maximum flexibility in options to grow jobs.
In addition, my bill provides some technical clarity to distinguish between the phrases ``functionally related and subordinate facilities'' and ``directly related and ancillary facilities.'' Until 1988, there was little confusion based on Treasury regulations going back to 1972 that made it clear that ``functionally related and subordinate facilities'' were clearly eligible for
financing through private activity tax-exempt bonds. But, Congress enacted the Technical and Miscellaneous Revenue Bond Act of 1988 that imposed a limitation that not more than 25 percent of tax-exempt bond financing could be used on ``directly related and ancillary facilities.'' While these two phrases appear to be very similar, they are indeed distinguishable from each other. Unfortunately, the Internal Revenue Service has blurred this distinction between the phrases which has had an adverse impact on the way facilities are able to utilize tax-exempt bond financing. My legislation would make it clear that ``functionally related and subordinate facilities'' are not susceptible to the 25 percent limitation.
We must continue to encourage all avenues of economic development if America is to compete in a changing and increasingly global economy, and my legislation is one small step in furtherance of that goal. I urge my colleagues to join me in supporting this bill and to include it in stimulus legislation we will be considering in the coming weeks.
Mr. President, I ask unanimous consent that the text of the bill be printed in the Record.
Mr. President, I want to speak for a moment about the vote we are about to take here to proceed with the so-called Omnibus Appropriations Act, H.R. 3288. This is the bill which for those who have not…
Mr. President, I want to speak for a moment about the vote we are about to take here to proceed with the so-called Omnibus Appropriations Act, H.R. 3288. This is the bill which for those who have not been following closely cleans up a little bit of a mess that the Congress has created because we did not do our work earlier in the year.
We are supposed to pass appropriations bills to run the government, to run the various Departments, and we did not get around to doing that. So right here, at the very end, we have to combine all kinds of those bills together in what is called an omnibus bill--six bills in total.
I find it ironic we are talking about a bill which is nearly $500 billion--to be exact, it is $446.8 billion in new spending--at a time when our national deficit is $1.4 trillion, the health care bill we are debating in its first 10 years of implementation is $2.5 trillion and, next week, we are going to be asked to raise the debt ceiling in this country by something like $1.8 trillion.
I saw a bumper sticker that said, ``Don't Tell Them What Comes After A Trillion.'' We used to think in billions. When I first came to Congress, millions were a big deal. Now we are talking trillions, and it is being tossed around as if it is nothing. Now another $\1/2\ trillion spending bill.
Well, obviously we need to run the government. But do you suppose the government could be a little bit like families and be a little bit prudent in how much it spends or how much it increases its spending over the previous year?
Let me give you some examples. The bill for Transportation and HUD receives a 23-percent increase over last year--23 percent. The State Foreign Operations bill receives a 33-percent increase over last year. Included in that bill is a 24-percent increase for the State Department's salaries and operations. A lot of Americans would like to see their salaries and operations increased by 24 percent. Commerce, State, and Justice receives a 12-percent increase over last year.
You might say, well, the government is in tough shape. We need, for some reason, to increase our spending by 33 percent. No, not with what is in this bill.
My colleagues have done a little bit of a check to see if there are any earmarks in this bill, for example. And guess what--5,224 earmarks and those earmarks alone are over $3.8 billion.
I gave some examples of those earmarks, and I do not want to embarrass any of my colleagues by citing them today. But I think it would be appropriate for us to at least have the opportunity to strike some of these earmarks and save a little bit of money. Because the argument is always made: Well, we can't save money. We have to keep spending what we are spending. There is nothing in there to cut.
There is a lot in there to cut. So the point I want to make to my colleagues here today, before we vote to proceed with this legislation, is we could do better. There is no argument that we have to spend 33 percent more on the State Foreign Operations bill or 23 percent more on what we call affectionately around here the THUD bill, when we have this deficit of $1.4 trillion, when we have to increase the national debt by $1.8 trillion, when we are talking about spending another $2.5 trillion, and that is just for the first 10 years of operation on the health care bill. I have not even mentioned the bills earlier this year--bailing out AIG, the insurance companies, General Motors, Chrysler, and the stimulus package, and well over $1 trillion when you add in the interest.
By the way, I did not mention interest. Part of the problem is we do not have this money. We are borrowing it. We have to borrow this money in order to pay it to these folks, and that means you have to pay interest. I have not even included the interest cost, which for all these bills amounts to several hundreds of billions of dollars.
There is a point at which, if you are talking about your own family and your own credit card, instead of asking the credit card company to expand the limit so you can put even more money on your credit card-- which is what we are doing here--you would start paying that credit card down and you would be a little bit more careful about your spending.
All I am asking is: Can't we be a little more careful about our spending so we do not have to increase Departments of government by 23 percent, 33 percent over last year's spending? I do not think that is too much to ask on behalf of our taxpayers.
Mr. President, how much time is remaining on our side?
Thank you, Mr. President.
Let me respond to my friend, the majority whip now. Two plain points. First of all: that Republicans also serve on the Appropriations Committee. That is true. If the majority whip, however, wants to defend this bill, that is his prerogative. He can do that. I have the right to vote against it.
I do not serve on the Appropriations Committee, and I do not think it is a good bill. There may be some Republicans who do. I did not contend this was strictly a partisan activity, but I said it was wrong. When our constituents, who pay the taxes in this country, ask us to be more frugal, we could be more frugal than this.
Secondly, undoubtedly, in a bill of almost $500 billion, there are good things. In fact, I know there are some good things in this bill. And I certainly suspect that the increase in veterans spending the majority whip referred to is probably supported by everybody in this body. That is the problem, however. When you do not do these appropriations bills one at a time, so you can vote on each one on its own merits, you are relegated to combining them into one giant bill. That is why it is called an omnibus bill, and you cannot differentiate between the things you support and the things you oppose. So what you have to end up doing is accepting all of the bad stuff in order to be able to support the good things.
That is a time-honored tradition around here. If you cannot get it all passed on its own merits, then bundle it up with a whole bunch of other stuff, and we will have to accept a lot of bad policy and bad spending because we do not want be accused of not supporting our Nation's veterans.
Some of us are willing to say--and I, in fact, have had this conversation with veterans before: Would you rather have us vote against a bill which includes veterans spending but is way more than we should be spending or vote for that bill simply because it has veterans spending in it? I used to have this conversation with veterans when I was in the House of Representatives because they always combine veterans spending with HUD, and it was hard to pass the HUD bill but easy to pass the veterans bill. That is why they did it that way. My veterans were very understanding when I voted against that bill.
We have to be a little bit more courageous around here and a little bit more honest with our constituents in the way we set these bills up, so we do not argue to them: Oh, you don't want to
vote against veterans, do you? No, nobody wants to vote against veterans. But if you get to the point in the year where you have not done your work, and you have to combine all these bills together--and you have some good spending, for example, for veterans, but you are also raising the State Department by 33 percent--I think a lot of folks would say: That is too much. And we could actually save money by being more discreet in supporting some things and opposing others.
That is why it would have been better if the majority could have gotten these bills to us one at a time rather than combined into one omnibus bill.
So, I do think, at a certain point in time, our constituents can demand of us more fiscal prudence, more responsibility in the way we vote. The only way Republicans have to oppose a process by which all of these things came together at once, and the only way other Democrats who wish to demonstrate their prudence in spending to their constituents can do that, is to vote ``no'' so we do not proceed to this bill, so we could try to break it apart and vote on veterans, if you want to vote for veterans, but not a 33-percent increase in the State Department bill.
I urge my colleagues to vote ``no'' and to do this in a more responsible way so we do not have to go home and say to our constituents: Well, we voted for a 33-percent increase in the State Department over last year. I know it is tough for you, but the State Department needed that money. So I hope you will forgive us for doing that.
I do not think we want to do that. I hope my colleagues will vote ``no.''
Project Attribution Correction
The following Senators are necessarily absent: the Senator from Missouri (Mr. Bond), the Senator from Kentucky (Mr. Bunning), the Senator from Oklahoma (Mr. Coburn), the Senator from South Carolina (Mr. Graham), the Senator from South Carolina (Mr. DeMint), and the Senator from Indiana (Mr. Lugar).
Further, if present and voting, the Senator from South Carolina (Mr. DeMint) would have voted ``nay'' and the Senator from Kentucky (Mr. Bunning) would have voted ``nay.''
Mr. President, I am honored to have the opportunity today, obviously early on this first day of this new session of Congress, together with my colleague from Utah, Senator Hatch, to introduce…
Mr. President, I am honored to have the opportunity today, obviously early on this first day of this new session of Congress, together with my colleague from Utah, Senator Hatch, to introduce bipartisan legislation which will finally grant citizens of our Nation's Capital, the District of Columbia, voting representation, the proper representation to which they are entitled as citizens.
That representative voting would be in the House of Representatives. This bill is entitled ``The District of Columbia House Voting Rights Act of 2009.'' It is identical to a bill which Senator Hatch and I introduced in the 110th Congress.
It would, for the first time, give citizens of the District of Columbia full voting representation in the House while adding a fourth congressional seat for the State of Utah based on population statistics from the 2000 census in which they came very close. I think the people of Utah would in fact say they deserve an additional seat.
This is the fifth session in which I have introduced legislation to try to correct what I believe is a fundamental wrong--which is to deny the citizens of our Nation's Capital voting representation in Congress. I hope and believe and pray this is the session in which we are going to get this done.
Last year, this bill passed overwhelmingly in the House by a vote of 271 to 177, but it fell three votes short of gaining cloture in the Senate, though the vote in favor was 57 to 42. With a new Congress and a new President who was in fact a cosponsor of this bill himself in the last session of Congress, I am hopeful we can pass this legislation, vital to the rights of nearly 600,000 Americans living in the District of Columbia. Keep in mind the population of the District, though small compared to many States, is roughly equal to the State populations of Alaska, North Dakota, Vermont, and Wyoming, all of which have, of course, not only representation--that is, voting in the House--but two Senators here. This deals only and exclusively with voting representation in the House.
I want to particularly thank my dear friend and colleague, Senator Orin Hatch, for his continued, principled, steadfast support of this bill. He set aside partisanship to join me and others in trying to right this historic wrong. I greatly admire his commitment to this cause.
I am also proud to say Senators Leahy, Kennedy, Clinton, Dodd, Sanders, Kerry, Durbin, and Feingold are today joining as original cosponsors of this legislation.
Of course, I pay special honor and thanks to the DC Delegate, Eleanor Holmes Norton, who has been a tireless champion of full representation for the citizens of the District; of course, a tireless champion for the citizens of the District generally. Delegate Norton is introducing a similar bill in the House today.
I do this with a certain special personal pride because Delegate Norton and I were at law school at Yale at the same time just a few years ago. It probably would seem, to the casual observer, hard to believe that we deny the residents of our Nation's Capital of the right to have a voting representative in the House of Representatives. In fact, public opinion polls have been taken over the years that ask people: Do you think the residents of the District of Columbia have voting representation in the House? Overwhelming, the American public says: Of course they do, because they cannot believe there would be a reason to deny them the representation.
In recent years, those who have opposed this legislation which would correct a historic injustice have argued that congressional representation is granted only to the States under the Constitution, and therefore our legislation is unconstitutional.
With all respect, I believe that simply is not true. The Constitution provides Congress with the authority to bestow voting rights on the District. Multiple constitutional experts, spanning the full ideological spectrum of left to right, including Ken Starr, former judge on the U.S. Court of Appeals and former Solicitor General, and Viet Dinh, former Assistant Attorney General, and many others have told Congress and the public that this authority, which is, the authority to grant representation in Congress, lies within the District Clause of the Constitution, which is article I, section 8, where it states:
Congress has the power to exercise exclusive legislation in
all cases whatsoever over such District.
Congress has repeatedly used this authority to treat the District of Columbia as a State for various public purposes. For example, as long ago as 1940, the Judiciary Act of 1789 was revised to broaden diversity jurisdiction to include citizens of the District, even though the Constitution specifically provides that national courts may hear cases ``between citizens of different States.''
In other words, in that act, Congress said no, for purposes of diversity of jurisdiction access to the courts, even though the Constitution says that courts may hear cases between citizens of different States. It would be incomprehensible that citizens of the District of Columbia, because they happen to live in the Nation's Capital, could not gain access to the Federal courts.
When challenged, this revision to the Judiciary Act was upheld as constitutional by the Federal courts themselves. Furthermore, the courts have found that Congress has the authority to impose national taxes on the District, to provide a jury trial to residents of the District, and to include
the District in interstate commerce regulations.
These are rights and responsibilities that our Constitution grants to States. Yet the District Clause has allowed Congress to apply those rights and responsibilities to the District of Columbia because not to do so would make residents of the District, or the District itself, second class in their citizenship.
Treating the District as a State for purposes of voting representation in Congress should be no different. The elections of 2008 saw a historic number of citizens carrying out their civic duty by voting for their representatives in Congress. Unfortunately, for over 200 years, DC residents have been denied that most basic right.
According to a 2005 KRC Research poll, 82 percent of Americans, when told that residents of the District do not have a voting representative in Congress, say it is time to give that voting representation to the citizens of our Nation's Capital.
This has very practical and just consequences. People of the District have been the target directly of terrorist attacks, but they have no vote on how the Federal Government provides for their homeland security. Men and women citizens of the District have fought bravely in our wars, in defense of our security and our freedom over the years, many giving their lives in defense of our country. Yet citizens of the District have no voting representation in Congress on the serious questions of war and peace, veterans' benefits, and the like. Of course, the citizens of the District of Columbia, per capita, pay Federal income taxes at the second highest rate in the Nation. Yet they have absolutely no voice, no voting representation, in setting tax rates or in determining how the revenues raised by those taxes will be spent.
This is plain wrong. The Supreme Court has said ``that no right is more precious in a free country than that of having a vote in the election of those who make the laws, under which, as good citizens, we must live.''
We can no longer deny our fellow American citizens who happen to live in the District of Columbia this precious right. With the United States engaged now in two wars, a global war also against terrorists who attacked us on 9/11/2001, with our country facing the most significant economic crisis since the Great Depression, it is past time to grant the vote to those citizens living in our Nation's Capital so their vote can be rightfully heard as we debate these great and complex issues of our time.
This matter has fallen, according to our rules, under the jurisdiction of the Senate Committee on Homeland Security and Governmental Affairs, which I am privileged to chair. I hope we will be able to take it up quickly. It is my intention to consider this legislation at the first markup of our committee in the session, and then to bring it to the floor as quickly as possible with a high sense of optimism that on this occasion, if there is another filibuster that we will have, with the help of the new Members of the Senate, more than 60 votes necessary to close it off, and at least have a vote on this question of fundamental rights for 600,000 of our fellow Americans.
I want to submit not only an original copy of the bill to the clerk, but also for the Record a statement from Senator Hatch, which I ask unanimous consent to appear as if read.
Mr. President, I ask unanimous consent that the bill be printed in the Record.
Mr. President, as the 111th Congress begins, the most important item on our agenda is to help end the worst economic crisis America has faced since the Great Depression. I look forward to working…
Mr. President, as the 111th Congress begins, the most important item on our agenda is to help end the worst economic crisis America has faced since the Great Depression.
I look forward to working with my colleagues in the Senate to develop and approve an economic turnaround package as quickly as possible.
But even if Congress authorizes as much as $1 trillion in new Government spending over the next 2 years to stimulate the economy, if we don't address the origins of this crisis, I fear the impact of any recovery package will be dampened.
This economic crisis began with the bubble that burst in the housing market. So we have to address that, first and foremost. Families need to be able to stay in their homes, and communities need to be stabilized before the economy can start to grow again.
That's why, as my first bill in the new Congress, I am reintroducing the Helping Families Save Their Homes in Bankruptcy Act.
When I first began working on this bill almost two years ago, the Center for Responsible Lending, Credit Suisse, and others estimated that 2 million homes were at risk of foreclosure.
The Mortgage Bankers Association and the rest of the mortgage industry scoffed at such a number.
Last month, Credit Suisse estimated that 8.1 million homes are likely to be lost to foreclosure by 2012. If the economy continues to worsen, they believe foreclosures will exceed 10 million homes.
If over 8 million families--representing 16 percent of all mortgages--are losing their homes, our economy is not going to recover.
I first introduced this bill in September of 2007. I have chaired three hearings on the subject and tried three times to pass this legislation last year.
A large coalition supports this bill--including the AARP, the Consumer Federation of America, the Leadership Conference on Civil Rights, the AFL-CIO, the Center for Responsible Lending, the National Association of Consumer Bankruptcy Attorneys, and many others. But the Mortgage Bankers Association and the rest of the mortgage industry have successfully opposed it so far.
Three things have fundamentally changed, and I am back, pressing even harder that we make this bill law.
First, the banks that brought us the reckless lending, dense securitization, and risky investing practices that created the boom and bust in the housing market have now happily accepted a $700 billion handout from the American taxpayers . . . even as most of them refuse to help the homeowners who are suffering most acutely from their irresponsible business practices. Frankly, I think that the credibility of the opposition to my bill has slipped just a bit.
Second, it is painfully clear that foreclosure mitigation efforts to date have failed. Professor Alan White of the Valparaiso School of Law analyzed a large sample of the mortgage modifications made voluntarily by the industry-led Hope Now Alliance. He found that almost half of these so-called foreclosure prevention plans actually increased the monthly payments of homeowners. How does that help families save their homes?
Third, America soon will have a President who understands the enormity of this problem and supports this change to the bankruptcy code.
So what does this bill do? This bill would allow mortgages on primary residences to be modified in bankruptcy just like other debts-- including vacation homes, family farms, and yachts.
Only families living in the home would qualify--no speculators are allowed.
The bill would allow judges to cut through all of the constraints that have doomed foreclosure prevention plans from being successful for even the most proactive and well-intentioned mortgage servicers.
There are very real constraints on some of the current efforts to prevent foreclosure today because most mortgages are sliced and sold to different investors, servicers sometimes have a hard time locating all of the owners of the mortgages to get their consent for modifications.
Servicers that modify mortgages without the consent of all the investors fear that they could be sued.
Some investors refuse to approve sensible restructurings, because there is little incentive for the owner of a second mortgage to approve a modification of a first mortgage that will see the second mortgage wiped out.
Mortgage modifications that ignore the other pile of debt a household is facing is a set-up for failure. That's a leading reason why we see so many redefaults on newly modified mortgages through the current programs.
Finally, servicers who are on the front lines answering the phone calls from homeowners and processing the paperwork often are compensated more for foreclosures than modifications.
My proposal would allow judges to cut through these complicating factors to rework the underlying loans.
The mortgages that are modified in bankruptcy will provide far more value to the lenders and the investors than foreclosure.
The bill would provide borrowers who are frustrated with their mortgage servicers some desperately needed leverage to get their banker's full attention. It provides an incentive for banks to modify loans before the judges in bankruptcy do it for them.
Best of all, this program would cost the taxpayers nothing. Given the staggering amounts that taxpayers have been asked to give to the mortgage industry lately, the taxpayers are ready for a plan that doesn't cost them anything and that will actually work.
Since the Mortgage Bankers Association still opposes this plan, after taking all of that taxpayer money and after failing to do anything meaningful on their own to address this crisis, I want to address their primary remaining objection to this plan as clearly as possible so that everyone listening fully understands why the industry is wrong, once and for all.
A few weeks ago, the Chairman of the Mortgage Bankers Association testified in the Senate Judiciary Committee that my bill would create a tax of $295, per month, for every homeowner in America, forever. I asked in the hearing, and my staff asked three times after the hearing, for some shred of evidence to support such a ridiculous claim. The response finally came just before the holidays, and it is laughable.
The Mortgage Bankers Association claims that changing the bankruptcy code will create new costs for lenders that must then be passed on to all borrowers. They have concocted a list of individual costs that add up to the full ``tax,'' as they call it. But they don't provide a single shred of evidence to support any of these cost estimates. Not one. They just made them all up.
On the other hand, a study conducted by Adam Levitin of the Georgetown Law School uses actual statistical data to show that there is virtually no impact on mortgage interest rates just because mortgages can be modified by judges in bankruptcy.
The main problem with the argument that my bill will increase future mortgage rates is this:
The choice for mortgage lenders and investors is not full payment of the original mortgage versus a lower payment from a judicially modified mortgage.
The choice is between a lower payment from a judicially modified mortgage and mortgage failure.
Valparaiso's Professor White reports that in his large study sample, mortgage servicers and their investors lost an average of 55 percent of the value of the mortgages that failed through foreclosure, or about $145,000 per loan.
If those loans would have been modified in bankruptcy, the servicers and investors would have been given ownership of a sustainable mortgage worth at least the fair market value of the home plus an interest rate that included a premium for risk. These modified mortgages would on average have created far better results than the foreclosures that actually occurred.
Therefore, when the Mortgage Bankers Association claims with no evidence whatsoever that my bill would raise mortgage interest rates, we should all ask them this: Why would mortgage bankers charge future borrowers higher interest rates tomorrow because of a change in the law that
helps the bankers reduce their losses today?
I urge the Senate to move swiftly to enact the economic recovery package that America desperately needs. And as part of that effort I urge my colleagues to support the remedy to the foreclosure crisis that will provide the most help to the 8.1 million families across the country who are at risk of losing their homes.
If we don't address the core of the crisis, I fear that the stimulus may not work as well as it should. I look forward to working with Chairman Dodd, Senator Schumer, all of the other Senators who have supported this provision, and President-elect Obama to see that it is signed into law quickly.
Mr. President, I ask unanimous consent that the text of the bill be printed in the Record.
Mr. President, as the 111th Congress begins, the most important item on our agenda is to help end the worst economic crisis America has faced since the Great Depression. I look forward to working…
Mr. President, as the 111th Congress begins, the most important item on our agenda is to help end the worst economic crisis America has faced since the Great Depression.
I look forward to working with my colleagues in the Senate to develop and approve an economic turnaround package as quickly as possible.
But even if Congress authorizes as much as $1 trillion in new Government spending over the next 2 years to stimulate the economy, if we don't address the origins of this crisis, I fear the impact of any recovery package will be dampened.
This economic crisis began with the bubble that burst in the housing market. So we have to address that, first and foremost. Families need to be able to stay in their homes, and communities need to be stabilized before the economy can start to grow again.
That's why, as my first bill in the new Congress, I am reintroducing the Helping Families Save Their Homes in Bankruptcy Act.
When I first began working on this bill almost two years ago, the Center for Responsible Lending, Credit Suisse, and others estimated that 2 million homes were at risk of foreclosure.
The Mortgage Bankers Association and the rest of the mortgage industry scoffed at such a number.
Last month, Credit Suisse estimated that 8.1 million homes are likely to be lost to foreclosure by 2012. If the economy continues to worsen, they believe foreclosures will exceed 10 million homes.
If over 8 million families--representing 16 percent of all mortgages--are losing their homes, our economy is not going to recover.
I first introduced this bill in September of 2007. I have chaired three hearings on the subject and tried three times to pass this legislation last year.
A large coalition supports this bill--including the AARP, the Consumer Federation of America, the Leadership Conference on Civil Rights, the AFL-CIO, the Center for Responsible Lending, the National Association of Consumer Bankruptcy Attorneys, and many others. But the Mortgage Bankers Association and the rest of the mortgage industry have successfully opposed it so far.
Three things have fundamentally changed, and I am back, pressing even harder that we make this bill law.
First, the banks that brought us the reckless lending, dense securitization, and risky investing practices that created the boom and bust in the housing market have now happily accepted a $700 billion handout from the American taxpayers . . . even as most of them refuse to help the homeowners who are suffering most acutely from their irresponsible business practices. Frankly, I think that the credibility of the opposition to my bill has slipped just a bit.
Second, it is painfully clear that foreclosure mitigation efforts to date have failed. Professor Alan White of the Valparaiso School of Law analyzed a large sample of the mortgage modifications made voluntarily by the industry-led Hope Now Alliance. He found that almost half of these so-called foreclosure prevention plans actually increased the monthly payments of homeowners. How does that help families save their homes?
Third, America soon will have a President who understands the enormity of this problem and supports this change to the bankruptcy code.
So what does this bill do? This bill would allow mortgages on primary residences to be modified in bankruptcy just like other debts-- including vacation homes, family farms, and yachts.
Only families living in the home would qualify--no speculators are allowed.
The bill would allow judges to cut through all of the constraints that have doomed foreclosure prevention plans from being successful for even the most proactive and well-intentioned mortgage servicers.
There are very real constraints on some of the current efforts to prevent foreclosure today because most mortgages are sliced and sold to different investors, servicers sometimes have a hard time locating all of the owners of the mortgages to get their consent for modifications.
Servicers that modify mortgages without the consent of all the investors fear that they could be sued.
Some investors refuse to approve sensible restructurings, because there is little incentive for the owner of a second mortgage to approve a modification of a first mortgage that will see the second mortgage wiped out.
Mortgage modifications that ignore the other pile of debt a household is facing is a set-up for failure. That's a leading reason why we see so many redefaults on newly modified mortgages through the current programs.
Finally, servicers who are on the front lines answering the phone calls from homeowners and processing the paperwork often are compensated more for foreclosures than modifications.
My proposal would allow judges to cut through these complicating factors to rework the underlying loans.
The mortgages that are modified in bankruptcy will provide far more value to the lenders and the investors than foreclosure.
The bill would provide borrowers who are frustrated with their mortgage servicers some desperately needed leverage to get their banker's full attention. It provides an incentive for banks to modify loans before the judges in bankruptcy do it for them.
Best of all, this program would cost the taxpayers nothing. Given the staggering amounts that taxpayers have been asked to give to the mortgage industry lately, the taxpayers are ready for a plan that doesn't cost them anything and that will actually work.
Since the Mortgage Bankers Association still opposes this plan, after taking all of that taxpayer money and after failing to do anything meaningful on their own to address this crisis, I want to address their primary remaining objection to this plan as clearly as possible so that everyone listening fully understands why the industry is wrong, once and for all.
A few weeks ago, the Chairman of the Mortgage Bankers Association testified in the Senate Judiciary Committee that my bill would create a tax of $295, per month, for every homeowner in America, forever. I asked in the hearing, and my staff asked three times after the hearing, for some shred of evidence to support such a ridiculous claim. The response finally came just before the holidays, and it is laughable.
The Mortgage Bankers Association claims that changing the bankruptcy code will create new costs for lenders that must then be passed on to all borrowers. They have concocted a list of individual costs that add up to the full ``tax,'' as they call it. But they don't provide a single shred of evidence to support any of these cost estimates. Not one. They just made them all up.
On the other hand, a study conducted by Adam Levitin of the Georgetown Law School uses actual statistical data to show that there is virtually no impact on mortgage interest rates just because mortgages can be modified by judges in bankruptcy.
The main problem with the argument that my bill will increase future mortgage rates is this:
The choice for mortgage lenders and investors is not full payment of the original mortgage versus a lower payment from a judicially modified mortgage.
The choice is between a lower payment from a judicially modified mortgage and mortgage failure.
Valparaiso's Professor White reports that in his large study sample, mortgage servicers and their investors lost an average of 55 percent of the value of the mortgages that failed through foreclosure, or about $145,000 per loan.
If those loans would have been modified in bankruptcy, the servicers and investors would have been given ownership of a sustainable mortgage worth at least the fair market value of the home plus an interest rate that included a premium for risk. These modified mortgages would on average have created far better results than the foreclosures that actually occurred.
Therefore, when the Mortgage Bankers Association claims with no evidence whatsoever that my bill would raise mortgage interest rates, we should all ask them this: Why would mortgage bankers charge future borrowers higher interest rates tomorrow because of a change in the law that
helps the bankers reduce their losses today?
I urge the Senate to move swiftly to enact the economic recovery package that America desperately needs. And as part of that effort I urge my colleagues to support the remedy to the foreclosure crisis that will provide the most help to the 8.1 million families across the country who are at risk of losing their homes.
If we don't address the core of the crisis, I fear that the stimulus may not work as well as it should. I look forward to working with Chairman Dodd, Senator Schumer, all of the other Senators who have supported this provision, and President-elect Obama to see that it is signed into law quickly.
Mr. President, I ask unanimous consent that the text of the bill be printed in the Record.
Mr. President, I would like to thank the senior Senator from Wisconsin for his hard work to address antitrust issues in the rail industry along with other industries as Chairman of the Antitrust,…
Mr. President, I would like to thank the senior Senator from Wisconsin for his hard work to address antitrust issues in the rail industry along with other industries as Chairman of the Antitrust, Competition Policy and Consumer Rights Subcommittee of the Judiciary Committee. I have been pleased to support his efforts to bring antitrust scrutiny to the large freight railroads since he first introduced a version of this legislation in 2006. As Senator Kohl well knows, this is a vitally important issue for rail customers and ultimately consumers both in Wisconsin and across the country.
Over the past several years, I have heard more and more comments and concerns from freight rail customers at my town hall meetings in Wisconsin and my meetings in Washington. The concerns have come from constituents who rely on freight railroads to transport their goods or receive raw materials. The comments I have heard have been diverse by industry, ranging from forestry, energy, farming, and petrochemical companies to various manufacturers, and by size, from family owned enterprises to large corporations. The problems they have described do not seem to be isolated incidents, but instead suggest a systematic continuing problem.
There are several general concerns that seem to apply no matter which class of railroad is discussed. While outright refusals of transport may be rare, several of my constituents have found it difficult to get timely estimates of costs for carriage for their cargo. This seems to especially be a problem for short distances or small loads, or if the cargo is only on the originating railroads' tracks for a short distance. Many have said that they feel like second-class citizens, denied the better service and dedicated trains that the long-haul receive.
I have also heard about problems with changes to transportation schedules, and problems with rail car delivery and ancillary services such as scales. Many rail customers seem to feel that as railroads continued to merge over the past two decades, service, especially for small customers, has declined dramatically. Again, this seems to especially affect small railroad customers who are dependant on rail transport, but face difficulty in receiving cars to fill, moving filled cars in a timely manner or weighing their loads.
Of course cost is also an issue, but it is not just the cost of transportation. Some rail customers feel that the Surface Transportation Board, STB, complaint process is too costly, slow and tilted in favor of the railroads over the customers. They contend that these hurdles to exposing anticompetitive practices have the effect of perpetuating the unfair treatment and excessive rates they experience.
Senator Kohl's proposal would remove the current railroad antitrust exemptions so that railroads would be covered like other segments of industry. The Department of Justice and the Federal Trade Commission would then have the authority to review mergers and block anti- competitive mergers. The legislation would also expand the ability of State Attorneys General and private parties to halt anti-competitive behavior and seek up to treble damages for any such violations.
I believe this is a very reasonable and measured proposal as evidenced by the bill being passed out of the Judiciary Committee in the previous Congress by voice vote. I look forward to supporting Senator Kohl's efforts to move the legislation through committee again and push for its passage into law during the current Congress.
While I hope that providing the Department of Justice the authority to review possible antitrust violations as proposed in the current bill will improve the situation for many shippers, it may have to go hand- in-hand with reforms at the STB as were contemplated in the previous Congress by Senator Rockefeller's Railroad Competition and Service Improvements Act of 2007.
Mr. President, I am pleased to join with the senior Senator from Arizona, Mr. McCain, the junior Senator from Missouri, Mrs. McCaskill, the junior Senator from Oklahoma, Mr. Coburn, and the senior Senator from South Carolina, Mr. Graham, in introducing the Fiscal Discipline, Earmark Reform, and Accountability Act of 2009. Senator McCain has been one of the preeminent champions
of earmark reform, and I have been pleased to work with him in fighting this abuse over the last two decades. Senators McCaskill and Coburn, though newer to the Senate, have been two of the most effective advocates of earmark reform since taking office. And Senator Graham has been a courageous champion of reform as well, and during consideration of the Lobbying and Ethics Reform measure in the 110th Congress was a critical vote in helping to strengthen the earmark provisions of that legislation.
That measure was the most significant earmark reform Congress has ever enacted, and it reflected a growing recognition by Members that the business-as-usual days of using earmarks to avoid the scrutiny of the authorizing process or of competitive grants are coming to an end. It is no accident that the presidential nominees of the two major parties were major players on that reform package.
Mr. President, it would be a mistake not to acknowledge just how far we have come. The Lobbying and Ethics Reform bill was an enormous step forward, and I commend our Majority Leader, Senator Reid, as well as our former colleague from Illinois, President-elect Obama, for their work in ensuring the passage of that landmark bill.
But it would also be a mistake not to admit that we still have a way to go. The Fiscal Discipline, Earmark Reform, and Accountability Act of 2009 will build on the significant achievement of the 110th Congress by moving from what has largely been a system designed to dissuade the use of earmarks through disclosure to one that actually makes it much more difficult to enact them.
The principal provision of this measure is the establishment of a point of order against unauthorized earmarks on appropriations bills. To overcome that point of order, supporters of the unauthorized earmark will need to obtain a super-majority of the Senate. As a further deterrent, the bill provides that any earmarked funding which is successfully stricken from the appropriations bill will be unavailable for other spending in that bill.
The measure also closes a loophole in last year's Lobbying and Ethics Reform bill by requiring all appropriations conference reports and all authorizing conference reports to be electronically searchable 48 hours before the Senate considers the conference report. And it requires all recipients of federal funds to disclose any money spent on registered lobbyists.
I am delighted that President-elect Obama has announced that the expected economic recovery package which may be proposed in the next few days should be kept free of earmarks. I couldn't agree more, and I expect to join with Senators McCain, McCaskill, Graham, and Coburn to see that the recovery package is free of unauthorized earmarks.
In the past, this urgently needed measure was just the kind of legislation that typically attracted unauthorized earmarks. We are much more likely to be successful in keeping that package and other appropriations bills free of earmarks if we are able to use the tools proposed in this legislation.
Mr. President, I ask unanimous consent that the text of the bill be printed in the Record.
Mr. President, as I did in the last Congress, I am cosponsoring the legislation introduced today by the Senator from Connecticut to provide a House seat for the District of Columbia and an additional…
Mr. President, as I did in the last Congress, I am cosponsoring the legislation introduced today by the Senator from Connecticut to provide a House seat for the District of Columbia and an additional House seat for Utah.
Representation and suffrage are so central to the American system of self-government that America's founders warned that limiting suffrage would risk another revolution and could prevent ratification of the Constitution. The Supreme Court has said that no right is more precious in a free country than having a voice in the election of those who govern us. I continue to believe what I stated more than 30 years ago here on the Senate floor, that Americans living in the District should enjoy all the privileges of citizenship, including voting rights.
The bill introduced today would treat the District of Columbia as a congressional district to provide for full representation in the House. The bill states, however, that the District shall not be treated as a State for representation in this body.
No matter how worthwhile or even compelling an objective might be, however, we cannot legislatively pursue it without authority grounded in the Constitution. I would note that the Constitution explicitly gives Congress legislative authority over the District ``in all cases whatsoever.'' This authority is unparalleled in scope and has been called sweeping, plenary, and extraordinary by the courts. It surpasses both the authority a State legislature has over its own State and the authority Congress has over legislation affecting the States.
Some have argued that despite the centrality of representation and suffrage, and notwithstanding our unparalleled and plenary authority over the District, that Congress cannot provide a House seat for the District by legislation. They base their argument on a single word. Article I, Section 5, of the Constitution provides that the House of Representatives shall be composed of members chosen by the people of the several States. Because the District is not a State, the argument goes, it cannot have a House seat without a constitutional amendment,
I studied this issue extensively and published my analysis and conclusions in the Harvard Journal on Legislation for everyone to consider. I ask unanimous consent that this article be made part of the Record following my remarks. Let me here just mention a few considerations that I found persuasive.
First, as I have already mentioned, the default position of our system of government is representation and suffrage. That principle is so fundamental that, in this case, I believe there must be actual evidence that America's founders intended to deny it to District residents, No such evidence exists.
Second, establishing and maintaining the District as a separate political jurisdiction does not require disenfranchising its residents. The
founders wanted the capital to be free from State control and I support keeping it that way. Giving the District a House seat changes neither that status nor Congress' legislative authority over the District.
Third, America's founders not only did not intend to disenfranchise District residents, they demonstrated the opposite intention by their own legislative actions. In 1790, Congress provided by legislation for Americans living in the land ceded for the District to vote in congressional elections. No one even suggested that this legislation was unconstitutional because that land was not part of a State. If Congress could do it then, Congress can do it today.
Fourth, courts have held for more than two centuries that constitutional provisions framed in terms of States can be applied to the District or that Congress can legislatively accomplish for the District what the Constitution accomplishes for States. Congress, for example, has authority to regulate commerce among the several States. The Supreme Court held in 1889 that this applies to the District. Do opponents of giving the District a House seat believe Congress cannot regulate commerce involving the District?
The original Constitution provided that direct taxes shall be apportioned among the several States. The Supreme Court held in 1820 that Congress' legislative authority over the District allows taxation of the District. Do opponents of giving the District a House seat believe that the District is suitable for taxation but not for representation?
The Constitution provides that federal courts may review lawsuits between citizens of different States. The Supreme Court held in 1805 that Congress can legislatively extend this to the District even though the Constitution does not.
The list goes on involving provisions of the Constitution, statues, and even treaties. Over and over, courts have ruled either that provisions framed in terms of States can be directly applied to the District or that Congress can legislatively do so. Perhaps opponents of giving the District a House seat believe that all of these decisions over more than two centuries were wrong, that the word States begins and ends the discussion in every case. They cannot say so in the present case without confronting those precedents.
These and other considerations which I discussed in the article I mentioned have led me to conclude that the Constitution allows Congress legislatively to provide a House seat for the District. I do want to repeat my continuing opposition to District representation in the Senate. The District's status as a non-State jurisdiction is not relevant to representation in the House, which was designed to represent people, but it is relevant to representation in the Senate, which was designed to represent states. I would once again emphasize that the bill introduced today explicitly disclaims Senate representation for the District.
In December 2006, I signed a letter to the majority and minority leaders expressing the same position I had taken three decades earlier. It stated that while there are many differences between Utah and the District, to be sure, they share the right to be represented in our country's legislature. I take the same position today, believing that Congress may and should pass the bill introduced today to provide for that representation.
Mr. President, I will proceed under my leader time. Mr. President, yesterday may well have been a seminal moment in this debate. We heard from CMS. And for those who do not know what that is, who may…
Mr. President, I will proceed under my leader time.
Mr. President, yesterday may well have been a seminal moment in this debate. We heard from CMS. And for those who do not know what that is, who may be watching C-SPAN 2, that is the Centers for Medicare & Medicaid Services. They did an analysis of the Reid health care bill, a rather detailed analysis. The important part I will summarize. It says: We estimate that total national health expenditures under this bill would increase by an estimated $234 billion during the calendar years 2010 to 2019. In other words, it will increase the deficit. We know there was a letter to Chairman Baucus from six Democrats on September 17, 2009, saying:
There are many, wide-ranging options to address the broad
and complicated issue of runaway health care costs, and we
pledge our support to you in making the necessary and tough
decisions. This is our number one priority. If we pass health
[care] reform legislation without addressing the issue of
health care spending, we will have failed.
That letter was signed by Senator Kohl of Wisconsin, Senator McCaskill of Missouri, Senator Pryor of Arkansas, Senator Begich of Alaska, Senator Bayh of Indiana, and Senator Klobuchar of Minnesota to the chairman of the Finance Committee, saying: ``If we pass health care reform legislation without addressing the issue of health [care] spending, we will have failed.''
We know from CMS, the actuary at the Department of Health and Human Services, that the Reid bill fails the test of Senators Kohl, McCaskill, Pryor, Begich, Bayh, and Klobuchar. So we know what CMS thinks.
We also know what CNN thinks. We know where the American people are. We have watched the public opinion polls dramatically shift against the Reid proposal. The well-respected Quinnipiac poll a week or so ago had the proposal disapproved by 14 percent; the week before that, Gallup had it disapproved by 9 percent. And now CNN, just yesterday, the latest poll: people oppose the Senate bill 61 to 36.
We have heard from both CMS and CNN. When will our colleagues on the other side of the aisle respond to either cold, hard facts or the American people? They argue: ``to make history.'' It is clear this would be a historical mistake of gargantuan proportions--a historical mistake of gargantuan proportions. The only history we would be making here is a historical mistake.
We know from the experts it will not achieve the goal. We know from the American people they do not want us to pass it. It is time to stop this effort and to start over and go step by step to fix the problems the American people sent us here to fix regarding the American health care system.
Mr. President, I yield the floor.
Mr. President, we had indicated to Senators Reid and Durbin that we wanted to see if there was a way to develop some path forward on the health care bill, and I wish to at this point propound a consent agreement that might well give us a way to move forward on some of the amendments that have been pending for quite some time, some of which are both supported and opposed on each side.
Having said that, I ask unanimous consent that after the vote on the adoption of the pending conference report, the Senate resume consideration of H.R. 3590 under the following order; there be 2 hours of debate equally divided between the two leaders or their designees and following the use or yielding back of that time, the Senate proceed to a series of stacked votes in relation to the following amendments or motions; a Baucus sense-of-the-Senate amendment related to taxes, the pending Crapo motion--which I might add parenthetically has been out there since last Tuesday--the Crapo motion to commit the bill related to taxes, then the Dorgan amendment, which is on the drug importation issue, No. 2793, and then a McCain amendment, No. 3200, on the same subject.
I further ask unanimous consent that the above referenced motion and amendments be subject to an affirmative 60-vote threshold, and if they achieve that threshold, they become agreed to; further, if they do not achieve that threshold, they be withdrawn; finally, I ask that no amendments be in order to any of the mentioned amendments and motion.
Before the Chair rules, I wish to make a quick point. The majority leader has been proposing a series of votes, which regretfully has not held to our pattern of alternating back and forth. We have many people interested in the pending amendments, and under the agreement I put forward, each side would get two votes, as we have tried to operate throughout the health care debate, and then we would move forward.
Well, fortunately, Senator McCain is on the floor at this time, and I will ask him to describe it.
Maybe I have a solution to the problem. It actually involves my side agreeing to a procedure we have not followed throughout this bill, but let me suggest the following, which I think would get us out of this conundrum we seem to be in: that even though we have alternated from side to side, we would agree to both Dorgan and Lautenberg in conjunction, right after Crapo and Baucus; and then we get in the queue our next two--which I believe you are already familiar with, because they have been discussed on the floor--the Hutchison- Thune amendment, and then a Snowe amendment.
In other words, Mr. President, putting it another way, we are basically conceding to what the Senator had earlier proffered as a way to get moving on the bill, and then we would get back into our process of going side to side. And we want you to know that our next two--as we have been letting each side know what the other side was going to offer--our next two would be the Snowe amendment and the Hutchison-Thune amendment.
Of course.
If you so chose.
I understand capitulation when we do it, and we have essentially said to the majority we will go along with what you had earlier requested and we would like for you to take ``yes'' for an answer and for us to wrap this up and have a sense of where we are going from here.
Bill Text
Latest available legislative text
[Congressional Bills 111th Congress]
[From the U.S. Government Printing Office]
[S. 61 Introduced in Senate (IS)]
111th CONGRESS
1st Session
S. 61
To amend title 11 of the United States Code with respect to
modification of certain mortgages on principal residences, and for
other purposes.
_______________________________________________________________________
IN THE SENATE OF THE UNITED STATES
January 6, 2009
Mr. Durbin (for himself, Mrs. Boxer, Mrs. Feinstein, Mr. Harkin, Mr.
Schumer, and Mr. Whitehouse) introduced the following bill; which was
read twice and referred to the Committee on the Judiciary
_______________________________________________________________________
A BILL
To amend title 11 of the United States Code with respect to
modification of certain mortgages on principal residences, 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 ``Helping Families Save Their Homes in
Bankruptcy Act of 2009''.
SEC. 2. ELIGIBILITY FOR RELIEF.
Section 109 of title 11, United States Code, is amended--
(1) by adding at the end of subsection (e) the following:
``For purposes of this subsection, the computation of debts
shall not include the secured or unsecured portions of--
``(1) debts secured by the debtor's principal residence if
the current value of that residence is less than the secured
debt limit; or
``(2) debts secured or formerly secured by real property
that was the debtor's principal residence that was sold in
foreclosure or that the debtor surrendered to the creditor if
the current value of such real property is less than the
secured debt limit.''; and
(2) by adding at the end of subsection (h) the following:
``(5) The requirements of paragraph (1) shall not apply in a case
under chapter 13 with respect to a debtor who submits to the court a
certification that the debtor has received notice that the holder of a
claim secured by the debtor's principal residence may commence a
foreclosure on the debtor's principal residence.''.
SEC. 3. PROHIBITING CLAIMS ARISING FROM VIOLATIONS OF CONSUMER
PROTECTION LAWS.
Section 502(b) of title 11, United States Code, is amended--
(1) in paragraph (8) by striking ``or'' at the end,
(2) in paragraph (9) by striking the period at the end and
inserting ``; or'', and
(3) by adding at the end the following:
``(10) the claim is subject to any remedy for damages or
rescission due to failure to comply with any applicable
requirement under the Truth in Lending Act, or any other
provision of applicable State or Federal consumer protection
law that was in force when the noncompliance took place,
notwithstanding the prior entry of a foreclosure judgment.''.
SEC. 4. AUTHORITY TO MODIFY CERTAIN MORTGAGES.
Section 1322(b) of title 11, United States Code, is amended--
(1) by redesignating paragraph (11) as paragraph (12),
(2) in paragraph (10) by striking ``and'' at the end, and
(3) by inserting after paragraph (10) the following:
``(11) notwithstanding paragraph (2) and otherwise
applicable nonbankruptcy law, with respect to a claim for a
loan secured by a security interest in the debtor's principal
residence that is the subject of a notice that a foreclosure
may be commenced, modify the rights of the holder of such
claim--
``(A) by providing for payment of the amount of the
allowed secured claim as determined under section
506(a)(1);
``(B) if any applicable rate of interest is
adjustable under the terms of such security interest by
prohibiting, reducing, or delaying adjustments to such
rate of interest applicable on and after the date of
filing of the plan;
``(C) by modifying the terms and conditions of such
loan--
``(i) to extend the repayment period for a
period that is no longer than the longer of 40
years (reduced by the period for which such
loan has been outstanding) or the remaining
term of such loan, beginning on the date of the
order for relief under this chapter; and
``(ii) to provide for the payment of
interest accruing after the date of the order
for relief under this chapter at an annual
percentage rate calculated at a fixed annual
percentage rate, in an amount equal to the then
most recently published annual yield on
conventional mortgages published by the Board
of Governors of the Federal Reserve System, as
of the applicable time set forth in the rules
of the Board, plus a reasonable premium for
risk; and
``(D) by providing for payments of such modified
loan directly to the holder of the claim; and''.
SEC. 5. COMBATING EXCESSIVE FEES.
Section 1322(c) of title 11, the United States Code, is amended--
(1) in paragraph (1) by striking ``and'' at the end,
(2) in paragraph (2) by striking the period at the end and
inserting a semicolon, and
(3) by adding at the end the following:
``(3) the debtor, the debtor's property, and property of
the estate are not liable for a fee, cost, or charge that is
incurred while the case is pending and arises from a debt that
is secured by the debtor's principal residence except to the
extent that--
``(A) the holder of the claim for such debt files
with the court (annually or, in order to permit filing
consistent with clause (ii), at such more frequent
periodicity as the court determines necessary) notice
of such fee, cost, or charge before the earlier of--
``(i) 1 year after such fee, cost, or
charge is incurred; or
``(ii) 60 days before the closing of the
case; and
``(B) such fee, cost, or charge--
``(i) is lawful under applicable
nonbankruptcy law, reasonable, and provided for
in the applicable security agreement; and
``(ii) is secured by property the value of
which is greater than the amount of such claim,
including such fee, cost, or charge;
``(4) the failure of a party to give notice described in
paragraph (3) shall be deemed a waiver of any claim for fees,
costs, or charges described in paragraph (3) for all purposes,
and any attempt to collect such fees, costs, or charges shall
constitute a violation of section 524(a)(2) or, if the
violation occurs before the date of discharge, of section
362(a); and
``(5) a plan may provide for the waiver of any prepayment
penalty on a claim secured by the debtor's principal
residence.''.
SEC. 6. CONFIRMATION OF PLAN.
Section 1325(a) of title 11, the United States Code, is amended--
(1) in paragraph (8) by striking ``and'' at the end,
(2) in paragraph (9) by striking the period at the end and
inserting a semicolon, and
(3) by inserting after paragraph (9) the following:
``(10) notwithstanding subclause (I) of paragraph
(5)(B)(i), the plan provides that the holder of a claim whose
rights are modified pursuant to section 1322(b)(11) retain the
lien until the later of--
``(A) the payment of such holder's allowed secured
claim; or
``(B) discharge under section 1328; and
``(11) the plan modifies a claim in accordance with section
1322(b)(11), and the court finds that such modification is in
good faith.''.
SEC. 7. DISCHARGE.
Section 1328 of title 11, the United States Code, is amended--
(1) in subsection (a)--
(A) by inserting ``(other than payments to holders
of claims whose rights are modified under section
1322(b)(11)'' after ``paid'' the 1st place it appears,
and
(B) in paragraph (1) by inserting ``or, to the
extent of the unpaid portion of an allowed secured
claim, provided for in section 1322(b)(11)'' after
``1322(b)(5)'', and
(2) in subsection (c)(1) by inserting ``or, to the extent
of the unpaid portion of an allowed secured claim, provided for
in section 1322(b)(11)'' after ``1322(b)(5)''.
SEC. 8. EFFECTIVE DATE; APPLICATION OF AMENDMENTS.
(a) Effective Date.--Except as provided in subsection (b), this Act
and the amendments made by this Act shall take effect on the date of
the enactment of this Act.
(b) Application of Amendments.--The amendments made by this Act
shall apply with respect to cases commenced under title 11 of the
United States Code before, on, or after the date of the enactment of
this Act.
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